ALX Oncology Announces Third Quarter 2025 Financial Earnings Results And Provides Corporate Update

ALX Oncology Holdings Inc. (ALXO) today announced its financial results for the most recent quarter, revealing a diluted earnings per share of -$0.41, which fell short of analysts’ expectations by $0.04. Despite the earnings miss, the company reported a revenue of $802,000, significantly surpassing revenue estimates. This performance highlights ALXO’s ability to exceed revenue expectations even as it navigates challenges in profitability.

Key Highlights:

• ALX Oncology reported third-quarter financial results for 2025, with a net loss of $22.1 million, an improvement from $30.7 million in the same quarter of 2024.
• The company is advancing its lead product candidate, evorpacept, which showed promising results in the ASPEN-06 trial for HER2-positive gastric cancer.
• The Phase 2 ASPEN-09-Breast Cancer trial is set to begin enrollment in Q4 2025, focusing on patients with HER2-positive tumors and evaluating responses based on CD47 expression levels.
• ALX2004, a novel EGFR-targeted antibody-drug conjugate, is currently in a Phase 1 trial, with initial safety data expected in the first half of 2026.
• The company has sufficient cash reserves to fund operations into Q1 2027.

ALX Oncology’s third-quarter 2025 financial results indicate a strategic focus on its clinical pipeline, particularly the lead candidate evorpacept, which has demonstrated significant clinical benefits in patients with high CD47 expression in HER2-positive gastric cancer. CEO Jason Lettmann expressed optimism about the upcoming ASPEN-09 trial, stating, “We are pleased to share data at SITC this weekend… This insight is guiding our targeted clinical development strategy for breast cancer.” The company is also excited about the progress of ALX2004, which is currently enrolling patients in its Phase 1 trial, with initial safety data anticipated in the first half of 2026.

The financial report highlighted a decrease in research and development expenses, reflecting a more efficient allocation of resources as the company prioritizes its pipeline. ALX Oncology’s cash position of $66.5 million is expected to support its operations through Q1 2027, allowing the company to focus on key milestones, including the initial safety data for ALX2004 and interim data for the ASPEN-09 trial. The appointment of Barbara Klencke, M.D., as Chief Medical Officer is also a significant development, bringing extensive experience in oncology drug development to the leadership team.

ALX Oncology Holdings Inc. (ALXO) has experienced a tumultuous ride in the stock market, with its price plummeting by nearly 24% over the past week and a staggering 44% drop in the last month. Despite this recent downturn, the stock has shown remarkable resilience over a longer horizon, boasting a 134% increase over the past six months and a 68% rise in the last three months. However, the company’s fundamental metrics paint a concerning picture; with a negative price-to-earnings ratio of -0.55 and a return on invested capital of -1.32, ALXO is struggling to generate profits and effectively utilize its capital. These figures suggest that while the stock may have attracted speculative interest, the underlying financial health of the company remains questionable. Investors should tread carefully, as the volatility in ALXO’s stock price reflects broader uncertainties about its future performance. As the market continues to react to these financial metrics, the path forward for ALX Oncology will require a strategic turnaround to regain investor confidence.

ALX Oncology Holdings Inc., a clinical-stage immuno-oncology company, focuses on developing therapies for patients fighting cancer. Its lead product candidate is ALX148, a CD47 blocking therapeutic that is in Phase 1b/2 clinical trial used for the treatment of myelodysplastic syndromes; and for the treatment of acute myeloid leukemia and non-Hodgkin’s lymphoma, as well as a range of solid tumor indications, including head and neck squamous cell carcinoma, human epidermal growth factor receptor 2 (HER2) positive gastric/gastroesophageal junction carcinoma, HER2-expressing breast cancer, and other solid tumors. The company’s pre-clinical products include ALTA-002, a SIRPa TRAAC that offers ways to engage the innate and adaptive immune response to cancer. ALX Oncology Holdings Inc. has a collaboration agreement with Merck for a Phase 2 trial evaluating ALX148 in combination with pembrolizumab with and without chemotherapy in patients with head and neck cancer; Zymeworks on a Phase 1 trial evaluating ALX148 with the HER2-targeting bispecific antibody zanidatamab in patients with HER2-expressing breast cancer and other solid tumors; and Tallac Therapeutics for the development, manufacturing and commercialization of a novel class of cancer immunotherapeutics. It also has a license agreement with Selexis SA and Crystal Bioscience, Inc. The company was founded in 2015 and is headquartered in South San Francisco, California.