Lucid Diagnostics Reports $14.6 Million Net Loss in Q2 2022, Revenue Increases to $189,000

Lucid Diagnostics Inc. reported its financial results for the second quarter of 2022, revealing a net loss of $14.6 million, or $0.41 per share, compared to a net loss of $6.2 million, or $0.44 per share, in the same period of the previous year. For the six months ended June 30, 2022, the company recorded revenue of $189,000, a significant increase from zero revenue in the first half of 2021. The increase in revenue is attributed to the recognition of revenue under the EsoGuard Commercialization Agreement, which was in effect until February 2022.

The company's operating expenses surged to $14.6 million for the second quarter, up from $6 million in the prior year, driven primarily by increased sales and marketing costs, which rose to $3.9 million from $1 million. General and administrative expenses also saw a substantial increase, reaching $7.3 million compared to $3.1 million in the same quarter of 2021. Research and development expenses rose to $3.4 million from $1.9 million, reflecting the company's ongoing commitment to product development and clinical trials.

In terms of strategic developments, Lucid Diagnostics completed an asset purchase agreement with ResearchDx, Inc. in February 2022, allowing the company to establish its own CLIA-certified laboratory capable of performing the EsoGuard Esophageal DNA assay. This move is expected to enhance the company's operational capabilities and streamline its testing processes. Additionally, the company is focusing on expanding its commercialization efforts, including the establishment of Lucid Test Centers for sample collection and the development of the EsoCure esophageal ablation device.

As of June 30, 2022, Lucid Diagnostics had total assets of $45.4 million, down from $59 million at the end of 2021. The company's cash reserves decreased to $32.7 million from $53.7 million, primarily due to operational losses. The total liabilities increased to $9.2 million, up from $4.3 million at the end of 2021, largely due to increased accounts payable and accrued expenses. The company’s employee headcount has also grown, reflecting its expansion efforts.

Looking ahead, Lucid Diagnostics aims to continue its focus on the commercialization of its products, particularly the EsoGuard and EsoCheck technologies, while also pursuing additional clinical evidence to support insurance reimbursement adoption. The company anticipates ongoing operational losses but expects to meet its financial obligations through existing cash reserves and committed equity financing. The management remains optimistic about the potential for growth in the diagnostic market, particularly in light of recent clinical guideline updates supporting the use of non-invasive screening tools for esophageal precancer.