Clinical Trials and Research - Lexaria's final results from its human pilot study indicated that DehydraTECH-enhanced Rybelsus™ achieved sustained higher levels of semaglutide in blood, faster peak drug delivery, reduced side effects, and lower blood glucose levels after eating [111]. - The company filed an Investigational New Drug (IND) application with the FDA for a phase 1b hypertension clinical trial for its DehydraTECH-CBD drug product, receiving a Study May Proceed letter on February 29, 2024 [112]. - Interim findings from a study on DehydraTECH-semaglutide showed sustained higher levels of semaglutide in blood and reduced side effects, with final results confirming these benefits [120]. - A human pilot study for DehydraTECH-semaglutide has commenced, with the first two dosing arms completed, focusing on tolerability and blood sugar control [142]. - The company plans to initiate a chronic human study in Q3 2024, involving 60 to 80 obese, pre-diabetic, and/or type-2 diabetic volunteers, to evaluate the effectiveness of DehydraTECH-processed semaglutide [144]. - Lexaria has selected a CRO for a new human pilot study on DehydraTECH-tirzepatide capsules, expected to be completed by the end of June 2024 [123]. - The company is conducting a comprehensive R&D program to evaluate DehydraTECH for improved delivery of GLP-1 and GIP drugs, targeting commercial partnerships with global pharmaceutical companies [141]. Financial Performance - Total revenue for the nine months ended May 31, 2024, was $380,278, compared to $195,467 for the same period in 2023, representing a 94% increase [128]. - Revenue for the three months ended May 31, 2024, was $84 million, a 8.3% increase from $77.7 million for the same period in 2023 [160]. - Gross profit for the nine months ended May 31, 2024, was $375.5 million, compared to $164 million for the same period in 2023, representing a 128.5% increase [160]. - Total operating expenses for the three months ended May 31, 2024, were $1.83 million, a decrease of 26% from $2.47 million for the same period in 2023 [160]. - Net loss attributable to Lexaria shareholders for the nine months ended May 31, 2024, was $3.61 million, compared to $5.43 million for the same period in 2023, reflecting a 33.5% improvement [160]. - Basic and diluted loss per share for the three months ended May 31, 2024, was $(0.13), compared to $(0.37) for the same period in 2023 [160]. - The Company reported net losses of $3,622,083 and $5,463,510 for the nine-month periods ended May 31, 2024, and 2023, respectively [214]. Capital and Funding - Lexaria raised $3.0 million from a registered direct offering on February 16, 2024, issuing 1,444,741 shares of common stock and 113,702 pre-funded warrants [113]. - The company has entered into a Securities Purchase Agreement, resulting in net proceeds of $1.25 million from a registered direct offering and concurrent private placement [152]. - The Company raised gross proceeds of $4,407,444 from a Warrant Exercise Agreement on April 30, 2024 [220]. - The Company issued 889,272 shares of common stock and 729,058 pre-funded warrants on October 3, 2023, with net proceeds totaling $1.25 million [220]. - The company reported an accumulated deficit of $(49.37) million as of May 31, 2024, compared to $(45.76) million as of August 31, 2023 [182]. Assets and Liabilities - Total assets as of May 31, 2024, amounted to $10,018,437, up from $5,239,637 as of May 31, 2023, indicating a 91% increase [128]. - Total liabilities as of May 31, 2024, were $271.4 million, down from $403.9 million as of August 31, 2023 [182]. - Current assets increased to $9,093,379 as of May 31, 2024, compared to $2,151,213 as of August 31, 2023 [218]. - Net working capital improved to $8,937,331 as of May 31, 2024, up from $1,883,478 as of August 31, 2023 [218]. - The total present value of operating lease liabilities is reported at $115,327, with total lease payments amounting to $167,424 [127]. Intellectual Property - Lexaria's patent portfolio includes applications for DehydraTECH formulations for cannabinoids, fat-soluble vitamins, and other bioactive compounds, with ongoing investigations for patent protection expansion [115][116]. - The company is actively seeking beneficial acquisitions of intellectual property to enhance its portfolio and market position [135]. - Intellectual property assets increased to $498,878 as of May 31, 2024, compared to $462,625 as of August 31, 2023, reflecting a growth of 8% [159]. Other Developments - DehydraTECH technology is being evaluated for applications beyond pharmaceuticals, including foods, beverages, cosmetics, and nutraceuticals [131]. - The FDA provided a positive response regarding DehydraTECHCBD for hypertension treatment, and the Company submitted its IND application on January 29, 2024 [210]. - The Company plans to conduct long-term stability testing for DehydraTECH compositions over 6-12 months [209]. - The company has no off-balance sheet arrangements that could materially affect its financial condition [212].
Lexaria Bioscience(LEXX) - 2024 Q3 - Quarterly Report