0001493152-26-013294
SEC filingEnveric Biosciences, Inc. reported a net loss of $8.8 million for fiscal year 2025, consistent with its pre-revenue biotech status. The company's operations were funded by raising approximately $10.5 million from sales of common stock and warrants. Total operating expenses were $8.8 million, comprising $5.8 million in general and administrative expenses and $2.8 million in research and development. The company ended the year with $4.7 million in cash and total assets of $5.1 million, while reporting an accumulated deficit of $114.8 million. Management expressed substantial doubt about the company's ability to continue as a going concern, noting current cash is insufficient for the next 12 months of operations.
Enveric Biosciences reported a net loss of $8.8 million for fiscal year 2025, compared to a net loss of $9.6 million in 2024, representing an 8.4% improvement year-over-year. The company remains pre-revenue with no product sales. Total operating expenses decreased to $8.8 million from $9.6 million in the prior year. Research and development expenses were $2.8 million, down 2% from $2.8 million in 2024, while general and administrative expenses decreased 10% to $5.8 million from $6.5 million. The company's accumulated deficit grew to $114.8 million as of December 31, 2025. Cash used in operating activities was $8.1 million, slightly higher than the $7.7 million used in 2024.
Enveric Biosciences generated no revenue during fiscal year 2025, consistent with its status as a preclinical-stage biotechnology company. The company's business model focuses on developing next-generation, small-molecule neuroplastogenic therapeutics for psychiatric and neurological disorders. The lead candidate, EB-003, is a novel derivative of DMT currently in preclinical development targeting mental health indications. The company unveiled the EVM401 Series in February 2025 to broaden its pipeline with additional non-hallucinogenic molecules. No segment revenue breakdown is available as the company has not commercialized any products.
As a pre-revenue company, Enveric Biosciences reported negative operating margins with a loss from operations of $8.8 million in 2025, improving from a $9.6 million loss in 2024. The company's cost structure shows 66% of operating expenses allocated to general and administrative functions ($5.8 million) and 32% to research and development ($2.8 million). Stock-based compensation represented approximately $0.8 million of total expenses in 2025, down from $1.6 million in 2024. The decrease in operating expenses was primarily driven by reductions in legal fees ($262,077), director fees ($253,719), and stock compensation expense ($215,306), partially offset by increased marketing expenses ($433,654).
Enveric Biosciences ended fiscal year 2025 with $4.7 million in cash, up from $2.3 million at the end of 2024. Net cash provided by financing activities was $10.6 million, primarily from warrant exercises ($4.7 million), common stock and warrant sales ($4.2 million), and ATM agreement proceeds ($1.6 million). Total assets were $5.1 million, with current assets of $4.9 million primarily consisting of cash. Total liabilities were $0.9 million, resulting in shareholders' equity of $4.2 million. The company reported working capital of $4.0 million. Management noted substantial doubt about the company's ability to continue as a going concern, stating current cash is insufficient for the next 12 months of operations.
Management's plan to address going concern issues includes raising additional working capital through public or private equity or debt financings, potential collaborations with third parties, and disciplined cash spending. The company's primary focus remains developing its lead asset EB-003 in the EVM301 Series, with the program ready to advance into IND-enabling studies. Key risk factors include the company's ability to continue as a going concern, dependence on the success of preclinical product candidates, significant liquidity needs, and intense competition in the biotechnology industry. The company faces regulatory challenges as psychedelic-inspired compounds may be subject to controlled substance laws. Management expects to continue incurring losses for the foreseeable future as research and development activities continue.