Precigen 2025 Q2 Earnings Significant Net Loss Reduction

Generated by AI AgentAinvest Earnings Report Digest
Wednesday, Aug 13, 2025 11:13 am ET1min read
Aime RobotAime Summary

- Precigen reported Q2 2025 earnings with a 54.7% reduction in net losses to -$26.64M and 16.8% revenue growth to $822K.

- Service revenue ($781K) dominated performance, while CEO highlighted PRGN-2012's FDA Priority Review with August 27 PDUFA date.

- Stock rose 3.45% post-earnings but showed weak post-earnings momentum with 1.44% CAGR, underperforming benchmarks.

- Company announced 20%+ workforce reductions and lean operating model amid strategic realignment for commercialization readiness.

Precigen reported its Q2 2025 earnings on August 12, showing a significant improvement in net loss compared to the same period in 2024. The results narrowly met expectations, though the company did not issue new financial guidance. The CEO highlighted a strategic focus on key clinical development, with no adjustments to financial forecasts.

Revenue
Total revenue for in Q2 2025 increased by 16.8% to $822,000, up from $704,000 in Q2 2024. Within the revenue breakdown, product sales contributed $41,000, while service revenue accounted for the majority at $781,000. Other revenue sources added $34,000, bringing the total revenue to $856,000. The performance across segments highlights a strong contribution from services, supported by a more diversified revenue stream.

Earnings/Net Income
Precigen narrowed its losses to $0.09 per share in Q2 2025, an improvement of 60.9% from a loss of $0.23 per share in the prior year. On the net income front, the company reduced its net loss to -$26.64 million, representing a 54.7% reduction from the $-58.79 million loss in Q2 2024. While the company remains unprofitable, the substantial reduction in losses is a positive sign.

Price Action
Precigen’s stock price rose 3.45% on the latest trading day, but dropped 6.74% over the most recent full trading week and edged down 1.64% month-to-date.

Post-Earnings Price Action Review
The strategy of purchasing Precigen shares after the revenue-positive quarter and holding for 30 days yielded a modest CAGR of 1.44%, underperforming the benchmark by 42.10%. Despite a maximum drawdown of 0.00% and a Sharpe ratio of 0.02, the strategy indicated minimal risk but limited returns, suggesting that post-earnings momentum did not strongly favor the stock.

CEO Commentary
Helen Sabzevari, CEO of Precigen, emphasized the company’s focus on its lead candidate, PRGN-2012, an AdenoVerse®-based HPV6/11 therapeutic vaccine for recurrent respiratory papillomatosis (RRP). The candidate has received FDA Priority Review with a PDUFA date of August 27, 2025. Sabzevari highlighted the clinical data, including a 51% complete response rate and an 86% reduction in surgical procedures, as significant progress. The CEO expressed cautious optimism about the regulatory pathway and the potential for commercial success in an underserved patient population.

Guidance
Precigen did not provide specific quantitative financial guidance for future periods but outlined a lean operating model and a strategic realignment that included over 20% workforce reductions. The company remains focused on supporting the potential commercialization of PRGN-2012 and key clinical and regulatory milestones.

Additional News
Within three weeks of the earnings report, Precigen did not announce any mergers, acquisitions, or significant C-level changes. The company also did not issue any dividend or share repurchase news. There were no notable corporate updates outside of its ongoing clinical development and strategic realignment efforts.

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