PharmaCyte Biotech Files 10-Q for July 2024

TL;DR

PharmaCyte Biotech filed its Q2 2024 10-Q. All systems go.

AI Summary

PharmaCyte Biotech, Inc. filed its 10-Q for the period ending July 31, 2024. The company, formerly known as Nuvilex, Inc., is focused on biological products. Its principal executive offices are located in Laguna Hills, California.

Why It Matters

This filing provides investors with an update on PharmaCyte Biotech's financial performance and operational status for the specified quarter.

Risk Assessment

Risk Level: medium — As a biotech company, PharmaCyte is subject to inherent risks related to research, development, and regulatory approvals.

Key Players & Entities

• PharmaCyte Biotech, Inc. (company) — Filer
• July 31, 2024 (date) — Reporting Period End Date
• Laguna Hills, California (location) — Business Address
• Nuvilex, Inc. (company) — Former Company Name

FAQ

Key Financial Figures

• $0.0001 — ch registered Common Stock, Par Value $0.0001 Per Share PMCB The Nasdaq Stock Mar
• $26 million — h and cash equivalents of approximately $26 million as of the filing of this Quarterly Repo

Filing Documents

• pharmacyte_i10q-073124.htm (10-Q) — 750KB
• pharmacyte_ex3101.htm (EX-31.1) — 9KB
• pharmacyte_ex3102.htm (EX-31.2) — 9KB
• pharmacyte_ex3201.htm (EX-32.1) — 5KB
• pharmacyte_ex3202.htm (EX-32.2) — 4KB
• 0001683168-24-006441.txt ( ) — 4816KB
• pmcb-20240731.xsd (EX-101.SCH) — 43KB
• pmcb-20240731_cal.xml (EX-101.CAL) — 53KB
• pmcb-20240731_def.xml (EX-101.DEF) — 199KB
• pmcb-20240731_lab.xml (EX-101.LAB) — 344KB
• pmcb-20240731_pre.xml (EX-101.PRE) — 310KB
• pharmacyte_i10q-073124_htm.xml (XML) — 542KB

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 25 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 34 Item 4.

Controls and Procedures

Controls and Procedures 34 PART II. OTHER INFORMATION 35 Item 1.

Legal Proceedings

Legal Proceedings 35 Item 1A.

Risk Factors

Risk Factors 35 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 35 Item 3. Defaults Upon Senior Securities 36 Item 4. Mine Safety Disclosures 36 Item 5. Other Information 36 Item 6. Exhibits 36

– FINANCIAL INFORMATION

PART I – FINANCIAL INFORMATION

Financial Information

Item 1. Financial Information. PHARMACYTE BIOTECH, INC. CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) July 31, 2024 April 30, 2024 ASSETS Current assets: Cash and cash equivalents $ 32,635,092 $ 50,179,968 Prepaid expenses and other current assets 240,227 259,800 Total current assets 32,875,319 50,439,768 Other assets: Intangible asset 1,549,427 1,549,427 Investment in preferred stock – TNF 29,120,000 – Convertible note receivable – Femasys 3,000,000 2,755,000 Warrant asset – Femasys 3,642,000 5,152,000 Other asset 7,688 7,688 Total other assets 37,319,115 9,464,115 Total Assets $ 70,194,434 $ 59,903,883 LIABILITIES, CONVERTIBLE PREFERRED STOCK AND STOCKHOLDERS' EQUITY Current liabilities: Accounts payable $ 553,952 $ 389,369 Accrued expenses 684,136 735,199 Accrued Series B convertible preferred stock redemption and dividends 6,234,862 6,296,696 Total current liabilities 7,472,950 7,421,264 Other liabilities: Warrant liability 8,700,000 10,784,000 Derivative liability 980,000 2,184,000 Total other liabilities 9,680,000 12,968,000 Total Liabilities 17,152,950 20,389,264 Commitments and Contingencies (Notes 7 and 9) – – Convertible Preferred Stock: Series B convertible preferred stock: authorized 35,000 shares, $ 0.0001 par value and $ 1,000 face value, 5,896 and 14,646 shares issued and outstanding excluding 5,833 shares subject to redemption as of July 31, 2024 and April 30, 2024, respectively. Liquidation preference of $ 6,378,472 and $ 15,060,421 , as of July 31, 2024 and April 30, 2024, respectively 5,333,114 11,867,016 Stockholders' equity: Preferred stock, authorized 10,000,000 – – Series A preferred stock: authorized 1 share, $ 0.0001 par value and 0 shares issued and outstanding as of April 30, 2024 and 2023 – – Common stock: authorized 200,000,000 shares, $ 0.0001 par value; shares issued 21,672,078 , shares outstanding 7,717,27

Financial Statements

Financial Statements. 3 PHARMACYTE BIOTECH, INC. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) Three Months Ended July 31, 2024 2023 Revenue $ – $ – Operating expenses: Research and development costs 96,016 104,483 Compensation expense 389,484 239,998 Director fees 138,000 50,215 Legal and professional 510,556 325,228 General and administrative 134,831 1,355,402 Total operating expenses 1,268,887 2,075,326 Loss from operations ( 1,268,887 ) ( 2,075,326 ) Other income (expenses): Interest income 547,432 875,878 Change in fair value of warrant liability 2,084,000 ( 1,452,000 ) Change in fair value of derivative liability 1,204,000 ( 530,000 ) Change in fair value of convertible note receivable 245,000 – Change in fair value of warrant asset – Femasys ( 1,510,000 ) – Change in fair value of investment – TNF 724,266 – Gain on related party investment - TNF 21,395,734 – Other expenses ( 190 ) ( 1,849 ) Total other income (expenses), net 24,690,242 ( 1,107,971 ) Net income (loss) 23,421,355 ( 3,183,297 ) Preferred stock dividends ( 685,801 ) ( 319,849 ) Preferred stock accretion ( 2,148,047 ) ( 3,272,033 ) Net income (loss) attributable to common stockholders $ 20,587,507 $ ( 6,775,179 ) Basic and diluted income (loss) per share $ 1.90 $ ( 0.54 ) Weighted average shares outstanding basic and diluted 7,866,387 12,601,891 See accompanying Notes to Condensed Consolidated

Financial Statements

Financial Statements. 4 PHARMACYTE BIOTECH, INC. CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS) (UNAUDITED) Three Months Ended July 31, 2024 2023 Net income (loss) $ 23,421,355 $ ( 3,183,297 ) Other comprehensive income Foreign currency translation adjustment 183 451 Other comprehensive income 183 451 Comprehensive income (loss) $ 23,421,538 $ ( 3,182,846 ) See accompanying Notes to Condensed Consolidated

Financial Statements

Financial Statements. 5 PHARMACYTE BIOTECH, INC. CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN CONVERTIBLE PREFERRED STOCK AND STOCKHOLDERS' EQUITY THREE MONTHS ENDED JULY 31, 2024 AND 2023 (UNAUDITED) Preferred stock Additional Accumulated Other Total Series B Common stock Paid in Treasury stock Accumulated Comprehensive Stockholders' Shares Amount Shares Amount Capital Shares Amount Deficit Income (Loss) Equity Balance, April 30, 2023 – $ – 21,602,078 $ 2,160 $ 202,230,583 ( 4,808,098 ) ( 13,560,623 ) $ ( 115,958,773 ) $ ( 23,003 ) $ 72,690,344 Stock issued for warrant exercises – – 70,000 7 63 – – – – 70 Accrued preferred stock dividends – – – – ( 319,849 ) – – – – ( 319,849 ) Preferred stock accretion – 3,272,033 – – ( 3,272,033 ) – – – – ( 3,272,033 ) Foreign currency translation adjustment – – – – – – – – 451 451 Net loss – – – – – – – ( 3,183,297 ) – ( 3,183,297 ) Issuance of Series B Preferred Stock, net of discounts and issuance costs of $ 18,246,925 35,000 16,753,075 – – – – – – – – Repurchase of common stock – – – – – ( 8,085,879 ) ( 26,721,897 ) – – ( 26,721,897 ) Balance, July 31, 2023 35,000 $ 20,025,108 21,672,078 $ 2,167 $ 198,638,764 ( 12,893,977 ) $ ( 40,282,520 ) $ ( 119,142,070 ) $ ( 22,552 ) $ 39,193,789 Balance, April 30, 2024 14,646 $ 11,867,016 21,672,078 $ 2,167 $ 185,334,173 $ ( 13,634,454 ) $ ( 42,040,216 ) $ ( 115,625,010 ) $ ( 23,511 ) $ 27,647,603 Stock-based compensation - options – – – – 222,677 – – – – 222,677 Preferred stock accretion – 2,148,047 – – ( 2,148,047 ) – – – – ( 2,148,047 ) Series B preferred stock redeemed ( 2,917 ) ( 2,893,144 ) – – – – – – – – Series B preferred stock subject to redemption ( 5,833 ) ( 5,788,805 ) – – – – – – – – Preferred stock dividends – – – – ( 685,801 ) – – – – ( 685,801 ) Foreign c

Financial Statements

Financial Statements. 6 PHARMACYTE BIOTECH, INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) Three Months Ended July 31, 2024 2023 Cash flows from operating activities: Net income (loss) $ 23,421,355 $ ( 3,183,297 ) Adjustments to reconcile net loss to net cash used in operating activities: Gain on related party investment – TNF ( 21,395,734 ) – Stock-based compensation 222,677 – Warrant issuance costs – 913,640 Change in fair value of warrant liability ( 2,084,000 ) 1,452,000 Change in fair value of derivative liability ( 1,204,000 ) 530,000 Change in fair value of convertible note receivable ( 245,000 ) – Change in fair value of warrant asset – Femasys 1,510,000 – Change in fair value of investment – TNF ( 724,266 ) – Change in assets and liabilities: Decrease in prepaid expenses and other current assets 19,573 19,031 Increase in accounts payable 164,582 589,849 Increase (decrease) in accrued expenses ( 58,484 ) 21,736 Net cash provided by (used in) operating activities ( 373,297 ) 342,959 Cash flows from investing activities: Investment in preferred stock and warrants ( 7,000,000 ) – Net cash used in investing activities ( 7,000,000 ) – Cash flows from financing activities: Repurchase of common stock ( 742,179 ) ( 26,457,324 ) Proceeds from issuance of preferred stock – 35,000,000 Payment for issuance costs related to preferred stock – ( 2,263,565 ) Redemption of preferred stock ( 9,429,583 ) – Proceeds from warrant exercise – 70 Net cash provided by (used in) financing activities ( 10,171,762 ) 6,279,181 Effect of currency rate exchange on cash and cash equivalents 183 451 Net increase (decrease) in cash and cash equivalents ( 17,544,876 ) 6,622,591 Cash and cash equivalents at beginning of the period 50,179,968 68,039,936 Cash and cash equivalents at end of the period $ 32,635,092 $ 74,662,527 Supplemental disclosure of cas

Financial Statements

Financial Statements. 7 PHARMACYTE BIOTECH, INC. NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) NOTE 1 – NATURE OF BUSINESS PharmaCyte Biotech, Inc. ("Company") is a biotechnology company focused on developing cellular therapies for cancer based upon a proprietary cellulose-based live cell encapsulation technology known as "Cell-in-a-Box ." The Cell-in-a-Box technology is intended to be used as a platform upon which therapies for several types of cancer, including locally advanced, inoperable pancreatic cancer ("LAPC") will be developed. The current generation of the Company's product candidate is referred to as "CypCaps." The Company is a Nevada corporation incorporated in 1996. In 2013, the Company restructured its operations to focus on biotechnology. The Company acquired licenses from SG Austria Pte. Ltd., a Singapore corporation ("SG Austria") to treat cancer and Austrianova Singapore Pte. Ltd., a Singapore corporation ("Austrianova Singapore") using the Cell-in-the-Box technology. The restructuring resulted in the Company focusing all its efforts upon the development of a novel, effective and safe way to treat cancer. In January 2015, the Company changed its name from Nuvilex, Inc. to PharmaCyte Biotech, Inc. to reflect the nature of its current business. In October 2021, the Company moved its headquarters from Laguna Hills, California to Las Vegas, Nevada. On September 1, 2020, the Company submitted an Investigational New Drug Application ("IND") to the U.S. Food and Drug Administration ("FDA") for a planned clinical trial in LAPC. On October 1, 2020, the Company received notice from the FDA that it had placed the IND on clinical hold. On October 30, 2020, the FDA sent a letter to the Company setting forth the reasons for the clinical hold and specific guidance on what the Company must do to have the clinical hold lifted. To lift the clinical hold, the FDA informed the Company that it needs to conduct several additional preclin

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View this 10-Q filing on SEC EDGAR