Palisade Bio (PALI) Q1 2026 earnings summary

Executive summary

• Advanced PALI-2108, a once-daily oral PDE4 inhibitor, with positive Phase 1a/1b data in ulcerative colitis and Crohn's disease, showing favorable safety, tolerability, target engagement, and early efficacy signals.

• Preparing for Phase 2 clinical trials in moderate to severe UC and CD, with IND submissions and trial initiations scheduled through 2027; first patient dosing expected in Q3 2026.

• Strong cash position expected to fund operations through key clinical milestones, including Phase 2 efficacy readouts.

Financial highlights

• Net loss of $9.6 million for Q1 2026, compared to $2.2 million in Q1 2025, driven by increased R&D and G&A expenses.

• Operating expenses rose to $10.7 million from $2.3 million year-over-year, reflecting higher clinical trial activity and stock-based compensation.

• Research and development expenses were $6.4 million and general and administrative expenses were $4.4 million for Q1 2026.

• Cash, cash equivalents, and restricted cash totaled $132.7 million as of March 31, 2026.

• Net cash used in operating activities was $3.9 million for Q1 2026.

Outlook and guidance

• IND submission for Phase 2 ulcerative colitis trial expected in Q2 2026, with trial initiation in Q3 2026.

• IND submission for Phase 2 Crohn's disease trial expected in 2H 2026, with trial initiation in Q1 2027.

• Sufficient capital to fund operations through Phase 2 efficacy readouts for PALI-2108 in UC (2H 2027) and CD (early 2028); additional financing anticipated for Phase 3 and commercialization.