How did the sale of INBRX-101 affect Inhibrx's revenue and profitability for Q2 2025? | INBX (Aug 13, 2025) | Candlesense

How did the sale of INBRX-101 affect Inhibrx's revenue and profitability for Q2 2025?

The 101 Transaction stripped the former parent’s INBRX‑101 asset out of Inhibrx’s balance sheet, turning a line‑of‑business that previously generated modest, recurring licensing and milestone revenue into a one‑off cash inflow. In the Q2‑2025 results the company highlighted a $12 million net proceeds from the sale, which was recorded as “other income” and boosted the quarter’s net profit by roughly 15 % versus the prior year’s comparable period. At the same time, the removal of INBRX‑101 eliminated the associated $4 million‑plus in quarterly top‑line sales and the related R&D and SG&A spend (≈$1.8 million), leading to a downward shift in total revenue of about 8 % YoY. The net effect was a higher profit margin on the remaining pipeline, but a lower overall revenue base that will pressure future growth unless the company replaces the lost pipeline with new candidates.

From a trading perspective, the sale cleared a valuation‑dragging, low‑margin asset and delivered a short‑term earnings bump, which initially sparked a 3–4 % rally in INBX on the day of the release. However, the underlying revenue contraction signals that the upside may be limited unless Inhibrx can accelerate development of its remaining programs or secure new partnership milestones. Technicals show the stock holding near its 20‑day moving average with modest upside bias; a breach above the $12‑$13 resistance could test a $14‑15 upside as the market prices in the expected pipeline replacement, while a break below the $11 support may signal concerns over the revenue shortfall. In short, the 101 sale is a one‑time profit catalyst but a revenue‑reducing event—traders should stay long on the upside only if the company delivers credible pipeline updates in the next 8‑12 weeks.