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Viridian Therapeutics, Inc.\DE (VRDN)·Q3 2025 Earnings Summary

Executive Summary

  • Q3 2025 delivered a clear beat on both revenue and EPS, driven by recognition of a $70.0M license payment from the Japan partnership with Kissei; total revenue was $70.57M and EPS was $(0.34), versus consensus of $11.72M and $(0.94), respectively, with the upside primarily attributable to timing of license revenue .*
  • Liquidity strengthened meaningfully post-quarter: cash, cash equivalents, and short-term investments were $490.9M at 9/30, rising to ~$887.9M by 10/31 after an equity offering ($289.1M gross), royalty financing (upfront $55M plus potential $115M milestones), and an amended credit facility .
  • Regulatory momentum: veligrotug BLA successfully submitted in October with Priority Review requested; EMA MAA timing tightened to Q1 2026; VRDN-003 topline timelines accelerated/narrowed (REVEAL-1 in Q1 2026, REVEAL-2 in Q2 2026) .
  • Management asserted the new financing package, potential near-term milestones, and anticipated commercial revenues (if veligrotug and VRDN-003 are approved) should fund the company through profitability, a key narrative shift from prior “cash runway into 2H 2027” guidance .

What Went Well and What Went Wrong

What Went Well

  • License revenue recognition from the Kissei Japan deal drove a material beat against consensus, with total Q3 revenue of $70.57M and EPS of $(0.34) vs estimates of $11.72M and $(0.94); management highlighted the comprehensive October financing transactions and strong balance sheet .*
  • Regulatory execution: veligrotug BLA submission in October (Priority Review requested) and EMA MAA timing tightened to Q1 2026; CEO emphasized the team is “laser-focused on commercial readiness” targeting a mid-2026 U.S. launch, if approved .
  • R&D milestones: VRDN-003 phase 3 trials completed enrollment and topped targets (REVEAL-1 n=132; REVEAL-2 n=204), topline readouts accelerated; VRDN-006 achieved IgG reduction proof-of-concept in healthy volunteers .

What Went Wrong

  • Operating cost intensity remains high as the company scales toward commercialization: Q3 R&D of $86.3M and G&A of $24.3M rose year over year due to phase 3 programs and commercial prep; investors will scrutinize OpEx trajectory into launch .
  • The revenue profile remains non-recurring until commercial approval; Q3 strength hinged on one-time license revenue, with collaboration revenue at $0.57M—underscoring execution risk tied to regulatory timelines .
  • No published Q3 earnings call transcript was available, limiting clarity on detailed guidance, launch pacing assumptions, and payer dynamics; this constrains insight into management’s Q&A tone and near-term KPIs beyond the press release [Search: no transcript found].

Financial Results

MetricQ1 2025Q2 2025Q3 2025
Total Revenue ($USD Millions)$0.072 $0.075 $70.570
License Revenue ($USD Millions)$0.000 $0.000 $70.000
Collaboration Revenue ($USD Millions)$0.072 $0.075 $0.570
R&D Expense ($USD Millions)$76.835 $86.626 $86.261
G&A Expense ($USD Millions)$17.103 $20.216 $24.322
Operating Income ($USD Millions)$(93.866) $(106.767) $(40.013)
Net Loss ($USD Millions)$(86.912) $(100.735) $(34.599)
Net Loss per Share (Common) ($USD)$(0.87) $(1.00) $(0.34)
Cash & SharesQ1 2025Q2 2025Q3 2025Oct 31, 2025 (Prelim)
Cash, Cash Equivalents & ST Investments ($USD Millions)$636.633 $563.356 $490.901 ~$887.9
Shares Outstanding (as-converted)100.259M 100.320M 100.898M N/A
Q3 2025 vs ConsensusConsensusActualSurprise
Revenue ($USD Millions)$11.719*$70.570 +$58.851
EPS ($USD)$(0.94)*$(0.34) +$0.60

Values marked with * retrieved from S&P Global.

Segment breakdown: Not applicable (pre-commercial).

KPIs (Programs, Q3 2025):

  • REVEAL-1 (active TED) enrollment: 132 vs target 117 .
  • REVEAL-2 (chronic TED) enrollment: 204 vs target 195 .
  • VRDN-006: IgG reduction proof-of-concept achieved; sparing of albumin and LDL; generally well-tolerated .

Guidance Changes

MetricPeriodPrevious GuidanceCurrent GuidanceChange
Veligrotug BLA (U.S.)2H 2025 → Oct 2025 submission“On track to submit in 2H 2025” Submitted Oct; FDA filing decision within 60 days; Priority Review requested; potential mid-2026 U.S. launch if approved Achieved/Updated (timeline met and clarified)
Veligrotug EMA MAA1H 2026Submit in 1H 2026 Targeted for Q1 2026 Narrowed earlier window
VRDN-003 topline1H 2026“Topline in 1H 2026” REVEAL-1 in Q1 2026; REVEAL-2 in Q2 2026 Accelerated/Narrowed
VRDN-008 INDYE 2025“On track YE 2025” Still on track YE 2025 Maintained
VRDN-006 POC (IgG)Q3 2025“Expect POC data Q3 2025” Achieved POC IgG reduction Achieved
Liquidity/Runway2H 2027“Runway into 2H 2027” Access to up to $889M across equity, royalty, credit; expects funding through profitability Raised/Extended narrative

Earnings Call Themes & Trends

No Q3 2025 earnings call transcript was found; themes below reflect press releases and prior quarter disclosures.

TopicPrevious Mentions (Q1 2025, Q2 2025)Current Period (Q3 2025)Trend
Regulatory/Legal (veligrotug)BLA “on track” for 2H 2025; BTD received; durability data emphasized BLA submitted Oct; Priority Review requested; EMA MAA timing tightened Positive progression; timelines clarified
R&D Execution (VRDN-003)Topline “1H 2026” with ongoing enrollment/dosing Enrollment completed; topline accelerated/narrowed (Q1/Q2 2026) Ahead of plan; stronger patient demand
Financing StrategyRunway into 2H 2027 Comprehensive package: equity ($289.1M), royalty ($55M upfront + $115M milestones), amended credit facility Strengthened balance sheet; de-risked
Product Performance (THRIVE/THRIVE-2)Robust efficacy, diplopia resolution, durability at 52 weeks Narrative reiterated; supports BLA Consistent strength maintained
Japan StrategyNew Kissei license with $70M upfront and up to $315M milestones License revenue recognized; “unbilled revenue” on BS; JP commercialization via Kissei Execution underway; monetization visible

Management Commentary

  • “We are laser-focused on commercial readiness to launch veligrotug by mid-2026, if we receive approval under Priority Review. The recent financings…significantly strengthen our balance sheet, putting us in an even stronger financial position to execute on our vision of building a leading commercial company…” — Steve Mahoney, President & CEO .
  • “The submission of our BLA for veligrotug marks a major milestone…This submission brings us one step closer to delivering a transformative therapy to people living with thyroid eye disease…” — Steve Mahoney .
  • “Veligrotug’s recent Breakthrough Therapy Designation as well as the continued and consistent performance…showcase the momentum Viridian is building as we approach our planned BLA filing and expected commercial launch.” — Steve Mahoney (Q2 PR) .

Q&A Highlights

  • No Q3 2025 earnings call transcript was available, and we did not locate a published Q&A record for this period; therefore, no Q&A highlights, guidance clarifications, or tone assessment can be provided [SearchDocuments: no transcript found].

Estimates Context

  • Q3 2025: Revenue $70.57M vs consensus $11.72M; EPS $(0.34) vs consensus $(0.94) — a significant beat on both metrics, driven by the timing/recognition of the $70M Japan license .*
  • Q2 2025: Revenue $0.075M vs $47.00M consensus; EPS $(1.00) vs $(0.98) — revenue miss likely due to license timing (Kissei deal announced 7/30, recognized in Q3), with a minor EPS miss .*
  • Number of estimates: Q3 Revenue (12), EPS (10); Q2 Revenue (13), EPS (11).*

Values marked with * retrieved from S&P Global.

MetricQ2 2025 ConsensusQ2 2025 ActualQ3 2025 ConsensusQ3 2025 Actual
Revenue ($USD Millions)$47.000*$0.075 $11.719*$70.570
EPS ($USD)$(0.98)*$(1.00) $(0.94)*$(0.34)
Revenue - # of Estimates13*—12*—
EPS - # of Estimates11*—10*—

Key Takeaways for Investors

  • The quarter’s outsized beat was predominantly a one-time license recognition; absent recurring product revenue until approvals, investors should anchor valuation on regulatory timelines and launch preparedness .
  • Balance sheet materially fortified via equity, royalty, and credit facilities, with management signaling funding through profitability if veligrotug and VRDN-003 are approved; this reduces financing overhang into 2026 .
  • Regulatory catalysts: FDA filing acceptance (within ~60 days of Oct submission), potential Priority Review, and EMA MAA in Q1 2026; each is a stock-relevant event pathing toward a mid-2026 U.S. launch .
  • Clinical catalysts: VRDN-003 topline data windows accelerated/narrowed (Q1/Q2 2026), with over-enrollment indicating demand and potential robustness of data – outcomes will shape the SC profile narrative vs IV veligrotug .
  • Cost discipline will be watched; R&D and G&A remain elevated as commercial build-out advances; upside on EPS in Q3 was not structural and will normalize absent approvals .
  • Japan partnership is strategically valuable (cash upfront, milestones, royalties) and evidences global optionality; it also directly impacted Q3 P&L through license revenue .
  • Near-term trading: shares may be sensitive to any FDA process updates (filing acceptance/PR designation), plus financing news flow; medium-term thesis hinges on dual-path approvals, launch execution, and payer receptivity highlighted by management’s market research .