Breaking Down Beyond Air, Inc. (XAIR) Financial Health: Key Insights for Investors

Are you looking to understand the financial health of Beyond Air Inc. (XAIR) and gain key insights for informed investment decisions? Let's delve into the numbers! In fiscal year 2024, the company reported revenues of $1.2 million, a notable increase from $0 in the previous year. However, research and development expenses also increased to $24.4 million. The company's net loss attributed to common stockholders for fiscal year 2024 was ($60.2) million, or a loss of ($1.82) per share. Want to know how these figures play into Beyond Air's overall strategy and future prospects? Keep reading to find out!

Beyond Air, Inc. (XAIR) Revenue Analysis

Analyzing Beyond Air, Inc. (XAIR)'s revenue streams involves examining its primary revenue sources, year-over-year growth, the contribution of different business segments, and significant changes in these streams.

Primary Revenue Sources:

The company primarily generates revenue through the sale of its LungFit PH system and related services. This system delivers inhaled nitric oxide (iNO) for treating pulmonary hypertension and other respiratory conditions Exploring Beyond Air, Inc. (XAIR) Investor Profile: Who’s Buying and Why?.

Year-over-Year Revenue Growth Rate:

Beyond Air has demonstrated significant revenue growth recently. For instance, in the third quarter of fiscal year 2025, the company reported a 175% year-over-year increase, with revenue reaching $1.1 million, up from $0.4 million in the same quarter the previous year. This growth aligns with the company's reported 685.91% revenue growth over the last twelve months. The impressive growth is attributed to the ongoing commercial success of its LungFit PH system and new hospital contracts.

The quarterly revenue for the period ending December 31, 2024, was reported as $1.072 million, reflecting a 174.17% increase compared to the same period the previous year.

Contribution of Different Business Segments to Overall Revenue:

As of June 30, 2022, Beyond Air's operations were classified into two segments: Beyond Air and Beyond Cancer. The Beyond Air segment includes unallocated corporate expenses. Beyond Cancer, created in November 2021, is a separate entity in which Beyond Air, Inc. owns 80% of the common stock. The company generates revenue primarily through the sale of its LungFit PH system and related services, which is used to deliver inhaled nitric oxide (iNO) for the treatment of pulmonary hypertension and other respiratory conditions. As of Q4 2023, Beyond Air, Inc. serves 87 healthcare institutions, with 62% of revenue derived from the top 5 hospital customers. The customer segments include pediatric hospitals (42% revenue contribution), respiratory treatment centers (33%), and critical care facilities (25%).

Analysis of Significant Changes in Revenue Streams:

Beyond Air has experienced notable changes in its revenue streams, driven primarily by increased demand for its LungFit PH system. For example, revenues for the fiscal quarter ended December 31, 2024, increased by 34% compared to the previous quarter ended September 30, 2024, and exceeded $1 million. The company has also seen increased customer engagement and partnerships, enhancing its sales and distribution capabilities globally.

For the fiscal year ended March 31, 2024, Beyond Air reported a gross profit of $0.4 million, compared to a gross loss of $0.4 million for the year ended March 31, 2023.

Key financial highlights from the third quarter of fiscal year 2025 include:

• Revenue: $1.1 million, up from $0.4 million the previous year.
• Net loss: $13 million, or $0.15 per share, improved from $16.2 million, or $0.50 per share.
• Gross profit loss: $200,000, compared to a $400,000 loss last year.
• Cash and equivalents: $10.9 million, with a reduced cash burn of $7.6 million.

These changes reflect Beyond Air's efforts to expand its market presence and improve its financial health, supported by strategic initiatives and growing demand for its LungFit PH system.

Beyond Air, Inc. (XAIR) Profitability Metrics

Assessing the financial health of Beyond Air, Inc. (XAIR) requires a close look into its profitability metrics, which reveal how efficiently the company converts revenue into profit. Understanding the gross profit, operating profit, and net profit margins offers insights into the company’s operational effectiveness and overall financial performance.

As of the fiscal year 2024, Beyond Air, Inc. is navigating a challenging financial landscape. The company reported a gross profit of $0.49 million, derived from total revenues of $2.46 million. However, it faces significant operating losses, recording an operating loss of $44.37 million. The net loss for the year stands at $45.33 million. These figures highlight ongoing challenges in achieving profitability, with substantial expenses impacting the bottom line.

Here's a detailed overview of Beyond Air's profitability margins:

• Gross Profit Margin: The gross profit margin for 2024 is approximately 19.9%. This indicates the percentage of revenue remaining after deducting the cost of goods sold (COGS).
• Operating Profit Margin: The operating profit margin is -1803.66%, reflecting the operating loss relative to the total revenue. This negative margin underscores the high operating expenses compared to the revenue generated.
• Net Profit Margin: With a net loss of $45.33 million, the net profit margin is -1842.68%. This signifies the overall loss as a percentage of total revenue, highlighting the financial strain the company is under.

Analyzing these metrics over time provides a clearer picture of Beyond Air’s financial trajectory. While specific historical trends require a more extensive dataset, examining these margins in comparison to previous years would reveal whether the company is improving its efficiency or facing increased challenges.

A comparison with industry averages is crucial to benchmark Beyond Air’s performance. The biotechnology industry is characterized by high research and development costs, often leading to initial periods of unprofitability. However, successful companies in this sector typically demonstrate improving margins as products gain market acceptance. It is important to note that industry averages can vary widely depending on the specific sub-sector and stage of development of the companies being compared.

Operational efficiency plays a significant role in Beyond Air's profitability. Effective cost management and favorable gross margin trends are vital for achieving sustainable financial health. The company's ability to control costs while increasing revenue will be a key determinant of its future success.

The following table summarizes Beyond Air, Inc.'s key profitability metrics for the fiscal year 2024:

For further insights into the investors and stakeholders of Beyond Air, Inc., explore Exploring Beyond Air, Inc. (XAIR) Investor Profile: Who’s Buying and Why?.

Beyond Air, Inc. (XAIR) Debt vs. Equity Structure

Understanding Beyond Air, Inc. (XAIR)'s financial health requires a close look at its debt and equity structure. This involves analyzing the levels of debt the company holds, comparing its debt-to-equity ratio against industry benchmarks, and examining any recent financing activities.

As of the third quarter of fiscal year 2024, which ended on December 31, 2023, Beyond Air, Inc. (XAIR) reported the following:

• Cash and cash equivalents: $22.5 million
• Total current liabilities: $6.4 million
• Total liabilities: $18.4 million

These figures provide a snapshot of the company's short-term financial obligations and overall debt. Analyzing these values in comparison to the company's equity can offer insights into its financial leverage.

A key metric for evaluating a company's financial leverage is the debt-to-equity ratio. This ratio indicates the proportion of debt and equity a company uses to finance its assets. Unfortunately, the debt-to-equity ratio for Beyond Air, Inc. (XAIR) isn't explicitly available in the provided search snippets. However, we can calculate it using the available data from the balance sheet, if the total equity were available.

To fully assess Beyond Air, Inc. (XAIR)'s approach to financing, it's important to consider both debt and equity. Here’s a general overview of what these entail:

• Debt Financing: This involves borrowing money that must be repaid over time, usually with interest. It can provide capital for growth but also increases financial risk.
• Equity Funding: This involves selling ownership stakes in the company in exchange for capital. It doesn't create debt but dilutes existing ownership.

Without specific figures for long-term debt, short-term debt, and total equity as of the end of fiscal year 2024, a complete debt-to-equity ratio calculation is not possible. Further financial data would be needed to provide a more precise analysis of Beyond Air, Inc. (XAIR)'s debt versus equity structure and how it aligns with industry standards.

To gain more insight into the strategic direction of the company, you might find this resource helpful: Mission Statement, Vision, & Core Values of Beyond Air, Inc. (XAIR).

Beyond Air, Inc. (XAIR) Liquidity and Solvency

When evaluating the financial health of Beyond Air, Inc. (XAIR), it's crucial to assess the company's liquidity and solvency positions. These metrics provide insights into its ability to meet short-term obligations and long-term financial stability. Let's delve into the key indicators that define Beyond Air's financial standing. For more information about the company's goals, you can check this link: Mission Statement, Vision, & Core Values of Beyond Air, Inc. (XAIR).

Assessing Beyond Air, Inc.'s Liquidity:

Liquidity ratios measure a company's ability to cover its short-term liabilities with its short-term assets. Here's an overview of Beyond Air's liquidity positions:

• Current Ratio: As of April 11, 2025, the current ratio for Beyond Air (XAIR) stock is 3.56.
• Quick Ratio: The quick ratio for FY 2024 is 2.15. A quick ratio above 1 indicates that the company has enough liquid assets to cover its current liabilities.

Analysis of Working Capital Trends:

Working capital is a measure of a company's short-term financial health, representing the difference between its current assets and current liabilities. In 2024, Beyond Air's change in working capital was $-16.04 million.

Cash Flow Statements Overview:

Analyzing cash flow statements provides insights into how Beyond Air generates and uses cash. Here's a look at the trends in operating, investing, and financing cash flows:

• Cash Used in Operating Activities: For the nine months ended December 31, 2024, cash used in operating activities was $31.3 million.
• Cash, Cash Equivalents, and Marketable Securities: As of December 31, 2024, Beyond Air reported cash, cash equivalents, and marketable securities of $10.9 million.

Debt and Equity:

As of March 31, 2024, Beyond Air had a total shareholder equity of $18.4 million and total debt of $8.8 million, resulting in a debt-to-equity ratio of 47.7%.

Recent Financial Activities:

Beyond Air has taken steps to strengthen its financial position. Key highlights include:

• Private Placement Offering: In September 2024, Beyond Air announced a $20.6 million private placement offering.
• Debt Retirement: An agreement was reached with Avenue Capital to extinguish a senior secured term loan for a one-time payment of $17.85 million. This eliminates $12 million in scheduled debt payments through June 2026.
• Royalty Funding Agreement: The company entered into an $11.5 million royalty funding agreement, led by certain Beyond Air board members, based on net sales of LungFit PH.

Potential Liquidity Concerns and Mitigation:

Despite these efforts, it's important to note potential liquidity concerns:

• Bankruptcy Probability: As of a recent assessment, the probability of bankruptcy for Beyond Air Inc. is 79.3%, reflecting concerns about financial distress in the next 24 months.
• Cash Burn: Adjusted cash burn for the fiscal year ended March 31, 2024, was $46.2 million. However, the net cash burn rate is expected to be less than $30 million in FY 2025.

Beyond Air's management is implementing a capital conservation strategy, including staff reductions and production adjustments, to address these concerns. The company anticipates achieving cash flow breakeven in the fourth fiscal quarter of 2026.

Beyond Air, Inc. (XAIR) Valuation Analysis

Determining whether Beyond Air, Inc. (XAIR) is overvalued or undervalued requires a multifaceted approach, incorporating several key financial metrics and market analyses. These include an examination of valuation ratios, stock performance, and analyst opinions.

One of the primary methods for assessing valuation involves looking at ratios such as price-to-earnings (P/E), price-to-book (P/B), and enterprise value-to-EBITDA (EV/EBITDA). Currently, comprehensive real-time data for these metrics specific to Beyond Air, Inc. (XAIR) is not available. Typically, a lower P/E ratio might suggest that a stock is undervalued relative to its earnings, while P/B ratios can indicate whether the market price aligns with the company's net asset value. The EV/EBITDA ratio provides insight into whether the company's total value is in line with its operational earnings. Without current figures, a comparative analysis against industry peers becomes essential to contextualize valuation.

Analyzing Beyond Air, Inc.'s (XAIR) stock price trends over the last 12 months (or longer) provides a historical perspective on market sentiment and company performance. Recent data indicates significant stock price volatility. As of April 18, 2025, the stock experienced a 5.13% increase, closing at $7.40. However, it's crucial to consider the broader trend. The stock's 52-week range is between $1.98 and $14.75, highlighting substantial fluctuations. This level of volatility suggests that the stock is subject to significant market speculation and sensitivity to news or developments related to the company.

Here’s a snapshot of Beyond Air, Inc.'s (XAIR) recent stock performance:

• Current Price (April 18, 2025): $7.40
• 52-Week High: $14.75
• 52-Week Low: $1.98

Dividend yield and payout ratios are not applicable in the case of Beyond Air, Inc. (XAIR), as the company does not currently offer dividends. This is common for growth-oriented companies that reinvest earnings back into the business to fund expansion and research.

Analyst consensus on Beyond Air, Inc. (XAIR) stock valuation varies. Based on recent ratings, analysts have provided recommendations ranging from 'buy' to 'hold'. It is important to note that these ratings reflect individual analysts' perspectives and can be influenced by their assessment methodologies and expectations for the company's future performance. For example, on April 12, 2024, analysts at HC Wainwright reiterated a 'buy' rating with a price target of $22.00. Conversely, other analysts may have a more conservative outlook based on different factors.

To provide a clearer picture, consider this summary of recent analyst ratings:

In conclusion, determining whether Beyond Air, Inc. (XAIR) is overvalued or undervalued necessitates a comprehensive review of valuation ratios (when available), stock price trends, and analyst opinions. Given the volatility and varying analyst recommendations, investors should conduct thorough due diligence and consider their own risk tolerance and investment objectives. For more detailed insights, you can explore: Breaking Down Beyond Air, Inc. (XAIR) Financial Health: Key Insights for Investors

Beyond Air, Inc. (XAIR) Risk Factors

Investing in Beyond Air, Inc. (XAIR) involves navigating a landscape of potential risks that could significantly impact its financial health. These risks span internal operational challenges and external market dynamics, requiring investors to stay informed and vigilant.

Here's an overview of the key risks:

• Industry Competition: The medical device and pharmaceutical industries are intensely competitive. Beyond Air, Inc. (XAIR) faces competition from established companies with greater financial and technical resources. This competition could affect product pricing, market acceptance, and overall profitability.
• Regulatory Changes: The development, manufacturing, and marketing of medical devices and therapies are subject to extensive regulation by governmental authorities in the United States and abroad. Changes in regulatory requirements or failure to obtain necessary approvals could delay or prevent the commercialization of Beyond Air, Inc. (XAIR) products.
• Market Conditions: Economic downturns, changes in healthcare policies, and shifts in market demand for medical treatments can all impact Beyond Air, Inc. (XAIR) financial performance. Unfavorable market conditions could reduce sales, limit access to capital, and impair the company's ability to execute its business plan.

Operational, financial, and strategic risks are often highlighted in Beyond Air, Inc. (XAIR)'s earnings reports and filings. These include:

• Operational Risks: Manufacturing disruptions, supply chain bottlenecks, and quality control issues could disrupt Beyond Air, Inc. (XAIR)'s ability to produce and deliver its products on time and within budget.
• Financial Risks: Beyond Air, Inc. (XAIR) may face challenges in securing adequate funding to support its research and development activities, clinical trials, and commercialization efforts. Fluctuations in currency exchange rates and interest rates could also impact financial results.
• Strategic Risks: The success of Beyond Air, Inc. (XAIR) depends on its ability to effectively execute its business strategy, adapt to changing market conditions, and maintain a competitive advantage. Failure to do so could jeopardize the company's long-term prospects.

Mitigation strategies and plans are crucial for managing these risks. While specific details may vary depending on the nature of the risk, Beyond Air, Inc. (XAIR) may employ strategies such as:

• Diversifying its product pipeline to reduce reliance on any single product or market.
• Implementing robust quality control measures to ensure product safety and efficacy.
• Establishing strategic partnerships to share risks and resources.
• Maintaining a strong balance sheet with adequate cash reserves to weather economic downturns.

Investors should carefully consider these risks and mitigation strategies when evaluating Beyond Air, Inc. (XAIR) as an investment opportunity. Understanding the challenges and uncertainties facing the company is essential for making informed decisions.

Beyond Air, Inc. (XAIR) Growth Opportunities

For investors eyeing future potential, Beyond Air, Inc. (XAIR) presents several intriguing growth avenues. A close look at their product innovation, strategic initiatives, and competitive positioning is essential to gauge long-term prospects. For more insights, check out: Breaking Down Beyond Air, Inc. (XAIR) Financial Health: Key Insights for Investors

Key growth drivers for Beyond Air, Inc. (XAIR) include:

• Product Innovations: The LungFit® platform stands as a cornerstone, offering a unique approach to nitric oxide (NO) delivery.
• Market Expansion: Beyond Air is focused on expanding the applications of LungFit® beyond its initial indications.
• Strategic Acquisitions & Partnerships: While not a primary strategy, collaborations and targeted acquisitions could broaden their technological base or market reach.

Predicting precise revenue growth for a company like Beyond Air, Inc. (XAIR) is challenging due to the complexities of the regulatory landscape and market adoption rates. However, analysts' estimates provide a general outlook. Keep in mind that these are projections and are subject to change based on various factors.

Strategic initiatives that may fuel future growth include:

• FDA Approvals: Securing additional FDA approvals for LungFit® to treat other respiratory conditions is paramount.
• Clinical Trial Success: Positive outcomes from ongoing and future clinical trials will be vital for expanding the therapeutic applications of their technology.
• Geographic Expansion: Entering new markets, particularly in Europe and Asia, could significantly boost revenue.

Beyond Air, Inc. (XAIR) possesses certain competitive advantages that could bolster its growth trajectory:

• Proprietary Technology: The LungFit® system, with its ability to generate NO from ambient air, offers a distinct advantage over traditional NO delivery methods.
• Focus on Innovation: A commitment to research and development, as evidenced by their pipeline of potential applications for LungFit®, positions them to stay ahead of the curve.

To summarize, while Beyond Air, Inc. (XAIR) faces inherent risks associated with the biotechnology industry, its innovative technology, strategic initiatives, and competitive advantages create a foundation for potential future growth. As always, investors should conduct thorough due diligence and consider their own risk tolerance before making investment decisions.