Company: ARWR
Filing Date: 2025-11-25
Form Type: 10-K
Source: 0000879407-25-000029
Chunk: 147

Company: ARROWHEAD PHARMACEUTICALS, INC.
Filing Date: 2025-11-25
Form: 10-K
Item: Item 7
Chunk 147
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 will prospectively adjust the amortization of the royalty financing obligations and the effective interest rate. 

RESULTS OF OPERATIONS

The following data summarizes the Company’s results of operations for the following periods indicated: 

Year Ended September 30,202520242023(in thousands, except per share amounts)Revenue$829,448 $3,551 $240,735 Operating income (loss)$98,346 $(601,080)$(205,002)Net loss attributable to Arrowhead$(1,631)$(599,493)$(205,275)Net loss per share (diluted) attributable to Arrowhead$(0.01)$(5.00)$(1.92)

Year Ended September 30, 2025 Compared to Year Ended September 30, 2024

Revenue

Total revenue for the year ended September 30, 2025 increased by $825.9 million, from the same period of 2024. The change was primarily driven by increased revenue recognition associated with the Sarepta, Sanofi, and GSK license  agreements as discussed below. 

The Company has evaluated each agreement in accordance with FASB Topic 808–Collaborative Arrangements and Topic 606-Revenue for Contracts from Customers. See Note 2 — Collaboration and License Agreements of the Notes to Consolidated Financial Statements of Part IV, “Item 15. Exhibits and Financial Statement Schedules.”

Sarepta: On November 25, 2024, the Company entered into the Sarepta Collaboration Agreement and Stock Purchase Agreement with Sarepta for the development and commercialization of multiple clinical and preclinical programs in rare, genetic diseases of the muscle, central nervous system, and lungs. During the fourth quarter of fiscal 2025, a $100.0 million milestone payment from Sarepta Therapeutics, Inc. was triggered, when the Company reached the first of two prespecified enrollment targets and subsequent authorization to dose escalate in a Phase 1/2 clinical study of ARO-DM1, an investigational RNAi therapeutic for the treatment of type 1 myotonic dystrophy (DM1). The Company received $53.2 million of Arrowhead common stock and $50.0 million cash from Sarepta to satisfy the milestone payment. During the year ended September 30, 2025, the Company recorded $696.8 million in revenue. 

Visirna: On August 1, 2025, Visirna Therapeutics