Why did PLRX miss earnings forecasts in 2024?

Pliant Therapeutics (PLRX) missed earnings forecasts in 2024 due to a combination of factors:

1. **Revenue Discontinuation**: The most significant factor contributing to the revenue shortfall was the discontinuation of the BEACON-IPF Phase 2b trial for bexotegrast. This decision was influenced by an imbalance in unadjudicated IPF-related adverse events between the treatment and placebo groups.
2. **Insufficient Product Sales**: The company did not generate any revenue from product sales during the reporting period, which is a critical component of earnings. The absence of revenue due to the discontinuation of the BEACON-IPF trial had a direct impact on the company's earnings, contributing to the shortfall relative to forecasts.
3. **Increased R&D Expenses**: Pliant Therapeutics reported an increase in research and development (R&D) costs, primarily attributed to the BEACON-IPF trial. This increase in expenses, coupled with the lack of revenue, further strained the company's financial performance, leading to a wider net loss.

In summary, the discontinuation of the BEACON-IPF Phase 2b trial and insufficient product sales led to a significant revenue shortfall, while increased R&D expenses exacerbated the situation, resulting in Pliant Therapeutics missing earnings forecasts in 2024.