FibroGen, Inc. (NASDAQ:FGEN) Faces Financial Challenges Despite Clinical Advances

• FibroGen reported an earnings per share (EPS) of -$1.88, better than the estimated -$2.25, indicating smaller losses than expected.
• The company's revenue of approximately $1.35 million fell short of the estimated $2.88 million, highlighting ongoing financial hurdles.
• FibroGen revised the total consideration for the sale of FibroGen China to AstraZeneca to approximately $210 million, potentially extending its cash runway into 2028.

FibroGen, Inc. (NASDAQ:FGEN) is a biopharmaceutical company focused on developing and commercializing therapies for serious unmet medical needs. The company is known for its work in fibrosis and hypoxia-inducible factor (HIF) biology. Despite its innovative pursuits, FibroGen faces financial challenges, as reflected in its recent earnings report and financial ratios.

On August 12, 2025, FibroGen reported an earnings per share (EPS) of -$1.88, surpassing the estimated EPS of -$2.25. This indicates that the company's losses were less than expected. However, the company generated a revenue of approximately $1.35 million, which fell short of the estimated $2.88 million. This shortfall in revenue highlights the ongoing financial hurdles the company faces.

During the Q2 2025 earnings conference call, key figures such as CEO Thane Wettig and CFO David DeLucia discussed the company's financial performance. The call, held on August 11, 2025, provided insights into FibroGen's strategic direction. Notably, the company revised the total consideration for the sale of FibroGen China to AstraZeneca, now expecting it to be approximately $210 million, a $50 million increase from the initial guidance. This transaction is anticipated to close in the third quarter of 2025, potentially extending FibroGen's cash runway into 2028.

FibroGen is also advancing its clinical developments. The company plans to initiate a Phase 2 monotherapy trial of FG-3246 in metastatic castration-resistant prostate cancer in the third quarter of 2025. Additionally, FibroGen has reached an agreement with the U.S. Food and Drug Administration on key design elements for a pivotal Phase 3 trial of roxadustat, aimed at treating anemia in patients with lower-risk myelodysplastic syndromes.

Despite these developments, FibroGen's financial ratios reflect its challenges. The company has a negative price-to-earnings (P/E) ratio of approximately -84.44, indicating ongoing losses. However, the current ratio is positive at approximately 2.02, indicating that FibroGen has a good level of liquidity to cover its short-term liabilities.