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Introduction & Market Context
Xbrane Biopharma AB (STO:XBRANE) presented its Q2 2025 interim results on August 26, highlighting the continued market penetration of its flagship biosimilar Ximluci and significant financial restructuring efforts. The Swedish biosimilar developer, which focuses on developing cost-effective alternatives to expensive biological drugs, reported progress across its product portfolio while addressing its previously challenging financial position.
The company’s stock has traded between SEK 0.13 and SEK 0.31 over the past 52 weeks, with the most recent close at SEK 0.29, reflecting investor interest in the company’s strategic repositioning and commercial progress.
Quarterly Performance Highlights
Xbrane reported Q2 2025 revenue of SEK 39.9 million with a 100% gross margin, primarily attributed to milestone payments from its license agreement with Intas Pharmaceuticals. This represents a significant improvement from the same quarter last year when the company reported SEK 27.2 million in revenue.
As shown in the following chart of quarterly revenue trends:
The company’s expenses included SEK 18.3 million in administration costs (with SEK 9 million being non-recurring) and SEK 26.3 million in R&D expenses, with an additional SEK 48.9 million in capitalized R&D costs. Management indicated that fixed costs are expected to decrease to approximately SEK 12.5 million quarterly from Q3 2025 onward, following the completion of its financial restructuring.
Ximluci Commercial Progress
Ximluci, Xbrane’s biosimilar to Lucentis (ranibizumab), has now been launched in 24 countries through the company’s partnership with STADA Pharmaceuticals. The product showed encouraging growth in Europe with an 11% volume increase in Q2 2025 compared to Q1 2025, achieving an 8.0% market share as of May 2025.
The following chart illustrates Ximluci’s volume market share and profit contribution:
The partnership with STADA includes profit sharing of 50% of EBITDA, which has generated a cumulative SEK 116 million for Xbrane to date. The company maintains inventory valued at SEK 170 million, positioning it for continued market expansion.
Xbrane’s global commercialization strategy for Ximluci includes a comprehensive partnership with STADA covering multiple territories:
Strategic Initiatives and Partnerships
A significant development for Xbrane is the upcoming FDA decision on Lucamzi (the US brand name for Ximluci) with a target date of October 21, 2025. For the US market, Xbrane and STADA have partnered with Valorum Biologics to commercialize the product in the USD 10 billion US retinal anti-VEGF market.
The US market represents a substantial opportunity for Xbrane, as illustrated in the following profit share scenario analysis:
The company’s pipeline also includes Xdivane, a biosimilar to Bristol Myers Squibb’s Opdivo (nivolumab), which is progressing through clinical development. This program triggered a €2 million milestone payment in Q3 2025, with potential for significant future revenue as shown in the profit sharing projections:
Financial Analysis
The most transformative financial event during the quarter was the completion of the Alvotech transaction in June 2025, which generated proceeds of SEK 270 million. This transaction allowed Xbrane to fully settle its convertible bond of SEK 152.75 million and significantly reduce its accounts payable from SEK 243 million in Q4 2024 to SEK 112 million by the end of Q2 2025.
The following waterfall chart illustrates the impact of the Alvotech transaction on Xbrane’s financial position:
Despite these positive developments, Xbrane reported a cash position of only SEK 6 million at the end of June 2025 and a negative operating cash flow of SEK 65 million for the quarter. However, the company completed a directed share issue of SEK 240 million in July 2025 (after the quarter end), which substantially improved its financial position.
Forward-Looking Statements
Xbrane outlined several key priorities for the remainder of 2025 and 2026, including:
1. Preparation for the US launch of Lucamzi following the FDA decision expected on October 21, 2025
2. Supporting STADA in continued European and MENA market penetration for Ximluci
3. Resuming commercial manufacturing of Ximluci during H2 2025
4. Initiatives to reduce Ximluci production costs for long-term competitiveness
5. Development and filing of a pre-filled syringe version of Ximluci
6. Advancing Xdivane through process characterization and validation
CEO Martin Åmark emphasized the company’s progress, stating: "The strategic sale to Alvotech has resulted in significant reduction of debt and reduced cost structure, positioning us for sustainable growth as our products continue to gain market share."
With its debt substantially reduced, commercial products gaining traction, and pipeline advancing, Xbrane appears to be entering a more stable phase after completing its financial restructuring, though continued execution will be critical to achieving sustainable profitability.
Full presentation:
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