Press Release: Santhera Pharmaceuticals Full Year -3-

Post year-end, in April 2026, Santhera announced a planned leadership transition. Dario Eklund will step down as Chief Executive Officer after more than six and a half years in the role, having led the Company's transformation into a commercial-stage rare disease business. Orlando Oliveira has been appointed as CEO, effective July 15, 2026. He brings more than 25 years of global experience across specialty pharmaceuticals, oncology and rare diseases, and will lead Santhera's next phase of growth. Dario Eklund will remain available during a transition period to support an orderly handover.

Financial Review

Financial Performance, Activities & Outlook

In 2025, Santhera achieved a revenue of CHF 77.2 million and a net loss of CHF -49.2 million. The cash reserves of CHF 22.4 million at year-end 2025, together with 2026 product revenue, royalties and milestones, including the USD 40 million received from the Nxera licensing agreement in January 2026, mean the Company expects to reach cash flow breakeven during Q3 2026, with no additional funding required.

2025 full year revenue driven by strong underlying revenue growth

In 2025, Santhera reported total revenue from contracts with customers of CHF 77.2 million (2024: CHF 39.1 million). Product sales of CHF 25.8 million (2024: CHF 15.0 million) were driven by accelerating AGAMREE adoption in Germany and Austria, as well as early sales from the UK following launch in Q2 2025. Royalties and milestones in the year amounted to CHF 23.1 million (2024: CHF 16.9 million), representing a 37% increase driven by strong growth in royalties from licensing partners Catalyst Pharmaceuticals in the U.S., and the receipt of a USD 12.5 million sales milestone payment from Catalyst after achieving more than USD 100 million of U.S. sales in calendar year 2025, underlining AGAMREE's increasing global momentum. Revenue from supply of product and services to partners was CHF 28.3 million (2024: CHF 7.2 million).

Cost of sales

Cost of sales amounted to CHF 62.0 million (2024: CHF 15.5 million). In addition to increased direct and indirect costs due to growing sales, this figure also reflects the milestone payment of USD 25 million (CHF 20.2 million) to ReveraGen and R-Bridge for the achievement of an AGAMREE sales milestone, which is agreed to be paid in line with cash flow generation. Cost of sales includes CHF 5.0 million in intangible amortization (2024: CHF 5.0 million) and royalties payable of CHF 8.5 million (2024: CHF 3.5 million) in addition to costs relating to product supplies and logistics.

Operating expenses and result

Operating expenses were CHF 53.0 million (2024: CHF 56.9 million). 2025 operating expenses were 7% lower year-on-year, due to decreased development, general and administrative expenses, partially offset by higher marketing and sales expenses.

Development expenses amounted to CHF 22.2 million (2024: CHF 26.5 million). The decrease of -16% was driven by the completion of longer-term studies and CMC (chemistry, manufacturing, and controls) development activities coming to a close in the prior year.

Marketing and sales expenses were CHF 13.2 million (2024: CHF 11.0 million). This represents an increase of 20%, driven by the Company's expansion to support the commercialization of AGAMREE in Europe.

General and administrative expenses amounted to CHF 17.6 million (2024: CHF 19.5 million), a reduction year-on-year of -10%. This reflects an overall decrease in consulting-related expenses.

The operating result amounted to a loss of CHF -37.6 million (2024: loss of CHF -33.1 million).

Financial income and expenses

The financial income in 2025 amounted to CHF 10.8 million (2024: CHF 11.6 million). The decrease was predominantly related to realized foreign exchange gains.

Financial expenses in 2025 were CHF 22.3 million (2024: CHF 20.2 million), primarily driven by higher interest and make-whole expenses as well as (un)realized foreign exchange losses, partially offset by changes in fair value of financial instruments.

This resulted in a net financial expense of CHF -11.5 million, an increase of 34% on the previous year (2024: CHF -8.6 million), reflecting the overall change in funding structure.

Net result

The net result in 2025 was a loss of CHF -49.2 million, compared to a net loss of CHF -42.0 million in the year 2024. The increase in loss for the year reflects higher COGS due to milestone expenses and product mix, which outweigh sales growth and reduced operating costs for the period.

Cash balance and cash flows

As of December 31, 2025, the Company had cash and cash equivalents of CHF 22.4 million, compared to CHF 40.9 million as of December 31, 2024.

Net cash outflow from operating activities amounted to CHF -34.8 million (2024: net cash outflow of CHF -35.5 million), and remained broadly consistent year on year, reflecting the continued investment in commercialization activities.

Net cash flow used in investing activities was consistent year-on-year, amounting to CHF -0.1 million (2024: CHF -0.1 million) and primarily related to limited capital expenditures, with no significant investments in intangible assets or disposals in the current year.

Net cash flow from financing activities in 2025 was CHF 16.4 million (2024: CHF 46.1 million), reflecting proceeds from royalty monetization and other financing transactions, partly offset by the partial repayment of the royalty purchase agreement.

In summary, the net decrease in cash and cash equivalents in 2025 amounted to CHF -18.5 million (2024: net increase of CHF 10.6 million).

Assets and liabilities

Intangible assets decreased by CHF -5.0 million to CHF 63.9 million, reflecting amortization of AGAMREE intangible in use.

Total assets decreased to CHF 148.1 million (from CHF 152.5 million in 2024) and included an increase in inventory of CHF 7.3 million to CHF 24.9 million. Trade and other receivables increased by CHF 12.4 million to CHF 26.3 million, reflecting increases in milestones receivable and working capital during the commercialization stage. This was offset by a decrease in cash and cash equivalents by CHF 18.5 million to CHF 22.4 million.

Total liabilities increased by CHF 35.1 million to CHF 159.9 million, mainly due to the modified convertible bond and new royalty monetization agreement, as well as the milestone payable owed to ReveraGen and R-Bridge for the achievement of an AGAMREE sales milestone.

Shareholders' equity

Total consolidated equity as of December 31, 2025, amounted to CHF -11.8 million, compared to a total equity of CHF 27.7 million as of December 31, 2024. This was a result of the net loss for the period.

Royalty and debt financing

In September, Santhera announced that it had secured CHF 20.4 million net in additional growth capital to meet increased product demand from partners and to support the acceleration of global launches.

R-Bridge royalty monetization agreement (USD 13 million)

Santhera secured a royalty monetization with existing investor R-Bridge and new investor Partners Group. Under the terms of the agreement, R-Bridge and Partners Group will receive 25% of net royalties on AGAMREE from Catalyst (North America) and Sperogenix (China). Upon closing, R-Bridge and Partners Group paid Santhera USD 13 million (CHF 10.4 million), net of certain fees.

This is in addition to an existing agreement under which R-Bridge is entitled to 75% of future royalty income from these licenses. As with the prior arrangement, payments to R-Bridge are capped; once the agreed ceiling or duration is met, North American & China royalties revert to Santhera. Santhera retains buy-back rights over the royalty stream.

Highbridge convertible bond extension (CHF 10 million)

Under the agreement, Highbridge provided an additional CHF 10 million via a new convertible note. The instrument also exchanged, at parity, the prior CHF 7 million convertible bond that was scheduled to mature on 30 September. The new convertible bond has a three-year maturity, with a conversion price set at CHF 13.5446, a 10% premium to the closing share price on the date of the announcement. The coupon is 7%, reflecting a reduction compared with the previous bond and the aggregate principal amount of the convertible bond, including the exchange at parity of the prior bond, was CHF 20.132 million. In addition, the Company issued Highbridge approximately 110,000 shares as consideration for Highbridge agreeing to increased flexibility in relation to the CHF 35 million 4-year term loan signed in August 2024.

Share capital, treasury shares and warrants

As of December 31, 2025, issued share capital consisted of 14,015,505 shares with a total nominal value of CHF 1,401,550.50 (nominal value CHF 0.10 per share), and the Company held 621,791 treasury shares with total nominal value of CHF 62,179.10 for future equity-based financings. The Company also had 695,044 warrants in issue, comprising 236,540 at a strike price of CHF 11.0975 and 458,504 at a strike price of CHF 20.

Financial guidance and outlook

Santhera expects continued strong sales momentum in 2026, with total revenues projected in the range of CHF 80--90 million. Product sales are anticipated to grow by more than 50%, despite a one-off 17% price reduction in Germany, the Company's largest EU market, agreed as part of the pricing and reimbursement process and effective from the start of 2026.

Royalty income from Catalyst and Sperogenix is expected to increase year-on-year. However, royalty income from Catalyst will lag underlying US sales due to a step-down in the royalty rate applicable to the first USD 100 million of U.S. sales following the initial 24-month post-launch period.

Milestone income is expected to exceed 2025 levels, driven primarily by the USD 30 million upfront payment from Nxera. Additional sales milestones may be achieved during 2026; however, these are not currently included in revenue guidance pending greater visibility on the commercial performance of licensing partners.

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April 28, 2026 01:00 ET (05:00 GMT)