IGM Biosciences Reports $52.9 Million Net Loss in Q1 2025 Amid Restructuring Efforts

IGM Biosciences, Inc. reported a net loss of $52.9 million for the first quarter of 2025, compared to a net loss of $49.8 million for the same period in 2024. The company's collaboration revenue remained relatively stable at $499,000, slightly up from $497,000 year-over-year. Operating expenses totaled $55.3 million, a marginal increase from $54.4 million in the prior year, primarily driven by a significant impairment charge of $21.9 million related to long-lived assets, which was not present in the previous year. Research and development expenses decreased to $22.3 million from $43.8 million, reflecting the company's strategic decision to halt the development of certain product candidates and reduce workforce by approximately 73% in January 2025.

As of March 31, 2025, IGM Biosciences had cash, cash equivalents, and marketable securities amounting to $152.1 million, down from $181.7 million at the end of 2024. The company’s accumulated deficit reached approximately $1.1 billion. The reduction in cash reserves was attributed to ongoing operational losses and restructuring efforts aimed at preserving cash flow. The company has indicated that it expects to continue incurring losses for the foreseeable future as it evaluates potential strategic alternatives and reorganization options.

In terms of operational developments, IGM Biosciences has undergone significant restructuring, including the termination of its collaboration agreement with Sanofi, which was announced in May 2025. This decision followed the earlier termination of oncology collaboration targets in April 2024, leading to a refocus on immunology targets. The company is currently not developing any product candidates and is assessing its strategic direction, which may include potential partnerships or licensing arrangements in the future.

The company’s workforce has been significantly reduced, with a headcount of 54 employees as of March 31, 2025, down from previous levels. This reduction is part of a broader strategy to streamline operations and extend the company’s cash runway. IGM Biosciences is also facing challenges related to the manufacturing of its product candidates, as it has suspended operations at its cGMP manufacturing facility and is now reliant on third-party manufacturers, which introduces additional risks and uncertainties.

Looking ahead, IGM Biosciences has expressed that its future funding requirements will depend on various factors, including the potential pursuit of product development efforts and the costs associated with clinical trials. The company believes that its existing financial resources will be sufficient to support operations for at least one year from the issuance date of its financial statements. However, it acknowledges the need for additional capital to finance any future development activities, which may not be available on favorable terms. The company’s ability to generate revenue remains uncertain, as it has not yet commercialized any product candidates.