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Nektar Q2 Loss Narrower Than Expected, Revenues Fall Y/Y

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Key Takeaways

  • {\"0\":\"Nektar\'s Q2 loss of $2.95 per share and revenues beat estimates.\",\"1\":\"Revenues fell after the 2024 sale of the Huntsville facility, ending product revenue streams.\",\"2\":\"Phase IIb trials on rezpeg for atopic dermatitis and alopecia areata are moving forward.\"}

Nektar Therapeutics (NKTR - Free Report) reported a loss of $2.95 per share for the second quarter of 2025, narrower than the Zacks Consensus Estimate of a loss of $3.13. In the year-ago quarter, the company had reported a loss of $3.76 per share.

Excluding the impact of non-cash loss from NKTR’s equity method investment in Gannet BioChem, the company incurred an adjusted loss of $2.78 per share in the second quarter of 2025 compared with an adjusted loss of $2.85 per share in the year-ago quarter.

Total revenues in the second quarter decreased 52.4% year over year to $11.2 million. The reported figure marginally beat the Zacks Consensus Estimate of $11 million.

The year-over-year revenue decrease was due to the sale of the Huntsville manufacturing facility in December 2024, following which the company no longer records product revenues. Nektar’s top line currently comprises non-cash royalty revenues.

Shares of Nektar have rallied 56% so far this year compared with the industry’s rise of 5.5%.

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NKTR's Q2 Earnings in Detail

Research and development (R&D) expenses were $29.9 million, up around 0.7% year over year.

General and administrative (G&A) expenses decreased around 16.6% year over year to $17.1 million.

As of June 30, 2025, Nektar had cash and cash equivalents and marketable securities worth $175.9 million compared with $220.7 million as of March 31, 2025.

NKTR's Recent Pipeline Updates

Nektar’s lead pipeline candidate, rezpegaldesleukin (rezpeg), is being developed as a self-administered injection for several autoimmune and inflammatory diseases.

Two separate phase IIb studies are evaluating rezpeg for treating atopic dermatitis and alopecia areata.

In June 2025, NKTR announced that the phase IIb REZOLVE-AD study evaluating rezpeg, in patients with moderate-to-severe atopic dermatitis, met its primary and key secondary endpoints.

Besides atopic dermatitis, the company is also investigating rezpeg in the phase IIb REZOLVE-AA study for treating patients with severe-to-very severe alopecia areata. Top-line data from the same is expected in December 2025.

Last month, the FDA granted a Fast Track designation to rezpeg for the treatment of severe-to-very severe alopecia areata. The regulatory body previously granted a Fast Track designation to rezpeg for the treatment of moderate-to-severe atopic dermatitis.

Nektar regained full rights to rezpeg from pharma giant Eli Lilly (LLY - Free Report) in April 2023 and took charge of its clinical development. Rezpeg was earlier developed in collaboration with Lilly for several autoimmune indications.

Rezpeg is now a wholly owned asset of Nektar, and the company owes no royalty payments to LLY.

Nektar Therapeutics Price, Consensus and EPS Surprise

Nektar Therapeutics Price, Consensus and EPS Surprise

Nektar Therapeutics price-consensus-eps-surprise-chart | Nektar Therapeutics Quote

NKTR's Zacks Rank & Stocks to Consider

Nektar currently carries a Zacks Rank #3 (Hold).

Some better-ranked stocks in the biotech sector are CorMedix (CRMD - Free Report) and Immunocore (IMCR - Free Report) , both carrying a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

In the past 60 days, estimates for CorMedix’s earnings per share have increased from 93 cents to 97 cents for 2025. During the same time, earnings per share estimates for 2026 have increased from $1.64 to $1.65. Year to date, shares of CRMD have rallied 33.4%.

CorMedix’s earnings beat estimates in each of the trailing four quarters, delivering an average surprise of 25.82%.

In the past 60 days, estimates for Immunocore’s 2025 loss per share have narrowed from 86 cents to 68 cents. Loss per share estimates for 2026 have narrowed from $1.34 to $1.10 during the same period. IMCR stock has increased 8.3% year to date.

Immunocore’s earnings beat estimates in three of the trailing four quarters while missing the same on the remaining occasion, the average surprise being 76.18%.

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