SpringWorks Therapeutics Reports 134% Revenue Growth and Announces Merger with Merck KGaA

SpringWorks Therapeutics, Inc. reported significant financial developments in its latest 10-Q filing for the quarter ending March 31, 2025. The company generated total revenue of $49.1 million, a substantial increase of 134% compared to $21.0 million in the same period last year. This growth was primarily driven by the commercial launch of its two FDA-approved products, OGSIVEO® and GOMEKLI™, which contributed $44.1 million and $4.9 million in product revenue, respectively. Despite this revenue growth, SpringWorks reported a net loss of $83.2 million, slightly improved from a net loss of $87.4 million in the prior year, reflecting ongoing investments in commercialization and research.

The company’s operating expenses rose to $129.6 million, up 13% from $114.9 million in the previous year. This increase was largely attributed to a 27% rise in selling, general, and administrative expenses, which reached $76.5 million, driven by costs associated with the launch of GOMEKLI and ongoing commercialization efforts for OGSIVEO. Research and development expenses decreased by 8% to $49.6 million, reflecting a strategic shift in resource allocation as the company focuses on its commercial products.

In terms of operational metrics, SpringWorks reported a decrease in cash and cash equivalents to $63.8 million from $69.8 million at the end of 2024. The company also held marketable securities totaling $318.9 million, down from $392.2 million at the end of the previous fiscal year. The decline in cash and marketable securities was influenced by the company's ongoing operational losses and investments in product development and commercialization. As of March 31, 2025, SpringWorks had an accumulated deficit of $1.2 billion, consistent with its historical trend of operating losses.

Strategically, SpringWorks announced a merger agreement with Merck KGaA, which is expected to enhance its operational capabilities and market reach. Under the terms of the agreement, each share of SpringWorks common stock will be converted into cash valued at $47.00 upon the merger's completion. The merger is subject to customary closing conditions, including shareholder approval. This strategic move is anticipated to provide SpringWorks with additional resources to support its ongoing product development and commercialization efforts.

Looking ahead, SpringWorks remains focused on expanding the market presence of OGSIVEO and GOMEKLI, with plans to launch OGSIVEO in Europe and explore additional territories for both products. The company expects to achieve profitability in the first half of 2026, contingent on the successful commercialization of its products and continued investment in its research and development pipeline.