Tevogen Clarifies Reported Financials, Highlighting Strong Capital Efficiency and Low Cash Burn

Rhea-AI Summary

Tevogen (Nasdaq: TVGN) clarified its reported accumulated deficit and provided cash-versus-noncash context for investors on Nov 3, 2025. The company said it has raised under $42 million in total cash to June 30, 2025, while GAAP shows an accumulated deficit of $129 million. Management explained that backing out cash yields a cash loss of ~ $41 million and about $88 million of non-cash expenses, offset by $110 million in Additional Paid-in Capital and a capital raise of over $8.8 million, leaving a stockholders’ deficit of under $9.5 million.

The company plans to publish reconciled non-GAAP metrics with its Form 10-Q for Q3 2025 and reiterated forward-looking risks including the need for additional capital.

Positive

• Total cash raised under $42M through June 30, 2025
• Reported $110M credit in Additional Paid-in Capital
• Planned release of reconciled non-GAAP metrics with Q3 2025 10-Q

Negative

• GAAP accumulated deficit of $129M as of June 30, 2025
• Non-cash expenses of approximately $88M to date
• Company states it needs to raise additional capital to execute plan

Insights

Financial accounting analyst

Tevogen clarifies GAAP accumulation versus cash reality; cash burn appears limited but significant non-cash charges drive the reported deficit.

Tevogen Bio reports it has raised total cash of under $42 million through June 30, 2025 while a GAAP accumulated deficit of $129 million primarily reflects approximately $88 million of non-cash expenses and a cash loss to date of a little over $41 million. The company also cites a $110 million credit to Additional Paid-in Capital and a capital raise of over $8.8 million, resulting in a stated total stockholders’ deficit under $9.5 million.

The business mechanism is simple: GAAP aggregates cash and non-cash items into retained loss balances, which can paint a larger deficit number even when actual cash outflow is much smaller. This clarification separates operational cash burn from accounting charges. The announcement commits to posting reconciled, clearly labeled non‑GAAP metrics after filing the Form 10‑Q for Q3 2025, which will allow verification of the presented reconciliation.

Primary dependencies and risks include the accuracy and completeness of the forthcoming reconciliations and any additional disclosures in the Form 10‑Q; the company itself notes the need for additional capital. Concrete items to watch are the filed Q3 2025 Form 10‑Q and the promised non‑GAAP reconciliation, plus any disclosures about future financing needs and the makeup of the non‑cash charges. Expect these items to appear in the near term when the Form 10‑Q posts.

WARREN, N.J., Nov. 03, 2025 (GLOBE NEWSWIRE) -- Tevogen (“Tevogen Bio Holdings Inc.” or “Company”) (Nasdaq: TVGN), today issued a statement to provide clarity regarding its accumulated deficit reported under U.S. GAAP accounting standards in recent SEC filings.

GAAP rules are designed for consistency and comparability across industries, but they can understate the value of high-growth biotechnology assets still under development. To offer investors a more comprehensive understanding of Tevogen’s financial position and commercial opportunity, the Company plans to share a clearly labeled, fully reconciled set of non-GAAP metrics following the filing of its Form 10-Q for the third quarter of 2025, while maintaining full compliance with SEC requirements.

“The company has raised total cash of under $42 million since inception to June 30, 2025,” said Kirti Desai, Chief Financial Officer of Tevogen Bio. “However, the financial statements presented under GAAP for the quarter ended June 30, 2025, show an accumulated deficit of $129 million. If you back out the cash balance, the total cash loss to date is a little over $41 million, and the remaining balance represents non-cash expenses of approximately $88 million. This is further offset by a credit of $110 million in Additional Paid-in Capital. When you factor in the capital raise amount of over $8.8 million, the total stockholders’ deficit as of June 30, 2025, is under $9.5 million.”

This commentary is intended to provide investors and the broader financial community with context on the widely publicized accumulated deficit figure of $129 million and highlight the distinction between cash and non-cash components within Tevogen’s reported results. The Company is committed to providing investors with additional explanatory information to evaluate business results.

Forward Looking Statements

This press release contains certain forward-looking statements, including without limitation statements relating to: Tevogen’s plans for its research and manufacturing capabilities; expectations regarding future growth; expectations regarding the healthcare and biopharmaceutical industries; and Tevogen’s development of, the potential benefits of, and patient access to its product candidates for the treatment of infectious diseases and cancer. Forward-looking statements can sometimes be identified by words such as “may,” “could,” “would,” “expect,” “anticipate,” “possible,” “potential,” “goal,” “opportunity,” “project,” “believe,” “future,” and similar words and expressions or their opposites. These statements are based on management’s expectations, assumptions, estimates, projections and beliefs as of the date of this press release and are subject to a number of factors that involve known and unknown risks, delays, uncertainties and other factors not under the company’s control that may cause actual results, performance or achievements of the company to be materially different from the results, performance or other expectations expressed or implied by these forward-looking statements.

Factors that could cause actual results, performance, or achievements to differ from those expressed or implied by forward-looking statements include, but are not limited to: that Tevogen will need to raise additional capital to execute its business plan, which may not be available on acceptable terms or at all; changes in the markets in which Tevogen competes, including with respect to its competitive landscape, technology evolution, or regulatory changes; changes in domestic and global general economic conditions; the risk that Tevogen may not be able to execute its growth strategies or may experience difficulties in managing its growth and expanding operations; the risk that Tevogen may not be able to develop and maintain effective internal controls; the failure to achieve Tevogen’s commercialization and development plans and identify and realize additional opportunities, which may be affected by, among other things, competition, the ability of Tevogen to grow and manage growth economically and hire and retain key employees; the risk that Tevogen may fail to keep pace with rapid technological developments to provide new and innovative products and services or make substantial investments in unsuccessful new products and services; risks related to the ability to develop, license or acquire new therapeutics; the risk of regulatory lawsuits or proceedings relating to Tevogen’s business; uncertainties inherent in the execution, cost, and completion of preclinical studies and clinical trials; risks related to regulatory review, approval and commercial development; risks associated with intellectual property protection; Tevogen’s limited operating history; and those factors discussed or incorporated by reference in Tevogen’s Annual Report on Form 10-K.

You should not place undue reliance on forward-looking statements, which speak only as of the date they are made. Tevogen undertakes no obligation to update any forward-looking statements, except as required by applicable law.

Contacts
Tevogen Bio Communications
T: 1 877 TEVOGEN, Ext 701
Communications@Tevogen.com

A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/01b14317-511d-492b-b545-b95a57a4ba2c

FAQ

How much cash had Tevogen (TVGN) raised by June 30, 2025?

Tevogen reported it raised under $42 million in total cash to June 30, 2025.

What explains Tevogen's (TVGN) $129 million accumulated deficit on June 30, 2025?

The company attributes the $129M GAAP deficit to a mix of cash losses (~$41M) and ~$88M of non-cash expenses.

What is Tevogen's (TVGN) reported stockholders’ deficit as of June 30, 2025?

After accounting for APIC and a capital raise, Tevogen reported a stockholders’ deficit of under $9.5 million.

Will Tevogen (TVGN) provide reconciled non-GAAP metrics for Q3 2025?

Yes. Tevogen said it will publish a clearly labeled, fully reconciled set of non-GAAP metrics with its Form 10-Q for Q3 2025.

Does Tevogen (TVGN) expect to need more capital after June 30, 2025?

The company warned it will need to raise additional capital to execute its business plan and identified capital availability as a risk.