Vir Biotechnology reported fourth‑quarter 2025 revenue of $64.07 million, a 511% increase from $12.37 million in Q4 2024. The surge was driven almost entirely by a $64.3 million license payment from a new partnership with Norgine for the hepatitis delta candidate, which far exceeded the consensus revenue estimate of $18.67 million. The company’s earnings per share of $-0.31 beat the consensus estimate of $-0.42, a $0.11 improvement that reflects disciplined cost management and the one‑time license income.
Net loss for the quarter narrowed to $42.92 million from $104.59 million a year earlier, a 59% improvement. The reduction was largely due to a $51 million decrease in research and development expenses, which fell to $456 million for the full year 2025 from $507 million in 2024, and a $27 million drop in selling, general and administrative costs to $92 million. These cost‑control measures offset the impact of the one‑time license revenue and helped the company achieve a better-than‑expected earnings beat.
The corrected R&D expense figure of $456 million for 2025 represents a 10% decline from 2024, while the Q4 R&D expense of $88.3 million was consistent with the company’s ongoing investment in its oncology and hepatitis delta pipelines. SG&A expenses also fell to $92 million, a 23% reduction from $119 million in 2024, underscoring the company’s focus on operational efficiency.
Vir’s cash balance stood at $781.6 million as of December 31 2025, giving the company a runway into the second quarter of 2028. The extended runway is supported by the $335 million upfront and near‑term payments from a global collaboration with Astellas for the VIR‑5500 oncology program, which includes potential milestone and royalty payments totaling up to $1.7 billion.
Management highlighted the significance of the two deals in a statement: "This is a seminal moment for Vir Biotechnology, marked by key high‑potential partnerships on two of our programs showcasing the strength of our pipeline and technology platforms," said CEO Marianne De Backer. CFO Jason O’Byrne added, "We will receive combined upfront and near‑term payments of $335 million, excluding certain payments to Sanofi, and our R&D and SG&A cost reductions have positioned us well for the next phase of development."
Investor reaction was driven primarily by the unexpected revenue beat from the Norgine license and the strategic partnership with Astellas, which together provide significant non‑dilutive funding and milestone upside. The market also noted the company’s disciplined cost management and the extended cash runway, which together signal confidence in Vir’s ability to advance its pipeline and sustain operations through 2028.
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