Profusa Reports Increased Net Loss and Rising Operating Expenses in Q1 2026

Profusa, Inc. reported a net loss of $3.5 million for the first quarter of 2026, an increase from a net loss of $2.7 million in the same period of the previous year. The company's total operating expenses surged to $4.0 million, up 181% from $1.4 million in the first quarter of 2025. This increase was primarily driven by a significant rise in research and development costs, which rose by 164% to $1.1 million, and general and administrative expenses, which increased by 189% to $2.9 million. The company attributed these increases to higher regulatory and consulting costs as it advances its product development efforts.

In terms of financial position, Profusa's total assets decreased to $862,000 as of March 31, 2026, down from $3.8 million at the end of 2025. The company's cash reserves also fell sharply to $375,000 from $1.8 million. Current liabilities increased to $29.0 million, compared to $22.3 million at the end of the previous fiscal year, reflecting a growing financial strain. The company’s accumulated deficit widened to $164.2 million, up from $160.8 million at the end of 2025.

Strategically, Profusa has been active in securing funding and expanding its product offerings. The company entered into a License Agreement with the Mayo Foundation for Medical Education and Research, granting it exclusive rights to certain patent rights in the field of continuous oxygen measurement. Additionally, Profusa is working to renew the CE mark for its Lumee Oxygen product, which is crucial for its commercialization in Europe. The company also reported a gain of $1.4 million from the forgiveness of a Paycheck Protection Program loan, which contributed positively to its financial results.

Operationally, Profusa is focusing on expanding its market presence, particularly in Europe, where it has begun selling its Lumee Oxygen product for research purposes. The company is also preparing for the launch of its Lumee Glucose product, expected in 2026, pending regulatory approval. However, the company faces significant challenges, including a working capital deficit of approximately $28.4 million and ongoing compliance issues with Nasdaq listing requirements. Profusa has appealed a delisting determination from Nasdaq and is working to meet the necessary conditions to maintain its listing.

Looking ahead, Profusa anticipates the need for additional financing to support its operations and product commercialization efforts. The company has indicated that it may seek to raise funds through equity or debt offerings. Management has expressed concerns about its ability to continue as a going concern, given the substantial losses and cash flow challenges it faces. The outlook remains uncertain as the company navigates these financial and operational hurdles while striving to bring its innovative biosensing technologies to market.