DiaMedica Therapeutics(DMAC) - 2025 Q3 - Quarterly Report

Financial Performance - For the nine months ended September 30, 2025, the net loss was $24.0 million, compared to $16.5 million for the same period in 2024, reflecting an increase of 45.5%[83] - The company has not generated any revenues from product sales and has incurred a net loss in each year since inception[83] - The company expects to continue incurring significant expenses and operating losses for at least the next few years as it advances its clinical development programs[84] - The company expects to incur substantial operating losses as it continues the research and development of its DM199 product candidate, with no revenue expected for at least three to four years[99] Research and Development Expenses - Research and development (R&D) expenses for the three months ended September 30, 2025, were $6.4 million, up from $5.0 million in the same period of 2024, representing a 28.5% increase[90] - R&D expenses for the nine months ended September 30, 2025, increased to $17.9 million from $12.6 million in 2024, marking a 42.0% rise[90] - The company anticipates needing substantial additional capital to complete its R&D activities and support ongoing clinical studies[100] General and Administrative Expenses - General and administrative (G&A) expenses for the three months ended September 30, 2025, were $2.6 million, compared to $1.9 million in 2024, an increase of 36.8%[91] - G&A expenses for the nine months ended September 30, 2025, rose to $7.3 million from $5.7 million in 2024, reflecting a 28.1% increase[91] Cash Flow and Financial Position - As of September 30, 2025, the company had cash, cash equivalents, and marketable securities totaling $55.3 million, an increase from $44.1 million as of December 31, 2024, representing a 25% growth[94] - Total shareholders' equity increased to $51.6 million as of September 30, 2025, compared to $40.7 million as of December 31, 2024, reflecting a 27% increase[94] - Net cash used in operating activities for the nine months ended September 30, 2025, was $21.3 million, up from $15.6 million for the same period in 2024, indicating a 36% increase in cash outflow[96] - Net cash used in investing activities was $10.2 million for the nine months ended September 30, 2025, compared to a net cash inflow of $3.4 million for the same period in 2024[97] - Net cash provided by financing activities was $31.8 million for the nine months ended September 30, 2025, compared to $11.9 million for the same period in 2024, showing a 167% increase[98] - Approximately $98.4 million remains available for issuance under the ATM Offering program as of September 30, 2025[93] Future Projections - The interim analysis for the ReMEDy2 trial is expected to be completed in the second half of 2026[82] - Future funding requirements will depend on various factors, including the timing and results of ongoing development efforts and market conditions[100] - The company completed a private placement in July 2025, raising gross proceeds of $30.1 million from the sale of 8,606,425 common shares at $3.50 per share[101]