Company: XAIR
Filing Date: 2025-11-10
Form Type: 10-Q
Source: 0001493152-25-021561
Chunk: 12

Company: Beyond Air, Inc.
Filing Date: 2025-11-10
Form: 10-Q
Item: Part I, Item 1
Chunk 12
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 year ended March 31,
2025 (the “2025 Annual Report”), filed with the U.S. Securities and Exchange Commission (the “SEC”)
on June 20, 2025.

Principles
of Consolidation

These
unaudited condensed consolidated financial statements include the accounts of the Company and the accounts of all of the Company’s
subsidiaries and a variable interest entity (“VIE”) for which the Company is the primary beneficiary. As the Company has
both the power to direct activities of Beyond Cancer Ltd. and its affiliates (“Beyond Cancer”) and of NeuroNOS Ltd. and its
affiliates (“NeuroNos”) that most significantly impact these entities’ economic performance and the right to receive
benefits and losses that may potentially be significant, these financial statements are fully consolidated with those of the Company.
The non-controlling owners’ 20% interest in Beyond Cancer’s net assets and result of operations and the 14.3% interest in
NeuroNos’ net assets and result of operations is reported as “non-controlling interest” on the Company’s unaudited
condensed consolidated balance sheets and as “net loss attributable to non-controlling interest” in the Company’s unaudited
condensed consolidated statements of operations and comprehensive loss. All intercompany balances and transactions have been eliminated
in the accompanying unaudited condensed consolidated financial statements.

Use
of Estimates

The
preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the
reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements
and the reported amounts of revenues and expenses for the reporting period. Actual results could significantly differ from those estimates.
On an ongoing basis, the Company evaluates its significant estimates and assumptions including expense recognition and accrual assumptions
under consulting and clinical trial agreements, stock-based compensation, impairment assessments, accounting for licensed rights to use
technologies and other long-lived assets, the valuation of warrants, contingency recognition and accruals and the determination of valuation
allowance requirements on deferred tax attributes.

Going
Concern, Liquidity and Other Uncertainties

The
Company used cash in operating activities of $9.0 million for the six months ended September 30, 2025, and has an accumulated deficit
attributable to the stockholders of Beyond Air, Inc. of $302.0 million. The Company had cash, cash equivalents and marketable securities
of