XOMA Royalty (XOMA) Reports Q3 Loss, Tops Revenue Estimates

Company Performance - XOMA Royalty reported a quarterly loss of $0.39 per share, better than the Zacks Consensus Estimate of a loss of $0.44, and improved from a loss of $0.60 per share a year ago, representing an earnings surprise of 11.36% [1] - The company posted revenues of $7.2 million for the quarter ended September 2024, surpassing the Zacks Consensus Estimate by 8.06%, and significantly up from $0.83 million in the same quarter last year [2] - Over the last four quarters, XOMA Royalty has exceeded consensus revenue estimates four times, although it has surpassed consensus EPS estimates only once [2] Stock Performance - XOMA Royalty shares have increased approximately 75.5% since the beginning of the year, outperforming the S&P 500's gain of 24.3% [3] - The current consensus EPS estimate for the upcoming quarter is -$0.49 on revenues of $6.52 million, and for the current fiscal year, it is -$0.12 on revenues of $25.75 million [7] Industry Outlook - The Medical - Biomedical and Genetics industry, to which XOMA Royalty belongs, is currently ranked in the top 36% of over 250 Zacks industries, indicating a favorable outlook [8] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can impact stock performance [5]