Lineage Cell Therapeutics Reports 96% Revenue Increase in Q2 2025 Amid Rising Losses

Lineage Cell Therapeutics, Inc. reported a significant increase in revenue for the second quarter of 2025, with total revenues reaching $2.765 million, a 96% increase from $1.408 million in the same period last year. For the first half of 2025, revenues totaled $4.267 million, up 50% from $2.852 million in the first half of 2024. The growth was primarily driven by collaboration revenues, particularly from the Roche Agreement, which contributed $2.532 million in the second quarter, compared to $1.098 million in the prior year. However, the company also faced increased operating expenses, which surged to $22.545 million in the second quarter, up from $7.275 million a year earlier, largely due to a $14.8 million impairment charge related to the abandonment of the VAC platform.

The company's net loss for the second quarter of 2025 was $30.464 million, compared to a loss of $5.760 million in the same quarter of 2024. This resulted in a net loss per share of $0.13, compared to $0.03 in the previous year. The substantial increase in losses was attributed to the aforementioned impairment charge and higher operational costs, including research and development expenses, which rose to $3.106 million from $2.868 million year-over-year.

In terms of strategic developments, Lineage has made notable progress in its clinical programs. The company is advancing its lead product candidate, OpRegen, which is currently in a Phase 2a clinical trial for treating geographic atrophy secondary to age-related macular degeneration. Recent presentations at Clinical Trials at The Summit 2025 highlighted positive 36-month visual acuity results from the trial, indicating the potential long-term benefits of the therapy. Additionally, the company initiated the DOSED study for its OPC1 product candidate, aimed at improving recovery from spinal cord injuries, with the first chronic patient treated in July 2025.

Operationally, Lineage's cash and cash equivalents stood at $42.3 million as of June 30, 2025, a decrease from $45.8 million at the end of 2024. The company reported negative cash flow from operations of $10.4 million for the first half of 2025, slightly improved from $10.9 million in the same period of 2024. Lineage has indicated that its current cash reserves are expected to support operations for at least the next twelve months, although it will require additional capital to fund ongoing and future clinical trials. The company has $39.97 million available under its at-the-market offering program, which it may utilize to raise further funds.

Looking ahead, Lineage remains focused on advancing its clinical programs and exploring additional funding opportunities. The company is also monitoring the impact of geopolitical factors, particularly the ongoing conflict in Israel, where its manufacturing operations are based. While operations have not been materially affected to date, Lineage acknowledges the potential risks associated with regional instability and its implications for business continuity and financial performance.