On August 11, 2026 Fennec Pharmaceuticals Inc. (NASDAQ:FENC; TSX: FRX), a specialty pharmaceutical company, reported its financial results for the second quarter ended June 30, 2026 and provided a business update.
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"Our second quarter reflects another period of strong execution across the business, highlighted by our seventh consecutive quarter of growth. We continue to build momentum by investing in the evidence that will shape the future of PEDMARK (sodium thiosulfate), with important data presented at ASCO (Free ASCO Whitepaper) and a growing pipeline of investigator-sponsored studies that we believe will further expand our understanding of its potential," said Jeff Hackman, chief executive officer of Fennec Pharmaceuticals. "As evidenced in our record EBITDA generation in the second quarter, we have a highly effective business model that is primed to optimize our anticipated growth while advancing our mission to improve outcomes for patients."
Business Highlights:
Continued Commercial Momentum Within Key PEDMARK Accounts: The first full quarter following the expansion of our commercial organization contributed to unprecedented enrollment in the second quarter. Through disciplined execution and now greater reach and frequency to engage with healthcare providers, demand grew across both new and existing accounts, further demonstrating the scalability of our commercial platform. Our commercial, patient services, and medical affairs teams continue to work closely together to help ensure a positive PEDMARK experience for both prescribers and patients throughout the treatment journey.
2026 American Society of Clinical Oncology (ASCO) (Free ASCO Whitepaper) Annual Meeting: New research evaluating PEDMARK across multiple patient populations and tumor types were shared as part of the 2026 American Society of Clinical Oncology (ASCO) (Free ASCO Whitepaper) Annual Meeting program. The four independently led studies build upon the established safety and efficacy of PEDMARK – currently approved for pediatric patients one month of age and older with localized, non-metastatic solid tumors, and recognized by the National Comprehensive Cancer Network with a 2A recommendation for use in adolescent and young adult patients – and help to expand understanding of the clinical utility of PEDMARK in Adolescent and Young Adult (AYA) and adult populations, where significant unmet need remains.
Upcoming Events:
H.C. Wainwright 27th Annual Global Investment Conference: Fennec will present at the conference to be held September 14 – 17, 2026, in NYC. The management team will also host one-on-one investor meetings at the conference.
Financial Results for the Second Quarter Ended June 30, 2026
Net Product Sales – For the second quarter of 2026, the Company recorded net product sales of approximately $17.1 million compared to $9.7 million in the second quarter of 2025. The increase in sales is attributable to growth across PEDMARK accounts including new accounts in the AYA population.
Selling and Marketing Expenses – The Company recorded $10.7 million in selling and marketing expenses in the second quarter of 2026 compared to $4.8 million in the second quarter of 2025. The increase is largely related to is largely related to the higher costs associated with the commercialization and increased awareness initiatives of PEDMARK and related expenses to support the expansion of our sales organization. Further, on a comparable basis, there was a reallocation of select general and administrative expenses to selling and marketing expenses in the second quarter of 2026 compared to the second quarter of 2025.
General and Administrative (G&A) Expenses – The Company recorded $4.6 million in general and administrative expenses in the second quarter of 2026 compared to $6.5 million in the second quarter of 2025. Thedecrease in general and administrative expenses for the three-month comparable periods due to lower legal and professional fees as select litigation activities concluded. Further, on a comparable basis, there was a reallocation of select general and administrative expenses to selling and marketing expenses in the second quarter of 2026 compared to the second quarter of 2025.
Non-GAAP adjusted EBITDA – The Company recorded $2.8 million in non-GAAP adjusted EBITDA in the second quarter of 2026 compared to non-GAAP adjusted EBITDA loss of $1.2 million for the same period in the prior year. A table reconciling non-GAAP measures is included in this press release for reference.
Cash Position – Cash and cash equivalents were $41.2 million as of June 30, 2026 compared to $40.1 million as of March 31, 2026. We anticipate that our cash, cash equivalents and investment securities as of June 30, 2026, combined with the projected revenues from PEDMARK, will be sufficient to fund our business based on our current operating plan.
Second Quarter 2026 Conference Call Information
Date: Tuesday, August 11, 2026
Time: 8:30 a.m. Eastern Time
Webcast Link: https://edge.media-server.com/mmc/p/2iptdco4
Participant Link: View Source
Financial Update
The selected financial data presented below is derived from our unaudited condensed consolidated financial statements, which were prepared in accordance with U.S. generally accepted accounting principles. The complete unaudited condensed consolidated financial statements for the period ended June 30, 2026, and management’s discussion and analysis of financial condition and results of operations will be available via www.sec.gov and www.sedar.com. All values are presented in thousands unless otherwise noted.
Unaudited Condensed Consolidated
Statements of Operations:
(U.S. Dollars in thousands except share and per share amounts)
Three Months Ended Six Months Ended
June 30, June 30, June 30, June 30,
2026
2025
2026
2025
Revenue
PEDMARK product sales, net $ 17,164 $ 9,652 $ 32,272 $ 18,403
Other revenue 710 — 710 —
Total revenue 17,874 9,652 32,982 18,403
Operating expenses:
Cost of product sales 721 967 1,291 1,340
Research and development 118 107 167 201
Selling and marketing 10,659 4,784 22,081 8,011
General and administrative 4,639 6,526 7,825 12,391
Total operating expenses 16,137 12,384 31,364 21,943
Income/(loss) from operations 1,737 (2,732 ) 1,618 (3,540 )
Other (expense)/income
Unrealized foreign exchange (loss)/gain (6 ) 17 (18 ) 30
Amortization expense — (13 ) — (26 )
Unrealized loss on securities — (1 ) — (2 )
Interest income 287 171 626 407
Interest expense (3 ) (594 ) (10 ) (1,186 )
Total other expense 278 (420 ) 598 (777 )
Income/(loss) before provision for income taxes 2,015 (3,152 ) 2,216 (4,317 )
Provision for income taxes 42 — 42 —
Net income/(loss) $ 1,973 $ (3,152 ) $ 2,174 $ (4,317 )
Basic net income/(loss) per common share $ 0.06 $ (0.11 ) $ 0.06 $ (0.16 )
Diluted net income/(loss) per common share $ 0.05 $ (0.11 ) $ 0.06 $ (0.16 )
Weighted-average number of common shares outstanding basic 34,545 27,664 34,596 27,621
Weighted-average number of common shares outstanding diluted 36,430 27,664 37,410 27,621
Fennec Pharmaceuticals Inc.
Balance Sheets
(U.S. Dollars and shares in thousands)
June 30, December 31,
2026
2025
Assets
Current assets
Cash and cash equivalents $ 41,249 $ 36,788
Accounts receivable, net 23,266 23,221
Prepaid expenses 3,635 3,738
Inventory 2,374 1,565
Other current assets 1,976 1,731
Total current assets 72,500 67,043
Non-current assets 3,253 3,508
Total assets $ 75,753 $ 70,551
Liabilities and stockholders’ deficit
Current liabilities:
Accounts payable $ 5,516 $ 4,635
Accrued liabilities 3,696 5,635
Contract liability-current 3,182 248
Total current liabilities 12,394 10,518
Long-term liabilities
Contract liability – long-term 20,917 24,561
Total long-term liabilities 20,917 24,561
Total liabilities 33,311 35,079
Stockholders’ deficit:
Common stock, no par value; unlimited shares authorized; 35,034 shares issued and outstanding (2025 ‑34,163) 193,190 189,906
Additional paid-in capital 75,257 73,745
Accumulated deficit (227,248 ) (229,422 )
Accumulated other comprehensive income 1,243 1,243
Total stockholders’ deficit 42,442 35,472
Total liabilities and stockholders’ deficit $ 75,753 $ 70,551
Reconciliation of Net Income/(Loss) to Adjusted EBITDA (Non-GAAP)
(U.S. Dollars in thousands)
Three Months Ended Six Months Ended
June 30, June 30, June 30, June 30,
2026
2025
2026
2025
Net income $ 1,973 $ (3,152 ) $ 2,174 $ (4,317 )
Provision for income taxes 42 - 42 -
Other revenue (a) (710 ) - (710 ) -
Interest income (287 ) (171 ) (626 ) (407 )
Interest expense 3 594 10 1,186
Depreciation and amortization - 13 - 26
Share based compensation expense (b) 1,774 1,494 2,764 2,292
Unrealized loss on securities - 1 - 2
Unrealized foreign exchange gain/(loss) 6 (17 ) 18 (30 )
Adjusted EBITDA $ 2,801 $ (1,238 ) $ 3,672 $ (1,248 )
(a) Represents the portion of GAAP revenue related to "material rights" under the Company’s PEDMARK license with Norgine that is non-cash in the current period and was previously recorded as deferred licensing revenue. Under ASC 606, a portion of the upfront consideration received under this agreement was allocated to a material right and recorded as deferred revenue (contract liability), which is subsequently recognized as revenue as PEDMARK units are shipped to Norgine and the related material right is satisfied. These amounts are included in GAAP revenue in the periods presented, and the Company continues to apply GAAP recognition and measurement for all revenue, including this component. The adjustment is intended solely to remove this non-cash amortization of previously deferred licensing revenue from Adjusted EBITDA, as management believes excluding this item provides a more comparable view of period-over-period cash operating performance from the Company’s commercial activities.
(b) Represents share-based compensation expense to account for stock options, restricted stock, and other stock awards over their respective vesting periods.
About Cisplatin-Induced Ototoxicity
Cisplatin and other platinum-based chemotherapies are widely used to treat solid tumors and have been vital in improving survival rates. Unfortunately, these life-saving treatments often result in permanent, irreversible hearing loss, also known as ototoxicity.1
Hearing loss from cisplatin treatment is not rare. Studies show that between 60-90% of patients treated with cisplatin may develop hearing loss, depending upon the dose and duration of chemotherapy.2 Many of those treated with cisplatin will require lifelong hearing aids or cochlear implants, which can be helpful for some, but do not reverse the hearing loss and can be costly over time.3 Treatment-induced hearing loss can reduce quality of survivorship as it impacts many aspects of life, such as speech and language skills, academic performance, social-emotional development, career potential and the ability to live independently.4,5 While audiologic monitoring is recommended to help manage ototoxicity, it is currently underutilized in certain cancer patient populations.
PEDMARK (sodium thiosulfate injection)
PEDMARK is the first and only U.S. Food and Drug Administration (FDA) approved therapy indicated to reduce the risk of ototoxicity associated with cisplatin treatment in pediatric patients 1 month of age and older with localized, non-metastatic, solid tumors. It is a unique formulation of sodium thiosulfate in single-dose, ready-to-use vials for intravenous use in pediatric patients. PEDMARK is also the first and only therapeutic agent with proven efficacy and safety data with an established dosing regimen, across two open-label, randomized Phase 3 clinical studies, the Children’s Oncology Group (COG) Protocol ACCL0431 and SIOPEL 6.
Additionally, PEDMARK is recommended for the adolescent and young adult (AYA) population by the National Comprehensive Cancer Network, or NCCN, with a 2A endorsement.
Approximately 500,000 patients in the U.S. are diagnosed annually with cancers that could be treated with a platinum-based chemotherapy.6,7 The incidence of ototoxicity depends upon the dose and duration of chemotherapy, and many of those treated will require lifelong hearing aids. Until the FDA approval of PEDMARK, there were no preventative agents for this hearing loss. Patients with hearing loss resulting from cancer treatment have a statistically significant worse quality of life compared with peers who have no hearing loss.8,9
PEDMARK has been studied by co-operative groups in two Phase 3 clinical studies of survival and reduction of ototoxicity, COG ACCL0431 and SIOPEL 6. Both studies have been completed. The COG ACCL0431 protocol enrolled childhood cancers typically treated with intensive cisplatin therapy for localized and disseminated disease, including newly diagnosed hepatoblastoma, germ cell tumor, osteosarcoma, neuroblastoma, medulloblastoma, and other solid tumors. SIOPEL 6 enrolled only hepatoblastoma patients with localized tumors.
Indications and Usage
PEDMARK (sodium thiosulfate injection) is indicated to reduce the risk of ototoxicity associated with cisplatin in pediatric patients 1 month of age and older with localized, non-metastatic solid tumors.
Limitations of Use
The safety and efficacy of PEDMARK have not been established when administered following cisplatin infusions longer than 6 hours. PEDMARK may not reduce the risk of ototoxicity when administered following longer cisplatin infusions, because irreversible ototoxicity may have already occurred.
Important Safety Information
PEDMARK is contraindicated in patients with history of a severe hypersensitivity to sodium thiosulfate or any of its components.
Hypersensitivity reactions occurred in 8% to 13% of patients in clinical trials. Monitor patients for hypersensitivity reactions. Immediately discontinue PEDMARK and institute appropriate care if a hypersensitivity reaction occurs. Administer antihistamines or glucocorticoids (if appropriate) before each subsequent administration of PEDMARK. PEDMARK may contain sodium sulfite; patients with sulfite sensitivity may have hypersensitivity reactions, including anaphylactic symptoms and life-threatening or severe asthma episodes. Sulfite sensitivity is seen more frequently in people with asthma.
PEDMARK is not indicated for use in pediatric patients less than 1 month of age due to the increased risk of hypernatremia or in pediatric patients with metastatic cancers.
Hypernatremia occurred in 12% to 26% of patients in clinical trials, including a single Grade 3 case. Hypokalemia occurred in 15% to 27% of patients in clinical trials, with Grade 3 or 4 occurring in 9% to 27% of patients. Monitor serum sodium and potassium levels at baseline and as clinically indicated. Withhold PEDMARK in patients with baseline serum sodium greater than 145 mmol/L.
Monitor for signs and symptoms of hypernatremia and hypokalemia more closely if the glomerular filtration rate (GFR) falls below 60 mL/min/1.73m2.
Administer antiemetics prior to each PEDMARK administration. Provide additional antiemetics and supportive care as appropriate.
The most common adverse reactions (≥25% with difference between arms of >5% compared to cisplatin alone) in SIOPEL 6 were vomiting, nausea, decreased hemoglobin, and hypernatremia. The most common adverse reaction (≥25% with difference between arms of >5% compared to cisplatin alone) in COG ACCL0431 was hypokalemia.
Please see full Prescribing Information for PEDMARK at: www.PEDMARK.com.
(Press release, Fennec Pharmaceuticals, AUG 11, 2026, View Source [SID1234669981])