ZyVersa Therapeutics Reports Third Quarter 2025 Financial Results

Rhea-AI Summary

ZyVersa Therapeutics (OTCQB: ZVSA) reported Q3 2025 results for the quarter ended September 30, 2025. Cash on hand was $0.5 million and the company said existing cash will only fund month-to-month operations, requiring additional financing. ZyVersa raised approximately $2.05 million in Q3 and $4.05 million year-to-date. Research and development expenses were $0.4 million (down 16.3% YoY); general and administrative expenses were $1.7 million (down 5.1% YoY). Pre-tax loss was $20.7 million driven mainly by an $18.6 million impairment of in-process R&D. Net loss was $19.8 million; a deferred tax benefit of $0.9 million related to the impairment was recorded.

Positive

• Raised $2.05M in Q3-2025
• YTD financing totaled $4.05M
• R&D expense decreased 16.3% YoY to $0.4M

Negative

• Cash on hand only $0.5M as of Sept 30, 2025
• Pre-tax loss $20.7M in Q3-2025
• Impairment of in-process R&D $18.6M
• Net loss $19.8M for Q3-2025; financing required

Insights

Clinical-development & Pipeline Analyst

Pipeline remains early-stage; impairment and limited cash materially constrain program advancement.

ZyVersa advances two platform programs: VAR 200 for kidney diseases including focal segmental glomerulosclerosis and potential expansion to Alport syndrome and diabetic kidney disease, and IC 100 targeting cardiometabolic conditions with possible rare-kidney-disease use.

The company reported an $18.6 million impairment of in‑process R&D, which drove a pre-tax loss rise to $20.7 million in Q3-2025 and net loss of about $19.8 million. Cash on hand fell to $0.5 million as of September 30, 2025, and management states cash suffices only month-to-month.

Key dependencies and risks include securing near-term financing and reversing the conditions that triggered the impairment. The programs themselves are described but no clinical readouts, enrollment milestones, regulatory events, or concrete near-term development timelines are disclosed, limiting assessment of technical progress.

Watch for financing outcomes, any reinstatement or reversal of the impairment, and specific clinical milestones or trial initiations within the next 3–12 months to assess whether development can continue.

Corporate Finance & Liquidity Analyst

Severe liquidity pressure and large impairment suggest high near-term financing need; investor dilution or restructuring likely.

The company raised approximately $2.05 million in Q3-2025 and $4.05 million year-to-date but ended the quarter with only $0.5 million in cash. Management explicitly states additional financing is required to support operations, pay liabilities, and progress the pipeline.

Expense lines show modest reductions in R&D and G&A, but these savings are tiny relative to the scale of the pre-tax loss spike caused by the $18.6 million impairment tied to a decline in market capitalization and uncertain milestone funding. The company lists potential funding routes: equity, debt, grants, collaborations, or warrant exercises.

Concrete near-term monitors: announcements of financing commitments, terms of any Equity Purchase Agreement activity, changes to cash balance, and any reversal or further impairments. Expect material corporate actions within the next 1–6 months if cash stays at the disclosed level.

• ZyVersa is advancing a therapeutic development pipeline with multiple programs built around its two proprietary technologies – Cholesterol Efflux Mediator VAR 200 for treatment of kidney diseases, and Inflammasome ASC Inhibitor IC 100 for treatment of chronic inflammatory diseases.
• The lead indication for VAR 200 is focal segmental glomerulosclerosis (FSGS) with potential indication expansion in Alport syndrome and diabetic kidney disease.
• The lead indication for IC 100 is cardiometabolic conditions, with potential indication expansion in rare kidney diseases.
• Raised approximately $2.05 million in Q3-2025; $4.05 million year-to-date.
  
  

WESTON, Fla., Nov. 19, 2025 (GLOBE NEWSWIRE) -- ZyVersa Therapeutics, Inc. (OTCQB: ZVSA, or “ZyVersa”), a clinical-stage specialty biopharmaceutical company developing first-in-class drugs for treatment of patients with renal and inflammatory diseases who have unmet medical needs, reports financial results for the quarter ended September 30, 2025.

Third Quarter, 2025 FINANCIAL RESULTS

Cash on hand was $0.5 million as of September 30, 2025. Based on our current operating plan, we expect our cash and cash equivalents will be sufficient only to fund operating expenses and capital expenditure requirements on a month-to-month basis. ZyVersa will need additional financing to support its continuing operations, pay for its current liabilities, and to meet pipeline development initiatives. ZyVersa will seek to fund its operations and preclinical/clinical activity through public or private equity, debt financings, or other sources which may include government grants, collaborations with third parties, or outstanding warrant exercises.

Research and development expenses were $0.4 million for the three months ended September 30, 2025, a decrease of $0.1 million or 16.3% from the three months ended September 30, 2024. The decrease is attributable to lower research and development consultant costs of $75 thousand due to the use of fewer consultants in the current year.

General and administrative expenses were $1.7 million for the three months ended September 30, 2025, a decrease of $0.1 million or 5.1% from the three months ended September 30, 2024. The decrease is primarily attributable to a decrease of $0.1 million due to lower director and officer insurance premiums, a $0.1 million decrease in professional fees due to lower accounting and legal expenses, and a decrease of $0.1 million in stock-based compensation expense due to options becoming fully amortized in 2025. These decreases were slightly offset by an approximately $0.3 million increase in commitment fees related to the Equity Purchase Agreement entered into on June 24, 2025.

Pre-tax losses were $20.7 million for the three months ended September 30, 2025, an increase of $18.3 million compared to a pre-tax loss of approximately $2.4 million, for the three months ended September 30, 2024. The higher net loss reported for the three months ended September 30, 2025, is primarily due to the impairment of research and development of $18.6 million compared to none for the three months ended September 30, 2024. The impairment is a result of the decline in ZyVersa’s market capitalization and the inability to demonstrate that financing of the in-process research and development’s milestones is assured as of September 30, 2025.

Net losses were approximately $19.8 million for the three months ended September 30, 2025, an increase of $17.4 million compared to a net loss of approximately $2.4 million for the three months ended September 30, 2024. A deferred tax benefit of approximately $0.9 million for the three months ended September 30, 2025, compared to no tax benefit or expense during the three months ended September 30, 2024, resulted from the impairment of the in-process research and development.

ABOUT ZYVERSA THERAPEUTICS, INC.

ZyVersa (OTCQB: ZVSA) is a clinical stage specialty biopharmaceutical company leveraging advanced, proprietary technologies to develop first-in-class drugs for patients with renal and inflammatory diseases who have significant unmet medical needs. The Company is currently advancing a therapeutic development pipeline with multiple programs built around its two proprietary technologies – Cholesterol Efflux Mediator VAR 200 for treatment of kidney diseases, and Inflammasome ASC Inhibitor IC 100 for treatment of chronic inflammatory diseases. For more information, please visit www.zyversa.com.

CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS

Certain statements contained in this press release regarding matters that are not historical facts, are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. These statements are based on management’s current intentions, plans, beliefs, expectations, or forecasts and include, for example, our belief that we have sufficient liquidity to fund our business operations on a month-to-month basis and anticipated levels of capital expenditures for the coming months or year. Forward-looking statements are neither historical facts nor assurances of future performance, and, therefore, you are cautioned not to place undue reliance on them. No forward-looking statement can be guaranteed, and actual results may differ materially from those projected. ZyVersa Therapeutics, Inc. (“ZyVersa”) uses words such as “anticipates,” “believes,” “plans,” “expects,” “projects,” “future,” “intends,” “may,” “will,” “should,” “could,” “estimates,” “predicts,” “potential,” “continue,” “guidance,” and similar expressions to identify these forward-looking statements that are intended to be covered by the safe-harbor provisions. Such forward-looking statements involve inherent risks and uncertainties; consequently, actual results may differ materially from those expressed or implied in the statements due to a number of factors, including ZyVersa’s ability to obtain the funding necessary to advance the development of our product candidates and maintain its business operations; plans to develop and commercialize its product candidates, the timing of initiation of ZyVersa’s planned preclinical and clinical trials; the timing of the availability of data from ZyVersa’s preclinical and clinical trials; the timing of any planned investigational new drug application; ZyVersa’s plans to research, develop, and commercialize its current and future product candidates; the clinical utility, potential benefits and market acceptance of ZyVersa’s product candidates; ZyVersa’s commercialization, marketing and manufacturing capabilities and strategy; ZyVersa’s ability to protect its intellectual property position; and ZyVersa’s estimates regarding future revenue, expenses, capital requirements and need for additional financing.

New factors emerge from time-to-time, and it is not possible for ZyVersa to predict all such factors, nor can ZyVersa assess the impact of each such factor on the business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements. Forward-looking statements included in this press release are based on information available to ZyVersa as of the date of this press release. ZyVersa disclaims any obligation to update such forward-looking statements to reflect events or circumstances after the date of this press release, except as required by law.

CORPORATE, MEDIA, IR CONTACT

Karen Cashmere
Chief Commercial Officer
kcashmere@zyversa.com
786-251-9641

ZYVERSA THERAPEUTICS, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
	September 30,				December 31,
		2025				2024
	(Unaudited)
Assets
Current Assets:
Cash	$	527,978			$	1,530,924
Prepaid expenses and other current assets		298,192				184,873
Vendor deposits		169,363				-
Total Current Assets		995,533				1,715,797
In-process research and development		-				18,647,903
Vendor deposit		-				178,476
Deferred offering costs		44,727				57,238
Total Assets	$	1,040,260			$	20,599,414
Liabilities and Stockholders' (Deficit) Equity
Current Liabilities:
Accounts payable	$	9,805,129			$	9,337,267
Accrued expenses and other current liabilities		2,960,698				1,894,041
Total Current Liabilities		12,765,827				11,231,308
Deferred tax liability		-				851,659
Total Liabilities		12,765,827				12,082,967
Stockholders' (Deficit) Equity:
Preferred stock, $0.0001 par value, 1,000,000 shares authorized:
Series A preferred stock, 8,635 shares designated, 50 shares issued and outstanding as of September 30, 2025 and December 31, 2024		-				-
Series B preferred stock, 5,062 shares designated, 5,062 shares issued and outstanding as of September 30, 2025 and December 31, 2024		1				1
Common stock, $0.0001 par value, 250,000,000 shares authorized; 8,095,928 and 2,508,198 shares issued as of September 30, 2025 and
December 31, 2024, respectively, and 8,095,921 and 2,508,191 shares outstanding as of September 30, 2025 and December 31, 2024, respectively		809				251
Additional paid-in-capital		125,187,156				121,155,922
Accumulated deficit		(136,906,365	)			(112,632,559	)
Treasury stock, at cost, 7 shares at September 30, 2025 and December 31, 2024		(7,168	)			(7,168	)
Total Stockholders' (Deficit) Equity		(11,725,567	)			8,516,447
Total Liabilities and Stockholders' (Deficit) Equity	$	1,040,260			$	20,599,414

ZYVERSA THERAPEUTICS, INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
	For the Three Months Ended September 30,								For the Nine Months Ended September 30,
		2025				2024				2025				2024
Operating Expenses:
Research and development	$	365,053			$	436,043			$	1,033,865			$	1,658,030
General and administrative		1,739,174				1,833,578				5,259,064				6,192,205
Impairment of in-process research and development		18,647,903				-				18,647,903				-
Total Operating Expenses		20,752,130				2,269,621				24,940,832				7,850,235
Loss From Operations		(20,752,130	)			(2,269,621	)			(24,940,832	)			(7,850,235	)
Other (Income) Expense:
Interest expense		131,350				131,635				380,946				131,794
Change in fair value of equity payable		(226,262	)			-				(196,313	)			-
Pre-Tax Net Loss		(20,657,218	)			(2,401,256	)			(25,125,465	)			(7,982,029	)
Income tax benefit (provision)		851,659				-				851,659				(9,707	)
Net Loss	$	(19,805,559	)		$	(2,401,256	)		$	(24,273,806	)		$	(7,991,736	)
Net Loss Per Share
- Basic and Diluted	$	(2.56	)		$	(2.43	)		$	(4.63	)		$	(9.79	)
Weighted Average Number of
Common Shares Outstanding
- Basic and Diluted		7,740,678				988,378				5,237,544				816,293

FAQ

How much cash did ZyVersa (ZVSA) report on September 30, 2025?

ZyVersa reported $0.5 million in cash on hand as of September 30, 2025.

What caused ZyVersa's large pre-tax loss in Q3 2025 (ZVSA)?

The $20.7 million pre-tax loss was primarily due to an $18.6 million impairment of in-process R&D.

How much financing did ZyVersa (ZVSA) raise in Q3 2025 and year-to-date?

ZyVersa raised approximately $2.05 million in Q3-2025 and $4.05 million year-to-date.

Will ZyVersa (ZVSA) need more funding to continue operations?

Yes. Management stated current cash is sufficient only month-to-month and additional financing is needed.

How did ZyVersa's operating expenses change in Q3 2025 compared to Q3 2024?

R&D fell 16.3% to $0.4M and G&A fell 5.1% to $1.7M for Q3-2025 versus Q3-2024.