Evoke Pharma 2025 Q3 Earnings 52.1% EPS Improvement Amid 61.4% Revenue Growth

Evoke Pharma reported a 61.4% year-over-year revenue increase to $4.28 million in Q3 2025, driven by expanded pharmacy partnerships and product exclusivity. While the company narrowed its net loss by 11.9% to $1.16 million, it remains unprofitable for the fifth consecutive year. The acquisition of QOL Medical is expected to close by year-end, with current liquidity projected to fund operations through Q4 2026.

Revenue

Net product sales surged 61.4% year-over-year to $4.28 million in Q3 2025, representing the entirety of the company’s total revenue. This growth was fueled by strategic partnerships with Omnicell and Brentwood Pharmacy, which expanded access to GIMOTI, the company’s flagship gastrointestinal treatment.

Earnings/Net Income

Evoke Pharma reduced its net loss to $1.16 million in Q3 2025, a 11.9% improvement from $1.31 million in 2024. Earnings per share (EPS) also improved to -$0.45 from -$0.94, reflecting better cost management. However, the company continues to report losses for the fifth consecutive year, underscoring ongoing financial challenges. The EPS improvement is positive but insufficient to offset long-term profitability concerns.

Price Action

The stock price of Evoke Pharma edged up 0.09% in the latest trading day and gained 0.56% over the past week. Notably, the stock surged 126.48% month-to-date, reflecting investor optimism around the QOL Medical acquisition and recent revenue growth.

Post-Earnings Price Action Review

The strategy of buying Evoke Pharma shares on the date of its revenue raise announcement and holding for 30 days resulted in a significant loss. Although the initial announcement drove a short-term price increase, the subsequent 30-day period coincided with a sharp decline, erasing gains and leaving investors with substantial losses. This suggests market skepticism about the company’s long-term viability or valuation pressures, despite the revenue growth and acquisition news.

CEO Commentary

Matt D’Onofrio, CEO of Evoke Pharma, emphasized the 61.4% year-over-year net product sales increase to $4.3 million in Q3 2025, attributing the growth to expanded pharmacy access and GIMOTI’s extended exclusivity until 2038. He highlighted the QOL Medical acquisition as a value-creating opportunity, expressing confidence in the GIMOTI franchise’s potential to drive future growth under new leadership.

Guidance

Evoke Pharma expects the QOL Medical acquisition to close in Q4 2025, pending shareholder approval. The company’s $11.6 million cash balance, combined with projected product revenues, is anticipated to fund operations through Q4 2026. Management reiterated focus on commercial execution and post-merger growth opportunities but provided no explicit revenue or EPS guidance.

Additional News

Evoke Pharma announced a strategic acquisition by QOL Medical, positioning the GIMOTI franchise for expanded growth under new leadership. CEO Matt D’Onofrio highlighted partnerships with Omnicell and Brentwood Pharmacy, which broadened GIMOTI’s market access. Additionally, the company’s Altman Z-Score indicates potential financial distress, raising concerns about its long-term stability despite recent revenue gains.