Company: LNAI
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001731122-25-001544
Chunk: 94

Company: Lunai Bioworks Inc.
Filing Date: 2025-11-14
Form: 10-Q
Item: Part I, Item 8
Chunk 94
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 through equity or debt financing. However, there can be no assurance that the Company will be able to obtain any sources of funding.
Such additional funding may not be available or may not be available on reasonable terms, and, in the case of equity financing transactions,
could result in significant additional dilution to our stockholders. If we do not obtain required additional equity or debt funding, our
cash resources will be depleted and we could be required to materially reduce or suspend operations, which would likely have a material
adverse effect on our business, stock price and our relationships with third parties with whom we have business relationships, at least
until additional funding is obtained. If we do not have sufficient funds to continue operations, we could be required to seek bankruptcy
protection or other alternatives that could result in our stockholders losing some or all of their investment in us.

30

Funding that we may receive during
the fiscal year 2026 is expected to be used to satisfy existing and future obligations and liabilities and working capital needs, to support
commercialization of our products, to conduct the clinical and regulatory work to develop our product candidates, and to begin building
working capital reserves.

Results of Operations for the Three Months ended September 30, 2025
and 2024

The following table sets forth
our revenues, expenses and net income, loss for the three months ended September 30, 2025 and 2024. The financial information below is
derived from our unaudited condensed consolidated financial statements.

For the Three Months Ended

September 30,
 
Increase/(Decrease)

2025
 
2024
 
$
 
%

Operating Expenses

General and administrative
 
$
2,410,516

$
5,301,251

$
(2,890,735
)

(55
)%

Research and development

24,407

390,189

(365,782
)

(94
)%

Goodwill impairment

—

47,614,729

(47,614,729
)

(100
)%

Long-lived asset impairment

831,915

—

831,915

100
%

Depreciation and amortization

41,522

32,385

9,137

28
%

Total Operating Expenses

3,308.360

53,338,554

(50,030,194

(94
)%

LOSS FROM OPERATIONS

(3,308,360
)

(53,338,554
)

50,030,194