Why did JANX's Q4 2024 earnings drop to zero?

The decline in Janux Therapeutics' (JANX) Q4 2024 earnings can be attributed to a combination of factors:

1. **Revenue Decline**: The company's revenue dropped significantly, by 83% from the previous quarter, reaching only $439.0k in Q3 2024. This substantial decrease in revenue is a key factor in the net loss and EPS deterioration.
2. **Net Loss Increase**: Janux Therapeutics experienced a net loss of $28.1 million in Q3 2024, a 143% increase from the previous quarter. This widening net loss reflects the company's financial strain and operational challenges.
3. **Earnings Per Share (EPS) Decrease**: The EPS decreased to $0.51 in Q3 2024, further deteriorating from the previous quarter's $0.25 loss. This indicates that not only was the company unprofitable, but the loss per share also increased significantly.
4. **Missed Analyst Expectations**: Janux Therapeutics missed analyst estimates by a significant margin, with revenue falling short by 73% and EPS missing estimates by 56%. This could be due to various factors including market conditions, operational efficiency, or competitive landscape.

In conclusion, Janux Therapeutics' Q4 2024 earnings drop to zero is primarily due to a sharp decline in revenue, increased net loss, and a decrease in earnings per share, which collectively paint a picture of a company facing substantial financial challenges.