Company: CDT
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001641172-25-010405
Chunk: 124

Company: CDT Equity Inc.
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 8
Chunk 124
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flow from operating assets and liabilities is primarily due to a $0.7 million cash outflow from accounts payable, a $0.2
million cash outflow from accrued expenses and other current liabilities, and a $0.3 million cash outflow from prepaid expenses and other
current assets.

Net
cash used in operating activities for the three months ended March 31, 2024, was $2.4 million, resulting primarily from a net loss
of $3.6 million, adjusted for non-cash items including $0.4 million of stock-based compensation, a $0.4 million of amortization
expense, a $0.5 million expense on the issuance of warrants and a $0.1 million interest expense of the deferred commission payable.
The $0.2 million cash outflow from operating assets and liabilities is primarily due to a $0.1 million cash inflow from accrued
expense and other current liabilities due to differences in the timing of disbursements and a $0.2 million cash outflow from prepaid
expenses.

Cash
Flows (Used) Provided by Investing Activities

Net
cash used in investing activities for the three months ended March 31, 2025 was $4,000, resulting from purchases of property, plant
and equipment of $4,000.

There
was no cash flow from investing activities for the three months ended March 31, 2024.

Cash
Flows Provided by Financing Activities

Net
cash provided by financing activities for the three months ended March 31, 2025 was $5.9 million, resulting from proceeds from the issuance
of common shares related to the ATM program of $8.1 million. This was offset by repayments of notes payable of $0.6 million, repayments
of convertible notes payable – related parties of $0.9 million and repayment of convertible notes payable of $0.6 million.

There
was no cash flow from financing activities for the three months ended March 31, 2024.

Contractual
Obligations and Other Commitments

Laboratory
Lease

We are the lessee under a
laboratory space lease. The annual rent payments are $0.1 million for the years ending December 31, 2025 and December 31, 2026. The laboratory
space lease has a remaining lease term of approximately two years.

34

Critical
Accounting Estimates

The
preparation of financial statements in conformity with U