InMed Pharmaceuticals Inc.
For the period ended Dec 31, 2025. Filed Feb 11, 2026.
View on SEC.govAbout this filing
A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Dec 31, 2025 · Filed Feb 11, 2026
INM$15.56+17.8%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2025-09-30; filed 2025-11-06.
0001213900-25-107152
ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONSCurrent report: 10-Q
Period ended 2025-12-31; filed 2026-02-11.
0001213900-26-014996
ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONSThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 79 previous paragraphs and 88 current paragraphs.
51 unchanged; 17 reworded; 17 added; 11 removed; 0 previous and 3 current paragraphs rearranged.
Tables are not compared: 35 previous and 39 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (17)
Current report
Standby Equity Purchase Agreement (‘SEPA’) Update
Current report
At the Company’s 2025 Annual General and Special Meeting, the shareholders voted to approve the potential issuance of 20% or more of the Company’s common shares issued and outstanding as of December 13, 2024, pursuant to the Standby Equity Purchase Agreement with YA II PN, Ltd., as amended on June 13, 2025, pursuant to Nasdaq Listing Rules 5635(d) and 5635(b).
Current report
Update on BayMedica’s Commercial Business
Current report
Recently, U.S. congressional legislation H.R. 5371, the “Continuing Appropriations, Agriculture, Legislative Branch, Military Construction and Veterans Affairs, and Extensions Act, 2026” (the “Act”) was signed into law. The Act, in its current form and without further amendment, will have a material negative impact on BayMedica, a subsidiary of the Company. Specifically, certain aspects of BayMedica’s commercial business and its inventory of rare, non-intoxicating cannabinoids would be prohibited under the Act if it comes into force on November 12, 2026, in its current form.
Current report
It is unknown to the Company whether the sections of the Act that would impact BayMedica will ultimately go into effect on November 12, 2026, or at all, or if those sections will be replaced, impacted or amended by subsequent acts of U.S. policymakers. The Company supports a balanced, science-based regulatory approach that promotes consumer safety while preserving responsible access to non-intoxicating cannabinoid products.
Current report
BayMedica is evaluating alternative options but has not set a timetable for the conclusion of its evaluation, nor has it made any definitive decisions related to any potential alternative options at this time. In the meantime, BayMedica is continuing to sell its inventory of rare, non-intoxicating cannabinoids. Without timely, meaningful changes to the Act, we would need to write-off any inventory that BayMedica is unable to sell prior to the Act becoming effective and take other actions, which could include divesting BayMedica’s commercial business, if possible, pivoting to other manufacturing techniques, if commercially viable, or discontinuing BayMedica’s commercial business, all of which would have a material adverse effect on our business, results of operations and financial condition.
Current report
December 2025 – InMed announced the successful completion of pharmacokinetic studies in large animal models for its Alzheimer’s disease candidate INM-901. This marked the first preclinical study in which the oral formulation of INM-901 was administered in large animals. The results provide additional data in guiding decisions in the design of a human Phase 1 clinical trial program. In parallel, InMed has completed additional chemistry, manufacturing, and controls development to scale the INM-901 manufacturing process in preparation for Investigational New Drug enabling studies and regulatory interaction with the Food and Drug Administration (“FDA”).
Current report
General and administrative expenses decreased by $0.04 million in our Pharma segment, or 3%, for the three months ended December 31, 2025 as compared to the three months ended December 31, 2024. The decrease is primarily due to lower professional fees and investor relations fees. We anticipate general and administrative expenses to remain consistent in future periods.
Current report
Finance Expense
Current report
Finance expenses decreased by $352,000 in our InMed Pharma segment, for the three months ended December 31, 2025, as compared to the three months ended December 31, 2024. The decrease in finance expenses resulted from the one-time nonrecurring fees relating to instituting the SEPA in December 2024.
Current report
General and administrative expenses decreased by less than $0.1 million in our Commercial segment, or 17%, for the three months ended December 31, 2025 as compared to the three months ended December 31, 2024. The decrease results primarily due to lower professional fees and marketing fees.
Current report
General and administrative expenses decreased by $0.1 million in our Pharma segment, or 4%, for the six months ended December 31, 2025 as compared to the six months ended December 31, 2024. The decrease is primarily due to lower professional fees and investor relations fees.
Current report
Finance Expense
Current report
Finance expenses decreased by $0.3 million in our InMed Pharma segment, or 100% for the six months ended December 31, 2025, as compared to the six months ended December 31, 2024. The decrease in finance expenses resulted from the fees incurred pursuant to the SEPA in December 2024.
Current report
Comparison of the Six Months Ended December 31, 2025 and 2024 for the Commercial Segment
Current report
Sales
Current report
Cost of goods sold decreased by less than $0.1 million in our Commercial segment, or 5%, for the six months ended December 31, 2025 as compared to the six months ended December 31, 2024. The decrease in cost of goods sold is primarily the result of lower sales, along with lower supply chain costs, offset by a write-down of inventory to net realizable value during the six months ended December 31, 2025.
Removed paragraphs (11)
Previous report
New Directors
Previous report
The Company announced the appointment of two new directors to its board of directors, Mr. Neil Klompas and Mr. John Bathery, on October 9 and 16, 2025, respectively.
Previous report
Mr. Klompas brings over 30 years of experience in healthcare and biotechnology across operational, financial, and R&D functions. He was a key member of the executive leadership team at Zymeworks Inc. (NASDAQ: ZYME) for more than 16 years, where he most recently served as President and Chief Operating Officer, following his tenure as Chief Financial Officer. During his tenure, he was instrumental in helping scale the company from early-stage development into a multi-billion-dollar pharmaceutical company, establishing Zymeworks as a recognized leader in biotherapeutics. Mr. Klompas also led the Company’s successful 2017 IPO on the New York Stock Exchange.
Previous report
Mr. Bathery brings more than 30 years of experience in the pharmaceutical industry, including over 15 years in corporate development and strategic partnerships. He currently serves as Head of Global Business Development Operations & Externalization at Takeda Pharmaceuticals, where he has overseen pipeline and commercial divestitures, global alliance management, and integration of corporate transactions. Over his career, he has led and closed transactions with financial terms exceeding $60 billion across M&A, licensing, divestments and collaborations.
Previous report
On October 17, 2025, the Company granted a total of 7,000 options to its new board members. The options have an exercise price of $2.10 with a term of five years.
Previous report
July 2025 – InMed presented new preclinical data from its INM-901 program at the Alzheimer’s Association International Conference (AAIC) 2025, the world’s leading forum for Alzheimer’s disease and dementia research. Data was presented in a scientific poster entitled, “Therapeutic Potential of INM-901 in Mitigating Alzheimer’s Disease Pathology: Insights from a Long-term 5xFAD Mouse Model Study”. The Alzheimer’s disease preclinical study measured hippocampal RNA expression, inflammatory markers, immunohistochemistry and behavioral differences following long-term treatment with INM-901 and as compared to healthy and to untreated diseased subjects in a well-established model.
Previous report
Cost of Sales
Previous report
Research and Development Expenses
Previous report
Research and Development Expenses
Previous report
Cost of Sales
Previous report
General and administrative expenses
Reworded paragraphs (17)
Previous wording
Our INM-901 is a proprietary small molecule, disease modifying drug candidate being developed as a potential treatment for Alzheimer’s disease. INM-901 has multiple potential mechanisms of action as a preferential signaling agonist for both CB1 and CB2 receptors, as well as impacting the peroxisome proliferator-activated receptor, or PPAR, signaling pathway. Combined, these mechanisms of action may offer a unique treatment approach targeting several biological pathways associated with Alzheimer’s disease.
Current wording
Our INM-901 is a proprietary small molecule, disease modifying drug candidate being developed as a potential treatment for Alzheimer’s disease. INM-901 has multiple potential mechanisms of action as a preferential signaling agonist for both CB1 and CB2 receptors, as well as impacting the peroxisome proliferator-activated receptor, or PPAR, signaling pathway. Across multiple preclinical studies, INM-901’s primary mechanism of action is the reduction of neuroinflammation, with statistically significant effects demonstrated in both ex vivo and in vivo models. Additionally, INM-901 targets several other mechanisms of action offering a unique treatment approach targeting several biological pathways associated with Alzheimer’s disease.
Previous wording
Research and development and patent expenses represent costs incurred by us for the discovery, development, and manufacture of our Products and Product Candidates and include:
Current wording
Research and development expenses represent costs incurred by us for the discovery, development, and manufacture of our Products and Product Candidates and include:
Previous wording
Research and development expenses decreased by $0.1 million in our Pharma segment, or 17%, for the three months ended September 30, 2025 as compared to the three months ended September 30, 2024. The decrease in research and development expenses was primarily due to a decrease in external contractors and research supplies, offset by an increase in personnel compensation. However, we expect our research and development expenses to increase significantly in future periods as we continue to implement our business strategy.
Current wording
Research and development expenses decreased by $0.3 million in our Pharma segment, or 30%, for the three months ended December 31, 2025 as compared to the three months ended December 31, 2024. The decrease in research and development expenses was primarily due to a decrease in external contractors and research supplies, offset by an increase in personnel compensation. However, we expect our research and development expenses to increase significantly in future periods as we continue to implement our business strategy.
Previous wording
Cost of goods sold decreased by less than $0.1 million in our Commercial segment, or 7%, for the three months ended September 30, 2025 as compared to the three months ended September 30, 2024. The decrease in cost of goods sold is primarily the result of the Company lowering its supply chain costs and a decrease in sales.
Current wording
Cost of goods sold decreased by less than $0.01 million in our Commercial segment, or 2%, for the three months ended December 31, 2025, as compared to the three months ended December 31, 2024. The decrease in cost of goods sold is primarily the result of the Company lowering its supply chain costs and a decrease in sales offset by a write-down of inventory to net realizable value during the three months ended December 31, 2025.
Previous wording
Interest and other income increased by less than $0.1 million in our Pharma segment, or 65% for the three months ended September 30, 2025, as compared to the three months ended September 30, 2024. The increase primarily results from the increase in our average cash on hand during the current year.
Current wording
Interest and other income increased by less than $0.1 million in our Pharma segment, or 65% for the six months ended December 31, 2025, as compared to the six months ended December 31, 2024. The increase primarily results from the increase in our average cash on hand during the current year.
Previous wording
Sales decreased by $0.1 million in our Commercial segment, or 11%, for the three months ended September 30, 2025 as compared to the three months ended September 30, 2024. The decrease in sales primarily resulted from the Company lowering product pricing due to increased competition. The Commercial segment will continue to evaluate opportunities for potential structured supply arrangements and collaborations for the commercial business. Sales and marketing efforts will remain focused on products that contribute the highest margins, where the Commercial segment continues to hold a strong competitive position.
Current wording
Sales decreased by $0.4 million in our Commercial segment, or 18%, for the six months ended December 31, 2025 as compared to the three months ended December 31, 2024. The decline in sales is due to uncertainty around the synthetic cannabinoid market from theAct, also the Company has lowered the sales price to attract more customers. The Commercial segment will continue to evaluate opportunities for potential structured supply arrangements and collaborations for the commercial business. Sales and marketing efforts will remain focused on products that contribute the highest margins, where the Commercial segment continues to hold a strong competitive position.
Previous wording
General and administrative expenses increased by less than $0.1 million in our Commercial segment, or 59%, for the three months ended September 30, 2025 as compared to the three months ended September 30, 2024. The increase results primarily due to higher salaries, employee benefits and marketing expenses.
Current wording
General and administrative expenses increased by less than $0.1 million in our Commercial segment, or 9%, for the six months ended December 31, 2025 as compared to the six months ended December 31, 2024. The increase results primarily due to higher salaries, employee benefits and office expenses.
Previous wording
As of September 30, 2025, we had cash, cash equivalents and short-term investments of $9.4 million.
Current wording
As of December 31, 2025, we had cash, cash equivalents and short-term investments of $7.0 million.
Previous wording
During the three months ended September 30, 2025, we used cash in operating activities of $1.6 million, primarily resulting from our net loss of $1.7 million combined with $0.05 million used in changes in our non-cash working capital, partially offset by non-cash share-based compensation expenses.
Current wording
During the six months ended December 31, 2025, we used cash in operating activities of $4.0 million, primarily resulting from our net loss of $3.8 million combined with $0.4 million used in changes in our non-cash working capital, partially offset by non-cash share-based compensation expenses.
Previous wording
During the three months ended September 30, 2024, we used cash in operating activities of $1.8 million, primarily resulting from our net loss of $1.7 million combined with $328,000 used in changes in our non-cash working capital, partially offset by non-cash share-based compensation expenses and inventory write-down.
Current wording
During the six months ended December 31, 2024, we used cash in operating activities of $4.3 million, primarily resulting from our net loss of $4.3 million combined with a $0.3 million decrease in changes in our non-cash working capital, partially offset by non-cash share-based compensation expenses and inventory write-down.
Previous wording
During the three months ended September 30, 2025 and 2024, cash used in investing activities was $nil, respectively.
Current wording
During the six months ended December 31, 2025 and 2024, cash used in investing activities was $nil, respectively.
Previous wording
During the three months ended September 30, 2025, cash used in financing activities of $0.1 million from share issuance costs.
Current wording
During the six months ended December 31, 2025, cash used in financing activities of $0.1 million from share issuance costs.
Previous wording
During the three months ended September 30, 2024, cash provided by financing activities of $838,000 consisted of $1.0 million in gross proceeds derived from a private placement, offset by total transaction costs of $192,000.
Current wording
During the six months ended December 31, 2024, cash provided by financing activities of $1.2 million consisted of $1.4 million in gross proceeds derived from the Amended ATM Agreement, offset by total transaction costs of $250,000.
Previous wording
We expect our expenses to increase substantially in connection with our ongoing research and development activities, particularly as we continue the research and development of and the clinical trials for our Product Candidates. In addition, we expect to incur additional costs associated with operating as a US-listed public company and associated with any required investment into BayMedica’s R&D efforts targeting cannabinoid analogs. As a result, we expect to incur substantial operating losses and negative operating cash flows for the foreseeable future.
Current wording
We expect our expenses to increase substantially in connection with our ongoing research and development activities, particularly as we continue the research and development of and the clinical trials for our Product Candidates. In addition, we expect to incur additional costs associated with operating as a US-listed public company and associated with any required investment into our R&D efforts targeting cannabinoid analogs. As a result, we expect to incur substantial operating losses and negative operating cash flows for the foreseeable future.
Previous wording
Through September 30, 2025, we have funded our operations primarily with proceeds from the sale of our Common Shares. We have incurred recurring losses and negative cash flows from operations since its inception, including net losses of $1.7 million. In addition, we have an accumulated deficit of $119 million as of September 30, 2025.
Current wording
Through December 31, 2025, we have funded our operations primarily with proceeds from the sale of our Common Shares. We have incurred recurring losses and negative cash flows from operations since its inception, including net losses of $3.8 million. In addition, we have an accumulated deficit of $121.0 million as of December 31, 2025.
Previous wording
As of the issuance date of these condensed consolidated financial statements, we expect our cash, cash equivalents and short-term investments of $9.4 million as of September 30, 2025 will be sufficient to fund our operating expenses and capital expenditure requirements into the fourth quarter of calendar 2026, depending on the level and timing of realizing BayMedica revenues from the sale of bulk rare cannabinoids in the health & wellness sector as well as the level and timing of our operating expenses. Our future viability is dependent on our ability to raise additional capital to finance its operations. We have concluded that there is substantial doubt about our ability to continue as a going concern within one year after the date that the condensed consolidated financial statements are issued.
Current wording
As of the issuance date of these condensed consolidated financial statements, we expect our cash, cash equivalents and short-term investments of approximately $7.0 million as of December 31, 2025 will be sufficient to fund our operating expenses and capital expenditure requirements into the fourth quarter of calendar 2026, depending on the level and timing of realizing BayMedica revenues from the sale of bulk rare cannabinoids in the health & wellness sector as well as the level and timing of our operating expenses. Our future viability is dependent on our ability to raise additional capital to finance its operations. We have concluded that there is substantial doubt about our ability to continue as a going concern within one year after the date that the condensed consolidated financial statements are issued.
Previous wording
Our significant accounting policies are described in Note 2 of the Financial Statements. The estimates will require us to rely upon assumptions that were highly uncertain at the time the accounting estimates are made, and changes in them are reasonably likely to occur from period to period. Changes in estimates used in these and other items could have a material impact on our financial statements in the future. Our estimates will be based on our experience and our interpretation of economic, political, regulatory, and other factors that affect our business prospects. Actual results may differ significantly from our estimates. For detailed information regarding our critical accounting policies and estimates, see our financial statements and notes thereto included in this Report and in our 2025 Annual Report. There have been no material changes to our critical accounting policies and estimates from those disclosed in our 2025 Annual Report.
Current wording
Our significant accounting policies are described in Note 2 of the Unaudited condensed consolidated Financial Statements. The estimates will require us to rely upon assumptions that were highly uncertain at the time the accounting estimates are made, and changes in them are reasonably likely to occur from period to period. Changes in estimates used in these and other items could have a material impact on our financial statements in the future. Our estimates will be based on our experience and our interpretation of economic, political, regulatory, and other factors that affect our business prospects. Actual results may differ significantly from our estimates. For detailed information regarding our critical accounting policies and estimates, see our financial statements and notes thereto included in this Report and in our 2025 Annual Report. There have been no material changes to our critical accounting policies and estimates from those disclosed in our 2025 Annual Report.
Rearranged current paragraphs (3)
Current report — wording carried from elsewhere
Sales decreased by $0.3 million in our Commercial segment, or 26%, for the three months ended December 31, 2025 as compared to the three months ended December 31, 2024. The decline in sales is due to the uncertainty around the synthetic cannabinoid market arising from the changes inthe Act , also the Company has lowered the sales price to attract more customers. The Commercial segment will continue to evaluate opportunities for potential structured supply arrangements and collaborations for the commercial business. Sales and marketing efforts will remain focused on products that contribute the highest margins, where the Commercial segment continues to hold a strong competitive position.
Current report — wording carried from elsewhere
Comparison of the Six Months Ended December 31, 2025 and 2024 for the Pharma Segment
Current report — wording carried from elsewhere
Research and development expenses decreased by $0.4 million in our Pharma segment, or 24%, for the six months ended December 31, 2025 as compared to the six months ended December 31, 2024. The decrease in research and development expenses was primarily due to a decrease in external contractors and research supplies, offset by an increase in personnel compensation. However, we expect our research and development expenses to increase significantly in future periods as we continue to implement our business strategy.