Entrada Therapeutics' Revenue Estimates Cut by 57% Amid Weaker Q1 Results

Entrada Therapeutics reported disappointing Q4 results, with statutory earnings missing forecasts by 76% and a per-share loss of $1.04, 23% below prior forecasts. Analysts have cut their estimates, with revenues expected to be $34.1m in 2025, a 57% reduction from the previous year, and per-share losses reaching $3.53. The consensus price target fell 9.8% to $18.50.

Entrada Therapeutics, Inc. (TRDA) reported its fourth-quarter 2024 financial results, which fell short of analyst expectations. The company reported a statutory earnings loss of $1.04 per share, 23% below prior forecasts of $0.86 per share [1]. This marks a significant decline compared to the year-ago earnings of $1.55 per share. The quarterly report represents an earnings surprise of -20.93%, as the company missed the Zacks Consensus Estimate by 76% [1].

Revenue for the quarter ended June 2025 was $1.95 million, a substantial drop from year-ago revenues of $94.69 million. This represents a 78.02% miss of the Zacks Consensus Estimate [1]. Over the past four quarters, Entrada Therapeutics has exceeded consensus EPS estimates three times [1].

Analysts have revised their estimates for the company. The consensus revenue estimate for 2025 has been cut to $34.1 million, a 57% reduction from the previous year [1]. The consensus price target has fallen to $18.50, a 9.8% decrease from prior levels [1].

The company's Q4 results reflect a challenging period for Entrada Therapeutics. Despite reporting a significant loss, the company maintains a strong cash position of $354 million, providing a runway into Q2 2027 [2]. This financial cushion is crucial as the company continues to advance its clinical programs for Duchenne muscular dystrophy (DMD).

The company's clinical pipeline remains robust, with key milestones achieved in its ELEVATE-44-201 and ELEVATE-45-201 trials. The first patient in ELEVATE-44-201 was dosed, and data from this cohort is expected in H1 2026. ELEVATE-45-201 is on track to dose its first patient in Q3 2025 [2].

Entrada Therapeutics has also expanded its leadership team, with key appointments to strengthen its medical affairs and clinical development capabilities [2]. These strategic moves aim to support the company's expanding pipeline while maintaining financial discipline.

The company's stock has lost approximately 66.3% since the beginning of the year, compared to the S&P 500's gain of 7.1% [1]. The immediate price movement of the stock will depend on management's commentary on the earnings call and future earnings expectations.

Investors should closely monitor the company's earnings outlook and estimate revisions to gauge the stock's near-term performance. The current consensus EPS estimate for the coming quarter is -$0.93 on $8.54 million in revenues, and for the current fiscal year, it is -$3.18 on $44.01 million in revenues [1].

The outlook for the Medical - Biomedical and Genetics industry, which Entrada Therapeutics belongs to, is currently in the bottom 42% of the 250 plus Zacks industries [1]. The top 50% of Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.

In conclusion, Entrada Therapeutics reported a significant loss in Q4 2024, with analysts cutting their estimates. However, the company maintains a strong cash position and continues to advance its clinical pipeline. Investors should closely monitor the company's earnings outlook and estimate revisions to assess its near-term performance.

References:
[1] https://www.nasdaq.com/articles/entrada-therapeutics-inc-trda-reports-q2-loss-lags-revenue-estimates
[2] https://www.stocktitan.net/news/TRDA/entrada-therapeutics-reports-second-quarter-2025-financial-nyq4651jnxvr.html