eXoZymes Reports $1.86 Million Net Loss in Q1 2025, Operating Costs Surge

eXoZymes Inc. reported a net loss of $1.86 million for the first quarter of 2025, a significant increase from the $1.01 million loss recorded in the same period of 2024. The company's total operating costs rose to $1.95 million, up 93.4% from $1.01 million year-over-year. This increase was primarily driven by higher general and administrative expenses, which surged by 88.2% to $1.38 million, and research and development costs, which increased by 107.2% to $575,016. The company did not generate any operating income during the quarter.

In terms of financial position, eXoZymes reported total assets of $11.53 million as of March 31, 2025, down 11.6% from $13.03 million at the end of 2024. The decline in assets was largely attributed to a decrease in cash and cash equivalents, which fell by 12.4% to $8.51 million. The company's liabilities increased slightly to $2.64 million, up 1.2% from $2.61 million, primarily due to a rise in accounts payable. Stockholders' equity also decreased to $8.88 million, reflecting the net loss incurred during the quarter.

Strategically, eXoZymes has been focusing on expanding its research and development capabilities. The company has received significant grant funding, including a $283,805 grant from the National Institutes of Health in March 2025, aimed at enhancing its cell-free high-throughput platform. Additionally, eXoZymes is actively pursuing further grants to bolster its working capital. The company’s workforce has also expanded, contributing to the increased compensation expenses noted in the financial results.

Operationally, eXoZymes has maintained its focus on developing its synthetic biology platform, which aims to produce environmentally friendly chemical molecules. The company has not yet achieved revenue generation, as it remains in the pre-revenue stage. As of March 31, 2025, eXoZymes had 8,367,810 shares outstanding, following a two-for-one stock split approved in October 2024. The company continues to monitor market conditions and is preparing for potential economic challenges that could impact its operations.

Looking ahead, eXoZymes expressed confidence in its ability to secure additional funding and continue its research initiatives. The company plans to allocate its available working capital towards advancing its development and commercialization efforts. However, management acknowledged the ongoing challenges of operating in a pre-revenue environment and the need for continued financial support to meet its long-term obligations.