Aprea Therapeutics 2025 Q1 Earnings Misses Targets with Net Loss Widening 39.9%

Aprea Therapeutics (APRE) reported its fiscal 2025 Q1 earnings on May 14th, 2025. Aprea Therapeutics reported a net loss of $3.93 million for Q1 2025, compared to $2.81 million in Q1 2024, and an EPS loss of $0.66 versus $0.67 in the same quarter last year. Analysts had anticipated a narrower loss, indicating results missed expectations. The company maintained its guidance for reporting preliminary efficacy data later in 2025, aligning with prior forecasts.

Revenue

Total revenue for Aprea Therapeutics in the first quarter of 2025 was $162,463, which marks a significant decrease of 57.3% from the $380,569 reported in the first quarter of 2024. The entirety of this revenue was attributed to grant income, highlighting the absence of commercial sales or other revenue streams during this period.

Earnings/Net Income

Aprea Therapeutics narrowed its loss per share to $0.66 in 2025 Q1 from $0.67 in 2024 Q1, reflecting a minor improvement of 1.5%. However, the company's net loss increased significantly to $3.93 million, a 39.9% rise from the previous year's loss of $2.81 million. This performance indicates ongoing financial challenges.

Price Action

The stock price of Aprea Therapeutics edged up by 2.00% on the latest trading day but fell 8.93% over the most recent full trading week. Month-to-date, the stock has decreased by 1.29%.

Post Earnings Price Action Review

The strategy of purchasing Aprea Therapeutics (APRE) shares following its revenue announcements and holding them for 30 days has yielded moderate returns over the past five years. This approach's risk-adjusted performance is reflected in its maximum drawdown and Sharpe ratio. The maximum drawdown of -18.3% occurred on May 14, 2025, indicating a considerable downturn in stock price, which poses a risk to investors. Despite this, the Sharpe ratio of 1.87 suggests acceptable risk-adjusted returns, indicating stability with growth potential. The strategy achieved a total return of 12.3% over five years, demonstrating modest profitability. Investors should be aware that past performance does not guarantee future outcomes and should assess their risk tolerance and investment goals before adopting such a strategy.

CEO Commentary

"2025 is off to a strong start with significant clinical progress across both of our lead therapeutic candidates," said Oren Gilad, Ph.D., President and Chief Executive Officer of Aprea. He highlighted early evidence of anti-tumor activity from ATRN-119, with three patients demonstrating tumor shrinkage of 7%, 14%, and 21%. This progress reinforces the potential of ATRN-119 to address the urgent needs of patients with DDR-deficient cancers. The company is focused on progressing to the recommended Phase 2 dose selection for ATRN-119 and is optimistic about APR-1051's advancement and preliminary efficacy data anticipated later in 2025.

Guidance

Aprea anticipates reporting preliminary efficacy data from the ACESOT-1051 trial of APR-1051 in the second half of 2025, with completion of the dose-escalation phase expected in the first half of 2026. The company intends to submit an abstract to a major oncology conference and aims to accelerate dose escalation for APR-1051, potentially improving therapeutic impact. Aprea is committed to redefining treatment options for patients with limited therapies, focusing on ATRN-119 and APR-1051 as crucial clinical assets.

Additional News

In recent developments, Aprea Therapeutics has announced a strategic collaboration with MD Anderson Cancer Center to explore APR-1051 as a potential treatment for head and neck squamous cell carcinoma (HNSCC). This partnership aims to leverage MD Anderson's expertise in head and neck cancers to advance the clinical development of APR-1051. Additionally, Aprea announced the appointment of Philippe Pultar, MD, as Senior Medical Advisor, enhancing the company's leadership team and commitment to ongoing clinical innovation. Furthermore, Aprea has engaged in a strategic evolution of its intellectual property portfolio, focusing on DNA damage response (DDR) cancer therapeutics to strengthen its competitive position and expand potential applications across various cancer types.