Arvinas Inc (NASDAQ:ARVN), a clinical-stage biotechnology company focused on targeted protein degradation, reported its fourth quarter and full year 2025 financial results after the market close on February 24, 2026. The company's earnings and revenue figures fell short of Wall Street expectations, triggering a sharp negative reaction in the stock during pre-market trading.
Earnings and Revenue Miss
The company's financial performance for the quarter ended December 31, 2025, did not meet analyst forecasts. The key figures are as follows:
- Reported Revenue: $9.5 million
- Analyst Revenue Estimate: $35.6 million
- Reported Non-GAAP EPS: -$1.10
- Analyst EPS Estimate: -$0.60
The significant revenue miss of approximately $26.1 million and a wider-than-expected loss per share were the primary financial takeaways. For the full year 2025, Arvinas reported revenue of $262.6 million, a slight decrease from $263.4 million in 2024.
Market Reaction and Financial Position
The market's immediate response to the earnings release was decisively negative. In pre-market trading following the announcement, Arvinas shares were down approximately 11.8%. This sell-off reflects investor disappointment with both the quarterly results and the company's financial trajectory, as cash and marketable securities decreased to $685.4 million at year-end from $1.04 billion a year prior.
Despite the reduction, management emphasized that this cash position is sufficient to fund planned operations into the second half of 2028. The decrease was attributed to cash used in operations of $261.0 million and a $91.9 million stock repurchase program completed during the year.
Pipeline Progress and Corporate Updates
Beyond the financials, the earnings report served as a comprehensive corporate update, highlighting several clinical and strategic milestones. The company characterized 2025 as a "transformative year," underscored by the submission of its first New Drug Application (NDA) for vepdegestrant in advanced breast cancer. The focus is now sharply on its pipeline, with multiple data readouts anticipated in 2026.
Key pipeline highlights and upcoming milestones include:
- Vepdegestrant (ER degrader): The NDA is under FDA review with a Prescription Drug User Fee Act (PDUFA) action date set for June 5, 2026. Arvinas and collaboration partner Pfizer are seeking a third-party commercialization partner.
- ARV-102 (LRRK2 for Parkinson's): Phase 1 data in Parkinson's patients accepted for an oral presentation in March 2026. A Phase 1b trial in progressive supranuclear palsy (PSP) is planned for the first half of 2026.
- ARV-806 (KRAS G12D for solid tumors): Dose escalation completed ahead of plan. Initial clinical data in patients is expected in 2026.
- ARV-393 (BCL6 for lymphoma): The Phase 1 trial continues, with multiple responses observed in early cohorts. Updated clinical data is anticipated in the second half of 2026.
- Leadership: Dr. Randy Teel was appointed as the new President, CEO, and Director, succeeding the retiring Dr. John Houston.
Outlook and Analyst Expectations
While the press release did not provide specific quantitative financial guidance for 2026 beyond its cash runway commentary, it did outline a busy schedule of clinical milestones. Analyst estimates for the coming year, however, project continued losses as the company invests heavily in its pipeline. Current consensus estimates for full-year 2026 are a loss of $2.97 per share on sales of approximately $92.2 million. For the first quarter of 2026, analysts expect a loss of $0.80 per share on sales of $22.4 million.
Conclusion
Arvinas's fourth quarter earnings report presented a mixed picture. While the company continues to make tangible progress advancing its novel PROTAC degraders through clinical development, its financial results for the quarter disappointed investors, leading to a significant pre-market decline. The investment thesis for Arvinas remains firmly tied to clinical execution and upcoming data catalysts in 2026, particularly for its lead neurology and oncology assets, rather than near-term financial performance. The company's extended cash runway provides it with the resources to reach these key inflection points.
For a detailed look at historical earnings and future analyst estimates for Arvinas, you can review the data here.
Disclaimer: This article is for informational purposes only and does not constitute investment advice, financial analysis, or a recommendation to buy or sell any security. Investors should conduct their own research and consult with a qualified financial advisor before making any investment decisions.
