Company: IXHL
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001213900-25-043682
Chunk: 39

Company: Incannex Healthcare Inc.
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 1
Chunk 39
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 Policies – Going Concern Basis

Off-Balance Sheet Arrangements 

We did not have, during the periods presented,
and we do not currently have, any off-balance sheet arrangements, as defined in the rules and regulations of the SEC.

27

Cash Flows 

Comparison of cash flows for the for the nine months ended March
31, 2025 and nine months ended March 31, 2024

The following table summarizes our
cash flows for the periods presented (in thousands):

    For the  Nine Months  Ended March 31, 2025  
    For the  Nine Months  Ended March 31, 2024 
  
    Net cash used in operating activities 
    $(11,031) 
    $(12,203)
  
    Net cash used in investing activities 
     (8) 
     (274)
  
    Net cash provided by financing activities 
     11,794  
     - 
  
    Net (decrease)/increase in cash 
    $755  
    $(12,477)

Net cash flows from operating activities

Cash used in operating activities decreased by
$1.2 million for the nine months ended March 31, 2025, compared to the nine months ended March 31, 2024. The decrease due to …

Net cash flows from investing activities

Cash used in investing activities decreased by
$0.3 million for the nine months ended March 31, 2025 compared to the nine months ended March 31, 2024. The decrease was due to reduced
spending on property, plant and equipment.

Cash flows from financing activities

Cash used in financing activities increased by
$11.8 million for the nine months ended March 31, 2025 and the nine months ended March 31, 2024.

Critical Accounting Policies and
Estimates

Our management’s discussion and analysis
of our financial condition and results of operations is based on our unaudited interim condensed consolidated financial statements as
of March 31, 2025, which have been prepared in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”).
The preparation of these unaudited interim condensed consolidated financial statements requires our management to make judgments and estimates
that affect the reported amounts of assets, liabilities, costs and expenses, and the disclosure of contingent assets and liabilities during
the reporting periods. We base our estimates on historical experience, known trends and events, and various