The financial report for the second quarter ended September 30, 2023, reveals a concerning trend for Cybin Inc. CYBN.
The company’s cash totaled $13.25 million (CA$18.1 million) by Sept. 30, experiencing little to no growth from previous months, with $13.17 million in August and $12.17 million by March 31, 2023.
R&D expenses saw a significant increase of 30.3% for the three-month period and 16.8% for the six-month period as compared to 2022.
Net loss for the three and six-month periods also increased when compared to the same periods in 2022, demonstrating a worrying trend for the company’s financial performance.
Quarterly cash flows saw a minor increase in cash-based operating expenses and a decrease in cash flows used in operating activities, but also a substantial increase in cash flows received from financing activities. However, this did little to offset the overall financial losses for the company.
Furthermore, the accumulated deficit by Sept. 30 amounted to $127.74 million, indicating a concerning 17.8% increase as compared to March 31.
The company’s financial struggles are evident, and the recent access to $101 million may not be enough to offset the disappointing financial results. While CEO Doug Drysdale emphasizes the company’s progress and momentum, the financials paint a different picture.
Challenges Ahead Despite Positive Milestones
The recent positive milestones, including interim data for CYB003 and the acquisition of Small Pharma Inc., may provide hope for Cybin’s future, but the financial challenges cannot be overlooked. The company’s goals for 2024 seem ambitious amidst its current financial struggles and deficits.
Photo: Benzinga edit with photo by RF._.studio on Pexels and Jynto on Wikimedia Commons.
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