Pulmatrix Reports No Revenue and $1.8 Million Net Loss in Q1 2025 Amid Merger Plans

Pulmatrix, Inc. reported significant financial changes in its latest 10-Q filing for the quarter ending March 31, 2025. The company recorded no revenue during this period, a decrease from $5.9 million in the same quarter of the previous year. This decline is attributed to the completion of the wind-down of the PUR1900 Phase 2b clinical trial, which had previously generated revenue. Operating expenses for the quarter totaled $1.8 million, down from $5.1 million in the prior year, primarily due to reduced research and development costs following the termination of most of its R&D staff after a transaction with MannKind Corporation.

The company reported a net loss of $1.8 million for the first quarter of 2025, compared to a net income of $825,000 in the same period of 2024. The loss per share attributable to common stockholders was $(0.50), a significant shift from earnings of $0.23 per share in the previous year. The decrease in operating expenses was largely due to a reduction in employment costs and a decrease in spending on the PUR1900 program, which has been fully wound down.

In terms of strategic developments, Pulmatrix is in the process of merging with Cullgen Inc., a move that is expected to significantly alter its operational landscape. The merger agreement, which has been amended to streamline the transaction process, is subject to approval from both companies' stockholders and regulatory bodies. If completed, Cullgen will become a wholly owned subsidiary of Pulmatrix, and the combined entity will focus on advancing their respective product pipelines, including Pulmatrix's proprietary iSPERSE™ technology.

Operationally, Pulmatrix has paused the development of its product candidates, including PUR3100 and PUR1800, while it seeks to monetize its existing clinical assets. The company’s cash and cash equivalents stood at $7.7 million as of March 31, 2025, which it believes will fund operations for at least the next twelve months. However, the company acknowledges that it will require additional funding to continue its development programs and to support the merger process.

Looking ahead, Pulmatrix's future operations are heavily dependent on the successful completion of the merger with Cullgen and the potential monetization of its clinical assets. The company has indicated that if the merger does not proceed as planned, it may consider dissolution and liquidation. The management remains cautious about the uncertainties surrounding the merger and the ongoing need for substantial funding to support its strategic objectives.