Recursion(RXRX) - 2025 Q1 - Quarterly Results

Financial Performance - Total revenue for Q1 2025 was $15 million, a 7$14 million in Q1 2024, primarily due to collaborative agreements with Sanofi, Roche, and Merck KGaA[15] - Total revenue for Q1 2025 was $14,745,000, a 6.9$13,794,000 in Q1 2024[21] - Operating revenue increased to $14,818,000 in Q1 2025 from$13,491,000 in Q1 2024, reflecting a growth of 9.8%[21] - Net loss for Q1 2025 was $202.5 million, compared to a net loss of$91.4 million in Q1 2024[15] - Net loss for Q1 2025 was $202,487,000, compared to a net loss of$91,373,000 in Q1 2024, representing an increase in loss of 121.5%[21] Research and Development - Research and development expenses rose to $130 million in Q1 2025, up 91$68 million in Q1 2024, driven by the agreement with Tempus and the business combination with Exscientia[15] - Research and development expenses surged to $129,634,000 in Q1 2025, up 91.9$67,560,000 in Q1 2024[21] - Preliminary data from the REC-4881 study showed a median 43% reduction in polyp burden in familial adenomatous polyposis patients[6] - The collaboration with Roche and Genentech has generated five phenomaps from over one trillion iPSC-derived cells, enhancing the company's AI/ML models[9] Cash and Assets - Cash and cash equivalents were $509 million as of March 31, 2025, down from$603 million at the end of 2024[15] - Total current assets decreased to $584,145,000 as of March 31, 2025, down from$714,269,000 at the end of 2024[23] - The expected cash burn for 2025 is projected to be equal to or less than $450 million, down from approximately$606 million in 2024[15] - Cash burn for Q1 2025 was reported at $118,000,000, a decrease from$606,000,000 in 2024[25] - The company has a projected cash runway into mid-2027 based on its current business plan[15] Equity and Liabilities - Total liabilities decreased to $371,287,000 as of March 31, 2025, compared to$413,816,000 at the end of 2024[23] - Stockholders' equity decreased to $933,947,000 as of March 31, 2025, down from$1,034,782,000 at the end of 2024[23] - The company reported a weighted-average share count of 402,771,972 for Q1 2025, an increase from 236,019,349 in Q1 2024[21] Strategic Focus - Recursion is focusing on a streamlined portfolio of 5+ clinical and preclinical programs in oncology and rare diseases, deprioritizing 3 clinical and 1 preclinical program[5] - The company is focused on leveraging technology-driven approaches to enhance drug discovery and aims to deliver effective therapies in high-need areas[26] - The company achieved a $7 million milestone payment from its collaboration with Sanofi, with potential for over$300 million in additional milestone payments[8]