Armata Pharmaceuticals Announces Fourth Quarter and Full-Year 2025 Financial Results

Rhea-AI Summary

Armata Pharmaceuticals (NYSE American: ARMP) reported fourth-quarter and full-year 2025 results for the period ended December 31, 2025. Key fourth-quarter figures include a net loss of $124.3 million (loss per share $(3.42)), cash and equivalents of $14.1 million, grant revenue of $1.1 million, and R&D expense of approximately $6.1 million.

The quarter included a $105.8 million non-cash fair-value loss on a convertible loan and a $5.4 million impairment on leased facilities. Debt maturities were extended to June 1, 2027 and Innoviva warrants were amended to expire January 26, 2031. Auditor included a going-concern explanatory paragraph.

Positive

• R&D expense declined by ~28% versus prior year quarter
• Debt maturities extended to June 1, 2027
• Innoviva warrants expiration extended to January 26, 2031

Negative

• Net loss of $124.3 million in Q4 2025
• Non-cash fair-value loss on convertible loan of $105.8 million
• Cash and restricted cash of $14.1 million at December 31, 2025
• Auditor included a going-concern explanatory paragraph
• Impairment expense of $5.4 million related to leased space

News Market Reaction – ARMP

+8.59%

9 alerts

+8.59% News Effect

+6.4% Peak Tracked

-14.0% Trough Tracked

+$27M Valuation Impact

$346.59M Market Cap

1.1x Rel. Volume

On the day this news was published, ARMP gained 8.59%, reflecting a notable positive market reaction. Argus tracked a peak move of +6.4% during that session. Argus tracked a trough of -14.0% from its starting point during tracking. Our momentum scanner triggered 9 alerts that day, indicating moderate trading interest and price volatility. This price movement added approximately $27M to the company's valuation, bringing the market cap to $346.59M at that time.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Grant revenue: $1.1 million R&D expenses: $6.1 million Impairment expense: $5.4 million +5 more

8 metrics

Grant revenue $1.1 million Q4 2025, vs $1.2 million in Q4 2024

R&D expenses $6.1 million Q4 2025, down from ~$8.5 million in Q4 2024

Impairment expense $5.4 million Full-year 2025, Marina del Rey lease impairment

Loss from operations $13.8 million Q4 2025, vs ~$10.5 million loss in Q4 2024

Net loss $124.3 million Q4 2025, includes large non-cash convertible loan loss

EPS (basic & diluted) $(3.42) per share Q4 2025, vs $0.07 basic in Q4 2024

Cash & equivalents $14.1 million As of Dec 31, 2025, vs $14.8 million a year earlier

Shares outstanding 36.6 million Common shares outstanding as of March 18, 2026

Market Reality Check

Price: $10.24 Vol: Volume 18,969 is 0.54x th...

low vol

$10.24 Last Close

Volume Volume 18,969 is 0.54x the 20-day average (35,327), indicating muted pre-news activity. low

Technical Shares are trading above the 200-day MA, at $8.21 versus a 200-day MA of $5.08.

Peers on Argus

No peers appeared in the momentum scanner. Among tracked biotech peers, some wer...

No peers appeared in the momentum scanner. Among tracked biotech peers, some were up and others down, suggesting stock-specific factors rather than a coordinated sector move.

Common Catalyst Earnings-related updates, as a peer (EQ) also reported quarterly and full-year 2025 results today.

Previous Earnings Reports

5 past events · Latest: Nov 12 (Positive)

Same Type Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Nov 12	Q3 2025 earnings	Positive	-4.6%	Q3 2025 results plus positive AP-SA02 data and new secured loan.
Aug 12	Q2 2025 earnings	Positive	+1.6%	Q2 2025 results with diSArm topline data and new credit agreement.
May 14	Q1 2025 earnings	Positive	+1.4%	Q1 2025 results plus funding agreements and lower R&D expenses.
Mar 20	Q4 2024 earnings	Positive	-10.9%	Q4 2024 results with positive AP-PA02 Phase 2 Tailwind data.
Nov 13	Q3 2024 earnings	Positive	-1.5%	Q3 2024 results and completion of key AP-PA02 and AP-SA02 trials.

Pattern Detected

Earnings and corporate updates often produced negative or mixed price reactions, even when operational or clinical updates were positive.

Recent Company History

Over the past five earnings releases from Nov 2024 through Nov 2025, Armata repeatedly paired financial results with substantial clinical and operational milestones, including positive AP‑SA02 diSArm data, progress in AP‑PA02, and new secured credit agreements. Despite generally constructive clinical narratives, shares reacted negatively on three of five earnings days, including a -10.95% move after Q4 2024 and -4.63% after Q3 2025. Today’s 2025 results continue that pattern of significant R&D activity against a constrained balance sheet.

Historical Comparison

-2.8% avg move · Past five earnings-related releases saw an average move of -2.79%, often skewing negative despite co...

earnings

-2.8%

Average Historical Move earnings

Past five earnings-related releases saw an average move of -2.79%, often skewing negative despite constructive clinical updates, framing expectations for market reaction to these 2025 results.

Earnings events have tracked AP-SA02’s advancement from Phase 1b/2a results toward a planned Phase 3 and the build-out of cGMP capacity, supported by recurring credit agreements and non-dilutive funding.

Regulatory & Risk Context

Active S-3 Shelf · $100,000,000

Shelf Active

Active S-3 Shelf Registration 2025-08-13

$100,000,000 registered capacity

An effective S-3 shelf filed on Aug 13, 2025 registered up to $100,000,000 of securities, with at least one 424B5 takedown. The prospectus highlights substantial doubt about the company’s ability to continue as a going concern and a need for significant additional financing, indicating ongoing capacity and intent to raise capital through securities issuance.

Market Pulse Summary

The stock moved +8.6% in the session following this news. A strong positive reaction aligns with pri...

Analysis

The stock moved +8.6% in the session following this news. A strong positive reaction aligns with prior episodes where encouraging clinical or strategic updates partly offset weak financial metrics. However, the Q4 2025 results include a $124.3 million net loss, a $5.4 million impairment, and an audit going‑concern paragraph. An active $100,000,000 shelf and extended Innoviva credit agreements highlight ongoing financing needs, which could temper sustainability if future capital raises become more dilutive.

Key Terms

bacteriophage, convertible loan, non-cancelable operating lease, debt extinguishment, +4 more

8 terms

bacteriophage medical

"bacteriophage therapeutics for the treatment of antibiotic-resistant and difficult-to-treat"

A bacteriophage is a virus that infects and kills specific bacteria, acting like a precision tool that targets only certain bacterial strains. For investors, bacteriophage-based products matter because they represent an alternative to traditional antibiotics, potentially addressing drug-resistant infections and creating new markets in healthcare and agriculture; success or failure in development and regulation can sharply affect the value of companies working in this field.

convertible loan financial

"changes in fair value of convertible loan of $105.8 million, as compared to a"

A convertible loan is money lent to a company that can later be changed into shares instead of being repaid in cash. For investors it combines the safety of a loan—priority for repayment if things go wrong—with the potential upside of owning part of the company if its value rises; think of it as lending money that can be swapped for a slice of the company pie under pre-agreed terms. It matters because it affects returns and how much ownership existing shareholders will have.

non-cancelable operating lease financial

"space under a non-cancelable operating lease in Marina del Rey, California."

A non-cancelable operating lease is a rental agreement a company cannot end early without significant penalty, requiring it to make agreed payments for the lease term while using the asset (like office space or equipment). For investors, this matters because those committed payments are future cash obligations that affect a company’s cash flow, borrowing capacity and financial health—similar to having a fixed monthly bill that reduces available funds for other uses.

debt extinguishment financial

"non-cash gain from debt extinguishment of $2.2 million for the comparable period"

Debt extinguishment is the process of eliminating a company's obligation to repay borrowed money, whether by paying it off, refinancing it with new borrowing, or settling it for less than the original amount. For investors, it matters because removing or replacing debt changes a business’s cash needs, risk profile and reported profit—much like paying off a mortgage early or refinancing at a different rate alters your monthly budget and long‑term costs.

warrants financial

"amended certain outstanding Innoviva warrants to extend their expiration dates"

Warrants are special documents that give you the right to buy a company's stock at a set price before a certain date. They are often used as a way for companies to attract investors or raise money, and their value can increase if the company's stock price goes up.

restricted stock unit financial

"obligations tied to restricted stock unit settlement. Following this transaction,"

A restricted stock unit is a promise from a company to give an employee shares of stock after certain conditions are met, like staying with the company for a set amount of time. It’s like earning a bonus that turns into company stock once you’ve proven your commitment, making it a way to motivate and reward employees.

going concern financial

"paragraph relating to the Company's ability to continue as a going concern."

A going concern is a business that is expected to continue its operations and meet its obligations for the foreseeable future, rather than shutting down or selling off assets. This assumption matters to investors because it indicates stability and ongoing profitability, making the business a more reliable investment. Think of it as believing a restaurant will stay open and serve customers, rather than closing down suddenly.

credit agreement financial

"amendments to the March 2025 Credit Agreement, the 2024 Credit Agreement, the"

A credit agreement is a written loan contract between a borrower and a bank or other lender that lays out how much money can be borrowed, the interest rate, repayment schedule, fees, and the rules the borrower must follow. For investors, it matters because those terms affect a company’s cash costs, borrowing flexibility and risk of default — similar to how a mortgage’s rules determine a homeowner’s monthly budget and freedom to make changes.

AI-generated analysis. Not financial advice.

LOS ANGELES, March 25, 2026 /PRNewswire/ -- Armata Pharmaceuticals, Inc. (NYSE American: ARMP) ("Armata" or the "Company"), a late clinical-stage biotechnology company focused on the development of high-purity, pathogen-specific bacteriophage therapeutics for the treatment of antibiotic-resistant and difficult-to-treat bacterial infections, today announced financial results for its fourth quarter and full-year ended December 31, 2025.

Fourth Quarter 2025 Financial Results

Grant Revenue. The Company recognized grant revenue of $1.1 million for the three months ended December 31, 2025 as compared to $1.2 million in the comparable period in 2024, which represents MTEC's share of the costs incurred for the Company's AP-SA02 program for the treatment of Staphylococcus aureus bacteremia.

Research and Development. Research and development expenses for the three months ended December 31, 2025 were approximately $6.1 million as compared to approximately $8.5 million for the comparable period in 2024. The decrease was primarily driven by lower clinical trial activity, including reduced spend on AP-PA02 and AP-SA02 programs, as well as lower personnel-related costs compared to the prior year period.

General and Administrative. General and administrative expenses for the three months ended December 31, 2025 were approximately $3.4 million as compared to approximately $3.3 million for the comparable period in 2024. The increase was mainly related to an increase of $0.2 million in legal expenses during the fourth quarter of 2025, offset in part by a decrease of $0.1 million in lease expense.

Impairment Expenses. During the year ended December 31, 2025, we recognized a $5.4 million impairment expense related to our office and research and development space under a non-cancelable operating lease in Marina del Rey, California. The impairment resulted from changes in the anticipated timeline in our plan to sublease the vacated space. There was no impairment of long-lived assets during the year ended December 31, 2024.

Loss from Operations. Loss from operations for the three months ended December 31, 2025 was approximately $13.8 million as compared to a loss from operations of approximately $10.5 million for the comparable period in 2024. The increase in operating loss was primarily driven by the $5.4 million impairment charge recognized in the current period, partially offset by lower research and development expenses.

Net Income (Loss). The net loss for the fourth quarter of 2025 was $124.3 million, or $(3.42) per share on a basic and diluted basis, as compared to a net income of $2.6 million, or $0.07 per share on a basic and $(0.23) per share on a diluted basis, for the comparable period in 2024. The net loss for the quarter ended December 31, 2025 included non-cash loss from the changes in fair value of convertible loan of $105.8 million, as compared to a non-cash gain from the changes in fair value of convertible loan of $14.2 million for the comparable period in 2024, non-cash impairment expense of $5.4 million and non-cash gain from debt extinguishment of $2.2 million for the comparable period in 2024.

Cash and Equivalents. As of December 31, 2025, Armata held approximately $14.1 million of cash and cash equivalents and restricted cash, as compared to $14.8 million as of December 31, 2024.

On January 23, 2026, Armata entered into amendments to the March 2025 Credit Agreement, the 2024 Credit Agreement, the 2023 Credit Agreement, and the Convertible Credit Agreement with Innoviva Strategic Opportunities LLC, extending the maturity dates to June 1, 2027. In addition, the Company amended certain outstanding Innoviva warrants to extend their expiration dates to January 26, 2031, and amended the related voting agreement to align with the revised warrant expiration date or FDA approval, as applicable.

The Company's audited financial statements for the year ended December 31, 2025, included in its Annual Report on Form 10-K, contain an audit opinion from its independent registered public accounting firm that includes an explanatory paragraph relating to the Company's ability to continue as a going concern. This announcement is made pursuant to the disclosure requirements of NYSE American Company Guide Sections 401(h) and 610(b).

As of March 18, 2026, there were approximately 36.6 million common shares outstanding.

About Armata Pharmaceuticals, Inc.

Armata is a late clinical-stage biotechnology company focused on the development of high-purity pathogen-specific bacteriophage therapeutics for the treatment of antibiotic-resistant and difficult-to-treat bacterial infections using its proprietary bacteriophage-based technology. Armata is developing and advancing a broad pipeline of natural and synthetic phage candidates, including clinical candidates for Pseudomonas aeruginosa, Staphylococcus aureus, and other pathogens. Armata is committed to advancing phage therapy with drug development expertise that spans bench to clinic including in-house phage-specific current Good Manufacturing Practices manufacturing to support full commercialization.

Forward Looking Statements
This communication contains "forward-looking" statements as defined by the Private Securities Litigation Reform Act of 1995. These statements relate to future events, results or to Armata's future financial performance and involve known and unknown risks, uncertainties and other factors which may cause Armata's actual results, performance or events to be materially different from any future results, performance or events expressed or implied by the forward-looking statements. In some cases, you can identify these statements by terms such as "anticipate," "believe," "could," "estimate," "expect," "intend," "may," "plan," "potential," "predict," "project," "should," "will," "would" or the negative of those terms, and similar expressions. These forward-looking statements reflect management's beliefs and views with respect to future events and are based on estimates and assumptions as of the date of this communication and are subject to risks and uncertainties including risks related to Armata's development of bacteriophage-based therapies; Armata's planned clinical trials; ability to staff and maintain its production facilities under fully compliant cGMP; ability to meet anticipated milestones in the development and testing of the relevant product; ability to be a leader in the development of phage-based therapeutics; ability to achieve its vision, including improvements through engineering and success of clinical trials; ability to successfully complete preclinical and clinical development of, and obtain regulatory approval of its product candidates and commercialize any approved products on its expected timeframes or at all; and Armata's estimates regarding anticipated operating losses, capital requirements and needs for additional funds. Additional risks and uncertainties relating to Armata and its business can be found under the caption "Risk Factors" and elsewhere in Armata's filings and reports with the U.S. Securities and Exchange Commission (the "SEC"), including in Armata's Annual Report on Form 10-K, filed with the SEC on March 25, 2026, and in its subsequent filings with the SEC.

Armata expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in Armata's expectations with regard thereto or any change in events, conditions or circumstances on which any such statements are based.

Media Contacts:

At Armata:
Pierre Kyme
ir@armatapharma.com
310-665-2928

Investor Relations:
Joyce Allaire
LifeSci Advisors, LLC
jallaire@lifesciadvisors.com
212-915-2569

Armata Pharmaceuticals, Inc. Condensed Consolidated Balance Sheets (in thousands)
		December 31, 2025			December 31, 2024
Assets
Current assets
Cash and cash equivalents		$	8,688		$	9,291
Prepaid expenses and other current assets			1,508			1,273
Other receivables			472			744
Total current assets			10,668			11,308
Property and equipment, net			12,194			13,241
Operating lease right-of-use asset			33,911			41,687
Intangible assets, net			13,746			13,746
Other long term assets			6,363			6,455
Total assets		$	76,882		$	86,437
Liabilities and stockholders' deficit
Accounts payable, accrued and other current liabilities		$	8,947		$	9,295
Term debt, current			—			38,954
Total current liabilities			8,947			48,249
Convertible loan, non-current			153,860			32,897
Term debt, non-current			103,061			22,539
Operating lease liabilities, net of current portion			26,533			27,694
Deferred tax liability			3,077			3,077
Total liabilities			295,478			134,456
Total stockholders' deficit			(218,596)			(48,019)
Total liabilities and stockholders' deficit		$	76,882		$	86,437

 

Armata Pharmaceuticals, Inc. Condensed Consolidated Statements of Operations (in thousands, except share and per share data)
	Year Ended December 31,
	2025			2024
Grant and award revenue	$	4,904		$	5,174
Operating expenses
Research and development		23,717			34,426
General and administrative		12,409			13,184
Impairment expense		5,412			—
Total operating expenses		41,538			47,610
Operating loss		(36,634)			(42,436)
Other income (expense)
Interest income		388			697
Interest expense		(16,590)			(10,742)
Change in fair value of the Convertible Loan		(120,963)			31,399
Gain on debt and the Convertible Loan extinguishments		—			2,166
Total other income (expense), net		(137,165)			23,520
Net loss	$	(173,799)		$	(18,916)
Per share information:
Net loss per share, basic	$	(4.80)		$	(0.52)
Weighted average shares outstanding, basic		36,239,253			36,160,848
Net loss per share, diluted	$	(4.80)		$	(0.89)
Weighted average shares outstanding, diluted		36,239,253			59,059,971

 

Armata Pharmaceuticals, Inc. Condensed Consolidated Statements of Cash Flows (in thousands)
	Year Ended December 31,
	2025		2024
Operating activities:
Net loss	$        (173,799)		$        (18,916)
Adjustments required to reconcile net loss to net cash used in operating activities:
Depreciation expense	1,531		1,325
Stock-based compensation expense	2,610		2,893
Change in fair value of the Convertible Loan	120,963		(31,399)
Non-cash interest expense	16,568		10,758
Impairment expense	5,412		-
Gain on debt and Convertible Loan extinguishments	-		(2,166)
Change in right-of-use asset	2,364		2,053
Changes in operating assets and liabilities	(1,412)		(2,099)
Net cash used in operating activities	(25,763)		(37,551)
Investing activities:
Purchases of property and equipment	(542)		(1,879)
Net cash used in investing activities	(542)		(1,879)
Financing activities:
Proceeds from issuance of term debt, net of issuance costs	25,000		34,889
Payments for taxes related to net share settlement of equity awards	(46)		(61)
Proceeds from exercise of stock options	658		130
Net cash provided by financing activities	25,612		34,958
Net decrease in cash, cash equivalents and restricted cash	(693)		(4,472)
Cash, cash equivalents and restricted cash, beginning of period	14,771		19,243
Cash, cash equivalents and restricted cash, end of period	$             14,078		$          14,771
Cash and cash equivalents	$               8,688		$            9,291
Restricted cash	5,390		5,480
Cash, cash equivalents and restricted cash	$             14,078		$          14,771

 

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SOURCE Armata Pharmaceuticals, Inc.

FAQ

What was Armata Pharmaceuticals (ARMP) net loss for Q4 2025?

Armata reported a Q4 2025 net loss of $124.3 million, or $(3.42) per share. According to the company, the quarter included a $105.8 million non-cash fair-value loss on a convertible loan and a $5.4 million impairment charge.

How much cash did ARMP have at December 31, 2025 and is liquidity a concern?

Armata held $14.1 million of cash and restricted cash at December 31, 2025. According to the company, the audited financials include a going-concern explanatory paragraph highlighting continued liquidity risk.

What changes did ARMP make to its debt and warrants after year end?

On January 23, 2026, Armata extended debt maturities to June 1, 2027 and amended Innoviva warrants to expire on January 26, 2031. According to the company, related voting agreements were aligned with those dates or FDA approval.

Why did Armata record an impairment in 2025 and how large was it?

Armata recognized a $5.4 million impairment related to office and R&D leased space. According to the company, the impairment resulted from changes in the anticipated timeline to sublease the vacated Marina del Rey space.

How did Armata's research and development spending change in Q4 2025?

R&D expense was approximately $6.1 million in Q4 2025 versus about $8.5 million a year earlier, a decline of roughly 28%. According to the company, lower clinical trial activity and reduced personnel costs drove the decrease.

How many Armata common shares were outstanding as of March 18, 2026?

As of March 18, 2026, there were approximately 36.6 million common shares outstanding. According to the company, this reflects shares outstanding reported after year-end and amendments to financing agreements.