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Fate Therapeutics' Q1 Earnings & Revenues Beat, Pipeline in Focus

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Fate Therapeutics (FATE - Free Report) reported a loss of 32 cents per share for the first quarter of 2025, narrower than the Zacks Consensus Estimate of a loss of 39 cents. The company had reported a loss of 47 cents per share in the year-ago period.

The company earned collaboration revenues of $1.6 million, which surpassed the Zacks Consensus Estimate of $1 million. Revenues declined 15.8% on a year-over-year basis. (Find the latest EPS estimates and surprises on Zacks Earnings Calendar.)

Revenues in the first quarter were derived from preclinical development activities for a second collaboration candidate targeting an undisclosed solid tumor antigen under FATE’s collaboration with Ono Pharmaceutical.

Shares of Fate Therapeutics were up 5% in after-hours trading on May 13, owing to the better-than-expected earnings announcement.

FATE's Stock Performance

Year to date, the stock has plunged 39.4% compared with the industry’s decline of 6.4%.

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Research and development (R&D) expenses decreased 9.3% to $29.1 million in the first quarter. General and administrative (G&A) expenses decreased around 34% to $13.8 million.

Cash, cash equivalents and investments as of March 31, 2025, totaled $272.7 million. FATE expects the current cash balance to sustain the operating runway through the first half of 2027.

FATE's Key Pipeline Development Activities

FATE is focused on developing and manufacturing universal, off-the-shelf cell products using its proprietary induced pluripotent stem cell (iPSC) product platform. Its immuno-oncology pipeline includes iPSC-derived natural killer (NK) cells and T-cell product candidates.

A phase I study of FT819, a T-cell product candidate for patients with systemic lupus erythematosus (SLE), is currently ongoing. The company has initiated dose expansion in up to 10 patients at 360 million cells, based on clinical data from the first three patients treated with FT819 in the ongoing multi-center, phase I study.

The dose expansion stage will evaluate the safety and efficacy of a fludarabine (flu)-free conditioning regimen, consisting of either bendamustine or cyclophosphamide alone, followed by a single dose of FT819.

Fate Therapeutics is also assessing the safety, pharmacokinetics and anti-B cell activity of FT819 at 900 million cells in dose escalation.

The FDA granted the Regenerative Medicine Advanced Therapy (RMAT) designation to FT819 for the treatment of active moderate to severe SLE, including lupus nephritis, in April.

Fate Therapeutics is co-developing FT825/ONO-8250, a multiplexed-engineered, iPSC-derived CAR T-cell product candidate, with ONO Pharmaceutical. It is conducting a phase I study to assess the safety, pharmacokinetics and activity of FT825/ONO-8250 in patients with advanced solid tumors.

To date, treatment with FT825/ONO-8250 has shown a favorable safety profile with no dose-limiting toxicities.

Fate Therapeutics, Inc. Price, Consensus and EPS Surprise

Fate Therapeutics, Inc. Price, Consensus and EPS Surprise

Fate Therapeutics, Inc. price-consensus-eps-surprise-chart | Fate Therapeutics, Inc. Quote

FATE's Zacks Rank & Other Stocks to Consider

Fate Therapeutics currently carries a Zacks Rank #2 (Buy).

Some other top-ranked stocks in the biotech sector are Halozyme Therapeutics (HALO - Free Report) and Allogene Therapeutics (ALLO - 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 Halozyme’s earnings per share have increased from $5.02 to $5.23 for 2025. During the same time, earnings per share estimates for 2026 have increased from $6.56 to $6.77. Year to date, shares of HALO have increased 5%.

HALO’s earnings beat estimates in each of the trailing four quarters, with the average surprise being 17.60%.

In the past 60 days, estimates for Allogene Therapeutics’ loss per share have narrowed from $1.26 to $1.15 for 2025. During the same time, loss per share estimates for 2026 have narrowed from $1.34 to $1.17. Year to date, shares of ALLO have plunged 46.9%.

ALLO’s earnings beat estimates in three of the trailing four quarters while meeting the same on the remaining occasion, the average surprise being 11.70%.


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