Rua Bioscience reports $10.9m loss, blames Zalm acquisition

Rua Bioscience has reported a net loss before tax of $10.9 million for the six-month period ended Dec 31 2023.

This includes a one-off goodwill impairment of $8.3m.

In the same period the previous year, the company recorded a profit of $718,703.

The loss was attributed to the goodwill impairment, which was the result of a comprehensive analysis that found the acquisition of Zalm did not deliver the expected financial returns.

Rua's financial results also showed an improvement in operating loss, which decreased to $2.6m from $3.4m in the preceding period.

The company's strategic expansion and growth initiatives included a launch in Australia, expansion of the product portfolio in Australia, and the signing of a distribution agreement with Target Health for the UK market.

Rua said it remains committed to its capital-light, highly scalable business model.

The company expects to require more funding in the coming months and is actively engaging partners to facilitate capital raising efforts.