Celcuity Reports Second Quarter 2018 Financial Results Minneapolis, Minnesota

Celcuity Reports Second Quarter 2018

Minneapolis, Minnesota-August 9, 2018-Celcuity Inc.

(Nasdaq: CELC), a functional cellular analysis company that is discovering new cancer subtypes and commercializing diagnostic tests

designed to significantly improve clinical outcomes of cancer patients treated with targeted therapies, announced financial results

for the second quarter ended June 30, 2018.

Unless otherwise stated, all comparisons are for the second

quarter ended June 30, 2018, compared to the second quarter ended June 30, 2017.

Celcuity reported a net loss of $1.8 million, or $0.18 per share,

for the second quarter of 2018, compared to a net loss of $1.8 million, or $0.28 per share, for the second quarter of 2017. Net

loss for the first six months of 2018 was $3.8 million, or $0.37 per share, compared to $2.8 million, or $0.43 per share, for the

first six months of 2017. Non-GAAP adjusted net loss was $1.5 million, or $0.15 per share, for the second quarter of 2018, compared

to non-GAAP adjusted net loss of $1.3 million, or $0.20 per share, for the second quarter of 2017. Non-GAAP adjusted net loss for

the first six months of 2018 was $3.2 million, or $0.31 per share, compared to $2.2 million, or $0.33 per share, for the first

six months of 2017. Non-GAAP adjusted net loss excludes stock-based compensation expense and non-cash interest expense. Because

these items have no impact on the cash position of the Company, management believes Non-GAAP adjusted

net loss better enables Celcuity to focus on cash used in operations. For a reconciliation of financial measures in accordance

with generally accepted accounting principles of the United States (GAAP) to non-GAAP financial measures in this release, please

see the financial tables at the end of this news release.

Net cash used in operating activities for the second quarter

of 2018 was $1.4 million. Net cash used in operating activities for the first six months of 2018 was $2.8 million. At June 30,

2018, Celcuity had cash, cash equivalents and investments of $28.5 million, compared to cash, cash equivalents and investments

of $31.4 million at December 31, 2017.

"During the second quarter, our R&D teams continued

to advance the development of new CELx Signaling Function tests for breast cancer and two new tissue types," said Chairman

and Chief Executive Officer, Brian Sullivan. "In breast cancer, we are evaluating new signaling pathways to add to our current

CELx MP Signaling Function test for breast cancer. This test currently analyzes HER1, HER2, HER3, and c-Met signaling activity

and diagnoses untreated cell signaling dysfunction in approximately 25% of HER2-negative breast cancer patients. We believe there

is an opportunity to increase the total percentage of HER2-negative breast cancer patients diagnosed with untreated signaling dysfunction

"To develop CELx tests in new tumor types, we are advancing

our cell microenvironment technology and furthering our capability to assess different types of signaling dysfunction. As we have

demonstrated in breast cancer, we are working to provide functional analysis of multiple signaling pathways for these other tissue

"Each signaling pathway test creates opportunities

for Celcuity to collaborate with multiple pharmaceutical companies. We intend to work with these companies to facilitate

approvals of their targeted therapeutics to treat the new patient sub-groups our CELx tests identify. We are currently in

various stages of discussions with several pharmaceutical companies. We expect any resulting collaborations to involve, as a

first step, clinical trials that evaluate the efficacy of our collaboration partners' therapy or therapies in breast

cancer patients who have either hyperactive HER2 signaling tumors or hyperactive and co-activated HER family and c-Met

"The clinical trial we are fielding in collaboration with

Genentech and the NSABP Foundation is continuing to progress. The institutional review board (IRB) approvals at our sites are proceeding

as we previously disclosed, and we continue to expect to receive interim results from this trial in mid-2019. The clinical trial

that Puma Biotechnology and the NSABP Foundation are fielding is also progressing as previously disclosed. This clinical trial

is a Phase II study evaluating Puma Biotechnology's pan-HER inhibitor, Nerlynx, Genentech's HER2 antibody, Herceptin,

and Bristol-Myers Squibb's EGFR inhibitor, Erbitux, in metastatic colorectal cancer patients. For this trial, Celcuity will

analyze tissue sent us so that Puma can compare the tissue's HER2 signaling status with the patient's response to therapy."

Total operating expenses were $1.9 million for the second quarter

of 2018, compared to $1.6 million for the second quarter of 2017. Operating expenses for the first six months of 2018 were $4.0

million, compared to $2.6 million for the first six months of 2017.

Research and Development Expenses:

Research and development (R&D) expenses were $1.5 million

for the second quarter of 2018, compared to $1.3 million for the second quarter of 2017. R&D expenses for the first six months

of 2018 were $3.1 million, compared to $2.2 million for the first six months of 2017. The approximately $0.9 million increase during

the first half of fiscal year 2018, compared to the first half of fiscal year 2017, resulted primarily from a $0.4 million increase

in compensation related expenses to support development of our CELx platform. In addition, other research and development expenses

increased $0.5 million due to clinical validation studies and laboratory supplies to support the CELx platform and operational

and business development activities.

General and Administrative Expenses:

General and administrative (G&A) expenses were $0.4 million

for the second quarter of 2018, compared to $0.3 million for the second quarter of 2017. G&A expenses for the first six months

of 2018 were $0.9 million, compared to $0.4 million for the first six months of 2017. The approximately $0.5 million increase during

first half of 2018, compared to the first half of 2017, primarily resulted from a $0.2 million increase in compensation related

expenses. Other G&A expenses increased $0.3 million due to professional fees associated with being a public company and director

and officer insurance.

Management will host a teleconference call at 4:30 PM Eastern

Time today to discuss the results. Anyone interested in participating should dial 1-877-876-9176 referencing confirmation code

"Celcuity." Participants are asked to dial in 5 to 10 minutes prior to the start of the call and inform the operator

you would like to join the "Celcuity Conference Call."

Celcuity Inc. is a cellular analysis

company that is discovering new cancer sub-types and commercializing diagnostic tests designed to significantly improve the clinical

outcomes of cancer patients treated with targeted therapies. Celcuity's proprietary CELx diagnostic platform uses a

patient's living tumor cells to identify the specific abnormal cellular activity driving a patient's cancer and the

targeted therapy that can best treat that patient's disease. Celcuity is headquartered in Minneapolis, MN. Further information

about Celcuity can be found at www.celcuity.com.

Forward-Looking Statements

This press release contains statements

that constitute "forward-looking statements." In some cases, you can identify forward-looking statements by terminology

such as "may," "should," "expects," "plans," "anticipates," "believes,"

"estimates," "predicts," "potential," "intends" or "continue," and

other similar expressions that are predictions of or indicate future events and future trends, or the negative of these terms or

other comparable terminology. Forward looking statements in this release include, without limitation, expectations with respect

to commercializing diagnostic tests, the use of cash, the discovery of additional cancer sub-types, the development of additional

CELx signaling function tests, the uses and breadth of application of CELx signaling function tests, whether alone or in collaboration

with other tests, collaboration with pharmaceutical companies and the outcomes of such collaboration, the outcome of our clinical

trial with NSABP Foundation and Genentech, and the participation of clinical trial sites, including expected use of central internal

review board approval of clinical trial protocol, anticipated benefits that our tests may provide to pharmaceutical companies

and to the clinical outcomes of cancer patients and plans to expand research and development and operational

processes. Forward-looking statements are subject to numerous conditions, many of which are beyond the control of Celcuity, which

include, but are not limited to, those set forth in the Risk Factors section in our Annual Report on Form 10-K for the year ended

December 31, 2017 filed with the Securities and Exchange Commission on March 15, 2018. Readers are cautioned not to place undue

reliance on these forward-looking statements, which speak only as of the date hereof. Celcuity undertakes no obligation to update

these statements for revisions or changes after the date of this release, except as required by law.

Brian Sullivan, bsullivan@celcuity.com

Vicky Hahne, vhahne@celcuity.com

Condensed Balance Sheets

Condensed Statements of Operations

Cautionary Statement

Regarding Non-GAAP Financial Measures

This news release contains references to non-GAAP

adjusted net loss and non-GAAP adjusted net loss per share. Management believes these non-GAAP financial measures are useful supplemental