Psychedelics Co. Numinus Narrows Loss In Q3, Reports QoQ Decrease In Revenue, Gross Profit

Psychedelics-focused mental health care company Numinus Wellness Inc. NUMI NUMIF, announced its third quarter financial results on Thursday for the three months ended May 31, 2024.

"In the third quarter of 2024, we continued to make progress on our program to transition Numinus to an operationally lean company prepared to benefit from the anticipated growth in psychedelic therapy. Key to the program is achieving profitability with our existing operations and leveraging our significant experience and expertise to opportunities in the broad market,” Payton Nyquvest, Numinus founder and CEO said.

Q3 2024 Financial Highlights

• Revenue totaled CA$4.3 million ($3.15 million), representing a sequential decrease of 1.9%.
• Numinus Wellness clinics' revenue amounted to CA$3.36 million, representing a 7% decrease compared to CA$3.6 million during the prior quarter, and a drop of 18% compared to CA$4.1 million in the prior year's period.
• Revenues from Cedar Clinical Research were CA0.8 million, representing an increase of 11% compared to the second quarter of 2024, and a 20% decrease compared to the third quarter of 2023.
• Revenues from Practitioner Training increased by 114% from CA$78,837 during the previous quarter to CA$168,830.
• Gross profit totaled CA$1 million, representing a 9.8% decline quarter-over-quarter.
• Gross margin declined 200 basis points in the third quarter of 2024 to 22% from 24% in the prior period.
• Operating expenditures and other items were CA$6.1 million, compared to CA$7.3 million in the previous quarter.  
• Cash position of CA$3.7 million as of May 31, 2024.
• Loss and comprehensive loss was CA$5.1 million, representing a sequential drop from CA$5.7 million.

Read Also: Psychedelics-Focused Numinus Plans To Leverage This AI Technology Via New Strategic Acquisition

Other Business Highlights

• Transitioned out of Canadian clinical operations through an agreement with the Canadian Centre for Psychedelic Healing (Field Trip Health).
• Enrolment in Numinus training programs increased to over 1,650 learners, compared to over 1,400 in the second quarter of 2024, with learners joining from 18 countries.
• Managed 15 clinical trials at Cedar Clinical Research.
• Provided 15,750 client appointments in U.S. Numinus Wellness Clinics; this represents a 3.2% increase from the prior year.

On June 20, 2024, the company announced that it had executed a letter of intent to acquire MedBright AI Investments MBAI by way of a statutory plan of arrangement.

The strategic combination of MedBright’s AI machine-learning platform with Numinus’ significant expertise in traditional therapy, clinic management, patient care, insurance reimbursement and psychedelic-assisted treatment is expected to enhance revenue generation through a unique AI-enabled offering available to the growing number of U.S. mental health providers.

“Our proposed acquisition of MedBright AI further amplifies our opportunities by leveraging our experience and expertise in clinical care and insurance reimbursement into a licensed offering available to mental health clinics, therapists and practitioners across the U.S.,” Nyquvest said.

NUMIF Price Action

Numinus' shares traded 3.12% higher at $0.033 per share at the time of writing on Friday,

Read Next:

• Numinus Wellness Q2 2024 Revenue Declines Amid Clinic Reshuffling And Expected Industry Trends