Aligos 2025 Q1 Earnings Record Profit as Net Income Swings 223.6% Positive

Aligos Therapeutics reported its fiscal 2025 Q1 earnings on May 06, 2025. The company demonstrated a significant turnaround in its financial performance, achieving a record net income of $43.09 million, reversing a net loss from the previous year. This result reflects a 223.6% positive swing, marking the highest fiscal Q1 net income in five years. Despite this financial achievement, the company's stock has faced declines in recent trading periods. Aligos anticipates that its ongoing initiatives, including Phase 2 studies, will continue to advance its therapeutic pipeline, with interim data expected in 2026.

Revenue
The total revenue of Aligos decreased by 68.5% to $311,000 in 2025 Q1, down from $986,000 in 2024 Q1.

Earnings/Net Income
Aligos returned to profitability with EPS of $5.12 in 2025 Q1, reversing from a loss of $5.58 per share in 2024 Q1. The net income of $43.09 million marks a positive change, reflecting strong EPS performance.

Price Action
The stock price of Aligos has plummeted 15.03% during the latest trading day, has tumbled 12.76% during the most recent full trading week, and has plummeted 29.32% month-to-date.

Post-Earnings Price Action Review
Over the past five years, the strategy of acquiring Aligos shares following a quarter-over-quarter revenue drop and holding for 30 days has resulted in significant losses. The total return on this investment was -84.60% over the last 12 months, with an even larger decline of 89.76% this year. These results highlight the ineffectiveness of this strategy, emphasizing the need for careful stock selection and consideration of broader market conditions. Investors are urged to analyze the company's fundamentals and market trends thoroughly before making investment decisions, as relying solely on historical revenue patterns can lead to unfavorable outcomes.

CEO Commentary
“We continued to make progress towards our corporate development plans aimed at advancing life-saving therapies for viral and liver diseases,” stated Lawrence Blatt, Ph.D., M.B.A., Chairman, President, and Chief Executive Officer of Aligos Therapeutics. The company has raised over $100M to initiate a Phase 2 study of ALG-000184 in chronic hepatitis B virus infection, with plans to begin dosing by mid-2025. Recent data indicates ALG-000184's potential as a first-line treatment for HBV, while ALG-055009 is demonstrating best-in-class potential for MASH. The tone of the commentary reflects an optimistic outlook towards advancing their therapeutic pipeline and securing partnerships.

Guidance
Aligos anticipates that the Phase 2 B-SUPREME study for ALG-000184 will begin in mid-2025, with interim data projected for 2026 and topline data expected in 2027. The company’s cash, cash equivalents, and investments as of March 31, 2025, totaled $137.9 million, providing sufficient funding for planned operations into the second half of 2026. For the second quarter of 2025, Aligos expects to maintain focus on advancing its pipeline and exploring additional funding options, including potential out-licensing deals for ALG-055009.

Additional News
Aligos Therapeutics announced the acceptance of eight abstracts for presentation at the European Association for the Study of the Liver (EASL) Congress 2025. These presentations will focus on key drug candidates, ALG-000184 and ALG-055009, showcasing significant advancements in liver disease treatments. Aligos is actively engaging in partnering discussions with multinational pharmaceutical companies for its MASH-targeted therapy, ALG-055009, indicating strategic interest in collaboration and non-dilutive funding opportunities. The company continues to leverage its scientific expertise to address unmet medical needs in liver and viral diseases, underscoring its commitment to innovation and patient outcomes.