Full Press Release Details
COLLPLANT BIOTECHNOLOGIES REPORTS 2026 FIRST QUARTER
AND PROVIDES CORPORATE UPDATE
REHOVOT, Israel, May 29, 2026 -- CollPlant Biotechnologies
(Nasdaq: CLGN), a regenerative and medical aesthetics company developing innovative technologies and products based on its non-animal-derived
recombinant human collagen (rhCollagen) for tissue regeneration and medical aesthetics applications, today announced financial results
for the first quarter of 2026 and provided a corporate update.
"In the first quarter of 2026, we initiated discussions
with several leading strategic players to explore potential collaborations, primarily in the medical aesthetics field," said Yehiel
Tal, Chairperson and Chief Executive Officer of CollPlant Biotechnologies. "These discussions are focused on the potential joint
development and commercialization of next-generation dermal filler product candidates incorporating CollPlant's rhCollagen technology
in combination with hyaluronic acid and additional components. We are actively advancing these discussions and, while no assurance can
be provided, remain encouraged by the level of interest and the progress achieved to date."
Mr. Tal continued: "CollPlant is also advancing
development of its next-generation photocurable dermal filler platform based on rhCollagen technology, designed to provide immediate structural
support together with the potential for long-term tissue regeneration. The product candidate, currently in the final preclinical stage,
is intended to address age-related volume loss and facial changes associated with significant weight reduction. During the quarter, the
Korean Patent Office granted CollPlant a patent covering key aspects of the photocurable dermal filler technology, further strengthening
our intellectual property portfolio in regenerative aesthetics."
"The Company is planning to establish a broader
portfolio of regenerative dermal and soft tissue fillers and is targeting initiation of clinical studies within the next two years. In
parallel, we are actively engaging with potential strategic partners to support the next phase of development and future commercialization
"With respect to our 3D bioprinting activities,
during the first quarter we launched BioFlex, a ready-to-print rhCollagen-based kit optimized for high-resolution DLP bioprinting applications.
BioFlex is designed to support advanced tissue modeling, drug discovery, and regenerative medicine research applications."
Mr. Tal concluded: "The medical aesthetics market
continues to seek safe and innovative solutions capable of delivering improved clinical outcomes and enhanced patient experience. We believe
CollPlant's non-animal rhCollagen technology is uniquely positioned to address this need through regenerative approaches aimed at
tissue rejuvenation and restoration. The strong interest we are receiving from potential partners further supports our confidence in the
value and differentiation of our platform."
Eran Rotem, Deputy CEO and Chief Financial Officer,
added: "In parallel with our ongoing operational and development activities, we have initiated a process to evaluate strategic alternatives
aimed at maximizing shareholder value. This process includes assessment of a broad range of opportunities, including potential acquisitions,
strategic transactions, and other business combination opportunities".
CollPlant has not established a definitive timetable
for this process, nor has it made any decisions regarding a specific strategic transaction at this time. The Company does not intend to
provide further updates unless a disclosure is required by law or deemed necessary.
First Quarter 2026 Financial Results
GAAP revenues for the first quarter ended March 31,
2026, were $73,000, compared to $2.1 million for the first quarter ending March 31, 2025. This decrease was primarily due to a $2.0 million
development milestone payment from a former business collaborator, which was recognized as revenue in Q1 2025 and did not recur in the
GAAP cost of revenues for the first quarter ended
March 31, 2026, was $316,000, compared to $188,000 for the first quarter ended March 31, 2025. This $128,000 increase was primarily driven
by approximately $183,000 in fixed production facility costs expensed directly to cost of revenues, rather than capitalized into inventory,
due to underutilized capacity during the period. This increase was partially offset by a $59,000 decrease in royalty expenses.
GAAP gross loss for the first quarter ending March
31, 2026, was $243,000, compared to a gross profit of $1.9 million for the first quarter ending March 31, 2025.
GAAP operating expenses for the first quarter ending
March 31, 2026, were $2.9 million, compared to $3.5 million, for the first quarter ending March 31, 2025. The decrease of approximately
$643,000 is mainly related to the Company's cost reduction plan with: (i) a $217,000 decrease in the workforce expenses, (ii) a
$257,000 decrease in research and development subcontractors expenses and materials expenses, and (iii) a $105,000 reduction in general
and administrative public company expenses. On a non-GAAP basis, the operating expenses for the first quarter ending March 31, 2026, were
$2.7 million, compared to $3.1 million for the first quarter ending March 31, 2025. Non-GAAP measures exclude certain non-cash expenses.
GAAP financial income, net, for the first quarter
ending March 31, 2026, totaled $18,000, compared to $196,000 for the first quarter ending March 31, 2025. The decrease in financial income,
net, is due to a decrease in interest received and exchange rate differences.
GAAP net loss for the first quarter ending March 31,
2026, was $3.1 million, or $0.23 basic loss per share, compared to a net loss of $1.5 million, or $0.13 basic loss per share, for the
first quarter ending March 31, 2025. Non-GAAP net loss for the first quarter ending March 31, 2026, was $2.9 million, or $0.21 basic loss
per share, compared to $1.1 million loss, or $0.1 basic loss per share, for the first quarter ending March 31, 2025.
Balance Sheet and Cash Flow
The Company's cash and cash equivalents balance
as of March 31, 2026, was $4.3 million.
Net cash used in operating activities was $3.0 million
during the first quarter ended March 31, 2026, compared to $1.2 million for the first quarter ended March 31, 2025. Cash used during the
first quarter ended March 31, 2026, increased compared to the same quarter last year, primarily due to a development milestone achievement
in Q1 2025 that triggered a $2.0 million revenue payment from a former business collaborator. In addition, we have undertaken targeted
cost-cutting measures, including a reduction in headcount by approximately 50%, to streamline our operations and enhance financial discipline.
Net cash used in investing activities was $6,000
during the first quarter ending March 31, 2026, compared to $8,000 for the first quarter ending March 31, 2025.
Net cash provided by financing activities was $1.7
million for the first quarter ending March 31, 2026. There was no cash flow from financing activities during the first quarter ending
March 31, 2025. The increase is attributed to our registered direct offering in February 2026, which resulted in net proceeds of $1.7
COLLPLANT BIOTECHNOLOGIES LTD.
CONDENSED CONSOLIDATED BALANCE SHEETS
(U.S. dollars in thousands)
| March 31, 2026 | December 31, 2025 | |||||||
| Unaudited | ||||||||
| Assets | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalents | $ | 4,262 | $ | 5,591 | ||||
| Restricted deposit | 365 | 359 | ||||||
| Trade receivables, net | 8 | 1 | ||||||
| Inventories | 679 | 573 | ||||||
| Other accounts receivable and prepaid expenses | 225 | 223 | ||||||
| Total current assets | 5,539 | 6,747 | ||||||
| Non-current assets: | ||||||||
| Restricted deposit | 77 | 76 | ||||||
| Operating lease right-of-use assets | 2,235 | 2,426 | ||||||
| Property and equipment, net | 1,273 | 1,463 | ||||||
| Intangible assets, net | 59 | 73 | ||||||
| Total non-current assets | 3,644 | 4,038 | ||||||
| Total assets | $ | 9,183 | $ | 10,785 |
COLLPLANT BIOTECHNOLOGIES LTD.
CONDENSED CONSOLIDATED BALANCE SHEETS
(U.S. dollars in thousands, except share data)
| March 31, 2026 | December 31, 2025 | |||||||
| Unaudited | ||||||||
| Liabilities and shareholders' equity | ||||||||
| Current liabilities: | ||||||||
| Trade payables | $ | 635 | $ | 610 | ||||
| Operating lease liabilities | 794 | 814 | ||||||
| Accrued liabilities and other payables | 1,013 | 1,248 | ||||||
| Total current liabilities | 2,442 | 2,672 | ||||||
| Non-current liabilities: | ||||||||
| Operating lease liabilities | 1,855 | 2,032 | ||||||
| Total non-current liabilities | 1,855 | 2,032 | ||||||
| Total liabilities | 4,297 | 4,704 | ||||||
| Commitments and contingencies | ||||||||
| Shareholders' Equity: | ||||||||
| Ordinary shares, NIS 1.5 par value - authorized: 30,000,000 ordinary shares as of March 31, 2026 (unaudited) and December 31, 2025; issued and outstanding: 14,423,253 and 12,803,006 ordinary shares as of March 31, 2026 (unaudited) and December 31, 2025, respectively | 6,265 | 5,492 | ||||||
| Additional paid in capital | 127,526 | 126,397 | ||||||
| Accumulated other comprehensive loss | (969 | ) | (969 | ) | ||||
| Accumulated deficit | (127,936 | ) | (124,839 | ) | ||||
| Total shareholders' equity | 4,886 | 6,081 | ||||||
| Total liabilities and shareholders' equity | $ | 9,183 | $ | 10,785 |
COLLPLANT BIOTECHNOLOGIES LTD.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(U.S. dollars in thousands, except share and per share
| Three months ended March 30 | ||||||||
| 2026 | 2025 | |||||||
| Revenues | $ | 73 | $ | 2,055 | ||||
| Cost of revenues | 316 | 188 | ||||||
| Gross profit (loss) | (243 | ) | 1,867 | |||||
| Operating expenses: | ||||||||
| Research and development | 1,678 | 2,105 | ||||||
| General, administrative and marketing | 1,194 | 1,410 | ||||||
| Total operating loss | (3,115 | ) | (1,648 | ) | ||||
| Financial income, net | 18 | 196 | ||||||
| Net loss | $ | (3,097 | ) | $ | (1,452 | ) | ||
| Basic and diluted net loss per ordinary share | $ | (0.23 | ) | $ | (0.13 | ) | ||
| Weighted average number of ordinary shares used in computation of basic and diluted net loss per share | 13,747,204 | 11,454,512 |
COLLPLANT BIOTECHNOLOGIES LTD.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(U.S. dollars in thousands)
| Three months ended March 31, | ||||||||
| 2026 | 2025 | |||||||
| Cash flows from operating activities: | ||||||||
| Net loss | $ | (3,097 | ) | $ | (1,452 | ) | ||
| Adjustments to reconcile net loss to net cash used in operating activities: | ||||||||
| Depreciation and amortization | 210 | 244 | ||||||
| Share-based compensation to employees and consultants | 180 | 382 | ||||||
| Exchange differences on cash and cash equivalents and restricted cash | (10 | ) | 6 | |||||
| Accrued interest | (4 | ) | (3 | ) | ||||
| Changes in assets and liabilities: | ||||||||
| Decrease (increase) in trade receivables | (7 | ) | 150 | |||||
| Increase in inventories | (103 | ) | (231 | ) | ||||
| Increase in other accounts receivables and prepaid expenses | (2 | ) | (7 | ) | ||||
| Decrease in operating lease right-of-use assets | 177 | 165 | ||||||
| Increase (decrease) in trade payables | 25 | (100 | ) | |||||
| Decrease in operating lease liabilities | (183 | ) | (225 | ) | ||||
| Decrease in accrued liabilities and other payables | (235 | ) | (96 | ) | ||||
| Net cash used in operating activities | (3,049 | ) | (1,167 | ) | ||||
| Cash flows from investing activities: | ||||||||
| Purchase of property and equipment | (6 | ) | (9 | ) | ||||
| Proceeds from sale of property and equipment | - | 1 | ||||||
| Net cash used in investing activities | (6 | ) | (8 | ) | ||||
| Cash flows from financing activities: | ||||||||
| Proceeds from issuance of shares and warrants less issuance expenses | 1,719 | - | ||||||
| Net cash provided by financing activities | 1,719 | - | ||||||
| Effect of exchange rate changes on cash and cash equivalents | 7 | 1 | ||||||
| Net decrease in cash and cash equivalents | (1,329 | ) | (1,174 | ) | ||||
| Cash and cash equivalents at the beginning of the period | 5,591 | 11,909 | ||||||
| Cash and cash equivalents at the end of the period | $ | 4,262 | $ | 10,735 |
COLLPLANT BIOTECHNOLOGIES LTD.
APPENDICES TO CONDENSED CONSOLIDATED STATEMENTS
(U.S. dollars in thousands)
| Three months ended March 31, | ||||||||
| 2026 | 2025 | |||||||
| Supplemental discloser of non-cash activities: | ||||||||
| Right-of-use assets recognized with corresponding lease liabilities | $ | (14 | ) | $ | (13 | ) | ||
| Capitalization of share-based compensation to inventory | $ | 3 | $ | 2 |
COLLPLANT BIOTECHNOLOGIES LTD.
RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES
(U.S. dollars in thousands, except per share data)
| Three months ended March 31, | ||||||||
| 2026 | 2025 | |||||||
| GAAP operating expenses: | $ | 2,872 | $ | 3,515 | ||||
| Change of operating lease accounts | 24 | 4 | ||||||
| Share-based compensation to employees, directors and consultants | (180 | ) | (382 | ) | ||||
| Non-GAAP operating expenses: | 2,716 | 3,137 | ||||||
| GAAP operating loss | (3,115 | ) | (1,648 | ) | ||||
| Change of operating lease accounts | (24 | ) | (4 | ) | ||||
| Share-based compensation to employees, directors and consultants | 180 | 382 | ||||||
| Non-GAAP operating loss | (2,959 | ) | (1,270 | ) | ||||
| GAAP Net loss | (3,097 | ) | (1,452 | ) | ||||
| Change of operating lease accounts | (6 | ) | (60 | ) | ||||
| Share-based compensation to employees, directors and consultants | 180 | 382 | ||||||
| Non-GAAP Net loss | $ | (2,923 | ) | $ | (1,130 | ) | ||
| GAAP basic and diluted loss per ordinary share | $ | (0.23 | ) | $ | (0.13 | ) | ||
| NON- GAAP basic and diluted loss per ordinary share | $ | (0.21 | ) | $ | (0.10 | ) |
Use of Non-US GAAP ("non-GAAP")
Financial results for 2026 and 2025 are presented
on both a GAAP and a non-GAAP basis. GAAP results were prepared in accordance with U.S. GAAP and include all revenue and expenses recognized
during the period. The release contains certain non-GAAP financial measures for operating costs and expenses, operating income (or loss),