Biotricity (US:BTCY)2020-11-13 22:22Financial Performance - Total revenue for the three months ended September 30, 2020, was $744,585, a significant increase from $345,906 in the same period of 2019, representing a growth of 115.5%[13] - Net loss for the three months ended September 30, 2020, was $3,155,424, compared to a net loss of $2,008,114 for the same period in 2019, indicating an increase in losses of 57.2%[13] - The company reported a comprehensive loss of $3,229,964 for the three months ended September 30, 2020, compared to a comprehensive loss of $2,024,443 for the same period in 2019, an increase of 59.7%[13] - The company’s net revenue for the six months ended September 30, 2020, was $584,925, compared to $446,604 for the same period in 2019, reflecting an increase of 30.9%[13] - For the six months ended September 30, 2020, Biotricity Inc. reported a net loss before dividends of $6,119,386, compared to a net loss of $4,097,714 for the same period in 2019, reflecting an increase in losses of approximately 49.3%[21] - The Company incurred a net loss of $3.2 million during the three months ended September 30, 2020, equating to a loss of $0.085 per share[135] - The net loss attributable to common stockholders for the three and six months ended September 30, 2020 was $3.2 million and $6.5 million, compared to $2.0 million and $4.1 million in the prior year[143] Assets and Liabilities - Total current assets as of September 30, 2020, amounted to $1,827,741, up from $1,658,829 as of March 31, 2020, reflecting a growth of 10.2%[12] - Total liabilities increased to $9,480,683 as of September 30, 2020, compared to $5,004,809 as of March 31, 2020, marking a rise of 89.5%[12] - The total stockholders' deficiency as of September 30, 2020, was $(7,412,996), worsening from $(3,000,393) as of March 31, 2020[12] - The company has an accumulated deficit of $52,914,182 as of September 30, 2020, indicating ongoing financial challenges[27] - Biotricity's working capital deficiency stood at $5,276,690 as of September 30, 2020, highlighting liquidity concerns[27] Cash Flow and Financing - Cash used in operating activities for the six months ended September 30, 2020, was $4,529,273, which is a significant increase from $2,790,973 in the same period of 2019[21] - The total cash provided by financing activities for the six months ended September 30, 2020, was $4,178,788, compared to $2,804,140 in the same period of 2019, indicating improved financing efforts[21] - Biotricity raised $1,570,900 from federally guaranteed loans during the three months ended June 30, 2020, as part of its efforts to improve liquidity amid the COVID-19 pandemic[27] - The Company issued $3,302,000 in a new series of convertible promissory notes during the three months ended September 30, 2020, with a maturity of one year and an interest rate of 12% per annum[49] - The net proceeds from convertible note issuances to September 30, 2020, amounted to $2,905,760 after payment of the placement agent fee[49] - The Company raised $3,030,620 in promissory notes and short-term loans during the year ended March 31, 2020, and launched a private placement offering of convertible notes that raised net cash proceeds of $2.9 million as of September 30, 2020[148] Expenses - Total operating expenses for the three and six months ended September 30, 2020 were $3.2 million and $6.8 million, respectively, compared to $2.2 million and $4.5 million in the prior year[138] - General and administrative expenses increased to $2.8 million and $6.0 million for the three and six months ended September 30, 2020, with approximately $0.8 million and $1.0 million of these increases attributed to investments in the sales force and infrastructure[139] - Research and development expenses for the three months ended September 30, 2020, were $402,340, up from $218,525 in the same period of 2019, representing an increase of 83.8%[13] - Research and development expenses rose to $0.4 million and $0.8 million for the three and six months ended September 30, 2020, compared to $0.2 million and $0.4 million in the prior year, driven by new technology development and FDA clearance pursuits[140] Shareholder Information - The weighted average number of common shares outstanding for the three months ended September 30, 2020, was 37,172,815, compared to 35,659,133 for the same period in 2019, an increase of 4.2%[13] - As of September 30, 2020, the company had 33,647,809 shares of common stock issued and outstanding, an increase from 32,593,769 shares as of March 31, 2020[62] - The company issued 874,500 shares during the six months ended September 30, 2020, with a fair value of $1,343,816[72] - The Company recognized obligations to issue a total of 412,500 shares of common stock, with a fair value of $400,591[73] Business Development - The company has developed a healthcare business model focused on remote monitoring and preventative care, with ongoing research and development activities[23] - Management anticipates achieving profitable status through continued business development and additional equity or debt capitalization[27] - The Company launched its first commercial sales program in 2019 and a full market release in 2020, aiming to enhance market presence[27] - The Company expanded its sales efforts to 16 states, aiming for broader market competition in the U.S.[113] - The Company has received FDA clearance for its Bioflux Software II System, which reduces ECG analysis time from 5 minutes to 30 seconds, improving operational efficiency[114] - The Company is developing several ancillary technologies, including advanced ECG analysis software and the Biotres patch solution, with FDA applications anticipated within the next twelve months[114] - The Company has negotiated terms to license MD Matrix Inc.'s telemedicine platform, which will enhance remote patient monitoring capabilities[115] Market Impact - The Company experienced a 30% decrease in business activities in April 2020 due to the pandemic, but saw a recovery with pent-up demand in subsequent months[134] - The Company achieved 84.4% of the total revenues earned in the full fiscal year ended March 31, 2020 during the half-year ended September 30, 2020[134] - The gross margin for the three and six months ended September 30, 2020 was 43.6% and 48.9%, respectively[136]