Replimune Group Inc. (REPL) shares surged 6.26% in pre-market trading on Thursday following the release of its fiscal fourth quarter and year-end 2025 financial results. The biotechnology company, which focuses on oncolytic immuno-gene therapies for cancer treatment, saw its stock price rise despite reporting a substantial net loss.

According to the financial report, Replimune posted a net loss of $74.1 million for the fourth quarter. However, investors appeared to focus on other aspects of the company's performance and future prospects, driving the stock higher. While specific details were not provided in the brief announcement, it's likely that the company's revenue, pipeline progress, or forward guidance exceeded market expectations.

Biotechnology companies often experience stock price increases even when reporting losses, as investors typically value potential breakthroughs in drug development and clinical trial progress over short-term profitability. Replimune's strong stock performance suggests that shareholders are optimistic about the company's long-term potential in the oncology market, despite the current financial losses.