IGC Pharma(US:IGC)2024-11-12 21:04Financial Performance - For the six months ended September 30, 2024, the Company recognized total revenue of $684 thousand, a decrease of 19.2% from $846 thousand for the same period in 2023[42]. - The Life Sciences segment generated revenue of $684 thousand for the six months ended September 30, 2024, with white labeling services contributing $617 thousand, up from $567 thousand in the prior year[42]. - Revenue for the three months ended September 30, 2024, was approximately $412 thousand, a 42% increase from $291 thousand in the same period of 2023[101]. - Gross profit for the three months ended September 30, 2024, was $198 thousand, reflecting a 14% increase from $174 thousand in the same period of 2023[101]. - Other net income for the six months ended September 30, 2024, decreased by approximately $43 thousand or 41% to $61 thousand[111]. - The company reported a net loss of approximately $4.1 million for the six months ended September 30, 2024, compared to a net loss of approximately $4.5 million in the same period of 2023[121][122]. - Net loss for the three months ended September 30, 2024, was $1,717 thousand, a 30% improvement from a net loss of $2,451 thousand in the same period of 2023[101]. Assets and Liabilities - The Company reported a total inventory of $1,510 thousand as of September 30, 2024, a slight decrease from $1,540 thousand as of March 31, 2024[44]. - Total accrued and other liabilities increased to $2,034 thousand as of September 30, 2024, from $1,567 thousand as of March 31, 2024, representing a 29.87% increase[56]. - The total intangible assets increased to $1,803 thousand as of September 30, 2024, compared to $1,616 thousand as of March 31, 2024[48]. - The total non-current assets as of September 30, 2024, were $6,119,000, a slight decrease from $6,197,000 as of March 31, 2024[81]. - Cash and cash equivalents increased by approximately $348 thousand to $1.5 million as of September 30, 2024, representing a 29% increase from $1.2 million as of March 31, 2024[119]. - Cash and cash equivalents at the end of the period were $1.546 million, a decrease of 49% from $3.026 million at the end of the same period in 2023[120]. Operating Expenses - Selling, general and administrative (SG&A) expenses decreased by approximately $356 thousand or 25% to $1 million for the three months ended September 30, 2024[103]. - Research and development (R&D) expenses decreased by approximately $351 thousand or 28% to $917 thousand for the three months ended September 30, 2024[104]. - The Company incurred an amortization expense of approximately $40 thousand for the six months ended September 30, 2024, compared to $36 thousand for the same period in 2023[48]. - Depreciation expense for the three months ended September 30, 2024, was approximately $145 thousand, compared to $140 thousand for the same period in 2023, indicating a 3.57% increase[52]. Cash Flow - Net cash used in operating activities for the six months ended September 30, 2024, was approximately $2.7 million, a decrease of 11% from $3.1 million in the same period of 2023[121][122]. - Cash provided by financing activities increased to approximately $3.3 million for the six months ended September 30, 2024, up 15% from $2.8 million in the prior year[125][126]. - Net cash used in investing activities for the six months ended September 30, 2024, was approximately $196 thousand, compared to a net cash provided of $67 thousand in the same period of 2023[123][124]. - The company experienced a net increase in cash and cash equivalents of $348 thousand for the six months ended September 30, 2024, compared to a net decrease of $170 thousand in the same period of 2023[120]. Clinical Development and Innovation - IGC-AD1, the primary drug candidate, is currently in Phase 2 clinical trials and has shown potential to reduce agitation in Alzheimer's patients within 2 weeks, significantly faster than traditional medications[91]. - IGC Pharma aims to leverage AI for early detection of Alzheimer's and to optimize clinical trial design, enhancing the efficiency of its drug development process[89]. - The company is focused on developing both symptom and disease-modifying agents for Alzheimer's, which could lead to significant growth if successful[96]. - IGC-1C, a novel small-molecule modulator, has demonstrated therapeutic potential in preclinical research, advancing the company's pipeline for Alzheimer's treatment[98]. - The company has a total of 26 patent filings, emphasizing its commitment to innovation and intellectual property protection[90]. Shareholder Information - The company has authorized the issuance of up to 150 million shares of common stock, with 76,636,419 shares issued and outstanding as of September 30, 2024[64]. - The company issued approximately 8.8 million shares of unregistered common stock at a price of $0.34 per share, resulting in gross proceeds of approximately $3 million[66]. - As of September 30, 2024, the company has approximately 9.1 million shares of common stock issued under incentive plans, with 7.6 million restricted share units valued at $4.6 million granted but not yet issued[69]. - The company expects to recognize a combined unrecognized expense of $2.34 million related to non-vested shares and share options over a life of up to 4 years[72].