TORONTO, April 30, 2025 (GLOBE NEWSWIRE) — PharmAla Biotech Holdings Inc. (“PharmAla” or the “Company”) (CSE: MDMA) (OTC: MDXXF), a biotechnology company focused on the research, development, and manufacturing of LaNeo™ MDMA and novel derivatives of MDMA (MDXX class molecules), is pleased to have publicly filed its financial and operational results for the period ended February 28, 2025. All figures are reported in Canadian dollars. The Company’s full set of consolidated audited financial statements for the quarter and accompanying management’s discussion and analysis can be accessed by visiting the Company’s website at www.PharmAla.ca and its profile page on SEDAR+ at www.sedarplus.ca.
“In Q2, PharmAla accelerated our operational transition; Our Prescriber’s Portal began yielding sustainable patient treatments, along with sustainable distribution, which we ultimately believe will be the bedrock of recurring revenue for our business. Similarly, Cortexa continued to perform well by signing a supply agreement with Emyria during this period,” said Nick Kadysh, CEO, PharmAla Biotech. “Despite turbulence in global supply chain and shipping, our team has successfully completed several announced shipments in the past few months, only one of which has been recognized in Q2. We are hard at working improving both of these pipelines, and look forward to providing investors with an update on our MDXX development work in the near future.”
- During fiscal 2024 the Company realized revenue of over $1.0M representing growth of $503,000 or 95% year over year, lead by growth in MDMA product sales of $723,000, a $305,000 or 73% increase year over year. In fiscal 2024, the Company also increased customer deposits by approximately $19,000, which has continued to grow by $121,600 through Q2, offset by recognition of revenue of $49,000. These deposits, generally being 50% of the total contract value, can be recognized along with the remaining revenue when the related product is shipped, which for many customers requires the issuance of their clinical trial and/or import permits from relevant regulatory bodies.
- Shipments in Canada under the SAP were resumed in Q2 and, having secured the requisite Health Canada export permits, we began fulfilling our U.S. clinical trial sales contracts. Consequently, during the 3 and 6 months ended February 28, 2025, we recognized $88,900 of product revenue.
- During the period the Company received cash proceeds of $1.53 million, net of issue costs, on top of $42,500 from Directors of the Company for the exercise of options, and $30,000 from exercise of warrants.
- The higher loss in Q2 2025 compared to Q2 2024 is largely attributable to non-cash expenditures, like stock based compensation, as well as the timing of the shipments in Q2 2024, $700,000 of which occurred during the three months ended Q2 2024. In fact, if we consider only expenses and adjust out stock based compensation, amortization, the loss on the debt settlement and deferred joint venture profit on sales, our expenses have only marginally increased despite the cessation of capitalization of costs to our MDXX molecules, which commenced amortization during Q4 2024.
“We’re excited about the uptick in SAP sales that we’ve seen since onboarding our new distributor and look forward to capitalizing on increased demand through our Prescriber’s Portal,” said Will Avery, CFO, PharmAla Biotech. “Further, having fulfilled the first of our clinical trial sales in the U.S., we have established a repeatable process for completing those clinical trial deliveries while we onboard with our recently announced U.S. distribution partner.”
PharmAla Biotech Holdings Inc. (CSE: MDMA) (OTCQB: MDXXF) is a biotechnology company focused on the research, development, and manufacturing of MDXX class molecules, including MDMA. PharmAla was founded with a dual focus: alleviating the global backlog of generic, clinical-grade MDMA to enable clinical trials as well as commercial sales in selected jurisdictions, and to develop novel drugs in the same class. PharmAla is the only company currently provisioning clinical-grade MDMA for patient treatments outside of clinical trials. PharmAla’s research and development unit has completed proof-of-concept research into several IP families, including ALA-002, its lead drug candidate. PharmAla is a “regulatory first” organization, formed under the principle that true success in the psychedelics industry will only be achieved through excellent relationships with regulators.
For more information, please contact:
Nicholas Kadysh
Chief Executive Officer
PharmAla Biotech Holdings Inc.
Email: press@PharmAla.ca
Phone: 1-855-444-6362
Website: www.PharmAla.ca
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