Companies /Healthcare

Arcus Biosciences Inc

NYSE: RCUS Biotechnology
$30.59
▼ $0.17 (−0.55%) today
Markets closed · 7:56pm ET

Q2 2025 Earnings

Reported Aug 6, 2025, 4:09pm ET · SEC source
$0.00
Beat +100.00%
EPS · est. $-1.17
$160.0M
Beat +386.96%
Revenue · est. $32.9M
+19.1%
Beating market
RCUS vs S&P since report
1 quarter
Consecutive EPS beats

Market Reaction

% change · around the report
−5%0+5%+10%Aug 6Aug 7report 4:09pm ETearnings+0.1%−3.3%
−5%0+5%+10%Aug 6Aug 7earnings+0.1%−3.3%
RCUS −3.3%S&P 500 +0.1%
−5%0+5%+10%Aug 6Aug 7report 4:09pm ETearnings+0.5%−3.3%
−5%0+5%+10%Aug 6Aug 7earnings+0.5%−3.3%
RCUS −3.3%NASDAQ +0.5%
−5%0+5%+10%Aug 5Aug 14report 4:09pm ETearnings+2.0%+4.4%
−5%0+5%+10%Aug 5Aug 14earnings+2.0%+4.4%
RCUS +4.4%S&P 500 +2.0%
−5%0+5%+10%Aug 5Aug 14report 4:09pm ETearnings+2.2%+4.4%
−5%0+5%+10%Aug 5Aug 14earnings+2.2%+4.4%
RCUS +4.4%NASDAQ +2.2%
−2.21%
Day of report
−2.37%
Next session
+6.79%
One week
+21.98%
30 days

S&P 500 over the same 30 days: +2.86%.

Did RCUS Beat Earnings? Q2 2025 Results

Arcus Biosciences delivered a dramatic beat in Q2 2025, with revenue surging 310.3% year-over-year to $160.00 million against a consensus estimate of just $32.86 million, a 386.96% upside surprise, while EPS landed at $0.00, beating the $-1.1653 consensus by 100.00% and representing a sharp reversal from the $-1.02 reported in the prior-year quarter. The headline numbers were overwhelmingly shaped by a $143.00 million cumulative catch-up revenue recognition tied to Gilead returning its license to etrumadenant in June 2025, an event that effectively zeroed out net income versus a $93.00 million loss a year ago. Stripping away that one-time item, Arcus remains a clinical-stage company with a sharpened focus on casdatifan, domvanalimab, and quemliclustat. R&D spending rose to $139.00 million, though management expects costs to decline starting Q4 as domvanalimab Phase 3 expenses ease. With $927.00 million in cash on hand and full-year 2025 revenue guidance set at $225.00 to $235.00 million, Arcus believes it is funded through initial pivotal readouts across its core pipeline.

Key Takeaways
  • $143 million cumulative catch-up revenue from pausing etrumadenant development and Gilead's return of its license
  • Increased CMC costs driving higher R&D expenses
  • February 2025 underwritten offering and $50 million term loan draw in June 2025 supporting cash position

“We have now presented data from over 125 patients treated with casdatifan monotherapy or casdatifan plus cabozantinib, which we believe demonstrate the potential for casdatifan to be the best-in-class HIF-2a inhibitor for clear cell RCC.”

Arcus Biosciences CEO, on the earnings call

Forward Guidance & Outlook

Arcus expects to recognize GAAP revenue of between $225 million and $235 million for the full year 2025, inclusive of the $143 million cumulative catch-up related to etrumadenant. R&D expenses are expected to decline commencing in Q4 2025 as domvanalimab Phase 3 development program costs decrease significantly, though elevated CMC costs are expected through Q3 2025. The company believes its $927 million in cash, cash equivalents, and marketable securities, together with available facilities, will be sufficient to fund operations through initial pivotal readouts for domvanalimab, quemliclustat, and casdatifan, including PEAK-1. PRISM-1 enrollment completion is expected in Q3 2025. More mature ARC-20 monotherapy data are expected in fall 2025, with casdatifan+cabozantinib data in 2026. The first Phase 3 OS data readout for STAR-221 is expected in 2026.

RCUS YoY Financials

Q2 2025 vs Q2 2024 · SEC filings Q2 2024 Q2 2025
$0$50.0M$100.0M$150.0M$39.0M$160.0MRevenue$-4,156,924$-8,000,000Operating Income
$0$50.0M$100.0M$150.0MRevenueOperating Income

RCUS Revenue by Segment

License and Development Service$152.0M
Other Collaboration$8.0M

Figures from SEC filings and company reports. Not investment advice.