Biotricity (BTCY) - 2026 Q1 - Quarterly Report

Part I – Financial Information Condensed Consolidated Interim Financial Statements Presents Biotricity's unaudited interim financial statements, detailing balance sheets, operations, cash flows, and notes Condensed Consolidated Interim Balance Sheets Total assets increased to $6.04 million, liabilities grew to $36.84 million, and stockholders' deficiency widened to $32.80 million Condensed Consolidated Balance Sheet Highlights (in USD) | Balance Sheet Item | June 30, 2025 (Unaudited) | March 31, 2025 (Audited) | | :--- | :--- | :--- | | Total Current Assets | $5,144,540 | $4,639,292 | | Total Assets | $6,037,319 | $5,640,954 | | Total Current Liabilities | $21,806,321 | $20,636,148 | | Total Liabilities | $36,835,946 | $35,655,054 | | Total Stockholders' Deficiency | ($32,798,917) | ($32,014,390) | Condensed Consolidated Statements of Operations and Comprehensive Loss Revenue increased to $3.87 million, gross profit rose to $3.12 million, and profit from operations reached $281,945 Statement of Operations Summary (in USD) | Metric | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | | :--- | :--- | :--- | | Revenue | $3,873,993 | $3,201,743 | | Gross Profit | $3,116,800 | $2,363,168 | | (Loss) Profit from Operations | $281,945 | ($1,116,846) | | Net Loss Attributable to Common Stockholders | ($754,293) | ($6,948,292) | | Loss Per Share, Basic and Diluted | ($0.029) | ($0.490) | Condensed Consolidated Interim Statements of Cash Flows Net cash used in operating activities reduced to $373,389, with a net increase in cash of $62,316, ending with $391,292 Cash Flow Summary (in USD) | Cash Flow Activity | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | | :--- | :--- | :--- | | Net cash used in operating activities | ($373,389) | ($1,494,240) | | Net cash provided by (used in) financing activities | $435,705 | $868,180 | | Net decrease in cash during the period | $62,316 | ($626,060) | | Cash, end of period | $391,292 | $100,731 | Notes to the Condensed Consolidated Interim Financial Statements Details accounting policies, going concern, revenue, convertible notes, derivatives, and equity changes - The company has incurred recurring losses, resulting in an accumulated deficit of $140,196,078 and a working capital deficiency of $16,661,781 as of June 30, 2025, raising substantial doubt about its ability to continue as a going concern[20] Revenue Breakdown (in USD) | Revenue Source | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | | :--- | :--- | :--- | | Technology fees | $3,371,392 | $3,016,250 | | Device sales | $502,601 | $185,493 | | Total | $3,873,993 | $3,201,743 | - During the quarter ended June 30, 2025, the company issued $850,000 in unsecured convertible promissory notes to private investors and repaid a $100,000 note from the prior fiscal year[123] - Subsequent to the quarter end, between July 1 and August 14, 2025, the company issued an additional $694,197 in convertible notes and used the proceeds to redeem $500,000 of other convertible notes[213] Management's Discussion and Analysis of Financial Condition and Results of Operations Management discusses financial performance, highlighting positive profit from operations, revenue growth, and going concern Company Overview Biotricity is a medical technology company focused on cardiac diagnostics, offering biometric monitoring and AI tools - The company's business model focuses on earning utilization-based recurring technology fee revenue by placing devices with clinically focused, repeat users[219] - Biotricity is expanding its AI technology development in remote cardiac care, using proprietary AI to create predictive monitoring tools for new disease profiling and improved patient management[231] - The company has monitored over two billion heartbeats, benefiting over 28,000 patients diagnosed with atrial fibrillation (afib), a leading cause of strokes[230] Results of Operations Achieved first-ever profit from operations of $281,945, revenue up 21% to $3.9 million, and gross margin at 80.5% - The company reported its first-ever positive profit from operations and positive EBITDA for the quarter ended June 30, 2025[237][250] Key Operational Results (in USD) | Metric | Q1 FY2026 (ended June 30, 2025) | Q1 FY2025 (ended June 30, 2024) | Change | | :--- | :--- | :--- | :--- | | Revenue | $3,873,993 | $3,201,743 | +21.0% | | Gross Profit | $3,116,800 | $2,363,168 | +31.9% | | Gross Margin | 80.5% | 73.8% | +6.7 pts | | Profit (Loss) from Operations | $281,945 | ($1,116,846) | +$1,398,791 | | Net Loss before Dividends | ($671,977) | ($3,694,520) | +$3,022,543 | EBITDA and Adjusted EBITDA (in USD) | Metric | 3 months ended June 30, 2025 | 3 months ended June 30, 2024 | | :--- | :--- | :--- | | EBITDA | $333,337 | ($1,779,631) | | Adjusted EBITDA | $289,368 | ($1,056,380) | Liquidity and Capital Resources Substantial doubt about going concern due to losses and working capital deficit, despite positive Free Cash Flow - Management has noted the existence of substantial doubt about the company's ability to continue as a going concern, and its independent auditor included an explanatory paragraph in its report[257] - The company had a cash balance of approximately $0.4 million as of June 30, 2025[269] Free Cash Flow (in USD) | Metric | 3 months ended June 30, 2025 | 3 months ended June 30, 2024 | | :--- | :--- | :--- | | Net cash used in operating activities | ($373,389) | ($1,494,240) | | Add: Interest expense | $850,254 | $768,673 | | Free Cash Flows | $476,865 | ($725,567) | Quantitative and Qualitative Disclosures About Market Risk Disclosure not required as Biotricity Inc. qualifies as a smaller reporting company - Not required for a smaller reporting company[282] Controls and Procedures Management concluded disclosure controls and procedures were effective, with no material changes to internal controls - Based on an evaluation, the Chief Executive Officer and Chief Financial Officer concluded that the company's disclosure controls and procedures were effective as of the end of the reporting period[284] - There were no changes in the Company's internal controls over financial reporting during the quarter that have materially affected, or are reasonably likely to materially affect, internal controls[285] Part II – Other Information Legal Proceedings The company is not currently a party to any material legal proceedings - The company is not currently a party to any material legal proceedings[288] Unregistered Sales of Equity Securities and Use of Proceeds No unregistered sales of equity securities were reported during the period - None reported[290] Other Information No director or officer adopted or terminated a Rule 10b5-1 or non-Rule 10b5-1 trading arrangement - No director or officer adopted or terminated a "Rule 10b5-1 trading arrangement" or "non-Rule 10b5-1 trading arrangement" during the quarter ended June 30, 2025[294] Exhibits Lists exhibits filed with Form 10-Q, including CEO/CFO certifications and Inline XBRL financial data - The report includes the following exhibits: - Certifications pursuant to Section 302 and Section 906 of the Sarbanes-Oxley Act of 2002 - Inline XBRL Document Set for the financial statements[296]