OmniAb reported its fourth‑quarter and full‑year 2025 results, with revenue falling short of estimates and a mixed earnings outcome.
Revenue for Q4 2025 was $8.4 million, down 22.2% YoY from $10.8 million in Q4 2024, and the full‑year revenue was $18.7 million, a decline of 29.4% from $26.4 million in 2024. The drop was driven by lower license and service revenue, partially offset by increases in milestone and royalty revenue and the addition of xPloration revenue.
Net loss for Q4 2025 was $14.2 million, or $0.11 per share, compared with a $13.1 million loss ($0.12 per share) in Q4 2024. The company reported a net loss per share of $-0.11, missing the consensus estimate of $-0.08 but beating the lower estimate of $-0.13. The miss relative to the higher estimate was largely due to a $3.9 million impairment charge related to small‑molecule ion channel property and equipment, which increased R&D expenses.
Operating expenses fell to $24.1 million from $26.7 million, driven by lower personnel and outside service costs. The company’s cost‑control program helped offset the revenue decline, but the impairment charge and higher milestone costs limited margin improvement. Segment analysis shows that license revenue and service revenue fell, while milestone and royalty revenue grew, and xPloration revenue added a new revenue stream.
For 2026, OmniAb guided revenue of $25 million to $30 million, below the analyst consensus of $32.6 million, and operating expenses of $80 million to $85 million. The guidance reflects management’s view that demand will remain modest in the near term while the company continues to invest in new technologies such as OmniUltra™ and the xPloration partner access program.
CEO Matt Foehr highlighted the company’s expanded partner base of 107 active partners and 407 active programs, emphasizing that the differentiated technologies support a disciplined cost structure and a pipeline of later‑stage assets. CFO Kurt Gustafson noted that operating expenses were reduced through personnel and outside service cost savings. Analysts maintained buy ratings, citing the company’s cost discipline and growing partner ecosystem as positive factors.
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