Ironwood Pharmaceuticals Reports Q1 2025 Financial Results

Ironwood Pharmaceuticals ( (IRWD) ) has released its Q1 earnings. Here is a breakdown of the information Ironwood Pharmaceuticals presented to its investors.

Ironwood Pharmaceuticals, a biotechnology company based in Boston, specializes in developing and commercializing therapies for gastrointestinal and rare diseases. The company is known for its product LINZESS, a leading treatment for irritable bowel syndrome with constipation and chronic idiopathic constipation.

In the first quarter of 2025, Ironwood Pharmaceuticals reported a significant decrease in total revenue, down to $41.1 million from $74.9 million in the same period the previous year. Despite this, the company is on track to meet its full-year financial guidance and has raised its adjusted EBITDA guidance to over $105 million for 2025. LINZESS prescription demand grew by 8% year-over-year, aligning with expectations.

Key financial highlights include a GAAP net loss of $37.4 million, a significant increase from the previous year’s loss of $4.2 million. The adjusted EBITDA for the quarter was negative $4.7 million, compared to a positive $21.1 million in the first quarter of 2024. The decrease in revenue and net profit was largely attributed to changes in AbbVie’s estimate of gross-to-net rebate reserves for LINZESS sales.

Ironwood is actively exploring strategic alternatives to maximize stockholder value, including advancing a confirmatory Phase 3 trial for apraglutide, a treatment for short bowel syndrome. The company has engaged Goldman Sachs to assist in exploring these strategic options.

Looking ahead, Ironwood remains committed to its financial targets for 2025, with expectations of U.S. LINZESS net sales between $800 million and $850 million. The company continues to focus on driving growth and profitability while exploring opportunities to enhance shareholder value.