Aptorum Group(APM) - 2023 Q4 - Annual Report

Financial Performance - Aptorum Group reported a net loss of $4.3 million in 2023, a significant decrease from a net loss of $11.5 million in 2022, reflecting a reduction of $7.2 million due to cost control measures[3] - The net loss attributable to Aptorum Group Limited was $2.8 million in 2023, compared to $9.8 million in 2022, showing improved financial performance[14] - Accumulated deficit widened to $(68,161,722) in 2023 from $(65,337,075) in 2022, indicating a decrease in financial health[18] Expenses and Cost Management - Research and development expenses decreased to $5.2 million in 2023 from $9.2 million in 2022, attributed to a focus on lead projects and suspension of non-lead projects[4] - General and administrative fees were reduced to $1.9 million in 2023 from $5.2 million in 2022, primarily due to the reversal of deferred cash bonus payables[5] - Total operating expenses decreased to $11.2 million in 2023 from $18.8 million in 2022, indicating a strategic focus on cost management[14] Cash and Investments - Cash and cash equivalents decreased to $2.0 million as of December 31, 2023, down from $5.0 million in 2022, mainly due to operating activities and loan repayments[6] - Long-term investments increased to $16.1 million in 2023 from $9.7 million in 2022, reflecting growth in investment activities[16] Shareholder Equity and Capital - Total equity attributable to shareholders of Aptorum Group Limited increased to $24,846,236 as of December 31, 2023, up from $15,712,094 in 2022, representing a growth of 58.5%[18] - Additional paid-in capital rose significantly to $93,018,528 in 2023 compared to $45,308,080 in 2022, marking an increase of 105.5%[18] - Total equity decreased to $15,383,353 in 2023 from $7,833,305 in 2022, indicating a growth of 96.5%[18] Shareholder Structure and Changes - The merger agreement with YOOV Group Holding is expected to result in existing YOOV shareholders owning approximately 90% and Aptorum Group shareholders owning about 10% of the combined company[2] - The weighted-average shares outstanding increased to 4,521,133 in 2023 from 3,569,484 in 2022, indicating potential dilution from share issuance[14] - The company executed a 1 for 10 reverse stock split effective January 23, 2023, impacting share amounts and outstanding shares[18] Other Financial Metrics - The company reported healthcare services income of $431,378 in 2023, down from $1.3 million in 2022[14] - Total liabilities and equity decreased slightly to $20,640,091 in 2023 from $20,867,371 in 2022, reflecting a reduction of 1.1%[18] - Non-controlling interests increased to $(9,462,883) in 2023 from $(7,878,789) in 2022, showing a decline in the value attributed to minority shareholders[18] - Accumulated other comprehensive (loss) income shifted to $(10,623) in 2023 from $33,807 in 2022, reflecting a negative change in comprehensive income[18]