Recursion Pharmaceuticals Q2 revenue misses estimates, cuts 2026 expense outlook

Recursion Pharmaceuticals

05/08/2026 11:42

Overview
US drug discovery firm's Q2 operating revenue fell and missed analyst expectations
Q2 net loss narrowed yr/yr but was higher than analyst estimates

Outlook
Company lowers 2026 cash operating expense guidance to under $375 mln from under $390 mln
Recursion expects its cash runway to extend into early 2028 under current plans
Phase 1/2 trial for REC-7735 expected to start in 2H26; REC-4881 registrational path update expected 2H26

Result Drivers
COLLABORATION REVENUE DROP - Q2 revenue declined due to less revenue recognized from Roche and Genentech collaboration as certain project phases were completed in the prior period
LOWER R&D EXPENSES - Research and development expenses decreased, mainly due to lower platform costs and improved operating efficiency
HEADCOUNT REDUCTIONS - General and administrative expenses fell, driven by reduced salaries following headcount reductions

Company press release: ID:nGNX9R9PJm

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Operating Revenue
Miss
$7.30 mln
$11.95 mln (6 Analysts)
Q2 Net Loss
Miss
$131.005 mln
$119.38 mln (3 Analysts)
Q2 Pretax Loss
Miss
$131.006 mln
$122.40 mln (1 Analyst)

Analyst Coverage
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 3 "strong buy" or "buy", 4 "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 Recursion Pharmaceuticals, Inc. is $6.00, about 81.3% above its August 4 closing price of $3.31

Reuters Recommended Reads
Aug 3 - Stoke Therapeutics Q2 revenue falls 33% on lower collaboration, licensing income
Aug 4 - Spyre Therapeutics Q2 loss narrower than expected; sees trial readouts in 2026
Aug 4 - Tyra Biosciences Q2 net loss widens on higher R&D expenses

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.)