The EPS beat and improved cash burn are positive, but the 56% revenue decline is a significant red flag. Watch for upcoming REC-4881 regulatory update in 2H26 and additional REC-1245 dose escalation data — these are the key catalysts. The reiterated cash runway into early 2028 provides a long buffer, but revenue trajectory needs to stabilize for sustained bullish sentiment.
Price Chart
Executive Summary
Recursion Pharmaceuticals reported Q1 2026 EPS of -$0.21, beating consensus of -$0.26 by 18.3%, while revenue of $6.5M missed the $15.8M estimate by 58.9%. The company reiterated its 2026 cash burn guidance of <$390M and highlighted clinical progress across multiple pipeline programs, but the sharp revenue decline and ongoing losses temper the positive EPS surprise.
Key Financial Metrics
Key Facts
- EPS of -$0.21 beat consensus of -$0.26 by 18.3%
- Revenue of $6.5M missed consensus of $15.8M by 58.9%
- Net loss narrowed to $117.5M from $202.5M in Q1 2025
- Cash, cash equivalents and restricted cash: $665.2M as of March 31, 2026
- Reiterated 2026 operational cash burn guidance of <$390M, runway into early 2028
- R&D expenses decreased to $87.9M from $129.6M YoY
- Operating cash flow improved to -$81.1M from -$132.0M YoY
- REC-1245 (RBM39 degrader) showed favorable safety and PK data in Phase 1/2
- REC-4881 (MEK1/2) Phase 2 data showed 43% median polyp burden reduction at Week 13
- First patient dosed in REC-4539 (LSD1 inhibitor) Phase 1 study in April 2026
Financial Impact
Revenue declined 56.1% YoY to $6.5M; net loss improved 42.0% YoY to $117.5M; cash burn reduced 38.6% YoY to $81.1M operating cash outflow
Risk Factors
- Revenue decline of 56% YoY due to completion of Roche project phases
- Heavy reliance on partnership revenue; no product revenue yet
- High cash burn rate despite improvements; $665M cash may not cover all pipeline programs
- Clinical-stage biotech with no approved products; all programs are early-stage
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 1 press release from GlobeNewswire.
| Document | Accession Number |
|---|---|
| PRESS-RELEASE Data (Synthetic) | press-3288617 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Oct 15, 2026 11d ago | 424B5 | $3.47 $3.58 | ▼ −3.32% | ▼ −3.23% | $4.06 (−17.17%) |
Oct 15, 2026 12d ago | 8-K | $4.16 $3.58 | ▼ −13.94% | ▼ −12.93% | $4.06 (−2.41%) |
Oct 15, 2026 12d ago | Press Release | $4.16 $3.58 | ▼ −13.94% | ▼ −12.93% | $4.06 (−2.41%) |
Oct 15, 2026 12d ago | Press Release | $4.16 $3.58 | ▲ +13.94% | ▲ +12.93% | $4.06 (+2.41%) |
Oct 15, 2026 12d ago | Press Release | $4.16 $3.58 | ▼ −13.94% | ▼ −12.93% | $4.06 (−2.41%) |
Oct 15, 2026 12d ago | 424B5 | $4.16 $3.58 | ▲ +13.94% | ▲ +12.93% | $4.06 (+2.41%) |
Oct 6, 2026 21d ago | 144 | $4.63 $3.84 | ▼ −17.17% | ▼ −17.03% | $4.06 (−12.31%) |
Oct 6, 2026 21d ago | 144 | $4.63 $3.84 | ▼ −17.17% | ▼ −17.03% | $4.06 (−12.31%) |
Sep 21, 2026 5w ago | 8-K | $3.97 $3.70 | ▼ −6.80% | ▼ −5.78% | $4.06 (+2.26%) |
Sep 10, 2026 6w ago | Insider Cluster | $3.20 $3.83 | ▲ +19.69% | ▲ +20.03% | $4.06 (+26.87%) |
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