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Sutro Q1 2025 Earnings Report
Sutro Biopharma, Inc. reports a net loss of $75.968 million for Q1 2025, with total revenue increasing by 34% year-over-year, primarily driven by the Astellas Agreement.
Key Takeaways
Sutro Biopharma, Inc. experienced a net loss of $75.968 million in Q1 2025, an increase from the $58.213 million loss in Q1 2024. Total revenue grew by 34% to $17.399 million, largely due to increased revenue from the Astellas Agreement. Operating expenses rose by 23% to $85.913 million, primarily due to restructuring costs.
Total revenue increased by 34% to $17.399 million in Q1 2025, primarily driven by the Astellas Agreement.
Net loss for Q1 2025 was $75.968 million, compared to $58.213 million in Q1 2024, reflecting increased operating expenses.
Operating expenses rose by 23% to $85.913 million, with significant restructuring and related costs of $21.043 million.
The company had $249.0 million in unrestricted cash, cash equivalents, and marketable securities as of March 31, 2025, which is expected to fund operations for at least the next 12 months.
Sutro
Sutro
Sutro Revenue by Segment
Revenue by Segment
Astellas Pharma Inc. Revenue
CapyFin.comTasly Biopharmaceuticals Co., Ltd. Revenue
CapyFin.comVaxcyte, Inc. Revenue
CapyFin.comIpsen Pharma SAS Revenue
CapyFin.com Forward Guidance
Sutro Biopharma, Inc. anticipates continued substantial losses due to ongoing research and development activities, with operating expenses expected to increase as product candidates advance through clinical development. The company will need to raise additional capital to support future operations.
Positive Outlook
- The company's unrestricted cash, cash equivalents, and marketable securities of $249.0 million are expected to fund operations for at least the next 12 months.
- The company continues to advance its wholly-owned preclinical programs, including STRO-004 and STRO-006, with an IND filing for STRO-004 anticipated in H2 2025.
- The company plans to file three INDs over the next three years, including for STRO-004 and STRO-006.
- The company earned a $7.5 million contingent payment from Astellas for the initiation of an IND-enabling toxicology study.
- The company continues to explore outlicensing opportunities for luvelta.
Challenges Ahead
- The company has incurred significant losses and negative cash flows from operations, with an accumulated deficit of $862.8 million as of March 31, 2025.
- Management expects to continue to incur additional substantial losses in the foreseeable future.
- The company will need to raise additional capital to support the completion of its research and development activities and operations.
- Operating expenses are anticipated to increase if product candidates advance through clinical development.
- The company intends to exit its internal GMP manufacturing facility by year-end 2025, relying on an external manufacturing strategy, which could pose transition risks.