Why did Replimune's operating expenses surge in Q3 2025?

Replimune's operating expenses increased significantly in Q3 2025 due to several factors: 1. **Personnel-Related Costs**: The most significant increase was due to personnel-related costs, including a $2.8 million rise in payroll and fringe benefits. This indicates a growth in the company's workforce or higher employee compensation, which can be a result of expansion, new project initiations, or strategic hiring. 2. **Consulting and Facility-Related Costs**: There was also a notable increase in consulting and facility-related costs. Consulting costs might have risen due to the need for specialized expertise in clinical trials, regulatory affairs, or commercial planning. Facility-related costs could be attributed to the expansion or optimization of existing infrastructure to support increased operational and clinical activities. 3. **Research and Development Expenses**: The company's research and development (R&D) expenses increased, likely due to the advancement of its pipeline, including the IGNYTE-3 confirmatory trial. This suggests that Replimune is investing heavily in its core science and technology to prepare for potential commercialization. 4. **Pre-Commercialization Activities**: The company's selling, general, and administrative (SG&A) expenses rose by 32% year-over-year, reaching $18 million. This increase is attributed to pre-commercialization activities, indicating preparations for the potential launch of RP1. In summary, Replimune's operating expenses surged in Q3 2025 due to strategic expansions, increased personnel and infrastructure costs, and the advancement of its R&D pipeline, all of which are critical for the company's growth and readiness for potential commercialization.