Aytu BioPharma 2025 Q4 Earnings Significant Loss Widening Despite Revenue Growth

Aytu BioPharma (AYTU) reported its fiscal 2025 Q4 earnings on Sep 23rd, 2025, revealing a 3.7% increase in revenue to $15.13 million compared to $14.59 million in the prior year period. However, the company’s net loss widened significantly to $19.82 million, or $2.92 per share, a 329.2% increase from $4.62 million in 2024 Q4. Despite missing expectations on both revenue and earnings, Aytu outlined strategic plans for its upcoming product launch, EXXUA, positioning it as a transformative catalyst for future growth.

Revenue
Aytu BioPharma's total revenue in Q4 2025 grew to $15.13 million, a 3.7% increase from $14.59 million in Q4 2024. The ADHD Portfolio, which includes Adzenys XR-ODT® and Cotempla XR-ODT®, generated $13.1 million in revenue, down slightly from $13.8 million in the prior year, primarily due to fewer prescriptions written. The Pediatric Portfolio, which includes Karbinal® ER, Poly-Vi-Flor®, and Tri-Vi-Flor®, saw strong growth, reaching $2.0 million, up from $0.8 million in 2024 Q4, driven by the company’s return-to-growth plan.

Earnings/Net Income
The company’s net loss widened dramatically to $19.82 million, or $2.92 per share, in Q4 2025 compared to a $4.62 million, or $0.82 per share, loss in Q4 2024. The increase in losses was primarily attributed to an $8.3 million impairment charge on the Pediatric Portfolio and a $9.9 million loss related to derivative warrant liabilities. Despite the losses, Aytu reported $2.0 million in adjusted EBITDA for both Q4 2025 and 2024, showing resilience in operational performance. This performance, however, was not enough to offset the significant earnings shortfall.

Price Action
Aytu BioPharma’s stock price fell 5.64% during the latest trading day but showed a 7.26% increase over the most recent full trading week. Looking at the broader time frame, the stock surged 15.14% month-to-date, indicating strong short-term investor confidence in the company's future potential, particularly with the anticipated launch of EXXUA.

Post Earnings Price Action Review
Following the earnings report, Aytu BioPharma's stock experienced mixed short-term price action, with a sharp intraday decline followed by a strong weekly rebound. The positive momentum, especially in the month-to-date performance, suggests that investors remain optimistic about the company’s strategic direction, particularly the launch of its first-in-class MDD treatment, EXXUA. The market appears to be reacting favorably to Aytu’s long-term growth prospects, despite the current financial challenges highlighted in the earnings report.

CEO Commentary
Joshua Disbrow, Aytu’s CEO, expressed confidence in the company’s future, emphasizing the strategic importance of EXXUA in transforming Aytu into a leading CNS-focused pharmaceutical company. Disbrow highlighted the product’s potential to capture a significant share of the $22 billion MDD market and underscored the company’s strengths, including its CNS-focused sales force and the RxConnect patient access platform. He also noted the resilience of the ADHD portfolio amid generic competition and expressed optimism about the company’s ability to achieve meaningful revenue growth in the coming quarters.

Guidance
Aytu BioPharma expects to launch EXXUA by the end of the calendar year and anticipates initial revenue in the March 2026 quarter, with meaningful growth expected in the June 2026 quarter and beyond. The company plans to invest approximately $10 million in the EXXUA launch in fiscal 2026, with the base business breakeven at $13.2 million in quarterly revenue. Gross contribution margin for EXXUA is projected at 69%, with a 28% royalty and associated COGS adjustments. The ADHD and pediatric portfolios are expected to maintain operational efficiency as sales and marketing efforts shift to EXXUA.

Additional News
Recent developments highlight Aytu’s strategic focus on its EXXUA launch, which is expected to be a major catalyst for growth. The company has made significant progress in finalizing product manufacturing and labeling, engaging key opinion leaders, and refining sales territory alignment and physician targeting. Additionally, Aytu has begun exploring potential lifecycle management strategies to expand upon its existing intellectual property. The company also announced plans to host a conference call and webcast on September 23, 2025, to discuss its financial results and commercial strategy in detail. These developments, combined with Aytu’s ongoing operational improvements, position the company to capitalize on the opportunities presented by the EXXUA launch and drive long-term growth.