PharmaCyte Biotech Swings to $746,860 Net Income in Q3 2026 on Fair Value Gains
PharmaCyte Biotech, a clinical-stage biotech firm, posted net income of $746,860 for the three months ending January 31, 2026, reversing a $3.05 million loss in the same quarter last year. The swing came from $2.86 million in other income, primarily fair value adjustments on warrant and investment holdings.
PharmaCyte Biotech, Inc. (OTC: PMCB), a clinical-stage biotechnology company, reported net income of $746,860 for the three months ending January 31, 2026, compared to a net loss of $3.05 million in the same quarter a year earlier. Read more earnings reports.
The company reported no revenue for the quarter. Operating expenses totaled $2.12 million, more than double the $960,252 posted in the prior-year period. General and administrative costs rose to $2.02 million from $842,056, while research and development spending declined slightly to $93,113 from $118,196.
The profit swing came from $2.86 million in other income, driven by a $1.90 million gain from changes in the fair value of warrant liabilities and a $1.73 million gain on its investment in QCLS. Those gains were partially offset by a $1.20 million loss on QCLS warrants and a $214,000 loss on Femasys warrant assets. Interest income for the quarter was $230,668, down from $255,692 a year earlier.
For the nine months ending January 31, 2026, PharmaCyte posted a net loss of $15.03 million, a sharp reversal from net income of $18.91 million in the prior-year period. Operating expenses for the nine-month period totaled $4.34 million, up from $3.34 million a year earlier. Other expenses totaled $10.69 million, compared to other income of $22.24 million in the prior-year period, which had included a $21.40 million gain on a related party investment in QCLS.
The company reported a loss per share attributable to common stockholders of $0.17 for the three months ending January 31, 2026, compared to a loss of $0.44 in the same quarter last year. For the nine months, the loss per share was $2.41, compared to earnings of $1.67 in the prior-year period. Preferred stock dividends and accretion charges totaling $2.30 million reduced income available to common shareholders in the latest quarter.
Balance Sheet and Cash Position
PharmaCyte held cash and cash equivalents of $20.17 million as of January 31, 2026, up from $15.17 million at April 30, 2025. Total assets were $55.87 million, compared to $55.17 million nine months earlier.
The company's liabilities increased to $16.47 million from $3.28 million at April 30, 2025, driven by a jump in warrant liabilities to $13.66 million from $338,000. Derivative liabilities of $1.14 million were recorded during the nine-month period.
PharmaCyte raised $6.27 million in net proceeds from the issuance of Series C convertible preferred stock during the nine months. The company redeemed $2.36 million worth of Series C preferred stock and paid $162,606 in dividends. It also repurchased $401,625 of common stock and received $1.05 million from warrant exercises.
Stockholders' equity stood at $38.11 million as of January 31, 2026, down from $51.89 million at the start of the fiscal year. The company had 10.74 million common shares outstanding as of January 31, 2026, compared to 6.80 million at April 30, 2025.
Financial Summary
| Metric | Q3 2026 | Q3 2025 | 9M 2026 | 9M 2025 |
|---|---|---|---|---|
| Revenue | $0 | $0 | $0 | $0 |
| Operating Expenses | $2,118,102 | $960,252 | $4,342,458 | $3,335,998 |
| Operating Loss | ($2,118,102) | ($960,252) | ($4,342,458) | ($3,335,998) |
| Other Income (Expense) | $2,864,962 | ($2,085,076) | ($10,688,753) | $22,242,466 |
| Net Income (Loss) | $746,860 | ($3,045,328) | ($15,031,211) | $18,906,468 |
| Loss Per Share (Basic & Diluted) | ($0.17) | ($0.44) | ($2.41) | $1.67 |
| Cash & Equivalents | $20,165,535 | — | $20,165,535 | $16,383,460 |
The company used $3.76 million in cash for operating activities during the nine months ending January 31, 2026, compared to $1.94 million in the prior-year period. Cash from investing activities totaled $2.00 million, driven by proceeds from a note receivable, while financing activities generated $6.75 million, primarily from the Series C preferred stock issuance.