Vera (VERA) Q2 Net Loss Widens 127%

Key Points

• Net loss per share (GAAP) widened to $1.20, more than doubling the prior-year GAAP net loss.

• Headline revenue (GAAP) recognized at $76.5 million.

• Strong clinical results and progress on key trial for atacicept support regulatory and commercial timelines.

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Vera Therapeutics (NASDAQ:VERA), a biotechnology company developing treatments for serious immunologic diseases, released results for the quarter on August 5, 2025. The most notable news was its widening net loss to $76.5 million, or $1.20 per share (GAAP), compared to analyst expectations for a GAAP loss of $0.82 per share. While the company posted headline revenue of $76.5 million (GAAP). Results show accelerated spending as the company moves closer to a planned regulatory filing for its lead drug candidate. The quarter highlighted both significant progress in clinical trials and notable increases in research and development expenses.

Source: Analyst estimates for the quarter provided by FactSet.

Business Overview and Recent Focus

Vera Therapeutics is a clinical-stage biotechnology company focused on developing therapies for serious immunological diseases, most notably Immunoglobulin A Nephropathy (IgAN)—a chronic kidney condition. Its lead drug candidate, atacicept, is a dual BAFF/APRIL inhibitor designed to modify the course of IgAN, a disease with few options for disease-modifying treatment. The company's progress with atacicept is the main driver of its business, with a strategy built around advancing this drug through clinical trials and regulatory submissions.

Recently, Vera has concentrated efforts on completing pivotal trials and preparing for commercial launch. The outcome of the pivotal Phase 3 ORIGIN trial for atacicept sets the foundation for a future submission to the U.S. Food and Drug Administration (FDA) for accelerated approval. Achieving regulatory approval and effective commercialization will be key success factors. Other areas of focus include expanding clinical programs into related kidney diseases and managing partnerships that may enhance the long-term portfolio.

Second Quarter Highlights and Financial Developments

This should not be seen as progress toward recurring commercial revenue, as the company remains pre-commercial and has no approved products on the market. Year over year, the GAAP net loss increased by approximately 127%.

The loss per share (GAAP) of $1.20 widened significantly from $0.62 in Q2 2024, indicating a rapid increase in spending. Research and development expenses (GAAP) nearly doubled to $58.2 million, up from $29.3 million in Q2 2024. The rise in spending reflects the costs of running late-stage clinical trials, scaling up for potential commercialization, and supporting ongoing studies in additional disease areas.

On the clinical front, the company marked major milestones. It announced positive 36-week endpoint results from the ORIGIN Phase 3 trial in IgAN, showing a 46% reduction from baseline in proteinuria at 36 weeks in the pivotal ORIGIN 3 trial and a 42% benefit compared to placebo at 36 weeks in the pivotal ORIGIN 3 trial—key markers of disease activity—with strong statistical significance. The safety profile of atacicept remained favorable and comparable to placebo. These results reinforce the company's plan to file a Biologics License Application (BLA) to the FDA in the fourth quarter of 2025, aiming for an accelerated review and potential 2026 commercial launch.

Beyond IgAN, Vera initiated the PIONEER study to test atacicept in other related kidney diseases, such as primary membranous nephropathy (a type of kidney inflammation), focal segmental glomerulosclerosis (scarring in kidney filters), and minimal change disease. The expansion of atacicept into these areas, with initial results expected later in the year, shows the ambition to broaden the drug's impact and revenue potential beyond its core indication. No dividend was declared or changed, and the company did not pay a dividend this quarter.

Product Pipeline and Path to Commercialization

Atacicept, Vera's lead program, is a biologic drug targeting two key drivers of autoimmunity in kidney diseases—BAFF and APRIL. The drug's profile sets it apart from competitors by potentially altering the disease course, not just treating symptoms. The recent clinical results, combined with FDA Breakthrough Therapy Designation for IgAN, give atacicept a route to expedited regulatory review, increasing the likelihood of timely commercialization.

The company is also building out a specialized commercial team with expertise in nephrology. The organization is preparing to convert clinical success into real-world adoption and establish the infrastructure for ongoing patient support and reimbursement.

Vera further strengthened its balance sheet with a new credit facility of up to $500 million from Oxford Finance LLC, designed to fund operations through the planned approval and initial launch period for atacicept. Together with $556.8 million in cash, equivalents, and marketable securities as of June 30, 2025, the company is well positioned to support both the final-stage trials and the resources needed for market entry. Cash burn has accelerated sharply, with operating expenses (GAAP) up 114.6% year-over-year, but leadership emphasizes that the financial runway extends past the anticipated commercialization date.

Another area of focus is pipeline expansion. Vera maintains exclusive rights to both atacicept and MAU868, a monoclonal antibody developed to treat BK virus infection in kidney transplant recipients. It also recently licensed VT-109, a next-generation BAFF/APRIL inhibitor, from Stanford University, broadening its options for future development in B-cell mediated diseases. These strategic acquisitions and partnerships further support long-term portfolio diversification.

Outlook and What to Watch Next

The management did not provide formal financial guidance for third quarter or full-year fiscal 2025. Instead, it continued to emphasize near-term milestones, specifically the planned BLA submission for atacicept in IgAN in the fourth quarter, an intended commercial launch in 2026, and presentations of pivotal trial data later in the year. Expectations are set for initial PIONEER trial results and for the company to share full data from the ORIGIN 3 trial at a key medical meeting in the final quarter of 2025. Company leadership stresses that the existing cash and new credit facility are sufficient to cover anticipated operating spending through these regulatory and launch inflection points.

Investors should keep an eye on regulatory progress for atacicept, updates from pivotal trials, expansion of the drug into related diseases, and trends in cash burn as the company approaches commercialization. Progress toward commercialization and future revenue will hinge on positive trial outcomes, regulatory approval, and strategic execution in building market access. Vera Therapeutics does not currently pay a dividend.

Revenue and net income presented using U.S. generally accepted accounting principles (GAAP) unless otherwise noted.

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