Recursion Reports Second Quarter 2025 Financial Results and Provides Business Update

Core Insights - Recursion reported a $7 million milestone achievement with Sanofi, reflecting progress in their partnered discovery programs and overall business momentum [3][4][11] - The company is advancing multiple clinical programs, including REC-1245 and REC-617, targeting various cancer indications and leveraging advanced AI models for drug discovery [3][4][5] Business Highlights - Partnerships: Recursion has established collaborations with major pharmaceutical companies such as Sanofi, Roche, Genentech, Bayer, and Merck KGaA, focusing on oncology and immunology [4][10][13] - Clinical Programs: The company is actively developing several programs, including REC-1245 (RBM39) and REC-617 (CDK7), with ongoing trials aimed at identifying responsive patient populations [5][8][20] - Financial Performance: Total revenue for Q2 2025 was $19.2 million, up from $14.4 million in Q2 2024, while R&D expenses increased significantly to $128.6 million due to new collaborations and operational expansions [20][21] Pipeline Updates - REC-1245 (RBM39): This potential first-in-class oral degrader is currently in a Phase 1/2 trial, targeting tumors with replication stress and DNA repair vulnerabilities [5][8] - REC-617 (CDK7): The company initiated a combination dose escalation trial in platinum-resistant ovarian cancer, showing promising early safety and efficacy signals [8][20] - Other Programs: Additional programs like REC-102 for hypophosphatasia and REC-4881 for familial adenomatous polyposis are also in development, with various milestones expected in the coming years [8][20] Financial Position - As of June 30, 2025, Recursion had cash and cash equivalents of $533.8 million, down from $603.0 million at the end of 2024, indicating a strong cash runway into Q4 2027 [11][15] - The net loss for Q2 2025 was $171.9 million, compared to a net loss of $97.5 million in Q2 2024, primarily driven by increased R&D and G&A expenses [20][21]