iBio Reports Fiscal Third Quarter 2025 Financial Results

Rhea-AI Summary

iBio (IBIO) reported its fiscal Q3 2025 financial results and corporate updates. The company reported a net loss of $4.9 million ($0.49 per share) compared to $2.6 million ($0.71 per share) in Q3 2024. R&D expenses increased to $1.9 million from $0.9 million, while G&A expenses rose to $3.0 million from $2.7 million.

Key developments include: uplisting to Nasdaq, promising non-human primate data for IBIO-600 (anti-myostatin antibody), in-licensing of a first-in-class Activin E antibody from AstralBio, and raising $6.2 million through warrant inducement. Cash position stood at $5.2 million as of March 31, 2025, increasing to $10.5 million by May 1, 2025 post-warrant transaction.

Positive

• Successful uplisting to Nasdaq exchange, potentially improving visibility and trading liquidity
• Raised $6.2 million through warrant inducement to strengthen balance sheet
• Positive non-human primate data for IBIO-600 showing extended half-life and muscle growth
• Pipeline expansion through in-licensing of Activin E antibody showing promising fat-selective weight loss results

Negative

• Net loss increased to $4.9 million from $2.6 million year-over-year
• R&D expenses more than doubled to $1.9 million
• G&A expenses increased to $3.0 million
• Relatively low cash position of $5.2 million before warrant transaction

Insights

Biotech Financial Analyst

iBio shows promising pipeline progress but faces financial constraints with doubled R&D expenses and limited cash runway despite recent $6.2M raise.

iBio's Q3 2025 financial results reveal both strategic progress and fiscal challenges. The company's uplisting to Nasdaq represents a positive corporate milestone aimed at improving visibility and attracting institutional investors. However, their bottom line reveals concerning trends with net loss widening to $4.9 million ($0.49 per share) from $2.6 million ($0.71 per share) year-over-year – an 88% increase in total losses despite a lower per-share figure due to dilution.

This accelerated cash burn stems primarily from R&D expenses more than doubling to $1.9 million, reflecting increased investment in their IBIO-600 and Activin E programs. The $6.2 million warrant-inducement transaction in April effectively doubled their cash position from $5.2 million to $10.5 million. At the current quarterly burn rate of approximately $4.9 million, this cash infusion provides runway for roughly two quarters, indicating additional financing will likely be needed to reach their 2026 regulatory submission target for IBIO-600.

G&A expenses grew by $0.3 million to $3.0 million, comprising 61% of total operating expenses – a high proportion for a development-stage biotech. While the company's focus on cardiometabolic disease and obesity addresses valuable markets, their financial position creates significant constraints on developmental timelines without additional capital infusions.

Pharmaceutical R&D Expert

iBio's dual-asset strategy targets lucrative obesity/metabolic markets with promising preclinical data, but remains years from potential commercialization.

iBio's pipeline developments show strategic positioning in the competitive cardiometabolic and obesity therapeutic landscape. Their lead candidate IBIO-600, a long-acting anti-myostatin antibody, demonstrated two critical attributes in non-human primate studies: extended half-life and dose-dependent muscle growth. These characteristics suggest potential differentiation as muscle preservation becomes increasingly important alongside weight management – addressing a key limitation of current obesity treatments that often result in muscle loss.

The newly in-licensed first-in-class Activin E antibody from AstralBio represents a calculated expansion of their metabolic portfolio. The preliminary data indicating fat-selective weight loss, both alone and in combination with semaglutide (GLP-1 class), positions iBio within the rapidly evolving obesity market. This combination approach aligns with the industry shift toward multi-modal therapies aimed at enhancing efficacy while potentially reducing side effects of any single agent.

Both programs remain in preclinical development, with IBIO-600 targeted for regulatory submission in 2026. The doubling of R&D expenses to $1.9 million reflects the company's commitment to advancing these programs, though significant development hurdles remain before clinical validation. While these mechanisms show promise, the highly competitive obesity therapeutic landscape features numerous well-funded competitors with more advanced programs, creating substantial execution challenges despite the potentially differentiated approach.

SAN DIEGO, May 02, 2025 (GLOBE NEWSWIRE) -- iBio, Inc. (Nasdaq:IBIO), today reported financial results for the third quarter ended March 31, 2025, and provided a corporate update on its progress.

“During the third quarter we were able to broaden our access to investors given our move to Nasdaq and subsequently in April, strengthened our financial position with a $6.2 million warrant-inducement equity raise, positioning us for continued growth and keeping us on track for regulatory submission of IBIO-600 in 2026,” said Martin Brenner, Ph.D., DVM, iBio’s Chief Executive Officer and Chief Scientific Officer. “At the same time, we made significant strides in our pipeline, with promising non-human primate data for IBIO-600 and the in-licensing of a first-in-class Activin E antibody, two antibodies we truly believe are bringing us closer to fulfilling our mission of delivering transformative therapies to patients suffering from cardiometabolic diseases and obesity.”

Fiscal Third Quarter 2025 & Recent Corporate Updates:

• Began trading on the Nasdaq Stock Exchange under the ticker symbol “IBIO,” marking a significant corporate milestone that enhances visibility, improves trading liquidity, and aligns with the company’s strategy to attract long-term institutional investors.

• Reported non-human primate data for IBIO-600, a potentially best-in-class long-acting anti-myostatin antibody, demonstrating extended half-life and dose dependent muscle growth. Simultaneously, iBio announced interim in vivo results for a first-in-class Activin E antibody showing fat-selective weight loss alone and in combination with semaglutide.

• In-licensed the aforementioned first-in-class Activin E-targeting antibody from AstralBio, expanding iBio’s cardiometabolic and obesity pipeline.

• Raised $6.2 million in gross proceeds through a warrant inducement transaction with institutional investors, strengthening our balance sheet and providing additional working capital to support advancements in our pipeline.
  

Fiscal Third Quarter 2025 Financial Results:

• R&D expenses for the three months ending March 31, 2025 and 2024 were $1.9 million and $0.9 million, respectively, an increase of approximately $1.0 million. The growth in R&D expenses is mainly due to increased spending on consultants and outside services, consumable supplies, and personnel-related costs as a result of advancing research activities to support our IBIO-600 and Activin E programs.

• G&A expenses for the three months ending March 31, 2025 and 2024 were approximately $3.0 million and $2.7 million, respectively, an increase of $0.3 million. The increase is primarily attributable to growth in IT related costs, consulting fees and franchise taxes, partially offset by lower professional service fees.

• Net loss from continuing operations for the three months ending March 31, 2025 was approximately $4.9 million, or $0.49 per share, compared to a net loss from continuing operations of approximately $2.6 million, or $0.71 per share, in the same period of fiscal 2024.

• Cash, cash equivalents and restricted cash as of March 31, 2025, was approximately $5.2 million, inclusive of $0.2 million of restricted cash.   Subsequent to the warrant inducement transaction in April, cash, cash equivalents and restricted cash was approximately $10.5 million as of May 1, 2025.
  

About iBio, Inc.

iBio (Nadaq: IBIO) is a cutting-edge biotech company leveraging AI and advanced computational biology to develop next-generation biopharmaceuticals for cardiometabolic diseases, obesity, cancer and other hard-to-treat diseases. By combining proprietary 3D modeling with innovative drug discovery platforms, iBio is creating a pipeline of breakthrough antibody treatments to address significant unmet medical needs. Our mission is to transform drug discovery, accelerate development timelines, and unlock new possibilities in precision medicine.  For more information, visit www.ibioinc.com or follow us on LinkedIn.

Safe Harbor Statement

Any statements contained in this press release about future expectations, plans, and prospects, as well as any other statements regarding matters that are not historical facts, may constitute “forward-looking statements.” The words “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “intend,” “may,” “plan,” “potential,” “predict,” “project,” “should,” “target,” “will,” “would” and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. These statements include statements regarding the events of the quarter ended March 31, 2025 and April 2025 positioning the Company for continued growth; the Company's progress toward a regulatory submission of IBIO-600 in 2026; the promise of the non-human primate data for IBIO-600; IBIO-600 and Activin E antibody bringing the Company closer to delivering transformative therapies; the Company's listing on Nasdaq enhancing visibility, improving trading liquidity, and attracting long-term institutional investors; IBIO-600's potential to be a best-in-class long-acting anti-myostatin antibody; and the proceeds of the warrant inducement transaction being used to support advancements to the Company's pipeline. Actual results may differ materially from those indicated by such forward-looking statements as a result of various important factors, including iBio’s ability to submit a regulatory submission of iBIo-600 in 2026; to successfully develop iBIO-600 and Activin E antibody; attract long term institutional investors; -leverage its AI-driven platform to transform the treatment landscape for patients with cardiometabolic diseases and obesity with more effective, targeted therapies addressing the underlying causes of these conditions while improving overall metabolic health and quality of life; extend the half-life of IBIO-600; advance as a clinical-stage biotech; create a pipeline of breakthrough antibody treatments to address significant unmet medical needs; and transform drug discovery, accelerate development timelines, and unlock new possibilities in precision medicine the ability to advance iBio’s internal pipeline priorities in immuno-oncology and cardiometabolics, and drive partnerships in new therapeutic areas, the ability to finance when needed and the risk factors described in the Company’s Annual Report on Form 10-K for the year ended June 30, 2024, and the Company’s subsequent filings with the SEC, including subsequent periodic reports on Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. Any forward-looking statements contained in this press release speak only as of the date hereof and, except as required by federal securities laws, iBio, Inc. specifically disclaims any obligation to update any forward-looking statement, whether as a result of new information, future events, or otherwise.

Corporate Contact:

iBio, Inc.
Investor Relations
ir@ibioinc.com

Media Contacts:

Ignacio Guerrero-Ros, Ph.D., or David Schull
Russo Partners, LLC
Ignacio.guerrero-ros@russopartnersllc.com
David.schull@russopartnersllc.com
(858) 717-2310 or (646) 942-5604

FAQ

What were iBio's (IBIO) Q3 2025 financial results?

iBio reported a net loss of $4.9 million ($0.49 per share), with R&D expenses of $1.9 million and G&A expenses of $3.0 million. Cash position was $5.2 million as of March 31, 2025.

How much did iBio (IBIO) raise in their warrant inducement transaction?

iBio raised $6.2 million in gross proceeds through a warrant inducement transaction with institutional investors in April 2025.

What are the key pipeline developments for iBio (IBIO)?

iBio reported positive non-human primate data for IBIO-600 (anti-myostatin antibody) and in-licensed a first-in-class Activin E antibody showing promising fat-selective weight loss results.

When does iBio (IBIO) plan to submit IBIO-600 for regulatory approval?

iBio is on track for regulatory submission of IBIO-600 in 2026.

What was iBio's (IBIO) cash position after the warrant transaction?

After the warrant inducement transaction, iBio's cash position increased to approximately $10.5 million as of May 1, 2025.