UroGen Pharma Ltd. (URGN) shares plummeted 8.67% during intraday trading on Thursday following the release of its second-quarter 2025 earnings report. The steep decline came as the biopharmaceutical company's bottom-line results fell short of analyst expectations, overshadowing a revenue beat.

UroGen reported a Q2 net loss of $1.05 per share, significantly wider than the $0.78 loss per share analysts had forecast. This disappointing result outweighed the company's revenue performance, which came in at $24.215 million, surpassing the estimated $23.136 million. The company's flagship product, JELMYTO, saw an 11% year-over-year revenue growth, driven by 7% demand growth and favorable pricing.

While UroGen celebrated the recent FDA approval of ZUSDURI, marking a significant milestone for its product portfolio, investors seemed more focused on the increased expenses that led to the earnings miss. The company reported higher research and development (R&D) expenses of $18.9 million for the quarter, as well as increased selling, general, and administrative (SG&A) costs. These elevated expenses contributed to a larger-than-expected net loss, raising concerns about the company's path to profitability as it continues to invest in its pipeline and prepares for the ZUSDURI launch.