6-K
MediWound Ltd. (MDWD)
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549______________________
FORM 6-K
REPORT OF FOREIGN PRIVATE ISSUER
Pursuant to Rule 13a-16 or 15d-16 of theSecurities Exchange Act of 1934
For the month of August 2025
Commission File Number: 001-36349
MediWound Ltd.(Translation of registrant’s name into English)
42 Hayarkon Street
Yavne, 8122745 Israel
(Address of principal executive offices)
Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F.
Form 20-F ☒ Form 40-F ☐
CONTENTS
Results of Operations and Financial Condition— Quarter and Six Months Ended June 30, 2025
On August 14, 2025, MediWound Ltd. (“MediWound” or the “Company”) issued a press release entitled “MediWound Reports Second Quarter 2025 Financial Results and Provides Company Updates,” in which MediWound reported its results of operations. A copy of that press release is attached to this Report of Foreign Private Issuer on Form 6-K (this “Form 6-K”) as Exhibit 99.1.
Attached hereto, as Exhibit 99.2 to this Form 6-K, is MediWound's financial statements, as of, and for the quarter and six months ended on, June 30, 2025.
Attached hereto as Exhibit 101 are the financial statements of MediWound as of, and for the quarter and six months ended on, June 30, 2025, formatted in XBRL (eXtensible Business Reporting Language), consisting of the sub-exhibits listed in the exhibit table below.
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Exhibits
| Exhibit | |
|---|---|
| Number | Exhibit Description |
| 99.1 | Press release reporting MediWound’s financial results |
| 99.2 | Financial statements, as of, and for the quarter and six months ended on, June 30, 2025 |
| EX-101.INS | XBRL Taxonomy Instance Document |
| EX-101.SCH | XBRL Taxonomy Extension Schema Document |
| EX-101.CAL | XBRL Taxonomy Calculation Linkbase Document |
| EX-101.DEF | XBRL Taxonomy Extension Definition Linkbase Document |
| EX-101.LAB | XBRL Taxonomy Label Linkbase Document |
| EX-101.PRE | XBRL Taxonomy Presentation Linkbase Document |
Incorporation by Reference
The contents of this Report of Foreign Private Issuer on Form 6-K (including the information contained in Exhibits 99.1 and 99.2, but excluding quotes of senior management of the Company), are hereby incorporated by reference into the Company’s Registration Statements on Form S-8 filed with the SEC on April 28, 2014, March 24, 2016, March 19, 2018, March 25, 2019, February 25, 2020, May 5, 2021, August 9, 2022 , August 15, 2023, and March 19, 2025 (Registration Nos. No. 333-195517, 333-210375, 333-223767, 333-230487, 333-236635, 333-255784, 333-266697, 333-273997 and 333-285897, respectively) and on Form F-3 filed with the SEC on March 31, 2023, August 29, 2024 and March 19, 2025 (Registration Nos. 333-268297, 333-281843 and 333-285908, respectively).
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SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
| Date: August 14, 2025 | MEDIWOUND LTD.<br><br> <br><br><br> <br>By: /s/ Hani Luxenburg<br><br> <br>Name: Hani Luxenburg<br><br> <br>Title: Chief Financial Officer |
|---|
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Exhibit 99.1
MediWound Reports Second Quarter 2025 Financial Results and Provides Corporate Update
VALUE Phase III Trial of EscharEx^®^ in Venous Leg Ulcers Continues to Enroll Patients
NexoBrid^®^ Manufacturing Expansion on Track; Full Operational Capacity Expected by Year-End 2025
Additional Strategic Research Collaborations Established with Essity and Convatec
Second Quarter 2025 Revenue of $5.7 Million, Up 43% from Prior Quarter
Conference Call Today, August 14, 2025, at 8:30am Eastern Time
YAVNE, Israel, August 14, 2025 -- MediWound Ltd. (Nasdaq: MDWD), a global leader in next-generation enzymatic therapeutics for tissue repair, today announced financial results for the second quarter ended June 30, 2025, and provided a corporate update.
“We continue to execute across our clinical, commercial, and operational objectives,” said Ofer Gonen, Chief Executive Officer of MediWound. “The VALUE Phase III trial of EscharEx^®^ is actively recruiting patients, and with the addition of Convatec and Essity to our clinical partnerships, we are now collaborating with all relevant leading global wound care companies. In the U.S., NexoBrid^®^ is gaining commercial traction, and our manufacturing expansion remains on track to meet the anticipated growth in demand. The solid progress in the first half of 2025 reinforces our confidence in our long-term strategy and our commitment to value creation.
Second Quarter 2025 Highlights, Recent Developments, and Upcoming Milestones:
EscharEx^®^
| • | Enrollment in the global VALUE Phase III study for the treatment of venous leg ulcers (VLUs) is ongoing. The trial aims to enroll 216 patients across 40 sites in the U.S. and Europe. Interim sample size assessment is planned for<br> mid-2026, after 65% of patients complete treatment. |
|---|---|
| • | Established new collaborations with Essity and Convatec to support EscharEx trials. The VALUE Phase III VLU trial now includes JOBST^®^, a leading medical compression therapy brand, while the planned DFU trial will incorporate<br> AQUACEL^®^, a market-leading wound dressing. These partnerships complement the existing ones with Solventum, Mölnlycke, Kerecis, and MIMEDX, reflecting strong industry recognition of EscharEx’s clinical value and potential. |
| --- | --- |
| • | Published a post-hoc analysis of new data from the EscharEx Phase II trial in Advances in Wound Care, a peer-reviewed journal, providing clinical evidence that wound bed preparation is a<br> key predictor of healing in venous leg ulcers. |
| --- | --- |
NexoBrid^®^
| • | U.S. adoption continues to grow. Vericel, MediWound’s exclusive U.S. commercial partner, reported 52% year-over-year revenue growth for NexoBrid in the second quarter, supported by increases in both hospital unit orders and the number of<br> ordering centers. |
|---|
| • | Commissioning of MediWound’s expanded manufacturing facility—engineered to increase NexoBrid production capacity six-fold—remains on track, with full operational readiness anticipated by year-end 2025. Regulatory review will determine<br> commercial availability timelines. |
|---|---|
| • | As part of a BARDA-funded initiative, planning continues for future U.S.-based manufacturing to support global demand. |
| --- | --- |
| • | Received an additional $3.6 million in funding from the U.S. Department of Defense (DoD) to advance development of a room temperature-stable formulation of NexoBrid. The supplemental funding will support expanded CMC activities,<br> enhancement of in-house manufacturing capabilities, and initial preparations for a clinical trial. |
| --- | --- |
Second Quarter 2025 Financial Highlights
| • | Revenue for the second quarter of 2025 increased to $5.7 million, compared to $5.1 million in the same period of 2024. |
|---|---|
| • | Gross profit totaled $1.3 million, or 23.5% of total revenue, compared to $0.4 million, or 8.8% of total revenue, in the prior-year period. The margin improvement reflects a more favorable revenue<br> mix. |
| --- | --- |
| • | Research and development expenses were $3.5 million, compared to $1.9 million a year ago, driven by increased investment in the EscharEx VALUE Phase III trial and related clinical activities. |
| --- | --- |
| • | Selling, general and administrative expenses were $3.6 million, compared to $3.0 million in the second quarter of 2024, primarily due to higher share-based compensation expenses. |
| --- | --- |
| • | Operating loss was $5.7 million, compared to $4.5 million in the same period last year. |
| --- | --- |
| • | Net loss was $13.3 million, or $1.23 per share, compared to $6.3 million, or $0.68 per share, in the second quarter of 2024. The year-over-year increase was primarily driven by $6.6 million in<br> non-cash financial expenses in the second quarter of 2025, related to the revaluation of warrants. |
| --- | --- |
| • | Non-GAAP Adjusted EBITDA loss was $4.5 million, compared to a loss of $3.4 million in the prior-year quarter. |
| --- | --- |
Year-to-Date 2025 Financial Highlights
| • | Revenue for the first half of 2025 was $9.7 million, compared to $10.0 million in the same period of 2024. The decrease primarily reflects lower BARDA-funded development services revenue as<br> NexoBrid development nears completion. |
|---|---|
| • | Gross profit totaled $2.1 million, or 21.5% of total revenue, compared to $1.1 million, or 10.5% of total revenue, in the first half of 2024. The margin improvement reflects a more favorable<br> revenue mix. |
| --- | --- |
| • | Research and development expenses were $6.4 million, compared to $3.4 million in the same period of 2024, reflecting increased investment in the EscharEx VALUE Phase III trial and related clinical<br> activities. |
| --- | --- |
| • | Selling, general and administrative expenses were $6.6 million, compared to $5.9 million in the first half of 2024, primarily due to higher share-based compensation expenses. |
| --- | --- |
| • | Operating loss was $10.9 million, compared to $8.2 million in the same period of 2024. |
| --- | --- |
| • | Net loss was $14.0 million, or $1.30 per share, compared to $16.0 million, or $1.73 per share, in the first half of 2024. |
|---|---|
| • | Non-GAAP Adjusted EBITDA loss was $8.5 million, compared to a loss of $6.2 million in the same period of 2024. |
| --- | --- |
Balance Sheet Highlights
As of June 30, 2025, MediWound had cash, cash equivalents, and short-term deposits of $32.9 million, compared to $43.6 million as of December 31, 2024. During the first half of 2025, the Company used $11.9 million to fund operations, including $2.3 million in capital expenditures primarily related to manufacturing scale-up. MediWound received $0.7 million in proceeds from the exercise of Series A warrants during the quarter, with an additional $1.8 million received after quarter-end.
Conference Call and Webcast
MediWound management will host a conference call for investors on Thursday, August 14, 2025, beginning at 8:30 a.m., Eastern Time to discuss these results and answer questions. Shareholders and other interested parties may participate in the conference call by dialing 1-844-676-8833 (in the U.S.), 1-80-921-2373 (Israel), or 1-412-634-6869 (outside the U.S. & Israel). The call will be available via webcast by clicking HERE or on the Events & Presentations page of Company’s website.
A replay of the call will be available on the Company’s website at www.mediwound.com
Non-IFRS Financial Measures
To supplement consolidated financial statements prepared and presented in accordance with IFRS, the Company has provided a supplementary non-IFRS measure to consider in evaluating the Company’s performance. Management uses Adjusted EBITDA, which it defines as earnings before interest, taxes, depreciation and amortization, impairment, one-time expenses, restructuring and share-based compensation expenses.
Although Adjusted EBITDA is not a measure of performance or liquidity calculated in accordance with IFRS, we believe the non-IFRS financial measures we present provide meaningful supplemental information regarding our operating results primarily because they exclude certain non-cash charges or items that we do not believe are reflective of our ongoing operating results when budgeting, planning and forecasting and determining compensation, and when assessing the performance of our business with our senior management. However, investors should not consider these measures in isolation or as substitutes for operating income, cash flows from operating activities or any other measure for determining the Company’s operating performance or liquidity that is calculated in accordance with IFRS. In addition, because Adjusted EBITDA is not calculated in accordance with IFRS, it may not necessarily be comparable to similarly titled measures employed by other companies. The non-IFRS measures included in this press release have been reconciled to the IFRS results in the tables below.
About MediWound
MediWound Ltd. (Nasdaq: MDWD) is a global biotechnology company focused on developing and commercializing enzymatic therapies for non-surgical tissue repair. The company’s FDA-approved biologic, NexoBrid^®^, is indicated for the enzymatic removal of eschar in thermal burns and is marketed in the U.S., European Union, Japan, and other international markets. MediWound is also advancing EscharEx^®^, a late-stage investigational therapy for the debridement of chronic wounds. EscharEx has demonstrated clinical advantages over the leading enzymatic debridement product and targets a substantial global market opportunity.
For more information visit www.mediwound.com and follow us on LinkedIn.
Cautionary Note Regarding Forward-Looking Statements
MediWound cautions you that all statements other than statements of historical fact included in this press release that address activities, events, or developments that we expect, believe, or anticipate will or may occur in the future are forward-looking statements. Although we believe that we have a reasonable basis for the forward-looking statements contained herein, they are based on current expectations about future events affecting us and are subject to risks, assumptions, uncertainties, and factors, all of which are difficult to predict and many of which are beyond our control. Actual results may differ materially from those expressed or implied by the forward-looking statements in this press release. These statements are often, but are not always, made through the use of words or phrases such as “anticipates,” “intends,” “estimates,” “plans,” “expects,” “continues,” “believe,” “guidance,” “outlook,” “target,” “future,” “potential,” “goals” and similar words or phrases, or future or conditional verbs such as “will,” “would,” “should,” “could,” “may,” or similar expressions.
Specifically, this press release contains forward-looking statements concerning the anticipated progress, development, study design, expected data timing, objectives anticipated timelines, expectations and commercial potential of our products and product candidates, including EscharEx® and NexoBrid®. Among the factors that may cause results to be materially different from those stated herein are the inherent uncertainties associated with the uncertain, lengthy and expensive nature of the product development process; the timing and conduct of our studies of our products and product candidates, including the timing, progress and results of current and future clinical studies, and our research and development programs; the approval of regulatory submission by the FDA, the European Medicines Agency or by any other regulatory authority, our ability to obtain marketing approval of our products and product candidates in the U.S. or other markets; the clinical utility, potential advantages and timing or likelihood of regulatory filings and approvals of our products and products; our expectations regarding future growth, including our ability to develop new products; market acceptance of our products and product candidates; our ability to maintain adequate protection of our intellectual property; competition risks; the need for additional financing; the impact of government laws and regulations and the impact of the current global macroeconomic climate on our ability to source supplies for our operations or our ability or capacity to manufacture, sell and support the use of our products and product candidates in the future.
These and other significant factors are discussed in greater detail in MediWound’s annual report on Form 20-F for the year ended December 31, 2024, filed with the Securities and Exchange Commission (“SEC”) on March 19, 2025 and Quarterly Reports on Form 6-K and other filings with the SEC from time-to-time. These forward-looking statements reflect MediWound’s current views as of the date hereof and MediWound undertakes, and specifically disclaims, any obligation to update any of these forward-looking statements to reflect a change in their respective views or events or circumstances that occur after the date of this release except as required by law.
| MediWound Contacts:<br><br> <br>Hani Luxenburg<br><br> <br>Chief Financial Officer<br><br> <br>MediWound Ltd.<br><br> <br>ir@mediwound.com | Daniel Ferry<br><br> <br>Managing Director<br><br> <br>LifeSci Advisors, LLC<br><br> <br>daniel@lifesciadvisors.com | Media Contact:<br><br> <br>Ellie Hanson<br><br> FINN Partners for MediWound<br><br> <br>ellie.hanson@finnpartners.com<br><br> <br>+1-929-588-2008 |
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MediWound, Ltd.
Unaudited Condensed Consolidated Statements of Financial Position
U.S. dollars in thousands
| June 30, | December 31, | |||||
|---|---|---|---|---|---|---|
| 2025 | 2024 | 2024 | ||||
| CURRENT ASSTS: | ||||||
| Cash and cash equivalents and short-term deposits | 32,436 | 29,215 | 43,161 | |||
| Trade and other receivable | 6,800 | 4,888 | 6,310 | |||
| Inventories | 3,843 | 3,210 | 2,692 | |||
| Total current assets | 43,079 | 37,313 | 52,163 | |||
| NON-CURRENT ASSETS: | ||||||
| Other receivables and long-term restricted bank deposits | 490 | 691 | 439 | |||
| Property, plant and equipment | 15,724 | 12,308 | 14,132 | |||
| Right of use assets | 7,642 | 6,852 | 6,663 | |||
| Intangible assets | 66 | 132 | 99 | |||
| Total non-current assets | 23,922 | 19,983 | 21,333 | |||
| Total assets | 67,001 | 57,296 | 73,496 | |||
| CURRENT LIABILITIES: | ||||||
| Current maturities of long-term liabilities | 822 | 1,496 | 612 | |||
| Warrants | 18,992 | 14,902 | 17,092 | |||
| Trade payables and accrued expenses | 5,880 | 2,745 | 5,281 | |||
| Other payables | 3,377 | 3,468 | 3,556 | |||
| Total current liabilities | 29,071 | 22,611 | 26,541 | |||
| NON- CURRENT LIABILITIES: | ||||||
| Grants received in advance | 758 | - | 736 | |||
| Liabilities in respect of IIA grants | 8,504 | 8,009 | 8,149 | |||
| Liabilities in respect of TEVA | - | 1,962 | - | |||
| Lease liabilities | 8,070 | 6,355 | 6,513 | |||
| Severance pay liability, net | 479 | 490 | 404 | |||
| Total non-current liabilities | 17,811 | 16,816 | 15,802 | |||
| Total liabilities | 46,882 | 39,427 | 42,343 | |||
| Shareholders' equity | 20,119 | 17,869 | 31,153 | |||
| Total liabilities and equity | 67,001 | 57,296 | 73,496 |
MediWound, Ltd.
Unaudited Condensed Consolidated Statements of Profit or Loss and Other Comprehensive Income or Loss
U.S. dollars in thousands (except of share and per share data)
| Six months ended | Three months ended | Year ended | |||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| June 30, | June 30, | December 31, | |||||||||||||
| 2025 | 2024 | 2025 | 2024 | 2024 | |||||||||||
| Total revenues | 9,663 | 10,027 | 5,708 | 5,063 | 20,222 | ||||||||||
| Cost of revenues | 7,583 | 8,973 | 4,366 | 4,616 | 17,588 | ||||||||||
| Gross profit | 2,080 | 1,054 | 1,342 | 447 | 2,634 | ||||||||||
| Research and development | 6,377 | 3,368 | 3,491 | 1,898 | 8,878 | ||||||||||
| Selling and marketing | 2,749 | 2,403 | 1,462 | 1,224 | 4,936 | ||||||||||
| General and administrative | 3,891 | 3,501 | 2,105 | 1,809 | 8,202 | ||||||||||
| Other expenses | 4 | - | - | - | 18 | ||||||||||
| Operating loss | (10,941 | ) | (8,218 | ) | (5,716 | ) | (4,484 | ) | (19,400 | ) | |||||
| Financing expenses, net | (3,060 | ) | (7,794 | ) | (7,564 | ) | (1,823 | ) | (10,763 | ) | |||||
| Taxes on income | (43 | ) | (22 | ) | (38 | ) | 2 | (61 | ) | ||||||
| Net loss | (14,044 | ) | (16,034 | ) | (13,318 | ) | (6,305 | ) | (30,224 | ) | |||||
| Foreign currency translation adjustments | (10 | ) | 10 | (11 | ) | 2 | 7 | ||||||||
| Total comprehensive loss | (14,054 | ) | (16,024 | ) | (13,329 | ) | (6,303 | ) | (30,217 | ) | |||||
| Basic and diluted net loss per share | (1.30 | ) | (1.73 | ) | (1.23 | ) | (0.68 | ) | (3.03 | ) | |||||
| Number of shares used in calculating basic and diluted loss per share | 10,816,990 | 9,256,862 | 10,835,251 | 9,279,370 | 9,959,723 |
MediWound Ltd.
Unaudited Condensed Consolidated Statements of Cash Flows
U.S. dollars in thousands
| Six months ended | Three months ended | Year Ended | |||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| June 30, | June 30, | December 31, | |||||||||||||
| 2025 | 2024 | 2025 | 2024 | 2024 | |||||||||||
| Cash flows from operating activities: | |||||||||||||||
| Net loss | (14,044 | ) | (16,034 | ) | (13,318 | ) | (6,305 | ) | (30,224 | ) | |||||
| Adjustments to reconcile net loss to net cash used in operating activities: | |||||||||||||||
| Adjustments to profit and loss items: | |||||||||||||||
| Depreciation and amortization | 752 | 725 | 394 | 357 | 1,483 | ||||||||||
| Share-based compensation | 1,706 | 1,270 | 862 | 758 | 3,138 | ||||||||||
| Revaluation of warrants accounted at fair value | 2,377 | 8,007 | 6,647 | 1,927 | 10,704 | ||||||||||
| Revaluation of liabilities in respect of IIA grants | 446 | 470 | 203 | 237 | 752 | ||||||||||
| Revaluation of liabilities in respect of TEVA | - | 206 | - | 99 | 770 | ||||||||||
| Financing (income) expenses and exchange differences of lease liability | 943 | 17 | 938 | (11 | ) | 487 | |||||||||
| Increase (decrease) in severance pay liability, net | 75 | 48 | 48 | 13 | (30 | ) | |||||||||
| Other expenses | 4 | - | - | - | 18 | ||||||||||
| Financial income, net | (942 | ) | (918 | ) | (424 | ) | (405 | ) | (2,039 | ) | |||||
| Unrealized foreign currency loss (gain) | (21 | ) | 78 | (6 | ) | 11 | 47 | ||||||||
| 5,340 | 9,903 | 8,662 | 2,986 | 15,330 | |||||||||||
| Changes in asset and liability items: | |||||||||||||||
| Decrease (increase) in trade receivables | (217 | ) | 753 | (1,671 | ) | 876 | (1,141 | ) | |||||||
| Decrease (increase) in inventories | (1,151 | ) | (345 | ) | (263 | ) | 103 | 187 | |||||||
| Decrease (increase) in other receivables | (341 | ) | (574 | ) | 37 | (459 | ) | 120 | |||||||
| Increase (decrease) in trade payables and accrued expenses | 691 | (1,900 | ) | 794 | (530 | ) | 406 | ||||||||
| Increase in grants received in advance | - | - | - | - | 1,181 | ||||||||||
| Increase (decrease) in other payables | (144 | ) | (34 | ) | 3 | (294 | ) | 517 | |||||||
| (1,162 | ) | (2,100 | ) | (1,100 | ) | (304 | ) | 1,270 | |||||||
| Net cash used in operating activities | (9,866 | ) | (8,231 | ) | (5,756 | ) | (3,623 | ) | (13,624 | ) |
MediWound Ltd.
Unaudited Condensed Consolidated Statements of Cash Flows
U.S. dollars in thousands
| Six months ended | Three months ended | Year Ended | |||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| June 30, | June 30, | December 31, | |||||||||||||
| 2025 | 2024 | 2025 | 2024 | 2024 | |||||||||||
| Cash flows from investing activities: | |||||||||||||||
| Purchase of property and equipment | (2,008 | ) | (4,275 | ) | (1,049 | ) | (3,016 | ) | (6,273 | ) | |||||
| Interest received | 585 | 1,127 | 319 | 522 | 2,252 | ||||||||||
| Proceeds from (investment in) short-term bank deposits, net | 2,985 | 4,209 | 5,635 | 5,339 | (4,376 | ) | |||||||||
| Net cash provided by (used in) investing activities | 1,562 | 1,061 | 4,905 | 2,845 | (8,397 | ) | |||||||||
| Cash flows from financing activities: | |||||||||||||||
| Repayment of leases liabilities | (537 | ) | (458 | ) | (289 | ) | (214 | ) | (928 | ) | |||||
| Proceeds from exercise of warrants and share options | 838 | 610 | 838 | 111 | 1,210 | ||||||||||
| Proceeds from issuance of shares | - | - | - | - | 22,165 | ||||||||||
| Repayment of IIA grants | (114 | ) | (120 | ) | - | - | (219 | ) | |||||||
| Repayment of liabilities in respect of TEVA | - | (834 | ) | - | - | (2,834 | ) | ||||||||
| Net cash provided by (used in) financing activities | 187 | (802 | ) | 549 | (103 | ) | 19,394 | ||||||||
| Exchange rate differences on cash and cash equivalent balances | 21 | (104 | ) | 2 | (15 | ) | (84 | ) | |||||||
| Decrease in cash and cash equivalents | (8,096 | ) | (8,076 | ) | (300 | ) | (896 | ) | (2,711 | ) | |||||
| Balance of cash and cash equivalents at the beginning of the period | 9,155 | 11,866 | 1,359 | 4,686 | 11,866 | ||||||||||
| Balance of cash and cash equivalents at the end of the period | 1,059 | 3,790 | 1,059 | 3,790 | 9,155 |
MediWound Ltd.
Adjusted EBITDA
U.S. dollars in thousands
| Six months ended | Three months ended | Year Ended | |||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| June 30, | June 30, | December 31, | |||||||||||||
| 2025 | 2024 | 2025 | 2024 | 2024 | |||||||||||
| Net loss | (14,044 | ) | (16,034 | ) | (13,318 | ) | (6,305 | ) | (30,224 | ) | |||||
| Adjustments: | |||||||||||||||
| Financing expenses, net | (3,060 | ) | (7,794 | ) | (7,564 | ) | (1,823 | ) | (10,763 | ) | |||||
| Other expenses, net | (4 | ) | - | - | - | (18 | ) | ||||||||
| Taxes on income | (43 | ) | (22 | ) | (38 | ) | 2 | (61 | ) | ||||||
| Depreciation and amortization | (752 | ) | (725 | ) | (394 | ) | (357 | ) | (1,483 | ) | |||||
| Share-based compensation expenses | (1,706 | ) | (1,270 | ) | (862 | ) | (758 | ) | (3,138 | ) | |||||
| Total adjustments | (5,565 | ) | (9,811 | ) | (8,858 | ) | (2,936 | ) | (15,463 | ) | |||||
| Adjusted EBITDA | (8,479 | ) | (6,223 | ) | (4,460 | ) | (3,369 | ) | (14,761 | ) |
MediWound Ltd. - 1593984 - 2025
Exhibit 99.2
MEDIWOUND LTD. AND ITS SUBSIDIARIES
CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS
AS OF JUNE 30, 2025
IN U.S. DOLLARS IN THOUSANDS
UNAUDITED
INDEX
| Page | |
|---|---|
| Unaudited Condensed Interim Consolidated Statements of Financial Position | F-2 |
| Unaudited Condensed Interim Consolidated Statements of Profit or Loss and Other Comprehensive Income or Loss | F-3 |
| Unaudited Condensed Interim Consolidated Statements of Changes in Shareholders’ Equity | F-4 – F-5 |
| Unaudited Condensed Interim Consolidated Statements of Cash Flows | F-6 – F-7 |
| Notes to Unaudited Condensed Interim Consolidated Financial Statements | F-8 – F-11 |
MEDIWOUND LTD. AND ITS SUBSIDIARIES
Unaudited Condensed Interim Consolidated Statements of Financial Position
U.S. dollars in thousands
| June 30, | December 31, | ||||||||
|---|---|---|---|---|---|---|---|---|---|
| 2025 | 2024 | 2024 | |||||||
| Cash and cash equivalents | 1,059 | 3,790 | 9,155 | ||||||
| Short-term bank deposits | 31,377 | 25,425 | 34,006 | ||||||
| Trade receivables | 5,012 | 2,922 | 4,800 | ||||||
| Inventories | 3,843 | 3,210 | 2,692 | ||||||
| Other receivables | 1,788 | 1,966 | 1,510 | ||||||
| Total current assets | 43,079 | 37,313 | 52,163 | ||||||
| Other receivables | 37 | 238 | - | ||||||
| Long-term restricted bank deposits | 453 | 453 | 439 | ||||||
| Property, plant and equipment | 15,724 | 12,308 | 14,132 | ||||||
| Right-of-use assets | 7,642 | 6,852 | 6,663 | ||||||
| Intangible assets | 66 | 132 | 99 | ||||||
| Total non-current assets | 23,922 | 19,983 | 21,333 | ||||||
| Total assets | 67,001 | 57,296 | 73,496 | ||||||
| Current maturities of long-term liabilities | 822 | 1,496 | 612 | ||||||
| Warrants | 18,992 | 14,902 | 17,092 | ||||||
| Trade payables and accrued expenses | 5,880 | 2,745 | 5,281 | ||||||
| Other payables | 3,377 | 3,468 | 3,556 | ||||||
| Total current liabilities | 29,071 | 22,611 | 26,541 | ||||||
| Grants received in advance | 758 | - | 736 | ||||||
| Liabilities in respect of IIA grants | 8,504 | 8,009 | 8,149 | ||||||
| Liabilities in respect of TEVA | - | 1,962 | - | ||||||
| Lease liabilities | 8,070 | 6,355 | 6,513 | ||||||
| Severance pay liability, net | 479 | 490 | 404 | ||||||
| Total non-current liabilities | 17,811 | 16,816 | 15,802 | ||||||
| Total liabilities | 46,882 | 39,427 | 42,343 | ||||||
| Shareholders' equity: | |||||||||
| Ordinary shares of NIS 0.07 par value: | |||||||||
| Authorized: 20,000,000 shares as of June 30, 2025; December 31, 2024 and June 30, 2024; Issued and Outstanding: 10,875,631 as of June 30, 2025; 10,793,057 as of December 31, 2024 and 9,286,252 as of June 30, 2024 | 216 | 186 | 215 | ||||||
| Share premium | 239,014 | 208,547 | 235,995 | ||||||
| Foreign currency translation adjustments | (21 | ) | (8 | ) | (11 | ) | |||
| Accumulated deficit | (219,090 | ) | (190,856 | ) | (205,046 | ) | |||
| Total equity | 20,119 | 17,869 | 31,153 | ||||||
| Total liabilities and equity | 67,001 | 57,296 | 73,496 |
The accompanying notes are an integral part of the interim financial statements.
F - 2
MEDIWOUND LTD. AND ITS SUBSIDIARIES
Unaudited Condensed Interim Consolidated Statements of Profit or Loss and Other Comprehensive Income or Loss
U.S. dollars in thousands (except of share and per share data)
| Six months ended<br><br> <br>June 30, | Three months ended<br><br> <br>June 30, | Year ended<br><br> <br>December 31, | |||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 2025 | 2024 | 2025 | 2024 | 2024 | |||||||||||
| Revenues from sale of products | 3,162 | 3,202 | 1,754 | 1,506 | 6,832 | ||||||||||
| Revenues from development services | 6,314 | 6,727 | 3,874 | 3,504 | 13,135 | ||||||||||
| Revenues from license agreements and royalties | 187 | 98 | 80 | 53 | 255 | ||||||||||
| Total revenues | 9,663 | 10,027 | 5,708 | 5,063 | 20,222 | ||||||||||
| Cost of revenues from sale of products | 2,412 | 3,144 | 1,302 | 1,558 | 6,440 | ||||||||||
| Cost of revenues from development services | 5,156 | 5,821 | 3,056 | 3,055 | 11,128 | ||||||||||
| Cost of revenues from license agreements and royalties | 15 | 8 | 8 | 3 | 20 | ||||||||||
| Total cost of revenues | 7,583 | 8,973 | 4,366 | 4,616 | 17,588 | ||||||||||
| Gross profit | 2,080 | 1,054 | 1,342 | 447 | 2,634 | ||||||||||
| Research and development | 6,377 | 3,368 | 3,491 | 1,898 | 8,878 | ||||||||||
| Selling and marketing | 2,749 | 2,403 | 1,462 | 1,224 | 4,936 | ||||||||||
| General and administrative | 3,891 | 3,501 | 2,105 | 1,809 | 8,202 | ||||||||||
| Other expenses | 4 | - | - | - | 18 | ||||||||||
| Total operating expenses | 13,021 | 9,272 | 7,058 | 4,931 | 22,034 | ||||||||||
| Operating loss | (10,941 | ) | (8,218 | ) | (5,716 | ) | (4,484 | ) | (19,400 | ) | |||||
| Financial income | 925 | 1,171 | 429 | 582 | 2,048 | ||||||||||
| Financial expenses | (3,985 | ) | (8,965 | ) | (7,993 | ) | (2,405 | ) | (12,811 | ) | |||||
| Financing expenses, net | (3,060 | ) | (7,794 | ) | (7,564 | ) | (1,823 | ) | (10,763 | ) | |||||
| Loss before taxes on income | (14,001 | ) | (16,012 | ) | (13,280 | ) | (6,307 | ) | (30,163 | ) | |||||
| Taxes on income | (43 | ) | (22 | ) | (38 | ) | 2 | (61 | ) | ||||||
| Net loss | (14,044 | ) | (16,034 | ) | (13,318 | ) | (6,305 | ) | (30,224 | ) | |||||
| Other comprehensive income (loss): | |||||||||||||||
| Foreign currency translation adjustments | (10 | ) | 10 | (11 | ) | 2 | 7 | ||||||||
| Total comprehensive loss | (14,054 | ) | (16,024 | ) | (13,329 | ) | (6,303 | ) | (30,217 | ) | |||||
| Loss per share data: | |||||||||||||||
| Basic and diluted net loss per share | (1.30 | ) | (1.73 | ) | (1.23 | ) | (0.68 | ) | (3.03 | ) | |||||
| Number of shares used in calculating basic and diluted loss per share | 10,816,990 | 9,256,862 | 10,835,251 | 9,279,370 | 9,959,723 |
The accompanying notes are an integral part of the interim consolidated financial statements.
F - 3
MEDIWOUND LTD. AND ITS SUBSIDIARIES
Unaudited Condensed Interim Consolidated Statements of Changes in Shareholders’ Equity
U.S. dollars in thousands
| Share capital | Share premium | Foreign currency translation reserve | Accumulated<br><br> <br>deficit | Total<br><br> <br>equity | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Balance as of April 1, 2025 | 215 | 236,839 | (10 | ) | (205,772 | ) | 31,272 | ||||||
| Loss for the period | - | - | - | (13,318 | ) | (13,318 | ) | ||||||
| Other comprehensive loss | - | - | (11 | ) | - | (11 | ) | ||||||
| Total comprehensive loss | - | - | (11 | ) | (13,318 | ) | (13,329 | ) | |||||
| Exercise of options and warrants | 1 | 1,313 | - | - | 1,314 | ||||||||
| Share-based compensation | - | 862 | - | - | 862 | ||||||||
| Balance as of June 30, 2025 (unaudited) | 216 | 239,014 | (21 | ) | (219,090 | ) | 20,119 | ||||||
| Balance as of April 1, 2024 | 185 | 207,575 | (10 | ) | (184,551 | ) | 23,199 | ||||||
| Loss for the period | - | - | - | (6,305 | ) | (6,305 | ) | ||||||
| Other comprehensive income | - | - | 2 | - | 2 | ||||||||
| Total comprehensive income (loss) | - | - | 2 | (6,305 | ) | (6,303 | ) | ||||||
| Exercise of options and warrants | 1 | 214 | - | - | 215 | ||||||||
| Share-based compensation | - | 758 | - | - | 758 | ||||||||
| Balance as of June 30, 2024 (unaudited) | 186 | 208,547 | (8 | ) | (190,856 | ) | 17,869 |
The accompanying notes are an integral part of the interim consolidated financial statements.
F - 4
MEDIWOUND LTD. AND ITS SUBSIDIARIES
Unaudited Condensed Interim Consolidated Statements of Changes in Shareholders’ Equity
U.S. dollars in thousands
| Share capital | Share premium | Foreign currency translation reserve | Accumulated<br><br> <br>deficit | Total<br><br> <br>equity | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Balance as of December 31, 2024 (audited) | 215 | 235,995 | (11 | ) | (205,046 | ) | 31,153 | ||||||
| Loss for the period | - | - | - | (14,044 | ) | (14,044 | ) | ||||||
| Other comprehensive loss | (10 | ) | - | (10 | ) | ||||||||
| Total comprehensive loss | - | - | (10 | ) | (14,044 | ) | (14,054 | ) | |||||
| Exercise of options and warrants | 1 | 1,313 | - | - | 1,314 | ||||||||
| Share-based compensation | - | 1,706 | - | - | 1,706 | ||||||||
| Balance as of June 30, 2025 (unaudited) | 216 | 239,014 | (21 | ) | (219,090 | ) | 20,119 | ||||||
| Balance as of December 31, 2023 (audited) | 184 | 206,251 | (18 | ) | (174,822 | ) | 31,595 | ||||||
| Loss for the period | - | - | - | (16,034 | ) | (16,034 | ) | ||||||
| Other comprehensive loss | - | - | 10 | - | 10 | ||||||||
| Total comprehensive income (loss) | - | - | 10 | (16,034 | ) | (16,024 | ) | ||||||
| Exercise of options and warrants | 2 | 1,026 | - | - | 1,028 | ||||||||
| Share-based compensation | - | 1,270 | - | - | 1,270 | ||||||||
| Balance as of June 30, 2024 (unaudited) | 186 | 208,547 | (8 | ) | (190,856 | ) | 17,869 | ||||||
| Balance as of December 31, 2023 (audited) | 184 | 206,251 | (18 | ) | (174,822 | ) | 31,595 | ||||||
| Net loss | - | - | - | (30,224 | ) | (30,224 | ) | ||||||
| Other comprehensive income | - | - | 7 | - | 7 | ||||||||
| Total comprehensive income (loss) | - | - | 7 | (30,224 | ) | (30,217 | ) | ||||||
| Exercise of options and warrants | 3 | 2,132 | - | - | 2,135 | ||||||||
| Issuance of ordinary shares, net of issuance expenses | 28 | 24,474 | - | - | 24,502 | ||||||||
| Share-based compensation | - | 3,138 | - | - | 3,138 | ||||||||
| Balance as of December 31, 2024 (audited) | 215 | 235,995 | (11 | ) | (205,046 | ) | 31,153 |
The accompanying notes are an integral part of the interim consolidated financial statements.
F - 5
MEDIWOUND LTD. AND ITS SUBSIDIARIES
Unaudited Condensed Interim Consolidated Statements of Cash Flows
U.S. dollars in thousands
| Six months ended<br><br> <br>June 30, | Three months ended<br><br> <br>June 30, | Year ended December 31, | |||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 2025 | 2024 | 2025 | 2024 | 2024 | |||||||||||
| Cash flows from operating activities: | |||||||||||||||
| Net loss | (14,044 | ) | (16,034 | ) | (13,318 | ) | (6,305 | ) | (30,224 | ) | |||||
| Adjustments to reconcile net loss to net cash used in operating activities: | |||||||||||||||
| Adjustments to profit and loss items: | |||||||||||||||
| Depreciation and amortization | 752 | 725 | 394 | 357 | 1,483 | ||||||||||
| Share-based compensation | 1,706 | 1,270 | 862 | 758 | 3,138 | ||||||||||
| Revaluation of warrants accounted at fair value | 2,377 | 8,007 | 6,647 | 1,927 | 10,704 | ||||||||||
| Revaluation of liabilities in respect of IIA grants | 446 | 470 | 203 | 237 | 752 | ||||||||||
| Revaluation of liabilities in respect of TEVA | - | 206 | - | 99 | 770 | ||||||||||
| Financing (income) expenses and exchange differences of lease liability | 943 | 17 | 938 | (11 | ) | 487 | |||||||||
| Increase (decrease) in severance pay liability, net | 75 | 48 | 48 | 13 | (30 | ) | |||||||||
| Other expenses | 4 | - | - | - | 18 | ||||||||||
| Financial income, net | (942 | ) | (918 | ) | (424 | ) | (405 | ) | (2,039 | ) | |||||
| Un-realized foreign currency loss (gain) | (21 | ) | 78 | (6 | ) | 11 | 47 | ||||||||
| 5,340 | 9,903 | 8,662 | 2,986 | 15,330 | |||||||||||
| Changes in asset and liability items: | |||||||||||||||
| Decrease (increase) in trade receivables | (217 | ) | 753 | (1,671 | ) | 876 | (1,141 | ) | |||||||
| Decrease (increase) in inventories | (1,151 | ) | (345 | ) | (263 | ) | 103 | 187 | |||||||
| Decrease (increase) in other receivables | (341 | ) | (574 | ) | 37 | (459 | ) | 120 | |||||||
| Increase (decrease) in trade payables and accrued expenses | 691 | (1,900 | ) | 794 | (530 | ) | 406 | ||||||||
| Increase in grants received in advance | - | - | - | - | 1,181 | ||||||||||
| Increase (decrease) in other payables | (144 | ) | (34 | ) | 3 | (294 | ) | 517 | |||||||
| (1,162 | ) | (2,100 | ) | (1,100 | ) | (304 | ) | 1,270 | |||||||
| Net cash used in operating activities | (9,866 | ) | (8,231 | ) | (5,756 | ) | (3,623 | ) | (13,624 | ) |
The accompanying notes are an integral part of the interim consolidated financial statements.
F - 6
MEDIWOUND LTD. AND ITS SUBSIDIARIES
Unaudited Condensed Interim Consolidated Statements of Cash Flows
U.S. dollars in thousands
| Six months ended<br><br> <br>June 30, | Three months ended<br><br> <br>June 30, | Year ended<br><br> <br>December 31, | |||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 2025 | 2024 | 2025 | 2024 | 2024 | |||||||||||
| Cash flows from investing activities: | |||||||||||||||
| Purchase of property and equipment | (2,008 | ) | (4,275 | ) | (1,049 | ) | (3,016 | ) | (6,273 | ) | |||||
| Interest received | 585 | 1,127 | 319 | 522 | 2,252 | ||||||||||
| Proceeds from (investment in) short-term bank deposits, net | 2,985 | 4,209 | 5,635 | 5,339 | (4,376 | ) | |||||||||
| Net cash provided by (used in) investing activities | 1,562 | 1,061 | 4,905 | 2,845 | (8,397 | ) | |||||||||
| Cash flows from financing activities: | |||||||||||||||
| Repayment of leases liabilities | (537 | ) | (458 | ) | (289 | ) | (214 | ) | (928 | ) | |||||
| Proceeds from exercise of warrants and share options | 838 | 610 | 838 | 111 | 1,210 | ||||||||||
| Proceeds from issuance of shares | - | - | - | - | 22,165 | ||||||||||
| Repayment of IIA grants | (114 | ) | (120 | ) | - | - | (219 | ) | |||||||
| Repayment of liabilities in respect of TEVA | - | (834 | ) | - | - | (2,834 | ) | ||||||||
| Net cash provided by (used in) financing activities | 187 | (802 | ) | 549 | (103 | ) | 19,394 | ||||||||
| Exchange rate differences on cash and cash equivalent balances | 21 | (104 | ) | 2 | (15 | ) | (84 | ) | |||||||
| Decrease in cash and cash equivalents | (8,096 | ) | (8,076 | ) | (300 | ) | (896 | ) | (2,711 | ) | |||||
| Balance of cash and cash equivalents at the beginning of the period | 9,155 | 11,866 | 1,359 | 4,686 | 11,866 | ||||||||||
| Balance of cash and cash equivalents at the end of the period | 1,059 | 3,790 | 1,059 | 3,790 | 9,155 | ||||||||||
| Supplement disclosure of non-cash transactions: | |||||||||||||||
| ROU asset, net, recognized with corresponding lease liability | 1,254 | 365 | 1,080 | - | 479 | ||||||||||
| Purchase of property and equipment in trade payables | (249 | ) | (142 | ) | (91 | ) | (43 | ) | (344 | ) |
The accompanying notes are an integral part of the interim consolidated financial statements.
F - 7
MEDIWOUND LTD. AND ITS SUBSIDIARIES
Notes to Unaudited Condensed Interim Consolidated Financial Statements
U.S. dollars in thousands
| Note 1: | General |
|---|---|
| a. | Description of the Company and its operations: |
| --- | --- |
MediWound Ltd. was incorporated in Israel in January 2000. The Company which is located in Yavne, Israel (The "Company" or "MediWound"), is a biopharmaceutical company that develops, manufactures and commercializes novel, cost effective, bio-therapeutic, non-surgical solutions for tissue repair and regeneration. The Company’s strategy leverages its breakthrough enzymatic technology platform into diversified portfolio of biotherapeutics across multiple indications to pioneer solutions for unmet medical needs. The Company’s current portfolio is focused on next-generation protein-based therapies for burn care, wound care and tissue repair.
The Company's first innovative biopharmaceutical product, Nexobrid, has received in December 2022, an approval from the U.S. Food and Drug Administration (“FDA”) and marketing approval in each country of India, Switzerland and Japan. In addition, it has a marketing authorization from the European Medicines Agency (“EMA”) and regulatory agencies in other international markets for removal of dead or damaged tissue, known as eschar, in adults with deep partial and/or full-thickness thermal burns.
The Company commercializes Nexobrid globally through multiple sales channels.
The Company sells Nexobrid to burn centers in the European Union, United Kingdom and Israel, primarily through its commercial organizations.
The Company has established local distribution channels in multiple international markets, including Asia Pacific, EMEA, CEE and LATAM, which local distributors are also responsible for obtaining local marketing authorization within the relevant territories.
In the United States, the Company entered into an exclusive license and supply agreements with Vericel Corporation (“Vericel”) to commercialize Nexobrid in North America. On September 21, 2023, the Company announced the U.S. commercial availability of Nexobrid for the removal of eschar in adults with deep partial and/or full-thickness thermal burns.
In August 2024, the Company announced that the FDA has approved a pediatric indication for NexoBrid allowing for eschar removal in pediatric patients aged newborn through eighteen with deep partial and/or full-thickness thermal burns. With this FDA approval, NexoBrid is now authorized for use in the U.S. for all age groups, aligning with its approvals in the European Union and Japan.
The Company’s second investigational next-generation enzymatic therapy product, EscharEx, a topical biological drug being developed for debridement of chronic and other hard-to-heal wounds.
In February 2025, the Company announced the initiation of VALUE, a global, pivotal Phase III trial evaluating EscharEx for the treatment of venous leg ulcers (VLUs).
F - 8
MEDIWOUND LTD. AND ITS SUBSIDIARIES
Notes to Unaudited Condensed Interim Consolidated Financial Statements
U.S. dollars in thousands
| Note 1: | General (Cont.) |
|---|---|
| b. | The Company's securities are listed for trading on NASDAQ since March 2014. |
| --- | --- |
| c. | The Company has three wholly owned subsidiaries: MediWound Germany GmbH, acting as Europe (“EU”) marketing authorization holder and EU sales and marketing arm, MediWound UK Limited and MediWound US, Inc. which are currently inactive companies. |
| --- | --- |
| d. | In October 2023, Israel was attacked by a terrorist organization and entered a state of war. As of the date of these consolidated financial statements, the war in Israel is ongoing and continues to evolve. The company’s headquarters, manufacturing and R&D facilities are located in Israel. |
| --- | --- |
On June 13, 2025, Israel launched Operation “Rising Lion”, a direct military campaign targeting Iranian nuclear and military infrastructure in response to escalating threats posed by Iran’s long-range missile deployment and intelligence reports indicating imminent coordinated attacks. The United States joined Israel in this military action. A ceasefire between Israel and Iran was declared by the United States on June 24, 2025. Currently, activities in Israel remain largely unaffected. During the period ended June 30, 2025, the impact on the company’s results of operations and financial condition was immaterial.
| e. | BARDA Contracts: |
|---|
In September 2015, the Company was awarded BARDA Contract for treatment of thermal burn injuries. This contract was amended multiple times to extend its term until September 2024 and its total value, up to a total amount of $175,000 as of the end of 2023. On May 11, 2024, the company signed an extension to the contracts with BARDA until September 2025.
As of June 30, 2025, the Company has recognized approximately $98,242 in total funding from BARDA under the first contract, and an additional $16,500 for procurement of Nexobrid for U.S. emergency preparedness, which were recorded at the net amount of approximately $10,500 following the split of gross profit agreement with Vericel for the initial BARDA procurement.
| f. | DOD and MTEC contracts: |
|---|
On February 17, 2022, the Company was entered into a contract with the U.S. Department of Defense (DoD), through the Medical Technology Enterprise Consortium (MTEC), to develop Nexobrid as a non-surgical solution for field-care burn treatment for the U.S. Army. The contract provides funding up to $2,727.
During 2023, the DoD through MTEC awarded the Company additional funding of $9,117 in addition, the company was awarded directly through MTEC funding of $1,190, to advance the development of a new temperature stable formulation of Nexobrid. In May 2024 the Company was awarded additional funding of $1,557 from the DoD through MTEC. In April 2025 the Company was awarded additional funding of $937 from the DoD through MTEC. The total funding from the DoD and MTEC is $15,528.
F - 9
MEDIWOUND LTD. AND ITS SUBSIDIARIES
Notes to Unaudited Condensed Interim Consolidated Financial Statements
U.S. dollars in thousands
| Note 1: | General (Cont.) |
|---|---|
| g. | The accompanying consolidated financial statements have been prepared on a basis which assumes that the Company will continue as a going concern. From inception to June 30, 2025, the Company has incurred cash outflows from operations, losses from operations, and has an accumulated deficit of $219.1 million. |
| --- | --- |
The Company believes that its existing cash and cash equivalents, and bank deposits of $32.9 million as of June 30, 2025, will be sufficient to fund its operations and capital expenditure for at least twelve months from the date of issuance of these consolidated financial statements.
| Note 2: | Material Accounting Policies |
|---|---|
| a. | Basis of preparation of the interim consolidated financial statements: |
| --- | --- |
The interim condensed consolidated financial statements for the six and three months ended June 30, 2025, have been prepared in accordance with IAS 34 "Interim Financial Reporting".
These condensed consolidated interim financial statements have been prepared in accordance with IAS 34 Interim Financial Reporting and do not include all of the information required for full annual financial statements. They should be read in conjunction with the financial statements as at and for the year ended December 31, 2024 (hereinafter – “the annual financial statements”). These condensed consolidated interim financial statements were authorized for issue by the Group’s Board of Directors on August 13, 2025.
| b. | Use of judgements and estimates: |
|---|
In preparing these interim financial statements, management has made judgements and estimates about the future, including climate- related risks and opportunities, that affect the application of accounting policies and the reported amounts of assets and liabilities, income and expense. Actual results may differ from these estimates.
The significant judgments made by management in applying the Group's accounting policies and the key sources of estimation uncertainty were the same as those described in the last annual financial statements.
| Note 3: | Equity |
|---|---|
| 1. | On February 11, 2025, the Board of Directors of the Company approved the granting of 242,550 shares and 21,950 RSUs to employees, officers, and board members. The share options have an exercise price of $18.54 per share and will vest over a period of 1 to 4 years. The fair value of the options and RSUs granted at the grant date was $2,907. |
| --- | --- |
F - 10
MEDIWOUND LTD. AND ITS SUBSIDIARIES
Notes to Unaudited Condensed Interim Consolidated Financial Statements
U.S. dollars in thousands
| Note 3: | Equity (Cont.) |
|---|---|
| 2. | On May 25, 2025; 50,000 Series A warrants were exercised to the Company ordinary shares at an exercise price of $13.475 per ordinary share, in accordance with the terms of the Series A warrants. |
| --- | --- |
The fair value of the warrants which are classified as current liabilities was measured by using the Black and Scholes model. The following inputs were used to determine the fair value:
Contractual period of warrants–1.41 years.
Expected volatility – 61.2%
Risk-free interest rate – 3.86%
Expected dividend yield – 0%.
| Jun-30 | Dec-31 | ||||||||
|---|---|---|---|---|---|---|---|---|---|
| 2025 | 2024 | 2024 | |||||||
| Balance as of January 1 | 17,092 | 7,296 | 7,296 | ||||||
| Exercise of warrants | (477 | ) | (401 | ) | (908 | ) | |||
| Revaluation of warrants accounted at fair value | 2,377 | 8,007 | 10,704 | ||||||
| Balance at the end of the period | 18,992 | 14,902 | 17,092 | ||||||
| Note 4: | Subsequent events | ||||||||
| --- | --- | ||||||||
| 1. | In July 2025, a total of 132,143 Series A warrants were exercised into the Company’s ordinary shares at an exercise price of $13.475 per share, pursuant to the terms of the Series A warrants. The warrant exercises resulted in proceeds of $1,781. As of the date of this report, 2,341,114 Series A warrants remain outstanding and exercisable. | ||||||||
| --- | --- | ||||||||
| 2. | In July 2025 the Company was awarded additional funding of $2,715 from the DoD through MTEC. The total funding from the DoD and MTEC is $18,243. | ||||||||
| --- | --- |