PITTSBURGH, Pennsylvania - Predictive Oncology Inc (NASDAQ:POAI)., a medical technology company specializing in personalized cancer care, has received a notification from Nasdaq regarding non-compliance with the stock exchange's minimum stockholders’ equity requirement.
The notice, dated November 20, 2024, states that the company's equity fell short of the Nasdaq Capital Market's $2.5 million threshold, with reported stockholders’ equity of $1,966,969 as of September 30, 2024.
The company, which is listed under the ticker symbol NASDAQ:POAI, has been given until January 6, 2025, to submit a plan to regain compliance. If accepted, Nasdaq may allow up to 180 calendar days from the notice date for Predictive Oncology to meet the requirement. The current listing of Predictive Oncology’s common stock remains active, with the company's compliance with other listing standards unaffected by this notice.
Predictive Oncology is considering various options to address the shortfall and plans to submit a compliance plan within the given timeframe. If the company fails to present a plan, if the plan is not accepted, or if the company does not achieve compliance within the extension period, Nasdaq may initiate delisting procedures. However, Predictive Oncology would have the right to appeal any delisting decision to a Nasdaq Hearings Panel.
This development follows a series of name changes for the company, previously known as Precision Therapeutics Inc., Precision Therapeutic Inc., and Skyline Medical (TASE:PMCN) Inc. The company is headquartered in Pittsburgh, Pennsylvania, and operates within the orthopedic, prosthetic, and surgical appliances and supplies industry.
The information in this article is based on Predictive Oncology's recent SEC filing.
In other recent news, Predictive Oncology revealed a decrease in its Q2 2024 revenue from $490,000 to $279,000 compared to the same quarter in the previous year. However, the company managed to reduce its net loss per share from $0.98 to $0.68. In terms of company developments, Predictive Oncology has received a notice from NASDAQ due to its stock price falling below the minimum bid price requirement but has until March 18, 2025, to regain compliance. In other updates, the company completed a significant ovarian cancer study with UPMC Magee-Womens Hospital and launched a 3D cell culture technology.
The company also confirmed the long-term stability of its biobank's cryopreserved patient tumor samples, a crucial aspect in predicting patient outcomes and personalizing therapies. The study demonstrated a 100% concordance rate between the original fresh patient sample testing and the cryogenically stored material.
Predictive Oncology also expanded its artificial intelligence and machine learning capabilities for biomarker discovery while implementing cost reduction measures such as consolidating operations in Pittsburgh. Despite operating at a loss with an accumulated deficit of $175 million, the company successfully raised $5 million in capital and decreased its net cash usage to $6.6 million for the six months ended June 30, 2024.
InvestingPro Insights
Recent InvestingPro data provides additional context to Predictive Oncology's (NASDAQ:POAI) financial situation. The company's market capitalization stands at a modest $5 million, reflecting its current challenges. InvestingPro Tips highlight that POAI is "quickly burning through cash" and "not profitable over the last twelve months," which aligns with the company's struggle to meet Nasdaq's stockholders' equity requirement.
The company's revenue for the last twelve months as of Q3 2024 was $1.48 million, with a concerning revenue growth of -11.21% over the same period. This decline is further emphasized by an InvestingPro Tip indicating that "analysts anticipate sales decline in the current year."
POAI's stock performance has been particularly weak, with InvestingPro Tips noting that the "price has fallen significantly over the last year" and has "taken a big hit over the last six months." This is quantified by the YTD Price Total (EPA:TTEF) Return of -79.06% as of the latest data.
These insights from InvestingPro underscore the financial challenges Predictive Oncology faces as it works to regain compliance with Nasdaq requirements. Investors seeking a more comprehensive analysis can access additional tips and data through InvestingPro, which offers 10 more tips for POAI.
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