Breaking Down Verve Therapeutics, Inc. (VERV) Financial Health: Key Insights for Investors

You're looking at Verve Therapeutics, Inc. (VERV) and trying to map the massive clinical upside of gene editing against the cold reality of a biotech burn rate, and honestly, the numbers tell a compelling story right now. The company closed Q1 2025 with a cash, cash equivalents, and marketable securities position of $497.1 million, which is a solid cushion that extends their runway into mid-2027-a crucial detail for a clinical-stage firm still posting a net loss of $31.0 million for the quarter. But the real game-changer isn't just the balance sheet; it's the clinical data showing a mean 53% reduction in low-density lipoprotein cholesterol (LDL-C) from their VERVE-102 program, plus the strategic movements like the Eli Lilly opt-in decision expected in the second half of 2025. This isn't a typical biotech; this is a company whose financial stability is directly tied to groundbreaking science and major pharmaceutical interest, so we need to break down exactly what that cash buys them and what the near-term catalysts truly mean for your investment.

Revenue Analysis

You need to look past the headline numbers for Verve Therapeutics, Inc. (VERV) because its revenue is not from selling a drug; it's a clinical-stage biotech. The short answer is that 100% of the company's income is Exploring Verve Therapeutics, Inc. (VERV) Investor Profile: Who's Buying and Why? derived from strategic collaboration agreements, not commercial product sales.

For the trailing twelve months (TTM) ending in Q1 2025, Verve Therapeutics, Inc.'s total revenue hit $59.61 Million USD. That sounds great, and it represents a massive year-over-year growth rate of +271.44% compared to the prior TTM period. But here's the quick math on why that growth is a one-time event, not a sustainable trend.

The primary revenue source, which is the only source, is the recognition of deferred revenue (money received in advance for services) from its research collaborations. This is the only segment contributing to the top line.

• Primary Revenue Source: Collaboration Revenue.
• Contribution to Total Revenue: 100%.
• No Product Sales: The company has no approved drugs, so there are zero product sales.

The significant change in the first quarter of 2025 is what drove the huge spike. Q1 2025 collaboration revenue was $33.0 Million, a huge jump from the $5.7 Million reported in Q1 2024. To be fair, this quarterly surge was largely non-recurring, or 'lumpy,' as we say in the industry. It was primarily due to recognizing the remaining deferred revenue tied to the termination of the research collaboration with Vertex Pharmaceuticals.

Still, the revenue also included increased recognition of amounts related to ongoing research services under the collaboration with Lilly (Eli Lilly and Company). This is a critical distinction: one part of the Q1 revenue was a one-off accounting event (Vertex termination), and the other part is ongoing (Lilly services).

What this estimate hides is that collaboration revenue is inherently volatile. You get big milestone payments or deferred revenue dumps, but it's not the predictable, recurring cash flow of a commercial-stage company. You need to normalize for that Vertex termination revenue to see the true run-rate. The table below shows the dramatic recent growth, but remember the context of the Q1 2025 figure.

So, your action here is simple: treat the $59.61 Million USD TTM revenue as a historical data point, not a forward-looking forecast. The real opportunity lies in the H2 2025 milestones, like the potential opt-in decision from Lilly for the PCSK9 program, which would bring in a new, substantial payment.

Profitability Metrics

You're looking for a clear picture of Verve Therapeutics, Inc.'s (VERV) financial health, and honestly, for a clinical-stage biotech, the profitability numbers will look jarring. The direct takeaway is this: Verve is operating at a significant loss, which is completely expected for a company focused on deep research and development (R&D) before commercializing a product.

For the trailing twelve months (TTM) ending Q1 2025, Verve Therapeutics, Inc. reported deeply negative profitability margins. This isn't a sign of operational failure; it's the cost of developing revolutionary, one-time gene-editing therapies like VERVE-102. The entire business model right now is about burning cash to create future value.

Here's the quick math on Verve Therapeutics, Inc.'s estimated 2025 profitability, based on TTM revenue of $59.61 million:

• Gross Profit Margin: -253.0\%
• Operating Profit Margin: -349.7\%
• Net Profit Margin: -303.6\%

These are not typos. The margins are negative because the company's costs are vastly exceeding its revenue, which is typical for pre-commercial biotechs.

Gross, Operating, and Net Margins

Let's break down those severe negative margins. In a traditional manufacturing or service business, a negative gross profit margin would signal a crisis-you're selling a product for less than it costs to make it. For Verve Therapeutics, Inc., the full-year estimated Gross Profit is a negative $150.82 million. This happens because their revenue, which was $32.98 million in Q1 2025, is almost entirely collaboration revenue. The associated costs for generating that revenue, which can include significant R&D expenses tied to the collaboration, are often classified in a way that leads to a massive negative Gross Profit figure.

The Operating Profit Margin of -349.7\% and Net Profit Margin of -303.6\% simply reflect the massive R&D outlay. Verve's core operation is its research, and that is where the money goes. The difference between operating and net loss is primarily due to non-operating items like interest income from their substantial cash reserves, which slightly offsets the loss.

Profitability Trends and Industry Comparison

The trend for Verve Therapeutics, Inc. has consistently been one of deep losses, and that will continue until a product is approved and commercialized. The company reported a net loss of $31.0 million in Q1 2025, which is an improvement from the $48.7 million net loss in Q1 2024, but the loss is still the core story.

When you compare this to the clinical-stage biotechnology sector, Verve Therapeutics, Inc. is right on track. Most of its peers also report zero or minimal revenue and significant negative profitability. Traditional metrics like Price-to-Earnings (P/E) are completely irrelevant here. The key metric is the cash runway, which, as of Q1 2025, was guided into mid-2027, thanks to a strong cash position of $497.1 million. That's the real financial health indicator for a company like this: how long can they fund their science.

Analysis of Operational Efficiency

Operational efficiency in this context isn't about minimizing Cost of Goods Sold (COGS)-it's about how effectively they manage their research and development (R&D) and general and administrative (G&A) expenses. The primary cost is R&D, which was $54.5 million in Q1 2025. This is the engine of the business.

Here is a snapshot of the estimated full-year 2025 figures, which shows where the money is going:

The efficiency focus for Verve Therapeutics, Inc. is on its R&D spend. The significant cash burn is a necessary investment in their pipeline, which includes the lead program, VERVE-102, targeting the PCSK9 gene. Positive clinical data is the only thing that changes this financial profile. The fact that their Q1 2025 net loss was lower than Q1 2024 suggests some cost management or a favorable revenue mix, but the overall picture is still one of heavy investment.

To dig deeper into the company's valuation and strategic positioning, you should read the full post: Breaking Down Verve Therapeutics, Inc. (VERV) Financial Health: Key Insights for Investors.

Next Step: Strategy Team: Model the impact of the Eli Lilly opt-in decision on 2026 collaboration revenue and R&D expense sharing by the end of the month.

Debt vs. Equity Structure

You want to know how Verve Therapeutics, Inc. (VERV) funded its cutting-edge gene editing work, and the answer is clear: equity, not debt. For a clinical-stage biotech company, this is defintely the standard play. They have maintained a very conservative capital structure, which is smart given the high-risk, long-timeline nature of drug development.

As of March 31, 2025, Verve Therapeutics, Inc.'s total debt stood at just $68.63 million USD. This is a minor figure when you look at their total stockholders' equity, which was a robust $473.513 million USD at the same time. Their balance sheet was overwhelmingly financed by investor capital, not borrowed money. That's a strong cushion for the R&D burn rate.

• Long-Term Debt: Roughly $58.12 million was classified as long-term debt and capital lease obligations.
• Short-Term Debt: The remaining portion, approximately $10.51 million, was short-term debt.

Here's the quick math on their leverage, which tells the real story.

A Debt-to-Equity (D/E) ratio of 0.145 means the company had less than 15 cents of debt for every dollar of shareholder equity. To be fair, this is even lower than the US Biotechnology industry average of 0.17 as of November 2025. This low ratio reflects a prudent financial management strategy, where the company prioritized equity funding-selling shares-to avoid the fixed interest payments and covenants that come with debt, especially when revenue is still ramping up. This reliance on equity is a hallmark of early-stage biotech, where the focus is on advancing the pipeline, like their VERVE-102 program. For more on their long-term vision, you can check out their Mission Statement, Vision, & Core Values of Verve Therapeutics, Inc. (VERV).

The most significant financing event in 2025 wasn't a debt issuance; it was an exit. The company was acquired by Eli Lilly and Company in a tender offer that closed on July 25, 2025. This acquisition provided a clear, concrete return to shareholders, with a consideration of $10.50 per share in cash, plus one non-tradable Contingent Value Right (CVR) per share, which could pay up to an additional $3.00 per CVR upon achieving a specified milestone. This effectively serves as the ultimate 'refinancing' or recapitalization, validating the initial equity-heavy funding model by converting shareholder risk into a substantial cash-plus-contingent payout.

Liquidity and Solvency

You want to know if Verve Therapeutics, Inc. (VERV) has the cash to keep its gene-editing programs running, and the short answer is yes, for the near term, but the underlying cash burn is real. The company's liquidity position is exceptionally strong, driven by a substantial cash reserve, which is typical for a clinical-stage biotech that relies on equity and collaborations, not product sales.

As of March 31, 2025, Verve Therapeutics, Inc. reported cash, cash equivalents, and marketable securities totaling approximately $497.1 million. This war chest is the primary driver of its financial strength and is expected to fund operations into mid-2027, giving them significant operational breathing room to hit key clinical milestones.

Assessing Verve Therapeutics, Inc.'s Liquidity

To gauge immediate financial health, we look at the Current Ratio and Quick Ratio (Acid-Test Ratio). These metrics show how well a company can cover its short-term debts with its easily convertible assets.

• Current Ratio: The trailing twelve months (TTM) Current Ratio stands at a massive 9.84.
• Quick Ratio: The TTM Quick Ratio is nearly identical at 9.59.

A ratio of 1.0 is considered healthy; anything above 2.0 is usually excellent. Verve Therapeutics, Inc.'s ratios are extremely high. This tells you two things: first, they have virtually no short-term debt, and second, their current assets-mostly cash and marketable securities-vastly outweigh their current liabilities. The small difference between the Current and Quick Ratios also confirms the company carries negligible inventory, which is expected for a research-focused biotech. This is defintely a strong liquidity profile.

Working Capital and Cash Flow Trends

The working capital (Current Assets minus Current Liabilities) for Verve Therapeutics, Inc. is overwhelmingly positive, reflecting the high liquidity ratios. However, the trend in cash flow reveals the reality of a pre-revenue biotech.

Here's the quick math on the cash flow over the trailing twelve months:

The negative Operating Cash Flow of -$142.46 million over the last twelve months is the core risk. This is the cost of running clinical trials for programs like VERVE-102 and VERVE-201. The Investing Cash Flow is low at -$4.53 million, indicating minimal spending on long-term assets, which is typical for a company whose main assets are intellectual property and human capital. Financing Cash Flow is what matters next. The company has historically relied on equity offerings, like the one in March 2024, to raise capital, and it maintains a very low Debt/Equity ratio of 0.14. They are funding their research through shareholder capital, not debt.

Liquidity Strengths and Concerns

The main strength is the cash runway into mid-2027. This gives management a long window to achieve critical value-inflection points-like the final data from the Heart-2 trial expected in the second half of 2025-before needing to raise capital again. What this estimate hides, however, is the risk of a clinical setback, which could accelerate the cash burn or force a dilutive equity raise at a lower valuation.

The primary liquidity concern is simple: the company is not profitable, reporting a net loss of $31.0 million in Q1 2025. Their current business model is a race against the clock to convert their cash into clinical success before the runway ends. For a deeper dive into the valuation models for this kind of company, you can read our full post: Breaking Down Verve Therapeutics, Inc. (VERV) Financial Health: Key Insights for Investors.

Valuation Analysis

You are looking at Verve Therapeutics, Inc. (VERV) and trying to figure out if the market has it right. For a clinical-stage biotechnology company, traditional valuation metrics (multiples) are often misleading or simply non-existent. The core value here is in the pipeline and cash runway, not current profit.

Let's look at the numbers. As a company still deep in research and development (R&D), Verve Therapeutics has negative earnings, which is why its Price-to-Earnings (P/E) ratio and Enterprise Value-to-EBITDA (EV/EBITDA) are both effectively not applicable (N/A) for the 2025 fiscal year. You can't divide a price by a negative number and get a useful ratio. The company reported a net loss of $31.0 million for the first quarter of 2025, which is typical for a business focused on clinical trials.

A better anchor point is the Price-to-Book (P/B) ratio, which sits at approximately 2.09. This tells you the stock price is roughly two times its book value (assets minus liabilities), suggesting investors are paying a premium for the intellectual property and the promise of its gene-editing technology, not its current tangible assets.

Here's the quick math on the analyst view and stock movement:

• Stock price has climbed over +44.55% in the last 52 weeks, demonstrating strong investor reaction to clinical data.
• The 52-week low was $2.86 (April 2025), and the high was $11.41 (June 2025).
• The average one-year analyst price target is $13.26, which is a defintely bullish signal compared to the recent price of around $11.13.

The stock price trend over the last 12 months shows significant volatility, with a massive run-up from the low in April 2025 to the high in June 2025. This volatility is driven by clinical trial data releases, not steady commercial performance. For example, the reported Q1 2025 collaboration revenue was $33.0 million, which was a strong beat but is non-recurring and dependent on partnership milestones, not product sales.

What this estimate hides is the binary risk of biotech. Verve Therapeutics does not pay a dividend, with a yield of 0.00%, as all capital is reinvested into R&D to advance its pipeline. The analyst consensus is generally positive, with the average price target implying an expected upside, but that hinges entirely on successful clinical outcomes for its lead candidates like VERVE-102. If you want to dive deeper into the clinical progress and the specific financial risks, you can read the full post: Breaking Down Verve Therapeutics, Inc. (VERV) Financial Health: Key Insights for Investors.

The bottom line: Verve Therapeutics is a 'show me' stock. You are buying the future earnings potential of a novel gene-editing platform, not a discounted cash flow (DCF) model based on current free cash flow. The market is pricing in significant success, but the stock is not overvalued based on analyst sentiment, which suggests a path to the $13.26 target.

Risk Factors

You're looking at Verve Therapeutics, Inc. (VERV) and seeing the potential of a one-time gene editing cure for heart disease, but as a clinical-stage biotech, its financial health is tied directly to pipeline execution, not commercial revenue. The biggest risk is a simple truth: it is a pre-commercial, loss-making entity, and that won't change in the near term.

The company reported a net loss of $31.0 million in the first quarter of 2025, even with a collaboration revenue boost of $33.0 million, which included a non-recurring revenue recognition from the Vertex Pharmaceuticals termination. Honestly, analysts project a full-year 2025 net loss of about $2.38 per share, which tells you the burn rate is still high. The good news is the balance sheet is strong, with cash and marketable securities totaling $497.1 million as of March 31, 2025, giving them a runway into mid-2027.

Operational and Clinical Program Risks

The core of Verve Therapeutics, Inc.'s risk profile is operational-it's all about the clinical trial data. If the promising initial results for VERVE-102 (which showed a mean LDL-C reduction of 53% in the 0.6 mg/kg cohort) do not replicate in the upcoming Phase 2 trial, the stock narrative collapses. This is a binary outcome risk.

• Clinical Trial Execution: Must initiate and enroll the VERVE-102 Phase 2 trial in the second half of 2025.
• Safety and Efficacy: Any new treatment-related serious adverse events (SAEs) in later-stage trials would be catastrophic.
• Limited Operating History: The company still needs to build out the infrastructure for late-stage development and, eventually, commercialization.

Here's the quick math: R&D is the main expense, with Q1 2025 total operating expenses rising to $69.6 million. That spending has to translate into clean clinical data, or it's just a capital drain.

External and Strategic Dependency

The external risks center on the regulatory environment and key strategic partnerships. Gene-editing therapies are still a relatively new frontier, and the U.S. Food and Drug Administration (FDA) and other global regulators are developing their frameworks in real-time. This evolving regulatory landscape could translate to longer approval timelines or additional data requirements, which means more time and money.

A major near-term strategic risk is the Eli Lilly and Company (Lilly) collaboration. Verve Therapeutics, Inc. expects to deliver the opt-in data package for the PCSK9 program and receive Lilly's opt-in decision in the second half of 2025. A positive decision provides significant strategic validation and co-funding. A negative one, especially following the Vertex termination, would raise serious questions about the perceived value of the platform.

You can see the company's long-term aspirations here: Mission Statement, Vision, & Core Values of Verve Therapeutics, Inc. (VERV).

What this estimate hides is the potential for dilution. Verve Therapeutics, Inc. has a long capital-intensive road ahead, so a future stock offering to raise more cash is defintely possible, even with the current strong cash position.

Actionable Next Step

Track the Eli Lilly opt-in decision and the Phase 2 initiation for VERVE-102 in the second half of 2025. These are the two most critical, near-term catalysts that will change the company's valuation and risk profile.

Growth Opportunities

You're looking at Verve Therapeutics, Inc. (VERV) and seeing a clinical-stage company, which means the financial story isn't about profit today, but about the massive potential of their one-time gene-editing therapies. The near-term growth hinges entirely on clinical data and a critical partnership decision, not commercial sales.

For the 2025 fiscal year, the company is still in the high-burn research and development phase. Analysts project Verve Therapeutics' total revenue to be around $47.63 million, which is up significantly from the 2024 annual revenue of $32.33 million, but this revenue is almost all from collaboration milestones, not product sales. Here's the quick math: the net loss per share (EPS) is expected to be about -$2.54 for the year, reflecting the high cost of running multiple Phase 1b trials. You need to focus on the pipeline milestones, not the bottom line losses right now.

The 'One-Dose Future' Product Innovations

The core growth driver is their innovative approach: in vivo gene editing, which means editing the patient's DNA inside their body with a single intravenous infusion. This could replace a lifetime of daily pills like statins, solving the massive problem of patient non-compliance in cardiovascular disease. That's a game-changer for the estimated $40+ billion lipid-lowering market.

Their pipeline is a three-pronged attack on the main drivers of atherosclerotic cardiovascular disease (ASCVD):

• VERVE-102 (PCSK9): This is the lead candidate, designed to permanently turn off the PCSK9 gene to lower LDL cholesterol (LDL-C). Initial data from the Heart-2 Phase 1b trial in Q1 2025 showed a mean LDL-C reduction of 53% at the highest dose tested. The FDA granted it Fast Track designation, so development should move faster.
• VERVE-201 (ANGPTL3): Targeting refractory hypercholesterolemia. A program update is expected in the second half of 2025 from the Pulse-1 Phase 1b trial.
• VERVE-301 (LPA): Nominated as a development candidate in Q1 2025, this therapy targets lipoprotein(a) (Lp(a)), a genetically validated risk factor that affects an estimated 1.4 billion people globally.

Strategic Partnerships and Near-Term Catalysts

The most important near-term catalyst is the partnership with Eli Lilly. They hold an opt-in option for the PCSK9 program (VERVE-102), and a decision is expected in the second half of 2025. A positive opt-in decision would immediately validate the technology, unlock significant milestone payments, and share the substantial development costs for Phase 3 trials. Plus, Lilly is already funding Phase 1 development for the VERVE-301 LPA program. Verve Therapeutics also received a $20 million milestone payment from Lilly in Q1 2025 for the VERVE-301 candidate nomination.

What this estimate hides is the binary risk: if the late-2025 Phase 2 start for VERVE-102 is delayed, or if Lilly opts out, the stock will defintely take a hit. Still, the company's cash position of $497.1 million as of Q1 2025 gives them a runway into mid-2027, which is a strong financial cushion for a biotech. Their proprietary GalNAc-LNP delivery technology is a key competitive advantage, allowing for precise delivery of the base editor to the liver.

For a detailed breakdown of the financials, you should read Breaking Down Verve Therapeutics, Inc. (VERV) Financial Health: Key Insights for Investors.

The clear next step for you is to track the Eli Lilly opt-in decision and the Phase 2 initiation timeline for VERVE-102, both expected in the second half of 2025.