Enveric Biosciences(US:ENVB)2025-11-14 21:31Financial Performance - For the three months ended September 30, 2025, total operating expenses were $1,873,943, a decrease of approximately 10% from $2,083,192 in the same period of 2024[97]. - The net loss for the three months ended September 30, 2025, was $1,873,669, compared to a net loss of $2,084,032 for the same period in 2024, reflecting an improvement of approximately 10%[97]. - The company incurred a loss from operations of $6,580,525 for the nine months ended September 30, 2025, contributing to an accumulated deficit of $112,652,321[104]. - Net cash used in operating activities was $6,356,680 for the nine months ended September 30, 2025, compared to $6,414,590 in 2024[108]. - Cash on hand as of September 30, 2025, was $3,757,594, which is insufficient to meet operating cash needs for the next 12 months[105]. - Management has substantial doubt about the company's ability to continue as a going concern for a period of one year from the issuance of the financial statements[106]. Expenses - General and administrative expenses increased by $235,496, or 20%, to $1,431,157 for the three months ended September 30, 2025, primarily due to higher marketing and legal expenses[98]. - General and administrative expenses decreased to $4,010,313 for the nine months ended September 30, 2025, from $4,329,565 for the same period in 2024, a decrease of 7%[101]. - Research and development expenses decreased by $400,300, or approximately 50%, to $402,417 for the three months ended September 30, 2025, driven by reduced costs in various areas[99]. - Research and development expenses increased to $2,408,839 for the nine months ended September 30, 2025, from $1,873,873 in 2024, an increase of approximately 29%[102]. - The Company experienced a significant decrease in depreciation and amortization expense, which fell by approximately 52% to $40,369 for the three months ended September 30, 2025, due to full amortization of intangible assets[100]. - Depreciation and amortization expense decreased to $161,373 for the nine months ended September 30, 2025, from $255,002 in 2024, a decrease of approximately 37%[103]. Equity and Financing - The Company reported stockholders' equity of $3,456,176 as of September 30, 2025, regaining compliance with Nasdaq Listing Rule 5550(b)(1)[95]. - The Company entered into an at-the-market offering agreement with H.C. Wainwright & Co. to sell shares of Common Stock with an aggregate offering price of up to $1,854,151, raising net cash proceeds of $1,636,799 as of September 30, 2025[91]. - Net cash provided by financing activities was $7,890,361 for the nine months ended September 30, 2025, compared to $7,210,386 in 2024[111]. - The company has not generated revenue since inception and has relied on debt and equity financing to fund operations[104]. Compliance and Risks - The Company received notice of non-compliance with Nasdaq Listing Rule 5550(a)(2) due to a stock price below $1.00 but subsequently regained compliance following a 1-for-12 reverse stock split[96]. - The company is subject to foreign currency exchange rate risk due to transactions in Canadian and Australian dollars[116]. Product Development - The Company plans to advance its lead drug candidate EB-003 through preclinical studies and aims to initiate first-in-human studies to assess safety and tolerability[88]. - The EVM401 Series was unveiled on February 25, 2025, to broaden the pipeline with additional non-hallucinogenic molecules targeting addiction and neuropsychiatric disorders[90].