DiaMedica Therapeutics (DMAC) 10-Q 13 Nov 23 2023 Q3 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	9 Months Ended
	Sep. 30, 2023	Nov. 06, 2023
Document Information [Line Items]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2023
Document Transition Report	false
Entity File Number	001-36291
Entity Registrant Name	DIAMEDICA THERAPEUTICS INC.
Entity Incorporation, State or Country Code	A1
Entity Address, Address Line One	301 Carlson Parkway, Suite 210
Entity Address, City or Town	Minneapolis
Entity Address, State or Province	MN
Entity Address, Postal Zip Code	55305
City Area Code	763
Local Phone Number	496-5454
Title of 12(b) Security	Voting common shares, no par value per share
Trading Symbol	DMAC
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	true
Entity Ex Transition Period	true
Entity Shell Company	false
Entity Common Stock, Shares Outstanding (in shares)		37,953,711
Entity Central Index Key	0001401040
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2023
Document Fiscal Period Focus	Q3
Amendment Flag	false

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Current assets:
Cash and cash equivalents	$ 2,232	$ 4,728
Short term marketable securities	44,233	28,774
Prepaid expenses and other assets	1,111	251
Amounts receivable	310	82
Total current assets	47,886	33,835
Non-current assets:
Long term marketable securities	9,746	0
Operating lease right-of-use asset, net	372	424
Property and equipment, net	135	136
Total non-current assets	10,253	560
Total assets	58,139	34,395
Current liabilities:
Accounts payable	863	734
Accrued liabilities	1,227	1,365
Operating lease obligation	78	63
Financing lease obligation	2	6
Total current liabilities	2,170	2,168
Non-current liabilities:
Operating lease obligation, non-current	337	396
Finance lease obligation, non-current	3	4
Total non-current liabilities	340	400
Shareholders’ equity:
Common shares, no par value; unlimited authorized; 37,953,711 and 26,443,067 shares issued and outstanding as of September 30, 2023 and December 31, 2022, respectively	0	0
Paid-in capital	166,153	128,078
Accumulated other comprehensive loss	(127)	(74)
Accumulated deficit	(110,397)	(96,177)
Total shareholders’ equity	55,629	31,827
Total liabilities and shareholders’ equity	$ 58,139	$ 34,395

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Unaudited) (Parentheticals) - $ / shares $ / shares in Thousands	9 Months Ended	12 Months Ended
	Sep. 30, 2023	Dec. 31, 2022
Common shares, par value (in dollars per share)	$ 0	$ 0
Common shares, authorized	Unlimited	Unlimited
Common Stock, Shares, Outstanding (in shares)	37,953,711	26,443,067
Common shares, issued (in shares)	37,953,711	26,443,067

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations and Comprehensive Loss (Unaudited) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Operating expenses:
Research and development	$ 3,272	$ 1,640	$ 9,433	$ 5,569
General and administrative	1,885	1,488	5,986	4,459
Operating loss	(5,157)	(3,128)	(15,419)	(10,028)
Other income:
Other income, net	693	76	1,220	124
Total other income, net	693	76	1,220	124
Loss before income tax expense	(4,464)	(3,052)	(14,199)	(9,904)
Income tax expense	(7)	(7)	(21)	(21)
Net loss	(4,471)	(3,059)	(14,220)	(9,925)
Other comprehensive (loss) gain
Unrealized gain (loss) on marketable securities	(64)	5	(53)	(111)
Net loss and comprehensive loss	$ (4,535)	$ (3,054)	$ (14,273)	$ (10,036)
Basic and diluted net loss per share (in dollars per share)	$ (0.12)	$ (0.12)	$ (0.46)	$ (0.38)
Weighted average shares outstanding – basic and diluted (in shares)	37,949,422	26,443,067	30,751,329	26,443,067

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Shareholders' Equity (Unaudited) - USD ($) $ in Thousands	Common Stock [Member]	Additional Paid-in Capital [Member]	AOCI Attributable to Parent [Member]	Retained Earnings [Member]	Total
Balances (in shares) at Dec. 31, 2021	26,443,067
Balances at Dec. 31, 2021		$ 126,576	$ (51)	$ (82,501)	$ 44,024
Share-based compensation expense		308	0	0	308
Unrealized gain on marketable securities		0	(56)	0	(56)
Net loss		0	0	(3,508)	(3,508)
Balances (in shares) at Mar. 31, 2022	26,443,067
Balances at Mar. 31, 2022		126,884	(107)	(86,009)	40,768
Net loss		0	0	(3,508)	(3,508)
Balances (in shares) at Dec. 31, 2021	26,443,067
Balances at Dec. 31, 2021		126,576	(51)	(82,501)	44,024
Unrealized gain on marketable securities					(111)
Net loss					(9,925)
Balances (in shares) at Sep. 30, 2022	26,443,067
Balances at Sep. 30, 2022		127,667	(162)	(92,426)	35,079
Net loss					(9,925)
Balances (in shares) at Mar. 31, 2022	26,443,067
Balances at Mar. 31, 2022		126,884	(107)	(86,009)	40,768
Share-based compensation expense		365	0	0	365
Unrealized gain on marketable securities		0	(60)	0	(60)
Net loss		0	0	(3,358)	(3,358)
Balances (in shares) at Jun. 30, 2022	26,443,067
Balances at Jun. 30, 2022		127,249	(167)	(89,367)	37,715
Net loss		0	0	(3,358)	(3,358)
Share-based compensation expense		418	0	0	418
Unrealized gain on marketable securities		0	5	0	5
Net loss		0	0	(3,059)	(3,059)
Balances (in shares) at Sep. 30, 2022	26,443,067
Balances at Sep. 30, 2022		127,667	(162)	(92,426)	35,079
Net loss		0	0	(3,059)	(3,059)
Balances (in shares) at Dec. 31, 2022	26,443,067
Balances at Dec. 31, 2022		128,078	(74)	(96,177)	31,827
Issuance of common shares in settlement of deferred stock units (in shares)	17,621
Issuance of common shares upon the vesting of restricted stock units (in shares)	4,289
Issuance of common shares upon the vesting of restricted stock units		0	0	0	0
Share-based compensation expense		422			422
Unrealized gain on marketable securities			45		45
Net loss				(5,272)	(5,272)
Balances (in shares) at Mar. 31, 2023	26,464,977
Balances at Mar. 31, 2023		128,500	(29)	(101,449)	27,022
Net loss				(5,272)	(5,272)
Balances (in shares) at Dec. 31, 2022	26,443,067
Balances at Dec. 31, 2022		128,078	(74)	(96,177)	$ 31,827
Issuance of common shares in settlement of deferred stock units (in shares)					17,621
Unrealized gain on marketable securities					$ (53)
Net loss					(14,220)
Balances (in shares) at Sep. 30, 2023	37,953,711
Balances at Sep. 30, 2023		166,153	(127)	(110,397)	55,629
Net loss					(14,220)
Balances (in shares) at Mar. 31, 2023	26,464,977
Balances at Mar. 31, 2023		128,500	(29)	(101,449)	27,022
Issuance of common shares upon the vesting of restricted stock units (in shares)	4,289
Issuance of common shares upon the vesting of restricted stock units		0	0	0	0
Share-based compensation expense		380	0	0	380
Unrealized gain on marketable securities		0	(34)	0	(34)
Net loss		0	0	(4,477)	(4,477)
Issuance of common shares net of offering costs of $1.4 million (in shares)	11,480,156
Issuance of common shares net of offering costs of $1.4 million		36,852	0	0	36,852
Offering costs on previously issued common shares					1,400
Balances (in shares) at Jun. 30, 2023	37,949,422
Balances at Jun. 30, 2023		165,732	(63)	(105,926)	59,743
Net loss		0	0	(4,477)	(4,477)
Issuance of common shares upon the vesting of restricted stock units (in shares)	4,289
Issuance of common shares upon the vesting of restricted stock units		0	0	0	0
Share-based compensation expense		425			425
Unrealized gain on marketable securities			(64)	0	(64)
Net loss		0	0	(4,471)	(4,471)
Offering costs on previously issued common shares		4	0	0	4
Balances (in shares) at Sep. 30, 2023	37,953,711
Balances at Sep. 30, 2023		166,153	(127)	(110,397)	55,629
Net loss		$ 0	$ 0	$ (4,471)	$ (4,471)

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Shareholders' Equity (Unaudited) (Parentheticals) - USD ($) $ in Thousands	3 Months Ended
	Sep. 30, 2023	Jun. 30, 2023
Adjustments to Additional Paid in Capital, Stock Issued, Issuance Costs	$ 4	$ 1,400

Condensed Consolidated Statem_4

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Cash flows from operating activities:
Net loss	$ (14,220)	$ (9,925)
Adjustments to reconcile net loss to net cash used in operating activities:
Share-based compensation	1,227	1,091
Amortization of (discount) premium on marketable securities	(856)	118
Non-cash lease expense	52	47
Depreciation	22	19
Changes in operating assets and liabilities:
Amounts receivable	(228)	55
Prepaid expenses and other assets	(860)	(134)
Accounts payable	129	355
Accrued liabilities	(182)	(371)
Net cash used in operating activities	(14,916)	(8,745)
Cash flows from investing activities:
Purchase of marketable securities	(64,537)	(35,895)
Maturities of marketable securities	40,135	42,758
Purchases of property and equipment	(21)	(49)
Net cash (used in) provided by investing activities	(24,423)	6,814
Cash flows from financing activities:
Proceeds from issuance of common shares, net of offering costs	36,848	0
Principal payments on finance lease obligations	(5)	(5)
Net cash provided by (used in) financing activities	36,843	(5)
Net decrease in cash and cash equivalents	(2,496)	(1,936)
Cash and cash equivalents at beginning of period	4,728	4,707
Cash and cash equivalents at end of period	2,232	2,771
Supplemental disclosure of non-cash transactions:
Cash paid for income taxes	26	10
Assets acquired under operating lease	$ 0	$ 446

Note 1 - Business

Note 1 - Business	9 Months Ended
	Sep. 30, 2023
Notes to Financial Statements
Business Description and Basis of Presentation [Text Block]	1. Business DiaMedica Therapeutics Inc. and its wholly owned subsidiaries, DiaMedica USA Inc. and DiaMedica Australia Pty Ltd. (collectively, we, us, our, DiaMedica and the Company), exist for the primary purpose of advancing the clinical and commercial development of our proprietary recombinant KLK1 protein called DM199, for the treatment of neurological and cardio-renal diseases. Currently, our primary focus is on developing DM199, a recombinant form of the human tissue kallikrein-1 (KLK1) protein, for the treatment of acute ischemic stroke (AIS) and cardio-renal disease (CRD). Our parent company is governed under British Columbia’s Business Corporations Act, and our common shares are publicly traded on The Nasdaq Capital Market under the symbol “DMAC.”

Note 2 - Risks and Uncertaintie

Note 2 - Risks and Uncertainties	9 Months Ended
	Sep. 30, 2023
Notes to Financial Statements
Unusual Risks and Uncertainties [Table Text Block]	2. Risks and Uncertainties DiaMedica operates in a highly regulated and competitive environment. The development, manufacturing and marketing of pharmaceutical products require approval from, and are subject to ongoing oversight by, the United States Food and Drug Administration (FDA) in the United States, the European Medicines Agency (EMA) in the European Union and comparable agencies in other countries. We are in the clinical stage of development of our initial product candidate, DM199, for the treatment of AIS and CRD. The Company has not completed the development of any product candidate and does not generate any revenues from the commercial sale of any product candidate. DM199 requires significant additional clinical testing and investment prior to seeking marketing approval and is not expected to be commercially available for at least three years, if at all. On July 6, 2022, we announced that the FDA placed a clinical hold on the investigational new drug application (IND) for our Phase 2/3 ReMEDy2 trial. The clinical hold was issued following us voluntarily pausing participant enrollment in the trial to investigate three unexpected instances of clinically significant hypotension (low blood pressure) occurring shortly after initiation of the intravenous (IV) dose of DM199. In September 2022, we submitted our analysis of the events leading to and causing the hypotensive events, and proposed protocol modifications to address the mitigation of these events for future trial participants. Following review of this analysis, the FDA informed us that they were continuing the clinical hold and requesting, among other items, an additional in-use in vitro stability study of the IV administration of DM199, which includes testing the combination of the IV bag, IV tubing and mechanical infusion pump, to further rule out any other cause of the hypotension events. The requested in-use study was completed at an independent laboratory and the results were substantially consistent with our earlier testing of the IV bags. In May 2023, these additional supporting data were submitted to the FDA in our clinical hold response. In June 2023, the FDA completed review of our clinical hold response and informed us that the clinical hold was removed allowing us to begin preparations to resume our Phase 2/3 ReMEDy2 trial. Prior to voluntarily halting enrollment in our ReMEDy2 trial, we had experienced slower than expected site activations and enrollment and may continue to experience these conditions as we resume site engagement and subject enrollment. We believe this was due to a number of factors, including the reduction or suspension of research activities at our previously targeted clinical study sites, as well as site staffing shortages, due to COVID-19 and concerns managing logistics and protocol compliance for participants discharged from the hospital into an intermediate care facility. We intend to continue to take certain actions, including engaging a clinical services consulting firm to provide staff support to study sites as needed, to assist study sites in overcoming these issues when we resume enrollment in the ReMEDy2 trial, however no assurances can be provided as to whether these issues will resolve or new issues will arise. For example, it is possible we may compete with other stroke clinical trials for research staff and trial subjects for our ReMEDy2 trial. Our future success is dependent upon the success of our development efforts, our ability to demonstrate clinical progress for our DM199 product candidate in the United States or other markets, our ability, or the ability of any future partner, to obtain required governmental approvals of our product candidate, our ability to license or market and sell our DM199 product candidate and our ability to obtain additional financing to fund these efforts. As of September 30, 2023, we have incurred losses of $110.4 million since our inception in 2000. For the nine months ended September 30, 2023, we incurred a net loss of $14.2 million and negative cash flows from operating activities of $14.9 million. We expect to continue to incur operating losses until such time as any future product sales, licensing fees, milestone payments and/or royalty payments generate revenue sufficient to fund our continuing operations. For the foreseeable future, we expect to incur significant operating losses as we continue the development and clinical study of, and to seek regulatory approval for, our DM199 product candidate. As of September 30, 2023, we had combined cash, cash equivalents and marketable securities of $56.2 million, working capital of $45.7 million and shareholders’ equity of $55.6 million. Our principal source of cash has been net proceeds from the issuance of equity securities. Although the Company has previously been successful in obtaining financing through equity securities offerings, there is no assurance that we will be able to do so in the future. This is particularly true if our clinical data are not positive or if economic and market conditions do not improve or further deteriorate. We expect that we will need substantial additional capital to further our research and development activities, complete the required clinical studies, regulatory activities and manufacturing development for our product candidate, DM199, or any future product candidates, to a point where they may be licensed or commercially sold. We expect our current cash, cash equivalents and marketable securities to fund our planned operations for at least the next 12 months from the date of issuance of these condensed consolidated financial statements. However, the amount and timing of our future funding requirements will depend on many factors, including the timing and results of our ongoing development efforts, and specifically the resumption of our ReMEDy2 trial, the rate of site activation and enrollment in our trial, the effects on our trial of COVID-19, site staffing shortages, competition for research staff and trial subjects due to other stroke trials and other factors, as well as the potential expansion of our current and potential new development programs and operating expenses incurred in connection with such activities. We may require significant additional funds earlier than we currently expect and there is no assurance that we will not need or seek additional funding prior to such time, especially if market conditions for raising additional capital are favorable.

Note 3 - Summary of Significant

Note 3 - Summary of Significant Accounting Policies	9 Months Ended
	Sep. 30, 2023
Notes to Financial Statements
Liquidity and Management Plans [Text Block]	3. Summary of Significant Accounting Policies Interim financial statements We have prepared the accompanying condensed consolidated financial statements in accordance with accounting principles generally accepted in the United States (US GAAP) for interim financial information and with the instructions to Form 10-Q and Regulation S-X of the Securities and Exchange Commission (SEC). Accordingly, they do not include all of the information and footnotes required by US GAAP for complete financial statements. These condensed consolidated financial statements reflect all adjustments consisting of normal recurring accruals which, in the opinion of management, are necessary to present fairly our condensed consolidated financial position, condensed consolidated results of operations, condensed consolidated statement of shareholders’ equity and condensed consolidated cash flows for the periods and as of the dates presented. Our fiscal year ends on December 31. The condensed consolidated balance sheet as of December 31, 2022 was derived from our audited consolidated financial statements. Certain prior year amounts have been reclassified to conform to the current year presentation. These condensed consolidated financial statements should be read in conjunction with our annual consolidated financial statements and the notes thereto. The nature of our business is such that the results of any interim period may not be indicative of the results to be expected for the entire year. Cash and cash equivalents The Company considers all bank deposits, including money market funds and other investments, purchased with an original maturity to the Company of three months or less, to be cash and cash equivalents. The carrying amount of our cash equivalents approximates fair value due to the short maturity of the investments. Marketable securities The Company’s marketable securities typically consist of obligations of the United States government and its agencies, bank certificates of deposit and/or investment grade corporate obligations, which are classified as available-for-sale. Marketable securities which mature within 12 months from their date of purchase are included in current assets. Securities are valued based on market prices for similar assets using third party certified pricing sources. Available-for-sale securities are carried at fair value. The amortized cost of debt securities is adjusted for amortization of premiums and accretion of discounts to maturity. Such amortization or accretion is included in interest income. Realized gains and losses, if any, are calculated on the specific identification method and are included in other income in the condensed consolidated statements of operations. We conduct periodic reviews to identify and evaluate each available-for-sale debt security that is in an unrealized loss position in order to determine whether an other-than-temporary impairment exists. An unrealized loss exists when the current fair value of an individual security is less than its amortized cost basis. Declines in fair value considered to be temporary and caused by noncredit-related factors, are recorded in accumulated other comprehensive loss, which is a separate component of shareholders’ equity. Declines in fair value that are other than temporary or caused by credit-related factors, are recorded within earnings as an impairment loss. There were no other-than-temporary unrealized losses as of September 30, 2023. Concentration of credit risk Financial instruments that potentially expose the Company to concentration of credit risk consist primarily of cash, cash equivalents and marketable securities. The Company maintains its cash balances primarily with two financial institutions. These balances generally exceed federally insured limits. The Company has not experienced any losses in such accounts and believes it is not exposed to any significant credit risk in cash and cash equivalents. The Company believes that the credit risk related to marketable securities is limited due to the adherence to an investment policy focused on the preservation of principal. Fair value measurements Under the authoritative guidance for fair value measurements, fair value is defined as the exit price, or the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants as of the measurement date. The authoritative guidance also establishes a hierarchy for inputs used in measuring fair value that maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that the most observable inputs be used when available. Observable inputs are inputs market participants would use in valuing the asset or liability developed based on market data obtained from sources independent of the Company. Unobservable inputs are inputs that reflect the Company’s assumptions about the factors market participants would use in valuing the asset or liability developed based upon the best information available in the circumstances. The categorization of financial assets and financial liabilities within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. The hierarchy is broken down into three levels defined as follows: Level 1 Inputs Level 2 Inputs Level 3 Inputs As of September 30, 2023, the Company believes that the carrying amounts of its other financial instruments, including amounts receivable, accounts payable and accrued liabilities, approximate their fair value due to the short-term maturities of these instruments. See Note 4, titled “ Marketable Securities Patent costs Costs associated with applying for, prosecuting and maintaining patents are expensed as incurred given the uncertainty of patent approval and, if approved, the resulting probable future economic benefit to the Company. Patent-related costs, consisting primarily of legal expenses and filing/maintenance fees, are included in general and administrative costs and were $196,000 and $109,000 for the nine months ended September 30, 2023 and 2022, respectively. Recently Adopted Accounting Pronouncements In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments

Note 4 - Marketable Securities

Note 4 - Marketable Securities	9 Months Ended
	Sep. 30, 2023
Notes to Financial Statements
Investments in Debt and Marketable Equity Securities (and Certain Trading Assets) Disclosure [Text Block]	4. Marketable Securities The available-for-sale marketable securities are primarily comprised of investments in commercial paper, corporate bonds and government securities and consist of the following, measured at fair value on a recurring basis (in thousands): Fair Value Measurements Using Inputs Considered as of: September 30, 2023 December 31, 2022 Total Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Commercial paper and corporate bonds $ 20,702 $ — $ 20,702 $ — $ 14,209 $ — $ 14,209 $ — Government securities 33,277 — 33,277 — 14,565 — 14,565 — Total $ 53,979 $ — $ 53,979 $ — $ 28,774 $ — $ 28,774 $ — Accrued interest receivable on marketable securities is included in amounts receivable and was $309,000 and $80,000 as of September 30, 2023 and December 31, 2022, respectively. There were no transfers of assets between Level 1 and Level 2 of the fair value measurement hierarchy during the nine months ended September 30, 2023. Under the terms of the Company’s investment policy, purchases of marketable securities are limited to investment grade governmental and corporate obligations and bank certificates of deposit with a primary objective of principal preservation. Maturities of individual securities are less than 18 months and the amortized cost of all securities approximated fair value as of September 30, 2023 and December 31, 2022.

Note 5 - Amounts Receivable

Note 5 - Amounts Receivable	9 Months Ended
	Sep. 30, 2023
Notes to Financial Statements
Loans, Notes, Trade and Other Receivables Disclosure [Text Block]	5. Amounts Receivable Amounts receivable consisted primarily of accrued interest receivable on marketable securities of $309,000 and $80,000 as of September 30, 2023 and December 31, 2022, respectively.

Note 6 - Prepaid Expenses and O

Note 6 - Prepaid Expenses and Other Assets	9 Months Ended
	Sep. 30, 2023
Notes to Financial Statements
Other Assets Disclosure [Text Block]	6. Prepaid Expenses and Other Assets Prepaid expenses and other assets consisted of the following (in thousands): September 30, 2023 December 31, 2022 Prepaid expenses $ 396 $ 209 Advances to vendors 715 42 Total prepaid expenses and other assets $ 1,111 $ 251 We periodically advance funds to vendors engaged to support the performance of our clinical trials and related supporting activities. The funds advanced are held, interest free, for varying periods of time and may be recovered by DiaMedica through partial reductions of ongoing invoices, application against final study/project invoices or refunded upon completion of services to be provided. Deposits are classified as current or non-current based upon their expected recovery time.

Note 7 - Property and Equipment

Note 7 - Property and Equipment	9 Months Ended
	Sep. 30, 2023
Notes to Financial Statements
Property, Plant and Equipment Disclosure [Text Block]	7. Property and Equipment Property and equipment consisted of the following (in thousands): September 30, 2023 December 31, 2022 Furniture and equipment $ 127 $ 124 Computer equipment 89 76 Leasehold improvements 16 16 232 216 Less accumulated depreciation (97 ) (80 ) Property and equipment, net $ 135 $ 136

Note 8 - Accrued Liabilities

Note 8 - Accrued Liabilities	9 Months Ended
	Sep. 30, 2023
Notes to Financial Statements
Accounts Payable and Accrued Liabilities Disclosure [Text Block]	8. Accrued Liabilities Accrued liabilities consisted of the following (in thousands): September 30, 2023 December 31, 2022 Accrued compensation $ 570 $ 667 Accrued research and other professional fees 418 215 Accrued clinical trial costs 231 472 Accrued other liabilities 8 11 Total accrued liabilities $ 1,227 $ 1,365

Note 9 - Operating Lease

Note 9 - Operating Lease	9 Months Ended
	Sep. 30, 2023
Notes to Financial Statements
Lessee, Operating Leases [Text Block]	9. Operating Lease Office lease Our operating lease costs were $78,000 and $52,000 for the nine months ended September 30, 2023 and 2022, respectively. Our variable lease costs were $66,000 and $25,000 for the nine months ended September 30, 2023 and 2022, respectively. Variable lease costs consist primarily of common area maintenance costs, insurance and taxes which are paid based upon actual costs incurred by the lessor. Maturities of our operating lease obligation are as follows as of September 30, 2023 (in thousands): 2023 27 2024 109 2025 113 2026 116 2027 119 2028 10 Total lease payments $ 494 Less interest portion (79 ) Present value of lease obligation $ 415

Note 10 - Shareholders' Equity

Note 10 - Shareholders' Equity	9 Months Ended
	Sep. 30, 2023
Notes to Financial Statements
Equity [Text Block]	10. Shareholders Equity Authorized capital stock The Company has authorized share capital of an unlimited number of voting common shares, and the shares do not have a stated par value. Common shareholders are entitled to receive dividends as declared by the Company, if any, and are entitled to one vote per share at the Company's annual general meeting and any special meeting. Equity issued during the nine months ended September 30, 2023 On April 10, 2023, in conjunction with his appointment as Chief Business Officer of DiaMedica, Mr. David Wambeke purchased 468,750 of DiaMedica’s common shares at an aggregate purchase price of $750,000 or $1.60 per share. On June 21, 2023, we issued and sold an aggregate 11,011,406 common shares pursuant to a securities purchase agreement at a purchase price of $3.40 per share, or $3.91 per share in the case of our participating directors and officers, in a private placement. As a result of the offering, we received gross proceeds of $37.5 million, which resulted in net proceeds to us of approximately $36.1 million, after deducting the offering expenses. In connection with the June 2023 private placement, we entered into a registration rights agreement (Registration Rights Agreement) with the investors pursuant to which we agreed to file with the United States Securities and Exchange Commission (SEC) a registration statement registering the resale of the shares sold in the June 2023 private placement (Resale Registration Statement). The Resale Registration Statement was filed with the SEC on June 30, 2023 and declared effective by the SEC on July 7, 2023. Under the terms of the Registration Rights Agreement, we agreed to keep the Resale Registration Statement effective at all times until the shares are no longer considered “Registrable Securities” under the Registration Rights Agreement and if we fail to keep the Resale Registration Statement effective, subject to certain permitted exceptions, we will be required to pay liquidated damages to the investors in an amount of up to 10% of the invested capital, excluding interest. We also agreed, among other things, to indemnify the selling holders under the Resale Registration Statement from certain liabilities and to pay all fees and expenses incident to our performance of or compliance with the Registration Rights Agreement. During the nine months ended September 30, 2023, 17,621 common shares were issued in settlement of deferred share units and 12,867 common shares were issued upon the vesting of restricted stock units. Equity issued during the nine months ended September 30, 2022 During the nine months ended September 30, 2022, we did not Shares reserved Common shares reserved for future issuance are as follows: September 30, 2023 Common shares issuable upon exercise of employee and non-employee stock options 3,698,513 Common shares issuable upon settlement of deferred stock units 213,905 Common shares issuable upon vesting of restricted stock units 4,289 Common shares issuable upon exercise of common share purchase warrants 205,000 Shares available for grant under the 2019 Omnibus Incentive Plan 1,067,215 Shares available for grant under the 2021 Employment Inducement Incentive Plan 395,000 Total 5,583,922

Note 11 - Net Loss Per Share

Note 11 - Net Loss Per Share	9 Months Ended
	Sep. 30, 2023
Notes to Financial Statements
Earnings Per Share [Text Block]	11. Net Loss Per Share We compute net loss per share by dividing our net loss (the numerator) by the weighted-average number of common shares outstanding (the denominator) during the period. Shares issued during the period and shares reacquired during the period, if any, are weighted for the portion of the period that they were outstanding. The computation of diluted earnings per share, or EPS, is similar to the computation of basic EPS except that the denominator is increased to include the number of additional common shares that would have been outstanding if the dilutive potential common shares had been issued. Our diluted EPS is the same as basic EPS due to common equivalent shares being excluded from the calculation, as their effect is anti-dilutive. The following table summarizes our calculation of net loss per common share for the periods presented (in thousands, except share and per share data): Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Net loss $ (4,471 ) $ (3,059 ) $ (14,220 ) $ (9,925 ) Weighted average shares outstanding—basic and diluted 37,949,422 26,443,067 30,751,329 26,443,067 Basic and diluted net loss per share $ (0.12 ) $ (0.12 ) $ (0.46 ) $ (0.38 ) The following outstanding potential common shares were not included in the diluted net loss per share calculations as their effects were not dilutive: Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Employee and non-employee stock options 3,698,513 2,775,998 3,698,513 2,775,998 Common shares issuable under common share purchase warrants 205,000 265,000 205,000 265,000 Common shares issuable under deferred stock units 213,905 134,402 213,905 134,402 Common shares issuable upon vesting of restricted stock units 4,289 — 4,289 —

Note 12 - Share-based Compensat

Note 12 - Share-based Compensation	9 Months Ended
	Sep. 30, 2023
Notes to Financial Statements
Share-Based Payment Arrangement [Text Block]	12. Share-Based Compensation Amended and Restated 2019 Omnibus Incentive Plan The DiaMedica Therapeutics Inc. Amended and Restated 2019 Omnibus Incentive Plan (the 2019 Plan) was adopted by the Board of Directors (Board) on March 10, 2022 and approved by our shareholders at our 2022 Annual General Meeting of Shareholders held on May 18, 2022. The 2019 Plan permits the Board, or a committee or subcommittee thereof, to grant to the Company’s eligible employees, non-employee directors and certain consultants non-statutory and incentive stock options, stock appreciation rights, restricted stock awards, restricted stock units, deferred stock units (DSUs), performance awards, non-employee director awards and other stock-based awards. We grant options to purchase common shares under the 2019 Plan at no less than the fair market value of the underlying common shares as of the date of grant. Options granted to employees and non-employee directors have a maximum term of ten one four five one 2021 Employment Inducement Incentive Plan On December 3, 2021, the Board adopted the DiaMedica Therapeutics Inc. 2021 Employment Inducement Incentive Plan (Inducement Plan) to facilitate the granting of equity awards as an inducement material to new employees joining the Company. The Inducement Plan is administered by the Compensation Committee of the Board of Directors. The Board reserved 1,000,000 common shares of the Company for issuance under the Inducement Plan. The only persons eligible to receive awards under the Inducement Plan are individuals who are new employees and satisfy the standards for inducement grants under Nasdaq Listing Rule 5635(c)(4) or 5635(c)(3), as applicable. As of September 30, 2023, options to purchase an aggregate of 605,000 common shares were outstanding under the Inducement Plan. Prior Stock Option Plan The DiaMedica Therapeutics Inc. Stock Option Plan, Amended and Restated November 6, 2018 (Prior Plan), was terminated by the Board of Directors in conjunction with the shareholder approval of the 2019 Plan. Awards outstanding under the Prior Plan remain outstanding in accordance with and pursuant to the terms thereof. Options granted under the Prior Plan have terms similar to those used under the 2019 Plan. As of September 30, 2023, options to purchase an aggregate of 450,410 common shares were outstanding under the Prior Plan. Prior Deferred Stock Unit Plan The DiaMedica Therapeutics Inc. Amended and Restated Deferred Stock Unit Plan (Prior DSU Plan) was terminated by the Board of Directors in conjunction with the shareholder approval of the 2019 Plan. Awards outstanding under the Prior DSU Plan remain outstanding in accordance with and pursuant to the terms thereof. As of September 30, 2023, there were 17,333 common shares reserved for issuance upon settlement of DSUs outstanding under the Prior DSU Plan. Share-based compensation expense for each of the periods presented is as follows (in thousands): Three Months Ended September 30 Nine Months Ended September 30 2023 2022 2023 2022 Research and development $ 158 $ 126 $ 430 $ 325 General and administrative 267 292 797 766 Total share-based compensation $ 425 $ 418 $ 1,227 $ 1,091 We recognize share-based compensation based on the fair value of each award as estimated using the Black-Scholes option valuation model. Ultimately, the total expense recognized over the vesting period will only be for those shares that actually vest. A summary of option activity is as follows (in thousands, except share and per share amounts): Shares Underlying Options Outstanding Weighted Average Exercise Price Per Share Aggregate Intrinsic Value Balances at December 31, 2022 2,782,248 $ 4.12 $ 17 Granted 972,515 2.59 Expired/cancelled (47,500 ) 7.35 Forfeited (8,750 ) 10.04 Balances at September 30, 2023 3,698,513 $ 3.66 $ 462 Information about stock options outstanding, vested and expected to vest as of September 30, 2023, is as follows: Outstanding, Vested and Expected to Vest Options Vested and Exercisable Per Share Exercise Price Shares Weighted Average Remaining Contractual Life (Years) Weighted Average Exercise Price Options Exercisable Weighted Average Remaining Contractual Life (Years) $1.00 - $1.99 343,443 9.2 $ 1.55 51,407 9.1 $2.00 - $2.99 1,506,470 8.4 2.62 513,200 6.7 $3.00 - $3.99 474,393 7.2 3.70 266,966 5.8 $4.00 - $4.99 862,182 5.8 4.58 854,265 5.8 $5.00 - $16.00 512,025 6.7 6.53 354,525 6.2 3,698,513 7.5 $ 3.66 2,040,363 6.1

Significant Accounting Policies

Significant Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2023
Accounting Policies [Abstract]
Basis of Accounting, Policy [Policy Text Block]	Interim financial statements We have prepared the accompanying condensed consolidated financial statements in accordance with accounting principles generally accepted in the United States (US GAAP) for interim financial information and with the instructions to Form 10-Q and Regulation S-X of the Securities and Exchange Commission (SEC). Accordingly, they do not include all of the information and footnotes required by US GAAP for complete financial statements. These condensed consolidated financial statements reflect all adjustments consisting of normal recurring accruals which, in the opinion of management, are necessary to present fairly our condensed consolidated financial position, condensed consolidated results of operations, condensed consolidated statement of shareholders’ equity and condensed consolidated cash flows for the periods and as of the dates presented. Our fiscal year ends on December 31. The condensed consolidated balance sheet as of December 31, 2022 was derived from our audited consolidated financial statements. Certain prior year amounts have been reclassified to conform to the current year presentation. These condensed consolidated financial statements should be read in conjunction with our annual consolidated financial statements and the notes thereto. The nature of our business is such that the results of any interim period may not be indicative of the results to be expected for the entire year.
Cash and Cash Equivalents, Policy [Policy Text Block]	Cash and cash equivalents The Company considers all bank deposits, including money market funds and other investments, purchased with an original maturity to the Company of three months or less, to be cash and cash equivalents. The carrying amount of our cash equivalents approximates fair value due to the short maturity of the investments.
Marketable Securities, Policy [Policy Text Block]	Marketable securities The Company’s marketable securities typically consist of obligations of the United States government and its agencies, bank certificates of deposit and/or investment grade corporate obligations, which are classified as available-for-sale. Marketable securities which mature within 12 months from their date of purchase are included in current assets. Securities are valued based on market prices for similar assets using third party certified pricing sources. Available-for-sale securities are carried at fair value. The amortized cost of debt securities is adjusted for amortization of premiums and accretion of discounts to maturity. Such amortization or accretion is included in interest income. Realized gains and losses, if any, are calculated on the specific identification method and are included in other income in the condensed consolidated statements of operations. We conduct periodic reviews to identify and evaluate each available-for-sale debt security that is in an unrealized loss position in order to determine whether an other-than-temporary impairment exists. An unrealized loss exists when the current fair value of an individual security is less than its amortized cost basis. Declines in fair value considered to be temporary and caused by noncredit-related factors, are recorded in accumulated other comprehensive loss, which is a separate component of shareholders’ equity. Declines in fair value that are other than temporary or caused by credit-related factors, are recorded within earnings as an impairment loss. There were no other-than-temporary unrealized losses as of September 30, 2023.
Concentration Risk, Credit Risk, Policy [Policy Text Block]	Concentration of credit risk Financial instruments that potentially expose the Company to concentration of credit risk consist primarily of cash, cash equivalents and marketable securities. The Company maintains its cash balances primarily with two financial institutions. These balances generally exceed federally insured limits. The Company has not experienced any losses in such accounts and believes it is not exposed to any significant credit risk in cash and cash equivalents. The Company believes that the credit risk related to marketable securities is limited due to the adherence to an investment policy focused on the preservation of principal.
Fair Value Measurement, Policy [Policy Text Block]	Fair value measurements Under the authoritative guidance for fair value measurements, fair value is defined as the exit price, or the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants as of the measurement date. The authoritative guidance also establishes a hierarchy for inputs used in measuring fair value that maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that the most observable inputs be used when available. Observable inputs are inputs market participants would use in valuing the asset or liability developed based on market data obtained from sources independent of the Company. Unobservable inputs are inputs that reflect the Company’s assumptions about the factors market participants would use in valuing the asset or liability developed based upon the best information available in the circumstances. The categorization of financial assets and financial liabilities within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. The hierarchy is broken down into three levels defined as follows: Level 1 Inputs Level 2 Inputs Level 3 Inputs As of September 30, 2023, the Company believes that the carrying amounts of its other financial instruments, including amounts receivable, accounts payable and accrued liabilities, approximate their fair value due to the short-term maturities of these instruments. See Note 4, titled “ Marketable Securities
Patent Costs [Policy Text Block]	Patent costs Costs associated with applying for, prosecuting and maintaining patents are expensed as incurred given the uncertainty of patent approval and, if approved, the resulting probable future economic benefit to the Company. Patent-related costs, consisting primarily of legal expenses and filing/maintenance fees, are included in general and administrative costs and were $196,000 and $109,000 for the nine months ended September 30, 2023 and 2022, respectively.
New Accounting Pronouncements, Policy [Policy Text Block]	Recently Adopted Accounting Pronouncements In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments

Note 4 - Marketable Securities

Note 4 - Marketable Securities (Tables)	9 Months Ended
	Sep. 30, 2023
Notes Tables
Fair Value, Marketable Securities Measured on a Recurring Basis [Table Text Block]	Fair Value Measurements Using Inputs Considered as of: September 30, 2023 December 31, 2022 Total Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Commercial paper and corporate bonds $ 20,702 $ — $ 20,702 $ — $ 14,209 $ — $ 14,209 $ — Government securities 33,277 — 33,277 — 14,565 — 14,565 — Total $ 53,979 $ — $ 53,979 $ — $ 28,774 $ — $ 28,774 $ —

Note 6 - Prepaid Expenses and_2

Note 6 - Prepaid Expenses and Other Assets (Tables)	9 Months Ended
	Sep. 30, 2023
Notes Tables
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Table Text Block]	September 30, 2023 December 31, 2022 Prepaid expenses $ 396 $ 209 Advances to vendors 715 42 Total prepaid expenses and other assets $ 1,111 $ 251

Note 7 - Property and Equipme_2

Note 7 - Property and Equipment (Tables)	9 Months Ended
	Sep. 30, 2023
Notes Tables
Property, Plant and Equipment [Table Text Block]	September 30, 2023 December 31, 2022 Furniture and equipment $ 127 $ 124 Computer equipment 89 76 Leasehold improvements 16 16 232 216 Less accumulated depreciation (97 ) (80 ) Property and equipment, net $ 135 $ 136

Note 8 - Accrued Liabilities (T

Note 8 - Accrued Liabilities (Tables)	9 Months Ended
	Sep. 30, 2023
Notes Tables
Schedule of Accrued Liabilities [Table Text Block]	September 30, 2023 December 31, 2022 Accrued compensation $ 570 $ 667 Accrued research and other professional fees 418 215 Accrued clinical trial costs 231 472 Accrued other liabilities 8 11 Total accrued liabilities $ 1,227 $ 1,365

Note 9 - Operating Lease (Table

Note 9 - Operating Lease (Tables)	9 Months Ended
	Sep. 30, 2023
Notes Tables
Lessee, Operating Lease, Liability, to be Paid, Maturity [Table Text Block]	2023 27 2024 109 2025 113 2026 116 2027 119 2028 10 Total lease payments $ 494 Less interest portion (79 ) Present value of lease obligation $ 415

Note 10 - Shareholders' Equity

Note 10 - Shareholders' Equity (Tables)	9 Months Ended
	Sep. 30, 2023
Notes Tables
Common Stock Reserved for Future Issuance [Table Text Block]	September 30, 2023 Common shares issuable upon exercise of employee and non-employee stock options 3,698,513 Common shares issuable upon settlement of deferred stock units 213,905 Common shares issuable upon vesting of restricted stock units 4,289 Common shares issuable upon exercise of common share purchase warrants 205,000 Shares available for grant under the 2019 Omnibus Incentive Plan 1,067,215 Shares available for grant under the 2021 Employment Inducement Incentive Plan 395,000 Total 5,583,922

Note 11 - Net Loss Per Share (T

Note 11 - Net Loss Per Share (Tables)	9 Months Ended
	Sep. 30, 2023
Notes Tables
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block]	Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Net loss $ (4,471 ) $ (3,059 ) $ (14,220 ) $ (9,925 ) Weighted average shares outstanding—basic and diluted 37,949,422 26,443,067 30,751,329 26,443,067 Basic and diluted net loss per share $ (0.12 ) $ (0.12 ) $ (0.46 ) $ (0.38 )
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share [Table Text Block]	Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Employee and non-employee stock options 3,698,513 2,775,998 3,698,513 2,775,998 Common shares issuable under common share purchase warrants 205,000 265,000 205,000 265,000 Common shares issuable under deferred stock units 213,905 134,402 213,905 134,402 Common shares issuable upon vesting of restricted stock units 4,289 — 4,289 —

Note 12 - Share-based Compens_2

Note 12 - Share-based Compensation (Tables)	9 Months Ended
	Sep. 30, 2023
Notes Tables
Share-Based Payment Arrangement, Expensed and Capitalized, Amount [Table Text Block]	Three Months Ended September 30 Nine Months Ended September 30 2023 2022 2023 2022 Research and development $ 158 $ 126 $ 430 $ 325 General and administrative 267 292 797 766 Total share-based compensation $ 425 $ 418 $ 1,227 $ 1,091
Share-Based Payment Arrangement, Option, Activity [Table Text Block]	Shares Underlying Options Outstanding Weighted Average Exercise Price Per Share Aggregate Intrinsic Value Balances at December 31, 2022 2,782,248 $ 4.12 $ 17 Granted 972,515 2.59 Expired/cancelled (47,500 ) 7.35 Forfeited (8,750 ) 10.04 Balances at September 30, 2023 3,698,513 $ 3.66 $ 462
Share-Based Payment Arrangement, Option, Exercise Price Range [Table Text Block]	Outstanding, Vested and Expected to Vest Options Vested and Exercisable Per Share Exercise Price Shares Weighted Average Remaining Contractual Life (Years) Weighted Average Exercise Price Options Exercisable Weighted Average Remaining Contractual Life (Years) $1.00 - $1.99 343,443 9.2 $ 1.55 51,407 9.1 $2.00 - $2.99 1,506,470 8.4 2.62 513,200 6.7 $3.00 - $3.99 474,393 7.2 3.70 266,966 5.8 $4.00 - $4.99 862,182 5.8 4.58 854,265 5.8 $5.00 - $16.00 512,025 6.7 6.53 354,525 6.2 3,698,513 7.5 $ 3.66 2,040,363 6.1

Note 2 - Risks and Uncertaint_2

Note 2 - Risks and Uncertainties (Details Textual) - USD ($) $ in Thousands	3 Months Ended						9 Months Ended
	Sep. 30, 2023	Jun. 30, 2023	Mar. 31, 2023	Sep. 30, 2022	Jun. 30, 2022	Mar. 31, 2022	Sep. 30, 2023	Sep. 30, 2022	Dec. 31, 2022	Dec. 31, 2021
Retained Earnings (Accumulated Deficit), Total	$ (110,397)						$ (110,397)		$ (96,177)
Net Income (Loss) Attributable to Parent, Total	(4,471)	$ (4,477)	$ (5,272)	$ (3,059)	$ (3,358)	$ (3,508)	(14,220)	$ (9,925)
Net Cash Provided by (Used in) Operating Activities, Total							(14,916)	(8,745)
Cash, Cash Equivalents, and Short-Term Investments, Total	56,200						56,200
Working Capital	45,700						45,700
Stockholders' Equity Attributable to Parent, Ending Balance	$ 55,629	$ 59,743	$ 27,022	$ 35,079	$ 37,715	$ 40,768	$ 55,629	$ 35,079	$ 31,827	$ 44,024

Note 3 - Summary of Significa_2

Note 3 - Summary of Significant Accounting Policies (Details Textual) - USD ($)	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
General and Administrative Expense [Member]
Patent Expense	$ 196,000	$ 109,000

Note 4 - Marketable Securitie_2

Note 4 - Marketable Securities (Details Textual) - USD ($)	Sep. 30, 2023	Dec. 31, 2022
Accrued Interest Receivable On Available For Sale Securities [Member]
Interest Receivable	$ 309,000	$ 80,000

Note 4 - Marketable Securitie_3

Note 4 - Marketable Securities - Fair Value of Marketable Securities (Details) - Fair Value, Recurring [Member] - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Total marketable securities	$ 53,979	$ 28,774
Fair Value, Inputs, Level 1 [Member]
Total marketable securities	0	0
Fair Value, Inputs, Level 2 [Member]
Total marketable securities	53,979	28,774
Fair Value, Inputs, Level 3 [Member]
Total marketable securities	0	0
Commercial Paper and Corporate Bonds [Member]
Total marketable securities	20,702	14,209
Commercial Paper and Corporate Bonds [Member] | Fair Value, Inputs, Level 1 [Member]
Total marketable securities	0	0
Commercial Paper and Corporate Bonds [Member] | Fair Value, Inputs, Level 2 [Member]
Total marketable securities	20,702	14,209
Commercial Paper and Corporate Bonds [Member] | Fair Value, Inputs, Level 3 [Member]
Total marketable securities	0	0
US Government Agencies Debt Securities [Member]
Total marketable securities	33,277	14,565
US Government Agencies Debt Securities [Member] | Fair Value, Inputs, Level 1 [Member]
Total marketable securities	0	0
US Government Agencies Debt Securities [Member] | Fair Value, Inputs, Level 2 [Member]
Total marketable securities	33,277	14,565
US Government Agencies Debt Securities [Member] | Fair Value, Inputs, Level 3 [Member]
Total marketable securities	$ 0	$ 0

Note 5 - Amounts Receivable (De

Note 5 - Amounts Receivable (Details Textual) - USD ($)	Sep. 30, 2023	Dec. 31, 2022
Interest Receivable, Current	$ 309,000	$ 80,000

Note 6 - Prepaid Expenses and_3

Note 6 - Prepaid Expenses and Other Assets - Prepaid Expenses and Other Assets (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Prepaid expenses	$ 396	$ 209
Advances to vendors	715	42
Total prepaid expenses and other assets	$ 1,111	$ 251

Note 7 - Property and Equipme_3

Note 7 - Property and Equipment - Property and Equipment (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Property, plant and equipment, gross	$ 232	$ 216
Less accumulated depreciation	(97)	(80)
Property and equipment, net	135	136
Furniture and Fixtures [Member]
Property, plant and equipment, gross	127	124
Computer Equipment [Member]
Property, plant and equipment, gross	89	76
Leasehold Improvements [Member]
Property, plant and equipment, gross	$ 16	$ 16

Note 8 - Accrued Liabilities -

Note 8 - Accrued Liabilities - Accrued Liabilities (Details) - USD ($) $ in Thousands	Sep. 30, 2023	Dec. 31, 2022
Accrued compensation	$ 570	$ 667
Accrued research and other professional fees	418	215
Accrued clinical trial costs	231	472
Accrued other liabilities	8	11
Total accrued liabilities	$ 1,227	$ 1,365

Note 9 - Operating Lease (Detai

Note 9 - Operating Lease (Details Textual) - USD ($)	9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022
Operating Lease, Cost	$ 78,000	$ 52,000
Variable Lease, Cost	$ 66,000	$ 25,000

Note 9 - Operating Lease - Matu

Note 9 - Operating Lease - Maturity of Operating Lease Liability (Details) $ in Thousands	Sep. 30, 2023 USD ($)
2023	$ 27
2024	109
2025	113
2026	116
2027	119
2028	10
Total lease payments	494
Less interest portion	(79)
Present value of lease obligation	$ 415

Note 10 - Shareholders' Equit_2

Note 10 - Shareholders' Equity (Details Textual) - USD ($)			3 Months Ended	9 Months Ended
	Jun. 21, 2023	Apr. 10, 2023	Jun. 30, 2023	Sep. 30, 2023	Sep. 30, 2022
Stock Issued During Period, Value, New Issues			$ 36,852,000
Proceeds from Issuance of Private Placement	$ 36,100,000
Registration Rights Agreement, Liquidated Damages, Maximum Percentage of Invested Capital	10%
Stock Issued During Period, Shares Settlement of Deferred Stock Units				17,621
Stock Issued During Period, Shares, Restricted Stock Units (in shares)				12,867
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Exercises in Period					0
Private Placement [Member]
Stock Issued During Period, Shares, New Issues	11,011,406
Stock Issued During Period, Value, New Issues	$ 37,500,000
Shares Issued, Price Per Share	$ 3.40
Chief Business Officer [Member]
Stock Issued During Period, Shares, New Issues		468,750
Stock Issued During Period, Value, New Issues		$ 750,000
Shares Issued, Price Per Share		$ 1.60
Directors and Officers [Member] | Private Placement [Member]
Shares Issued, Price Per Share	$ 3.91

Note 10 - Shareholders' Equit_3

Note 10 - Shareholders' Equity - Shares Reserved (Details)	Sep. 30, 2023 shares
Common shares reserved for future issuance (in shares)	5,583,922
Stock Options Outstanding [Member]
Common shares reserved for future issuance (in shares)	3,698,513
Deferred Share Units [Member]
Common shares reserved for future issuance (in shares)	213,905
Restricted Stock Units (RSUs) [Member]
Common shares reserved for future issuance (in shares)	4,289
Common Share Purchase Warrants [Member]
Common shares reserved for future issuance (in shares)	205,000
The 2019 Omnibus Incentive Plan [Member]
Common shares reserved for future issuance (in shares)	1,067,215
The 2021 Employment Inducement Incentive Plan [Member]
Common shares reserved for future issuance (in shares)	395,000

Note 11 - Net Loss Per Share -

Note 11 - Net Loss Per Share - Summary of Significant Accounting Policies - Net Loss Per Common Share (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended						9 Months Ended
	Sep. 30, 2023	Jun. 30, 2023	Mar. 31, 2023	Sep. 30, 2022	Jun. 30, 2022	Mar. 31, 2022	Sep. 30, 2023	Sep. 30, 2022
Net loss	$ (4,471)	$ (4,477)	$ (5,272)	$ (3,059)	$ (3,358)	$ (3,508)	$ (14,220)	$ (9,925)
Weighted average shares outstanding—basic and diluted (in shares)	37,949,422			26,443,067			30,751,329	26,443,067
Basic and diluted net loss per share (in dollars per share)	$ (0.12)			$ (0.12)			$ (0.46)	$ (0.38)

Note 11 - Net Loss Per Share _2

Note 11 - Net Loss Per Share - Schedule of Antidilutive Shares Excluded from Computation of Net Loss Per Share (Details) - shares	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Employee and Non-employee Stock Options [Member]
Antidilutive Securities (in shares)	3,698,513	2,775,998	3,698,513	2,775,998
Warrant [Member]
Antidilutive Securities (in shares)	205,000	265,000	205,000	265,000
Deferred Share Units [Member]
Antidilutive Securities (in shares)	213,905	134,402	213,905	134,402
Restricted Stock Units (RSUs) [Member]
Antidilutive Securities (in shares)	4,289	0	4,289	0

Note 12 - Share-based Compens_3

Note 12 - Share-based Compensation (Details Textual) - shares	May 18, 2022	Sep. 30, 2023	Dec. 03, 2021
Common Stock, Capital Shares Reserved for Future Issuance (in shares)		5,583,922
Deferred Share Units [Member]
Common Stock, Capital Shares Reserved for Future Issuance (in shares)		213,905
Restricted Stock Units (RSUs) [Member]
Common Stock, Capital Shares Reserved for Future Issuance (in shares)		4,289
The 2019 Omnibus Incentive Plan [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award, Number of Shares Authorized (in shares)	4,000,000
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Grants in Period, Gross (in shares)		2,643,103
The 2019 Omnibus Incentive Plan [Member] | Employee and Non-employee Stock Options [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award, Expiration Period (Year)	10 years
The 2019 Omnibus Incentive Plan [Member] | Employee and Non-employee Stock Options [Member] | Minimum [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award, Award Vesting Period (Year)	1 year
The 2019 Omnibus Incentive Plan [Member] | Employee and Non-employee Stock Options [Member] | Maximum [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award, Award Vesting Period (Year)	4 years
The 2019 Omnibus Incentive Plan [Member] | Nonemployee Stock Options [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award, Expiration Period (Year)	5 years
Share-Based Compensation Arrangement by Share-Based Payment Award, Award Vesting Period (Year)	1 year
The 2019 Omnibus Incentive Plan [Member] | Deferred Share Units [Member]
Common Stock, Capital Shares Reserved for Future Issuance (in shares)		196,572
The 2019 Omnibus Incentive Plan [Member] | Restricted Stock Units (RSUs) [Member]
Common Stock, Capital Shares Reserved for Future Issuance (in shares)		4,289
The 2021 Employment Inducement Incentive Plan [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award, Number of Shares Authorized (in shares)			1,000,000
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Grants in Period, Gross (in shares)		605,000
Stock Option Prior Plan [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Grants in Period, Gross (in shares)		450,410
The 2012 DSU Plan [Member]
Common Stock, Capital Shares Reserved for Future Issuance (in shares)		17,333

Note 12 - Share-based Compens_4

Note 12 - Share-based Compensation - Share-based Compensation Expense (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2023	Sep. 30, 2022	Sep. 30, 2023	Sep. 30, 2022
Total share-based compensation	$ 425	$ 418	$ 1,227	$ 1,091
Research and Development Expense [Member]
Total share-based compensation	158	126	430	325
General and Administrative Expense [Member]
Total share-based compensation	$ 267	$ 292	$ 797	$ 766

Note 12 - Share-based Compens_5

Note 12 - Share-based Compensation - Stock Option Activity (Details) - Share-Based Payment Arrangement, Option [Member] - USD ($) $ / shares in Units, $ in Thousands	9 Months Ended
	Sep. 30, 2023	Dec. 31, 2022
Balances, shares underlying options outstanding (in shares)	2,782,248
Balances, weighted average exercise price per share (in dollars per share)	$ 4.12
Balances, aggregate intrinsic value	$ 462	$ 17
Granted, shares underlying options outstanding (in shares)	972,515
Granted, weighted average exercise price per share (in dollars per share)	$ 2.59
Expired/cancelled, shares underlying options outstanding (in shares)	(47,500)
Expired/cancelled, weighted average exercise price per share (in dollars per share)	$ 7.35
Forfeited, shares underlying options outstanding (in shares)	(8,750)
Forfeited, weighted average exercise price per share (in dollars per share)	$ 10.04
Balances, shares underlying options outstanding (in shares)	3,698,513
Balances, weighted average exercise price per share (in dollars per share)	$ 3.66

Note 12 - Share-based Compens_6

Note 12 - Share-based Compensation - Stock Options Outstanding (Details) - $ / shares	6 Months Ended	9 Months Ended
	Jun. 30, 2023	Sep. 30, 2023
Outstanding, weighted average exercise price (in shares)		3,698,513
Exercisable, shares (Year)		7 years 6 months
Exercisable, weighted average remaining contractual life (in dollars per share)		$ 3.66
Per share exercise price, lower range (in shares)		2,040,363
Per share exercise price, lower range (Year)		6 years 1 month 6 days
Exercise Price Range 1 [Member]
Per share exercise price, lower range (in dollars per share)	$ 1
Outstanding, weighted average remaining contractual life (in dollars per share)		$ 1.99
Outstanding, weighted average exercise price (in shares)		343,443
Exercisable, shares (Year)		9 years 2 months 12 days
Exercisable, weighted average remaining contractual life (in dollars per share)		$ 1.55
Per share exercise price, lower range (in shares)		51,407
Per share exercise price, lower range (Year)		9 years 1 month 6 days
Exercise Price Range 2 [Member]
Per share exercise price, lower range (in dollars per share)	2
Outstanding, weighted average remaining contractual life (in dollars per share)		$ 2.99
Outstanding, weighted average exercise price (in shares)		1,506,470
Exercisable, shares (Year)		8 years 4 months 24 days
Exercisable, weighted average remaining contractual life (in dollars per share)		$ 2.62
Per share exercise price, lower range (in shares)		513,200
Per share exercise price, lower range (Year)		6 years 8 months 12 days
Exercise Price Range 3 [Member]
Per share exercise price, lower range (in dollars per share)	3
Outstanding, weighted average remaining contractual life (in dollars per share)		$ 3.99
Outstanding, weighted average exercise price (in shares)		474,393
Exercisable, shares (Year)		7 years 2 months 12 days
Exercisable, weighted average remaining contractual life (in dollars per share)		$ 3.70
Per share exercise price, lower range (in shares)		266,966
Per share exercise price, lower range (Year)		5 years 9 months 18 days
Exercise Price Range 4 [Member]
Per share exercise price, lower range (in dollars per share)	4
Outstanding, weighted average remaining contractual life (in dollars per share)		$ 4.99
Outstanding, weighted average exercise price (in shares)		862,182
Exercisable, shares (Year)		5 years 9 months 18 days
Exercisable, weighted average remaining contractual life (in dollars per share)		$ 4.58
Per share exercise price, lower range (in shares)		854,265
Per share exercise price, lower range (Year)		5 years 9 months 18 days
Exercise Price Range 5 [Member]
Per share exercise price, lower range (in dollars per share)	$ 5
Outstanding, weighted average remaining contractual life (in dollars per share)		$ 16
Outstanding, weighted average exercise price (in shares)		512,025
Exercisable, shares (Year)		6 years 8 months 12 days
Exercisable, weighted average remaining contractual life (in dollars per share)		$ 6.53
Per share exercise price, lower range (in shares)		354,525
Per share exercise price, lower range (Year)		6 years 2 months 12 days