Sign in

You're signed outSign in or to get full access.

EI

EXICURE, INC. (XCUR)·Q1 2025 Earnings Summary

Executive Summary

  • Q1 2025 reported GAAP profitability on a one‑time item: net income of $3.0M ($0.49 diluted EPS) driven by a $6.0M gain from early termination of the Chicago lease; operating revenue was $0 and operations remain cash‑consuming .
  • Cash and equivalents fell to $10.4M at 3/31/25 from $12.5M at 12/31/24; management reiterated substantial doubt about going concern and the need for near‑term financing to fund operations and strategic alternatives .
  • Program updates: multiple myeloma Phase 2 (GPC‑100 + propranolol + G‑CSF) completed enrollment; topline targeted for Fall/H2 2025; AML chemosensitization Phase 1 planning underway; exploring sickle cell/cell & gene therapy indications .
  • No earnings call or formal guidance; key stock catalysts ahead are financing visibility and H2 2025 stem‑cell mobilization data readout .

What Went Well and What Went Wrong

What Went Well

  • Lease termination created a $6.0M non‑cash gain, swinging to operating income of $2.95M and net income of $3.01M despite zero revenue .
  • Clinical execution: Phase 2 MM mobilization study completed enrollment; investigators report efficient mobilization and favorable safety, with topline expected Fall 2025 (“GPC‑100 could be transformative…We have seen effective and efficient mobilization…with an excellent safety profile.” – Dr. Jack Khouri, Cleveland Clinic) .
  • Strategic repositioning: integration of GPCR USA re‑initiated R&D activity in 2025 (R&D expense $0.8M in Q1 after $0.0M in Q1’24), aligning OpEx with new program focus .

What Went Wrong

  • No revenue in Q1 2025 (vs $0.5M in Q1 2024), and core operations remain unprofitable absent one‑time gains; G&A rose to $2.2M vs $1.3M YoY, largely acquisition/professional fees .
  • Liquidity/runway risk persists: cash $10.4M at quarter‑end and explicit going‑concern warning; “substantial additional financing is needed in the short term” .
  • No earnings call, no quantitative guidance, and no consensus estimate coverage—limiting investor visibility pending financing and data catalysts .

Financial Results

P&L vs prior two quarters (oldest → newest)

MetricQ2 2024Q3 2024Q1 2025
Revenue ($M)$0.00 $0.00 $0.00
Operating Income (Loss) ($M)$(1.24) $(2.57) $2.95
Net Income (Loss) ($M)$(0.60) $(1.09) $3.01
Diluted EPS ($)$(0.07) $(0.57) $0.49

Notes: Q1 2025 includes ~$6.0M lease termination gain, inflating operating and net income .

Operating expense detail (oldest → newest)

MetricQ2 2024Q3 2024Q1 2025
R&D Expense ($M)$0.00 $0.00 $0.81
G&A Expense ($M)$1.24 $1.43 $2.22
Gain on Early Lease Termination ($M)——$5.97

Year‑over‑year (Q1 2025 vs Q1 2024)

MetricQ1 2024Q1 2025
Revenue ($M)$0.50 $0.00
Net Income (Loss) ($M)$(0.83) $3.01
Diluted EPS ($)$(0.48) $0.49
R&D Expense ($M)$0.00 $0.81
G&A Expense ($M)$1.34 $2.22

Margins (not meaningful due to $0 revenue)

MetricQ2 2024Q3 2024Q1 2025
Net Income Margin %N/A (no revenue)N/A (no revenue)N/A (no revenue)

Liquidity

Metric12/31/20243/31/2025
Cash & Equivalents ($M)$12.51 $10.42

Guidance Changes

MetricPeriodPrevious GuidanceCurrent GuidanceChange
Financial guidance2025NoneNone providedMaintained – no guidance
Liquidity outlookNear‑termSubstantial doubt (FY24)Substantial doubt; financing needed in short termMaintained
Clinical – MM stem‑cell mobilization toplineH2 2025—Topline expected Fall/H2 2025New timing detail

Earnings Call Themes & Trends

No Q1 2025 earnings call transcript or slides were filed [ListDocuments yielded none].

TopicPrevious Mentions (Q3 2024)Previous Mentions (Q4 2024)Current Period (Q1 2025)Trend
Strategic alternatives/financingExploring alternatives; severe liquidity constraints; Nasdaq compliance risks Liquidity improved vs YE23 but still going‑concern risk Going‑concern; near‑term financing required Unchanged urgency
Operating model resetAsset sales/licensing to monetize legacy IP R&D at $0 for 2024; OpEx down YoY R&D resumes post GPCR USA (Q1 R&D $0.8M) Transition to hematology
Hematology pipeline (GPC‑100)Repositioning; sale of legacy SNA IP —MM Phase 2 enrollment completed; topline Fall/H2 2025; AML study planning Execution progressing
Real estate/leaseLease obligations significant drag —Chicago lease terminated early; $6.0M gain One‑time clean‑up
Regulatory/listingNasdaq panel deadlines/deficiencies ——Pending resolution outside quarter

Management Commentary

  • “Management believes that the Company’s existing cash and cash equivalents is not sufficient to continue to fund operations…substantial additional financing is needed in the short term…” (Q1 press release) .
  • Clinical perspective (Cleveland Clinic PI): “GPC‑100 could be transformative for patients and providers…We have seen effective and efficient mobilization…with an excellent safety profile.” .
  • Company focus: Exploring strategic alternatives; lead program focused on stem cell mobilization in MM, with potential in SCD and cell & gene therapy settings .

Q&A Highlights

No earnings call/Q&A was filed for Q1 2025 [ListDocuments showed no earnings-call-transcript].

Estimates Context

  • Wall Street consensus for Q1 2025 EPS and revenue was unavailable; S&P Global shows no published consensus for the period (no coverage)*.
    *Values retrieved from S&P Global.

KPIs and Operating Milestones

KPI / MilestoneStatus / DetailSource
Phase 2 MM (GPC‑100 + propranolol + G‑CSF)Enrollment completed; topline results expected Fall/H2 2025
AML chemosensitization (GPC‑100)Phase 1 study planning underway
Additional indicationsEvaluating SCD, pediatric oncology, cell & gene therapy settings
Cash & Equivalents$10.4M at 3/31/25 vs $12.5M at 12/31/24
Lease footprintChicago lease terminated; $6.0M lease liability reversal gain

Clear Implications and Analysis

  • Quality of earnings: The beat to profitability is entirely non‑recurring (lease termination). Core operations generated zero revenue and higher G&A; R&D resumed with GPCR USA integration. Expect reversion to operating losses absent new financing and/or business development .
  • Liquidity is the gating factor: At $10.4M cash and explicit going‑concern language, the near‑term stock reaction will hinge on visibility into financing (e.g., equity, strategic investment) before H2 2025 data; failure to secure funding is a key risk .
  • Clinical catalysts: MM mobilization topline in Fall/H2 2025 could be a material de‑risking event; the AML study planning broadens optionality, but requires capital .

Key Takeaways for Investors

  • Expect normalization to operating losses in subsequent quarters absent one‑time gains; monitor quarterly cash burn vs. $10.4M cash as of 3/31/25 .
  • Financing outcome is the primary near‑term stock driver; any secured capital or strategic transaction would reduce going‑concern overhang and support program execution .
  • H2 2025 MM topline is the principal clinical catalyst; positive same‑day mobilization kinetics vs standards (per investigator experience) could provide validation and partnering leverage .
  • Re‑initiation of R&D (~$0.8M in Q1) reflects pivot to hematologic indications; watch for AML trial start specifics and any updates on SCD/cell & gene therapy opportunities .
  • No Street coverage and no call/guidance limit visibility; investors should rely on primary filings and program milestones for signals until coverage potentially resumes .
  • One‑time lease gain reduced liabilities and cleaned up the footprint; however, it does not alter the funding need trajectory .

Citations:

  • Q1 2025 8‑K/Press release and financials:
  • Program press releases (Apr–May 2025):
  • Prior quarters (trend): Q2 2024 PR/8‑K ; Q3 2024 10‑Q
  • FY 2024 results: PR/8‑K