Immunoprecise(IPA) - 2026 Q2 - Quarterly Report

Financial Performance - Revenue for the three months ended October 31, 2025, was CAD 4,124,000, representing a 54.1% increase from CAD 2,679,000 in the same period of 2024[6] - Gross profit for the six months ended October 31, 2025, was CAD 4,189,000, up 76.2% from CAD 2,379,000 in 2024[6] - For the three months ended October 31, 2025, the Company reported revenue of CAD 141,000, a decrease of 95.9% compared to CAD 3.446 million for the same period in 2024[21] - The gross profit for the three months ended October 31, 2025, was CAD 56,000, down 97.3% from CAD 2.068 million in the prior year[21] - For the six months ended October 31, 2025, total revenues increased to CAD 7.285 million, up from CAD 5.152 million in the same period of 2024, representing a growth of 41.3%[56] - Project revenue for the three months ended October 31, 2025, was CAD 4.058 million, compared to CAD 2.613 million in 2024, reflecting a year-over-year increase of 55.0%[56] Losses and Expenses - Net loss for the period was CAD 3,195,000 for the three months ended October 31, 2025, compared to a net loss of CAD 2,553,000 in 2024, indicating a 25.2% increase in losses[6] - The company reported a comprehensive loss of CAD 3,124,000 for the three months ended October 31, 2025, compared to CAD 2,383,000 in 2024, representing a 31.1% increase[6] - The Company incurred operating losses of CAD 3.2 million and CAD 6.2 million for the three and six months ended October 31, 2025, respectively, with an accumulated deficit of CAD 134.9 million[12] - Employee remuneration expenses for the six months ended October 31, 2025, totaled CAD 4.788 million, compared to CAD 4.709 million in 2024, indicating a slight increase of 1.7%[50] Assets and Liabilities - Total assets decreased to CAD 26,102,000 as of October 31, 2025, down 41.2% from CAD 44,441,000 on April 30, 2025[3] - Total liabilities decreased to CAD 8,397,000 as of October 31, 2025, down 59.7% from CAD 20,815,000 on April 30, 2025[3] - Total assets as of October 31, 2025, amounted to CAD 28.072 million, while total liabilities were CAD 12.229 million[22] - The balance of intangible assets decreased from CAD 19,471,000 on April 30, 2025, to CAD 7,136,000 on October 31, 2025[6] Cash and Financing Activities - Cash and cash equivalents increased to CAD 16,508,000 as of October 31, 2025, compared to CAD 10,665,000 on April 30, 2025, reflecting a 54.5% increase[3] - The company generated CAD 14,255,000 from the sale of Europe B.V., contributing significantly to financing activities[10] - The company issued 13,315,850 common shares under the ATM Facility during the year ended April 30, 2025, generating net proceeds of CAD 12.2 million[39] - The company established an at-the-market equity offering facility with a potential gross sales price of up to US$30.0 million on November 7, 2025[59] - As of December 12, 2025, the company sold 533,969 common shares under the ATM facility, generating net proceeds of $0.9 million[59] Research and Development - Research and development expenses for the six months ended October 31, 2025, were CAD 2,274,000, a decrease of 8.8% from CAD 2,494,000 in 2024[6] Shareholder Information - The weighted average number of shares outstanding increased to 46,156,821 for the three months ended October 31, 2025, compared to 28,132,055 in the same period of 2024[6] - The company reported a total of 1,664,367 stock options outstanding as of October 31, 2025, with a weighted average exercise price of CAD 5.32 and a remaining life of 4.51 years[43] - As of October 31, 2025, the company has 1,252,141 outstanding Restricted Stock Units (RSUs), with 1,246,011 unvested and a weighted average grant date fair value of CAD 2.51[48] Lease and Asset Management - The Company reported a decrease in property and equipment net book value to CAD 4.210 million as of October 31, 2025, from CAD 15.762 million as of April 30, 2025[27] - The net book value of right-of-use assets decreased from CAD 13,032,000 on April 30, 2025, to CAD 3,238,000 on October 31, 2025[35] - The company has a total of 4 leases for automobiles, with an average remaining lease term of 3.2 years[34] - The company has a total of 3 leases for lab and office facilities with an average remaining lease term of 6.1 years[34] - Total minimum lease payments amount to CAD 4,587,000, with a present value of CAD 3,627,000 after accounting for imputed interest[33] Geographic Performance - Revenue from the United States for the six months ended October 31, 2025, was CAD 4.849 million, an increase from CAD 4.539 million in 2024, representing a growth of 6.8%[56] - For the three months ended October 31, 2025, the net loss in North America - Corporate was $13,378,000 compared to a loss of $1,910,000 in the same period of 2024[57] - The net loss in the Netherlands for the six months ended October 31, 2025, was $15,103,000, a significant increase from a profit of $489,000 in 2024[57] - The net loss in Belgium for the three months ended October 31, 2025, was $1,717,000, compared to a loss of $1,094,000 in 2024[57] Other Financial Information - The company recorded no grant income related to a €0.5 million funding received in May 2022 during the six months ended October 31, 2025[55] - The company has recognized lease payments not included as liabilities amounting to CAD 253,000 for the six months ended October 31, 2025[35] - The company reported a non-cash investing transaction of $161,000 for the acquisition of building, vehicle, and equipment by lease for the six months ended October 31, 2025[58] - Interest and accretion expenses in North America for the three months ended October 31, 2025, were $57,000, slightly up from $55,000 in 2024[57] - The company reported a total of $13,717,000 in liabilities from financing activities for the six months ended October 31, 2025[58]