Champions Oncology Q4 2025 Earnings Call Transcript

Champions Oncology reported Q4 2025 earnings, with details to be discussed during the earnings call. The company will be joined by David Miller. The call is recorded and will be followed by a Q&A session.

Champions Oncology Inc. (CSBR) reported its Q4 2025 earnings during a recorded earnings call, with CEO Ronnie Morris and CFO David Miller present. The company highlighted several key milestones and strategic initiatives, while also addressing the challenges faced in the current market environment.

Key Highlights:

1. Return to Profitability: Champions Oncology reported a record total revenue of $57 million for fiscal 2025, marking a 14% increase from the previous year. The company returned to profitability after a challenging fiscal 2024, with an adjusted EBITDA profit of $7.1 million.

2. Data Licensing Deal: The company successfully closed its inaugural data licensing deal, contributing $4.7 million in data revenue. This deal underscores the potential of the company's rich multi-omic functional PDX databank.

3. Radio Pharmaceutical Services Platform: Champions Oncology launched its radio pharmaceutical services platform, offering high-margin workflows (50-60%) and clinically relevant PDX tumor models. This platform is expected to drive high-margin business opportunities.

4. Financial Health: The company ended the year with $9.8 million in cash and remains debt-free, indicating strong financial health.

Challenges and Outlook:

1. Weaker Q4 Revenue: The fourth quarter revenue was weaker both sequentially and compared to the same quarter last year, with revenue declining to $12.1 million.

2. Gross Margin Decline: Gross margin for the fourth quarter declined to 41% from 48% in Q4 2024, due to lower revenue on a relatively unchanged cost base.

3. Operating Expenses: Operating expenses for the quarter rose by 7%, driven by increased sales and marketing costs.

4. Market Environment: The current market environment remains tight, with ongoing macroeconomic headwinds affecting biotech and pharma R&D budgets.

Future Expectations:

1. Fiscal 2026: The company remains cautiously optimistic about the next few quarters and the upcoming year, with expectations for sequential revenue growth and an adjusted EBITDA profit.

2. Data Licensing Pipeline: The data licensing business is still early, but the pipeline is growing. Licensing revenue is expected to remain in the same range for the next year, with potential growth thereafter.

3. Capital Allocation: Future investments will focus on creating and expanding data sets, which will be revenue-producing. The company does not foresee significant capital expenditures outside of this area.

Conclusion:

Champions Oncology Inc. reported a strong fiscal 2025, marked by significant milestones and strategic initiatives. Despite the challenges faced in the current market environment, the company remains optimistic about its future prospects. Investors should keep an eye on the company's progress in data licensing and the expansion of its radio pharmaceutical services platform.

References:

1. [Champions Oncology Inc. Earnings Call Transcript](https://finance.yahoo.com/news/champions-oncology-inc-csbr-q4-071158977.html)
2. [Reuters News Summary](https://www.tradingview.com/news/reuters.com,2025:newsml_L8N3TL29Y:0-champions-oncology-inc-reports-results-for-the-quarter-ended-april-30-earnings-summary/)
3. [MarketBeat Earnings Report](https://www.marketbeat.com/earnings/reports/2025-7-23-champions-oncology-inc-stock/)