Shares of Spyre Therapeutics Inc (SYRE) plummeted 5.16% in intraday trading on Wednesday following the release of its second-quarter 2025 financial results. The clinical-stage biotechnology company, focused on developing antibody therapies for inflammatory diseases, reported mixed results that appear to have disappointed investors.

The company's Q2 earnings featured a one-time $10.0 million gain from the sale of legacy rights, which improved its bottom line but did not reflect ongoing commercial activity. While this helped narrow the net loss and beat analyst estimates with a diluted earnings per share (EPS) of ($0.49) compared to the expected ($0.75), it highlighted the lack of recurring revenue from core operations.

Adding to investor concerns, Spyre reported a significant increase in research and development (R&D) expenses, which climbed 22.9% year-over-year to $40.1 million. This rise in expenses, attributed to advancing clinical pipeline programs and increased compensation costs, outpaced the company's one-time revenue gain. Despite management's assurances of prudent cash management and a robust financial position with $526.6 million in cash reserves, the market seems to be focusing on the lack of near-term commercial revenue as Spyre continues its development path.