CNBX Pharmaceuticals Reports No Revenue and Reduced Net Loss for Quarter Ending November 30, 2024

CNBX Pharmaceuticals Inc. reported its financial results for the three months ending November 30, 2024, revealing a significant decline in revenue and a reduced net loss compared to the same period in the previous year. The company generated no revenue during the latest quarter, a decrease from $89,437 in the prior year. Operating expenses also saw a notable reduction, totaling $36,837, down from $261,337 in the same quarter of 2023. This decrease was primarily driven by a reduction in general and administrative expenses, which fell by $112,082, and a complete halt in research and development expenditures, which had previously amounted to $112,418.

The company's net loss for the quarter was $34,352, a substantial improvement from the net loss of $178,523 reported in the prior year. This reduction in losses was attributed to the significant cut in operating expenses and a shift from financial losses to a small financial income of $2,485, compared to a financial loss of $6,623 in the previous year. The weighted average number of shares outstanding increased to 31,111,352 from 27,760,802, reflecting the company's ongoing capital structure adjustments.

In terms of liquidity, CNBX Pharmaceuticals had cash and cash equivalents of $17,339 as of November 30, 2024, a decrease from $81,647 a year earlier. The company anticipates incurring at least $120,000 in expenses over the next twelve months, primarily for general expenses and research and development. The cash used in operations for the latest quarter was $39,077, a decrease from $71,846 in the same quarter of 2023, indicating improved cash management despite ongoing financial challenges.

Strategically, CNBX Pharmaceuticals is focused on advancing its drug candidate RCC-33, aimed at treating colorectal cancer. The company plans to initiate Phase I/II clinical trials in 2024, which is a critical step in its development pipeline. However, the company has expressed concerns regarding its ability to continue as a going concern, as it has incurred cumulative losses of $24,988,752 since inception. The management has indicated that the ability to generate revenue and secure additional financing will be crucial for the company's future viability.

Looking ahead, CNBX Pharmaceuticals acknowledges the need for additional capital to support its operations and clinical development plans. The company may explore various financing options, including borrowing from shareholders or issuing equity. However, there is no assurance that it will be able to secure the necessary funds, which raises substantial doubt about its ability to continue operations in the long term. The management's forward-looking statements highlight the uncertainties surrounding market acceptance of its products and the competitive landscape, which will significantly influence the company's future performance.