Sarepta Therapeutics Reports 80% Revenue Growth but $447.5 Million Net Loss in Latest Quarter

Sarepta Therapeutics, Inc. reported significant financial changes in its latest 10-Q filing for the quarter ending March 31, 2025. The company generated total revenues of $744.9 million, a substantial increase of 80% compared to $413.5 million in the same period last year. This growth was primarily driven by a 70% rise in product revenues, which reached $611.5 million, largely attributed to the strong performance of its gene therapy product, ELEVIDYS, which saw revenues of $375 million, up from $134 million in the previous year. Collaboration and other revenues also surged, increasing by 147% to $133.3 million, reflecting a $112 million recognition from a collaboration agreement with Roche.

Despite the revenue growth, Sarepta reported a net loss of $447.5 million for the quarter, a stark contrast to a net income of $36.1 million in the prior year. This loss was influenced by a dramatic rise in research and development expenses, which soared to $773.4 million, up 286% from $200.4 million a year earlier. The increase was largely due to a $583.8 million upfront payment related to a licensing agreement with Arrowhead Pharmaceuticals, which is expected to enhance Sarepta's pipeline in gene therapy and other genetic modalities.

Operationally, Sarepta's total assets decreased to $3.47 billion from $3.96 billion at the end of 2024, primarily due to a significant reduction in cash and cash equivalents, which fell from $1.1 billion to $240.9 million. The company’s current liabilities also decreased, leading to a working capital of approximately $1.83 billion. As of March 31, 2025, Sarepta had 98.3 million shares of common stock outstanding, reflecting a slight increase from the previous quarter.

Looking ahead, Sarepta remains optimistic about its operational plans, asserting that its current cash position, along with anticipated cash inflows from operations and a newly established $600 million revolving credit facility, will be sufficient to fund its operational needs for at least the next twelve months. The company is focused on advancing its gene therapy programs and expanding its market presence, particularly with the recent approval of ELEVIDYS, which is expected to play a crucial role in its future revenue generation.