Contineum Therapeutics Reports $16M Net Loss in Q2 2025, Driven by Increased R&D Expenses

Contineum Therapeutics, Inc. reported a net loss of $16.0 million for the second quarter of 2025, compared to a loss of $9.0 million in the same period of the previous year. For the first half of 2025, the company’s net loss reached $32.0 million, up from $17.4 million in the first half of 2024. The increase in losses is attributed primarily to a significant rise in research and development expenses, which totaled $14.1 million for the second quarter, a 78% increase from $7.9 million in the prior year. This surge is largely due to increased costs associated with clinical trials for its drug candidates, particularly PIPE-791 and PIPE-307.

Total operating expenses for the second quarter of 2025 were $17.9 million, up from $10.9 million in the same quarter of 2024. The company’s general and administrative expenses also rose, amounting to $3.8 million in the latest quarter compared to $3.0 million a year earlier. The increase in operating expenses reflects the company's ongoing investment in its clinical development programs and operational expansion as it continues to pursue regulatory approvals for its drug candidates.

As of June 30, 2025, Contineum Therapeutics reported total assets of $182.9 million, a decrease from $212.8 million at the end of 2024. The decline in assets is primarily due to a reduction in cash and marketable securities, which fell to $175.5 million from $204.8 million. The company’s accumulated deficit increased to $149.4 million, reflecting its ongoing investment in research and development. The total liabilities decreased to $11.5 million from $14.8 million, indicating improved management of current liabilities.

In terms of strategic developments, Contineum Therapeutics has been actively engaged in clinical trials for its lead drug candidates. The company is advancing PIPE-791, a small molecule inhibitor, through various clinical trials, including a Phase 1b trial for chronic pain and a planned Phase 2 trial for idiopathic pulmonary fibrosis. Additionally, PIPE-307 is undergoing a Phase 2 trial for relapse-remitting multiple sclerosis, with topline data expected in the fourth quarter of 2025. The company has also entered into a license agreement with Johnson & Johnson, which includes potential milestone payments and royalties, further enhancing its financial outlook.

Looking ahead, Contineum Therapeutics anticipates that its operating expenses will continue to rise as it expands its clinical development activities and operational capabilities. The company has entered into a sales agreement to offer up to $75 million in shares of its Class A common stock, which may provide additional funding to support its growth initiatives. However, management has cautioned that the ability to secure future financing on favorable terms remains uncertain, and any failure to do so could adversely impact its product development and commercialization efforts.