Incannex Healthcare Inc.
For the period ended Jun 30, 2026. Filed Sep 25, 2026.
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A company's yearly report to the SEC, with audited financial statements. It is the fullest account a company gives of its business, its finances and the risks it sees.
FY2026 · Filed Sep 25, 2026
IXHL$2.24-1.3%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-K
Period ended 2025-06-30; filed 2025-09-29.
0001213900-25-092837
Item 7. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-K
Period ended 2026-06-30; filed 2026-09-25.
0001628280-26-063506
Item 7. 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 84 previous paragraphs and 109 current paragraphs.
56 unchanged; 17 reworded; 36 added; 11 removed; 0 previous and 0 current paragraphs rearranged.
Tables are not compared: 25 previous and 2 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 (36)
Current report
We are a clinical-stage biopharmaceutical company developing oral fixed-dose combination therapies and psychedelic-assisted treatments for serious chronic conditions. Our principal development priority is IHL-42X for obstructive sleep apnea. We are also evaluating the next clinical development plan for PSX-001 in generalized anxiety disorder and the potential for further development of IHL-675A in inflammatory conditions. Our aim is to offer patients additional treatment options where existing care does not adequately meet their needs.
Current report
IHL-42X, our lead drug candidate for the treatment of OSA, is an oral fixed-dose combination of dronabinol and acetazolamide designed to act synergistically by targeting two different physiological pathways associated with the intermittent hypoxia and hypercapnia that characterize OSA. We completed the Phase 2 portion of our RePOSA Phase 2/3 clinical trial, or the RePOSA Study, in July 2025, in which we observed that IHL-42X reduced AHI, improved patient reported outcome measures and was well-tolerated in OSA patients. In December 2025, the FDA granted Fast Track designation for IHL-42X for the treatment of OSA. We have determined to conduct an additional dose confirmation study, the DReAMzz Study, to further optimize the ratio of dronabinol and acetazolamide prior to advancing into a Phase 3 clinical trial of IHL-42X. The DReAMzz Study is a Phase 2 dose confirmation crossover trial evaluating nine dose combinations of IHL-42X across approximately 120 subjects at 14 U.S. clinical sites. This study commenced in May 2026, began screening participants in July 2026, is currently enrolling participants, and is estimated to be completed in mid-2027. Results from the DReAMzz Study are expected to inform the design of a planned Phase 3 clinical trial for IHL-42X.
Current report
PSX-001, our other lead drug candidate in clinical development following completion of a Phase 2 trial, is an oral synthetic psilocybin treatment, administered in combination with psychological therapy for patients with moderate-to-severe GAD. We completed a Phase 2 clinical trial, known as PsiGAD1, in the results of which we observed that the combination of synthetic psilocybin with psychotherapy significantly reduced anxiety scores and was well-tolerated in GAD patients. In this trial, statistically meaningful reductions in HAM-A scores were observed, with subjects in the investigational arm achieving an average 12.8-point reduction from baseline that was sustained for an 11-week follow up period. A greater than 50% reduction in HAM-A scores was observed in 44.1% of subjects receiving the experimental treatment and 27% of subjects in the treatment arm achieved full disease remission, a number five times higher than placebo. Improvements were also observed in secondary endpoint measures. PSX-001 was observed to be well-tolerated with no serious adverse events reported and only a single discontinuation across 73 patients. The majority of TEAEs were transient, mild to moderate in nature and consistent with the expected pharmacological effects of psilocybin. No signs of increased suicidality, psychosis, or prolonged psychological distress, concerns often cited with psychedelic treatments, were observed. We have a cleared IND application with the FDA. We are assessing options for the next steps in development of this asset, including adjustments to the design of the Phase 2 study.
Current report
IHL-675A is our drug candidate for the treatment of inflammatory conditions, with an initial focus on rheumatoid arthritis. IHL-675A is an oral fixed-dose combination of CBD and hydroxychloroquine sulfate designed to target two different pathways, acting synergistically to alleviate inflammation. In our Phase 1 clinical trial, IHL-675A was observed to be well-tolerated and bioavailable. In preclinical studies, IHL-675A was observed to reduce inflammatory markers and disease scores across multiple animal inflammatory disease models and in vitro assays. We initiated an Australian Phase 2 trial investigating IHL-675A in rheumatoid arthritis patients; however, in November 2024, we paused patient recruitment due to slower than anticipated enrollment and subsequently terminated the trial. Insufficient data was collected to make any conclusions on safety or efficacy of IHL-675A. We continue to assess the potential development strategies for IHL-675A in the treatment of rheumatoid arthritis and other inflammatory conditions while resource and capital allocation is focused on development of our lead assets.
Current report
These programs address distinct treatment needs. IHL-42X is being developed as an oral option for OSA, PSX-001 combines a pharmaceutical treatment with structured psychological therapy for GAD, and IHL-675A investigated a combination approach to inflammation. Our development priorities reflect the evidence available for each program and the work required to advance it to its next clinical milestone.
Current report
•external costs incurred under agreements with CROs, contract manufacturers, consultants and other third parties to conduct and support our clinical trials and preclinical studies; and
Current report
•internal costs, including R&D personnel-related expenses such as salaries, and benefits, as well as allocated facilities costs and dues and subscriptions.
Current report
R&D expenses decreased by $5.5 million for the fiscal year ended June 30, 2026 compared to the fiscal year ended June 30, 2025. The decrease was primarily due to the timing of the completion of the RePOSA Study and commencement of the DReAMzz Study.
Current report
•the number and scope, rate of progress, expense and results of our clinical trials and preclinical studies, including any modifications to clinical development plans based on feedback that we may receive from regulatory authorities;
Current report
•per patient trial costs;
Current report
•the number of trials required for approval;
Current report
•the number of sites included in the trials;
Current report
•the countries in which the trials are conducted;
Current report
•the length of time required to enroll eligible patients;
Current report
•the number of patients that participate in the trials;
Current report
•the number of doses that patients receive;
Current report
•the drop-out or discontinuation rates of patients;
Current report
•the potential additional safety monitoring requested by regulatory agencies;
Current report
•the duration of patient participation in the trials and follow-up;
Current report
•the cost and timing of manufacturing of our drug candidates;
Current report
•the costs, if any, of obtaining third-party drugs for use in our combination trials;
Current report
•the extent of changes in government regulation and regulatory guidance;
Current report
•the efficacy and safety profile of our drug candidates;
Current report
•the timing, receipt, and terms of any approvals from applicable regulatory authorities; and
Current report
•the extent to which we establish additional collaboration, license, or other arrangements.
Current report
General and administrative expenses increased by $4.7 million for the fiscal year ended June 30, 2026 compared to the fiscal year ended June 30, 2025. The increase was primarily driven by a $5.0 million increase in stock-based compensation expense (from $2.6 million to $7.6 million), reflecting increased amortization of equity awards granted in May 2025. There is also a slight increase by a $0.3 million in salaries and other employee benefits (from$4.2 million to$4.5 million), primarily due to the additional middle management personnel hired or retained during the period. These increases were partially offset by a$0.3 million decrease in compliance, legal and regulatory expenses (from$3.9 million to$3.6 million), and a $0.3 million decrease in advertising and investor relations expenses (from $0.8 million to $0.5 million).
Current report
Benefit from R&D tax credit increased by $2.9 million (from $1.8 million to $4.7 million) for the fiscal year ended June 30, 2026 compared to the fiscal year ended June 30, 2025. The increase was primarily attributable to an increase in the Company's estimated R&D tax incentive receivable resulting from expanded eligibility for certain R&D expenditures incurred in the fiscal years ended June 30, 2026 and 2025.
Current report
Cash provided by financing activities increased by $44.5 million in the fiscal year ended June 30, 2026, compared to the fiscal year ended June 30, 2025. The increase was primarily driven by an increase in share issuance proceeds of $30.3 million (from $48.3 million in 2025 to $78.7 million in 2026), partially offset by share repurchases of $9.4 million, share issuance costs of $3.1 million and warrant issuance costs of $0.3 million incurred during 2026. The share repurchase program expired in August 2026.
Current report
Financing Arrangements
Current report
We routinely enter into financing transactions that may include equity-linked instruments, warrants, conversion features and other complex contractual terms. The accounting for these arrangements requires significant judgment in evaluating the terms of the agreements and determining the appropriate classification and measurement of the related financial instruments. Changes in the interpretation of contractual terms or underlying assumptions may materially affect the amounts recognized in the financial statements.
Current report
Fair Value of Financial Instruments
Current report
Certain financial instruments, including warrant liabilities are recorded at fair value. Determining the fair value of these instruments requires significant judgment and the use of estimates, including expected volatility, risk-free interest rates, expected term, probability-weighted financing outcomes and other market-based assumptions. Changes in these assumption could have a material impact on the estimated fair value of these instruments and the corresponding gains or losses recognized in the consolidated statement of operations and comprehensive losses.
Current report
•the last day of the fiscal year following the fifth anniversary of the date of the completion of the first sale of common equity securities pursuant to an effective registration statement under the Securities Act;
Current report
•the last day of the fiscal year in which our total annual gross revenue is equal to or more than $1.235 billion;
Current report
•the date on which we have issued more than $1.0 billion in nonconvertible debt during the previous three years;
Current report
•or the date on which we are deemed to be a large accelerated filer under the rules of the SEC.
Removed paragraphs (11)
Previous report
We are a clinical-stage biopharmaceutical development company dedicated to developing innovative medicines for patients living with serious chronic diseases and significant unmet needs. Our lead drug candidates include IHL-42X for the treatment of OSA; PSX-001, our psilocybin treatment in combination with psychological therapy in development to treat patients with GAD; and IHL-675A for rheumatoid arthritis. Each of these programs target conditions that currently have limited, inadequate, or no approved pharmaceutical treatment options.
Previous report
Recent Developments
Previous report
ATM Program Increase
Previous report
On July 24, 2025, we filed a prospectus supplement to increase the capacity of our existing “at-the-market” offering program (the “ATM”) by up to an additional $100 million. While this filing increases the available capacity under the ATM, we are under no obligation to issue any shares of our commons stock pursuant to the program. The expanded facility is intended to enhance our financial flexibility, providing an efficient mechanism to access capital if, and when, deemed appropriate. Any utilization of the ATM will be at our discretion, taking into account prevailing market conditions and strategic priorities.
Previous report
As previously disclosed, the ATM is conducted pursuant to the Amended and Restated Sales Agreement, dated May 28, 2025 (the “Amended and Restated Sales Agreement”) by and among us, A.G.P./Alliance Global Partners (“A.G.P.”) and Curvature Securities, LLC (“Curvature,” and together with A.G.P, the “Sales Agents”). Accordingly, pursuant to the prospectus supplement, the amount of shares of our common stock that we may issue under the Amended and Restated Sales Agreement has been increased by up to an aggregate of $100 million of shares of our common stock. There can be no assurance that the Sales Agents will be able to complete future placements pursuant to the Amended and Restated Sales Agreement, even if instructed to do so. The number of shares of our common stock that we may ultimately sell under the Amended and Restated Sales Agreement will fluctuate based on a number of factors, including the market price of our common stock during the sales period, the limits it may set in any instruction to sell Shares, and the demand for our common stock during an applicable sales period.
Previous report
R&D expenses decreased by $2.1 million for the fiscal year ended June 30, 2025 compared to the fiscal year ended June 30, 2024. The decrease was primarily due to a pause in our development activities that occurred during the fiscal year ended June 30, 2025 for resource conservation reasons. We have since resumed development activities for all of our lead drug candidates.
Previous report
Acquisition of IPR&D
Previous report
Acquisition of IPR&D expense was recorded in the fiscal year ended June 30, 2024, in connection with the acquisition of APIRx Pharmaceutical USA, LLC (“APIRx”) in August 2022. We concluded that the acquisition of APIRx did not meet the definition of business under Accounting Standards Codification (“ASC”) 805, Business Combinations as APIRx did not have outputs present and a substantive process was not acquired and recorded the transaction as an asset acquisition as a result. We determined that drug candidates pertaining to APIRx had no alternative future use at the time of acquisition and charged $35.3 million, including transaction costs of $2.43 million, to the acquisition of IPR&D expense as of the date of acquisition.
Previous report
General and administrative expenses decreased by $4.0 million for the fiscal year ended June 30, 2025 compared to the fiscal year ended June 30, 2024. The decrease was mainly due to a decrease of $6.3 million (from $8.9 million to $2.6 million) in equity compensation and benefits for employees and directors, primarily driven by less amortization expense incurred as the equity compensation was issued in May 2025 (compared to the prior period the equity compensation was issued in December 2024). This decrease was partially offset by an increase of $1.4 million (from $2.8 million to $4.2 million) in salaries, and other employee benefits, which resulted from the appointment of Chief Medical Officer and additional middle management positions during the period. Additionally, compliance, legal and regulatory expenses increased by $0.8 million (from $3.1 million to $3.9 million) primarily due to enhanced reporting obligations.
Previous report
Benefit from R&D tax credit decreased by $9.7 million (from $11.4 million to $1.8 million) for the fiscal year ended June 30, 2025 compared to the fiscal year ended June 30, 2024. The decrease primarily due to the multiple years of tax incentives being granted and successful lodgement of overseas findings on the Company’s lead assets, which we revised the estimates for the R&D tax incentive receivable, primarily based on historical experience of claims in the fiscal year ended June 30, 2024.
Previous report
Cash provided by financing activities increased by $21.4 million in the fiscal year ended June 30, 2025, compared to the fiscal year ended June 30, 2024. This increase was primarily driven by share issuance proceeds of $48.3 million, partially offset by cash outflows related to financing arrangements entered into during the year, including the cancellation of warrants amounting to $24.8 million and the repayment of convertible debt totaling $3.8 million.
Reworded paragraphs (17)
Previous wording
Comparison of Fiscal Years Ended June 30, 2025 to June 30, 2024
Current wording
Comparison of Fiscal Year Ended June 30, 2026 to June 30, 2025
Previous wording
During the fiscal year ended June 30, 2025, we generated revenue from clinic patients for rehabilitation services. This figure reflects the consideration to which the Company expects to be entitled in exchange for those services. Revenue increased approximately 617% when compared to revenues generated during the fiscal year ended June 2024 primarily as a result of our expansion of these services. We have not generated any revenue from the sale of products. We do not expect to generate material revenues unless and until our drug candidates are approved.
Current wording
During the fiscal year ended June 30, 2025, we generated revenue from clinic patients for rehabilitation services. This figure reflects the consideration to which the Company expects to be entitled in exchange for those services. During the fiscal year ended June 30, 2026, the Company did not generate any revenue from clinic patients for rehabilitation services We have not generated any revenue from the sale of products. We do not expect to generate material revenues unless and until our drug candidates are approved.
Previous wording
Foreign exchange losses increased by $0.3 million for the fiscal year ended June 30, 2025 compared to the fiscal year ended June 30, 2024, primarily due to unfavorable currency exchange rates during the period.
Current wording
Foreign exchange losses decreased by $0.3 million for the fiscal year ended June 30, 2026 compared to the fiscal year ended June 30, 2025, primarily due to favorable currency exchange rates during the period.
Previous wording
On October 17, 2024, we issued a convertible debenture as part of a financing arrangement. The convertible debenture was repaid in full on March 13, 2025, and the convertible rights associated with the convertible debenture were derecognized along with the debt repayment. The changes in the fair value of the convertible rights amounted to $0.3 million for the fiscal year ended June 30, 2025.
Current wording
On October 17, 2024, we issued a convertible debenture as part of a financing arrangement. The convertible debenture was repaid in full on March 13, 2025, and the convertible rights associated with the convertible debenture were derecognized along with the debt repayment.
Previous wording
In 2024 and 2025 we issued warrants in connection with our equity line of credit financing, convertible debenture financing and private investment in public equity financing. These warrants were subsequently exercised or cancelled later during the year. The changes in the fair value of warrant liabilities amounted to $21.9 million for the fiscal year ended June 30, 2025.
Current wording
In 2025 and 2026, the Company issued warrants in connection with its equity line of credit financing, convertible debenture financing and private investment in public equity financing transactions, including warrants issued in March 2026. Certain of these warrants were classified as liabilities and measured at fair value, with changes in fair value recognized in profit or loss. As a result of the remeasurement of these warrant liabilities, the changes in the fair value of warrant liabilities amounted to a loss of $0.6 million for the fiscal year ended June 30, 2026.
Previous wording
As mentioned above, the convertible debenture was repaid in full on March 13, 2025, and the associated convertible rights were derecognized along with the debt repayment. This resulted in a total loss on extinguishment of $1.5 million, comprising a $1.0 million loss on the debt host contract and $0.5 million related to the associated convertible rights.
Current wording
As mentioned above, the convertible debenture was repaid in full on March 13, 2025, and the associated convertible rights were derecognized along with the debt repayment. This resulted in a total loss on extinguishment of$1.5 million, comprising a $1.0 million loss on the debt host contract and $0.5 million related to the associated convertible rights.
Previous wording
We entered into an equity line of credit purchase agreement in September 2024 and as part of that arrangement, we issued shares as commitment fee to secure the equity line of credit facility. The commitment fee expense incurred for the fiscal year ended June 30, 2025 as a result of these share issuances was $1.1 million.
Current wording
We entered into an equity line of credit purchase agreement in September 2024 and as part of that arrangement, we issued shares as a commitment fee to secure the equity line of credit facility. The commitment fee expense incurred for the fiscal year ended June 30, 2025 as a result of these share issuances was$1.1 million.
Previous wording
Currency translation adjustment, net of tax increased by $0.3 million for the fiscal year ended June 30, 2025 compared to the fiscal year ended June 30, 2024. The increase resulted primarily from the translation of financial statements from the functional currency to U.S. dollars. For certain of our international subsidiaries, the local currency is the functional currency, and their financial statements are then translated into U.S. dollars for reporting purposes. See Note 2 to our financial statements included in this Annual Report for further information, under the heading “Foreign Currency Translation.”
Current wording
Currency translation adjustment, net of tax decreased by $0.7 million for the fiscal year ended June 30, 2026 compared to the fiscal year ended June 30, 2025. The decrease resulted primarily from the translation of financial statements from the functional currency to U.S. dollars. For certain of our international subsidiaries, the local currency is the functional currency, and their financial statements are then translated into U.S. dollars for reporting purposes. See Note 2 to our financial statements included in this Annual Report for further information, under the heading “Foreign Currency Translation.”
Previous wording
We incurred total comprehensive losses of $46.7 million and $18.5 million for the fiscal years ended June 30, 2025 and 2024, respectively. The increase in net loss is attributable to a $24.3 million increase driven by financing activities, including changes in the fair value of warrants and convertible debt, as well as loss on extinguishment of debt during the fiscal year ended June 30, 2025. As of June 30, 2025, we had accumulated comprehensive losses of $157.6 million.
Current wording
We incurred total comprehensive losses of $19.8 million and $46.7 million for the fiscal years ended June 30, 2026 and June 30, 2025, respectively. The decrease in net loss was primarily attributable to a $26.9 million in financing-related losses recognized during the fiscal year ended June 30, 2025, including changes in the fair value of warrants and convertible debt, as well as loss on extinguishment of debt which were not incurred to the same extent during the fiscal year ended June 30, 2026.
Previous wording
As of June 30, 2025, we had cash and cash equivalents of $15.0 million. Although we expect our negative cash flows from operating activities to continue, we believe our current cash balances, together with anticipated cash flows and available financing arrangements, provide sufficient resources to meet our obligations and sustain operations for at least one year from the issuance date of the financial statements in this Annual Report.
Current wording
As of June 30, 2026, we had cash and cash equivalents of $67.7 million. We believe our current cash balances, together with anticipated cash flows and available financing arrangements, provide sufficient resources to meet our obligations and sustain operations for at least one year from the issuance date of the financial statements in this Annual Report.
Previous wording
For the fiscal year ended June 30, 2025, we experienced net cash outflows from operating activities of $12.5 million, a decrease of $3.3 million compared to the fiscal year ended June 30, 2024. As of June 30, 2025, we had cash and cash equivalents of $15.0 million, an increase of $9.2 million compared to our cash and cash equivalents as of June 30, 2024 of $5.9 million. As of June 30, 2025, our current assets exceed our current liabilities by $13.0 million, a $2.4 million increase compared to the difference between our current assets and current liabilities as of June 30, 2024 of $10.6 million.
Current wording
For the fiscal year ended June 30, 2026, we experienced net cash outflows from operating activities of $12.9 million, an increase of $0.4 million compared to the fiscal year ended June 30, 2025. As of June 30, 2026, we had cash and cash equivalents of $67.7 million, an increase of $52.7 million compared to our cash and cash equivalents as of June 30, 2025 of $15.0 million. As of June 30, 2026, our current assets exceed our current liabilities by $71.3 million, a $58.4 million increase compared to the difference between our current assets and current liabilities as of June 30, 2025 of $13.0 million.
Previous wording
As of the date of this Annual Report, we believe there is no longer substantial doubt about our ability to continue as a going concern. Although we have not yet established an ongoing source of revenue sufficient to cover all operating and capital expenditure requirements, including any potential payments pursuant to debentures, recent improvements in our financial position provide reasonable assurance that we will continue as a going concern for at least twelve months from the date of the financial statements.
Current wording
As of the date of this Annual Report, we believe there is no longer substantial doubt about our ability to continue as a going concern. Although we have not yet established an ongoing source of revenue sufficient to cover all operating and capital expenditure requirements, including any potential payments pursuant to debentures, recent improvements in our financial position provide reasonable assurance that we will continue as a going concern for at least twelve months from the date of the financial statements. We expect to continue to require substantial capital to fund our operations beyond this period.
Previous wording
Historically, we have financed our operations to date primarily through partnerships, funds received from public offerings of common stock, a debt financing facility, as well as funding from governmental bodies. We continue to plan for additional capital through the sale of common stock in public offerings and/or private placements, debt financings, or through other capital sources, including pursuant to the ATM, collaborations with other companies or other strategic transactions. While there can be no assurance that these plans will be completed successfully or at all, our current financial position and resources mitigate prior concerns related to going concern uncertainties.
Current wording
Historically, we have financed our operations to date primarily through partnerships, funds received from public offerings of common stock, a debt financing facility, as well as funding from governmental bodies. We continue to plan for additional capital through the sale of common stock in public offerings and/or private placements, debt financings, or through other capital sources collaborations with other companies or other strategic transactions. While there can be no assurance that these plans will be completed successfully or at all, our current financial position and resources mitigate prior concerns related to going concern uncertainties.
Previous wording
During the three months ended June 30, 2025, we sold 163,283,465 shares of common stock for aggregate gross proceeds of $40.2 million and net proceeds of approximately $38.7 million after deducting $1.5 million in commissions payable to the sales agent. As of September 29, 2025, our unrestricted cash and cash equivalents were $73.4 million. Based on our unrestricted cash and cash equivalents as of September 29, 2025, we anticipate that we will be able to fund our planned operating expenses and capital expenditure requirements for at least twelve months from the date of the financial statements included in this Annual Report. We have based these estimates on assumptions that may prove to be wrong, and we could use our capital resources sooner than we currently expect.
Current wording
As of September 24, 2026, our unrestricted cash and cash equivalents were $68.4 million. Based on our unrestricted cash and cash equivalents as of September 24, 2026, we anticipate that we will be able to fund our planned operating expenses and capital expenditure requirements for at least twelve months from the date of the financial statements included in this Annual Report. We have based these estimates on assumptions that may prove to be wrong, and we could use our capital resources sooner than we currently expect. Inflation has not had a material impact on our operations or financial condition during the periods presented; however, sustained inflationary pressures could increase the cost of clinical trials, third-party manufacturing and general administration, which could cause us to use our cash resources faster than currently anticipated.
Previous wording
Net cash used in operating activities decreased by $3.3 million in the fiscal year ended June 30, 2025 compared to the fiscal year ended June 30, 2024. The decrease was primarily driven by a $6.3 million reduction in share-based compensation expense (from $8.9 million to $2.6 million) and a decrease in cash paid related to trade and other payables of $1.6 million (from $3.0 million to $1.4 million), partially offset by an increase in R&D tax incentive received of $15.4 million (from outflow of $9.8 million to inflow of $5.6 million).
Current wording
Net cash used in operating activities increased by $0.4 million in the fiscal year ended June 30, 2026 compared to the fiscal year ended June 30, 2025. The increase was primarily driven by a decrease in trade and other payables of $3.5 million (from an increase of $1.4 million in 2025 to a decrease of $2.1 million in 2026) and a decrease in cash generated from movements in the R&D tax incentive receivable of $5.8 million (from an inflow of $5.6 million in 2025 to an outflow of $0.2 million in 2026), partially offset by an increase in share-based compensation expense of $4.9 million (from $2.6 million to $7.6 million).
Previous wording
Net cash used in investing activities decreased by $0.3 million in the fiscal year ended June 30, 2025 compared to fiscal year ended June 30, 2024. The decrease was due to less spending on property, plant and equipment.
Current wording
Net cash used in investing activities increased by $0.1 million in the fiscal year ended June 30, 2026 compared to fiscal year ended June 30, 2025. The increase was driven by spending on investment of joint venture.
Previous wording
Benefit from R&D tax credit consists of the R&D tax credit received in Australia, which is recorded within other income (expense), net. The Company recognizes grants once both of the following conditions are met: (i) the Company is able to comply with the relevant conditions of the grant and (ii) the grant is received.
Current wording
Benefit from R&D tax credit consists of the R&D tax credit received in Australia, which is recorded within other income (expense), net. The Company recognizes grants once both of the following conditions are met: (i) the Company is able to comply with the relevant conditions of the grant and (ii) the grant will be received.