Company: LNAI
Filing Date: 2025-09-29
Form Type: 10-K
Source: 0001731122-25-001316
Chunk: 378

Company: Lunai Bioworks Inc.
Filing Date: 2025-09-29
Form: 10-K
Item: Item 3
Chunk 378
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, a decrease of $127,767, when compared to the June 30, 2024 balance of $220,467. This decrease was primarily
due to cash used in operating activities, partially offset by cash provided by financing activities.

We plan to use our cash and cash
equivalents to fund research and development, specifically to increase investment in the development and validation of our AI driven cancer
diagnostics platform. These activities will require an increase in selling, general and administrative costs, and research and development
costs to support the expected growth. As additional funds are required, we may raise such funds from time to time through public or private
sales of our equity or debt securities.

Cash
used in operating activities represents the cash receipts and disbursements related to all of our activities other than investing and
financing activities. Operating cash flow is derived by adjusting our net loss for non-cash items and changes in operating assets and
liabilities. Net cash used in operating activities for the years ended June 30, 2025 and 2024 was $7,874,647 and $10,971,430, respectively,
representing a decrease of $3,096,783. The decrease is primarily related to the changes in our operating assets and liabilities.

Net cash used in investing activities
for the years ended June 30, 2025 and 2024 was $500,000 and $1,260,179, respectively, representing an decrease of $760,179. The decrease
in cash used is primarily due to notes receivable prior to acquisition of Renovaro Cube of $1,255,600 in the prior period compared to
$500,000 used for investment in equity securities in year ended June 30, 2025.

61

Net cash provided by financing
activities for the years ended June 30, 2025 and 2024 was $8,382,772 and $10,517,455, respectively, representing a decrease of $2,134,683.
The net cash provided by financing activities in the current year consists primarily of $2,376,181 of proceeds from private placements,
$6,977,822 from the issuance of notes, and partially offset by repayments of $971,231 under a finance agreement. The
prior year net cash from financing activities primarily consisted of 3,000,000 of proceeds from private placements, $8,045,663
from the issuance of notes, and $341,865 of proceeds