Wave Life Sciences Ltd
Q2 2025 Earnings
Market Reaction
S&P 500 over the same 30 days: +1.67%.
Did WVE Beat Earnings? Q2 2025 Results
Wave Life Sciences delivered a disappointing second quarter, missing on both the top and bottom lines as accelerating pipeline investment weighed heavily on results. Revenue came in at $8.70 million, falling 55.8% year-over-year and missing the $9.64 million consensus by 9.78%, as the company recognized less collaboration revenue from its GSK partnership than analysts had anticipated. Loss per share of $-0.31 missed the $-0.2844 estimate by 9.00%, with the net loss widening to $50.47 million from $32.92 million a year earlier on higher R&D and G&A spending. The financial pressure, while notable, is largely by design for a clinical-stage biotech with multiple catalysts on the horizon: comprehensive data from the 200 mg cohorts of the RestorAATion-2 AATD study are expected in Q3 2025, followed by INLIGHT obesity trial data in Q4 2025 and a WVE-N531 NDA filing planned for 2026. Analysts nonetheless project roughly 39% annual revenue growth over the next three years, well above the industry average. Cash of $208.48 million is expected to fund operations into 2027.
- Revenue decline driven by lower collaboration revenue recognition from GSK partnership
- Increased R&D spending reflecting advancement of multiple clinical programs including RestorAATion-2 and INLIGHT trials
- Higher G&A expenses in the quarter
“We have rapidly advanced our RestorAATion-2 study following positive proof-of mechanism data last year where we observed mean total AAT protein that met the level that has been the basis for regulatory approval for AAT augmentation therapies following a single, lowest planned dose of WVE-006, our GalNAc-RNA editing candidate for AATD. We remain on track to share two comprehensive data sets from our RestorAATion-2 trial this year, beginning with multidose data in the third quarter, which will inform the therapeutic potential of WVE-006, and our pipeline of wholly-owned GalNAc-RNA editing programs.”
Wave Life Sciences CEO, on the earnings call
Forward Guidance & Outlook
Wave expects its cash and cash equivalents of $208.5 million as of June 30, 2025 to fund operations into 2027, excluding potential future milestones and payments under its GSK collaboration. Key upcoming catalysts include: RestorAATion-2 data from complete 200 mg single and multidose cohorts in Q3 2025; 400 mg single dose cohort data in fall 2025; INLIGHT Cohort 1 and 2 data in Q4 2025 and Cohort 3 data in Q1 2026; WVE-N531 NDA filing planned for 2026; WVE-003 IND submission for a potentially registrational Phase 2/3 study in H2 2025; and a Research Day planned for fall 2025.
WVE YoY Financials
Figures from SEC filings and company reports. Not investment advice.