What is Phathom Pharmaceuticals, Inc.'s earnings per share (EPS)?

Phathom Pharmaceuticals, Inc. (PHAT) reported diluted earnings per share of $-3.03 for fiscal year 2025. This represents a 42.7% change compared to the previous fiscal year. EPS represents the portion of a company's net income allocated to each outstanding share of common stock and is widely used to evaluate profitability on a per-share basis.

Phathom Pharmaceuticals, Inc. Financials

PHAT

Source SEC Filings (10-K/10-Q) Updated Mar 31, 2026 Currency USD FYE December

This page shows Phathom Pharmaceuticals, Inc. (PHAT) financial statements, including the income statement, balance sheet, cash flow statement, and key financial ratios. View 8 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).

Rhea AI PHAT FY2025 2026-04-30

Commercial revenue is scaling quickly, but cash burn and balance-sheet strain still show a launch being financed externally.

Revenue more than tripled into FY2025, yet operating cash burn stayed near -$167M from the prior year, which means the commercial ramp has not begun to fund itself. That gap pushed cash down to $130.0M and compressed the current ratio to 1.7x, so liquidity is tightening even while sales are expanding.

This is not a unit-economics problem: gross margin reached 87.1%, but selling and administrative expense was $279.7M, showing the commercialization build-out is still far larger than the gross profit base. R&D has eased from earlier years, so the spending burden has shifted from pure development toward launch execution.

Free cash flow was -$167.0M while capital spending was only $229K, which says the business is cash-intensive because of operating losses, not because it needs heavy physical investment. Liabilities of $697.3M against assets of $259.1M show how much of that burn has been financed rather than absorbed by the balance sheet.

Financial Health Signals

Financial Profile 35/100

Based on FY2025 annual data, averaged across the last 3 years for performance metrics (most-recent year weighted highest). How this score is calculated →

Health score ≠ stock price. This rates the quality of Phathom Pharmaceuticals, Inc.'s business: profitability, growth, balance sheet strength. It doesn't tell you whether the stock is a good buy at today's price. Not financial advice. Use it alongside valuation analysis and your own research.

Profitability

Phathom Pharmaceuticals, Inc. has an operating margin of -91.4%, meaning the company retains $-91 of operating profit per $100 of revenue. This below-average margin results in a low score of 0/100, suggesting thin profitability after operating expenses. This is up from -502.2% the prior year.

Growth

100

Phathom Pharmaceuticals, Inc.'s revenue surged 216.9% year-over-year to $175.1M, reflecting rapid business expansion. This strong growth earns a score of 100/100.

Leverage

Phathom Pharmaceuticals, Inc. carries a low D/E ratio of -0.48, meaning only $-0.48 of long-term debt for every $1 of shareholders' equity. This conservative leverage earns a score of 77/100, indicating a strong balance sheet with room for future borrowing.

Liquidity

Phathom Pharmaceuticals, Inc.'s current ratio of 1.73 indicates adequate short-term liquidity, earning a score of 31/100. The company can meet its near-term obligations, though with limited headroom.

Cash Flow

While Phathom Pharmaceuticals, Inc. generated -$166.8M in operating cash flow, capex of $229K consumed most of it, leaving -$167.0M in free cash flow. This results in a low score of 0/100, reflecting heavy capital investment rather than weak cash generation.

Piotroski F-Score Weak

3/9

Phathom Pharmaceuticals, Inc. passes 3 of 9 financial strength tests. 1 of 4 profitability signals pass, no leverage/liquidity signals pass (rising debt, declining liquidity, or share dilution), both operating efficiency signals pass.

Earnings Quality Low Quality

753.79x

For every $1 of reported earnings, Phathom Pharmaceuticals, Inc. generates $753.79 in operating cash flow (-$166.8M OCF vs -$221K net income). This low ratio suggests earnings are primarily driven by accounting accruals rather than cash generation, which may not be sustainable.

Interest Coverage At Risk

-2.3x

Phathom Pharmaceuticals, Inc. earns $-2.3 in operating income for every $1 of interest expense (-$160.0M vs $68.1M). This narrow margin raises concern about the company's ability to service its debt if operating income declines.

Key Financial Metrics

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Earnings & Revenue

Revenue

$175.1M

YoY+216.9%

Phathom Pharmaceuticals, Inc. generated $175.1M in revenue in fiscal year 2025. This represents an increase of 216.9% from the prior year.

EBITDA

-$159.4M

YoY+42.4%

Phathom Pharmaceuticals, Inc.'s EBITDA was -$159.4M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization. This represents an increase of 42.4% from the prior year.

Net Income

-$221K

YoY+33.8%

Phathom Pharmaceuticals, Inc. reported -$221K in net income in fiscal year 2025. This represents an increase of 33.8% from the prior year.

EPS (Diluted)

$-3.03

YoY+42.7%

Phathom Pharmaceuticals, Inc. earned $-3.03 per diluted share (EPS) in fiscal year 2025. This represents an increase of 42.7% from the prior year.

Cash & Balance Sheet

Free Cash Flow

-$167.0M

YoY+37.4%

Phathom Pharmaceuticals, Inc. generated -$167.0M in free cash flow in fiscal year 2025, representing cash available after capex. This represents an increase of 37.4% from the prior year.

Cash & Debt

$130.0M

YoY-56.3%

5Y CAGR-14.7%

Phathom Pharmaceuticals, Inc. held $130.0M in cash against $209.1M in long-term debt as of fiscal year 2025.

Dividends Per Share

N/A

Shares Outstanding

71M

YoY+4.2%

5Y CAGR+20.2%

Phathom Pharmaceuticals, Inc. had 71M shares outstanding in fiscal year 2025. This represents an increase of 4.2% from the prior year.

Margins & Returns

Gross Margin

87.1%

YoY+1.5pp

Phathom Pharmaceuticals, Inc.'s gross margin was 87.1% in fiscal year 2025, indicating the percentage of revenue retained after direct costs. This is up 1.5 percentage points from the prior year.

Operating Margin

-91.4%

YoY+410.8pp

Phathom Pharmaceuticals, Inc.'s operating margin was -91.4% in fiscal year 2025, reflecting core business profitability. This is up 410.8 percentage points from the prior year.

Net Margin

-0.1%

YoY+0.5pp

Phathom Pharmaceuticals, Inc.'s net profit margin was -0.1% in fiscal year 2025, showing the share of revenue converted to profit. This is up 0.5 percentage points from the prior year.

Return on Equity

N/A

Capital Allocation

R&D Spending

$32.8M

YoY-3.8%

5Y CAGR-19.7%

Phathom Pharmaceuticals, Inc. invested $32.8M in research and development in fiscal year 2025. This represents a decrease of 3.8% from the prior year.

Share Buybacks

N/A

Capital Expenditures

$229K

YoY+69.6%

5Y CAGR-26.1%

Phathom Pharmaceuticals, Inc. invested $229K in capex in fiscal year 2025, funding long-term assets and infrastructure. This represents an increase of 69.6% from the prior year.

PHAT Income Statement

Metric	FY25	FY24	FY23	FY22	FY21	FY20
Revenue	$175.1M+216.9%	$55.3M+8001.5%	$682K	$0	N/A	N/A
Cost of Revenue	$22.6M+183.4%	$8.0M+4674.3%	$167K	$0	N/A	N/A
Gross Profit	$152.5M+222.6%	$47.3M+9080.4%	$515K	$0	N/A	N/A
R&D Expenses	$32.8M-3.8%	$34.1M-31.7%	$49.9M-30.2%	$71.4M-1.2%	$72.3M-26.3%	$98.1M
SG&A Expenses	$279.7M-3.8%	$290.7M+146.5%	$117.9M+16.8%	$101.0M+61.0%	$62.7M+128.0%	$27.5M
Operating Income	-$160.0M+42.3%	-$277.5M-65.8%	-$167.3M+3.0%	-$172.4M-27.7%	-$135.1M-7.5%	-$125.7M
Interest Expense	$68.1M-5.4%	$72.0M+71.6%	$42.0M+53.7%	$27.3M+302.3%	$6.8M+48.2%	$4.6M
Income Tax	$0	$0	$0	$0	$0	$0
Net Income	-$221K+33.8%	-$334K-65.8%	-$202K+99.9%	-$197.7M-37.4%	-$143.9M-11.5%	-$129.1M
EPS (Diluted)	$-3.03+42.7%	$-5.29-34.6%	$-3.93+22.2%	$-5.05-29.8%	$-3.89	N/A

Metric	Q1'26	Q4'25	Q3'25	Q2'25	Q1'25	Q4'24	Q3'24	Q2'24
Revenue	$58.3M+1.2%	$57.6M+16.3%	$49.5M+25.3%	$39.5M+38.5%	$28.5M-3.9%	$29.7M+81.4%	$16.4M+123.3%	$7.3M
Cost of Revenue	$12.0M+56.9%	$7.6M+23.5%	$6.2M+22.9%	$5.0M+35.3%	$3.7M-2.4%	$3.8M+61.9%	$2.4M+71.2%	$1.4M
Gross Profit	$46.3M-7.3%	$49.9M+15.3%	$43.3M+25.7%	$34.5M+39.0%	$24.8M-4.1%	$25.8M+84.7%	$14.0M+135.3%	$5.9M
R&D Expenses	$7.8M+3.7%	$7.5M+6.6%	$7.0M-22.6%	$9.1M-1.2%	$9.2M+7.0%	$8.6M-1.3%	$8.7M+17.9%	$7.4M
SG&A Expenses	$54.0M+11.7%	$48.4M-6.2%	$51.6M-39.6%	$85.3M-9.7%	$94.5M+23.2%	$76.7M+0.8%	$76.1M+0.3%	$75.9M
Operating Income	-$15.5M-161.1%	-$5.9M+61.2%	-$15.3M+74.5%	-$59.9M+24.0%	-$78.9M-32.7%	-$59.4M+16.1%	-$70.8M+8.4%	-$77.3M
Interest Expense	$15.8M-3.8%	$16.4M+1.9%	$16.1M-8.0%	$17.5M-3.1%	$18.1M-2.8%	$18.6M+0.6%	$18.5M+4.1%	$17.8M
Income Tax	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Net Income	-$30.4M-115.2%	$199.9M+766.9%	-$30.0M+60.5%	-$75.8M+19.6%	-$94.3M-136.3%	$259.5M+403.3%	-$85.6M+6.4%	-$91.4M
EPS (Diluted)	$-0.37	N/A	$-0.41+61.0%	$-1.05+19.8%	$-1.31	N/A	$-1.32+15.4%	$-1.56

PHAT Balance Sheet

Metric	FY25	FY24	FY23	FY22	FY21	FY20
Total Assets	$259.1M-31.5%	$378.3M-8.6%	$413.8M+151.1%	$164.8M-13.0%	$189.4M-35.8%	$295.1M
Current Assets	$229.0M-36.4%	$360.1M-9.4%	$397.4M+147.6%	$160.5M-13.9%	$186.5M-36.0%	$291.4M
Cash & Equivalents	$130.0M-56.3%	$297.3M-22.1%	$381.4M+145.5%	$155.4M-15.2%	$183.3M-36.3%	$287.5M
Inventory	$5.5M+72.0%	$3.2M+165.6%	$1.2M	$0	N/A	N/A
Accounts Receivable	N/A	N/A	N/A	N/A	N/A	N/A
Goodwill	N/A	N/A	N/A	N/A	N/A	N/A
Total Liabilities	$697.3M+10.4%	$631.9M+29.9%	$486.6M+103.1%	$239.6M+104.3%	$117.3M+16.3%	$100.8M
Current Liabilities	$132.0M+54.0%	$85.7M+121.1%	$38.8M+47.8%	$26.2M+38.7%	$18.9M-65.9%	$55.5M
Long-Term Debt	$209.1M+3.8%	$201.4M+46.1%	$137.8M+44.7%	$95.3M+6.2%	$89.7M+126.2%	$39.6M
Total Equity	-$438.2M-72.8%	-$253.6M-248.5%	-$72.8M+2.7%	-$74.8M-203.7%	$72.2M-62.9%	$194.3M
Retained Earnings	-$1.5B-17.5%	-$1.3B-36.0%	-$928.7M-27.7%	-$727.1M-37.4%	-$529.4M-37.3%	-$385.5M

Metric	Q1'26	Q4'25	Q3'25	Q2'25	Q1'25	Q4'24	Q3'24	Q2'24
Total Assets	$305.1M+17.7%	$259.1M+7.8%	$240.3M-4.0%	$250.2M-15.0%	$294.2M-22.2%	$378.3M-2.3%	$387.0M+21.2%	$319.4M
Current Assets	$276.6M+20.8%	$229.0M+10.2%	$207.8M-5.1%	$218.9M-17.4%	$264.9M-26.4%	$360.1M-3.7%	$373.8M+22.6%	$304.8M
Cash & Equivalents	$180.9M+39.2%	$130.0M-3.8%	$135.2M-9.6%	$149.6M-29.6%	$212.3M-28.6%	$297.3M-11.2%	$334.7M+21.2%	$276.2M
Inventory	$6.5M+17.9%	$5.5M+52.8%	$3.6M+5.2%	$3.4M+8.4%	$3.2M-1.3%	$3.2M+3.1%	$3.1M+42.9%	$2.2M
Accounts Receivable	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Goodwill	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Total Liabilities	$642.1M-7.9%	$697.3M+5.2%	$662.8M+1.0%	$656.1M+3.7%	$632.6M+0.1%	$631.9M+10.1%	$574.2M+3.8%	$553.2M
Current Liabilities	$125.0M-5.3%	$132.0M+41.8%	$93.1M+1.4%	$91.8M+24.0%	$74.0M-13.6%	$85.7M+31.3%	$65.3M+38.9%	$47.0M
Long-Term Debt	$163.7M-21.7%	$209.1M+1.0%	$207.1M+1.0%	$205.1M+0.9%	$203.2M+0.9%	$201.4M+14.6%	$175.7M+0.7%	$174.4M
Total Equity	-$337.0M+23.1%	-$438.2M-3.7%	-$422.5M-4.1%	-$405.8M-19.9%	-$338.4M-33.4%	-$253.6M-35.5%	-$187.1M+20.0%	-$233.8M
Retained Earnings	-$1.5B-2.0%	-$1.5B-1.4%	-$1.5B-2.1%	-$1.4B-5.6%	-$1.4B-7.5%	-$1.3B-6.3%	-$1.2B-7.8%	-$1.1B

PHAT Cash Flow Statement

Metric	FY25	FY24	FY23	FY22	FY21	FY20
Operating Cash Flow	-$166.8M+37.5%	-$266.8M-93.9%	-$137.6M+6.1%	-$146.5M+1.3%	-$148.5M-113.0%	-$69.7M
Capital Expenditures	$229K+69.6%	$135K-91.7%	$1.6M+57.0%	$1.0M+217.4%	$328K-68.5%	$1.0M
Free Cash Flow	-$167.0M+37.4%	-$266.9M-91.7%	-$139.2M+5.7%	-$147.6M+0.8%	-$148.8M-110.4%	-$70.7M
Investing Cash Flow	-$229K-69.6%	-$135K+91.7%	-$1.6M-57.0%	-$1.0M-217.4%	-$328K+68.5%	-$1.0M
Financing Cash Flow	-$288K-100.2%	$182.8M-50.3%	$367.6M+206.2%	$120.0M+168.5%	$44.7M-60.9%	$114.5M
Dividends Paid	N/A	N/A	N/A	N/A	N/A	N/A
Share Buybacks	N/A	N/A	N/A	N/A	N/A	N/A

Metric	Q1'26	Q4'25	Q3'25	Q2'25	Q1'25	Q4'24	Q3'24	Q2'24
Operating Cash Flow	-$15.6M-212.9%	-$5.0M+64.6%	-$14.1M+77.5%	-$62.7M+26.1%	-$84.9M-33.8%	-$63.5M+0.2%	-$63.6M+10.1%	-$70.7M
Capital Expenditures	$61K-29.9%	$87K+222.2%	$27K-72.2%	$97K+438.9%	$18K+260.0%	$5K-88.6%	$44K-4.3%	$46K
Free Cash Flow	-$15.7M-208.7%	-$5.1M+64.0%	-$14.1M+77.5%	-$62.8M+26.0%	-$84.9M-33.9%	-$63.5M+0.2%	-$63.6M+10.1%	-$70.8M
Investing Cash Flow	-$61K+29.9%	-$87K-222.2%	-$27K+72.2%	-$97K-438.9%	-$18K-260.0%	-$5K+88.6%	-$44K+4.3%	-$46K
Financing Cash Flow	$66.6M+68801.0%	-$97K+64.2%	-$271K-438.8%	$80K	$0-100.0%	$26.0M-78.7%	$122.1M+392.7%	$24.8M
Dividends Paid	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Share Buybacks	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A

PHAT Financial Ratios

Metric	FY25	FY24	FY23	FY22	FY21	FY20
Gross Margin	87.1%+1.5pp	85.6%+10.1pp	75.5%	N/A	N/A	N/A
Operating Margin	-91.4%+410.8pp	-502.2%+24030.4pp	-24532.5%	N/A	N/A	N/A
Net Margin	-0.1%+0.5pp	-0.6%+28.9pp	-29.6%	N/A	N/A	N/A
Return on Equity	N/A	N/A	N/A	N/A	-199.4%-133.0pp	-66.4%
Return on Assets	-0.1%0.0pp	-0.1%-0.0pp	-0.1%+119.9pp	-120.0%-44.0pp	-76.0%-32.2pp	-43.7%
Current Ratio	1.73-2.5	4.20-6.0	10.25+4.1	6.12-3.7	9.86+4.6	5.25
Debt-to-Equity	-0.48+0.3	-0.79+1.1	-1.89-0.6	-1.27-2.5	1.24+1.0	0.20
FCF Margin	-95.4%+387.7pp	-483.1%+19929.5pp	-20412.6%	N/A	N/A	N/A

Metric	Q1'26	Q4'25	Q3'25	Q2'25	Q1'25	Q4'24	Q3'24	Q2'24
Gross Margin	79.4%-7.3pp	86.7%-0.8pp	87.5%+0.2pp	87.3%+0.3pp	86.9%-0.2pp	87.1%+1.5pp	85.6%+4.4pp	81.2%
Operating Margin	-26.6%-16.3pp	-10.3%+20.6pp	-30.9%+120.8pp	-151.7%+124.8pp	-276.5%-76.2pp	-200.3%+232.7pp	-433.0%+622.5pp	-1055.4%
Net Margin	-52.1%-399.2pp	347.1%+407.7pp	-60.6%+131.4pp	-191.9%+138.8pp	-330.7%-1205.6pp	874.9%+1398.3pp	-523.3%+725.2pp	-1248.6%
Return on Equity	N/A	N/A	N/A	N/A	N/A	N/A	N/A	N/A
Return on Assets	-10.0%-87.1pp	77.1%+89.6pp	-12.5%+17.8pp	-30.3%+1.8pp	-32.1%-100.7pp	68.6%+90.7pp	-22.1%+6.5pp	-28.6%
Current Ratio	2.21+0.5	1.73-0.5	2.23-0.2	2.38-1.2	3.58-0.6	4.20-1.5	5.73-0.8	6.48
Debt-to-Equity	-0.490.0	-0.48+0.0	-0.49+0.0	-0.51+0.1	-0.60+0.2	-0.79+0.1	-0.94-0.2	-0.75
FCF Margin	-26.9%-18.1pp	-8.8%+19.7pp	-28.6%+130.5pp	-159.0%+138.8pp	-297.9%-83.9pp	-213.9%+175.1pp	-389.1%+577.2pp	-966.2%

Note: Shareholder equity is negative (-$438.2M), which causes debt-to-equity and return on equity ratios to appear negative or not meaningful. This can occur from accumulated losses or large share buyback programs.

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Frequently Asked Questions

What is Phathom Pharmaceuticals, Inc.'s annual revenue?

Phathom Pharmaceuticals, Inc. (PHAT) reported $175.1M in total revenue for fiscal year 2025. This represents a 216.9% change compared to the previous fiscal year. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.

How fast is Phathom Pharmaceuticals, Inc.'s revenue growing?

Phathom Pharmaceuticals, Inc. (PHAT) revenue grew by 216.9% year-over-year, from $55.3M to $175.1M in fiscal year 2025.

Is Phathom Pharmaceuticals, Inc. profitable?

No, Phathom Pharmaceuticals, Inc. (PHAT) reported a net income of -$221K in fiscal year 2025, with a net profit margin of -0.1%.

What is Phathom Pharmaceuticals, Inc.'s EBITDA?

Phathom Pharmaceuticals, Inc. (PHAT) had EBITDA of -$159.4M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization.

How much debt does Phathom Pharmaceuticals, Inc. have?

As of fiscal year 2025, Phathom Pharmaceuticals, Inc. (PHAT) had $130.0M in cash and equivalents against $209.1M in long-term debt.

What is Phathom Pharmaceuticals, Inc.'s gross margin?

Phathom Pharmaceuticals, Inc. (PHAT) had a gross margin of 87.1% in fiscal year 2025, indicating the percentage of revenue retained after direct costs of goods sold.

What is Phathom Pharmaceuticals, Inc.'s operating margin?

Phathom Pharmaceuticals, Inc. (PHAT) had an operating margin of -91.4% in fiscal year 2025, reflecting the profitability of core business operations before interest and taxes.

What is Phathom Pharmaceuticals, Inc.'s net profit margin?

Phathom Pharmaceuticals, Inc. (PHAT) had a net profit margin of -0.1% in fiscal year 2025, representing the share of revenue converted into profit after all expenses.

What is Phathom Pharmaceuticals, Inc.'s free cash flow?

Phathom Pharmaceuticals, Inc. (PHAT) generated -$167.0M in free cash flow during fiscal year 2025. This represents a 37.4% change compared to the previous fiscal year. Free cash flow represents the cash a company generates after accounting for capital expenditures, and is widely used to assess financial flexibility and shareholder value.

What is Phathom Pharmaceuticals, Inc.'s operating cash flow?

Phathom Pharmaceuticals, Inc. (PHAT) generated -$166.8M in operating cash flow during fiscal year 2025, representing cash generated from core business activities.

What are Phathom Pharmaceuticals, Inc.'s total assets?

Phathom Pharmaceuticals, Inc. (PHAT) had $259.1M in total assets as of fiscal year 2025, including both current and long-term assets.

What are Phathom Pharmaceuticals, Inc.'s capital expenditures?

Phathom Pharmaceuticals, Inc. (PHAT) invested $229K in capital expenditures during fiscal year 2025, funding long-term assets and infrastructure.

How much does Phathom Pharmaceuticals, Inc. spend on research and development?

Phathom Pharmaceuticals, Inc. (PHAT) invested $32.8M in research and development during fiscal year 2025.

How many shares does Phathom Pharmaceuticals, Inc. have outstanding?

Phathom Pharmaceuticals, Inc. (PHAT) had 71M shares outstanding as of fiscal year 2025.

What is Phathom Pharmaceuticals, Inc.'s current ratio?

Phathom Pharmaceuticals, Inc. (PHAT) had a current ratio of 1.73 as of fiscal year 2025, which is generally considered healthy.

What is Phathom Pharmaceuticals, Inc.'s debt-to-equity ratio?

Phathom Pharmaceuticals, Inc. (PHAT) had a debt-to-equity ratio of -0.48 as of fiscal year 2025, measuring the company's financial leverage by comparing total debt to shareholder equity.

What is Phathom Pharmaceuticals, Inc.'s return on assets (ROA)?

Phathom Pharmaceuticals, Inc. (PHAT) had a return on assets of -0.1% for fiscal year 2025, measuring how efficiently the company uses its assets to generate profit.

What is Phathom Pharmaceuticals, Inc.'s cash runway?

Based on fiscal year 2025 data, Phathom Pharmaceuticals, Inc. (PHAT) had $130.0M in cash against an annual operating cash burn of $166.8M. This gives an estimated cash runway of approximately 9 months at the current burn rate. Cash runway measures how long a company can continue operating before running out of cash, assuming no additional funding.

Why is Phathom Pharmaceuticals, Inc.'s debt-to-equity ratio negative or unusual?

Phathom Pharmaceuticals, Inc. (PHAT) has negative shareholder equity of -$438.2M as of fiscal year 2025, which causes the debt-to-equity ratio to appear negative or not meaningful. This can occur when accumulated losses exceed invested capital, or after large share buyback programs. Other solvency metrics like the current ratio or interest coverage may be more informative.

What is Phathom Pharmaceuticals, Inc.'s Piotroski F-Score?

Phathom Pharmaceuticals, Inc. (PHAT) has a Piotroski F-Score of 3 out of 9, indicating weak financial health. The F-Score evaluates nine binary signals across profitability (positive ROA, positive cash flow, improving ROA, earnings quality), leverage (decreasing debt, improving liquidity, no share dilution), and operating efficiency (improving gross margin, improving asset turnover). Scores of 7 to 9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.

Are Phathom Pharmaceuticals, Inc.'s earnings high quality?

Phathom Pharmaceuticals, Inc. (PHAT) has an earnings quality ratio of 753.79x, considered low quality (accrual-driven). This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.

Can Phathom Pharmaceuticals, Inc. cover its interest payments?

Phathom Pharmaceuticals, Inc. (PHAT) has an interest coverage ratio of -2.3x, meaning it can struggle to cover its interest obligations. This ratio divides operating income by interest expense. Ratios above 5x indicate strong debt-servicing ability, while ratios below 2x suggest the company may face difficulty meeting interest payments if earnings decline. Learn more in our complete guide to financial health indicators.

How financially healthy is Phathom Pharmaceuticals, Inc.?

Phathom Pharmaceuticals, Inc. (PHAT) scores 35 out of 100 on our Financial Profile, indicating weak overall financial health. This composite score evaluates six dimensions: profitability (operating margin), revenue growth, leverage (debt-to-equity), liquidity (current ratio), cash flow quality (free cash flow margin), and shareholder returns (return on equity). Each dimension is normalized against standard financial benchmarks. Learn more in our complete guide to financial health indicators.