Zevra Therapeutics (ZVRA) stock is experiencing a significant pre-market plunge of 10.80% on Wednesday, following the release of its mixed second-quarter 2025 earnings report. The sharp decline comes despite the company beating revenue expectations but falling short on earnings per share (EPS) estimates.

For the quarter ended June 30, Zevra reported revenue of $25.9 million, surpassing analyst expectations of $22.5 million and marking a substantial increase from $4.5 million in the same quarter last year. The revenue growth was primarily driven by MIPLYFFA, which generated $21.5 million in net revenue. However, the company's adjusted earnings of $1.21 per share missed the consensus estimate of $1.50 per share, disappointing investors who had anticipated stronger bottom-line results.

Despite the revenue beat and a completed $150 million Priority Review Voucher (PRV) sale that strengthened the company's financial position, investors seem to be focusing on the earnings miss and potentially other factors in the report. Zevra's management stated that the company has sufficient resources to execute its strategic priorities independent from the capital markets, with cash, cash equivalents, and securities totaling $217.7 million at the end of June. However, this assurance appears insufficient to calm investor concerns, as reflected in the stock's pre-market decline.