Galmed Pharmaceuticals Reports Second Quarter 2025 Financial Results and Provides Business Update
TEL AVIV, Israel, Aug. 28, 2025 /PRNewswire/ -- Galmed Pharmaceuticals Ltd. (Nasdaq: GLMD) ("Galmed" or the "Company"), a clinical-stage biopharmaceutical company for cardiometabolic diseases and GI oncological indications, reports financial results for the three and six months ended June 30, 2025 and recent developments.
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Recent Business Updates
-- In August 2025, Galmed announced that it has adopted a digital asset management strategy as part of a new treasury investment policy and capital allocation initiative to enhance capital efficiency and drive shareholder value. Accordingly, the Company established a Crypto Committee of the Board, which is evaluating and, if appropriate, will oversee the implementation of any crypto investing related activities, including a potential allocation of up to 50% of the Company's cash reserves to be used for the purchase of digital assets, which is currently about $10 million, to be deployed in execution of active digital asset management strategy which may include covered call options, staking, lending, and yield-generating protocols. To pursue the new strategy, Galmed is in the process of engaging Tectona Ltd. (TASE:TECT), a specialized crypto treasury management service provider, to advise and implement digital asset strategy by Galmed.
-- Also in August 2025, Galmed entered into a termination agreement of a previously announced binding term sheet that was entered into with Entomus s.r.o. for an exclusive license to develop and commercialize a Self-Emulsifying Drug Delivery System (SEDDS) formulation. Following additional due diligence and discussions between the parties, the Company has decided to modify and de-risk the structure of its participation so that the Company will not lead the project. Instead, a new UK-based company has been established by Allen Baharaff, the Galmed CEO, for the development and commercialization of the SEDDS formulation in which it is contemplated that Galmed will acquire up to 20% of its share capital through an investment of up to $2 million, subject to execution of definitive documentation and approval of Galmed's board of directors.
Financial Summary - Second Quarter 2025 vs. Second Quarter 2024
-- Cash and cash equivalents, short term deposits, restricted cash and marketable debt securities totaled approximately $20.7 million as of June 30, 2025, compared to approximately $15.4 million at December 31, 2024. As of June 30, 2025, the Company raised $7.6 million during 2025, mostly through its ATM facility. -- Net loss amounted to approximately $2.5 million, or $0.63 per share, for the three months ended June 30, 2025, compared to a net loss of approximately $1.1 million, or $2.16 per share, for the three months ended June 30, 2024. -- Research and development expenses amounted to approximately $1.1 million for the three months ended June 30, 2025, compared to approximately $0.5 million for the three months ended June 30, 2024. The increase resulted primarily from clinical and pre-clinical studies expenses. -- General and administrative expenses amounted to approximately $1.1 million for the three months ended June 30, 2025, compared to approximately $0.7 million for the three months ended June 30, 2024. The increase resulted primarily from an increase in salaries and benefit expenses. -- Financial income, net amounted to approximately $0.2 million for the three months ended June 30, 2025, compared to financial income of $0.1 million for the three months ended June 30, 2024.
About Galmed Pharmaceuticals Ltd.
We are a biopharmaceutical company focused on the development of Aramchol. We have focused almost exclusively on developing Aramchol for the treatment of liver disease and we are currently seeking to advance the development of Aramchol for oncological indications outside of NASH and fibrosis. In addition, as part of our growth strategy, we are actively pursuing opportunities to expand and diversify our product pipeline specifically targeting cardiometabolic indications and other innovative product candidates that align with our core expertise in drug development.
Forward-Looking Statements:
Forward-looking statements relate to anticipated or expected events, activities, trends or results as of the date they are made. Because forward-looking statements relate to matters that have not yet occurred, these statements are inherently subject to risks and uncertainties that could cause our actual results to differ materially from any future results expressed or implied by the forward-looking statements. Forward-looking statements may include, but are not limited to, statements relating to our product development efforts, business, financial condition, results of operations, strategies or prospects, and our plans to implement a digital asset management strategy and prospects of our digital asset management strategy, as well as statements, other than historical facts, that address activities, events or developments that we intend, expect, project, believes or anticipate will or may occur in the future. Many factors could cause our actual activities or results to differ materially from the activities and results anticipated in forward-looking statements, including, but not limited to, the development and approval of the use of Aramchol or any other product candidate for indications outside of non-alcoholic steatohepatitis, or NASH, also known as metabolic dysfunction-associated steatohepatitis, or MASH, and fibrosis or in combination therapy; the timing and cost of any pre-clinical or clinical trials of Aramchol or any other product candidate we develop; completion and receiving favorable results of any pre-clinical or clinical trial; regulatory action with respect to Aramchol or any other product candidate by the U.S. Food and Drug Administration, or the FDA, or the European Medicines Authority, or EMA, including but not limited to acceptance of an application for marketing authorization, review and approval of such application, and, if approved, the scope of the approved indication and labeling; the commercial launch and future sales of Aramchol and any future product candidates; our ability to comply with all applicable post-market regulatory requirements for Aramchol, or any other product candidate in the countries in which we seek to market the product; our ability to achieve favorable pricing for Aramchol, or any other product candidate; third-party payor reimbursement for Aramchol, or any other product candidate; our estimates regarding anticipated capital requirements and our needs for additional financing; market adoption of Aramchol or any other product candidate by physicians and patients; the timing, cost or other aspects of the commercial launch of Aramchol or any other product candidate; our ability to obtain and maintain adequate protection of our intellectual property; the possibility that we may face third-party claims of intellectual property infringement; our ability to manufacture our product candidates in commercial quantities, at an adequate quality or at an acceptable cost; our ability to establish adequate sales, marketing and distribution channels; intense competition in our industry, with competitors having substantially greater financial, technological, research and development, regulatory and clinical, manufacturing, marketing and sales, distribution and personnel resources than we do; our expectations regarding licensing, acquisitions and strategic operations; current or future unfavorable economic and market conditions and adverse developments with respect to financial institutions and associated liquidity risk; our ability to maintain the listing of our ordinary shares on The Nasdaq Capital Market; and security, political and economic instability in the Middle East that could harm our business, including due to the current security situation in Israel. We believe these forward-looking statements are reasonable; however, these statements are only current predictions and are subject to known and unknown risks, uncertainties and other factors that may cause our or our industry's actual results, levels of activity, performance or achievements to be materially different from those anticipated by the forward-looking statements. We discuss many of these risks in our Annual Report on Form 20-F for the year ended December 31, 2024 filed with the SEC on April 2, 2025 in greater detail under the heading "Risk Factors." Given these uncertainties, you should not rely upon forward-looking statements as predictions of future events. All forward-looking statements attributable to us or persons acting on our behalf speak only as of the date hereof and are expressly qualified in their entirety by the cautionary statements included in this report. We undertake no obligations to update or revise forward-looking statements to reflect events or circumstances that arise after the date made or to reflect the occurrence of unanticipated events. In evaluating forward-looking statements, you should consider these risks and uncertainties. express an opinion or any other form of assurance with respect thereto. This preliminary financial information is not a comprehensive statement of the company's financial results for this period.
GALMED PHARMACEUTICALS LTD.
Consolidated Balance Sheets
U.S. Dollars in thousands, except share data and per share data
As of As of
December 31,
June 30,
2025 2024
Assets
Current assets
Cash and cash equivalents $
4,964 $
4,652
Short-term deposit 7,464 3,496
Restricted Cash 123 121
Marketable debt securities 8,100 7,183
Other receivables 433 672
Total current assets 21,084 16,124
Investment in associate at fair value 1,593 2,119
Loan to associate 267 257
Total non-current assets 1,860 2,376
Total assets $
22,944 $
18,500
Liabilities and stockholders' equity
Current liabilities
Trade payables $
1,369 $
1,308
Other payables 1,052 865
Total current liabilities 2,421 2,173
Stockholders' equity
Ordinary shares par value NIS 1.80 per share; Authorized 2,690 742
50,000,000; Issued and outstanding: 5,303,050 shares as of June
30, 2025 and 1,664,884 shares as of December 31, 2024
Additional paid-in capital 222,304 216,470
Accumulated other comprehensive loss (403) (416)
Accumulated deficit (204,068) (200,469)
Total stockholders' equity 20,523 16,327
Total liabilities and stockholders' equity $
22,944 $
18,500
GALMED PHARMACEUTICALS LTD.
Consolidated Statements of Operations (Unaudited)
U.S. Dollars in thousands, except share data and per share data
Three months ended June 30, Six months ended June 30,
2025 2024 2025 2024
Research and development expenses 1,058 534 1,692 1,169
General and administrative expenses 1,051 688 1,681 1,454
Total operating expenses 2,109 1,222 3,373 2,623
Financial income, net (140) (103) (300) (229)
Impairment of Associate 526 526
Net loss $
2,495 $
1,119 $
3,599 $
2,394
Basic and diluted net loss per share $
0.63 $
1.65 $
1.25 $
3.72
Weighted-average number of shares 3,948,190 (*)677,861 2,866,600 (*)643,167
outstanding used in computing basic
and diluted net loss per share
GALMED PHARMACEUTICALS LTD.
Consolidated Statements of Cash Flows (Unaudited)
U.S. Dollars in thousands
Six months ended June
30,
2025 2024
Cash flow from operating activities
Net loss $
(3,599) $
(2,394)
Adjustments required to reconcile net loss to net cash used
in operating activities
Depreciation and amortization 83
Stock-based compensation expense 201 283
Amortization of premium on marketable debt securities 16
Restricted deposit (2)
Derivative expenses 32
Impairment of Associate 526
Interest income from short-term deposits (68) (18)
Interest income from loan to associate (10)
Loss (gain) from realization of marketable debt securities (19) 8
Finance expenses 1 1
Changes in operating assets and liabilities:
Decrease in other accounts receivable 239 345
Increase (decrease) in trade payables 61 (676)
Increase (decrease) in other accounts payable 187 (479)
Net cash used in operating activities (2,435) (2,847)
Cash flow from investing activities
Purchase of available for sale securities (1,686) (1,507)
Withdrawal from (investment in) short term deposits (3,900) 225
Sale of available-for-sale securities 786 3,106
Net cash provided by (used in) investing activities (4,800) 1,824
Cash flow from financing activities
Issuance of ordinary shares in relation to ATM (**) 7,474
Issuance of ordinary shares in relation to SEPA (*) 75
Net cash provided by financing activities 7,549
Increase (decrease) in cash and cash equivalents and 314 (1,023)
restricted cash
Cash and cash equivalents and restricted cash at the 4,773 2,978
beginning of the period
Cash and cash equivalents and restricted cash at the end of $
5,087 $
1,955
the period
Supplemental disclosure of cash flow information:
Cash received from interest $
376 $
218
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SOURCE Galmed Pharmaceuticals Ltd.
