Entero Therapeutics Reports Significant Reduction in Operating Expenses and Net Losses for Q2 2025

Entero Therapeutics, Inc. reported its financial results for the second quarter of 2025, revealing a significant reduction in both operating expenses and net losses compared to the same period in 2024. The company recorded total operating expenses of approximately $638,864 for the three months ended June 30, 2025, a decrease of 81% from $3,426,108 in the prior year. This reduction was primarily driven by a substantial decline in general and administrative expenses, which fell from $3,206,517 to $628,233, reflecting cost-cutting measures and a decrease in consultant fees. The net loss for the quarter was $998,271, a notable improvement from the $8,807,702 loss reported in the same quarter last year.

For the six months ending June 30, 2025, Entero's total operating expenses were $1,460,249, down from $12,525,156 in the previous year, marking a decrease of approximately 88%. The company reported a net loss of $2,257,890 for the first half of 2025, compared to a loss of $3,240,096 for the same period in 2024. The decrease in losses was attributed to reduced research and development expenses, which totaled $26,458 for the first half of 2025, down from $675,523 in the prior year, as well as a significant reduction in general and administrative costs.

Entero's strategic focus has shifted following its acquisition of ImmunogenX, Inc. in March 2024, which has since been classified as a discontinued operation. The company is in the process of disposing of certain assets and liabilities associated with ImmunogenX, including its product candidates Latiglutenase and CypCel. As of June 30, 2025, these assets were classified as held for sale, valued at approximately $83.2 million. The company has also terminated its license agreement with Sanofi for the Capeserod program, indicating a strategic pivot away from certain product lines.

Operationally, Entero has faced challenges, including a significant reduction in its workforce, which contributed to lower general and administrative expenses. The company reported a headcount decrease that has helped streamline operations. As of June 30, 2025, Entero had cash and cash equivalents of approximately $4,474, down from $163,476 at the end of 2024, raising concerns about its liquidity and ability to fund ongoing operations. The company has indicated that it will continue to seek additional funding through equity and debt financing to support its development plans.

Looking ahead, Entero remains focused on advancing its lead product candidate, Adrulipase, while navigating the complexities of its financial situation and the ongoing strategic review of its assets. The company has expressed the need for significant capital to continue its operations and development efforts, emphasizing the importance of securing additional funding to maintain its business trajectory. The outlook remains cautious, with substantial doubt raised about the company's ability to continue as a going concern without adequate financial resources.