Volition(US:VNRX)2024-11-14 21:24Financial Performance - Total revenues for Q3 2024 reached $474.5 million, a significant increase of 187% compared to $165.2 million in Q3 2023[17]. - Product revenues surged to $406.1 million in Q3 2024, up 218% from $127.5 million in Q3 2023[17]. - For the nine months ended September 30, 2024, total revenues increased to $1,041,854, a 96% increase from $531,329 for the same period in 2023[149]. - Total revenues for the three months ended September 30, 2024, were $474,522, a significant increase of over 100% compared to $165,211 for the same period in 2023, primarily driven by sales of the Nu.Q® Vet Cancer Test[136]. Losses and Deficits - The accumulated deficit increased to $(223,750,970) from $(202,576,507), reflecting a worsening of approximately 10.4%[16]. - Net loss attributable to VolitionRx Limited stockholders was $(5.82) million in Q3 2024, compared to $(8.37) million in Q3 2023, showing a reduction in losses[17]. - The net loss for the nine months ended September 30, 2024, was approximately $21.4 million, compared to a net loss of $26.9 million for the same period in 2023, reflecting a 20% improvement[157]. - The company has not attained profitable operations and is dependent on obtaining external financing to continue its operational and strategic plans[158]. Cash and Assets - As of September 30, 2024, total current assets decreased to $6,800,941 from $21,854,095 as of December 31, 2023, representing a decline of approximately 68.9%[16]. - Cash and cash equivalents significantly dropped to $5,414,146 from $20,729,983, a decrease of about 73.9%[16]. - The total assets decreased to $12,680,255 from $27,950,498, a decline of approximately 54.5%[16]. - As of September 30, 2024, the company had cash and cash equivalents of $5.4 million, a decrease from $10.8 million at the end of the previous period[23]. Expenses and Cost Management - Operating loss decreased to $(5.87) million in Q3 2024, compared to $(8.65) million in Q3 2023, reflecting improved operational efficiency[17]. - Research and development expenses were $3.47 million in Q3 2024, down from $4.65 million in Q3 2023, indicating a focus on cost management[17]. - Total operating expenses decreased to $6.34 million in Q3 2024 from $8.82 million in Q3 2023, highlighting effective cost control measures[17]. - The company recognized depreciation expenses of $815,824 and $792,232 for the nine-month periods ended September 30, 2024, and September 30, 2023, respectively, reflecting a year-over-year increase of approximately 3.9%[12]. Financing and Capital Structure - The company plans to address its financial challenges by obtaining additional financing through debt or equity transactions and securing grant funds[41]. - The company generated net proceeds from issuances of common stock totaling $6.6 million during the nine months ended September 30, 2024, compared to $25.8 million in the same period of 2023[23]. - The company raised net proceeds of $6.4 million from the 2024 Equity Capital Raise, which included the issuance of 9,170,000 shares of common stock and various warrants[58]. - The company may seek additional capital through the sale of debt or equity securities, which could dilute existing stockholders' ownership[160]. Stock and Warrants - The total number of outstanding Series A and Series B common stock warrants is 25,836,364 with a weighted average exercise price of $0.57[66]. - The total intrinsic value of warrants outstanding as of September 30, 2024, is $nil, indicating no current value for the warrants[72]. - Stock-based compensation expense related to warrants was $25,447 for the nine months ended September 30, 2023, compared to $5,238 for the same period in 2024, reflecting a decrease[72]. - The total number of options outstanding as of September 30, 2024, is 4,662,748, with a weighted average exercise price of $3.88[72]. Research and Development - The company has patented technologies that utilize nucleosomes and transcription factors as biomarkers for early disease detection, focusing on various life-altering diseases[118]. - The company offers a range of tests, including Nu.Q® Vet for cancer screening in dogs, and Nu.Q® Cancer for monitoring disease progression and treatment response[119]. - Research and development expenses decreased to $3.5 million for the three months ended September 30, 2024, down 25% from $4.7 million in the same period in 2023, due to reduced clinical trial activity and lower personnel expenses[138]. - Research and development expenses decreased by 21% to $11,819,106 from $15,007,623 for the nine months ended September 30, 2023[150]. Future Outlook - The company expects to rely on future financing through licensing, distribution rights, and equity or debt securities to fund its strategic plan, as it has not attained profitable operations[132]. - The Company has implemented short-term cash preservation and cost-saving initiatives to mitigate substantial doubt about its ability to continue as a going concern[43]. - The company has not generated significant revenues and expects to incur further losses in the future, particularly from the development of clinical-stage diagnostic tests[41].