Revenue Performance - For the year ended August 31, 2020, the company reported revenue of $384,543, an increase of $161,933 compared to $222,610 in 2019[318]. - Licensing revenue accounted for $232,909 of total revenue, up from $198,000 in 2019, while product and other revenues increased to $151,634 from $24,610[320]. - Total revenue for the year ended August 31, 2019 was $222,610, down from $433,287 in 2018, reflecting a decrease of 48.6%[329]. - Licensing revenues accounted for $198,000 of total revenues, primarily due to delays in usage fee revenues from existing licensees in Canada[330]. - The company anticipates continued revenue generation from technology licensing, with expectations for increased usage fees as licensees ramp up production[336]. Net Loss and Financial Position - The net loss for the year was $4,084,613, a slight improvement from the net loss of $4,158,413 in 2019, reflecting a change of $73,800[318]. - The company reported a net loss attributable to common shareholders of $3,933,996 for the year ended August 31, 2020, a slight improvement from the previous year's loss of $4,099,420[348]. - For the year ended August 31, 2019, the company reported a net loss of $4,158,413, a decrease of 37% compared to a net loss of $6,609,186 in 2018[329]. Working Capital and Cash Position - The company had a working capital surplus of $1,700,044 as of August 31, 2020, compared to $1,634,322 in 2019, indicating a positive working capital position[324]. - The company had a working capital balance of $1,634,322 as of August 31, 2019, a decrease from $2,240,411 in 2018[342]. - The company maintained a cash position of $1,293,749 as of August 31, 2020, with an estimated requirement of $2.0 million to finance planned expenditures for the upcoming year[297]. Operating Activities and Expenses - Cash flows used in operating activities decreased to $2,663,281 in 2020 from $3,005,555 in 2019, primarily due to reduced costs in advertising and R&D[326]. - Net cash used in operating activities was $3,005,555 for the year ended August 31, 2019, compared to $2,517,979 in 2018, indicating an increase of 19.3%[344]. - General and administrative expenses decreased by $2,659,158 to $4,358,130 in 2019, largely due to reduced non-cash expenses[338]. Future Plans and Funding - Estimated funding required for the next 12 months is approximately $3,305,000, with significant allocations for consulting fees ($1,200,000) and R&D ($650,000)[296]. - The company plans to focus on technology licensing in the nicotine and pharmaceutical sectors, with an emphasis on expanding R&D for DehydraTECH applications[297]. - The company plans to conduct additional studies to test the absorption of various molecules, which could enhance the acceptance of DehydraTECH technology[315]. - The company has six revenue-generating agreements with licensees and is pursuing additional licensing opportunities in the cannabinoids and nicotine markets[313]. - The company expanded its number of licensees from 1 to 9 over the two-year period ending August 31, 2019, indicating significant growth in licensing agreements[331]. Financing Activities - Cash flows from financing activities increased to $3,332,683 in 2019, compared to $1,867,224 in 2018, reflecting a growth of 78.3%[346].
Lexaria Bioscience(LEXX) - 2020 Q4 - Annual Report