Schrodinger, Inc. ( (SDGR) ) has released its Q1 earnings. Here is a breakdown of the information Schrodinger, Inc. presented to its investors.
Schrödinger, Inc., a leader in computational molecular discovery, operates in the biotechnology sector, providing software solutions for drug development and materials design. The company reported strong financial results for the first quarter of 2025, with total revenue reaching $59.6 million, a 63% increase from the previous year. Software revenue accounted for $48.8 million of this total, driven by early renewals and increased hosted contracts.
Key financial highlights include a significant rise in drug discovery revenue, which reached $10.7 million, largely due to a collaboration with Novartis. Despite a net loss of $59.8 million, Schrödinger’s operating expenses decreased by 5% compared to the previous year, reflecting lower R&D costs. The company also reported a non-GAAP net loss of $46.7 million, showing improvement from the previous year’s non-GAAP net loss.
Strategically, Schrödinger is advancing its proprietary and collaborative drug discovery programs, with several Phase 1 clinical studies underway. The company plans to present initial data from its SGR-1505 clinical study in June. Additionally, Schrödinger is enhancing its computational platform with initiatives like predictive toxicology, expected to launch in the latter half of 2025.
Looking ahead, Schrödinger maintains its 2025 financial guidance, anticipating software revenue growth between 10% and 15%, and drug discovery revenue ranging from $45 million to $50 million. The company remains optimistic about its long-term growth prospects, supported by its robust software business and advancing drug discovery pipeline.