Field Trip Health Ltd.

Reunion reported a first-quarter net loss from continuing operations of $5.2 million, versus a net loss of $3.4 million in the same period a year ago. Operating expenses rose from $2.7 million to $5 million, driven by R&D increasing from $1.4 million to $2.9 million and higher general administration costs. Reunion had unrestricted cash, cash equivalents and short-term investments of $52.3 million at June 30, 2022, including $4.1 million held at the Clinic; after the spinout and its $9.8 million investment in Field Trip Health & Wellness, Reunion said it had approximately $40 million in opening cash on August 11. For the clinic business, patient services revenue was $1.8 million, up 110% year over year and 6% sequentially, with 12 clinics in operation versus six a year earlier. Field Trip Health & Wellness posted a net loss of $8.2 million versus $9.1 million a year ago. No formal revenue or EPS guidance was provided for Reunion; management said Phase 1 results are expected in the fourth quarter of calendar 2022 and Phase 2 studies are planned for 2023 after FDA guidance.

Ronan Levy framed the quarter around the successful separation of the two businesses, saying the split was timely because each division was ready to operate independently. He emphasized that Reunion will focus on novel psychedelic molecules like RE104, while Field Trip Health & Wellness will continue psychedelic-assisted therapies. His tone was upbeat and confident, highlighting the benefits of clearer focus, separate management teams, and long-term value creation for both companies.

Donna Wong said Reunion’s quarterly loss widened because operating expenses increased, mainly from higher R&D spending on RE104 and public-company overhead. She quantified Reunion’s cash position at $52.3 million at June 30, 2022, and said it had about $40 million in opening cash after the spinout and the $9.8 million investment in Field Trip Health & Wellness, which she said is sufficient to support ongoing drug discovery work. She also noted the clinic business had $1.8 million of patient services revenue, with Field Trip Health & Wellness’ quarterly net loss improving to $8.2 million from $9.1 million.

Analysts focused on one-time separation costs, the RE200 molecule strategy, clinic ramp trends, RE104’s advantages versus psilocybin, what FDA questions may shape Phase 2, and whether digital therapeutics would be included in clinical trials. Management said Reunion’s costs were largely recurring R&D, while Field Trip Health & Wellness had about $12 million in operating expenses with $3.4 million nonrecurring, including spinout-related expenses and asset impairment tied to deferred clinic openings. On the pipeline, management said RE104’s main advantages are a shorter psychoactive duration, better clinic throughput, and patent protection to 2040; they said Phase 1 is a single-ascending-dose study and digital therapeutics are not being used in Phase 1, with Phase 3 seen as a more likely point for heavier digital integration.