Scinai Revenue Jumps 167% to $2.80 Million in Nine Months
Key Facts
Scinai Immunotherapeutics increased revenue 167% to $2.80 million in the nine months ended September 30, 2026, compared with $1.05 million in the same period a year earlier, according to a company statement. It said revenue reflects services performed that met the criteria for accounting recognition, including work at the Yavne facility, which entered the company’s accounts after its acquisition. It attributed the increase to the expansion of its contract development and manufacturing activity and stronger year-over-year performance at its Jerusalem and Yavne operations. The acquisition of Recipharm Israel was completed on February 16, 2026, adding development and manufacturing capabilities to the group’s business. The figures show growth in activity, while the cost of operating the expanded business stands out as a factor affecting losses and cash flows.
Cost of revenue rose to $5.78 million in the nine months, from $2.96 million in the comparable period, and gross loss was $2.97 million, compared with $1.91 million. The company said revenue growth did not offset the cost of operating the expanded business. Operating loss also increased to $6.56 million from $5.64 million. Net loss, however, narrowed to $0.39 million from $6.24 million, mainly due to a non-cash accounting gain on bargain purchase of $6.40 million from the acquisition. The narrower net loss therefore does not reflect a comparable improvement in operating results.
Research and development expenses fell to $1.29 million from $1.80 million, while sales, general and administrative expenses rose to $2.31 million from $1.93 million. Total operating expenses were $3.60 million, compared with $3.73 million in the comparable period. On liquidity, net cash used in operating activities was $5.80 million, versus $4.77 million. The company attributed the increase in cash used mainly to higher operating costs following the expansion of contract manufacturing and the acquisition of Recipharm Israel. These figures put revenue growth in the context of an expansion accompanied by higher operating spending.
The company said approved customer orders totaled about $8.32 million as of November 4, 2026, compared with $1.9 million at the end of 2025, an increase of more than 330%. The measure includes announced operating commitments, but does not represent recognized revenue or a backlog. Under the expanded agreement with a U.S. customer, committed fees for core services are about $5.1 million, subject to performing the services and contractual conditions. The full value of the agreement is not recorded when it is signed; the company recognizes revenue when services are performed and the relevant accounting criteria are met. The contribution of the orders and agreement to revenue therefore depends on execution and timing, not solely on the value of the commitment.
The agreement also includes potential additional clinical manufacturing work in late 2027 and the first half of 2028, with indicative fees of about $5.85 million. This work is not committed and requires written activation by the customer. The company plans to begin clinical manufacturing under the expanded U.S. program in January 2027 and expects committed services to contribute to revenue during 2026 and 2027, with stability services continuing after 2027. Potential additional work remains separate from core services and does not become a guaranteed source of revenue before it is activated and performed. In August 2026, the company said it was seeking to generate about $5 million in contract manufacturing revenue for the year, with the target subject to execution, timing, recognition criteria and conversion of additional opportunities.
Revenue from contract manufacturing and development rose in 2025 to $1.3 million from $0.7 million in 2024, according to the company’s annual results, which attributed the increase to continued expansion of activity. Revenue for the current period included Yavne operations from the acquisition date in February 2026, broadening the operating comparison base from the previous year. Cash, cash equivalents and restricted cash totaled $1.91 million on September 30, 2026, before financing transactions in October. The company said those transactions provided about $5.3 million in net proceeds, and that its bank balances were about $8.1 million on October 27, after the financing and customer receipts. Cash, cash equivalents and restricted cash had totaled $1.8 million at the end of 2025, compared with $2.1 million at the end of 2024.
Scinai expects its cash resources and anticipated customer payments to support operations through late 2027, according to forecasts published in November, subject to program execution and collection. That runway could extend to the third quarter of 2028 if the company secures and performs the potential additional clinical manufacturing work, which is not currently committed. In trading, the company’s shares closed at $0.441 on November 6, 2026, down from $0.451 in the previous session, according to EL7 data. The planned start of clinical manufacturing in January 2027 remains a near-term milestone for tracking execution of the core agreement. The conditional extension of the cash runway depends on securing and activating the additional work, alongside the expected payments.