IO Biotech, Inc. (IOBT)·Q1 2025 Earnings Summary

Executive Summary

• IO Biotech reported Q1 2025 net loss of $22.4M vs. $19.5M in Q1 2024; diluted EPS was $(0.34), reflecting higher R&D and G&A as pivotal activities ramp for Cylembio .
• The company extended cash runway guidance into Q2 2026, supported by drawing €10.0M from the European Investment Bank (EIB) tranche A and anticipating access to tranche B (€12.5M) .
• Program timelines shifted modestly: pivotal Phase 3 PFS readout is now "still expected" in Q3 2025; BLA submission remains targeted for 2025 and potential US launch in 2026, contingent on data .
• EPS missed S&P Global consensus (actual $(0.34) vs. consensus $(0.23)), while revenue remains non-applicable as a pre-commercial biotech; the upcoming PFS readout and BLA path are the key stock reaction catalysts .
• The company highlighted scientific momentum (AACR data; mechanism elucidation) and external validation (Fast Company recognition) supporting the T-win platform .

What Went Well and What Went Wrong

What Went Well

• Extended cash runway into Q2 2026 after drawing €10.0M from EIB and signaling eligibility for a second tranche; management reiterated operational funding plans tied to committed debt .
• Clinical execution on broader strategy: enrollment completed in perioperative Phase 2 basket trial (IOB-032/PN-E40); initial data expected 2H 2025; longer-term data from Phase 2 KN-D38 cohorts also expected 2H 2025 .
• Management tone confident on potential first-in-class launch: “This year, we remain focused on delivering our Phase 3 data, preparing a BLA and planning for commercialization of Cylembio” — Mai-Britt Zocca, CEO .

What Went Wrong

• EPS missed consensus for Q1 2025 (actual $(0.34) vs. S&P consensus $(0.23)) amid ongoing clinical and pre-commercial investment; net loss increased YoY to $22.4M from $19.5M * .
• The PFS readout timeline shifted from “first half of 2025” mentioned in 2024 updates to “Q3 2025,” implying slower event accrual and extending the near-term catalyst window .
• Cash and cash equivalents declined to $37.1M at quarter-end from $60.0M at year-end 2024 and $80.2M at Q3 2024, underscoring burn dynamics prior to additional debt drawdowns .

Financial Results

Notes:

• Revenue not applicable; consolidated statements begin with operating expenses and loss from operations, consistent with pre-commercial status .

EPS vs. S&P Global Consensus (Q1 2025)

Values marked with * retrieved from S&P Global.

KPIs

Guidance Changes

Earnings Call Themes & Trends

Note: No Q1 2025 earnings call transcript was available among company materials; themes are drawn from press releases.

Management Commentary

• “This year, we remain focused on delivering our Phase 3 data, preparing a Biologics License Application (BLA) and planning for commercialization of Cylembio… our potentially first-in-class… cancer vaccine.” — Mai-Britt Zocca, PhD, President & CEO .
• “We continue to explore potential collaborations to expand the global impact of our product candidates and our platform across multiple cancer types.” — Mai-Britt Zocca, PhD .
• “We accomplished significant milestones in 2024… pending positive data, we expect to submit a BLA to the US FDA by the end of the year and a potential launch in the US in 2026.” — Q4 2024 business update, Mai-Britt Zocca, PhD .
• Scientific leadership emphasized: new AACR data showed dual-antigen approach reshapes the TME and IO170 drives antitumor activity via TGF-β-directed immune modulation .

Q&A Highlights

• No earnings call transcript was identified for Q1 2025; management’s disclosures were via press release and 8-K furnishing the release -.

Estimates Context

• EPS missed S&P Global consensus: actual $(0.34) vs. consensus $(0.23); a $(0.11) miss likely reflects elevated operating expenses ahead of pivotal readout and BLA prep *.
• Revenue consensus was $0.0 with three estimates, consistent with pre-commercial status; no product revenue was reported *.
• With pivotal PFS readout moved to Q3 2025 and runway extended into Q2 2026, estimates may need to reflect longer pre-commercial spend and timing effects on potential approval/launch.

Values marked with * retrieved from S&P Global.

Key Takeaways for Investors

• The quarter was operationally solid but financially consistent with pre-commercial biotech: net loss $(22.4)M and EPS $(0.34) vs. S&P consensus $(0.23) — a notable miss amid ongoing platform investment *.
• Timeline shift to Q3 2025 for PFS readout extends the catalyst window; investors should calibrate expectations for nearer-term data flow and consider the implication for financing and valuation timing .
• Cash runway extended into Q2 2026 tied to the EIB facility; tranche A (€10.0M) drawn and tranche B (€12.5M) expected — de-risks funding through pivotal and BLA milestones .
• Scientific narrative strengthened at AACR (IO102-IO103 and IO170) with differentiated mechanism vs. checkpoint inhibitors — supportive of platform value beyond melanoma .
• Upcoming 2H 2025 data from perioperative PN-E40 and longer-term KN-D38 cohorts could broaden indications/signals (SCCHN, NSCLC), adding optionality pre-commercialization .
• Near-term trading implications: stock likely sensitive to incremental clinical updates, debt draw milestones, and any collaboration announcements; medium-term thesis hinges on pivotal PFS and BLA quality/timing .
• Maintain focus on execution and safety signals: prior IDMC review supported trial continuation with no new safety signals; de-risking elements persist ahead of PFS .