Why did SHPH's EPS remain stagnant in Q3 2023?
4/13/2025 05:21pm
The EPS of Shuttle Pharmaceuticals Holdings Inc. (SHPH) remained stagnant in Q3 2023, with a value of -$0.91, due to a combination of factors:
1. **Lack of Revenue Generation**: The company did not generate any revenue during the quarter. This lack of revenue contributes significantly to the negative EPS, as there is no income to offset the expenses.
2. **High Operating Expenses**: Shuttle Pharmaceuticals reported an increase in operating expenses, with $3.05 million for Q3 2024 compared to $1.60 million for the same period in 2023. These increased expenses, coupled with no revenue to cover them, resulted in a negative net income and consequently, a negative EPS.
3. **Interest and Other Expenses**: The company also reported interest expense and change in fair value of derivative liabilities, which added to the negative net income and EPS. These expenses are not directly related to revenue generation but contribute to the overall financial losses.
In summary, the stagnation of SHPH's EPS in Q3 2023 is primarily due to the absence of revenue and high operating and financial expenses.