NASDAQ:SYRA Syra Health Q3 2024 Earnings Report $0.10 -0.01 (-4.76%) As of 02:57 PM Eastern Earnings History Syra Health EPS ResultsActual EPS-$0.06Consensus EPS -$0.21Beat/MissBeat by +$0.15One Year Ago EPS-$0.08Syra Health Revenue ResultsActual Revenue$2.25 millionExpected Revenue$1.99 millionBeat/MissBeat by +$260.00 thousandYoY Revenue GrowthN/ASyra Health Announcement DetailsQuarterQ3 2024Date10/29/2024TimeBefore Market OpensConference Call DateTuesday, October 29, 2024Conference Call Time9:00AM ETUpcoming EarningsSyra Health's Q1 2025 earnings is scheduled for Thursday, May 8, 2025, with a conference call scheduled at 9:00 AM ET. Check back for transcripts, audio, and key financial metrics as they become available.Conference Call ResourcesConference Call AudioConference Call TranscriptPress Release (8-K)Quarterly Report (10-Q)Earnings HistoryCompany ProfilePowered by Syra Health Q3 2024 Earnings Call TranscriptProvided by QuartrOctober 29, 2024 ShareLink copied to clipboard.There are 3 speakers on the call. Operator00:00:00Good morning, everyone, and thank you for joining us for Cyra Health's 3rd Quarter 2024 Financial Results Conference Call. My name is Robert Blum, and I will be your moderator for today's event. Joining us on today's call is Doctor. Deepika Vupalanshi, CEO of CIRA Health and Priya Prasad, CIRA's Chief Financial Officer. At the conclusion of today's prepared remarks, management will answer some questions that were sent to us by investors and other questions we think are relevant to investors as well. Operator00:00:33Today's event is being recorded and will be available for replay through the webcast information provided in the press release. I'd also like to call to your attention the customary Safe Harbor disclosure regarding forward looking information. The conference call today will contain certain forward looking statements, including statements regarding the goals, strategies, beliefs, expectations and future potential operating results of Syrah Health. Although management believes these statements are reasonable based on estimates, assumptions and projections as of today, these statements are not guarantees of future performance. Time sensitive information may no longer be accurate at the time of any telephonic or webcast replay. Operator00:01:20Actual results may differ materially as a result of risks, uncertainties and other factors, including, but not limited to, the factors set forth in the company's filings with the SEC. Syrah undertakes no obligation to update or revise any of these forward looking statements. With that said, I would like to turn the event over to Doctor. Deepika Vupilanti, Chief Executive Officer of CIRA Health. Deepika, please go ahead. Speaker 100:01:51Thank you, Robert. Welcome, everyone. Thank you for joining our 3rd quarter's earnings call today. We truly appreciate your continued interest in Cyra Health and are excited to share updates on our recent performance and future goals. I will begin by highlighting a strong Q3 financial performance followed by an update on the strategic cost cutting initiatives we have successfully implemented. Speaker 100:02:17After that, I will outline the significant strides we are making on a journey towards profitability. Then I will hand over the call to our Chief Financial Officer, Priya Prasad, who will take you through a more detailed breakdown of our financial results. In terms of financial metrics, we have experienced significant positive shifts across the board. The 3rd quarter marked an outstanding period for Cyra Health with revenues growing by a notable 42% compared to the same period last year. This robust performance was driven primarily by our high margin population health business unit, which has seen sustained demand for its data analytics, epidemiology and health equity services, alongside strong contributions from our legacy Healthcare Workforce business, which continues to perform above expectations. Speaker 100:03:14This growth underscores the strength of our diversified business model and our ability to capitalize on opportunities in both established and emerging sectors. The gross profit margin was 30% in Q3 of 2024 compared to 35% in the previous year, primarily due to the timing of the implementation cycle versus revenue recognition for certain milestone driven projects. Total revenue experienced an increase of 14.4 percent compared to the previous quarter, showcasing a strong growth trajectory. Additionally, our gross profit margin improved notably, rising by 1190 basis points compared to Q2 of 2024, reflecting our commitment to operational efficiency and profitability. Additionally, the strategic focus on high margin offerings has allowed us to drive operational efficiencies, further solidifying our financial foundation. Speaker 100:04:20These gains not only reflect our ability to deliver value, but also support our long term growth strategy as we scale our operations and enter new markets, including federal and global mental health initiatives. We are also seeing strong demand for our serenity app in the mental and behavioral health space, signaling potential for exponential growth in these rapidly expanding markets. With the combination of revenue growth, cost optimization and our focus on innovative solutions, we are confident in our path forward and remain laser focused on achieving profitability in the near future. We are confident in our growth trajectory and remain focused on achieving profitability in 2025 by emphasizing excellence in commercial, operational and innovation strategies. Beginning with our emphasis on commercial excellence, we have committed to boosting our revenue and enhancing our profit margins by expanding our portfolio of high revenue clients. Speaker 100:05:28This strategy not only improves our profitability, but also underscores our dedication to delivering greater value to our shareholders. Larger clients significantly contribute to our bottom line through high contract values, economies of scale and reduced sales and marketing costs. They provide stability and predictability in revenue, create opportunities for cross selling and enhance our brand reputation. By serving these large clients, we can drive innovation and develop new high margin products and services, ultimately reinforcing our commitment to maximizing shareholder value. Shifting our focus to operational excellence, I want to emphasize that our recent cost cutting measures have not impacted our revenue production. Speaker 100:06:19As you may recall, in the Q2, we announced a restructuring aimed at reducing operating expenses. Over the past few months, we have made strategic adjustments to our workforce to optimize efficiency and lower costs without compromising our revenue generating capabilities. In fact, our net loss for the Q3 of 2024 was a remarkable 69% reduction from the net loss in the Q2 of 2024. These efforts have significantly improved our financial metrics and we are committed to further stabilizing our operational expense ratio. This enhancement highlights our dedication to efficiency and cost management, which ultimately allows us to allocate more resources towards growth initiatives. Speaker 100:07:13In our pursuit of innovation excellence, we are focused on expanding our innovation pipeline to enhance the variety of products and services we provide. This includes our mental health product, Serenity, which is designed to offer effective solutions for behavioral health challenges. We are also developing Saira Health AI guardrails for chatbots and AI agents, ensuring safe and responsible AI interactions in healthcare. Additionally, we are committed to delivering comprehensive large scale health education programs that facilitate healthcare workforce development. This dedication not only positions us at the cutting edge of healthcare industry, but also ensures that we are effectively meeting the changing needs of our customers. Speaker 100:08:07Building on this foundation, our enhanced financial position allows us to further invest in these innovative offerings, ensuring we continue to meet our clients' evolving needs and capitalize on emerging market opportunities. Saia Health began in 2020 by staffing licensed health professionals in behavior and mental health as a part of our healthcare workforce capability. Building on our expertise and recognizing the urgent need in this area, we have evolved into a healthcare technology company with the launch of Serenity, a comprehensive mental health app and other healthcare products. Beyond mental health, our digital health business unit offers CairaBot, an innovative AI backed chatbot designed to enhance user engagement and streamline healthcare interactions. Its pre generated design ensures compliance with regulatory standards, making it an effective solution for various healthcare providers. Speaker 100:09:14In our population health business unit, we were awarded a contract under the Bipartisan Safer Communities Act focusing on enhancing mental health services for children and families. This initiative involves conducting a comprehensive assessment of emergency preparedness plans at 8 behavior health centers in Wyoming, followed by tailored recommendations to strengthen their services. Our Health Education business unit is dedicated to improving health education for both patients and providers. Recently, we secured a $6,000,000 contract with Indiana Family and Social Services Administration to train healthcare professionals in community based settings over the next 4 years. This initiative includes curriculum development and a quality improvement plan to ensure consistent competencies among support professionals. Speaker 100:10:11Finally, our Healthcare Workforce business unit continues to generate steady revenue, recently winning contracts in Delaware, Florida and Kansas. Together, these business units underscore Cyra Health's commitment to enhancing healthcare delivery and improving outcomes through innovative solutions and strategic partnerships. I would like to take a moment to highlight that in September, we successfully completed a capital raise, generating gross proceeds of $2,100,000 Although this capital raise was not a mandatory requirement for the company, it was executed strategically. We pursued this opportunity to bolster our financial flexibility and further support our growth initiatives. With that, let me turn over to our CFO, Priya Prasad, who will walk through the financial details. Speaker 100:11:08Priya? Speaker 200:11:11Thank you, Deepika, and let me add my warm welcome to everyone joining on this call. The financial results for the Q3 are provided in detail within our press release, which we issued earlier this morning and in our 10 Q. Total revenues for the Q3 of 2024 were $2,300,000 compared to $1,600,000 in the Q3 of last year, representing 42% growth. Growth was driven by our Population Health, Healthcare Workforce and Behavioral and Mental Health business unit. I will now go through each business unit in detail. Speaker 200:11:52Within our Population Health business unit, revenues were $560,000 in the 3rd quarter versus $413,000 in the same period last year, growth of more than 36%, driven by continued demand for public health services by government health agencies. Our Healthcare Workforce business unit also experienced strong growth in the 3rd quarter with revenues of $1,600,000 compared to $1,000,000 a growth of 54 percent. The increase in Healthcare Workforce revenue was driven by new customers and contract renewals. Our Behavioral and Mental Health business unit posted revenues of $13,250 compared to $3,668 in the same period last year. We anticipate further growth in this business unit due to the broader availability of Serenity as a direct to consumer product. Speaker 200:12:52Within our Digital Health business unit, revenues were $92,000 during the Q3, driven by sales of Syrah Bot. Gross profit in the Q3 of 2024 was 668,298 compared to 554,541 in the Q3 of 2023, an increase of 21%. Gross profit margins in the Q3 of 2024 was 35% compared to 30% in the Q3 of 2023, attributed to the bulk of the revenue recognition in Q3 of 2023 from the milestone based implementation of our 1st digital health product. Gross profit margins in the Q3 of 2024 was 29.7% compared to 17.8% in the Q2 of 2024. The 11.90 basis point increase in gross margins quarter over quarter was primarily driven by cost saving initiatives and enhanced operational efficiencies achieved by adopting a lean approach and reducing redundancies. Speaker 200:14:10Total operating expenses for the Q3 of 2024 were $1,100,000 compared to $897,557 in the Q3 of 2023, but down considerably from the Q2 of 2024 when operating expenses totaled $1,700,000 due to our streamlined operations and optimized workforce initiatives, which we expect to continue. Salaries and benefits remained flat in Q3 of 2024 versus Q3 of 2023. Professional fees increased 161% due to the cost of running a public company. Selling, general and administrative expenses increased 23% in advance of recent cost reductions. Depreciation expense was $25,541 compared to $12,357 reflecting expanded office space and additional office equipment. Speaker 200:15:16R and D expenses were $34,821 reflecting the continued development of our technology based solutions. Net loss for the Q3 of 2024 was a negative $417,535 compared to a negative $354,376 in the Q3 of 2023, but down a significant 69% since the Q2 of 2024, where the loss was a negative $1,400,000 Net loss per share decreased to a negative $0.06 in the Q3 of 2024 from a negative $0.21 in the Q2 of 2024. Adjusted EBITDA for the Q3 of 2024 was a negative $389,728 compared to a negative $327,839 in the Q3 of 2023. Cash on hand on September 30, 2024 was $2,700,000 Projections indicate an approximate 2 year capital runway. Again, full reconciliations are provided in the tables included in today's press release. Speaker 200:16:40With that, let me turn the call back over to Deepika. Speaker 100:16:46Thank you, Priya. Building on our impressive growth and strategic advancements, we are poised for continued success in the coming quarters. Our strong performance in high margin business units has solidified our position in critical sectors with increasing demand. With the successful launch of our mental health app, Serenity, we are tapping into expanding national and global markets for mental and behavioral health solutions, where the need for innovative evidence based interventions continues to grow. Looking ahead, we are committed to driving revenue growth through the expansion of our service offerings and the execution of key contracts in multiple states. Speaker 100:17:28The healthcare workforce and training sectors remain a focus as we deepen our partnerships and increase our presence in new markets. We are also keen to explore and expand our presence in federal markets, leveraging our expertise to meet the growing needs of government agencies focused on health and public welfare. This will further strengthen our portfolio and position us as a trusted partner in large scale federal initiatives. Importantly, our ongoing cost saving initiatives have resulted in a sustainable reduction in operating expenses, allowing us to optimize resources while maintaining high quality service delivery. We remain focused on enhancing operational efficiency and leveraging AI technology to support long term growth. Speaker 100:18:19With the narrowed net loss, improved gross margins and the strengthened operational strategy, the company is poised for growth, reporting a solid 2 year capital runway. With these efforts, we are optimistic about the potential to achieve profitability by 2025 and to scale our impact in healthcare innovation, continuing to deliver value to our clients, stakeholders and communities. I thank you for your attention. I'm happy to take any questions you may have. Robert? Operator00:18:53Thank you to the management team. We have some questions for you. First, what was the objective behind the capital raise you conducted in the Q3? Speaker 100:19:06Yes, Robert. The recent capital raise was executed strategically and it was not a mandatory requirement for the company. We pursued this opportunity to enhance our financial flexibility and support our growth initiatives. Operator00:19:23Okay, great. Next question, can you provide any updates on serenity? Speaker 100:19:29Most definitely. Serenity is our unique, scientifically validated and a comprehensive mental health app, which has a dual focus on prevention and intervention. It's one of the many mental health apps available where it is one of less than 5% that is based on science. Sophisticated algorithms provide risk scores for various mental health conditions and the app also suggests tailored interventions. Certainity also includes a direct link for suicide prevention where immediate support is needed. Speaker 100:20:06The early feedback we have been receiving from our customers, it's been very encouraging and we are excited about the potential this product holds. Operator00:20:16Okay, great. And our final question is, tell me about your approach to integrating AI in your technology products? Speaker 100:20:27Yes, definitely. By integrating AI in our proprietary GuardRails technology, we are leading the change in creating AI systems that are not only powerful and efficient, but also ethical and transparent. CyberGuard Trace is an explainable AI framework that ensures AI generated responses are safe, non judgmental and compliant with healthcare regulations. Unlike traditional AI, which operates as a black box, our guardrails technology is designed to be transparent and explainable, allowing users and healthcare providers to understand and trust AI's decisions. Whether it's a hospital chatbot that needs to avoid giving medical advice or an AI journal that must stay within regulatory guidelines, Saira guardrails ensures that the AI remains on task and within defined ethical boundaries. Operator00:21:29Okay. It looks like we are out of time. My thanks to everyone for participating in today's call. We look forward to speaking with all of you again next quarter.Read morePowered by Conference Call Audio Live Call not available Earnings Conference CallSyra Health Q3 202400:00 / 00:00Speed:1x1.25x1.5x2x Earnings DocumentsPress Release(8-K)Quarterly report(10-Q) Syra Health Earnings HeadlinesIsraeli Strike Targets Syria's Hama Countryside, Syrian State News Agency SaysMay 2 at 10:01 PM | usnews.comSyra Health To Discuss First Quarter 2025 Financial ResultsMay 1, 2025 | prnewswire.comElon Reveals Why There Soon Won’t Be Any Money For Social SecurityElon Musk's Near-Death Experience Sparks Dire Warning for Americans After cheating death twice—once in a terrifying supercar crash with billionaire Peter Thiel, then from a deadly strain of malaria—Elon Musk emerged with a stark warning for Americans about looming financial dangers. 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Email Address About Syra HealthSyra Health (NASDAQ:SYRA), a healthcare services company, provides health education, population health management, behavioral and mental health, healthcare workforce, and digital health services in the United States. It offers health education services, including medical communications, patient education, and healthcare training; and population health management services, such as analytics as a service, epidemiology, and health equity analytics solutions. The company also engages in developing Syrenity, an on-demand telehealth platform for mental health services. In addition, the company provides healthcare staffing solutions; and digital health solutions comprising digital transformation, cloud and security, artificial intelligence, patient engagement, and health apps. It serves mental health hospitals and organizations, including government agencies, integrated health networks, managed care entities, and pharmaceutical manufacturers. Syra Health Corp. was incorporated in 2020 and is headquartered in Carmel, Indiana.View Syra Health ProfileRead more More Earnings Resources from MarketBeat Earnings Tools Today's Earnings Tomorrow's Earnings Next Week's Earnings Upcoming Earnings Calls Earnings Newsletter Earnings Call Transcripts Earnings Beats & Misses Corporate Guidance Earnings Screener Earnings By Country U.S. Earnings Reports Canadian Earnings Reports U.K. Earnings Reports Latest Articles Is Reddit Stock a Buy, Sell, or Hold After Earnings Release?Warning or Opportunity After Super Micro Computer's EarningsAmazon Earnings: 2 Reasons to Love It, 1 Reason to Be CautiousRocket Lab Braces for Q1 Earnings Amid Soaring ExpectationsMeta Takes A Bow With Q1 Earnings - Watch For Tariff Impact in Q2Palantir Earnings: 1 Bullish Signal and 1 Area of ConcernVisa Q2 Earnings Top Forecasts, Adds $30B Buyback Plan Upcoming Earnings American Electric Power (5/6/2025)Advanced Micro Devices (5/6/2025)Marriott International (5/6/2025)Constellation Energy (5/6/2025)Arista Networks (5/6/2025)Brookfield Asset Management (5/6/2025)Duke Energy (5/6/2025)Energy Transfer (5/6/2025)Mplx (5/6/2025)Ferrari (5/6/2025) Get 30 Days of MarketBeat All Access for Free Sign up for MarketBeat All Access to gain access to MarketBeat's full suite of research tools. 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There are 3 speakers on the call. Operator00:00:00Good morning, everyone, and thank you for joining us for Cyra Health's 3rd Quarter 2024 Financial Results Conference Call. My name is Robert Blum, and I will be your moderator for today's event. Joining us on today's call is Doctor. Deepika Vupalanshi, CEO of CIRA Health and Priya Prasad, CIRA's Chief Financial Officer. At the conclusion of today's prepared remarks, management will answer some questions that were sent to us by investors and other questions we think are relevant to investors as well. Operator00:00:33Today's event is being recorded and will be available for replay through the webcast information provided in the press release. I'd also like to call to your attention the customary Safe Harbor disclosure regarding forward looking information. The conference call today will contain certain forward looking statements, including statements regarding the goals, strategies, beliefs, expectations and future potential operating results of Syrah Health. Although management believes these statements are reasonable based on estimates, assumptions and projections as of today, these statements are not guarantees of future performance. Time sensitive information may no longer be accurate at the time of any telephonic or webcast replay. Operator00:01:20Actual results may differ materially as a result of risks, uncertainties and other factors, including, but not limited to, the factors set forth in the company's filings with the SEC. Syrah undertakes no obligation to update or revise any of these forward looking statements. With that said, I would like to turn the event over to Doctor. Deepika Vupilanti, Chief Executive Officer of CIRA Health. Deepika, please go ahead. Speaker 100:01:51Thank you, Robert. Welcome, everyone. Thank you for joining our 3rd quarter's earnings call today. We truly appreciate your continued interest in Cyra Health and are excited to share updates on our recent performance and future goals. I will begin by highlighting a strong Q3 financial performance followed by an update on the strategic cost cutting initiatives we have successfully implemented. Speaker 100:02:17After that, I will outline the significant strides we are making on a journey towards profitability. Then I will hand over the call to our Chief Financial Officer, Priya Prasad, who will take you through a more detailed breakdown of our financial results. In terms of financial metrics, we have experienced significant positive shifts across the board. The 3rd quarter marked an outstanding period for Cyra Health with revenues growing by a notable 42% compared to the same period last year. This robust performance was driven primarily by our high margin population health business unit, which has seen sustained demand for its data analytics, epidemiology and health equity services, alongside strong contributions from our legacy Healthcare Workforce business, which continues to perform above expectations. Speaker 100:03:14This growth underscores the strength of our diversified business model and our ability to capitalize on opportunities in both established and emerging sectors. The gross profit margin was 30% in Q3 of 2024 compared to 35% in the previous year, primarily due to the timing of the implementation cycle versus revenue recognition for certain milestone driven projects. Total revenue experienced an increase of 14.4 percent compared to the previous quarter, showcasing a strong growth trajectory. Additionally, our gross profit margin improved notably, rising by 1190 basis points compared to Q2 of 2024, reflecting our commitment to operational efficiency and profitability. Additionally, the strategic focus on high margin offerings has allowed us to drive operational efficiencies, further solidifying our financial foundation. Speaker 100:04:20These gains not only reflect our ability to deliver value, but also support our long term growth strategy as we scale our operations and enter new markets, including federal and global mental health initiatives. We are also seeing strong demand for our serenity app in the mental and behavioral health space, signaling potential for exponential growth in these rapidly expanding markets. With the combination of revenue growth, cost optimization and our focus on innovative solutions, we are confident in our path forward and remain laser focused on achieving profitability in the near future. We are confident in our growth trajectory and remain focused on achieving profitability in 2025 by emphasizing excellence in commercial, operational and innovation strategies. Beginning with our emphasis on commercial excellence, we have committed to boosting our revenue and enhancing our profit margins by expanding our portfolio of high revenue clients. Speaker 100:05:28This strategy not only improves our profitability, but also underscores our dedication to delivering greater value to our shareholders. Larger clients significantly contribute to our bottom line through high contract values, economies of scale and reduced sales and marketing costs. They provide stability and predictability in revenue, create opportunities for cross selling and enhance our brand reputation. By serving these large clients, we can drive innovation and develop new high margin products and services, ultimately reinforcing our commitment to maximizing shareholder value. Shifting our focus to operational excellence, I want to emphasize that our recent cost cutting measures have not impacted our revenue production. Speaker 100:06:19As you may recall, in the Q2, we announced a restructuring aimed at reducing operating expenses. Over the past few months, we have made strategic adjustments to our workforce to optimize efficiency and lower costs without compromising our revenue generating capabilities. In fact, our net loss for the Q3 of 2024 was a remarkable 69% reduction from the net loss in the Q2 of 2024. These efforts have significantly improved our financial metrics and we are committed to further stabilizing our operational expense ratio. This enhancement highlights our dedication to efficiency and cost management, which ultimately allows us to allocate more resources towards growth initiatives. Speaker 100:07:13In our pursuit of innovation excellence, we are focused on expanding our innovation pipeline to enhance the variety of products and services we provide. This includes our mental health product, Serenity, which is designed to offer effective solutions for behavioral health challenges. We are also developing Saira Health AI guardrails for chatbots and AI agents, ensuring safe and responsible AI interactions in healthcare. Additionally, we are committed to delivering comprehensive large scale health education programs that facilitate healthcare workforce development. This dedication not only positions us at the cutting edge of healthcare industry, but also ensures that we are effectively meeting the changing needs of our customers. Speaker 100:08:07Building on this foundation, our enhanced financial position allows us to further invest in these innovative offerings, ensuring we continue to meet our clients' evolving needs and capitalize on emerging market opportunities. Saia Health began in 2020 by staffing licensed health professionals in behavior and mental health as a part of our healthcare workforce capability. Building on our expertise and recognizing the urgent need in this area, we have evolved into a healthcare technology company with the launch of Serenity, a comprehensive mental health app and other healthcare products. Beyond mental health, our digital health business unit offers CairaBot, an innovative AI backed chatbot designed to enhance user engagement and streamline healthcare interactions. Its pre generated design ensures compliance with regulatory standards, making it an effective solution for various healthcare providers. Speaker 100:09:14In our population health business unit, we were awarded a contract under the Bipartisan Safer Communities Act focusing on enhancing mental health services for children and families. This initiative involves conducting a comprehensive assessment of emergency preparedness plans at 8 behavior health centers in Wyoming, followed by tailored recommendations to strengthen their services. Our Health Education business unit is dedicated to improving health education for both patients and providers. Recently, we secured a $6,000,000 contract with Indiana Family and Social Services Administration to train healthcare professionals in community based settings over the next 4 years. This initiative includes curriculum development and a quality improvement plan to ensure consistent competencies among support professionals. Speaker 100:10:11Finally, our Healthcare Workforce business unit continues to generate steady revenue, recently winning contracts in Delaware, Florida and Kansas. Together, these business units underscore Cyra Health's commitment to enhancing healthcare delivery and improving outcomes through innovative solutions and strategic partnerships. I would like to take a moment to highlight that in September, we successfully completed a capital raise, generating gross proceeds of $2,100,000 Although this capital raise was not a mandatory requirement for the company, it was executed strategically. We pursued this opportunity to bolster our financial flexibility and further support our growth initiatives. With that, let me turn over to our CFO, Priya Prasad, who will walk through the financial details. Speaker 100:11:08Priya? Speaker 200:11:11Thank you, Deepika, and let me add my warm welcome to everyone joining on this call. The financial results for the Q3 are provided in detail within our press release, which we issued earlier this morning and in our 10 Q. Total revenues for the Q3 of 2024 were $2,300,000 compared to $1,600,000 in the Q3 of last year, representing 42% growth. Growth was driven by our Population Health, Healthcare Workforce and Behavioral and Mental Health business unit. I will now go through each business unit in detail. Speaker 200:11:52Within our Population Health business unit, revenues were $560,000 in the 3rd quarter versus $413,000 in the same period last year, growth of more than 36%, driven by continued demand for public health services by government health agencies. Our Healthcare Workforce business unit also experienced strong growth in the 3rd quarter with revenues of $1,600,000 compared to $1,000,000 a growth of 54 percent. The increase in Healthcare Workforce revenue was driven by new customers and contract renewals. Our Behavioral and Mental Health business unit posted revenues of $13,250 compared to $3,668 in the same period last year. We anticipate further growth in this business unit due to the broader availability of Serenity as a direct to consumer product. Speaker 200:12:52Within our Digital Health business unit, revenues were $92,000 during the Q3, driven by sales of Syrah Bot. Gross profit in the Q3 of 2024 was 668,298 compared to 554,541 in the Q3 of 2023, an increase of 21%. Gross profit margins in the Q3 of 2024 was 35% compared to 30% in the Q3 of 2023, attributed to the bulk of the revenue recognition in Q3 of 2023 from the milestone based implementation of our 1st digital health product. Gross profit margins in the Q3 of 2024 was 29.7% compared to 17.8% in the Q2 of 2024. The 11.90 basis point increase in gross margins quarter over quarter was primarily driven by cost saving initiatives and enhanced operational efficiencies achieved by adopting a lean approach and reducing redundancies. Speaker 200:14:10Total operating expenses for the Q3 of 2024 were $1,100,000 compared to $897,557 in the Q3 of 2023, but down considerably from the Q2 of 2024 when operating expenses totaled $1,700,000 due to our streamlined operations and optimized workforce initiatives, which we expect to continue. Salaries and benefits remained flat in Q3 of 2024 versus Q3 of 2023. Professional fees increased 161% due to the cost of running a public company. Selling, general and administrative expenses increased 23% in advance of recent cost reductions. Depreciation expense was $25,541 compared to $12,357 reflecting expanded office space and additional office equipment. Speaker 200:15:16R and D expenses were $34,821 reflecting the continued development of our technology based solutions. Net loss for the Q3 of 2024 was a negative $417,535 compared to a negative $354,376 in the Q3 of 2023, but down a significant 69% since the Q2 of 2024, where the loss was a negative $1,400,000 Net loss per share decreased to a negative $0.06 in the Q3 of 2024 from a negative $0.21 in the Q2 of 2024. Adjusted EBITDA for the Q3 of 2024 was a negative $389,728 compared to a negative $327,839 in the Q3 of 2023. Cash on hand on September 30, 2024 was $2,700,000 Projections indicate an approximate 2 year capital runway. Again, full reconciliations are provided in the tables included in today's press release. Speaker 200:16:40With that, let me turn the call back over to Deepika. Speaker 100:16:46Thank you, Priya. Building on our impressive growth and strategic advancements, we are poised for continued success in the coming quarters. Our strong performance in high margin business units has solidified our position in critical sectors with increasing demand. With the successful launch of our mental health app, Serenity, we are tapping into expanding national and global markets for mental and behavioral health solutions, where the need for innovative evidence based interventions continues to grow. Looking ahead, we are committed to driving revenue growth through the expansion of our service offerings and the execution of key contracts in multiple states. Speaker 100:17:28The healthcare workforce and training sectors remain a focus as we deepen our partnerships and increase our presence in new markets. We are also keen to explore and expand our presence in federal markets, leveraging our expertise to meet the growing needs of government agencies focused on health and public welfare. This will further strengthen our portfolio and position us as a trusted partner in large scale federal initiatives. Importantly, our ongoing cost saving initiatives have resulted in a sustainable reduction in operating expenses, allowing us to optimize resources while maintaining high quality service delivery. We remain focused on enhancing operational efficiency and leveraging AI technology to support long term growth. Speaker 100:18:19With the narrowed net loss, improved gross margins and the strengthened operational strategy, the company is poised for growth, reporting a solid 2 year capital runway. With these efforts, we are optimistic about the potential to achieve profitability by 2025 and to scale our impact in healthcare innovation, continuing to deliver value to our clients, stakeholders and communities. I thank you for your attention. I'm happy to take any questions you may have. Robert? Operator00:18:53Thank you to the management team. We have some questions for you. First, what was the objective behind the capital raise you conducted in the Q3? Speaker 100:19:06Yes, Robert. The recent capital raise was executed strategically and it was not a mandatory requirement for the company. We pursued this opportunity to enhance our financial flexibility and support our growth initiatives. Operator00:19:23Okay, great. Next question, can you provide any updates on serenity? Speaker 100:19:29Most definitely. Serenity is our unique, scientifically validated and a comprehensive mental health app, which has a dual focus on prevention and intervention. It's one of the many mental health apps available where it is one of less than 5% that is based on science. Sophisticated algorithms provide risk scores for various mental health conditions and the app also suggests tailored interventions. Certainity also includes a direct link for suicide prevention where immediate support is needed. Speaker 100:20:06The early feedback we have been receiving from our customers, it's been very encouraging and we are excited about the potential this product holds. Operator00:20:16Okay, great. And our final question is, tell me about your approach to integrating AI in your technology products? Speaker 100:20:27Yes, definitely. By integrating AI in our proprietary GuardRails technology, we are leading the change in creating AI systems that are not only powerful and efficient, but also ethical and transparent. CyberGuard Trace is an explainable AI framework that ensures AI generated responses are safe, non judgmental and compliant with healthcare regulations. Unlike traditional AI, which operates as a black box, our guardrails technology is designed to be transparent and explainable, allowing users and healthcare providers to understand and trust AI's decisions. Whether it's a hospital chatbot that needs to avoid giving medical advice or an AI journal that must stay within regulatory guidelines, Saira guardrails ensures that the AI remains on task and within defined ethical boundaries. Operator00:21:29Okay. It looks like we are out of time. My thanks to everyone for participating in today's call. We look forward to speaking with all of you again next quarter.Read morePowered by