Citius Oncology, Inc. Reports Fiscal Second Quarter 2026 Financial Results and Provides Business Update
Rhea-AI Summary
Citius Oncology (Nasdaq: CTOR) reported fiscal Q2 2026 results and a business update. LYMPHIR® generated $1.7 million in quarterly and $5.6 million in first-half 2026 net revenue at ~80% gross margins. About 83% of target accounts have LYMPHIR on formulary or in review, with near 100% commercial payer coverage and no reimbursement denials.
The company held $2.6 million in cash at March 31, 2026, then secured up to $36.5 million in combined debt and equity in May. A one-time $19.7 million CMO contract cancellation drove G&A higher and contributed to a $26.6 million quarterly net loss.
Positive
- First-half 2026 LYMPHIR net revenue of $5.6 million at ~80% margin
- Q2 2026 LYMPHIR net revenue of $1.7 million versus no revenue year-ago
- Up to $36.5 million in new debt and equity financing in May 2026
- Near 100% commercial payer coverage and no LYMPHIR reimbursement denials
- 83% of target accounts have LYMPHIR on formulary or in review
- $22.7 million of LYMPHIR inventory to support anticipated demand
- Net operating loss sale generated a $1.76 million gain
Negative
- Q2 2026 net loss of $26.6 million, up from $7.7 million
- Six-month 2026 net loss of $32.1 million, up from $14.4 million
- G&A expenses rose to $23.6 million on $19.7 million CMO cancellation
- Cash and equivalents only $2.6 million at March 31, 2026 pre-financing
- Company expects combined funds support operations only through November 2026
News Market Reaction – CTOR
In the May 18 session, CTOR declined 13.95%, reflecting a significant negative market reaction. Argus tracked a trough of -4.0% from its starting point during tracking. Our momentum scanner triggered 6 alerts that day, indicating moderate trading interest and price volatility.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Previous Earnings Reports
| Date | Event | Sentiment | 24h Move | Catalyst |
|---|---|---|---|---|
| Dec 23 | FY25 results | Negative | -9.8% | Reported FY25 loss and low cash alongside LYMPHIR launch update. |
| Dec 23 | Parent FY25 results | Negative | -9.8% | Parent company FY25 loss despite LYMPHIR launch and prior financings. |
| Aug 12 | Q3 2025 earnings | Positive | +5.9% | Quarterly loss but additional financing to support upcoming LYMPHIR launch. |
| May 14 | Q2 2025 earnings | Negative | -0.6% | Higher net loss and disclosure of need for additional capital post-approval. |
| Feb 14 | Q1 2025 earnings | Negative | -5.6% | Ongoing losses with low cash while preparing LYMPHIR commercial launch. |
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Earnings-related releases have often coincided with downside moves, with an average same-day move of about -3.99% and multiple prior fiscal updates trading lower shortly after publication.
Over the past year, CTOR’s key events have centered on LYMPHIR’s path from pre-launch to commercialization and the financing needed to support it. Prior earnings updates in 2025 highlighted low cash balances, recurring net losses, and repeated capital raises, with share reactions often negative (e.g., -9.84% after FY25 results). Some quarters, like fiscal Q3 2025, paired higher losses with new funding and saw a modest gain. Today’s earnings fit into this pattern of balancing commercial progress with continued operating losses and financing needs.
Key Terms
t-regulatory cell (treg) medical
car-t therapy medical
diffuse large b-cell lymphoma (dlbcl) medical
named patient programs (npps) regulatory
ai-powered machine learning platform technical
bulk drug substance (bds) technical
contract manufacturing organization (cmo) technical
AI-generated analysis. How Rhea-AI works. Not financial advice.
Up to
Broad payer coverage established with no reimbursement denials
"LYMPHIR's commercial launch gives us confidence in the trajectory ahead. In the first six months of fiscal 2026, which includes only four months of commercial sales since LYMPHIR's December 2025 launch, we generated
"With market access efforts underway, our focus is on establishing LYMPHIR's position in the CTCL treatment journey. The financing we secured, subsequent to quarter end, is the catalyst that provides us with resources to complete the buildout of our commercial field force. We expect to have the full commercial team deployed by mid-summer. We have ample finished goods and work-in-process inventory on hand to support anticipated commercial demand for the foreseeable future. A fully staffed sales organization, reinforced by broad market access and sufficient inventory to support anticipated demand, is how we plan to drive continued momentum. The fundamentals of a successful specialty pharmaceutical launch, which include strong formulary and payer access, a funded commercial buildout, and healthy margins, are all moving in the right direction," added Mazur.
"Building on the commercial foundation we are establishing in the
Fiscal Second Quarter 2026 Business Highlights and Subsequent Developments
- Advanced formularly inclusion with
83% of target accounts having added or actively progressing LYMPHIR through formulary review; - Secured near
100% of covered commercial lives; no reimbursement denials or prior authorization barriers reported; - Initiated community infusion center penetration, with patients beginning to transition from larger academic cancer centers, a critical next phase of commercial scaling;
- Initiated shipment of LYMPHIR to
Europe , with LYMPHIR being made available through Named Patient Programs (NPPs) per local regulations; - Continued deployment of a proprietary AI-powered machine learning platform to support targeted physician engagement and efficient penetration of the highly concentrated CTCL prescriber base;
- Recruited and trained initial field sales team, with expanded field force recruitment underway;
- Announced positive topline results from two investigator-initiated Phase 1 studies evaluating LYMPHIR in combination settings, including:
- Phase 1 trial of LYMPHIR in combination with pembrolizumab (KEYTRUDA®) in patients with recurrent or refractory gynecologic cancers, including ovarian and endometrial malignancies;
- Phase 1 trial of LYMPHIR administered prior to CAR-T therapy in patients with high-risk relapsed or refractory diffuse large B-cell lymphoma (DLBCL), with positive topline safety and efficacy results; and,
- Initiated evaluation of new bulk drug substance (BDS) suppliers with letter of intent with a new contract manufacturing organization (CMO) expected by the end of June 2026;
$22.7 million
Fiscal Second Quarter 2026 Financial Highlights and Subsequent Developments
- Cash and cash equivalents of
$2.6 million $36.5 million - Secured up to
$36.5 million - a senior secured term loan facility of up to
$25 million $10 million $7 million $8 million - approximately
$11.5 million
- a senior secured term loan facility of up to
- Net product revenues of
$1.7 million $5.6 million - Gross profit of
$1.3 million 80% margin) for the three months ended March 31, 2026, and$4.5 million 80% margin) for the six months ended March 31, 2026; - R&D expenses of
$1.1 million $3.1 million $2.1 million $4.4 million - G&A expenses of
$23.6 million $2.2 million $19.7 million $26.5 million $5.6 million - Stock-based compensation expense of
$3.5 million $2.1 million $7.5 million $3.9 million - Recognized a gain of
$1.76 million New Jersey state net operating losses under the New Jersey Technology Business Tax Certificate Transfer Program; and, - Net loss of
$26.6 million $7.7 million $32.1 million $14.4 million
Fiscal Second Quarter 2026 Financial Results:
Liquidity
As of March 31, 2026, the Company had
Subsequent to quarter end, on May 5, 2026, the Company received approximately
We plan to continue to partially rely on funding from Citius Pharma, to raise capital through equity and debt financings, and to generate revenue from sales of LYMPHIR. We also have retained Jefferies LLC as our exclusive financial advisor in evaluating strategic alternatives aimed at maximizing shareholder value.
After giving effect to the May 2026 equity and debt financings, we expect that Citius Oncology and Citius Pharma collectively will have sufficient funds to continue operations through November 2026.
Net Revenue
Net product revenues were
The Company launched LYMPHIR in December 2025. The quarterly decrease in product revenues is primarily attributable to larger initial orders in the quarter ended December 31, 2025, as US distributors established their initial inventories. We believe that revenues will increase in the future as LYMPHIR gains market acceptance and initial accounts continue placing repeat orders. At the end of April 2026, we announced an initial shipment of LYMPHIR to
Research and Development (R&D) Expenses
R&D expenses were
General and Administrative (G&A) Expenses
G&A expenses were
Stock-based Compensation Expense
Stock-based compensation expense was
Net Loss
Net loss was
About Citius Oncology, Inc.
Citius Oncology, Inc. (Nasdaq: CTOR) is a platform to develop and commercialize novel targeted oncology therapies. In December 2025, Citius Oncology launched LYMPHIR, approved by the FDA for the treatment of adults with relapsed or refractory Stage I–III CTCL who had had at least one prior systemic therapy. Management estimates the initial market for LYMPHIR currently exceeds
About Citius Pharmaceuticals, Inc.
Citius Pharmaceuticals, Inc. (Nasdaq: CTXR) is a biopharmaceutical company dedicated to the development and commercialization of first-in-class critical care products. Citius Pharma owns approximately
Forward-Looking Statements
This press release may contain "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Such statements are made based on our expectations and beliefs concerning future events impacting Citius Oncology. You can identify these statements by the fact that they use words such as "will," "anticipate," "estimate," "expect," "plan," "should," and "may" and other words and terms of similar meaning or use of future dates. Forward-looking statements are based on management's current expectations and are subject to risks and uncertainties that could negatively affect our business, operating results, financial condition and stock price. Factors that could cause actual results to differ materially from those currently anticipated are: our need for substantial additional funds and our ability to raise additional money to fund our operations for at least the next 12 months as a going concern; our ability to obtain, perform under and maintain financing, strategic and third party agreements and relationships, including obtaining a new bulk drug substance supplier; our ability to regain compliance with Nasdaq's continued listing standards; our ability to successfully commercialize LYMPHIR and establish a sustainable revenue stream; the estimated markets for LYMPHIR and our product candidates and the acceptance thereof by any market; our ability to secure strategic partnerships and expand international access to LYMPHIR; our ability to use the latest technology to support our commercialization efforts for LYMPHIR; physician and patient acceptance of LYMPHIR in a competitive treatment landscape; our reliance on third-party logistics providers, distributors, and specialty pharmacies to support commercial operations; our ability to educate providers and payers, secure adequate reimbursement, and maintain uninterrupted product supply; post-marketing requirements and ongoing regulatory compliance related to LYMPHIR; the ability of LYMPHIR and our product candidates to impact the quality of life of our target patient populations; risks relating to the results of research and development activities, including those from any new pipeline assets; our ability to procure cGMP commercial-scale supply; market and other conditions; risks related to our growth strategy; patent and intellectual property matters; government regulation; as well as other risks described in our Securities and Exchange Commission ("SEC") filings. These risks have been and may be further impacted by any future public health risks. Accordingly, these forward-looking statements do not constitute guarantees of future performance, and you are cautioned not to place undue reliance on these forward-looking statements. Risks regarding our business are described in detail in our SEC filings which are available on the SEC's website at www.sec.gov, including in Citius Oncology's Annual Report on Form 10-K for the year ended September 30, 2025, filed with the SEC on December 23, 2025. These forward-looking statements speak only as of the date hereof, and we expressly disclaim any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in our expectations or any changes in events, conditions or circumstances on which any such statement is based, except as required by law.
Investor Contact:
Ilanit Allen
ir@citiuspharma.com
908-967-6677 x113
Media Contact:
STiR-communications
Greg Salsburg
Greg@STiR-communications.com
– Financial Tables Follow –
CITIUS ONCOLOGY, INC. | ||||||||
CONDENSED CONSOLIDATED BALANCE SHEETS | ||||||||
(Unaudited) | ||||||||
March 31, | September 30, | |||||||
Current Assets: | ||||||||
Cash and cash equivalents | $ | 2,632,634 | $ | 3,924,908 | ||||
Accounts receivable, net of allowances | 1,079,055 | — | ||||||
Inventory | 22,659,590 | 22,286,693 | ||||||
Prepaid expenses | 3,052,387 | 1,331,280 | ||||||
Total Current Assets | 29,423,666 | 27,542,881 | ||||||
Other Assets: | ||||||||
In-process research and development, net of accumulated amortization | 71,106,250 | 73,400,000 | ||||||
Deferred financing costs | 169,252 | — | ||||||
Total Other Assets | 71,275,502 | 73,400,000 | ||||||
Total Assets | $ | 100,699,168 | $ | 100,942,881 | ||||
LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||||
Current Liabilities: | ||||||||
Accounts payable | $ | 8,883,239 | $ | 13,234,684 | ||||
License payable | 17,650,000 | 22,650,000 | ||||||
Accrued expenses | 24,057,573 | 4,093,124 | ||||||
Due to related party | 8,221,486 | 9,513,771 | ||||||
Total Current Liabilities | 58,812,298 | 49,491,579 | ||||||
Deferred tax liability | 2,817,990 | 2,784,960 | ||||||
Note payable to related party | 3,800,111 | 3,800,111 | ||||||
Total Liabilities | 65,430,399 | 56,076,650 | ||||||
Stockholders' Equity: | ||||||||
Preferred stock - | — | — | ||||||
Common stock - | 9,298 | 8,351 | ||||||
Additional paid-in capital | 131,443,191 | 108,897,836 | ||||||
Accumulated deficit | (96,183,720) | (64,039,956) | ||||||
Total Stockholders' Equity | 35,268,769 | 44,866,231 | ||||||
Total Liabilities and Stockholders' Equity | $ | 100,699,168 | $ | 100,942,881 | ||||
CITIUS ONCOLOGY, INC. | ||||||||||||||||
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS | ||||||||||||||||
FOR THE THREE AND SIX MONTHS ENDED MARCH 31, 2026 AND 2025 (Unaudited) | ||||||||||||||||
Three Months Ended | Six Months Ended | |||||||||||||||
March 31, | March 31, | March 31, | March 31, | |||||||||||||
2026 | 2025 | 2026 | 2025 | |||||||||||||
Revenues | $ | 1,667,298 | $ | — | $ | 5,611,409 | $ | — | ||||||||
Cost of revenues | (328,878) | — | (1,118,086) | — | ||||||||||||
Gross Profit | 1,338,420 | — | 4,493,323 | — | ||||||||||||
Operating Expenses | ||||||||||||||||
Research and development | 1,079,354 | 3,139,413 | 2,097,706 | 4,403,921 | ||||||||||||
Amortization of in-process research and development | 1,720,312 | — | 2,293,750 | — | ||||||||||||
General and administrative | 23,625,639 | 2,243,327 | 26,484,978 | 5,565,306 | ||||||||||||
Stock-based compensation – general and administrative | 3,526,710 | 2,088,572 | 7,482,760 | 3,897,050 | ||||||||||||
Total Operating Expenses | 29,952,015 | 7,471,312 | 38,359,194 | 13,866,277 | ||||||||||||
Operating Loss | (28,613,595) | (7,471,312) | (33,865,871) | (13,866,277) | ||||||||||||
Other Income (Expense) | ||||||||||||||||
Interest income | 43,721 | — | 72,009 | — | ||||||||||||
Gain on sale of | 1,762,000 | — | 1,762,000 | — | ||||||||||||
Interest expense | (33,031) | — | (78,872) | — | ||||||||||||
Total Other Income | 1,772,690 | — | 1,755,137 | — | ||||||||||||
Loss before Income Taxes | (26,840,905) | (7,471,312) | (32,110,734) | (13,866,277) | ||||||||||||
Income tax expense (benefit) | (231,210) | 264,240 | 33,030 | 528,480 | ||||||||||||
Net Loss | $ | (26,609,695) | $ | (7,735,552) | $ | (32,143,764) | $ | (14,394,757) | ||||||||
Net Loss Per Share - Basic and Diluted | $ | (0.27) | $ | (0.11) | $ | (0.34) | $ | (0.20) | ||||||||
Weighted Average Common Shares Outstanding | ||||||||||||||||
Basic and diluted (includes pre-funded warrants from the | 100,027,204 | 71,552,402 | 93,657,757 | 71,552,402 | ||||||||||||
CITIUS ONCOLOGY, INC. | ||||||||
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS | ||||||||
FOR THE SIX MONTHS ENDED MARCH 31, 2026 AND 2025 | ||||||||
(Unaudited) | ||||||||
2026 | 2025 | |||||||
Cash Flows From Operating Activities: | ||||||||
Net loss | $ | (32,143,764) | $ | (14,394,757) | ||||
Adjustments to reconcile net loss to net cash provided by operating activities: | ||||||||
Stock-based compensation expense | 7,482,760 | 3,897,050 | ||||||
Amortization of in-process research and development | 2,293,750 | - | ||||||
Deferred income tax expense | 33,030 | 528,480 | ||||||
Changes in operating assets and liabilities: | ||||||||
Accounts receivable, net of allowances | (1,079,055) | - | ||||||
Inventory | (372,897) | (7,070,487) | ||||||
Prepaid expenses | (1,721,107) | - | ||||||
Accounts payable | (4,351,445) | 3,964,688 | ||||||
Accrued expenses | 19,964,449 | 8,722,168 | ||||||
Due to related party | (1,292,285) | 4,352,858 | ||||||
Net Cash (Used In) Provided By Operating Activities | (11,186,564) | - | ||||||
Cash Flows From Investing Activities | ||||||||
License payments | (5,000,000) | - | ||||||
Net Cash Used In Investing Activities | (5,000,000) | - | ||||||
Cash Flows From Financing Activities | ||||||||
Deferred financing costs | (169,252) | - | ||||||
Net proceeds from issuance of common stock | 15,063,542 | - | ||||||
Net Cash Provided by Financing Activities | 14,894,290 | - | ||||||
Net Change in Cash and Cash Equivalents | (1,292,274) | - | ||||||
Cash and Cash Equivalents – Beginning of Period | 3,924,908 | 112 | ||||||
Cash and Cash Equivalents – End of Period | $ | 2,632,634 | $ | 112 | ||||
Supplemental Disclosures of Cash Flow Information and Non-cash | ||||||||
Interest Paid | $ | 14,460 | $ | - | ||||
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SOURCE Citius Oncology, Inc.