Executive Summary

Q3 2025 revenue rose to $0.362M from $0.077M in Q2 2025 and $0.336M in Q3 2024; net loss shrank sharply year over year to $4.8M (−$0.19 EPS) from $32.4M (−$1.36 EPS), driven by the absence of prior-year non-cash items and consolidation effects post-Cyclo merger .
Cash and equivalents ended the quarter at $37.9M; the Company subsequently closed a $25M rights offering with expected net proceeds of ~$24.9M, materially improving liquidity ahead of Phase 3 milestones for Trappsol Cyclo .
Clinical catalyst: Independent DMC recommended continuing the 96-week TransportNPC Phase 3 study following the 48-week interim review; FDA accepted the statistical analysis plan, reinforcing regulatory momentum .
Operating expense increased YoY (R&D to $3.0M; G&A to $3.2M) with the inclusion of Cyclo and other consolidated entities; however, loss from operations narrowed YoY given lapping large one-time items in the prior period .

What Went Well and What Went Wrong

Cyclo merger closed; management highlighted focus on Trappsol Cyclo as lead program. “We are pleased to have completed our merger with Cyclo Therapeutics… anticipated later this month [48-week interim analysis]” — Howard Jonas, CEO .
Liquidity strengthened: quarter-end cash $37.9M; rights offering net proceeds expected ~$24.9M to support clinical/regulatory activities .
Clinical/regulatory progress: DMC recommended continuing the 96-week Phase 3 study; FDA accepted SAP — key de-risking steps before topline readouts .

Higher operating expenses YoY: R&D expenses rose to $3.0M (from $1.5M), G&A to $3.2M (from $1.9M) driven by consolidation of Cyclo, Cornerstone, and Day Three .
Continued operating loss: Q3 operating loss was $(5.9)M; sequentially improved vs Q2, but still reflects spend on pipeline and consolidated entities .
Prior-quarter impairment and investment volatility: Q2 included a $3.05M goodwill impairment in Infusion Technology; Unrealized investment movements in Cyclo created earnings volatility earlier in the year .

Metric	Q3 2024	Q2 2025	Q3 2025
Revenue ($USD Millions)	$0.336	$0.077	$0.362
Operating Income (Loss) ($USD Millions)	$(93.161)	$(6.639)	$(5.913)
Net Loss Attributable to Rafael ($USD Millions)	$(32.351)	$(4.641)	$(4.779)
EPS (Basic/Diluted, $)	$(1.36)	$(0.19)	$(0.19)

Segment revenue breakdown (Q3 2025 vs prior year):

KPIs and operating drivers:

KPI	Q3 2024	Q2 2025	Q3 2025
Cash & Equivalents ($USD Millions)	$2.675	$48.319	$37.936
R&D Expense ($USD Millions)	$1.526	$0.947	$3.003
G&A Expense ($USD Millions)	$1.923	$2.591	$3.170
Weighted Avg Shares (Basic)	23.78M	24.15M	25.24M

Notes: Operating margin (%) can be derived from operating income/revenue using cited values above.

Metric	Period	Previous Guidance	Current Guidance	Change
TransportNPC Phase 3 (48-week interim)	June 2025	Interim analysis expected “middle of 2025” (Q2 commentary)	DMC recommended continuation to 96 weeks; FDA accepted SAP	Strengthened clinical posture
Liquidity (proceeds)	June 2025	N/A	Rights offering net proceeds expected ~$24.9M	New funding
Cash outlook	Next 12 months	N/A	Management expects cash sufficient to meet obligations for ≥12 months	New disclosure
Focus/priorities	FY25+	Focus on Trappsol Cyclo post-merger (anticipated)	Cyclo merger completed; lead program confirmed	Formalized focus

No formal quantitative financial guidance (revenue, margins, opex, tax rate) was provided in Q3 materials .

(No Q3 earnings call transcript available for RFL; no call was identified) [ListDocuments earnings-call-transcript returned none].

Topic	Previous Mentions (Q1 & Q2)	Current Period	Trend
Clinical milestones (NPC)	Fully enrolled Phase 3; interim analysis expected mid-2025	DMC continuation to 96 weeks; FDA accepted SAP	Positive momentum
Strategic focus	Plan to focus on Trappsol Cyclo post-merger	Cyclo merger completed; lead program emphasis reiterated	Focus intensified
Liquidity/funding	Cash $48.3M at Q2; contemplating rights offering	Rights offering closed; net ~$24.9M expected	Liquidity strengthened
OpEx trajectory	R&D/G&A modest at Q2 as consolidation progressed	R&D/G&A higher YoY with consolidation and Cyclo inclusion	Higher spend to support programs
Real estate	Ongoing rental revenue contribution	Stable contribution; segment $0.077M revenue	Stable

“We are pleased to have completed our merger with Cyclo Therapeutics and look forward to reporting the topline data from the 48-week interim analysis… later this month.” — Howard Jonas, CEO .
“We have enhanced our financial position with the closing of a $25 million rights offering earlier this month which will support advancing this potential new treatment option for patients…” — Howard Jonas .
“The recommendation made by the independent DMC to continue the study to 96 weeks, boosts our determination…” — Howard Jonas .
“It is a privilege to lead and continue the TransportNPC study, the most comprehensive, controlled pivotal study… for NPC ever conducted…” — N. Scott Fine, CEO of Cyclo Therapeutics .

No Q3 2025 earnings call transcript was published; no analyst Q&A available for this quarter [ListDocuments earnings-call-transcript returned none].

Wall Street consensus estimates for Q3 2025 EPS and revenue appear unavailable (no active quarterly consensus coverage observed). Values retrieved from S&P Global.*
Q4 2025 actuals later reported include revenue of $0.350M and EBITDA of $(11.713)M, but no forward consensus datapoints were available for the subsequent quarters in the fetch window.*

Liquidity and funding runway improved via ~$24.9M net rights offering proceeds, supporting regulatory and potential launch activities if interim data support filing .
Clinical de-risking: DMC continuation and FDA SAP acceptance are positive leading indicators ahead of 48-week interim readout; regulatory clarity is improving .
Mix shift: Healthcare segment now contributes meaningful product revenue post-Cyclo merger; Infusion Tech revenue moderated with strategic focus shift .
Expense profile elevated with consolidation of Cyclo/Cornerstone/Day Three; monitor operating spend versus cash runway and milestone cadence .
Near-term trading catalyst: 48-week interim analysis outcomes and any regulatory next-step disclosures; positive signals could drive re-rating, while negative/ambiguous outcomes could pressure shares .
Medium-term thesis: Execution on NPC program (data, filing decision) and capital allocation discipline under controlled-company governance are central to equity value creation .
Share count increased post rights offering (approx. 50.879M Class B outstanding), consider dilution in per-share modeling and capital structure sensitivity .

Sources:

*Values retrieved from S&P Global.