Key points from article :
Biotech firm Recursion Pharmaceuticals, known for its use of artificial intelligence to accelerate drug discovery, has cut nearly half of its clinical pipeline following disappointing results from its most advanced program. The move, announced during the company’s Q1 2025 earnings call, marks a significant strategic shift as Recursion attempts to focus its resources on more promising therapies.
The company’s lead drug, REC-994, was being tested for cerebral cavernous malformation, a rare neurological condition. While Recursion initially framed early results as a platform validation, new data revealed “negative trends” and no meaningful efficacy, leading to the program’s cancellation. Other shelved programs include REC-4539 for cancer, REC-2282 for neurofibromatosis type 2, REC-3964 for C. difficile infections, and REC-4209 for pulmonary fibrosis.
CEO Chris Gibson said the company is “sharpening its focus,” aiming to double down on candidates that meet higher internal benchmarks. The remaining pipeline includes four clinical and two preclinical programs, though none have entered late-stage trials.
Despite the cuts, Recursion reported $509 million in cash and expects its financial runway to last until mid-2027, with a projected 2025 cash burn under $450 million. Key upcoming milestones include early data from two programs in the second half of 2025, including one from its 2023 merger with AI drug discovery firm Exscientia.
