Company: CERO
Filing Date: 2025-08-22
Form Type: 10-Q
Source: 0001213900-25-079898
Chunk: 216

Company: CERO THERAPEUTICS HOLDINGS, INC.
Filing Date: 2025-08-22
Form: 10-Q
Item: Item 8
Chunk 216
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 derived from sales of product candidates that the Company does not expect to be commercially available in the
near term, if at all. Accordingly, the Company will need to continue to rely on additional financing to achieve its business objectives.
Adequate additional financing may not be available to the Company on acceptable terms, or at all. To the extent that the Company raises
additional capital through the sale of equity or convertible debt securities, the terms of these equity securities or this debt may restrict
the Company’s ability to operate. Any future debt financing and equity financing, if available, may involve covenants limiting
and restricting the ability to take specific actions, such as incurring additional debt, making capital expenditures, entering into profit-sharing
or other arrangements or declaring dividends. If the Company raises additional funds through collaborations, strategic alliances or marketing,
distribution or licensing arrangements with third parties, it may be required to relinquish valuable rights to its technologies, future
revenue streams, research programs or product candidates or to grant licenses on terms that may not be favorable to the Company. If the
Company is unable to raise capital when needed or on acceptable terms, the Company could be forced to delay, reduce or eliminate its
R&D programs or future commercialization efforts.

Cash
Flows

    For
    the Six Months Ended June 30,  

    2024  

    2025
    (Successor)  
    (Pro
    forma, Predecessor and Successor)  
    Difference 

    Net cash used in operating activities 
    $(9,068,702) 
    $(8,617,285) 
    $(451,417)
  
    Net cash provided by
    financing activities: 
     9,044,316  
     9,748,916  
     (704,600)
  
    Net
    (decrease) increase in cash, restricted cash and cash equivalents 
    $(24,386) 
    $1,131,631  
    $(1,156,017)

Net
cash used in operating activities

Net cash used in operating
activities for the six months ended June 30, 2025 primarily reflected a net loss of $10,523,000, adjusted for the reconciliation of non-cash
items such as depreciation expense of $146,000, stock-based compensation of $488,000, stock-based inducement expense of $864,000, and
amortization of right-of