BURCON NUTRASCIENCE CORPORATION Burcon NutraScience Corporation
Condensed Consolidated Interim Financial Statements
Three and six months ended September 30, 2021 and 2020
(Unaudited)
(Prepared in Canadian dollars)
BURCON NUTRASCIENCE CORPORATION Condensed Consolidated Interim Balance Sheets (Unaudited)
As at September 30, 2021 and March 31, 2021
(in Canadian dollars)
September 30, | March 31, | ||
2021 | 2021 | ||
$ | $ | ||
ASSETS | |||
Current assets | |||
Cash and cash equivalents | 10,880,708 | 13,972,659 | |
Amounts receivable (notes 4 and 10) | 278,777 | 338,715 | |
Inventory | - | 132,473 | |
Prepaid expenses | 277,309 | 154,757 | |
11,436,794 | 14,598,604 | ||
Property and equipment | 970,356 | 1,005,760 | |
Deferred development (notes 6 and 7) | 5,507,214 | 4,463,748 | |
Investment in and loan to Merit Functional Foods Corporation (note | |||
4) | 14,661,404 | 16,401,703 | |
Goodwill | 1,254,930 | 1,254,930 | |
33,830,698 | 37,724,745 | ||
LIABILITIES | |||
Current liabilities | |||
Accounts payable and accrued liabilities (note 10) | 844,660 | 1,418,049 | |
Lease liability | 8,974 | 28,431 | |
853,634 | 1,446,480 | ||
Lease liability | 67,652 | 5,266 | |
921,286 | 1,451,746 | ||
SHAREHOLDERS' EQUITY (note 6) | |||
Capital stock | 114,483,571 | 114,106,836 | |
Contributed surplus | 14,240,360 | 14,058,654 | |
Options | 7,154,616 | 6,490,537 | |
Warrants | 543,861 | 594,621 | |
Deficit | (103,512,996) | (98,977,649) | |
32,909,412 | 36,272,999 | ||
33,830,698 | 37,724,745 |
Subsequent events (note 15)
Approved by the Audit Committee of the Board of Directors
"Douglas Gilpin" | "D. Lorne Tyrrell" |
_________________________________ | _________________________________ |
Director | Director |
The accompanying notes are an integral part of these condensed consolidated interim financial statements.
BURCON NUTRASCIENCE CORPORATION
Condensed Consolidated Interim Statements of Operations and Comprehensive (Loss) Income (Unaudited)
For the three and six months ended September 30, 2021 and 2020
(Prepared in Canadian dollars)
Three months ended | Six months ended | ||||
September 30 | September 30 | ||||
2021 | 2020 | 2021 | 2020 | ||
$ | $ | $ | $ | ||
REVENUE | |||||
Royalty income (notes 4 and 1(b)) | 31,660 | 131 | 49,625 | 8,646 | |
EXPENSES | |||||
Research and development (note 7) | 238,412 | 50,753 | 680,196 | 151,243 | |
Intellectual property | 182,237 | 173,444 | 341,022 | 312,219 | |
General and administrative (note 8) | 926,669 | 827,124 | 1,939,409 | 1,484,072 | |
1,347,318 | 1,051,321 | 2,960,627 | 1,947,534 | ||
LOSS FROM OPERATIONS | (1,315,658) | (1,051,190) | (2,911,002) | (1,938,888) | |
Interest and other income (notes 4 and | |||||
10) | 104,654 | 219,109 | 213,021 | 368,670 | |
Management fee income | |||||
(notes 4 and 10) | 24,645 | 54,232 | 86,473 | 163,547 | |
Gain on dilution of investment in Merit | |||||
Functional Foods Corp. (note 4) | - | 6,384,942 | - | 6,384,942 | |
Share of loss in Merit Functional Foods | |||||
Corp. (note 4) | (158,933) | (948,972) | (1,907,030) | (1,331,148) | |
Interest expense (note 5) | (9,390) | (280,206) | (16,841) | (668,229) | |
Other | 1,157 | (632) | 32 | (2,311) | |
(LOSS) INCOME AND | |||||
COMPREHENSIVE (LOSS) | |||||
INCOME FOR THE PERIOD | (1,353,525) | 4,377,283 | (4,535,347) | 2,976,583 | |
BASIC AND DILUTED (LOSS) | |||||
INCOME PER SHARE (note 9) | (0.01) | 0.04 | (0.04) | 0.03 |
The accompanying notes are an integral part of these condensed consolidated interim financial statements.
BURCON NUTRASCIENCE CORPORATION
Condensed Consolidated Interim Statements of Changes in Shareholders' Equity (Unaudited)
For the six months ended September 30, 2021 and 2020
(Prepared in Canadian dollars)
Number of | Capital | Contributed | Options | Warrants | Convertible | Deficit | Total | ||
fully paid | stock | surplus | $ | $ | debentures | $ | shareholders' | ||
common | $ | $ | $ | equity | |||||
shares | $ | ||||||||
Balance - March 31, 2020 | 96,799,638 | 98,046,103 | 9,030,861 | 9,673,821 | 1,792,168 | 2,762,927 | (98,360,157) | 22,945,723 | |
Income and comprehensive | |||||||||
income for the period | - | - | - | - | - | - | 2,976,583 | 2,976,583 | |
Shares issued | 9,405,101 | 10,695,613 | - | - | (171,600) | (2,762,927) | - | 7,761,086 | |
Issue costs | - | (4,284) | - | - | (785) | - | - | (5,069) | |
- | |||||||||
Options expired | - | - | 5,027,793 | (5,027,793) | - | - | - | ||
Stock-based compensation | |||||||||
expense | - | - | - | 393,656 | - | - | - | 393,656 | |
Balance - September 30, 2020 | 106,204,739 | 108,737,432 | 14,058,654 | 5,039,684 | 1,619,783 | - | (95,383,574) | 34,071,979 | |
Balance, March 31, 2021 | 108,431,377 | 114,106,836 | 14,058,654 | 6,490,537 | 594,621 | - | (98,977,649) | 36,272,999 | |
Loss and comprehensive loss for | |||||||||
the period | - | - | - | - | - | - | (4,535,347) | (4,535,347) | |
Warrants exercised | 105,750 | 262,260 | - | - | (50,760) | - | - | 211,500 | |
Options exercised | 72,117 | 114,475 | - | (54,410) | - | - | - | 60,065 | |
Options expired | - | - | 181,706 | (181,706) | - | - | - | - | |
Stock-based compensation | |||||||||
expense | - | - | - | 900,195 | - | - | - | 900,195 | |
Balance - September 30, 2021 | 108,609,244 | 114,483,571 | 14,240,360 | 7,154,616 | 543,861 | - | (103,512,996) | 32,909,412 | |
The accompanying notes are an integral part of these condensed consolidated interim financial statements.
BURCON NUTRASCIENCE CORPORATION Condensed Consolidated Interim Statements of Cash Flows (Unaudited)
For the six months ended September 30, 2021 and 2020
(Prepared in Canadian dollars)
2021 | 2020 | |
$ | $ | |
CASH FLOWS FROM OPERATING ACTIVITIES | ||
(Loss) income for the period | (4,535,347) | 2,976,583 |
Items not affecting cash | ||
Amortization of property and equipment | 63,123 | 53,931 |
Inventory expensed as research and development costs | 132,186 | - |
Unrealized foreign exchange (gain) loss | (2,234) | 2,138 |
Interest accretion | (166,731) | (149,437) |
Finance income | (798) | (3,288) |
Interest expense | 16,841 | 668,320 |
Gain on dilution of investment in Merit Functional Foods | ||
Corporation | - | (6,384,942) |
Share in loss of Merit Functional Foods Corporation | 1,907,030 | 1,331,148 |
Stock-based compensation expense | 556,089 | 292,461 |
Changes in non-cash working capital items | (2,029,841) | (1,213,086) |
Amounts receivable | 59,938 | 87,890 |
Inventory | 287 | (151,423) |
Prepaid expenses | (125,310) | 151,438 |
Accounts payable and accrued liabilities | (384,657) | 311,555 |
(2,479,583) | (813,626) | |
Interest received | (21,847) | (14,897) |
Interest paid | - | (572,097) |
Net cash used in operating activities | (2,501,430) | (1,400,620) |
CASH FLOWS FROM INVESTING ACTIVITIES | ||
Interest received | 21,847 | 14,897 |
Development costs deferred | (808,863) | (1,048,117) |
Acquisition of property and equipment | (29,724) | (632,536) |
(816,740) | (1,665,756) | |
CASH FLOWS FROM FINANCING ACTIVITIES | ||
Issue of capital stock | 271,566 | 715,000 |
Share issue costs | - | (234,520) |
Lease payments | (47,581) | (44,227) |
223,985 | 436,253 | |
FOREIGN EXCHANGE GAIN (LOSS) ON CASH AND CASH | ||
EQUIVALENTS | 2,234 | (2,138) |
DECREASE IN CASH AND CASH EQUIVALENTS | (3,091,951) | (2,632,261) |
CASH AND CASH EQUIVALENTS - BEGINNING OF PERIOD | 13,972,659 | 15,030,988 |
CASH AND CASH EQUIVALENTS - END OF PERIOD | 10,880,708 | 12,398,727 |
The accompanying notes are an integral part of these condensed consolidated interim financial statements.
This is an excerpt of the original content. To continue reading it, access the original document here.
Attachments
- Original document
- Permalink
Disclaimer
Burcon NutraScience Corporation published this content on 15 November 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 15 November 2021 21:26:06 UTC.
