Sign in

You're signed outSign in or to get full access.

FN

FIREFLY NEUROSCIENCE, INC. (AIFF)·Q3 2024 Earnings Summary

Executive Summary

  • Q3 2024 revenue was $0.033M, with net loss of $4.289M and diluted EPS of $(0.61); revenue grew 43% year over year, driven by more BNA scans and initial clinical study revenue .
  • Cash was $1.2M at quarter-end, and management disclosed substantial doubt about going concern pending additional financing and cost controls .
  • Strategic momentum: partnerships with Bright Minds, Novartis, Takeda, and Zeto; integration at Neurology Consultants of Dallas; Nasdaq listing completed via reverse merger (ticker AIFF), aligning commercial launch for 1H 2025 .
  • No formal numerical guidance or earnings call transcript filed; Street consensus data was unavailable via S&P Global at time of request (tool limit), so estimate benchmarking cannot be provided (see Estimates Context) .

What Went Well and What Went Wrong

What Went Well

  • Strategic pharma collaborations validate BNA’s utility; CEO: “forging strategic partnerships… with Bright Minds, Novartis and Takeda… leveraging our proprietary database of over 77,000 EEG scans across twelve disorders” .
  • Hardware distribution and clinical footprint expanded: non-exclusive distribution partnership with Zeto to integrate BNA with FDA-cleared EEG headsets used in 200+ hospitals and neurology offices .
  • Clinical deployment: Neurology Consultants of Dallas to integrate BNA into patient protocols for early detection and disease management, supporting biomarker discovery in dementia .

What Went Wrong

  • Liquidity tight: cash $1.2M at 9/30/24; operating cash use of $4.937M in the first nine months underscores financing needs; going concern risk disclosed .
  • Minimal revenues: $0.033M for the quarter and $0.055M YTD vs. elevated G&A ($2.992M in Q3), reflecting public company costs, equity-based compensation, and merger-related items .
  • No numerical guidance or call transcript to clarify commercialization pacing, revenue ramp, or cost structure normalization, limiting investor visibility near term .

Financial Results

Quarterly P&L vs Prior Year and Estimates

MetricQ3 2023Q3 2024Consensus (Q3 2024)
Revenue ($USD Thousands)$23 $33 Unavailable (see Estimates Context)
Operating Loss ($USD Millions)$0.647 $4.268 Unavailable
Net Loss ($USD Millions)$0.650 $4.289 Unavailable
Diluted EPS ($USD)$(0.18) $(0.61) Unavailable

Notes: Q/Q comparison not available due to absence of AIFF Q2 2024 press materials; year-over-year shown. Estimate benchmarking unavailable via S&P Global at time of request (see Estimates Context).

Revenue Mix (Quarter)

Revenue Type ($USD Thousands)Q3 2023Q3 2024
Services$3 $21
Rentals$20 $12
Other$0 $0
Total$23 $33

Balance Sheet Snapshot

Metric ($USD Millions)Dec 31, 2023Sep 30, 2024
Cash$2.143 $1.230
Total Assets$2.641 $5.311
Total Liabilities$2.532 $2.535
Shareholders’ Equity$0.109 $2.776

KPIs and Capitalization

KPIQ3 2023Q3 2024
Weighted Avg Shares (Basic & Diluted)3,678,906 7,080,897
Shares Outstanding (as of Nov 12, 2024)—8,503,365
Operating Cash Flow (9M) ($USD Millions)$(1.662) $(4.937)
BNA EEG Database Size—>77,000 scans

Guidance Changes

MetricPeriodPrevious GuidanceCurrent GuidanceChange
BNA Commercial Launch Timing1H 2025Not previously disclosed numericallyTargeting first half of 2025 Initiated timeline
Revenue/Margins/OpExQ4 2024 / FY 2025—No formal quantitative guidance provided n/a

Earnings Call Themes & Trends

No earnings call transcript was filed for Q3 2024; themes inferred from period press releases and 10‑Q.

TopicPrevious Mentions (Q-2 and Q-1)Current Period (Q3 2024)Trend
Pharma collaborations (AI biomarkers)Private-stage; limited public disclosuresAnnounced successful research collaborations with Takeda and Novartis; renewed Bright Minds collaboration and analysis of Phase 1 qEEG; planned Phase 2 EEG analysis support Positive validation; expanding scope
Device ecosystem partnershipsn/aZeto partnership to integrate BNA with FDA-cleared EEG headsets; distribution reach to 200+ sites Expanding hardware footprint
Clinical deployment at providersn/aNeurology Consultants of Dallas to integrate BNA for cognitive disorders management Early commercial channel build
Corporate actionsn/aReverse merger completed; Nasdaq listing (AIFF); private placements and warrant activity detailed; equity structure reset Public-company transition

Management Commentary

  • “We are deeply committed to executing upon two key strategic pathways to commercialize our FDA‑cleared Brain Network Analytics (BNA™) technology… partnering with neuroscience pharmaceutical companies and… supporting US neurologists…” — Jon Olsen, CEO .
  • “We are thrilled to be forging strategic partnerships with… Bright Minds, Novartis and Takeda… leveraging our proprietary database of over 77,000 EEG scans…” — Jon Olsen, CEO .
  • MD&A: Commercial launch targeted for 1H 2025; value proposition includes improved response rates, compliance, and reduced non-responder rates from real‑world deployments .

Q&A Highlights

  • No Q3 2024 earnings call transcript was filed; therefore, no analyst Q&A themes or clarifications are available .

Estimates Context

  • S&P Global consensus for Q3 2024 EPS, revenue, and estimate counts was not retrievable at time of request due to tool daily limit; thus, no benchmark vs Street is provided. Values would normally be sourced from S&P Global; in this case, consensus data is unavailable.

Key Takeaways for Investors

  • Liquidity risk is acute: $1.2M cash at quarter-end and $(4.937)M operating cash outflow YTD necessitate near-term capital raises; watch for dilution and financing terms .
  • Strategic validation is building: collaborations with Takeda, Novartis, Bright Minds and device partner Zeto support BNA’s role as an objective CNS biomarker platform; these can catalyze early revenues through services and trials .
  • Commercial launch roadmap: management targets 1H 2025 BNA launch in U.S. neurology and pharma trial support—monitor milestones (site integrations, pricing/reimbursement progress, product readiness) .
  • Cost normalization will be critical: elevated Q3 G&A tied to merger/public company transition (options/warrants, legal, D&O) should abate; track OpEx trajectory and cash burn improvements .
  • Near-term trading setup is event-driven: financing announcements, additional pharma/device partnerships, and provider integrations are likely stock catalysts given limited current revenues and no Street benchmark this quarter .
  • Risk factors are non-trivial: going concern, regulatory compliance (FDA/CE, HIPAA/GDPR), cybersecurity, and Israel-related geopolitical risks feature prominently; require heightened diligence .
  • Equity structure reset: reverse merger and subsequent warrant/option activities significantly impacted share count and dilution; monitor further equity issuance and vesting/exercise dynamics .