Company: BIAF
Filing Date: 2025-04-11
Form Type: S-1
Source: 0001641172-25-003892
Chunk: 98

Company: bioAffinity Technologies, Inc.
Filing Date: 2025-04-11
Form: S-1
Chunk 98
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 |           |   |     |   |     |   |
| Direct costs and expenses           |     |            $ |  5,983,475 |     |    $ |  1,740,884 |     | $              | 4,242,591 |   |     |   | 244 | % |
| Research and development            |     |              |  1,461,227 |     |      |  1,467,936 |     |                |    (6,709 | ) |     |   |   0 | % |
| Clinical development                |     |              |    321,655 |     |      |    256,661 |     |                |    64,994 |   |     |   |  25 | % |
| Selling, general and administrative |     |              |  9,943,473 |     |      |  6,790,654 |     |                | 3,152,819 |   |     |   |  46 | % |
| Depreciation and amortization       |     |              |    605,637 |     |      |    249,592 |     |                |   356,045 |   |     |   | 143 | % |
| Total operating expenses            |     |            $ | 18,315,467 |     |    $ | 10,505,727 |     | $              | 7,809,740 |   |     |   |  74 | % |

Operating expenses totaled $18.3 million and $10.5
million for the years ended December 31, 2024 and 2023, respectively. The increase in operating expenses is the result of the following
factors.

| 46 |

Direct Costs and Expenses

Our direct costs and expenses are primarily direct
labor for pathology services, laboratory supplies and reagents, laboratory equipment and allocated shared facilities. Direct costs and
expenses totaled approximately $6.0 million and $1.7 million during 2024 and 2023, respectively. The increase of approximately $4.3 million,
or 244%, was primarily attributable to the laboratory operations of PPLS being owned for the full fiscal year 2024, compared to approximately
3.5 months in fiscal year 2023.

Research and Development

Our research and development expenses consist primarily
of expenditures for lab operations, preclinical studies