Revelation Biosciences Reports $15M Net Loss and Strategic Changes in 10-K Filing

Revelation Biosciences, Inc. has reported significant financial developments in its recent 10-K filing for the fiscal year ending December 31, 2024. The company, which focuses on developing therapies to modulate the immune system, recorded a net loss of $15.0 million for the year, a substantial increase from a net loss of $120,254 in the previous year. This brings the accumulated deficit to $40.5 million. The total operating expenses for the year were approximately $8.0 million, down from $8.7 million in 2023, primarily due to a decrease in research and development costs, which fell from $4.1 million to $3.5 million.

In terms of operational changes, Revelation has been actively pursuing its clinical programs, including GEM-AKI, GEM-CKD, and GEM-PSI, which are aimed at addressing acute kidney injury, chronic kidney disease, and post-surgical infections, respectively. The company has initiated a Phase 1b clinical study for both GEM-AKI and GEM-CKD, with results expected in the first half of 2025. The company’s research and development expenses were notably impacted by increased clinical study costs, which rose significantly compared to the previous year.

Revelation has also undergone strategic changes, including multiple reverse stock splits to maintain compliance with Nasdaq listing requirements. The most recent split, a 1-for-16 reverse stock split, was effective on January 28, 2025. This action was part of a broader effort to regain compliance with Nasdaq's minimum bid price requirement, which the company successfully achieved by February 2025. As of March 3, 2025, Revelation had 905,228 shares of common stock outstanding, reflecting the adjustments from the reverse splits.

The company’s liquidity position remains a concern, with cash and cash equivalents totaling $6.5 million as of December 31, 2024. Revelation has indicated that this amount is insufficient to sustain operations for the next year, raising substantial doubt about its ability to continue as a going concern. To address this, the company plans to seek additional funding through public or private equity or debt financing, although there is no guarantee that such financing will be available on favorable terms.

Looking ahead, Revelation's management has expressed optimism about the potential of its product candidates, contingent upon successful clinical trials and regulatory approvals. However, the company acknowledges the inherent risks in drug development, including the possibility of delays or failures in clinical studies, which could significantly impact its financial condition and operational plans. The ongoing focus will be on advancing its clinical programs while navigating the challenges of funding and regulatory compliance.