Sol-Gel Reports Second Quarter 2026 Financial Results and Provides Corporate Updates
Rhea-AI Summary
Sol-Gel (NASDAQ: SLGL) reported second quarter 2026 revenue of $0.6 million, down from $17.3 million in Q2 2025, mainly due to a prior-year $16.7 million IP sale to Mayne. The company posted a Q2 2026 net loss of $3.7 million (loss of $1.13 per share) versus net income of $11.6 million (earnings of $4.17 per share) a year earlier.
Research and development expenses declined to $3.7 million and general and administrative expenses to $1.0 million. As of June 30, 2026, Sol-Gel held $49.3 million in cash, cash equivalents, deposits and marketable securities and expects its cash resources to fund operations into the first quarter of 2028.
The pivotal Phase 3 trial of SGT-610 for Gorlin syndrome remains on track, with last patient last visit expected in September 2026 and top-line data in late November 2026, and shows a dropout rate of about 9% (10 of 113 patients). Sol-Gel also initiated a proof-of-concept study in high-frequency BCC, a neo-adjuvant BCC surgery study, and filed a provisional patent for an intra-cystic injectable hedgehog inhibitor targeting odontogenic keratocysts.
Positive
- Phase 3 SGT-610 trial on track with last patient last visit expected September 2026 and top-line data in late November 2026
- Low patient dropout in SGT-610 Phase 3, with 10 of 113 patients (about 9%) discontinuing to date
- Operating expenses reduced: Q2 2026 R&D at $3.7 million vs. $4.6 million; G&A at $1.0 million vs. $1.4 million year over year
- Strong liquidity: $18.0 million in cash and deposits plus $31.3 million in marketable securities, totaling $49.3 million as of June 30, 2026
- Cash runway expected to fund cash requirements into the first quarter of 2028
- Pipeline expansion with new HF-BCC proof-of-concept study, neo-adjuvant BCC surgery study, and provisional patent for OKC injectable HHi
Negative
- Revenue decline: Q2 2026 revenue $0.6 million vs. $17.3 million in Q2 2025, largely due to absence of prior $16.7 million IP sale
- Move to quarterly loss: Q2 2026 net loss $3.7 million vs. net income $11.6 million in Q2 2025
- First-half loss: six months ended June 30, 2026 net loss $7.4 million vs. net income $2.8 million in the prior-year period
- Share count increased: ordinary shares outstanding rose from 2,786,158 at December 31, 2025 to 3,273,999 at June 30, 2026
News Explained
At June 30, 2026, ordinary shares outstanding were 3,273,999 versus 2,786,158 at year-end 2025, while commercialization remains conditional.
Sol-Gel reports that its Phase 3 trial remains ongoing and, if SGT-610 is approved, it intends to retain full U.S. commercial rights while using a third-party commercialization organization.
The balance sheet lists
The planned commercialization arrangement is conditional on regulatory approval, while market-access, distribution, patient-support and medical-affairs work is described as progressing.
For the newly initiated high-frequency BCC study, enrollment is expected in
Key Figures
Previous Earnings Reports
| Date | Event | Sentiment | 24h Move | Catalyst |
|---|---|---|---|---|
| May 28 | Q1 earnings report | Positive | +2.0% | Narrower loss, lower expenses, funding runway, and continued SGT-610 development |
| Nov 20 | Q3 earnings report | Negative | -0.8% | Lower revenue and wider loss outweighed pipeline and partnership updates |
| Aug 15 | Q2 earnings report | Positive | +1.3% | Mayne-related product sale drove revenue and net income growth |
| May 23 | Q1 earnings report | Negative | -1.2% | Wider net loss and higher development expenses offset revenue growth |
| Nov 15 | Q3 earnings report | Positive | +3.0% | Higher licensing revenue and improved loss supported positive quarterly developments |
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Tag-specific earnings reactions were aligned with the overall tone of each release, with four of five events producing positive or negative moves consistent with the reported developments.
Key Terms
phase 3 medical
hedgehog inhibitor medical
neo-adjuvant medical
odontogenic keratocysts medical
AI-generated analysis. How Rhea-AI works. Not financial advice.
- Pivotal Phase 3 clinical trial of SGT-610 (patidegib gel,
2% ) for Gorlin syndrome remains ongoing, with top-line results on track for anticipated readout in late November 2026 - Sol-Gel has initiated a proof-of-concept study in High-frequency BCC (HF-BCC)
- Sol-Gel initiated a study evaluating topical patidegib as a neo-adjuvant in BCC surgery, prompted by physician interest in oral HHi use ahead of Mohs surgery
- Sol-Gel has expanded its Gorlin syndrome pipeline with a provisional patent filing for an intra-cystic injectable targeting odontogenic keratocysts (OKC)
NESS ZIONA, Israel, Aug. 20, 2026 (GLOBE NEWSWIRE) -- Sol-Gel Technologies, Ltd. (NASDAQ: SLGL), a dermatology company, pioneering treatments for patients with rare and severe skin conditions, today announced financial results for the second quarter ended June 30, 2026, and provided a corporate update.
Q2 2026 and Recent Corporate Developments
- Sol-Gel's pivotal Phase 3 clinical trial of SGT-610 (patidegib gel,
2% ) for Gorlin syndrome continues to advance. The dropout rate to date has been considerably lower than originally anticipated, with 10 of 113 patients discontinuing, representing9% . Last patient last visit is expected in September 2026, and top-line results are scheduled for late November 2026. - Sol-Gel continues to advance its U.S. commercial readiness activities for SGT-610. If approved, the Company intends to retain full U.S. commercial rights and commercialize SGT-610 through a cost-effective model utilizing an experienced third-party commercialization services organization. Given the concentrated nature of the Gorlin syndrome treatment landscape, which includes specialized dermatologists, Mohs surgeons and genetics centers, the Company expects to reach the treating population through a small, focused field organization supported by outsourced commercial infrastructure and capabilities. This approach is designed to support an effective U.S. launch while preserving capital, avoiding the need to build a full-scale commercial organization internally and enabling Sol-Gel to retain full U.S. product economics. Market access, distribution, patient support and medical affairs planning are progressing in parallel with the Phase 3 trial.
- Sol-Gel initiated a proof-of-concept study evaluating the safety and efficacy of patidegib gel in non-Gorlin subjects with high-frequency basal cell carcinoma (HF-BCC). Enrollment is expected to begin in early October 2026. The single-center, open-label study is designed to provide insight into the role of the hedgehog (HH) pathway in non-Gorlin subjects, who tend to develop multiple BCCs over their lifetime. Approximately 20 subjects aged 18 and above with facial, head and neck HF-BCC are expected to be enrolled. Safety and efficacy will be assessed following twice-daily application for up to 12 months. This study will enable us to gather information on HF-BCC response to patidegib, which are necessary to the planning of the pivotal registration study currently anticipated for late 2027 or in first half of 2028.
- Based on inquiries of physicians, who are using off-label oral hedgehog inhibitors (HHi) as a neo-adjuvant in Mohs surgery, we have initiated a small study examining the potential role of topical neo-adjuvant use of patidegib in BCC surgery, enrollment is expected to begin in October 2026.
- Sol-Gel has filed a provisional patent application for an intra-cystic, injectable HHi treatment of odontogenic keratocysts (OKC), a devastating manifestation of Gorlin syndrome affecting the jaws with a prevalence comparable to that of BCC in Gorlin patients. As OKC tends to recur following surgical removal, many patients must undergo frequent surgeries over the course of their lifetime, which in many cases result in irreparable damage to the jaws. The unmet medical need is extremely high, and the Company is now in the process of evaluating the economic feasibility of such a project. The decision to consider OKC as a target for the Company's R&D was communicated and enthusiastically received by the leadership of the Gorlin Syndrome Alliance (GSA).
Mr. Mori Arkin, Executive Chairman of Sol-Gel, stated: "The second quarter of 2026 was marked by disciplined execution across our clinical programs, most importantly the continued advancement of our pivotal Phase 3 trial of SGT-610 in Gorlin syndrome toward what we believe could be the most important milestone in Sol-Gel’s history. With last patient last visit expected in September 2026 and top-line results anticipated in late November 2026, we are approaching the culmination of several years of work aimed at establishing topical patidegib as the first treatment designed to prevent the development of new basal cell carcinomas in patients with Gorlin syndrome. We are particularly encouraged by patient retention in the study, with only 10 of 113 patients discontinuing to date. We believe this approximately
Mr. Arkin further commented "At the same time, we are systematically expanding the potential opportunity for topical patidegib beyond its initial indication. During the quarter, we initiated a proof-of-concept study in non-Gorlin patients with high-frequency basal cell carcinoma, or HF-BCC, an indication that we believe could meaningfully expand the commercial potential of patidegib. The data generated from this study are expected to inform the design of a pivotal registration study that we currently anticipate initiating in late 2027 or the first half of 2028. In parallel, following interest from physicians who are already using off-label oral hedgehog inhibitors ahead of Mohs surgery, we initiated a study evaluating topical patidegib as a neo-adjuvant treatment in BCC surgery. Both programs represent capital-efficient opportunities to extend the reach and potential value of an asset we know well."
Lastly, Mr. Arkin commented "We also took an important step toward addressing another significant manifestation of Gorlin syndrome through our provisional patent filing covering an intra-cystic injectable hedgehog inhibitor for odontogenic keratocysts, or OKCs. These cysts can be serious and recurrent, and repeated surgical interventions can result in substantial and irreversible damage. We believe that a locally administered treatment could address an important unmet medical need, and the positive response to this initiative from the leadership of the Gorlin Syndrome Alliance reinforces our conviction that this is an area of meaningful importance to patients. Taken together, these initiatives reflect our strategy of remaining highly focused on the upcoming SGT-610 Phase 3 readout while selectively pursuing capital-efficient opportunities that have the potential to create substantial additional value from our expertise in hedgehog pathway inhibition."
Financial Results for the Second Quarter 2026
Revenue for the second quarter was
Research and development expenses were
General and administrative expenses were
Sol-Gel reported a net loss of
As of June 30, 2026, Sol-Gel had
About Sol-Gel Technologies
Sol-Gel is a specialized dermatology company advancing innovative therapies for rare and serious skin diseases. Its lead investigational candidate, SGT-610 (patidegib gel,
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, but not limited to statements regarding the timing of clinical milestones for the Phase 3 program of SGT-610 in Gorlin syndrome, the timing of milestones for other studies of patidegib gel, the Company’s cash runway and the future commercial activities for SGT-610. In some cases, you can identify forward-looking statements by terminology such as “believe,” “may,” “estimate,” “continue,” “anticipate,” “intend,” “should,” “plan,” “expect,” “predict,” “potential,” or the negative of these terms or other similar expressions. Forward-looking statements are based on information we have when those statements are made or our management’s current expectations and are subject to risks and uncertainties that could cause actual performance or results to differ materially from those expressed in or suggested by the forward-looking statements. Important factors that could cause such differences include, but are not limited to, the risk of a delay in reporting the top-line results of Sol-Gel’s pivotal Phase 3 clinical trial of SGT-610 (patidegib gel,
Sol-Gel Investor Relations:
Eyal Ben-Or
Chief Financial Officer
ir@sol-gel.com
| December 31, | June 30, | |||||||||
| 2025 | 2026 | |||||||||
| Assets | ||||||||||
| CURRENT ASSETS: | ||||||||||
| Cash and cash equivalents | $ | 11,033 | $ | 16,662 | ||||||
| Marketable securities | 12,966 | 31,267 | ||||||||
| Accounts receivables | 1,968 | 713 | ||||||||
| Prepaid expenses and other current assets | 1,004 | 2,439 | ||||||||
| TOTAL CURRENT ASSETS | 26,971 | 51,081 | ||||||||
| NON-CURRENT ASSETS: | ||||||||||
| Restricted long-term deposits and cash equivalents | 1,324 | 1,339 | ||||||||
| Property and equipment, net | 140 | 130 | ||||||||
| Operating lease right-of-use assets | 1,027 | 785 | ||||||||
| Other long-term assets | 62 | - | ||||||||
| Funds in respect of employee rights upon retirement | 393 | 421 | ||||||||
| TOTAL NON-CURRENT ASSETS | 2,946 | 2,675 | ||||||||
| TOTAL ASSETS | $ | 29,917 | $ | 53,756 | ||||||
Liabilities and shareholders' equity | ||||||||||
| CURRENT LIABILITIES: | ||||||||||
| Accounts payable | $ | 735 | $ | 906 | ||||||
| Other accounts payable | 4,941 | 3,502 | ||||||||
| Current maturities of operating leases | 495 | 519 | ||||||||
| TOTAL CURRENT LIABILITIES | 6,171 | 4,927 | ||||||||
| LONG-TERM LIABILITIES: | ||||||||||
| Operating leases liabilities | 496 | 251 | ||||||||
| Liability for employee rights upon retirement | 439 | 482 | ||||||||
| TOTAL LONG-TERM LIABILITIES | 935 | 733 | ||||||||
| TOTAL LIABILITIES | $ | 7,106 | $ | 5,660 | ||||||
| SHAREHOLDERS' EQUITY: | ||||||||||
| Ordinary shares, NIS 1 par value – authorized: 5,000,000 as of December 31, 2025 and June 30, 2026, respectively; issued and outstanding: 2,786,158 and 3,273,999 as of December 31, 2025 and June 30, 2026, respectively | 774 | 1,393 | ||||||||
| Additional paid-in capital | 259,047 | 291,121 | ||||||||
| Accumulated deficit | (237,010 | ) | (244,418 | ) | ||||||
| TOTAL SHAREHOLDERS' EQUITY | 22,811 | 48,096 | ||||||||
| TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | $ | 29,917 | $ | 53,756 | ||||||
| Six months ended June 30 | Three months ended June 30 | ||||||||||||||
| 2025 | 2026 | 2025 | 2026 | ||||||||||||
| REVENUE | $ | 18,292 | $ | 699 | $ | 17,261 | $ | 591 | |||||||
| RESEARCH AND DEVELOPMENT EXPENSES | 13,489 | 6,505 | 4,646 | 3,719 | |||||||||||
| GENERAL AND ADMINISTRATIVE EXPENSES | 2,642 | 2,211 | 1,385 | 1,034 | |||||||||||
| OPERATING INCOME (LOSS) | $ | 2,161 | $ | (8,017 | ) | $ | 11,230 | $ | (4,162 | ) | |||||
| FINANCIAL INCOME, net | 641 | 609 | 380 | 481 | |||||||||||
| NET INCOME (LOSS) FOR THE PERIOD | $ | 2,802 | $ | (7,408 | ) | $ | 11,610 | $ | ( 3,681 | ) | |||||
| BASIC AND DILUTED EARNINGS (LOSS) PER ORDINARY SHARE | $ | 1.01 | $ | (2.42 | ) | $ | 4.17 | $ | ( 1.13 | ) | |||||
| WEIGHTED AVERAGE NUMBER OF SHARES OUTSTANDING USED IN COMPUTATION OF BASIC AND DILUTED EARNINGS (LOSS) PER SHARE | 2,785,787 | 3,056,125 | 2,785,787 | 3,270,543 | |||||||||||
