EX-99.1 2 d42965dex991.htm EX-99.1 EX-99.1

Exhibit 99.1

 

LOGO  

TSX:IN

NASDAQ:INM

 

Suite 310-815 W. Hastings St.

Vancouver, BC, Canada V6C 1B4

Tel: +1.604.669.7207

Email: info@inmedpharma.com

www.inmedpharma.com

InMed Pharmaceuticals Reports First Quarter Fiscal

2021 IFRS Financial Results

Vancouver, BC – November 13, 2020 – 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”), in compliance with continuous disclosure obligations in Canada, today reported financial results for the first quarter of fiscal year 2021 (“1Q21”) which ended September 30, 2020.

With yesterday’s announced financing expected to close on November 16, 2020, subject to customary closing conditions, the conference call component of this quarter’s financial reporting has been cancelled. The Company looks forward to updating investors during a future conference call.

Results of Operations (expressed in Canadian Dollars and in accordance with IFRS):

•     For the three months ended September 30, 2020, the Company recorded a net loss of $2.1 million, or $0.41 per share, compared with a net loss of $3.4 million, or $0.65 per share, for the three months ended September 30, 2019.

•     Research and development expenses were $1.2 million for 1Q21, compared with $2.3 million for the three months ended September 30, 2019. The decrease was primarily due to a decrease in the costs associated with external contractors and research supplies.

•     The Company incurred general and administrative expenses of $0.7 million for 1Q21, compared with $1.0 million for the three months ended September 30, 2019. The decrease in general and administrative expenses for the three months to September 30, 2020 was primarily due to decreased accounting and legal expenses pertaining to certain corporate initiatives, including certain current year legal costs being capitalized as deferred financing costs offset by higher accounting fees partly resulting from the preparation of financial statements under both IFRS and US GAAP, as well as decreased salaries and benefits.

•     The Company also incurred non-cash, share-based payments, in connection with the grant of stock options, of $0.1 million for 1Q21, compared with $0.2 million for the three months ended September 30, 2019.

•     At September 30, 2020, the Company’s cash, cash equivalents and short-term investments were $6.1 million, which compares to $8.0 million at June 30, 2020. The decrease in cash, cash equivalents and short-term investments during the three months ended September 30, 2020, was primarily due to cash outflows from operating activities.

•     At September 30, 2020, the Company’s total issued and outstanding shares were 5,220,707. In addition, at September 30, 2020, there were 556,817 outstanding stock options with a weighted average exercise price of $14.96.


Table 1: Condensed consolidated interim statements of financial position (unaudited):

InMed Pharmaceuticals Inc.

CONDENSED CONSOLIDATED INTERIM STATEMENTS OF FINANCIAL POSITION (unaudited)

 

As at September 30, 2020 and June 30, 2020

Expressed in Canadian Dollars

            
     September 30,
2020
    June 30,
2020
 

ASSETS

    

Current

    

Cash and cash equivalents

   $ 5,998,943     $ 7,912,156  

Short-term investments

     57,574       57,761  

Accounts receivable

     69,193       61,794  

Prepaids and other assets

     699,225       570,905  
  

 

 

   

 

 

 

Total current assets

     6,824,935       8,602,616  

Non-Current

    

Property and equipment

     512,923       549,869  

Intangible assets

     1,068,981       1,091,642  

Other assets

     18,659       —    
  

 

 

   

 

 

 

Total Assets

   $ 8,425,498     $ 10,244,127  
  

 

 

   

 

 

 

LIABILITIES AND SHAREHOLDERS’ EQUITY

    

Current

    

Accounts payables and accrued liabilities

   $ 2,404,526     $ 2,190,432  

Current portion of lease obligations

     95,243       93,986  
  

 

 

   

 

 

 

Total current liabilities

     2,499,769       2,284,418  

Non-current

    

Lease obligations

     314,264       337,989  
  

 

 

   

 

 

 
     2,814,033       2,622,407  

SHAREHOLDERS’ EQUITY

    

Share capital

     68,579,890       68,579,890  

Contributed surplus

     15,599,115       15,468,817  

Accumulated deficit

     (78,567,540     (76,426,987
  

 

 

   

 

 

 
     5,611,465       7,621,720  
  

 

 

   

 

 

 
   $ 8,425,498     $ 10,244,127  
  

 

 

   

 

 

 


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 months ended September 30, 2020 and September 30, 2019

Expressed in Canadian Dollars

            
     Three Months Ended
September 30,
 
     2020     2019  

Operating Expenses

    

Research and development

   $ 1,163,721     $ 2,331,788  

General and administrative

     740,929       958,331  

Amortization and depreciation

     59,607       43,284  

Share-based payments

     130,298       151,567  
  

 

 

   

 

 

 

Total operating expenses

     2,094,555       3,484,970  

Finance Costs and Other Income (Loss)

    

Interest income

     6,618       77,119  

Foreign exchange gain (loss)

     (52,616     21,036  
  

 

 

   

 

 

 

Total net loss and comprehensive loss for the period

   $ (2,140,553   $ (3,386,815
  

 

 

   

 

 

 

Basic and diluted loss per share for the period

   $ (0.41   $ (0.65
  

 

 

   

 

 

 


Table 3: Condensed consolidated interim statements of cash flows (unaudited):

InMed Pharmaceuticals Inc.

CONDENSED CONSOLIDATED INTERIM STATEMENTS OF CASH FLOWS (unaudited)

 

For the three months ended September 30, 2020 and September 30, 2019

Expressed in Canadian Dollars

            
     2020     2019  

OPERATING ACTIVITIES

    

Cash flows from operating activities

    

Net loss for the period

   $ (2,140,553   $ (3,386,815

Adjustments to reconcile loss to net cash used in operating activities

    

Amortization and depreciation

     59,607       43,284  

Share-based payments

     130,298       151,567  

Loss on sale of assets

     —         1,070  

Interest accretion on lease obligations

     (830     —    

Changes in non-cash working capital balances:

    

Prepaids and other assets

     (42,202     111,053  

Interest income accrued on short-term investments

     187       107,168  

Other non-current assets

     (18,659     —    

Accounts receivable

     (7,399     44,899  

Accounts payable and accrued liabilities

     214,094       (194,997
  

 

 

   

 

 

 

Total cash used in operating activities

     (1,805,457     (3,122,771
  

 

 

   

 

 

 

Cash Flows From Investing Activities

    

Maturity of short-term investments

     —         5,034,500  

Purchase of short-term investments

     —         (34,500

Purchase of property and equipment

     —         (42,953

Proceeds on disposal of property and equipment

     —         726  
  

 

 

   

 

 

 

Total cash provided by investing activities

     —         4,957,773  
  

 

 

   

 

 

 

Cash Flows From Financing Activities

    

Payments on lease obligations

     (21,639     —    

Deferred financing costs

     (86,117     —    
  

 

 

   

 

 

 

Total cash used in financing activities

     (107,756     —    
  

 

 

   

 

 

 

Decrease in cash during the period

     (1,913,213     1,835,002  

Cash and cash equivalents beginning of the period

     7,912,156       12,873,961  
  

 

 

   

 

 

 

Cash and cash equivalents end of the period

   $ 5,998,943     $ 14,708,963  
  

 

 

   

 

 

 


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.

Investor Contact:

InMed Pharmaceuticals Inc.

Brendan Payne, Director – Investor Relations

T:

+1.604.669.7207

E:

info@inmedpharma.com

Edison Advisors for InMed Pharmaceuticals

Joe Green/Laine Yonker

T:

+1.646.653.7030/+1.646.760.0321

E:

jgreen@edisongroup.com / lyonker@edisongroup.com

Cautionary 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; and the closing of the Company’s financing on November 16, 2020 or at all.

With respect to the forward-looking information contained in this news release, InMed has made numerous assumptions regarding, among other things: 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: 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; regulatory applications may not be approved 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 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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