In our newest interview with Numinus Wellness Inc. (TSE: NUMI) (OTCMKTS: NUMIF), TDR Founder Shadd Dales spoke with CEO Payton Nyquvest in a conversation focused on first quarter 2023 financial results, released Monday after market. Payton provides additional color of the company’s big sequential jump in revenue, gross margins and client growth, along with other intricacies important to investors.
On the subject of client appointment growth, Payton points out that there is “a lot of opportunity to growth within our existing infrastructure.” This was evidenced by overall client appointments growth of 13.7%, despite the fact that no new clinics were added. This equates to approximately 19,774 client appointments completed—up from 17,000 completed in the previous quarter.
Furthermore, Payton confirmed that Numinus has the capacity to handle new patient growth, which is always a challenge in the mental health space: “We have quite a bit of capacity at the moment (to process additional patients). So, that’s what we’ll—a big, big focus for us in 2023 is really leveraging fully the infrastructure that we’ve got.”
On the subject of cash burn, Payton confirms that things are heading in the right direction. Numinus as “already begin to drive that down” and the numbers should be “represented in our next financials.” It was predicted that cash burn could be pared to approximately $1 million per month in 2023, which would preserve existing cash on the balance sheet and prevent the need for capital raising this year, pending an extraneous M&A the company may be planning.
Last month, Payton characterized burn rate as the “number one objective of the company” to bring that metric into a sustainable trajectory as the Numinus drives towards greater efficiency and profitability. Cash burn had been elevated in the fiscal fourth quarter owing to the acquisition of Novamind Inc. and the costs associated with the transaction.
To view our previous interview with Numinus Wellness CEO Payton Nyquvest, click here.