CREATIVE MEDICAL TECHNOLOGY HOLDINGS INC
For the period ended Sep 30, 2024. Filed Nov 8, 2024.
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.
Sep 30, 2024 · Filed Nov 8, 2024
CELZ$0.62+2.6%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2024-06-30; filed 2024-08-09.
0001477932-24-004635
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2024-09-30; filed 2024-11-08.
0001477932-24-006991
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 52 previous paragraphs and 53 current paragraphs.
29 unchanged; 23 reworded; 1 added; 0 removed; 0 previous and 0 current paragraphs rearranged.
Tables are not compared: 1 previous and 1 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 (1)
Current report
In July 2024, the Company announced that it initiated a program to diagnose and treat patients exposed to biological and chemical weapons by combining Artificial Intelligence (AI) with the Company’s proprietary human induced pluripotent stem cells (“iPSC”). This iPSC clinical derived line is part of the Company’s iPSCelz® program. The program is designed to utilize the predictive capabilities of AI to identify damage to patients exposed to biological or chemical weapons and, based on a clinical diagnosis supported by that assessment, use the Company’s validated iPSCelz, ImmCelz™ (CELZ-100) and/or AlloStem™ (CELZ-201-DDT) to develop optimized therapeutic options. The use of AI strengthens the Company’s research efficiency, precision, and innovation. In drug discovery, AI accelerates the identification of potential targets and optimizes biological screenings, significantly shortening development timelines. This model enables the Company to accelerate development for civilian and military options for biological optimization of on-site and remote therapeutic interventions. Along with Greenstone Biosciences Inc., the Company continues to evaluate other collaborators, partners and business opportunities to accelerate development without taking away from the core clinical programs.
Reworded paragraphs (23)
Previous wording
During the second quarter of 2024, the Company selected and contracted with the clinical trial site and Contract Research Organization (CRO), initiated the clinical trial site and launched patient recruitment on the Phase I/II clinical trial of AlloStemSpine™ Chronic Lower Back Pain (CELZ-201 ADAPT) using AlloStem™ (CELZ-201-DDT) for the treatment of lower back pain.
Current wording
During the second quarter of 2024, the Company selected and contracted with the clinical trial site and Contract Research Organization (CRO), initiated the clinical trial site, launched subject recruitment and started dosing trial subjects on the Phase I/II clinical trial of AlloStemSpine™ Chronic Lower Back Pain (CELZ-201 ADAPT) using AlloStem™ (CELZ-201-DDT) for the treatment of lower back pain.
Previous wording
Gross Revenue. There was $8,000 in revenues generated for the three-months ended June 30, 2024 in comparison withno revenues for the comparable period a year ago.
Current wording
Gross Revenue. There were no revenues generated for the three-months ended September 30, 2024 in comparison with $6,000 in revenues for the comparable period a year ago.
Previous wording
Cost of Goods Sold. There was $3,200 in cost of goods sold for the three-months ended June 30, 2024 in comparison to no cost of goods sold for the comparable period a year ago.
Current wording
Cost of Goods Sold. There was no cost of goods sold for the three-months ended September 30, 2024 in comparison to $2,400 cost of goods sold for the comparable period a year ago.
Previous wording
Gross Profit/(Loss). There was $4,800 in gross profits for the three-months ended June 30, 2024 in comparison to no gross profit for the comparable period a year ago.
Current wording
Gross Profit/(Loss). There were no gross profits for the three-months ended September 30, 2024 in comparison to $3,600 gross profit for the comparable period a year ago.
Previous wording
Selling, General and Administrative Expenses. General and administrative expenses for the three-months ended June 30, 2024, totaled $676,086, in comparison with $859,537 for the comparable period a year ago. The decrease of $183,451, or 21% is primarily due to decreases of $67,103 in marketing, $62,049 in marketing-based compensation, $30,736 in Director and Officer (D&O) insurance, and $31,000 in professional fees.
Current wording
Selling, General and Administrative Expenses. General and administrative expenses for the three-months ended September 30, 2024, totaled $498,607, in comparison with $531,042 for the comparable period a year ago. The decrease of $32,435, or 6% is primarily due to decreases of $18,123 in marketing and $30,736 in Director and Officer (D&O) insurance, offset by $24,219 in increased wages.
Previous wording
Research and Development Expenses. Research and development expenses for the six-months ended June 30, 2024, totaled $1,347,141 in comparison to $628,509 for the comparable period a year ago. The increase of $718,632, or 114% was primarily due to increases of $149,729 associated with the CELZ 201 CREATE-1 Type 1 Diabetes clinical trial, $246,139 associated with the CELZ-201 ADAPT Chronic Lower Back Pain clinical trial, and $312,193 in general research and development.
Current wording
Research and Development Expenses. Research and development expenses for the three-months ended September 30, 2024, totaled $581,796 in comparison to $992,272 for the comparable period a year ago. The decrease of $410,926, or 41% was primarily due to a decrease of $661,403 in general research and development offset by an increase of $262,129 associated with the CELZ-201 ADAPT Chronic Lower Back Pain clinical trial.
Previous wording
Operating Loss. For the reasons stated above, our operating loss for the three-months ended June 30, 2024, was $1,625,306 in comparison with $1,192,038 for the comparable period a year ago.
Current wording
Operating Loss. For the reasons stated above, our operating loss for the three-months ended September 30, 2024, was $1,109,674 in comparison with $1,546,785 for the comparable period a year ago.
Previous wording
Other Income. Other income for the three-months ended June 30, 2024, totaled $67,578 in comparison with $89,913 for the comparable period a year ago. The decreased income of $22,335 is due to lower short-term investment balances.
Current wording
Other Income**.** Other income for the three-months ended September 30, 2024, totaled $69,539 in comparison with $89,233 for the comparable period a year ago. The decreased income of $19,694 is due to lower short-term investment balances.
Previous wording
Net Income/Loss. For the reasons stated above, our net loss for the six-months ended June 30, 2024, was $1,557,728 in comparison with a net loss of $1,102,125 for the comparable period a year ago.
Current wording
Net Income/Loss**.** For the reasons stated above, our net loss for the three-months ended September 30, 2024, was $1,040,135 in comparison with a net loss of $1,453,952 for the comparable period a year ago.
Previous wording
Results of Operations – For the Six-month Periods Ended June 30, 2024, and 2023
Current wording
Results of Operations** –** For the Nine-month Periods Ended September 30, 2024, and 2023
Previous wording
Gross Revenue. There was $8,000 in revenues generated for the six-months ended June 30, 2024 in comparison with no revenues for the comparable period a year ago.
Current wording
Gross Revenue**.** There was $8,000 in revenues generated for the nine-months ended September 30, 2024 in comparison with $6,000 in revenues for the comparable period a year ago.
Previous wording
Cost of Goods Sold. There was $3,200 in cost of goods sold for the six-months ended June 30, 2024 in comparison to no cost of goods sold for the comparable period a year ago.
Current wording
Cost of Goods Sold**.** There was $3,200 in cost of goods sold for the nine-months ended September 30, 2024 in comparison to $2,400 in cost of goods sold for the comparable period a year ago.
Previous wording
Gross Profit/(Loss). There was $4,800 in gross profits for the six-months ended June 30, 2024 in comparison to no gross profit for the comparable period a year ago.
Current wording
Gross Profit/(Loss). There was $4,800 in gross profits for the nine-months ended September 30, 2024 in comparison to $3,600 in gross profits for the comparable period a year ago.
Previous wording
Selling, General and Administrative Expenses. General and administrative expenses for the six-months ended June 30, 2024, totaled $1,347,570, in comparison with $1,630,557 for the comparable period a year ago. The decrease of $282,987, or 17% is primarily due to decreases of $122,216 in marketing, $65,167 in public company related expenses, and $112,158 in professional fees.
Current wording
Selling, General and Administrative Expenses**.** General and administrative expenses for the nine-months ended September 30, 2024, totaled $1,846,177, in comparison with $2,161,599 for the comparable period a year ago. The decrease of $315,422, or 15% is primarily due to decreases of $140,339 in marketing, $94,299 in public company related expenses, and $157,078 in professional fees, offset by $72,753 in salaries and administrative expenses.
Previous wording
*Amortization Expenses. *Amortization expenses for the six-months ended June 30, 2024 totaled $58,542 in comparison with $46,042 for the comparable period a year ago.
Current wording
Amortization Expenses.* *Amortization expenses for the nine-months ended September 30, 2024 totaled $87,813 in comparison with $69,063 for the comparable period a year ago.
Previous wording
Research and Development Expenses. Research and development expenses for the three-months ended June 30, 2024, totaled $924,749 in comparison to $309,480 for the comparable period a year ago. The increase of $615,269, or 199% was primarily due to increases of $107,021 associated with the CELZ 201 CREATE-1 Type 1 Diabetes clinical trial, $195,792 associated with the CELZ-201 ADAPT Chronic Lower Back Pain clinical trial, and $301,884 in general research and development.
Current wording
Research and Development Expenses**.** Research and development expenses for the nine-months ended September 30, 2024, totaled $1,928,937 in comparison to $1,621,231 for the comparable period a year ago. The increase of $307,706, or 19% was primarily due to increases of $148,649 associated with the CELZ 201 CREATE-1 Type 1 Diabetes clinical trial, $508,268 associated with the CELZ-201 ADAPT Chronic Lower Back Pain clinical trial, offset by a reduction of $349,210 in general research and development.
Previous wording
Operating Loss. For the reasons stated above, our operating loss for the six-months ended June 30, 2024, was $2,748,453 in comparison with $2,305,108 for the comparable period a year ago.
Current wording
Operating Loss**.** For the reasons stated above, our operating loss for the nine-months ended September 30, 2024, was $3,858,127 in comparison with $3,848,293 for the comparable period a year ago.
Previous wording
Other Income. Other income for the six-months ended June 30, 2024, totaled $149,181 in comparison with $151,060 for the comparable period a year ago. The decreased income of $1,879 is due to lower short-term investment balances offset by increased interest rates.
Current wording
Other Income. Other income for the nine-months ended September 30, 2024, totaled $218,720 in comparison with $240,293 for the comparable period a year ago. The decreased income of $21,573 is due to lower short-term investment balances offset by increased interest rates.
Previous wording
Net Income/Loss. For the reasons stated above, our net loss for the six-months ended June 30, 2024, was $2,599,272 in comparison with a net loss of $2,154,048 for the comparable period a year ago.
Current wording
Net Income/Loss. For the reasons stated above, our net loss for the nine-months ended September 30, 2024, was $3,639,407 in comparison with a net loss of $3,608,000 for the comparable period a year ago.
Previous wording
As of June 30, 2024, we had**$7,471,476** of available cash, certificates of deposit and US Treasuries and positive working capital of approximately $7,227,684. In comparison, as of December 31, 2023, we had $9,987,058 of available cash, certificates of deposit and US Treasuries and positive working capital of $9,899,504.
Current wording
As of September 30, 2024, we had $6,260,438 of available cash, certificates of deposit and US Treasuries and positive working capital of approximately $6,000,532. In comparison, as of December 31, 2023, we had $9,987,058 of available cash, certificates of deposit and US Treasuries and positive working capital of $9,899,504.
Previous wording
***Net Cash used in Operating Activities.***We used cash in our operating activities due to our losses from operations. Net cash used in operating activities was $2,366,168 for the six-months ended June 30, 2024, in comparison to $4,828,379 for the comparable period a year ago, a decrease of $2,462,211 or 51%. The decrease in cash used in operations was primarily related to a $3,000,000 payment of an outstanding accounts payable balance made in the six-months ended June 30, 2023.
Current wording
***Net Cash used in Operating Activities.***We used cash in our operating activities due to our losses from operations. Net cash used in operating activities was $3,351,756 for the nine-months ended September 30, 2024, in comparison to $6,132,902 for the comparable period a year ago, a decrease of $2,781,146 or 45%. The decrease in cash used in operations was primarily related to a $3,000,000 payment of an outstanding accounts payable balance made in the nine-months ended June 30, 2023.
Previous wording
Net Cash Received From Investing Activities*.* Cash received in investing activities was $6,520,191 for the six-months ended June 30, 2024, from the net redemptions of certificates of deposit, in comparison to $497,410 of cash received from net redemptions of certificates of deposit for the comparable period a year ago.
Current wording
Net Cash Received From Investing Activities*.* Cash received in investing activities was $6,320,191 for the nine-months ended September 30, 2024, from the net redemptions of certificates of deposit offset by a $200,000 payment of a patent purchase obligation, in comparison to $2,611,271 of cash received from net redemptions of certificates of deposit offset by a $100,000 payment of a patent purchase obligation for the comparable period a year ago.
Previous wording
Cash used in financing activities for the six-months ended June 30, 2024 was $149,414 associated with the repurchase of our common stock under our stock re-purchase program. There were no financing activities during the six-months ended June 30, 2023.
Current wording
Cash used in financing activities for the nine-months ended September 30, 2024 was $174,864 associated with the repurchase of our common stock under our stock re-purchase program, in comparison to $191,780 associated with same program during the nine-months ended June 30, 2023.