Cibus, Inc. Earnings Call Highlights Progress and Challenges

Cibus, Inc. ((CBUS)) has held its Q3 earnings call. Read on for the main highlights of the call.

Cibus, Inc. Earnings Call Reflects Cautious Optimism Amid Challenges

The recent earnings call for Cibus, Inc. presented a cautiously optimistic outlook, highlighting significant progress in commercialization efforts, particularly in rice herbicide tolerance traits and biofragrance products. Despite these advancements, the company faces challenges, including a decline in revenue and concerns over cash runway, compounded by some regulatory delays in the EU.

Expansion of Rice Herbicide Tolerance Traits

Cibus has made notable strides in expanding its rice herbicide tolerance traits, having signed seven customer agreements across the USA and Latin America. These agreements cover approximately 5 million to 7 million addressable acres, with the potential to generate over $200 million in annual royalties. This expansion marks a significant step forward in the company’s commercialization strategy.

Successful Biofragrance Scale-Up

The company has successfully completed pre-commercial pilot runs for two biofragrance products. This achievement positions Cibus to receive initial payments and sets the stage for a full commercial scale-up by 2026. The biofragrance program represents a promising avenue for future growth and diversification.

Regulatory Approvals and Advancements

Cibus is experiencing positive regulatory developments across multiple regions, including the EU, Ecuador, North and South America, India, and parts of Asia. These advancements are crucial for enhancing global market access for the company’s gene-edited products, supporting its long-term growth strategy.

Cost Reduction and Operational Streamlining

In an effort to streamline operations, Cibus has reduced its operating expenses by nearly $5 million in the first nine months of 2025. The company is on track to consolidate its facilities, aiming to achieve approximately $30 million in annual net cash usage by 2026, which is a critical component of its financial strategy.

Revenue Decline

Cibus reported a revenue decline for the third quarter, with earnings of $615,000 compared to $1.7 million in the same period last year. This decrease reflects the timing of partner-funded program activities, posing a challenge for the company’s financial performance.

Cash Runway Concerns

As of September 30, 2025, Cibus had $23.9 million in cash and cash equivalents, which is expected to fund planned expenses only into early Q2 2026. This raises concerns about the company’s cash runway and its ability to sustain operations without additional funding.

Regulatory Delays in the EU

While progress is being made, the finalization of the EU regulatory process for new genomic techniques is proceeding slower than anticipated. These delays could impact the company’s timeline for market entry in the region.

Forward-Looking Guidance

During the earnings call, Cibus provided forward-looking guidance, emphasizing its focus on commercialization and strategic partnerships. The company projects significant potential royalties from its rice herbicide tolerance traits, with commercial launches planned for Latin America in 2027, the U.S. in 2028, and Asia by 2030. Additionally, Cibus aims to reduce its annual net cash usage to $30 million by 2026, leveraging regulatory advancements to drive future growth.

In summary, the Cibus, Inc. earnings call reflected a cautiously optimistic sentiment, with significant progress in commercialization and regulatory advancements. However, challenges such as revenue decline and cash runway concerns remain. The company’s strategic focus on expanding its product offerings and reducing operational costs is crucial for its future growth and financial stability.