Summary by Moomoo AI
Marpai, Inc. reported Q3 2024 revenue of $7.0 million, down 19.7% from $8.7 million in Q3 2023, primarily due to customer turnover. Net loss improved to $3.6 million compared to $7.3 million in the prior year period. The company recorded cost of revenue of $5.0 million, down 11.6% year-over-year, while operating expenses decreased 36.1% to $10.1 million.The company has implemented significant cost reduction initiatives throughout 2023 and 2024, including aligning its two TPA companies into one, resulting in substantial savings across general and administrative, sales and marketing, and information technology expenses. In June 2024, Marpai recorded a $7.6 million impairment charge on goodwill and intangible assets due to below-expected revenues and continued operating losses.As of September 30, 2024, Marpai had $830,000 in unrestricted cash and negative working capital of $3.3 million. The company's board is exploring strategic alternatives to maximize shareholder value, including potential strategic investment financing, business combinations, or sale of the company. Management noted substantial doubt about the company's ability to continue as a going concern, citing the need for additional capital to fund operations.
