Know Labs Reports $4.7 Million Net Loss and Decreased Operating Expenses for December 2024

Know Labs, Inc. reported a net loss of $4.7 million for the three months ending December 31, 2024, compared to a net loss of $3.5 million for the same period in 2023. The company's total operating expenses decreased by 20.9% to $2.8 million, driven primarily by a reduction in research and development costs, which fell to $802,000 from $1.5 million year-over-year. Selling, general, and administrative expenses also saw a slight decrease, totaling $1.97 million, down from $2.01 million. The company’s accumulated deficit as of December 31, 2024, stood at $143.4 million.

In terms of liquidity, Know Labs had cash and cash equivalents of $1.03 million as of December 31, 2024, down from $3.11 million at the end of the previous quarter. The company reported a net working capital deficit of approximately $4.17 million and anticipates that it will continue to incur losses for the foreseeable future. Management believes that the available cash will sustain operations until at least April 30, 2025. The company is actively seeking additional funding through equity and debt offerings to support its operations and development efforts.

Strategically, Know Labs has initiated the Know Labs Technology Licensing (KTL) program, aimed at leveraging its intellectual property portfolio, which includes over 330 patents. This initiative is designed to foster innovation and accelerate the adoption of its radio frequency dielectric spectroscopy technology across various industries. The company also launched a registered direct offering on December 12, 2024, raising approximately $300,000 through the sale of 1.25 million units, each consisting of one share of common stock and a warrant to purchase an additional share.

Operationally, Know Labs has focused on the development of its non-invasive glucose monitoring technology, with the KnowU™ prototype undergoing internal clinical testing. The company has reported a decrease in research and development expenses due to a reduction in personnel and a shift towards utilizing external consultants. As of December 31, 2024, Know Labs had seven full-time and part-time employees, reflecting a strategic decision to manage costs while continuing to advance its technology.

Looking ahead, Know Labs faces significant challenges, including the need for FDA clearance for its products and the ongoing requirement for capital to support its operations. The company has expressed a commitment to refining its technology and expanding its market presence, particularly in the medical diagnostics field, while also exploring opportunities in other sectors through its KTL initiative.