Shares of EyePoint Pharmaceuticals (NASDAQ: EYPT) tumbled 7.02% in pre-market trading on Wednesday following the release of its third-quarter 2025 financial results, which revealed a wider net loss and a significant revenue decline.

The clinical-stage biopharmaceutical company reported a net loss of $59.7 million, or $0.85 per share, for the quarter ended September 30, 2025. This marks a substantial increase from the $29.4 million loss, or $0.54 per share, recorded in the same period last year. The company's quarterly loss per share of $0.85 missed the analyst consensus estimate of $0.79 by 7.87%.

EyePoint's revenue took a significant hit, plummeting to $1.0 million from $10.5 million in the third quarter of 2024. This 90.82% year-over-year decrease fell well short of analyst expectations, missing the projected $3.329 million by 70.99%. The company attributed the revenue decline primarily to lower income from license and collaboration agreements.

Operating expenses for the quarter surged to $63.0 million, up from $43.3 million in the prior year period. This increase was largely driven by higher clinical trial costs related to ongoing Phase 3 studies for DURAVYU, the company's lead product candidate for wet age-related macular degeneration (wet AMD).

Despite the disappointing quarterly results, EyePoint highlighted some positive developments. The company recently completed an oversubscribed equity financing round, raising $172.5 million. This cash infusion is expected to extend the company's operational runway into the fourth quarter of 2027 and fully fund its diabetic macular edema (DME) pivotal program.

EyePoint remains focused on its clinical development pipeline, with key milestones anticipated in the coming years. The company expects a data readout from its LUGANO Phase 3 trial for DURAVYU in wet AMD by mid-2026, with results from the LUCIA trial to follow shortly after. Additionally, EyePoint plans to initiate patient dosing for its pivotal Phase 3 DME trials in the first quarter of 2026.