Aethlon Medical Reports Reduced Financial Losses and Advances Clinical Trials

Aethlon Medical, Inc. reported a significant reduction in its financial losses for the three and nine months ended December 31, 2024, compared to the same periods in the previous year. The company recorded a net loss of $1.75 million for the quarter, down from $3.47 million in the prior year, and a nine-month loss of $7.13 million, compared to $9.78 million. This improvement is attributed to a 49.1% decrease in operating expenses for the quarter, totaling $1.81 million, and a 27.7% decrease for the nine-month period, amounting to $7.34 million. The reductions were primarily driven by lower payroll and related expenses, professional fees, and general administrative costs.

In terms of operational changes, Aethlon Medical has made strategic moves to enhance its clinical research capabilities. The company has initiated safety, feasibility, and dose-finding clinical trials for its Hemopurifier device in Australia and India, targeting cancer patients undergoing anti-PD-1 therapy. The Royal Adelaide Hospital and Pindara Private Hospital in Australia have begun patient enrollment, with the first treatment successfully administered in January 2025. Aethlon has also engaged North American Science Associates, LLC, and Qualtran LLC as contract research organizations to oversee these trials.

The company’s financial position reflects a cash balance of $4.83 million as of December 31, 2024, a decrease from $5.44 million at the end of the previous fiscal year. Aethlon's working capital also declined to $3.19 million from $4.40 million. The decrease in cash is partly due to cash used in operating activities, which totaled approximately $5.97 million for the nine months ended December 31, 2024, compared to $7.56 million in the same period of 2023. The company raised approximately $5.38 million through a public offering in May 2024, which contributed to its cash position.

Aethlon Medical's accumulated deficit has increased to $161.70 million, raising concerns about its ability to continue as a going concern. The company has indicated that it will require significant additional capital to fund its operations and clinical trials over the next twelve months. Management plans to pursue a combination of debt and equity financing arrangements to meet its financial needs. The outlook remains cautious, as the company faces uncertainties related to market conditions, regulatory approvals, and the overall economic environment.

Overall, Aethlon Medical is navigating a challenging financial landscape while advancing its clinical programs. The company’s focus on the Hemopurifier device, which has received FDA designation as a "Breakthrough Device," positions it for potential growth, but the need for ongoing capital raises significant questions about its future viability.