Protagonist Therapeutics, Inc.

Worth knowing

• Profit looks boosted by one-off gains. Reported profit is 1.4× operating cash profit (EBITDA), lifted by income outside the core business.Reported profit is 1.4× operating cash profit, lifted by income outside the core business.

  Protagonist Therapeutics's reported profit is 1.4× its operating cash profit (EBITDA), which is unusual: normally it's the other way round. Income outside the core business, such as interest on a large cash pile, gains on investments or asset sales, or tax items, has lifted net income, so its earnings-based valuation may look cheaper than the business alone justifies.Protagonist Therapeutics's reported profit is 1.4× its operating cash profit, which is unusual: normally it's the other way round. Income outside the core business, such as interest on a large cash pile, gains on investments or asset sales, or tax items, has lifted net income, so its earnings-based valuation may look cheaper than the business alone justifies.

• Shareholders being diluted. Shares outstanding up 31% from December 2022 to July 2026.

  Protagonist Therapeutics had 31% more shares at July 2026 than at December 2022, mostly from issuing stock (for pay, acquisitions or fundraising). Each existing share now owns a smaller slice of the business.Protagonist Therapeutics had 31% more shares at July 2026 than at December 2022, mostly from issuing stock. Each existing share now owns a smaller slice of the business.

• Stock-based pay is a large cost. Stock pay was 100% of revenue in 2025.

  Protagonist Therapeutics paid employees $46M in stock in 2025, 100% of its $46M revenue. It doesn't use cash, so it flatters cash flow, but it is a real cost to shareholders through dilution.

• Profit is backed by cash. Free cash flow is 158% of reported profit.

  Protagonist Therapeutics's free cash flow is 158% of its reported profit, so its earnings are turning into cash it can reinvest, pay out or use to reduce debt.