Financial Performance - For the six months ended June 30, 2023, the net loss was 6.9 million for the same period in 2022, reflecting an increase in operating expenses primarily due to R&D activities [80]. - The company reported a net cash used in operating activities of 6.4 million for the same period in 2022 [93]. - Net cash used in investing activities was 4.7 million in 2022, primarily due to the timing of marketable securities transactions [94]. - Net cash provided by financing activities was 3 thousand for the same period in 2022 [95]. Research and Development - Research and Development (R&D) expenses increased to 2.0 million for the same period in 2022, and 3.9 million in 2022 [89]. - The company has incurred losses while advancing the R&D of its DM199 product candidate and has not generated any revenues from product sales [96]. - The company expects substantial additional capital will be needed to further R&D activities and clinical studies for DM199 [97]. Cash Position and Funding - As of June 30, 2023, the company had cash, cash equivalents, and marketable securities totaling 33.5 million as of December 31, 2022 [92]. - The company generated 36.9 million in net proceeds from private placements in April and June 2023, which contributed to the increase in cash resources [80]. - The company expects its monthly negative cash flow to increase as it resumes the ReMEDy2 trial, but current cash resources are projected to be sufficient for at least the next 12 months [81]. - Current cash resources are expected to be sufficient to resume the ReMEDy2 trial and fund operations for at least the next twelve months [97]. - The company has historically financed operations primarily through sales of equity securities and expects to continue this practice [99]. - If additional capital is raised through equity or convertible debt securities, shareholder ownership interests will be diluted [100]. - The company may need to scale back operations if adequate funding is not available, which could include cost reduction strategies and licensing rights to third parties [101]. Clinical Trials - The ReMEDy2 trial aims to enroll approximately 350 patients across 75 sites in the U.S., focusing on patients with acute ischemic stroke who currently have limited treatment options [75]. - The FDA lifted the clinical hold on the ReMEDy2 trial in June 2023, allowing the company to resume preparations for the trial [76]. Administrative Expenses - General and Administrative (G&A) expenses were 2.2 million for the three months ended June 30, 2023, up from 4.1 million for the six months ended June 30, 2023, compared to $3.0 million in 2022 [90]. Accounting Policies - There have been no material changes to critical accounting policies and estimates from the previous annual report [102].
DiaMedica Therapeutics(DMAC) - 2023 Q2 - Quarterly Report