Full Press Release Details
InMed Pharmaceuticals
Reports Second Quarter Fiscal 2021 Financial Results
Vancouver, BC - February 11, 2021
- InMed Pharmaceuticals Inc. ("InMed" or the "Company") (NASDAQ:INM; TSX:IN), a clinical-stage
pharmaceutical company developing medications targeting diseases with high unmet medical need and leading the way in the clinical
development of cannabinol ("CBN"), today reported financial results for the second quarter of fiscal year 2021 ("2Q21")
which ended December 31, 2020.
Conference Call & Webcast1:
Thursday, February 11, 2021 at 8:30 AM
Pacific Time, 11:30 AM Eastern Time
| Local - Toronto | (+1) 416-764-8609 |
| Local - Vancouver | (+1) 778-383-7417 |
| Toll Free - North America | (+1) 888-390-0605 |
| Conference ID: | 19917866 |
(1Webcast replay available
| Toronto: | (+1) 416-764-8677 |
| North America (Toll Free): | (+1) 888-390-0541 |
| Playback Passcode: | 917866 # |
(2Dial-in replay available
till February 18, 2021)
Company's 10-Q including financial statements and related MD&A for the second quarter ending December 31, 2020 are available
"The second quarter of fiscal 2021
saw InMed achieve several key, value-adding and risk mitigating milestones across both its therapeutic programs and IntegraSynTM
manufacturing approach," said InMed President and Chief Executive Officer, Eric A. Adams. "We now have a strong body
of safety and tolerability data for INM-755, which is the basis for our plans to commence safety and efficacy trials in Epidermolysis
Bullosa patients this calendar year. We announced business development activities in both our ocular therapeutic and our innovative,
biosynthesis-based IntegraSynTM manufacturing program this last quarter. These announcements are a reflection of our
increased emphasis on business development activities as an avenue to advance our R&D efforts."
Research & Development Update:
the Treatment of Epidermolysis Bullosa ("EB"):
the Treatment of Glaucoma:
and Results of Operations (expressed in US Dollars):
Table 1: Condensed consolidated
interim balance sheets (unaudited):
InMed Pharmaceuticals Inc.
CONDENSED CONSOLIDATED INTERIM BALANCE SHEETS (unaudited)
As at December 31, 2020 and June 30, 2020
Expressed in U.S. Dollars
| December 31, | June 30, | |||||||
| 2020 | 2020 | |||||||
| $ | $ | |||||||
| ASSETS | ||||||||
| Current | ||||||||
| Cash and cash equivalents | 10,020,853 | 5,805,809 | ||||||
| Short-term investments | 45,225 | 42,384 | ||||||
| Accounts receivable | 154,846 | 45,344 | ||||||
| Prepaids and other assets | 28,464 | 418,920 | ||||||
| Total current assets | 10,249,388 | 6,312,457 | ||||||
| Non-Current | ||||||||
| Property and equipment, net | 373,844 | 403,485 | ||||||
| Intangible assets, net | 1,109,535 | 1,086,655 | ||||||
| Other assets | 14,655 | - | ||||||
| Total Assets | 11,747,422 | 7,802,597 | ||||||
| LIABILITIES AND SHAREHOLDERS' EQUITY | ||||||||
| Current | ||||||||
| Accounts payables and accrued liabilities | 2,077,325 | 1,607,303 | ||||||
| Current portion of lease obligations | 76,312 | 68,965 | ||||||
| Total current liabilities | 2,153,637 | 1,676,268 | ||||||
| Non-current | ||||||||
| Lease obligations | 238,992 | 248,011 | ||||||
| Derivative warrants liability | 1,763,980 | - | ||||||
| Total Liabilities | 4,156,609 | 1,924,279 | ||||||
| Shareholders' Equity | ||||||||
| Common shares, no par value, unlimited authorized shares: | ||||||||
| 7,000,707 (June 30, 2020 - 5,220,707) issued and outstanding | 58,008,112 | 53,065,240 | ||||||
| Additional paid-in capital | 17,946,374 | 17,764,333 | ||||||
| Accumulated deficit | (68,492,242 | ) | (64,649,381 | ) | ||||
| Accumulated other comprehensive income (loss) | 128,569 | (301,874 | ) | |||||
| Total Shareholders' Equity | 7,590,813 | 5,878,318 | ||||||
| Total Liabilities and Shareholders' Equity | 11,747,422 | 7,802,597 |
Table 2: Condensed consolidated
interim statements of operations and comprehensive loss (unaudited):
InMed Pharmaceuticals Inc.
CONDENSED CONSOLIDATED INTERIM STATEMENTS OF OPERATIONS AND
COMPREHENSIVE LOSS (unaudited)
For the three and six months ended December 31, 2020 and 2019
Expressed in U.S. Dollars
| Three Months Ended | Six Months Ended | |||||||||||||||
| December 31 | December 31 | |||||||||||||||
| 2020 | 2019 | 2020 | 2019 | |||||||||||||
| $ | $ | $ | $ | |||||||||||||
| Operating Expenses | ||||||||||||||||
| Research and development and patents | 937,948 | 1,606,831 | 1,849,104 | 3,568,743 | ||||||||||||
| General and administrative | 959,554 | 871,745 | 1,584,342 | 1,759,256 | ||||||||||||
| Amortization and depreciation | 36,816 | 28,232 | 64,797 | 58,459 | ||||||||||||
| Total operating expenses | 1,934,318 | 2,506,808 | 3,498,243 | 5,386,458 | ||||||||||||
| Other Income (Loss) | ||||||||||||||||
| Interest income | 3,050 | 40,495 | 7,395 | 98,901 | ||||||||||||
| Finance expense | (360,350 | ) | - | (360,350 | ) | - | ||||||||||
| Unrealized gain on derivative warrants liability | 242,628 | - | 242,628 | - | ||||||||||||
| Foreign exchange loss | (194,792 | ) | (27,182 | ) | (234,291 | ) | (11,250 | ) | ||||||||
| Net loss for the period | (2,243,782 | ) | (2,493,495 | ) | (3,842,861 | ) | (5,298,807 | ) | ||||||||
| Other Comprehensive Loss | ||||||||||||||||
| Foreign currency translation gain | 301,043 | 350,154 | 430,443 | 31,676 | ||||||||||||
| Total comprehensive loss for the period | (1,942,739 | ) | (2,143,341 | ) | (3,412,418 | ) | (5,267,131 | ) | ||||||||
| Net loss per share for the year | ||||||||||||||||
| Basic and diluted | (0.37 | ) | (0.48 | ) | (0.68 | ) | (1.01 | ) | ||||||||
| Weighted average outstanding common shares | ||||||||||||||||
| Basic and diluted | 6,091,359 | 5,220,707 | 5,656,033 | 5,220,707 |
3: Condensed consolidated interim statements of cash flows (unaudited):
InMed Pharmaceuticals Inc.
CONDENSED CONSOLIDATED INTERIM STATEMENTS OF CASH FLOWS (unaudited)
For the six months ended December 31, 2020 and 2019
Expressed in U.S. Dollars
| 2020 | 2019 | |||||||
| $ | $ | |||||||
| Cash provided by (used in): | ||||||||
| Operating Activities | ||||||||
| Net loss for the period | (3,842,861 | ) | (5,298,807 | ) | ||||
| Items not requiring cash: | ||||||||
| Amortization and depreciation | 64,797 | 58,459 | ||||||
| Share-based compensation | 182,041 | 634,435 | ||||||
| Non-cash lease expense | 61,065 | 35,506 | ||||||
| Loss on disposal of assets | - | 810 | ||||||
| Received interest income on short-term investments | 137 | 80,988 | ||||||
| Unrealized gain on derivative warrants liability | (242,628 | ) | - | |||||
| Payments on lease obligations | (41,057 | ) | (24,586 | ) | ||||
| Finance expense | 360,350 | - | ||||||
| Changes in non-cash working capital: | ||||||||
| Prepaids and other assets | 105,126 | 57,921 | ||||||
| Other non-current assets | (14,161 | ) | - | |||||
| Accounts receivable | (102,729 | ) | - | |||||
| Accounts payable and accrued liabilities | 296,971 | 269 | ||||||
| Total cash used in operating activities | (3,172,949 | ) | (4,455,005 | ) | ||||
| Investing Activities | ||||||||
| Maturity of short-term investments | - | 3,859,096 | ||||||
| Purchase of short-term investments | - | (26,445 | ) | |||||
| Proceeds on disposal of property and equipment | - | 550 | ||||||
| Purchase of property and equipment | - | (34,701 | ) | |||||
| Total cash provided by investing activities | - | 3,798,500 | ||||||
| Financing Activities | ||||||||
| Shares issued for cash | 8,010,000 | - | ||||||
| Share issuance costs | (1,116,967 | ) | - | |||||
| Total cash provided by financing activities | 6,893,033 | - | ||||||
| Effects of foreign exchange on cash and cash equivalents | 494,960 | 18,037 | ||||||
| Increase (decrease) in cash during the period | 4,215,044 | (638,468 | ) | |||||
| Cash and cash equivalents beginning of the period | 5,805,809 | 9,837,213 | ||||||
| Cash and cash equivalents end of the period | 10,020,853 | 9,198,745 |
About InMed: InMed Pharmaceuticals
is a clinical-stage pharmaceutical company developing a pipeline of cannabinoid-based medications, initially focused on the therapeutic
benefits of cannabinol (CBN) in diseases with high unmet medical need. The Company is dedicated to delivering new therapeutic alternatives
to patients that may benefit from cannabinoid-based medicines. For more information, visit www.inmedpharma.com.
InMed Pharmaceuticals Inc.
Brendan Payne, Director - Investor
for InMed Pharmaceuticals
Note Regarding Forward-Looking Information:
This news release contains "forward-looking
information" and "forward-looking statements" (collectively, "forward-looking information") within
the meaning of applicable securities laws. Forward-looking information is based on management's current expectations and
beliefs and is subject to a number of risks and uncertainties that could cause actual results to differ materially from those described
in the forward-looking statements. Forward-looking information in this news release includes statements about: leading the way
in the clinical development of cannabinol ("CBN"); developing a pipeline of cannabinoid-based medications in diseases
with high unmet medical need; delivering new therapeutic alternatives to patients that may benefit from cannabinoid-based medicines;
commencing safety and efficacy trials in Epidermolysis Bullosa patients in calendar 2021; increasing business development activities
to advance our research and development efforts; filing of regulatory applications for a Phase 2 safety and efficacy study in patients
with EB in several countries in the first half of calendar 2021, and commencing patient enrollment the second half of the calendar
year; being able to deliver sustained levels of CBN to the eye for the prospective treatment of ocular diseases; initiating IND-enabling
toxicology studies with INM-088 formulation, MiDROPS incorporating CBN, in 2021; exploring the therapeutic potential of BayMedica
Inc.'s cannabinoid analog compounds in selected disease models in the field of neuroprotection; and the closing of the private
placement, announced on February 5, 2021, on or about February 12, 2021 or at all.
With respect to the forward-looking information
contained in this news release, InMed has made numerous assumptions regarding, among other things: the closing of the private placement
on a timely basis on the terms described, or at all; continued and timely positive preclinical and clinical efficacy data; the
speed of regulatory approvals; the ability to contract with suitable partners; demand for InMed's products; and continued
economic and market stability. While InMed considers these assumptions to be reasonable, these assumptions are inherently subject
to significant business, economic, competitive, market and social uncertainties and contingencies.
Additionally, there are known and unknown
risk factors which could cause InMed's actual results, performance or achievements to be materially different from any future
results, performance or achievements expressed or implied by the forward-looking information contained herein. Known risk factors
include, among others: regulatory filings may not be filed or approved on a timely basis, or at all; our securities issuable in
connection with the private placement may not be accepted for registration by the Securities and Exchange Commission on a timely
basis, or at all; the outbreak and impact of COVID-19 may worsen; preclinical and clinical testing may not produce the desired
results on a timely basis, or at all; cannabis licensing/importing issues may delay our projected development timelines; suitable
partners may not be located; economic or market conditions may worsen; our existing cash runway may not allow us to complete our
forthcoming significant milestones; the development of a proprietary biosynthesis manufacturing technology for the production of
pharmaceutical-grade cannabinoids as well as a pipeline of medications targeting diseases with high unmet medical needs may not
be as successful as desired, if at all. A more complete discussion of the risks and uncertainties facing InMed is disclosed in
InMed's filings with the Security and Exchange Commission and the most recent Annual Information Form and other continuous
disclosure filed with Canadian securities regulatory authorities on SEDAR at www.sedar.com.
All forward-looking information herein
is qualified in its entirety by this cautionary statement, and InMed disclaims any obligation to revise or update any such forward-looking
information or to publicly announce the result of any revisions to any of the forward-looking information contained herein to reflect
future results, events or developments, except as required by law.
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