Zura Bio Limited Reports $17.4 Million Net Loss and Increased R&D Expenses in Q1 2025

Zura Bio Limited reported significant financial results for the first quarter of 2025, with a net loss of $17.4 million, compared to a net loss of $7.7 million for the same period in 2024. The company's total operating expenses surged to $19.3 million, a 130% increase from $8.4 million in the prior year. This rise was primarily driven by a substantial increase in research and development (R&D) expenses, which reached $10.5 million, up from $3.6 million in the previous year, reflecting the company's ongoing clinical trials and development activities.

The company’s cash and cash equivalents stood at $170.6 million as of March 31, 2025, a slight decrease from $176.5 million at the end of 2024. Zura Bio's accumulated deficit increased to $173.3 million, up from $155.9 million at the end of the previous fiscal year. The increase in losses and expenses was attributed to heightened R&D costs associated with the ongoing Phase 2 clinical trials for its lead product candidate, tibulizumab, as well as general and administrative expenses related to the company's growth and operational needs.

In terms of strategic developments, Zura Bio has been actively advancing its clinical pipeline, particularly with tibulizumab, which is currently undergoing a global Phase 2 study for systemic sclerosis. The company also initiated a new Phase 2 clinical program for tibulizumab in hidradenitis suppurativa, expected to start in the second quarter of 2025. Additionally, Zura Bio has engaged a third-party contract research organization to oversee these clinical programs, indicating a strategic move to enhance its operational capabilities.

The company’s share count increased to 68.4 million Class A Ordinary Shares outstanding as of March 31, 2025, up from 65.3 million at the end of 2024. This increase was primarily due to the issuance of shares under its at-the-market (ATM) program, which generated net proceeds of $5.1 million in the first quarter. Zura Bio has also established a shelf registration statement allowing for the potential sale of up to $300 million in securities, providing a pathway for future capital raising efforts.

Looking ahead, Zura Bio anticipates continued operating losses as it invests heavily in R&D to advance its clinical candidates. The company expects to maintain sufficient liquidity to fund its operations through at least 2027, although it acknowledges the need for additional financing to support its growth and development initiatives. The ongoing clinical trials and the potential for future product approvals remain critical to the company's long-term success and financial stability.