Allarity Therapeutics Reports $2.7 Million Net Loss in Q1 2025, Cash Position Increases to $27.7 Million

Allarity Therapeutics, Inc. reported its financial results for the first quarter of 2025, revealing a net loss of $2.7 million, a decrease from the $3.8 million loss recorded in the same period of 2024. The company’s total operating expenses for the quarter were $3.0 million, down from $4.2 million year-over-year, primarily due to reduced research and development costs, which fell to $1.4 million from $2.2 million. General and administrative expenses also decreased to $1.6 million from $2.1 million, reflecting a strategic effort to manage costs amid ongoing operational challenges.

The company’s cash and cash equivalents, along with restricted cash, totaled $27.7 million as of March 31, 2025, an increase from $19.5 million at the end of 2024. This increase was largely attributed to net proceeds of approximately $9.7 million from the sale of 9.7 million shares of common stock under an At-The-Market Issuance Sales Agreement. Allarity has indicated that its current cash position is expected to fund operations for at least the next 12 months, although it may need to seek additional capital to support ongoing research and development activities.

In terms of operational developments, Allarity has been focusing on advancing its lead drug candidate, stenoparib, through clinical trials. The company has also been involved in addressing regulatory challenges, including a recent settlement with the SEC related to a prior investigation, which resulted in a $2.5 million civil penalty. Additionally, Allarity has undergone significant organizational changes, including two reverse stock splits in 2024, aimed at improving its stock price and market perception.

The company’s accumulated deficit reached $121.7 million as of March 31, 2025, reflecting the cumulative losses since its inception. Despite the financial challenges, Allarity remains committed to its strategic goals, including the continued development of its proprietary Drug Response Predictor (DRP®) technology, which aims to enhance the precision of cancer treatments. Looking ahead, Allarity anticipates ongoing expenses related to clinical trials and regulatory approvals, and it plans to continue its focus on securing additional funding to support these initiatives.