Tevogen Bio Reports $10.4 Million Net Loss in Q1 2025, Decreases Operating Expenses

Tevogen Bio Holdings Inc. reported a net loss of $10.4 million for the first quarter of 2025, a significant decrease from a net income of $11.3 million in the same period of 2024. The company's total operating expenses for the quarter were $10.4 million, down from $29.5 million year-over-year, primarily due to a reduction in research and development costs, which fell from $20.8 million to $3.2 million. This decline was largely attributed to decreased stock-based compensation expenses associated with the company's merger activities.

The company’s financial position showed an increase in total assets, which rose to $4.1 million as of March 31, 2025, compared to $3.5 million at the end of 2024. Current assets also increased to $3.1 million, driven by a rise in cash reserves to $2.0 million from $1.3 million. However, total liabilities increased to $11.8 million, up from $10.1 million, largely due to the assumption of notes payable and the establishment of a loan agreement with The Patel Family, which provided a line of credit of up to $36 million.

Tevogen Bio has made strategic advancements, including the completion of a Phase 1 proof-of-concept trial for its lead product, TVGN 489, aimed at treating high-risk COVID-19 patients. The company has also entered into a Master Services and Facilities Agreement with CD8 Technology Services LLC to enhance its manufacturing capabilities. As of March 31, 2025, the company had 183.9 million shares of common stock outstanding, reflecting an increase from 178 million shares at the end of 2024.

Operationally, Tevogen Bio has not yet generated revenue and continues to rely on external funding sources, including a $2 million grant from KRHP LLC and a commitment for an additional $8 million. The company anticipates that its current cash position, combined with available credit and grant funding, will sustain operations for at least the next 12 months. However, it acknowledges the need for further capital to support ongoing research and development activities and to prepare for potential commercialization of its product candidates.

Looking ahead, Tevogen Bio remains focused on advancing its clinical trials and expanding its product pipeline. The company is exploring various funding strategies, including private placements and partnerships, to secure the necessary resources for its growth initiatives. The management emphasizes the importance of obtaining regulatory approvals and achieving market acceptance for its therapies to drive future revenue generation.