Scinai Immunotherapeutics Ltd. (NASDAQ: SCNI), a biopharmaceutical company combining therapeutic development with a revenue-generating contract development and manufacturing organization (CDMO), reported its first-half 2026 financial results, highlighting increased revenue and strategic advancements in its U.S. clinical manufacturing program. The company's revenue for the first half of 2026 reached $949,000, up from $773,000 in the prior-year period, reflecting growth in its CDMO services. As of Aug. 16, 2026, committed customer orders totaled approximately $3.1 million, including about $2.1 million already invoiced, indicating robust demand for its manufacturing capabilities.
Scinai is advancing an expanded clinical manufacturing and chemistry, manufacturing, and controls (CMC) program for a U.S.-based biopharmaceutical company. The company has received approximately $650,000 in cash payments and advances, with substantive activities already underway while a definitive agreement remains under negotiation. This program is intended to support an investigational drug product toward a U.S. investigational new drug (IND) submission and Phase III clinical development. The company continues to pursue approximately $5 million in CDMO revenue for 2026, underscoring its focus on expanding its contract services business.
Financially, Scinai reported an operating loss of approximately $4.6 million for the first half of 2026, compared with $3.8 million in the same period last year. However, net income was approximately $1.6 million, a significant improvement from a net loss of approximately $4.1 million in the prior-year period. This turnaround was primarily driven by a $6.4 million bargain purchase gain associated with the acquisition of Recipharm Israel. The company's cash, cash equivalents, and restricted cash totaled approximately $2.9 million as of June 30, 2026, providing a foundation for ongoing operations and development activities.
Beyond its CDMO operations, Scinai continues to advance its innovative therapeutic programs, including PC111 and NanoAbs. The company is dedicated to developing immunology therapies, with a pipeline of candidates licensed from the Max Planck Society and PinCell S.r.l. Scinai also owns Scinai Biopharma Services Ltd., a CDMO providing development and manufacturing services through facilities in Jerusalem and Yavne, Israel.
The company's strategic initiatives and financial performance are expected to be discussed in an investor webinar scheduled for Aug. 26, 2026, where management will provide insights into recent developments, financial performance, and upcoming milestones. For more details, the full press release is available at https://nnw.fm/Be7Ky. Investors and stakeholders can also access the latest news and updates on Scinai in the company's newsroom at https://nnw.fm/SCNI.
The first-half results and the progress on the U.S. clinical manufacturing program underscore Scinai's dual strategy of generating revenue through its CDMO while advancing its proprietary therapeutic pipeline. The company's ability to secure committed orders and advance high-value manufacturing projects signals potential for sustained growth, despite the ongoing operating losses typical of biopharmaceutical companies in development stages. The bargain purchase gain from the Recipharm Israel acquisition has strengthened its balance sheet, providing additional resources to support its ambitious plans.
