Aethlon Medical(US:AEMD)2020-10-28 21:20Financial Performance - The net loss for the three months ended September 30, 2020, was $1,771,389, compared to a net loss of $1,706,626 for the same period in 2019, representing a slight increase in losses[10]. - For the six months ended September 30, 2020, net loss was $(3,182,535), compared to $(3,773,911) for the same period in 2019, showing a decrease in losses[15]. - The company reported a total operating loss of $3,181,807 for the six months ended September 30, 2020, compared to a loss of $3,268,391 for the same period in 2019[73]. Assets and Liabilities - Total current assets increased to $14,752,259 as of September 30, 2020, compared to $10,041,113 as of March 31, 2020, reflecting a growth of approximately 47%[6]. - Total liabilities rose to $1,489,760 as of September 30, 2020, up from $1,110,260 as of March 31, 2020, indicating an increase of about 34%[7]. - Total stockholders' equity increased to $13,566,630 as of September 30, 2020, from $9,277,426 as of March 31, 2020, reflecting an increase of approximately 46%[8]. - The accumulated deficit as of September 30, 2020, was $(115,207,228), compared to $(112,026,381) as of March 31, 2020, reflecting an increase in the deficit of about 3%[8]. - Total assets for the company as of September 30, 2020, were $15,056,390, compared to $1,281,790 a year earlier[73]. Cash Flow and Reserves - Cash reserves increased to $14,473,232 as of September 30, 2020, compared to $9,604,780 as of March 31, 2020, marking a growth of about 51%[6]. - Aethlon's cash balance as of September 30, 2020, was $14,473,035, significantly up from $785,461 a year earlier[73]. - The company expects existing cash as of September 30, 2020, to be sufficient to fund operations for at least twelve months from the issuance date of the financial statements[31]. Shareholder Information - The weighted average number of common shares outstanding for the three months ended September 30, 2020, was 12,070,592, compared to 10,845,049 for the same period in 2019, indicating an increase of about 11%[10]. - The company issued 2,685,600 common shares for cash under the at-the-market program, raising approximately $7,258,183[11]. - The company raised $7,260,869 from the issuance of common stock during the reporting period, compared to $423,234 in the previous year[16]. - The company executed a Common Stock Sales Agreement with H.C. Wainwright & Co., LLC, allowing for the sale of shares with an aggregate offering price of up to $12,500,000[39]. Research and Development - Research and development expenses for the three months ended September 30, 2020, were $508,897, compared to $222,857 for the same period in 2019, representing an increase of 128%[34]. - For the six months ended September 30, 2020, research and development expenses totaled $884,985, up from $470,882 in 2019, indicating an increase of 88%[34]. Clinical Trials and Product Development - The Hemopurifier has received FDA designation as a "Breakthrough Device" for treating advanced cancer and life-threatening viral infections[17]. - The company is preparing to initiate clinical trials for the Hemopurifier in patients with advanced and metastatic cancers, focusing on solid tumors[18]. - An Early Feasibility Study for the Hemopurifier in head and neck cancer has been approved, aiming to enroll 10-12 subjects[19]. - The FDA approved a supplement to test the Hemopurifier in COVID-19 patients, with plans to enroll up to 40 subjects across 20 centers[22]. - Exosome Sciences, Inc., a majority-owned subsidiary, is developing biomarkers for diagnosing life-threatening diseases, including a TauSome™ biomarker for chronic traumatic encephalopathy[23]. Impact of COVID-19 - The company is closely monitoring the impact of the COVID-19 pandemic on its operations and financial condition, with uncertainty regarding future capital access[25]. - The company is monitoring the impact of the COVID-19 pandemic on its operations and clinical trials, indicating potential delays in timelines[25]. - The company has taken steps to protect employee health while continuing operations amid the COVID-19 pandemic[25]. Other Financial Information - Cash flows used in investing activities for the six months ended September 30, 2020, were $(23,137), significantly lower than $(119,981) in 2019[13]. - The company accrued unpaid fees of $86,375 owed to non-employee directors as of September 30, 2020, an increase from $69,750 as of March 31, 2020[51]. - Total other current liabilities as of September 30, 2020, were $421,502, down from $472,420 as of March 31, 2020[52]. - Stock-based compensation expense for the six months ended September 30, 2020, was $251,249, compared to $653,072 for the same period in 2019, reflecting a decrease of 62%[54]. - Basic and diluted loss per common share attributable to stock-based compensation expense for the six months ended September 30, 2020, was $(0.02), compared to $(0.50) for the same period in 2019[54]. - The company has approximately $1,989,000 of unrecognized compensation cost related to share-based payments expected to be recognized over a weighted average period of 3.0 years[61]. - The company did not record any government contract revenue on the Phase 2 Melanoma Cancer Contract for the six months ended September 30, 2020, and invoiced $114,849 as deferred revenue[65]. - The Breast Cancer Grant total amount is $298,444, with all funds received as of September 30, 2020, and the company is composing final reports applicable to this grant[68]. - Future minimum lease payments total $94,996, with a total lease liability of $92,603 as of September 30, 2020[79]. - The company did not issue any warrants during the six months ended September 30, 2020, with 2,007,848 warrants outstanding as of that date[62].