ENDRA Life Sciences Inc. (NDRA) - 10-K Summary
Business Context and Reporting Period
Reporting Period: Fiscal Year Ended December 31, 2025.
Company Profile: ENDRA Life Sciences Inc. is developing Thermo-Acoustic Enhanced Ultrasound (TAEUS) technology, a non-invasive platform for assessing liver fat to manage metabolic diseases (MASLD/MASH). The company targets pharmaceutical companies, CROs, and primary care networks.
Strategic Shift: In 2025, the company launched a Digital Asset Treasury (DAT) strategy, investing in decentralized finance (DeFi) assets (specifically HYPE tokens) to generate non-dilutive returns. In early 2026, the Board initiated a review of strategic alternatives, including potential mergers or asset sales.
Key Financial Metrics
| Metric | 2025 | 2024 |
|---|---|---|
| Revenue | $0 | $0 |
| Net Loss | $(7,027,410) | $(11,507,947) |
| Operating Expenses | $5,763,101 | $10,817,147 |
| Cash and Cash Equivalents (End of Period) | $762,365 | $3,229,480 |
| Digital Assets (Fair Value) | $2,009,960 | $0 |
| Accumulated Deficit | $(110,465,509) | $(103,438,099) |
| Stockholders' Equity | $2,260,120 | $2,560,366 |
Liquidity: The company reported a cash balance of $762,365 as of December 31, 2025. Management has raised substantial doubt about the company's ability to continue as a going concern without additional financing.
Material Changes vs. Prior Period
- Expense Reduction: Total operating expenses decreased by 47% to $5.76 million, driven by a $2.53 million inventory reserve recorded in 2024 that was not repeated in 2025, and significant reductions in R&D and Sales & Marketing headcount.
- Digital Asset Volatility: The company purchased $3.0 million in digital assets in late 2025. Due to market fluctuations, these assets were marked down to $2.01 million, resulting in a $995,161 unrealized loss recognized in 2025.
- Regulatory Status: The FDA closed the company's original De Novo application in April 2024. Due to cost-cutting measures, the company has halted clinical activities required for a new submission, delaying FDA approval timelines.
- Capital Structure: The company completed a private placement in October 2025 raising approximately $4.5 million and utilized At-The-Market (ATM) offerings to raise additional capital.
Outlook, Risks, and Management Commentary
- Strategic Alternatives: As of March 2026, the Board is evaluating strategic alternatives (mergers, asset sales, etc.) to maximize shareholder value. There is no guarantee a transaction will occur.
- Going Concern: The company requires immediate additional capital to fund operations. Failure to secure financing could lead to insolvency or liquidation.
- Digital Asset Risks: The DAT strategy introduces significant volatility to financial results due to crypto price fluctuations and regulatory uncertainty regarding the classification of digital assets.
- Nasdaq Compliance: Stockholders' equity fell below the $2.5 million minimum requirement for Nasdaq listing. While a private placement temporarily restored compliance, the company expects to receive a delisting determination and intends to request a hearing.
- Internal Controls: Management identified a material weakness in internal controls over financial reporting due to insufficient personnel to segregate duties.
Investor Verification Checklist
- Cash Runway: Verify the sufficiency of the $762k cash balance against current burn rates and the timeline for the strategic alternatives review.
- Digital Asset Valuation: Confirm the current fair value of HYPE holdings and the impact of recent sales (subsequent events noted $150k sales in Feb/March 2026) on liquidity.
- Nasdaq Status: Monitor the outcome of the hearing regarding the Minimum Stockholders' Equity requirement to assess delisting risk.
- Regulatory Path: Assess the feasibility of restarting clinical trials for the TAEUS liver device given the current lack of funding and halted activities.
- Strategic Transaction: Track progress on the evaluation of strategic alternatives to determine if a merger or sale is imminent.