Avalo Therapeutics Q1 net loss widens on increased R&D spend

Avalo Therapeutics

13/05/2026 12:12

Overview

US biotech firm's Q1 net loss missed analyst expectations

Q1 pretax profit missed analyst estimates, driven by higher R&D and admin expenses

Company completed $431.3 mln equity offering, boosting cash position

Outlook

Avalo plans to advance abdakibart into a registrational phase 3 program in HS

Company expects current cash and investments to fund operations into 2029

Result Drivers

R&D SPENDING - Higher research and development expenses driven by costs related to and supporting the Phase 2 LOTUS trial

ADMINISTRATIVE COSTS - General and administrative expenses rose due to headcount additions and stock-based compensation

Company press release: ID:nGNX7FyxG

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 EPS
-$0.98
Q1 Net Income
Miss
-$19.63 mln
-$19.16 mln (8 Analysts)
Q1 Pretax Profit
Miss
-$19.62 mln
-$19.09 mln (7 Analysts)
Q1 Operating Expenses
$20.90 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 13 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

The average consensus recommendation for the biotechnology & medical research peer group is "buy"

Wall Street's median 12-month price target for Avalo Therapeutics Inc is $42.00, about 110.6% above its May 12 closing price of $19.94

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)