Rafael Holdings Reports Second Quarter Fiscal 2026 Financial Results

Rhea-AI Summary

Rafael Holdings (NYSE: RFL) reported Q2 fiscal 2026 results for the period ended January 31, 2026. Cash and cash equivalents were $37.8 million. Q2 net loss attributable to Rafael Holdings was $6.4 million ($0.13/share); six‑month net loss was $16.2 million ($0.32/share). R&D increased notably after the March 2025 acquisition of Cyclo Therapeutic. The Data Monitoring Committee recommended continuing the pivotal 96‑week Phase 3 TransportNPC study of Trappsol Cyclo; preliminary topline results are expected in Q3 calendar 2026.

Positive

• DMC recommended continuing Phase 3 TransportNPC study
• Preliminary topline results expected in Q3 calendar 2026
• Cash balance of $37.8 million provides operating liquidity
• Cyclo acquisition (March 2025) adds Trappsol Cyclo Phase 3 program

Negative

• Q2 net loss widened to $6.4 million from $4.6 million year ago
• Six‑month net loss increased to $16.2 million from $13.6 million
• R&D spending rose to $4.5M in Q2 (from $0.9M) due to Cyclo consolidation
• Six‑month R&D increased to $12.0M from $2.3M, pressuring results

News Market Reaction – RFL

+0.76%

5 alerts

+0.76% News Effect

+8.5% Peak in 25 hr 44 min

+$566K Valuation Impact

$75M Market Cap

0.4x Rel. Volume

On the day this news was published, RFL gained 0.76%, reflecting a mild positive market reaction. Argus tracked a peak move of +8.5% during that session. Our momentum scanner triggered 5 alerts that day, indicating moderate trading interest and price volatility. This price movement added approximately $566K to the company's valuation, bringing the market cap to $75M at that time.

Data tracked by StockTitan Argus on the day of publication.

Key Figures

Cash & equivalents: $37.8 million Q2 net loss: $6.4 million Q2 EPS: $0.13 per share loss +5 more

8 metrics

Cash & equivalents $37.8 million As of January 31, 2026

Q2 net loss $6.4 million Three months ended January 31, 2026

Q2 EPS $0.13 per share loss Three months ended January 31, 2026

Prior-year Q2 net loss $4.6 million Three months ended January 31, 2025

Q2 R&D expense $4.5 million Three months ended January 31, 2026

Q2 G&A expense $2.3 million Three months ended January 31, 2026

Six-month net loss $16.2 million Six months ended January 31, 2026

Six-month R&D expense $12.0 million Six months ended January 31, 2026

Market Reality Check

Price: $1.28 Vol: Volume 37,549 vs 20-day a...

low vol

$1.28 Last Close

Volume Volume 37,549 vs 20-day average 107,345 (relative volume 0.35) shows muted trading interest. low

Technical Price $1.28 trades below 200-day MA at $1.47, despite a 8.2% daily gain.

Peers on Argus

RFL gained 8.2% while key peers were mixed: EUDA -0.53%, DUO -0.88%, NYC -0.37%,...

RFL gained 8.2% while key peers were mixed: EUDA -0.53%, DUO -0.88%, NYC -0.37%, OMH +3.51%, and CHG 0%, pointing to a stock-specific move.

Previous Earnings Reports

5 past events · Latest: Dec 11 (Negative)

Same Type Pattern 5 events

Date	Event	Sentiment	Move	Catalyst
Dec 11	Q1 2026 earnings	Negative	-2.0%	Higher R&D and wider net loss versus prior-year quarter.
Oct 29	Q4 2025 earnings	Negative	+0.8%	Larger quarterly and full-year losses despite stronger cash from rights offering.
Jun 11	Q3 2025 earnings	Negative	-27.7%	Net loss and rising R&D and G&A following Cyclo merger consolidation.
Mar 13	Q2 2025 earnings	Negative	+1.7%	Shift from prior-year income to net loss and higher R&D spending.
Dec 11	Q1 2025 earnings	Negative	+1.6%	Larger net loss driven by unrealized losses on Cyclo investments.

Pattern Detected

Earnings releases have often been followed by negative or mixed reactions, with 3 out of 5 prior earnings events showing price moves that diverged from the generally negative loss-driven tone.

Recent Company History

Over the past five earnings cycles, Rafael Holdings has consistently reported net losses while transitioning into a biotech platform around Trappsol® Cyclo™. Cash balances moved from $54.3M and $48.3M in fiscal 2025 down to $45.5M and then $45.5M again in Q1 FY26, supported by a $25.0M rights offering. R&D and G&A expenses rose after the Cyclo Therapeutics merger, reflecting increased investment in the Phase 3 TransportNPC™ program. Today’s Q2 FY26 results continue this pattern of elevated R&D and ongoing development of the lead program.

Historical Comparison

-5.1% avg move · In the past, RFL’s earnings releases averaged a -5.14% next-day move. Today’s +8.2% reaction to Q2 F...

earnings

-5.1%

Average Historical Move earnings

In the past, RFL’s earnings releases averaged a -5.14% next-day move. Today’s +8.2% reaction to Q2 FY26 earnings and trial progress marks a notable upside outlier versus prior earnings patterns.

Earnings updates show Rafael evolving from pre-merger losses tied to Cyclo investments toward post-merger spending focused on the Phase 3 TransportNPC™ trial, with cash supported by a rights offering and increasing R&D and G&A tied to the Cyclo integration.

Market Pulse Summary

This announcement combined Q2 FY26 financials with an update on the pivotal Phase 3 TransportNPC™ tr...

Analysis

This announcement combined Q2 FY26 financials with an update on the pivotal Phase 3 TransportNPC™ trial of Trappsol® Cyclo™. Rafael reported cash and equivalents of $37.8M, a quarterly net loss of $6.4M, and six‑month R&D expenses of $12.0M, reflecting continued investment after the Cyclo acquisition. Historically, earnings have brought mixed price reactions, so investors may watch upcoming topline Phase 3 data, cash trends, and expense levels across future quarters.

Key Terms

phase 3, data monitoring committee, niemann-pick disease type c1, clinical trial

4 terms

phase 3 medical

"progress of our pivotal Phase 3 TransportNPC™ study evaluating Trappsol® Cyclo™"

Phase 3 is the late-stage clinical testing step for a new drug or medical treatment, where the product is given to large groups of patients to confirm effectiveness, monitor side effects, and compare it to standard care. Successful Phase 3 results are often the final scientific hurdle before regulators decide on approval and market launch—like passing a final exam before graduation—and can sharply change a company's valuation and future revenue prospects.

data monitoring committee medical

"which the Data Monitoring Committee (DMC) recommended continuing after their review"

A data monitoring committee is a group of experts responsible for reviewing and overseeing important information during a project or study to ensure everything is proceeding safely and correctly. For investors, it provides an extra layer of oversight, helping to identify potential issues early and ensuring that decisions are based on accurate, unbiased data. This helps maintain trust and safety throughout the process.

niemann-pick disease type c1 medical

"for the treatment of Niemann-Pick Disease Type C1, which the Data Monitoring Committee"

A rare, inherited neurological disorder caused by mutations in the NPC1 gene that prevent cells from moving and disposing of cholesterol and other fats, causing them to build up like a clogged drain inside brain and other cells. Symptoms progress over time—often including movement problems, cognitive decline, and organ dysfunction—making it a severe unmet medical need and a focus for drug development, regulatory incentives, and potential investment in treatments.

clinical trial medical

"We are on track to complete this 96-week Phase 3 clinical trial, the largest ever"

A clinical trial is a carefully controlled study in which a new medicine, medical device, or treatment is tested on people to see if it is safe and effective. For investors it matters because trial results determine whether a product can win regulatory approval and reach patients, much like a road test decides if a new car can be sold; positive or negative results can sharply change a company’s prospects and stock value.

AI-generated analysis. Not financial advice.

NEWARK, N.J., March 16, 2026 (GLOBE NEWSWIRE) -- Rafael Holdings, Inc. (NYSE: RFL) today reported its financial results for the second quarter fiscal year 2026 ended January 31, 2026.

“We remain pleased with the progress of our pivotal Phase 3 TransportNPC™ study evaluating Trappsol^® Cyclo™ for the treatment of Niemann-Pick Disease Type C1, which the Data Monitoring Committee (DMC) recommended continuing after their review of prespecified safety and efficacy data at 48 weeks. We believe that Trappsol^® Cyclo™ could provide an important new treatment option for patients suffering from this rare and fatal genetic disease,” said Howard Jonas, Chief Executive Officer, Executive Chairman and Chairman of the Board of Rafael Holdings.

“We are on track to complete this 96-week Phase 3 clinical trial, the largest ever conducted in this indication, and report preliminary top line results in the third quarter of this calendar year,” said Joshua Fine, Chief Operating Officer of Rafael Holdings.

Rafael Holdings, Inc. Second Quarter Fiscal Year 2026 Financial Results

As of January 31, 2026, we had cash and cash equivalents of $37.8 million.

For the three months ended January 31, 2026, we recorded a net loss attributable to Rafael Holdings of $6.4 million, or $0.13 per share, versus a net loss of $4.6 million, or $0.19 per share in the year ago period. The year over year increase in net loss is attributable to the consolidation of Cyclo Therapeutic’s expenses following the acquisition of Cyclo in March 2025.

Research and development expenses were $4.5 million for the three months ended January 31, 2026, compared to $0.9 million in the year ago period. The year over year increase relates to the inclusion in the current year period of spending at Cyclo following the March 2025 acquisition.

General and administrative expenses were $2.3 million for the three months ended January 31, 2026, compared to $2.6 million in the year ago period. The year over year decrease relates to a decrease in payroll and professional fees during the quarter ended January 31, 2026 offset by the inclusion of expenses at Cyclo following the March 2025 acquisition.

Rafael Holdings, Inc. First Six Months Fiscal Year 2026 Financial Results

For the six months ended January 31, 2026, we recorded a net loss attributable to Rafael Holdings of $16.2 million, or $0.32 per share, versus a net loss of $13.6 million, or $0.57 per share in the year ago period. The year over year increase in net loss is attributable to the consolidation of Cyclo Therapeutic’s expenses following the acquisition of Cyclo in March 2025.

Research and development expenses were $12.0 million for the six months ended January 31, 2026, compared to $2.3 million in the year ago period. The year over year increase relates to the inclusion in the current year period of spending at Cyclo following the March 2025 acquisition.

General and administrative expenses were $5.1 million for the six months ended January 31, 2026, compared to $5.1 million in the year ago period. The increase related to the inclusion of expenses at Cyclo following the March 2025 acquisition was offset by reductions in payroll due to terminations and reduced stock based compensation expense and professional fees.

About Rafael Holdings, Inc.

Rafael Holdings, Inc. is a biotechnology company that develops pharmaceuticals and holds interests in clinical and early stage companies that develop pharmaceuticals and medical devices. Our lead candidate is Trappsol^® Cyclo™, which is being evaluated in clinical trials for the potential treatment of Niemann-Pick Disease Type C1 (“NPC1”), a rare, fatal and progressive genetic disorder. We also hold interests in other clinical-stage and early-stage pharmaceutical development companies and an orthopedic-focused medical device company. Our lead candidate, Trappsol^® Cyclo™, is the subject of an ongoing pivotal Phase 3 clinical trial.

Forward Looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements contained in this press release that do not relate to matters of historical fact should be considered forward-looking statements, including without limitation statements regarding our expectations surrounding the potential, safety, efficacy, and regulatory and clinical progress of our product candidates; plans regarding the further evaluation of clinical data; and the potential of our pipeline, including our internal cancer metabolism research programs. These statements are neither promises nor guarantees, but involve known and unknown risks, uncertainties and other important factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements, including, but not limited to, those disclosed under the caption “Risk Factors” in our Annual Report on Form 10-K for the year ended July 31, 2025, and our other filings with the SEC. These factors could cause actual results to differ materially from those indicated by the forward-looking statements made in this press release. Any such forward-looking statements represent management’s estimates as of the date of this press release. While we may elect to update such forward-looking statements at some point in the future, we disclaim any obligation to do so, even if subsequent events cause our views to change.

Contact:
Barbara Ryan
Barbara.ryan@rafaelholdings.com
(203) 274-2825

RAFAEL HOLDINGS, INC.
CONSOLIDATED BALANCE SHEETS
(in thousands, except share and per share data)
	January 31, 2026				July 31, 2025
	(Unaudited)
ASSETS
CURRENT ASSETS
Cash and cash equivalents	$	37,779			$	52,769
Prepaid clinical costs		3,229				1,045
Other receivables		—				1,206
Accounts receivable, net of allowance for credit losses of $245 at January 31, 2026 and July 31, 2025		295				627
Inventory		271				281
Prepaid expenses and other current assets		873				786
Total current assets		42,447				56,714
Property and equipment, net		1,545				1,596
Investments		750				—
Convertible notes receivable classified as available-for-sale		1,858				1,858
Goodwill		19,939				19,939
Intangible assets, net		929				994
In-process research and development		31,575				31,575
Non-current prepaid clinical costs		244				1,399
Other assets		28				34
TOTAL ASSETS	$	99,315			$	114,109
LIABILITIES AND EQUITY
CURRENT LIABILITIES
Accounts payable	$	8,172			$	6,893
Accrued expenses		2,778				3,304
Convertible notes payable		608				614
Other current liabilities		66				66
Due to related parties		733				723
Total current liabilities		12,357				11,600
Accrued expenses, noncurrent		3,483				3,895
Convertible notes payable, noncurrent		52				78
Other liabilities		27				27
Deferred income tax liability		138				138
TOTAL LIABILITIES		16,057				15,738
COMMITMENTS AND CONTINGENCIES
EQUITY
Class A common stock, $0.01 par value; 35,000,000 shares authorized, 787,163 shares issued and outstanding as of January 31, 2026 and July 31, 2025		8				8
Class B common stock, $0.01 par value; 200,000,000 shares authorized, 51,218,790 issued and outstanding (excluding treasury shares of 101,487) as of January 31, 2026, and 50,789,697 issued and outstanding (excluding treasury shares of 101,487) as of July 31, 2025		513				508
Additional paid-in capital		323,081				322,161
Accumulated deficit		(248,496	)			(232,263	)
Treasury stock, at cost; 101,487 Class B shares as of January 31, 2026 and July 31, 2025		(168	)			(168	)
Accumulated other comprehensive income related to unrealized income on available-for-sale securities		358				358
Accumulated other comprehensive income related to foreign currency translation adjustment		3,873				3,787
Total equity attributable to Rafael Holdings, Inc.		79,169				94,391
Noncontrolling interests		4,089				3,980
TOTAL EQUITY		83,258				98,371
TOTAL LIABILITIES AND EQUITY	$	99,315			$	114,109

RAFAEL HOLDINGS, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS
(unaudited, in thousands, except share and per share data)
	Three Months Ended January 31,								Six Months Ended January 31,
		2026				2025				2026				2025
REVENUE
Infusion Technology	$	—			$	—			$	—			$	51
Rental – Third Party		57				48				113				98
Rental – Related Party		29				29				59				56
Product revenue		125				—				279				—
Total revenue		211				77				451				205
COSTS AND EXPENSES
Cost of Infusion Technology revenue		—				38				—				75
Cost of Product revenue		12				—				21				—
General and administrative		2,270				2,591				5,108				5,114
Research and development		4,529				947				12,013				2,273
Depreciation and amortization		55				90				105				176
Loss on impairment of goodwill		—				3,050				—				3,050
Loss from operations		(6,655	)			(6,639	)			(16,796	)			(10,483	)
Interest income		337				489				736				1,057
Realized (loss) gain on available-for-sale securities		—				(16	)			—				178
Unrealized gain (loss) on investment - Cyclo		—				614				—				(3,751	)
Unrealized gain (loss) on convertible notes receivable, due from Cyclo		—				486				—				(1,102	)
Interest expense		(161	)			(163	)			(321	)			(325	)
Other (loss) income, net		(1	)			(78	)			80				(80	)
Loss before income taxes		(6,279	)			(5,307	)			(16,066	)			(14,506	)
Provision for income taxes		(48	)			(20	)			(58	)			(32	)
Consolidated net loss		(6,327	)			(5,327	)			(16,124	)			(14,538	)
Net income (loss) attributable to noncontrolling interests		90				(686	)			109				(891	)
Net loss attributable to Rafael Holdings, Inc.	$	(6,417	)		$	(4,641	)		$	(16,233	)		$	(13,647	)
Loss per share attributable to common stockholders
Basic and diluted	$	(0.13	)		$	(0.19	)		$	(0.32	)		$	(0.57	)
Weighted average number of shares used in calculation of loss per share
Basic and diluted		51,226,095				24,150,218				51,217,699				24,121,186

FAQ

What did Rafael Holdings (RFL) report for cash as of January 31, 2026?

Rafael Holdings reported $37.8 million in cash and cash equivalents as of January 31, 2026. According to Rafael Holdings, this cash position reflects company liquidity at quarter end following the Cyclo consolidation and ongoing Phase 3 study funding.

Why did Rafael Holdings (RFL) net loss increase in Q2 fiscal 2026?

The net loss increased primarily due to consolidation of Cyclo Therapeutic expenses after acquisition in March 2025. According to Rafael Holdings, R&D spending and inclusion of Cyclo operating costs drove the higher quarterly and six‑month losses.

What is the status of the Phase 3 TransportNPC study for Trappsol Cyclo (RFL)?

The Data Monitoring Committee recommended continuing the pivotal Phase 3 TransportNPC study after a 48‑week review. According to Rafael Holdings, the 96‑week trial remains on track and is the largest ever in this indication.

When does Rafael Holdings (RFL) expect preliminary topline results for the Phase 3 study?

Rafael Holdings expects preliminary topline results in the third quarter of calendar 2026. According to Rafael Holdings, this timing refers to initial readouts from the ongoing 96‑week TransportNPC pivotal trial.

How much did Rafael Holdings (RFL) spend on R&D in the six months ended January 31, 2026?

Rafael Holdings recorded $12.0 million in R&D expenses for the six months ended January 31, 2026. According to Rafael Holdings, the increase reflects inclusion of Cyclo Therapeutic research and trial spending after the March 2025 acquisition.

Did Rafael Holdings (RFL) reduce general and administrative expenses in Q2 2026?

General and administrative expenses were slightly lower at $2.3 million for the quarter, versus $2.6 million year ago. According to Rafael Holdings, reductions in payroll and professional fees offset inclusion of Cyclo expenses.