SAB Biotherapeutics reported its third‑quarter 2025 results with no revenue, a net income of $45.4 million, and an operating loss of $12.7 million. Research and development expenses rose to $9.0 million from $7.8 million in the same quarter last year, while other income jumped to $58.1 million from $1.0 million, largely reflecting a non‑cash gain from the fair‑value re‑measurement of warrant liabilities.
The dramatic swing to positive net income is attributable almost entirely to the $58.1 million non‑cash warrant re‑valuation. Operationally, the company remains a loss‑making entity, with an operating loss that widened to $12.7 million from a $10.3 million loss in Q3 2024, underscoring continued investment in its pipeline rather than revenue generation.
R&D spending increased as the company accelerated its lead candidate, SAB‑142, into a registrational Phase 2b SAFEGUARD study. Multiple sites worldwide have been activated, and the first patient dose is expected by year‑end, marking a key milestone in the company’s disease‑modifying strategy for type 1 diabetes.
CEO Samuel J. Reich highlighted the clinical progress, noting that the Phase 1 data presented at EASD and ISPAD showed a favorable safety profile and a competitive dosing regimen. He emphasized that the Phase 2b study will provide the evidence needed for regulatory approval and that the company remains focused on advancing SAB‑142 through late‑stage development.
SAB Biotherapeutics secured a $175 million private placement in July 2025, extending its cash runway through mid‑2028. The infusion of capital supports the completion of the SAFEGUARD study and positions the company to navigate the high costs of late‑stage trials without immediate revenue pressure.
While the company’s net income is positive, the underlying non‑cash nature of the gain and the persistent operating loss suggest that the next quarter will continue to focus on clinical milestones and cash preservation rather than profitability. No market reaction data are available at this time.
The content on BeyondSPX is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.