- Incannex Healthcare (IHL) has reported a growth of 11,859 per cent in revenue to $1.23 million for the first half of FY21
- In terms of operating expenditure, the company spent $2.8 million compared to $1.5 million in the prior corresponding period
- Increased research and development, as well as other other costs, led to a 31 per cent increase in total net losses of $2.9 million
- Incannex prioritised a number of trials to traumatic brain injury, anxiety, sleep apnoea and sepsis associated acute respiratory distress syndrome
- At the end of the period, Incannex still had a healthy $11.8 million in cash — marking an $8.2 million growth from the end of June
- Company shares are trading in the grey at 22 cents
Incannex Healthcare (IHL) has reported a revenue growth of 11,859 per cent to $1.23 million for the six months to December 31, 2020.
During the half-year, Incannex continued focusing on researching, developing and selling medicinal cannabinoid (CBD) products to treat obstructive sleep apnoea (OSA), sepsis associated acute respiratory distress syndrome (SAARDS) and traumatic brain injury.
Therefore, research and development (R&D) costs increased significantly from $313,426 in the first half of FY20 to $2.04 million in the first half of FY21.
Increased R&D costs, along with administration, salary, occupancy and advertising costs resulted in Incannex reporting a 31 per cent increase in total net losses to $2.9 million.
Operating costs totalled $2.8 million compared to $1.5 million spent in the prior corresponding period (pcp). This is due to a doubling of payments to suppliers and employees.
While Incannex spent more over the second half of last year, it made important progress with a number of trials.
One of these trials involved a pre-clinical study testing the IHL-216A drug in rats with traumatic brain injury. Results were received at the end of the year and showed the drug outperformed CBD itself in reducing neuron damage and behavioural issues.
With the help of Monash University, the healthcare stock initiated a clinical trial for general anxiety disorder which will test the effects of psilocybin-assisted psychotherapy on around 72 patients.
Incannex also received positive results from its SAARDS trial, which evaluated the anti-inflammatory properties in the IHL-675A drug.
Finally, after receiving ethics approval, the company began recruiting patients in December for its OSA trial.
Incannex rounded off the half-year with $11.8 million — marking an $8.2 million growth from the beginning of the period.
Company shares are trading in the grey at 22 cents at 12:26 pm AEDT.