Iovance Biotherapeutics, Inc. (IOVA) experienced a significant pre-market plunge of 27.66% on Friday, following the release of its disappointing fourth-quarter 2024 financial results and guidance for 2025.

The biotechnology company reported a wider-than-expected net loss of $78.6 million, or $0.26 per share, for the fourth quarter, despite revenue growth driven by product sales of Amtagvi and Proleukin. However, Iovance's expenses remained high, with research and development costs reaching $72.2 million and selling, general, and administrative expenses totaling $42.5 million.

The primary factor contributing to the stock's plummet was the company's guidance for 2025. While Iovance reaffirmed its total product revenue guidance within the range of $450 to $475 million for 2025, it also announced that cash burn for the full year is expected to be under $300 million, including the completion of its manufacturing expansion. This cash burn outlook, coupled with higher-than-expected expenses in the fourth quarter, raised concerns among investors about the company's profitability and cash position, leading to the significant sell-off.