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Rafael Holdings Reports First Quarter Fiscal 2026 Financial Results NEWARK, NJ

Key Takeaway: Rafael Holdings, Inc. reported its financial results for the first quarter of fiscal year 2026, ending October 31, showing a net loss of $9.8 million. Despite the increased losses largely due to consolidation costs from the acquisition of Cyclo Therapeutics, the company expressed satisfaction with the progress of their Phase 3 TransportNPC study for Trappsol Cyclo. The Data Monitoring Committee has advised continuing the study based on positive safety and efficacy reviews, offering hope for patients with Niemann-Pick Disease Type C1.

Market Sentiment Analysis

POSITIVE FACTORS

  • Pivotal Phase 3 TransportNPC study for Trappsol Cyclo shows progress.
  • Data Monitoring Committee recommended continuation based on safety and efficacy data.
  • Potential to provide an important new treatment option for Niemann-Pick Disease Type C1.

CONCERNS & RISKS

  • Net loss increased to $9.8 million, attributed to increased operational costs.
  • Increase in research and development expenses due to Cyclo Therapeutic's consolidation.

Full Press Release Details

Rafael Holdings Reports First Quarter Fiscal
2026 Financial Results
NEWARK, NJ - December 11, 2025 (GLOBE
NEWSWIRE) - Rafael Holdings, Inc. (NYSE: RFL) today reported its financial results for the first quarter fiscal year 2026 ended October
"We remain pleased with the progress of
our pivotal Phase 3 TransportNPC study
evaluating Trappsol Cyclo for the treatment of Niemann-Pick Disease
Type C1, which the Data Monitoring Committee (DMC) recommended continuing after their review of prespecified safety and efficacy data
at 48 weeks. We believe that Trappsol Cyclo could provide an important
new treatment option for patients suffering from this rare and fatal genetic disease," said Howard Jonas, Chief Executive
Officer, Executive Chairman and Chairman of the Board of Rafael Holdings.
Rafael Holdings, Inc. First Quarter Fiscal Year 2026 Financial Results
As of October 31, 2025, we had cash and cash equivalents
For the three months ended October 31, 2025, we
recorded a net loss attributable to Rafael Holdings of $9.8 million, or $0.19 per share, versus a net loss of $9.0 million, or $0.37 per
share in the year ago period. The year over year increase in net loss is attributable to the consolidation of Cyclo Therapeutic's
expenses following the acquisition of Cyclo in March 2025.
Research and development expenses were $7.5 million
for the three months ended October 31, 2025, compared to $1.3 million in the year ago period. The year over year increase relates to the
inclusion in the current year period of spending at Cyclo following the March 2025 acquisition.
General and administrative expenses were $2.8
million for the three months ended October 31, 2025, compared to $2.5 million in the year ago period. The year over year increase relates
to the inclusion of expenses at Cyclo following the March 2025 acquisition.
About Rafael Holdings, Inc.
Rafael Holdings, Inc. is a biotechnology company
that develops pharmaceuticals and holds interests in clinical and early stage companies that develop pharmaceuticals and medical devices.
Our lead candidate is Trappsol Cyclo , which is being evaluated in clinical trials for the potential treatment of Niemann-Pick
Disease Type C1 ("NPC1"), a rare, fatal and progressive genetic disorder. We also hold interests in other clinical-stage and
early-stage pharmaceutical development companies and an orthopedic-focused medical device company. Our lead candidate, Trappsol Cyclo ,
is the subject of an ongoing pivotal Phase 3 clinical trial.
Forward Looking Statements
This press release contains forward-looking statements
within the meaning of the Private Securities Litigation Reform Act of 1995. All statements contained in this press release that do not
relate to matters of historical fact should be considered forward-looking statements, including without limitation statements regarding
our expectations surrounding the potential, safety, efficacy, and regulatory and clinical progress of our product candidates; plans regarding
the further evaluation of clinical data; and the potential of our pipeline, including our internal cancer metabolism research programs.
These statements are neither promises nor guarantees, but involve known and unknown risks, uncertainties and other important factors that
may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements
expressed or implied by the forward-looking statements, including, but not limited to, those disclosed under the caption "Risk Factors"
in our Annual Report on Form 10-K for the year ended July 31, 2024, and our other filings with the SEC. These factors could cause actual
results to differ materially from those indicated by the forward-looking statements made in this press release. Any such forward-looking
statements represent management's estimates as of the date of this press release. While we may elect to update such forward-looking
statements at some point in the future, we disclaim any obligation to do so, even if subsequent events cause our views to change.
RAFAEL HOLDINGS, INC.
CONSOLIDATED BALANCE SHEETS
(in thousands, except share and per share data)
October 31, 2025 July 31, 2025
(unaudited)
ASSETS
CURRENT ASSETS
Cash and cash equivalents $ 45,539 $ 52,769
Prepaid clinical costs 1,584 1,045
Other receivables - 1,206
Accounts receivable, net of allowance for credit losses of $245 at October 31, 2025 and July 31, 2025 413 627
Inventory 272 281
Prepaid expenses and other current assets 513 786
Total current assets 48,321 56,714
Property and equipment, net 1,562 1,596
Non-current prepaid clinical costs 629 1,399
Convertible notes receivable classified as available-for-sale 1,858 1,858
Goodwill 19,939 19,939
Intangible assets, net 962 994
In-process research and development 31,575 31,575
Investments 500 -
Other assets 29 34
TOTAL ASSETS $ 105,375 $ 114,109
LIABILITIES AND EQUITY
CURRENT LIABILITIES
Accounts payable $ 6,794 $ 6,893
Accrued expenses 3,860 3,304
Convertible notes payable 608 614
Due to related parties 751 723
Other current liabilities 63 66
Total current liabilities 12,076 11,600
Accrued expenses, noncurrent
Convertible notes payable, noncurrent 3,898 3,895
Deferred income tax liability 56 78
Other liabilities 138 138
TOTAL LIABILITIES 27 27
16,195 15,738
COMMITMENTS AND CONTINGENCIES
EQUITY
Class A common stock, $0.01 par value; 35,000,000 shares authorized, 787,163 shares issued and outstanding as of October 31, 2025 and July 31, 2025 8 8
Class B common stock, $0.01 par value; 200,000,000 shares authorized, 50,867,964 issued and outstanding (excluding treasury shares of 101,487) as of October 31, 2025, and 50,789,697 issued and outstanding (excluding treasury shares of 101,487) as of July 31, 2025 509 508
Additional paid-in capital 322,730 322,161
Accumulated deficit (242,079 ) (232,263 )
Treasury stock, at cost; 101,487 Class B shares as of October 31, 2025 and July 31, 2025 (168 ) (168 )
Accumulated other comprehensive income related to unrealized income on available-for-sale securities 358 358
Accumulated other comprehensive income related to foreign currency translation adjustment 3,823 3,787
Total equity attributable to Rafael Holdings, Inc. 85,181 94,391
Noncontrolling interests 3,999 3,980
TOTAL EQUITY 89,180 98,371
TOTAL LIABILITIES AND EQUITY $ 105,375 $ 114,109
RAFAEL HOLDINGS, INC.
STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS
(unaudited, in thousands, except share and per
Three Months Ended October 31,
2025 2024
Revenues $ 240 $ 128
Cost of infusion Technology revenue - 37
Cost of product revenue 9 -
SG&A Expenses 2,838 2,523
R&D Expenses 7,484 1,326
Depreciation and amortization 50 86
Operating Loss (10,141 ) (3,844 )
Interest income 399 568
Realized gain on available-for-sale securities - 194
Unrealized loss on investments - Cyclo Therapeutics Inc. - (4,365 )
Unrealized loss on convertible notes receivable, due from Cyclo - (1,588 )
Interest expense (160 ) (162 )
Other income (loss) 115 (2 )
Loss before Incomes Taxes (9,787 ) (9,199 )
Taxes (10 ) (12 )
Consolidated net loss (9,797 ) (9,211 )
Net income (loss) attributable to noncontrolling interests 19 (205 )
Net loss attributable to Rafael Holdings, Inc. $ (9,816 ) $ (9,006 )
Continuing operations loss per share
Net loss from operations (9,797 ) (9,211 )
Net income (loss) attributable to noncontrolling interests 19 (205 )
Numerator for loss per share from operations $ (9,816 ) $ (9,006 )
Loss per share
Basic and diluted (0.19 ) (0.37 )
Loss per basic common share $ (0.19 ) $ (0.37 )
Weighted average shares in calculation 51,184,407 24,062,854

Frequently Asked Questions

What are the recent financial results for Rafael Holdings?

Rafael Holdings reported a net loss of $9.8 million for Q1 fiscal 2026.

What is Trappsol Cyclo being evaluated for?

Trappsol Cyclo is being studied for treating Niemann-Pick Disease Type C1.

How much was spent on research and development?

Research and development expenses were $7.5 million for the recent quarter.

Who is the CEO of Rafael Holdings?

Howard Jonas serves as the Chief Executive Officer of Rafael Holdings.

What was the loss per share in Q1 2026?

The loss per share for Q1 2026 was $0.19, up from $0.37 the previous year.

Last updated: Dec 11, 2025