4D Molecular 2025 Q2 Earnings Widening Losses Amid Record Revenue

4D Molecular reported its Q2 2025 earnings on August 11, 2025, delivering a significant revenue increase but with continued net losses. The company posted a 200% year-over-year revenue jump to $15,000, driven entirely by collaboration and license revenue. However, the financial report also highlighted a 56.4% increase in net losses and a deepened per-share loss, underscoring ongoing operational challenges.

Revenue
4D Molecular achieved a remarkable 200% year-over-year increase in total revenue, reaching $15,000 in the second quarter of 2025, compared to $5,000 in the same period in 2024. This surge was fueled entirely by collaboration and license revenue, which accounted for the entirety of the company’s revenue in the reporting period.

Earnings/Net Income
The company’s net loss expanded to $54.66 million in Q2 2025, a 56.4% increase compared to the $34.95 million loss in Q2 2024. Earnings per share also worsened, with a loss of $0.98 per share compared to $0.63 per share a year ago. These figures indicate a deteriorating financial situation, as 4D Molecular continues to operate at a loss for the sixth consecutive year.

Price Action
Despite the revenue surge, the stock of 4D Molecular closed the latest trading day down by 1.60%. However, over the past week and month, the stock showed resilience with a 5.53% weekly gain and a 27.13% monthly increase, suggesting some investor optimism amid the earnings report.

Post-Earnings Price Action Review
A post-earnings strategy of buying FDMT shares on the day the report was released and holding for 30 days delivered poor results. The strategy generated a CAGR of -36.98% and an excess return of -119.50%, far below the benchmark return of 45.70%. The investment faced a maximum drawdown of 91.56% and a negative Sharpe ratio of -0.40, indicating a high-risk profile with poor risk-adjusted returns.

CEO Commentary
David Kirn, M.D., Co-founder and CEO of 4D Molecular, emphasized progress in the 4D-150 program for wet AMD, including faster-than-expected enrollment and early initiation of the 4FRONT-2 trial. The CEO also highlighted a 25% reduction in workforce as part of streamlined operations to better align resources with late-stage execution. Kirn expressed confidence in the potential of 4D-150 as a foundational genetic medicine and noted alignment with the FDA and EMA regarding a single Phase 3 trial supporting regulatory approval in both the U.S. and Europe.

Guidance
The company provided updated timelines for key clinical data, including 52-week topline results from 4FRONT-1 expected in H1 2027 (previously H2 2027) and 52-week results for 4FRONT-2 in H2 2027. Interim data from the AEROW trial for 4D-710 in cystic fibrosis is anticipated in Q4 2025, alongside 2-year and 18-month data from the PRISM trial. 4D Molecular aims to achieve a 78% reduction in injection burden compared to aflibercept for DME. The company also confirmed that $417 million in cash, cash equivalents, and marketable securities as of June 30, 2025, is expected to fund operations through 2028.

Additional News
On August 10, 2025, Nigerian rapper Odumodublvck announced his commitment to donating ₦1 billion to the Redeemed Christian Church of God if financially feasible, supporting ongoing community initiatives. In global news, Cristiano Ronaldo and Georgina Rodríguez announced their engagement after years of hints, sparking widespread media coverage. Additionally, the Nigerian Federal Government announced plans to increase domestic health funding to reduce reliance on international aid, signaling a strategic shift in public health policy.