IGC Pharma(US:IGC)2025-06-27 20:14Financial Performance - Revenue for Fiscal 2025 decreased by $74 thousand to $1.271 million, a 6% decline from $1.345 million in Fiscal 2024[294] - Gross profit for Fiscal 2025 was $619 thousand, down 16% from $733 thousand in Fiscal 2024, with a gross margin of 49% compared to 54% in the previous year[295] - Total revenue for Fiscal 2025 was $1.271 million, a slight decrease from $1.345 million in Fiscal 2024, with wellness and lifestyle revenue dropping from $228 thousand to $113 thousand[330] Expenses - Selling, general, and administrative expenses decreased by 35% to approximately $4.4 million in Fiscal 2025, down from $6.7 million in Fiscal 2024[297] - Research and development expenses were approximately $3.7 million in Fiscal 2025, a decrease of 3% from $3.8 million in Fiscal 2024[298] - Net cash used in operating activities for Fiscal 2025 was approximately $4.8 million, a decrease of 8% compared to $5.2 million in Fiscal 2024[316][318] Trial Results - The Phase 2 trial of IGC-AD1 showed a 71% reduction in sleep disturbances at week 2 and a 78% reduction at week 6 compared to placebo[282] - No serious adverse events were reported in the Phase 2 trial, indicating a favorable safety profile for IGC-AD1[292] - The company successfully optimized trial operations, reducing the cost per patient enrolled in the Phase 2 trial to approximately $70 thousand, significantly lower than industry norms of $100 thousand to $150 thousand[280][281] Financing Activities - The company raised over $4.64 million through private equity placements and ATM offerings during Fiscal 2025[296] - Net cash provided by financing activities was approximately $4.4 million for Fiscal 2025, an increase of 26% from $3.5 million in Fiscal 2024[321][322] - The Company raised approximately $3 million in gross proceeds through a Share Purchase Agreement with Bradbury Strategic Investment Fund A, receiving $500 thousand during fiscal 2024 and $2.1 million in April 2024[307] Capital and Assets - Cash and cash equivalents decreased by approximately $793 thousand to $405 thousand in Fiscal 2025, representing a 66% decline from $1.2 million in Fiscal 2024[315] - The Company capitalized approximately $863 thousand in software development costs during Fiscal 2025, focusing on integrating machine learning and AI into clinical trial software[336] - The Company impaired land in Nagpur, India, by approximately $3.3 million during Fiscal 2024, reducing its value from $4.1 million to $720 thousand[333] Shareholder Agreements - The company has entered into a Sales Agreement to offer and sell shares of its common stock with an aggregate offering price of up to $60 million[305] - The Company entered into a Share Purchase Agreement in September 2024, selling 588,235 shares at $0.34 per share for a total of $200,000[309] - The Company expects to utilize its shelf registration to raise capital through at-the-market offerings, subject to limitations on the amount of capital that can be raised[311] Currency and Exchange Rates - The Company operates in multiple currencies, with significant financials denominated in Indian Rupee (INR) and Colombian Peso (COP), affecting its financial statements due to exchange rate fluctuations[337]