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Allogene's Q1 Earnings In Line With Estimates, Sales Nil

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Allogene Therapeutics (ALLO - Free Report) incurred first-quarter 2025 loss of 28 cents per share, which matched the Zacks Consensus Estimate. In the year-ago period, the company had incurred a loss of 38 cents per share.

As ALLO lacks a marketed product in its portfolio, it did not report any sales during the quarter. In the year-ago period, Allogene recorded collaboration revenues worth $0.02 million.

ALLO Stock Performance

Year to date, shares of Allogene have plunged 47% compared with the industry’s 6% decline.

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More on ALLO’s Results

Research & development (R&D) expenses totaled $50.2 million, down 4% from the year-ago quarter’s level.

General and administrative (G&A) expenses declined 13% year over year to $15.0 million.

As of March 31, 2025, Allogene had $335.5 million in cash, cash equivalents and investments compared with $373.1 million as of Dec. 31, 2024. (Find the latest EPS estimates and surprises on Zacks Earnings Calendar)

ALLO’s 2025 Guidance

In light of the dynamic macroeconomic environment and the need to preserve capital, Allogene recently implemented strategic cost realignment initiatives aimed at optimizing operations and extending its financial runway.

As a result, the company has revised its 2025 guidance and now expects operating expenses for the full year to be around $230 million, including nearly $45 million in non-cash stock-based compensation. This compares favorably to the prior forecast of around $250 million, which included about $50 million in stock-based compensation.

Cash burn for 2025 is expected to be around $150 million, down from the previous guidance of $170 million. Based on these expected savings, Allogene claims that its cash runway will now fund operations into the second half of 2027 — a full year beyond its earlier projection.

Updates on ALLO’s Pipeline

Allogene’s main focus is on the pivotal phase II ALPHA3 study, which is evaluating lead drug cema-cel as a potential first-line treatment for newly diagnosed and treated large B cell lymphoma (LBCL) patients who are likely to relapse and need further therapy. While the company was initially expected to provide lymphodepletion selection and futility analysis from this study around mid-2025, the delayed site readiness to initiate screening activities has pushed the timeline back by roughly two quarters. The analysis is now expected in the first half of 2026.

ALLO is also planning to explore the potential of allogeneic CAR-T cell therapies in autoimmune diseases. It plans to start the phase I RESOLUTION basket study with a new candidate, ALLO-329, across various autoimmune diseases, including systemic lupus erythematosus, idiopathic inflammatory myopathies, and systemic sclerosis in mid-2025. Allogene has updated the timeline for its first data readout, now aiming for the first half of 2026 (compared to the previous guidance of a 2025-end update) to include both biomarker and clinical proof-of-concept data.

Allogene intends to present updated data from a cohort of the phase I TRAVERSE study evaluating ALLO-316 in patients with heavily pretreated advanced or metastatic renal cell carcinoma (RCC) at the 2025 ASCO Annual Meeting on June 1.

ALLO’s Zacks Rank

Allogene currently has a Zacks Rank #2 (Buy).

Our Key Picks Among Biotech Stocks

Some other top-ranked stocks from the industry are Adaptive Biotechnologies (ADPT - Free Report) , Agenus (AGEN - Free Report) and Elevation Oncology (ELEV - Free Report) , each carrying a Zacks Rank #2 at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

In the past 60 days, estimates for Adaptive Biotechnologies’ 2025 loss per share have improved from 92 cents to 87 cents. During the same timeframe, estimates for 2026 loss per share have narrowed from 69 to 65 cents.

Adaptive Biotechnologies’ earnings beat estimates in each of the trailing four quarters, delivering an average surprise of 21.38%. Shares of ADPT have surged 55% year to date.

Estimates for Agenus’ 2025 loss per share have narrowed from $7.05 to $5.85 over the past 60 days, and the same for 2026 loss has improved from $7.14 to $5.74.

Agenus’ earnings beat estimates in two of the trailing four quarters and missed the mark on the other two occasions, delivering an average negative surprise of 22.71%. Year to date, its shares have gained 23%.

In the past 60 days, estimates for Elevation Oncology’s 2025 loss per share have narrowed from 82 cents to 61 cents. Loss per share estimates for 2026 have narrowed from 88 cents to 44 cents during the same timeframe. Year to date, shares of ELEV have lost 38%.

Elevation Oncology’s earnings beat estimates in two of the trailing four quarters and missed the mark on the remaining occasions, the average surprise being 5.10%.

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