Roivant Sciences(US:ROIV)2025-11-10 12:25Financial Performance - Total revenue for the three months ended September 30, 2025, was $1,571,000, a decrease of 64.8% compared to $4,475,000 for the same period in 2024[27]. - The net loss attributable to Roivant Sciences Ltd. for the three months ended September 30, 2025, was $113,519,000, compared to a net loss of $230,184,000 for the same period in 2024, indicating a 50.7% improvement[27]. - The company reported a comprehensive loss of $163,721,000 for the three months ended September 30, 2025, compared to a comprehensive loss of $279,718,000 for the same period in 2024[31]. - For the six months ended September 30, 2025, the company reported a net loss of $439.95 million, compared to a net loss of $222.43 million for the same period in 2024, indicating a significant increase in losses[39]. - The net loss for the three months ended September 30, 2025, was $166.039 million, compared to a net loss of $279.924 million for the same period in 2024[135]. - Net loss attributable to Roivant Sciences Ltd. was $336.87 million for the six months ended September 30, 2025, compared to $134.89 million for the same period in 2024[166]. Expenses - Operating expenses for the three months ended September 30, 2025, totaled $307,804,000, down from $346,188,000 in the prior year, representing a decrease of 11.1%[27]. - Research and development expenses for the three months ended September 30, 2025, were $164,568,000, an increase of 15.0% from $143,073,000 in the same period of 2024[27]. - Total operating expenses increased by $28.1 million to $594.9 million for the six months ended September 30, 2025, compared to $566.8 million for the same period in 2024[166]. - Personnel-related expenses increased by $18.1 million for the six months ended September 30, 2025, primarily due to higher headcount for clinical studies[174]. - The company incurred share-based compensation of $163.99 million for the six months ended September 30, 2025, up from $121.86 million in the prior year[39]. Cash and Assets - Cash and cash equivalents as of September 30, 2025, were $1,237,010,000, down from $2,715,411,000 as of March 31, 2025[25]. - Total assets decreased to $5,062,598,000 as of September 30, 2025, from $5,436,940,000 as of March 31, 2025, reflecting a decline of 6.9%[25]. - Cash, cash equivalents, and marketable securities totaled approximately $4.4 billion as of September 30, 2025, following the sale of its subsidiary Telavant for approximately $5.2 billion in December 2023[44]. - The company’s cash, cash equivalents, and restricted cash decreased from $2.73 billion at the beginning of the period to $1.25 billion at the end of the period[39]. - As of September 30, 2025, total shareholders' equity was $4,805,458, with a net loss of $166,039 for the quarter[35]. Shareholder Equity - Shareholders' equity attributable to Roivant Sciences Ltd. decreased to $4,362,331,000 as of September 30, 2025, from $4,687,605,000 as of March 31, 2025, a decline of 6.9%[25]. - The company repurchased 20,269,450 common shares, leading to a reduction of $208,293 in shareholders' equity[34]. - The company issued 6,560,959 common shares related to equity incentive plans, resulting in an increase of $16,912 in additional paid-in capital[34]. - The company has $400 million remaining under its at-the-market equity offering program as of September 30, 2025[92][93]. - A new share repurchase program was authorized for up to $500 million, with no purchases made as of September 30, 2025[94]. Investments - The fair value of the Company's investment in Arbutus was $176.4 million as of September 30, 2025, up from $135.6 million as of March 31, 2025, with unrealized gains of $56.3 million recognized during the three months ended September 30, 2025[80]. - The fair value of the Company's investment in Datavant was $235.9 million as of September 30, 2025, compared to $167.4 million as of March 31, 2025, with unrealized gains of $72.2 million recognized during the three months ended September 30, 2025[82]. - The Company recognized unrealized gains of $40.8 million on its investment in Arbutus for the six months ended September 30, 2025[80]. - For the six months ended September 30, 2025, unrealized gains from investments were $109.4 million, up from $63.6 million in 2024, reflecting an increase of $45.8 million[180]. Future Outlook - The company expects to incur additional losses in the future to fund operations and conduct product research and development[45]. - The company plans to in-license multiple potentially category-leading drugs per year in the upcoming year[143]. - The NDA filing for brepocitinib in dermatomyositis is planned for the first half of calendar year 2026[146]. - The company anticipates an increase in general and administrative expenses to support potential commercialization efforts[155]. - The company expects to enter into additional collaborative research and contract agreements, which may require upfront payments and long-term capital commitments[112]. Market Risks - The company is exposed to market risks related to interest rate and foreign currency sensitivities[208]. - The company maintains a portfolio of investments in high credit quality and short-term duration securities to preserve capital[209]. - Drug development involves significant upfront investments and a substantial degree of risk, impacting the company's ability to execute its business model[222].