InspireMD, Inc. 10-Q

Item 1. Financial Statements INSPIREMD, INC. CONDENSED CONSOLIDATED FINANCIAL STATEMENTS AS OF AND FOR THE QUARTER ENDED MARCH 31, 2025 TABLE OF CONTENTS Page CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED): Consolidated Balance Sheets F-2 - F-3 Consolidated Statements of Operations F-4 Consolidated Statements of Changes in Equity F-5 Consolidated Statements of Cash Flows F-7 Notes to the condensed Consolidated Financial Statements F-8 - F-14 F- 1 INSPIREMD, INC. CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (U.S. dollars in thousands, except share and per share data) March 31 December 31 2025 2024 ASSETS CURRENT ASSETS: Cash and cash equivalents $ 12,383 $ 18,916 Marketable securities 13,703 15,721 Accounts receivable: Trade, net 1,580 1,572 Other 763 682 Prepaid expenses 893 1,060 Inventory 2,822 2,570 TOTAL CURRENT ASSETS 32,144 40,521 NON-CURRENT ASSETS: Long term deposit 430 426 Property, plant and equipment, net 2,736 2,371 Operating lease right of use assets 2,225 2,360 Fund in respect of employee rights upon retirement 1,137 1,129 TOTAL NON-CURRENT ASSETS 6,528 6,286 TOTAL ASSETS $ 38,672 $ 46,807 F- 2 INSPIREMD, INC. CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (U.S. dollars in thousands, except share and per share data) March 31 December 31 2025 2024 LIABILITIES AND EQUITY CURRENT LIABILITIES: Accounts payable and accruals: Trade 1,727 1,254 Other 5,640 6,424 TOTAL CURRENT LIABILITIES 7,367 7,678 LONG-TERM LIABILITIES- Operating lease liabilities net of current maturities 1,639 1,796 Liability for employee rights upon retirement and others 1,321 1,247 TOTAL LONG-TERM LIABILITIES 2,960 3,043 TOTAL LIABILITIES 10,327 10,721 COMMITMENTS AND CONTINGENT LIABILITIES - - EQUITY: Common stock, par value $ 0.0001 per share; 150,000,000 shares authorized at March 31, 2025 and December 31, 2024; 29,752,661 and 26,611,033 shares issued and outstanding at March 31, 2025 and December 31, 2024, respectively 3 3 Preferred C shares, par value $ 0.0001 per share; 1,172,000 shares authorized at March 31, 2025 and December 31, 2024; 1,718 shares issued and outstanding at March 31, 2025 and December 31 2024 - * - * Additional paid-in capital 293,014 289,589 Accumulated deficit ( 264,672 ) ( 253,506 ) Total equity 28,345 36,086 Total liabilities and equity $ 38,672 $ 46,807 * Represents an amount less than $1 thousand The accompanying notes are an integral part of the condensed consolidated financial statements. F- 3 INSPIREMD, INC. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) (U.S. dollars in thousands, except share and per share data) 2025 2024 3 Months Ended March 31, 2025 2024 REVENUES $ 1,529 $ 1,511 COST OF REVENUES 1,237 1,219 GROSS PROFIT 292 292 OPERATING EXPENSES: Research and development 4,059 2,625 Selling and marketing 2,750 1,237 General and administrative 4,943 3,844 Total operating expenses 11,752 7,706 LOSS FROM OPERATIONS ( 11,460 ) ( 7,414 ) FINANCIAL INCOME, net 294 382 NET LOSS $ ( 11,166 ) $ ( 7,032 ) NET LOSS PER SHARE - basic and diluted ( 0.22 ) ( 0.21 ) WEIGHTED AVERAGE NUMBER OF ORDINARY SHARES USED IN COMPUTING NET LOSS PER SHARE - basic and diluted 49,993,509 34,242,976 The accompanying notes are an integral part of the condensed consolidated financial statements. F- 4 INSPIREMD, INC. CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY (Unaudited) (U.S. dollars in thousands, except share data) Shares Amount Shares Amount capital deficit equity Common stock Preferred C shares Additional paid-in Accumulated Total Shares Amount Shares Amount capital deficit equity BALANCE AT January 1, 2024 21,841,215 2 1,718 - * 261,000 ( 221,501 ) 39,501 Net loss - ( 7,032 ) ( 7,032 ) Share-based compensation related to restricted stock, restricted stock units and stock options award, net of forfeitures of 75,090 shares 1,571,170 - * - 2,618 2,618 BALANCE AT March 31, 2024 23,412,385 2 1,718 - * 263,618 ( 228,533 ) 35,087 * Represents an amount less than $1 thousand F- 5 INSPIREMD, INC. CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY (Unaudited) (U.S. dollars in thousands, except share data) Common stock Preferred C shares Additional paid-in Accumulated Total Shares Amount Shares Amount capital deficit equity BALANCE AT January 1, 2025 26,611,033 3 1,718 - * 289,589 ( 253,506 ) 36,086 Balance, value 26,611,033 3 1,718 - * 289,589 ( 253,506 ) 36,086 Net loss - ( 11,166 ) ( 11,166 ) Exercise of pre-funded warrants 643,860 - * - - * Issuance of common stock, included at the market offering net of $ 22 issuance costs 273,621 - * - 69 6 69 6 Share-based compensation related to restricted stock, restricted stock units and stock options award, net of forfeitures of 29,295 shares 2,224,147 - * - 2,729 2,729 Share-based compensation related to stock, restricted stock, restricted stock units and stock options award, net of forfeitures 2,224,147 - 2,729 2,729 BALANCE AT March 31, 2025 29,752,661 3 1,718 - * 293,014 ( 264,672 ) 28,345 Balance, value 29,752,661 3 1,718 - * 293,014 ( 264,672 ) 28,345 * Represents an amount less than $1 thousand The accompanying notes are an integral part of the condensed consolidated financial statements. F- 6 INSPIREMD, INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) (U.S. dollars in thousands) 2025 2024 Three months ended March 31 2025 2024 CASH FLOWS FROM OPERATING ACTIVITIES: Net loss $ ( 11,166 ) $ ( 7,032 ) Adjustments required to reconcile net loss to net cash used in operating activities: Depreciation 98 69 Change in fair value of markable securities, net of interest received ( 73 ) ( 218 ) Change in liability for employees rights upon retirement 74 66 Other financial expenses (income) ( 55 ) 4 Change in operating right of use asset and operating leasing liability 119 ( 25 ) Share-based compensation expenses 2,729 2,618 Loss on amounts funded in respect of employee rights upon retirement, net 22 14 Changes in operating asset and liability items: Decrease in prepaid expenses 167 47 Decrease (Increase) in trade receivables ( 8 ) 617 Decrease in other receivables 109 165 Increase in inventory ( 252 ) ( 254 ) Increase (decrease) in trade payables 473 ( 280 ) Decrease in other payables ( 1,029 ) ( 855 ) Net cash used in operating activities ( 8,792 ) ( 5,064 ) CASH FLOWS FROM INVESTING ACTIVITIES: Purchase of property, plant and equipment ( 359 ) ( 195 ) Investments in marketable securities ( 6,909 ) ( 1,960 ) Proceeds from matured marketable securities 9,000 7,000 Amounts funded in respect of employee rights upon retirement ( 30 ) ( 28 ) Net cash provided by investing activities 1,702 4,817 CASH FLOWS FROM FINANCING ACTIVITIES: Proceeds from issuance of shares, net of $ 22 issuance costs 506 - Net cash provided by financing activities 506 - EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS 51 ( 4 ) DECREASE IN CASH AND CASH EQUIVALENTS ( 6,533 ) ( 251 ) BALANCE OF CASH AND CASH EQUIVALENTS AT BEGINNING OF THE PERIOD 18,916 9,640 BALANCE OF CASH AND CASH EQUIVALENTS AT END OF THE PERIOD $ 12,383 $ 9,389 SUPPLEMENT NON-CASH INVESTING AND FINANCING ACTIVITIES: Receivable on account of share issuance 190 - Non-cash purchase of property and equipment 104 - The accompanying notes are an integral part of the condensed consolidated financial statements. F- 7 INSPIREMD, INC. UNAUDITED NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS NOTE 1 - DESCRIPTION OF BUSINESS a. General InspireMD, Inc., a Delaware corporation (the “Company”), together with its subsidiaries, is a medical device company focusing on the development and commercialization of its proprietary MicroNet™ stent platform technology for the treatment of complex vascular and coronary disease. MicroNet, a micron mesh sleeve, is wrapped over a stent to provide embolic protection in stenting procedures. The Company’s carotid product (CGuard™ EPS) combines MicroNet and a self-expandable nitinol stent in a single device to treat carotid artery d isease. The Company markets its product through distributors in international markets, mainly in Europe and is seeking FDA approval for its CGuard Prime carotid stent system to enter the U.S. market. b . Liquidity The Company has an accumulated deficit as of March 31, 2025, as well as a history of net losses and negative operating cash flows. The Company expects to continue incurring losses and negative cash flows from operations until its product, CGuard™ EPS, reaches commercial profitability. As a result of these expected losses and negative cash flows from operations, along with the Company’s current cash position, the Company does not have sufficient resources to fund operations for at least the next 12 months. Therefore, there is substantial doubt about the Company’s ability to continue as a going concern. These condensed consolidated financial statements have been prepared assuming that the Company will continue as a going concern and do not include any adjustments that might result from the outcome of this uncertainty. Management’s plans include the continued commercialization of the Company’s product and raising capital through the sale of additional equity securities, debt or capital inflows from strategic partnerships and exercises of warrants. There are no assurances however, that the Company will be successful in obtaining the level of financing needed for its operations. If the Company is unsuccessful in commercializing its products and raising capital, it may need to reduce activities, curtail or cease operations. c. Risks Related to the Company’s Operations in Israel In October 2023, Israel was attacked by a terrorist organization and entered a state of war on several fronts. As of the date of these consolidated financial statements, sustained conflict in the region is ongoing and Israel has entered into certain ceasefires, the results of which are uncertain. The Company operations, including its current production facility, are located in Israel. Currently, such activities in Israel remain largely unaffected. During the three months ended March 31, 2025 and 2024, the impact of this war on the Company’s results of operations and financial condition was immaterial, but such impact may increase, which could be material, as a result of the continuation, escalation or expansion of such war. d. Risks Related to the Geopolitical and Military Tensions Between Russia and Ukraine in Europe The escalation of geopolitical instability in Russia and Ukraine as well as currency fluctuations in the Russian Ruble has immaterial impact on the Company’s operations, sales, and future growth prospects in that region as for three months ended March 31, 2025. NOTE 2 - BASIS OF PRESENTATION The accompanying unaudited consolidated financial statements have been prepared on the same basis as the annual consolidated financial statements. In the opinion of the Company, the financial statements reflect all adjustments, which include only normal recurring adjustments, necessary for a fair statement of its financial position as of March 31, 2025 and its results of operations, changes in equity and cash flows for the three months ended March 31, 2025 and 2024. These condensed consolidated financial statements and notes thereto are unaudited and should be read in conjunction with the Company’s audited financial statements for the year ended December 31, 2024, as found in the Company’s Annual Report on Form 10-K, filed with the Securities and Exchange Commission on March 12, 2025. The results of operations for the three months ended March 31, 2025 are not necessarily indicative of results that could be expected for the entire fiscal year. F- 8 NOTE 3 - RECENTLY ADOPTED AND ISSUED ACCOUNTING PRONOUNCEMENTS Recently issued accounting pronouncement, not yet adopted 1) In December 2023, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2023-09 “Income Taxes (Topic 740): Improvements to Income Tax Disclosures”. This guidance is intended to enhance the transparency and decision-usefulness of income tax disclosures. The amendments in ASU 2023-09 address investor requests for enhanced income tax information primarily through changes to disclosure regarding rate reconciliation and income taxes paid both in the U.S. and in foreign jurisdictions. ASU 2023-09 is effective for fiscal years beginning after December 15, 2024 on a prospective basis, with the option to apply the standard retrospectively. Early adoption is permitted. The Company is currently evaluating this guidance to determine the impact it may have on its consolidated financial statements and disclosures. 2) In November 2024, the FASB issued ASU No. 2024-03 Income Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures (Subtopic 220-40). The ASU improves the disclosures about a public business entity’s expenses and provides more detailed information about the types of expenses in commonly presented expense captions. The amendments require that at each interim and annual reporting period an entity will, inter alia, disclose amounts of purchases of inventory, employee compensation, depreciation and amortization included in each relevant expense caption (such as cost of sales, G&A, S&M and research and development) as well as disclosures about selling expenses. The ASU is effective for fiscal years beginning after December 15, 2026, and interim periods within fiscal years beginning after December 15, 2027. Early adoption is permitted. The Company is currently evaluating this ASU to determine its impact on the Company’s financial statements and disclosures. NOTE 4 – FAIR VALUE MEASUREMENTS Fair value is based on the price that would be received from the sale of an asset or that would be paid to transfer a liability in an orderly transaction between market participants at the measurement date. In order to increase consistency and comparability in fair value measurements, the guidance establishes a fair value hierarchy that prioritizes observable and unobservable inputs used to measure fair value into three broad levels, which are described as follows: Level 1: Quoted prices (unadjusted) in active markets that are accessible at the measurement date for assets or liabilities. The fair value hierarchy gives the highest priority to Level 1 inputs. Level 2: Observable prices that are based on inputs not quoted on active markets but corroborated by market data. Level 3: Unobservable inputs are used when little or no market data is available. The fair value hierarchy gives the lowest priority to Level 3 inputs. F- 9 The Company’s financial assets subject to fair value measurements on a recurring basis and the level of inputs used in such measurements were as follows: SCHEDULE OF FINANCIAL ASSETS SUBJECT TO FAIR VALUE MEASUREMENTS Total Level 1 Level 2 As of March 31, 2025 ($ in thousands) Total Level 1 Level 2 Level 3 Assets: Cash equivalents- Money market funds $ 5,409 $ 5,409 - - Marketable securities- U.S government bonds $ 13,703 - $ 13,703 - Total Level 1 Level 2 Level 3 As of December 31, 2024 ($ in thousands) Total Level 1 Level 2 Level 3 Assets: Cash equivalents- Money market funds $ 6,281 $ 6,281 $ - $ - Cash equivalents $ 6,281 $ 6,281 $ - $ - Marketable securities- U.S government bonds $ 15,721 $ - $ 15,721 $ - Marketable securities $ 15,721 $ - $ 15,721 $ - The Company’s cash equivalents and marketable securities are classified within Level 1 and Level 2 because it uses quoted market prices or alternative pricing sources and models utilizing market observable inputs to determine their fair value. The cost of marketable securities as of March 31, 2025 and December 31,2024 is $ 13,460 and $ 15,277 thousand, respectively. F- 10 NOTE 5 - MARKETABLE SECURITIES As of March 31, 2025 and December 31, 2024, all of the Company’s marketable securities had contractual maturities of less than one year. The fair value of these securities was $ 13.7 million and $ 15.7 million as of March 31, 2025 and December 31, 2024, respectively. The table below sets forth a summary of the changes in the fair value of the Company’s marketable securities for the three-month period ended March 31, 2025 and 2024: SCHEDULE OF CHANGES IN FAIR VALUE OF MARKETABLE SECURITIES Three months ended March 31, 2025 Three months ended March 31, 2024 ($ in thousands) Balance at beginning of the period $ 15,721 $ 29,383 Additions 6,909 1,960 Maturity ( 9,000 ) ( 7,000 ) Interest Received ( 69 ) ( 75 ) Changes in fair value during the period 142 293 Balance at end of the period $ 13,703 $ 24,561 The Company elected the fair value option to measure and recognize its investments in debt securities in accordance with Accounting Standards Codification (“ASC 825”), Financial Instruments as the Company manages its portfolio and evaluates the performance on a fair value basis. NOTE 6 - EQUITY : a. As of March 31, 2025, there were 1,718 shares of Series C preferred stock outstanding, convertible into an aggregate of 7,952 shares of the Company’s common stock, with a total stated value of $ 10,997 . b. As of March 31, 2025, there are 25,503,438 outstanding pre-funded warrants. c. As of March 31, 2025, the Company has outstanding warrants to purchase an aggregate of 40,268,464 shares of common stock as follows: SCHEDULE OF ISSUANCE OF WARRANTS TO PURCHASE COMMON STOCK Number of underlying Common stock Exercise price Expiration date Series F Warrants 433,878 $ 7.4250 June 5, 2025-October 16, 2025 Series G Warrants 1,092,344 $ 10.230 February 8, 2026 Series I Warrants 12,914,078 $ 1.3827 * Series J Warrants 12,914,086 $ 1.3827 * Series K Warrants 12,914,078 $ 1.3827 * Total Warrants 40,268,464 * The Series I Warrants, Series J Warrants and Series K Warrants have a term of the earlier of (i) May 15, 2028 and (ii) (A) in the case of the Series I Warrants, 20 trading days following the Company’s announcement of receipt of Premarket Approval from the Food and Drug Administration (“FDA”) for the CGuard Prime Carotid Stent System (135 cm), (B) in the case of the Series J Warrants, 20 trading days following the Company’s announcement of receipt of FDA approval for the SwitchGuard and CGuard Prime 80 and (C) in the case on the Series K Warrants, 20 trading days following the end of the fourth fiscal quarter after the fiscal quarter in which the first commercial sales of the CGuard Carotid Stent System in the United States begins. As of March 31, 2025, the Company had 155,000,000 authorized shares of capital stock, par value $ 0.0001 per share, of which 150,000,000 are shares of common stock and 5,000,000 are shares of “blank check” preferred stock. d. During the three months ended March 31, 2025, the Company granted 2,253,445 restricted shares of the Company’s common stock to employees and directors. The shares to employees are subject to a three-year vesting period, with one-third of such awards vesting each year. The shares to directors are subject to a one-year vesting period. The fair value of the above restricted shares was approximately $ 6.22 million. During the three months ended March 31, 2025, the Company granted 558,417 restricted share units of the Company’s common stock to the chief executive officer. The restricted share units are subject to a three-year vesting period, with one-third of such awards vesting each year. The fair value of the above restricted share units was approximately $ 1.54 million During the three months ended March 31, 2025, the Company granted to employees and directors options to purchase a total of 848,207 shares of the Company’s common stock. The options have an exercise price of $ 2.76 per share, which was the fair market value of the Company’s common stock on the respective dates of the grant. The options to employees are subject to a three-year vesting period, with one-third of such awards vesting each year. The options to directors are subject to a one-year vesting period. In calculating the fair value of the above options, the Company used the following assumptions: dividend yield of 0 % and expected term of 5.5 - 6.5 years; expected volatility ranging from 91.27 %- 92.69 %; and risk-free interest rate ranging from 4.57 %- 4.68 %. The fair value of the above options, using the Black-Scholes option-pricing model, was approximately $ 1.81 million. F- 11 NOTE 7 – RELATED PARTIES TRANSACTIONS During the three months ended March 31, 2025 and 2024, a member of the immediate family of the CEO provided certain administrative services in connection with the Company’s expansion to the U.S. in the amount of $ 24 thousand and $ 15 thousand, respectively. NOTE 8 - NET LOSS PER SHARE : Basic and diluted net loss per share is computed by dividing the net loss for the period by the weighted average number of shares of common stock, pre-funded warrants and fully vested restricted stock units outstanding during the period. The calculation of diluted net loss per share excludes the effect of potential dilution of share options, warrants, and unvested restricted stocks, unvested restricted stock units and Series C preferred stock as the effect is anti-dilutive. The total number of shares of common stock related to outstanding options, warrants, unvested restricted stock, unvested restricted stock units and Series C preferred stock, which were excluded from the calculations of diluted loss per share were 52,233,293 and 62,556,668 for the three month period ended March 31, 2025 and 2024. This amount includes 5,671,612 and 4,611,500 of unvested restricted stock included in the number of issued and outstanding shares as of March 31, 2025 and 2024. For the purpose of calculating basic net loss per share, the additional shares of common stock that are issuable upon exercise of the pre-funded warrants have been included since the shares are issuable for a negligible consideration, as determined by the Company according to ASC 260-10-45-13, and have no vesting or other contingencies associated with them. For the three months ended March 31, 2025 and 2024, the weighted average number of ordinary shares used in computing net loss per share - basic and diluted was as follows: SCHEDULE OF WEIGHTED AVERAGE NUMBER OF SHARES March 31, 2025 March 31, 2024 Weighted average number of ordinary shares 23,521,534 18,800,131 Weighted average Vested restricted stock units 725,292 188,222 Weighted average Pre-funded Warrants 25,746,683 15,254,623 Total Weighted average number of ordinary shares used in computing net loss per share - basic and diluted 49,993,509 34,242,976 NOTE 9 - FINANCIAL INSTRUMENTS : a. Fair value of financial instruments The carrying amounts of financial instruments approximate their fair value either because these amounts are presented at fair value, due to the relatively short-term maturities of certain instruments or they are measured using interest rates close to prevailing market rates. b. As of March 31, 2025, and December 31, 2024, allowance for expected credit loss was immaterial. NOTE 10 - INVENTORY : SCHEDULE OF INVENTORIES March 31, 2025 December 31, 2024 ($ in thousands) Finished goods $ 54 $ 18 Work in process 823 638 Raw materials and supplies 1,945 1,914 Total inventory $ 2,822 $ 2,570 F- 12 NOTE 11 - ACCOUNTS PAYABLE AND ACCRUALS - OTHER : SCHEDULE OF ACCOUNTS PAYABLE AND ACCRUALS - OTHER March 31, 2025 December 31, 2024 ($ in thousands) Employees and employee institutions $ 2,493 $ 3,414 Accrued vacation and recreation pay 536 369 Accrued expenses 821 1,325 Clinical trial accrual 890 519 Current Operating lease liabilities 683 542 Other 217 255 Accounts Payable and Accruals - Other $ 5,640 $ 6,424 NOTE 12 - DISAGGREGATED REVENUE : Revenues are attributed to geographic areas based on the location of the customers. The following is a summary of revenues: SCHEDULE OF REVENUES ATTRIBUTED TO GEOGRAPHIC AREAS 2025 2024 Three months ended March 31 2025 2024 ($ in thousands) Italy $ 262 $ 295 Germany 242 242 Poland 226 152 Other * 799 822 Revenues $ 1,529 $ 1,511 * Other countries don’t exceed 10% in the three months ended March 31, 2025 and 2024. By principal customers: SCHEDULE OF REVENUES ATTRIBUTED TO GEOGRAPHIC AREAS BY PRINCIPAL CUSTOMERS 2025 2024 Three months ended March 31 2025 2024 Customer A 16 % 16 % Customer B 9 % 12 % Customer C 15 % 10 % Sales percentage 15 % 10 % NOTE 13 – SEGMENT INFORMATION The Company has one operating and reporting segment, that develops, manufactures and markets products for the treatment of carotid artery disease and other vascular disease, including the Company’s proprietary CGuard™ stent platform. The Company’s Chief Operating Decision Maker (“CODM”), who is the CEO evaluates the Company’s performance based on its internal reporting which is consistent with the presentation in the Company’s consolidated financial statements. Accordingly, our CODM uses consolidated net income to measure segment profit or loss, allocate resources, and assess performance. The CODM examines, within each operational function the employee salaries including the bonus and share based compensation. In addition, the CODM examines the clinical trials expenses within the research and development operations. F- 13 SCHEDULE OF SEGMENT REVENUE 2025 2024 Three months ended March 31, 2025 2024 Revenues 1,529 1,511 Cost of Revenues: Material and Labor 1,025 974 Other cost of revenues 212 245 Total Cost of Revenues 1,237 1,219 Research and development (R&D) Payroll and Benefits 855 683 Share based compensation 668 468 Clinical trials 1,160 784 Other R&D 1,376 690 Total Research and development 4,059 2,625 Selling and marketing (S&M) Payroll and Benefits 1,979 822 Share based compensation 217 250 Other S&M 554 165 Total Selling and marketing 2,750 1,237 General and administrative (G&A) Payroll and Benefits 1,676 915 Share based compensation 1,779 1,784 Other G&A 1,488 1,145 Total General and administrative 4,943 3,844 Financial Income, net; 294 382 Segment net Loss ( 11,166 ) ( 7,032 ) NOTE 14 - SUBSEQUENT EVENTS : Subsequent to March 31,2025, the Company granted to 348,370 restricted shares of the Company’s common stock to employees. The shares to employees are subject to a three 3 -year vesting period, with one-third of such awards vesting each year. Subsequent to March 31,2025, one of the Company’s investors exercised pre-funded warrants to purchase 767,693 shares of the Company common stock. F- 14