Financial Performance - The company generated approximately $8.0 million and $5.5 million in revenues for the years ended December 31, 2024 and 2023, respectively, indicating a year-over-year revenue growth of 45.5%[45] - The net losses for the company were $3,759,238 and $2,938,343 for the years ended December 31, 2024 and 2023, respectively, reflecting an increase in losses of 28.0%[45] - The accumulated deficit as of December 31, 2024 and 2023 was $8,824,193 and $5,064,955, respectively, showing a significant increase in the deficit of 74.5%[45] - As of December 31, 2024 and 2023, the company had cash reserves of $2,395,405 and $3,280,075, respectively, indicating a decrease in cash of 27.0%[46] Going Concern and Risks - The independent registered public accounting firm expressed substantial doubt about the company's ability to continue as a going concern due to recurring losses from operations[50] - The company faces significant competition in the healthcare services markets, which may adversely affect its business and financial condition[51] - The company is exposed to risks associated with government contracting, including audits and compliance obligations that could result in penalties or contract terminations[85] - Legal and regulatory proceedings could lead to unexpected adverse outcomes, affecting the company's operations and financial condition[87] - The company faces risks from unstable market conditions, including liquidity risks and potential adverse effects from geopolitical events, which could impact financial performance and stock price[112] Customer and Market Dynamics - The ability to retain existing customers and attract new ones is critical for the company's success, with potential impacts from pricing pressures and changing business models[52] - The healthcare industry is consolidating, which could intensify competition and pressure pricing for the company's products and services[80] - The company relies on a small number of large customers, and the loss of one or more major customers could materially adversely affect its financial condition[103] Operational Challenges - The company must continually improve existing solutions and develop new ones to respond to regulatory developments and customer demands[57] - Achieving market acceptance for new or updated solutions may require substantial marketing efforts and expenditures[59] - The company may experience increased operating costs if it fails to recruit and retain sufficient quality healthcare professionals, which could negatively affect profitability[81] - Competition for healthcare professionals remains intense due to low unemployment rates, which may increase recruitment costs and impact service execution[83] - The company may face challenges in recruiting and retaining skilled personnel, which could impact its business objectives[91] Cybersecurity and Data Risks - The company relies on information systems to manage data, and failures in these systems could adversely affect business operations and results[65] - The company faces significant risks related to unauthorized access to data and potential breaches, which could lead to substantial financial costs and reputational damage[66] - There have been high-profile security breaches in the healthcare industry, resulting in lawsuits and significant fines, which could impact the company's operations and financial condition[67] - The company must continuously invest in its systems and processes to keep pace with evolving cybersecurity threats and regulatory standards[68] - Interruptions in internal and vendor systems could lead to security issues and prevent customer access to solutions, impacting overall business performance[69] Financial and Tax Considerations - The company has incurred net operating losses (NOLs) during its history, which may limit its ability to offset future taxable income[92] - Federal NOLs generated in taxable years ending after December 31, 2017 may be carried forward indefinitely but are limited to 80% of taxable income annually for tax years beginning after December 31, 2020[93] - Changes in U.S. tax laws, including the Inflation Reduction Act of 2022, may adversely affect the company's future profitability[96] Corporate Governance and Structure - The dual-class structure of the common stock concentrates voting control, with Class B common stock holders having 16.5 votes per share compared to 1 vote per share for Class A common stock, resulting in Class B holders controlling approximately 60.5% of the voting power[113] - As of December 31, 2024, there were 833,334 shares of Class B common stock outstanding, representing 79.6% of total voting securities[113] - Significant stockholders, including the CEO and CFO, beneficially own 51.0% of Class B common stock and 30.9% of outstanding voting securities, influencing corporate actions and board elections[117] - Anti-takeover provisions in the company's governance documents may impair takeover attempts, affecting stockholder opportunities for premium share prices[119] - The exclusive forum provision in the Certificate of Incorporation may limit stockholders' ability to bring claims in favorable judicial forums, potentially increasing costs[122] Market and Trading Considerations - The market price of Class A common stock may experience rapid fluctuations unrelated to actual operating performance, making it difficult for investors to assess value[111] - The company may be excluded from certain stock indices due to its dual-class structure, potentially affecting the attractiveness of Class A common stock to investors[116] - Future adverse developments in financial institutions could lead to market-wide liquidity shortages, impacting the company's ability to access working capital[112] - The trading market for the company's Class A common stock is influenced by the research and reports published by securities or industry analysts, with potential declines in market price if coverage is inadequate or unfavorable[129] - There is a risk that the attractiveness of the company's Class A common stock may decline due to reliance on exemptions from certain reporting requirements, potentially leading to a less active trading market and increased share price volatility[132] Emerging Growth Company Status - The company is classified as an "emerging growth company" under the JOBS Act, allowing it to take advantage of reduced reporting requirements until it meets certain thresholds, such as total annual gross revenue of at least $1.235 billion or a market value exceeding $700 million[130] - The company may delay adopting new or revised accounting standards until they apply to private companies, which could impact its financial reporting practices[131]

Financial Data and Key Metrics Changes - Total revenue for 2024 was $8 million, reflecting a 45% growth compared to $5.5 million in 2023 [30] - Gross profit margin decreased to 20.7% in 2024 from 25.6% in 2023, primarily due to timing differences in revenue recognition and low-margin contracts being phased out [9][38] - Net loss for 2024 was $3.7 million, an increase from $2.9 million in 2023, but the net loss for Q4 2024 improved to $504,000 from $995,000 in Q4 2023 [44] Business Line Data and Key Metrics Changes - Population Health revenues were $1.7 million in 2024, more than double the $715,000 in 2023, with a Q4 revenue of $418,000, a 285% increase year-over-year [32][33] - Healthcare Workforce revenues increased to $5.9 million in 2024 from $4.3 million in 2023, with Q4 revenue reaching $1.5 million, a 17% growth [34] - Health Education business unit saw revenues grow to $40,000 in 2024 from $12,000 in 2023, with expectations for continued growth [36] Market Data and Key Metrics Changes - Non-Healthcare Workforce revenues accounted for 26% of total revenues in 2024, up from 23% in 2023, indicating a strategic shift towards higher-margin revenue streams [15] - The company has potential RFP submissions equating to $80 million in multiyear contract value, indicating strong market demand [12] Company Strategy and Development Direction - The company is focused on diversifying revenue streams and enhancing operational efficiencies to improve margins and profitability [11][14] - Strategic priorities include expanding the sales pipeline, targeting higher-margin revenues, and investing in innovative technology products [14][50] - The Syrenity App is a key product aimed at capturing growth in the mental and behavioral health markets, with plans for international expansion [13][18] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about improving margins and profitability, driven by a focus on high-margin offerings and operational efficiencies [11][46] - The company anticipates low-double digit percentage revenue growth for 2025, supported by strong trends exiting 2024 [46] Other Important Information - The company has implemented cost-cutting measures resulting in a 39% reduction in operating expenses in Q4 2024 compared to Q4 2023 [17][40] - The Syrenity App has shown positive preliminary results in clinical studies, indicating its potential effectiveness in improving mental health outcomes [20] Q&A Session Summary Question: What was the rationale for filing a mixed shelf for up to $75 million? - The shelf allows the company to streamline capital raise tasks and provides flexibility for acquisitions and strategic initiatives [54] Question: How will the company protect itself from the risk of delisting due to non-compliance? - The company is in compliance with Nasdaq Listing standards, maintaining stockholder equity above the required minimum [57] Question: How does Syra plan to address the minimum bid price issue? - The company is exploring options to regain compliance without reverse stock splits, focusing on strengthening fundamentals [59] Question: Can you tell me about the sales of Syrenity? - The company is marketing Syrenity to various sectors, with an expanding addressable market and expectations for recurring revenue growth [61] Question: Any updates on the Federal government contracts announced in early 2024? - The company is actively bidding on task orders under the Federal contracts and will provide updates as they materialize [64]

Syra Health (SYRA) Q4 2024 Earnings Call March 11, 2025 06:47 PM ET Company Participants Brett Maas - Managing PartnerDeepika Vuppalanchi - Co-Founder, CEO & DirectorPriya Prasad - CFO, COO & Director Brett Maas morning, everyone, and thank you for joining us for Cyra Health's Fourth Quarter and Full Year twenty twenty Financial Results Conference Call. My name is Brett Moss of Hayden IR, and I direct Investor Relations for Cyra Health. Joining us on today's call is Doctor. Deepika Bupalacci, Chair and CEO ...

Core Insights - Syra Health Corp. reported a 45% increase in total revenue for 2024, reaching $8.0 million compared to $5.5 million in 2023, driven by growth in Population Health and Behavioral and Mental Health business units [5][8][6] - The company achieved significant operational efficiency, with Q4 2024 net losses nearly halved to $504,000 from $995,000 in Q4 2023, alongside a 39% reduction in operating expenses [15][5][6] - Continued momentum in securing new contracts and extensions is expected to drive sustainable growth, with a focus on higher-margin business units [5][7][6] Financial Performance - Population Health revenue more than doubled to $1.7 million in 2024 from $715,000 in 2023, with Q4 2024 Population Health revenue increasing 285% year-over-year [5][13] - Adjusted EBITDA for 2024 was ($3.7 million), compared to ($2.8 million) in 2023, impacted by investments in the Syrenity clinical research study [11][12] - Gross profit margin decreased to 20.7% in 2024 from 25.6% in 2023, attributed to a reevaluation of lower-margin contracts [9][10] Operational Highlights - The company secured a one-year Healthcare Workforce contract valued at up to $1 million and a two-year contract with the State of Minnesota, enhancing healthcare performance and patient satisfaction [5][6] - Syra Health's mental health product, Syrenity, is gaining traction among B2B and D2C customers, with plans for new product enhancements including telehealth [7][6] - The company expects low double-digit percentage revenue growth for 2025, driven by higher-margin Population Health and Behavioral and Mental Health units [5][6] Cash Position - As of December 31, 2024, Syra Health had cash of $2.4 million and no long-term debt, indicating a stable liquidity position [5][12] - Total current assets decreased to $3.35 million in 2024 from $4.78 million in 2023, while total liabilities reduced to $800,761 from $910,072 [17][18]

Core Viewpoint - Syra Health Corp. will report its financial results for Q4 and full year 2024 on March 11, 2025, before market opens, followed by a conference call to discuss the results [1] Group 1: Financial Reporting - The financial results for the fourth quarter and full year 2024 will be announced on March 11, 2025 [1] - A conference call will be held on the same day at 9:00 a.m. ET to discuss the financial results [1] Group 2: Accessing Information - Interested parties can access the conference call via webcast on the company's investor section of the website [2] - A replay of the webcast will also be available in the investor section of the company's website [2] Group 3: Company Overview - Syra Health is a healthcare technology company focused on improving health in areas such as behavioral and mental health, population health, and the healthcare workforce [3] - The company emphasizes prevention, access, and affordability through its innovative technology products and services [3]

Core Insights - Syra Health Corp. announced a $450,000 contract extension with the Shelby County Health Department in Tennessee, emphasizing its commitment to improving health through technology [1][2] - The contract extension allows Syra Health's team to continue analyzing disease trends and their economic impacts, with a total potential contract value of up to $1.3 million over three years [2][3] - This extension reflects the growth of Syra Health's Population Health business unit, which is a significant contributor to the company's revenue growth strategy [3][4] Financial Overview - The one-year contract extension is part of a larger project that includes data analytics and the development of a public-facing dashboard for real-time insights [2] - The total combined contract value over three years, including the extension, is projected to reach $1.3 million [2] Strategic Focus - The contract extension aligns with Syra Health's strategy to diversify revenue streams across higher-margin business units, showcasing positive demand trends for its population health solutions [3][4] - The company aims to ensure long-term revenue growth and value creation as it expands its reach in the healthcare technology sector [4]

Core Insights - Syra Health Corp. announced positive preliminary results from a clinical study of its mental health app, Syrenity, conducted by Indiana University [1][5] - The study involved 135 participants with moderate to severe depression, showing trends of reduced symptoms among users of the Syrenity app compared to non-users [2][4] Group 1: Clinical Study Details - The randomized study was led by Dr. Lorenzo-Luaces and included 63 users of Syrenity and 72 non-users [2] - Preliminary results indicated improvements in depression symptoms, overall well-being, cognitive reappraisal, and healthier emotional expression among Syrenity users [2][3] - A follow-up study will be conducted to assess the statistical significance of these findings and to analyze user engagement [3] Group 2: Participant Demographics - Approximately two-thirds of the study participants were women, with about 30% being racial-ethnic minorities [4] - Around 36% of participants had household incomes between $50,000 to $100,000, and 30% were unemployed at the time of the study [4] Group 3: Company Overview and Future Plans - Syra Health focuses on healthcare technology, particularly in behavioral and mental health, aiming to improve access and affordability [6] - The company plans to publish the study results in a scientific journal and offers Syrenity as a business-to-business product and for direct download on app stores [5][6] - Syrenity is designed to address multiple mental health challenges through evidence-based interventions and features an AI-driven companion for user engagement [7]

Core Insights - Syra Health Corp. has secured a six-month contract worth $135,000 with a Midwest university to create virtual training modules focused on behavioral health [1][2] - The training modules will provide healthcare professionals with essential skills to tackle behavioral health issues, featuring up to 60 minutes of interactive content [2] - The total potential value of Syra Health's training agreements is $4.9 million over the next four years, with options for two one-year renewals for both the university and Indiana FSSA contracts [4] Company Overview - Syra Health is a healthcare technology company dedicated to improving health in critical areas such as mental health, population health, and the healthcare workforce [5] - The company emphasizes prevention, access, and affordability in its innovative services and technology [5] - Syra Health aims to empower healthcare professionals through evidence-based training to foster meaningful change in the healthcare sector [4]

Core Insights - Syra Health Corp. has been awarded a healthcare workforce contract by the Washington D.C. government, valued at up to $1 million, to provide healthcare services to students [1][2] - The Indiana Family and Social Services Administration's NeuroDiagnostic Institute has increased its existing contract with Syra Health by $1.2 million, raising the total contract value to $18.7 million [1][3] Contract Details - The Washington D.C. contract involves deploying registered nurses, licensed practical nurses, and certified nursing assistants to ensure the safety and well-being of students, with a focus on compliance with D.C. regulations and timely care delivery [2] - The one-year agreement with Washington D.C. includes options for multiple extensions, indicating potential for future growth [2] Company Commitment - Syra Health emphasizes its commitment to improving health outcomes through tailored services that address staffing shortages and ensure continuity of care [4] - The company has established a long-term partnership with the NeuroDiagnostic Institute, which has been ongoing since 2021, highlighting its dedication to supporting complex neuropsychiatric care [4][3] Company Overview - Syra Health is a healthcare technology company focused on critical areas such as behavioral and mental health, population health, and the healthcare workforce, aiming to enhance prevention, access, and affordability in healthcare [5]

Core Insights - Syra Health Corp. has launched its mental health app, Syrenity, aimed at addressing mental health challenges such as stress, anxiety, and depression, targeting the growing digital mental health market [2][3] - The global mental health app market is projected to grow from $6 billion in 2023 to over $30 billion by 2033, driven by increased awareness and demand for accessible mental health solutions [3] - Syrenity utilizes artificial intelligence to provide a personalized user experience, featuring a 24/7 AI-powered companion named Echo, which supports users in managing their mental health [4] Company Overview - Syra Health is a healthcare technology company focused on behavioral and mental health, digital health, and population health, providing innovative services and technology products [9] - The company aims to make mental health care accessible to everyone and is committed to delivering effective and scalable mental health support [3][9] Product Features - Syrenity offers a comprehensive baseline assessment and uses sophisticated algorithms to generate risk scores for tailored interventions [5] - The app combines education with practical exercises, providing real-time reporting and AI-generated clinical summaries to guide users [6] - Syrenity is HIPAA-compliant, ensuring user confidentiality through advanced encryption and strict protocols [6] Market Strategy - Syra Health plans to expand Syrenity's reach to lower-to-middle-income countries, addressing high unmet mental health needs and diversifying revenue streams [8]