Tue, May 14, 8:08 PM (270 days ago)
CervoMed Inc.'s Q1 2024 financial report highlights several key points: 1. **Revenue**: The company recognized $2.3 million in grant revenue from the National Institute of Aging (NIA), up from $1.4 million in Q1 2023, reflecting increased qualifying expenses related to their ongoing Phase 2b RewinD-LB Trial. 2. **Operating Expenses**: Research and development (R&D) expenses rose to $2.8 million from $1.8 million, driven by increased costs associated with the RewinD-LB Trial. General and administrative expenses doubled to $2.1 million, primarily due to public company-related costs. 3. **Net Loss**: The net loss widened to $2.5 million from $0.5 million, mainly due to increased R&D and administrative expenses. 4. **Cash Flow**: Operating activities used $1.4 million in cash, consistent with the prior year's usage. As of March 31, 2024, cash and cash equivalents stood at $6.4 million. 5. **Private Placement**: On April 1, 2024, CervoMed completed a private placement, raising $50 million upfront, with potential additional proceeds of $99.4 million from warrant exercises. 6. **Future Outlook**: The company expects increased expenses as it advances neflamapimod through clinical trials and continues to operate as a public entity. Current cash reserves, along with proceeds from the private placement and NIA grant, are expected to fund operations for at least the next 12 months. Overall, CervoMed demonstrates a solid funding position to support its ongoing clinical trials and operational needs.