Cardiff Oncology 2025 Q2 Earnings Financial Struggles as Net Income Declines 18.4%

Cardiff Oncology (CRDF) reported its fiscal 2025 Q2 earnings on Jul 29th, 2025. Cardiff Oncology's performance in Q2 2025 showed a mixed picture, as the company faced financial challenges with net losses increasing by 18.4% from the previous year. The company maintained its guidance, expecting its current cash resources to fund operations into Q1 2027. Despite ongoing financial pressures, Cardiff remains committed to advancing its clinical trials, particularly the CRDF-004 trial, which is key to the development of onvansertib.

Revenue

In the second quarter of 2025, Cardiff Oncology’s revenue experienced a decline, dropping by 25.8% to reach a total of $121,000. This decrease was primarily attributed to the performance in the royalty revenue segment, which matched the total revenue figure, indicating a fall from the previous year's $163,000. The reduction highlights ongoing challenges in revenue generation for the company.

Earnings/Net Income

Cardiff Oncology narrowed its loss per share to $0.21 in 2025 Q2 from $0.26 in 2024 Q2, marking a 19.2% improvement. However, its net loss widened by 18.4% to $-13.94 million compared to $-11.78 million the previous year. Despite reducing its loss per share, the overall financial health remains concerning due to the increased net loss.

Price Action

The stock price of Cardiff Oncology has tumbled 11.97% during the latest trading day, has tumbled 12.43% during the most recent full trading week, and has climbed 4.75% month-to-date.

Post-Earnings Price Action Review

The strategy of purchasing Cardiff Oncology shares after a revenue increase quarter-over-quarter on the financial report release date and holding for 30 days delivered moderate returns but underperformed the market. The strategy exhibited a compound annual growth rate (CAGR) of 3.89%, trailing the benchmark by 83.46 percentage points. Notably, the strategy demonstrated minimal risk with a maximum drawdown of 0.00% and a Sharpe ratio of 0.04, offering conservative returns that appeal to investors seeking stability. Despite the low risk, the returns were modest, indicating the strategy's underperformance relative to the broader market trends.

CEO Commentary

"In the second quarter, we achieved an important milestone by completing enrollment in our ongoing CRDF-004 trial evaluating onvansertib plus standard of care for the treatment of first-line RAS-mutated mCRC," said Mark Erlander, Chief Executive Officer of Cardiff Oncology. He emphasized the company’s transition to a late-stage clinical development focus and expressed excitement over the appointment of Dr. Roger Sidhu as Chief Medical Officer, highlighting his potential contribution to advancing onvansertib through the registrational phase. Erlander conveyed confidence in the team as they aim to bring this promising therapy to patients.

Guidance

Cardiff Oncology projects that its current cash resources of approximately $71.0 million will be sufficient to fund operations into Q1 2027. The company expects ongoing clinical trials, particularly the CRDF-004 trial, to drive further development of onvansertib. The anticipated decrease in net cash used in operating activities for the second quarter of 2025 indicates a strategic approach to managing expenses as they progress toward potential market introduction.

Additional News

Cardiff Oncology made significant strides in its leadership by appointing Dr. Roger Sidhu as the new Chief Medical Officer on June 17, 2025. Dr. Sidhu brings over 20 years of oncology leadership and clinical experience to the team, promising to enhance the company's development efforts. Additionally, Cardiff Oncology announced positive data from an investigator-initiated trial of onvansertib in combination with paclitaxel for metastatic triple-negative breast cancer, demonstrating a 40% objective response rate. Furthermore, the company expanded its intellectual property portfolio with a second patent covering the treatment of all bev-naïve patients, ensuring protection until 2043. These developments underscore Cardiff's commitment to strengthening its position in the oncology field and advancing its clinical pipeline.