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Korro Bio Q1 2025 Earnings Report
Korro Bio reported a net loss of $23.387 million for Q1 2025, with collaboration revenue of $2.550 million.
Key Takeaways
Korro Bio, Inc. reported a net loss of $23.387 million for the first quarter of 2025, an increase from the $19.557 million net loss in the same period last year. The company generated $2.550 million in collaboration revenue, compared to no revenue in the prior year. Operating expenses increased significantly, primarily driven by higher research and development costs.
Net loss increased to $23.387 million in Q1 2025 from $19.557 million in Q1 2024.
Collaboration revenue was $2.550 million in Q1 2025, with no revenue reported in Q1 2024.
Research and development expenses rose to $19.739 million in Q1 2025 from $13.572 million in Q1 2024, mainly due to increased clinical trial activities and a development milestone payment.
The company had $139.0 million in cash, cash equivalents, and marketable securities as of March 31, 2025, and expects this to be sufficient to fund operations into 2027.
Korro Bio
Korro Bio
Forward Guidance
Korro Bio expects to continue incurring significant expenses and operating losses for the foreseeable future as it advances product candidates through clinical development and seeks regulatory approvals. The company anticipates its existing cash, cash equivalents, and marketable securities will fund operations into 2027.
Positive Outlook
- Existing cash, cash equivalents, and marketable securities are expected to be sufficient to fund operating expenses and capital expenditure requirements into 2027.
- The company may pursue additional cash resources through public or private equity, collaborations, or debt financings.
- The company is advancing KRRO-110 through clinical development, with interim data from single ascending doses expected in the second half of 2025.
- The company continues to progress enrollment, site activation, and expansion into other geographies for the REWRITE clinical trial.
- The company believes KRRO-110 has best-in-class potential for the treatment of AATD based on preclinical data.
Challenges Ahead
- The company expects to continue to incur significant and increasing expenses and operating losses and negative operating cash flows for the foreseeable future.
- The future viability of the company is dependent on its ability to generate cash from operating activities or to raise additional capital.
- There is no assurance that the company will ever earn revenues or achieve profitability.
- If the company is unable to obtain additional financing, it would be forced to delay, reduce, or eliminate its research and development programs.
- The company announced a strategic plan to streamline operations, including a workforce reduction of approximately 20%, which will incur one-time restructuring charges.