Intellia's Q1 Loss Narrower Than Expected, Pipeline in Focus, Stock Up

Core Viewpoint - Intellia Therapeutics reported a narrower loss per share in Q1 2025 compared to estimates, despite a significant decline in revenues year-over-year, primarily due to lower collaboration revenues from AvenCell [1][2]. Financial Performance - The company incurred a loss of $1.10 per share in Q1 2025, which was better than the Zacks Consensus Estimate of a loss of $1.26 and a slight improvement from a loss of $1.12 per share in the same quarter last year [1]. - Total revenues for Q1 2025 were $16.6 million, reflecting a 42.6% decline year-over-year, but exceeded the Zacks Consensus Estimate of $15 million [2]. - Research and development expenses were $108.4 million, down 3% from the previous year, attributed to lower employee-related expenses and stock-based compensation [4]. - General and administrative expenses decreased by approximately 6.5% year-over-year to $29 million, also due to reduced stock-based compensation and workforce [4]. - As of March 31, 2025, the company had cash, cash equivalents, and marketable securities totaling $707.1 million, down from $861.7 million at the end of 2024, which is expected to fund operations into the first half of 2027 [5]. Stock Performance - Shares of Intellia rose by 13.6% on May 8 following the better-than-expected results, although the stock has declined 28.9% year-to-date compared to an 8% decline in the industry [3]. Pipeline Developments - Intellia is collaborating with Regeneron Pharmaceuticals on the investigational in vivo genome-editing candidate, nexiguran ziclumeran (nex-z), which is being studied for ATTR amyloidosis indications [8]. - The phase III MAGNITUDE study for nex-z in patients with ATTR-CM is ongoing, with the FDA granting RMAT designation for this treatment in March [9]. - The first patient was dosed in the phase III MAGNITUDE 2 study for ATTRv-PN in April, with enrollment expected to complete in 2026 [10]. - Another candidate, NTLA-2002, is in the pivotal phase III HAELO study for hereditary angioedema, with the first patient dosed in January 2025 and expected enrollment completion in Q3 2025 [11]. Company Ranking - Intellia currently holds a Zacks Rank 2 (Buy), indicating a favorable outlook compared to other biotech stocks [12].