10-Q · August 7, 2025
Carisma Therapeutics experienced a significant decline in revenue with no reported collaboration revenues for Q2 2025, compared to $9.2 million in Q2 2024. The company reported a net loss of $9.8 million for the quarter…
Earnings analysis · 10-Q
CARM earnings analysis
Filed November 12, 2025 · Our reading of the company's report
The latest report
Q3 2025 results were driven by a one-time collaboration revenue of $45.25M that turned the company profitable: net income of $44.717M and EPS of $1.07 versus a loss of $12.702M and EPS of $(0.31) in Q3 2024. Operating…
Read full summary
Q3 2025 results were driven by a one-time collaboration revenue of $45.25M that turned the company profitable: net income of $44.717M and EPS of $1.07 versus a loss of $12.702M and EPS of $(0.31) in Q3 2024. Operating income was $43.814M (96.8% of revenue) compared with an operating loss of $13.144M in the prior-year quarter. Despite the quarter’s accounting gain, the company is pursuing asset monetizations and an orderly wind down, has only $2.777M of cash, and faces Nasdaq delisting and substantial doubt about going concern.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
From revenue to operating profit
Where each $100 of revenue went in this report.
Cost of sales, operating expenses, and what remained. Figures are rounded to whole dollars.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $1.07
- Segment
- Single operating segment — Collaboration revenue $45,250,000 for Q3 2025; R&D expense $197,000 and G&A $1,239,000 for Q3 2025 (company reports one segment).
What stood out
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Large one‑time collaboration revenue
Collaboration revenues were $45.25M in Q3 2025 versus $3.385M in Q3 2024 (increase of $41.865M).
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Swing to profitability
Net income of $44.717M in Q3 2025 (EPS $1.07) compared with a net loss of $12.702M (EPS $(0.31)) in Q3 2024, a quarter-to-quarter swing of $57.419M in earnings impact.
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Strong operating margin this quarter
Operating income was $43.814M, representing a 96.8% operating margin for the quarter versus an operating loss of $13.144M in Q3 2024.
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Reduced operating expense run‑rate
Total operating expenses fell to $1.436M in Q3 2025 from $16.529M in Q3 2024 (decline of $15.093M), driven by lower R&D ($197k vs $11.326M) and G&A ($1.239M vs $5.203M).
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Operating cash outflow improved year‑over‑year
Net cash used in operating activities for the nine months ended Sept 30, 2025 was $(14.063)M versus $(51.565)M for the nine months ended Sept 30, 2024 (improvement of $37.502M).
What to watch
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Severe liquidity and going‑concern risk
Cash and cash equivalents were $2.777M as of Sept 30, 2025 and management states it "does not have sufficient cash...to support its operations for more than one year," creating substantial doubt about the Company's ability to continue as a going concern.
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Nasdaq delisting and trading suspension
The company received a delisting determination from Nasdaq on Oct 9, 2025 and its common stock was suspended from Nasdaq effective Oct 13, 2025 and began trading on the OTCID tier on Oct 13, 2025 (loss of primary exchange).
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Merger termination receivable uncertain
Company recorded a receivable of $1.3M (Termination Fee $0.8M + Expense Reimbursement $0.5M) related to the terminated OrthoCellix merger which it has not received and which may not be collectible.
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Deferred revenue largely recognized
Deferred revenue on the balance sheet went from $44.979M (3,729K current + 41,250K long‑term at Dec 31, 2024) to $0 at Sept 30, 2025, indicating one‑time recognition of previously deferred amounts and reduced future contracted revenue visibility.
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Asset base and leases reduced
Property and equipment, net declined from $4.385M at Dec 31, 2024 to $0 at Sept 30, 2025, and the company recorded a $0.9M loss on abandonment of an operating lease ROU asset during the nine months ended Sept 30, 2025.
Management's outlook
No numeric forward guidance provided. Management states it "expects to pay the majority" of workforce reduction amounts by the end of 2025, "expects to continue to attempt to sell or otherwise dispose of or monetize its remaining assets and pursue an orderly wind down," and "does not expect to be able to continue to file reports with SEC, including...Form 10-K for the fiscal year ending December 31, 2025."
Earlier filings 4
10-K · April 1, 2024
Carisma Therapeutics (formerly Sesen Bio) is a clinical‑stage CAR‑M company that completed a March 7, 2023 business combination and in late March 2024 adopted a revised operating plan to focus on higher‑value near‑term…
10-Q · November 9, 2023
Carisma reported Q3 collaboration revenue of $3.827M, up from $2.578M in Q3 2022 (+$1.249M, +48.4%), but operating loss widened to $22.344M. Cash and marketable securities totaled $94.1M at September 30, 2023, which…
10-K · February 28, 2023
The 10-K centers on Sesen Bio’s strategic shift to consummate a merger with CARISMA Therapeutics (Merger Agreement dated September 20, 2022) after the company voluntarily paused further U.S. development of Vicineum on…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.