Executive Summary

Q4 2024 revenue was $0.41M and EPS was -$0.61, beating consensus EPS (-$0.74) and slightly topping revenue expectations ($0.39M); however absolute revenue remains de minimis given IGMS’ collaboration-only model .
The company entered Q4 with a pivot to autoimmunity and exited the quarter with a January 2025 decision to halt imvotamab and IGM‑2644 development due to insufficient B‑cell depletion, alongside a ~73% RIF; strategic alternatives are being evaluated, materially altering the near-term narrative .
FY 2024 operating expenses were $211.3M with net loss of $195.8M, within previously guided FY2024 GAAP OpEx ranges and reflecting reduced R&D vs 2023; year-end cash + marketable securities totaled $183.8M (unaudited), consistent with prior guidance on ending cash .
Prior quarters show Q3 2024 one-time pivot costs (R&D +$5.5M; G&A +$8.5M), providing context for Q4 EPS improvement vs Q3 despite minimal revenue .
Stock reaction catalysts center on pipeline discontinuation and strategic review rather than Q4 fundamentals; with single operating segment and minimal revenue, valuation hinges on cash, deferred revenue under Sanofi collaboration, and optionality from strategic alternatives .

What Went Well and What Went Wrong

What Went Well

Q4 2024 beat consensus EPS (-$0.61 vs -$0.74) and lightly exceeded revenue expectations ($0.41M vs $0.39M), aided by lower one-time costs vs Q3 .
FY 2024 OpEx of $211.3M landed within the $210–$220M / $215–$225M guidance ranges provided through the year, signaling expense discipline amid strategic changes .
Management executed the strategic pivot to autoimmunity in Q3 (“transformative” quarter) with clinical progress in RA/SLE/myositis and gMG plans for IGM‑2644 before the January update; “we expect to have sufficient information by the middle of 2025” was the tone then .

What Went Wrong

In January 2025, IGMS halted imvotamab and IGM‑2644 programs due to insufficient depth/consistency of B‑cell depletion in RA/SLE Phase 1b data, triggering ~73% workforce reduction and strategic review—overshadowing Q4 results .
Revenue remains immaterial (collaboration-only), constraining any margin analysis and leaving EPS heavily driven by OpEx rather than top-line growth .
Q3 included $14.0M of one-time pivot-related expenses ($5.5M R&D; $8.5M G&A), highlighting operational volatility; Q4 performance contextually benefitted from their absence but lacks durable revenue drivers .

Financial Results

Quarterly performance vs prior periods

Metric	Q2 2024	Q3 2024	Q4 2024
Revenue ($USD Millions)	$1.254	$0.516	$0.412
EPS ($USD)	-$0.79	-$1.01	-$0.61
Total Operating Expenses ($USD Millions)	$52.611	$64.903	N/A (not disclosed)

Notes: IGMS reports minimal collaboration revenue; no product gross margin is available. Q4 2024 totals are based on external earnings sources (Reuters/MarketBeat).

Q4 2024 vs estimates

Metric	Consensus	Actual	Surprise
EPS ($USD)	-$0.74	-$0.61	Beat +$0.13
Revenue ($USD Millions)	$0.39	$0.41	Beat +$0.02M

Prior-year context (Q4 2023)

Metric	Q4 2023
Revenue ($USD Millions)	$0.651
EPS ($USD)	-$1.01

KPIs and balance sheet highlights

KPI	FY 2024
Collaboration Revenue ($USD Millions)	$2.679
Total Operating Expenses ($USD Millions)	$211.259
Net Loss ($USD Millions)	$(195.795)
Cash & Equivalents ($USD Millions)	$26.495
Marketable Securities ($USD Millions)	$157.292
Cash + Marketable Securities ($USD Millions)	$183.787 (unaudited at 12/31/24)
Deferred Revenue ($USD Millions)	$144.1 (incl. $2.7 current)
Accumulated Deficit ($USD Millions)	$(1,017.037)
Weighted-Average Shares	60.515M

Guidance Changes

Metric	Period	Previous Guidance	Current Guidance (as of Q3)	Change
GAAP Operating Expenses	FY 2024	$210M–$220M (Q2)	$215M–$225M (Q3)	Raised
Collaboration Revenue	FY 2024	~$2M (Sanofi) (Q2)	~$2M (Q3)	Maintained
Ending Cash & Investments	FY 2024	~$180M (Q2)	~$180M (Q3)	Maintained
Cash Runway	Multi-year	Into Q2 2026 (Q2)	Into 2027 (Q3)	Extended

Note: January 2025 strategic update (program halts, ~73% RIF) supersedes prior operational guidance directionally, with management preserving cash and exploring strategic alternatives .

Earnings Call Themes & Trends

(No Q4 2024 transcript available in our document catalog; themes reflect Q2/Q3 releases and January update.)

Topic	Previous Mentions (Q-2 and Q-1)	Current Period (Q4)	Trend
Autoimmunity pivot	“Transformative” pivot; RA/SLE/myositis ongoing; initial data mid-2025 expected	Programs halted Jan 2025 due to insufficient B‑cell depletion; strategic review	Pivot reversed; pipeline contraction
IGM‑2644 (gMG)	Expected to enter clinical by year-end 2024	Terminated Jan 2025 (strategic considerations)	Terminated
Aplitabart (mCRC)	Enrollment completed; top-line PFS expected by end Q1 2025	Oncology deprioritized in 2024 pivot; 10‑K notes suspension of oncology development	Oncology deprioritized
One-time costs	Q3 R&D +$5.5M, G&A +$8.5M related to pivot	Absent in Q4 disclosures; EPS improved vs Q3	Cost normalization
Sanofi collaboration	~$2M FY revenue; $144.1M deferred revenue	Continues; focus on immunology targets	Ongoing, modest revenue

Management Commentary

“The third quarter was transformative for IGM, punctuated by the announcement of our strategic pivot to focus exclusively on autoimmunity…we expect to have sufficient information by the middle of 2025 to present initial imvotamab data…” — Mary Beth Harler, M.D., CEO (Q3 PR) .
“We continue to make significant progress in the clinical development of our two lead product candidates.” — Fred Schwarzer, CEO (Q2 PR) .
“Interim data…show that the depth and consistency of B cell depletion is insufficient…we have decided to discontinue further development of imvotamab…IGM‑2644 is also being terminated due to strategic considerations.” — Mary Beth Harler, M.D., CEO (Jan 9, 2025) .

Q&A Highlights

A Q4 2024 earnings call transcript was not available in our document set. Key clarifications in public documents centered on:

Nature of pivot-related one-time costs in Q3 (R&D $5.5M; G&A $8.5M) .
Post-quarter strategic update: program discontinuations and ~73% RIF, with strategic alternatives under evaluation .

Estimates Context

S&P Global (Capital IQ) consensus was unavailable via our estimates tool due to mapping constraints. For Q4 2024, external proxies indicate consensus EPS of -$0.74 and revenue of $0.39M, with actual EPS of -$0.61 and revenue of $0.41M (both beats) .
Given the pipeline discontinuations announced in January 2025, forward estimates are likely to be revised meaningfully as coverage models shift from development timelines to cash preservation and strategic outcomes .

Key Takeaways for Investors

Q4 headline beats are not the main story; the January decision to halt imvotamab/IGM‑2644 fundamentally resets the investment case toward cash preservation and strategic alternatives rather than clinical execution .
Expense discipline delivered FY 2024 OpEx within guidance and improved Q4 EPS vs Q3, aided by the absence of Q3 pivot-related one-time costs; however top-line remains minimal and non-recurring .
Balance sheet: year-end cash + marketable securities of ~$183.8M and $144.1M deferred revenue under Sanofi provide runway and optionality, but earnings power is constrained without active programs .
The Sanofi collaboration continues (immunology targets only) and could be a source of future milestone/royalty economics, but timing and visibility are low near-term .
Near-term trading likely hinges on strategic alternatives outcomes and any updates to Sanofi collaboration scope; with a single operating segment and minimal revenue, valuation sensitivity to cash and liabilities is high .
Watch for disclosures on restructuring charges in Q1 2025 and any 8‑K amendments quantifying costs; prior filing indicated a range but deferred estimates to an amendment .
Prior oncology efforts (e.g., aplitabart) were deprioritized; investors should anchor on capital preservation metrics, deferred revenue burn, and potential corporate actions rather than pipeline catalysts .

Sources Reviewed

Q2 2024 press release and financial tables .
Q3 2024 press release and financial tables .
FY 2024 Form 10‑K (financial statements, segment note, Sanofi collaboration, balance sheet) .
Jan 9, 2025 strategic update press release and Jan 10, 2025 Form 8‑K (Items 2.05, 7.01) .
External earnings proxies for Q4 2024 actuals/consensus .

Document availability note: We searched for a Q4 2024 8‑K 2.02 and an earnings call transcript but did not find them in our catalog for IGMS; analysis relied on the FY 2024 10‑K, Q2/Q3 press releases, the January 2025 strategic update/8‑K, and reputable external earnings sources for Q4 actuals and consensus.

IGM Biosciences, Inc. (IGMS)·Q4 2024 Earnings Summary