Cingulate(US:CING)2025-11-13 22:07Financial Performance - The net loss for the nine months ended September 30, 2025, was $16,177,001, compared to a net loss of $10,328,505 for the same period in 2024, reflecting a 56.5% increase in losses[15]. - The company reported an operating loss of $5,995,835 for the three months ended September 30, 2025, compared to an operating loss of $3,282,087 for the same period in 2024, indicating a 82.5% increase in operating losses[15]. - The net loss for the three months ended September 30, 2025, was $7,341,062, compared to a net loss of $4,125,643 for the same period in 2024, representing an increase of 78%[38]. - The operating loss for the nine months ended September 30, 2025, was $14,351,844, compared to a loss of $9,436,484 for the same period in 2024, reflecting a 52% increase in losses[38]. - The total general and administrative expenses for the nine months ended September 30, 2025, were $6,579,735, up from $4,319,902 for the same period in 2024, marking a 52% increase[38]. Assets and Liabilities - Total current assets decreased from $12,660,803 as of December 31, 2024, to $7,433,310 as of September 30, 2025, representing a decline of approximately 41.5%[13]. - Total liabilities decreased slightly from $7,408,984 as of December 31, 2024, to $7,045,206 as of September 30, 2025, a reduction of about 4.9%[13]. - Cash and cash equivalents decreased significantly from $12,211,321 as of December 31, 2024, to $6,118,710 as of September 30, 2025, a decline of approximately 50.1%[13]. - The company's total assets decreased to $10,518,892 as of September 30, 2025, from $14,864,489 at December 31, 2024, reflecting a decline of approximately 29%[13]. - The total current liabilities increased to $5,882,285 as of September 30, 2025, compared to $4,972,105 at December 31, 2024, reflecting an increase of approximately 18%[13]. Research and Development - Research and development expenses for the three months ended September 30, 2025, increased to $2,848,544, up 99.2% from $1,428,504 in the same period of 2024[15]. - Research and development expenses for the nine months ended September 30, 2025, were $7,772,109, up from $5,116,582 in the same period of 2024, indicating a year-over-year increase of about 52%[15]. - The company is developing two proprietary stimulant medications, CTx-1301 and CTx-1302, for the treatment of ADHD[22]. - The company is also developing CTx-2103, a product aimed at treating anxiety, which is currently in the formulation stage[22]. Stock and Financing - The weighted average number of shares used in computing net loss per share increased from 1,766,362 in Q3 2024 to 5,431,206 in Q3 2025, indicating a significant dilution effect[15]. - The balance of common stock increased to 5,977,358 shares by September 30, 2025, from 3,826,199 shares at the end of March 2025[18]. - The company raised $7,565,637 from the issuance of common stock and pre-funded common stock purchase warrants, net of fees, during the nine months ended September 30, 2025[20]. - The Company has authorized 240,000,000 shares of common stock, with 5,977,358 shares issued and outstanding as of September 30, 2025[50]. - The Company sold 82,048 shares of common stock under the At-the-Market Agreement during the three months ended September 30, 2025, generating net proceeds of $412,996[56]. Cash Flow and Funding - The company reported a net cash used in operating activities of $13,647,893 for the nine months ended September 30, 2025[20]. - The company reported a net cash provided by financing activities of $7,561,207 for the nine months ended September 30, 2025[20]. - The company has incurred losses and negative cash flows from operations since inception, indicating a need for additional funding for operations and development[24]. - The company is evaluating various strategies to obtain additional funding, which may include equity offerings, debt issuance, or collaborations with other companies[24]. - The consolidated financial statements have been prepared on a going concern basis, reflecting substantial doubt about the company's ability to continue operations within one year[24]. Accounting and Valuation - The accumulated deficit increased from $109,925,120 as of December 31, 2024, to $126,102,121 as of September 30, 2025, reflecting a growth in losses of approximately 14.7%[13]. - The valuation allowance for deferred tax assets totaled $20,898,141 as of September 30, 2025, compared to $17,405,569 at December 31, 2024, indicating an increase of about 20%[12]. - The company recorded a change in fair value of derivatives amounting to $1,016,682 for the nine months ended September 30, 2025[20]. - The company has not recognized any impairment losses during the nine-month periods ended September 30, 2025 or 2024[28]. - The company has not identified any material uncertain tax positions requiring recognition in the consolidated financial statements as of September 30, 2025[74].