Arcturus Therapeutics Announces First Quarter 2021 Company Overview and Financial Results and Provides New Clinical Data ARCT-021 Phase 2 interim data showed favorable safety profile and greater than 90% seroconversion a

Arcturus Therapeutics Announces First Quarter

2021 Company Overview and

Financial Results and Provides New Clinical

ARCT-021 Phase 2 interim data showed favorable

safety profile and greater than 90% seroconversion after a single dose; data supports advancement into Phase 3

In negotiations with multiple regulatory authorities

regarding ARCT-021 Phase 3 study program

Continued progress advancing mRNA therapeutic

platform, including liver (ARCT-810) and lung (ARCT-032) targeted programs

Investor conference call at 4:30 p.m. ET

San Diego, Calif, May 10, 2021 -

Arcturus Therapeutics Holdings Inc. (the "Company", "Arcturus", Nasdaq: ARCT), a leading clinical-stage messenger

RNA medicines company focused on the development of infectious disease vaccines and significant opportunities within liver and respiratory

rare diseases, today announced its financial results for the first quarter ended March 31, 2021 and provided corporate updates.

"Arcturus has made continued progress advancing

our clinical pipeline, highlighted by our development efforts for ARCT-021, a differentiated mRNA vaccine candidate targeting COVID-19.

Based on promising data from our Phase 1/2 study, and the new interim safety and immunogenicity data from our Phase 2 study, we are looking

forward to initiating ARCT-021 Phase 3 study as well as the continued advancement of our other pipeline programs," said Steve Hughes,

M.D., Chief Medical Officer of Arcturus.

"Our Self-Transcribing and Replicating mRNA

(STARR ) delivered with our LUNAR delivery system potentially has important differences from currently authorized mRNA vaccines

for emergency use. We believe that ARCT-021, as a single shot lyophilized self-amplifying mRNA vaccine, if approved, may represent a preferred

vaccine option. We are very pleased with the recent successes in our mRNA drug product manufacturing efforts, and in the expansion of

our global safety database - and the positive readthrough this provides to the Company's pipeline of mRNA therapeutics. We

eagerly look forward to the next major development milestones for our vaccine, liver, and lung mRNA pipeline programs," said Joseph

Payne, President & CEO of Arcturus.

Recent Corporate Highlights

ARCT-021, STARR mRNA Vaccine Candidate

ARCT-810, mRNA Therapeutic Candidate for Ornithine

Transcarbamylase (OTC) Deficiency

ARCT-032, mRNA Therapeutic Candidate for Cystic

Financial results for the quarter ended March

Revenues in conjunction with strategic alliances

and collaborations: Arcturus' primary sources of revenues were from license fees and collaborative payments received from research

and development arrangements with pharmaceutical and biotechnology partners. For the three months ended March 31, 2021, the Company reported

revenue of $2.1 million, compared with $2.6 million in the three months ended March 31, 2020.

Operating expenses: Total operating expenses

for the three months ended March 31, 2021 were $59.8 million compared with $12.1 million for the three months ended March 31, 2020 and

$33.3 million for the three months ended December 31, 2020.

Research and development expenses increased by

approximately $42.1 year over year and $25.8 million sequentially from the fourth quarter of 2020. The primary driver of the sequential

increase was driven by higher clinical and manufacturing cost of $17.2 million for our ARCT-021 program. The remaining increase was primarily

driven by higher personnel costs and related to the acquisition of an exclusive license from Alexion Pharmaceuticals for certain patent-pending

inventions relating to nucleic acid purification technologies for approximately $5.0 million of Arcturus stock.

Net loss: For the three months ended March

31, 2021 Arcturus reported a net loss of approximately $56.3 million, or ($2.15) per basic and diluted share, compared with a net loss

of $9.8 million, or ($0.67) per basic and diluted share in the three months ended March 31, 2020 and a net loss of $31.1 million, or ($1.25)

per basic and diluted share in the three months ended December 31, 2020.

The Company's cash balance totaled $466.9

million as of March 31, 2021, compared to cash and cash equivalents of $463.0 million at December 31, 2020. Based on our current plans,

the Company's cash position is expected to be sufficient to support operations for more than two years.

May 10th @ 4:30 p.m. ET

About Arcturus Therapeutics

Founded in 2013 and based in San Diego, California, Arcturus

Therapeutics Holdings Inc. (Nasdaq: ARCT) is a clinical-stage mRNA medicines and vaccines company with enabling technologies: (i)

LUNAR lipid-mediated delivery, (ii) STARR mRNA Technology and (iii) mRNA drug substance along with drug product manufacturing

expertise. Arcturus' diverse pipeline of RNA therapeutic and vaccine candidates includes mRNA vaccine programs for SARS-CoV-2 (COVID-19)

and Influenza, and other programs to potentially treat Ornithine Transcarbamylase (OTC) Deficiency, and Cystic Fibrosis along with partnered

programs including Glycogen Storage Disease Type 3, Hepatitis B Virus, and non-alcoholic steatohepatitis (NASH). Arcturus' versatile

RNA therapeutics platforms can be applied toward multiple types of nucleic acid medicines including messenger RNA, small interfering RNA,

replicon RNA, antisense RNA, microRNA, DNA, and gene editing therapeutics. Arcturus' technologies are covered by its extensive patent

portfolio (209 patents and patent applications, issued in the U.S., Europe, Japan, China and other countries).

Arcturus' commitment to the development of novel RNA therapeutics has led to collaborations with Janssen Pharmaceuticals, Inc.,

part of the Janssen Pharmaceutical Companies of Johnson & Johnson, Ultragenyx Pharmaceutical, Inc., Takeda Pharmaceutical Company

Limited, CureVac AG, Synthetic Genomics Inc., Duke-NUS Medical School, and the Cystic Fibrosis Foundation. For more information

visit www.ArcturusRx.com. In addition, please connect with us on Twitter and LinkedIn.

This press release contains forward-looking statements

that involve substantial risks and uncertainties for purposes of the safe harbor provided by the Private Securities Litigation Reform

Act of 1995. Any statements, other than statements of historical fact included in this press release, are forward-looking statements,

including those regarding strategy, future operations, collaborations, the planned initiation, design or completion of clinical trials,

the likelihood that the Company will obtain clearance from regulatory authorities to proceed with planned clinical trials, the likelihood

that preclinical or clinical data will be predictive of future clinical results, the likelihood that clinical data will be sufficient

for regulatory approval or completed in time to submit an application for regulatory approval within a particular timeframe, the likelihood

of success (including safety and efficacy) of the Company's pipeline, including ARCT-021, ARCT-810 or ARCT-032, the potential administration

regimen or dosage, or ability to administer multiple doses of, any of Company's drug candidates, the ability to enroll subjects

in clinical trials, the Company's efforts to develop a vaccine against COVID-19 and therapeutic potential thereof based on the Company's

mRNA therapeutics, the Company's manufacturing methods and technologies (including purification and lyophilization, and stability

of manufactured product), the ability of the Company to scale up manufacturing of products or substances, the likelihood that a patent

will issue from any patent application, its current cash position and expected cash burn and the impact of general business and economic

conditions. Actual results and performance could differ materially from those projected in any forward-looking statements as a result

of many factors including, without limitation, the ability to enroll subjects in clinical trials as a result of the COVID-19 pandemic,

the impact of commercialization of third-party COVID-19 vaccines on the design, and ability to conduct, clinical trials, the availability

of manufacturing capacity and raw materials, unexpected clinical results, government regulations impacting the regulatory environment

or intellectual property landscape, and general market conditions that may prevent such achievements or performance. Arcturus may not

actually achieve the plans, carry out the intentions or meet the expectations or projections disclosed in any forward-looking statements

such as the foregoing and you should not place undue reliance on such forward-looking statements. Such statements are based on management's

current expectations and involve risks and uncertainties, including those discussed under the heading "Risk Factors" in Arcturus'

Annual Report on Form 10-K for the fiscal year ended December 31, 2020, and in subsequent filings with, or submissions to, the SEC. Except

as otherwise required by law, Arcturus disclaims any intention or obligation to update or revise any forward-looking statements, which

speak only as of the date they were made, whether as a result of new information, future events or circumstances or otherwise.

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