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Neuraxis Inc. (NRXS-8.49%) has submitted its 10-Q filing for the quarterly period ended September 30, 2024.
The filing includes financial statements for the quarter, showing an increase in net sales to $666,625 from $477,460 in the same quarter the previous year. This increase is attributed to volume growth from new and existing customers.
Cost of goods sold for the quarter was $97,050, resulting in a gross profit of $569,575, compared to $410,173 in the previous year. The gross margin slightly decreased due to higher growth in financial assistance programs.
Selling expenses increased to $95,430 from $64,210, while research and development expenses rose to $72,422 from $44,950, reflecting higher spending on medical research projects.
General and administrative expenses decreased to $2,052,996 from $3,323,352, primarily due to the absence of post-IPO consulting and recruiting services and incentive bonuses related to the IPO.
Operating loss for the quarter was $1,651,273, down from $3,022,339 in the previous year, mainly due to reduced general and administrative expenses.
Other expenses decreased significantly to $103,961 from $5,603,024, reflecting lower interest expenses and the elimination of debt-related charges following the conversion of notes upon the IPO.
Net loss for the quarter was $1,755,234, compared to $8,625,363 in the previous year, due to higher sales, lower general and administrative expenses, and reduced other expenses.
Neuraxis reported cash on hand of $260,885 and a working capital deficit of $2,032,284 as of September 30, 2024. The company continues to focus on securing insurance coverage for its IB-Stim device and expanding its market presence.
The filing also details various financial arrangements, including the issuance of Series B Preferred Stock and related agreements, as well as ongoing litigation matters.
Neuraxis acknowledges the existence of material weaknesses in its internal control over financial reporting and outlines its remediation plans to address these issues.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Neuraxis Inc. quarterly 10-Q report dated November 12, 2024. To report an error, please email earnings@qz.com.