Predictive Oncology (Nasdaq: POAI), a company at the forefront of using artificial intelligence and machine learning to revolutionize oncologic drug discovery, has released its financial and operational report for the final quarter of 2024. The company has also provided key updates regarding its ongoing corporate developments.
Financial Performance Overview
For the year ending December 31, 2024, Predictive Oncology reported a total revenue of $1.6 million, with a loss from continuing operations amounting to approximately $10.8 million. Despite the financial losses, the company continues to make strategic moves that could position it for long-term growth.
Strategic Developments and Corporate Progress
A major milestone in early 2025 was the announcement of a merger agreement with Renovaro, Inc., made public on January 6. By March 3, Renovaro had provided the first tranche of financing, setting in motion the integration of AI and machine learning platform technologies, laboratory capabilities, and business development efforts in both the U.S. and European markets. Both companies remain engaged in due diligence, with expectations of finalizing a definitive merger agreement soon.
In an effort to streamline operations and sharpen its focus on core AI/ML capabilities, Predictive Oncology completed the sale of its Skyline Medical Inc. assets to DeRoyal Industries. This transaction has led to a significant reduction in operating expenses and strengthened the company’s strategic focus.
Additionally, the company has taken a proactive approach to drug repurposing by leveraging publicly available datasets to compile a registry of promising pharmaceutical candidates. This initiative aims to bring new therapeutic options to market by identifying alternative uses for drugs previously abandoned or discontinued by major pharmaceutical companies.
Key Achievements in 2024
- Entered into a merger agreement with Renovaro, Inc., securing the first phase of funding for AI/ML and lab technology integration.
- Successfully divested Skyline Medical Inc. assets, reducing operational expenses and honing core capabilities.
- Expanded drug screening capabilities by partnering with Switzerland-based Tecan Group Ltd. to incorporate automated imaging and 3D analysis for human tumor spheroids.
- Presented promising results from an ongoing study with Tecan at the 2025 Society for Laboratory Automation and Screening (SLAS) International Conference & Exhibition.
- Announced the planned European launch of ChemoFx®, a live cell drug response assay, with initial applications targeting ovarian and gynecological cancers.
- Raised over $3.0 million in gross proceeds through multiple financing activities, including asset sales, stock issuances, and direct offerings.
Leadership Perspective
Chairman and CEO Raymond Vennare emphasized the company’s commitment to maximizing shareholder value while advancing AI-driven oncology solutions. “During the fourth quarter and subsequent months, we have taken concrete steps to refine our core focus on AI/ML-based drug and biomarker discovery. The pending merger with Renovaro has the potential to establish a unique AI/ML-driven drug discovery company that can significantly impact cancer treatment outcomes,” stated Vennare. “This partnership represents an opportunity to bring hope to patients battling difficult-to-treat cancers, and we remain dedicated to completing the merger agreement to advance that mission.”
Financial Position and Outlook
Predictive Oncology concluded the fiscal year with $734,673 in cash and cash equivalents, compared to $8.7 million at the end of 2023. Shareholders’ equity also shifted to a deficit of $(202,610), a notable decrease from $8.3 million in positive equity the previous year.
Despite the financial losses, the company saw some improvements in cost management. General and administrative expenses fell to $7.4 million, a reduction of nearly $1 million from the prior year, attributed to lower severance expenses and reduced legal and investor relations costs. Operational expenses also saw a decline, primarily due to reduced headcount and lower research and development costs.
Looking ahead, Predictive Oncology is focusing on executing its merger with Renovaro, expanding its AI-driven capabilities, and advancing its pipeline of drug repurposing candidates.
The post Predictive Oncology Reports FY 2024: Advances AI-Driven Cancer Research Amid Strategic Merger and Financial Developments appeared first on PRISM MarketView.
