Florida-based psychedelics firm Enveric Biosciences (NASDAQ: ENVB), which is still in the pre-revenue stage, this week reported a $9.5 million net loss for 2024, down from the $17.4 million it lost in 2023 but still well in the red as it continues developing non-hallucinatory treatments for mental health disorders.
The yearly loss included $3.2 million in the fourth quarter, which ended on New Year’s Eve. The three-month net loss included a $1 million net non-cash expense, the company said in a press release, and noted its losses were down a bit year-over-year from $3.4 million.
The report comes after Enveric raised $5 million in January through a reverse stock split to fund its ongoing research, particularly with its lead molecule, EB-003, which is aimed at patients suffering from “difficult-to-address mental health disorders.”
Last year, Enveric made progress with EB-003, applied for a patent on derivative compounds of mescaline, inked licensing deals with Aries Science & Technology and MycoMedia Life Sciences, and signed off on a pair of out-licenses for Restoration Biologics for patented cannabinoid compounds used to fight joint disease.
The Aries deal, Enveric said, could result in up to $61 million in revenue and potential future royalties on product sales of between 2.5% and 10%. The MycoMedia deal also includes sales milestones that could garner it up to $62 million, along with more royalties. The Restoration Biologics deal calls for milestone payments that could add up to $61 million, with another possible $21 million on the table.
The next step this year for Enveric, CEO Dr. Joseph Tucker said in a press release, is submitting an Investigational New Drug application with the U.S. Food and Drug Administration, which will get the company a step closer to clinical trials for EB-003, moving the company closer to bringing the drug to market.
The goal, Tucker noted, is to tap the “estimated $35 billion future market opportunity for neuroplastogens” like EB-003.
On top of that, Tucker said, Enveric will continue to pursue more strategic licensing deals with other medical companies, while staying on the research and development path with other potential molecules.
At the end of December, Enveric had $3 million in total assets, including $2.2 million in cash, against $1.4 million in total liabilities.
[[{“value”:”The company signed three different multimillion-dollar licensing deals for its molecules.
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