What changed in this filing

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Item 1. Financial Statements

2025-05-13 compared with 2025-02-12 · 192 added, 127 removed, 366 unchanged (47% of the section changed)

2 unchanged sentences

CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

December 31, 2024

Anavex Life Sciences Corp.

Condensed Consolidated Interim Balance Sheets

(in thousands, except share and per share amounts)

September 30,

Cash and cash equivalents

Incentive and tax receivables

Prepaid expenses and other current assets

Liabilities and Stockholders’ Equity

Current Liabilities

Accounts payable

Accrued liabilities - Note 3

Deferred grant income - Note 4

Total Liabilities

Commitments and Contingencies - Note 6

Capital stock

March 31, 2025

Life Sciences Corp.

Consolidated Interim Balance Sheets

thousands, except share and per share amounts)

and cash equivalents

and tax receivables

expenses and other current assets

and Stockholders’ Equity

liabilities - Note 3

grant income - Note 4

and Contingencies - Note 6

preferred stock, par value $ 0.001 per share

common stock, par value $ 0.001 per share

Issued and outstanding:

common shares (September 30, 2024 - 84,795,517 )

Additional paid-in capital

Accumulated deficit

Total Stockholders’ Equity

Total Liabilities and Stockholders’ Equity

Accompanying Notes to Condensed Consolidated Interim Financial Statements

and outstanding:

common shares (2024 - 84,795,517 )

paid-in capital

Stockholders’ Equity

Liabilities and Stockholders’ Equity

See Accompanying Notes to Condensed Consolidated Interim Financial Statements

Anavex Life Sciences Corp.

1 unchanged sentence

(in thousands, except share and per share amounts)

Three months ended December 31,

Three months ended March 31,

Six months ended March 31,

Operating expenses

13 unchanged sentences

Basic and diluted

Accompanying Notes to Condensed Consolidated Interim Financial Statements

See Accompanying Notes to Condensed Consolidated Interim Financial Statements

Anavex Life Sciences Corp.

1 unchanged sentence

(in thousands, except share and per share amounts)

Three months ended December 31,

Six months ended March 31,

Cash Flows used in Operating Activities

9 unchanged sentences

Cash Flows provided by Financing Activities

Issuance of common shares

Proceeds from exercise of stock options

Net cash provided by financing activities

Net cash provided by (used in) financing activities

Decrease in cash and cash equivalents during the period

3 unchanged sentences

Cash paid for state and local franchise taxes

Accompanying Notes to Condensed Consolidated Interim Financial Statements

Common stock issued upon cashless exercise of stock option

See Accompanying Notes to Condensed Consolidated Interim Financial Statements

Anavex Life Sciences Corp.

Condensed Consolidated Interim Statements of Changes in Stockholders’ Equity

For the three months ended December 31, 2024 and 2023

For the three months ended March 31, 2025 and 2024

(in thousands, except share and per share amounts)

Share Proceeds

Paid-in Capital

Balance, January 1, 2025

Shares issued pursuant to exercise of

stock options

Shares issued pursuant to cashless

exercise of stock option

Shares withheld related to cashless

exercise of stock option and taxes

Share based compensation

Balance, March 31, 2025

Balance, January 1, 2024

Shares issued under 2023 purchase

Purchase shares

Commitment shares

Shares issued pursuant to exercise of

stock options

Share based compensation

Balance, March 31, 2024

See Accompanying Notes to Condensed Consolidated Interim Financial Statements

Anavex Life Sciences Corp.

Condensed Consolidated Interim Statements of Changes in Stockholders’ Equity

For the six months ended March 31, 2025 and 2024

(in thousands, except share and per share amounts)

Share Proceeds

Paid-in Capital

Balance, October 1, 2024

$ ( 336,071 )

Shares issued pursuant to exercise of stock options

Shares issued pursuant to

exercise of stock options

Shares issued pursuant to

cashless exercise of stock option

Shares withheld related to

cashless exercise of stock option

Share based compensation

Balance, December 31, 2024

$ ( 348,182 )

Balance, March 31, 2025

Balance, October 1, 2023

$ ( 293,069 )

Shares issued pursuant to exercise of stock options

Shares issued under 2023

Purchase Agreement

Purchase shares

Commitment shares

Shares issued pursuant to

exercise of stock options

Share based compensation

Balance, December 31, 2023

$ ( 301,691 )

Accompanying Notes to Condensed Consolidated Interim Financial Statements

Life Sciences Corp.

to the Condensed Consolidated Interim Financial Statements

31, 2024 – Page 1

Balance, March 31, 2024

See Accompanying Notes to Condensed Consolidated Interim Financial Statements

Anavex Life Sciences Corp.

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2025 Page 1

Note 1 Business Description

27 unchanged sentences

The Company follows the same accounting policies in the preparation of interim reports.

Operating results for the three months ended December

Operating results for the six months ended March 31,

2025 are not necessarily indicative of the results that may be expected for the year ending September 30, 2025.

19 unchanged sentences

on the timing of future clinical trials.

Life Sciences Corp.

to the Condensed Consolidated Interim Financial Statements

31, 2024 – Page 2

Anavex Life Sciences Corp.

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2025 Page 2

Other than our rights related to the 2023 Purchase

1 unchanged sentence

available, that it can be obtained on commercially reasonable terms.

If the Company is not able to obtain the additional financing on

a timely basis, if and when it is needed, it will be forced to delay or scale down some or all of its research and development activities.

The Company will need to obtain effectiveness of a new registration

statement in order to access the funds under the 2023 Purchase Agreement.

If the Company is not able to obtain the additional financing

on a timely basis, if and when it is needed, it will be forced to delay or scale down some or all of its research and development activities.

Use of Estimates

30 unchanged sentences

value drivers are unobservable by little or no market activity and that are significant to the fair value of the assets or liabilities.

At December 31, 2024 and September 30, 2024, the Company

At March 31, 2025 and September 30, 2024, the Company

did not have any Level 2 or Level 3 assets or liabilities.

Life Sciences Corp.

to the Condensed Consolidated Interim Financial Statements

31, 2024 – Page 3

Anavex Life Sciences Corp.

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2025 Page 3

Basic and Diluted Loss per Share

7 unchanged sentences

net loss per share because their effect would be anti-dilutive.

As of December 31, 2024 loss per share excludes 14,857,822

(December 31, 2023:

As of March 31, 2025 loss per share excludes 15,710,622

(March 31, 2024:

15,755,114 ) potentially dilutive common shares related to outstanding options and warrants, as their effect was anti-dilutive.

27 unchanged sentences

Note 4 Other Income

As of December 31, 2024,

the Company had received a $ 1 .0 million research grant awarded by the Michael J.

As of March 31, 2025, the

Company had received a $ 1.0 million research grant awarded by the Michael J.

Fox Foundation for Parkinson’s Research.

2 unchanged sentences

ended September 30, 2021.

Life Sciences Corp.

to the Condensed Consolidated Interim Financial Statements

31, 2024 – Page 4

The grant income has been

The grant income was

deferred when received and is being amortized to other income as the related research and development expenditures are incurred.

the three months ended December 31, 2024, the Company recognized $ 12,275 (three months ended December 31, 2023:

$ 0 ) of this grant on its

statements of operations within grant income.

At December 31, 2024 an amount of $ 0.8 million (September 30, 2024:

$ 0.8 million) of this

grant is recorded as deferred grant income, representing the amount of this grant which has not yet been amortized to other income.

Company will recognize this income on its statements of operations as the related expenditures are incurred to offset the income.

the three and six months ended March 31, 2025, the Company recognized $ 0 and $ 12,275 , respectively (three and six months ended March 31,

$ 0 ) of this grant on its statements of operations within grant income.

At March 31, 2025 an amount of $ 0.8 million (September 30,

$ 0.8 million) of this grant is recorded as deferred grant income, representing the amount of this grant which has not yet been amortized

to other income.

The Company will recognize this income on its statements of operations as the related expenditures are incurred to offset

Anavex Life Sciences Corp.

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2025 Page 4

Research and development

4 unchanged sentences

Anavex Australia, upon filing of a claim in connection with Anavex Australia’s annual income tax return.

During the three months ended

December 31, 2024, the Company recorded research and development incentive income of $ 0.4 million (AUD 0.6 million) (three months ended

December 31, 2023:

$ 0.6 million (AUD 0.9 million)) in respect of the Australia R&D credit for eligible research and development expenses

incurred during the period.

This amount is included within Other income (expense) on the condensed consolidated interim statements of

operations and comprehensive loss.

At December 31, 2024, Incentive

During the three and six

months ended March 31, 2025, the Company recorded research and development incentive income of $ 0.1 million (AUD 0.2 million) and $ 0.5

million (AUD 0.8 million), respectively (2024:

$ 0.5 million (AUD 0.7 million) and $ 1.1 million (AUD 1.6 million), respectively) in respect

of the Australia R&D credit for eligible research and development expenses incurred during the period.

This amount is included within

Other income (expense) on the condensed consolidated interim statements of operations and comprehensive loss.

At March 31, 2025, Incentive

and tax receivables includes $ 0.5 million (AUD 0.8 million) (September 30, 2024:

25 unchanged sentences

as declared at the discretion of the Board of Directors.

Life Sciences Corp.

to the Condensed Consolidated Interim Financial Statements

31, 2024 – Page 5

Preferred Stock

2 unchanged sentences

of shares constituting any series or the designation of the series.

Anavex Life Sciences Corp.

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2025 Page 5

2023 Purchase Agreement

13 unchanged sentences

on the statements of operations during the year ended September 30, 2023.

During the three months ended December 31, 2024 and

2023, the Company did not issue any shares of common stock under the 2023 Purchase Agreement.

At December 31, 2024, an amount of $ 110.8 million

remained available under the 2023 Purchase Agreement.

During the six months ended March 31, 2025, the Company

did not issue any shares of common stock under the 2023 Purchase Agreement (2024:

an aggregate of 1,503,707 shares of common stock including

1,500,000 shares for an aggregate purchase price of $ 7.4 million and 3,707 commitment shares).

At March 31, 2025, there was an unused amount of $ 110.8

million under the 2023 Purchase Agreement.

The Company will need to obtain effectiveness of a new registration statement in order to access

funds under the 2023 Purchase Agreement.

2020 Sales Agreement

3 unchanged sentences

stock registered under an effective registration statement from time to time through the Sales Agents (the “Offering”).

During the three months ended December 31, 2023, no

shares were sold pursuant to the Offering.

During the six months ended March 31, 2024, no shares

were sold pursuant to the Offering.

On July 24, 2024, the Company terminated the 2020

Sales Agreement.

Stock Options

During the three and six months ended March 31,

2025, the Company issued a net 217,503

shares of common stock to the Company’s Chief Executive Officer upon a net exercise of an option to purchase 500,000

shares of common stock at an exercise price of $ 0.92

In connection with the exercise, the Company withheld 47,745

shares of common stock as consideration of the exercise price of $ 0.46

million and 234,752

shares of common stock as consideration for the payment of $ 2.3

million in connection with tax withholding obligations associated with the exercise.

The shares withheld were based upon a market

price of $9.63 per share as determined by reference to the average high and low sales price reported on the Nasdaq stock exchange on

the date of exercise.

At March 31, 2025, the amount of $ 2.3

million in connection with the tax withholding obligations was included in accounts payable on the consolidated balance sheets.

Note 6 Commitments and Contingencies

2 unchanged sentences

Company is required to pay its proportionate share of operating costs.

Anavex Life Sciences Corp.

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2025 Page 6

operating lease costs were as follows (in thousands):

Schedule of operating lease costs

Three months ended December 31,

Three months ended March 31,

Six months ended March 31,

Operating lease costs

Life Sciences Corp.

to the Condensed Consolidated Interim Financial Statements

31, 2024 – Page 6

Employee 401(k) Benefit Plan

6 unchanged sentences

Schedule of contributions under the plan

Three months ended December 31,

Three Months Ended March 31,

Six Months ended March 31

Contributions to 401(k) plan

34 unchanged sentences

for any loss contingencies associated with this lawsuit as the Company believes that it is not probable that any loss will occur.

Life Sciences Corp.

to the Condensed Consolidated Interim Financial Statements

31, 2024 – Page 7

Anavex Life Sciences Corp.

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2025 Page 7

14, 2025, another derivative lawsuit asserting state law breach of fiduciary duty and unjust enrichment claims based upon similar allegations

was filed against the Company (as nominal defendant), an officer of the Company, and members of the Company’s Board of Directors

in the Supreme Court for the State of New York, County of New York, by another purported shareholder named Evan Levitan.

The parties to

that action also have stipulated to a stay of the proceeding until the Court rules on the motion to dismiss in the putative class action

lawsuit pending in the U.S.

District Court for the Southern District of New York.

The New York state court has not yet entered an order

pursuant to the stipulation of the parties.

No amount has been recorded in these condensed consolidated interim financial statements for

any loss contingencies associated with this lawsuit as the Company believes that it is not probable that any loss will occur.

We know of no

5 unchanged sentences

Share Purchase Warrants

At December 31, 2024 and September 30, 2024, the Company

At March 31, 2025 and September 30, 2024, the Company

had 10,000 share purchase warrants outstanding exercisable at $ 12.00 per share until April 21, 2026 .

24 unchanged sentences

than by reason of settlement of the awards in shares) will automatically become available for issuance under the 2022 Plan.

Anavex Life Sciences Corp.

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2025 Page 8

The 2022 Plan provides that it may be administered

6 unchanged sentences

periods as may be determined by the Board, subject to earlier termination in accordance with the terms of the 2022 Plan.

As at December

As at March 31,

2025, 6,751,000 options had been issued under the 2022 Plan and 3,978,702 options were available for issue under the 2022 Plan.

Life Sciences Corp.

to the Condensed Consolidated Interim Financial Statements

31, 2024 – Page 8

The following summarizes information about stock option

activity during the year ended September 30, 2024 and the three months ended December 31, 2024:

activity during the six months ended March 31, 2025:

Schedule of stock option activity

4 unchanged sentences

Outstanding, September 30, 2024

Outstanding, December 31, 2024

Exercisable, December 31, 2024

Outstanding, March 31, 2025

Exercisable, March 31, 2025

The following summarizes information about stock options

at December 31, 2024 by a range of exercise prices:

at March 31, 2025 by a range of exercise prices:

Schedule of summarizes information about stock options

Weighted average

Range of exercises prices

remaining contractual

life (in years)

exercise price

Number of outstanding

Weighted average remaining contractual life (in

Weighted average exercise

Number of vested

Weighted average exercise

The weighted average per share fair value of options

vested at December 31, 2024 was $ 4.42 (September 30, 2024:

At December 31, 2024, the weighted average contractual life of options

outstanding was 5.22 years (September 30, 2024:

vested at March 31, 2025 was $ 4.68 (September 30, 2024:

At March 31, 2024, the weighted average contractual life of options outstanding

was 5.59 years (September 30, 2024:

5.48 years) and for options exercisable was 4.16 years (September 30, 2024:

Anavex Life Sciences Corp.

Notes to the Condensed Consolidated Interim Financial Statements

March 31, 2025 Page 9

The aggregate intrinsic value is calculated as the

difference between the exercise price of the underlying awards and the quoted market price of the Company’s stock for the options

that were in-the-money at December 31, 2024.

The Company recognized share-based compensation

expense of $ 2.1 million during the three months ended December 31, 2024 (three months ended December 31, 2023:

$ 2.3 million) in connection

with the issuance and vesting of stock options in exchange for services.

These amounts have been included in general and administrative

expenses and research and development expenses on the Company’s condensed consolidated interim statements of operations as follows

(in thousands):

Life Sciences Corp.

to the Condensed Consolidated Interim Financial Statements

31, 2024 – Page 9

that were in-the-money at March 31, 2025.

The Company recognized share-based compensation expense of $ 1.4 million

and $ 3.5 million during the three and six months ended March 31, 2025, respectively (three and six months ended March 31, 2024:

$ 2.7 million

and $ 4.9 million, respectively) in connection with the issuance and vesting of stock options in exchange for services.

These amounts

have been included in general and administrative expenses and research and development expenses on the Company’s condensed consolidated

interim statements of operations as follows (in thousands):

Schedule of general and administrative expenses and research and development expenses

Three months ended December 31,

Three months ended March 31,

Six months ended March 31,

General and administrative

3 unchanged sentences

compensation is expected to be recorded over the remaining term of such options and warrants through fiscal 2029.

There were no stock options issued during the three

months ended December 31, 2024.

The fair value of each stock option award is estimated

1 unchanged sentence

The fair value of share-based compensation charges recognized during

the three months ended December 31, 2023 was determined with reference to the quoted market price of the Company’s shares on the

grant date and based on the following weighted average assumptions:

the three and six months ended March 31, 2025 was determined with reference to the quoted market price of the Company’s shares on

the grant date and based on the following weighted average assumptions:

Schedule of weighted average assumptions for fair value of each option award

9 unchanged sentences

are considered to be available to be issued at the time they are filed with the Securities and Exchange Commission (SEC).

There were no subsequent events or transactions that

required recognition or disclosure in the condensed consolidated interim financial statements.

On April 17, 2025, the Board approved, subject to

stockholder approval, an amendment to the 2022 Plan (the “Amendment”).

The Amendment, if approved by stockholders, will increase

the number of shares of common stock reserved for issuance under the 2022 Plan by 4,000,000 shares.

In addition, the Amendment will establish

a minimum vesting period of one year for all awards granted under the Plan and limit the discretion to accelerate the vesting of awards

upon a separation from service, with limited exceptions permitted.

Finally, the Amendment would prohibit liberal share recycling provisions.

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-Q

Item 1. Financial Statements