Key Highlights

● ABVC reported no revenue for the six months ended 30 June 2026.

● Net loss was US$2,500,418 for the six months, with US$1,138,656 of operating cash used.

● Total current assets dropped to US$411,729, leaving a working capital deficit of US$5,282,776.

● A spin-off of BioKey Cayman is under way after its Form 10 became effective.

ABVC BioPharma, Inc. (NASDAQ:ABVC), a Nevada-incorporated company, has common stock with a par value of US$0.001 listed on The Nasdaq Stock Market under the ticker ABVC.

Reported results

All figures are in US dollars and are historical. The company reported no revenue for the six months ended 30 June 2026. Net loss was US$810,481 for the second quarter and US$2,500,418 for the six months; the portion attributable to ABVC was US$736,934 and US$2,297,176 respectively. Net cash used in operating activities over the six months was US$1,138,656.

Liquidity and going-concern warning

The balance sheet is very thin on liquidity. Cash and cash equivalents were US$31,944 at 30 June 2026, compared with US$681,480 at 31 December 2025, and restricted cash fell from US$645,505 to nil. Total current assets dropped to US$411,729 from US$2,501,343, leaving a working capital deficit of US$5,282,776. Total assets were US$19,400,715, total liabilities were US$7,131,155 and total equity was US$12,269,560.

The filing states that these conditions give rise to substantial doubt about the company's ability to continue as a going concern. In the six months, financing included US$319,492 from a private offering, US$102,000 from warrant exercises and US$153,835 of net related-party financing, while US$691,299 of short-term loans were repaid. Third-party convertible notes stood at US$559,010, related-party convertible notes at US$240,000, and short-term bank and other loans at US$59,462.

Licensing background

On 12 November 2023, ABVC and its Taiwanese affiliate BioLite each signed a multi-year global licence with AiBtl for central nervous system products aimed at major depressive disorder and attention deficit hyperactivity disorder. According to the filing, each licence carries US$3.5 million in committed consideration and royalties of 5 per cent of net sales, up to US$100 million. In its May 2025 release, the company also said it had three licensing partnerships in the United States and Asia, and cited potential milestone and royalty payments of up to US$660 million. Those are management statements about potential, not amounts received, and the 10-Q reports no revenue for the first half of 2026.

Corporate actions and next steps

Two developments are disclosed. First, land in Puli, Taiwan was transferred and registered to Yun Zhi Yi Co., Ltd. on 20 July 2026. Second, a spin-off of BioKey Cayman is under way: its Form 10 registration became effective on 25 June 2026, and ABVC planned to distribute roughly 4,500,000 BioKey Cayman shares, about 15 per cent, to its shareholders.

Nasdaq compliance history

In May 2025 the company announced that it had regained compliance with Nasdaq Listing Rule 5550(a)(2), the US$1.00 minimum bid price requirement, after its shares closed at or above that level for ten consecutive trading days.

Licensing Promises Against Minimal Cash and Small Placements

ABVC illustrates the typical tension for micro-cap drug developers: licensing agreements promise future income, while present cash is minimal and funding depends on small placements, warrants and related-party support. The outcome therefore turns on whether milestone payments materialise, whether the spin-off proceeds, and whether further capital can be raised on acceptable terms.