XBiotech Inc.

For the period ended Mar 31, 2026. Filed May 14, 2026.

About this filing

A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.

Mar 31, 2026 · Filed May 14, 2026

XBIT$1.89+1.1%Stored close · as of Nov 6, 2026

See the whole filing, with its images and exhibits

Contents

Cover page

Show cover page

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

☒	Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

For the quarterly period ended March 31, 2026

☐	Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Commission File Number 001-37347

XBIOTECH INC.

(Exact name of registrant as specified in charter)

British Columbia, Canada	__
(State or other jurisdiction of incorporation or organization)	(IRS Employer Identification No.)

5217 Winnebago Ln, Austin, TX 78744

(Address of principal executive offices)(Zip Code)

Telephone Number (512)386-2900

(Registrant’s telephone number, including Area Code)

Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common Stock, no par value	XBIT	NASDAQ Global Select Market

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.

Yes ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer	☐	Accelerated filer	☐
Non-accelerated filer	☒	Smaller reporting company	☒
		Emerging growth company•	☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes☐ No ☒

As of May 14, 2026, there were 30,487,731 shares of the Registrant's common stock issued and outstanding.

XBIOTECH INC.

THREE MONTHS ENDED MARCH 31, 2026

INDEX

PART I—FINANCIAL INFORMATION
Item 1. · Condensed Consolidated Financial Statements
	Condensed Consolidated Balance Sheets as of March 31, 2026 (unaudited) and December 31, 2025	6
	Condensed Consolidated Statements of Operations for the Three Months Ended March 31, 2026 (unaudited) and 2025 (unaudited)	7
	Condensed Consolidated Statements of Shareholders’ Equity for the Three Months Ended March 31, 2026 (unaudited) and 2025 (unaudited)	8
	Condensed Consolidated Statements of Cash Flows for the Three Months Ended March 31, 2026 (unaudited) and 2025 (unaudited)	9
	Notes to Condensed Consolidated Financial Statements (unaudited)	10
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	16
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	19
Item 4.	Controls and Procedures	19
PART II—OTHER INFORMATION
Item 1.	Risk Factors	20
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	20
Item 3.	Defaults Upon Senior Securities	20
Item 4.	Mine Safety Disclosures	20
Item 5.	Other Information	20
Item 6.	Exhibits	20

SIGNATURES

CAUTIONARY STATEMENTS REGARDING FORWARD-LOOKING STATEMENTS

This Quarterly Report on Form 10-Q contains forward-looking statements, which reflect our current views with respect to, among other things, our operations and financial performance. All statements other than statements of historical facts contained in this Quarterly Report on Form 10-Q are forward-looking statements. You can identify forward-looking statements by terminology such as “may,” “will,” “should,” “would,” “could,” “expects,” “plans,” “contemplate,” “anticipates,” “believes,” “estimates,” “predicts,” “projects,” “intend” or “continue” or the negative of such terms or other comparable terminology, although not all forward-looking statements contain these identifying words. Forward-looking statements are subject to inherent risks and uncertainties in predicting future results and conditions that could cause the actual results to differ materially from those projected in these forward-looking statements. These forward-looking statements include, but are not limited to statements about:

●	our ability to obtain regulatory approval to market and sell our product candidates in the United States, Europe and elsewhere;

●	the initiation, timing, cost, progress and success of our research and development programs, preclinical studies and clinical trials for our product candidates;

●	our ability to advance product candidates into, and successfully complete, clinical trials;

●	our ability to successfully commercialize the sale of our product candidates in the United States, Europe and elsewhere;

●	our ability to recruit sufficient numbers of patients for our future clinical trials for our pharmaceutical products;

●	our ability to achieve profitability;

●	the implementation of our business model and strategic plans;

●	our ability to develop and commercialize product candidates for orphan and niche indications independently;

●	our commercialization, marketing and manufacturing capabilities and strategy;

●	our ability to protect our intellectual property and operate our business without infringing upon the intellectual property rights of others;

●	our expectations regarding federal, state and foreign regulatory requirements;

●	the therapeutic benefits, effectiveness and safety of our product candidates;

●	the accuracy of our estimates of the size and characteristics of the markets that may be addressed by our products and product candidates;

●	the rate and degree of market acceptance and clinical utility of our future products, if any;

●	our expectations regarding market risk, including interest rate changes, foreign currency fluctuations and regional or global economic impacts caused by public health threats, such as the outbreak of coronavirus or other infectious diseases;

●	our ability to engage and retain the employees required to grow our business;

●	our future financial performance and projected expenditures;

●	developments relating to our competitors and our industry, including the success of competing therapies that are or become available; and

●	estimates of our expenses, future revenue, capital requirements and our needs for additional financing.

All forward looking statements in this Quarterly Report on Form 10-Q involve known and unknown risks, uncertainties and other factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by these forward-looking statements. Factors that may cause actual results to differ materially from current expectations include, among other things, those under the heading “Risk Factors” included in our annual report for the year ended December 31, 2025 filed with the SEC on March 13, 2026, and under the heading “Risk Factors” and elsewhere in this Quarterly Report on Form 10-Q. These factors should not be construed as exhaustive and should be read in conjunction with the other cautionary statements that are included in this Quarterly Report on Form 10-Q. Given these uncertainties, you should not place undue reliance on these forward-looking statements. Except as required by law, we assume no obligation to update or revise these forward-looking statements for any reason, even if new information becomes available in the future.

This Quarterly Report on Form 10-Q also contains estimates, projections and other information concerning our industry, our business, and the markets for certain medical conditions, including data regarding the estimated size of those markets, and the incidence and prevalence of certain medical conditions. Information that is based on estimates, forecasts, projections, market research or similar methodologies is inherently subject to uncertainties and actual events or circumstances may differ materially from events and circumstances reflected in this information. Unless otherwise expressly stated, we obtained this industry, business, market and other data from reports, research surveys, studies and similar data prepared by market research firms and other third parties, industry, medical and general publications, government data and similar sources.

Condensed Consolidated Balance Sheets

(in thousands, except share data)

	March 31, 2026	December 31, 2025
(Unaudited)
Assets
Current assets:
Cash and cash equivalents	$115,459	$125,551
Accrued interest receivable	302	360
Prepaid expenses and other current assets	1,288	1,042
Total current assets	117,049	126,953
Property and equipment, net	22,787	23,129
Total assets	$139,836	$150,082
Liabilities and shareholders’ equity
Current liabilities:
Accounts payable	$857	$1,535
Accrued expenses	2,035	6,318
Income tax payable	107	76
Total current liabilities	2,999	7,929
Long-term liabilities:
Income tax payable	1,815	1,798
Deferred tax liability	5	5
Total liabilities	4,819	9,732
Shareholders’ equity:
Preferred stock, no par value, unlimited shares authorized, no shares outstanding	-	-
Common stock, no par value, unlimited shares authorized, 30,487,731 shares issued and outstanding at March 31, 2026 and December 31, 2025	276,899	276,727
Accumulated deficit	(141,882)	(136,377)
Total shareholders’ equity	135,017	140,350
Total liabilities and shareholders’ equity	$139,836	$150,082

See accompanying notes to unaudited condensed consolidated financial statements.

Condensed Consolidated Statements of Operations (unaudited)

(in thousands, except share and per share data)

	Three Months Ended March 31,
	2026	2025
	(unaudited)	(unaudited)
Operating expenses:
Research and development	$5,206	$11,619
General and administrative	1,068	1,931
Total operating expenses	6,274	13,550
Loss from operations	(6,274)	(13,550)
Other income :
Interest income	914	1,504
Interest expense	-	(88)
Other income	1,036	995
Foreign exchange (loss) gain	(1,132)	284
Total other income	818	2,695
Loss before income taxes	(5,456)	(10,855)
Income tax expense	(49)	(29)
Net loss	$(5,505)	$(10,884)
Net loss per share—basic and diluted	$(0.18)	$(0.36)
Shares used to compute basic and diluted net loss per share	30,487,731	30,487,731

Condensed Consolidated Statements of Shareholders' Equity (unaudited)

(in thousands, except share data)

	Number of Shares	Common Stock Amount	Accumulated Deficit	Total
Balance at December 31, 2025	30,487,731	$276,727	$(136,377)	$140,350
Net loss	-	-	(5,505)	(5,505)
Share-based compensation expense	-	172	-	172
Balance at March 31, 2026	30,487,731	$276,899	$(141,882)	$135,017

	Number of Shares	Common Stock Amount	Accumulated Deficit	Total
Balance at December 31, 2024	30,487,731	$273,105	$(90,837)	$182,268
Net loss	-	-	(10,884)	(10,884)
Share-based compensation expense	-	3,329	-	3,329
Balance at March 31, 2025	30,487,731	$276,434	$(101,721)	$174,713

Condensed Consolidated Statements of Cash Flows (unaudited)

(in thousands)

	Three Months Ended March 31,
2026 · 2025
(unaudited) · (unaudited)
Operating activities
Net loss		$(5,505)	$(10,884)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation		332	442
Foreign exchange loss (gain)		1,132	(284)
Share-based compensation expense		172	3,329
Changes in operating assets and liabilities:
Accrued interest receivable		58	220
Prepaid expenses and other current assets		(246)	(118)
Accounts payable		(678)	(1,125)
Accrued expenses		(4,283)	1,671
Income tax payable		49	29
Net cash used in operating activities		(8,969)	(6,720)
Investing activities
Purchase of property and equipment		-	(94)
Permit refund of construction in progress		9	-
Net cash provided by (used in) investing activities		9	(94)
Financing activities
Payment on from convertible loan, related party		-	(10,000)
Payment on convertible loan, third party		-	(250)
Net cash used in financing activities		-	(10,250)
Effect of foreign exchange rate on cash and cash equivalents		(1,132)	284
Net change in cash and cash equivalents		(10,092)	(16,780)
Cash and cash equivalents, beginning of period		125,551	172,677
Cash and cash equivalents, end of period		$115,459	$155,897
Supplemental information:
Cash paid for interest	$	-	$486

Notes to Condensed Consolidated Financial Statements (Unaudited)

ContentsView on SEC.gov

The text of this filing, as the company filed it with the SEC, without its images or exhibits. This is not investment advice.