Non-Invasive Monitoring Systems Reports $222,000 Net Loss for Fiscal Year Ending July 31, 2025

Non-Invasive Monitoring Systems, Inc. (NIMS), a Florida-based company, reported a net loss of $222,000 for the fiscal year ending July 31, 2025, compared to a loss of $113,000 in the previous year. This increase in net loss of $109,000 was primarily attributed to a significant accounts payable adjustment recognized in the prior fiscal year, which had reduced operating expenses. The company's accumulated deficit now stands at approximately $29.0 million, with cash reserves dwindling to $3,000 and negative working capital of about $947,000 as of the end of the reporting period.

The company has not engaged in any operational activities since discontinuing its product line in May 2019 and is currently classified as a shell company. General and administrative expenses decreased slightly to $160,000 from $177,000 year-over-year, reflecting reduced professional fees. However, total operating costs rose to $160,000 from $59,000, largely due to the aforementioned accounts payable adjustment. Interest expenses also increased to $62,000 from $54,000, related to promissory notes issued to related parties.

NIMS has been actively seeking potential mergers and acquisitions to revitalize its business. The company has outstanding notes payable to related parties totaling $595,000, which includes promissory notes to Frost Gamma Investments Trust and Dr. Jane Hsiao, both of whom are significant shareholders. The company has not made any payments on these notes, which accrue interest at a rate of 11% per annum, with maturity dates set for June 30, 2026. The lack of operational revenue and reliance on related party financing raises concerns about the company's ability to continue as a going concern without additional funding.

The company has faced challenges in maintaining timely SEC reporting, having failed to file its Annual Report on Form 10-K for the year ended July 31, 2025, and the subsequent Quarterly Report for the quarter ended October 31, 2025. Management has implemented measures to improve reporting timeliness but acknowledges the risk of future delays. The absence of an independent audit committee further complicates governance and oversight, as the board currently lacks independent directors to fulfill these critical roles.

Looking ahead, NIMS emphasizes the need for additional capital to sustain its operations and pursue strategic opportunities. The company has not declared any dividends and does not anticipate doing so in the foreseeable future. The volatility of its stock, which trades as a penny stock, poses additional risks for investors, as the market for its shares may not remain active or liquid. The company’s future remains uncertain, hinging on its ability to secure funding and successfully navigate its strategic initiatives.