Company: ATHE
Filing Date: 2025-08-29
Form Type: 20-F
Source: 0001213900-25-082027
Chunk: 115

Company: ALTERITY THERAPEUTICS LTD
Filing Date: 2025-08-29
Form: 20-F
Item: Item 11
Chunk 115
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ITEM 11. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

We invest our excess cash and cash equivalents in interest-bearing accounts and term deposits with banks in Australia. Our management believes that the financial institutions that hold our investments are financially sound and accordingly, minimal credit risk exists with respect to these investments. Certain of our cash equivalents are subject to interest rate risk. Due to the short duration and conservative nature of these instruments, we do not believe that we have a material exposure to interest rate risk. Our major market risk is changes in foreign exchange rates as we had approximately A$1,544,448, A$225,722, and A$15,473,231 cash held in U.S. dollars, which is our major foreign currency, as of June 30, 2025, 2024 and 2023, respectively. A hypothetical 7.41% adverse movement, based on average of highest and lowest exchange rate during the year, would reduce the cash balance at the end of each year by approximately A$176,668.

We conduct our activities mostly in Australia and the USA. We are required to make certain payments in U.S. dollars and other currencies, however we believe an adverse movement in end-of-period exchange rates would not have a material impact on our operating results. In the twelve months ended June 30, 2025, the Australian dollar depreciated against the U.S. dollar by 1.77%. In the financial years 2024 and 2023, the Australian dollar depreciated by 0.35% and 3.6% against the U.S. dollar, respectively. A hypothetical 7.41% adverse movement in the U.S. dollar would increase the cost of our foreign currency payables by approximately A$56,635.

We do not currently utilize derivative financial instruments or other financial instruments subject to market risk.

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