Enveric Biosciences reported a net loss of $3.4 million for the third quarter of 2025, or $10.81 per share, and a cash balance of $3.8 million at September 30, 2025. The company raised $7.9 million in net proceeds during the nine‑month period, a financing effort that extends its runway but still leaves it short of the cash needed to sustain its preclinical pipeline.
The loss widened from the $2.1 million net loss reported for the same quarter in 2024, reflecting higher operating expenses in the absence of revenue. Cash burn has accelerated, and the company’s liquidity position has deteriorated to the point that it has issued a formal going‑concern warning. The short cash runway underscores the urgency of additional financing to reach the next development milestones for its lead candidate, EB‑003.
On October 28, 2025, Enveric completed a 1‑for‑12 reverse stock split after a Nasdaq delisting determination. The split was a defensive move to maintain exchange listing compliance, but it also signals the depth of the company’s financial distress and the potential dilution that future capital raises may impose on shareholders.
The company’s research and development expense fell 50% quarter‑over‑quarter, indicating a slowdown in development activity that may be driven by the cash crunch. General‑and‑administrative expenses were reported to have fallen 28% from the same period in 2024, but the source did not confirm this figure, so the trend remains uncertain. The combination of reduced R&D spending and uncertain G&A costs highlights the company’s effort to conserve cash while maintaining progress on its pipeline.
Enveric’s lead candidate, EB‑003, has advanced to the point where the company received a written response from the U.S. Food and Drug Administration to a pre‑IND Type B meeting request. The response is viewed as a green light to proceed with an IND filing, a critical step toward clinical trials in 2026. In parallel, the company is defending a patent against a competitor, a legal battle that could impact its intellectual‑property portfolio and valuation.
Management emphasized that the company remains focused on securing additional financing to bridge the gap between its current cash position and the capital required for the next development milestones. The company’s leadership views the progress on EB‑003 and the FDA response as positive indicators, but acknowledges that the liquidity crisis and the need for further capital raise remain significant challenges.
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