Precipio ( (PRPO) ) has released its Q3 earnings. Here is a breakdown of the information Precipio presented to its investors.
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Precipio, Inc. is a healthcare biotechnology company specializing in cancer diagnostics. It develops diagnostic products and services to improve diagnostic accuracy and reduce healthcare costs, with a focus on the hematologic field. The company operates CLIA laboratories in New Haven, Connecticut, and Omaha, Nebraska, which support its research and development efforts.
Precipio’s latest earnings report reveals a mixed financial performance. The company reported a net loss of $3.9 million for the first nine months of 2024, an improvement from the $6.8 million loss in the same period last year. While service revenue increased to $11.3 million, product revenue decreased to $1.9 million. The company’s gross profit also improved to $4.9 million, up from $4.0 million the previous year, reflecting a stronger operational performance.
Key financial metrics indicate that Precipio is making strides in reducing its operating loss, which decreased to $3.9 million from $6.8 million in the prior year. Despite this progress, the company’s accumulated deficit has reached $102.1 million, and it faces a working capital deficit of $1.2 million. This situation underscores the importance of continued revenue growth and efficient cost management.
Looking ahead, Precipio’s management remains focused on achieving its business plan and generating additional revenue. The company has taken steps to secure additional financing, including a sales agreement allowing the sale of up to $5.8 million in common stock. However, substantial doubt remains about its ability to continue as a going concern over the next twelve months, highlighting the need for strategic financial planning.