What drove Verve's gross profit growth last quarter?

Verve Therapeutics' gross profit grew by $13.08 million last quarter, primarily driven by **increased collaboration revenue** and **effective cost management**:

1. **Collaboration Revenue Growth**: Verve Therapeutics experienced a significant increase in collaboration revenue, reaching $32.3 million for the full year 2024, up from $11.8 million in 2023. This growth is primarily attributed to enhanced research services and the development of new partnerships. The company's collaboration revenue growth is a key factor in its gross profit increase, indicating a successful strategy to leverage partnerships for financial benefit.
2. **Cost Management**: Despite the increase in research and development (R&D) expenses, which rose to $55.0 million in Q4 2024, Verve Therapeutics managed to maintain a positive gross profit. This suggests that the company has implemented effective cost management strategies, ensuring that its revenue growth outpaces its cost increases. The ability to manage costs while driving revenue is crucial for maintaining profitability and positive cash flow.

In summary, Verve Therapeutics' gross profit growth last quarter was primarily driven by increased collaboration revenue and effective cost management. These factors, combined with strategic investments in R&D, have positioned the company for continued growth and advancement in the genetic medicines sector.