Raphael Pharmaceutical Reports $1M Net Loss and Launches New Product

Raphael Pharmaceutical Inc. reported its financial results for the nine months ending September 30, 2025, revealing a net loss of $1,006,000, a decrease of 10% from the $1,124,000 loss recorded during the same period in 2024. The company did not generate any revenue in either period. Research and development expenses fell by 49% to $286,000, primarily due to reduced costs associated with a research agreement with Rambam Health Care Campus. Conversely, general and administrative expenses increased by 28% to $705,000, attributed to higher professional services paid to related parties.

The company’s total assets decreased significantly to $7,000 as of September 30, 2025, down from $27,000 at the end of 2024. Current liabilities rose to $1,271,000, compared to $769,000 at the end of the previous fiscal year. This increase was driven by higher payables to related parties and accrued expenses. The accumulated deficit also widened to $9,895,000 from $8,889,000, reflecting ongoing operational losses.

In terms of strategic developments, Raphael Pharmaceutical launched its proprietary natural formula, "RaphaWell," for rheumatoid arthritis (RA) support in August 2025. This product follows the successful completion of a clinical trial and is positioned as a dietary supplement targeting the wellness market. The company has also been actively engaged in research related to asthma and COVID-19, leveraging insights from previous studies to advance its product pipeline.

Operationally, Raphael Pharmaceutical has not reported any significant changes in customer counts or user statistics, as it remains in the development stage without commercial sales. The company’s employee headcount and market share figures were not disclosed in the filing. However, it has indicated plans for geographic expansion and further product development, particularly in the cannabinoid-based therapeutic space.

Looking ahead, Raphael Pharmaceutical faces substantial challenges, including a critical need for additional financing to support its operations. The company has indicated that its current cash reserves of $3,000 are insufficient to meet projected operating requirements, raising doubts about its ability to continue as a going concern. Management anticipates needing approximately $500,000 for research and development activities and $300,000 for capital expenditures over the next 12 months. The company’s future capital requirements will depend on various factors, including the success of its clinical trials and regulatory approvals.