Revolution Medicines

RVMD Q1 2025 Earnings

Reported May 7, 2025 at 4:05 PM ET · SEC Source

Q1 25 EPS

$-1.13

MISS 7.02%

Est. $-1.06

Q1 25 Revenue

N/A

Est. $0

vs S&P Since Q1 25

+230.1%

BEATING MARKET

RVMD +257.6% vs S&P +27.5%

Market Reaction

Did RVMD Beat Earnings? Q1 2025 Results

Revolution Medicines posted a deeper-than-expected loss in Q1 2025, with earnings per share of -$1.13 missing the consensus estimate of -$1.06 by 7.02%, as the pre-revenue oncology company accelerated spending across its RAS(ON) inhibitor pipeline. T… Read more Revolution Medicines posted a deeper-than-expected loss in Q1 2025, with earnings per share of -$1.13 missing the consensus estimate of -$1.06 by 7.02%, as the pre-revenue oncology company accelerated spending across its RAS(ON) inhibitor pipeline. The primary driver was a near-doubling of R&D expenses to $205.75 million, up from $118.02 million a year ago, pushing the net loss to $213.42 million compared to $116.00 million in Q1 2024. The company generated no revenue during the quarter, consistent with its clinical-stage status. Despite the widening losses, management reiterated full-year 2025 GAAP net loss guidance of $840 million to $900 million and pointed to $2.10 billion in cash as sufficient to fund operations into the second half of 2027. The spending acceleration coincided with meaningful pipeline progress, including a 61% objective response rate for zoldonrasib in KRAS G12D NSCLC and an 86% ORR for daraxonrasib combined with pembrolizumab in first-line NSCLC, underscoring the breadth of assets advancing toward potential pivotal trials.

Key Takeaways

  • Increased R&D spending driven by clinical trial expenses and manufacturing for daraxonrasib, zoldonrasib, and elironrasib
  • Headcount growth driving higher personnel-related expenses and stock-based compensation across R&D and G&A
  • Increased commercial preparation activities ahead of potential product launches
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RVMD YoY Financials

Q1 2025 vs Q1 2024, source: SEC Filings

“We are executing well in our ongoing registrational studies of daraxonrasib in patients with previously treated PDAC and NSCLC, and continuing preparations to start the earlier-line PDAC trials this year. Today we've shared important data from all three of our clinical-stage investigational RAS(ON) inhibitors that reinforce exciting opportunities in NSCLC.”

— Mark A. Goldsmith, Q1 2025 Earnings Press Release