Cassava (SAVA) Announces Q2 2025 Financials Earnings Results And Provides Business Update

Cassava Sciences, Inc. (SAVA) today announced its financial results for the most recent quarter, reporting revenue of $1.214 million, which met analysts’ expectations. The company also posted a diluted earnings per share of -$0.92, aligning with projections. Despite the negative earnings per share, Cassava’s revenue performance reflects stability in its financial outlook as it continues to navigate the challenges of the biotech sector.

Key Highlights:

• Cassava Sciences is advancing the development of simufilam for Tuberous Sclerosis Complex (TSC)-related epilepsy, with a clinical study expected to begin in H1 2026.
• Positive preclinical data from studies conducted at Yale and with the TSC Alliance support the potential of simufilam as a first-in-class treatment.
• The company appointed Dr. Joseph Hulihan as Chief Medical Officer to guide the clinical development strategy for simufilam.
• Cassava reported a net loss of $44.2 million for Q2 2025, compared to a net income of $6.2 million in Q2 2024.
• The company has $112.4 million in cash and cash equivalents as of June 30, 2025, with no debt.

Cassava Sciences, Inc. reported its financial results for the second quarter of 2025, highlighting a significant shift in focus towards developing simufilam as a treatment for TSC-related epilepsy. The company has seen promising preclinical results, including a study that demonstrated a 60% reduction in seizure frequency in a mouse model. Rick Barry, President and CEO, stated, “2025 has been transformational for Cassava. We have initiated a new program focused on TSC-related epilepsy, a rare disease for which patients urgently need more treatment options.”

In addition to advancing its clinical programs, Cassava is also managing ongoing settlement negotiations related to securities litigation, which has impacted its financials. The company recorded a $31.25 million estimated loss contingency in Q2 2025. Despite the net loss, Cassava maintains a strong cash position, which it expects to utilize for continued research and development efforts, particularly in preparation for the upcoming proof-of-concept study for simufilam.

Cassava Sciences, Inc. (SAVA) has experienced a tumultuous ride in the stock market, with its price plummeting a staggering 90.46% over the past year. This dramatic decline is underscored by a negative price-to-earnings ratio of -0.95, indicating that the company is not currently generating profits. Despite a slight uptick of 7.04% over the past month, the stock’s performance remains volatile, with a notable 22.58% increase over the last three months, suggesting some investor optimism may be returning. However, the company’s revenue has seen a sharp decline, with a two-year compound annual growth rate (CAGR) of -53.58%, raising concerns about its long-term viability. Additionally, the return on invested capital stands at -2.47%, further highlighting the challenges Cassava faces in generating value for its shareholders. As the market continues to react to these fundamental metrics, investors will be watching closely to see if the company can turn its fortunes around or if it will continue to struggle in a competitive landscape.

Cassava Sciences, Inc., a clinical stage biotechnology company, develops drugs for neurodegenerative diseases. Its lead therapeutic product candidate is simufilam, a small molecule drug, which is completed Phase 2b clinical trial; and investigational diagnostic product candidate is SavaDx, a blood-based biomarker/diagnostic to detect Alzheimer’s disease. The company was formerly known as Pain Therapeutics, Inc. and changed its name to Cassava Sciences, Inc. in March 2019. Cassava Sciences, Inc. was incorporated in 1998 and is based in Austin, Texas.