2seventy Bio Reports Revenue Growth to $22.9 Million in Q1 2025, Prepares for Merger with BMS

2seventy bio, Inc. reported a significant increase in total revenues for the first quarter of 2025, reaching $22.9 million, compared to $12.4 million in the same period of 2024. This growth was primarily driven by a substantial rise in collaborative arrangement revenue, which surged to $19.1 million from $4.7 million, attributed to increased sales of Abecma, the company's CAR T therapy for multiple myeloma. However, service revenue declined to $3.8 million from $7.7 million, reflecting the termination of collaboration agreements with Regeneron and Novo Nordisk. The company also reported a net income of $0.5 million, a notable turnaround from a net loss of $52.7 million in the prior year.

Operating expenses for the quarter decreased significantly to $25.5 million from $63.6 million, largely due to a reduction in research and development costs, which fell to $5.4 million from $43.9 million. This decrease was primarily a result of workforce reductions following the Regeneron Transaction, which saw a significant portion of the research and development team transition to Regeneron. Selling, general, and administrative expenses increased slightly to $14.8 million from $12.7 million, driven by higher facility costs associated with the company's ongoing operations.

Strategically, 2seventy bio has undergone significant changes, including the completion of the Regeneron Transaction in April 2024, which involved the sale of its oncology and autoimmune cell therapy programs. Additionally, the company entered into a merger agreement with Bristol-Myers Squibb (BMS) in March 2025, where BMS commenced a tender offer to acquire all outstanding shares of 2seventy bio at $5.00 per share, valuing the transaction at approximately $286 million. This merger is expected to close in the second quarter of 2025, resulting in 2seventy bio becoming a wholly-owned subsidiary of BMS.

As of March 31, 2025, 2seventy bio reported cash, cash equivalents, and marketable securities totaling approximately $173.4 million, which the company believes will be sufficient to fund its operations for at least the next twelve months. However, the company anticipates continued operating losses and negative cash flows in the near future as it focuses on the commercialization of Abecma. The company may seek additional financing through public or private equity offerings, debt financing, or strategic collaborations to support its operations and development plans.

Overall, 2seventy bio's financial performance in the first quarter of 2025 reflects a strategic shift towards focusing on its core product, Abecma, while navigating significant organizational changes and preparing for a merger with BMS. The company remains committed to its operational goals despite the challenges posed by ongoing market conditions and the need for additional funding.