Company: IXHL
Filing Date: 2025-09-29
Form Type: 10-K
Source: 0001213900-25-092837
Chunk: 314

Company: Incannex Healthcare Inc.
Filing Date: 2025-09-29
Form: 10-K
Item: Item 1A
Chunk 314
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, in the future, we expect to derive a significant portion of our net
revenue and incur a significant portion of our operating costs inside the United States, and changes in exchange rates may have a significant,
and potentially adverse, effect on our results of operations. Changes in foreign currency exchange rates could reduce our revenues or
increase our liabilities and costs. We could therefore suffer losses solely as a result of exchange rate fluctuations. We cannot assure
you that we will be able to manage these risks effectively or that they will not have an adverse effect on our business, financial condition
or results of operations.

There is a scarcity of experienced professionals
in our industry. If we are not able to retain and recruit personnel with the requisite technical skills, we may be unable to successfully
execute our business strategy.

The specialized nature of our industry results
in an inherent scarcity of experienced personnel in the field. Our future success depends upon our ability to attract and retain highly
skilled personnel, including scientific, technical, laboratory, sales, marketing, business, regulatory, and administrative personnel necessary
to support our anticipated growth, develop our business, and perform certain contractual obligations. Given the scarcity of professionals
with the scientific knowledge that we require and the competition for qualified personnel among life science businesses, we may not succeed
in attracting or retaining the personnel we require to continue and grow our operations. If we are not able to attract and retain necessary
personnel and consultants to accomplish our business objectives, we may experience constraints that will significantly impede the achievement
of our development and commercial objectives, our ability to raise additional capital and our ability to implement our business strategy.

Our industry has experienced a high rate of turnover
of management personnel in recent years. We are highly dependent on the development, regulatory, commercialization and business development
expertise of the members of our executive team, as well as other key employees and consultants. If we lose one or more of our executive
officers or other key employees or consultants, our ability to implement our business strategy successfully could be seriously harmed.
Competition to hire and retain employees and consultants from this limited pool is intense, and we may be unable to hire, train, retain
or motivate such individuals.

We or the third parties upon whom we
depend may be adversely affected by geopolitical events, accidents, conflicts, medical epidemics or pandemics, extreme weather or other
natural disasters.

Our business, and any
third parties with whom we do business, may be adversely affected by accidents, power shortages, telecommunications failures