Xilio Therapeutics 2025 Q2 Earnings Improved EPS Amid Wider Net Loss

Xilio Therapeutics (XLO) reported its fiscal 2025 Q2 earnings on August 14th, 2025. The company posted strong revenue growth and improved earnings per share, though its net loss expanded. The results highlight a mixed performance for the biotech firm.

The company’s results fell short of expectations, as it failed to beat consensus revenue estimates in the last four quarters. No guidance was provided for future revenue or earnings, leaving uncertainty for investors. Despite the revenue increase, the widening net loss raises concerns about long-term profitability.

Revenue
Xilio Therapeutics posted a 243.0% year-over-year increase in total revenue, reaching $8.08 million in 2025 Q2, compared to $2.36 million in 2024 Q2. The sharp growth reflects progress in the company’s pipeline and strategic partnerships.

Earnings/Net Income
The company narrowed its per-share loss to $0.16 in 2025 Q2 from $0.24 in 2024 Q2, representing a 33.3% improvement in EPS. However, the net loss widened to $15.84 million from $13.93 million in the prior year, a 13.8% increase. This highlights the continued heavy investment in research and development.

Price Action
The stock edged down 0.34% during the latest trading day, gained 7.22% over the past week, and declined 1.46% month-to-date. XLO’s stock has underperformed the broader market, down 25.2% year-to-date versus the S&P 500’s 10% gain.

Post-Earnings Price Action Review
The stock experienced poor performance following the release of its quarterly earnings over the past three years, with no consistent positive returns for buy-and-hold strategies post-earnings. Historical data suggests the stock’s immediate price movement remains heavily influenced by management commentary and future expectations. The company has consistently missed revenue estimates over the last four quarters, which may have contributed to the underwhelming post-earnings performance.

CEO Commentary
René Russo, Pharm.D., president and CEO of Xilio, emphasized the company’s strong pipeline progress and strategic positioning after recent financing. He highlighted the development of masked T cell engager molecules, with first development candidates expected in 2025. Russo also noted encouraging updates for XTX301 in partnership with Gilead and the differentiated safety profile of vilastobart, which is expected to report additional Phase 2 data in early 2026.

Guidance
Xilio expects to submit an IND application for XTX501 by mid-2026. The company’s cash runway is estimated to extend through the end of Q3 2026, with $121.6 million in cash and cash equivalents as of June 30, 2025. However, the company has not provided specific revenue or earnings guidance.

Additional News
On August 15, 2025, the U.S. government approved a $346 million Foreign Military Sale to Nigeria, including munitions and precision weapons. Meanwhile, political tensions flared in Benue State following the suspension of the State Universal Basic Education Board chair. In health news, Médecins Sans Frontières raised alarm over 1,500 cholera cases in Zamfara State. Nigerian diaspora remittances hit $21 billion in 2024, according to the International Organization for Migration.