Siga Posts $3 Million Q3 Loss as It Awaits New U.S. TPOXX Deal

Siga Technologies reported a third-quarter net loss of approximately $3 million, or $0.04 per diluted share, on zero product sales — the first quarter without U.S. government deliveries since the company completed its final shipment under the BARDA 19C contract in the second quarter of 2026. For finance teams tracking biodefense procurement as a revenue line, the quarter is a working example of how delivery timing, not demand, drives reported results in this sector.

For the nine months ended September 30, the picture looks materially different. Siga booked roughly $42 million in product-related revenue, including about $26 million from IV TPOXX deliveries to the U.S. Strategic National Stockpile (the federal reserve of medical countermeasures) and approximately $13 million in sales to two international customers. Nine-month net income came in at about $6 million, or $0.09 per diluted share. Research and development revenue added roughly $7 million for the period, with only about $1 million of that landing in the third quarter.

What does the Canadian contract change?

The company signed a five-year agreement in October to supply oral TPOXX to Canada's Department of National Defence, worth up to approximately $15 million. The structure matters for anyone modeling the revenue ramp: roughly $9 million is firm over the first three years, and up to $6 million sits in options the department can exercise at its discretion.

Chief Financial Officer Dan Luckshire said deliveries under the firm portion begin in 2027, with an equal number of treatment courses delivered in each of the first three Canadian fiscal years of the contract. Because Canada's fiscal year runs from April through March, two deliveries could land within a single calendar year — a timing quirk that can concentrate recognized revenue.

The deal is the department's second TPOXX contract. Its first, awarded in April 2020 for purchases of up to about $14 million, was completed in 2025, according to Chief Executive Officer Diem Nguyen. Siga is also in late-stage negotiations for another international contract, though management gave no timetable or further details.

Where does the U.S. procurement stand?

Siga continues to expect a new U.S. government procurement contract for TPOXX, its smallpox treatment, but the timing remains uncertain after a slower-than-expected contracting process. Nguyen said the company believes a new contract will be awarded based on discussions with key stakeholders, but she drew a distinction practitioners should note: a case for preparedness does not necessarily translate into predictable procurement.

Asked about the U.S. midterm elections, Nguyen said biodefense has historically enjoyed bipartisan support and that Siga does not currently expect a change in congressional funding direction. She also said the company does not believe the results will materially affect the new contract process beyond a typical post-election transition period.

What slipped in the development pipeline?

Siga now expects to file a supplemental new drug application (a request to expand an approved drug's labeling) for post-exposure prophylaxis use of TPOXX in 2028. Nguyen said the Food and Drug Administration requested additional validation and laboratory work related to planned analysis of immunogenicity samples. She described the delay as disappointing but said it did not change the company's view of the program's relevance.

On the earlier-stage side, Siga expects results from a phase 1 study of a pediatric TPOXX formulation by year-end, which will inform the program's next steps.

Nguyen also pointed to increased European focus on biodefense and smallpox preparedness, though approaches and spending priorities vary by country. European preparedness has historically centered on vaccines, and Siga is working to support an approach that also includes antivirals. The removal of mpox from TPOXX's European label requires additional discussion in some cases and can affect timing, she said, but the company does not believe it changes the long-term opportunity for smallpox stockpiling in Europe.

What else changed?

Chief Scientific Officer Dennis Hruby is retiring after three decades at Siga and will continue in an advisory role. The company ended September with approximately $116 million in cash and no debt — a balance sheet that, Nguyen noted, buffers results that can vary substantially from quarter to quarter because of delivery timing.