Caribou Biosciences Reports $39.99 Million Net Loss in Q1 2025, Announces Workforce Reduction

Caribou Biosciences, Inc. reported a net loss of $39.99 million for the first quarter of 2025, a slight improvement from the $41.23 million loss recorded in the same period of 2024. The company's revenue from licensing and collaboration agreements totaled $2.35 million, down from $2.43 million year-over-year. Operating expenses decreased to $45.27 million from $48.43 million, primarily due to a reduction in general and administrative costs, which fell from $14.64 million to $9.74 million. Research and development expenses increased to $35.53 million, up from $33.79 million, reflecting higher external costs associated with clinical trials.

In terms of financial position, Caribou's total assets decreased to $273.66 million as of March 31, 2025, down from $313.31 million at the end of 2024. The decline was attributed to a reduction in cash and cash equivalents, which rose to $29.42 million from $16.29 million, while marketable securities decreased significantly from $193.24 million to $179.05 million. The company's accumulated deficit also widened to $488.38 million, compared to $448.39 million at the end of the previous fiscal year.

Strategically, Caribou announced a significant workforce reduction of approximately 32%, equating to 47 employees, as part of a pipeline prioritization initiative. This decision follows the discontinuation of the GALLOP phase 1 trial for CB-010 and the AMpLify phase 1 trial for CB-012, with the company now focusing resources on its CB-010 and CB-011 oncology programs. The anticipated costs associated with this restructuring are estimated to be between $2.5 million and $3.5 million.

Operationally, Caribou's cash used in operating activities was $36.73 million, a slight decrease from $37.20 million in the prior year. The company generated $49.38 million from investing activities, a significant increase from $22.96 million in the same quarter of 2024, primarily due to lower cash utilized for marketable securities purchases. However, cash provided by financing activities dropped to $0.47 million from $12.49 million, as no shares were sold under the at-the-market equity offering program during the quarter.

Looking ahead, Caribou expects its existing cash, cash equivalents, and marketable securities of $212.5 million to be sufficient to fund operations for at least the next 12 months. The company continues to rely on equity financing and collaboration agreements to support its operations, as it has not yet generated revenue from product sales. The future funding requirements will depend on various factors, including the progress of clinical trials and regulatory approvals for its product candidates.