What caused VTGN's Q1 2025 EPS to plummet?

Vistagen Therapeutics Inc. (VTGN) experienced a significant decline in its Q1 2025 EPS, primarily due to **increased Research and Development (R&D) Expenses** and **Impairment Losses**: 1. **R&D Expenses**: The company's R&D expenses amounted to $11.31 million for the quarter, which is a substantial increase from the previous year's $4.537 million. This rise is primarily attributed to the ongoing clinical trials and preparations for new studies. The pharmaceutical industry is known for its high R&D costs, and Vistagen's increased spending reflects its efforts to advance its product pipeline. However, these costs are directly impacting the net income, as the company reported a net loss of $10.73 million for the quarter. |code|Ticker|Name|Date|R&D Expenses|market_code| |---|---|---|---|---|---| |VTGN|VTGN.O|Vistagen|2024 Q2|3851000|186| |VTGN|VTGN.O|Vistagen|2024 Q3|4537000|186| |VTGN|VTGN.O|Vistagen|2024 Q4|7436600|186| |VTGN|VTGN.O|Vistagen|2025 Q1|7648000|186| 2. **Impairment Losses**: In addition to the R&D expenses, Vistagen also incurred impairment losses, which contributed to the net loss. The exact amount of impairment losses was not provided, but it is clear that these losses, along with the increased R&D costs, played a significant role in the company's financial performance during the quarter. Overall, the combination of increased R&D expenses and impairment losses resulted in a significant negative impact on Vistagen's Q1 2025 EPS.