AETHLON MEDICAL INC (AEMD)·Q3 2025 Earnings Summary

Executive Summary

• Aethlon achieved a key clinical milestone: the first oncology patient was treated with the Hemopurifier in Australia with no device-related complications; protocol amendments were approved across all three sites to accelerate enrollment . The company also reported materially lower operating expenses (~50% YoY) and a reduced net loss .
• Fiscal Q3 2025 (quarter ended Dec 31, 2024): no revenue reported; total operating expenses were $1.81M (down from $3.57M YoY), net loss improved to $1.75M ($0.13 per share) from $3.47M ($1.37 per share) a year ago; quarter-end cash was ~$4.83M .
• Management tightened focus on oncology, implemented cost cuts, and highlighted a 43% Australian R&D cash rebate on eligible trial spend as a financial offset .
• Street estimates: S&P Global consensus data could not be retrieved; coverage appears limited and comparisons vs estimates are unavailable at this time (SPGI request error; see Estimates Context).

What Went Well and What Went Wrong

• What Went Well

  • First Hemopurifier oncology treatment completed without device issues; 7-day follow-up showed no adverse events or clinically significant lab changes for the treated patient . “We are pleased to report that the patient tolerated the procedure without complications, making a critical milestone…” (Jim Frakes) .
  • Protocol amended to remove the two-month run-in and broaden eligibility (all approved PD-1 regimens), with HREC/RGO approvals at all three sites to speed enrollment and data generation .
  • Operating expenses reduced ~50% YoY to $1.81M, driven by payroll, professional fees, and G&A reductions; net loss improved to ~$1.75M .

• What Went Wrong

  • Enrollment friction: of three enrolled patients, two did not reach treatment per pre-specified criteria; only one received Hemopurifier in the quarter, underscoring screening/run-in attrition (now addressed by protocol amendment) .
  • No revenue and continued cash burn; quarter-end cash was ~$4.83M, emphasizing financing and execution risks typical for development-stage companies .
  • Clinical timelines depend on enrollment pace; management acknowledged OpEx could rise as cohorts advance, and Australia/India trial spend may increase as sites progress .

Financial Results

Quarterly performance (USD):

Year-over-year Q3 expense breakdown (USD):

Notes:

• No segment revenue reported; development-stage with no product sales in these periods .
• Guidance vs estimates not provided; SPGI consensus unavailable (see Estimates Context).

KPIs and clinical execution:

Guidance Changes

Earnings Call Themes & Trends

Management Commentary

• “We are pleased to report that the patient tolerated the procedure without complications, making a critical milestone for the safety, feasibility and dose-finding trials of the Hemopurifier in patients with solid tumors who have not responded to anti-PD-1 antibodies.” – Jim Frakes, CEO & CFO .
• “Key changes [to protocol] include enrolling patients only after they have been confirmed not to be responding to anti-PD-1 therapy…removes the two-month run-in period…broadened eligibility to include all approved dosing regimens of Pembrolizumab and Nivolumab.” – Company update .
• “Consolidated operating expenses…decreased by approximately $1.8 million, or approximately 50%, to $1.8 million compared to $3.6 million [YoY]…net loss decreased to approximately $1.8 million.” – Financial results summary .

Q&A Highlights

• Enrollment and protocol: Two initially enrolled patients did not proceed to treatment under the prior design; the amendment eliminates the two-month run-in and moves eligible patients directly to Hemopurifier, expected to shorten timelines and improve enrollment .
• Australia R&D rebate: ~43% cash rebate on qualifying life-sciences spend; annual submission, typically around the June quarter .
• OpEx trajectory: While OpEx was cut in half YoY, management expects G&A and trial-related spending to rise as cohorts advance and staffing modestly increases .
• Infectious disease positioning: Hemopurifier is not first-line for H5N1; current standard remains oseltamivir; potential role if resistance or clinical failures mount; no bird flu human treatments to date (in vitro data only) .

Estimates Context

• S&P Global consensus (EPS/Revenue) for AEMD was not available via our SPGI query at this time; retrieval returned an access/limit error and no estimate data populated, suggesting minimal Street coverage. As a result, we cannot provide vs-consensus comparisons for Q3 2025 (attempted SPGI retrieval failed).

Key Takeaways for Investors

• Safety de-risking milestone achieved with the first patient treated without device-related complications and clean 7-day follow-up; protocol changes should improve throughput to Hemopurifier treatment .
• Execution focus and cost discipline are evident: OpEx down ~50% YoY; net loss halved; however, cash declined to ~$4.83M at quarter end, and spend likely rises as cohorts scale—watch financing runway and cadence of data updates .
• Near-term catalysts: activation and enrollment under the amended protocol at three Australian sites; movement into multi-treatment cohorts; early EV/T-cell lab readouts as cohorts complete (management guided ongoing updates per cohort) .
• Australia’s ~43% R&D cash rebate is a meaningful offset to trial costs and a reason to concentrate efforts there (in addition to clinical infrastructure), partially mitigating cash burn .
• Scientific rationale reinforced: tumor-derived EVs implicated in immunotherapy resistance; Hemopurifier designed to reduce EV burden—initial safety established, next step is demonstrating dose-response on EV/T-cell markers and reproducibility across cohorts .
• Risk factors: enrollment pace, small sample sizes in early cohorts, financing needs typical for development-stage device companies, and dependency on regulatory and site logistics (India timeline slower than Australia) .
• Trading setup: stock likely reacts to operational catalysts (cohort readouts, enrollment velocity, site additions, R&D rebate receipts) and funding developments; absent Street estimates, narrative-driven moves predominate.

Appendix: Additional Data and Sources

• Q3 FY2025 8-K and Press Release (financials, operations):
• Q3 FY2025 Earnings Call Transcript (themes, Q&A):
• Prior Quarters for Trend:
  • Q2 FY2025 PR and Call:
  • Q1 FY2025 PR and Call: