Executive Summary

Q2 2025 delivered no revenue ($0 vs $1.55M YoY) as Pulmatrix completed the PUR1900 Phase 2b wind‑down; operating discipline sharply narrowed losses with EPS improving to $(0.42) from $(1.59) YoY and $(0.50) QoQ .
Strategic focus remained on completing the Cullgen merger: S‑4 declared effective and stockholders approved; closing now guided to “2025” pending Nasdaq and China Securities Regulatory Commission approvals (timeline slipped from “June 2025”) .
The company is actively pursuing divestment of iSPERSE and related clinical assets (PUR3100, PUR1800, PUR1900) as part of the merger plan; ex‑US PUR1900 milestones continue via partner Cipla (Phase 3 approved in India; 2% ex‑US royalty potential) .
Cash was $5.8M at June 30 (down from $7.7M at March 31); management expects liquidity to fund operations at least through the anticipated merger closing, assuming continued spending controls .
Consensus estimates from S&P Global were not available for revenue or EPS this quarter, so no formal beat/miss assessment can be made (coverage appears limited due to the strategic transition) [GetEstimates returned no data].

What Went Well and What Went Wrong

What Went Well

Material cost reset: R&D fell to ~$14K (from $2.83M YoY), and G&A declined to $1.53M (from $2.00M YoY), driving a much smaller operating loss ($(1.55)M vs $(5.90)M YoY) and EPS improvement to $(0.42) .
Merger de‑risking steps: SEC declared the S‑4 effective and stockholders approved the merger; remaining approvals are regulatory/listing (Nasdaq, CSRC) .
External program momentum: Cipla completed Phase 2 in India for PUR1900 and received approval to proceed to Phase 3; Pulmatrix holds a 2% royalty on potential ex‑US net sales .

Quote: “During the quarter, the SEC declared our registration statement effective and our stockholders approved the Merger… As part of the proposed merger, Pulmatrix is currently in a process to potentially divest its patent portfolio for our iSPERSE technology, as well as three related clinical programs.” — Peter Ludlum, Interim CEO .

What Went Wrong

Topline reset to zero: Revenue was $0 vs $1.55M in the prior year as the PUR1900 Phase 2b wind‑down completed (2024), removing associated collaboration revenue .
Cash draw continued: Cash declined to $5.83M from $7.71M QoQ and $9.52M at year‑end, reflecting ongoing G&A and transaction costs despite aggressive R&D curtailment .
Timing uncertainty increased: Guidance moved from “anticipated to close in June 2025” to “anticipated to close in 2025,” contingent on Nasdaq and CSRC approvals .

Financial Results

Metric ($USD Thousands, except per-share)	Q2 2024	Q1 2025	Q2 2025
Revenues	1,552	0	0
Research & Development	2,834	19	14
General & Administrative	2,001	1,828	1,534
Loss from Operations	(5,901)	(1,847)	(1,548)
Interest Income	133	53	41
Net (Loss) Income	(5,811)	(1,808)	(1,549)
EPS (Basic/Diluted, $)	(1.59)	(0.50)	(0.42)

Balance sheet liquidity

Metric ($USD Thousands)	Dec 31, 2024	Mar 31, 2025	Jun 30, 2025
Cash & Cash Equivalents	9,521	7,708	5,825

Context and comparisons:

YoY: Revenue decreased by ~$1.55M to $0; R&D and G&A dropped by ~$2.82M and ~$0.47M respectively; EPS improved by $1.17 .
QoQ: Operating loss improved to $(1.55)M from $(1.85)M; EPS improved to $(0.42) from $(0.50) .

No segments or KPIs were reported for the quarter .

Guidance Changes

Metric	Period	Previous Guidance	Current Guidance	Change
Merger closing timing	2025	“Anticipated to close in June 2025”	“Anticipated to close in 2025; exact timing cannot be predicted; pending Nasdaq and CSRC approvals”	Lowered/delayed
Cash runway	Through merger close	“Sufficient to fund operations at least through the anticipated closing of the proposed Merger”	Same language reiterated	Maintained
Asset divestiture (iSPERSE + clinical assets)	2025	“Currently seeking divestment…”	“Currently intends to divest… in process to potentially divest”	Maintained/ongoing
PUR1900 economics	Ex‑US	No further U.S. cost responsibility; 2% ex‑US royalty potential; partner advancing clinical program	Same reiterated; Phase 3 approved in India	Maintained

Earnings Call Themes & Trends

(Note: No Q2 2025 earnings call transcript was available; themes reflect press materials.)

Topic	Previous Mentions (Q4 2024, Q1 2025)	Current Period (Q2 2025)	Trend
Cullgen merger progress	Announced; targeted 1H25 close ; S‑4 advancing	S‑4 effective; stockholders approved; awaiting Nasdaq/CSRC; close “2025”	Slipped timing; de‑risked by stockholder approval
Asset divestiture plan	Seeking divestiture of iSPERSE/clinical assets	Intends to divest iSPERSE + 3 related programs as part of merger	Ongoing; scope reiterated
R&D execution	PUR1900 Phase 2b wind‑down complete; no further cost	Focus on divestment; PUR3100 Phase 2‑ready; PUR1800 1b safety shown	Internal spend curtailed; assets positioned for monetization
Regulatory/listing approvals	Standard closing conditions	Explicitly cites pending Nasdaq and CSRC approvals	Increased emphasis on regulatory pathway
Cash discipline	Cash $9.5M; runway through merger	Cash $5.8M; runway reaffirmed	Declining cash; guidance maintained
PUR1900 with Cipla	Wind‑down; ex‑US royalty potential	Phase 3 approved in India; 2% ex‑US royalty potential	External momentum sustained

Management Commentary

Strategic focus: “Our focus in the second quarter has been to advance steps to complete the proposed merger with Cullgen… If consummated, the proposed merger would create a Nasdaq‑listed company focusing on targeted protein degradation technology with three degrader programs in Phase 1 clinical trials” — Peter Ludlum, Interim CEO .
Portfolio action: “As part of the proposed merger, Pulmatrix is currently in a process to potentially divest its patent portfolio for our iSPERSE technology, as well as three related clinical programs” .
Liquidity posture: Management reiterated that cash on hand, coupled with operational efficiencies, is expected to fund operations at least through the anticipated closing of the merger .

Q&A Highlights

No Q2 2025 earnings call transcript or Q&A was available in the document set reviewed; no call‑specific clarifications were identified [ListDocuments returned none for earnings-call-transcript].

Estimates Context

S&P Global consensus estimates for Q2 2025 revenue and EPS were not available (no estimates returned), so a beat/miss analysis cannot be provided this quarter. Coverage appears limited given the strategic transition and lack of ongoing commercial revenue [GetEstimates returned no data].

Key Takeaways for Investors

Merger path is the primary catalyst: with S‑4 effectiveness and stockholder approval achieved, remaining gating items are Nasdaq listing and CSRC approval; closing timing slipped from June to “in 2025” .
Cost base is structurally lower: R&D has largely wound down; G&A is trending lower despite transaction costs, supporting narrower quarterly losses absent revenue .
Cash runway is adequate to the next catalyst, but tight: $5.8M at quarter‑end and a guided runway “through closing” leave little room for delays without incremental funding or monetization .
Divestiture outcomes matter: Proceeds (or lack thereof) from iSPERSE/asset sales will influence pro forma positioning ahead of the Cullgen combination .
External optionality via Cipla: PUR1900 progress ex‑US (Phase 3 approved in India) sustains a low‑probability but non‑zero royalty tail (2% on ex‑US sales if commercialized) .
Trading setup: Near‑term stock moves likely hinge on merger approval milestones and any concrete divestiture updates; absence of operating revenue reduces fundamental variance while increasing event‑driven risk .

Citations:

Q2 2025 press release and 8‑K:
Q1 2025 press release and 8‑K:
Q4 2024 press release and 8‑K:

Pulmatrix, Inc. (PULM)·Q2 2025 Earnings Summary