Dror Ortho-Design Inc (DROR) Quarterly 10-Q Report

Dror Ortho-Design, Inc. has submitted its 10-Q filing for the quarterly period ended September 30, 2024.

The filing includes financial statements for the quarter, showing an increase in research and development expenses to $451,030 from $325,360 in the same quarter the previous year. This increase is attributed to heightened development activities for the company's new product.

General and administrative expenses for the quarter were $307,593, compared to $227,484 in the same quarter of the previous year. The increase is primarily due to higher salaries and professional fees.

The company reported a share-based compensation expense of $543,101 for the quarter, significantly up from $2,516 in the previous year, due to the modification of stock options as part of a share exchange.

Other expenses totaled $525,211 for the quarter, compared to $1,824 of income in the previous year, primarily due to liquidated damages accrual and exchange rate differences.

Net loss for the quarter was $1,826,935, compared to $553,536 in the previous year. The increase in net loss is largely due to higher operating expenses and other expenses.

Cash used in operating activities was $2,178,725 for the nine months ended September 30, 2024, compared to $1,736,810 in the previous year. The company had a cash balance of $1,143,269 as of September 30, 2024.

The company has not yet generated any revenues and is dependent on external sources for financing its operations. Management has expressed substantial doubt about the company's ability to continue as a going concern.

The filing also details a registration rights agreement with private placement investors and an amendment to this agreement, which resulted in a liquidated damages liability of $520,000.

Dror Ortho-Design continues to focus on the development of its orthodontic alignment platform and is preparing for FDA clearance of its new product.

This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Dror Ortho-Design Inc. quarterly 10-Q report dated November 14, 2024. To report an error, please email [email protected].