POTOMAC, MARYLAND / ACCESS Newswire / February 18, 2025 / IGC Pharma, Inc. ("IGC" or the "Company") (NYSE American:IGC) today announced its financial results for the third fiscal quarter of 2025 ended December 31, 2024.
IGC Pharma, Inc.
"The third quarter of fiscal 2025 was marked by our progress in advancing IGC-AD1 in our Phase 2 CALMA trial aimed at reducing agitation in Alzheimer's," said Mr. Ram Mukunda, CEO. "We are also planning to explore IGC-AD1 as an Alzheimer's disease-modifying therapy, aimed at reducing plaques and tangles in the brain, which positions IGC-AD1 in a significantly broader market. Our AI-driven research also gained recognition from the NIH through the PREPARE Challenge, reinforcing our leadership in Alzheimer's innovation. As we continue executing our strategy across Alzheimer's and metabolic disorders, we remain committed to delivering transformative therapies and driving long-term value for shareholders."
Q3 FY2025 Company's Highlights:
Recognition in Innovative Research: On October 1, 2024, IGC Pharma celebrated winning two awards in the PREPARE Challenge (Pioneering Research for Early Prediction of Alzheimer's and Related Dementias EUREKA Challenge), for its compelling entry based on the Mexican Health and Aging Study ("MHAS") database.
Patient Enrollment in Toronto: The Company marked a significant milestone on October 17, 2024, with the enrollment of patients at the Baycrest Academy for Research and Education in Toronto, Ontario, as part of its ongoing CALMA trial focusing on the treatment of agitation in Alzheimer's dementia.
Positive Interim Data Revealed: On November 14, 2024, IGC Pharma announced additional interim data from its ongoing CALMA trial highlighting cognitive benefits of IGC-AD1 in Alzheimer's patients.
Expansion into Alzheimer's Disease Modifying Treatment: On December 2, 2024, IGC Pharma announced an expansion of its clinical research program for IGC-AD1, to address cognitive impairment and underlying Alzheimer's disease pathology, such as reduction of plaques and tangles.
Financial Summary
During the three months ended December 31, 2024, the Company generated approximately $257 thousand in revenue representing an increase of 26% compared to the approximately $204 thousand generated during the three months ended December 31, 2023. The increase in revenue is attributed to white-label sales of our over-the-counter formulations. The Company is committed to its current strategy of driving sales in formulations both as branded and white-labeled products.
During the three months ended December 31, 2024, the Company reported Selling, general and administrative expenses ("SG&A") expenses decreased by approximately $1.1 million or 49% to approximately $1.0 million, from approximately $2.2 million recorded for the three months ended December 31, 2023. The decrease of $1.1 million is attributed to a one-time expense of approximately $734 thousand during the three months ended December 31, 2023, and the focus of management on cost efficiency in marketing and corporate expenses during the three months ended December 31, 2024.
During the three months ended December 31, 2024, the Company reported Research and Development ("R&D") expenses of approximately $852 thousand, representing a decrease of approximately $51 thousand or 6% compared to the three months ended December 31, 2023. It is primarily attributable to the progression of CALMA Phase 2 trials on IGC-AD1 and pre-clinical studies on the other small molecule assets.
The net loss for the three months ended December 31, 2024, was approximately $1.8 million or $0.02 per share, compared to approximately $5.8 million or $0.08 per share for three months ended December 31, 2023.
As of December 31, 2024, the Company has not drawn on the $12 million available under the Credit Agreement with O-Bank.
About IGC Pharma (dba IGC):
IGC Pharma is an AI-powered, clinical-stage biotechnology company focused on developing innovative treatments for Alzheimer's disease and transforming patient care with fast-acting safe, and effective solutions. Our portfolio includes the TGR family, including TGR-63, which targets amyloid plaques, a hallmark of Alzheimer's. The IGC-C and IGC-M platforms are advancing in preclinical studies, focusing on metabolic disorders, tau proteins, early plaque formation, and multiple disease hallmarks. Our lead therapeutic candidate, IGC-AD1, is a cannabinoid-based treatment currently in a Phase 2 trial for agitation in dementia ("CALMA") associated with Alzheimer's (clinicaltrials.gov, IGC Pharma Phase II). Interim data for IGC-AD1 demonstrated that it has the potential to transform patient care by offering faster-acting and more effective relief compared to traditional medications. Additionally, our AI models are designed to predict potential biomarkers for the early detection of Alzheimer's, optimize clinical trials, and predict receptor affinity, among others. With 32 patent filings and a commitment to innovation, IGC Pharma is dedicated to advancing pharmaceutical treatments and improving the lives of those affected by Alzheimer's and related conditions. The Company operates a wellness brand offering scientifically formulated products under the brand Holiby™ and as white-labeled formulations.
Forward-Looking Statements
This press release contains forward-looking statements. These forward-looking statements are based largely on IGC Pharma's expectations and are subject to several risks and uncertainties, certain of which are beyond IGC Pharma's control. Actual results could differ materially from these forward-looking statements as a result of, among other factors, the Company's failure or inability to commercialize one or more of the Company's products or technologies, including the products or formulations described in this release, or failure to obtain regulatory approval for the products or formulations, where required, or government regulations affecting AI or the AI algorithms not working as intended or producing accurate predictions; general economic conditions that are less favorable than expected; the FDA's general position regarding cannabis- and hemp-based products; and other factors, many of which are discussed in IGC Pharma's U.S. Securities and Exchange Commission ("SEC") filings. IGC incorporates by reference its Annual Report on Form 10-K filed with the SEC on June 24, 2024, and on Form 10-Q filed with the SEC on August 7, 2024, as if fully incorporated and restated herein. Considering these risks and uncertainties, there can be no assurance that the forward-looking information contained in this release will occur.
Contact Information
Rosalyn Christian / Walter Frank
IMS Investor Relations
igc@imsinvestorrelations.com
(203) 972-9200
< Financial Tables to Follow>
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands, except share data)
(Unaudited)
|
December 31,
2024
($)
|
|
|
March 31, 2024
($)
|
|
|||
ASSETS |
|
|
|
|
|
|
||
Current assets: |
|
|
|
|
|
|
||
Cash and cash equivalents |
|
|
470 |
|
|
|
1,198 |
|
Accounts receivable, net |
|
|
49 |
|
|
|
39 |
|
Inventory |
|
|
1,433 |
|
|
|
1,540 |
|
Asset held for sale |
|
|
701 |
|
|
|
720 |
|
Deposits and advances |
|
|
398 |
|
|
|
208 |
|
Total current assets |
|
|
3,051 |
|
|
|
3,705 |
|
|
|
|
|
|
|
|
|
|
Non-current assets: |
|
|
|
|
|
|
|
|
Intangible assets, net |
|
|
1,869 |
|
|
|
1,616 |
|
Property, plant, and equipment, net |
|
|
3,348 |
|
|
|
3,695 |
|
Claims and advances |
|
|
681 |
|
|
|
688 |
|
Operating lease asset |
|
|
129 |
|
|
|
198 |
|
Total non-current assets |
|
|
6,027 |
|
|
|
6,197 |
|
Total assets |
|
|
9,078 |
|
|
|
9,902 |
|
LIABILITIES AND STOCKHOLDERS EQUITY |
|
|
|
|
|
|
|
|
Current liabilities: |
|
|
|
|
|
|
|
|
Accounts payable |
|
|
835 |
|
|
|
773 |
|
Accrued liabilities and others |
|
|
1,822 |
|
|
|
1,567 |
|
Total current liabilities |
|
|
2,657 |
|
|
|
2,340 |
|
|
|
|
|
|
|
|
|
|
Non-current liabilities: |
|
|
|
|
|
|
|
|
Long-term loans |
|
|
134 |
|
|
|
137 |
|
Other liabilities |
|
|
16 |
|
|
|
20 |
|
Operating lease liability |
|
|
12 |
|
|
|
84 |
|
Total non-current liabilities |
|
|
162 |
|
|
|
241 |
|
Total liabilities |
|
|
2,819 |
|
|
|
2,581 |
|
|
|
|
|
|
|
|
|
|
Commitments and Contingencies - See Note 12
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Stockholders equity: |
|
|
|
|
|
|
|
|
Preferred stock, $0.0001 par value: authorized 1,000,000 shares, no shares issued or outstanding as of December 31, 2024, and March 31, 2024. |
|
|
|
|
|
|
|
|
Common stock and additional paid-in capital, $0.0001 par value: 150,000,000 shares authorized; 78,203,218 and 66,691,195 shares issued and outstanding as of December 31, 2024, and March 31, 2024, respectively. |
|
|
129,307 |
|
|
|
124,409 |
|
Accumulated other comprehensive loss |
|
|
(3,459 |
) |
|
|
(3,423 |
) |
Accumulated deficit |
|
|
(119,589 |
) |
|
|
(113,665 |
) |
Total stockholders equity |
|
|
6,259 |
|
|
|
7,321 |
|
Total liabilities and stockholders equity |
|
|
9,078 |
|
|
|
9,902 |
|
These financial statements should be read in connection with the accompanying notes on Form 10-Q for the quarter ended December 31, 2024, filed with the SEC on February 14, 2025.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS
(in thousands, except loss per share and share data)
(Unaudited)
|
Three months ended
December 31,
|
|
|
Nine months ended
December 31,
|
|
|||||||||||
|
2024 |
|
|
2023 |
|
|
2024 |
|
|
2023 |
|
|||||
|
($) |
|
|
($) |
|
|
($) |
|
|
($) |
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Revenue |
|
|
257 |
|
|
|
204 |
|
|
|
941 |
|
|
|
1,050 |
|
Cost of revenue |
|
|
(153 |
) |
|
|
(71 |
) |
|
|
(476 |
) |
|
|
(488 |
) |
Grossprofit |
|
|
104 |
|
|
|
133 |
|
|
|
465 |
|
|
|
562 |
|
Selling, general and administrative expenses |
|
|
(1,130 |
) |
|
|
(2,228 |
) |
|
|
(3,841 |
) |
|
|
(5,272 |
) |
Research and development expenses |
|
|
(852 |
) |
|
|
(903 |
) |
|
|
(2,658 |
) |
|
|
(2,918 |
) |
Operating loss |
|
|
(1,878 |
) |
|
|
(2,998 |
) |
|
|
(6,034 |
) |
|
|
(7,628 |
) |
Impairment Loss on PPE |
|
|
- |
|
|
|
(2,623 |
) |
|
|
- |
|
|
|
(2,623 |
) |
Other income, net |
|
|
49 |
|
|
|
32 |
|
|
|
110 |
|
|
|
136 |
|
Loss before income taxes |
|
|
(1,829 |
) |
|
|
(5,589 |
) |
|
|
(5,924 |
) |
|
|
(10,115 |
) |
Income tax expense/benefit |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
Net loss attributable to common stockholders |
|
|
(1,829 |
) |
|
|
(5,589 |
) |
|
|
(5,924 |
) |
|
|
(10,115 |
) |
Foreign currency translation adjustments |
|
|
(18 |
) |
|
|
18 |
|
|
|
(36 |
) |
|
|
(36 |
) |
Comprehensive loss |
|
|
(1,847 |
) |
|
|
(5,571 |
) |
|
|
(5,960 |
) |
|
|
(10,151 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net loss per share attributable to common stockholders: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic and diluted |
|
$ |
(0.02 |
|
|
|
(0.09 |
) |
|
|
(0.08 |
) |
|
|
(0.18 |
) |
Weighted-average number of shares used in computing net loss per share amounts: |
|
|
77,633,004 |
|
|
|
63,725,084 |
|
|
|
75,494,270 |
|
|
|
57,039,035 |
|
These financial statements should be read in connection with the accompanying notes on Form 10-Q for the quarter ended December 31, 2024, and was filled with the SEC on February 14, 2025.
Contact Information
Rosalyn Christian / Walter Frank
IMS Investor Relations
igc@imsinvestorrelations.com
(203) 972-9200
SOURCE: IGC Pharma, Inc.
View the original press release on ACCESS Newswire
