Plus Therapeutics 2025 Q1 Earnings Misses Targets as Net Income Plummets 433%

Plus Therapeutics (PSTV) reported its fiscal 2025 Q1 earnings on May 30th, 2025. The company's financial performance fell short of expectations, with net loss figures widening significantly. Despite ongoing challenges, Plus Therapeutics is optimistic about its growth prospects, anticipating further grant support in 2025 to boost clinical trial enrollments and launch the CNSide® CSF assay platform. The company remains committed to advancing its pipeline and improving clinical outcomes for CNS cancer patients.

Revenue

Plus Therapeutics experienced a notable decline in total revenue, which decreased by 36.9% to $1.06 million in Q1 2025 from $1.68 million in Q1 2024. The revenue was solely derived from grant sources, contributing to the overall figure.

Earnings/Net Income

The company's earnings report revealed a deepened loss per share, increasing to $1.19 in 2025 Q1 from $0.75 in 2024 Q1, marking a 58.7% wider loss. Moreover, the net loss widened dramatically to $-17.40 million in 2025 Q1, a 433.6% increase from the $-3.26 million loss in 2024 Q1. This performance underscores ongoing financial challenges.

Post Earnings Price Action Review

The strategy of purchasing Plus Therapeutics shares after a revenue drop on the financial report release date and holding for 30 days has consistently resulted in substantial losses over the past three years. This approach has underperformed the market, failing to leverage the company's subsequent recoveries. The strategy led to significant losses of 29.77% in the first year, 46.77% in the second year, and 31.37% in the third year, while the S&P 500 gained 31.86% over the same timeframe, highlighting its poor performance relative to the market. The 30-day holding period often coincided with continued declines in PSTV's stock price, missing potential recovery opportunities that occurred months later. Moreover, relying solely on the revenue drop proved inefficient, as the stock often continued to decline post-report, indicating the event was not a reliable reversal signal.

CEO Commentary

"We improved our cash position in the first quarter as a result of both a financing and grant support," said Marc H. Hedrick, M.D., President and Chief Executive Officer of Plus Therapeutics. The company is well positioned to advance its two key business goals: enrollment in REYOBIQ™ CNS cancer radiotherapeutic clinical trials and the planned launch of the CNSide® CSF assay platform. The recent financing and anticipated grant support in 2025 underscore the company's growth drivers, while the addition of experienced leaders to the management team enhances market positioning.

Guidance

The company anticipates making solid progress in 2025, focusing on increasing enrollment in its REYOBIQ™ clinical trials and launching the CNSide® CSF assay platform. Plus Therapeutics expects further grant support to bolster development efforts. The firm is committed to advancing its pipeline and enhancing clinical outcomes for CNS cancer patients, reflecting an optimistic outlook for future operations and growth initiatives.

Additional News

Plus Therapeutics recently announced key changes to its leadership team, appointing Kyle Guse to the Board of Directors and Dr. Michael Rosol as Chief Development Officer. These strategic additions aim to bolster the company's clinical and commercial capabilities. Additionally, the company received FDA Orphan Drug Designation for its lead drug, REYOBIQ™, for use in patients with leptomeningeal metastasis due to lung cancer, enhancing its regulatory profile. Plus Therapeutics is also preparing to launch its CNSide™ tumor cell enumeration test commercially in 2025, which could significantly increase the total addressable market for its products.