Raphael Pharmaceutical Reports Q1 2026 Financial Results with $229,000 Net Loss

Raphael Pharmaceutical Inc. reported its financial results for the first quarter of 2026, revealing a net loss of $229,000, a significant decrease of 47% compared to a net loss of $429,000 in the same period of 2025. The company did not generate any revenue during this quarter, consistent with the previous year. Operating loss also decreased to $223,000 from $425,000, primarily due to reduced research and development expenses, which fell by 49% to $37,000, and a 47% reduction in general and administrative expenses, which totaled $186,000.

The company's total assets as of March 31, 2026, were reported at $3,000, a decline from $53,000 at the end of 2025. Current liabilities increased to $1,665,000 from $1,486,000, largely due to higher payables to related parties. Stockholders' equity showed a deficit of $1,662,000, worsening from a deficit of $1,433,000 at the end of the previous fiscal year. The accumulated deficit increased to $10,397,000 from $10,168,000, reflecting ongoing operational losses.

In terms of strategic developments, Raphael Pharmaceutical has focused on advancing its research and clinical trials, particularly in cannabinoid-based therapies for rheumatoid arthritis (RA) and asthma. The company successfully completed a proof-of-concept clinical study for its lead product candidate in December 2024 and launched its proprietary natural formula under the "RaphaWell" brand in August 2025. The product is designed to support RA management and is positioned as a dietary supplement in the wellness market.

Operationally, the company has not reported any significant changes in customer counts or user statistics, as it remains in the development stage without commercial sales. The employee headcount has not been disclosed, but the company continues to rely on third-party collaborations for research and development efforts. Raphael Pharmaceutical's management has indicated that additional funding will be necessary to support ongoing clinical trials and operational costs, with an estimated requirement of approximately $1 million for research and development activities over the next 12 months.

Looking ahead, the company faces substantial doubt regarding its ability to continue as a going concern, given its limited cash reserves of $1,000 as of March 31, 2026. Management anticipates needing significant additional financing to sustain operations and achieve its strategic goals. The outlook remains uncertain, with the potential for delays or reductions in research and development plans if adequate funding is not secured.