Executive Summary

Q1 2025 revenue was $32.7M, up 104% YoY and above Wall Street consensus ($24.8M); EPS was $(0.66), below consensus ($(0.547)); the beat was driven by milestone revenue from Incyte ($12.5M) and Vir ($2.0M) plus non-cash royalties, while higher OpEx kept losses elevated. Bold: Revenue beat; EPS miss .
Cash, cash equivalents and marketable debt securities were $693.5M at March 31, 2025; year-end 2025 cash guidance of $535–$585M and cash runway into 2028 were maintained .
XmAb942 interim Phase 1 data support an every-12-week maintenance dosing interval; Phase 2b XENITH-UC in ulcerative colitis is set to begin in H2 2025, and TL1A x IL23p19 first-in-human is planned for 2026 .
Leadership: Chief Development Officer Nancy Valente will transition to a senior advisor role in June 2025; continuity of clinical leadership was emphasized as teams report to the CEO .
Note: A formal Q1 2025 earnings call transcript was not available in our catalog; we used the April 29 TL1A program webcast transcript for management commentary and Q&A -.

What Went Well and What Went Wrong

What Went Well

XmAb942 Phase 1 interim results showed favorable safety, PK/PD (estimated half-life >71 days), and support for Q12-week maintenance dosing; CEO: “We are on track to initiate the Phase 2b XENITH-UC study… later this year” .
Revenue outperformed consensus, aided by a $12.5M regulatory milestone from Incyte and a $2.0M development milestone from Vir, plus non-cash royalties; net loss improved year over year .
Other expense, net, declined to $(5.1)M from $(19.5)M YoY, primarily due to lower asset impairment charges, supporting bottom-line improvement .

What Went Wrong

EPS missed consensus as higher R&D ($58.6M) and G&A ($17.3M) expenses (driven by program spend and professional fees) offset the revenue beat .
Operating loss remained significant at $(43.2)M, and margin metrics stayed negative; S&P Global margin data indicate persistent negative Net Income Margin and EBIT Margin in Q1 2025* [GetFinancials]*.
Leadership transition (CDO retirement) introduces execution risk; management noted senior leaders continue and report to the CEO to mitigate disruption .

Financial Results

Sequential Performance (oldest → newest)

Metric	Q3 2024	Q4 2024	Q1 2025
Revenue ($USD Millions)	$10.710	$52.794	$32.732
EPS ($USD)	$(0.71)	$(0.62)	$(0.66)
Net Loss Attributable to Xencor ($USD Millions)	$45.143	$45.552	$48.418
Total Operating Expenses ($USD Millions)	$72.993	$65.972	$75.915
Other Income (Expense), Net ($USD Millions)	$15.986	$(31.404)	$(5.082)

Year-over-Year Comparison

Metric	Q1 2024	Q1 2025
Revenue ($USD Millions)	$15.997	$32.732
EPS ($USD)	$(1.20)	$(0.66)
Net Loss Attributable to Xencor ($USD Millions)	$73.440	$48.418
R&D ($USD Millions)	$56.873	$58.578
G&A ($USD Millions)	$13.787	$17.337
Other Expense, Net ($USD Millions)	$(19.453)	$(5.082)

Margins (S&P Global)

Metric	Q3 2024	Q4 2024	Q1 2025
Net Income Margin %	-260.10%*	-76.38%*	-147.92%*
EBIT Margin %	NaN*	9.11%*	-131.93%*
Values retrieved from S&P Global.*

KPIs and Balance Sheet

KPI	Q4 2024	Q1 2025
Cash, Cash Equivalents & Marketable Debt Securities ($USD Millions)	$706.7	$693.5
Total Assets ($USD Millions)	$951.945	$904.689
Total Liabilities ($USD Millions)	$277.919	$264.815
Total Stockholders’ Equity ($USD Millions)	$674.026	$639.874

Estimates vs Actuals (S&P Global)

Metric	Consensus	Actual
Revenue ($USD Millions)	$24.784*	$32.732
EPS ($USD)	$(0.547)*	$(0.66)
# of Estimates (Revenue)	10*	—
# of Estimates (EPS)	9*	—
Values retrieved from S&P Global.*

Guidance Changes

Metric	Period	Previous Guidance	Current Guidance	Change
Year-end Cash, Cash Equivalents & Marketable Debt Securities ($USD Millions)	FY 2025	$535–$585M	$535–$585M	Maintained
Cash Runway	FY 2025+	Into 2028	Into 2028	Maintained
XmAb942: XENITH-UC Phase 2b Start	H2 2025	Phase 2 UC start in H2 2025	Phase 2b start in H2 2025	Maintained
TL1A x IL23p19 Bispecific: First-in-Human	2026	FIH in 2026	FIH in 2026	Maintained

Earnings Call Themes & Trends

Note: Formal Q1 2025 earnings call transcript unavailable; themes reflect Q3/Q4 releases and Apr 29 TL1A webcast.

Topic	Previous Mentions (Q3 2024, Q4 2024)	Current Period (Q1 2025)	Trend
TL1A/IBD strategy	Initiated Phase 1; planned UC Phase 2 in H2 2025	Interim Phase 1 supports Q12-week dosing; Phase 2b XENITH-UC H2 2025	Strengthening
Bispecific TL1A x IL23p19	Lead selection targeted; FIH in 2026	Lead candidates match potency of monospecifics; FIH in 2026	Progressing
Oncology T-cell engagers (XmAb819, 541, 808)	Dose escalation; clinical updates planned H2 2025; resumed XmAb808 escalation	Increased R&D spend on 819/541; expansion plans reiterated	Ongoing
Partnerships (Amgen, Incyte, Vir, Novartis)	Amgen Phase 3 initiated (xaluritamig); milestones from Amgen/Novartis	Incyte $12.5M milestone; Vir $2.0M milestone; non-cash royalties	Positive
Financial posture	YE 2024 cash $690–$710M guidance	YE 2025 cash $535–$585M guidance; runway into 2028	Stable

Management Commentary

“Recently presented interim Phase 1 results support XmAb942 as a high potency investigational anti-TL1A antibody and an every 12-week subcutaneous dosing regimen during the maintenance treatment period… We are on track to initiate the Phase 2b XENITH-UC study… later this year.” — Bassil Dahiyat, CEO .
“Our Phase 1 data for XmAb942 validate our design goals… combining high potency with less frequent dosing… We are excited to start our Phase 2b XENITH-UC trial later this year… supported by our strong cash position.” — Bassil Dahiyat, CEO .
“From these [Phase 1] data sets, we performed a pooled analysis, yielding a half-life estimate of greater than 71 days for XmAb942.” — John Desjarlais, CSO .
“We are delighted [CDO Nancy Valente] will remain active as a senior advisor and will continue to help guide us.” — Bassil Dahiyat, CEO .

Q&A Highlights

Competitive TL1A landscape and trial execution: Xencor aims for best-in-class profile and efficient Phase 2 design to attract patients/sites; combinations with existing agents considered as field evolves .
Biomarkers/efficacy bar: Active biomarker work (exploratory); efficacy hurdle depends on prior treatment history mix in UC studies .
Immunogenicity and PK: No apparent ADA impact on PK in multiple dosing (ADA assays pending); bispecific designed with monovalent 1+1 format and Fc knockouts to minimize immune complex formation and immunogenicity .
Induction/maintenance dosing rationale: IV induction (Day 0, Week 2, Week 6, Week 10) for rapid symptom control; single subcutaneous injection Q12 weeks in maintenance targeted for convenience .
Indication expansion: Crohn’s could follow based on UC data and competitor readthroughs; TL1A x IL23p19 IND gating focuses on lead selection with robust developability and formulation .

Estimates Context

Q1 2025 revenue of $32.7M beat S&P Global consensus of $24.8M; EPS of $(0.66) missed consensus of $(0.547); 10 revenue and 9 EPS estimates contributed. Bold: Revenue beat; EPS miss .
Given milestone-driven upside and higher OpEx, models may raise FY revenue in near-term while trimming EPS, and incorporate program milestones cadence (Incyte/Vir) and non-cash royalties variability. Values retrieved from S&P Global.*

Key Takeaways for Investors

Revenue upside was milestone- and royalty-driven; monitor cadence of partner milestones (Incyte/Vir) and royalty trends for near-term trading catalysts .
Despite the revenue beat, EPS missed on elevated R&D/G&A; expect continued investment into 819/541 and TL1A programs, keeping losses elevated near term .
XmAb942’s Q12-week maintenance profile and Phase 2b start in H2 2025 provide meaningful clinical catalysts; positioning could be best-in-class if safety/efficacy holds .
Guidance is stable (YE 2025 cash $535–$585M; runway into 2028), providing funding clarity through key readouts; cash burn trajectory and OpEx discipline remain watch items .
Leadership transition appears orderly with CDO moving to advisory role; execution risk is mitigated by existing clinical leadership continuity .
Margins remain negative; S&P data show persistent pressure, underscoring reliance on milestone/royalty variability until internal programs mature* [GetFinancials]*.
Near-term stock drivers: revenue/milestone prints, TL1A Phase 2b initiation details, oncology TCE updates (819/541/808), and any partnering signals; watch conference appearances for incremental disclosures .

Estimate and margin disclaimers: Values retrieved from S&P Global.*

Citations: Q1 2025 8-K and press release ; Q4 2024 8-K -; Q3 2024 8-K -; TL1A interim/Apr 29 webcast transcript -; April 29 press release -.

Xencor Inc (XNCR)·Q1 2025 Earnings Summary