Generation Bio Reports $8.7M Collaboration Revenue and $14.8M Net Loss in Q1 2025

Generation Bio Co. reported its financial results for the first quarter of 2025, revealing a collaboration revenue of $8.7 million, a significant increase from $4.1 million in the same period last year. This growth is attributed to a $5.3 million adjustment related to changes in the estimated research services under its collaboration agreement with Moderna, partially offset by a decrease in reimbursable activity. The company incurred a net loss of $14.8 million for the quarter, a notable improvement compared to the $74.5 million loss reported in the first quarter of 2024. The loss per share was $0.22, down from $1.12 a year earlier.

Total operating expenses for the quarter were $25.3 million, a decrease from $81.7 million in the prior year. This reduction was primarily driven by a significant decline in the loss on lease termination, which fell to $1.1 million from $56.9 million in the previous year, following the termination of the Seyon Lease. Research and development expenses increased slightly to $15.4 million from $14.3 million, while general and administrative expenses decreased to $8.8 million from $10.4 million, reflecting cost management efforts and a reduction in headcount.

In terms of operational developments, Generation Bio's total assets decreased to $201.3 million as of March 31, 2025, down from $231.2 million at the end of 2024. The company had cash and cash equivalents of $50.9 million, alongside marketable securities of $106.7 million. The total stockholders' equity also declined to $73.3 million from $86.2 million at the end of the previous fiscal year. The company’s employee headcount has been adjusted as part of a strategic reorganization aimed at focusing on its core technology for developing therapeutics targeting T cell-driven autoimmune diseases.

Looking ahead, Generation Bio anticipates continued operating losses as it invests in research and development activities, particularly in advancing its proprietary technologies and product candidates. The company expects to announce the target and indication of its lead T cell-selective LNP-siRNA program for autoimmune disease by mid-2025, with plans to submit an investigational new drug application in the second half of 2026. The company has indicated that it will require additional funding to support its operations and growth strategy, which may include public or private equity offerings, debt financing, and collaborations.