IMAC Holdings Reports Q3 2024 Financial Results with $2.2M Net Loss and Revenue Growth

IMAC Holdings, Inc. reported its financial results for the third quarter of 2024, revealing a net loss of $2.2 million, a decrease from a net loss of $2.9 million in the same period last year. The company generated revenues of $56,300 for the quarter, compared to no revenues reported in the third quarter of 2023. For the nine months ending September 30, 2024, total revenues reached $72,050, marking a significant increase from the previous year when no revenues were recorded. The gross profit for the quarter was negative at $(65,777), reflecting the costs associated with the company's operations.

The financial performance indicates a notable shift from the previous fiscal period, particularly in revenue generation. The company’s operating expenses for the third quarter were $1.9 million, down from $3.3 million in the same quarter of 2023, primarily due to reduced costs following the closure of underperforming clinics and the discontinuation of certain operations. The accumulated deficit increased to $59.9 million as of September 30, 2024, compared to $55.9 million at the end of 2023, reflecting ongoing challenges in achieving profitability.

Strategically, IMAC Holdings has focused on its core business of precision medicine in cancer treatment, following the acquisition of laboratory capabilities from Theralink Technologies, Inc. This acquisition is expected to enhance the company's ability to conduct clinical testing and collaborate with biopharmaceutical companies. The company also amended its 2018 Incentive Compensation Plan to increase the number of shares authorized for issuance, which may support future growth initiatives.

Operationally, the company has transitioned away from its previous business model, having closed all clinic locations by the end of 2023. As of September 30, 2024, IMAC Holdings reported a working capital deficit of $5.5 million, compared to a deficit of $0.8 million at the end of 2023. The company’s current liabilities totaled approximately $6.3 million, with $2.1 million owed to vendors. The headcount has adjusted in line with the strategic shift, although specific employee numbers were not disclosed.

Looking ahead, IMAC Holdings anticipates the need for additional financing to support its operations and growth plans. The management has expressed concerns regarding its ability to continue as a going concern, given the substantial doubt raised by its financial condition. The company is actively seeking opportunities to raise capital and improve its operational efficiency, while also navigating the challenges posed by market conditions and the need for skilled personnel in its laboratory operations.