Precigen Reports 19.4% Revenue Growth in Q2 2025, Despite $26.6M Net Loss

Precigen, Inc. reported its financial results for the second quarter of 2025, revealing a total revenue of $856,000, a 19.4% increase from $717,000 in the same period last year. The company’s product revenues rose by 32.3% to $41,000, while service revenues increased by 16% to $781,000. For the first half of 2025, total revenues reached $2.2 million, up 23.3% from $1.8 million in the prior year. Despite this growth in revenue, Precigen incurred a net loss of $26.6 million for the quarter, a significant improvement from the $58.8 million loss reported in Q2 2024. The net loss for the first half of 2025 was $80.8 million, slightly better than the $82.5 million loss in the same period last year.

The company’s operating expenses for the second quarter decreased by 47% to $32.6 million, down from $61.6 million in the previous year. This reduction was primarily driven by a significant decrease in research and development costs, which fell by 26.8% to $11.5 million, largely due to the closure of its ActoBio operations. However, selling, general, and administrative expenses increased by 56.5% to $16.1 million, reflecting costs associated with the commercial readiness of its lead product candidate, PRGN-2012. The company also recorded a goodwill impairment charge of $3.9 million during the quarter.

In terms of strategic developments, Precigen has focused on its lead program, PRGN-2012, an investigational gene therapy for recurrent respiratory papillomatosis (RRP). The FDA has granted priority review for the Biologics License Application (BLA) for PRGN-2012, with a target action date set for August 27, 2025. The company has streamlined its operations by ceasing enrollment in certain clinical trials for other product candidates, including PRGN-3005 and PRGN-3007, to concentrate resources on PRGN-2012. This strategic shift is part of a broader effort to enhance operational efficiency and prepare for potential commercialization.

As of June 30, 2025, Precigen reported total assets of $101.9 million, a decrease from $145.3 million at the end of 2024. The company’s cash and cash equivalents stood at $13.8 million, down from $29.5 million at the end of the previous year. Precigen's accumulated deficit increased to $2.2 billion, reflecting ongoing operational losses. The company has indicated that it may need to raise additional capital to support its operations, particularly in light of its substantial cash burn and the uncertainty surrounding future revenue from product commercialization.

Looking ahead, Precigen's management expressed cautious optimism regarding the potential approval of PRGN-2012, which could significantly impact the company's financial outlook. However, they acknowledged that the company continues to face substantial doubt about its ability to continue as a going concern without additional funding. The management plans to explore various financing options, including equity offerings and strategic partnerships, to secure the necessary capital for ongoing operations and development efforts.