Breaking Down Can-Fite BioPharma Ltd. (CANF) Financial Health: Key Insights for Investors

You're looking at Can-Fite BioPharma Ltd. (CANF) and seeing a classic biotech dilemma: a tiny revenue stream against massive clinical potential. The numbers from the first half of 2025 tell a clear story of cash burn, with a net loss of $4.87 million on just $0.20 million in revenue, which is a defintely tight spot. But here's the quick math: the company's July 2025 public offering for $5 million in gross proceeds bought them runway to push their pipeline, which is the real asset here. The opportunity isn't in the H1 2025 cash balance of $6.45 million; it's in the recent, compelling clinical data, like the Namodenoson patient who achieved a nine-year complete response in advanced liver cancer, announced just this month. That kind of news is why Wall Street analysts maintain an average price target of $6.75, suggesting a potential upside of over 1,675% from the current price. We need to map that high-risk, high-reward equation, balancing the development costs-R&D expenses hit $3.03 million in H1 2025-against the market-moving potential of a successful Phase III trial for Piclidenoson or Namodenoson.

Revenue Analysis

You need to understand one core reality about Can-Fite BioPharma Ltd. (CANF): its revenue is minimal and highly volatile because it is a clinical-stage biopharmaceutical company, not a commercial one. The direct takeaway is that revenue for the first half of 2025 saw a sharp decline, and the company's financial health is driven by financing, not sales.

For the six months ended June 30, 2025 (H1 2025), Can-Fite BioPharma Ltd. reported total revenues of just $0.20 million. This small number is typical for a biotech focused entirely on drug development and clinical trials for candidates like Namodenoson and Piclidenoson. This isn't a sales-driven business yet; it's a research and development (R&D) engine.

Breakdown of Primary Revenue Sources

The company's revenue streams are not from selling a commercial product. As a clinical-stage firm, its primary revenue sources typically fall into the non-product category, such as grants, out-licensing fees, or milestone payments from collaboration agreements. Since the reported revenue is so low, it suggests that any such payments or grants are minor and irregular.

Here's the quick math on their near-term revenue picture:

• Primary Source: Non-product revenue (e.g., grants, licensing/collaboration fees).
• Product Sales: Essentially $0, as their drug candidates are still in clinical trials.
• Geographic Segments: Revenue is not segmented by region, as it is not derived from commercial sales to customers.

You're defintely looking at a company where the pipeline, not the income statement, is the main asset. For a deeper look at who is backing this pipeline, check out Exploring Can-Fite BioPharma Ltd. (CANF) Investor Profile: Who's Buying and Why?

Year-over-Year Revenue Trend and Changes

The near-term revenue trend shows a significant contraction. Revenues for H1 2025 were $0.20 million, which is a 36.07% decline compared to the $0.31 million reported for the same period in 2024. This substantial year-over-year drop of $0.11 million highlights the erratic nature of non-product revenue, which depends on the timing of grants or specific clauses in collaboration deals. One small deal delay or expiration can drastically change the number.

The most significant change in the revenue profile is that the company continues to rely heavily on external financing to fund its operations, rather than revenue from its core business. For instance, in July 2025, the company completed a public offering for aggregate gross proceeds of $5 million, which is a far more material number than their H1 revenue. This capital infusion is the true financial lifeblood right now, not the top-line revenue number.

To put the actual revenue in context, here is the comparison:

What this estimate hides is that a single, positive Phase 3 trial result for a drug like Namodenoson or Piclidenoson would instantly make this entire revenue table obsolete, triggering massive licensing deals or setting the stage for commercialization. Until then, treat this revenue line as a placeholder.

Profitability Metrics

When you look at Can-Fite BioPharma Ltd. (CANF), you have to think like a venture capitalist, not a traditional stock investor. This is a clinical-stage biotech company, so its profitability is measured by its burn rate-how fast it's spending cash on R&D-not by positive net income. The near-term reality is a deep loss, which is typical for a company focused on drug development.

For the first half of 2025 (H1 2025), Can-Fite BioPharma Ltd. reported a net loss of $4.87 million, a widening from the $3.95 million net loss in the same period a year prior. This translates into extremely negative margins, which is the clear takeaway here.

• Gross Profit Margin: 100.00% (TTM)
• Operating Profit Margin (H1 2025): -2,449%
• Net Profit Margin (H1 2025): -2,435%

Here's the quick math: The company's revenue for H1 2025 was a small $0.20 million. Since this revenue likely comes from grants or collaboration payments, not drug sales, the cost of goods sold (COGS) is negligible, resulting in a 100.00% gross margin. But once you factor in the operating expenses, the operating loss hit $4.898 million, driving the massive negative operating and net profit margins.

Profitability Trends and Industry Comparison

The trend is clear: the net loss is growing. The H1 2025 net loss of $4.87 million is a significant increase from H1 2024. This widening loss is a direct result of increased operational spending as the company advances its drug candidates, like Namodenoson and Piclidenoson, through clinical trials.

Comparing Can-Fite BioPharma Ltd.'s profitability ratios to the industry average is like comparing apples to a pre-harvest orchard. Established biopharma companies like Regeneron Pharmaceuticals boast high margins, with a Gross Margin of 86.28% and a Profit Margin of 32.13%. Even a company like Sana Biotechnology, which is also in the development stage, has a Gross Profit Margin of 18.34%, but its Return on Equity (ROE) is still deeply negative at -94.90%.

Can-Fite BioPharma Ltd.'s TTM Return on Equity (ROE) sits at a staggering -264.12%. This is far worse than the pharmaceutical industry's average ROE of approximately 10.49%, but it is not unheard of for a clinical-stage firm. For example, another clinical-stage oncology firm, Erasca, Inc., shows an ROE of -31.16%, which is a loss, but much less severe than Can-Fite BioPharma Ltd.'s.

Operational Efficiency and Cost Management

Operational efficiency for a company like this is all about managing the research and development (R&D) spend to hit clinical milestones before cash runs out. The gross margin trend is stable at 100.00%, but that just shows the revenue is high-margin. The real story is in the costs below the line.

In H1 2025, R&D expenses increased by 5.16% to $3.03 million, a necessary cost to advance trials. However, General and Administrative (G&A) expenses jumped by 35.47% to $2.07 million, mainly due to increased investor relationship expenses. That G&A spike is a red flag on operational efficiency; you defintely want to see the bulk of the spending going directly into the pipeline.

The company did complete a public offering in July 2025 for gross proceeds of $5 million, which temporarily shores up the cash position of $6.45 million as of June 30, 2025. The key action for investors is to monitor R&D spend against clinical trial progress, not the bottom line. You can dive deeper into the ownership structure and market sentiment by Exploring Can-Fite BioPharma Ltd. (CANF) Investor Profile: Who's Buying and Why?

Debt vs. Equity Structure

If you're looking at Can-Fite BioPharma Ltd. (CANF), the first thing to understand is that it's a clinical-stage biotech, and its financing strategy reflects that reality. The short answer is that the company relies almost entirely on equity, not debt, to fund its drug development pipeline.

As of the most recent data, which is close to November 2025, Can-Fite BioPharma Ltd. (CANF) maintains a minimal debt load. The trailing twelve months (TTM) total debt, as of June 30, 2025, stood at only about $90 thousand. This tiny figure means the company has virtually no long-term or short-term debt obligations to service, which is a major difference from a mature, revenue-generating pharmaceutical firm.

The company's financial leverage, measured by the Debt-to-Equity (D/E) ratio, is exceptionally low. For the current fiscal year, the D/E ratio is a mere 0.02. This compares to the 2025 industry average for Biotechnology, which is around 0.17, and the Pharmaceuticals industry, which can be much higher, often around 0.854. Can-Fite BioPharma Ltd. (CANF) is defintely on the conservative end of the spectrum for a capital-intensive sector.

Here's the quick math on how Can-Fite BioPharma Ltd. (CANF) stacks up on leverage:

What this low D/E ratio hides is the company's heavy reliance on equity financing to cover its research and development (R&D) and operational burn. Since it has minimal revenue, the balance sheet is funded by investors, not lenders. This year alone, the company has actively raised capital through public offerings:

• Public offering in July 2025 for gross proceeds of approximately $5.0 million.
• Registered direct offering in April 2025 for gross proceeds of $3.0 million.
• Potential additional funding of up to $10.0 million from short-term warrants associated with the July 2025 offering.

The company is essentially using shareholder capital-equity-to fund its clinical trials for drugs like Namodenoson and Piclidenoson. They aren't taking on significant debt, so there are no major credit ratings or refinancing activities to report. This strategy avoids the fixed interest payments and default risk of debt, but it comes at the cost of shareholder dilution. It's a common, necessary trade-off for clinical-stage biotechs: dilute now to fund the science, hoping for a massive payoff later. For a more complete picture of this trade-off, you should check out the full post on Breaking Down Can-Fite BioPharma Ltd. (CANF) Financial Health: Key Insights for Investors. Your next step, as an investor, is to track the cash runway against the R&D milestones.

Liquidity and Solvency

You need to know if Can-Fite BioPharma Ltd. (CANF) has the cash runway to get its drugs through clinical trials, and the short answer is that its liquidity ratios look strong, but the cash burn from operations is a constant headwind. For a clinical-stage biotech, the balance sheet is less about profit and more about survival, and CANF is managing its near-term obligations well, albeit with a reliance on financing activities.

As of the most recent quarter (MRQ) in 2025, Can-Fite BioPharma Ltd.'s liquidity positions are excellent on paper. The Current Ratio sits at approximately 3.60, and the Quick Ratio is close behind at 3.05. The Current Ratio (Current Assets / Current Liabilities) tells you the company can cover its short-term debts more than three times over. Since a biotech's current assets are mostly cash and short-term deposits, the Quick Ratio (which excludes inventory) is nearly identical. That's a defintely solid buffer.

Here's the quick math on their working capital trend: the company's cash and cash equivalents and short-term deposits dropped from $7.88 million at the end of 2024 to $6.45 million by June 30, 2025. That's a cash decrease of $1.43 million in the first half of 2025, primarily due to ongoing operations. This negative trend in cash is the real working capital story here. The high ratios are great, but the capital base is shrinking without new funding.

A look at the cash flow statements shows a clear pattern, which is typical for a pre-revenue biotech:

• Operating Cash Flow: This is consistently negative. The net loss for the six months ended June 30, 2025, was $4.87 million. This loss is essentially the cash used in operations, driven by R&D expenses of $3.03 million and G&A expenses of $2.07 million in H1 2025. You are paying for the science and the infrastructure, not generating revenue yet.
• Investing Cash Flow: This is generally minimal, as the company is focused on drug development and not large capital expenditures.
• Financing Cash Flow: This is the lifeline. In July 2025, just after the H1 reporting period, the company completed a public offering for aggregate gross proceeds of $5 million. This is the necessary action to replenish the cash burned by operations and keep the clinical programs running.

The core liquidity strength is the high ratio, but the core concern is the cash burn rate. The Free Cash Flow for the year ended December 31, 2024, was already negative -$7.6 million. The management team is acutely aware of this, which is why they executed the July 2025 public offering. The strength is in their ability to access capital markets; the risk is the continuous need to do so. This is a crucial point to understand when Exploring Can-Fite BioPharma Ltd. (CANF) Investor Profile: Who's Buying and Why?

The table below summarizes the near-term cash position and burn rate, highlighting the need for continuous financing to support the clinical pipeline.

The action item for you as an investor is simple: watch the cash balance and the timing of the next capital raise, because that is the true measure of solvency for a company at this stage.

Valuation Analysis

You're looking at Can-Fite BioPharma Ltd. (CANF) and trying to figure out if the stock's massive price drop means it's a screaming buy or a value trap. The direct takeaway is this: traditional valuation metrics suggest a high-risk, high-reward biotech play, but Wall Street analysts see a colossal upside based on pipeline potential, implying the stock is deeply undervalued.

The stock has definitely been on a brutal slide, trading around $0.37 per share as of mid-November 2025. Here's the quick math: over the last 12 months, the share price has plummeted by approximately 81.50%. That's a significant destruction of market value, which is why a simple look at the chart can be unsettling. Still, in the biotech world, stock price often moves on clinical trial data, not quarterly earnings.

Is Can-Fite BioPharma Ltd. Overvalued or Undervalued?

For a clinical-stage biopharmaceutical company like Can-Fite BioPharma Ltd., the usual valuation ratios-Price-to-Earnings (P/E) and Enterprise Value-to-EBITDA (EV/EBITDA)-are largely unhelpful. Since the company is focused on drug development, it reports a net loss, making the P/E ratio negative. Similarly, the Trailing Twelve Months (TTM) EV/EBITDA ratio is also negative, sitting around -3.44 as of November 2025, because the company's EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) is negative. You can't use a negative number to compare value.

So, we turn to the Price-to-Book (P/B) ratio, which compares the market value to the company's book value (assets minus liabilities). The current P/B ratio for Can-Fite BioPharma Ltd. is around 3.79. This is higher than a typical value stock, but for a biotech, it reflects that the market is placing a value on the intellectual property and drug pipeline-like Namodenoson for liver cancer-that isn't yet captured on the balance sheet as a revenue-generating asset.

Here's what the Wall Street consensus says, which is the key indicator for early-stage biopharma:

• Analyst Consensus: Moderate Buy or Strong Buy
• Average 12-Month Price Target: $6.75
• Highest Price Target: $10.50

This wide gap between the current price and the average target suggests a potential upside of over 1,675%, depending on which analyst you follow. That's a massive implied undervaluation, but it's entirely contingent on positive Phase 3 clinical trial results.

One final, simple point: there is no dividend to cushion the volatility. Can-Fite BioPharma Ltd. has no dividend history, so the dividend yield and payout ratio are 0.00%. This is a pure growth, zero-income play.

The stock is defintely a binary bet on the pipeline. If you want to dive deeper into the fundamentals of this high-risk sector, you can read the full post: Breaking Down Can-Fite BioPharma Ltd. (CANF) Financial Health: Key Insights for Investors.

Next Step: Finance should model a scenario analysis where the lead drug candidate, Namodenoson, fails Phase 3, and another where it succeeds, to quantify the true range of risk and opportunity.

Risk Factors

You need to understand that investing in Can-Fite BioPharma Ltd. (CANF) means accepting a high-risk profile; this is a clinical-stage biotechnology company where the financial health is defintely subordinate to drug development success. The near-term risks map directly to their cash runway and the binary outcomes of their late-stage clinical trials.

The core of the financial risk is a persistent operating loss, which forces a reliance on external capital. For the first half of 2025 (H1 2025), the company reported a net loss of $4.87 million, a significant increase from a $3.95 million net loss in H1 2024. This widening loss is driven by accelerating operational costs, which is typical for a company advancing multiple Phase 3 programs.

Financial and Capital Risks

The company's cash position is the most immediate concern for investors. As of June 30, 2025, Can-Fite BioPharma Ltd. (CANF) held cash and equivalents of $6.45 million, down from $7.88 million at the end of 2024. Here's the quick math: the net loss for H1 2025 essentially represents the cash burn from operations, which is why the July 2025 public offering for aggregate gross proceeds of $5 million was crucial. That capital buys them more time, but it also means shareholder dilution.

Also, the operational expenses are climbing. Research and development (R&D) expenses rose 5.16% to $3.03 million in H1 2025, and General and Administrative (G&A) expenses jumped 35.47% to $2.07 million. You're paying for the acceleration of their clinical programs, but still, that's a steep climb in overhead.

• Net Loss for H1 2025: $4.87 million.
• Cash/Equivalents (June 30, 2025): $6.45 million.
• R&D Expense (H1 2025): $3.03 million.

Clinical and Regulatory Hurdles

The biggest external risk is the high bar set by the U.S. Food and Drug Administration (FDA) and other regulatory bodies. The entire valuation rests on the success of their lead candidates, Piclidenoson and Namodenoson, in their Phase 3 trials for psoriasis and advanced liver cancer, respectively. Failure to meet the primary endpoints in any of these pivotal trials would essentially wipe out years of investment in that program.

The competition is fierce. They are targeting multi-billion-dollar markets, such as the estimated $6 billion market for vascular dementia, where Piclidenoson is showing potential. But other large biopharma companies are in the race, meaning Can-Fite BioPharma Ltd. (CANF) needs to not just succeed, but also differentiate their A3 adenosine receptor (A3AR) platform.

Mitigation and Strategic Offsets

The company isn't just sitting on its hands waiting for trial results; they have clear mitigation strategies for both financial and regulatory risks. Their core strategy is to de-risk the pipeline through regulatory designations and corporate partnerships. Namodenoson, for instance, has received both Orphan Drug Designation and Fast Track Designation from the FDA for certain indications. Orphan Drug status alone offers seven years of market exclusivity post-approval, which is a huge commercial advantage.

On the financial side, corporate partnerships provide a non-dilutive source of capital. The company has already received over $20 million to date from these deals, with a potential for up to $130 million more in future milestones. This is how a small biotech sustains a multi-asset pipeline. You can learn more about their long-term goals by reviewing their Mission Statement, Vision, & Core Values of Can-Fite BioPharma Ltd. (CANF).

Here is a summary of the key financial pressures from the first half of 2025:

Growth Opportunities

You're looking at Can-Fite BioPharma Ltd. (CANF), a clinical-stage biotech, and need to know where the real money will come from. The short answer is: not today, but potentially tomorrow, driven by their proprietary drug pipeline. The company's financial reality in the first half of 2025 shows a net loss of $4.87 million, up from $3.95 million in the prior year period, on revenues of just $0.20 million, which is a 36.07% decrease year-over-year. Honestly, that's the profile of a company investing heavily in its future, not one with a commercialized product yet.

The growth story here is all about their two lead drug candidates, Namodenoson and Piclidenoson, both of which target the A3 Adenosine Receptor (A3AR), a mechanism over-expressed in pathological cells like cancer and inflammatory cells. This A3AR platform is their core competitive advantage-it allows for targeted action with an excellent safety profile, which has been demonstrated in close to 2,000 patients across their clinical studies. That's a huge operational win in the biotech world.

Pipeline Innovations and Market Expansion

The near-term risks are high, but the potential market opportunities are massive. The key growth drivers are the therapeutic areas Namodenoson and Piclidenoson are tackling. Namodenoson is the clear oncology focus, with a pivotal Phase III trial for advanced liver cancer (Hepatocellular Carcinoma, or HCC) enrolling in the U.S., Europe, and Israel, a protocol agreed upon with the FDA and EMA. Plus, it has Orphan Drug and Fast Track designations from the FDA for HCC, which are critical regulatory advantages.

• Namodenoson: Phase III for HCC, Phase 2a for pancreatic cancer (over 50% enrollment), and Phase 2b for MASH (Metabolic dysfunction-Associated SteatoHepatitis).
• Piclidenoson: Pivotal Phase III trial for moderate-to-severe psoriasis.
• Vascular Dementia: Piclidenoson is showing promise in preclinical studies for this condition, a market valued at $6 billion in 2025 with zero FDA-approved therapies. That's a defintely a high-stakes, high-reward opportunity.

Revenue Projections and Strategic Partnerships

Mapping the near-term financials to the long-term potential requires bridging the gap between clinical-stage losses and commercial-stage revenue. For 2025, analysts project an average Earnings Per Share (EPS) of -$4.20, reflecting those ongoing Research and Development (R&D) costs, which were already up 5.16% to $3.03 million in H1 2025. What this estimate hides is the potential for exponential growth post-approval.

The company projects a substantial $685 million in future revenue over the next decade, contingent on regulatory success and product launches expected between 2027 and 2029. This revenue will flow from a strategy that leverages seven existing partnerships, providing diverse income streams like development milestones, commercial sales benchmarks, and royalties. That's how a biotech with a small current market capitalization of around $14.21 million can forecast an annual revenue growth rate of an astonishing 719.66%, significantly beating the U.S. Biotechnology industry average forecast.

Here's the quick math on the pipeline's potential value:

To be fair, this entire growth narrative hinges on positive clinical trial results. If the trials succeed, the strategic partnerships and regulatory designations position Can-Fite BioPharma Ltd. to capitalize on multi-billion dollar markets. If you want to dive deeper into the company's long-term vision, you can review the Mission Statement, Vision, & Core Values of Can-Fite BioPharma Ltd. (CANF).

Your action now is to monitor the Phase III trial readouts for Piclidenoson in psoriasis and Namodenoson in HCC. Those milestones will be the true catalysts for the stock price and the realization of those high revenue projections.