ELAB's Assets Surge Amidst Rising Losses and Revenue Growth

TL;DR

**ELAB is burning cash fast to fuel growth, but the revenue isn't offsetting the skyrocketing expenses yet – proceed with extreme caution.**

AI Summary

PMGC Holdings Inc. (ELAB) reported a significant increase in total assets to $14,938,018 as of September 30, 2025, up from $8,993,165 at December 31, 2024, driven by a substantial rise in cash to $7,700,562 from $3,984,453. The company generated $285,948 in revenue for the three and nine months ended September 30, 2025, compared to zero revenue in the prior year periods. Despite this, ELAB experienced a net loss of $2,594,320 for the three months ended September 30, 2025, and $4,765,130 for the nine months, an increase from losses of $1,501,257 and $4,310,998, respectively, in 2024. Operating expenses surged to $2,276,931 for the quarter, up from $625,615, primarily due to increased consulting fees of $621,103 and office and administrative expenses of $726,543. The company undertook multiple reverse stock splits, including a 1-for-3.5 split effective September 2, 2025, resulting in 744,121 shares outstanding as of November 10, 2025. Financing activities provided $10,116,739 in cash for the nine months, largely from warrant exercises and stock issuances, offsetting significant cash used in operating and investing activities.

Why It Matters

For investors, ELAB's substantial increase in cash and total assets, alongside its first reported revenue, signals potential for future growth in the medical aesthetics and biotechnology market. However, the escalating net losses and operating expenses, particularly in consulting and administration, raise concerns about cost management and profitability. The series of reverse stock splits could impact investor perception and liquidity, making it crucial for shareholders to monitor the company's ability to translate its increased capital into sustainable earnings. Competitively, the company's entry into the skincare and biosciences sectors suggests an attempt to diversify and capture market share, but its current financial performance indicates it's still in an early, high-investment phase.

Risk Assessment

Risk Level: high — The company reported a net loss of $4,765,130 for the nine months ended September 30, 2025, an increase from $4,310,998 in the prior year, indicating continued unprofitability. Operating expenses surged to $4,492,173 for the nine months, up from $1,981,831, with significant increases in consulting fees ($1,367,005) and office and administrative costs ($1,255,413), demonstrating high cash burn relative to its new revenue of $285,948.

Analyst Insight

Investors should closely monitor ELAB's next few quarters for signs of improved cost control and a clear path to profitability, as current expenses far outstrip nascent revenue. Consider holding off on new investments until there's concrete evidence that the significant capital raised is being efficiently deployed to generate sustainable positive cash flow from operations.

Financial Highlights

debt To Equity

0.76

revenue

$285,948

operating Margin

N/A

total Assets

$14,938,018

total Debt

$6,447,363

net Income

-$4,765,130

eps

N/A

gross Margin

N/A

cash Position

$7,700,562

revenue Growth

N/A

Revenue Breakdown

Key Numbers

• $14.9M — Total Assets (Increased from $8.99M at Dec 31, 2024, indicating significant asset growth.)
• $7.7M — Cash (Increased from $3.98M at Dec 31, 2024, showing improved liquidity.)
• $285,948 — Total Revenue (First reported revenue for the nine months ended Sep 30, 2025, up from $0 in 2024.)
• $(4.77M) — Total Net Loss (Increased from $(4.31M) for the nine months ended Sep 30, 2024, indicating widening losses.)
• $4.49M — Total Operating Expenses (Increased from $1.98M for the nine months ended Sep 30, 2024, reflecting significant cost increases.)
• $1.37M — Consulting Fees (Increased from $784,420 for the nine months ended Sep 30, 2024, a major driver of expense growth.)
• $1.26M — Office and Administrative Expenses (Increased from $447,874 for the nine months ended Sep 30, 2024, contributing to higher operating costs.)
• 744,121 — Common Stock Shares Outstanding (As of November 10, 2025, after multiple reverse stock splits.)
• $10.12M — Cash Flows Provided by Financing Activities (For the nine months ended Sep 30, 2025, significantly funding operations and investments.)
• $(4.18M) — Cash Flows Used in Operating Activities (For the nine months ended Sep 30, 2025, indicating substantial cash burn from operations.)

Key Players & Entities

• PMGC Holdings Inc. (company) — Registrant of the 10-Q filing
• Graydon Bensler (person) — Address of principal executive office
• The Nasdaq Stock Market LLC (regulator) — Exchange where Common Stock is registered
• U.S. Securities and Exchange Commission (regulator) — Regulatory body for filings
• PMGC Research Inc. (company) — 100% owned subsidiary
• PMGC Impasse Corp (company) — 100% owned subsidiary, formerly Elevai Skincare Inc.
• Northstrive Biosciences Inc. (company) — 100% owned subsidiary, formerly Elevai Biosciences, Inc
• PMGC Capital LLC (company) — 100% owned subsidiary
• Pacific Sun Packaging Inc. (company) — 100% owned subsidiary
• AGA Precision Systems LLC (company) — 100% owned subsidiary

FAQ

Risk Factors

• Significant Accumulated Deficit [high — financial]: The company has an accumulated deficit of $18,034,757 as of September 30, 2025, which has increased from $13,269,627 as of December 31, 2024. This indicates a history of net losses and raises concerns about the company's long-term financial viability.
• Dependence on Key Personnel and Consultants [medium — operational]: The significant increase in consulting fees to $1,370,000 for the nine months ended September 30, 2025 (from $784,420 in the prior year) and office and administrative expenses to $1,260,000 (from $447,874) suggests a reliance on external expertise and potentially a growing operational infrastructure. Disruptions or increased costs in these areas could impact operations.
• Increased Operating Expenses and Net Loss [high — financial]: Operating expenses for the three months ended September 30, 2025, surged to $2,276,931 from $625,615 in the prior year. This led to a net loss of $2,594,320 for the quarter, an increase from $1,501,257. For the nine months, the net loss widened to $4,765,130 from $4,310,998.
• Reliance on Financing Activities [high — financial]: The company generated $10,116,739 in cash from financing activities for the nine months ended September 30, 2025, primarily from warrant exercises and stock issuances. This funding is crucial to offset cash used in operations ($4,180,000) and investing activities, highlighting a dependence on external capital.
• Reverse Stock Splits and Share Structure [medium — regulatory]: The company has undertaken multiple reverse stock splits, including a 1-for-3.5 split effective September 2, 2025, resulting in 744,121 shares outstanding as of November 10, 2025. These actions can impact investor perception and may be indicative of efforts to meet exchange listing requirements or attract institutional investors.
• Derivative Liabilities [medium — financial]: The emergence of derivative liabilities of $681,818 as of September 30, 2025, which were not present at December 31, 2024, indicates new financial instruments or arrangements that could introduce volatility and complexity.
• Convertible Debt [medium — financial]: The company has $3,194,053 in convertible debt as of September 30, 2025, which was not present at December 31, 2024. This debt is convertible into equity, which could lead to future dilution for existing shareholders.

Industry Context

PMGC Holdings Inc. (formerly Elevai Labs Inc.) appears to be operating in a sector that requires significant investment in research, development, and operational infrastructure, as evidenced by rising consulting and administrative expenses. The company is generating its first revenues, suggesting a transition from a development-stage to an early-revenue stage. The competitive landscape likely involves companies with substantial R&D capabilities and the ability to scale operations effectively.

Regulatory Implications

The company's multiple reverse stock splits suggest potential efforts to maintain compliance with stock exchange listing requirements or to improve the stock's marketability. Investors should monitor any further changes in share structure or compliance status with regulatory bodies.

What Investors Should Do

1. Monitor operating expense trends closely.
2. Evaluate the source and sustainability of financing.
3. Assess the impact of reverse stock splits.
4. Analyze the revenue generation strategy.

Key Dates

• 2025-09-02: 1-for-3.5 Reverse Stock Split Effective — Reduced the number of outstanding shares, impacting per-share metrics and potentially signaling efforts to increase share price.
• 2025-09-30: Quarterly Reporting Period End — Reported first-ever revenue of $285,948 for the nine months, but also a widening net loss of $4,765,130 for the same period.
• 2025-11-10: Common Stock Shares Outstanding Reported — 744,121 shares outstanding after multiple reverse splits, reflecting significant capital restructuring.
• 2024-12-31: Previous Fiscal Year End — Total assets were $8,993,165 and cash was $3,984,453, with no revenue reported.
• 2024-11-27: 1-for-200 Reverse Stock Split Effective — One of several reverse stock splits aimed at consolidating shares and potentially increasing the stock price.
• 2025-03-10: 1-for-7 Reverse Stock Split Effective — Further consolidation of shares following the previous reverse split.

Glossary

Accumulated deficit

The total net losses of a company over its lifetime that have not been offset by net income. (Indicates the company has historically operated at a loss, with a deficit of $18,034,757 as of September 30, 2025.)

Reverse stock split

A corporate action to reduce the number of outstanding shares of stock, typically to increase the stock's market price. (PMGC Holdings Inc. has implemented multiple reverse stock splits, including a 1-for-3.5 split effective September 2, 2025, affecting the share count and per-share metrics.)

Additional paid-in capital

The amount of capital a company receives from shareholders in exchange for stock that is above the stock's par value. (Shows significant capital infusion from shareholders, totaling $26,525,454 as of September 30, 2025.)

Derivative liabilities

Financial obligations arising from contracts whose value is derived from an underlying asset, group of assets, or benchmark. (The company reported $681,818 in derivative liabilities as of September 30, 2025, indicating new financial instruments.)

Convertible debt

Debt that can be converted into a predetermined amount of equity in the issuing company. (The company has $3,194,053 in convertible debt as of September 30, 2025, which could lead to future share dilution.)

Goodwill

An intangible asset that arises when a company acquires another company for a price greater than the fair market value of its net assets. (The company recorded $959,535 in goodwill as of September 30, 2025, suggesting recent acquisitions or business combinations.)

Intangibles, net

Non-physical assets that have value, such as patents, trademarks, and customer lists, net of amortization. (Represents $2,548,664 of the company's assets, indicating value in intellectual property or other non-physical assets.)

Year-Over-Year Comparison

Compared to the prior year periods (ending September 30, 2024), PMGC Holdings Inc. has transitioned from zero revenue to reporting $285,948 for the nine months ended September 30, 2025. However, this revenue generation has been accompanied by a significant increase in operating expenses, leading to a wider net loss of $4,765,130 for the nine months, up from $4,310,998. Total assets have grown substantially to $14.9M from $8.99M, largely due to an increase in cash, but this growth is underpinned by significant financing inflows rather than operational profits.

Key Financial Figures

• $0.0001 — ich registered Common Stock, par value $0.0001 per share ELAB The Nasdaq Stock Market

Filing Documents

• ea0264817-10q_pmgc.htm (10-Q) — 1296KB
• ea026481701ex10-2_pmgc.htm (EX-10.2) — 149KB
• ea026481701ex31-1_pmgc.htm (EX-31.1) — 10KB
• ea026481701ex31-2_pmgc.htm (EX-31.2) — 10KB
• ea026481701ex32-1_pmgc.htm (EX-32.1) — 4KB
• ea026481701ex32-2_pmgc.htm (EX-32.2) — 4KB
• 0001213900-25-110390.txt ( ) — 9351KB
• elab-20250930.xsd (EX-101.SCH) — 97KB
• elab-20250930_cal.xml (EX-101.CAL) — 82KB
• elab-20250930_def.xml (EX-101.DEF) — 455KB
• elab-20250930_lab.xml (EX-101.LAB) — 808KB
• elab-20250930_pre.xml (EX-101.PRE) — 476KB
• ea0264817-10q_pmgc_htm.xml (XML) — 1141KB

– FINANCIAL INFORMATION

PART I – FINANCIAL INFORMATION 1 Item 1.

Financial Statements

Financial Statements 1 Notes to Unaudited Condensed Consolidated Financial Statements 7 Item 2.

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

Management's Discussion and Analysis of Financial Condition and Results of Operations 32 Item 3. Quantitative and Qualitative Disclosure About Market Risk 42 Item 4.

Controls and Procedures

Controls and Procedures 42

– OTHER INFORMATION

PART II – OTHER INFORMATION 43 Item 1.

Legal Proceedings

Legal Proceedings 43 Item 1A.

Risk Factors

Risk Factors 43 Item 2. Recent Sales of Unregistered Securities; Use of Proceeds and Issuer Purchases of Equity Securities 43 Item 3. Defaults Upon Senior Securities 44 Item 4. Mine Safety Disclosures 44 Item 5. Other Information 44 Item 6. Exhibits 44

Forward-Looking Statements

Forward-Looking Statements This Quarterly Report on Form 10-Q (this "Quarterly Report") of PMGC Holdings Inc. ("we," "us," "our," "PMGC" and the "Company") contains statements that constitute "forward-looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Any statements that are not statements of historical facts may be deemed to be forward-looking statements. These statements appear in several different places in this Quarterly Report and, in some cases, can be identified by words such as "anticipates," "estimates," "projects," "expects," "contemplates," "intends," "believes," "plans," "may," "will" or their negatives or other comparable words, although not all forward-looking statements contain these identifying words. Forward-looking and projections; our business prospects and opportunities; our business strategy and future operations; the projection of timing and delivery of products in the future; projected costs; expected production capacity; expectations regarding demand and acceptance of our products; estimated costs of research and development to develop new pipeline products; trends in the market in which we operate; the plans and objectives of management; our liquidity and capital requirements, including cash flows and uses of cash; trends relating to our industry; and plans relating to our current products. We have based these forward-looking any forward-looking statements made by us speak only as of the date on which they are made. While we believe these expectations are reasonable, such forward-looking statements are inherently subject to risks and uncertainties, many of which are beyond our control. O

- FINANCIAL INFORMATION

PART I - FINANCIAL INFORMATION

CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

Item 1. CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) Condensed Consolidated Financial Statements of PMGC Holdings Inc. (formerly Elevai Labs Inc.) For the quarterly periods ended September 30, 2025, and 2024 (Unaudited - Expressed in United States Dollars) PMGC Holdings Inc. (formerly Elevai Labs Inc.) Condensed Consolidated Balance Sheets (Unaudited - Expressed in United As of: September 30, 2025 December 31, 2024 ASSETS Current Assets Cash $ 7,700,562 $ 3,984,453 Receivables, net 271,492 5,276 Prepaids and deposits 770,098 868,464 Inventory 128,469 - Other receivables 97,940 - Investment in securities- current 804,070 - Assets held for sale - 1,192,808 Total Current Assets 9,772,631 6,051,001 Operating lease right-of-use-assets 1,243,742 Investment in securities-noncurrent - 139,084 Property and equipment, net 413,446 1,087 Intangibles, net 2,548,664 2,801,993 Goodwill 959,535 - TOTAL ASSETS $ 14,938,018 $ 8,993,165 LIABILITIES Current Liabilities Accounts payable and accrued liabilities $ 553,879 $ 481,001 Due to related parties 486,848 419,217 Current portion of consideration payable 315,865 350,000 Current portion of operating lease liability 229,229 - Derivative liabilities 681,818 - Convertible debt 3,194,053 - Liabilities held for sale - 548,916 Total Current Liabilities 5,461,692 1,799,134 Operating lease liability 985,671 - Consideration payable - 534,467 TOTAL LIABILIITES $ 6,447,363 $ 2,333,601 Commitments and Contingencies EQUITY Preferred stock $ 0.0001 par value; 500,000,000 stock authorized: Series B preferred stock, 6,372,874 and Nil shares issued and outstanding as of September 30, 2025, and December 31, 2024, respectively 637 - Common stock, $ 0.0001 par value, 2,000,000,000 shares authorized; 744,121 and 125,421 shares issued and outstanding as of September 30, 2025, and December 31, 2024, resp

View Full Filing

View this 10-Q filing on SEC EDGAR