Movano(MOVE) - 2023 Q4 - Annual Report

Financial Performance - Movano Health incurred net losses of $29.3 million and$30.3 million for the years ended December 31, 2023 and 2022, respectively, reflecting a decrease of 3% in net loss year-over-year [185][214]. - Total operating expenses for 2023 were $29.7 million, a decrease of 3$30.5 million in 2022, primarily due to reduced research and development costs [208][212]. - Research and development expenses decreased to $16.9 million in 2023 from$19.0 million in 2022, a reduction of $2.1 million attributed to lower design costs [209]. - Sales, general and administrative expenses increased to$12.8 million in 2023 from $11.5 million in 2022, an increase of 12$0.4 million in 2023 from $0.1 million in 2022, a growth of 206$29.3 million for the year ended December 31, 2023, compared to a net loss of $30.3 million in 2022 [225]. Product Development - The Evie Ring, launched in November 2023, is designed to provide comprehensive health metrics for women, including heart rate, SpO2, and menstrual tracking [181]. - Movano Health is developing a proprietary System on Chip (SoC) for non-invasive glucose and cuffless blood pressure monitoring, with clinical trials currently underway [182]. - Movano Health plans to bring a Class II FDA-cleared device to market that includes continuous glucose monitoring and cuffless blood pressure monitoring capabilities [182]. Cash and Financing Activities - As of December 31, 2023, Movano Health had$6.1 million in available cash and cash equivalents [186]. - As of December 31, 2023, the company had cash and cash equivalents of $6.1 million, with an expected cash usage of$26.2 million in operating activities for the year [215]. - The company sold 2,531,757 shares through an at-the-market equity offering program in 2023, generating approximately $3.2 million in proceeds, with$44.4 million remaining available under the program [216]. - Financing activities provided cash of $21.6 million in 2023, including net proceeds from equity securities issued in public offerings totaling$18.4 million [229]. - The company entered into a securities purchase agreement for a private placement of 45,252,517 units at a purchase price of $0.533 per unit, generating gross proceeds of approximately$24.1 million [218][220]. - The company expects to finance future cash needs through public or private equity offerings, debt financings, or corporate collaborations [221]. Future Outlook and Concerns - The company anticipates ongoing annual losses as it continues the commercialization and development of the Evie Ring and other products, requiring additional capital [233]. - The company faces substantial doubt about its ability to continue as a going concern within one year after the issuance of its consolidated financial statements [222]. - The company plans to satisfy future cash needs through existing capital balances and a combination of financing options, but may face challenges in raising additional capital [236]. - Cash used in investing activities was $64,000 in 2023, a significant decrease from cash provided of$15.7 million in 2022 [228].