Lexaria Bioscience (LEXX) 10-Q 14 Jul 23 2023 Q3 Quarterly report Financial data

Cover

Cover - shares	9 Months Ended
	May 31, 2023	Jul. 14, 2023
Cover [Abstract]
Entity Registrant Name	LEXARIA BIOSCIENCE CORP.
Entity Central Index Key	0001348362
Document Type	10-Q
Amendment Flag	false
Current Fiscal Year End Date	--08-31
Entity Small Business	true
Entity Shell Company	false
Entity Emerging Growth Company	false
Entity Current Reporting Status	Yes
Document Period End Date	May 31, 2023
Entity Filer Category	Non-accelerated Filer
Document Fiscal Period Focus	Q3
Document Fiscal Year Focus	2023
Entity Common Stock Shares Outstanding		8,091,650
Document Quarterly Report	true
Document Transition Report	false
Entity File Number	000-52138
Entity Incorporation State Country Code	NV
Entity Tax Identification Number	20-2000871
Entity Address Address Line 1	#100 - 740 McCurdy Road
Entity Address City Or Town	Kelowna
Entity Address Country	CA
Entity Address Postal Zip Code	V1X 2P7
City Area Code	1.250
Local Phone Number	765.6424
Security 12b Title	Common Stock, Par Value $0.001
Trading Symbol	LEXX
Security Exchange Name	NASDAQ
Entity Interactive Data Current	Yes
Entity Address State Or Province	BC

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($)	May 31, 2023	Aug. 31, 2022
Current
Cash	$ 3,163,906	$ 5,813,218
Marketable securities	269,560	347,335
Accounts receivable	172,284	201,784
Inventory	0	38,418
Prepaid expenses and deposit	629,740	576,761
Total Current Assets	4,235,490	6,977,516
Non-current assets, net
Right of use assets	178,127	52,444
Intellectual property	549,122	488,462
Property & equipment	276,898	315,505
Total Non-current Assets	1,004,147	856,411
TOTAL ASSETS	5,239,637	7,833,927
Current Liabilities
Accounts payable and accrued liabilities	1,023,587	151,449
Lease payable	32,317	42,587
Total Current Liabilities	1,055,904	194,036
Long Term Liabilities
Lease payable	142,587	7,401
Total Long Term Liabilities	142,587	7,401
TOTAL LIABILITIES	1,198,491	201,437
Share Capital
Authorized: 220,000,000 common voting shares with a par value of $0.001 per share Common shares issued and outstanding: 8,091,650 and 5,950,998 at May 31, 2023 and August 31, 2022, respectively	8,091	5,951
Additional paid-in capital	48,911,507	47,041,481
Deficit	(44,524,108)	(39,098,528)
Equity attributable to shareholders of the Company	4,395,490	7,948,904
Non-controlling Interest	(354,344)	(316,414)
Total Stockholders' Equity	4,041,146	7,632,490
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY	$ 5,239,637	$ 7,833,927

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares	May 31, 2023	Aug. 31, 2022
CONSOLIDATED BALANCE SHEETS
Common stock, par value per share	$ 0.001	$ 0.001
Common stock, shares authorized	220,000,000	220,000,000
Common stock, shares, issued	8,091,650	5,950,998
Common stock, shares, outstanding	8,091,650	5,950,998

CONSOLIDATED STATEMENTS OF OPER

CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($)	3 Months Ended		9 Months Ended
	May 31, 2023	May 31, 2022	May 31, 2023	May 31, 2022
CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited)
Revenue	$ 93,150	$ 99,717	$ 229,641	$ 144,247
Cost of goods sold	12,747	18,635	31,500	30,592
Gross profit	80,403	81,082	198,141	113,655
Expenses
Research and development	1,640,648	752,095	3,166,315	1,486,487
General and administrative	823,321	1,747,325	2,495,336	4,497,660
Total operating expenses	2,463,969	2,499,420	5,661,651	5,984,147
Net Loss	(2,383,566)	(2,418,338)	(5,463,510)	(5,870,492)
Net loss attributable to:
Common shareholders	(2,371,505)	(2,382,925)	(5,425,580)	(5,801,859)
Non-controlling interest	$ (12,061)	$ (35,413)	$ (37,930)	$ (68,633)
Basic and diluted loss per share	$ (0.37)	$ (0.41)	$ (0.89)	$ (1)
Weighted average shares outstanding
- Basic and diluted	6,440,998	5,950,998	6,116,126	5,863,086

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($)	9 Months Ended
	May 31, 2023	May 31, 2022
Cash flows used in operating activities
Net loss	$ (5,463,510)	$ (5,870,492)
Adjustments to reconcile net loss to net cash used in operating activities:
Stock based compensation	160,748	519,718
Depreciation and amortization	74,469	77,986
Noncash right-of-use lease expense	30,882	28,678
Unrealized loss on marketable securities	77,775	823,916
Shares issued for services	0	600,000
Lease accretion	1,961	4,166
Change in operating assets and liabilities
Accounts receivable	29,500	(90,574)
Inventory	43,069	(9,196)
Prepaid expenses and deposits	(52,979)	161,945
Accounts payable and accrued liabilities	872,138	56,352
Due to related parties	0	(5,223)
Operating lease liability	(33,610)	0
Net cash used in operating activities	(4,259,557)	(3,702,724)
Cash flows used in investing activities
Purchase of equipment	(33,748)	(49,188)
Intellectual property	(67,425)	(81,407)
Net cash used in investing activities	(101,173)	(130,595)
Cash flows from/(used in) financing activities
Proceeds from issuance of equity	1,711,418	0
Lease Payments	0	(33,395)
Net cash from/(used in) financing activities	1,711,418	(33,395)
Net change in cash for the period	(2,649,312)	(3,866,714)
Cash at beginning of period	5,813,218	10,917,797
Cash at end of period	3,163,906	7,051,083
Supplemental information of cash flows:
Non-cash shares for services included in prepaid expenses	0	600,000
Income taxes paid in cash	8,214	$ 0
Recognition of ROU Asset and Liability due to modification	$ 156,565

CONSOLIDATED STATEMENTS OF STOC

CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (Unaudited) - USD ($)	Total	Common Stock	Additional Paid-in Capital	Deficit	Non-controlling Interest
Balance, shares at Aug. 31, 2021		5,726,699
Balance, amount at Aug. 31, 2021	$ 13,063,552	$ 5,727	$ 45,089,114	$ (31,829,204)	$ (202,085)
Stock based compensation	408,544	0	408,544	0	0
Net loss	(1,993,157)	0	0	(1,993,157)	0
Non-controlling interest	(10,325)	$ 0	0	0	(10,325)
Balance, shares at Nov. 30, 2021		5,726,699
Balance, amount at Nov. 30, 2021	11,468,614	$ 5,727	45,497,658	(33,822,361)	(212,410)
Balance, shares at Aug. 31, 2021		5,726,699
Balance, amount at Aug. 31, 2021	13,063,552	$ 5,727	45,089,114	(31,829,204)	(202,085)
Net loss	(5,801,859)
Non-controlling interest	(68,633)
Balance, shares at May. 31, 2022		5,950,998
Balance, amount at May. 31, 2022	8,912,778	$ 5,951	46,808,608	(37,631,063)	(270,718)
Balance, shares at Nov. 30, 2021		5,726,699
Balance, amount at Nov. 30, 2021	11,468,614	$ 5,727	45,497,658	(33,822,361)	(212,410)
Net loss	(1,425,777)	0	0	(1,425,777)	0
Non-controlling interest	(22,895)	$ 0	0	0	(22,895)
Shares issued for services, shares		224,299
Shares issued for services, amount	1,200,000	$ 224	1,199,776	0	0
Balance, shares at Feb. 28, 2022		5,950,998
Balance, amount at Feb. 28, 2022	11,219,942	$ 5,951	46,697,434	(35,248,138)	(235,305)
Stock based compensation	111,174		111,174	0	0
Net loss	(2,382,925)	0	0	(2,382,925)	0
Non-controlling interest	(35,413)	$ 0	0	0	(35,413)
Balance, shares at May. 31, 2022		5,950,998
Balance, amount at May. 31, 2022	8,912,778	$ 5,951	46,808,608	(37,631,063)	(270,718)
Balance, shares at Aug. 31, 2022		5,950,998
Balance, amount at Aug. 31, 2022	7,632,490	$ 5,951	47,041,481	(39,098,528)	(316,414)
Stock based compensation	68,776	0	68,776	0	0
Net loss	(1,755,944)	0	0	(1,755,944)	0
Non-controlling interest	(13,362)	$ 0	0	0	(13,362)
Balance, shares at Nov. 30, 2022		5,950,998
Balance, amount at Nov. 30, 2022	5,931,960	$ 5,951	47,110,257	(40,854,472)	(329,776)
Balance, shares at Aug. 31, 2022		5,950,998
Balance, amount at Aug. 31, 2022	7,632,490	$ 5,951	47,041,481	(39,098,528)	(316,414)
Net loss	(5,425,580)
Non-controlling interest	(37,930)
Balance, shares at May. 31, 2023		8,091,650
Balance, amount at May. 31, 2023	4,041,146	$ 8,091	48,911,507	(44,524,108)	(354,344)
Balance, shares at Nov. 30, 2022		5,950,998
Balance, amount at Nov. 30, 2022	5,931,960	$ 5,951	47,110,257	(40,854,472)	(329,776)
Stock based compensation	10,526	0	10,526	0	0
Net loss	(1,298,131)	0	0	(1,298,131)	0
Non-controlling interest	(12,507)	$ 0	0	0	(12,507)
Balance, shares at Feb. 28, 2023		5,950,998
Balance, amount at Feb. 28, 2023	4,631,848	$ 5,951	47,120,783	(42,152,603)	(342,283)
Stock based compensation	81,446	0	81,446	0	0
Net loss	(2,371,505)	0	0	(2,371,505)	0
Non-controlling interest	(12,061)	$ 0	0	0	(12,061)
At The Market financing, shares		34,652
At The Market financing, amount	111,021	$ 34	110,987	0	0
S-1 financing, shares		2,106,000
S-1 financing, amount	1,600,397	$ 2,106	1,598,291	0	0
Balance, shares at May. 31, 2023		8,091,650
Balance, amount at May. 31, 2023	$ 4,041,146	$ 8,091	$ 48,911,507	$ (44,524,108)	$ (354,344)

Nature of Business

Nature of Business	9 Months Ended
	May 31, 2023
Nature of Business
Nature of Business	1. Nature of Business Lexaria Bioscience Corp. (“Lexaria”, “we”, “our” or “the Company”) is a biotechnology company pursuing the enhancement of the bioavailability of a diverse and broad range of active pharmaceutical ingredients (“API”) using DehydraTECH TM We are primarily a research and development company relying on our expanding intellectual property portfolio that continues to investigate the benefits of using DehydraTECH with numerous molecules. We have also begun an investigational new drug (“IND”) registration process with the US Food and Drug Administration (“FDA”). Revenues are generated primarily from intellectual property (“IP”) licensing contracts for DehydraTECH based on the terms of use and defined geographic and licensing arrangements. We also derive income from our third party contracted manufacturing of Business-to-Business (“B2B”) DehydraTECH enhanced ingredients which are processed to corporate customer specifications and sold by them online and in stores in the US. We also perform contract services in R&D for customer specific formulations that are used in comparison testing to customers’ existing products. Going Concern Consideration The Company’s consolidated financial statements included herein have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) and in accordance with accounting principles generally accepted in the United States (“US GAAP”) applicable to a going concern which assumes the Company will have sufficient funds to pay its operational, research and development and capital expenditures for a period of at least 12 months from the date this Report. Since inception, the Company has incurred significant operating and net losses. Annual losses attributable to shareholders were $7.4 million (2022), $4.2 million (2021) and $4.1 million (2020). As of May 31, 2023, we had an accumulated deficit of $44.5 million. We expect to continue to incur significant operational expenses and net losses in the upcoming 12 months. Our net losses may fluctuate significantly from quarter to quarter and year to year, depending on the stage and complexity of our R&D studies and corporate expenditures, additional revenues received from the licensing of our technology, if any, and the receipt of payments under any current or future collaborations we may enter into. The recurring losses and negative cash flows from operations raise substantial doubt about the Company’s ability to continue as a going concern. These financial statements do not contain any adjustments that might result for this uncertainty. The Company entered into a sales agreement with Maxim Group LLC, (“Maxim”) on August 12, 2022, where we may offer and sell shares of our common stock with an aggregate offering price of up to $5,925,000 under an At-The-Market (“ATM”) Offering. This agreement provides that Maxim will be entitled to a sales commission equal to 3.0% of the gross sales price per share of all shares sold under the ATM. Based on the current equity value of the Company’s shares, the Company’s revised ability to use the ATM is limited to $1,965,533. Pursuant to the terms of the Company’s May 11, 2023, financing described below, the Company’s ability to use its ATM is currently on hold. We may also offer securities for sale during our fiscal year 2023 or thereafter in response to market conditions or other circumstances if we believe such a plan of financing is required to advance the Company’s business plans and is in the best interests of our stockholders. On May 8, 2023, the Company announced the pricing of its public offering of 2,106,000 units, with each unit consisting of one share of common stock and one unlisted warrant to purchase one share of common stock. Each unit was sold at a public offering price of $0.95. The warrants were immediately exercisable at a price of $0.95 per share on the date of issuance, being May 11, 2023, and will expire five years from the date of issuance. The shares of common stock and accompanying warrants were purchased together in this offering but were immediately separable upon issuance. Gross proceeds, before deducting placement agent fees to Maxim Group LLC, the sole placement agent, and other offering expenses, were approximately $2.0 million. The securities described above are registered pursuant to a registration statement on Form S-1, as amended (File No. 333-271096), which was declared effective by the Securities and Exchange Commission (the “SEC”) on May 8, 2023. Based on our existing working capital, management believes the Company has sufficient working capital to satisfy the Company’s estimated liquidity needs for the next 12 months. In making this assessment, the Company believes that this alleviates the substantial doubt in connection with the Company’s ability to continue as a going concern. However, there is no assurance that management’s plans will be successful. If the Company is unable to obtain funding, the Company would be forced to delay, reduce or eliminate some or all of its research and development programs, preclinical and clinical testing or commercialization efforts, which could adversely affect its business prospects.

Significant Accounting Policies

Significant Accounting Policies	9 Months Ended
	May 31, 2023
Significant Accounting Policies
Significant Accounting Policies	2. Significant Accounting Policies The significant accounting policies of the Company are consistent with those of our audited financial statements on Form 10-K for the year ended August 31, 2022. Basis of Consolidation These interim consolidated financial statements include the financial statements of the Company and its wholly owned subsidiaries; Lexaria CanPharm ULC, Lexaria CanPharm Holdings Corp., PoViva Corp., Lexaria Hemp Corp., Kelowna Management Services Corp., Lexaria Nutraceutical Corp., and Lexaria Pharmaceutical Corp., and our 83.333% owned subsidiary Lexaria Nicotine LLC with the remaining 16.667% owned by Altria Ventures Inc. an indirect wholly owned subsidiary of Altria Group, Inc. All significant intercompany balances and transactions have been eliminated upon consolidation. Basis of Presentation The Company’s unaudited interim consolidated financial statements have been prepared pursuant to the rules and regulations of the SEC. Certain information and footnote disclosures normally included in annual financial statements prepared in accordance with United States generally accepted accounting principles (US GAAP) have been condensed or omitted pursuant to such rules and regulations. In the opinion of management, all adjustments considered necessary for a fair presentation have been included. Interim results are not necessarily indicative of results for a full year or for any subsequent period. These unaudited interim consolidated financial statements should be read in conjunction with the audited consolidated annual financial statements and notes thereto included in our annual report filed on Form 10-K for the year ended August 31, 2022. Recent Accounting Guidance Pronouncements Issued but Not Yet Adopted In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments Estimates and Judgments The preparation of financial statements in conformity with US GAAP requires us to make certain estimates, judgments and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Some of the Company’s accounting policies require us to make subjective judgments, often as a result of the need to make estimates of matters that are inherently uncertain. These accounting policies involve critical accounting estimates because they are particularly dependent on estimates and assumptions made by management about matters that are highly uncertain at the time the accounting estimates are made. Although we have used our best estimates based on facts and circumstances available to us at the time, different estimates reasonably could have been used. Changes in the accounting estimates used by the Company are reasonably likely to occur from time to time, which may have a material effect on the presentation of financial condition and results of operations. The Company reviews these estimates, judgments, and assumptions periodically and reflect the effects of revisions in the period in which they are deemed to be necessary. Although we believe that these estimates are reasonable actual results could differ. In preparing these unaudited interim consolidated financial statements, the significant judgments made by management in applying the Company’s accounting policies and the key sources of estimation uncertainty were the same as those applied to the audited consolidated financial statements for the year ended August 31, 2022.

Marketable Securities

Marketable Securities	9 Months Ended
	May 31, 2023
Marketable Securities
Marketable Securities	3. Marketable Securities The components of Marketable Securities were as follows: Cost Basis Unrealized Gains Unrealized Losses Fair Value August 31, 2021 $ 1,037,025 $ 16,243 $ (219,427 ) $ 833,841 Common stock 278,107 118,196 (882,809 ) (486,506 ) August 31, 2022 $ 1,315,132 $ 134,439 $ (1,102,236 ) $ 347,335 Common stock - 1,856 (79,631 ) (77,775 ) May 31, 2023 $ 1,315,132 $ 136,295 $ (1,181,867 ) $ 269,560 Marketable securities held by Lexaria represent available-for-sale common stock of Hill Incorporated (formerly Hill Street Beverage Company Inc.). Unrealized gains and losses from common stock are due to market price movements. In management’s opinion based on the evaluation of available information at May 31, 2023, unrealized losses represent temporary impairments.

Accounts Receivables

Accounts Receivables	9 Months Ended
	May 31, 2023
Accounts Receivables
Accounts Receivables	4. Accounts Receivable Accounts receivable at May 31, 2023 and August 31, 2022 consist of the following: May 31, 2023 August 31, 2022 Trade and deposits $ 48,559 $ 80,374 Territory license fees 24,634 37,248 Sales tax 99,091 84,162 $ 172,284 $ 201,784

Inventory

Inventory	9 Months Ended
	May 31, 2023
Inventory
Inventory	5. Inventory Inventory of raw materials on May 31, 2023, and August 31, 2022, consist of the following: May 31, 2023 August 31, 2022 Raw materials $ - $ 38,418 $ - $ 38,418 During the nine-month period ended May 31, 2023, raw materials inventory valued at $38,418 was expensed to R&D.

Prepaid Expenses and Deposits

Prepaid Expenses and Deposits	9 Months Ended
	May 31, 2023
Prepaid Expenses and Deposits
Prepaid Expenses and Deposits	6. Prepaid Expenses and Deposits Prepaid expenses consist of the following at May 31, 2023 and August 31, 2022: May 31, 2023 August 31, 2022 Advertising & conferences $ 57,537 $ 359,863 Legal fees 25,000 25,000 License, filing fees, dues 27,417 15,000 Office & insurance 15,090 80,863 Consulting 383,009 - Capital financing 121,687 96,035 $ 629,740 $ 576,761

Intellectual Property, net

Intellectual Property, net	9 Months Ended
	May 31, 2023
Intellectual Property, net
Intellectual Property, net	7. Intellectual Property, net The following is a list of capitalized US patents held by the Company as at May 31, 2023: Issued Patent # Patent Certificate Grant Date Patent Family US 9,474,725 B1 10/25/2016 Food and Beverage Compositions Infused With Lipophilic Active Agents and Methods of Use Thereof US 9,839,612 B2 12/12/2017 US 9,972,680 B2 05/15/2018 US 9,974,739 B2 05/22/2018 US 10,084,044 B2 09/25/2018 US 10,103,225 B2 10/16/2018 US 10,381,440 08/13/2019 US 10,374,036 08/06/2019 US 10,756,180 08/25/2020 US 11,311,559 04/26/2022 Compositions and Methods for Enhanced Delivery of Antiviral Agents A continuity schedule for capitalized patents is presented below: May 31, 2023 August 31, 2022 Balance beginning $ 488,462 $ 364,623 Addition 67,425 131,448 Amortization (6,765 ) (7,609 ) Balance ending $ 549,122 $ 488,462 Patents are amortized over their 20 year legal life.

Property Equipment, net

Property Equipment, net	9 Months Ended
	May 31, 2023
Property Equipment, net
Property & Equipment, net	8. Property & Equipment, net Property and equipment consist of: May 31, 2023 Cost Period Amortization Additions Accumulated Amortization Net Balance Leasehold improvements $ 259,981 $ (40,528 ) $ - $ (235,213 ) $ 24,768 Computers 70,781 (3,549 ) - (64,973 ) $ 5,808 Furniture fixtures equipment 31,126 (4,813 ) - (27,652 ) $ 3,474 Lab equipment 333,675 (23,461 ) 33,748 (124,575 ) $ 242,848 $ 695,563 $ (72,351 ) $ 33,748 $ (452,413 ) $ 276,898 August 31, 2022 Cost Period Amortization Additions Accumulated Amortization Net Balance Leasehold improvements $ 259,981 $ (54,037 ) $ - $ (194,685 ) $ 65,296 Computers 63,964 (9,874 ) 6,817 (61,424 ) 9,357 Furniture fixtures equipment 31,126 (6,417 ) - (22,837 ) 8,289 Lab equipment 291,235 (31,572 ) 42,375 (101,047 ) 232,563 $ 646,306 $ (101,900 ) $ 49,192 $ (379,993 ) $ 315,505 During the nine-month period ended May 31, 2023, amortization of $4,647 was included in cost of goods sold.

Accounts Payable and Accrued Li

Accounts Payable and Accrued Liabilities	9 Months Ended
	May 31, 2023
Accounts Payable and Accrued Liabilities
Accounts Payable and Accrued Liabilities	9. Accounts Payable and Accrued Liabilities Accounts payable and accrued liabilities at May 31, 2023 and August 31, 2022 consist of the following: May 31, 2023 August 31, 2022 Accounts Payable Trades payable $ 998,146 $ 57,150 Sales tax payable 13,068 31,303 Accrued Liabilities Trades payable 12,373 62,996 $ 1,023,587 $ 151,449

Revenues

Revenues	9 Months Ended
	May 31, 2023
Revenues
Revenues	10. Revenues A breakdown of our revenues by type for the nine-months ended May 31, 2023, and 2022 are as follows: Nine-Months Ended May 31, 2023 2022 IP Licensing $ 104,935 $ 16,160 B2B 44,167 111,597 Other 80,539 16,490 $ 229,641 $ 144,247 During the nine-month period ended May 31, 2023, the Company recognized licensing revenue consisting of IP licensing fees for transfer of the DehydraTECH technology in line with definitive agreements and includes royalty fees. B2B product revenues of $44,167 (2022 - $111,597) were recorded that relate to sales of our intermediate products for use by B2B customers in their products. The Company recognized $104,935 (2022 - $16,160) in licensing revenue in the same period.

Common Shares, Warrants and Opt

Common Shares, Warrants and Options	9 Months Ended
	May 31, 2023
Common Shares, Warrants and Options
Common Shares, Warrants and Options	11. Common Shares, Warrants and Options During the quarter ended May 31, 2023, the Company completed the following issuances of common shares, warrants and options: 1. 34,652 common shares were sold at an average price of $3.30 per share for net proceeds of $111,021 from our ATM Offering; 2. 267,969 options with exercise prices ranging from $9.60 to $4.80 were repriced to $3.00 following shareholder approval obtained at the Company’s annual shareholder meeting held on May 9, 2023; and 3. 2,106,000 units were sold at a price of $0.95 per unit, with each unit consisting of one common share and one warrant exercisable to purchase an additional common share at $0.95 per share, for net proceeds of $1,600,397. The 2,106,000 warrants are exercisable for a period of five (5) years. No warrants have been exercised during the nine-months ended May 31, 2023. A continuity schedule for warrants for the nine-months ending May 31, 2023, is presented below: Number of Warrants Weighted Average Exercise Price Balance August 31, 2022 2,421,983 $ 8.04 Cancelled/expired (7,500 ) $ 24.00 Issued 2,106,000 $ 0.95 Balance May 31, 2023 4,520,483 $ 4.71 A summary of warrants outstanding as of May 31, 2023, is presented below: Number of Warrants Weighted Average Exercise Price Weighted Average Remaining Contractual Life (years) 60,798 $ 36.00 1.46-1.5 317,190 $ 10.50 1.93-1.95 116,667 $ 9.00 0.88-1.79 200,000 $ 7.00 0.88 1,719,828 $ 6.58 2.63 2,106,000 $ 0.95 4.95 4,520,483 $ 4.71 3.53 Stock Options The Company has established an Equity Incentive Plan which currently allows the board of directors to grant up to 510,433 stock options to directors, officers, employees, and consultants. On May 9, 2023, at its annual shareholder meeting, the Company’s shareholders approved amendments to the Equity Incentive Plan, whereby the board of directors were authorized to grant up to 809,165 stock options to directors, officers, employees, and consultants with such amount being adjusted on January 1 each year commencing January 1, 2024, pursuant to an evergreen formula, to be equal to up to 10% of the issued share capital on December 31 of the previous year. As at the current date, the Company has not elected to affect the amendments approved by its shareholders to its Equity Incentive Plan. Stock options granted must be exercised within five years from the date of grant or such lesser period as determined by the Company’s board of directors. The vesting terms of each grant are also set by the board of directors. The exercise price of an option is equal to or greater than the closing market price of the Company’s common shares on the day preceding the date of grant. The Company granted the following options during the nine-months ended May 31, 2023: Options Weighted Average Exercise Price Contractual Life (years) 41,200 $ 1.96 5 5,000 $ 2.73 5 3,400 $ 3.04 5 Total 49,600 $ 2.11 (Avg. Remaining Life) 4.39 A continuity schedule for stock options is presented below: Options Weighted Average Exercise Price Weighted Average Remaining Contractual Term (years) Aggregate Intrinsic Value Balance August 31, 2021 206,170 $ 8.90 Cancelled/expired (3,334 ) 9.60 Granted 222,000 4.21 Balance August 31, 2022 424,836 6.45 3.69 $ 5,175 Granted 49,600 2.11 4.39 $ 55,748 Balance May 31, 2023 (granted) 474,436 $ 3.39 3.42 $ 0 Balance May 31, 2023 (exercisable) 462,686 $ 3.40 3.42 $ 0 The fair value of stock options granted in the nine-months ended May 31, 2023, were estimated as of the date of the grant by using the Black-Scholes option pricing model with the following assumptions: Expected volatility 98%-1.05 % Risk-free interest rate 3.30%-4.12 % Expected life 5 years Dividend yield 0 % Estimated fair value per option $ 1.60 - $2.58 As of May 31, 2023, the total unrecognized non-cash compensation costs are $39,117 related to 11,750 non-vested stock options with a $3.27 weighted average price. These costs are expected to be recognized over a weighted average period of 0.82 years. All non-vested options are attributable to employees. Stock based compensation expense recognized in the nine-months ended May 31, 2023, totaled $160,748, including $25,194 related to the repricing of the 267,969 options.

Commitments, Significant Contra

Commitments, Significant Contracts and Contingencies	9 Months Ended
	May 31, 2023
Commitments, Significant Contracts and Contingencies
Commitments, Significant Contracts and Contingencies	12. Commitments, Significant Contracts and Contingencies Right of Use Assets - Operating Lease The corporate office and R&D laboratory are located in Kelowna, British Columbia, Canada. The facility is leased until November 14, 2023, and the Company has exercised its five-year renewal option, the term of which commences on November 15, 2023, and expires on November 14, 2028. On March 31,2023, the Company remeasured the ROU asset and Lease liability for the lease extension. In addition to minimum lease payments, the lease requires us to pay property taxes and other operating costs which are subject to annual adjustments. May 31, 2023 August 31, 2022 Right of use assets - operating leases $ 52,444 $ 91,041 Remeasurement related to lease extension 156,565 Amortization (30,882 ) (38,597 ) Total lease assets $ 178,127 $ 52,444 Liabilities: $ 49,989 $ 89,393 Remeasurement related to lease extension 156,565 Lease payments (33,610 ) (44,600 ) Interest accretion 1,961 5,195 Total lease liabilities $ 174,905 $ 49,988 Operating lease cost $ 178,127 $ 52,444 Operating cash flows for lease $ 33,610 $ 44,599 Remaining lease term 5.42 Years 1.17 Years Discount rate 7.25 % 7.25 % The following table summarizes the Company’s maturities of operating lease liabilities as of May 31, 2023: 2023 (three-months remaining) $ 11,204 2024 35,840 2025 37,094 2026 37,345 Thereafter 84,026 Total lease payments $ 205,509 Less: imputed interest (30,605 ) Present value of operating lease liabilities $ 174,904 Less: current obligations under leases (32,317 ) Total $ 142,587

Segment Information

Segment Information	9 Months Ended
	May 31, 2023
Segment Information
Segment Information	13. Segment Information The Company’s operations involve the development and usage, including licensing, of its proprietary DehydraTECH Technology. Lexaria is centrally managed and its chief operating decision makers, being the President and the CEO, use the consolidated and other financial information, supplemented by revenue information by category of alternative health consumer products and technology licensing, to make operational decisions and to assess the performance of the Company. The Company has identified two reportable segments: Intellectual Property and B2B Products. Licensing revenues are significantly concentrated on one licensee. Nine-Months Ended May 31, 2023 IP Licensing B2B Corporate Consolidated Total Revenue $ 104,935 $ 44,167 $ 80,539 $ 229,641 Cost of goods sold - (31,500 ) - $ (31,500 ) Operating expenses (58,845 ) (235,379 ) (5,367,427 ) $ (5,661,651 ) Segment income (loss) $ 46,090 $ (222,712 ) $ (5,286,888 ) $ (5,463,510 ) Total assets $ 2,596 $ 67,705 $ 5,169,336 $ 5,239,637 Nine-Months Ended May 31, 2022 IP Licensing B2B Corporate Consolidated Total Revenue $ 16,160 $ 111,597 $ 16,490 $ 144,247 Cost of goods sold - (30,592 ) - (30,592 ) Operating expenses (3,096,910 ) (430,951 ) (2,456,286 ) (5,984,147 ) Segment loss $ (3,080,750 ) $ (349,946 ) $ (2,439,796 ) $ (5,870,492 ) Total assets $ 958,586 $ 95,389 $ 8,083,968 $ 9,137,943 Capital Asset by Region May 31, 2023 Cost Addition US Net Balance Cost Addition Canada Net Balance Canada Total Net Balance Leasehold Improvements $ - $ - $ - $ 259,981 $ - $ 24,768 $ 24,768 Computers - - - 70,781 - 5,808 5,808 Furniture & Fixtures - - - 31,126 - 3,474 3,474 Lab Equipment 140,487 33,748 124,483 193,185 - 118,365 242,848 $ 140,487 $ 33,748 $ 124,483 $ 555,073 $ - $ 152,415 $ 276,898 Capital Asset by Region August 31, 2022 Cost Addition US Net Balance Cost Addition Canada Net Balance Canada Total Net Balance Leasehold Improvements $ - $ - $ - $ 259,981 $ - $ 65,296 $ 65,296 Computers - - - 63,964 6,817 9,357 9,357 Furniture & Fixtures - - - 31,126 - 8,288 8,288 Lab Equipment 98,050 42,375 100,031 193,185 - 132,533 232,564 $ 98,050 $ 42,375 $ 100,031 $ 548,256 $ 6,817 $ 215,474 $ 315,505

Subsequent Events

Subsequent Events	9 Months Ended
	May 31, 2023
Subsequent Events
Subsequent Events	14. Subsequent Events None.

Significant Accounting Polici_2

Significant Accounting Policies (Policies)	9 Months Ended
	May 31, 2023
Significant Accounting Policies
Basis of Consolidation	These interim consolidated financial statements include the financial statements of the Company and its wholly owned subsidiaries; Lexaria CanPharm ULC, Lexaria CanPharm Holdings Corp., PoViva Corp., Lexaria Hemp Corp., Kelowna Management Services Corp., Lexaria Nutraceutical Corp., and Lexaria Pharmaceutical Corp., and our 83.333% owned subsidiary Lexaria Nicotine LLC with the remaining 16.667% owned by Altria Ventures Inc. an indirect wholly owned subsidiary of Altria Group, Inc. All significant intercompany balances and transactions have been eliminated upon consolidation.
Basis of Presentaion	The Company’s unaudited interim consolidated financial statements have been prepared pursuant to the rules and regulations of the SEC. Certain information and footnote disclosures normally included in annual financial statements prepared in accordance with United States generally accepted accounting principles (US GAAP) have been condensed or omitted pursuant to such rules and regulations. In the opinion of management, all adjustments considered necessary for a fair presentation have been included. Interim results are not necessarily indicative of results for a full year or for any subsequent period. These unaudited interim consolidated financial statements should be read in conjunction with the audited consolidated annual financial statements and notes thereto included in our annual report filed on Form 10-K for the year ended August 31, 2022.
Recent Accounting Guidance	Pronouncements Issued but Not Yet Adopted In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments-Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments
Estimates and Judgements	The preparation of financial statements in conformity with US GAAP requires us to make certain estimates, judgments and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Some of the Company’s accounting policies require us to make subjective judgments, often as a result of the need to make estimates of matters that are inherently uncertain. These accounting policies involve critical accounting estimates because they are particularly dependent on estimates and assumptions made by management about matters that are highly uncertain at the time the accounting estimates are made. Although we have used our best estimates based on facts and circumstances available to us at the time, different estimates reasonably could have been used. Changes in the accounting estimates used by the Company are reasonably likely to occur from time to time, which may have a material effect on the presentation of financial condition and results of operations. The Company reviews these estimates, judgments, and assumptions periodically and reflect the effects of revisions in the period in which they are deemed to be necessary. Although we believe that these estimates are reasonable actual results could differ. In preparing these unaudited interim consolidated financial statements, the significant judgments made by management in applying the Company’s accounting policies and the key sources of estimation uncertainty were the same as those applied to the audited consolidated financial statements for the year ended August 31, 2022.

Marketable Securities (Tables)

Marketable Securities (Tables)	9 Months Ended
	May 31, 2023
Marketable Securities
Schedule of marketable securities	Cost Basis Unrealized Gains Unrealized Losses Fair Value August 31, 2021 $ 1,037,025 $ 16,243 $ (219,427 ) $ 833,841 Common stock 278,107 118,196 (882,809 ) (486,506 ) August 31, 2022 $ 1,315,132 $ 134,439 $ (1,102,236 ) $ 347,335 Common stock - 1,856 (79,631 ) (77,775 ) May 31, 2023 $ 1,315,132 $ 136,295 $ (1,181,867 ) $ 269,560

Accounts Receivable (Tables)

Accounts Receivable (Tables)	9 Months Ended
	May 31, 2023
Accounts Receivables
Schedule of accounts receivables	May 31, 2023 August 31, 2022 Trade and deposits $ 48,559 $ 80,374 Territory license fees 24,634 37,248 Sales tax 99,091 84,162 $ 172,284 $ 201,784

Inventory (Tables)

Inventory (Tables)	9 Months Ended
	May 31, 2023
Inventory
Schedule of Inventory	May 31, 2023 August 31, 2022 Raw materials $ - $ 38,418 $ - $ 38,418

Prepaid Expenses and Deposits (

Prepaid Expenses and Deposits (Tables)	9 Months Ended
	May 31, 2023
Prepaid Expenses and Deposits
Schedule of Prepaid Expenses and Deposits	May 31, 2023 August 31, 2022 Advertising & conferences $ 57,537 $ 359,863 Legal fees 25,000 25,000 License, filing fees, dues 27,417 15,000 Office & insurance 15,090 80,863 Consulting 383,009 - Capital financing 121,687 96,035 $ 629,740 $ 576,761

Intellectual Property, net (Tab

Intellectual Property, net (Tables)	9 Months Ended
	May 31, 2023
Intellectual Property, net
Schedule of list of capitalized	Issued Patent # Patent Certificate Grant Date Patent Family US 9,474,725 B1 10/25/2016 Food and Beverage Compositions Infused With Lipophilic Active Agents and Methods of Use Thereof US 9,839,612 B2 12/12/2017 US 9,972,680 B2 05/15/2018 US 9,974,739 B2 05/22/2018 US 10,084,044 B2 09/25/2018 US 10,103,225 B2 10/16/2018 US 10,381,440 08/13/2019 US 10,374,036 08/06/2019 US 10,756,180 08/25/2020 US 11,311,559 04/26/2022 Compositions and Methods for Enhanced Delivery of Antiviral Agents
Schedule of patents	May 31, 2023 August 31, 2022 Balance beginning $ 488,462 $ 364,623 Addition 67,425 131,448 Amortization (6,765 ) (7,609 ) Balance ending $ 549,122 $ 488,462

Property Equipment, net (Tables

Property Equipment, net (Tables)	9 Months Ended
	May 31, 2023
Property Equipment, net
Schedule of property & equipment	May 31, 2023 Cost Period Amortization Additions Accumulated Amortization Net Balance Leasehold improvements $ 259,981 $ (40,528 ) $ - $ (235,213 ) $ 24,768 Computers 70,781 (3,549 ) - (64,973 ) $ 5,808 Furniture fixtures equipment 31,126 (4,813 ) - (27,652 ) $ 3,474 Lab equipment 333,675 (23,461 ) 33,748 (124,575 ) $ 242,848 $ 695,563 $ (72,351 ) $ 33,748 $ (452,413 ) $ 276,898 August 31, 2022 Cost Period Amortization Additions Accumulated Amortization Net Balance Leasehold improvements $ 259,981 $ (54,037 ) $ - $ (194,685 ) $ 65,296 Computers 63,964 (9,874 ) 6,817 (61,424 ) 9,357 Furniture fixtures equipment 31,126 (6,417 ) - (22,837 ) 8,289 Lab equipment 291,235 (31,572 ) 42,375 (101,047 ) 232,563 $ 646,306 $ (101,900 ) $ 49,192 $ (379,993 ) $ 315,505

Accounts Payable and Accrued _2

Accounts Payable and Accrued Liabilities (Tables)	9 Months Ended
	May 31, 2023
Accounts Payable and Accrued Liabilities
Schedule of accounts payable and accrued liabilities	May 31, 2023 August 31, 2022 Accounts Payable Trades payable $ 998,146 $ 57,150 Sales tax payable 13,068 31,303 Accrued Liabilities Trades payable 12,373 62,996 $ 1,023,587 $ 151,449

Revenues (Tables)

Revenues (Tables)	9 Months Ended
	May 31, 2023
Revenues
Schedule of revenue	Nine-Months Ended May 31, 2023 2022 IP Licensing $ 104,935 $ 16,160 B2B 44,167 111,597 Other 80,539 16,490 $ 229,641 $ 144,247

Common Shares, Warrants and O_2

Common Shares, Warrants and Options (Tables)	9 Months Ended
	May 31, 2023
Common Shares, Warrants and Options
Schedule of Warrants activity	Number of Warrants Weighted Average Exercise Price Balance August 31, 2022 2,421,983 $ 8.04 Cancelled/expired (7,500 ) $ 24.00 Issued 2,106,000 $ 0.95 Balance May 31, 2023 4,520,483 $ 4.71
Schedule of warrants outstanding	Number of Warrants Weighted Average Exercise Price Weighted Average Remaining Contractual Life (years) 60,798 $ 36.00 1.46-1.5 317,190 $ 10.50 1.93-1.95 116,667 $ 9.00 0.88-1.79 200,000 $ 7.00 0.88 1,719,828 $ 6.58 2.63 2,106,000 $ 0.95 4.95 4,520,483 $ 4.71 3.53
Schedule of stock options granted	Options Weighted Average Exercise Price Contractual Life (years) 41,200 $ 1.96 5 5,000 $ 2.73 5 3,400 $ 3.04 5 Total 49,600 $ 2.11 (Avg. Remaining Life) 4.39
Schedule of stock options activity	Options Weighted Average Exercise Price Weighted Average Remaining Contractual Term (years) Aggregate Intrinsic Value Balance August 31, 2021 206,170 $ 8.90 Cancelled/expired (3,334 ) 9.60 Granted 222,000 4.21 Balance August 31, 2022 424,836 6.45 3.69 $ 5,175 Granted 49,600 2.11 4.39 $ 55,748 Balance May 31, 2023 (granted) 474,436 $ 3.39 3.42 $ 0 Balance May 31, 2023 (exercisable) 462,686 $ 3.40 3.42 $ 0
Schedule of fair value assumptions used to value stock options	Expected volatility 98%-1.05 % Risk-free interest rate 3.30%-4.12 % Expected life 5 years Dividend yield 0 % Estimated fair value per option $ 1.60 - $2.58

Commitments, Significant Cont_2

Commitments, Significant Contracts and Contingencies (Tables)	9 Months Ended
	May 31, 2023
Commitments, Significant Contracts and Contingencies
Schedule of operating lease liabilities	2023 (three-months remaining) $ 11,204 2024 35,840 2025 37,094 2026 37,345 Thereafter 84,026 Total lease payments $ 205,509 Less: imputed interest (30,605 ) Present value of operating lease liabilities $ 174,904 Less: current obligations under leases (32,317 ) Total $ 142,587
Schedule of maturities of operating lease liabilities	May 31, 2023 August 31, 2022 Right of use assets - operating leases $ 52,444 $ 91,041 Remeasurement related to lease extension 156,565 Amortization (30,882 ) (38,597 ) Total lease assets $ 178,127 $ 52,444 Liabilities: $ 49,989 $ 89,393 Remeasurement related to lease extension 156,565 Lease payments (33,610 ) (44,600 ) Interest accretion 1,961 5,195 Total lease liabilities $ 174,905 $ 49,988 Operating lease cost $ 178,127 $ 52,444 Operating cash flows for lease $ 33,610 $ 44,599 Remaining lease term 5.42 Years 1.17 Years Discount rate 7.25 % 7.25 %

Segment Information (Tables)

Segment Information (Tables)	9 Months Ended
	May 31, 2023
Segment Information
Schedule of Licensing revenues	Nine-Months Ended May 31, 2023 IP Licensing B2B Corporate Consolidated Total Revenue $ 104,935 $ 44,167 $ 80,539 $ 229,641 Cost of goods sold - (31,500 ) - $ (31,500 ) Operating expenses (58,845 ) (235,379 ) (5,367,427 ) $ (5,661,651 ) Segment income (loss) $ 46,090 $ (222,712 ) $ (5,286,888 ) $ (5,463,510 ) Total assets $ 2,596 $ 67,705 $ 5,169,336 $ 5,239,637 Nine-Months Ended May 31, 2022 IP Licensing B2B Corporate Consolidated Total Revenue $ 16,160 $ 111,597 $ 16,490 $ 144,247 Cost of goods sold - (30,592 ) - (30,592 ) Operating expenses (3,096,910 ) (430,951 ) (2,456,286 ) (5,984,147 ) Segment loss $ (3,080,750 ) $ (349,946 ) $ (2,439,796 ) $ (5,870,492 ) Total assets $ 958,586 $ 95,389 $ 8,083,968 $ 9,137,943
Schedule of capital asset by region	Capital Asset by Region May 31, 2023 Cost Addition US Net Balance Cost Addition Canada Net Balance Canada Total Net Balance Leasehold Improvements $ - $ - $ - $ 259,981 $ - $ 24,768 $ 24,768 Computers - - - 70,781 - 5,808 5,808 Furniture & Fixtures - - - 31,126 - 3,474 3,474 Lab Equipment 140,487 33,748 124,483 193,185 - 118,365 242,848 $ 140,487 $ 33,748 $ 124,483 $ 555,073 $ - $ 152,415 $ 276,898 Capital Asset by Region August 31, 2022 Cost Addition US Net Balance Cost Addition Canada Net Balance Canada Total Net Balance Leasehold Improvements $ - $ - $ - $ 259,981 $ - $ 65,296 $ 65,296 Computers - - - 63,964 6,817 9,357 9,357 Furniture & Fixtures - - - 31,126 - 8,288 8,288 Lab Equipment 98,050 42,375 100,031 193,185 - 132,533 232,564 $ 98,050 $ 42,375 $ 100,031 $ 548,256 $ 6,817 $ 215,474 $ 315,505

Nature of Business (Detail Narr

Nature of Business (Detail Narrative) - USD ($)	1 Months Ended	3 Months Ended		9 Months Ended		12 Months Ended
	May 31, 2023	May 31, 2023	May 31, 2022	May 31, 2023	May 31, 2022	Aug. 31, 2022	Aug. 31, 2021	Aug. 31, 2020	May 11, 2023	May 08, 2023
Offering price per share										$ 0.95
Public offering	2,106,000
Aggregate offering value	$ 5,925,000
Net loss attributable to shareholders		$ (2,383,566)	$ (2,418,338)	$ (5,463,510)	$ (5,870,492)
Warrants exercisable price per share									$ 0.95
Offering cost	$ 200,000
Sales commission	3%
Accumulated deficit	$ (44,524,108)	(44,524,108)		(44,524,108)		$ (39,098,528)
Emergency Business Account Loan Program [Member]
Net loss attributable to shareholders						$ (740,000)	$ (420,000)	$ (410,000)
Accumulated deficit	$ (4,450,000)	$ (4,450,000)		$ (4,450,000)

Significant Accounting Polici_3

Significant Accounting Policies (Detail Narrative)	May 31, 2023
Lexaria Nicotine L L C
Equity interest percentage	83.33%
Altria Ventures Inc
Equity interest percentage	16.66%

Marketable Securities (Details)

Marketable Securities (Details) - USD ($)	9 Months Ended	12 Months Ended
	May 31, 2023	Aug. 31, 2022	Aug. 31, 2021
Cost Basis	$ 1,315,132	$ 1,315,132	$ 1,037,025
Unrealized Gains	136,295	134,439	16,243
Unrealized Losses	(1,181,867)	(1,102,236)	(219,427)
Fair Value	$ 269,560	347,335	833,841
Common Stock [Member]
Cost Basis		0	278,107
Unrealized Gains		1,856	118,196
Unrealized Losses		(79,631)	(882,809)
Fair Value		$ (77,775)	$ (486,506)

Accounts Receivables (Details)

Accounts Receivables (Details) - USD ($)	May 31, 2023	Aug. 31, 2022
Account receivable	$ 172,284	$ 201,784
Trade and deposits [Member]
Account receivable	48,559	80,374
Territory license fee [Member]
Account receivable	24,634	37,248
Sales tax [Member]
Account receivable	$ 99,091	$ 84,162

Inventory (Details)

Inventory (Details) - USD ($)	May 31, 2023	Aug. 31, 2022
Inventory
Raw materials	$ 0	$ 38,418
Inventory, Net	$ 0	$ 38,418

Inventory (Details Narrative)

Inventory (Details Narrative)	9 Months Ended
	May 31, 2023 USD ($)
Inventory
Inventory raw material	$ 38,418

Prepaid Expenses and Deposits_2

Prepaid Expenses and Deposits (Details) - USD ($)	May 31, 2023	Aug. 31, 2022
Prepaid Expenses and Deposits
Advertising and Conferences	$ 57,537	$ 359,863
Legal fees	25,000	25,000
Licence, filing fees, dues	27,417	15,000
Office and insurance	15,090	80,863
Consulting	383,009	0
Capital Financing	121,687	96,035
Prepaid expenses	$ 629,740	$ 576,761

Intellectual Property, net (Det

Intellectual Property, net (Details)	9 Months Ended
	May 31, 2023
Patent One [Member]
Issued patent	US 9,474,725 B1
Patent certificate grant date Descriptions	10/25/2016
Patent Two [Member]
Issued patent	US 9,839,612 B2
Patent certificate grant date Descriptions	12/12/2017
Patent Three [Member]
Issued patent	US 9,972,680 B2
Patent certificate grant date Descriptions	05/15/2018
Patent Four [Member]
Issued patent	US 9,974,739 B2
Patent certificate grant date Descriptions	05/22/2018
Patent Five [Member]
Issued patent	US 10,084,044 B2
Patent certificate grant date Descriptions	09/25/2018
Patent Six [Member]
Issued patent	US 10,103,225 B2
Patent certificate grant date Descriptions	10/16/2018
Patent Seven [Member]
Issued patent	US 10,381,440
Patent certificate grant date Descriptions	08/13/2019
Patent Eight [Member]
Issued patent	US 10,374,036
Patent certificate grant date Descriptions	08/06/2019
Patent Nine [Member]
Issued patent	US 10,756,180
Patent certificate grant date Descriptions	08/25/2020
Patent ten [Member]
Issued patent	US 11,311,559
Patent certificate grant date Descriptions	04/26/2022

Intellectual Property, net (D_2

Intellectual Property, net (Details 1) - USD ($)	9 Months Ended	12 Months Ended
	May 31, 2023	Aug. 30, 2022
Intellectual Property, net
Balance- beginning	$ 488,462	$ 364,623
Addition	67,425	131,448
Amortization	(6,765)	(7,609)
Balance - ending	$ 549,122	$ 488,462

Intellectual Property, net (D_3

Intellectual Property, net (Details Narrative)	9 Months Ended
	May 31, 2023
Intellectual Property, net
Useful life of patents	20 years

Property Equipment, net (Detail

Property Equipment, net (Details) - USD ($)	9 Months Ended	12 Months Ended
	May 31, 2023	Aug. 31, 2022
Costs	$ 695,563	$ 646,306
Additions	33,748	49,192
Accumulated amortization	(452,413)	(379,993)
Balance-end of the period	276,898	315,505
Period Amortization [Member]
Accumulated amortization	(72,351)	(101,900)
Leasehold Improvements [Member]
Costs	259,981	259,981
Additions	0	0
Accumulated amortization	(235,213)	(194,685)
Balance-end of the period	24,768	65,296
Leasehold Improvements [Member] | Period Amortization [Member]
Accumulated amortization	(40,528)	(54,037)
Computer [Member]
Costs	70,781	63,964
Additions	0	6,817
Accumulated amortization	(64,973)	(61,424)
Balance-end of the period	5,808	9,357
Computer [Member] | Period Amortization [Member]
Accumulated amortization	(3,549)	(9,874)
Furniture Fixtures Equipment [Member]
Costs	31,126	31,126
Additions	0	0
Accumulated amortization	(27,652)	(22,837)
Balance-end of the period	3,474	8,289
Furniture Fixtures Equipment [Member] | Period Amortization [Member]
Accumulated amortization	(4,813)	(6,417)
Lab Equipment [Member]
Costs	333,675	291,235
Additions	33,748	42,375
Accumulated amortization	(124,575)	(101,047)
Balance-end of the period	242,848	232,563
Lab Equipment [Member] | Period Amortization [Member]
Accumulated amortization	$ (23,461)	$ (31,572)

Property Equipment, net (Deta_2

Property Equipment, net (Details Narrative)	9 Months Ended
	May 31, 2023 USD ($)
Property Equipment, net
Amortization	$ 4,647

Accounts Payable and Accrued _3

Accounts Payable and Accrued Liabilities (Details) - USD ($)	May 31, 2023	Aug. 31, 2022
Accounts payable and accrued liabilities	$ 1,023,587	$ 151,449
Accrued Liabilities [Member]
Trades payable	12,373	62,996
Accounts Payable [Member]
Trades payable	998,146	57,150
Sales tax payable	$ 13,068	$ 31,303

Revenues (Details)

Revenues (Details) - USD ($)	9 Months Ended
	May 31, 2023	May 31, 2022
Income from operations	$ 229,641	$ 144,247
B2B [Member]
Income from operations	44,167	111,597
Licensing [Member]
Income from operations	104,935	16,160
Other [Member]
Income from operations	$ 80,539	$ 16,490

Revenues (Details Narrative)

Revenues (Details Narrative) - USD ($)	9 Months Ended
	May 31, 2023	May 31, 2022
Revenues
Product revenues	$ 44,167	$ 111,597
licensing usage	$ 104,935	$ 16,160

Common Shares, Warrants and O_3

Common Shares, Warrants and Options (Details)	9 Months Ended
	May 31, 2023 $ / shares shares
Common Shares, Warrants and Options
Number of Warrants, Beginning Balance | shares	2,421,983
Number of Warrants, Cancelled/Expired | shares	(7,500)
Number of Warrants, Issued | shares	2,106,000
Number of Warrants, Ending Balance | shares	4,520,483
Weighted Average Exercise Price, Beginning Balance | $ / shares	$ 8.04
Weighted Average Exercise Price, Cancelled/Expired | $ / shares	24
Weighted Average Exercise Price, Issued | $ / shares	0.95
Weighted Average Exercise Price, Ending Balances | $ / shares	$ 4.71

Common Shares, Warrants and O_4

Common Shares, Warrants and Options (Details 1) - $ / shares	9 Months Ended
	May 31, 2023	Aug. 31, 2022
Number of Warrants	4,520,483	2,421,983
Weighted Average Exercise Price	$ 4.71
Weighted Average Remaining Contractual Life	3 years 6 months 10 days
Warrants 1
Number of Warrants	60,798
Weighted Average Exercise Price	$ 36
Warrants 1 | Minimum
Weighted Average Remaining Contractual Life	1 year 5 months 15 days
Warrants 1 | Maximum
Weighted Average Remaining Contractual Life	1 year 6 months
Warrants 2
Number of Warrants	317,190
Weighted Average Exercise Price	$ 10.50
Warrants 2 | Minimum
Weighted Average Remaining Contractual Life	1 year 11 months 4 days
Warrants 2 | Maximum
Weighted Average Remaining Contractual Life	1 year 11 months 12 days
Warrants 3
Number of Warrants	116,667
Weighted Average Exercise Price	$ 9
Warrants 3 | Minimum
Weighted Average Remaining Contractual Life	10 months 17 days
Warrants 3 | Maximum
Weighted Average Remaining Contractual Life	1 year 9 months 14 days
Warrants 4
Number of Warrants	200,000
Weighted Average Exercise Price	$ 7
Weighted Average Remaining Contractual Life	10 months 17 days
Warrants 5
Number of Warrants	1,719,828
Weighted Average Exercise Price	$ 6.58
Weighted Average Remaining Contractual Life	2 years 7 months 17 days
Warrants 6
Number of Warrants	2,106,000
Weighted Average Exercise Price	$ 0.95
Weighted Average Remaining Contractual Life	4 years 11 months 12 days

Common Shares, Warrants and O_5

Common Shares, Warrants and Options (Details 2) - $ / shares	9 Months Ended	12 Months Ended
	May 31, 2023	Aug. 31, 2022
Exercise price	$ 2.11	$ 4.21
Life (Years)	4 years 4 months 20 days
Quantity	49,600
Stock Options 1
Exercise price	$ 1.96
Life (Years)	5 years
Quantity	41,200
Stock Options 2
Exercise price	$ 2.73
Life (Years)	5 years
Quantity	5,000
Stock Options 3
Exercise price	$ 3.04
Life (Years)	5 years
Quantity	3,400

Common Shares, Warrants and O_6

Common Shares, Warrants and Options (Details 3) - USD ($)	9 Months Ended	12 Months Ended
	May 31, 2023	Aug. 31, 2022
Common Shares, Warrants and Options
Beginning Balance, Outstanding	424,836	206,170
Expired/Cancelled		(3,334)
Granted	49,600	222,000
Ending Balance, Outstanding	474,436	424,836
Ending Balance, Exercisable	462,686
Weighted average exercise price, Beginning Balance, Outstanding	$ 6.45	$ 8.90
Weighted average exercise price, Expired/Cancelled		9.60
Weighted average exercise price, Granted	2.11	4.21
Weighted average exercise price, Ending Balance, Outstanding	3.39	$ 6.45
Weighted average exercise price, Balance, Exercisable	$ 3.40
Weighted Average Remaining Contractual Term, Outstanding (Years)	3 years 8 months 8 days
Weighted Average Remaining Contractual Term, Granted (Years)	4 years 4 months 20 days
Weighted Average Remaining Contractual Term, Ending (Years)	3 years 5 months 1 day
Weighted Average Remaining Contractual Term, Exercisable (Years)	3 years 5 months 1 day
Aggregate intrinsic value, granted	$ 55,748
Aggregate Intrinsic Value, Exercisable	0
Aggregate Intrinsic Value, Beginning	$ 5,175
Aggregate Intrinsic Value, Outstanding		$ 0

Common Shares, Warrants and O_7

Common Shares, Warrants and Options (Details 4)	9 Months Ended
	May 31, 2023 $ / shares
Common Shares, Warrants and Options
Expected volatility Minimum	98%
Expected volatility Maximum	1.05%
Risk-free interest rate Minimum	3.30%
Risk-free interest rate Maximum	4.12%
Expected life	5 years
Dividend yield	0%
Estimated fair value per option Minimum	$ 1.60
Estimated fair value per option Maximum	$ 2.58

Common Shares, Warrants and O_8

Common Shares, Warrants and Options (Detail Narrative) - USD ($)	9 Months Ended		12 Months Ended
	May 31, 2023	May 31, 2022	Aug. 31, 2022
Sale average price	$ 3.30
Number of stock options, granted	510,433
Exercise price	$ 2.11		$ 4.21
Description of incentives plan	The Company has established an Equity Incentive Plan which currently allows the board of directors to grant up to 510,433 stock options to directors, officers, employees, and consultants. On May 9, 2023, at its annual shareholder meeting, the Company’s shareholders approved amendments to the Equity Incentive Plan, whereby the board of directors were authorized to grant up to 809,165 stock options to directors, officers, employees, and consultants with such amount being adjusted on January 1 each year commencing January 1, 2024, pursuant to an evergreen formula, to be equal to up to 10% of the issued share capital on December 31 of the previous year
Stock based compensation expense	$ 160,748	$ 519,718
Unrecognized non-cash compensation costs	$ 39,117
Sale of common shares	34,652
Net proceeds from sale of common shares	$ 111,021
Non-vested stock options	11,750
Options repricing	267,969
Compensation expense for options repricing	$ 25,194
Option strike price	$ 3.27
Weighted Average Remaining Contractual Life	9 months 25 days
Warrants
Number of Warrants exercisable	2,106,000
Number of Warrants sold	2,106,000
Sale price per share	$ 0.95
Weighted Average Remaining Contractual Life	5 years
Stock Options
Exercise price repriced	$ 3
Options repricing	267,969
Stock Options | Minimum
Exercise price	$ 9.60
Stock Options | Maximum
Exercise price	$ 4.80

Commitments, Significant Cont_3

Commitments, Significant Contracts and Contingencies (Details) - USD ($)	9 Months Ended	12 Months Ended
	May 31, 2023	Aug. 31, 2022
Commitments, Significant Contracts and Contingencies
Right of use assets - operating leases	$ 52,444	$ 91,041
Right of use assets - Remeasurement related to lease extension	156,565
Amortization	30,882	38,597
Total lease assets	178,127	52,444
Liabilities operating lease	49,989	89,393
Liabilities remeasurement related to lease extension	156,565
Lease payments	(33,610)	(44,600)
Interest accretion	1,961	5,195
Total lease liabilities	174,905	49,988
Operating lease cost	178,127	52,444
Operating cash flows for lease	$ 33,610	$ 44,599
Remaining lease term	5 years 5 months 1 day	1 year 2 months 1 day
Discount rate	7.25%	7.25%

Commitments, Significant Cont_4

Commitments, Significant Contracts and Contingencies (Details 1)	Mar. 31, 2023 USD ($)
Commitments, Significant Contracts and Contingencies
2023 (three months remaining)	$ 11,204
2024	35,840
2025	37,094
2026	37,345
Thereafter	84,026
Total lease payments	205,509
Less: imputed interest	(30,605)
Present value of operating lease liabilities	174,904
Less: current obligations under leases	32,317
Total	$ 142,587

Segment Information (Details)

Segment Information (Details) - USD ($)	9 Months Ended
	May 31, 2023	May 31, 2022	Aug. 31, 2022
Revenue	$ 229,641	$ 144,247
Cost of goods sold	(31,500)	(30,592)
Operating expense	(5,661,651)	(5,984,147)
Segment income (loss)	(5,463,510)	(5,870,492)
Total assets	5,239,637	9,137,943	$ 7,833,927
IP Licensing
Revenue	104,935	16,160
Cost of goods sold	0	0
Operating expense	(58,845)	(3,096,910)
Segment income (loss)	46,090	(3,080,750)
Total assets	2,596	958,586
Corporate
Revenue	80,539	16,490
Cost of goods sold	0	0
Operating expense	(5,367,427)	(2,456,286)
Segment income (loss)	(5,286,888)	(2,439,796)
Total assets	5,169,336	8,083,968
B2B [Member]
Revenue	44,167	111,597
Cost of goods sold	(31,500)	(30,592)
Operating expense	(235,379)	(430,951)
Segment income (loss)	(222,712)	(349,946)
Total assets	$ 67,705	$ 95,389

Segment Information (Details 1)

Segment Information (Details 1) - USD ($)	May 31, 2023	Aug. 31, 2022
Net Balance	$ 276,898	$ 315,505
Canada [Member]
Net Balance	152,415	215,474
Cost	555,073	548,256
Addition	0	6,817
US [Member]
Net Balance	124,483	100,031
Cost	140,487	98,050
Addition	33,748	42,375
Leasehold Improvements [Member]
Net Balance	24,768	65,296
Leasehold Improvements [Member] | Canada [Member]
Net Balance	24,768	65,296
Cost	259,981	259,981
Addition	0	0
Leasehold Improvements [Member] | US [Member]
Net Balance	0	0
Cost	0	0
Addition	0	0
Furniture Fixtures Equipment [Member]
Net Balance	3,474	8,288
Furniture Fixtures Equipment [Member] | Canada [Member]
Net Balance	3,474	8,288
Cost	31,126	31,126
Addition	0	0
Furniture Fixtures Equipment [Member] | US [Member]
Net Balance	0	0
Cost	0	0
Addition	0	0
Lab Equipment [Member]
Net Balance	242,848	232,564
Lab Equipment [Member] | Canada [Member]
Net Balance	118,365	132,533
Cost	193,185	193,185
Addition	0	0
Lab Equipment [Member] | US [Member]
Net Balance	124,483	100,031
Cost	140,487	98,050
Addition	33,748	42,375
Computer Equipment [Member]
Net Balance	5,808	9,357
Computer Equipment [Member] | Canada [Member]
Net Balance	5,808	9,357
Cost	70,781	63,964
Addition	0	6,817
Computer Equipment [Member] | US [Member]
Net Balance	0	0
Cost	0	0
Addition	$ 0	$ 0