Marpai(US:MRAI)2024-11-12 11:05Financial Performance - Net revenues for Q3 2024 were approximately $7.0 million, down $1.7 million, or 20% year over year compared to Q3 2023[2] - Operating expenses decreased to $10.1 million, down $5.7 million, or 36% year over year compared to Q3 2023[2] - Operating loss was $3.1 million, a reduction of $4.0 million, or 57% lower year over year compared to Q3 2023[3] - Net loss for Q3 2024 was $3.6 million, down $3.7 million, or 51% lower year over year compared to Q3 2023[3] - Net loss for the nine months ended September 30, 2024, was $20,932 thousand, compared to a net loss of $23,725 thousand for the same period in 2023, representing a 12% improvement[14] Earnings and Shareholder Value - Basic and diluted earnings per share improved to ($0.30), up $0.68 per share year over year compared to Q3 2023[4] Cash Flow and Liquidity - Cash used in operating activities decreased to $10,251 thousand from $15,324 thousand year-over-year, indicating a 33% reduction in cash outflow[14] - Total cash, cash equivalents, and restricted cash at the end of the period was $11,808 thousand, down from $14,252 thousand at the end of September 30, 2023[14] - The company experienced a net cash provided by financing activities of $8,567 thousand, compared to $6,432 thousand in the prior year[14] Assets and Liabilities - Total current assets decreased to $14.9 million as of September 30, 2024, down from $17.1 million at December 31, 2023[9] - Total liabilities increased to $47.2 million as of September 30, 2024, compared to $45.1 million at December 31, 2023[9] Company Strategy and Future Outlook - The company aims for profitability and positive cash flow as part of its turnaround efforts[4] - Marpai operates in the $22 billion TPA market, serving self-funded employer health plans with over $1 trillion in annual claims[6] - The company plans to announce exciting developments in the fourth quarter of 2024[4] Non-Cash and Other Expenses - The company reported a non-cash interest expense of $975 thousand for the nine months ended September 30, 2024[14] - Share-based compensation increased to $2,786 thousand from $1,837 thousand, reflecting a 52% rise year-over-year[14] - Impairment of goodwill and intangible assets was recorded at $7,588 thousand, indicating significant asset write-downs[14] - Cash paid for interest was $1,508 thousand, with no interest payments reported in the previous year[15] - The company reported a loss on the sale of receivables amounting to $306 thousand, which was not present in the previous year[14] - Proceeds from the issuance of convertible debentures amounted to $5,978 thousand, contributing to financing activities[14]