Reviva Pharmaceuticals Reports Decreased Net Losses and Raises $10 Million in Public Offering

Reviva Pharmaceuticals Holdings, Inc. reported its financial results for the second quarter of 2025, revealing a net loss of approximately $6.1 million, a decrease from a net loss of $7.9 million in the same period of 2024. For the six months ended June 30, 2025, the company recorded a net loss of $12.5 million, down from $15.3 million year-over-year. The reduction in losses is attributed to a significant decrease in research and development expenses, which fell by 33.3% to $3.7 million for the quarter and by 31.1% to $7.8 million for the six-month period, primarily due to lower external clinical research costs as the company nears completion of its ongoing clinical trials.

Reviva's total operating expenses for the second quarter were approximately $6.1 million, down from $8.1 million in the prior year. The company also reported a gain on the remeasurement of warrant liabilities of $11,126 for the quarter, compared to $200,273 in the same period last year. Interest income decreased significantly to $22,847 from $87,610, reflecting a lower average cash balance. As of June 30, 2025, Reviva had cash and cash equivalents of $10.4 million, down from $13.5 million at the end of 2024, and a working capital deficit of approximately $1.3 million.

In terms of strategic developments, Reviva completed a public offering on June 26, 2025, raising approximately $10 million through the sale of 20 million shares of common stock and associated warrants. This offering was part of the company's efforts to secure additional funding for its clinical development programs, particularly for its lead candidate, brilaroxazine, which is in advanced stages of clinical trials for schizophrenia and other neuropsychiatric conditions. The company plans to meet with the FDA in Q4 2025 to discuss the submission of a New Drug Application (NDA) based on the data collected from its clinical trials.

Operationally, Reviva has made significant progress with its clinical trials, particularly the Phase 3 RECOVER-1 trial for brilaroxazine, which has shown positive results. The company is also preparing for a potential Phase 3 RECOVER-2 trial, contingent on discussions with the FDA. As of June 30, 2025, Reviva's total assets were reported at $11.6 million, a decrease from $15.5 million at the end of 2024, reflecting the company's ongoing investment in its clinical programs.

Looking ahead, Reviva anticipates continued operating losses as it invests in the development of its product candidates. The company acknowledges the need for additional capital to support its operations and clinical trials, emphasizing that its current cash reserves may not be sufficient to meet its operational needs beyond the fourth quarter of 2025. Reviva plans to pursue various funding avenues, including public or private equity and potential collaborations, to ensure the continuation of its development efforts.