Detailed financial statements for Arrowhead Pharmaceuticals, Inc. (ARWR): income statement, balance sheet and cash-flow summary. Track margins, debt, liquidity and profitability trends year over year: ten fiscal years free and up to 20 with Premium.
Arrowhead Pharmaceuticals, Inc., founded in 1989 and based in Pasadena, California, is a biopharmaceutical company dedicated to discovering and advancing innovative treatments for complex and challenging-to-treat diseases within the United States. The company's extensive therapeutic pipeline primarily leverages RNA interference (RNAi) technology.
Analysis Summary
Arrowhead Pharmaceuticals, Inc. reported revenue of $829.4M in the most recent fiscal year, growing at a 5-year CAGR of 56.6%.
Trailing-twelve-month margins: gross margin 100.0%, operating margin -33.8%, net margin -47.8%.
At $59.90 (closing price, October 30, 2026), ARWR has negative trailing earnings (P/E not meaningful) and an ROE of -60.54%. Market capitalisation stands at $8.5B.
Balance sheet quality for ARWR: current ratio of 4.9, net cash position of $553.1M. A debt-to-equity below 1.0 typically signals conservative capital structure, while a current ratio above 1.5 indicates comfortable short-term liquidity.
Income Statement (10y)
| Year | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | $158,333 | $31.4M | $16.1M | $168.8M | $88.0M | $138.3M | $243.2M | $240.7M | $3.6M | $829.4M |
| Cost of Revenue | 0 | 0 | 0 | 0 | 0 | 0 | $10.4M | $12.5M | $18.6M | 0 |
| Gross Profit | 0 | 0 | 0 | 0 | 0 | $138.3M | $232.8M | $228.2M | -$15.0M | $829.4M |
| Research & Development | $41.5M | $46.3M | $48.3M | $76.6M | $123.5M | $206.3M | $288.5M | $342.3M | $489.2M | $607.2M |
| Selling, General & Admin | $23.6M | $17.5M | $19.1M | $26.5M | $52.3M | $81.0M | $124.4M | $90.9M | $96.8M | $121.9M |
| Operating Expenses | $82.5M | $63.7M | $67.4M | $103.2M | $175.2M | $287.3M | $411.3M | $433.2M | $586.0M | $731.1M |
| Operating Income | -$81.7M | -$37.0M | -$55.9M | $61.2M | -$93.2M | -$149.0M | -$178.5M | -$205.0M | -$601.1M | $98.3M |
| EBITDA | -$76.4M | -$32.3M | -$51.2M | $65.6M | -$87.2M | -$132.6M | -$162.3M | -$175.7M | -$561.5M | $164.8M |
| Interest Expense | 0 | 0 | 0 | 0 | 0 | 0 | 0 | $18.3M | $32.4M | $89.4M |
| Pre-tax Income | -$81.7M | -$34.4M | -$54.4M | $68.1M | -$84.6M | -$140.8M | -$172.7M | -$206.5M | -$612.5M | $51.5M |
| Income Tax | $2,400 | $2,400 | $2,400 | $174,000 | $2,000 | $2,000 | $3.8M | $2.8M | -$2.8M | $21.4M |
| Net Income | -$81.7M | -$34.4M | -$54.5M | $68.0M | -$84.6M | -$140.8M | -$176.1M | -$205.3M | -$599.5M | -$1.6M |
| EPS | $-1.34 | $-0.47 | $-0.65 | $0.72 | $-0.84 | $-1.36 | $-1.67 | $-1.92 | $-5.00 | $-0.01 |
| EPS (Diluted) | $-1.34 | $-0.47 | $-0.65 | $0.69 | $-0.84 | $-1.36 | $-1.67 | $-1.92 | $-5.00 | $-0.01 |
| Shares Outstanding (Diluted) | 61.1 M | 73.9 M | 83.6 M | 98.6 M | 100.7 M | 103.7 M | 105.4 M | 106.8 M | 119.8 M | 133.8 M |
Income Statement (Quarterly)
| Year | 2025-Q3 | 2025-Q4 | 2026-Q1 | 2026-Q2 |
|---|---|---|---|---|
| Revenue | $256.5M | $264.0M | $73.7M | $75.3M |
| Gross Profit | $256.5M | $264.0M | $73.7M | $75.3M |
| Operating Income | $44.1M | $40.8M | -$141.3M | -$170.1M |
| EBITDA | $64.2M | $57.2M | -$107.4M | -$147.7M |
| Net Income | -$23.8M | $30.8M | -$132.7M | -$194.3M |
| EPS | $-0.17 | $0.22 | $-0.93 | $-1.36 |
| EPS (Diluted) | $-0.17 | $0.22 | $-0.93 | $-1.36 |
Balance Sheet (10y)
| Year | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|---|---|
| Cash & Equivalents | $85.4M | $24.8M | $30.1M | $221.8M | $143.6M | $184.4M | $108.0M | $110.9M | $102.7M | $226.5M |
| Short-term Investments | 0 | $40.8M | $46.4M | $36.9M | $171.9M | $183.4M | $268.4M | $292.7M | $578.3M | $692.8M |
| Receivables | $75,000 | $67,797 | $327,375 | $661,361 | $845,673 | $10.3M | $1.4M | 0 | 0 | $6.8M |
| Inventory | $1.3M | $867,363 | $1.3M | $3.3M | $4.3M | $4.4M | -$21.6M | 0 | 0 | 0 |
| Total Current Assets | $90.5M | $67.9M | $78.8M | $265.2M | $322.4M | $384.6M | $405.3M | $419.5M | $695.5M | $950.6M |
| Property, Plant & Equipment | $15.4M | $15.5M | $13.9M | $23.2M | $47.0M | $66.0M | $168.6M | $335.6M | $431.3M | $426.4M |
| Goodwill | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Intangible Assets | $22.2M | $20.5M | $18.8M | $17.1M | $15.4M | $13.7M | $12.0M | $10.3M | $8.6M | $6.9M |
| Total Assets | $128.2M | $104.0M | $111.6M | $349.8M | $522.5M | $710.1M | $691.9M | $765.6M | $1.14B | $1.39B |
| Accounts Payable | $12.2M | $4.1M | $2.8M | $7.6M | $6.8M | $9.5M | $2.9M | $35.9M | $11.4M | $17.7M |
| Short-term Debt | $194,310 | $208,506 | $223,820 | 0 | $1.1M | $2.2M | $2.8M | $10.6M | $6.3M | $40.0M |
| Total Current Liabilities | $25.6M | $18.7M | $12.4M | $97.1M | $40.7M | $146.5M | $138.8M | $105.5M | $103.2M | $195.5M |
| Long-term Debt | $2.5M | $2.3M | $2.1M | 0 | 0 | 0 | 0 | $268.3M | $734.5M | $214.9M |
| Total Liabilities | $33.2M | $23.2M | $16.4M | $105.8M | $60.7M | $301.3M | $273.6M | $478.4M | $948.7M | $881.9M |
| Retained Earnings | -$398.4M | -$432.8M | -$487.3M | -$419.3M | -$503.8M | -$644.7M | -$820.8M | -$1.03B | -$1.63B | -$1.63B |
| Total Equity | $95.6M | $81.4M | $95.8M | $244.6M | $461.8M | $408.8M | $398.5M | $271.3M | $185.4M | $466.1M |
| Total Debt | $2.7M | $2.5M | $2.3M | 0 | $21.1M | $25.5M | $81.6M | $383.5M | $851.9M | $366.3M |
| Net Debt | -$82.6M | -$63.1M | -$74.2M | -$258.7M | -$294.4M | -$342.2M | -$294.8M | -$20.1M | $171.0M | -$553.1M |
| Working Capital | $64.9M | $49.2M | $66.4M | $168.2M | $281.7M | $238.1M | $266.4M | $314.1M | $592.3M | $755.2M |
Balance Sheet (Quarterly)
| Year | 2025-Q3 | 2025-Q4 | 2026-Q1 | 2026-Q2 |
|---|---|---|---|---|
| Cash & Equivalents | $226.5M | $201.6M | $188.5M | $54.8M |
| Total Assets | $1.39B | $1.60B | $2.27B | $2.11B |
| Total Liabilities | $881.9M | $1.04B | $1.67B | $1.65B |
| Total Equity | $466.1M | $568.4M | $614.0M | $465.5M |
| Total Debt | $366.3M | $312.8M | $1.37B | $864.1M |
Cash Flow (10y)
| Year | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|---|---|
| Net Income | -$81.7M | -$34.4M | -$54.5M | $68.0M | -$84.6M | -$140.8M | -$176.5M | -$209.3M | -$609.7M | $30.1M |
| Depreciation & Amortization | $3.3M | $4.7M | $4.7M | $4.4M | $5.9M | $8.3M | $10.4M | $12.5M | $18.6M | $23.9M |
| Stock-based Compensation | $11.6M | $7.9M | $8.5M | $12.4M | $43.4M | $76.7M | $120.9M | $78.1M | $74.0M | $63.4M |
| Change in Working Capital | $5.7M | -$1.2M | -$5.9M | $87.2M | -$61.1M | $228.7M | -$98.3M | -$51.5M | $25.1M | -$18.2M |
| Operating Cash Flow | -$64.4M | -$23.9M | -$47.2M | $173.0M | -$95.8M | $171.3M | -$136.1M | -$153.9M | -$462.9M | $179.6M |
| Capital Expenditure | -$3.9M | -$7.9M | -$1.4M | -$12.0M | -$12.0M | -$23.6M | -$52.8M | -$176.7M | -$141.5M | -$22.7M |
| Acquisitions | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Stock Repurchased | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Dividends Paid | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Free Cash Flow | -$68.3M | -$31.9M | -$48.6M | $161.0M | -$107.8M | $147.7M | -$188.9M | -$330.6M | -$604.3M | $156.9M |
Cash Flow (Quarterly)
| Year | 2025-Q3 | 2025-Q4 | 2026-Q1 | 2026-Q2 |
|---|---|---|---|---|
| Operating Cash Flow | $20.5M | $13.5M | $84.4M | -$177.5M |
| Capital Expenditure | -$7.5M | -$2.1M | -$2.6M | -$3.9M |
| Free Cash Flow | $13.0M | $11.3M | $81.9M | -$181.3M |
| Dividends Paid | 0 | 0 | 0 | -$38.4M |
| Stock-based Compensation | $19.1M | $19.4M | $16.8M | $14.7M |
Growth & Margins (10y)
| Year | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue Growth (YoY) | +19,736.5% | -48.6% | +945.7% | -47.9% | +57.2% | +75.9% | -1.0% | -98.5% | +23,258.2% | |
| Net Income Growth (YoY) | +57.9% | -58.4% | +224.8% | -224.4% | -66.6% | -25.0% | -16.6% | -192.0% | +99.7% | |
| EPS Growth (YoY) | +64.9% | -38.3% | +210.8% | -216.7% | -61.9% | -22.8% | -15.0% | -160.4% | +99.8% | |
| Shares Change (YoY) | +21.0% | +13.2% | +17.9% | +2.1% | +3.0% | +1.6% | +1.3% | +12.2% | +11.7% | |
| FCF Growth (YoY) | +53.3% | -52.7% | +431.0% | -166.9% | +237.1% | -227.9% | -75.0% | -82.8% | +126.0% | |
| Gross Margin | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 100.0% | 95.7% | 94.8% | -423.7% | 100.0% |
| Operating Margin | -51,627.1% | -117.8% | -346.5% | 36.3% | -105.9% | -107.8% | -73.4% | -85.2% | -16,927.1% | 11.9% |
| EBITDA Margin | -48,272.9% | -102.9% | -317.4% | 38.9% | -99.1% | -95.9% | -66.7% | -73.0% | -15,812.8% | 19.9% |
| Net Margin | -51,614.6% | -109.5% | -337.3% | 40.3% | -96.1% | -101.9% | -72.4% | -85.3% | -16,882.4% | -0.2% |
| FCF Margin | -43,129.2% | -101.4% | -301.3% | 95.4% | -122.5% | 106.8% | -77.7% | -137.3% | -17,018.3% | 18.9% |
| Effective Tax Rate | -0.0% | -0.0% | -0.0% | 0.3% | -0.0% | -0.0% | -2.2% | -1.3% | 0.5% | 41.6% |
Per-Share Data (10y)
| Year | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|---|---|
| FCF Per Share | $-1.12 | $-0.43 | $-0.58 | $1.63 | $-1.07 | $1.42 | $-1.79 | $-3.10 | $-5.05 | $1.17 |
| Dividends Per Share | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 | $0.00 |
| Shares Outstanding (Basic) | 61.0 M | 73.1 M | 83.6 M | 93.9 M | 100.7 M | 103.7 M | 105.4 M | 106.8 M | 119.8 M | 133.8 M |
What to look at in Biotech
Most small biotechs lose money. Analysing them with P/E makes no sense — look at cash and pipeline.
- Cash Runway — Months of cash at current burn rate. <18 months = urgent dilution risk
- Annual cash burn — Rate at which they burn operating cash. Compare with cash position to project runway
- Total Debt — Biotech with no revenue + debt = recipe for bankruptcy
- R&D / Market cap — How much they invest in pipeline vs the company value — research-intensity indicator
- Market cap / Cash — If it trades near its cash, the market assigns ~0 value to the pipeline — opportunity or trap
Profitability
| Return on Equity | -60.54% |
| Return on Invested Capital | -12.12% |
| Return on Assets | -15.15% |
| Gross Margin | 100.00% |
| Operating Margin | -33.82% |
| Net Margin | -47.79% |
Financial Health
| Debt / Equity | 1.86 |
| Current Ratio | 5.90 |
| Piotroski F-Score | 6 |
| Altman Z-Score | 2.98 |
Key Ratios (10y)
| Year | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|---|---|---|---|---|---|
| P/E | -5.49 | -9.21 | -29.55 | 39.14 | -51.26 | -45.90 | -19.79 | -13.99 | -3.87 | -2,827.05 |
| P/B | 4.69 | 3.89 | 16.77 | 10.81 | 9.39 | 15.84 | 8.74 | 10.57 | 12.51 | 9.90 |
| P/S | 2,831.10 | 10.08 | 99.53 | 15.67 | 49.29 | 46.84 | 14.33 | 11.92 | 653.40 | 5.56 |
| Gross Margin | 0.0% | 0.0% | 0.0% | 0.0% | 0.0% | 100.0% | 95.7% | 94.8% | -423.7% | 100.0% |
| Operating Margin | -51,627.1% | -117.8% | -346.5% | 36.3% | -105.9% | -107.8% | -73.4% | -85.2% | -16,927.1% | 11.9% |
| Net Margin | -51,614.6% | -109.5% | -337.3% | 40.3% | -96.1% | -101.9% | -72.4% | -85.3% | -16,882.4% | -0.2% |
Related companies: ALNY · IONS · VRTX · 0QZU.L · REGN · MRNA · 0R2M.L · ARGX
Explore sector: Healthcare · Biotechnology
More sections of ARWR: Overview · Valuation · Statistics · Estimates · Technical · Ownership · News · Events
Discover more: Weekly Radar: the S&P 500 through the Buffett and Lynch methods · Companies that pass the Buffett method today · Companies that pass the Lynch method today · Stocks that pass Graham's defensive investor test today · Investment Academy — learn to analyze stocks