Document And Entity Information
Document And Entity Information - shares | 3 Months Ended | |
Sep. 30, 2023 | Nov. 10, 2023 | |
Document Information Line Items | ||
Entity Registrant Name | INMED PHARMACEUTICALS INC. | |
Trading Symbol | INM | |
Document Type | 10-Q | |
Current Fiscal Year End Date | --06-30 | |
Entity Common Stock, Shares Outstanding | 5,254,970 | |
Amendment Flag | false | |
Entity Central Index Key | 0001728328 | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Document Period End Date | Sep. 30, 2023 | |
Document Fiscal Year Focus | 2024 | |
Document Fiscal Period Focus | Q1 | |
Entity Small Business | true | |
Entity Emerging Growth Company | true | |
Entity Shell Company | false | |
Entity Ex Transition Period | false | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Entity File Number | 001-39685 | |
Entity Incorporation, State or Country Code | A1 | |
Entity Tax Identification Number | 98-1428279 | |
Entity Address, Address Line One | Suite 310 - 815 W. Hastings Street | |
Entity Address, Address Line Two | Vancouver | |
Entity Address, City or Town | B.C | |
Entity Address, Country | CA | |
Entity Address, Postal Zip Code | V6C 1B4 | |
City Area Code | (604) | |
Local Phone Number | 669-7207 | |
Title of 12(b) Security | Common Shares, no par value | |
Security Exchange Name | NASDAQ | |
Entity Interactive Data Current | Yes |
Condensed Consolidated Interim
Condensed Consolidated Interim Balance Sheets - USD ($) | Sep. 30, 2023 | Jun. 30, 2023 |
Current | ||
Cash and cash equivalents | $ 6,738,304 | $ 8,912,517 |
Short-term investments | 42,942 | 44,422 |
Accounts receivable, net | 165,850 | 260,399 |
Inventories | 1,133,097 | 1,616,356 |
Prepaids and other current assets | 215,015 | 498,033 |
Total current assets | 8,295,208 | 11,331,727 |
Non-Current | ||
Property, equipment and ROU assets, net | 615,055 | 723,426 |
Intangible assets, net | 1,905,286 | 1,946,279 |
Other assets | 101,790 | 104,908 |
Total Assets | 10,917,339 | 14,106,340 |
Current | ||
Accounts payable and accrued liabilities | 1,046,251 | 1,608,735 |
Current portion of lease obligations | 292,998 | 375,713 |
Deferred rent | 16,171 | |
Total current liabilities | 1,339,249 | 2,000,619 |
Non-current | ||
Lease obligations, net of current portion | 15,994 | |
Total Liabilities | 1,339,249 | 2,016,613 |
Commitments and Contingencies (Note 14) | ||
Shareholders’ Equity | ||
Common shares, no par value, unlimited authorized shares: 3,328,191 (June 30, 2023 - 3,328,191) issued and outstanding | 77,620,252 | 77,620,252 |
Additional paid-in capital | 35,766,306 | 35,741,115 |
Accumulated deficit | (103,937,037) | (101,400,209) |
Accumulated other comprehensive income | 128,569 | 128,569 |
Total Shareholders’ Equity | 9,578,090 | 12,089,727 |
Total Liabilities and Shareholders’ Equity | $ 10,917,339 | $ 14,106,340 |
Condensed Consolidated Interi_2
Condensed Consolidated Interim Balance Sheets (Parentheticals) - $ / shares | Sep. 30, 2023 | Jun. 30, 2023 |
Statement of Financial Position [Abstract] | ||
Common shares, par value (in Dollars per share) | ||
Common shares, authorized shares | Unlimited | Unlimited |
Common shares, shares issued | 3,328,191 | 3,328,191 |
Common shares, shares outstanding | 3,328,191 | 3,328,191 |
Condensed Consolidated Interi_3
Condensed Consolidated Interim Statements of Operations (Unaudited) - USD ($) | 3 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Income Statement [Abstract] | ||
Sales | $ 901,862 | $ 320,788 |
Cost of sales | 787,690 | 235,034 |
Inventory write-down | 92,930 | 576,772 |
Gross profit | 21,242 | (491,018) |
Operating Expenses | ||
Research and development and patents | 1,292,093 | 1,378,653 |
General and administrative | 1,298,731 | 1,560,477 |
Amortization and depreciation | 54,832 | 49,048 |
Foreign exchange loss | 48,457 | 96,791 |
Total operating expenses | 2,694,113 | 3,084,969 |
Other Income (Expense) | ||
Interest and other income | 136,043 | 72,587 |
Loss before income taxes | (2,536,828) | (3,503,400) |
Tax expense | (6,800) | |
Net loss | $ (2,536,828) | $ (3,510,200) |
Net loss per share | ||
Net loss per share for the period basic (in Dollars per share) | $ (0.76) | $ (4.06) |
Weighted average outstanding common shares | ||
Weighted average outstanding common shares basic (in Shares) | 3,328,191 | 865,619 |
Condensed Consolidated Interi_4
Condensed Consolidated Interim Statements of Operations (Unaudited) (Parentheticals) - $ / shares | 3 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Income Statement [Abstract] | ||
Net loss per share for the period Diluted | $ (0.76) | $ (4.06) |
Weighted average outstanding common shares diluted | 3,328,191 | 865,619 |
Condensed Consolidated Interi_5
Condensed Consolidated Interim Statements of Shareholders’ Equity (Unaudited) - USD ($) | Common Shares | Additional Paid-in Capital | Accumulated Deficit | Accumulated Other Comprehensive Income | Total |
Balance at Jun. 30, 2022 | $ 70,718,461 | $ 31,684,098 | $ (93,452,587) | $ 128,569 | $ 9,078,541 |
Balance (in Shares) at Jun. 30, 2022 | 650,667 | ||||
Private placement | $ 410,376 | 5,589,570 | 5,999,946 | ||
Private placement (in Shares) | 90,000 | ||||
Share issuance costs | $ (77,242) | (1,052,101) | (1,129,343) | ||
Agents’ investment options | 451,897 | 451,897 | |||
Exercise of pre-funded warrants | $ 1,619,797 | (1,619,378) | 419 | ||
Exercise of pre-funded warrants (in Shares) | 168,099 | ||||
Net loss | (3,510,200) | (3,510,200) | |||
Share-based compensation | 116,680 | 116,680 | |||
Balance at Sep. 30, 2022 | $ 72,671,392 | 35,170,766 | (96,962,787) | 128,569 | 11,007,940 |
Balance (in Shares) at Sep. 30, 2022 | 908,766 | ||||
Balance at Jun. 30, 2023 | $ 77,620,252 | 35,741,115 | (101,400,209) | 128,569 | $ 12,089,727 |
Balance (in Shares) at Jun. 30, 2023 | 3,328,191 | 3,328,191 | |||
Net loss | (2,536,828) | $ (2,536,828) | |||
Share-based compensation | 25,191 | 25,191 | |||
Balance at Sep. 30, 2023 | $ 77,620,252 | $ 35,766,306 | $ (103,937,037) | $ 128,569 | $ 9,578,090 |
Balance (in Shares) at Sep. 30, 2023 | 3,328,191 | 3,328,191 |
Condensed Consolidated Interi_6
Condensed Consolidated Interim Statements of Cash Flows (Unaudited) - USD ($) | 3 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Operating Activities | ||
Net loss | $ (2,536,828) | $ (3,510,200) |
Items not requiring cash: | ||
Amortization and depreciation | 54,832 | 49,048 |
Share-based compensation | 25,191 | 116,680 |
Amortization of right-of-use assets | 94,532 | 99,460 |
Interest income received on short-term investments | (538) | (120) |
Unrealized foreign exchange loss | 2,018 | 2,796 |
Inventory write-down | 92,930 | 576,772 |
Changes in operating assets and liabilities: | ||
Inventories | 390,329 | 135,559 |
Prepaids and other currents assets | 283,018 | 440,560 |
Other non-current assets | 3,118 | 5,507 |
Accounts receivable | 94,549 | 72,858 |
Accounts payable and accrued liabilities | (562,484) | (159,260) |
Deferred rent | (16,171) | |
Deferred revenue | 15,700 | |
Lease obligations | (98,709) | (100,903) |
Total cash used in operating activities | (2,174,213) | (2,255,543) |
Investing Activities | ||
Sale of short-term investments | 21,317 | |
Purchase of short-term investments | (21,317) | |
Total cash provided by investing activities | ||
Financing Activities | ||
Shares issued for cash | 6,000,365 | |
Share issuance costs | (571,261) | |
Total cash provided by financing activities | 5,429,104 | |
(Decrease) increase in cash during the period | (2,174,213) | 3,173,561 |
Cash and cash equivalents beginning of the period | 8,912,517 | 6,176,866 |
Cash and cash equivalents end of the period | 6,738,304 | 9,350,427 |
Cash Paid During the Year for: | ||
Income taxes | 6,800 | |
Interest | ||
SUPPLEMENTARY DISCLOSURE OF NON-CASH INVESTING AND FINANCING ACTIVITIES: | ||
Preferred investment options to its placement agent | $ 547,441 |
Corporate Information and Conti
Corporate Information and Continuing Operations | 3 Months Ended |
Sep. 30, 2023 | |
Corporate Information and Continuing Operations [Abstract] | |
CORPORATE INFORMATION AND CONTINUING OPERATIONS | 1. CORPORATE INFORMATION AND CONTINUING OPERATIONS Business InMed Pharmaceuticals Inc. (“InMed” or the “Company”) was incorporated in the Province of British Columbia on May 19, 1981 under the Business Corporations Act The Company’s shares are listed on the Nasdaq Capital Market (“Nasdaq”) under the trading symbol “INM”. InMed’s office and principal place of business is located at #310 – 815 West Hastings Street, Vancouver, B.C., Canada, V6C 1B4. Going Concern In accordance with the Financial Accounting Standards Board (“FASB”) Accounting Standards Update (“ASU”) 2014-15, Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern (Subtopic 205-40), the Company has evaluated whether there are conditions and events, considered in the aggregate, that raise substantial doubt about the Company’s ability to continue as a going concern within one year after the date that the consolidated financial statements are issued. Through September 30, 2023, the Company has funded its operations primarily with proceeds from the sale of common stock. The Company has incurred recurring losses and negative cash flows from operations since its inception, including net losses of approximately $2.5 million and $3.5 million for the three months ended September 30, 2023 and 2022, respectively. In addition, the Company had an accumulated deficit of approximately $103.9 million as at September 30, 2023. The Company expects to continue to generate operating losses for the foreseeable future. As of the issuance date of these condensed consolidated interim financial statements, the Company expects its cash, cash equivalents and short-term investments of $6.8 million as of September 30, 2023, combined with the approximate $4.7 million of net proceeds from a private placement which closed on October 26, 2023 (see Note 13), will be sufficient to fund its operating expenses and capital expenditure requirements into the third quarter of calendar 2024, depending on the level and timing of realizing BayMedica revenues from the sale of bulk rare cannabinoids in the health and wellness sector as well as the level and timing of the Company’s operating expenses. The future viability of the Company is dependent on its ability to raise additional capital to finance its operations. The Company has concluded that there is substantial doubt about its ability to continue as a going concern within one year after the date that the consolidated financial statements are issued. The Company expects to continue to seek additional funding through equity financings, debt financings or other capital sources, including collaborations with other companies, government contracts or other strategic transactions. The Company may not be able to obtain financing on acceptable terms, or at all. The terms of any financing may adversely affect the holdings or the rights of the Company’s existing shareholders. These condensed consolidated interim financial statements have been prepared on a going concern basis, which assumes that the Company will be able to meet its commitments, realize its assets and discharge its liabilities in the normal course. These condensed consolidated interim financial statements do not reflect adjustments to the carrying values of assets and liabilities that would be necessary if the Company was unable to continue as a going concern and such adjustments could be material. COVID-19 Impacts The full extent to which the COVID-19 pandemic may directly or indirectly impact the Company’s business, results of operations and financial condition, including expenses, research and development costs and employee-related amounts, will depend on future developments that are evolving and highly uncertain, such as the duration and severity of outbreaks, including potential future waves or cycles, and the effectiveness of actions taken to contain and treat COVID-19. The Company considered the potential impact of COVID-19 when making certain estimates and judgments relating to the preparation of these consolidated financial statements. While there was no material impact to the Company’s consolidated financial statements as of and for the three months ended September 30, 2023, the Company’s future assessment of the magnitude and duration of COVID-19, as well as other factors, could result in a material impact to the Company’s consolidated financial statements in future reporting periods. |
Significant Accounting Policies
Significant Accounting Policies | 3 Months Ended |
Sep. 30, 2023 | |
Significant Accounting Policies [Abstract] | |
SIGNIFICANT ACCOUNTING POLICIES | 2. SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation These unaudited condensed consolidated interim financial statements have been prepared in accordance with generally accepted accounting principles as applied in the United States (“U.S. GAAP”) and pursuant to the rules and regulations of the United States Securities and Exchange Commission (“SEC”) for financial information. Accordingly, these financial statements do not include all the information and footnotes required for complete financial statements and should be read in conjunction with the audited consolidated financial statements of the Company and the accompanying notes thereto for the fiscal These unaudited condensed consolidated interim financial statements reflect all adjustments, consisting solely of normal recurring adjustments, which, in the opinion of management, are necessary for a fair presentation of results for the interim periods presented. The results of operations for the three months ended September 30, 2023 and 2022 are not necessarily indicative of results that can be expected for a full year. These unaudited condensed consolidated interim financial statements follow the same significant accounting policies as those described in the notes to the audited consolidated financial statements of the Company for the fiscal Reclassifications Certain prior year amounts in the consolidated financial statements and the notes thereto have been reclassified where necessary to conform to the current year’s presentation. These reclassifications did not affect the prior period’s total assets, total liabilities, stockholders’ deficit, net loss or net cash used in operating activities. During the three months ended September 30, 2023, we adopted a change in presentation on our consolidated statements of operations loss in order to include foreign exchange loss in operating expenses. Prior periods have been revised to reflect this change in the presentation. Use of Estimates The preparation of financial statements in compliance with U.S. GAAP requires management to make estimates and assumptions that affect the reported amount of assets and liabilities as of the balance sheet date, and the corresponding revenues and expenses for the periods reported. It also requires management to exercise judgment in applying the Company’s accounting policies. In the future, actual experience may differ from these estimates and assumptions. The areas involving a higher degree of judgment or complexity, or areas where assumptions and estimates are significant to these consolidated financial statements are the estimate of useful life of intangible assets, the application of the going concern assumption, determining the fair value of share-based payments, income tax provisions, write-down of inventories to net realizable value, and warrant valuations. Actual results could differ from those estimates. Basis of Consolidation These condensed consolidated interim financial statements include the accounts of the Company and its subsidiaries, including subsidiaries: InMed Pharmaceutical Ltd., BayMedica, LLC, Biogen Sciences Inc., and Sweetnam Consulting Inc. A subsidiary is an entity that the Company controls, either directly or indirectly, where control is defined as the power to govern the financial and operating policies of an entity so as to obtain benefits from its activities. All inter-company transactions and balances including unrealized income and expenses arising from intercompany transactions are eliminated in preparing these condensed consolidated interim financial statements. Foreign Currency The functional currency of the Company and its subsidiaries is the U.S. Dollar. These consolidated financial statements are presented in U.S. Dollars. References to “$” and “US$” are to United States (“U.S.”) dollars and references to “C$” are to Canadian dollars. Accounts Receivable Accounts receivable are recorded at invoiced amounts, net of any allowance for doubtful accounts. The allowance for doubtful accounts is the Company’s best estimate of the amount of probable credit losses in existing accounts receivable. The Company evaluates the collectability of accounts receivable on a regular basis based upon various factors including the financial condition and payment history of customers, an overall review of collections experience on other accounts and economic factors or events expected to affect future collections experience. Expected credit losses on our accounts receivable were $66,775 as of September 30, 2023 and June 30, 2023. Inventories Inventories are initially valued at weighted average cost and subsequently valued at the lower of weighted average cost and net realizable value. Costs included in inventories are the purchase price of goods and cost of services rendered, freight costs, warehousing costs, purchasing costs, and production and labor costs related to manufacturing. In determining any valuation allowances, the Company reviews inventory for obsolete, redundant, and slow-moving goods. As of September 30, 2023 and June 30, 2023, the Company has $186,750 and $93,820 respectively, as a valuation allowance to reduce weighted average cost to net realizable value. During the three months ended September 30, 2023 and 2022, the Company recorded an inventory write-down of $92,930 and $576,772 respectively. Cost of Sales Cost of sales consists primarily of the purchase price of goods and cost of services rendered, freight costs, warehousing costs, and purchasing costs. Cost of sales also includes production and labor costs for the Company’s manufacturing business. Concentration of Credit Risk and Other Risks and Uncertainties At times, cash balances may exceed the Federal Deposit Insurance Corporation (“FDIC”) or Canadian Deposit Insurance Corporation (CDIC) insurable limits. The Company has not experienced any losses related to these balances. The uninsured cash balance as of September 30, 2023, was $2.9 million. The Company does not believe it is exposed to significant credit risk on cash and cash equivalents. The Company’s customers are primarily concentrated in the United States. As of September 30, 2023, the Company had three customers with an accounts receivable balance representing 35%, 22% and 11% of total accounts receivable, respectively. As of June 30, 2023, we had three customers with an accounts receivable balance representing 41%, 30% and 15% of total accounts receivable. For the three months ended September 30, 2023, the Company had three customers that accounted for 34%, 20% and 11% of revenue, respectively. For the three months ended September 30, 2022, the Company had three customers that accounted for 43%, 22% and 12% of revenue, respectively. Financial Assets and Liabilities Financial Assets Financial assets are initially recognized at fair value, plus transaction costs that are directly attributable to their acquisition or issue and subsequently carried at amortized cost, using the effective interest rate method, less any impairment losses. No financial assets are or elected to be carried at fair value through profit or loss or where changes in fair value are recognized in the consolidated statements of operations and comprehensive loss in other comprehensive loss. Short-term investments are subsequently recorded at cost plus accrued interest, which approximates fair value due to short term nature. Accounts receivable are reported at outstanding amounts, net of provisions for uncollectable amounts. Financial Liabilities To determine the fair value of financial instruments, the Company uses the fair value hierarchy for inputs used to measure the fair value of financial assets and liabilities. This hierarchy prioritizes the inputs to valuation techniques used to measure fair value into three levels: Level 1 (highest priority), Level 2, and Level 3 (lowest priority). Level 1 – Unadjusted quoted prices in active markets for identical instruments. Level 2 – Inputs other than quoted prices included within Level 1 are observable for the asset or liability, either directly or indirectly. Level 2 inputs include quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the asset or liability (i.e., interest rates, yield curves, etc.), and inputs that are derived principally from or corroborated by observable market data by correlation or other means (market corroborated inputs). Level 3 – Inputs are unobservable and reflect the Company’s assumptions as to what market participants would use in pricing the asset or liability. The Company develops these inputs based on the best information available. Assets and liabilities are classified based on the lowest level of input that is significant to the fair value measurements. Changes in the observability of valuation inputs may result in a reclassification of levels for certain securities within the fair value hierarchy. The carrying value of cash and cash equivalents, short-term investments, accounts receivable, and accounts payable and accrued liabilities, approximate their carrying values as at September 30, 2023 and June 30, 2023 due to their immediate or short-term maturities. Earnings (Loss) Per Share Basic earnings (loss) per common share (“EPS”) is computed by dividing the net income or loss applicable to common shares of the Company by the weighted average number of common shares outstanding for the relevant period. Diluted earnings (loss) per common share (“Diluted EPS”) is computed by dividing the net income or loss applicable to common shares by the sum of the weighted average number of common shares issued and outstanding and all additional common shares that would have been outstanding, if potentially dilutive instruments were converted. If the conversion of outstanding stock options and warrants into common share is anti-dilutive, then Diluted EPS is not presented separately from EPS. The following table sets forth the number of potential shares of common stock that have been excluded from diluted net income (loss) per because their effect was anti-dilutive: As of September 30, 2023 2022 Options 102,133 53,466 Warrants 3,516,529 1,520,218 3,618,662 1,573,684 Recent Accounting Pronouncements The Company has reviewed recent accounting pronouncements and concluded that they are either not applicable to the Company or that there was no material impact or no material impact is expected in the consolidated financial statements as a result of future adoption. |
Inventories
Inventories | 3 Months Ended |
Sep. 30, 2023 | |
Inventories [Abstract] | |
INVENTORIES | 3. INVENTORIES Inventories consisted of the following: September 30, June 30, Raw materials $ 208,737 $ 208,737 Work in process 85,655 514,113 Finished goods 838,705 893,506 Inventories $ 1,133,097 $ 1,616,356 During the three months ended September 30, 2023 and 2022, the write-down of inventories to net realizable value was $92,930 and $576,772, respectively. Contributing factors to the decrease in net realizable value included lower demand and downward pricing pressure for certain products. As of September 30, 2023 and June 30, 2023, the Company has $186,750 and $93,820, respectively, as a valuation allowance to reduce weighted average cost to new basis. |
Property, Equipment and Right o
Property, Equipment and Right of Use (‘ROU’) Assets, Net | 3 Months Ended |
Sep. 30, 2023 | |
Property, Equipment and ROU Assets, Net [Abstract] | |
PROPERTY, EQUIPMENT AND RIGHT OF USE (‘ROU’) ASSETS, NET | 4. PROPERTY, EQUIPMENT AND RIGHT OF USE (‘ROU’) ASSETS, NET Property, equipment and ROU assets consisted of the following: September 30, June 30, Right-of-use assets (leases) $ 1,167,436 $ 1,167,436 Equipment 440,902 440,902 Furnishing 40,409 40,409 Property and equipment $ 1,648,747 $ 1,648,747 Less: accumulated depreciation and amortization (1,033,692 ) (925,321 ) Property, equipment and ROU assets, net $ 615,055 $ 723,426 Depreciation expense on computer equipment, lab equipment, and furnishing for the three months ended September 30, 2023 and September 30, 2022, was $13,839 and $8,055, respectively, and was recorded in general and administrative expenses. Amortization expense related to the right-of-use assets for the three months ended September 30, 2023 and 2022, was $94,532 and $90,244, respectively, and was recorded in general and administrative expenses. |
Intangible Assets
Intangible Assets | 3 Months Ended |
Sep. 30, 2023 | |
Intangible Assets [Abstract] | |
INTANGIBLE ASSETS | 5. INTANGIBLE ASSETS The following table summarizes the Company’s intangible assets: September 30, June 30, Intellectual property $ 1,736,420 $ 1,736,420 Patents 1,191,000 1,191,000 Intangible assets 2,927,420 2,927,420 Less: accumulated amortization (1,022,134 ) (981,141 ) Intangible assets, net $ 1,905,286 $ 1,946,279 Acquired intellectual property is recorded at cost and is amortized on a straight-line basis over 18 years. Acquired patents consist of patents related to the development of cannabinoid analogs. This intangible asset is being amortized over an estimated useful life of 18 years. As of September 30, 2023, the definite-lived intangible assets had a weighted average estimated remaining useful life of approximately 12 years. Amortization expense on intangible assets for the period ended September 30, 2023 and 2022 was $40,993 and $40,993, respectively. The Company expects amortization expense to be incurred over the next five years as follows: Period ending June 30, 2024 $ 117,943 2025 158,935 2026 158,935 2027 158,935 2028 158,935 Thereafter 1,151,603 Total $ 1,905,286 |
Accounts Payable and Accrued Li
Accounts Payable and Accrued Liabilities | 3 Months Ended |
Sep. 30, 2023 | |
Accounts Payable and Accrued Liabilities [Abstract] | |
ACCOUNTS PAYABLE AND ACCRUED LIABILITIES | 6. ACCOUNTS PAYABLE AND ACCRUED LIABILITIES Accounts payable and accrued liabilities consist of the following: September 30, June 30, Trade payables $ 379,866 $ 544,179 Accrued research and development expenses 286,684 164,587 Employee compensation, benefits and related accruals 279,556 542,305 Accrued general and administrative expenses 100,145 357,664 Accounts payable and accrued liabilities $ 1,046,251 $ 1,608,735 |
Share Capital and Reserves
Share Capital and Reserves | 3 Months Ended |
Sep. 30, 2023 | |
Share Capital and Reserves [Abstract] | |
SHARE CAPITAL AND RESERVES | 7. SHARE CAPITAL AND RESERVES Authorized As of September 30, 2023, the Company’s authorized share structure consisted of: (i) an unlimited number of common shares without par value; and (ii) an unlimited number of preferred shares without par value. No preferred shares were issued and outstanding as of September 30, 2023 and June 30, 2023. The Company may issue preferred shares and may, at the time of issuance, determine the rights, preference, and limitations pertaining to these shares. Holders of preferred shares may be entitled to receive a preference payment in the event of any liquidation, dissolution, or winding up of the Company before any payment is made to the holders of common shares. |
Share-Based Payments
Share-Based Payments | 3 Months Ended |
Sep. 30, 2023 | |
Share-Based Payments [Abstract] | |
SHARE-BASED PAYMENTS | 8. SHARE-BASED PAYMENTS a) Option Plan Details On March 24, 2017, and as amended on November 20, 2020, the Company’s shareholders approved: (i) the adoption of a new stock option plan (the “Plan”) pursuant to which the Board of Directors may, from time to time, in its discretion and in accordance with regulatory requirements, grant to directors, officers, employees and consultants of the Company, non-transferable options to purchase common shares, provided that the number of common shares reserved for issuance will not exceed twenty percent (20%) of the issued and outstanding common shares at the date the options are granted (on a non-diluted and rolling basis); and (ii) the application of the new stock option plan to all outstanding stock options of the Company that were granted prior to March 24, 2017 under the terms of the Company’s previous stock option plan. As of September 30, 2023 and June 30, 2023, there were 51,124 and 51,633 options, respectively, immediately available for future allocation pursuant to SEC rules. The maximum number of options issuable under the terms of the Plan equate to 20% of the then issued and outstanding shares. The option price under each option shall not be less than the closing price on the day prior to the date of grant. All options vest upon terms as set by the Board of Directors, either over time, up to 36 months, or upon the achievement of certain corporate milestones. Stock options granted prior to May 2021 were granted with Canadian dollar exercise prices (United States dollar amounts for weighted average exercise prices and aggregate intrinsic value are calculated using prevailing rates as at June 30, 2022). Commencing in May 2021, stock options are granted with United States dollar exercise prices. The following is a summary of changes in outstanding options from July 1, 2023 to September 30, 2023: Number Weighted Balance at July 1, 2023 102,642 $ 31.28 Granted - - Expired/Forfeited (509 ) 495.98 Balance at September 30, 2023 102,133 $ 28.52 September 30, 2023: Vested and exercisable 51,403 $ 51.53 Unvested 50,730 $ 5.21 b) Expenses Arising from Share-based Payment Transactions: Total expenses arising from share-based payment transactions recognized during the three months ended September 30, 2023 and 2022 were $25,191 and $116,681, respectively, of which $15,431 and $65,072, respectively, was allocated to general and administrative expenses and the remaining $9,761 and $51,609, respectively, was allocated to research and development expenses. Unrecognized compensation cost at September 30, 2023 related to unvested options was $42,297 which will be recognized over a weighted-average vesting period of 0.77 years. |
Lease Obligations
Lease Obligations | 3 Months Ended |
Sep. 30, 2023 | |
Lease Obligations [Abstract] | |
LEASE OBLIGATIONS | 9. LEASE OBLIGATIONS The Company is committed to minimum lease payments as follows: Maturity Analysis September 30, Less than one year $ 297,759 One to five years - More than five years - Total undiscounted lease liabilities (1) 297,759 Less: imputed interest (4,761 ) Present value of lease liabilities 292,998 Less: Current portion of lease liabilities (292,998 ) Non-current portion of lease liabilities - (1) Excludes estimated variable operating costs of $92,964 and $78,500 on an annual basis through to April 30, 2024 and August 31, 2024, respectively. On October 5, 2023, BayMedica amended its lease located at 458 Carlton Court, Suite C, South San Francisco, California. The Company agreed to extend its lease to May 14, 2027. The Company is obligated to pay $1,095,104 over the three-year period unless terminated before the end of the period. |
Segment Information
Segment Information | 3 Months Ended |
Sep. 30, 2023 | |
Segment Information [Abstract] | |
SEGMENT INFORMATION | 10. SEGMENT INFORMATION As of the closing of the BayMedica acquisition, the Company aligned into two operating and reportable segments, the InMed segment and the BayMedica segment. The Company reports segment information based on the management approach which designates the internal reporting used by the Chief Operating Decision Maker (“CODM”), which is the Company’s Chief Executive Officer, for making decisions and assessing performance as the source of the Company’s reportable segments. The CODM allocates resources and assesses the performance of each operating segment based on potential licensing opportunities, historical and potential future product sales, operating expenses, and operating income (loss) before interest and taxes. The Company has determined its reportable segments to be InMed and BayMedica based on the information used by the CODM. Other than cash, cash equivalents and short-term investments (“Unrestricted cash”) balances, the CODM does not regularly review asset information by reportable segment and therefore, the Company does not report asset information by reportable segment. The InMed segment is largely organized around the research and development of cannabinoid-based pharmaceuticals products and the BayMedica segment is largely organized around developing proprietary manufacturing technologies to produce rare cannabinoids for sale in the health and wellness industry. Total assets held in the InMed segment as of September 30, 2023 and June 30, 2023 are $7,045,824 and $9,498,752, respectively. Total assets as of September 30 and June 30, 2023, held in the BayMedica segment are $3,871,515 and $4,607,588, respectively. The following table presents information about the Company’s reportable segments for the three months ended September 30, 2023 and 2022: For the period ended September 30, 2023 September 30, 2022 InMed BayMedica Total InMed BayMedica Total $ $ $ $ $ $ Sales - 901,862 901,862 - 320,788 320,788 Cost of sales - (787,690 ) (787,690 ) - (235,034 ) (235,034 ) Inventory write-down - (92,930 ) (92,930 ) - (576,772 ) (576,772 ) Operating expenses (1,851,139 ) (842,974 ) (2,694,113 ) (2,296,740 ) (788,229 ) (3,084,969 ) Other income (expense) 67,394 68,649 136,043 27,909 37,878 65,787 Net loss (1,783,745 ) (753,083 ) (2,536,828 ) (2,268,831 ) (1,241,369 ) (3,510,200 ) Unrestricted cash 5,886,613 851,691 6,738,304 9,227,828 122,599 9,350,427 |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Sep. 30, 2023 | |
Commitments and Contingencies [Abstract] | |
COMMITMENTS AND CONTINGENCIES | 11. COMMITMENTS AND CONTINGENCIES Pursuant to the terms of agreements with various contract research organizations, as of September 30, 2023, the Company is committed for contract research services and materials at a cost of approximately $2.2 million, expected to occur in the following twelve months period. Pursuant to the terms of agreements with various vendors, as of September 30, 2023, the Company is committed for contract materials and equipment at a cost of approximately $0.3 million, expected to occur in the twelve months following September 30, 2023. Pursuant to the terms of a May 31, 2017, Technology Assignment Agreement between the Company and the University of British Columbia (“UBC”), the Company is committed to pay royalties to UBC on certain licensing and royalty revenues received by the Company for biosynthesis of certain drug products that are covered by the agreement. To date, no payments have been required to be made. Pursuant to the terms of a December 13, 2018 Collaborative Research Agreement with UBC in which the Company owns all rights, title and interests in and to any intellectual property, in addition to funding research at UBC, the Company is committed to make a one-time payment upon filing of any PCT patent application arising from the research. To date, one such payment has been made to UBC. Pursuant to the terms of a November 1, 2018 Contribution Agreement with National Research Council Canada, as represented by its Industrial Research Assistance Program (NRC-IRAP), under certain circumstances contributions received, including the disposition of the underlying intellectual property developed in part with NRC-IRAP contributions, may become repayable. Short-term investments include guaranteed investment certificates, with one-year terms of $42,942 and $44,422 as of September 30, 2023 and June 30, 2023, respectively, that are pledged as security for a corporate credit card. The Company has entered into certain agreements in the ordinary course of operations that may include indemnification provisions, which are common in such agreements. In some cases, the maximum amount of potential future indemnification is unlimited; however, the Company currently holds commercial general liability insurance. This insurance limits the Company’s liability and may enable the Company to recover a portion of any future amounts paid. Historically, the Company has not made any indemnification payments under such agreements and it believes that the fair value of these indemnification obligations is minimal. Accordingly, the Company has not recognized any liabilities relating to these obligations for any period presented. Pursuant to a technology licensing agreement, the Company is committed to issue, subject to regulatory approval, up to 700 share purchase warrants to purchase 700 common shares upon the achievement of certain milestones. The exercise price of the warrants will be equal to the five-day volume weighted average price of the common shares prior to each milestone achievement and the warrants will be exercisable for a period of three years from the issuance date. BayMedica LLC, a wholly-owned subsidiary of the Company, entered into a patent license agreement (“Agreement”) with a third party (the “Licensor”) in an agreement dated February 15, 2021. The Company is required to make future royalty payments to the Licensor based on net sales of licensed products, with minimum payments required starting in 2021 to maintain an exclusive license. In December 2021, the Company amended the License Agreement including the deferral of the 2021 minimum payments to 2022. As of June 30, 2023, the Company has paid $300,000 for the minimum payments under the agreement. On February 10, 2023, BayMedica received a letter from the Licensor alleging a breach of the Agreement and asserting a right to monies thereunder. On April 6, 2023, BayMedica sent a letter to the Licensor disputing the Licensor’s interpretation of the Agreement and considering the counterparty’s only remedy under the Agreement to be either (a) the conversion of an exclusive technology license into a non-exclusive one or (b) to terminate the Agreement. The interpretation of a contract under Ontario law requires consideration of the surrounding circumstances at the time the contract was negotiated, and BayMedica is of the view that the text of the Agreement and the surrounding circumstances show that the remedy discussed above reflects the intention of the parties. To date, the Licensor has not initiated a lawsuit. If a lawsuit is brought alleging a breach of the Agreement, the proceeding will be subject to final, binding and non-appealable arbitration under the Arbitration Act, 1991 (Ontario) and determined pursuant to Ontario law. BayMedica intends to vigorously defend its position. At this time, it is not possible to reasonably estimate a potential loss due to the terms of the Agreement, the nature of the legal theory advanced by the counterparty, and the requirement under Ontario law that a contract must be interpreted in light of the “surrounding circumstances” at the time the contract was formed. Management will be better positioned to determine whether it is possible to estimate any potential loss following documentary and oral discovery, if any. From time to time, the Company may be subject to various legal proceedings and claims related to matters arising in the ordinary course of business. The Company does not believe it is currently subject to any material matters where there is at least a reasonable possibility that a material loss may be incurred. On September 19, 2023, the Company received written notice from the listing qualifications department staff of The Nasdaq Capital Market (“Nasdaq”) notifying it that the average closing bid price of the Company’s common shares over a period of 30 consecutive trading days was below the minimum $1.00 per share requirement for continued listing on the Nasdaq under Nasdaq Listing Rule 5550(a)(2). In accordance with applicable Nasdaq procedures, the Company has a period of 180 calendar days following the receipt of the written notice mentioned above to cure the deficiency and regain compliance. The notice has no immediate impact on the listing of the Company’s common shares, which will continue to trade on the Nasdaq subject to the Company’s continued compliance with the other listing requirements of the Nasdaq. The common shares of the Company will continue to trade under the symbol “INM”. The Company intends to monitor the closing share price for its common shares and explore available options to regain compliance. In the event the Company does not evidence compliance with the minimum bid price requirement during the 180-day grace period, it is expected that Nasdaq would notify the Company that its common shares are subject to delisting. At such time, the Company may appeal such determination to a Nasdaq Hearings Panel (the “Panel”) and it is expected that the Company’s securities would continue to be listed and available to trade on Nasdaq at least pending the completion of the appeal process. There can be no assurance that any such appeal would be successful or that the Company would be able to evidence compliance with the terms of any extension that may be granted by the Panel. |
Related Party Transactions
Related Party Transactions | 3 Months Ended |
Sep. 30, 2023 | |
Related Party Transactions [Abstract] | |
RELATED PARTY TRANSACTIONS | 12. RELATED PARTY TRANSACTIONS On February 11, 2022, the Board of Directors appointed Janet Grove as a director of the Company. Ms. Grove is a Partner of Norton Rose Fulbright Canada LLP (“NRF”). During the three months ended September 30, 2023 and 2022, NRF rendered legal services in the amount of $19,814 and $67,092, respectively, to the Company. These transactions were in the normal course of operations and were measured at the exchange amount which represented the amount of consideration established and agreed to by NRF. No legal services rendered by NRF were rendered by Ms. Grove directly. |
Subsequent Events
Subsequent Events | 3 Months Ended |
Sep. 30, 2023 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | 13. SUBSEQUENT EVENTS The Company has evaluated subsequent events through the date of the filing of this Quarterly Report on Form 10-Q and determined that there have been no events that have occurred that would require adjustments to our disclosures in the consolidated financial statements except for the transactions described below. On October 24, 2023, the Company entered into a securities purchase agreement with two accredited institutional investors for the sale and issuance of an aggregate of 3,012,049 of its common shares (or pre-funded warrants in lieu thereof) at a purchase price of $0.83 per share. In addition, the Company agreed to issue to the purchasers unregistered preferred investment options to purchase up to an aggregate of 3,012,049 common shares, for an exercise price of at a purchase price of $0.83 per preferred investment option. Concurrently with the Company’s entry into the purchase agreement, the Company also entered into an inducement offer letter agreement with the holders of existing preferred investment options to purchase up to an aggregate of 3,272,733 common shares of the Company issued to the holders on November 21, 2022. Pursuant to the inducement letter, the holders agreed to exercise for cash their existing preferred investment options to purchase an aggregate of 3,272,733 common shares of the Company at a reduced exercise price of $0.83 per share in consideration of the Company’s agreement to issue new unregistered preferred investment options to purchase up to an aggregate of 6,545,466 shares of the Company’s common shares for an exercise price of $0.83. On October 26, 2023, the parties consummated the offerings. |
Accounting Policies, by Policy
Accounting Policies, by Policy (Policies) | 3 Months Ended |
Sep. 30, 2023 | |
Significant Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation These unaudited condensed consolidated interim financial statements have been prepared in accordance with generally accepted accounting principles as applied in the United States (“U.S. GAAP”) and pursuant to the rules and regulations of the United States Securities and Exchange Commission (“SEC”) for financial information. Accordingly, these financial statements do not include all the information and footnotes required for complete financial statements and should be read in conjunction with the audited consolidated financial statements of the Company and the accompanying notes thereto for the fiscal These unaudited condensed consolidated interim financial statements reflect all adjustments, consisting solely of normal recurring adjustments, which, in the opinion of management, are necessary for a fair presentation of results for the interim periods presented. The results of operations for the three months ended September 30, 2023 and 2022 are not necessarily indicative of results that can be expected for a full year. These unaudited condensed consolidated interim financial statements follow the same significant accounting policies as those described in the notes to the audited consolidated financial statements of the Company for the fiscal |
Reclassifications | Reclassifications Certain prior year amounts in the consolidated financial statements and the notes thereto have been reclassified where necessary to conform to the current year’s presentation. These reclassifications did not affect the prior period’s total assets, total liabilities, stockholders’ deficit, net loss or net cash used in operating activities. During the three months ended September 30, 2023, we adopted a change in presentation on our consolidated statements of operations loss in order to include foreign exchange loss in operating expenses. Prior periods have been revised to reflect this change in the presentation. |
Use of Estimates | Use of Estimates The preparation of financial statements in compliance with U.S. GAAP requires management to make estimates and assumptions that affect the reported amount of assets and liabilities as of the balance sheet date, and the corresponding revenues and expenses for the periods reported. It also requires management to exercise judgment in applying the Company’s accounting policies. In the future, actual experience may differ from these estimates and assumptions. The areas involving a higher degree of judgment or complexity, or areas where assumptions and estimates are significant to these consolidated financial statements are the estimate of useful life of intangible assets, the application of the going concern assumption, determining the fair value of share-based payments, income tax provisions, write-down of inventories to net realizable value, and warrant valuations. Actual results could differ from those estimates. |
Basis of Consolidation | Basis of Consolidation These condensed consolidated interim financial statements include the accounts of the Company and its subsidiaries, including subsidiaries: InMed Pharmaceutical Ltd., BayMedica, LLC, Biogen Sciences Inc., and Sweetnam Consulting Inc. A subsidiary is an entity that the Company controls, either directly or indirectly, where control is defined as the power to govern the financial and operating policies of an entity so as to obtain benefits from its activities. All inter-company transactions and balances including unrealized income and expenses arising from intercompany transactions are eliminated in preparing these condensed consolidated interim financial statements. |
Foreign Currency | Foreign Currency The functional currency of the Company and its subsidiaries is the U.S. Dollar. These consolidated financial statements are presented in U.S. Dollars. References to “$” and “US$” are to United States (“U.S.”) dollars and references to “C$” are to Canadian dollars. |
Accounts Receivable | Accounts Receivable Accounts receivable are recorded at invoiced amounts, net of any allowance for doubtful accounts. The allowance for doubtful accounts is the Company’s best estimate of the amount of probable credit losses in existing accounts receivable. The Company evaluates the collectability of accounts receivable on a regular basis based upon various factors including the financial condition and payment history of customers, an overall review of collections experience on other accounts and economic factors or events expected to affect future collections experience. Expected credit losses on our accounts receivable were $66,775 as of September 30, 2023 and June 30, 2023. |
Inventories | Inventories Inventories are initially valued at weighted average cost and subsequently valued at the lower of weighted average cost and net realizable value. Costs included in inventories are the purchase price of goods and cost of services rendered, freight costs, warehousing costs, purchasing costs, and production and labor costs related to manufacturing. In determining any valuation allowances, the Company reviews inventory for obsolete, redundant, and slow-moving goods. As of September 30, 2023 and June 30, 2023, the Company has $186,750 and $93,820 respectively, as a valuation allowance to reduce weighted average cost to net realizable value. During the three months ended September 30, 2023 and 2022, the Company recorded an inventory write-down of $92,930 and $576,772 respectively. |
Cost of Sales | Cost of Sales Cost of sales consists primarily of the purchase price of goods and cost of services rendered, freight costs, warehousing costs, and purchasing costs. Cost of sales also includes production and labor costs for the Company’s manufacturing business. |
Concentration of Credit Risk and Other Risks and Uncertainties | Concentration of Credit Risk and Other Risks and Uncertainties At times, cash balances may exceed the Federal Deposit Insurance Corporation (“FDIC”) or Canadian Deposit Insurance Corporation (CDIC) insurable limits. The Company has not experienced any losses related to these balances. The uninsured cash balance as of September 30, 2023, was $2.9 million. The Company does not believe it is exposed to significant credit risk on cash and cash equivalents. The Company’s customers are primarily concentrated in the United States. As of September 30, 2023, the Company had three customers with an accounts receivable balance representing 35%, 22% and 11% of total accounts receivable, respectively. As of June 30, 2023, we had three customers with an accounts receivable balance representing 41%, 30% and 15% of total accounts receivable. For the three months ended September 30, 2023, the Company had three customers that accounted for 34%, 20% and 11% of revenue, respectively. For the three months ended September 30, 2022, the Company had three customers that accounted for 43%, 22% and 12% of revenue, respectively. |
Financial Assets and Liabilities | Financial Assets and Liabilities Financial Assets Financial assets are initially recognized at fair value, plus transaction costs that are directly attributable to their acquisition or issue and subsequently carried at amortized cost, using the effective interest rate method, less any impairment losses. No financial assets are or elected to be carried at fair value through profit or loss or where changes in fair value are recognized in the consolidated statements of operations and comprehensive loss in other comprehensive loss. Short-term investments are subsequently recorded at cost plus accrued interest, which approximates fair value due to short term nature. Accounts receivable are reported at outstanding amounts, net of provisions for uncollectable amounts. Financial Liabilities To determine the fair value of financial instruments, the Company uses the fair value hierarchy for inputs used to measure the fair value of financial assets and liabilities. This hierarchy prioritizes the inputs to valuation techniques used to measure fair value into three levels: Level 1 (highest priority), Level 2, and Level 3 (lowest priority). Level 1 – Unadjusted quoted prices in active markets for identical instruments. Level 2 – Inputs other than quoted prices included within Level 1 are observable for the asset or liability, either directly or indirectly. Level 2 inputs include quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable for the asset or liability (i.e., interest rates, yield curves, etc.), and inputs that are derived principally from or corroborated by observable market data by correlation or other means (market corroborated inputs). Level 3 – Inputs are unobservable and reflect the Company’s assumptions as to what market participants would use in pricing the asset or liability. The Company develops these inputs based on the best information available. Assets and liabilities are classified based on the lowest level of input that is significant to the fair value measurements. Changes in the observability of valuation inputs may result in a reclassification of levels for certain securities within the fair value hierarchy. The carrying value of cash and cash equivalents, short-term investments, accounts receivable, and accounts payable and accrued liabilities, approximate their carrying values as at September 30, 2023 and June 30, 2023 due to their immediate or short-term maturities. |
Earnings (Loss) Per Share | Earnings (Loss) Per Share Basic earnings (loss) per common share (“EPS”) is computed by dividing the net income or loss applicable to common shares of the Company by the weighted average number of common shares outstanding for the relevant period. Diluted earnings (loss) per common share (“Diluted EPS”) is computed by dividing the net income or loss applicable to common shares by the sum of the weighted average number of common shares issued and outstanding and all additional common shares that would have been outstanding, if potentially dilutive instruments were converted. If the conversion of outstanding stock options and warrants into common share is anti-dilutive, then Diluted EPS is not presented separately from EPS. The following table sets forth the number of potential shares of common stock that have been excluded from diluted net income (loss) per because their effect was anti-dilutive: As of September 30, 2023 2022 Options 102,133 53,466 Warrants 3,516,529 1,520,218 3,618,662 1,573,684 |
Recent Accounting Pronouncements | Recent Accounting Pronouncements The Company has reviewed recent accounting pronouncements and concluded that they are either not applicable to the Company or that there was no material impact or no material impact is expected in the consolidated financial statements as a result of future adoption. |
Significant Accounting Polici_2
Significant Accounting Policies (Tables) | 3 Months Ended |
Sep. 30, 2023 | |
Significant Accounting Policies [Abstract] | |
Schedule of Table Sets Forth the Number of Potential Shares of Common Stock that have been Excluded from Diluted Net Income (Loss) Per | The following table sets forth the number of potential shares of common stock that have been excluded from diluted net income (loss) per because their effect was anti-dilutive: As of September 30, 2023 2022 Options 102,133 53,466 Warrants 3,516,529 1,520,218 3,618,662 1,573,684 |
Inventories (Tables)
Inventories (Tables) | 3 Months Ended |
Sep. 30, 2023 | |
Inventories [Abstract] | |
Schedule of Inventories | Inventories consisted of the following: September 30, June 30, Raw materials $ 208,737 $ 208,737 Work in process 85,655 514,113 Finished goods 838,705 893,506 Inventories $ 1,133,097 $ 1,616,356 |
Property, Equipment and Right_2
Property, Equipment and Right of Use (‘ROU’) Assets, Net (Tables) | 3 Months Ended |
Sep. 30, 2023 | |
Property, Equipment and ROU Assets, Net [Abstract] | |
Schedule of Property, Equipment and Right of Use Assets | Property, equipment and ROU assets consisted of the following: September 30, June 30, Right-of-use assets (leases) $ 1,167,436 $ 1,167,436 Equipment 440,902 440,902 Furnishing 40,409 40,409 Property and equipment $ 1,648,747 $ 1,648,747 Less: accumulated depreciation and amortization (1,033,692 ) (925,321 ) Property, equipment and ROU assets, net $ 615,055 $ 723,426 |
Intangible Assets (Tables)
Intangible Assets (Tables) | 3 Months Ended |
Sep. 30, 2023 | |
Intangible Assets [Abstract] | |
Schedule of Table Summarizes the Companies Intangible Assets | The following table summarizes the Company’s intangible assets: September 30, June 30, Intellectual property $ 1,736,420 $ 1,736,420 Patents 1,191,000 1,191,000 Intangible assets 2,927,420 2,927,420 Less: accumulated amortization (1,022,134 ) (981,141 ) Intangible assets, net $ 1,905,286 $ 1,946,279 |
Schedule of Expects Amortization Expense to be Incurred Over the Next Five Years | The Company expects amortization expense to be incurred over the next five years as follows: Period ending June 30, 2024 $ 117,943 2025 158,935 2026 158,935 2027 158,935 2028 158,935 Thereafter 1,151,603 Total $ 1,905,286 |
Accounts Payable and Accrued _2
Accounts Payable and Accrued Liabilities (Tables) | 3 Months Ended |
Sep. 30, 2023 | |
Accounts Payable and Accrued Liabilities [Abstract] | |
Schedule of Accounts Payable and Accrued Liabilities | Accounts payable and accrued liabilities consist of the following: September 30, June 30, Trade payables $ 379,866 $ 544,179 Accrued research and development expenses 286,684 164,587 Employee compensation, benefits and related accruals 279,556 542,305 Accrued general and administrative expenses 100,145 357,664 Accounts payable and accrued liabilities $ 1,046,251 $ 1,608,735 |
Share-Based Payments (Tables)
Share-Based Payments (Tables) | 3 Months Ended |
Sep. 30, 2023 | |
Share-Based Payments [Abstract] | |
Schedule of Summary of Changes in Outstanding Options | The following is a summary of changes in outstanding options from July 1, 2023 to September 30, 2023: Number Weighted Balance at July 1, 2023 102,642 $ 31.28 Granted - - Expired/Forfeited (509 ) 495.98 Balance at September 30, 2023 102,133 $ 28.52 September 30, 2023: Vested and exercisable 51,403 $ 51.53 Unvested 50,730 $ 5.21 |
Lease Obligations (Tables)
Lease Obligations (Tables) | 3 Months Ended |
Sep. 30, 2023 | |
Leases [Abstract] | |
Schedule of Committed to Minimum Lease Payments | The Company is committed to minimum lease payments as follows: Maturity Analysis September 30, Less than one year $ 297,759 One to five years - More than five years - Total undiscounted lease liabilities (1) 297,759 Less: imputed interest (4,761 ) Present value of lease liabilities 292,998 Less: Current portion of lease liabilities (292,998 ) Non-current portion of lease liabilities - (1) Excludes estimated variable operating costs of $92,964 and $78,500 on an annual basis through to April 30, 2024 and August 31, 2024, respectively. |
Segment Information (Tables)
Segment Information (Tables) | 3 Months Ended |
Sep. 30, 2023 | |
Segment Information [Abstract] | |
Schedule of Reportable Segments | The following table presents information about the Company’s reportable segments for the three months ended September 30, 2023 and 2022: For the period ended September 30, 2023 September 30, 2022 InMed BayMedica Total InMed BayMedica Total $ $ $ $ $ $ Sales - 901,862 901,862 - 320,788 320,788 Cost of sales - (787,690 ) (787,690 ) - (235,034 ) (235,034 ) Inventory write-down - (92,930 ) (92,930 ) - (576,772 ) (576,772 ) Operating expenses (1,851,139 ) (842,974 ) (2,694,113 ) (2,296,740 ) (788,229 ) (3,084,969 ) Other income (expense) 67,394 68,649 136,043 27,909 37,878 65,787 Net loss (1,783,745 ) (753,083 ) (2,536,828 ) (2,268,831 ) (1,241,369 ) (3,510,200 ) Unrestricted cash 5,886,613 851,691 6,738,304 9,227,828 122,599 9,350,427 |
Corporate Information and Con_2
Corporate Information and Continuing Operations (Details) - USD ($) | 3 Months Ended | |||
Oct. 26, 2023 | Sep. 30, 2023 | Sep. 30, 2022 | Jun. 30, 2023 | |
Corporate Information and Continuing Operations [Abstract] | ||||
Including net losses | $ (2,536,828) | $ (3,510,200) | ||
Accumulated deficit | (103,937,037) | $ (101,400,209) | ||
Cash, cash equivalents and short-term investments | $ 6,800,000 | |||
Net proceeds | $ 4,700,000 |
Significant Accounting Polici_3
Significant Accounting Policies (Details) - USD ($) | 3 Months Ended | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | Jun. 30, 2023 | |
Significant Accounting Policies [Line Items] | |||
Credit losses accounts receivable (in Dollars) | $ 66,775 | $ 66,775 | |
Valuation allowance (in Dollars) | 186,750 | $ 93,820 | |
Inventory write-down (in Dollars) | 92,930 | $ 576,772 | |
Uninsured cash balance (in Dollars) | $ 2,900,000 | ||
Accounts Receivable [Member] | Customer Concentration Risk [Member] | One Customers [Member] | |||
Significant Accounting Policies [Line Items] | |||
Concentration of credit risk percentage | 35% | 41% | |
Accounts Receivable [Member] | Customer Concentration Risk [Member] | Two Customers [Member] | |||
Significant Accounting Policies [Line Items] | |||
Concentration of credit risk percentage | 22% | 30% | |
Accounts Receivable [Member] | Customer Concentration Risk [Member] | Three Customers [Member] | |||
Significant Accounting Policies [Line Items] | |||
Concentration of credit risk percentage | 11% | 15% | |
Revenue Benchmark [Member] | Customer Concentration Risk [Member] | One Customers [Member] | |||
Significant Accounting Policies [Line Items] | |||
Concentration of credit risk percentage | 34% | 43% | |
Revenue Benchmark [Member] | Customer Concentration Risk [Member] | Two Customers [Member] | |||
Significant Accounting Policies [Line Items] | |||
Concentration of credit risk percentage | 20% | 22% | |
Revenue Benchmark [Member] | Customer Concentration Risk [Member] | Three Customers [Member] | |||
Significant Accounting Policies [Line Items] | |||
Concentration of credit risk percentage | 11% | 12% |
Significant Accounting Polici_4
Significant Accounting Policies (Details) - Schedule of Table Sets Forth the Number of Potential Shares of Common Stock that have been Excluded from Diluted Net Income (Loss) Per - shares | 3 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Schedule of Table Sets Forth the Number of Potential Shares of Common Stock that have been Excluded from Diluted Net Income (Loss) Per [Line Items] | ||
Total share of anti dilutive | 3,618,662 | 1,573,684 |
Options [Member] | ||
Schedule of Table Sets Forth the Number of Potential Shares of Common Stock that have been Excluded from Diluted Net Income (Loss) Per [Line Items] | ||
Total share of anti dilutive | 102,133 | 53,466 |
Warrants [Member] | ||
Schedule of Table Sets Forth the Number of Potential Shares of Common Stock that have been Excluded from Diluted Net Income (Loss) Per [Line Items] | ||
Total share of anti dilutive | 3,516,529 | 1,520,218 |
Inventories (Details)
Inventories (Details) - USD ($) | 3 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Jun. 30, 2023 | |
Inventories [Abstract] | |||
Write-down of inventories to net realizable value | $ 92,930 | $ 576,772 | |
Valuation allowance to reduce weighted average cost to net realizable value | $ 186,750 | $ 93,820 |
Inventories (Details) - Schedul
Inventories (Details) - Schedule of Inventories - USD ($) | Sep. 30, 2023 | Jun. 30, 2023 |
Schedule of Inventories [Abstract] | ||
Raw materials | $ 208,737 | $ 208,737 |
Work in process | 85,655 | 514,113 |
Finished goods | 838,705 | 893,506 |
Inventories | $ 1,133,097 | $ 1,616,356 |
Property, Equipment and Right_3
Property, Equipment and Right of Use (‘ROU’) Assets, Net (Details) - USD ($) | 3 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Property, Equipment and ROU Assets, Net [Abstract] | ||
Depreciation expense | $ 13,839 | $ 8,055 |
Amortization expense related to the right-of-use assets | $ 94,532 | $ 90,244 |
Property, Equipment and Right_4
Property, Equipment and Right of Use (‘ROU’) Assets, Net (Details) - Schedule of Property, Equipment and Right of Use Assets - USD ($) | Sep. 30, 2023 | Jun. 30, 2023 |
Schedule of Property, Equipment and Right of Use Assets [Line Items] | ||
Property and equipment | $ 1,648,747 | $ 1,648,747 |
Less: accumulated depreciation and amortization | (1,033,692) | (925,321) |
Property, equipment and ROU assets, net | 615,055 | 723,426 |
Right-of-Use Assets (leases) [Member] | ||
Schedule of Property, Equipment and Right of Use Assets [Line Items] | ||
Property and equipment | 1,167,436 | 1,167,436 |
Equipment [Member] | ||
Schedule of Property, Equipment and Right of Use Assets [Line Items] | ||
Property and equipment | 440,902 | 440,902 |
Furnishing [Member] | ||
Schedule of Property, Equipment and Right of Use Assets [Line Items] | ||
Property and equipment | $ 40,409 | $ 40,409 |
Intangible Assets (Details)
Intangible Assets (Details) - USD ($) | 3 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Intangible Assets [Abstract] | ||
Amortized on a straight-line basis | 18 years | |
Estimated useful life | 18 years | |
Weighted average estimated remaining useful life | 12 years | |
Amortization expense on intangible assets (in Dollars) | $ 40,993 | $ 40,993 |
Intangible Assets (Details) - S
Intangible Assets (Details) - Schedule of Table Summarizes the Companies Intangible Assets - USD ($) | Sep. 30, 2023 | Jun. 30, 2023 |
Schedule of Table Summarizes the Companies Intangible Assets [Line Items] | ||
Intangible assets, gross | $ 2,927,420 | $ 2,927,420 |
Less: accumulated amortization | (1,022,134) | (981,141) |
Intangible assets, net | 1,905,286 | 1,946,279 |
Intellectual Property [Member] | ||
Schedule of Table Summarizes the Companies Intangible Assets [Line Items] | ||
Intangible assets, gross | 1,736,420 | 1,736,420 |
Patents [Member] | ||
Schedule of Table Summarizes the Companies Intangible Assets [Line Items] | ||
Intangible assets, gross | $ 1,191,000 | $ 1,191,000 |
Intangible Assets (Details) -_2
Intangible Assets (Details) - Schedule of Expects Amortization Expense to be Incurred Over the Next Five Years - USD ($) | Sep. 30, 2023 | Jun. 30, 2023 |
Schedule of Amortization Expense on Intangible Assets [Abstract] | ||
2024 | $ 117,943 | |
2025 | 158,935 | |
2026 | 158,935 | |
2027 | 158,935 | |
2028 | 158,935 | |
Thereafter | 1,151,603 | |
Total | $ 1,905,286 | $ 1,946,279 |
Accounts Payable and Accrued _3
Accounts Payable and Accrued Liabilities (Details) - Schedule of Accounts Payable and Accrued Liabilities - USD ($) | Sep. 30, 2023 | Jun. 30, 2023 |
Schedule of Accounts Payable and Accrued Liabilities [Abstract] | ||
Trade payables | $ 379,866 | $ 544,179 |
Accrued research and development expenses | 286,684 | 164,587 |
Employee compensation, benefits and related accruals | 279,556 | 542,305 |
Accrued general and administrative expenses | 100,145 | 357,664 |
Accounts payable and accrued liabilities | $ 1,046,251 | $ 1,608,735 |
Share-Based Payments (Details)
Share-Based Payments (Details) - USD ($) | 1 Months Ended | 3 Months Ended | ||
Mar. 24, 2017 | Sep. 30, 2023 | Sep. 30, 2022 | Jun. 30, 2023 | |
Share-Based Payments [Line Items] | ||||
Issued and outstanding, percentage | 20% | 20% | ||
Share-based payment transactions | $ 25,191 | $ 116,681 | ||
Unvested options | $ 42,297 | |||
Weighted-average vesting period | 9 months 7 days | |||
General and Administrative Expense [Member] | ||||
Share-Based Payments [Line Items] | ||||
Share-based payment transactions | $ 15,431 | 65,072 | ||
Research and Development Expense [Member] | ||||
Share-Based Payments [Line Items] | ||||
Share-based payment transactions | $ 9,761 | $ 51,609 | ||
Option [Member] | ||||
Share-Based Payments [Line Items] | ||||
Options available for future issuance (in Shares) | 51,124 | 51,633 |
Share-Based Payments (Details)
Share-Based Payments (Details) - Schedule of Summary of Changes in Outstanding Options | 3 Months Ended |
Sep. 30, 2023 $ / shares shares | |
Schedule of Outstanding Options [Abstract] | |
Number, Balance at beginning | shares | 102,642 |
Weighted Average Exercise Price, Balance at beginning | $ / shares | $ 31.28 |
Number, Granted | shares | |
Weighted Average Exercise Price, Granted | $ / shares | |
Number, Expired/Forfeited | shares | (509) |
Weighted Average Exercise Price, Expired/Forfeited | $ / shares | $ 495.98 |
Number, Balance at ending | shares | 102,133 |
Weighted Average Exercise Price, Balance at ending | $ / shares | $ 28.52 |
September 30, 2023: | |
Number, Vested and exercisable | shares | 51,403 |
Weighted Average Exercise Price, Vested and exercisable | $ / shares | $ 51.53 |
Number, Unvested | shares | 50,730 |
Weighted Average Exercise Price, Unvested | $ / shares | $ 5.21 |
Lease Obligations (Details)
Lease Obligations (Details) - USD ($) | 1 Months Ended | ||
Aug. 31, 2024 | Apr. 30, 2024 | Sep. 30, 2023 | |
Lease Obligations [Line Items] | |||
Lessee, Operating Lease, Liability, to be Paid, Year Three | $ 1,095,104 | ||
Forecast [Member] | |||
Lease Obligations [Line Items] | |||
Estimated variable operating costs | $ 78,500 | $ 92,964 |
Lease Obligations (Details) - S
Lease Obligations (Details) - Schedule of Committed to Minimum Lease Payments - USD ($) | Sep. 30, 2023 | Jun. 30, 2023 | |
Schedule of Minimum Lease Payments [Abstract] | |||
Less than one year | $ 297,759 | ||
One to five years | |||
More than five years | |||
Total undiscounted lease liabilities | [1] | 297,759 | |
Less: imputed interest | (4,761) | ||
Present value of lease liabilities | 292,998 | ||
Less: Current portion of lease liabilities | (292,998) | $ (375,713) | |
Non-current portion of lease liabilities | $ (15,994) | ||
[1] Excludes estimated variable operating costs of $92,964 and $78,500 on an annual basis through to April 30, 2024 and August 31, 2024, respectively. |
Segment Information (Details)
Segment Information (Details) - USD ($) | Sep. 30, 2023 | Jun. 30, 2023 |
InMed [Member] | ||
Segment Information [Line Items] | ||
Total assets | $ 7,045,824 | $ 9,498,752 |
BayMedica [Member] | ||
Segment Information [Line Items] | ||
Total assets | $ 3,871,515 | $ 4,607,588 |
Segment Information (Details) -
Segment Information (Details) - Schedule of Reportable Segments - USD ($) | 3 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Segment Reporting Information [Line Items] | ||
Sales | $ 901,862 | $ 320,788 |
Cost of sales | (787,690) | (235,034) |
Inventory write-down | (92,930) | (576,772) |
Operating expenses | (2,694,113) | (3,084,969) |
Other income (expense) | 136,043 | 65,787 |
Net loss | (2,536,828) | (3,510,200) |
Unrestricted cash | 6,738,304 | 9,350,427 |
InMed [Member] | ||
Segment Reporting Information [Line Items] | ||
Sales | ||
Cost of sales | ||
Inventory write-down | ||
Operating expenses | (1,851,139) | (2,296,740) |
Other income (expense) | 67,394 | 27,909 |
Net loss | (1,783,745) | (2,268,831) |
Unrestricted cash | 5,886,613 | 9,227,828 |
BayMedica [Member] | ||
Segment Reporting Information [Line Items] | ||
Sales | 901,862 | 320,788 |
Cost of sales | (787,690) | (235,034) |
Inventory write-down | (92,930) | (576,772) |
Operating expenses | (842,974) | (788,229) |
Other income (expense) | 68,649 | 37,878 |
Net loss | (753,083) | (1,241,369) |
Unrestricted cash | $ 851,691 | $ 122,599 |
Commitments and Contingencies (
Commitments and Contingencies (Details) - USD ($) | 3 Months Ended | ||
Sep. 30, 2023 | Sep. 19, 2023 | Jun. 30, 2023 | |
Commitments and Contingencies [Line Items] | |||
Materials cost | $ 2,200,000 | ||
Materials and equipment cost | 300,000 | ||
Guaranteed investment | $ 42,942 | $ 44,422 | |
Warrants to purchase (in Shares) | 700 | ||
Warrants issued to purchase of common shares (in Shares) | 700 | ||
Agreement amount | $ 300,000 | ||
Minimum [Member] | |||
Commitments and Contingencies [Line Items] | |||
Price per share (in Dollars per share) | $ 1 | ||
Warrant [Member] | |||
Commitments and Contingencies [Line Items] | |||
Warrants exercisable issuance date | 3 years |
Related Party Transactions (Det
Related Party Transactions (Details) - USD ($) | 3 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Related Party Transactions [Abstract] | ||
Legal services | $ 19,814 | $ 67,092 |
Subsequent Events (Details)
Subsequent Events (Details) - $ / shares | 3 Months Ended | ||
Oct. 24, 2023 | Nov. 21, 2022 | Sep. 30, 2023 | |
Investment Options [Member] | |||
Subsequent Events (Details) [Line Items] | |||
Aggregate of common shares | 6,545,466 | 3,272,733 | |
Price per share (in Dollars per share) | $ 0.83 | $ 0.83 | |
Common Shares [Member] | |||
Subsequent Events (Details) [Line Items] | |||
Aggregate of common shares | 3,272,733 | ||
Subsequent Event [Member] | |||
Subsequent Events (Details) [Line Items] | |||
Aggregate of common shares | 3,012,049 | ||
Price per share (in Dollars per share) | $ 0.83 | ||
Subsequent Event [Member] | Common Shares [Member] | |||
Subsequent Events (Details) [Line Items] | |||
Aggregate of common shares | 3,012,049 | ||
Price per share (in Dollars per share) | $ 0.83 |