Executive Summary

Q3 2025 revenue declined to $2.24M, down 46% YoY (Q3’24: $4.17M) and down 43% QoQ (Q2’25: $3.9M), driven by lower milestone revenue and a decline in service revenue following completion/discontinuation of ion channel programs . QoQ figures reference company Q2 slides .
Net loss was $(16.5)M or $(0.14) per share (vs. $(16.4)M or $(0.16) in Q3’24; vs. $(15.9)M or $(0.15) in Q2’25). Operating loss was $(18.1)M .
FY25 outlook was revised: revenue lowered to $18–22M (from $20–25M in Q1/Q2), OpEx lowered to $82–86M (from $85–90M), year‑end cash expected at $52–56M; tax rate ~0% maintained .
Strategic momentum continued: active partners reached 104 and active programs 399, with Omni pipeline progress and OmniUltra™ launch planned in December; management emphasized technology expansion and leaner cost structure as secular positives .

What Went Well and What Went Wrong

What Went Well

Partner and program momentum: 104 active partners and 399 active programs at 9/30/25; 32 OmniAb‑derived programs in clinical or commercial stages .
Platform innovation: issued a U.S. patent for OmniUltra™ (cow‑like antibody, long CDRH3); launch targeted for December 2025 at AET in San Diego, expected to expand platform opportunities .
Balance sheet strengthened: completed an August private placement of common stock raising $30M gross (~$28M net), exiting Q3 with $59.5M in cash, cash equivalents and short‑term investments .

Management quote: “The number of new program additions so far this year has significantly outpaced last year… OmniAb’s innovative technology platform and operational model allow for partner and program additions within an increasingly efficient and lean cost structure.” — CEO Matt Foehr .

What Went Wrong

Topline pressure: Q3 revenue fell to $2.24M (vs. $4.17M in Q3’24; $3.9M in Q2’25), primarily from lower milestone revenue and service revenue declines tied to small‑molecule ion channel program completion/discontinuation .
Guide down on revenue: FY25 revenue guidance reduced to $18–22M from $20–25M (Q1/Q2), reflecting weaker near‑term topline visibility; though OpEx trimmed, revenue reduction is a near‑term headwind .
Persistent losses: Q3 net loss of $(16.5)M on $2.24M revenue implies deeply negative net margin; loss from operations $(18.1)M underscores limited operating leverage until milestones/royalties scale .

Financial Results

Headline metrics – trend and comparisons

Metric	Q1 2025	Q2 2025	Q3 2025
Revenue ($M)	4.15	3.90	2.24
Loss from Operations ($M)	(18.84)	(16.20)	(18.14)
Net Loss ($M)	(18.20)	(15.90)	(16.53)
EPS ($)	(0.17)	(0.15)	(0.14)
Cash, Cash Equivalents & ST Investments ($M)	43.6	41.6	59.5

Note: Net loss margin and other ratios are derivable from the reported figures above .

Q3 results vs prior year and prior quarter, and consensus

Metric	Q3 2024	Q2 2025	Q3 2025 Actual	Consensus (Q3 2025)
Revenue ($M)	4.17	3.90	2.24	N/A*
EPS ($)	(0.16)	(0.15)	(0.14)	N/A*

*Estimates from S&P Global were unavailable via our data service for this period.

Revenue mix (Q3 2025 vs Q3 2024)

Revenue Component ($M)	Q3 2024	Q3 2025
License & Milestone	1.38	0.62
Service	2.48	1.19
xPloration	0.00	0.07
Royalty	0.32	0.36
Total	4.17	2.24

KPIs

KPI	Q1 2025	Q2 2025	Q3 2025
Active Partners (period end)	95	100	104
Active Programs (period end)	378	381	399
OmniAb-derived programs in clinical/commercial	33	—	32

Guidance Changes

Metric	Period	Previous Guidance	Current Guidance	Change
Revenue	FY 2025	$20–25M (Q1/Q2 guide)	$18–22M	Lowered
Operating Expense	FY 2025	$85–90M (Q1/Q2 guide)	$82–86M	Lowered
Cash Use (ex financing)	FY 2025	Lower than 2024	Lower than 2024	Maintained
Year‑end Cash	FY 2025	—	$52–56M	New metric
Effective Tax Rate	FY 2025	~0%	~0%	Maintained

Earnings Call Themes & Trends

Topic	Previous Mentions (Q1 & Q2 2025)	Current Period (Q3 2025)	Trend
Deal flow & partner adds	“Strong deal flow” with new partners; 100 active partners at Q2; robust program additions YTD	“New program additions far outpacing last year;” 104 partners and 399 programs	Improving momentum
xPloration commercialization	Launch of Partner Access Program; sold and installed a system; accretive potential; early demand	Early feedback positive; deepens partner engagement; still early to quantify consumables per unit	Early adoption; building
Cost structure & headcount	RIF in Feb, further reduction in July; ~$7M annual cash savings expected	Emphasized lean, efficient model; OpEx guidance lowered to $82–86M	Leaning further
Technology expansion	Ongoing innovation; AI/ML in xPloration highlighted in Q1	OmniUltra patent/Dec launch; expected to open new opportunities	Platform broadened
Pipeline/regulatory	Multiple partner trials/updates in Q1; Q2 slides tracked clinical/commercial pipeline	SAL003 NDA accepted in China; sugemalimab positive CHMP opinion; RAINIER cohort update	Incremental progress

Management Commentary

CEO strategic message: “The number of new program additions so far this year has significantly outpaced last year… [Our] technology platform and operational model allow for partner and program additions within an increasingly efficient and lean cost structure… We look forward to next month’s launch of OmniUltra™” .
Platform update: OmniUltra patent issued; launch planned at AET in December, designed to expand discovery capabilities via a transgenic chicken producing cow‑like antibodies with long CDRH3 .
Balance sheet commentary: $30M private placement in August (~$28M net proceeds), with $59.5M in cash and investments at 9/30/25 .
FY25 outlook: Revenue $18–22M; OpEx $82–86M; cash use < 2024 (ex financing); YE cash $52–56M; tax rate ~0% .

Q&A Highlights

xPloration metrics and consumables: Management reiterated strong early partner feedback and that it remains early to quantify average consumables usage per instrument; more detail expected as launch matures .
Strategic focus: Continued emphasis on scalable business model and technology-led efficiencies; commentary consistent with prepared remarks .
No material deviations from press release figures were indicated in the call excerpts reviewed .

Estimates Context

S&P Global consensus for Q3 2025 EPS and revenue was unavailable through our data service at the time of analysis, so we could not quantify beats/misses vs. consensus for the quarter (see table above marked N/A).*
Given the FY25 revenue guidance reduction (to $18–22M from $20–25M), near‑term Street revenue estimates for FY25 may need to be revised down to the new range; OpEx reductions may partially offset in operating loss trajectories .

*Values were intended to be retrieved from S&P Global; however, estimates data were unavailable via our tool for this period.

Key Takeaways for Investors

Revenue volatility persists as milestone/service revenue declined; near‑term topline visibility reduced, reflected in lowered FY25 revenue guide to $18–22M .
Cost discipline is tangible: OpEx guide lowered to $82–86M; prior headcount actions target ~$7M annual cash savings (noted earlier in Q2) to enhance operating runway .
Platform optionality rising: OmniUltra launch in December and growing xPloration adoption deepen partner engagement and may create incremental revenue streams over time .
Pipeline breadth remains a core asset: 104 active partners/399 programs with multiple partner regulatory and clinical catalysts (e.g., SAL003, sugemalimab, mipletamig) that can drive future milestones/royalties .
Liquidity improved post raise ($59.5M cash/investments at Q3‑end; YE cash guided to $52–56M), supporting technology launches and partner execution into 2026 .
Short‑term trading: Stock likely sensitive to guidance reset and subdued quarterly revenue prints; watch for December OmniUltra launch updates, xPloration traction, and partner catalyst flow as potential sentiment counterweights .
Medium‑term: Execution on technology commercialization (xPloration/OmniUltra) plus partner pipeline progression are central to transitioning from milestone‑driven variability to more diversified, scalable revenues .

Appendix: Additional Q3 Business Highlights

Selected partner updates in Q3: Immunovant batoclimab and IMVT‑1402 program progress; Arcus domvanalimab + zimberelimab OS data in GEA; Salubris SAL003 NDA acceptance; CStone sugemalimab positive CHMP opinion; Aptevo mipletamig 100% remission in cohort .

OmniAb, Inc. (OABIW)·Q3 2025 Earnings Summary