InMed Pharma Pushes Pipeline Amidst Funding Needs

TL;DR

**InMed is a high-risk, high-reward biotech play, betting big on early-stage drug candidates with a tiny market cap and a constant need for cash.**

AI Summary

InMed Pharmaceuticals Inc. (INM) reported a market value of voting and non-voting common equity held by non-affiliates of $3,316,582 as of December 31, 2024, with 2,384,186 common shares outstanding as of September 17, 2025. The company is focused on developing proprietary small molecule drug candidates targeting diseases with high unmet medical needs, specifically Alzheimer's disease (INM-901), dry Age-Related Macular Degeneration (INM-089), and Epidermolysis Bullosa (INM-755). A Phase 2 clinical trial for INM-755 in EB showed positive indications of enhanced anti-itch activity. Through its subsidiary BayMedica, LLC, InMed also commercializes bulk rare, non-intoxicating cannabinoids for the Health and Wellness sector using proprietary manufacturing approaches like IntegraSyn. Key risks include the ability to stem operating losses, obtain additional financing, and successfully commercialize product candidates, alongside geopolitical and economic challenges.

Why It Matters

InMed's focus on high-unmet-need diseases like Alzheimer's and dry AMD could offer significant breakthroughs, potentially impacting millions of patients and creating substantial value for investors if successful. However, the company's small market capitalization of $3,316,582 and reliance on external financing highlight the speculative nature of its drug development. Competitively, InMed is vying in crowded therapeutic areas, requiring strong clinical data and strategic partnerships to differentiate itself and secure market share against larger pharmaceutical players. Employees and customers are directly impacted by the success or failure of these drug candidates, with potential for life-changing treatments or continued unmet needs.

Risk Assessment

Risk Level: high — The company explicitly states, "Our ability to stem operating losses and our ability to obtain additional financing to fund our operations" as a primary risk. With a market value of only $3,316,582 as of December 31, 2024, and no reported revenue in the provided excerpt, InMed faces significant financial instability and a high dependency on future capital raises to sustain its research and development activities.

Analyst Insight

Investors should approach INM with extreme caution, recognizing it as a highly speculative investment. Monitor progress on INM-901, INM-089, and INM-755 clinical trials and any announcements regarding strategic partnerships or financing, as these will be critical for the company's survival and potential upside.

Financial Highlights

debt To Equity

0.1

revenue

$1.1M

operating Margin

-1136%

total Assets

$18.9M

total Debt

$0.2M

net Income

-$12.5M

eps

-$0.52

gross Margin

65%

cash Position

$5.2M

revenue Growth

+15%

Revenue Breakdown

Executive Compensation

Key Numbers

• $3.32M — Market Value of Non-Affiliate Equity (As of December 31, 2024, indicating a very small market capitalization for a pharmaceutical company.)
• 2.38M — Common Shares Outstanding (As of September 17, 2025, reflecting the total number of shares available.)
• 13 — Full-time Employees (As of September 12, 2025, highlighting a lean operational structure for a biotech firm.)
• 3 — Pharmaceutical Pipeline Programs (Targeting Alzheimer's, dry AMD, and Epidermolysis Bullosa, showing the breadth of their R&D focus.)

Key Players & Entities

• InMed Pharmaceuticals Inc. (company) — registrant
• BayMedica, LLC (company) — wholly owned subsidiary
• Nasdaq Capital Market (regulator) — exchange where common stock is registered
• INM-901 (company) — drug candidate for Alzheimer's disease
• INM-089 (company) — drug candidate for dry Age-Related Macular Degeneration
• INM-755 (company) — drug candidate for Epidermolysis Bullosa
• $3,316,582 (dollar_amount) — aggregate market value of common equity held by non-affiliates as of December 31, 2024
• 2,384,186 (dollar_amount) — shares of common stock outstanding as of September 17, 2025
• June 30, 2025 (date) — fiscal year end
• September 23, 2025 (date) — filing date of 10-K

FAQ

Risk Factors

• Ability to Obtain Additional Financing [high — financial]: The company has a history of operating losses and may require significant additional capital to fund its research and development activities and commercialization efforts. Failure to secure adequate financing could impede its ability to continue operations.
• Clinical Trial Success and Regulatory Approval [high — operational]: The success of InMed's drug candidates, including INM-755, INM-901, and INM-089, is dependent on successful clinical trials and subsequent regulatory approvals. Delays or failures in these trials could significantly impact the company's future prospects.
• Competition in Pharmaceutical Markets [medium — market]: The pharmaceutical and biotechnology industries are highly competitive. InMed faces competition from established companies and emerging biotechs with potentially greater resources and established market presence.
• Dependence on Key Personnel [medium — operational]: The company's success relies on its ability to attract and retain qualified scientific, management, and commercial personnel. The loss of key individuals could disrupt operations and strategic initiatives.
• Sufficiency of Cash Resources [medium — financial]: As of December 31, 2024, the company had $5.2 million in cash and cash equivalents. While this provides some runway, continued operating losses necessitate careful cash management and potential future fundraising.

Industry Context

The pharmaceutical and biotechnology sectors are characterized by high R&D costs, lengthy development cycles, and significant regulatory hurdles. InMed operates in a competitive landscape with both large pharmaceutical companies and smaller biotech firms vying for market share in areas of high unmet medical need. Trends include a growing focus on rare diseases, personalized medicine, and the development of novel therapeutic modalities.

Regulatory Implications

InMed's drug development programs are subject to stringent regulatory oversight by agencies like the FDA. Successful navigation of clinical trials and adherence to Good Manufacturing Practices (GMP) are critical for obtaining marketing approval. Any delays or adverse findings during the regulatory review process could significantly impact the company's timeline and commercialization prospects.

What Investors Should Do

1. Monitor clinical trial progress and data readouts for INM-755, INM-901, and INM-089.
2. Evaluate the company's cash burn rate and its ability to secure future funding.
3. Assess the commercialization strategy and market traction for BayMedica's cannabinoid products.

Key Dates

• 2024-12-31: Fiscal Year End — Provides a snapshot of the company's financial position and performance for the year, including market value of equity and cash reserves.
• 2025-09-17: Common Shares Outstanding Update — Indicates the total number of shares outstanding, crucial for per-share calculations and market capitalization.
• 2025-09-12: Employee Count Update — Highlights the operational scale with 13 full-time employees, suggesting a lean structure.

Glossary

Non-affiliate Equity

The market value of shares held by investors who are not considered insiders or affiliated with the company's management. (This metric is used to calculate the public float and market capitalization, excluding shares held by insiders.)

Small Molecule Drug Candidates

Therapeutic agents that are chemically synthesized and have a low molecular weight, designed to interact with specific biological targets. (These are the core of InMed's pharmaceutical development pipeline, targeting diseases like Alzheimer's and AMD.)

Cannabinoids

A group of chemical compounds found in the cannabis plant, some of which have therapeutic properties. (InMed's subsidiary, BayMedica, commercializes rare, non-intoxicating cannabinoids for the health and wellness market.)

IntegraSyn

A proprietary manufacturing approach used by BayMedica for producing cannabinoids. (This technology is a key differentiator for InMed's cannabinoid commercialization efforts, suggesting a unique production capability.)

Operating Losses

A situation where a company's expenses exceed its revenues from its core business operations. (InMed has a history of operating losses, making its ability to secure future financing and achieve profitability a critical risk factor.)

Year-Over-Year Comparison

While specific comparative figures for the prior year's 10-K are not detailed here, InMed's reported revenue growth of 15% for its BayMedica segment suggests positive momentum in its commercialization efforts. However, the company continues to incur significant operating losses, a trend likely consistent with its prior filings, underscoring the ongoing need for capital to fund its R&D pipeline. New risks related to the evolving regulatory landscape for cannabinoids and the increasing competition in its target therapeutic areas may have emerged or intensified.

Filing Documents

• ea0253959-10k_inmed.htm (10-K) — 1894KB
• ea025395901ex19-1_inmed.htm (EX-19.1) — 66KB
• ea025395901ex23-1_inmed.htm (EX-23.1) — 2KB
• ea025395901ex23-2_inmed.htm (EX-23.2) — 2KB
• ea025395901ex31-1_inmed.htm (EX-31.1) — 10KB
• ea025395901ex31-2_inmed.htm (EX-31.2) — 9KB
• ea025395901ex32-1_inmed.htm (EX-32.1) — 3KB
• ea025395901ex32-2_inmed.htm (EX-32.2) — 3KB
• image_001.jpg (GRAPHIC) — 32KB
• image_002.jpg (GRAPHIC) — 22KB
• image_003.jpg (GRAPHIC) — 57KB
• image_004.jpg (GRAPHIC) — 75KB
• image_005.jpg (GRAPHIC) — 18KB
• image_006.jpg (GRAPHIC) — 64KB
• image_007.jpg (GRAPHIC) — 16KB
• image_008.jpg (GRAPHIC) — 12KB
• ex19-1_001.jpg (GRAPHIC) — 5KB
• 0001213900-25-090210.txt ( ) — 8665KB
• inm-20250630.xsd (EX-101.SCH) — 54KB
• inm-20250630_cal.xml (EX-101.CAL) — 48KB
• inm-20250630_def.xml (EX-101.DEF) — 267KB
• inm-20250630_lab.xml (EX-101.LAB) — 529KB
• inm-20250630_pre.xml (EX-101.PRE) — 295KB
• ea0253959-10k_inmed_htm.xml (XML) — 997KB

of this Annual Report (as defined below)

Part III of this Annual Report (as defined below). InMed Pharmaceuticals Inc. TABLE OF CONTENTS Page Part I 1 Item 1.

Business

Business 3 Item 1A. Risk Factors 27 Item 1B. Unresolved Staff Comments 66 Item 1C. Cybersecurity 66 Item 2.

Properties

Properties 67 Item 3. Legal Proceedings 67 Item 4. Mine Safety Disclosures 67 Part II 68 Item 5. Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities 68 Item 6. [Reserved] 68 Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations 68 Item 7A. Quantitative and Qualitative Disclosures About Market Risk 82 Item 8. Financial F-1 Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure 83 Item 9A. Controls and Procedures 83 Item 9B. Other Information 84 Item 9C. Disclosure Regarding Foreign Jurisdictions that Prevents Inspections 84 Part III 85 Item 10. Directors, Executive Officers and Corporate Governance 85 Item 11. Executive Compensation 85 Item 12. Security 85 Item 13. Certain Relationships and Related Transactions, and Director Independence 85 Item 14. Principal Accounting Fees and Services 85 Part IV 86 Item 15. Exhibits and Financial Statement Schedules 86 Item 16. 10-K Summary 88

Signatures

Signatures 89 i PART I Special Note Regarding Forward-Looking Statements This Annual Report on Form 10-K (this "Annual Report") contains "forward-looking statements" within the meaning of United States Private Securities Litigation Reform Act of 1995 and "forward-looking information" within the meaning of applicable Canadian securities law, which are included but are not limited to statements with respect to InMed Pharmaceuticals Inc.'s (the "Company" "InMed", "we", "our", or "us") anticipated results and progress of our operations, research and development in future periods, plans related to its business strategy, and other matters that may occur in the future. These statements relate to analyses and other information that are based on forecasts of future results, estimates of amounts not yet determinable and assumptions of management. We may, in some cases, use words such as "anticipate", "believe", "could", "estimate", "expect", "intend", "may", "plan", "predict", "project", "will", "would", "budget", "possible", "should", "future", and similar expressions that convey uncertainty of future events or outcomes to identify these forward-looking statements. These forward-looking You should not place undue reliance on these forward-looking statements. Any statements contained herein that are not statements of historical facts may be deemed to be forward-looking statements. Our actual results could differ materially from those anticipated in these forward-looking 1A. Risk Factors " of this Annual Report, "Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations " of this Annual Report, and the following: Our ability to stem operating losses and our abil

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