Company: LNAI
Filing Date: 2025-02-19
Form Type: 10-Q/A
Source: 0001731122-25-000254
Chunk: 45

Company: Lunai Bioworks Inc.
Filing Date: 2025-02-19
Form: 10-Q/A
Chunk 45
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Company had cash and cash equivalents of $220,571 and an accumulated deficit of $376,667,117 and a working capital deficit of $21,087,220.
These conditions raise substantial doubt about the Company’s ability to continue as a going concern for one year after the date
the financial statements are issued. The consolidated financial statements do not include any adjustments relating to the recoverability
and classification of recorded asset amounts and classification of liabilities that might be necessary should the Company be unable to
continue in existence.

Management has reduced overhead and administrative costs by streamlining the organization
to focus around the development and validation of its AI-driven cancer diagnostics platform. The Company has tailored its workforce to
focus on these activities. In addition, the Company intends to secure additional required funding through equity or debt financing. However,
there can be no assurance that the Company will be able to obtain any sources of funding. Such additional funding may not be available
or may not be available on reasonable terms, and, in the case of equity financing transactions, could result in significant additional
dilution to our stockholders. If we do not obtain required additional equity or debt funding, our cash resources will be depleted and
we could be required to materially reduce or suspend operations, which would likely have a material adverse effect on our business, stock
price and our relationships with third parties with whom we have business relationships, at least until additional funding is obtained.
If we do not have sufficient funds to continue operations, we could be required to seek bankruptcy protection or other alternatives that
could result in our stockholders losing some or all of their investment in us.

Funding that we may receive during
the fiscal year 2025 is expected to be used to satisfy existing and future obligations and liabilities and working capital needs, to support
commercialization of our products, to conduct the clinical and regulatory work to develop our product candidates, and to begin building
working capital reserves.

Results of Operations for the three months ended September 30, 2024 and 2023

The following table sets forth
our revenues, expenses and net loss for the three months ended September 30, 2024 and 2023. The financial information below is derived
from our unaudited condensed consolidated financial statements.

|                                                  |     | For the Three Months Ended 
              September 30, |             |   |     |      |            |   |     | Increase/(Decrease) |             |   |     |   |        |    |
|: