Aethlon Medical(AEMD) - 2025 Q3 - Quarterly Report

Financial Performance - Consolidated operating expenses for the three months ended December 31, 2024, decreased by $1,752,341 or 49.1$1,814,747 compared to $3,567,088 for the same period in 2023[100]. - Comprehensive loss decreased to$1,767,840 in the three months ended December 31, 2024, from $3,458,170 in the same period in 2023[105]. - For the nine months ended December 31, 2024, consolidated operating expenses decreased by$2,813,192 or 27.7% to $7,337,402 compared to$10,150,594 for the same period in 2023[106]. - Basic and diluted loss attributable to common stockholders was ($0.13) for the three months ended December 31, 2024, compared to ($1.37) for the same period in 2023[105]. - As of December 31, 2024, the company reported an accumulated deficit of $161,699,924 and limited working capital, raising substantial doubt about its ability to continue as a going concern[117]. - The company expects to incur increasing negative cash flows and net losses for the foreseeable future, necessitating additional capital through debt and/or equity financing[116][134]. Cash Flow and Financing - As of December 31, 2024, the company had a cash balance of$4,825,387 and working capital of $3,194,737, compared to a cash balance of$5,441,978 and working capital of $4,395,889 at March 31, 2024[112]. - Cash used in operating activities for the nine months ended December 31, 2024, was approximately$5,973,000, a decrease from $7,564,000 in the same period of 2023[127]. - The company raised approximately$5,368,000 from financing activities during the nine months ended December 31, 2024, compared to $1,245,000 in the same period of 2023[129][130]. - In June 2024, holders of Class A and Class B warrants exercised 300,000 and 2,880,000 shares, respectively, generating additional proceeds of$1,844,400[125]. - The company plans to access equity markets for additional capital, but there is no assurance of favorable terms or availability[135]. - Future capital requirements will depend on various factors, including progress in clinical trials and regulatory approvals, with expectations of continued cash flow challenges[116][134]. Clinical Trials and Product Development - The Hemopurifier has been safely utilized in 164 sessions with 38 patients, demonstrating potential to remove life-threatening viruses[84]. - The company has launched clinical trials of the Hemopurifier in Australia and India for cancer patients, focusing on safety and feasibility[85]. - The FDA has designated the Hemopurifier as a "Breakthrough Device" for two independent indications related to cancer and life-threatening viral infections[84]. - The company is investigating the Hemopurifier's potential applications in organ transplantation, particularly for kidneys from deceased donors[95]. - The company anticipates increased clinical trial expenses for oncology trials in Australia and India, including costs for manufacturing additional Hemopurifiers[131]. Market and Economic Conditions - The company is closely monitoring the impact of global events such as inflation and military conflicts on its business and financial condition[97]. - The company closed a public offering on May 17, 2024, selling 2,450,000 shares of common stock and pre-funded warrants for 5,650,000 shares, raising approximately $4.7 million in gross proceeds and$3.5 million in net proceeds after expenses[113][123].