Press release·12/11/2025 12:21:02

Overview

Nutriband Inc. (the “Company”, “Nutriband”, “we” or “us”) is a pharmaceutical company focused on the development of transdermal pharmaceutical products. The company’s primary business is the development of a portfolio of transdermal products based on its proprietary AVERSA™ abuse deterrent transdermal technology. This technology aims to incorporate aversive agents into transdermal patches to prevent the abuse, diversion, misuse, and accidental exposure of drugs with abuse potential, such as opioids and stimulants.

The company’s revenues are generated through its two subsidiaries, Pocono Pharmaceuticals and 4P Therapeutics. Pocono Pharmaceuticals provides contract manufacturing services for health, wellness, and over-the-counter pharmaceutical customers, while 4P Therapeutics performs contract research and development services for pharmaceutical and medical device customers.

Recent Developments

• On February 13, 2025, the company signed an addendum to the Commercial Development and Clinical Supply Agreement for its lead product, AVERSA™ Fentanyl, with its partner Kindeva Drug Delivery. The agreement formalizes their exclusive product development partnership and long-term commitment based on shared development costs in exchange for milestone payments.

• On April 19, 2024, the company completed an $8,400,000 equity financing with European investors, issuing 2,100,000 units consisting of one share of common stock and two warrants to purchase common stock.

Our Business

The company’s lead product under development is AVERSA™ Fentanyl, an abuse-deterrent fentanyl transdermal system that combines an approved generic fentanyl patch with the company’s AVERSA abuse-deterrent transdermal technology. The company plans to follow the development of AVERSA™ Fentanyl with the development of additional abuse-deterrent transdermal products for pharmaceuticals that have a risk or history of abuse, misuse, or accidental exposure, such as AVERSA™ Buprenorphine and AVERSA™ Methylphenidate.

The company has also adopted a 2021 Employee Stock Option Plan, which provides for the issuance of up to 1,645,751 shares of common stock as of September 8, 2025.

On August 5, 2025, the company issued a preferred stock dividend of its Series A Convertible Preferred Stock to its shareholders. Each share of Series A Preferred Stock is convertible into one share of common stock following the approval for commercial sale of the company’s transdermal pharmaceutical products based on the AVERSA™ technology.

Results of Operations

Three Months Ended October 31, 2025 and 2024

Metric	Q3 2025	Q3 2024
Revenue	$346,058	$645,796
Cost of Revenue	$277,553	$454,767
Gross Profit	$68,505	$191,029
Selling, General & Administrative Expenses	$3,491,728	$737,102
Research & Development Expenses	$457,113	$880,768
Net Loss	$(3,872,367)	$(1,362,637)
Net Loss per Share (Basic and Diluted)	$(0.32)	$(0.12)

The decrease in revenue was primarily due to one of the company’s principal customers moving their operations to Asia, leading to lower demand. The increase in selling, general, and administrative expenses was mainly attributable to increases in compensation-based expenses. Research and development expenses decreased due to a reduction in labor costs.

Nine Months Ended October 31, 2025 and 2024

Metric	9M 2025	9M 2024
Revenue	$1,635,942	$1,497,158
Cost of Revenue	$1,158,575	$1,039,785
Gross Profit	$477,367	$453,373
Selling, General & Administrative Expenses	$6,071,320	$2,554,155
Research & Development Expenses	$1,703,093	$2,629,278
Net Loss	$(7,261,573)	$(4,966,179)
Net Loss per Share (Basic and Diluted)	$(2.54)	$(0.48)

The increase in revenue was primarily due to the company ordering additional equipment to meet new demand and implementing it during the third quarter of the prior year. The increase in selling, general, and administrative expenses was mainly attributable to increases in equity-based expenses. Research and development expenses decreased due to a reduction in labor costs.

Liquidity and Capital Resources

As of October 31, 2025, the company had $5,312,177 in cash and cash equivalents and working capital of $5,042,540. During the nine months ended October 31, 2025, the company used $4,402,800 in cash for operations, $5,324 for investing activities, and received $5,408,582 from financing activities, primarily from the exercise of warrants.

Outlook

Nutriband’s focus on developing its AVERSA™ abuse-deterrent transdermal technology and pipeline of related products represents a significant opportunity in the pharmaceutical industry. The company’s partnerships and recent financing activities provide a solid foundation for continued progress in its research and development efforts. However, the company’s financial performance remains challenged by the loss of a major customer and the ongoing costs associated with its product development initiatives. Maintaining a strong liquidity position and effectively managing its research and development expenses will be critical to the company’s long-term success.