Incannex(IXHL)2024-11-14 21:05Revenue and Loss - Revenue from customers for the three months ended September 30, 2024, was $74,000, compared to $0 in the same period of 2023[83] - Loss from operations for the three months ended September 30, 2024, was $6,254,000, an increase of $1,362,000, or 28%, from $4,892,000 in 2023[83] - Comprehensive loss for the three months ended September 30, 2024, was $5,081,000, an increase of $3,845,000, or 311%, from $1,236,000 in 2023[83] - Total comprehensive losses were $5.1 million for the three months ended September 30, 2024, compared to $1.2 million for the same period in 2023[101] Expenses - Research and development expenses increased by $288,000, or 11%, to $2,896,000 for the three months ended September 30, 2024, compared to $2,608,000 in 2023[83] - General and administrative expenses rose by $1,148,000, or 50%, to $3,432,000 for the three months ended September 30, 2024, compared to $2,284,000 in 2023[83] - Total operating expenses increased by $1,436,000, or 29%, to $6,328,000 for the three months ended September 30, 2024, compared to $4,892,000 in 2023[83] - General and administrative expenses increased by $1.1 million for the three months ended September 30, 2024, compared to the same period in 2023, primarily due to increased salaries and legal costs[94] - Research and development expenses are expected to increase substantially due to ongoing and planned clinical and preclinical development activities[89] - The company anticipates increased accounting, audit, legal, and compliance expenses as it prepares for potential commercialization of its drug candidates[95] Tax Credits - Benefit from R&D tax credit decreased by $3,286,000, or 80%, to $811,000 for the three months ended September 30, 2024, compared to $4,097,000 in 2023[83] - The benefit from R&D tax credit decreased by $3.3 million for the three months ended September 30, 2024, compared to the same period in 2023[98] Cash and Assets - As of September 30, 2024, the company had cash and cash equivalents of $3.6 million, a decrease of $2.2 million from $5.9 million as of June 30, 2024[102] - Net cash used in operating activities was $5.7 million for the three months ended September 30, 2024, a decrease of $3.5 million compared to the same period in 2023[105] - Current assets exceed current liabilities by $6.0 million as of September 30, 2024, a decrease of $4.6 million from June 30, 2024[103] - Cash used in investing activities was $221,000 for the three months ended September 30, 2024, with no spending on property, plant, and equipment[106] Financing Activities - The company entered into an equity line of credit Purchase Agreement with Arena Global for up to $50 million[71] - The company completed the first tranche of a secured convertible debenture for $3,333,333 at an aggregate purchase price of $3 million[77] - The company received approximately $4.6 million as the initial drawdown from a term loan facility of up to $4.7 million[81] Accumulated Deficit - The accumulated deficit as of September 30, 2024, was $116.1 million[101]