Edesa Biotech(EDSA) - 2021 Q2 - Quarterly Report

Revenue and Income - No revenues were reported for the three months ended March 31, 2021, compared to $0.11 million for the same period in 2020, due to the winddown of legacy operations[105]. - Total other income increased by $7.22 million to $7.25 million for the three months ended March 31, 2021, primarily due to increased grant income from the Canadian government's Strategic Innovation Fund[108]. - The company recorded $7.17 million in grant income related to the initiation of reimbursements under the Strategic Innovation Fund grant during the period[120]. Expenses - Total operating expenses increased by $7.88 million to $9.51 million for the three months ended March 31, 2021, compared to $1.63 million for the same period last year[105]. - Research and development expenses rose by $7.48 million to $7.98 million for the three months ended March 31, 2021, primarily due to milestone payments for the EB05 clinical program[106]. - General and administrative expenses increased by $0.43 million to $1.54 million for the three months ended March 31, 2021, driven by higher personnel costs and increased headcount[107]. Financial Performance - For the six months ended March 31, 2021, net loss was $4.90 million, or $0.45 per common share, compared to a net loss of $2.58 million, or $0.32 per common share, for the same period in 2020[117]. Cash and Financing - As of March 31, 2021, the company had cash and cash equivalents of $10.97 million and working capital of $16.80 million[122]. - The company plans to finance operations over the next twelve months with existing cash and reimbursements from the Strategic Innovation Fund[123]. Development and Operations - The company is developing EB05 and EB01, with EB05 in a Phase 2/Phase 3 study for COVID-19 related ARDS and EB01 in a Phase 2B study for chronic allergic contact dermatitis[95][96][97]. - The company has no off-balance sheet arrangements that are likely to materially affect its financial condition or results of operations[127]. - As a smaller reporting company, the company is not required to provide quantitative and qualitative disclosures about market risk[128].