Spero Therapeutics 2025 Q3 Earnings 56.9% Net Loss Reduction to $7.38M

Spero Therapeutics (SPRO) reported Q3 2025 results marked by a 56.9% reduction in net loss to $7.38 million and a $0.12 beat on GAAP EPS. The company’s cash runway now extends into 2028, driven by cost-cutting measures and progress on its tebipenem HBr FDA filing timeline.

Revenue

Total revenue declined 59.6% year-over-year to $5.44 million, driven by reduced collaboration revenue with GSK and lower grant funding. Grant revenue accounted for $2.39 million, while collaboration revenue with related parties contributed $3.05 million.

Earnings/Net Income

The company narrowed its loss to $0.13 per share in Q3 2025, a 59.4% improvement from $0.32 in Q3 2024. Net loss decreased to $7.38 million (vs. $17.15 million in Q3 2024), reflecting disciplined cost management. Despite this progress, Spero has sustained losses for nine consecutive years, underscoring ongoing financial challenges.

Price Action

Spero’s stock edged up 0.84% on the latest trading day but fell 2.03% for the week and 3.21% month-to-date.

Post-Earnings Price Action Review

A historical strategy of buying SPRO shares on the day of a revenue beat and holding for 30 days yielded cumulative gains of 23.4% over the past three years, outperforming the NASDAQ Composite’s 14.6%. This suggests short-term momentum potential post-positive earnings surprises.

CEO Commentary

CEO Esther Rajavelu highlighted the Phase 3 PIVOT-PO trial success for tebipenem HBr and collaboration with GSK to submit an FDA filing in Q4 2025. The drug’s potential as an oral alternative to IV therapies for cUTI could address unmet medical needs and reduce hospital stays.

Guidance

Spero expects cash reserves of $48.6 million (as of Sept. 30, 2025) to fund operations into 2028. R&D expenses fell to $8.6 million (vs. $26.9 million in Q3 2024), and G&A expenses dropped to $4.2 million (vs. $5.2 million in Q3 2024).

Additional News

1. CEO Share Surrender: Esther Rajavelu, Spero’s CEO, surrendered 40,270 shares ($95,440) to cover tax obligations, leaving her with 869,450 direct shares.

2. PIVOT-PO Trial Update: Spero’s Phase 3 results for tebipenem HBr were presented at IDWeek 2025, with GSK planning an FDA filing in Q4 2025.

3. Cash Runway Extension: The company confirmed $48.6 million in cash as of Sept. 30, 2025, sufficient to fund operations until 2028.

Image Suggestion: Graph showing SPRO’s stock price trends alongside key milestones (e.g., PIVOT-PO trial results, FDA filing dates).