Immunoprecise(IPA) - 2026 Q3 - Quarterly Report

Revenue and Profitability - Revenue for the three months ended January 31, 2026, was CAD 4,158,000, representing a 52.5% increase from CAD 2,728,000 in the same period of 2025[6] - Gross profit for the nine months ended January 31, 2026, was CAD 6,653,000, up 60.7% from CAD 4,139,000 in the prior year[6] - For the nine months ended January 31, 2026, total revenues increased to CAD 11.44 million, up 45.5% from CAD 7.88 million in the same period of 2025[54] - Revenue from the United States for the nine months ended January 31, 2026, was CAD 7.43 million, representing a 28.3% increase from CAD 5.79 million in 2025[54] Losses and Financial Position - Net loss for the period was CAD 10,084,000 for the nine months ended January 31, 2026, compared to a loss of CAD 28,073,000 in the same period of 2025, indicating a significant reduction in losses[10] - The company reported a comprehensive loss of CAD 10,167,000 for the nine months ended January 31, 2026, compared to CAD 27,697,000 in the same period of 2025[6] - The company reported a net loss of CAD 10.08 million for the nine months ended January 31, 2026, compared to a net loss of CAD 28.07 million for the same period in 2025, representing a 64.1% improvement[54] Cash and Assets - Cash and cash equivalents at the end of the period increased to CAD 14,198,000 from CAD 13,005,000 year-over-year[10] - Total assets decreased to CAD 22,987,000 as of January 31, 2026, down from CAD 44,441,000 as of April 30, 2025[3] - The company had $14.1 million in cash on hand as of January 31, 2026, which is expected to fund operations for at least one year[12] - Total assets as of January 31, 2026, amounted to $28.1 million, while total liabilities were $12.2 million, resulting in net assets of $15.8 million included in discontinued operations[22] Research and Development - Research and development expenses for the nine months ended January 31, 2026, were CAD 3,362,000, slightly down from CAD 3,385,000 in the previous year[6] - The company has incurred significant research and development expenses, totaling $425,000 for the nine months ended January 31, 2026[21] Shareholder Information - The weighted average number of shares outstanding increased to 46,711,866 as of January 31, 2026, from 29,367,687 in the same period of 2025[6] - The company issued 13,315,850 common shares under the ATM Facility, generating net proceeds of $12.2 million during the year ended April 30, 2025[37] - During the three months ended January 31, 2026, the company sold 533,969 common shares under the ATM, resulting in gross proceeds of $1.1 million[40] - As of January 31, 2026, the company has 1,476,717 stock options outstanding, with a weighted average exercise price of CAD 3.97 and a remaining life of 4.62 years[43] Discontinued Operations - Revenue from discontinued operations for the three months ended January 31, 2026, was $0, compared to $3.4 million for the same period in 2025, reflecting a significant decline[21] - Gross profit from discontinued operations for the nine months ended January 31, 2026, was $4.9 million, down from $9.7 million in the previous year[21] - The company reported net income from discontinued operations of $430,000 for the three months ended January 31, 2026, compared to $1.2 million for the same period in 2025[21] Leases and Commitments - The company has a total of 4 leases for lab and office facilities with an average remaining lease term of 5.8 years[34] - Total minimum lease payments amount to $4.425 million, with a present value of minimum lease payments at $3.524 million after accounting for imputed interest[33] - Leases reported a cash outflow of CAD 526,000 in January 2026, compared to CAD 1,142,000 in 2025[57] Other Financial Metrics - Employee remuneration expenses for the nine months ended January 31, 2026, totaled CAD 7.96 million, an increase of 17.7% from CAD 6.76 million in 2025[48] - The company recorded share-based expenses of $0.5 million and $0.4 million for the nine months ended January 31, 2026, and 2025, respectively[42] - The company reported a share-based expense of CAD 465,000 for the nine months ended January 31, 2026, compared to CAD 392,000 in the same period of 2025[48] Strategic Evaluations - The company is currently evaluating the impact of IFRS 18, which aims to enhance comparability of financial performance among similar entities[23] - The company has a commitment related to the acquisition of MindWalk BV, with contingent earnout payments based on 20% of adjusted EBITDA, capped at €12.0 million over a 7-year period[51]