Sign in

You're signed outSign in or to get full access.

CI

Cibus, Inc. (CBUS)·Q3 2025 Earnings Summary

Executive Summary

  • Q3 2025 results showed continued cost discipline but materially light revenue and EPS versus Street: revenue $0.615M vs $1.391M consensus and EPS -$0.44 vs -$0.33 consensus; both misses, driven by timing of partner-funded program activities and no goodwill impairment in the current period . EPS consensus and revenue consensus from S&P Global.
  • Management reaffirmed key commercialization milestones: delivery of HT traits to a Latin American rice customer in Q4 2025; initial LATAM launches targeted for 2027 and U.S. in 2028; India market development engaged via AgVayā .
  • Commercial pipeline momentum: seven rice customer agreements now representing 5–7M addressable acres and over $200M potential annual royalties; biofragrance pre-commercial pilots completed with initial payment in Q4 2025 and ramp beginning in 2026 .
  • Cash runway extends into early Q2 2026; annual net cash usage targeted at ~$30M for 2026, supported by facility consolidation and reduced OpEx .
  • Near-term stock catalysts: execution on Q4 2025 rice trait delivery, confirmation of EU NGT final text timeline, disclosure of biofragrance commercialization with a CPG partner, and progress on financing alternatives .

What Went Well and What Went Wrong

  • What Went Well

    • Expanded commercial reach: seven rice customer agreements spanning U.S. and LATAM, increasing addressable acres to 5–7M with >$200M potential annual royalties .
    • Biofragrance milestone: completed pre-commercial pilot runs; initial payment received in Q4 2025; targeting commercial expansion in 2026 .
    • Cost discipline: SG&A down to $5.3M and R&D to $10.8M vs prior year; consolidation of Oberlin into San Diego supports ~$30M 2026 net cash usage target .
    • Quote: “I clearly see our company as a coiled spring, ready to deliver gene-edited traits for years to come.” — Peter Beetham, Interim CEO .

  • What Went Wrong

    • Revenue and EPS misses: Q3 revenue $0.615M vs $1.391M consensus and EPS -$0.44 vs -$0.33 consensus; Street likely revises near term expectations lower *.
    • Revenue timing headwinds: CFO cited timing in partner-funded programs; non-operating income was nominal vs $7.7M in the prior year, removing a prior YoY tailwind .
    • Continued royalty liability interest expense: $9.0M in Q3, weighing on net loss (-$24.3M) despite YoY improvement from absence of goodwill impairment .

Financial Results

Quarterly Financials (oldest → newest)

MetricQ1 2025Q2 2025Q3 2025
Revenue ($USD Millions)$1.034 $0.933 $0.615
R&D Expense ($USD Millions)$11.799 $12.228 $10.784
SG&A Expense ($USD Millions)$9.856 $6.651 $5.269
Total Operating Expenses ($USD Millions)$42.605 $18.879 $16.053
Net Loss ($USD Millions)$(49.392) $(26.558) $(24.303)
Diluted EPS ($)$(1.34) $(0.61) $(0.44)
Cash & Cash Equivalents ($USD Millions)$23.587 $36.463 $23.886

YoY Snapshot (Q3 2025 vs Q3 2024)

MetricQ3 2024Q3 2025
Revenue ($USD Millions)$1.667 $0.615
R&D Expense ($USD Millions)$12.990 $10.784
SG&A Expense ($USD Millions)$7.682 $5.269
Goodwill Impairment ($USD Millions)$181.432 $—
Net Loss ($USD Millions)$(201.459) $(24.303)

Versus Wall Street Consensus (S&P Global)

MetricQ3 2025 EstimateQ3 2025 ActualSurprise
Revenue ($USD Millions)$1.391*$0.615 Miss*
EPS ($)$(0.33)*$(0.44) Miss*

Values marked with * retrieved from S&P Global.

Other P&L and Balance Items, Q3 2025

ItemQ3 2025
Royalty Liability Interest Expense - Related Parties ($USD Millions)$9.030
Non-Operating Income, net ($USD Millions)Nominal
Weighted Avg Shares (Class A)52,925,776
Cash RunwayInto early Q2 2026

KPIs and Commercial Progress

KPIQ1 2025Q2 2025Q3 2025
Rice Customer Agreements (count)4 5 (incl. Semillano) 7 (incl. CIAT, Semillano; AgVayā engagement for India)
Addressable Rice Acres (LATAM + U.S.)—~3–5M (implied) ~5–7M
Potential Annual Rice Royalty Opportunity ($USD)—>$200M (targeted) >$200M (reaffirmed)
Biofragrance MilestoneDevelopment advancement First-stage scale-up Pre-commercial pilots completed; initial payment in Q4 2025

Segment breakdown: not applicable (single revenue line reported) .

Guidance Changes

MetricPeriodPrevious GuidanceCurrent GuidanceChange
Annual Net Cash UsageFY 2026Target approx $30M On target approx $30M Maintained
Cash RunwayAs of Q2/Q3 2025Funded into Q2 2026 Funded into early Q2 2026 Slightly refined timing
Rice HT Trait DeliveryQ4 2025Deliver initial traits by end-2025 On track to deliver HT traits to LATAM customer in Q4 2025 Maintained
Rice Initial Commercial Launch2027–2028LATAM 2027; U.S. 2028 LATAM 2027; U.S. 2028 (reaffirmed); India/Asia by 2030 Maintained; expanded geography
Biofragrance RevenueFY 2025–2026Nominal in 2025; expansion in 2026 Initial payment in Q4 2025; single-digit millions in 2026; total opportunity $20–$40M Clarified ramp
EU NGT Regulatory TimelineLate 2025–Early 2026Resolution within ~6 months Final text near-term; 4–6 weeks watch; possible Q1 2026 spillover Narrowed window

Earnings Call Themes & Trends

TopicPrevious Mentions (Q1 & Q2 2025)Current Period (Q3 2025)Trend
AI/Technology InitiativesCollaboration with Biographica’s AI for sclerotinia targets ; RTDS standardized; rapid edits in 12–15 months AI/ML enabling faster “what-to-edit” and automation; editing efficiency improved order of magnitude in rice Accelerating
Regulatory/LegalEU NGT trilogue ongoing; UK PBO framework progress; Ecuador positive determination; USDA-APHIS “not regulated” designations EU NGT close to final text; positive determinations reaffirmed; California rice field research approved Improving
Product Performance (Rice HT1/HT3)Stacked traits; deliveries to U.S. customer; trait stacking expansion Seven customers; delivery to LATAM in Q4; field validation by year-end Scaling
Product Performance (Canola HT2, PSR)HT2 promising; PSR WOSR trials ongoing Positive HT2 field results in NA; PSR second year trials with promising performance Positive
Regional TrendsGrowing LATAM rice engagement (Semillano) Five LATAM rice customers; India entry via AgVayā Expanding
R&D ExecutionRTDS standards; capability across crops Delivery predictability; robotic assistance scaling repetitive tasks Improving
Financing/AlternativesRaised $27.5M; RIF planned Exploring strategic alternatives; no update; runway reiterated Neutral
Sustainable IngredientsPartner-funded CPG; nominal 2025 revenues Initial payment Q4 2025; single-digit millions in 2026 Initial monetization

Management Commentary

  • Strategic focus: “We remain laser-focused on executing our RISE commercialization timeline, scaling our sustainable ingredients revenues, and building the foundation for sustainable cash flow generation.” — Peter Beetham .
  • Commercial momentum: “We have now signed seven Rice customer agreements… approximately 5–7 million addressable acres… over $200 million in potential annual royalties.” — Peter Beetham .
  • Biofragrance: “Successfully completed pre-commercial pilot runs for two biofragrance products… positioned us to receive initial payments… in Q4 2025.” — Peter Beetham .
  • Cost discipline: “On target to deliver annual cash usage of approximately $30 million for 2026.” — Company update ; CFO reiterated runway into early Q2 2026 .
  • India expansion: “Engaging AgVayā… enabling joint development and commercialization… for Indian rice seed companies and public agencies.” — Company release .

Q&A Highlights

  • Biofragrance ramp: Initial payment in Q4 2025; single-digit millions in 2026; total opportunity $20–$40M; 2027 still single-digit before scaling .
  • Regulatory timing: EU NGT final text expected near-term (next 4–6 weeks), potential spillover into Q1 2026; seed industry highly engaged (Euroseeds) .
  • Addressable acres and royalties: Seven rice customers now represent ~5–7M acres and >$200M potential annual royalties .
  • R&D partnerships: Expect significant opportunity in 2026 to expand bespoke R&D collaborations across platforms (rice, canola, soybean) .
  • Automation/efficiency: Semi-automated RTDS with robotics improving editing frequency and regeneration; leveraging historical data and AI/ML .

Estimates Context

  • Q3 2025 vs S&P Global consensus: revenue $0.615M vs $1.391M*; EPS -$0.44 vs -$0.33* — both misses, likely prompting downward estimate revisions for near-term revenue/EPS given program timing *.
  • Forward consensus anchors: Q4 2025 revenue estimate ~$1.644M* and Q1 2026 ~$2.086M*; EPS estimates -$0.34* (Q4 2025) and -$0.24* (Q1 2026). Given management’s timing commentary, Street may reassess cadence pending biofragrance commercialization and rice delivery milestones *.
  • Target price consensus mean: $14.40*; Consensus recommendation not available in our pull.*

Values marked with * retrieved from S&P Global.

Key Takeaways for Investors

  • Near-term prints are likely volatile: Q3 revenue/EPS misses highlight timing sensitivity of partner-funded programs; monitor Q4 rice trait delivery and biofragrance payment recognition .
  • Commercial traction is real: seven rice customers, 5–7M acres addressable, and >$200M potential annual royalties create medium-term optionality into 2027–2028 launches; India adds long-tail upside .
  • Regulatory tailwinds building: EU NGT nearing final text and positive determinations in Ecuador/US improve global market access; watch EU timing over next 4–6 weeks .
  • Cost discipline extends runway: net cash usage target ~$30M in 2026 and facility consolidation support financing flexibility; management evaluating strategic alternatives .
  • Biofragrance monetization is a 2026 lever: single-digit millions expected with a named CPG partner pipeline; scale beyond 2027 could diversify revenue base .
  • Trading setup: Stock likely reacts to execution milestones (Q4 deliveries, EU regulatory, financing updates). Weak Q3 vs estimates suggests tactically fading rallies until milestones hit; medium-term thesis hinges on royalty model scalability in rice/canola .
  • Watch list: disclosure of Indian partnerships, additional LATAM seed agreements, HT2 canola partner funding, and EU implementation timeline into 2026 .