Arrowhead Pharmaceuticals Posts Strong Q2 Results, Eyes Commercial Launch and Long-Term Growth
Arrowhead Pharmaceuticals reported second quarter fiscal 2025 results marked by a sharp revenue increase and positive net income, driven by a major licensing agreement with Sarepta Therapeutics. Revenue for the quarter reached $543 million, compared to zero revenue in the prior-year period, while net income attributable to Arrowhead surged to $370 million, reversing a $125 million loss a year ago.
The Sarepta deal delivered an immediate $825 million infusion, including $500 million in cash and $325 million in equity. Arrowhead noted it is now fully funded through 2028 without the need for additional capital, and it could receive up to $10 billion in potential milestone payments from the agreement.
Arrowhead highlighted upcoming milestones including a potential FDA approval and commercial launch of plozasiran for familial chylomicronemia syndrome (FCS), with a PDUFA date set for November 18. In parallel, the company is progressing Phase 3 studies for the broader severe hypertriglyceridemia (SHTG) population.
Preclinical obesity candidates ARO-INHBE and ARO-ALK7 also advanced, targeting fat storage pathways via RNA interference mechanisms. Additionally, Arrowhead presented promising Phase 1/2 results from its ARO-C3 program for IgA nephropathy, showing significant reductions in proteinuria and complement activity.
Operationally, research and development expenses totaled $133 million for the quarter, while Arrowhead ended the period with over $1.09 billion in cash and investments. CFO Ken Myszkowski will retire on May 13 after 16 years, to be succeeded by Daniel Apel.
With multiple near-term catalysts, including regulatory decisions and potential commercial launches, Arrowhead emphasized its long-term strategy of independent drug development and strategic partnering outside its core areas.
