Soleno Therapeutics reported a net profit in Q4 2025, its first positive quarter since going public. The turnaround was driven by improved gross margins on Tolsura sales and rigorous expense controls that reversed prior losses. Executives also reallocated R&D spending toward late-stage pipeline assets while trimming early-stage program budgets.

Management plans to maintain cost discipline through renegotiated supplier contracts and streamlined operations. Expanded distribution channels for Tolsura are expected to support revenue growth and sustain positive cash flow. The company forecasts cash flow break-even through 2026, conditional on stable product demand and disciplined overhead management.