CERo Therapeutics(US:CERO)2025-11-19 21:10Financial Position - As of September 30, 2025, the company reported approximately $1.9 million in cash and cash equivalents, with an accumulated deficit of approximately $86.3 million[283]. - The company has not recognized any revenue from product sales and does not expect to generate revenue in the foreseeable future[301]. - As of September 30, 2025, the company had approximately $1.9 million in cash and cash equivalents, which is insufficient to fund operations for the next 12 months[324]. - The company does not expect to generate revenue for at least the next few years, relying on additional financing to achieve its business objectives[322]. Capital Raising Activities - The company raised approximately $4.4 million in net proceeds from its equity line of credit and an additional $4.2 million from a public offering that closed on February 7, 2025[296]. - The company entered into a Fourth Securities Purchase Agreement to issue and sell up to 10,000 shares of Series D Preferred Stock for an aggregate purchase price of up to $8 million[285]. - The company sold an additional 938 shares of Series D Preferred Stock for gross cash proceeds of $750,400 in June 2025[287]. - The company has raised approximately $4.2 million from the exercise of Series A Preferred Warrants and other funding sources during the nine months ended September 30, 2025[284]. - The company has arranged two equity lines of credit, one for the sale of up to 25,000,000 shares of common stock and another for the purchase of up to $17.5 million of common stock[324]. - The company entered into a Fifth Securities Purchase Agreement to issue and sell up to 9,750 shares of Series E Preferred Stock for an aggregate purchase price of up to $7 million[325]. Operating Expenses - Research and development (R&D) expenses for Q3 2025 were $2,386,244, an increase of 34.5% from $1,774,210 in Q3 2024[309]. - General and administrative expenses decreased by 24.8% to $1,976,335 in Q3 2025 from $2,628,028 in Q3 2024[309]. - The total operating expenses for Q3 2025 were $4,362,579, a slight decrease of 0.9% compared to $4,402,238 in Q3 2024[309]. - Research and development expenses increased to $8,048,000 for the nine months ended September 30, 2025, up from $6,157,000 in the same period of 2024, reflecting a 30.7% increase[316]. - General and administrative expenses decreased to $5,989,000 for the nine months ended September 30, 2025, down from $7,946,000 in the same period of 2024, representing a 24.6% decrease[319]. Net Loss - The net loss for Q3 2025 was $4,856,395, representing a 14.9% increase from a net loss of $4,227,967 in Q3 2024[314]. - Net loss attributable to common stockholders for Q3 2025 was $11,506,223, a significant increase of 172.1% from $4,227,967 in Q3 2024[309]. - Net loss for the nine months ended September 30, 2025, was $15,380,000, compared to a net loss of $8,976,000 for the same period in 2024, indicating a 71.3% increase in net loss[321]. - Net loss attributable to common stockholders amounted to $47,078,000 for the nine months ended September 30, 2025, compared to $8,976,000 in the same period of 2024, a significant increase of 424.5%[321]. Cash Flow - Net cash used in operating activities for the nine months ended September 30, 2025 was $(12,273,817), compared to $(11,375,873) for the same period in 2024, reflecting a difference of $(897,944)[329]. - Net cash provided by investing activities for the nine months ended September 30, 2025 amounted to $500,000, compared to $0 for the same period in 2024, due to the sale of equity securities[332]. - Net cash provided by financing activities for the nine months ended September 30, 2025 was $10,468,829, a decrease from $12,240,682 in 2024[333]. - The financing activities in 2025 included net proceeds of $3,704,000 from the sale of common stock under the ELOC and $2,561,000 from the sale of Series D Preferred Stock[334]. - The company reported a net decrease in cash, restricted cash, and cash equivalents of $(1,304,988) for the nine months ended September 30, 2025[329]. Research and Development Outlook - The company anticipates a significant increase in R&D expenses in the future due to expanded clinical development efforts[311]. - The company anticipates significant increases in R&D expenses in the future due to increased headcount, compensation, and contracted services for clinical development[318]. Compliance and Notifications - The company received a notification letter from Nasdaq stating it had regained compliance with the continued listing standard under Nasdaq Listing Rule 5550(b)(1)[296]. Other Financial Metrics - Other expenses for Q3 2025 were $(494,000), a negative change of $668,000 compared to other income of $174,000 in Q3 2024[313]. - The company recorded deemed dividends of $6,649,828 related to Series D Preferred Stock during Q3 2025[314]. - Other expenses, net, were $(1,343,000) for the nine months ended September 30, 2025, compared to other income of $5,126,000 in the same period of 2024, reflecting a negative change of $6,469,000[320]. - The company recognized an earnout liability of $4.9 million as a result of the merger in February 2024, which is remeasured at each reporting period[337]. - Stock-based compensation for the nine months ended September 30, 2025 included expenses of $1,904,000, reflecting the cost of share-based payments to employees and consultants[338]. - The company recorded a gain from the change in fair value of the earnout liability of $4,870,000 for the nine months ended September 30, 2024, included in other income[337].