Financial Performance - Net loss for the three months ended December 31, 2024, was CAD 26,468,384, compared to a net loss of CAD 60,443,759 for the same period in 2023, indicating a 56.2% improvement[12]. - For the three months ended December 31, 2024, LeddarTech reported a net loss of 60,443,759 in the same period of 2023, representing a reduction of approximately 56%[16]. - The company reported a net loss attributable to equity holders of CAD 26,468,384 for the three months ended December 31, 2024, compared to CAD 60,141,447 in the prior year[106]. - The basic and diluted loss per common share for the three months ended December 31, 2024, was CAD 0.84, compared to CAD 16.76 for the same period in 2023[106]. - For the three months ended December 31, 2024, the loss from continuing operations attributable to equity holders of the parent was CAD 27,012,664, a significant improvement from CAD 61,188,116 in the same period of 2023[106]. Assets and Liabilities - Total assets increased to CAD 32,126,519 as of December 31, 2024, up from CAD 18,927,222 on September 30, 2024, representing a growth of 69.5%[5]. - Total current liabilities rose to CAD 42,077,258 as of December 31, 2024, compared to CAD 25,929,538 on September 30, 2024, an increase of 62.2%[5]. - Long-term debt increased to CAD 86,278,352 from CAD 79,306,811, marking an increase of 8.3%[5]. - Shareholders' deficiency increased to CAD (98,569,206) as of December 31, 2024, from CAD (88,634,694) on September 30, 2024[5]. - As of December 31, 2024, total debt amounted to CAD 102,447,503, an increase from CAD 89,220,430 as of September 30, 2024, reflecting a growth of approximately 14%[38]. Cash Flow and Reserves - Cash reserves rose significantly to CAD 17,733,753 from CAD 5,269,084, an increase of 235.5%[5]. - The company had a cash balance of 29,187,636 at the end of 2023, indicating a decrease of about 39%[16]. - LeddarTech incurred net cash outflows related to operating activities of 21,573,892 in the prior year, reflecting a decrease of approximately 75%[16]. - The company reported a net cash outflow of 1,242,814 in the same quarter of 2023[16]. - LeddarTech's financing activities generated a net cash inflow of 47,629,803 in the previous year, indicating a reduction of approximately 62%[16]. Research and Development - Research and development costs increased to CAD 5,465,396 in Q4 2024, up from CAD 2,677,689 in Q4 2023, reflecting a 104.5% rise[12]. - The company recorded a contract liability of CAD 7,194,500 related to government assistance and R&D tax credits receivable for the three months ended December 31, 2024[108]. Strategic Initiatives and Collaborations - LeddarTech entered into a strategic collaboration agreement with Texas Instruments, which includes a total payment of USD 9.89 million in advance royalties, with an initial payment of USD 5 million received on December 12, 2024[110][111]. - LeddarTech has been selected by a leading commercial vehicle OEM for its ADAS program, with revenue expected to begin in 2025 for engineering services and per-vehicle royalty revenue anticipated in late 2027[116][117]. Shareholder and Equity Information - As of December 31, 2024, the total number of common shares outstanding is 36,989,799, with a total value of 14.4 million[76]. - The acquisition of Vayavision increased the company's interest from 60% to 100%, with a purchase price of 10,115,625 upon the acquisition of Prospector[80]. - The total carrying value of shares issued and outstanding as of December 31, 2024, is 576,907 for options, 362,301 for PSUs[96][99][102]. - The company has a total of 1,408,600 stock options outstanding as of December 31, 2024, after a net decrease of 30,000 options[96]. - The company recognized a gain on modification of stock options amounting to $5,985,250 due to the replacement of M-options[87]. - The company has 1,209,096 RSUs outstanding as of December 31, 2024, after exercising 304,973 RSUs during the period[99]. - The company has established an Equity Incentive Plan allowing for the issuance of up to 5,000,000 shares to qualified individuals[90]. Debt and Financing - The convertible loan has a weighted average effective interest rate of 23.36%, with a principal amount of CAD 45,554,434 as of December 31, 2024, up from CAD 40,309,902[38]. - The company closed a bridge financing in August 2024 for an aggregate principal amount of USD 9.0 million, with Tranche 1 issued at a discount of 25%[56]. - The PIPE Convertible Notes have a principal amount of at least USD 43.0 million, with a conversion option priced at USD 10.00 per common share[39]. - The company issued warrants to purchase common shares at USD 0.01 per share, with a total of 250,000 shares issued following the exercise of these warrants[50]. - As of December 31, 2024, the warrant liability totaled CAD 2,513,147, reflecting a revaluation increase of CAD 1,883,641 since September 30, 2024[69]. - The company has a bridge loan with a maturity conversion option allowing conversion at a price of CAD 5.00 per common share[61]. - The amendments to the credit facility included extending the minimum cash requirement from CAD 5.0 million to CAD 250,000 until August 14, 2024[48]. - Unpaid interests of CAD 1,578,849 were recorded as accrued liabilities as of December 31, 2024[54]. - The company has a total of 17,465,750 warrants outstanding, with an exercise price of USD 11.50 per common share[65]. Market and Listing Information - The company has received approval to transfer its listing from the Nasdaq Global Market to the Nasdaq Capital Market, effective February 6, 2025[118][119].
LeddarTech(LDTC) - 2025 Q1 - Quarterly Report