ACRO Biomedical Reports $11,252 Net Loss in Q1 2024, No Revenue Generated

ACRO Biomedical Co., Ltd. reported its financial results for the first quarter of 2024, revealing a net loss of $11,252, or $0.00 per share, compared to a significantly larger net loss of $4,004,354, or $0.07 per share, for the same period in 2023. The company did not generate any revenue during either quarter, reflecting ongoing challenges in its business operations. Operating expenses for the latest quarter were $10,298, a substantial decrease from $4,003,566 in the prior year, primarily due to the absence of research and development costs associated with previous projects.

The significant reduction in operating expenses is attributed to the conclusion of contracts with consultants that had been engaged for research and development activities, which did not yield any marketable products. In the first quarter of 2023, research and development expenses alone accounted for $2,520,000, while selling, general, and administrative expenses were $1,483,566. The company has since ceased these costly initiatives, leading to a more streamlined expense structure.

ACRO Biomedical's financial position remains precarious, with current assets reported at just $151 as of March 31, 2024, down from $1,626 at the end of 2023. Current liabilities increased slightly to $297,780, resulting in a working capital deficiency of $297,629. The company continues to rely on advances from a minority stockholder for funding, which has been its primary source of capital in recent years. The lack of revenue generation and the company's stock being listed on the OTC Market Group’s Expert Market raise substantial doubts about its ability to continue as a going concern.

Operationally, the company has no full-time employees, with its chief executive officer serving on a part-time basis without compensation. The absence of a robust workforce and the lack of product orders further complicate its ability to recover from its current financial state. The company has not made any sales since the end of 2022, and it has not developed any new products from its research and development efforts. The management has indicated that it may seek to raise funds through equity financing, but the lack of an active market for its stock and ongoing financial difficulties present significant barriers.

Looking ahead, ACRO Biomedical faces considerable challenges in generating revenue and sustaining operations. The company has acknowledged the impact of external factors, including inflation and supply chain disruptions, which could further hinder its ability to market products effectively. Without a clear path to revenue generation or a viable product offering, the outlook remains uncertain, and the company may struggle to maintain its business operations in the near future.