Company: LNAI
Filing Date: 2025-02-19
Form Type: 10-Q/A
Source: 0001731122-25-000254
Chunk: 46

Company: Lunai Bioworks Inc.
Filing Date: 2025-02-19
Form: 10-Q/A
Chunk 46
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| Change in fair value of contingent consideration |     |                            |   9,250,000 |   |     |      |          — |   |     |                     |   9,250,000 |   |     |   |    100 | %  |
| Loss on extinguishment of debt                   |     |                            |           — |   |     |      |   (120,018 | ) |     |                     |    (120,018 | ) |     |   |   (100 | )% |
| Interest expense                                 |     |                            |    (250,080 | ) |     |      |   (179,271 | ) |     |                     |     (70,809 | ) |     |   |     39 | %  |
| Interest income and other income (expense)       |     |                            |     126,598 |   |     |      |      8,375 |   |     |                     |     118,223 |   |     |   |  1,412 | %  |
| Total Other Income (Expense)                     |     |                            |   9,126,518 |   |     |      |   (290,914 | ) |     |                     |   9,417,432 |   |     |   | (3,237 | )% |
| NET LOSS                                         |     |                          $ | (44,212,036 | ) |     |    $ | (9,175,028 | ) |     | $                   | (35,037,008 | ) |     |   |    382 | %  |

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Revenues

We are a pre-revenue, pre-clinical
biotechnology and artificial intelligence driven healthcare technology company. We have never generated revenues and have incurred losses
since inception. We do not anticipate earning any revenues until our therapies or products are approved for marketing and sale.

Expenses

Our operating expenses for the three months ended September 30, 2024 and 2023,
were $53,338,554 and $8,884,114, respectively, representing an increase of $44,454,440, or approximately 500%. The increase in operating
expenses primarily relates to goodwill impairment of $47,614,729 offset by the decrease in general and administrative expenses of
$2,988,959 and the decrease in research and development expenses of $176,455.