CNBX Pharmaceuticals Reports Reduced Losses

Despite limited cash flow, the company is focusing on its colorectal cancer candidate RCC-33 with plans for clinical trials.

April 15, 2025

CNBX Pharmaceuticals Narrows Losses, But Faces Uncertain Financial Future

CNBX Pharmaceuticals has taken real steps to tighten its operating costs. For the quarter ending February 28, 2025, the company reported a net loss of just under $70,000—down sharply from the $325,000 loss posted during the same period last year. Across the six-month period, net loss came in at $104,000, compared to more than $500,000 for the same stretch in 2024.

The drop in losses comes down to one thing: less spending. CNBX paused its R&D work and scaled back general operations due to limited access to capital. Total operating expenses for the quarter were trimmed to $64,743, compared to $240,845 a year earlier. That includes a full halt in research and development activity. The company’s lead candidate, RCC-33—a therapy aimed at colorectal cancer—remains in preclinical development. First-in-human trials are still on the roadmap, but haven’t begun.

Lean Operations, Limited Liquidity

The company’s balance sheet shows how lean things are running. CNBX ended the quarter with just over $45,000 in cash. That’s a slight increase from $26,000 six months earlier, but still far short of what’s needed to support the business long-term. CNBX estimates it will need at least $1 million over the next 12 months to cover:

• General overhead


• Legal and accounting costs


• Early-stage development work

To fill the gap, CNBX raised $110,000 through a series of convertible loans during the period.

Debt Load and Forbearance Agreements

The company is also carrying heavy liabilities. That includes $1.4 million in convertible debt and $1.2 million owed to related parties. Total current liabilities now stand at $2.6 million, and shareholder equity remains negative at approximately $2.57 million.

Over the past few years, CNBX has entered into multiple financing agreements with institutional investors, including senior secured notes and promissory notes tied to earlier capital raises. Some of these agreements have been extended through forbearance deals, which temporarily delay repayment and waive certain defaults. However, those windows are closing. Future funding, whether through equity, debt, or strategic partnerships, will be critical.

Focus Remains on RCC-33

While funding constraints have slowed development, the company remains focused on RCC-33 and its oncology pipeline. Management has signaled that partnerships may play a key role going forward—both in advancing clinical programs and adding new assets where there’s unmet medical need.

CNBX has not reported any legal proceedings or off-balance sheet obligations. The company’s internal controls were reviewed and found effective by its Audit Committee, with no material changes noted during the quarter.

Still, the company’s auditors flagged a going concern risk, citing the need for outside capital to support continued operations. Unless CNBX can raise funds or generate revenue in the near term, it will face real challenges staying operational.

For now, CNBX is keeping costs in check and positioning its lead program for clinical development. But its future will depend on execution—and its ability to secure the financial support needed to move forward.