Financial Performance - Total assets increased to $92.35 million as of September 30, 2025, compared to $34.94 million at December 31, 2024, representing a growth of 164%[3] - Cash reserves rose significantly to $88.96 million from $33.10 million, marking an increase of 168%[3] - The net loss for the three months ended September 30, 2025, was $6.37 million, compared to a loss of $5.99 million in the same period of 2024, representing an increase in loss of 6%[5] - The company reported a comprehensive loss of $6.88 million for the three months ended September 30, 2025, compared to a loss of $5.87 million in the same period of 2024, an increase of 17%[5] - For the nine months ended September 30, 2025, the net loss was $21,884,316, compared to a net loss of $18,212,147 for the same period in 2024, indicating an increase in losses of approximately 14.7%[12] - Loss attributable to the Owners of the Company for the three months ended September 30, 2025, was $6,361,367, compared to $5,943,325 for the same period in 2024, reflecting an increase of 7%[65] - The company reported interest income of $180,185 for the three months ended September 30, 2025, down from $304,342 in the same period of 2024, a decrease of 40.7%[73] - The company received interest of $763,107 during the nine months ended September 30, 2025, compared to $941,898 in 2024, reflecting a decrease of 19.0%[84] Expenses - Total expenses for the three months ended September 30, 2025, were $6.88 million, up from $6.27 million in the same period of 2024, reflecting an increase of 10%[5] - Research and development expenses for the nine months ended September 30, 2025, totaled $13.46 million, compared to $12.20 million in 2024, indicating a rise of 10%[5] - Total general and administrative expenses for the nine months ended September 30, 2025, were $8,807,256, up from $7,324,505 in 2024, representing a 20% increase[66] - The company incurred share issuance costs of $1,501,564, which is 6% of the gross proceeds raised under the offering in 2024[46] - The company incurred a cash used in operating activities of $18,824,881 for the nine months ended September 30, 2025, a decrease from $24,022,161 in the prior year[12] Assets and Liabilities - Shareholders' equity increased to $88.44 million as of September 30, 2025, from $31.84 million at December 31, 2024, a growth of 177%[3] - Total current liabilities increased to $3.81 million as of September 30, 2025, from $3.10 million at December 31, 2024, an increase of 22%[3] - Total accounts payable and accrued liabilities reached $3,734,890 as of September 30, 2025, up from $3,031,527 as of December 31, 2024, marking an increase of about 23.2%[30] - The company had current liabilities of $3,811,026 as of September 30, 2025, compared to $3,103,386 in 2024, which is a 22.8% increase[75] - As of September 30, 2025, the accumulated deficit reached $152,868,722, reflecting the ongoing financial challenges faced by the company[18] Cash Position - Cash and cash equivalents at the end of the period were $88,959,281, a significant increase from $8,661,796 at the end of September 2024[12] - Cash as of September 30, 2025, was $88,959,281, significantly higher than $33,101,294 in 2024, reflecting a 168.5% increase[75] - The company held cash of $83,519,651 denominated in US dollars as of September 30, 2025, compared to $3,740,799 in 2024, representing a 2231.5% increase[79] Funding and Financing - The company raised net proceeds of $73,891,109 through a public offering of 14,636,363 common shares on September 24, 2025, enhancing its cash position[19] - A new CDN$12 million convertible debt facility was established on August 1, 2024, with a maturity of 24 months, extendable by 12 months at the lenders' option[43] - The company raised $31,997,837 (CDN$44,528,190) from the issuance of 8,905,638 convertible preferred shares at a price of CDN$5.00 on October 31, 2024[49] - The company has not yet generated revenue from operations, emphasizing its reliance on external funding for continued operations[18] - The company is actively pursuing additional funding through potential partnerships and grants to support future research and development activities[19] Research and Development - The company has not generated revenue and assesses performance through the achievement of pre-clinical and clinical research goals[72] - The company recognized a depreciation expense of $44,511 for the three months ended September 30, 2025, compared to $24,908 for the same period in 2024, reflecting an increase of approximately 78.5%[27] - The company reported a total of 4,417,722 in research and development expenses for the three months ended September 30, 2025[67] - Research and development expenses for the nine months ended September 30, 2025, totaled $13,464,163, compared to $12,197,293 in 2024, indicating an increase of 10%[67] Foreign Currency and Exchange Rates - The company experienced a foreign currency translation adjustment loss of $508,633 for the three months ended September 30, 2025[5] - The company reported a foreign currency translation adjustment loss of $508,633 for the period ended September 30, 2025[10] - The impact of a 10% change in exchange rates on profit or loss would be approximately $8,242,681 for US dollar transactions as of September 30, 2025[79] Share-Based Payments - Share-based payments for the nine months ended September 30, 2025, amounted to $3,056,761, compared to $2,195,296 for the same period in 2024, representing an increase of approximately 39.3%[12] - The company recognized additional share-based payments of $112,804 due to the repricing of options on April 25, 2025[56] - The unrecognized stock-based compensation expense related to non-vested stock options was $1,780,823, expected to be recognized over a weighted-average period of 2.18 years[60] - As of September 30, 2025, the company had 5,866,155 outstanding options with a weighted average exercise price of $5.04[59] Lease and Equipment - The right-of-use asset increased to $168,760 as of September 30, 2025, from $67,023 as of December 31, 2024, representing a significant rise of approximately 151.5%[29] - The total undiscounted future minimum lease payments as of September 30, 2025, amount to $181,986, with a present value of lease liabilities of $170,603[35] - The company has entered into a lease extension for its Victoria, BC facility, with total variable lease expenses anticipated to be $81,952 for the remaining term[68] - The operating lease expense for the three months ended September 30, 2025, was $21,226, compared to $16,072 for the same period in 2024, indicating an increase of approximately 32.5%[33] Miscellaneous - The company holds 95% of the equity interest in its subsidiary, Eupraxia USA, after acquiring AMDM Holdings Inc.[63] - The company subleased approximately 616 square feet of office space, generating $7,119 in income for the three months ended September 30, 2025, compared to $6,189 for the same period in 2024[35] - The company granted a security interest in all assets, excluding patents and intellectual property, to lenders under the convertible debt facility[45]
Eupraxia Pharmaceuticals Inc(EPRX) - 2025 Q3 - Quarterly Report