Phio Pharmaceuticals Reports $4.1 Million Net Loss in Q2 2026, Focuses on Clinical Development of PH-762

Phio Pharmaceuticals Corp. reported significant financial results for the second quarter of 2026, revealing a net loss of $4.1 million, compared to a net loss of $2.2 million for the same period in 2025. For the first half of 2026, the company recorded a net loss of $8.1 million, up from $3.9 million in the prior year. Operating expenses for the second quarter increased to $4.3 million, a 85% rise from $2.3 million in the previous year, primarily driven by a substantial increase in research and development costs, which surged to $3.1 million from $1.1 million year-over-year.

The company's total assets decreased to $14.3 million as of June 30, 2026, down from $21.5 million at the end of 2025. This decline was largely attributed to a reduction in cash and cash equivalents, which fell to $13.0 million from $21.0 million. The increase in operating expenses reflects Phio's intensified focus on advancing its clinical development programs, particularly for its lead product candidate, PH-762, which is designed to enhance the immune response against cancer.

Phio Pharmaceuticals has made strategic advancements in its clinical programs, particularly with PH-762, which is currently undergoing a Phase 1b clinical trial for the treatment of cutaneous squamous cell carcinoma and other cancers. The trial has been fully enrolled, and preliminary data indicates a 65% overall response rate among patients treated. The company is also preparing for an FDA meeting to discuss the next steps in the clinical development of PH-762, which is expected to take place in the third quarter of 2026.

Operationally, Phio has maintained a streamlined structure, focusing resources on its clinical development while managing costs. The company has not generated any product revenues to date and continues to rely on external funding to support its operations. As of June 30, 2026, Phio had 11.6 million shares outstanding, with no significant changes in its employee headcount reported. The company has also established an At The Market Agreement to potentially raise up to $6.36 million through the sale of common stock, although no shares have been sold under this program as of the reporting date.

Looking ahead, Phio Pharmaceuticals anticipates continued operating losses as it advances its clinical programs and seeks additional funding to support its operations. The company remains focused on its goal of developing innovative cancer treatments using its proprietary INTASYL technology, which aims to enhance the effectiveness of immune cells in targeting tumor cells. However, the company acknowledges the inherent uncertainties and risks associated with clinical development and the need for substantial additional funding to sustain its operations in the future.