Emyria Reports Strong Revenue Growth and Strategic Developments in Mental Health Services
EMD (EMD) Share Update July 2024 Monday 29th
Emyria Announces Strong Revenue Growth and Strategic Developments
Emyria Limited (ASX: EMD) has announced a series of financial and strategic developments, including strong revenue growth and significant advancements in their mental health services and drug development programs.
Instant Summary:
- Achieved over $1 million in clinical billings for the first time.
- 60% increase in mental health service-related revenues.
- Successful $2.3 million placement with significant director participation.
- Opening of the first Empax Centre for advanced mental health treatments.
- First female Authorised Prescriber for MDMA-assisted therapy in Australia.
- Binding research study agreement with Reach Wellness for MDMA-assisted therapy.
- Received $499,411 in non-dilutive funding from the Western Australian Government.
Financial and Strategic Developments
Emyria Limited has reported a remarkable increase in revenue for the June quarter, crossing $1 million in clinical billings for the first time. This includes a 60% rise in mental health service-related revenues at the Pax and Empax Centres. Recognised group revenues were 36% higher than the same period last year.
The company also successfully raised $2.3 million from new and existing sophisticated investors, including a significant $300,000 contribution from Chairman Greg Hutchinson. These funds are earmarked for service growth, national scaling of the Empax Centre, and drug development initiatives.
Advanced Treatment and Clinical Service Expansion
Emyria has opened its first Empax Centre, a state-of-the-art facility dedicated to developing new treatments for mental health, including PTSD. The centre features advanced technology aimed at providing superior patient care and data-driven research.
Additionally, Emyria's second psychiatrist has received 'Authorised Prescriber' approval from Australia’s Therapeutic Goods Administration (TGA), marking the first female Authorised Prescriber for MDMA-assisted therapy in Australia. This enhances the company's capacity for clinical trials and patient care.
Simon Kemp has joined Emyria as the new General Manager to drive clinical and commercial growth. Kemp brings extensive experience in founding, scaling, and growing clinical services.
Clinical Trials and Collaborations
Emyria has entered into a binding research agreement with Reach Wellness to manage a study of its MDMA-assisted therapy program for 50 first responders with PTSD. Reach Wellness will subsidize treatment costs, estimated at $1.5 million.
The Empax Centre has also been selected as a key site for the 'IMPACT-2' trial, which aims to investigate the effects of methylone (an MDMA analogue) on neuroplasticity and PTSD symptoms.
Quarterly Highlights Report (June 2024)
Emyria received $499,411 in non-dilutive funding from the Western Australian Government’s Innovation Seed Fund to advance its MDMA analogue drug development program. The company also trained nine additional clinicians to meet growing service demand at the Empax Centre.
Clinical billings for the quarter amounted to $1,092,087, with recognised revenues of $575,000, marking a 36% growth compared to the same quarter last year. Net cash used in operating activities was $1.6 million for Q4 FY24.
Emyria is focused on delivering new treatments for mental health and select neurological conditions. The company has established a unique business model comprising scalable clinical services, proprietary clinical data, and an ambitious innovation pipeline.
The announcement of strong revenue growth and strategic expansions is likely to positively impact Emyria's stock price. The successful funding rounds and new clinical facilities demonstrate the company's commitment to advancing mental health treatments, which could attract more investors.
Investor Reaction:
Analysts are likely to react positively to the news, given the significant revenue growth and strategic advancements. The successful funding rounds and opening of the Empax Centre are seen as strong indicators of the company's future growth potential.
Conclusion:
Investors should keep an eye on Emyria's continued growth and strategic developments in the mental health sector. The company's innovative approach and strong financial backing make it a promising investment opportunity.