NEWPORT BEACH, Calif., Aug. 14, 2024 (GLOBE NEWSWIRE) — Elevai Labs Inc. (NASDAQ: ELAB) (“Elevai” or the “Company”), a pioneering force in medical aesthetics, today reported financial results for the second quarter ended June 30, 2024 and provided a business update.
Financial Results for the Three and Six Months Ended June 30, 2024
- Revenue increased to $605,529 for the three months ended June 30, 2024, and $1,220,092 for the six months ended June 30, 2024, an increase of 91.3% and 165.6% respectively year-over-year.
- Gross margin of 72.5% for the three months ended June 30, 2024, and 72.5% for the six months ended June 30, 2024, compared to 65.8% for the three months ended June 30, 2023 and 66.8% for the six months ended June 30, 2023.
- Operating expenses of $1,847,867 for the three months ended June 30, 2024, and $3,976,980 for the six months ended June 30, 2024, compared to $1,261,680 for the three months ended June 30, 2023 and $2,206,456 for the six months ended June 30, 2023.
- Net loss of $1,412,491 for the three months ended June 30, 2024 and $2,809,741 for the six months ended June 30, 2024.
Elevai’s Chief Executive Officer and Chief Financial Officer, Graydon Bensler stated: “We are excited about our performance in the second quarter of 2024, marked by revenue growth and a solid gross margin. The launch of the B2B/B2C Elevai Skincare e-commerce platform and the establishment of our subsidiaries are pivotal steps in our strategy to streamline operations, maintain focus across the Company and ensure alignment within various departments. As we continue to pursue growth opportunities, we remain committed to identifying additional ways to increase shareholder value through further strategic acquisitions and investments in the biotech, cosmetic, health, and wellness spaces.”
Q2 Corporate Highlights
The Company restructured its business with the launch of Elevai Biosciences Inc. and Elevai Skincare Inc. The Company now operates a diverse portfolio of three wholly owned subsidiaries across the medical aesthetics and biopharmaceutical sectors. All of the Company’s revenue to date has been derived from the sales of skincare products through our Elevai Skincare business.
- Elevai Skincare Inc. specializes in developing and commercializing innovative skincare products, catering to both business to business (“B2B”) and business to consumer (“B2C”) markets in the US and internationally. Please visit our website at www.elevaiskincare.com.
- Elevai Biosciences Inc. is a biopharmaceutical company focusing on the development and acquisition of cutting-edge aesthetic medicines. Our lead asset, EL-22, is leveraging a first-in-class engineered probiotic approach to address obesity’s pressing issue of preserving muscle while on weight loss treatments, including GLP-1 receptor agonists. Please visit our website at www.elevaibio.com.
- Elevai Research Inc., domiciled in Canada, is currently dedicated to medical scientific research and development efforts, utilizing Canadian research grants and partnering with leading Canadian Universities to push the boundaries of innovation.
Corporate Update
- Corporate Restructuring: Following the establishment of the Company’s subsidiaries, at the end of June, 2024, Elevai began to undertake a corporate restructuring with the aim of increasing efficiency and reducing operating costs to improve profitability, while still pursuing growth. This initiative remains ongoing; however, the steps management has taken thus far has reduced annual operating expenses by an estimated $800,000.
- Grant Funding: Elevai Research Inc. received a research and development grant from MITACS Canada in April 2023 for $90,000 Canadian dollars (“CAD”) through the MITACS Accelerate program. This research program remains ongoing in collaboration with Dalhousie University. Elevai Research Inc. has received two installments of the grant for a total of $45,000 CAD.
- Elevai Skincare E-commerce Launch: In March 2024, Elevai launched its online e-commerce portal. This platform serves as an extension of our existing B2B relationships, allowing retail customers to select a physician provider and order Elevai products directly online. The portal is available for both retail and business customers and provides benefits such as ease of ordering without an office visit, integration of social media and influencer campaigns, and granular data collection for marketing and geo-targeting. This initiative aligns with our strategy to simplify distribution operations and reduce operating costs.
- Elevai Skincare New Product Launch Initiation: The Elevai S-Series Root Renewal SystemTM will be a three-part hair and scalp care system that utilizes a first-in-class dual mechanism powered by exosomes and mitochondrial technology that incorporates Elevai’s proprietary PREx™ and Yuva Bioscience’s Y100 mitochondrial technology. This innovative combination is designed to address common scalp and hair care concerns, such as the appearance of thinning hair, by promoting scalp and hair vitality. The product line is formulated to be easy to use, cost-effective, and scientifically backed, offering a new solution for men and women experiencing hair loss and thinning hair. We are expecting to soft launch this product line later this year.
- Elevai Biosciences forms SAB Team: Elevai Biosciences has started the formation of its Scientific Advisory Board (“SAB”). We have initially appointed three distinguished metabolic scientists, Orian Shirihai, MD, PhD, Eduardo Grunvald, MD, and Roger A. Fielding, PhD:
- Orian Shirihai, MD, PhD. Dr. Shirihai is currently Professor of Medicine at the University of California, Los Angeles (“UCLA”), where he also serves as Director of the UCLA Metabolism Research Theme. Dr. Shirihai has over 180 publications in the field of obesity & metabolism, along with multiple National Institutes of Health (NIH) funded projects as Principal Investigator. Dr. Shirihai is a renowned researcher regularly invited as a keynote speaker at annual scientific conferences and has consulted for Johnson & Johnson, Bayer, AstraZeneca and Pfizer, among other healthcare companies.
- Roger A. Fielding, PhD, serves as Team Lead and Senior Scientist of the Nutrition, Exercise Physiology, and Sarcopenia (“NEPS”) Team at the Jean Mayer USDA Human Nutrition Research Center on Aging at Tufts University. He is also Professor of Nutrition at Tufts’ Friedman School of Nutrition Science and Policy, Professor of Medicine at Tufts University School of Medicine and the Associate Director of the Boston Claude D. Pepper Older Americans Independence Center. He has published over 300 peer-reviewed papers (H-index 115).
- Dr. Eduardo Grunvald, MD, is the Director of the Weight Management Program at the University of California, San Diego (“UCSD”) and a professor in the Department of Medicine. He is board certified in internal medicine and obesity medicine. He completed his residency at UCSD and earned his medical degree from the University of Washington School of Medicine.
About Elevai Labs, Inc.
Elevai Labs Inc. (NASDAQ: ELAB) specializes in medical aesthetics and biopharmaceutical drug development, focusing on innovations for skin aesthetics and treatments tied to obesity and metabolic health. The Company operates a diverse portfolio of three wholly owned subsidiaries across the medical aesthetics and biopharmaceutical sectors, Elevai Skincare Inc., Elevai Biosciences Inc., and Elevai Research Inc. For more information please visit www.elevailabs.com.
Forward-Looking Statements
Statements contained in this press release regarding matters that are not historical facts are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, as amended. Words such as “believes,” “expects,” “plans,” “potential,” “would” and “future” or similar expressions such as “look forward” are intended to identify forward-looking statements. Forward-looking statements are made as of the date of this press release and are neither historical facts nor assurances of future performance. Instead, they are based only on our current beliefs, expectations and assumptions regarding the future of our business, future plans and strategies, projections, anticipated events and trends, the economy, activities of regulators and future regulations and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of our control. Although the Company believes that the expectations expressed in these forward-looking statements are reasonable, it cannot assure you that such expectations will turn out to be correct, and the Company cautions investors that actual results may differ materially from the anticipated results. Therefore, you should not rely on any of these forward-looking statements. These and other risks are described more fully in Elevai’s filings with the United States Securities and Exchange Commission (“SEC”), including the “Risk Factors” section of the Company’s Annual Report on Form 10-K for the year ended December 31, 2023, filed with the SEC on March 29, 2024, and its other documents subsequently filed with or furnished to the SEC. Investors and security holders are urged to read these documents free of charge on the SEC’s web site at www.sec.gov. All forward-looking statements contained in this press release speak only as of the date on which they were made. Except to the extent required by law, the Company undertakes no obligation to update such statements to reflect events that occur or circumstances that exist after the date on which they were made.
Media Contact:
Makenzie Mann