Non-Invasive Monitoring Systems Reports $77,000 Net Loss and Ongoing Financial Challenges

Non-Invasive Monitoring Systems, Inc. (NIMS) reported its financial results for the three months ended October 31, 2024, revealing a net loss of $77,000, a decrease from the $88,000 loss recorded in the same period of the previous year. The company’s total operating costs and expenses remained stable at $63,000, down from $75,000 in the prior year, primarily due to reductions in general and administrative expenses. The company’s cash position decreased to $15,000 from $25,000 at the end of the previous quarter, reflecting ongoing challenges in maintaining liquidity.

The company continues to operate with a significant shareholders' deficit of $802,000 as of October 31, 2024, compared to $725,000 at the end of July 2024. This deficit is attributed to the cumulative losses over time, which have raised substantial doubt about the company's ability to continue as a going concern. NIMS has no current operations or inventory, having discontinued its previous product lines in May 2019, and is now classified as a shell company. The company is actively seeking potential mergers, acquisitions, and strategic collaborations to revitalize its business.

In terms of financing, NIMS reported a net cash used in operating activities of $65,000 for the quarter, slightly higher than the $61,000 used in the same period last year. The company secured $55,000 in financing from related party promissory notes during the quarter, a significant decrease from the $200,000 raised in the same period of 2023. The total notes payable to related parties increased to $555,000 from $500,000, reflecting ongoing reliance on related party financing to support operations.

NIMS has maintained a consistent number of shares outstanding, with 154,810,655 shares of common stock issued and outstanding as of October 31, 2024. The company has not issued any new shares during the reporting period. The management has acknowledged the need for additional financing to meet anticipated cash requirements over the next 12 months, indicating that the current cash reserves are insufficient for ongoing operational needs.

Looking ahead, NIMS faces significant challenges, including the need for external financing and the potential for further losses. The company’s management has expressed uncertainty regarding its ability to secure necessary funding, which could impact its operational viability. The financial statements reflect a cautious outlook, emphasizing the importance of strategic decisions in the coming months to navigate the current economic landscape and stabilize the company’s financial position.