Champions Oncology (CSBR) Q3 2025 earnings summary

Executive summary

• Achieved record Q3 revenue of $17 million, up 42% year-over-year, driven by core services and the first data licensing deal worth up to $8 million.

• Net income reached $4.5 million for Q3, reversing prior year losses, with $6.5 million net income for the nine months ended January 31, 2025.

• Operational improvements, cost reductions in R&D and G&A, and enhanced efficiency strengthened profitability.

• Data platform expansion, AI integration, and new leadership position the company for long-term growth.

• Successfully closed inaugural data deal, validating the strategic vision for a transformative data business.

Financial highlights

• Q3 total revenue was $17 million, with research service revenue at $12.5 million and data revenue at $4.5 million.

• Gross profit for Q3 was $10.4 million with a gross margin of 61%; research service margin improved to 48% from 35% year-over-year.

• Adjusted EBITDA reached $5.2 million, up from a $1.7 million loss last year.

• Year-to-date revenue rose 23% to $44.6 million; net income for nine months was $6.5 million.

• Ended the quarter with $3.2 million in cash and no debt.

Outlook and guidance

• Management anticipates some quarterly revenue fluctuations but expects sustained long-term profitability due to strategic cost realignment.

• Reaffirmed full-year revenue growth guidance of 10-15%.

• Too early to forecast the number, size, or frequency of future data deals or their revenue impact.

• May need to raise additional equity or debt capital in the near term to fund operations.