Seres Therapeutics Reports Third Quarter 2025 Financial Results and Provides Business Updates
Following constructive FDA feedback, Seres is finalizing its SER-155 Phase 2 study protocol for the prevention of bloodstream infections in adults undergoing allogeneic hematopoietic stem cell transplant for the treatment of hematological malignancies
Efforts are ongoing to obtain capital and other resources to support SER-155 Phase 2 study; pending securing funding, interim clinical results anticipated within 12 months of study initiation
Ongoing investigator-sponsored study in immune checkpoint related enterocolitis expected to inform broader SER-155 opportunity; initial study results anticipated in early 2026
Seres recently implemented actions to reduce operating costs; based on these actions and current operating plans, Seres expects to fund operations through Q2 2026
“Following constructive feedback from the FDA, we are working to finalize our SER-155 Phase 2 study protocol for the prevention of bloodstream infections in adults undergoing allogeneic hematopoietic stem cell transplant (allo-HSCT) for hematological malignancies,” said
Recent Highlights
SER-155 and Bloodstream Infection (BSI) Prevention
- Efforts are ongoing to obtain capital and other resources to support the SER-155 Phase 2 study. The Company is evaluating a range of potential deal structures that could leverage Seres’ live biotherapeutics expertise and success, as demonstrated by bringing VOWST™, the first FDA-approved oral microbiome therapeutic, from early development through FDA approval.
- The Company received constructive feedback from the FDA during the third quarter and is working to finalize the planned Phase 2 study protocol for SER-155 in allo-HSCT, which previously received Breakthrough Therapy designation. The study is expected to enroll approximately 248 participants and incorporate an adaptive design and an interim data analysis when approximately half of the enrolled participants have reached the primary endpoint. The Company expects to obtain the interim clinical results within 12 months following study initiation, which it believes will facilitate timely engagement with the FDA on the design of a Phase 3 study, and inform development in adjacent medically vulnerable patient populations. The Company believes that positive results from the Phase 2 study, if achieved, could create significant value and enable advancement into a single Phase 3 trial to support registration.
- In the third quarter, CARB-X (Combating Antibiotic-Resistant Bacteria Biopharmaceutical Accelerator), a global non-profit partnership accelerating antibacterial products to address drug-resistant bacteria, awarded Seres a grant of up to
$3.6 million , representing the second grant the Company has received from CARB-X. The funds will support the development of an oral liquid formulation of SER-155, potentially expanding patient access for medically vulnerable populations who cannot be dosed with oral capsules.
- In October, Seres presented an oral presentation at IDWeek 2025. The presentation included new post-hoc analysis from the completed SER-155 Phase 1b study describing differences between the SER-155 and placebo groups, including the bacterial and fungal organisms causing BSIs, BSI event clinical outcomes, antibacterial prophylaxis use, and patterns of antimicrobial resistance (AMR) among the bacterial BSI organisms. These new data illustrated that BSIs occurred despite antibacterial prophylaxis, and that BSI bacteria exhibited AMR. Resistance to multiple antibacterial agents was observed only in the BSI bacteria from placebo-treated participants, two of whom had fatal outcomes related to their BSIs. These new data further support the potential of SER-155 as an innovative alternative approach to the significant unmet medical need for prevention of BSIs in HSCT patients, especially those BSIs associated with AMR that increase the risk of morbidity and mortality.
Development of Biotherapeutics for the Treatment of Inflammatory and Immune Diseases
- The Company is collaborating with
Memorial Sloan Kettering Cancer Center on an investigator-sponsored trial (IST) which is evaluating SER-155 in participants with immune checkpoint related enterocolitis (irEC). Enrollment is anticipated to be completed by the end of 2025, with clinical readout expected in early 2026. IrEC is among the most frequent and severe immune-related adverse events (irAEs) in recipients of immune checkpoint-inhibitor therapy and can be observed in up to 50% of patients, with rates varying based on cancer drug and treatment regimen. Immune checkpoint inhibitors can cause a wide range of irAEs with links to T cell biology and epithelial barrier inflammation, both of which are biological functions shown in our preclinical and clinical pharmacology data to be positively impacted by SER-155. Supportive data from this IST could provide further support for the expansion of indications that may be well suited for our biotherapeutic approach.
- Seres continues to explore potential R&D partnerships to advance development of its investigational live biotherapeutics in inflammatory and immune diseases, including ulcerative colitis and Crohn’s disease.
Financial Results
The Company has classified all historical operating results for the VOWST business within discontinued operations in the consolidated statements of operations for the comparative periods presented (three and nine months ended
- Seres reported net income from continuing operations of
$8.2 million for the third quarter of 2025, as compared to a net loss from continuing operations of$51.0 million for the same period in 2024. The net income of$8.2 million is comprised primarily of a$22.5 million loss from operations offset by a$27.2 million gain on sale of VOWST resulting primarily from the$25 million installment payment received, as expected, from Nestle during the third quarter. The net loss of$51.0 million in 2024 is primarily comprised of a$29.2 million loss from operations plus a$23.4 million loss on the extinguishment of the Oaktree debt, which was retired at completion of the VOWST sale inSeptember 2024 .
- Research and development (R&D) expenses for the third quarter of 2025 were
$12.6 million , compared with$16.5 million for the third quarter of 2024. The decrease in R&D expenses was primarily driven by a decrease in personnel and related costs, a decrease in platform investments, and a reduction in clinical expenses resulting from completion of the SER-155 Phase 1b study.
- General and administrative (G&A) expenses for the third quarter of 2025 were
$9.5 million , compared with$12.7 million for the third quarter of 2024. The decrease in G&A expenses was primarily a result of lower personnel and related expenses, including IT-related expenses.
- Manufacturing services expenses were
$0.7 million for the third quarter of 2025. These costs relate to the provision of manufacturing services under the Transition Services Agreement (TSA) with Nestlé, which began in the fourth quarter of 2024. The reimbursement received from Nestlé related to these expenses is recognized in other income.
Cash Runway
As of September 30, 2025, Seres had $47.6 million in cash and cash equivalents. Based on the Company’s current cash position, VOWST transaction-related obligations, and current operating plans, the Company expects to fund operations through the second quarter of 2026. The Company continues to evaluate further opportunities to extend its cash runway.
Conference Call Information
Seres’ management will host a conference call today, November 5, 2025, at 8:30 a.m. ET. The conference call may be accessed by calling 1-800-715-9871 (international callers dial 1-646-307-1963) and referencing the conference ID number 8471287. To join the live webcast, please visit the “Investors and News” section of the Seres website at www.serestherapeutics.com. A webcast replay will be available on the Seres website shortly after the event and will be archived for at least 21 days.
About SER-155
SER-155 is an investigational, oral, live biotherapeutic designed to decolonize gastrointestinal (GI) pathogens, improve epithelial barrier integrity, and induce immune homeostasis, to prevent bacterial bloodstream infections, including those that can harbor antimicrobial resistance (AMR), as well as other pathogen associated negative clinical outcomes, in patients undergoing allogeneic hematopoietic stem cell transplantation (allo-HSCT).
SER-155 has been evaluated in a Phase 1b placebo-controlled study in patients undergoing allo-HSCT, which demonstrated a significant reduction in both bacterial bloodstream infections (BSIs) (77% relative risk reduction) and systemic antibiotic exposure, as well as lower incidence of febrile neutropenia. SER-155 has received Breakthrough Therapy designation for the reduction of bloodstream infections in adults undergoing allo-HCST and Fast Track designation for reducing the risk of infection and graft-versus-host disease in patients undergoing allo-HCST. The early development of the program was supported by Combating Antibiotic-Resistant Bacteria Biopharmaceutical Accelerator (CARB-X), a global non-profit partnership accelerating antibacterial products to address drug-resistant bacteria.
About
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements contained in this press release that do not relate to matters of historical fact should be considered forward-looking statements, including statements about: the design, timing and results of our clinical studies and data readouts; current or future product candidates and their potential benefits; clinical development plans and commercial opportunities; communications with, feedback from, or submissions to the FDA; operating plans; cost reduction actions and their anticipated benefits; our cash runway; our ability to secure a strategic, R&D, or other partnership and/or generate or obtain additional capital, financing or other resources; our ability to operationalize a study upon receipt of any financing; our planned strategic focus; the anticipated timing of any of the foregoing; and other statements that are not historical fact.
These forward-looking statements are based on management’s current expectations. These statements are neither promises nor guarantees, but involve known and unknown risks, uncertainties and other important factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements, including, but not limited to, the following: (1) our need for additional funding; (2) our ability to continue as a going concern; (3) we have incurred significant losses, are not currently profitable and may never become profitable; (4) our cost reduction actions may not achieve their intended benefits, including an extended cash runway; (5) our limited operating history; (6) the expected payments from the VOSWT sale are subject to risks and uncertainties; (7) we may not be able to realize the anticipated benefits of the VOWST sale, and may face new challenges as a smaller, less diversified company; (8) we have in the past and may in the future receive notice of the failure to satisfy a continued listing rule from
CONDENSED CONSOLIDATED BALANCE SHEETS (unaudited, in thousands, except share and per share data) |
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| 2025 | 2024 | |||||||
| Assets | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalents | $ | 47,638 | $ | 30,793 | ||||
| Accounts receivable due from SPN – related party | 426 | 2,068 | ||||||
| Accounts receivable | 351 | — | ||||||
| Prepaid expenses and other current assets (1) | 3,112 | 5,813 | ||||||
| Total current assets | 51,527 | 38,674 | ||||||
| Property and equipment, net | 8,578 | 11,534 | ||||||
| Operating lease assets | 74,669 | 80,903 | ||||||
| Restricted cash | 8,668 | 8,668 | ||||||
| Other non-current assets | 31 | 31 | ||||||
| Total assets | $ | 143,473 | $ | 139,810 | ||||
| Liabilities and Stockholders’ Equity | ||||||||
| Current liabilities: | ||||||||
| Accounts payable | $ | 1,677 | $ | 4,079 | ||||
| Accrued expenses and other current liabilities | 6,382 | 10,719 | ||||||
| Accrued liabilities due to SPN – related party | 4,450 | 17,750 | ||||||
| Operating lease liabilities | 9,920 | 8,674 | ||||||
| Total current liabilities | 22,429 | 41,222 | ||||||
| Operating lease liabilities, net of current portion | 75,333 | 82,966 | ||||||
| Other long-term liabilities | 2,014 | 1,838 | ||||||
| Total liabilities | 99,776 | 126,026 | ||||||
| Commitments and contingencies (Note 9) | ||||||||
| Stockholders’ equity (deficit): | ||||||||
| Preferred stock, |
— | — | ||||||
| Common stock, |
9 | 9 | ||||||
| Additional paid-in capital | 1,000,756 | 991,874 | ||||||
| Accumulated other comprehensive loss | — | — | ||||||
| Accumulated deficit | (957,068 | ) | (978,099 | ) | ||||
| Total stockholders’ equity | 43,697 | 13,784 | ||||||
| Total liabilities and stockholders’ equity | $ | 143,473 | $ | 139,810 | ||||
| [1] Includes |
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CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (unaudited, in thousands, except share and per share data) |
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| Three Months Ended |
Nine Months Ended |
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| 2025 | 2024 | 2025 | 2024 | |||||||||||||
| Revenue: | ||||||||||||||||
| Grant revenue | 351 | — | 351 | — | ||||||||||||
| Total revenue | 351 | — | 351 | — | ||||||||||||
| Operating expenses: | ||||||||||||||||
| Research and development expenses | 12,616 | 16,460 | 37,376 | 51,759 | ||||||||||||
| General and administrative expenses | 9,476 | 12,710 | 31,617 | 40,721 | ||||||||||||
| Manufacturing services | 736 | — | 5,952 | — | ||||||||||||
| Total operating expenses | 22,828 | 29,170 | 74,945 | 92,480 | ||||||||||||
| Loss from operations | (22,477 | ) | (29,170 | ) | (74,594 | ) | (92,480 | ) | ||||||||
| Other income (expense): | ||||||||||||||||
| Gain on sale of VOWST Business | 27,222 | — | 79,588 | — | ||||||||||||
| Interest income | 618 | 652 | 1,782 | 3,530 | ||||||||||||
| Other income (expense) (2) | 2,841 | (22,517 | ) | 14,255 | (21,184 | ) | ||||||||||
| Total other income (expense), net | 30,681 | (21,865 | ) | 95,625 | (17,654 | ) | ||||||||||
| Net income (loss) from continuing operations | $ | 8,204 | $ | (51,035 | ) | $ | 21,031 | $ | (110,134 | ) | ||||||
| Net income from discontinued operations, net of tax | $ | — | $ | 139,811 | $ | — | $ | 125,907 | ||||||||
| Net income and comprehensive income | $ | 8,204 | $ | 88,776 | $ | 21,031 | $ | 15,773 | ||||||||
| Net income (loss) from continuing operations per share attributable to common stockholders – basic | $ | 0.94 | $ | (6.69 | ) | $ | 2.41 | $ | (14.68 | ) | ||||||
| Net income from discontinued operations per share attributable to common stockholders – basic | $ | — | $ | 18.32 | $ | — | $ | 16.78 | ||||||||
| Net income per share attributable to common stockholders – basic | $ | 0.94 | $ | 11.63 | $ | 2.41 | $ | 2.10 | ||||||||
| Net income (loss) from continuing operations per share attributable to common stockholders – diluted | $ | 0.94 | $ | (6.69 | ) | $ | 2.40 | $ | (14.68 | ) | ||||||
| Net income from discontinued operations per share attributable to common stockholders – diluted | $ | — | $ | 18.32 | $ | — | $ | 16.78 | ||||||||
| Net income per share attributable to common stockholders – diluted | $ | 0.94 | $ | 11.63 | $ | 2.40 | $ | 2.10 | ||||||||
| Weighted average common shares outstanding – basic | 8,758,692 | 7,632,242 | 8,735,418 | 7,504,763 | ||||||||||||
| Weighted average common shares outstanding – diluted | 8,771,519 | 7,632,242 | 8,744,797 | 7,504,763 | ||||||||||||
[2] Includes |
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Investor and Media Contact:
IR@serestherapeutics.com
Kendall Investor Relations
ctanzi@kendallir.com
Source: Seres Therapeutics, Inc.