Novocure (NASDAQ:NVCR) Q3 2025 Earnings: Revenue Beat and Narrower Loss Drive Shares Higher

Novocure Reports Q3 2025 Results: Revenue Beat Amidst Ongoing Losses

NOVOCURE LTD (NASDAQ:NVCR) announced its financial results for the third quarter of 2025, delivering a performance that narrowly surpassed analyst revenue expectations while continuing to report a net loss. The oncology company, known for its Tumor Treating Fields (TTFields) therapy, saw its shares react positively in pre-market trading following the release.

Financial Performance vs. Estimates

The company's top-line results for the quarter showed modest growth, edging out consensus forecasts. However, profitability remains a challenge as Novocure continues to invest heavily in its clinical pipeline and commercial expansion.

• Revenue: The company reported total net revenues of $167.2 million, an 8% increase compared to the same period in 2024. This figure came in above the analyst estimate of approximately $162.4 million.
• Earnings Per Share (EPS): Novocure reported a net loss of $37.3 million, resulting in a loss per share of $0.33. This was a narrower loss than the $0.43 per share anticipated by analysts.
• Market Reaction: The pre-market trading activity, showing an increase of over 5.6%, suggests investor approval of the revenue beat and the smaller-than-expected loss.

Operational and Business Highlights

Beyond the headline financial figures, the earnings report detailed several key operational metrics and strategic advancements.

• Patient Growth: As of September 30, 2025, there were 4,416 active patients on TTFields therapy globally. The core Optune Gio product for glioblastoma saw a 5% year-over-year increase in active patients to 4,277. The newer Optune Lua product for lung cancer and mesothelioma had 139 active patients.
• Geographic Expansion: The quarter saw significant regulatory progress, including the acceptance of a premarket approval (PMA) application for pancreatic cancer by the FDA, coverage for Optune Gio in Spain's national health system, and approval for Optune Lua in Japan for use with immunotherapy in lung cancer.
• Financial Position: The company maintains a strong cash position, with cash, cash equivalents, and short-term investments totaling $1.03 billion as of the end of the quarter.

Expenses and Path to Profitability

While revenue grew, the company's expenses also increased as it builds out its infrastructure and funds its development programs. The path to profitability remains a central focus, as highlighted by management.

• Gross Margin: Declined to 73% from 77% in the prior year, driven by costs associated with new product rollouts and treating lung cancer patients prior to establishing broad reimbursement.
• Operating Expenses: Research and development costs rose 4% to $54.0 million, while general and administrative expenses increased 15% to $45.9 million, partly due to investments in digital infrastructure.
• Management Commentary: CEO Ashley Cordova emphasized the company's focus on reaching profitability, stating, "With four indications expected in market by year-end 2026, we are well on our way to becoming a platform therapy company — and we remain sharply focused on reaching profitability and expanding patient impact."

Future Outlook and Analyst Estimates

The company provided several anticipated clinical and regulatory milestones but did not issue formal financial guidance for the coming quarters in the press release. Investors often look to analyst consensus to gauge future expectations.

• Upcoming Milestones: Key events include a PMA submission for brain metastases from non-small cell lung cancer in Q4 2025, and topline data readouts for pancreatic cancer and glioblastoma trials in the first half of 2026.
• Analyst Expectations: For the next quarter (Q4 2025), analysts are currently modeling for sales of approximately $163.3 million. For the full year 2025, the sales consensus stands at about $645.6 million.

Conclusion

Novocure's third-quarter results reflect a company in a transitional phase, successfully growing its commercial business and expanding its therapeutic reach while managing the costs associated with that growth. The revenue beat and a smaller-than-expected loss were enough to generate positive momentum in early trading. The company's substantial cash reserve provides a lengthy runway to continue executing its strategy, with investor attention now turning to the successful commercialization of new indications and the critical clinical data readouts expected in 2026.

For a more detailed look at historical earnings and future analyst estimates for Novocure, you can review the data here.

Disclaimer: This article is for informational purposes only and does not constitute investment advice. The author has no position in any stock mentioned. Readers should conduct their own research and consult with a qualified financial advisor before making any investment decisions.