Aclarion, Inc. (ACON)·Q4 2023 Earnings Summary

Executive Summary

• Aclarion filed audited FY 2023 financials alongside a Q4 2023 Form 8‑K, reporting FY revenue of $75,404 and a net loss of $4,911,374; diluted EPS was $(8.82) post-split, reflecting ongoing early-stage commercialization and limited revenue scale .
• Liquidity remained constrained: year-end cash was ~$1.0M, with management noting subsequent equity line proceeds and an expected runway into Q2 2024, but substantial doubt persists regarding going concern absent additional financing .
• No formal Q4 earnings call transcript or press release was available; operating updates from prior 10‑Qs highlight increased hosting costs, KOL-related S&M expense, and lower R&D versus 2022 due to non-recurring IPO-related items .
• Structural capital actions (1-for-16 reverse split effective Jan 4, 2024 and White Lion equity line) are near-term stock catalysts, raising dilution/volatility risks while addressing listing compliance and funding gaps .

What Went Well and What Went Wrong

What Went Well

• Revenue increased year over year (FY 2023: $75,404 vs. $60,444 FY 2022) amid modest scan activity, consistent with prior quarters noting research institution demand (e.g., UNC Chapel Hill PO) .
• Operating expenses declined versus FY 2022 (FY 2023: $4,875,657 vs. $5,556,714), with prior-quarter MD&A citing lower post-IPO costs and tighter G&A control .
• Management engaged external accounting resources to enhance controls and segregation of duties: “The Company did engage an outside firm in the third quarter of 2023 to provide accounting support and increased segregation of duties” .

What Went Wrong

• Revenue scale remains de minimis and gross profit was negative in FY 2023 (gross loss $324), underscoring early adoption and lack of reimbursement .
• Going concern remains a material risk: “There is uncertainty regarding the Company’s ability to maintain liquidity… which raises substantial doubt as to the Company’s ability to continue as a going concern” .
• Balance sheet pressure intensified with note payable and new warrant/derivative liabilities; total stockholders’ equity turned negative at year-end 2023 (equity $(727,995)) .

Financial Results

Annual comparison (FY 2022 → FY 2023)

Quarterly traction (Q2 2023 → Q3 2023)

Segment breakdown

• Single operating/reporting segment: delivery of Nociscan reports (no segment revenue breakout) .

KPIs (disclosed operational/financial indicators)

Versus Estimates

• Wall Street consensus (S&P Global) for Q4 2023 revenue/EPS was unavailable via our feed; no credible estimate set identified for ACON’s quarter. We attempted retrieval but hit SPGI access constraints; treat estimates as unavailable for comparison at this time.

Guidance Changes

Note: Company did not issue formal quantitative guidance ranges in the cited filings; liquidity commentary provided in footnotes and subsequent events .

Earnings Call Themes & Trends

No Q4 2023 earnings call transcript was available. Narrative below uses Q2/Q3 MD&A and FY 2023 audited notes.

Management Commentary

• “There is uncertainty regarding the Company’s ability to maintain liquidity sufficient to operate its business effectively, which raises substantial doubt as to the Company’s ability to continue as a going concern.”
• “Total revenues for the quarter ended June 30, 2023 were $17,072… The increase in revenues resulted from a Purchase Order from the University of North Carolina at Chapel Hill.”
• “The Company did engage an outside firm in the third quarter of 2023 to provide accounting support and increased segregation of duties. The Company intends to further leverage the outside firm to establish best practices over time that enhance internal control over financial reporting.”
• “In consideration for the commitments of White Lion… the Company issued to White Lion 187,500 pre-split shares… having a value of $75,000.”

Q&A Highlights

• No Q4 2023 earnings call transcript was available in our source set; consequently no analyst Q&A themes or guidance clarifications could be extracted from a call record (see reliance on 10‑Q and audited 8‑K materials) .

Estimates Context

• S&P Global consensus estimates for Q4 2023 (revenue/EPS) were unavailable for ACON at the time of retrieval; we attempted to fetch EPS and revenue consensus for Q4 2023 and FY 2023, but the data feed returned access constraints (treat as unavailable for comparison) (Values would be retrieved from S&P Global if accessible).

Key Takeaways for Investors

• Revenue scale remains extremely limited and gross margin negative, highlighting the need for reimbursement and broader commercial adoption to inflect financials .
• Liquidity runway extends into Q2 2024 after January–February 2024 equity line activity, but going-concern risk persists without additional financing; April 2024 note repayment is a key near-term milestone .
• Structural actions (reverse split, equity line) improved listing compliance and provided capital but introduce dilution risk and potential share price volatility .
• Expense discipline versus FY 2022 is evident, yet operating losses remain substantial; continued optimization of S&M and G&A and external control remediation may support future funding efforts .
• Monitor regulatory/commercial catalysts: payer reimbursement developments for Nociscan, hospital adoption (e.g., research institutions), and any strategic partnerships that could accelerate scan volumes .
• Near-term trading implications: financing headlines (equity line draws, warrant resets), listing compliance updates, and debt exchanges could drive volatility; medium-term thesis hinges on clinical/market validation scaling revenues from immaterial levels .