Palisade Bio Reports $2.87 Million Net Loss in Q3 2025, Sees Decrease in Operating Expenses

Palisade Bio, Inc. reported a net loss of $2.87 million for the third quarter of 2025, a decrease from a net loss of $3.49 million in the same period of the previous year. The company’s total operating expenses for the quarter were $2.92 million, down 19% from $3.59 million in the third quarter of 2024. This reduction was primarily driven by a significant decrease in research and development expenses, which fell by 35% to $1.39 million, compared to $2.14 million in the prior year. The decrease in R&D expenses is attributed to the completion of preclinical joint development activities related to the company’s lead product candidate, PALI-2108, as it transitioned into clinical trials.

For the nine months ending September 30, 2025, Palisade Bio reported a net loss of $7.88 million, a notable improvement from a loss of $11.09 million during the same period in 2024. Total operating expenses for the nine-month period decreased by 30% to $8.08 million, down from $11.48 million. The decline in expenses was largely due to a 42% reduction in research and development costs, which fell to $4.02 million from $6.98 million, reflecting the shift from preclinical to clinical development phases for PALI-2108.

Palisade Bio has made strategic advancements, including the completion of a significant equity offering on October 2, 2025, which raised approximately $138 million in gross proceeds. This funding is expected to enhance the company’s working capital and support ongoing clinical development efforts for PALI-2108, which is being evaluated for the treatment of inflammatory bowel disease. The company also reported a successful dosing of the first patients in an exploratory Phase 1b clinical trial for PALI-2108 in October 2025, marking a critical milestone in its development pipeline.

As of September 30, 2025, Palisade Bio had $5.23 million in cash and cash equivalents, a decrease from $9.82 million at the end of 2024. The company’s total liabilities increased to $3.76 million from $3.39 million, primarily due to higher accounts payable and accrued liabilities. The company’s stockholders' equity also saw a decline, dropping to $3.21 million from $7.49 million at the end of the previous fiscal year, largely due to accumulated losses.

Looking ahead, Palisade Bio anticipates continued operating losses as it progresses through clinical trials and seeks to establish market presence for PALI-2108. The company plans to utilize the proceeds from its recent equity offering to fund its operations and clinical development activities, with a focus on achieving key milestones in the coming years. The management remains optimistic about the potential of PALI-2108 and its ability to address unmet medical needs in patients with autoimmune and inflammatory diseases.