Precision BioSciences Reports Significant Revenue Decline and Increased Losses in Q1 2025

Precision BioSciences, Inc. reported a significant decline in financial performance for the first quarter of 2025, with revenues dropping to $29,000 from $17.6 million in the same period of 2024. This decrease is attributed primarily to the absence of revenue from collaboration agreements that had previously contributed to earnings, including a notable $8.5 million from the TG License Agreement and a $4.5 million reduction in revenue from the Novartis Agreement. The company also recorded an operating loss of $22.1 million, compared to a loss of $4.2 million in the prior year, reflecting increased operational costs amid declining revenues.

In terms of operational changes, Precision BioSciences has shifted its focus to a single platform strategy, concentrating on in vivo gene editing therapies. This strategic pivot followed the sale of its CAR T infrastructure to Imugene Limited in August 2023, which has been reflected in the financial statements as discontinued operations. The company is now prioritizing its ARCUS genome editing platform, which is being utilized in several clinical trials, including the PBGENE-HBV program for chronic Hepatitis B, which has recently received FDA clearance to commence Phase 1 trials.

The company’s research and development expenses for the first quarter of 2025 totaled $13.6 million, slightly up from $13.3 million in the previous year. This increase was driven by higher costs associated with the PBGENE-DMD and PBGENE-3243 programs, which are in various stages of development. General and administrative expenses also rose to $8.6 million from $8.4 million, primarily due to increased employee-related costs. As of March 31, 2025, Precision BioSciences had an accumulated deficit of $503 million, underscoring the financial challenges it faces as it seeks to advance its product candidates.

Looking ahead, Precision BioSciences anticipates continued operational losses as it invests in the development of its gene editing programs. The company reported a cash balance of $99.8 million as of March 31, 2025, which it believes will be sufficient to fund operations into the second half of 2026. However, the company acknowledges the need for additional funding to support ongoing research and development efforts, and it may pursue various financing options, including equity or debt financing, to meet its capital requirements. The outlook remains cautious, with management emphasizing the inherent risks and uncertainties associated with the development of therapeutic products.