Company: BIAF
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001641172-25-024163
Chunk: 10

Company: bioAffinity Technologies, Inc.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 8
Chunk 10
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AP. Operating results for the periods presented are not necessarily indicative
of the results that may be expected for the fiscal year ending December 31, 2025, or any future period. These unaudited condensed consolidated
financial statements should be read in conjunction with the audited annual consolidated financial statements and notes included in the
Annual Report on Form 10-K for the year ended December 31, 2024, filed with the SEC on March 31, 2025 (the “2024 Form 10-K”).

Liquidity
and Capital Resources

In
accordance with Accounting Standards Update (“ASU”) 2014-15, Presentation of Financial Statements – Going Concern
(Subtopic 205-40), the Company has evaluated whether there are conditions and events that raise substantial doubt about the Company’s
ability to continue as a going concern for at least one year after the date the condensed consolidated financial statements are issued.

The
Company has incurred significant losses and negative cash flows from operations since inception and expects to continue to incur losses
and negative cash flows for the foreseeable future. As a result, the Company had an accumulated deficit of approximately $60.4 million
at June 30, 2025. The Company’s cash and cash equivalents at June 30, 2025, were approximately $0.8 million. Based on the Company’s
current expected level of operating expenditures and the cash and cash equivalents on hand at June 30, 2025, management concludes that
there is substantial doubt about the Company’s ability to continue as a going concern for a period of at least twelve (12) months
subsequent to the issuance of the accompanying unaudited condensed consolidated financial statements. In May 2025, the Company completed
a public offering of its common stock pursuant to which the Company raised an additional $3.25 million in cash in gross proceeds. Without
funding from the proceeds of a capital raise or strategic relationship or grant, management anticipates that the Company’s current
cash resources are sufficient to continue operations through August 2025. The Company will need to raise further capital through the
sale of additional equity or debt securities or other debt instruments, strategic relationships or grants, or other arrangements to support
its future operations, if revenue from operations does not significantly increase. If such funding is not available or not available
on terms acceptable to the Company, the Company’s current development plan may be curtailed. Furthermore, an alternative source
of funding to the