Argenica Therapeutics (AGN) 2023年年度報告「ASX」.pdf

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1、Argenica Therapeutics Limited Appendix 4E Final report 1.Company details Name of entity:Argenica Therapeutics Limited ABN:78 637 578 753 Reporting period:For the year ended 30 June 2023 Previous period:For the year ended 30 June 2022 2.Results for announcement to the market$Revenues from ordinary ac

2、tivities up 511%to 1,810,896 Loss from ordinary activities after tax attributable to the owners of Argenica Therapeutics Limited up 18%to (4,815,044)Loss for the year attributable to the owners of Argenica Therapeutics Limited up 18%to (4,815,044)Dividends Amount per security Franked amount per secu

3、rity Cents Cents Final dividend for the year ended 30 June 2023 0.0 0.0 Interim dividend for the year ended 30 June 2023 0.0 0.0 No dividend has been declared.Comments The loss for the company after providing for income tax amounted to$4,815,044(30 June 2022:$4,090,752).Revenue during the period inc

4、luded a$1,377,917(30 June 2022:$259,098)R&D tax incentive rebate,interest income of$60,997(30 June 2022:$2,504),$350,000(30 June 2022:$Nil)in non-dilutive contributions from philanthropic donors via the Perron Institute for Neurological and Translational Science Ltd(Perron Institute)to progress prec

5、linical studies into the efficacy of the companys neuroprotective therapeutic drug ARG-007 in Alzheimers Disease and government grant income of$21,982(30 June 2022:$Nil).During the period,the company was awarded$1.2 million in non-dilutive grant funding under the federal governments Cooperative Rese

6、arch Centre Projects(CRC-P)program for the project“A novel therapeutic for the treatment of traumatic brain injury”.Operating expenses during the period were principally related to research and developments costs of a neuroprotective therapeutic drug,employee and corporate and administration expense

7、s and non-cash share-based payments.Research and development costs increased during the period to$4,308,080(30 June 2022:$2,496,053)with the completion of a Phase 1 trial and commencement of planning activities for a Phase 2 trial of ARG-007 in ischaemic stroke patients.Share-based payments consist

8、of the expensing of options issued to employees and contractors.Net operating cash outflows for the period were$3,330,316(30 June 2022:$3,361,673)with an increase in non-dilutive cash funding supporting an increase in expenditure on research and development activities.Non-dilutive cash funding was r

9、eceived from the companys R&D Tax incentive claim for the year ended 30 June 2022 of$1,377,917(30 June 2022:$259,098),contributions from the Perron Institute inclusive of GST of$350,000(30 June 2022:$Nil)and government grant received inclusive of GST of$721,104(30 June 2022:$Nil).The Australian Comm

10、onwealth Governments R&D Tax incentive program provides a cash refund on eligible research and development activities performed by Australian companies.Net financing cash inflows for the period were$3,725,015 following a placement to professional and sophisticated investors in June 2023 of 11,428,57

11、2 shares at an issue price of$0.35 per share raising$4,000,000(before transaction costs).The company had a net asset position at 30 June 2023 of$7,666,440(30 June 2022:$8,307,491).The net asset position included$9,289,156 of cash and cash equivalents(30 June 2022:$8,914,457)and deferred income of$65

12、9,069(30 June 2022:$Nil)being the unearned portion of the$681,051(GST exclusive)government grant received by the company during the period in relation to the CRC-P grant.Revenue recognised for this grant amounted to$21,982(30 June 2022:$Nil).Argenica Therapeutics Limited Appendix 4E Final report The

13、 company has used the cash and assets in a form readily convertible to cash that it had at the time of the companys admission to the Official List of the ASX on Wednesday 9 June 2021 in a way consistent with its business objectives up to 30 June 2023.As an early-stage company,the companys business m

14、odel is highly dependent on the achievement of continued pre-clinical and clinical development success,future funding,regulatory approvals,customer engagement and general financial and economic factors.3.Net tangible assets Reporting period Previous period Cents Cents Net tangible assets per ordinar

15、y security 7.79 9.47 4.Control gained over entities Not applicable.5.Loss of control over entities Not applicable.6.Details of associates and joint venture entities Not applicable.7.Audit qualification or review The financial statements have been audited and an unqualified opinion has been issued.8.

16、Attachments The Annual Report of Argenica Therapeutics Limited for the year ended 30 June 2023 is attached.9.Signed Signed _ Date:22 August 2023 Geoffrey Pocock Director Argenica Therapeutics Limited ABN 78 637 578 753 Annual Report 30 June 2023 Argenica Therapeutics Limited Corporate directory 30 J

17、une 2023 1 Directors Mr Geoff Pocock Dr Liz Dallimore Dr Sam South Ms Liddy McCall Mr Terry Budge Company secretary Ms Emma Waldon Registered office Unit 4,117 Broadway Nedlands WA 6009 Principal place of business Unit 4,117 Broadway Nedlands WA 6009 Share register Link Administration Services Pty L

18、imited QV1 Building,Level 12,250 St Georges Terrace Perth WA 6000 Auditor RSM Australia Partners Level 32,2 The Esplanade Perth WA 6000 Solicitors HWL Ebsworth Level 20,240 St Georges Terrace,Alluvion Perth WA 6000 Bankers BankWest Level 26 45 Clarence Street Sydney NSW 2000 Stock exchange listing A

19、rgenica Therapeutics Limited shares are listed on the Australian Securities Exchange(ASX code:AGN)Website .au Corporate Governance Statement https:/.au/investors/#corporate-governance Argenica Therapeutics Limited Chairman and Managing Directors Letter 30 June 2023 2 On behalf of the Board,we are pl

20、eased to present the 2023 Annual Report to shareholders.Argenica Therapeutics Limited(ASX:AGN)(“Argenica”or the“company”)is a biotechnology company developing novel therapeutics to reduce brain tissue death after stroke,and other types of brain injury.The year has been pivotal for Argenica with the

21、successful completion of the first in-human Phase 1 clinical trial for the companys lead candidate ARG-007.We now have quality assured data showing ARG-007 is safe and well tolerated in healthy humans,and is fast acting,reaching its maximum concentration in the blood at 10 minutes but with a relativ

22、ely long half-life to exert its action for longer.With 1.9 million brain cells dying every minute after stroke,time to maximum drug concentration is critical.This Phase 1 data allows Argenica to progress into Phase 2 trials in acute indications,including ischaemic stroke,hypoxic ischaemic encephalop

23、athy,and moderate to severe traumatic brain injury.Argenicas strategic priority is to advance ARG-007 through clinical trials in acute ischaemic stroke.Globally,stroke is one of the leading causes of mortality and disability and there are substantial economic costs for post-stroke care.However,despi

24、te considerable and ongoing research,there are currently no universally marketed treatments capable of protecting the brain from damage following stroke.The search for widely applicable and effective neuroprotective agents for diverse patient populations remains urgent and Argenica sees a large comm

25、ercial opportunity responding to this clinical unmet need.In June 2023,Argenica was pleased to secure additional funding via a$4.0 million placement which will enable the company to commence a Phase 2 trial of ARG-007 in ischaemic stroke patients.Planning activities for this trial are significantly

26、advanced with global Clinical Research Organisation ProPharma engaged,who have extensive experience in supporting acute trials in emergency settings.Site start-up activities at each of the proposed clinical trial sites have commenced,with global stroke leader Prof Graeme Hankey(the trials National C

27、oordinating Principal Investigator)and key trial personnel engaging the Neurology and Stroke Departments at each of the proposed trial sites to provide background on the trial and determine the most appropriate Principal Investigator Neurologist at each hospital.Argenica has submitted an ethics appl

28、ication seeking approval for its Phase 2 trial of ARG-007 to St Vincents Hospital Melbournes Human Research Ethics Committee,with a decision on the outcome expected in mid-September 2023.The ethics approval will allow Argenica to undertake its Phase 2 trial in up to 10 hospitals(trial sites)across A

29、ustralia.The drug manufacturing process has also been initiated and it is expected that the vials of sterilised ARG-007 will arrive at trial sites by mid-December 2023 ready for administration to patients as recruitment and dosing of patients commences in the first quarter of calendar year 2024.In p

30、arallel with planning for a Phase 2 clinical trial of ARG-007 in ischaemic stroke patients,Argenica is also actively undertaking preclinical studies to generate efficacy data required to progress ARG-007 into clinical trials for other neurological conditions where ARG-007 may have a therapeutic bene

31、fit,including hypoxic ischaemic encephalopathy(HIE)traumatic brain injury(TBI)and Alzheimers Disease.During the year,over$4 million in non-dilutive grant and philanthropic funding was secured to support further preclinical activities in these other neurological indications.Argenica is very appreciat

32、ive of the funding support received from the federal government,the Stan Perron Charitable Foundation,the McCusker Foundation,and donors to the Perron Institute to progress therapeutic areas of TBI,HIE and Alzheimers Disease.The program for the upcoming year is a busy and exciting one as we commence

33、 a Phase 2 trial in ischaemic stroke patients and advance pre-clinical studies in other key neurological conditions.We appreciate the ongoing support of all our shareholders,employees and research and clinical collaborators,and look forward to updating you on our future developments.Yours faithfully

34、 Geoff Pocock Liz Dallimore Chairman Managing Director and Chief Executive Officer Argenica Therapeutics Limited Argenica Therapeutics Limited Argenica Therapeutics Limited Directors Report 30 June 2023 3 The directors present their report,together with the financial statements,of Argenica Therapeut

35、ics Limited(referred to hereafter as the company)for the year ended 30 June 2023.Directors The following persons were directors of Argenica Therapeutics Limited during the whole of the financial year and up to the date of this report,unless otherwise stated:Mr Geoff Pocock Dr Liz Dallimore Dr Sam So

36、uth Ms Liddy McCall Mr Terry Budge Principal activities During the period the principal continuing activities of the company consisted of research and development of a neuroprotective therapeutic drug.Dividends There were no dividends paid during the financial year ended 30 June 2023(30 June 2022:ni

37、l).Review of operations The loss for the company after providing for income tax amounted to$4,815,044(30 June 2022:$4,090,752).Revenue during the period included a$1,377,917(30 June 2022:$259,098)R&D tax incentive rebate,interest income of$60,997(30 June 2022:$2,504),$350,000(30 June 2022:$Nil)in no

38、n-dilutive contributions from philanthropic donors via the Perron Institute for Neurological and Translational Science Ltd(Perron Institute)to progress preclinical studies into the efficacy of the companys neuroprotective therapeutic drug ARG-007 in Alzheimers Disease and government grant income of$

39、21,982(30 June 2022:$Nil).During the period,the company was awarded$1.2 million in non-dilutive grant funding under the federal governments Cooperative Research Centre Projects(CRC-P)program for the project“A novel therapeutic for the treatment of traumatic brain injury”.Operating expenses during th

40、e period were principally related to research and developments costs of a neuroprotective therapeutic drug,employee and corporate and administration expenses and non-cash share-based payments.Research and development costs increased during the period to$4,308,080(30 June 2022:$2,496,053)with the com

41、pletion of a Phase 1 trial and commencement of planning activities for a Phase 2 trial of ARG-007 in ischaemic stroke patients.Share-based payments consist of the expensing of options issued to employees and contractors.Net operating cash outflows for the period were$3,330,316(30 June 2022:$3,361,67

42、3)with an increase in non-dilutive cash funding supporting an increase in expenditure on research and development activities.Non-dilutive cash funding was received from the companys R&D Tax incentive claim for the year ended 30 June 2022 of$1,377,917(30 June 2022:$259,098),contributions from the Per

43、ron Institute inclusive of GST of$350,000(30 June 2022:$Nil)and government grant received inclusive of GST of$721,104(30 June 2022:$Nil).The Australian Commonwealth Governments R&D Tax incentive program provides a cash refund on eligible research and development activities performed by Australian co

44、mpanies.Net financing cash inflows for the period were$3,725,015 following a placement to professional and sophisticated investors in June 2023 of 11,428,572 shares at an issue price of$0.35 per share raising$4,000,000(before transaction costs).The company had a net asset position at 30 June 2023 of

45、$7,666,440(30 June 2022:$8,307,491).The net asset position included$9,289,156 of cash and cash equivalents(30 June 2022:$8,914,457)and deferred income of$659,069(30 June 2023:$Nil)being the unearned portion of the$681,051(GST exclusive)government grant received by the company during the period in re

46、lation to the CRC-P grant.Revenue recognised for this grant amounted to$21,982(30 June 2022:$Nil).The company has used the cash and assets in a form readily convertible to cash that it had at the time of the companys admission to the Official List of the ASX on Wednesday 9 June 2021 in a way consist

47、ent with its business objectives up to 30 June 2023.Argenica Therapeutics Limited Directors report 30 June 2023 4 As an early-stage company,the companys business model is highly dependent on the achievement of continued pre-clinical and clinical development success,future funding,regulatory approval

48、s,customer engagement and general financial and economic factors.Significant changes in the state of affairs There were no other significant changes in the state of affairs of the company during the financial year.Matters subsequent to the end of the financial year On 3 August 2023,800,000 ordinary

49、shares were issued on the exercise of 800,000 options with an exercise price of$0.30 each generating cash exercise proceeds of$240,000(before share issue costs).No matter or circumstance has arisen since 30 June 2023 that has significantly affected,or may significantly affect the companys operations

50、,the results of those operations,or the companys state of affairs in future financial years.Likely developments and expected results of operations Information on likely developments in the operations of the company and the expected results of operations have not been included in this report because

51、the directors believe it would be likely to result in unreasonable prejudice to the company.Environmental regulation The company is not subject to any significant environmental regulation under Australian Commonwealth or State law.Information on directors Name:Mr Geoff Pocock Title:Non-Executive Cha

52、irman Qualifications:B.Sc.,LLB Experience and expertise:Geoff is an experienced strategy consultant and commercialisation professional,with over 20 years experience across the commercialisation process.Geoffs experience has covered technical roles,executive management as well as significant corporat

53、e finance and strategy roles with a number of technology commercialisation ventures.Geoff is the Principal of Polaris Consulting(WA)Pty Ltd,a specialist boutique commercialisation strategy and corporate advisory business based in Western Australia.He is also currently an a Non-Executive Director of

54、EMVision Medical Devices Ltd(ASX:EMV)and the former Managing Director/Co-Founder of Hazer Group Limited(ASX:HZR)and Executive Director of Osteopore Ltd(ASX:OSX).Other current directorships:EMVision Medical Devices Ltd(ASX:EMV)Former directorships(last 3 years):Osteopore Ltd(ASX:OSX)Special responsib

55、ilities:Member of Audit&Risk Committee and Nomination&Remuneration Committee Interests in shares:4,436,690 Interests in options:500,000 Contractual rights to shares:None Argenica Therapeutics Limited Directors report 30 June 2023 5 Name:Dr Liz Dallimore Title:Managing Director and Chief Executive Of

56、ficer Qualifications:B.Sc.(Hons),MBA,PhD Experience and expertise:Dr Liz Dallimore is a research&development,innovation and commercialsation specialist with over 20 years experience across Australia and the UK.Prior to joining Argenica Therapeutics,Dr Dallimore was the Director of the WA Data Scienc

57、e Innovation Hub,tasked with working across WA businesses to establish innovative data science projects.Dr Dallimore has also held senior roles in management consulting across Australia,most recently as KPMGs National Director of Research Engagement and Commercialisation.Prior to this she held senio

58、r roles with Ernst&Young and PricewaterhouseCoopers.Dr Dallimore is a co-founder of medical device company Inspiring Holdings,sits on the AusBiotech WA Committee and is a non-executive Director of NERA,a Federal Government Growth Centre.Dr Dallimore has a PhD in Neuroscience jointly completed at Oxf

59、ord University and the University of Western Australia and has worked as a neuroscientist at the Australian Neuromuscular Research Institute(now Perron Institute).In 2020,Dr Dallimore was recognised at one of Western Australias Top Women in Tech.Other current directorships:None Former directorships(

60、last 3 years):None Special responsibilities:None Interests in shares:50,000 Interests in options:4,500,000 Contractual rights to shares:None Name:Dr Sam South Title:Executive Director Qualifications:PhD,MBA,BSc(Hons),GAICD Experience and expertise:Sam was formerly the Senior Commercialisation Office

61、r(Life Sciences)in the Research Development&Innovation office at The University of Western Australia(UWA)and has over 12 years experience in technology transfer in medtech/biotech sector,at The University of Queensland(UQ),Queensland University of Technology and UWA.Sam has extensive background in m

62、edical research at Weill Medical College at Cornell University(NY),UQ and The Garvan Institute in CNS research.She was also the Preclinical Manager at TetraQ,a preclinical contract organisation,specialising in central nervous system animal models.Sam was the UWA Director on UWA spin-out companies Mi

63、Reven Pty Ltd,Eridan Technologies Pty Ltd and OncoRes Medical Pty Ltd and is currently a Director of Rage Biotech Pty Ltd.Sam is also WA Ausbiotech Committee Chair,part of the Ausmedtech National Advisory Group and the SBE Life Sciences Council.Other current directorships:None Former directorships(l

64、ast 3 years):None Special responsibilities:None Interests in shares:2,000,000 Interests in options:1,000,000 Contractual rights to shares:None Argenica Therapeutics Limited Directors report 30 June 2023 6 Name:Ms Liddy McCall Title:Non-Executive Director Qualifications:LLB.,B.Juris,B.Com(Hons),GDipA

65、pFin(SIA),GAICD Experience and expertise:Liddy is co-founder of 3 biotechnology companies successfully achieving 3 FDA drug registrations and 1 FDA/CE Mark medical device approval.She is an inventor on patents granted in major jurisdictions translating novel G-protein coupled pharmacology into a the

66、rapeutic drug treatment currently in Phase 2 clinical trials.Liddy cofounded IIF venture capital fund,Yuuwa Capital LP.Liddy has over 25 years of experience in senior Board and management roles including Adalta Ltd(ASX:1AD),iCeutica Inc group(acquired in 2011),Dimerix Bioscience Pty Ltd(now Dimerix

67、Limited ASX:DXB)and iCetana Pty Ltd(now iCetana Limited ASX:ICE).Liddy was an Associate Director in the Corporate Advisory Group of Macquarie Bank and prior to that worked as a lawyer with a leading Australian law firm.She has qualifications in law and finance.Liddy is also a non-executive director

68、of the not-for profit Ear Science Institute Australia.Other current directorships:None Former directorships(last 3 years):Adalta Ltd(ASX:1AD)Special responsibilities:Chair of Nomination&Remuneration Committee and Member of Audit&Risk Committee Interests in shares:125,000 Interests in options:500,000

69、 Contractual rights to shares:None Name:Mr Terry Budge Title:Non-Executive Director Qualifications:B.Ecs,FAICD Experience and expertise:Terry has significant experience in senior management and board roles.A long term banker he spent 25 years with National Australia Bank in senior executive roles be

70、fore serving as Managing Director of Bankwest from 1997 to 2004.Since then he has had many non-executive director roles including Chancellor of Murdoch University from 2006 to 2013(appointed to Senate 1 June 2004).Terry was an independent director for Westoz Investment Company Limited(ASX:WIC)until

71、its acquisition by WAM Capital Ltd in 2023.Terry is a Graduate of the Advanced Management Program from Harvard Business School,a Graduate and Fellow of the Australian Institute of Company Directors(AICD)and a Senior Fellow of FINSIA.Other current directorships:None Former directorships(last 3 years)

72、:Westoz Investment Company Limited(ASX:WIC)Special responsibilities:Chair of Audit&Risk Committee and Member of Nomination&Remuneration Committee Interests in shares:487,520 Interests in options:500,000 Contractual rights to shares:None Other current directorships quoted above are current directorsh

73、ips for listed entities only and excludes directorships of all other types of entities,unless otherwise stated.Former directorships(last 3 years)quoted above are directorships held in the last 3 years for listed entities only and excludes directorships of all other types of entities,unless otherwise

74、 stated.Argenica Therapeutics Limited Directors report 30 June 2023 7 Company secretary Emma Waldon has held the role of Company Secretary since 20 November 2019.Emma has diverse corporate advisory,capital markets and corporate governance experience having held roles in accounting and debt and equit

75、y capital markets in Australia and the United Kingdom.Emma Waldon qualified as a Chartered Accountant with Ernst&Young in Perth,worked as an Equities Analyst with Euroz Securities and spent 9 years in London with Bank of Scotland and Lloyds Bank originating and re-structuring debt finance for privat

76、e equity leveraged buy-outs of businesses across Europe.Emma is currently Company Secretary of EMVision Medical Devices Ltd(ASX:EMV)and previously Company Secretary of Hazer Group Limited(ASX:HZR).Emma Waldon completed a Bachelor of Commerce at UWA,a Post Graduate Diploma in Applied Finance and Inve

77、stment from Securities Institute of Australia and is a member of the Institute of Chartered Accountants of Australia and a Certificated Member of the Governance Institute of Australia Meetings of directors The number of meetings of the companys Board of Directors(the Board)and of each Board committe

78、e held during the year ended 30 June 2023,and the number of meetings attended by each director were:Full board Nomination and Remuneration Committee Audit and Risk Committee Attended Held Attended Held Attended Held Geoff Pocock 6 6 -1 1 Sam South 6 6 -Liddy McCall 6 6 -1 1 Terry Budge 6 6 -1 1 Liz

79、Dallimore 6 6 -Held:represents the number of meetings held during the time the director held office or was a member of the relevant committee.Remuneration report(audited)The remuneration report details the key management personnel remuneration arrangements for the company,in accordance with the requ

80、irements of the Corporations Act 2001 and its Regulations.Key management personnel are those persons having authority and responsibility for planning,directing and controlling the activities of the entity,directly or indirectly,including all directors.The remuneration report is set out under the fol

81、lowing main headings:Principles used to determine the nature and amount of remuneration Details of remuneration Service agreements Share-based compensation Additional information Additional disclosures relating to key management personnel Principles used to determine the nature and amount of remuner

82、ation The objective of the companys executive reward framework is to ensure reward for performance is competitive and appropriate for the results delivered.The framework aligns executive reward with the achievement of strategic objectives and the creation of value for shareholders,and it is consider

83、ed to conform to the market best practice for the delivery of reward.The Board of Directors(the Board)ensures that executive reward satisfies the following key criteria for good reward governance practices:competitiveness and reasonableness acceptability to shareholders performance linkage/alignment

84、 of executive compensation transparency The Nomination and Remuneration Committee is responsible for determining and reviewing remuneration arrangements for its directors and executives.The performance of the company depends on the quality of its directors and executives.The remuneration philosophy

85、is to attract,motivate and retain high performance and high quality personnel.Argenica Therapeutics Limited Directors report 30 June 2023 8 The company has structured an executive remuneration framework that is market competitive and complementary to the reward strategy of the company.The reward fra

86、mework is designed to align executive reward to shareholders interests.The Board have considered that it should seek to enhance shareholders interests by:having value creation and capital growth in advance of economic profit as a core component of plan design;focusing on sustained growth in sharehol

87、der wealth,consisting of growth in share price and eventually dividends,and delivering constant or increasing return on assets as well as focusing on key non-financial drivers of value;and attracting and retaining high calibre executives Additionally,the reward framework should seek to enhance execu

88、tives interests by:rewarding capability and experience;reflecting competitive reward for contribution to growth in shareholder wealth;and providing a clear structure for earning rewards In accordance with best practice corporate governance,the structure of non-executive director and executive direct

89、or remuneration is separate.Non-executive directors remuneration Fees and payments to non-executive directors reflect the demands and responsibilities of their role.Non-executive directors fees and payments are reviewed annually by the Nomination and Remuneration Committee.The Nomination and Remuner

90、ation Committee may,from time to time,receive advice from independent remuneration consultants to ensure non-executive directors fees and payments are appropriate and in line with the market.Non-executive directors do not receive any retirement benefits,other than statutory superannuation.ASX listin

91、g rules require the aggregate non-executive directors remuneration be determined periodically by a general meeting.The most recent determination was via a resolution of all shareholders at a meeting held on 6 November 2020,where shareholders approved that the aggregate fixed remuneration for all non

92、-executive directors as determined by the Board is not to exceed$500,000 per annum.Directors fees cover all main board and committee activities.The level of non-executive director fixed fees as at the reporting date are as follows:Geoff Pocock$72,000 plus statutory superannuation per annum Liddy McC

93、all$30,000 plus statutory superannuation per annum Terry Budge$30,000 plus statutory superannuation per annum Non-executive directors may also receive performance related compensation via options following receipt of shareholder approval.The issue of share-based payments as part of non-executive dir

94、ector remuneration ensures that director remuneration is competitive with market standards as well as providing an incentive to pursue longer term success for the company.It also reduces the demand on the cash resources of the company and assists in ensuring the continuity of service of directors wh

95、o have extensive knowledge of the company,its business activities and assets and the industry in which it operates.Details of share-based compensation are contained in this report.Executive remuneration The company aims to reward executives based on their position and responsibility,with a level and

96、 mix of remuneration which has both fixed and variable components.The executive remuneration and reward framework has four components:base pay and non-monetary benefits short-term performance incentives share-based payments other remuneration such as superannuation and long service leave The combina

97、tion of these comprises the executives total remuneration.Fixed remuneration,consisting of base salary,superannuation and non-monetary benefits,are reviewed at least annually based on individual performance,the overall performance of the company and comparable market remunerations.Executives may rec

98、eive their fixed remuneration in the form of cash or other fringe benefits(for example motor vehicle benefits)where it does not create any additional costs to the company and provides additional value to the executive.Argenica Therapeutics Limited Directors report 30 June 2023 9 Performance based sh

99、ort-term incentives(STI)may be provided to executives to align the targets of the business with the targets of those executives responsible for meeting those targets.The long-term incentives(LTI)include long service leave and share-based payments.Shares and options may be awarded to executives based

100、 on long-term incentive measures including increasing shareholder value.Share-based LTIs issued to Directors are subject to shareholder approval.The Nomination and Remuneration Committee will review the long-term equity-linked performance incentives specifically for executives during the year ended

101、30 June 2023.Details of share-based compensation are contained in this report.Use of remuneration consultants The company did not engage the services of any remuneration consultants during the financial year.Voting and comments made at the companys Annual General Meeting(AGM)The company received 99.

102、59%“for”votes on its Remuneration Report for the year ended 30 June 2022.Details of remuneration Amounts of remuneration Details of the remuneration of key management personnel of the company are set out in the following tables.The key management personnel of the company consisted of the following d

103、irectors and management of Argenica Therapeutics Limited:Geoff Pocock Non-Executive Chairman Sam South-Executive Director Liddy McCall Non-Executive Director Terry Budge-Non-Executive Director Liz Dallimore Managing Director and Chief Executive Officer Short-term benefits Post-employment benefits Lo

104、ng-term benefits Share-based payments Cash salary Cash Non-Super-Long service Equity-settled Equity-settled and fees bonus monetary annuation leave shares options Total 2023$Non-Executive Directors:Geoff Pocock 72,000 -7,560 -3,748 83,308 Liddy McCall 30,000 -3,150 -3,748 36,898 Terry Budge 30,000 -

105、3,150 -3,748 36,898 Executive Directors:Liz Dallimore 250,000 -26,250 -398,705 674,955 Sam South 180,000 -18,900 -7,497 206,397 562,000 -59,010 -417,446 1,038,456 Argenica Therapeutics Limited Directors report 30 June 2023 10 Short-term benefits Post-employment benefits Long-term benefits Share-base

106、d payments Cash salary Cash Non-Super-Long service Equity-settled Equity-settled and fees bonus monetary annuation leave shares options Total 2022$Non-Executive Directors:Geoff Pocock 72,000 -7,200 -17,308 96,508 Liddy McCall 30,000 -3,000 -17,308 50,308 Terry Budge 30,000 -3,000 -17,308 50,308 Exec

107、utive Directors:Liz Dallimore*227,500 -22,750 -86,539 336,789 Sam South 180,000 -18,000 -34,616 232,616 539,500 -53,950 -173,079 766,529 *Appointed as Managing Director on 4 April 2022 in addition to existing role as Chief Executive Officer.The proportion of remuneration linked to performance and th

108、e fixed proportion are as follows:Fixed remuneration At risk-STI At risk-LTI Name 2023 2022 2023 2022 2023 2022 Non-Executive Directors:Geoff Pocock 96%82%-4%18%Liddy McCall 90%66%-10%34%Terry Budge 90%66%-10%34%Executive Director:Liz Dallimore 41%74%-59%26%Sam South 96%85%-4%15%Argenica Therapeutic

109、s Limited Directors report 30 June 2023 11 Service agreements Remuneration and other terms of employment for key management personnel are formalised in service agreements.Details of these agreements are as follows:Name:Liz Dallimore Title:Managing Director and Chief Executive Officer Agreement comme

110、nced:21 March 2021 Term of agreement:Open Details:Under the agreement,Liz Dallimore is entitled to receive an annual base salary of$250,000(excluding superannuation)from appointment as Managing Director on 4 April 2022,in addition to existing role as Chief Executive Officer.Prior to appointment as M

111、anaging Director,the base salary was$220,000(excluding superannuation)from Admission of the Company to the ASX.From Commencement Date until Admission of the Company to the ASX the base salary was$200,000(excluding superannuation)with engagement at 40%of a full-time equivalent(FTE)employee.The agreem

112、ent is for an indefinite term,continuing until terminated by either the Company or Liz Dallimore,giving not less than 3 months written notice of termination(or shorter periods in limited circumstances).Name:Sam South Title:Executive Director Agreement commenced:22 October 2020 Term of agreement:Open

113、 Details:Under the agreement,Sam South is entitled to receive a base salary of$180,000(excluding superannuation)from Admission of the Company to the ASX until termination.From Commencement Date until Admission of the Company to the ASX the base salary was$160,000(excluding superannuation)with engage

114、ment at 40%of a full-time equivalent(FTE)employee.The agreement is for an indefinite term,continuing until terminated by either the Company or Sam South,giving not less than 3 months written notice of termination(or shorter periods in limited circumstances).Key management personnel have no entitleme

115、nt to termination payments in the event of removal for misconduct.Share-based compensation Issue of shares There were no shares issued to directors and other key management personnel as part of compensation during the year ended 30 June 2023.Argenica Therapeutics Limited Directors report 30 June 202

116、3 12 Options The terms and conditions of each grant of options over ordinary shares affecting remuneration of directors and other key management personnel in this financial year or future reporting years are as follows:Number of Fair value options Vesting date and per option Name granted Grant date

117、exercisable date Expiry date Exercise price at grant date Geoff Pocock 250,000 14/04/2021 9/12/2021 30/09/2024$0.30$0.0523 Liddy McCall 250,000 14/04/2021 9/12/2021 30/09/2024$0.30$0.0523 Terry Budge 250,000 14/04/2021 9/12/2021 30/09/2024$0.30$0.0523 Sam South 500,000 14/04/2021 9/12/2021 30/09/202

118、4$0.30$0.0523 Liz Dallimore 1,250,000 14/04/2021 9/12/2021 30/09/2024$0.30$0.0523 Geoff Pocock 250,000 14/04/2021 9/12/2022 30/09/2024$0.30$0.0559 Liddy McCall 250,000 14/04/2021 9/12/2022 30/09/2024$0.30$0.0559 Terry Budge 250,000 14/04/2021 9/12/2022 30/09/2024$0.30$0.0559 Sam South 500,000 14/04/

119、2021 9/12/2022 30/09/2024$0.30$0.0559 Liz Dallimore 1,250,000 14/04/2021 9/12/2022 30/09/2024$0.30$0.0559 Liz Dallimore 1,000,0001 24/11/2022 3/3/2023 03/06/2025$0.65$0.2400 Liz Dallimore 1,000,0001 24/11/2022 3/12/2023 03/06/2025$0.65$0.2400 1 These options were awarded to Liz Dallimore(Managing Di

120、rector and Chief Executive Officer),on 3 June 2022 subject to shareholder approval.The grant date for accounting purposes is the date shareholder approval was obtained at the companys annual general meeting on 24 November 2022.The options have the following vesting conditions:1,000,000 options veste

121、d on 3 March 2023 after continuous service from issue date;and 1,000,000 options will vest on 3 December 2023 after continuous service from issue date.Options granted carry no dividend or voting rights.Values of options over ordinary shares granted,exercised and lapsed for directors and other key ma

122、nagement personnel as part of compensation during the year ended 30 June 2023 are set out below:Value of Value of Value of Value of Remuneration options options options options consisting of granted expensed exercised lapsed options during the during the during the during the for the year year year

123、year Year Name$%Geoff Pocock-3,748 -4%Liddy McCall-3,748 -10%Terry Budge-3,748 -10%Sam South-7,497 -4%Liz Dallimore 480,090 398,705 -59%480,090 417,446 -Argenica Therapeutics Limited Directors report 30 June 2023 13 Additional information The earnings of the company for the five years to 30 June 202

124、3 are summarised below:2023 2022 2021 2020 2019$Revenue 1,810,896 261,602 296,277 249 N/A EBITDA (4,874,991)(4,093,256)(1,029,501)(383,403)N/A EBIT (4,874,991)(4,093,256)(1,029,501)(383,403)N/A Loss after income tax (4,815,044)(4,090,752)(1,029,501)(383,403)N/A The factors that are considered to aff

125、ect total shareholders return(TSR)are summarised below:2023 2022 2021 2020 2019 Share price at financial year end($)0.375 0.43 0.20 N/A N/A Total dividends declared(cents per share)-N/A N/A Basic earnings per share(cents per share)(5.5)(5.5)(2.9)(2.3)N/A N/A Not applicable as Argenica Therapeutics L

126、imited was incorporated on 20 November 2019,admitted to the Official List of ASX on 9 June 2021,and commenced trading on the ASX on 11 June 2021.Additional disclosures relating to key management personnel Shareholding The number of shares in the company held during the financial year by each directo

127、r and other members of key management personnel of the company,including their personally related parties,is set out below:Balance at Received Balance at the start of as part of Disposals/the end of Ordinary shares the year remuneration Additions other the year Geoff Pocock 4,436,690 -4,436,690 Sam

128、South 2,000,000 -2,000,000 Liddy McCall 125,000 -125,000 Terry Budge 487,520 -487,520 Liz Dallimore 50,000 -50,000 7,099,210 -7,099,210 Option holding The number of options over ordinary shares in the company held during the financial year by each director and other members of key management personn

129、el of the company,including their personally related parties,is set out below:Balance at Expired/Balance at the start of forfeited/the end of Options over ordinary shares the year Granted Exercised other the year Geoff Pocock 500,000 -500,000 Sam South 1,000,000 -1,000,000 Liddy McCall 500,000 -500,

130、000 Terry Budge 500,000 -500,000 Liz Dallimore 2,500,000 2,000,000 -4,500,000 5,000,000 2,000,000 -7,000,000 Other transactions with key management personnel and their related parties Polaris Consulting(WA)Pty Ltd is an entity that Geoff Pocock has a relevant interest in.All transactions were made o

131、n normal commercial terms and conditions and at market rates.Argenica Therapeutics Limited Directors report 30 June 2023 14 2023 2022$Payment for services provided by Polaris Consulting(WA)Pty Ltd:Analyst support-17,000 Amounts owing as at 30 June:Polaris Consulting(WA)Pty Ltd -This concludes the re

132、muneration report,which has been audited.Shares under option Unissued ordinary shares of Argenica Therapeutics Limited under option at the date of this report are as follows:Grant date Expiry date Exercise Number price under option 14/04/2021 30/09/2024$0.30 7,100,000 09/06/2021 30/09/2024$0.30 1,20

133、0,000 02/01/2022 01/04/2025$1.10 300,000 03/06/2022 10/06/2024$0.65 600,000 06/07/2022 06/07/2025$0.65 125,000 24/11/2022 03/06/2025$0.65 2,000,000 09/06/2023 09/06/2026$0.65 1,000,000 12,325,000 No person entitled to exercise the options had or has any right by virtue of the option to participate i

134、n any share issue of the company or of any other body corporate.Shares issued on the exercise of options The following ordinary shares were issued during the year ended 30 June 2023 and up to the date of this report on the exercise of options granted:Series Grant date Expiry date Exercise Number of

135、price shares issued Series B 03/08/2021 06/08/2023$0.30 800,000 Indemnity and insurance of officers The company has indemnified the directors and executives of the company for costs incurred,in their capacity as a director or executive,for which they may be held personally liable,except where there

136、is a lack of good faith.During the financial year,the company paid a premium in respect of a contract to insure the directors and executives of the company against a liability to the extent permitted by the Corporations Act 2001.The contract of insurance prohibits disclosure of the nature of the lia

137、bility and the amount of the premium.Indemnity and insurance of auditor The company has not,during or since the end of the financial year,indemnified or agreed to indemnify the auditor of the company or any related entity against a liability incurred by the auditor.During the financial year,the comp

138、any has not paid a premium in respect of a contract to insure the auditor of the company or any related entity.Argenica Therapeutics Limited Directors report 30 June 2023 15 Proceedings on behalf of the company No person has applied to the Court under section 237 of the Corporations Act 2001 for lea

139、ve to bring proceedings on behalf of the company,or to intervene in any proceedings to which the company is a party for the purpose of taking responsibility on behalf of the company for all or part of those proceedings.Non-audit services Details of the amounts paid or payable to the auditor for non-

140、audit services provided during the financial year by the auditor are outlined in note 19 to the financial statements.The directors are satisfied that the provision of non-audit services during the financial year,by the auditor(or by another person or firm on the auditors behalf),is compatible with t

141、he general standard of independence for auditors imposed by the Corporations Act 2001.The directors are of the opinion that the services as disclosed in note 19 to the financial statements do not compromise the external auditors independence requirements of the Corporations Act 2001 for the followin

142、g reasons:all non-audit services have been reviewed and approved to ensure that they do not impact the integrity and objectivity of the auditor;and none of the services undermine the general principles relating to auditor independence as set out in APES 110 Code of Ethics for Professional Accountant

143、s issued by the Accounting Professional and Ethical Standards Board,including reviewing or auditing the auditors own work,acting in a management or decision-making capacity for the company,acting as advocate for the company or jointly sharing economic risks and rewards.Officers of the company who ar

144、e former partners of RSM Australia Partners There are no officers of the company who are former partners RSM Australia Partners.Rounding of amounts The company is of a kind referred to in Corporations Instrument 2016/191,issued by the Australian Securities and Investments Commission,relating to roun

145、ding-off.Amounts in this report have been rounded off in accordance with that Corporations Instrument to the nearest dollar.Auditor RSM Australia Partners continues in office in accordance with section 327 of the Corporations Act 2001.This report is made in accordance with a resolution of directors,

146、pursuant to section 298(2)(a)of the Corporations Act 2001.On behalf of the directors _ Geoff Pocock Director 22 August 2023 Perth Auditors independence declaration A copy of the auditors independence declaration as required under section 307C of the Corporations Act 2001 is set out immediately after

147、 this directors report.THE POWER OF BEING UNDERSTOOD AUDIT|TAX|CONSULTING RSM Australia Partners is a member of the RSM network and trades as RSM.RSM is the trading name used by the members of the RSM network.Each member of the RSM network is an independent accounting and consulting firm which pract

148、ices in its own right.The RSM network is not itself a separate legal entity in any jurisdiction.RSM Australia Partners ABN 36 965 185 036 Liability limited by a scheme approved under Professional Standards Legislation RSM Australia Partners Level 32,Exchange Tower 2 The Esplanade Perth WA 6000 GPO B

149、ox R1253 Perth WA 6844 T+61(0)8 9261 9100 F+61(0)8 9261 9111 .au AUDITORS INDEPENDENCE DECLARATION As lead auditor for the audit of the financial report of Argenica Therapeutics Limited for the year ended 30 June 2023,I declare that,to the best of my knowledge and belief,there have been no contraven

150、tions of:(i)the auditor independence requirements of the Corporations Act 2001 in relation to the audit;and (ii)any applicable code of professional conduct in relation to the audit.RSM AUSTRALIA PARTNERS Perth,WA TUTU PHONG Dated:22 August 2023 Partner Argenica Therapeutics Limited Contents 30 June

151、2023 17 Statement of profit or loss and other comprehensive income 17 Statement of financial position 18 Statement of changes in equity 19 Statement of cash flows 20 Notes to the financial statements 21 Directors declaration 40 Independent auditors report to the members of Argenica Therapeutics Limi

152、ted 41 Shareholder information 44 General information The financial statements cover Argenica Therapeutics Limited.The financial statements are presented in Australian dollars,which is Argenica Therapeutics Limited functional and presentation currency.Argenica Therapeutics Limited is a listed public

153、 company limited by shares,incorporated and domiciled in Australia.Its registered office and principal place of business are:Registered office Principal place of business Unit 4,117 Broadway Unit 4,117 Broadway Nedlands,WA 6009 Nedlands,WA 6009 A description of the nature of the companys operations

154、and its principal activities are included in the directors report,which is not part of the financial statements.The financial statements were authorised for issue,in accordance with a resolution of directors,on 22 August 2023.The directors have the power to amend and reissue the financial statements

155、.Argenica Therapeutics Limited Statement of profit or loss and other comprehensive income For the year ended 30 June 2023 Note 2023 2022$The above statement of profit or loss and other comprehensive income should be read in conjunction with the accompanying notes 18 Income Other income 4 1,749,899 2

156、59,098 Interest income 60,997 2,504 Total income 1,810,896 261,602 Expenses Administration and corporate expenses 5 (825,869)(549,564)Employee and contractor expenses 6 (1,030,591)(880,580)Research and development costs (4,308,080)(2,496,052)Finance costs (1,050)(822)Share based payments 26 (460,350

157、)(425,336)Total expenses (6,625,940)(4,352,354)Loss before income tax expense (4,815,044)(4,090,752)Income tax expense -Loss after income tax expense for the year (4,815,044)(4,090,752)Other comprehensive income for the year,net of tax -Total comprehensive loss for the year (4,815,044)(4,090,752)Cen

158、ts Cents Basic earnings per share 27 (5.5)(5.5)Diluted earnings per share 27 (5.5)(5.5)Argenica Therapeutics Limited Statement of financial position As at 30 June 2023 Note 2023 2022$The above statement of financial position should be read in conjunction with the accompanying notes 19 Assets Current

159、 assets Cash and cash equivalents 8 9,289,156 8,914,457 Other receivables 9 152,362 72,080 Other current assets 10 98,346 55,863 Total current assets 9,539,864 9,042,400 Non-current assets Intangibles 11 1,000 1,000 Total non-current assets 1,000 1,000 Total assets 9,540,864 9,043,400 Liabilities Cu

160、rrent liabilities Trade and other payables 12 1,182,924 711,009 Deferred income 13 659,069 -Employee benefits 14 32,431 24,900 Total current liabilities 1,874,424 735,909 Total liabilities 1,874,424 735,909 Net assets 7,666,440 8,307,491 Equity Issued capital 15 16,618,266 13,065,033 Reserves 16 1,3

161、66,874 746,114 Accumulated losses 17 (10,318,700)(5,503,656)Total equity 7,666,440 8,307,491 Argenica Therapeutics Limited Statement of changes in equity For the year ended 30 June 2023 The above statement of changes in equity should be read in conjunction with the accompanying notes 20 Note Issued

162、Accumulated Total equity capital Reserves Losses$Balance at 1 July 2021 8,051,013 208,638 (1,412,904)6,846,747 Loss after income tax expense for the year -(4,090,752)(4,090,752)Other comprehensive income for the year,net of tax -Total comprehensive loss for the year -(4,090,752)(4,090,752)Transactio

163、ns with owners in their capacity as owners:Contributions of equity,net of transaction costs 15 5,014,020 6 -5,014,026 Share based payments 26 -537,470 -537,470 Balance at 30 June 2022 13,065,033 746,114 (5,503,656)8,307,491 Issued Accumulated Total equity capital Reserves losses$Balance at 1 July 20

164、22 13,065,033 746,114 (5,503,656)8,307,491 Loss after income tax expense for the year -(4,815,044)(4,815,044)Other comprehensive income for the year,net of tax -Total comprehensive loss for the year -(4,815,044)(4,815,044)Transactions with owners in their capacity as owners:Contributions of equity,n

165、et of transaction costs 15 3,553,233 10 -3,553,243 Share based payments 26 -620,750 -620,750 Balance at 30 June 2023 16,618,266 1,366,874 (10,318,700)7,666,440 Argenica Therapeutics Limited Statement of cash flows For the year ended 30 June 2023 Note 2023 2022$The above statement of cash flows shoul

166、d be read in conjunction with the accompanying notes 21 Cash flows from operating activities Government grant income received(inclusive of GST)721,104 -Research and development contributions received(inclusive of GST)350,000 -Payments to suppliers and employees(inclusive of GST)(5,809,284)(3,622,453

167、)(4,738,180)(3,622,453)Interest received 60,997 2,504 Interest and other finance costs paid (1,050)(822)Research and development tax rebate received 4 1,377,917 259,098 Net cash used in operating activities 25 (3,300,316)(3,361,673)Cash flows from investing activities Placement of term deposits (50,

168、000)-Net cash used in investing activities (50,000)-Cash flows from financing activities Proceeds from issue of shares,net of share issue costs 3,725,005 5,131,929 Proceeds from issue of options,net of share issue costs 10 6 Net cash provided by financing activities 3,725,015 5,131,935 Net increase

169、in cash and cash equivalents 374,699 1,770,262 Cash and cash equivalents at the beginning of the financial year 8,914,457 7,144,195 Cash and cash equivalents at the end of the financial year 8 9,289,156 8,914,457 Argenica Therapeutics Limited Notes to the financial statements 30 June 2023 22 Note 1.

170、Significant accounting policies The principal accounting policies adopted in the preparation of the financial statements are set out below.These policies have been consistently applied to all the years presented,unless otherwise stated.New or amended Accounting Standards and Interpretations adopted

171、The company has adopted all of the new or amended Accounting Standards and Interpretations issued by the Australian Accounting Standards Board(AASB)that are mandatory for the current reporting period.Any new or amended Accounting Standards or Interpretations that are not yet mandatory have not been

172、early adopted.Basis of preparation These general purpose financial statements have been prepared in accordance with Australian Accounting Standards and Interpretations issued by the Australian Accounting Standards Board(AASB)and the Corporations Act 2001,as appropriate for for-profit oriented entiti

173、es.These financial statements also comply with International Financial Reporting Standards as issued by the International Accounting Standards Board(IASB).Historical cost convention The financial statements have been prepared under the historical cost convention,except for,where applicable,the reval

174、uation of financial assets and liabilities at fair value through profit or loss,financial assets at fair value through other comprehensive income,investment properties,certain classes of property,plant and equipment and derivative financial instruments.Critical accounting estimates The preparation o

175、f the financial statements requires the use of certain critical accounting estimates.It also requires management to exercise its judgement in the process of applying the companys accounting policies.The areas involving a higher degree of judgement or complexity,or areas where assumptions and estimat

176、es are significant to the financial statements,are disclosed in note 2.Operating segments Operating segments are presented using the management approach,where the information presented is on the same basis as the internal reports provided to the Chief Operating Decision Makers(CODM).The CODM is resp

177、onsible for the allocation of resources to operating segments and assessing their performance.Foreign currency translation The financial statements are presented in Australian dollars,which is Argenica Therapeutics Limiteds functional and presentation currency.Foreign currency transactions Foreign c

178、urrency transactions are translated into Australian dollars using the exchange rates prevailing at the dates of the transactions.Foreign exchange gains and losses resulting from the settlement of such transactions and from the translation at financial year-end exchange rates of monetary assets and l

179、iabilities denominated in foreign currencies are recognised in profit or loss.Revenue recognition The company recognises revenue as follows:Revenue from contracts with customers Revenue is recognised at an amount that reflects the consideration to which the Company is expected to be entitled in exch

180、ange for transferring goods or services to a customer.For each contract with a customer,the Company:identifies the contract with a customer;identifies the performance obligations in the contract;determines the transaction price which takes into account estimates of variable consideration and the tim

181、e value of money;allocates the transaction price to the separate performance obligations on the basis of the relative stand-alone selling price of each distinct good or service to be delivered;and recognises revenue when or as each performance obligation is satisfied in a manner that depicts the tra

182、nsfer to the customer of the goods or services promised.Argenica Therapeutics Limited Notes to the financial statements 30 June 2023 Note 1.Significant accounting policies(continued)23 Interest income Interest income is recognised as interest accrues using the effective interest method.This is a met

183、hod of calculating the amortised cost of a financial asset and allocating the interest income over the relevant period using the effective interest rate,which is the rate that exactly discounts estimated future cash receipts through the expected life of the financial asset to the net carrying amount

184、 of the financial asset.Other income Other income is recognised when it is received or when the right to receive payment is established.Government grants Government grants relating to costs are deferred and recognised in profit or loss over the period necessary to match them with the costs that they

185、 are intended to compensate.Impairment of other tangible and intangible assets At each reporting date,the company reviews the carrying amounts of its tangible and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss.If any such indication

186、exists,the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss(if any).Where the asset does not generate cash flows that are independent from other assets,the Company estimates the recoverable amount of the cash-generating unit to which the asset belo

187、ngs.Where a reasonable and consistent basis of allocation can be identified,corporate assets are also allocated to individual cash-generating units,or otherwise they are allocated to the smallest group of cash-generating units for which a reasonable and consistent allocation basis can be identified.

188、Intangible assets with indefinite useful lives and intangible assets not yet available for use are tested for impairment annually and whenever there is an indication that the asset may be impaired.Recoverable amount is the higher of fair value less costs to sell and value in use.In assessing value i

189、n use,the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.If the recoverable amo

190、unt of an asset(or cash-generating unit)is estimated to be less than its carrying amount,the carrying amount of the asset(cash generating unit)is reduced to its recoverable amount.An impairment loss is recognised in profit or loss immediately,unless the relevant asset is carried at fair value,in whi

191、ch case the impairment loss is treated as a revaluation decrease.Where an impairment loss subsequently reverses,the carrying amount of the asset(cash-generating unit)is increased to the revised estimate of its recoverable amount,but only to the extent that the increased carrying amount does not exce

192、ed the carrying amount that would have been determined had no impairment loss been recognised for the asset(cash-generating unit)in prior years.A reversal of an impairment loss is recognised in profit or loss immediately,unless the relevant asset is carried at fair value,in which case the reversal o

193、f the impairment loss is treated as a revaluation increase.Income tax The income tax expense or benefit for the period is the tax payable on that periods taxable income based on the applicable income tax rate for each jurisdiction,adjusted by the changes in deferred tax assets and liabilities attrib

194、utable to temporary differences,unused tax losses and the adjustment recognised for prior periods,where applicable.Deferred tax assets and liabilities are recognised for temporary differences at the tax rates expected to be applied when the assets are recovered or liabilities are settled,based on th

195、ose tax rates that are enacted or substantively enacted,except for:When the deferred income tax asset or liability arises from the initial recognition of goodwill or an asset or liability in a transaction that is not a business combination and that,at the time of the transaction,affects neither the

196、accounting nor taxable profits;or When the taxable temporary difference is associated with interests in subsidiaries,associates or joint ventures,and the timing of the reversal can be controlled and it is probable that the temporary difference will not reverse in the foreseeable future.Deferred tax

197、assets are recognised for deductible temporary differences and unused tax losses only if it is probable that future taxable amounts will be available to utilise those temporary differences and losses.Argenica Therapeutics Limited Notes to the financial statements 30 June 2023 Note 1.Significant acco

198、unting policies(continued)24 The carrying amount of recognised and unrecognised deferred tax assets are reviewed at each reporting date.Deferred tax assets recognised are reduced to the extent that it is no longer probable that future taxable profits will be available for the carrying amount to be r

199、ecovered.Previously unrecognised deferred tax assets are recognised to the extent that it is probable that there are future taxable profits available to recover the asset.Deferred tax assets and liabilities are offset only where there is a legally enforceable right to offset current tax assets again

200、st current tax liabilities and deferred tax assets against deferred tax liabilities;and they relate to the same taxable authority on either the same taxable entity or different taxable entities which intend to settle simultaneously.Current and non-current classification Assets and liabilities are pr

201、esented in the statement of financial position based on current and non-current classification.An asset is classified as current when:it is either expected to be realised or intended to be sold or consumed in the companys normal operating cycle;it is held primarily for the purpose of trading;it is e

202、xpected to be realised within 12 months after the reporting period;or the asset is cash or cash equivalent unless restricted from being exchanged or used to settle a liability for at least 12 months after the reporting period.All other assets are classified as non-current.A liability is classified a

203、s current when:it is either expected to be settled in the companys normal operating cycle;it is held primarily for the purpose of trading;it is due to be settled within 12 months after the reporting period;or there is no unconditional right to defer the settlement of the liability for at least 12 mo

204、nths after the reporting period.All other liabilities are classified as non-current.Deferred tax assets and liabilities are always classified as non-current.Cash and cash equivalents Cash and cash equivalents includes cash on hand,deposits held at call with financial institutions,other short-term,hi

205、ghly liquid investments with original maturities of three months or less that are readily convertible to known amounts of cash and which are subject to an insignificant risk of changes in value.For the statement of cash flows presentation purposes,cash and cash equivalents also includes bank overdra

206、fts,which are shown within borrowings in current liabilities on the statement of financial position.Trade and other receivables Trade receivables are initially recognised at fair value and subsequently measured at amortised cost using the effective interest method,less any allowance for expected cre

207、dit losses.Trade receivables are generally due for settlement within 30 days.The company has applied the simplified approach to measuring expected credit losses,which uses a lifetime expected loss allowance.To measure the expected credit losses,trade receivables have been grouped based on days overd

208、ue.Other receivables are recognised at amortised cost,less any allowance for expected credit losses.Trade and other payables These amounts represent liabilities for goods and services provided to the company prior to the end of the financial year and which are unpaid.Due to their short-term nature t

209、hey are measured at amortised cost and are not discounted.The amounts are unsecured and are usually paid within 30 days of recognition.Finance costs Finance costs attributable to qualifying assets are capitalised as part of the asset.All other finance costs are expensed in the period in which they a

210、re incurred.Argenica Therapeutics Limited Notes to the financial statements 30 June 2023 Note 1.Significant accounting policies(continued)25 Employee benefits Short-term employee benefits Liabilities for wages and salaries,including non-monetary benefits,annual leave and long service leave expected

211、to be settled wholly within 12 months of the reporting date are measured at the amounts expected to be paid when the liabilities are settled.Other long-term employee benefits The liability for annual leave and long service leave not expected to be settled within 12 months of the reporting date are m

212、easured at the present value of expected future payments to be made in respect of services provided by employees up to the reporting date using the projected unit credit method.Consideration is given to expected future wage and salary levels,experience of employee departures and periods of service.E

213、xpected future payments are discounted using market yields at the reporting date on corporate bonds with terms to maturity and currency that match,as closely as possible,the estimated future cash outflows.Defined contribution superannuation expense Contributions to defined contribution superannuatio

214、n plans are expensed in the period in which they are incurred.Share-based payments Equity-settled share-based compensation benefits are provided to employees.Equity-settled transactions are awards of shares,or options over shares,that are provided to employees in exchange for the rendering of servic

215、es.Cash-settled transactions are awards of cash for the exchange of services,where the amount of cash is determined by reference to the share price.The cost of equity-settled transactions are measured at fair value on grant date.Fair value is independently determined using either the Binomial or Bla

216、ck-Scholes option pricing model that takes into account the exercise price,the term of the option,the impact of dilution,the share price at grant date and expected price volatility of the underlying share,the expected dividend yield and the risk free interest rate for the term of the option,together

217、 with non-vesting conditions that do not determine whether the company receives the services that entitle the employees to receive payment.No account is taken of any other vesting conditions.The cost of equity-settled transactions are recognised as an expense with a corresponding increase in equity

218、over the vesting period.The cumulative charge to profit or loss is calculated based on the grant date fair value of the award,the best estimate of the number of awards that are likely to vest and the expired portion of the vesting period.The amount recognised in profit or loss for the period is the

219、cumulative amount calculated at each reporting date less amounts already recognised in previous periods.The cost of cash-settled transactions is initially,and at each reporting date until vested,determined by applying either the Binomial or Black-Scholes option pricing model,taking into consideratio

220、n the terms and conditions on which the award was granted.The cumulative charge to profit or loss until settlement of the liability is calculated as follows:during the vesting period,the liability at each reporting date is the fair value of the award at that date multiplied by the expired portion of

221、 the vesting period.from the end of the vesting period until settlement of the award,the liability is the full fair value of the liability at the reporting date.All changes in the liability are recognised in profit or loss.The ultimate cost of cash-settled transactions is the cash paid to settle the

222、 liability.Market conditions are taken into consideration in determining fair value.Therefore any awards subject to market conditions are considered to vest irrespective of whether or not that market condition has been met,provided all other conditions are satisfied.If equity-settled awards are modi

223、fied,as a minimum an expense is recognised as if the modification has not been made.An additional expense is recognised,over the remaining vesting period,for any modification that increases the total fair value of the share-based compensation benefit as at the date of modification.Argenica Therapeut

224、ics Limited Notes to the financial statements 30 June 2023 Note 1.Significant accounting policies(continued)26 If the non-vesting condition is within the control of the company or employee,the failure to satisfy the condition is treated as a cancellation.If the condition is not within the control of

225、 the company or employee and is not satisfied during the vesting period,any remaining expense for the award is recognised over the remaining vesting period,unless the award is forfeited.If equity-settled awards are cancelled,it is treated as if it has vested on the date of cancellation,and any remai

226、ning expense is recognised immediately.If a new replacement award is substituted for the cancelled award,the cancelled and new award is treated as if they were a modification.Fair value measurement When an asset or liability,financial or non-financial,is measured at fair value for recognition or dis

227、closure purposes,the fair value is based on the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date;and assumes that the transaction will take place either:in the principal market;or in the absenc

228、e of a principal market,in the most advantageous market.Fair value is measured using the assumptions that market participants would use when pricing the asset or liability,assuming they act in their economic best interests.For non-financial assets,the fair value measurement is based on its highest a

229、nd best use.Valuation techniques that are appropriate in the circumstances and for which sufficient data are available to measure fair value,are used,maximising the use of relevant observable inputs and minimising the use of unobservable inputs.Assets and liabilities measured at fair value are class

230、ified into three levels,using a fair value hierarchy that reflects the significance of the inputs used in making the measurements.Classifications are reviewed at each reporting date and transfers between levels are determined based on a reassessment of the lowest level of input that is significant t

231、o the fair value measurement.For recurring and non-recurring fair value measurements,external valuers may be used when internal expertise is either not available or when the valuation is deemed to be significant.External valuers are selected based on market knowledge and reputation.Where there is a

232、significant change in fair value of an asset or liability from one period to another,an analysis is undertaken,which includes a verification of the major inputs applied in the latest valuation and a comparison,where applicable,with external sources of data.Earnings per share Basic earnings per share

233、 Basic earnings per share is calculated by dividing the profit attributable to the owners of the company,excluding any costs of servicing equity other than ordinary shares,by the weighted average number of ordinary shares outstanding during the financial year,adjusted for bonus elements in ordinary

234、shares issued during the financial year.Diluted earnings per share Diluted earnings per share adjusts the figures used in the determination of basic earnings per share to take into account the after income tax effect of interest and other financing costs associated with dilutive potential ordinary s

235、hares and the weighted average number of shares assumed to have been issued for no consideration in relation to dilutive potential ordinary shares.Goods and Services Tax(GST)and other similar taxes Revenues,expenses and assets are recognised net of the amount of associated GST,unless the GST incurre

236、d is not recoverable from the tax authority.In this case it is recognised as part of the cost of the acquisition of the asset or as part of the expense.Receivables and payables are stated inclusive of the amount of GST receivable or payable.The net amount of GST recoverable from,or payable to,the ta

237、x authority is included in other receivables or other payables in the statement of financial position.Cash flows are presented on a gross basis.The GST components of cash flows arising from investing or financing activities which are recoverable from,or payable to the tax authority,are presented as

238、operating cash flows.Commitments and contingencies are disclosed net of the amount of GST recoverable from,or payable to,the tax authority.Argenica Therapeutics Limited Notes to the financial statements 30 June 2023 Note 1.Significant accounting policies(continued)27 Intangible assets Intangible ass

239、ets acquired as part of a business combination,other than goodwill,are initially measured at their fair value at the date of the acquisition.Intangible assets acquired separately are initially recognised at cost.Indefinite life intangible assets are not amortised and are subsequently measured at cos

240、t less any impairment.Finite life intangible assets are subsequently measured at cost less amortisation and any impairment.The gains or losses recognised in profit or loss arising from the derecognition of intangible assets are measured as the difference between net disposal proceeds and the carryin

241、g amount of the intangible asset.The method and useful lives of finite life intangible assets are reviewed annually.Changes in the expected pattern of consumption or useful life are accounted for prospectively by changing the amortisation method or period.Research and development Research costs are

242、expensed in the period in which they are incurred.Development costs are capitalised when it is probable that the project will be successful considering its commercial and technical feasibility;the company is able to use or sell the asset;the company has sufficient resources;and intent to complete th

243、e development and its costs can be measured reliably.Capitalised development costs are amortised on a straight-line basis over the period of their expected benefit.New Accounting Standards and Interpretations not yet mandatory or early adopted Australian Accounting Standards and Interpretations that

244、 have recently been issued or amended but are not yet mandatory,have not been early adopted by the company for the annual reporting period ended 30 June 2023.The company has not yet assessed the impact of these new or amended Accounting Standards and Interpretations.Note 2.Critical accounting judgem

245、ents,estimates and assumptions The preparation of the financial statements requires management to make judgements,estimates and assumptions that affect the reported amounts in the financial statements.Management continually evaluates its judgements and estimates in relation to assets,liabilities,con

246、tingent liabilities,revenue and expenses.Management bases its judgements,estimates and assumptions on historical experience and on other various factors,including expectations of future events,management believes to be reasonable under the circumstances.The resulting accounting judgements and estima

247、tes will seldom equal the related actual results.The judgements,estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities(refer to the respective notes)within the next financial year are discussed below.Share-based payme

248、nt transactions The company measures the cost of equity-settled transactions with employees by reference to the fair value of the equity instruments at the date at which they are granted.The fair value is determined by using either the Binomial or Black-Scholes model taking into account the terms an

249、d conditions upon which the instruments were granted.The accounting estimates and assumptions relating to equity-settled share-based payments would have no impact on the carrying amounts of assets and liabilities within the next annual reporting period but may impact profit or loss and equity.Argeni

250、ca Therapeutics Limited Notes to the financial statements 30 June 2023 28 Note 3.Operating segments The company has considered the requirements of AASB 8 Operating Segments and has identified its operating segments based on the internal reports that are reviewed and used by the board of directors(ch

251、ief operating decision makers)in assessing performance and determining the allocation of resources.The company operates as a single segment being research and development of a neuroprotective therapeutic drug.The board of directors review the earnings before tax and net assets of the company.There i

252、s no difference between the audited financial report and the internal reports generated for review.The company is domiciled in Australia and is currently in the development phase and hence has not begun to generate revenue from operations.All the assets are located in Australia.Note 4.Other income 2

253、023 2022$Other income Research and development tax rebate 1,377,917 259,098 Government grants 21,982 -Research and development contributions received 350,000 -1,749,899 259,098 Note 5.Expenses-administration and corporate expenses 2023 2022$IPO expenses -3,939 Listing and compliance costs 67,003 64,

254、751 Accounting,audit and tax fees 67,340 37,038 Legal fees and patent costs 136,008 70,375 Investor relations and marketing 178,482 134,048 Insurance 87,003 60,335 General administration costs 290,033 179,078 825,869 549,564 Note 6.Expenses employee and contractor expenses 2023 2022$Wages and salari

255、es 743,730 596,573 Superannuation 84,861 65,007 Contractors 202,000 219,000 1,030,591 880,580 Argenica Therapeutics Limited Notes to the financial statements 30 June 2023 29 Note 10.Current assets-others 2023 2022$Prepayments 48,346 55,863 Term deposits 50,000 -98,346 55,863 Note 7.Income tax expens

256、e The prima facie tax receivable on loss before income tax is reconciled to the income tax expense as follows:2023 2022$Prima facie benefit on operating loss at 25.0%(2022:25.0%)1,203,761 1,022,688 Tax effect amounts which are not deductible in calculating taxable income (842,133)(750,168)Adjustment

257、 for unrecognised tax losses relating to prior periods -(222,238)Tax losses not brought to account (361,628)(50,282)Income tax benefit attributable to operating loss -A potential deferred tax asset,attributable to tax losses carried forward,amounts to approximately$797,600(30 June 2022:$333,395)and

258、has not been brought to account at reporting date because the directors do not believe it is appropriate to regard realisation of the deferred tax asset as probable at this point in time.This benefit will only be obtained if:the company derives future assessable income of a nature and of an amount s

259、ufficient to enable the benefit from the deductions for the loss and research and development expenditure to be realised;the company continues to comply with the conditions for deductibility imposed by law;and no changes in tax legislation adversely affect the company in realising the benefit from t

260、he deductions for the loss and research and development expenditure.Note 8.Current assets-cash and cash equivalents 2023 2022$Cash at bank 9,289,156 8,914,457 9,289,156 8,914,457 Note 9.Current assets-other receivables 2023 2022$GST receivables 152,362 72,080 Argenica Therapeutics Limited Notes to t

261、he financial statements 30 June 2023 30 Note 12.Current liabilities-trade and other payables 2023 2022$Trade payables 1,141,345 671,825 Accrued expenses 22,140 20,125 PAYG payable 19,439 19,059 1,182,924 711,009 Refer to note 18 for further information on financial instruments.Note 11.Non-current as

262、sets-intangibles 2023 2022$Patents At Cost 1,000 1,000 Less:Accumulated Amortisation -Closing balance 1,000 1,000 Reconciliations Reconciliations of the written down values at the beginning and end of the current financial period are set out below:Patents Total$Balance at 1 July 2021 1,000 1,000 Add

263、itions -Impairment of assets -Amortisation expense -Balance at 30 June 2022 1,000 1,000 Patents Total$Balance at 1 July 2022 1,000 1,000 Additions -Impairment of assets -Amortisation expense -Balance at 30 June 2023 1,000 1,000 Argenica Therapeutics Limited Notes to the financial statements 30 June

264、2023 31 Note 13.Deferred income 2023 2022$Government grants 659,069 -659,069 -During the year,the company received$681,051 of grant funds under the Commonwealth Standard Grant Agreement with the Department of Industry,Science and Resources for the Cooperative Research Centre Projects(CRC-P)program.R

265、evenue recognised in the year ended 30 June 2023 for this grant amounted to$21,982(30 June 2022:$Nil).Remaining portion of$659,069 has been recognised as deferred income due to unfulfilled conditions relating to the spending requirements under the grant agreement.Note 14.Current liabilities-employee

266、 benefits 2023 2022$Employee benefits 32,431 24,900 32,431 24,900 Amounts not expected to be settled within the next 12 months The current provision for employee benefits includes all unconditional entitlements where employees have completed the required period of service and also those where employ

267、ees are entitled to pro-rata payments in certain circumstances.The entire amount is presented as current,since the company does not have an unconditional right to defer settlement.However,based on past experience,the company does not expect all employees to take the full amount of accrued leave or r

268、equire payment within the next 12 months.Argenica Therapeutics Limited Notes to the financial statements 30 June 2023 32 Note 15.Equity-issued capital 2023 2022 2023 2022 Shares Shares$Ordinary shares-fully paid 98,350,822 86,922,250 16,618,266 13,065,033 Movements in ordinary share capital Details

269、Date Shares Issue price$Opening balance at 1 July 2021 73,172,250 8,051,013 Share issue transaction costs,net of tax -(11,697)Issue of shares placement 10 June 2022 13,750,000$0.40 5,500,000 Share issue transaction costs,net of tax -(474,283)Closing balance at 30 June 2022 86,922,250 13,065,033 Open

270、ing balance at 1 July 2022 86,922,250 13,065,033 Issue of shares placement 9 June 2023 11,428,572$0.35 4,000,000 Share issue transaction costs,net of tax -(446,767)Closing balance at 30 June 2023 98,350,822 16,618,266 Ordinary shares Ordinary shares entitle the holder to participate in dividends and

271、 the proceeds on the winding up of the company in proportion to the number of and amounts paid on the shares held.The fully paid ordinary shares have no par value and the company does not have a limited amount of authorised capital.On a show of hands every member present at a meeting in person or by

272、 proxy shall have one vote and upon a poll each share shall have one vote.Share buy-back There is no current on-market share buy-back.Capital risk management The companys objectives when managing capital is to safeguard its ability to continue as a going concern,so that it can provide returns for sh

273、areholders and benefits for other stakeholders and to maintain an optimum capital structure to reduce the cost of capital.In order to maintain or adjust the capital structure,the company may adjust the amount of dividends paid to shareholders,return capital to shareholders,issue new shares or sell a

274、ssets to reduce debt.The company would look to raise capital when an opportunity to invest in a business or company was seen as value adding relative to the current companys share price at the time of the investment.The company is not actively pursuing additional investments in the short term as it

275、continues to integrate and grow its existing businesses in order to maximise synergies.Argenica Therapeutics Limited Notes to the financial statements 30 June 2023 33 Note 16.Equity reserves 2023 2022$Options reserve 1,366,874 746,114 1,366,874 746,114 2023 2022$Balance at beginning of financial yea

276、r 746,114 208,638 Value of options issued during the year 569,398 300,354 Value of options issued in a prior year vesting over multiple periods 51,352 237,116 Proceeds from issue of options 10 6 Closing balance at end of financial year 1,366,874 746,114 Options reserve The option reserve records val

277、ue of options expensed during the period.Refer note 26 for further details on share-based payments.Note 18.Financial risk management objectives and policies The companys principal financial instruments comprise cash and short-term deposits.The company manages its exposure to a variety of financial r

278、isks:market risk(including foreign currency risk,price risk and interest rate risk),credit risk and liquidity risk,in accordance with its financial risk management policy.The objective of the policy is to support the delivery of its financial targets whilst protecting future financial security.The c

279、ompany uses different methods to measure and manage different types of risks to which it is exposed.These include monitoring levels of exposure to interest rate risk and assessments of market forecast for interest rates.Liquidity risk is monitored through the development of future rolling cash flow

280、forecasts.Primary responsibility for identification and control of financial risks rests with the Board.The Board reviews and agrees policies for managing each of the risks identified below.Market risk Foreign currency risk The company is not exposed to significant foreign currency risk as its opera

281、tions are based in Australia,with no major suppliers subject to foreign exchange rates.Price risk The company is not exposed to any significant price risk.Note 17.Equity accumulated losses 2023 2022$Accumulated losses at the beginning of the financial year(5,503,656)(1,412,904)Loss after income tax

282、expense for the year(4,815,044)(4,090,752)Accumulated losses at the end of the financial year(10,318,700)(5,503,656)Argenica Therapeutics Limited Notes to the financial statements 30 June 2023 34 Interest rate risk The company has a policy of minimising its exposure to interest payable on debt.The c

283、ompany has no debt that requires the payment of interest.The company has exposure to interest rate risk through its cash balances,however,this exposure is not considered to be significant.Credit risk Credit risk refers to the risk that a counterparty will default on its contractual obligations resul

284、ting in financial loss to the company.The maximum exposure to credit risk at the reporting date to recognised financial assets is the carrying amount,net of any provisions for impairment of those assets,as disclosed in the statement of financial position and notes to the financial statements.The Com

285、pany does not hold any collateral.Liquidity risk Liquidity risk is managed through the companys objective to maintain adequate funding to meet its needs,currently represented by cash and short-term deposits sufficient to meet the current cash requirements.Capital management The primary objective of

286、the companys capital management is to ensure that it maintains a strong credit rating and healthy capital rations in order to support its business and maximise shareholder value.The company manages its capital structure and makes adjustments to it,in light of changes in economic conditions.To mainta

287、in or adjust the capital structure,the company may return capital to shareholders or issue new shares.No changes were made in the objectives,policies or processes during the years ended 30 June 2023 and 30 June 2022.The company monitors capital with reference to the net debt position.The companys cu

288、rrent policy is to keep the net debt position negative,such that cash and cash equivalents exceed debt.Remaining contractual maturities The following tables detail the companys remaining contractual maturity for its financial instrument liabilities.The tables have been drawn up based on the undiscou

289、nted cash flows of financial liabilities based on the earliest date on which the financial liabilities are required to be paid.The tables include both interest and principal cash flows disclosed as remaining contractual maturities and therefore these totals may differ from their carrying amount in t

290、he statement of financial position.Weighted average interest rate 1 year or less Between 1 and 2 years Between 2 and 5 years Over 5 years Remaining contractual maturities 2023%$Non-interest bearing Trade payables -1,141,345 -1,141,345 Other payables -41,579 -41,579 Total 1,182,924 -1,182,924 Weighte

291、d average interest rate 1 year or less Between 1 and 2 years Between 2 and 5 years Over 5 years Remaining contractual maturities 2022%$Non-interest bearing Trade payables -671,825 -671,825 Other payables -39,184 -39,184 Total 711,009 -711,009 The cash flows in the maturity analysis above are not exp

292、ected to occur significantly earlier than contractually disclosed above.Fair value of financial instruments Unless otherwise stated,the carrying amounts of financial instruments reflect their fair value.Argenica Therapeutics Limited Notes to the financial statements 30 June 2023 35 Note 19.Key manag

293、ement personnel disclosures Compensation The aggregate compensation made to directors and other members of key management personnel of the company is set out below:2023 2022$Short-term employee benefits 562,000 539,500 Post-employment benefits 59,010 53,950 Share-based payments 417,446 173,079 1,038

294、,456 766,529 Note 20.Remuneration of auditors During the financial year the following fees were paid or payable for services provided by RSM Australia Partners,the auditor of the company,its network firms and unrelated firms:2023 2022$Audit services RSM Australia Partners Audit or review of the fina

295、ncial statements 31,140 28,125 31,140 28,125 Note 21.Contingent assets and liabilities The company has the following contingent assets at 30 June 2023(30 June 2022:none):Under the Commonwealth Standard Grant Agreement with the Department of Industry,Science and Resources for the Cooperative Research

296、 Centre Projects(CRC-P)program,the Company is due to receive$518,979 in grant funds to support the project“A novel therapeutic for the treatment of traumatic brain injury”,subject to delivery of project milestones and deliverables in future periods from the reporting date to June 2025.The company do

297、es not have any contingent liabilities at 30 June 2023(30 June 2022:none).Note 22.Commitments 2023 2022$Corporate advisory services commitments Committed at the reporting date but not recognised as liabilities,payable:Within one year 14,000 30,000 14,000 30,000 Argenica Therapeutics Limited Notes to

298、 the financial statements 30 June 2023 36 Note 23.Related party transactions Key management personnel Disclosures relating to key management personnel are set out in note 19 and the remuneration report included in the directors report.Transactions with related parties The following transactions occu

299、rred with related parties:2023 2022$Payment for goods and services:Provided by Polaris Consulting(WA)Pty Ltd(a director-related entity of Geoff Pocock):Analyst support services -17,000 -17,000 Receivables from and payables to related parties There were no receivables from or payables to related part

300、ies at the current reporting date.Loans to/from related parties There were no loans to or from related parties at the current and previous reporting date.All transactions were made on normal commercial terms and conditions and at market rates.Note 24.Events after the reporting period On 3 August 202

301、3,800,000 ordinary shares were issued on the exercise of 800,000 options with an exercise price of$0.30 each generating cash exercise proceeds of$240,000(before share issue costs).No other matter or circumstance has arisen since 30 June 2023 that has significantly affected,or may significantly affec

302、t the companys operations,the results of those operations,or the companys state of affairs in future financial years.Note 25.Reconciliation of profit after income tax to net cash from operating activities 2023 2022$Loss after income tax expense for the year (4,815,044)(4,090,752)Adjustments for:Shar

303、e based payments(note 26)460,350 425,336 Change in operating assets and liabilities:-Increase in other receivables and other current assets (72,765)(671)-Increase in trade and other payables 460,543 286,705-Increase in employee benefits 7,531 17,709-Increase in deferred income 659,069 -Net cash used

304、 in operating activities (3,300,316)(3,361,673)Argenica Therapeutics Limited Notes to the financial statements 30 June 2023 37 Note 26.Share based payments Total share-based payment transactions recognised during the year were as follows:2023 2022$Options issued to key management personnel 417,447 1

305、73,079 Options issued to employees/consultants 42,903 187,240 Options issued to corporate advisor -65,017 Options issued to lead manager 160,400 112,134 620,750 537,470 Represented by:Share-based payment expense 460,350 425,336 Share issue costs 160,400 112,134 620,750 537,470 Options:Set out below

306、are the summaries of options granted as share based payments in current year:Grant Date Expiry Date Exercise Price Balance 1/07/2022 Granted during the year Exercised during the year Expired/Forfeited Balance 30/06/2023 Vested 30/06/2023 Not Vested 30/06/2023 14/04/2021 30/09/2024$0.30 7,100,000 -7,

307、100,000 7,100,000 -09/06/2021 30/09/2024$0.30 1,200,000 -1,200,000 1,200,000-03/08/2021 06/08/2023$0.30 800,000-800,000 800,000-02/01/2022 01/04/2025$1.10 300,000-300,000 300,000-03/06/2022 10/06/2023$0.65 600,000-600,000 600,000-05/07/20221 06/07/2025$0.65-125,000-125,000 65,000 60,000 24/11/20222

308、03/06/2025$0.65-2,000,000-2,000,000 1,000,000 1,000,000 09/06/20233 09/06/2026$0.65-1,000,000-1,000,000 1,000,000-10,000,000 3,125,000 -13,125,000 12,065,000 1,060,000 During the financial year,the following options were issued:1 These options were issued under employment contract.The options have t

309、he following vesting conditions:65,000 options vested on 5 January 2023 after continuous service from grant date;and 60,000 options will vest on 5 January 2024 after continuous service from grant date.2 These options were awarded to Liz Dallimore(Managing Director and Chief Executive Officer),on 3 J

310、une 2022 subject to shareholder approval.The grant date for accounting purposes is the date shareholder approval was obtained at the companys annual general meeting on 24 November 2022.The options have the following vesting conditions:1,000,000 options vested on 3 March 2023 after continuous service

311、 from issue date;and 1,000,000 options will vest on 3 December 2023 after continuous service from issue date.3 These options were issued to Euroz Hartleys Limited as lead manager of the June 2023 placement.These options vested immediately on 9 June 2023.Argenica Therapeutics Limited Notes to the fin

312、ancial statements 30 June 2023 38 Set out below are the summaries of options granted as share based payments in prior year:Grant Date Expiry Date Exercise Price Balance 1/07/2021 Granted during the year Exercised during the year Expired/Forfeited Balance 30/06/2022 Vested 30/06/2022 Not Vested 30/06

313、/2022 14/04/2021 30/09/2024$0.30 7,100,000 -7,100,000 -7,100,000 09/06/2021 30/09/2024$0.30 1,200,000 -1,200,000 -1,200,000 03/08/20214 06/08/2023$0.30 800,000-800,000 800,000-02/01/20225 01/04/2025$1.10 300,000-300,000 300,000-03/06/20224 10/06/2023$0.65 600,000-600,000 600,000-8,300,000 1,700,000

314、-10,000,000 1,700,000 8,300,000 During the previous financial year,the following options were issued:4 These options were issued to Euroz Hartleys Limited for corporate advisory services and as lead manager of the June 2022 placement.These options have the following vesting conditions:800,000 option

315、s vested immediately on 3 August 2021;and 300,000 options vested immediately on 3 June 2022.5 These options were issued under employment contract and vested immediately.For the options granted during the current financial year,the fair value was determined by using the Hoadley ESO2 and Black Scholes

316、 valuation model.The valuation model inputs used to determine the fair value at the grant date,are as follows:Number Granted Grant Date Exercise price Share price at grant date Expected volatility Dividend yield Risk-free interest rate Fair value per option at grant date 125,000 05-Jul-2022$0.65$0.4

317、95 79%0%2.98%$0.2323 2,000,000 24-Nov-2023$0.65$0.540 80%0%3.24%$0.2400 1,000,000 09-Jun-2023$0.65$0.390 85%0%3.43%$0.1604 For the options granted during the previous financial year,the fair value was determined by using the Black-Scholes model.The valuation model inputs used to determine the fair v

318、alue at the grant date,are as follows:Number Granted Grant Date Exercise price Share price at grant date Expected volatility Dividend yield Risk-free interest rate Fair value per option at grant date 800,000 03-Aug-2021$0.30$0.200 100%0%0.02%$0.0813 300,000 02-Jan-2022$1.10$0.835 85%0%1.01%$0.4107 6

319、00,000 03-Jun-2022$0.65$0.485 90%0%2.65%$0.1869 12,125,000 options were exercisable at the end of the financial year(30 June 2022:6,575,000 options).The weighted average exercise price of options outstanding at the end of the financial year was$0.40(30 June 2022:$0.35).The weighted average remaining

320、 contractual life of options outstanding at the end of the financial year was 1.38 years(30 June 2022:2.2 years).Argenica Therapeutics Limited Notes to the financial statements 30 June 2023 39 Note 27.Earnings per share 2023 2022$Loss after income tax (4,815,044)(4,090,752)Loss after income tax attr

321、ibutable to the owners of Argenica Therapeutics Limited (4,815,044)(4,090,752)Number Number Weighted average number of ordinary shares used in calculating basic earnings per share and diluted earnings per share 87,577,988 73,925,675 Cents Cents Basic earnings per share (5.5)(5.5)Diluted earnings per

322、 share (5.5)(5.5)Argenica Therapeutics Limited Directors declaration 30 June 2023 40 In the directors opinion:the attached financial statements and notes comply with the Corporations Act 2001,the Accounting Standards,the Corporations Regulations 2001 and other mandatory professional reporting requir

323、ements;the attached financial statements and notes comply with International Financial Reporting Standards as issued by the International Accounting Standards Board as described in note 1 to the financial statements;the attached financial statements and notes give a true and fair view of the company

324、s financial position as at 30 June 2023 and of its performance for the financial year ended on that date;there are reasonable grounds to believe that the company will be able to pay its debts as and when they become due and payable;and The directors have been given the declarations required by secti

325、on 295A of the Corporations Act 2001.Signed in accordance with a resolution of directors made pursuant to section 295(5)(a)of the Corporations Act 2001.On behalf of the directors _ Geoffrey Pocock Director 22 August 2023 Perth THE POWER OF BEING UNDERSTOOD AUDIT|TAX|CONSULTING RSM Australia Partners

326、 is a member of the RSM network and trades as RSM.RSM is the trading name used by the members of the RSM network.Each member of the RSM network is an independent accounting and consulting firm which practices in its own right.The RSM network is not itself a separate legal entity in any jurisdiction.

327、RSM Australia Partners ABN 36 965 185 036 Liability limited by a scheme approved under Professional Standards Legislation RSM Australia Partners Level 32,Exchange Tower 2 The Esplanade Perth WA 6000 GPO Box R1253 Perth WA 6844 T+61(0)8 9261 9100 F+61(0)8 9261 9111 .au INDEPENDENT AUDITORS REPORT TO

328、THE MEMBERS OF ARGENICA THERAPEUTICS LIMITED Opinion We have audited the financial report of Argenica Therapeutics Limited(the Company),which comprises the statement of financial position as at 30 June 2023,the statement of profit or loss and other comprehensive income,the statement of changes in eq

329、uity and the statement of cash flows for the year then ended,and notes to the financial statements,including a summary of significant accounting policies,and the directors declaration.In our opinion,the accompanying financial report of the Company is in accordance with the Corporations Act 2001,incl

330、uding:(i)Giving a true and fair view of the Companys financial position as at 30 June 2023 and of its financial performance for the year then ended;and (ii)Complying with Australian Accounting Standards and the Corporations Regulations 2001.Basis for Opinion We conducted our audit in accordance with

331、 Australian Auditing Standards.Our responsibilities under those standards are further described in the Auditors Responsibilities for the Audit of the Financial Report section of our report.We are independent of the Company in accordance with the auditor independence requirements of the Corporations

332、Act 2001 and the ethical requirements of the Accounting Professional and Ethical Standards Boards APES 110 Code of Ethics for Professional Accountants(the Code)that are relevant to our audit of the financial report in Australia.We have also fulfilled our other ethical responsibilities in accordance

333、with the Code.We confirm that the independence declaration required by the Corporations Act 2001,which has been given to the directors of the Company,would be in the same terms if given to the directors as at the time of this auditors report.We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.Key Audit Matters Key audit matters are t