VANCOUVER, BC — May 6, 2026 — Leads & Copy — Lobe Sciences Ltd. (CSE:LOBE)(OTCQB:LOBEF)(Frankfurt:LOBE.F), a clinical-stage biopharmaceutical company, has announced its unaudited interim financial results for the second quarter of fiscal 2026, which ended February 28, 2026, and provided an operational update.
During the quarter, the company focused on advancing its development pipeline while maintaining a disciplined approach to capital allocation. Management believes the progress achieved in Q2 2026 reflects continued execution on its strategic priorities and reinforces the company’s focus on building long-term shareholder value.
Key financial highlights from the second quarter include cash totaling $1,071,199, with additional short-term investments of $3,889,632, supporting ongoing development activities. Net working capital was $2,160,073. Research and development expenses were $2,115,338 for the six months ended February 28, 2026, compared to $20,474 in the prior year period. The increase reflects advancement of the company’s core programs, Cynaptec’s L-130 (psilocin mucate) program and Applied Lipid Therapeutic’s S-100 (DHATG and EPATG) program. Cash used in operating activities was $2,637,862 for the six-month period, compared to $610,307 in the prior year, consistent with expanded development activities. The net loss for the quarter was $3,693,896, compared to $1,503,662 in the same period last year, primarily reflecting increased investment in R&D and corporate infrastructure.
The financial and operational information outlined in this news release is derived from, and should be read in conjunction with, the company’s interim financial statements for Q2 2026 and the related management’s discussion and analysis thereof, copies of which are available under the company’s profile on SEDAR+ at www.sedarplus.ca.
Dr. Fred Sancilio, CEO of Lobe Sciences Ltd., stated that the company advanced both of its core subsidiary programs, L-130 through Cynaptec Pharmaceuticals and S-100 for sickle cell disease through Applied Lipid Therapeutics, during the first six months of fiscal 2026. He added that the company’s approximately $2.1 million in R&D spend was driven primarily by external development work on L-130, while S-100 continued to move forward through focused internal efforts. The company is also seeing increased market interest and inbound opportunities, but is approaching these selectively and with discipline. The priority remains to advance both programs in a measured way while maintaining control of capital and building long-term value.
Subsequent to quarter-end, the company completed a non-brokered private placement, issuing 14,615,384 common shares at $0.065 per share for gross proceeds of approximately $950,000. The financing was completed at pricing reflective of prevailing market conditions at the time and provides additional working capital to support the continued advancement of the company’s development programs.
L-130 (psilocin mucate) is a patented, highly bioavailable, orally administered new chemical entity (NCE) designed as a stabilized form of psilocin, the active metabolite of psilocybin. The NCE is designed to provide enhanced stability, improved bioavailability, and more consistent circulating levels of psilocin, supporting reliable systemic exposure relative to traditional psilocybin-based approaches. Development of L-130 is being conducted by Cynaptec Pharmaceuticals, Inc., a subsidiary of the company in which Lobe holds a 64% ownership interest. L-130 is initially being developed for the treatment of chronic cluster headache, a severe neurological condition with limited treatment options. The program is advancing in alignment with guidance received from the U.S. Food and Drug Administration following pre-IND interactions.
S-100 is an early-stage therapeutic candidate for sickle cell disease being developed through Applied Lipid Therapeutics LLC, a subsidiary of the company. It is designed to address underlying disease mechanisms using a lipid-based delivery platform, consisting of a unique blend of triglyceride esters of docosahexaenoic acid (DHA) and eicosapentaenoic acid (EPA), combined with a patented absorption-enhancing excipient system to improve bioavailability. The company is advancing chemistry, manufacturing, and controls (CMC) activities to support production of clinical supply for a planned Phase 2a study.
Source: Lobe Sciences Ltd.
