Company: IXHL
Filing Date: 2025-02-14
Form Type: 10-Q
Source: 0001213900-25-013783
Chunk: 69

Company: Incannex Healthcare Inc.
Filing Date: 2025-02-14
Form: 10-Q
Item: Part I, Item 8
Chunk 69
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 from valuation techniques in
which one or more significant inputs or value drivers are unobservable.

8

Note 3 – Prepaid expenses and other current assets

    December 31,  2024 $  
    June 30, 2024 $ 

    (in thousands) 
  
    Prepayments1 
     174  
     329 
  
    GST recoverable 
     243  
     178 
  
    Total prepaid expenses and other current assets 
     417  
     507 

  1 Prepayments consist of prepaid clinical trial insurances, prepaid R&D expenditure relating to PSX-001 and IHL-675A clinical trials and scientific, marketing, and advertising subscription services. 

Note 4 – Assets pledged as security for short-term debt

    December 31,  2024 $  
    June 30, 2024 $ 

    (in thousands) 
  
    Assets pledged as security for short-term debt 
     1,383  
     - 

The amount consists of R&D tax incentive receivables,
as detailed under Note 5, which have been pledged to FC Credit Pty Ltd (“FC Credit”) as part of the facility agreement detailed
under Note 12.

Note 5 – R&D tax incentive receivable

    December 31,  2024 $  
    June 30, 2024 $ 

    (in thousands) 
  
    R&D tax incentive receivable 
     6,606  
     9,837 

Based on multiple years of tax incentives granted
and the successful lodgment of overseas findings related to the Company’s lead assets, the Company revised its estimates for the
R&D tax incentive receivable, primarily based on historical experience with similar claims. These amounts exclude the portion of R&D
tax incentive receivable pledged as security for the facility agreement as detailed in Note 4.

Note 6 – Property, Plant and Equipment, net

    December 31,  2024 $  
    June 30, 2024 $ 

    (in thousands) 
  
    Furniture, fittings and equipment 
     560  
     597 
  
    Assets under construction 
     -  
     - 
  
    Total property, plant and equipment, gross 
     560  
     597 
  
    Accumulated depreciation and amortization 
     (287)