Cover
Cover | 12 Months Ended |
Sep. 30, 2023 shares | |
Document Information Line Items | |
Entity Registrant Name | Electrovaya Inc. |
Entity Central Index Key | 0001844450 |
Document Type | 40-F |
Amendment Flag | false |
Current Fiscal Year End Date | --09-30 |
Entity Emerging Growth Company | true |
Entity Current Reporting Status | Yes |
Document Period End Date | Sep. 30, 2023 |
Document Fiscal Period Focus | FY |
Document Fiscal Year Focus | 2023 |
Entity Ex Transition Period | false |
Entity Common Stock Shares Outstanding | 33,832,784 |
Document Annual Report | true |
Entity File Number | 001-41726 |
Entity Incorporation State Country Code | Z4 |
Entity Address Address Line 1 | 6688 Kitimat Road |
Entity Address City Or Town | Mississauga |
Entity Address State Or Province | ON |
Entity Address Postal Zip Code | L5N 1P8 |
City Area Code | 905 |
Icfr Auditor Attestation Flag | false |
Auditor Name | MNP LLP |
Auditor Location | Toronto, Canada |
Local Phone Number | 855-4627 |
Security 12b Title | Common Shares, no par value |
Trading Symbol | ELVA |
Security Exchange Name | NASDAQ |
Entity Interactive Data Current | Yes |
Document Registration Statement | false |
Annual Information Form | true |
Audited Annual Financial Statements | true |
Auditor Firm Id | 1930 |
Business Contact [Member] | |
Document Information Line Items | |
Entity Address Address Line 1 | 122 East 42nd Street |
Entity Address Address Line 2 | 18th Floor |
Entity Address City Or Town | New York |
Entity Address State Or Province | NY |
Entity Address Postal Zip Code | 10168 |
City Area Code | 800 |
Local Phone Number | 221-0102 |
Contact Personnel Name | Cogency Global Inc. |
Consolidated Statements of Fina
Consolidated Statements of Financial Position - USD ($) | Sep. 30, 2023 | Sep. 30, 2022 |
Current Assets: | ||
Cash and cash equivalents | $ 1,032,000 | $ 626,000 |
Trade and other receivables (note 5) | 10,611,000 | 2,913,000 |
Inventories (note 6) | 8,266,000 | 7,355,000 |
Prepaid expenses and other (note 8) | 5,997,000 | 3,894,000 |
Total current assets | 25,906,000 | 14,788,000 |
Non current assets | ||
Property, plant and equipment (note 9) | 10,149,000 | 7,313,000 |
Long-term deposit | 459,000 | 88,000 |
Total non-current assets | 10,608,000 | 7,401,000 |
Total Assets | 36,514,000 | 22,189,000 |
Current Liabilities: | ||
Trade and other payables (note 11) | 8,429,000 | 4,714,000 |
Working capital facilities (note 12(a)) | 11,821,000 | 11,635,000 |
Promissory notes (note 12(b)) | 1,026,000 | 4,363,000 |
Promissory note and other loans (note 14) | 3,457,000 | 1,255,000 |
Derivative warrants liability (note 21) | 1,489,000 | 0 |
Due to related parties (note 17) | 0 | 531,000 |
Lease liability - current portion (note 15) | 389,000 | 164,000 |
Total Current Liabilities | 26,611,000 | 22,662,000 |
Non-current liabilities | ||
Lease liability - non-current portion (note 15) | 2,338,000 | 2,235,000 |
Relief and recovery fund payable (note 19) | 96,000 | 102,000 |
Other payables (note 24) | 323,000 | 440,000 |
Promissory note (note 14) | 0 | 3,457,000 |
Total non-current liabilities | 2,757,000 | 6,234,000 |
Equity (Deficiency) | ||
Share capital (note 16) | 115,041,000 | 103,305,000 |
Contributed surplus | 9,249,000 | 8,099,000 |
Warrants (note 16) | 4,725,000 | 4,725,000 |
Accumulated other comprehensive income | 8,581,000 | 6,135,000 |
Deficit | (130,450,000) | (128,971,000) |
Total Equity (Deficiency) | 7,146,000 | (6,707,000) |
Total Liabilities and Shareholders' Equity (Deficit) | $ 36,514,000 | $ 22,189,000 |
Consolidated Statement of Earni
Consolidated Statement of Earnings (Operations) - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Consolidated Statement of Earnings (Operations) | ||
Revenue (note 23) | $ 44,059 | $ 16,270 |
Direct manufacturing costs (note 6(b)) | 32,203 | 12,396 |
Gross margin | 11,856 | 3,874 |
Expenses | ||
Research and development | 3,382 | 3,434 |
Government assistance (note 20) | (387) | (210) |
Sales and marketing | 1,897 | 1,147 |
General and administrative | 3,687 | 3,046 |
Stock based compensation | 1,167 | 3,223 |
Depreciation | 907 | 503 |
Operating expenses | 10,653 | 11,143 |
Profit (Loss) from operations | 1,203 | (7,269) |
Net finance charges (note 14) | 2,474 | 3,033 |
Foreign exchange gain(loss) and interest income | (887) | 1,091 |
Net loss before income taxes | (2,158) | (9,211) |
Deferred tax recovery (note 25) | 679 | 0 |
Net loss for the year | $ (1,479) | $ (9,211) |
Basic and Diluted loss per share | $ (0.04) | $ (0.31) |
Weighted average number of shares | ||
Outstanding, basic and fully diluted | 33,832,784 | 29,344,622 |
Consolidated Statement of Compr
Consolidated Statement of Comprehensive income (Loss) - USD ($) $ in Thousands | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Consolidated Statement of Earnings (Operations) | ||
Net income (loss) for the year | $ (1,479) | $ (9,211) |
Items that will not be reclassified to profit or loss | 0 | |
Revaluation surplus (net of tax of $679) (note 7, 25) | 1,921 | |
Items that may be reclassified to profit or loss Currency translation differences | 525 | 585 |
Other comprehensive income for the period | 2,446 | 585 |
Total Comprehensive income (loss) for the period | $ 967 | $ (8,626) |
Consolidated Statement of Chang
Consolidated Statement of Changes in Equity - USD ($) | Total | Share capital [Member] | Contributed Surplus Member | Deficit Member | Warrants Member | Accumulated Other Comprehensive Member |
Balance, amount at Sep. 30, 2021 | $ (2,122) | $ 102,498 | $ 4,903 | $ (119,760) | $ 4,687 | $ 5,550 |
Statement [Line Items] | ||||||
Stock-based compensation | 3,223 | 0 | 3,223 | 0 | 0 | 0 |
Issue of shares | 780 | 780 | 0 | 0 | 0 | 0 |
Issue of broker warrants | 38 | 0 | 0 | 0 | 38 | 0 |
Exercise of options | 0 | 27 | (27) | 0 | 0 | 0 |
Currency translation differences | 585 | 0 | 0 | 0 | 0 | 585 |
Net loss for the year | (9,211,000) | 0 | 0 | (9,211) | 0 | 0 |
Balance, amount at Sep. 30, 2022 | (6,707,000) | 103,305 | 8,099 | (128,971) | 4,725 | 6,135 |
Statement [Line Items] | ||||||
Stock-based compensation | 1,167 | 0 | 1,167 | 0 | 0 | 0 |
Issue of shares | 7,306 | 7,306 | 0 | 0 | 0 | 0 |
Exercise of options | 0 | 17 | (17) | 0 | 0 | 0 |
Currency translation differences | 525 | 0 | 0 | 0 | 0 | 525 |
Net loss for the year | (1,479,000) | 0 | 0 | (1,479) | 0 | 0 |
Exercise of warrants | 4,413 | 4,413 | 0 | 0 | 0 | |
Revaluation of property | 1,921 | 0 | 0 | 0 | 0 | 1,921 |
Balance, amount at Sep. 30, 2023 | $ 7,146,000 | $ 115,041 | $ 9,249 | $ (130,450) | $ 4,725 | $ 8,581 |
Notes to the Consolidated Finan
Notes to the Consolidated Financial Statements - USD ($) | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Operating activities | ||
Net loss for the year | $ (1,479,000) | $ (9,211,000) |
Items not involving cash: | ||
Depreciation | 907 | 503 |
Stock based compensation expense | 1,167 | 3,223 |
Deferred tax recovery (note 25) | 679,000 | 0 |
Premium on purchase of SEJ (note 17) | 495 | 0 |
Net finance charges | 2,474 | 3,033 |
Cash and cash equivalents provided by (used in) operating activities | 2,885 | (2,452) |
Net changes in working capital (note 18) | (7,741) | (6,373) |
Cash and cash equivalents used in operating activities | (4,856) | (8,825) |
Investing activities | ||
Purchase of property, plant and equipment | (505) | (203) |
Change in long-term deposit | (398) | (9) |
Cash and cash equivalents (used in) investing activities | (903) | (212) |
Financing activities | ||
Issuance of shares | 7,167 | 780 |
Issuance of warrants | 3,259 | 0 |
Exercise of options | 21 | 27 |
Exercise of warrants | 3,004 | 0 |
Proceeds from working capital facilities (note 12a) | 35,727 | 21,522 |
Repayment of working capital facilities (note 12a) | (34,184) | (11,435) |
Repayment of Vendor Take Back loan (note 14) | (750) | (150) |
Repayment of Promissory Note (note 12b) | (4,363) | 0 |
Repayment of Promissory Note (note 14) | (582) | 0 |
Lease payments | (707) | (744) |
Interest and financing fees | (2,391) | (2,114) |
Cash and cash equivalents from (used in) financing activities | 6,201 | 7,886 |
Increase (Decrease) in cash and cash equivalents | 442 | (1,151) |
Effect of movements in exchange rates on cash held | (36) | (2,425) |
Cash and cash equivalents, beginning of year | 626 | 4,202 |
Cash and cash equivalents, end of year | 1,032 | 626 |
Supplemental cash flow disclosures: | ||
Income tax paid | 0 | 0 |
Interest paid | $ 2,089 | $ 2,308 |
Reporting Entity
Reporting Entity | 12 Months Ended |
Sep. 30, 2023 | |
Reporting Entity | |
Reporting Entity | 1. Reporting Entity Electrovaya Inc. (the “Company”) is domiciled in Ontario, Canada, and is incorporated under the Business Corporations Act (Ontario). The Company’s registered office is at 6688 Kitimat Road, Mississauga, Ontario, L5N 1P8, Canada. The Company’s common shares trade on the Toronto Stock Exchange and NASDAQ under the symbol ELVA.TO and ELVA respectively. The Company has no immediate or ultimate controlling parent. These consolidated financial statements comprise the Company and its subsidiaries (together referred to as the “Group”). The Group is primarily involved in the design, development, manufacturing and sale of Lithium-Ion batteries, battery systems and battery-related products for energy storage, clean electric transportation, and other specialized applications. |
Basis of Presentation
Basis of Presentation | 12 Months Ended |
Sep. 30, 2023 | |
Basis of Presentation | 2. Basis of Presentation a) Statement of Compliance These consolidated financial statements have been prepared based on the principles of International Financial Reporting Standards ("IFRS") as issued by the International Accounting Standards Board ("IASB") and the Interpretations of the International Financial Reporting Interpretations Committee (“IFRIC”). These consolidated financial statements were authorized for issuance by the Company’s Board of Directors on January 2, 2024. b) Basis of Accounting These consolidated financial statements have been prepared on the going concern basis, which contemplates the realization of assets and settlement of liabilities as they fall due in the normal course of business. During the year ended September 30, 2023, the Company generated negative cash from operations of $4.8 million (September 30, 2022: $8.8 million). As of September 30, 2023, the Company had negative working capital of $7.7 million (September 30, 2022: $6.4 million) and a net loss of $1.4 million (2022: $9.2 million). The Company’s equity was a surplus of $7.1 million (September 30, 2022: deficiency of $6.7 million). As of September 30, 2023, the Company had cash and cash equivalents of $1.0 million (September 30, 2022: $0.6 million). The Company is also anticipating the planned construction of its gigafactory in Jamestown, New York (the "Gigafactory"), which will need additional financing. The first phase of construction is expected to take place within the existing 135,000 square foot manufacturing facility for the production of cells and batteries, with an estimated capital expenditure of approximately US$38 million. These material uncertainties raise significant doubt upon the Company's ability to continue as a going concern. In assessing whether the going concern assumption was appropriate, management took into account all relevant information available about the future, which was at least, but not limited to, the twelve-month period following September 30, 2023. The Company and its Board of Directors have implemented various operating and financing strategies, including the following: Subsequent to year-end, the Company renewed its revolving credit facility and extended it to March 29, 2024 with capability to refinance earlier. Despite this, it expects to refinance this facility with a different lender in fiscal year 2024, providing additional working capital to support the increase in revenue expected for fiscal year 2024. The Company plans on pursuing large scale investments in its planned Jamestown gigafactory only in the event that it closes a government backed debt facility that includes advantageous terms with minimal impacts to operating cash flow and equity dilution. If the Company is unable to secure such financing, it will delay or cancel these expansion plans with limited financial impact as the main investment made thus far is the land and building which can be sold at a profit. The Company has made improvements to its manufacturing process, equipment, and facilities over the last several months that have led to increased capacity and efficiency. Furthermore, the Company also anticipates gross margins to improve in fiscal year 2024 due to decreasing costs of key materials including but not limited to cell materials, separators, and other high value items. These anticipated improved margins, when combined with expected overall sales growth should result in improved overall financial performance. Finally, the Company is confident in securing additional working capital from either debt or equity. Since the Company listed on Nasdaq in July 2023, it has further increased liquidity and overall financing capabilities. c) Functional and Presentation Currency These consolidated financial statements are presented in U.S. dollars and have been rounded to the nearest thousands, except per share amounts and when otherwise indicated. The functional currency of the Company is the Canadian dollar and the functional currencies of the Group’s subsidiaries include U.S. dollar. d) Use of Judgements and Estimates. The preparation of the consolidated financial statements in conformity with IFRS requires management to make judgements, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets, liabilities, income and expenses. Actual results may differ from these estimates. Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognized in the period in which the estimates are revised and in any future periods affected. Information about significant areas of critical judgements in applying accounting policies that have the most significant effect on the amounts recognized in the consolidated financial statements relate to the following (judgements made are disclosed in individual notes throughout the financial statements where relevant): · Acquisitions – at initial recognition and subsequent remeasurement, judgements are made both for key assumptions in the purchase price allocation for each acquisition and regarding impairment indicators in the subsequent period. The purchase price is assigned to the identifiable assets, liabilities, and contingent liabilities based on fair values. Any remaining excess value is reported as goodwill. This allocation requires judgement as well as the definition of cash generating units for impairment testing purposes. Other judgements might result in significantly different results and financial position in the future. Information about significant areas of estimation uncertainty that have the most significant effect on the amounts recognized in the consolidated financial statements relate to the following (assumptions made are disclosed in individual notes throughout the financial statements where relevant): · Estimates used in determining the net realizable values of inventories, taking into account the most reliable evidence available at each reporting date. The future realization of these inventories may be affected by future technology or other market-driven changes that may reduce future selling prices; · Estimates used in testing non-financial assets for impairment including determination of the recoverable amount of a cash generating unit; · Estimates used in determining the fair value of stock option grants and warrants. These estimates include assumptions about the volatility of the Company’s stock, forfeiture and expected exercise rates. Allowance for credit losses The allowance for expected credit losses is based on our assessment of the collectability of customer accounts and the aging of the related invoices and represents our best estimate of probable credit losses in our existing trade accounts receivable. We regularly review the allowance by considering factors such as historical experience, credit quality, the age of the account receivable balances, and current economic conditions that may affect a customer’s ability to pay. Stock-Based Compensation We account for stock-based compensation costs in accordance with the accounting standards for stock-based compensation, which require that all stock-based payments to employees be recognized in the audited consolidated statements of earnings based on their fair values. The fair value of stock options on the grant date is estimated using the Black-Scholes option-pricing model using the single-option approach and the Monte Carlo valuation method depending on the type of option granted. The Black Scholes and Monte Carlo option pricing models require the use of highly subjective and complex assumptions, including the option's expected term and the price volatility of the underlying stock, to determine the fair value of the award. Warrants We account for warrants in accordance with the accounting standards for warrants, which requires all warrants to be recognized in the audited consolidated statement of financial position based on their fair values. The fair value of warrants on the grant date is estimated using the Black-Scholes pricing model approach. The Black Scholes pricing model requires the use of highly subjective and complex assumptions, including the warrant’s expected term and the price volatility of the underlying stock, to determine the fair value of the award. |
Significant Accounting Policies
Significant Accounting Policies | 12 Months Ended |
Sep. 30, 2023 | |
Significant Accounting Policies | 3. Significant Accounting Policies The accounting policies below are in compliance with IFRS and have been applied consistently to all periods presented in these consolidated financial statements. a) Basis of Measurement These consolidated financial statements have been prepared primarily on the historical cost basis. Other measurement bases, where used, are described in the applicable notes. b) Basis of consolidation i) Subsidiaries These consolidated financial statements include our direct and indirect subsidiaries, all of which are wholly-owned. Any subsidiaries that are formed or acquired during the year are consolidated from their respective dates of formation or acquisition. Inter-company transactions and balances are eliminated on consolidation. Subsidiaries are entities controlled by the Company. The financial statements of subsidiaries are included in the consolidated financial statements from the date that control commences until the date that control ceases. The accounting policies of subsidiaries have been changed when necessary to align them with the policies adopted by the Company. All subsidiaries have the same reporting dates as their parent Company. ii) Transactions eliminated on consolidation Intra-company balances and transactions, and any unrealized income and expenses arising from intra-company transactions, are eliminated in preparing the consolidated financial statements. iii) Business Combinations The Company uses the acquisition method to account for any business combinations. All identifiable assets and liabilities are recorded at fair value as of the acquisition date. Any goodwill that arises from business combinations is tested annually for impairment. Potential obligations for contingent consideration and other contingencies are also recorded at fair value as of the acquisition date. We record subsequent changes in the fair value of such potential obligations from the date of acquisition to the settlement date in our consolidated statement of operations. We expense integration costs (for the establishment of business processes, infrastructure and information systems for acquired operations) and acquisition-related consulting and transaction costs as incurred in our consolidated statement of operations. We use judgment to determine the estimates used to value identifiable assets and liabilities, and the fair value of potential obligations, if applicable, at the acquisition date. We may engage third parties to determine the fair value of certain inventory, property, plant and equipment and intangible assets. We use estimates to determine cash flow projections, including the period of expected future benefit, and future growth and discount rates, among other factors, to value intangible assets and contingent consideration. The fair value of acquired tangible assets are measured by applying the market, cost or replacement cost, or the income approach (using discounted cash flows and forecasts by management), as appropriate. c) Foreign currency Each subsidiary of the Company maintains its accounting records in its functional currency. A Company’s functional currency is the currency of the principal economic environment in which it operates. i) Foreign currency transactions Transactions carried out in foreign currencies are translated using the exchange rate prevailing at the transaction date. Monetary assets and liabilities denominated in a foreign currency at the reporting date are translated at the exchange rate at that date. The foreign currency gain or loss on such monetary items is recognized as income or expense for the period. Non-monetary assets and liabilities denominated in a foreign currency are translated at the historical exchange rate prevailing at the transaction date. ii) Translation of financial statements of foreign operations The assets and liabilities of subsidiaries whose functional currency is not the U.S. dollar are translated into U.S. dollars at the exchange rate prevailing at the reporting date. The income and expenses of foreign operations whose functional currency is not the U.S. dollar are translated to U.S dollars at the exchange rate prevailing on the date of transaction. Foreign currency differences on translation are recognized in other comprehensive income in the cumulative translation account net of income tax. Foreign exchange gains or losses arising from a monetary item receivable from or payable to a foreign operation, the settlement of which is neither planned nor likely to occur in the foreseeable future and which in substance is considered to form part of the net investment in the foreign operation, are recognized in other comprehensive income in the cumulative translation adjustment. d) Financial instruments Recognition Financial assets and financial liabilities are recognized in the Company’s consolidated statement of financial position when the Company becomes a party to the contractual provisions of the instrument. On initial recognition, all financial assets and financial liabilities are recorded at fair value, net of attributable transaction costs, except for financial assets and liabilities classified as at fair value through profit or loss (‘FVTPL’). The directly attributable transactions costs of financial assets and liabilities as at FVTPL are expensed in the period in which they are incurred. Subsequent measurement of financial assets and liabilities depends on the classification of such assets and liabilities. Classification and Measurement The Company determines the classification of its financial instruments at initial recognition. Financial assets and financial liabilities are classified according to the following measurement categories: · those to be measured subsequently at fair value either through profit or loss (“FVTPL”) or through other comprehensive income (“FVTOCI”); and, · those to be measured subsequently at amortized cost. The classification and measurement of financial assets after initial recognition at fair value depends on the business model for managing the financial asset and the contractual terms of the cash flows. Financial assets that are held within a business model whose objective is to collect the contractual cash flows, and that have contractual cash flows that are solely payments of principal and interest on the principal outstanding, are generally measured at amortized cost at each subsequent reporting period. All other financial assets are measured at their fair values at each subsequent reporting period, with any changes recorded through FVTPL or through FVTOCI (which designation is made as an irrevocable election at the time of recognition). After initial recognition at fair value, financial liabilities are classified and measured at either: · amortized cost; · FVTPL, if the Company has made an irrevocable election at the time of recognition, or when required (for items such as instruments held for trading or derivatives); or, The Company reclassifies financial assets when and only when its business model for managing those assets changes. Financial liabilities are not reclassified. The Company’s financial assets consist of cash and cash equivalents, trade and other receivables, which are classified and subsequently measured at amortized cost. The Company’s financial liabilities consist of trade and other payables, working capital facilities, promissory notes, short term loans, lease liability, Due to related parties, Relief and Recovery fund payable, and other payables, which are classified and measured at amortized cost using the effective interest method. Derivative warrant liability is classified and measured at fair value through profit and loss. Interest expense is reported in profit or loss. e) Cash equivalents Cash equivalents include short-term investments with original maturities of three months or less. f) Inventories Inventories are stated at the lower of cost and net realizable value. Cost of raw material is determined using the average cost method. Cost of semi-finished and finished goods are determined using the First in First out (FIFO) method. Cost includes all expenses directly attributable to the manufacturing process as well as appropriate portions of related production overheads. Net realizable value is the estimated selling price in the ordinary course of business less any applicable selling expenses. g) Property, plant and equipment Recognition and measurement: Items of property, plant and equipment (other than land and buildings) are measured at cost less accumulated depreciation and accumulated impairment losses. Cost includes the cost of material and labor and other costs directly attributable to bringing the asset to a working condition for its intended use. When significant components of an item of property, plant and equipment have different useful lives, they are accounted for as separate items of property, plant and equipment. Gains and losses on disposal of an item of property, plant and equipment are determined by comparing the proceeds from disposal with the carrying amount of property, plant and equipment, and are recognized net within profit or loss. The Company capitalizes borrowing costs directly attributable to the acquisition, construction or production of qualifying property, plant and equipment as part of the cost of that asset, if applicable. Capitalized borrowing costs are amortized over the useful life of the related asset. During the year, the Company adopted the revaluation method of accounting for the newly acquired building and land. Land and building measured using the revaluation method is initially measured at cost and subsequently carried at its revalued amount, being the fair value at the date of the revaluation less any subsequent accumulated depreciation and any accumulated impairment losses. Revaluations are made on an annual basis to ensure that the carrying amount does not differ significantly from fair value. Where the carrying amount of an asset increases as a result of revaluation, the increase is recognized in other comprehensive income or loss and accumulated in equity in revaluation surplus, unless the increase reverses a previously recognized impairment recorded through net income, in which case that portion of the increase is recognized in net income. Where the carrying amount of an asset decreases, the decrease is recognized in other comprehensive income to the extent of any balance existing in revaluation surplus in respect of the asset, with the remainder of the decrease recognized in profit or loss. Material residual value estimates and estimates of useful life are updated as required, but at least annually. Gains or losses arising on the disposal of property, plant and equipment are determined as the difference between the disposal proceeds and the carrying amounts of the assets and are recognized in profit or loss within “other income” or “other expenses. Subsequent costs: The cost of replacing a part of an item of property, plant and equipment is recognized in the carrying amount of the item if it is probable that the future economic benefits embodied within the part will flow to the Company, and its cost can be measured reliably. The carrying amount of the replaced part is derecognized. Maintenance and repair costs are expensed as incurred, except where they serve to increase productivity or to prolong the useful life of an asset, in which case they are capitalized. Depreciation is provided on a straight-line basis over the estimated useful lives of the assets. The following useful lives are applied: Years Leasehold improvements 5 Production equipment 2-15 Office Furniture and Equipment 2-5 Building 20 Right of use assets Over the lease term Depreciation methods, useful lives and residual values are reviewed at each reporting date and adjusted prospectively, if appropriate. h) Leases Where the Company has entered a lease, the Company has recognized a right-of-use asset representing its rights to use the underlying assets and a lease liability representing its obligation to make lease payments. The right-of-use asset, where it relates to an operating lease, has been presented net of accumulated depreciation and is disclosed in the Statement of Financial Position. The lease liability has been disclosed as a separate line item, allocated between current and non- current liabilities. The lease liability associated with all leases is measured at the present value of the expected lease payments at inception and discounted using the interest rate implicit in the lease. If the rate cannot be readily determined, the Company’s incremental borrowing rate is used to discount the lease liability. Judgement is required to determine the incremental borrowing rate. i) Intangible assets The Company records intangible assets at fair value at the date of acquisition. An intangible asset is capitalized when the economic benefit associated with an asset is probable and when the cost can be measured reliably. Intangible assets are carried at cost less accumulated depreciation and impairment losses. Cost consists of expenditures directly attributable to the acquisition of the assets. Intangibles are amortized over a period of five years. j) Impairment (i) Financial assets The Company recognizes an allowance for credit losses equal to lifetime credit losses for trade and other receivables. None of these assets include a financing component. Significant receivable balances are assessed for impairment individually based on information specific to the customer. The remaining receivables are grouped, where possible, based on shared credit risk characteristics, and assessed for impairment collectively. The allowance assessment incorporates past experience, current and expected future conditions. (ii) Non-financial assets The carrying amounts of the Company’s non-financial assets, other than inventories and deferred tax assets are reviewed at each reporting date to determine whether there is any indication of impairment. If any such indication exists, then the asset’s recoverable amount is estimated. For intangible assets that are not yet available for use, the recoverable amount is estimated each year at the same time. The recoverable amount of an asset or cash-generating unit (“CGU”) is the greater of its value in use and its fair value less costs of disposal. In assessing value in use, the estimated future cash flows are discounted to their present value using a discount rate that reflects current market assessments of the time value of money and the risks specific to the asset or CGU. Fair value less costs of disposal is the amount obtainable from the sale of an asset or CGU in an arm’s-length transaction between knowledgeable, willing parties, less the costs of disposal. Costs of disposal are incremental costs directly attributable to the disposal of an asset or CGU, excluding finance costs and income tax expense. For the purpose of impairment testing, assets are grouped together into the smallest group of assets that generates cash inflows from continuing use that are largely independent of the cash inflows of other assets or groups of assets. An impairment loss is recognized if the carrying amount of an asset or its CGU exceeds its estimated recoverable amount. Impairment losses are recognized in profit or loss. Impairment losses recognized in respect of CGUs are allocated to the carrying amounts of the assets in the unit (group of units). In respect of other assets, impairment losses recognized in prior periods are assessed at each reporting date for any indications that the loss has decreased or no longer exists. An impairment loss is reversed if there has been a change in the estimates used to determine the recoverable amount. An impairment loss is reversed only to the extent that the asset’s carrying amount does not exceed the carrying amount that would have been determined, net of depreciation or depreciation, if no impairment loss had been recognized. k) Provisions Legal: Provisions are recognized for present legal or constructive obligations arising from past events when the amount can be reliably estimated and it is probable that an outflow of resources will be required to settle an obligation. Provisions are measured at the estimated expenditure required to settle the present obligation, based on the most reliable evidence available at the reporting date, including the risks and uncertainties associated with the present obligation. Where there are a number of similar obligations, the likelihood that an outflow will be required in settlement is determined by considering the class of obligations as a whole. Provisions are discounted to their present values, where the time value of money is material. At the end of each reporting period, the Company evaluates the appropriateness of the remaining balances. Adjustments to the recorded amounts may be required to reflect actual experience or to reflect the current best estimate. In the normal course of our operations, the Company may be subject to lawsuits, investigations and other claims, including environmental, labor, product, customer disputes and other matters. The ultimate outcome or actual cost of settlement may vary significantly from our original estimates. Material obligations that have not been recognized as provisions, as the outcome is not probable or the amount cannot be reliably estimated, are disclosed as contingent liabilities, unless the likelihood of outcome is remote. l) Share-based payments The Company accounts for all share-based payments to employees and non-employees using the fair value based method of accounting. The Company measures the compensation cost of stock- based option awards to employees at the grant date using the Black-Scholes option pricing model to determine the fair value of the options. The share-based compensation cost of the options is recognized as stock-based compensation expense over the relevant vesting period of the stock options. Under the Company's stock option plan, all options granted under the plan have a maximum term of 10 years and have an exercise price per share of not less than the market value of the Company’s common shares on the date of grant. The Board of Directors has the discretion to accelerate the vesting of options or stock appreciation rights granted under the plan in accordance with applicable laws and the rules and policies of any stock exchange on which the Company’s common shares are listed. The Company has an option plan whereby options are granted to employees and consultants as part of our incentive plans. Stock options vest in installments over the vesting period. Stock options typically vest one third each year over 3 years or immediately as approved by the Board. The Company treats each installment as a separate grant in determining stock-based compensation expenses. The grant date fair value of options granted to employees is recognized as stock-based compensation expense, with a corresponding charge to contributed surplus, over the vesting period. The expense is adjusted to reflect the estimated number of options expected to vest at the end of the vesting period, adjusted for the estimated forfeitures during the period. Any cumulative adjustment prior to vesting is recognized in the current period. No adjustment is made to any expense recognized in the prior periods if share options ultimately exercised are different to that estimated on vesting. The fair value of options are measured using the Black-Scholes option pricing model. Measurement inputs include the price of our Common shares on the measurement date, exercise price of the option, expected volatility of our Common shares (based on weighted average historic volatility), weighted average expected life of the option (based on historical experience and general option holder behavior), expected dividends, estimated forfeitures and the risk-free interest rate. Upon exercise of options, the proceeds received net of any directly attributable transaction costs up to the nominal value of the shares issued are allocated to share capital with any excess being recorded in retained earnings or deficit. m) Income taxes Tax expense recognized in profit or loss comprises the sum of deferred tax and current tax not recognized in other comprehensive income or directly in equity. Current income tax assets and/or liabilities comprise those obligations to, or claims from, fiscal authorities relating to the current or prior reporting periods, that are unpaid at the reporting date. Current tax is payable on taxable profit, which differs from profit or loss in the financial statements. Calculation of current tax is based on tax rates and tax laws that have been enacted or substantively enacted by the end of the reporting period. Deferred income taxes are calculated using the liability method on temporary differences between the carrying amounts of assets and liabilities and their tax bases. However, deferred tax is not provided on the initial recognition of goodwill or on the initial recognition of an asset or liability unless the related transaction is a business combination or affects tax or accounting profit. Deferred tax on temporary differences associated with investments in subsidiaries and joint ventures is not provided if reversal of these temporary differences can be controlled by the Group and it is probable that reversal will not occur in the foreseeable future. Deferred tax assets and liabilities are calculated, without discounting, at tax rates that are expected to apply to their respective period of realization, provided they are enacted or substantively enacted by the end of the reporting period. Deferred tax assets are recognized to the extent that it is probable that they will be able to be utilized against future taxable income, based on the Group’s forecast of future operating results which is adjusted for significant non-taxable income and expenses and specific limits to the use of any unused tax loss or credit. Deferred tax assets and liabilities are offset only when the Group has a right and intention to set off current tax assets and liabilities from the same taxation authority. Changes in deferred tax assets or liabilities are recognized as a component of tax income or expense in profit or loss, except where they relate to items that are recognized in other comprehensive income or directly in equity, in which case the related deferred tax is also recognized in other comprehensive income or equity, respectively. A valuation allowance is recorded against any deferred income tax asset if it is more likely than not that the asset will be realized. n) Revenue Revenue arises from the sale of goods and the rendering of services. It is measured by reference to the fair value of consideration received or receivable, excluding sales taxes, rebates, and trade discounts. The Group often enters into sales transactions involving a range of the Group’s products and services, for example for the delivery of battery systems and related services. Sale of goods Sale of goods is recognized when the Group has transferred to the buyer the significant risks and rewards of ownership, generally when the customer has taken undisputed delivery of the goods. For contracts that permit the customer to return an item, revenue is recognized to the extent that it is highly probable that a significant reversal in the amount of cumulative revenue recognized will not occur. Therefore, the amount of revenue recognized is adjusted for expected returns, which are estimated based on the historical data for specific types of products. advance payments by customers. Any advance receipts from customers are included in contract liabilities until the revenue recognition criteria is met. Government Grants Government grants are recognized when there is reasonable assurance that the Company has met the requirements of the approved grant program and there is reasonable assurance that the grant will be received. Government grants that compensate for expenses already incurred are recognized in income on a systematic basis in the same year in which the expenses are incurred. Government grants for immediate financial support, with no future related costs, are recognized in income when receivable. Government grants that compensate the Company for the cost of an asset are recognized on a systematic basis over the useful life of the asset. Government grants consisting of investment tax credits are recorded as a reduction of the related expense or cost of the asset acquired. If a government grant becomes repayable, the repayment is treated as a change in estimate. Where the original grant related to income, the repayment is applied first against any related deferred government grant balance, and any excess as an expense. Where the original grant related to an asset, the repayment is treated as an increase to the carrying amount of the asset or as a reduction to the deferred government grant balance. o) Research and development Expenditure on research is recognized as an expense in the period in which it is incurred. Costs that are directly attributable to the development phase are recognized as intangible assets provided, they meet the following recognition requirements: · completion of the intangible asset is technically feasible so that it will be available for use or sale. · the Group intends to complete the intangible asset and use or sell it. · the Group has the ability to use or sell the intangible asset. · the intangible asset will generate probable future economic benefits. Among other things, this requires that there is a market for the output from the intangible asset or for the intangible asset itself, or, if it is to be used internally, the asset will be used in generating such benefits. · there are adequate technical, financial and other resources to complete the development and to use or sell the intangible asset. · the expenditure attributable to the intangible asset during its development can be measured reliably. Development costs not meeting these criteria for capitalization are expensed in profit or loss as incurred. p) Finance income and finance expense Interest income is reported on an accrual basis using the effective interest method. Finance costs are comprised of interest expense on promissory notes, short term loans and working capital facilities. Borrowing costs that are not directly attributable to the acquisition, construction or production of a qualifying asset are recognized in profit or loss using the effective interest method. Foreign currency gains and losses are reported on a net basis. q) Earnings per share (EPS) The Company presents basic and diluted earnings per share (“EPS”) data for its common shares. Basic EPS is calculated by dividing the profit or loss attributable to common shareholders of the Company by the weighted average number of common shares outstanding during the period. Diluted EPS is determined by adjusting the profit or loss attributable to common shareholders and the weighted average number of common shares outstanding, adjusted for own shares held, for the effects of all dilutive potential common shares, which comprise share options granted to employees. In a period of losses, the dilutive instruments comprising warrants and stock options are excluded for the determination of dilutive net loss per share because their effect is anti-dilutive. r) Segment reporting An operating segment is a component of the Company that engages in business activities from which it may earn revenues and incur expenses, including revenues and expenses that relate to transactions with any of the Company’s other components. All operating segments’ operating results are regularly reviewed by the Company’s chief operating decision maker to make decisions about resources to be allocated to the segment and assess its performance, and for which discrete financial information is available. |
Standards issued but not yet ef
Standards issued but not yet effective | 12 Months Ended |
Sep. 30, 2023 | |
Standards issued but not yet effective | |
Standards issued but not yet effective | 4. Standards issued but not yet effective The IASB and the IFRIC have issued the following new and revised standards and interpretations that are not yet effective for the relevant reporting periods and the Company has not early adopted these standards, amendments and interpretations. However, the Company is currently assessing what impact the application of these standards or amendments will have on the Consolidated Financial Statements of the company. The Company intends to adopt these standards, if applicable, when the standards become effective: (a) Effective for annual periods beginning on or after January 1, 2023, the Company will adopt amendments to IAS 1, ‘Presentation of financial statements’. The amendment clarifies that liabilities are classified as either current or non-current, depending on the rights that exist at the end of the reporting period. Classification is unaffected by the expectations of the entity or events after the reporting date. The amendment also clarifies what IAS 1 means when it refers to the ‘settlement’ of a liability. (b) Effective for annual periods beginning on or after January 1, 2023, the Company will adopt amendments to IAS 12, ‘Income taxes’. The amendment requires companies to recognize deferred tax on transactions that, on initial recognition, give rise to equal amounts of taxable and deductible temporary differences. |
Trade and Other Receivables
Trade and Other Receivables | 12 Months Ended |
Sep. 30, 2023 | |
Trade and Other Receivables | 5. Trade and Other Receivables September 30, September 30, 2023 2022 Trade receivables, gross $ 9,404 $ 2,916 Allowance for expected credit losses (257 ) (54 ) Trade receivables 9,147 2,862 Other receivables 1,464 51 Trade and other receivables $ 10,611 $ 2,913 As at September 30, 2023, 7.18% of the Company’s accounts receivable is over 90 days past due in (September 30, 2022 – 2.08%) Current 31 – 60 days 61 – 90 days 91 – 120 days Over 120 days Total 74.8 % 20.0 % 0.6 % 2.9 % 1.7 % 100 % $ 7,034 $ 1,881 $ 56 $ 273 $ 160 9,404 All of the Company’s trade and other receivables have been reviewed for indicators of impairment. The movement in the allowance for credit losses can be reconciled as follows: The movement in the allowance for credit losses can be reconciled as follows: September 30 September 30, 2023 2022 Beginning balance $ 54 $ - Allowance provided 203 54 Ending balance $ 257 $ 54 |
Inventories
Inventories | 12 Months Ended |
Sep. 30, 2023 | |
Inventories | 6. Inventories (a) September 30, September 30, 2023 2022 Raw materials $ 6,553 $ 4,184 Semi-finished 165 755 Finished goods 1,548 2,416 $ 8,266 $ 7,355 (b) During the year ended September 30, 2023, the provision for slow moving and obsolete inventories amounted to $nil (September 30, 2022: $187), which was also included in direct manufacturing costs. |
Revaluation of land and buildin
Revaluation of land and building | 12 Months Ended |
Sep. 30, 2023 | |
Revaluation of land and building | |
Revaluation of land and building | 7. Revaluation of land and building The Company has revalued its Land and Building as at March 31, 2023, and recognized a revaluation surplus of $2,600 (less tax of $679) in OCI. The valuation techniques was based on income and sales comparable approach. Significant unobservable inputs used in measuring the fair value of the building at the date of revaluation were as follows: High Low Market Rent ($ sq ft) $ 7.10 $ 3.14 Capitalization Rate 13.7 % 9.5 % Sales ($ sq ft) $ 56.87 $ 35.41 The Company’s estimates are, by their nature, subject to change. Changes in the capitalization rate would represent a change in the value of the land and buildings. The Company performed a sensitivity analysis on the value of the land and buildings based on changes to the capitalisation rate. The following table the impact of a reasonable increase/decrease in the input and the impact it would have on the valuation. A 1% change in the capitalization rate and market rent would result in a change in the value of the land and building by approximately $800. |
Prepaid expenses
Prepaid expenses | 12 Months Ended |
Sep. 30, 2023 | |
Prepaid expenses | |
Prepaid expenses | 8. Prepaid expenses September 30, September 30, 2023 2022 Prepaid expenses $ 5,997 $ 3,894 $ 5,997 $ 3,894 Prepaid expenses are comprised of vendor deposits on inventory orders for the future requisition of inventories, insurance premium and current deposits. |
Property, plant and equipment
Property, plant and equipment | 12 Months Ended |
Sep. 30, 2023 | |
Property, plant and equipment | 9. Property, plant and equipment Property, plant and equipment Land & Building Right of Use Asset Leasehold Improvement Production Equipment Office Furniture and Equipment Total Gross carrying amount Balance October 1, 2021 - $ 2,802 $ 42 $ 1,304 $ 60 $ 4,208 Additions (restated, see note 27) 5,105 - - 48 1 5,154 Exchange differences - (220 ) (3 ) (112 ) (5 ) (340 ) Balance September 30, 2022 5,105 2,582 39 1,240 56 9,022 Depreciation and impairment Balance October 1, 2021 - (490 ) (13 ) (775 ) (60 ) (1,338 ) Additions (104 ) (258 ) (8 ) (105 ) - (475 ) Exchange differences - 38 1 60 5 104 Balance September 30, 2022 (104 ) (710 ) (20 ) (820 ) (55 ) (1,709 ) Net Book Value – September 30,2022 $ 5,001 $ 1,872 $ 19 $ 420 $ 1 $ 7,313 Property, plant and equipment Land & Building Right of Use Asset Leasehold Improvement Production Equipment Office Furniture and Equipment Total Gross carrying amount Balance October 1, 2022 5,105 $ 2,582 $ 39 $ 1,240 $ 56 $ 9,022 Additions 2,595 573 37 452 16 3,673 Exchange differences - 42 - 20 1 63 Balance September 30, 2023 7,700 3,197 76 1,712 73 12,758 Depreciation and impairment Balance October 1, 2022 (104 ) (710 ) (20 ) (819 ) (55 ) (1,708 ) Additions (315 ) (406 ) (12 ) (138 ) (4 ) (875 ) Exchange differences - (11 ) (1 ) (13 ) (1 ) (26 ) Balance September 30, 2023 (419 ) (1,127 ) (33 ) (970 ) (60 ) (2,609 ) Net Book Value – September 30,2023 7,281 $ 2,070 $ 43 $ 742 $ 13 $ 10,149 |
Right of use assets
Right of use assets | 12 Months Ended |
Sep. 30, 2023 | |
Right of use assets | |
Right of use assets | 10. Right of use assets Property, plant and equipment includes a right-of-use asset, which relates to the office lease at 6688 Kitimat Road, Mississauga, ON L5N 1P8 (refer Note 14). |
Trade and Other Payables
Trade and Other Payables | 12 Months Ended |
Sep. 30, 2023 | |
Trade and Other Payables | 11. Trade and Other Payables September 30 2023 September 30, 2022 Trade Payables $ 6,046 $ 3,133 Accruals 1,197 545 Other Payables 1,186 1,036 $ 8,429 $ 4,714 |
Working Capital Facilities
Working Capital Facilities | 12 Months Ended |
Sep. 30, 2023 | |
Working Capital Facilities | |
Working Capital Facilities | 12. Working Capital Facilities a) Revolving Credit Facility As at September 30, 2023, the maximum funds available under the facility also amounted to $11.82 million (Cdn $16 million). The interest on the revolving credit facility is the greater of a) 7.05% per annum above the Prime Rate or b) 12% per annum. Interest is payable monthly. September 30 September 30 2023 2022 Opening balance $ 11,635 $ 3,277 Exchange difference 186 (207 ) Payments made during the year (34,184 ) (11,435 ) Finance cost paid (1,543 ) (1,522 ) Cash drawn during the year 35,727 21,522 Closing balance $ 11,821 $ 11,635 On December 17, 2021, the credit agreement was amended to extend the maturity from December 31, 2021 to December 31, 2022. All other terms and conditions are unchanged. In exchange for extension, the Company paid Canadian $70 as extension fee. On February 23, 2022, the credit agreement was again amended to increase the credit facility from C$7 million to C$11 million to support the sales growth and investment in working capital. In May 2022, the credit agreement was amended to increase the credit facility from C$11 million to C$14 million to support the sales growth and investment in working capital. In exchange for increase in the borrowing limit, the Company issued 46,155 shares at Cdn $3.25 (as determined by five-day volume weighted average) as compensation for Canadian $150 amendment fee. This was included within finance costs on the statement of earnings. All other terms and conditions are unchanged. In June 2022, the credit agreement was again amended to add to the definition of “Credit Facility Advance Rate Limit” 50% of the Value of Eligible Inventory that is in-transit to or between locations owned by the Borrower or with respect to which a Collateral Access Agreement has been obtained plus the Value of Eligible Receivables on account of Purchase Orders with respect to which the related goods are expected to ship prior to December 31, 2022. In exchange for this amendment to the definition of “Credit Facility Advance Rate Limit”, the Company issued 16,949 shares at Cdn $2.95 (as determined by five-day volume weighted average) as compensation for Canadian $50 amendment fee. This was included within finance costs on the statement of earnings. All other terms and conditions are unchanged. In July 2022, the credit agreement was amended to increase the credit facility from C$14 million to C$16 million to support the sales growth and investment in working capital. In exchange for increase in the borrowing limit, the Company issued 11,764 shares at Cdn $4.25 (as determined by five-day volume weighted average) as compensation for Canadian $50 amendment fee. This was included within finance costs on the statement of earnings. All other terms and conditions are unchanged. On December 20, 2022, the Company renewed its revolving facility and extended the term of the facility by six months to June 30, 2023, with the Company having the option to extend the facility by a further six months to December 31, 2023. In exchange for this renewal and amendment to the definition of “Credit Facility Advance Rate Limit”, the Company issued 14,414 shares at Cdn $5.55 (as determined by five-day volume weighted average) as compensation for Canadian $80 amendment fee. This was included within finance costs on the statement of earnings. The terms include a reduction in the interest rate calculation by 1%. All other terms and conditions are unchanged. On June 30, 2023, the Company renewed its revolving facility and extended the term of the facility by three months to September 29, 2023, with the Company having the option to extend the facility by a further three months to December 31, 2023. In exchange for this renewal, the Company issued 8,376 shares at Cdn $4.77 (as determined by five-day volume weighted average) as compensation for Cdn $40 amendment fee. This was included within finance costs on the statement of earnings. All other terms and conditions are unchanged. On September 29, 2023, the Company renewed its revolving facility and extended the term of the facility by three months to December 29, 2023. In exchange for this renewal, the Company issued 10,443 shares at Cdn $3.83 (as determined by five-day volume weighted average) as compensation for Cdn $40 amendment fee. This was included within finance costs on the statement of earnings. All other terms and conditions are unchanged. At the time of issuance of the shares in lieu of the renewal fee, the Company debited the finance cost and credited equity. b) Promissory Note September 30, September 30, 2023 2022 Promissory Note(i) opening balance $ 4,363 $ 4,363 Finance cost 126 Repayment of Promissory Note (i) (4,489 ) - Promissory Note (ii) issued 1,050 - Repayment of Promissory Note (ii) (24 ) - $ 1,026 $ 4,363 i) The promissory note was secured by the personal guarantee of Dr. Sankar Das Gupta, (then CEO) and the controlling shareholder of the Company, as well as a pledge of 25,700,000 Common Shares by Chairman Dr. Sankar Das Gupta in favour of the lender. The Promissory Note was for $4,363 (Cdn $6 million) and had interest at the greater of a) 10% per annum or b) 7% per annum above the Prime Rate. On November 14, 2022, the Company repaid the promissory note in the amount of $4.4 million (Cdn $6 million) via the proceeds of an equity raise. Upon repayment, the pledge of 27,500,000 Common Shares by Dr. Das Gupta on the share certificates was cancelled. ii) On March 31, 2023, the Company purchased 100% of the membership interest in Sustainable Energy Jamestown LLC (“SEJ”), a New York incorporated company controlled by the majority shareholders of the Company. In return, the Company issued a promissory note for $1.05 million to the members of SEJ, of which $24 has been paid as part of the private placement in Nov 2023, with a term of 365 days bearing interest at 7.5% annually payable at maturity. The Company maintains the ability to prepay the promissory note prior to the maturity date. This note is to be read in conjunction with note 27 on restatement of 2022 financial statements and note 16 on related parties. |
Deferred Grant Income
Deferred Grant Income | 12 Months Ended |
Sep. 30, 2023 | |
Deferred Grant Income | |
Deferred Grant Income | 13. Deferred Grant Income Total funds received of $4.2 million, of which $nil was recognized as revenue during the year ended September 30, 2023 (2022: $400). |
Promissory note and Other Loans
Promissory note and Other Loans | 12 Months Ended |
Sep. 30, 2023 | |
Promissory note and Other Loans | |
Promissory note and Other Loans | 14. Promissory note and Other Loans The short term loan, having a principal amount of $364 (Cdn $500), that was originally obtained in 2017, was fully repaid during the year ended September 30, 2023. This loan had interest at 1.8% per annum. The short term loans, having principal amount of $218 (Cdn $300), that were originally obtained in 2019, were fully repaid during the year ended September 30, 2023. The loans had interest at 2% per month and carried a commitment fee of 5%. On May 16, 2022, the company took control of the assets and liabilities of Sustainable Energy Jamestown (“SEJ”), including a Vendor Take Back (‘VTB”) note relating to the purchase of the property by SEJ. The secured VTB has a two-year term starting on July 1, 2022 and expiring on June 30, 2024, and carries interest at 2% per annum. The VTB note is secured against the real estate property that was acquired as part of the SEJ transaction The VTB carries a balloon payment of $2.4 million and is due on June 30, 2024. At September 30, 2023 the balance of the VTB was $3.5 million. As at September 30, 2022 the VTB was split between long term $3,457 and short term $673. September 30, 2023 September 30, 2022 Short term loans $ - $ 582 Vendor Take Back $ 3,457 $ 673 3,457 1,255 The VTB continuity is as follows: Opening Balance as at May 22, 2022 (ST: $419. LT:$3,826) $ 4,245 Repaid in year (150 ) Interest accretion 35 Closing balance as at September 30, 2022 (ST: $673. LT: $3,457) 4,130 Repaid in the year (750 ) Interest accretion 77 Closing balance as at September 30, 2023 (ST:$3,457. LT:$nil) 3,457 Finance Costs During the year the Company incurred both cash and non-cash finance costs. The following table shows the split as included on the statement of earnings. Cash Non- Cash Total Working capital facility 1,543 - 1,511 Issued to lender (note 16a (vii,viii,ix) - 118 118 Promissory notes 47 - 47 Settlement fee on promissory note 126 126 Interest on VTB loan (note 14) 77 77 Lease interest (note 15) 380 - 380 Equity issuance costs 84 - 84 Warrant issuance costs 134 - 134 Changes in FV of derivative warrants - (361 ) (361 ) Accretion on promissory note (note 12b) - 32 - Accretion on Government Loans - 294 294 $ 2,391 $ 83 $ 2,474 The comparative table for 2022 is as follows: Cash Non- Cash Total Working capital facility 1,522 - 1,522 Issued to lender - 621 621 Promissory notes 109 - 109 Interest on VTB loan (note 14) 35 35 Lease interest (note 15) 365 - 365 Equity issuance costs 71 - 71 Warrant issuance costs - 38 38 Other bank interest 12 - 12 Accretion on Government Loans - 260 260 $ 2,114 $ 919 $ 3,033 |
Lease liability
Lease liability | 12 Months Ended |
Sep. 30, 2023 | |
Lease liability | |
Lease liability | 15. Lease liability As of September 30, 2023 lease liability consists of: September 30, September 30, 2023 2022 Current $ 389 $ 164 Non-current $ 2,338 $ 2,235 Carrying amount – lease liability $ 2,727 $ 2,399 Information about leases for which the Company is a lessee is as follows: September 30, September 30, 2023 2022 Interest on lease liabilities $ 380 $ 365 Incremental borrowing rate at time of transition 14.00 % 14.00 % Total cash outflow for the lease $ 707 $ 744 The Company’s future minimum lease payments under operating leases for the years ended September 30 for the continued operations is as under: Year Amount 2024 $ 929 2025 $ 950 2026 $ 789 2027 $ 745 2028 $ 762 2029 and beyond $ 975 The Company entered into a lease agreement for 61,327 sq.ft for its premises as its Headquarters in Mississauga, Ontario at 6688 Kitimat Road. The lease is for 10 years starting January 1, 2020 with expiry December 31, 2029. In addition, the Company is required to pay certain occupancy costs. The lease agreement for our lab facility has been renewed for an additional three years, commencing from January 2023. The terms of the renewed lease entail a fixed monthly rent as follows: - CAD $25,625 for the first year, - CAD $26,265.23 for the second year, and - CAD $26,922.27 for the third year. |
Share Capital
Share Capital | 12 Months Ended |
Sep. 30, 2023 | |
Share Capital | |
Share Capital | 16. Share Capital a) Authorized and issued capital stock Common Shares Number Amount Balance, September 30, 2021 29,188,182 $ 102,498 Issuance of shares (i) 61,224 234 Exercise of options (note 16(b)) 13,000 29 Exercise of options - 25 Issuance of shares (ii) 98,765 320 Issuance of shares (iii) 46,155 115 Issuance of shares (iv) 16,949 40 Exercise of options (note 16(b)) 1,333 3 Transfer from contributed surplus - 2 Issuance of shares (v) 11,764 39 Balance, September 30, 2022 29,437,372 $ 103,305 Issuance of shares (vi) 3,508,680 7,167 Exercise of options (note (16(b)) 6,800 8 Issuance of shares (vii) 14,414 59 Transfer from contributed surplus - 5 Exercise of options (note (16(b)) 5,200 13 Transfer from contributed surplus - 11 Issuance of shares note (viii) 8,376 30 Issuance of shares note (ix) 10,443 30 Exercise of warrants (note 16(c)) 841,499 3,004 Transfer from derivative liability - 1,409 Balance, September 30, 2023 33,832,784 115,041 (i) On December 17, 2021, the promissory note which was due to mature on December 31, 2021 and was amended to July 1, 2022. All other terms and conditions are unchanged. In exchange for the extension, the Company issued 61,224 shares at Cdn $4.90 as compensation for Canadian $300K extension fee. The fee is recorded in finance costs on the statement of earnings. (ii) On February 23, 2022, the promissory note which was due to mature on July 1, 2022 was amended to December 21, 2022 and the credit facility was increased from C$7 million to C$11 million. All other terms and conditions are unchanged. As consideration for these amendments, the company issued 98,765 shares at Cdn $4.05 as compensation for Canadian $400K renewal fee. The fee is recorded in finance costs on the statement of earnings. (iii) On May 12, 2022, the promissory note was amended and the credit facility was increased from C$11 million to C$14 million. All other terms and conditions are unchanged. As consideration for these amendments, the company issued 46,155 shares at Cdn $3.25 as compensation for Canadian $150K amendment fee. The fee is recorded in finance costs on the statement of earnings. (iv) On June 08, 2022, the credit agreement was amended to redefine the “Credit Facility Advance Rate Limit. All other terms and conditions are unchanged. As consideration for these amendments, the company issued 16,949 shares at Cdn $2.95 as compensation for Canadian $50K amendment fee. The fee is recorded in finance costs on the statement of earnings. (v) On July 20, 2022, the credit agreement was amended and the credit facility was increased from C $14M to C $16M. All other terms and conditions are unchanged. As consideration for these amendments, the company issued 11,764 shares at Cdn $4.25 as compensation for Canadian $50K amendment fee. The fee is recorded in finance costs on the statement of earnings. (vi) The Company completed a non‐brokered private placement of 3,508,680 units at a price of Cdn $4.2305 per Unit for aggregate gross proceeds of CAD$14.8 million. Each Unit comprised of one common share of the Company and one-half of one common share purchase warrant. The Company issued 1,754,340 share purchase warrants on November 09, 2022. The expiry date of these warrants was November 09, 2025. The warrant exercise price would be adjusted from $5.30 to $4.70, should the Company fail to list its common shares on the Nasdaq Capital Markets by April 30, 2023. The warrants were classed as a derivative liability as they did not meet the fixed for fixed criteria. See note (20) financial instruments for further details. (vii) On December 20, 2022, the revolving facility note which was due to mature on December 31, 2022, was amended to June 30, 2023 with an option to renew for further six months until December 31, 2023. The terms include a reduction in the interest rate calculation by 1%. All other terms and conditions are unchanged. In exchange for the extension, the Company issued 14,414 shares at Cdn $5.55 (as determined by a five-day volume weighted average) as compensation for Canadian $80 extension fee. The fee is recorded in finance costs on the statement of earnings. (viii) On June 30, 2023, the revolving facility which was due to mature on June 30, 2023, was amended to September 29, 2023 with an option to renew for further three months until December 31, 2023. All other terms and conditions are unchanged. In exchange for the extension, the company issued 8,376 shares at Cdn $4.77 (as determined by a five-day volume weighted average) as compensation for Canadian $40 extension fee. The fee is recorded in finance costs on the statement of earnings. (ix) On September 29, 2023, the revolving facility which was due to mature on September 29, 2023, was amended to December 29, 2023. All other terms and conditions are unchanged. In exchange for the extension, the Company issued 10,443 shares at Cdn $3.83 (as determined by a five-day volume weighted average) as compensation for Canadian $40 extension fee. The fee is recorded in finance costs on the statement of earnings. (x) On June 13, 2023, the Company completed a reverse split of its issued and outstanding common stock at a ratio of 1 consolidated for 5 pre-consolidated shares. The Company initiated the reverse stock split in connection with its intention to meet the minimum bid price requirement and list the Common Shares for trading on the Nasdaq Capital Market. As a result of the reverse stock split, every five outstanding Common Shares were consolidated into one Common Share without any action from stockholders, reducing the number of outstanding Common Shares from approximately 164.86 million to approximately 32.97 million. Additionally, the number of stock options, the number of warrants and earnings per share were also adjusted retrospectively, to reflect the stock split.. b) Stock Options Options to purchase common shares of the Company under its stock option plan may be granted by the Board of Directors of the Company to certain full-time and part-time employees, directors and consultants of the Company and its affiliates. Stock options are non-assignable and may be granted for terms of up to 10 years. Stock options vest at various periods from zero to three years. As a result of the reverse stock split, every five options were consolidated into one option without any action from option holders, reducing the number of outstanding options from approximately 23.5 million to 4.7 million. On February 17, 2021 at a Special Meeting of the Shareholders, a resolution was passed to (i) authorize amendments to the Company’s Stock Option Plan to increase the maximum number of common shares issuable upon the exercise of stock options thereunder from 3,020,000 to 4,600,000. On March 25, 2022 at a Special Meeting of the Shareholders, a resolution was passed to (i) authorize amendments to the Company’s Stock Option Plan to increase the maximum number of common shares issuable upon the exercise of stock options thereunder from 4,600,000 to 6,000,000. Number outstanding Weighted average exercise price Outstanding, September 30, 2021 3,454,254 $ 2.25 Granted 20,000 $ 4.50 Expired (11,000 ) $ 0.63 Exercised (note 15(a)) (13,000 ) $ 2.20 Granted 300,000 $ 2.20 Exercised (note 15(a)) (1,333 ) $ 2.55 Expired (21,333 ) $ 3.15 Outstanding, September 30, 2022 3,727,588 $ 2.30 Exercised (note 15(a)) (6,800 ) $ 1.05 Exercised (note 15(a)) (5,200 ) $ 2.55 Expired (3,200 ) $ 2.60 Granted 1,060,000 $ 4.04 Cancelled or expired (58,000 ) $ 4.04 Outstanding, September 30, 2023 4,714,388 $ 2.44 Exercise price Number Outstanding Weighted average remaining life (years) Number exercisable Weighted average exercise price $ 2.66 $ (Cdn 3.60 ) 256,400 0.39 256,400 $ 2.66 $ 3.84 $ (Cdn 5.20 ) 3,000 0.44 3,000 $ 3.84 $ 3.77 $ (Cdn 5.10 ) 8,200 0.64 8,200 $ 3.77 $ 2.40 $ (Cdn 3.25 ) 35,499 1.39 35,499 $ 2.40 $ 3.36 $ (Cdn 4.55 ) 12,000 1.64 12,000 $ 3.36 $ 2.55 $ (Cdn 3.45 ) 42,900 2.00 42,900 $ 2.55 $ 2.92 $ (Cdn 3.95 ) 9,600 2.37 9,600 $ 2.92 $ 7.87 $ (Cdn 10.65 ) 101,121 3.25 101,121 $ 7.87 $ 4.51 $ (Cdn 6.10 ) 10,667 3.84 10,667 $ 4.51 $ 1.03 $ (Cdn 1.40 ) 120,066 4.40 120,066 $ 1.03 $ 1.11 $ (Cdn 1.50 ) 1,024,000 5.84 1,024,000 $ 1.11 $ 2.44 $ (Cdn 3.30 ) 274,268 6.95 274,268 $ 2.44 $ 3.69 $ (Cdn 5.00 ) 1,494,667 7.96 671,337 $ 3.69 $ 4.25 $ (Cdn 5.75 ) 20,000 8.17 20,000 $ 4.25 $ 2.11 $ (Cdn2.85 ) 150,000 8.73 123,333 $ 2.11 $ 2.11 $ (Cdn 2.85 ) 150,000 8.73 50,000 $ 2.11 $ 3.95 $ (Cdn 5.35 ) 1,002,000 9.53 41,000 $ 3.95 4,714,388 7.06 2,803,391 $ 2.44 For the options exercised, the share price at the time of exercise was between $2.83-$3.80. Total stock- based compensation expense recognized during the year ended September 30, 2023 was $1,167 (2022: $3,223). Of this, the portion related to stock options that vested during the year ended September 30, 2023 was $511 (September 30, 2022-$1,358). We amortize the estimated grant date fair value of stock options to expense over the vesting period (generally three years). The grant date fair value of outstanding stock options was determined using the Black-Scholes option pricing model. Black Scholes uses highly subjective and complex assumptions, including the option's expected term and the price volatility of the underlying stock based on historical stock prices, to determine the fair value of the option. (i) The following table summarizes the assumptions used with the Black-Scholes valuation model for the determination of the stock-based compensation costs for the stock options granted during the year ended September 30, 2023: Grant date April 10, 2023 No of options 1,060,000 Share price $ 3.85 Exercise price $ 4.04 Average expected life in years 10 Volatility 79.30 % Risk-free weighted interest rate 2.92 % Dividend yield - Fair-value of options granted $ 4,282 (ii) The following tables summarizes the assumptions used with the Black-Scholes valuation model for the determination of the stock-based compensation costs for the stock options granted during the year ended September 30, 2022: Grant date November 29, 2021 No of options 20,000 Share price $ 3.75 Exercise price $ 4.20 Average expected life in years 10 Volatility 89.38 % Risk-free weighted interest rate 1.54 % Dividend yield - Fair-value of options granted $ 84 Grant date June 20, 2022 No of options 300,000 Share price $ 2.20 Exercise price $ 2.05 Average expected life in years 10 Volatility 81.04 % Risk-free weighted interest rate 2.72 % Dividend yield - Fair-value of options granted $ 615 c) Warrants Details of Share Warrants Number Exercise Outstanding Price Outstanding, September 30, 2021 and September 30, 2022 2,035,015 $ 2.30 Expired during the year (80,869 ) $ 5.80 Expired during the year (242,222 ) $ 6.45 Outstanding, September 30, 2023 1,711,924 $ 2.38 Additionally, the number of derivative warrants at September 30. 2023 were 912,845. The grant date fair value of outstanding share warrants was determined using the Black-Scholes pricing model using the following assumptions in the year of the grant: risk-free interest rate (based on U.S. government bond yields) of 3.8%, expected volatility of the market price of our shares (based on historical volatility of our share price) of 85.58%, and the expected warrant life (in years) of 3. As a result of the reverse stock split, every five warrants were consolidated into one warrant without any action from warrant holders, reducing the number of outstanding warrants from approximately 13.1 million to 2.6 million. A 10% of change in any assumption would result in the change in derivative warrant liability between $(417) and $393. Warrant continuity schedule is as follows: Units Fair Value Opening valuation as at Nov 9, 2022 1,754,340 $ 3,259 Warrants exercised as at July 28, 2023 (841,499 ) (1,409 ) Fair value adjustment (361 ) Closing balance 912,841 $ 1,489 Details of Compensation options Number Outstanding Exercise Price Outstanding, September 30, 2021 and September 30, 2022 46,588 $ 5.90 Expired during the year (29,066 ) $ 6.45 Outstanding, March 31, 2023, June 30, 2023 and September 30, 2023. 17,522 $ 4.95 |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Sep. 30, 2023 | |
Related Party Transactions | 17. Related Party Transactions Management compensation Key management compensation comprises the following: 2023 2022 Salaries, bonus and other benefits 764 310 Share based compensation 1,089 2,757 1,853 3,067 Share based compensation includes a portion of options that are granted but have not vested and are valued using the Monte Carlo valuation method. See details in Special Option Grants Personal Guarantees Dr. Sankar Das Gupta personally guaranteed the following short-term loans, see note 13 for further details. September 30, 2023 September 30, 2022 USD CDN USD CDN Shareholder guaranteed loan (Dec. 2017) $ - $ - $ 364 $ 500 Shareholder guaranteed loan (June 2019) - - 218 $ 300 $ - $ - $ 582 $ 800 The Shareholder’s guaranteed loans were repaid along with accrued interest on November 10, 2022. September 30, September 30, 2023 2022 Promissory Note (note 11(b)) $ 1,026 (i) $ 4,363 (ii) i) The promissory note payable to our lender, was secured by the pledge of 1,400,000 Common Shares by Dr Sankar Das Gupta in favor of the lender. This was repaid in the year ended September 30, 2023. ii) The promissory note payable to the members of Sustainable Energy Jamestown, was also secured by the personal guarantee of Dr. Sankar Das Gupta, as well as a pledge of 5,140,000 Common Shares by Dr. Das Gupta in favor of the lender. All Common Shares were released after the repayment of the promissory note on November 14, 2022. Research Lab – Facility Usage Agreement In May 2021 Electrovaya entered a month-to-month Facility Usage Agreement for the use of space and allocated staff of a third-party research firm providing access to laboratory facilities, primarily for research associated with its Electrovaya Labs. The laboratory and pilot plant facilities have certain equipment and permits for research and developments with chemicals. The term of the agreement was for six months and could be terminated by either party upon 90 days notice. In July 2021 the facility was acquired by an investor group controlled by the family of Dr. Sankar Das Gupta, which includes its CEO, Dr. Rajshekar Das Gupta. The Facility Usage Agreement was not changed on the change of ownership and remains in effect between the Company and the owner, such that the monthly payment of Cdn $25,000 is now made to a related party of Electrovaya. On June 7, 2023, the Facility Usage Agreement was retroactively extended from January 1, 2023, for an additional three years. The lease has been recognized as a lease liability and corresponding right of use asset. Special Option Grants In September 2021, on the recommendation of the Compensation Committee of the Company, a committee composed entirely of independent directors, the Board of Directors of the Company determined that it is advisable and in the best interests of the Company to amend the terms of the compensation of certain key personnel to incentivize future performance, to encourage retention of their services, and to align their interests with those of the Company’s shareholders. Dr. Sankar Das Gupta was granted 700,000 options which vest in two tranches of 200,000 options and one tranche of 300,000 options, based on reaching specific target market capitalizations. The fair value of these options on the day of grant is calculated using the Monte Carlo method of option valuation and expensed over the mean vesting period in accordance with IFRS 2. The expense of $256 is recorded within stock based compensation on the face of the statement of earnings. Dr. Rajshekar Das Gupta was granted 900,000 options which vest in three tranches of,300,000 options based on reaching specific target market capitalizations. These fair value of these options on the day of issuance is calculated using the Monte Carlo method of option valuation and expensed over the mean vesting period in accordance with IFRS 2. The expense of $248 is recorded within stock based compensation on the face of the statement of earnings. In April 2023, following the suggestion of the Company's Compensation Committee, consisting entirely of independent directors, the Company's Board of Directors awarded Dr. Rajshekar Das Gupta a total of six hundred thousand options. These options will vest in two phases: three hundred thousand options and three hundred thousand options, contingent upon achieving certain target market capitalizations. The expense of $260 is recorded within stock based compensation on the face of the statement of earnings. Investment in Sustainable Energy Jamestown LLC (note to be read in conjunction with note 25) During the year ended September 30, 2022, the company acquired real estate (land and building) through its common control entity Sustainable Energy Jamestown (“SEJ”), a limited liability company controlled by the major shareholders of the company. SEJ purchased the land and buildings for $5.1 million financing the purchase with a deposit of $600 and a promissory note of $4.4 million, see note 13 for details. Transaction costs incurred by the Company were $105. Both the asset and liability, including an amount payable to the majority shareholders of $531, are included in the restated September 30, 2022 financials. See note 27 for additional detail. During the year ended September 30, 2023, the Company purchased the membership interest in SEJ from the major shareholders of the company. The land and buildings comprising the real estate was revalued by $2.7 million, which was recognised in other comprehensive income. The purchase price included a premium of $500 paid to the members of SEJ, who are also majority shareholders of the Company, which was recorded in General and Administrative costs on the statement of earnings. |
Change in Non-Cash Operating Wo
Change in Non-Cash Operating Working Capital | 12 Months Ended |
Sep. 30, 2023 | |
Change in Non-Cash Operating Working Capital | |
Change in Non-Cash Operating Working Capital | 18. Change in Non-Cash Operating Working Capital September 30 2023 2022 Trade and other receivables $ (7,845 ) $ (1,626 ) Inventories (724 ) (2,788 ) Prepaid expenses and other (2,103 ) (2,075 ) Trade and other payables 3,054 43 Other payable (123 ) 73 $ (7,741 ) $ (6,373 ) |
Relief and Recovery Fund Payabl
Relief and Recovery Fund Payable | 12 Months Ended |
Sep. 30, 2023 | |
Relief and Recovery Fund Payable | |
Relief and Recovery Fund Payable | 19. Relief and Recovery Fund Payable The Relief and recovery fund is created by the Ministry of Economic Development to support the Company to recover from economic disruption associated with the COVID-19 outbreak. An amount of $300 (Cdn 380) was received as at September 30, 2021. The funding bears no interest and the Company is required to repay in equal monthly payments for 5 years starting from April 1, 2023. The Company discounted the loan to the present value using the applicable discount rate |
Government Assistance
Government Assistance | 12 Months Ended |
Sep. 30, 2023 | |
Government Assistance | 20. Government Assistance The government assistance is related to specific Government supported research and development programs undertaken by Electovaya. The National Research Council of Canada Industrial Research Assistance Program (IRAP) has provided $348 (Cdn $470) and Innovation Asset MSP contribution $39 (Cdn $52). This total was recorded within Government Grants on the statement of earnings. |
Financial Instruments
Financial Instruments | 12 Months Ended |
Sep. 30, 2023 | |
Financial Instruments | 21. Financial Instruments Derivative Liabilities Warrants as derivative liability is fair valued using Black Scholes Model. Using this approach, the fair value of the warrants on 09 November 2022 was determined to be $3.3 million. Key valuation inputs and assumptions used in the BSM are stock price of CAD $4.55, expected life of 3 years, annualized volatility of 85.58%, annual risk-free rate of 3.87%, and annual dividend yield of 0.0%. Key valuation inputs and assumptions used in the BSM when valuing the warrants as at September 30, 2023 were, stock price $3.75, expected life of 2.1 years, annualized volatility of 76.8%, annual risk-free rate of 3.92%, and dividend yield of 0.0%. The company incurred total issuance costs of $459. The Company allocated proportionally to the derivative liability and expensed $134 as a finance cost in the statement of earnings, and balance portion of the issuance cost reduced from equity for the amount of $325 respectively. Warrants are fair valued at each reporting date and the gain / (loss) is charged to the other comprehensive income. Warrants would fall under Level 2 Fair Value Measurement. Fair Value IFRS 13 “Fair Value Measurement” provides guidance about fair value measurements. Fair value is defined as the exchange price that would be received to sell an asset or paid to transfer a liability in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. Valuation techniques used to measure fair value are required to maximize the use of observable inputs and minimize the use of unobservable inputs. The fair value hierarchy is based on three levels of inputs. The first two levels are considered observable and the last unobservable. These levels are used to measure fair values as follows: - Level 1 – Quoted prices (unadjusted) in active markets for identical assets or liabilities, either directly or indirectly. - Level 2 – Inputs, other than Level 1 inputs that are observable for assets and liabilities, either directly or indirectly. Level 2 inputs include quoted market prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. - Level 3 – Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. There were no transfers between levels of the fair value hierarchy during the period presented. Fair Value Level 1 Level 2 Level 3 Warrants $ 1,489 - $ 1,489 - Risk Management The Company may be exposed to risks of varying degrees of significance which could affect its ability to achieve its strategic objectives. The main objectives of the Company’s risk management processes are to ensure that the risks are properly identified and that the capital base is adequate in relation to those risks. The principal risks to which the Company is exposed are described below. There have been no changes in risk exposure since the prior year unless otherwise noted. Capital risk The Company manages its capital to ensure that there are adequate capital resources for the Company to maintain and develop its products. The capital structure of the Company consists of shareholders’ equity and depends on the underlying profitability of the Company’s operations. The Company manages its capital structure and makes adjustments to it, based on the funds available to the Company, in order to support the development, manufacture and marketing of its products. The Board of Directors does not establish quantitative return on capital criteria for management, but rather relies on the expertise of the Company’s management to sustain future development of the business. The Group's capital management objectives are: ● to ensure the Group's ability to continue as a going concern. ● to provide an adequate return to shareholders by pricing products and services commensurately with the level of risk. The Group monitors capital on the basis of the carrying amount of equity plus its short-term debt comprised of the promissory notes, less cash and cash equivalents as presented on the face of the statement of financial position. The Group sets the amount of capital in proportion to its overall financing structure, comprised of equity and long-term debt. The Group manages the capital structure and makes adjustments to it in the light of changes in economic conditions and the risk characteristics of the underlying assets. In order to maintain or adjust the capital structure, the Group issues new shares or increases its long-term debt. Credit risk and Concentration risk Credit risk is the risk that the counter-party fails to discharge an obligation to the Company. The Company is exposed to this risk due to its cash and cash equivalents, trade and other receivables. The Company manages its credit risk related to trade and other receivables by establishing procedures to establish credit limits and approval policies. The balance in trade and other receivables is primarily attributable to trade accounts receivables. In the opinion of management, the credit risk is moderate and no credit losses are expected. Management is taking appropriate action to mitigate this risk by adjusting credit terms. The Company is exposed to credit risk in the event of default by its customers. Accounts receivable are recorded at the invoiced amount, do not bear interest, and do not require collateral. For the year ended September 30, 2023, one customer accounted for $42 million or 94% of revenue (2022 — $13 million or 82%). As of September 30, 2023, one customer accounted for 85% of accounts receivable (2022 — 64%). Liquidity risk Liquidity risk is the risk that we may not have cash available to satisfy our financial obligations as they come due. The majority of our financial liabilities recorded in accounts payable, accrued and other current liabilities and provisions are due within 90 days. We manage liquidity risk by maintaining a portfolio of liquid funds and having access to a revolving credit facility. We believe that cash flow from operating activities, together with cash on hand, cash from our A/R, and borrowings available under the revolving facility are sufficient to fund our currently anticipated financial obligations and will remain available in the current environment. The following are the undiscounted contractual maturities of significant financial liabilities and the total contractual obligations of the Company as at September 30, 2023 2024 2025 2026 2027 2028 & beyond Total Trade and other payables 8,429 - - - - 8,429 Lease liability 929 950 789 745 1,737 5,150 Promissory notes 3,500 - - - - 3,500 Short term loans 1,026 - - - - 1,026 Working capital facility 11,821 - - - - 11,821 Other payable 1,365 490 215 56 38 2,164 27,070 1,440 1,004 801 1,775 32,090 Market risk Market risk incorporates a range of risks. Movement in risk factors, such as market price risk and currency risk, affect the fair value of financial assets and liabilities. The Company is exposed to these risks as the ability of the Company to develop or market its products and the future profitability of the Company is related to the market price of its primary competitors for similar products. Interest rate risk The Company has variable interest debt as described in Note 11 and 13. Changes in interest rates will affect future interest expense and cash flows. The Company does not enter into derivative instruments to reduce this exposure. Foreign currency risk The Company is exposed to foreign currency risk. The Company’s functional currency is the United States dollar and the financial statements are presented in United States dollars. Changes in the relative values of these currencies will give rise to changes in other comprehensive income. Purchases are transacted in Canadian dollars, United States dollars and Euro. Management believes the foreign exchange risk derived from any currency conversions may have a material effect on the results of its operations. The financial instruments impacted by a change in exchange rates include our exposures to the above financial assets or liabilities denominated in nonfunctional currencies. Cash held by the Company in US dollars at September 30, 2023 was $175 (September 30, 2022 $386). If the US dollar to Canadian foreign exchange rate changed by 2% this would change the recorded Net gain(loss) by $173 (September 30, 2022-$179). |
Contingencies
Contingencies | 12 Months Ended |
Sep. 30, 2023 | |
Contingencies | |
Contingencies | 22. Contingencies a) Refundable Ontario Investment Tax Credits On July 22, 2022, the Company received a Notice of Confirmation from the CRA relating to the 2014 and 2015 SRED reassessment for $299 (Cdn$386) and $302 (Cdn$389) including interest respectively. The balance owing has been fully provided for in Other payables, and the Company is pursuing the next appropriate step in the appeal process and believes the amounts may be reversed or substantially reduced. The outcome cannot be determined. b) Ministry of Energy On May 28, 2018, the Province of Ontario issued a claim against Electrovaya Corp. claiming $655 (Cdn $830) related to a dispute regarding funding and fulfilment of the Intelligent Energy Storage System under the Smart Grid Fund program. A Statement of Defense disputing the claim in its entirety was filed on March 21, 2019. No further steps have been taken by the Province to pursue the claim. c) Other Contingencies In the normal course of business, the Company is party to business related claims. The potential outcomes related to existing matters faced by the Company are not determinable at this time. The Company intends to defend these actions, and management believes that the resolution of these matters will not have a material adverse effect on the Company’s financial condition. |
Segment and Customer Reporting
Segment and Customer Reporting | 12 Months Ended |
Sep. 30, 2023 | |
Segment and Customer Reporting | |
Segment and Customer Reporting | 23. Segment and Customer Reporting The Group develops, manufactures and markets power technology products. There is only a single segment applicable to the Group. Given the size and nature of the products produced, the Company’s sales are segregated based on large format batteries, with the remaining smaller product line categorized as “Other”. There has been no change in either the determination of our segments, or how segment performance is measured, from that described in the Company’s consolidated financial statements as at and for the year ended September 30, 2023. 2023 2022 Large format batteries $ 42,168 $ 15,190 Other 1,891 1,080 $ 44,059 $ 16,270 Revenues can also be analyzed as follows based on the nature of the underlying deliverables: 2023 2022 Revenue with customers Sale of batteries and battery systems $ 42,168 $ 15,190 Sale of services 216 142 Grant income Research grant 693 650 Others 982 288 $ 44,059 $ 16,270 Revenues attributed to geographical regions based on the location of the customer were as follows: 2023 2022 Canada $ 1,258 $ 1,927 United States 42,351 14,313 Others 450 30 $ 44,059 $ 16,270 |
Other Payables
Other Payables | 12 Months Ended |
Sep. 30, 2023 | |
Other Payables | |
Other Payables | 24. Other payables Technology Partnerships Canada (“TPC”) projects were long-term (up to 30 years) commencing with an R&D phase, followed by a benefits phase – the period in which a product, or a technology, could generate revenue for the Company. In such cases, repayments would flow back to the program according to the terms and conditions of the Company’s contribution agreement. In June 2018 the contribution agreement was amended and is included at its Net Present Value in other payables. The following table represents changes in the provision for repayments to Industry Canada. September 30, 2023 2022 Opening balance 798 508 Interest accretion 294 290 Miscellaneous (108 ) - Ending balance 984 798 Less: current portion of the provision (661 ) (358 ) Ending balance of long-term portion $ 323 $ 440 Interest accretion amounted to $294, which was included in finance charges. The latest repayment schedule starting July 1, 2018 for current and future fiscal years are as follows: 2024 1,309 2025 434 2026 159 |
Income Tax
Income Tax | 12 Months Ended |
Sep. 30, 2023 | |
Income Tax | 25. Income-tax The income tax recovery differs from the amount computed by applying the Canadian statutory income tax rate of 26.50% (2022 – 26.50%) to the loss before income taxes as a result of the following: September 30, 2023 2022 Income (Loss) before income taxes $ (1,479 ) $ (9,211 ) Expected recovery of income taxes based on (392 ) (2,441 ) statutory rates Reduction in income tax recovery resulting from: Lower rate on manufacturing profits (9 ) 66 Non-taxable portion of capital gain - - Other permanent differences 206 654 Deferred tax benefit not recognized (484 ) 1,721 Income tax recovery $ (679 ) $ - The components of deferred income taxes as at September 30, 2023 and 2022 are as follows: Opening, October 1, Recognized Recognized Closing, September 2022 in P&L in OCI 30,2023 Deferred Tax Assets: Canadian non-capital loss carry forwards 47 555 - 602 US net operating losses - 408 - 408 Deferred tax assets recognized 47 963 - 1,010 Deferred Tax Liabilities Unrealized foreign exchange - (11 ) - (11 ) Property, plant and equipment (47 ) (273 ) (679 ) (999 ) (47 ) (284 ) (679 ) (1,010 ) Net Deferred tax asset (liability) - 679 (679 ) - Opening, October 1, Recognized Recognized Closing, September 2021 in P&L in OCI 30,2022 Deferred Tax Assets: Canadian non-capital loss carry forwards - 47 - 47 US net operating losses - - Deferred tax assets recognized - 47 - 47 Deferred Tax Liabilities Property, plant and equipment - (47 ) - (47 ) Net Deferred tax asset (liability) - (47 ) - (47 ) - - - - In assessing the realizability of deferred tax assets, management considers whether it is more likely than not that some portion or all of the future tax assets will be realized. The ultimate realization of deferred tax assets is dependent upon the generation of deferred taxable income during the year in which those temporary differences become deductible. Management considers projected future taxable income, uncertainties related to the industry in which the Company operates and tax planning strategies in making this assessment. The Company concluded that there is uncertainty regarding the future recoverability of Company’s deferred income tax assets in future periods. Therefore, deferred tax assets have not been recognized in the financial statements with respect to the following deductible temporary differences: September 30, 2023 September 30, 2022 Canadian non-capital loss carry forwards 44,061 52,264 US net operating losses 4,306 3,939 Property, plant and equipment - 27 Lease liabilities 2,727 - Unclaimed research and development expenses 15,824 15,571 Non-refundable research and development credits 19,489 - Other 1,343 61 87,750 71,862 The Company has Unrecognized losses that expire as early as 2025 as follows: Year of expiry Canada USA 2024 - - 2025 - 1,422 2026 11,394 192 2027 3,398 678 2028 3,844 49 2029 - 356 2030 311 665 2031 - 944 2032 633 - 2033 994 - 2034 - - 2035 2,196 - 2036 1,631 - 2037 2,175 - 2038 6,100 - 2039 2,190 - 2040 548 - 2041 5,097 - 2042 3,550 - 2043 - - Infinite - - 44,061 4,306 |
Subsequent events
Subsequent events | 12 Months Ended |
Sep. 30, 2023 | |
Subsequent events | |
Subsequent events | 26. Subsequent events On December 20, 2023 the Company renewed its revolving facility and extended the term of the facility by three months to March 29, 2024. The Company retains the option to extend the existing facility by a further three months to June 29, 2024. |
Restatement of financial result
Restatement of financial results | 12 Months Ended |
Sep. 30, 2023 | |
Restatement of financial results | |
Restatement of financial results | 27. Restatement of financial results The Company identified certain errors and determined that a correction was required, and as such, has restated its previously reported consolidated financial statements as at and for the year ended September 30, 2022. Such restatement was applied retrospectively as at October 1, 2021. The impact of the correction was as follows: (i) The Company had previously not recognized its acquisition of control of Sustainable Energy Jamestown during and for the year ended September 30, 2022. Accordingly, the Company restated and recognized the associated real estate and loan payable in its comparative financial statements. Refer to note 16 for the SEJ acquisition. (ii) Certain revenue was incorrectly recognized during the year ended September 30, 2022, resulting in adjustments of revenue, direct manufacturing costs, trade receivables, and inventories. (iii) Certain promissory notes and short-term loans were not appropriately measured at fair value at initial recognition, resulting in adjustments to these balances along with interest accretion expense. (iv) The functional currency of one of the Company’s subsidiary was incorrectly determined, resulting in adjustments to certain assets and liabilities and accumulated other comprehensive income. (v) The fair value of certain stock options was incorrectly determined, resulting in adjustments to stock-based compensation expense and contributed surplus. (vi) The above adjustments also resulted in changes in cash flows from operating, investing and financing activities in the comparative statement of cash flows. (vii) Certain comparative figures were reclassified to confirm with the current year’s presentation. a) Statemen to Financial Position As at September 30, 2022 As Restated As Previously Reported Restatement Assets Current assets Cash and cash equivalents $ 626 $ 626 $ - Trade and other receivables (ii) 2,913 6,309 (3,396 ) Inventories (ii) 7,355 4,477 2,878 Prepaid expenses and other 3,894 3,895 (1 ) Due from related party (i) - 374 (374 ) Total current assets 14,788 15,681 (893 ) Non current assets Property, plant and equipment (i) 7,313 2,312 5,001 Long-term deposit 88 88 - Total non-current assets 7,401 2,400 5,001 Total assets $ 22,189 $ 18,081 4,108 Liabilities and Equity Current liabilities Trade and other payables (iv) $ 4,714 $ 4,627 87 Working capital facilities 11,635 11,635 - Promissory notes 4,363 4,363 - Short term loans (iii) 1,255 582 673 Lease liability – current portion 164 164 - Due to related party (i) 531 - 531 Total current liabilities 22,662 21,371 1,291 Non-current liabilities Lease liability – non-current portion 2,235 2,235 - Relief and recovery fund payable (iii) 102 249 (147 ) Other payables (iii) 440 145 295 Promissory Note (i) 3,457 - 3,457 Total non-current liabilities 6,234 2,629 3,605 Equity (Deficiency) Share capital 103,305 103,305 - Contributed surplus (v) 8,099 6,235 1,864 Warrants 4,725 4,725 - Accumulated other comprehensive gain 6,135 13,491 (7,356 ) Deficit (128,971 ) (133,675 ) 4,704 Total Equity (Deficiency) (6,707 ) (5,919 ) (788 ) Total liabilities and equity (deficiency) $ 22,189 $ 18,081 4,108 b) Statement of Earnings Year Ended September 30, 2022 As Restated As Previously Reported Restatement Revenue (ii) $ 16,270 $ 19,823 $ (3,553 ) Direct manufacturing costs (ii) 12,396 14,847 (2,451 ) Gross margin 3,874 4,976 (1,102 ) Expenses Research and development (iii) 3,434 3,899 (465 ) Government assistance (210 ) (210 ) - Sales and marketing 1,147 1,147 - General and administrative (i) 3,046 2,776 270 Stock based compensation (v) 3,223 1,358 1,865 Depreciation (i) 503 399 104 11,143 9,369 1,774 Income(loss) from operations (7,269 ) (4,393 ) (2,876 ) Finance costs (iii) 3,033 2,700 333 Foreign exchange gain(loss) and interest income (iv) 1,091 546 545 Net income(loss) for the period (9,211 ) (6,547 ) (2,664 ) Basic income(loss) per share $ (0.31 ) $ (0.22 ) - Weighted average number of shares Outstanding, basic and fully diluted 29,344,623 29,344,622 - c) Statement of Cash Flows Year Ended September 30, 2022 As Restated As Previously Reported Restatement Net loss for the period (ii) $ (9,211 ) $ (6,547 ) (2,664 ) Items not involving cash: Depreciation and depreciation (i) 503 399 104 Stock based compensation expense (v) 3,223 1,358 1,865 Interest and financing costs (iii) 3,033 2,700 333 Cash and cash equivalents provided by (used in) operating activities (2,452 ) (2,090 ) (362 ) Net changes in working capital (iii) (6,373 ) (7,567 ) 1,194 Cash and cash equivalents used in operating activities (8,825 ) (9,657 ) 832 Investing activities Purchase of property, plant and equipment (i) (203 ) (49 ) (154 ) Change in long term deposits (9 ) (17 ) 8 Cash and cash equivalents (used in) investing activities (212 ) (66 ) (146 ) Financing activities Issue of shares 780 780 - Exercise of options 27 - 27 Proceeds from loans (vi) 21,522 9,245 12,277 Repayment of loans (vi) (11,435 ) (11,435 ) Repayment of loans (i) (150 ) - (150 ) Change in due to related parties (i) - (374 ) 374 Changes in other payables - 12 (12 ) Lease payments (744 ) - (744 ) Interest and financing costs (2,114 ) (2,662 ) 548 Cash and cash equivalents from (used in) financing activities 7,886 7,001 885 Increase (Decrease) in cash and cash equivalents (1,151 ) (2,722 ) (1,571 ) Exchange difference (2,425 ) (854 ) 1,571 Cash and cash equivalents, beginning of period 4,202 4,202 - Cash and cash equivalents, end of period 626 626 - d) Statement of Comprehensive Income (Loss) As Restated As Previously Reported Restatement Net Loss for the year $ (9,211 ) $ (6,547 ) $ (2,664 ) Currency translation difference 585 147 438 Total comprehensive loss for the year (8,626 ) (6,400 ) (2,226 e) Opening balances Opening Balances as at October 1, 2021 As Restated As Previously Reported Restatement Assets Current assets Cash and cash equivalents $ 4,202 $ 4,202 $ - Trade and other receivables 1,341 1,341 - Inventories 4,666 4,666 - Prepaid expenses and other 1,819 1,819 - Due from related party - - - Total current assets 12,028 12,028 - Non current assets Property, plant and equipment 2,870 2,870 - Long-term deposit 79 79 - Total non-current assets 2,949 2,949 - Total assets $ 14,977 $ 14,977 - Liabilities and Equity Current liabilities Trade and other payables $ 4,671 $ 4,671 - Working capital facilities 3,277 3,277 - Promissory notes 4,734 4,734 - Short term loans (iii) 937 631 306 Lease liability – current portion 140 140 - Total current liabilities 13,759 13,453 306 Non-current liabilities Lease liability – non-current portion 2,603 2,603 - Relief and recovery fund payable (iii) 40 300 (260 ) Other payables (iii) 549 169 380 Lease inducement 148 148 - Total non-current liabilities 3,340 3,220 120 Equity (Deficiency) Share capital 102,498 102,498 - Contributed surplus 4,903 4,903 - Warrants 4,687 4,687 - Accumulated other comprehensive gain (iv) 5,550 13,344 (7,794 ) Deficit (iv) (119,760 ) (127,128 ) 7,368 Total Equity (Deficiency) (2,122 ) (1,696 ) (426 ) Total liabilities and equity (deficiency) $ 14,977 14,977 - |
Significant Accounting Polici_2
Significant Accounting Policies (Policies) | 12 Months Ended |
Sep. 30, 2023 | |
Basis of Measurement | These consolidated financial statements have been prepared primarily on the historical cost basis. Other measurement bases, where used, are described in the applicable notes. |
Basis of consolidation | i) Subsidiaries These consolidated financial statements include our direct and indirect subsidiaries, all of which are wholly-owned. Any subsidiaries that are formed or acquired during the year are consolidated from their respective dates of formation or acquisition. Inter-company transactions and balances are eliminated on consolidation. Subsidiaries are entities controlled by the Company. The financial statements of subsidiaries are included in the consolidated financial statements from the date that control commences until the date that control ceases. The accounting policies of subsidiaries have been changed when necessary to align them with the policies adopted by the Company. All subsidiaries have the same reporting dates as their parent Company. ii) Transactions eliminated on consolidation Intra-company balances and transactions, and any unrealized income and expenses arising from intra-company transactions, are eliminated in preparing the consolidated financial statements. iii) Business Combinations The Company uses the acquisition method to account for any business combinations. All identifiable assets and liabilities are recorded at fair value as of the acquisition date. Any goodwill that arises from business combinations is tested annually for impairment. Potential obligations for contingent consideration and other contingencies are also recorded at fair value as of the acquisition date. We record subsequent changes in the fair value of such potential obligations from the date of acquisition to the settlement date in our consolidated statement of operations. We expense integration costs (for the establishment of business processes, infrastructure and information systems for acquired operations) and acquisition-related consulting and transaction costs as incurred in our consolidated statement of operations. We use judgment to determine the estimates used to value identifiable assets and liabilities, and the fair value of potential obligations, if applicable, at the acquisition date. We may engage third parties to determine the fair value of certain inventory, property, plant and equipment and intangible assets. We use estimates to determine cash flow projections, including the period of expected future benefit, and future growth and discount rates, among other factors, to value intangible assets and contingent consideration. The fair value of acquired tangible assets are measured by applying the market, cost or replacement cost, or the income approach (using discounted cash flows and forecasts by management), as appropriate. |
Foreign currency | Each subsidiary of the Company maintains its accounting records in its functional currency. A Company’s functional currency is the currency of the principal economic environment in which it operates. i) Foreign currency transactions Transactions carried out in foreign currencies are translated using the exchange rate prevailing at the transaction date. Monetary assets and liabilities denominated in a foreign currency at the reporting date are translated at the exchange rate at that date. The foreign currency gain or loss on such monetary items is recognized as income or expense for the period. Non-monetary assets and liabilities denominated in a foreign currency are translated at the historical exchange rate prevailing at the transaction date. ii) Translation of financial statements of foreign operations The assets and liabilities of subsidiaries whose functional currency is not the U.S. dollar are translated into U.S. dollars at the exchange rate prevailing at the reporting date. The income and expenses of foreign operations whose functional currency is not the U.S. dollar are translated to U.S dollars at the exchange rate prevailing on the date of transaction. Foreign currency differences on translation are recognized in other comprehensive income in the cumulative translation account net of income tax. Foreign exchange gains or losses arising from a monetary item receivable from or payable to a foreign operation, the settlement of which is neither planned nor likely to occur in the foreseeable future and which in substance is considered to form part of the net investment in the foreign operation, are recognized in other comprehensive income in the cumulative translation adjustment. |
Financial instruments | Recognition Financial assets and financial liabilities are recognized in the Company’s consolidated statement of financial position when the Company becomes a party to the contractual provisions of the instrument. On initial recognition, all financial assets and financial liabilities are recorded at fair value, net of attributable transaction costs, except for financial assets and liabilities classified as at fair value through profit or loss (‘FVTPL’). The directly attributable transactions costs of financial assets and liabilities as at FVTPL are expensed in the period in which they are incurred. Subsequent measurement of financial assets and liabilities depends on the classification of such assets and liabilities. Classification and Measurement The Company determines the classification of its financial instruments at initial recognition. Financial assets and financial liabilities are classified according to the following measurement categories: · those to be measured subsequently at fair value either through profit or loss (“FVTPL”) or through other comprehensive income (“FVTOCI”); and, · those to be measured subsequently at amortized cost. The classification and measurement of financial assets after initial recognition at fair value depends on the business model for managing the financial asset and the contractual terms of the cash flows. Financial assets that are held within a business model whose objective is to collect the contractual cash flows, and that have contractual cash flows that are solely payments of principal and interest on the principal outstanding, are generally measured at amortized cost at each subsequent reporting period. All other financial assets are measured at their fair values at each subsequent reporting period, with any changes recorded through FVTPL or through FVTOCI (which designation is made as an irrevocable election at the time of recognition). After initial recognition at fair value, financial liabilities are classified and measured at either: · amortized cost; · FVTPL, if the Company has made an irrevocable election at the time of recognition, or when required (for items such as instruments held for trading or derivatives); or, The Company reclassifies financial assets when and only when its business model for managing those assets changes. Financial liabilities are not reclassified. The Company’s financial assets consist of cash and cash equivalents, trade and other receivables, which are classified and subsequently measured at amortized cost. The Company’s financial liabilities consist of trade and other payables, working capital facilities, promissory notes, short term loans, lease liability, Due to related parties, Relief and Recovery fund payable, and other payables, which are classified and measured at amortized cost using the effective interest method. Derivative warrant liability is classified and measured at fair value through profit and loss. Interest expense is reported in profit or loss. |
Cash equivalents | Cash equivalents include short-term investments with original maturities of three months or less. |
Inventories | Inventories are stated at the lower of cost and net realizable value. Cost of raw material is determined using the average cost method. Cost of semi-finished and finished goods are determined using the First in First out (FIFO) method. Cost includes all expenses directly attributable to the manufacturing process as well as appropriate portions of related production overheads. Net realizable value is the estimated selling price in the ordinary course of business less any applicable selling expenses. |
Property, plant and equipment | Recognition and measurement: Items of property, plant and equipment (other than land and buildings) are measured at cost less accumulated depreciation and accumulated impairment losses. Cost includes the cost of material and labor and other costs directly attributable to bringing the asset to a working condition for its intended use. When significant components of an item of property, plant and equipment have different useful lives, they are accounted for as separate items of property, plant and equipment. Gains and losses on disposal of an item of property, plant and equipment are determined by comparing the proceeds from disposal with the carrying amount of property, plant and equipment, and are recognized net within profit or loss. The Company capitalizes borrowing costs directly attributable to the acquisition, construction or production of qualifying property, plant and equipment as part of the cost of that asset, if applicable. Capitalized borrowing costs are amortized over the useful life of the related asset. During the year, the Company adopted the revaluation method of accounting for the newly acquired building and land. Land and building measured using the revaluation method is initially measured at cost and subsequently carried at its revalued amount, being the fair value at the date of the revaluation less any subsequent accumulated depreciation and any accumulated impairment losses. Revaluations are made on an annual basis to ensure that the carrying amount does not differ significantly from fair value. Where the carrying amount of an asset increases as a result of revaluation, the increase is recognized in other comprehensive income or loss and accumulated in equity in revaluation surplus, unless the increase reverses a previously recognized impairment recorded through net income, in which case that portion of the increase is recognized in net income. Where the carrying amount of an asset decreases, the decrease is recognized in other comprehensive income to the extent of any balance existing in revaluation surplus in respect of the asset, with the remainder of the decrease recognized in profit or loss. Material residual value estimates and estimates of useful life are updated as required, but at least annually. Gains or losses arising on the disposal of property, plant and equipment are determined as the difference between the disposal proceeds and the carrying amounts of the assets and are recognized in profit or loss within “other income” or “other expenses. Subsequent costs: The cost of replacing a part of an item of property, plant and equipment is recognized in the carrying amount of the item if it is probable that the future economic benefits embodied within the part will flow to the Company, and its cost can be measured reliably. The carrying amount of the replaced part is derecognized. Maintenance and repair costs are expensed as incurred, except where they serve to increase productivity or to prolong the useful life of an asset, in which case they are capitalized. Depreciation is provided on a straight-line basis over the estimated useful lives of the assets. The following useful lives are applied: Years Leasehold improvements 5 Production equipment 2-15 Office Furniture and Equipment 2-5 Building 20 Right of use assets Over the lease term Depreciation methods, useful lives and residual values are reviewed at each reporting date and adjusted prospectively, if appropriate. |
Leases | Where the Company has entered a lease, the Company has recognized a right-of-use asset representing its rights to use the underlying assets and a lease liability representing its obligation to make lease payments. The right-of-use asset, where it relates to an operating lease, has been presented net of accumulated depreciation and is disclosed in the Statement of Financial Position. The lease liability has been disclosed as a separate line item, allocated between current and non- current liabilities. The lease liability associated with all leases is measured at the present value of the expected lease payments at inception and discounted using the interest rate implicit in the lease. If the rate cannot be readily determined, the Company’s incremental borrowing rate is used to discount the lease liability. Judgement is required to determine the incremental borrowing rate. |
Intangible assets | The Company records intangible assets at fair value at the date of acquisition. An intangible asset is capitalized when the economic benefit associated with an asset is probable and when the cost can be measured reliably. Intangible assets are carried at cost less accumulated depreciation and impairment losses. Cost consists of expenditures directly attributable to the acquisition of the assets. Intangibles are amortized over a period of five years. |
Impairment | (i) Financial assets The Company recognizes an allowance for credit losses equal to lifetime credit losses for trade and other receivables. None of these assets include a financing component. Significant receivable balances are assessed for impairment individually based on information specific to the customer. The remaining receivables are grouped, where possible, based on shared credit risk characteristics, and assessed for impairment collectively. The allowance assessment incorporates past experience, current and expected future conditions. (ii) Non-financial assets The carrying amounts of the Company’s non-financial assets, other than inventories and deferred tax assets are reviewed at each reporting date to determine whether there is any indication of impairment. If any such indication exists, then the asset’s recoverable amount is estimated. For intangible assets that are not yet available for use, the recoverable amount is estimated each year at the same time. The recoverable amount of an asset or cash-generating unit (“CGU”) is the greater of its value in use and its fair value less costs of disposal. In assessing value in use, the estimated future cash flows are discounted to their present value using a discount rate that reflects current market assessments of the time value of money and the risks specific to the asset or CGU. Fair value less costs of disposal is the amount obtainable from the sale of an asset or CGU in an arm’s-length transaction between knowledgeable, willing parties, less the costs of disposal. Costs of disposal are incremental costs directly attributable to the disposal of an asset or CGU, excluding finance costs and income tax expense. For the purpose of impairment testing, assets are grouped together into the smallest group of assets that generates cash inflows from continuing use that are largely independent of the cash inflows of other assets or groups of assets. An impairment loss is recognized if the carrying amount of an asset or its CGU exceeds its estimated recoverable amount. Impairment losses are recognized in profit or loss. Impairment losses recognized in respect of CGUs are allocated to the carrying amounts of the assets in the unit (group of units). In respect of other assets, impairment losses recognized in prior periods are assessed at each reporting date for any indications that the loss has decreased or no longer exists. An impairment loss is reversed if there has been a change in the estimates used to determine the recoverable amount. An impairment loss is reversed only to the extent that the asset’s carrying amount does not exceed the carrying amount that would have been determined, net of depreciation or depreciation, if no impairment loss had been recognized. |
Provisions | Legal: Provisions are recognized for present legal or constructive obligations arising from past events when the amount can be reliably estimated and it is probable that an outflow of resources will be required to settle an obligation. Provisions are measured at the estimated expenditure required to settle the present obligation, based on the most reliable evidence available at the reporting date, including the risks and uncertainties associated with the present obligation. Where there are a number of similar obligations, the likelihood that an outflow will be required in settlement is determined by considering the class of obligations as a whole. Provisions are discounted to their present values, where the time value of money is material. At the end of each reporting period, the Company evaluates the appropriateness of the remaining balances. Adjustments to the recorded amounts may be required to reflect actual experience or to reflect the current best estimate. In the normal course of our operations, the Company may be subject to lawsuits, investigations and other claims, including environmental, labor, product, customer disputes and other matters. The ultimate outcome or actual cost of settlement may vary significantly from our original estimates. Material obligations that have not been recognized as provisions, as the outcome is not probable or the amount cannot be reliably estimated, are disclosed as contingent liabilities, unless the likelihood of outcome is remote. |
Share-based payments | The Company accounts for all share-based payments to employees and non-employees using the fair value based method of accounting. The Company measures the compensation cost of stock- based option awards to employees at the grant date using the Black-Scholes option pricing model to determine the fair value of the options. The share-based compensation cost of the options is recognized as stock-based compensation expense over the relevant vesting period of the stock options. Under the Company's stock option plan, all options granted under the plan have a maximum term of 10 years and have an exercise price per share of not less than the market value of the Company’s common shares on the date of grant. The Board of Directors has the discretion to accelerate the vesting of options or stock appreciation rights granted under the plan in accordance with applicable laws and the rules and policies of any stock exchange on which the Company’s common shares are listed. The Company has an option plan whereby options are granted to employees and consultants as part of our incentive plans. Stock options vest in installments over the vesting period. Stock options typically vest one third each year over 3 years or immediately as approved by the Board. The Company treats each installment as a separate grant in determining stock-based compensation expenses. The grant date fair value of options granted to employees is recognized as stock-based compensation expense, with a corresponding charge to contributed surplus, over the vesting period. The expense is adjusted to reflect the estimated number of options expected to vest at the end of the vesting period, adjusted for the estimated forfeitures during the period. Any cumulative adjustment prior to vesting is recognized in the current period. No adjustment is made to any expense recognized in the prior periods if share options ultimately exercised are different to that estimated on vesting. The fair value of options are measured using the Black-Scholes option pricing model. Measurement inputs include the price of our Common shares on the measurement date, exercise price of the option, expected volatility of our Common shares (based on weighted average historic volatility), weighted average expected life of the option (based on historical experience and general option holder behavior), expected dividends, estimated forfeitures and the risk-free interest rate. Upon exercise of options, the proceeds received net of any directly attributable transaction costs up to the nominal value of the shares issued are allocated to share capital with any excess being recorded in retained earnings or deficit. |
Income taxes | Tax expense recognized in profit or loss comprises the sum of deferred tax and current tax not recognized in other comprehensive income or directly in equity. Current income tax assets and/or liabilities comprise those obligations to, or claims from, fiscal authorities relating to the current or prior reporting periods, that are unpaid at the reporting date. Current tax is payable on taxable profit, which differs from profit or loss in the financial statements. Calculation of current tax is based on tax rates and tax laws that have been enacted or substantively enacted by the end of the reporting period. Deferred income taxes are calculated using the liability method on temporary differences between the carrying amounts of assets and liabilities and their tax bases. However, deferred tax is not provided on the initial recognition of goodwill or on the initial recognition of an asset or liability unless the related transaction is a business combination or affects tax or accounting profit. Deferred tax on temporary differences associated with investments in subsidiaries and joint ventures is not provided if reversal of these temporary differences can be controlled by the Group and it is probable that reversal will not occur in the foreseeable future. Deferred tax assets and liabilities are calculated, without discounting, at tax rates that are expected to apply to their respective period of realization, provided they are enacted or substantively enacted by the end of the reporting period. Deferred tax assets are recognized to the extent that it is probable that they will be able to be utilized against future taxable income, based on the Group’s forecast of future operating results which is adjusted for significant non-taxable income and expenses and specific limits to the use of any unused tax loss or credit. Deferred tax assets and liabilities are offset only when the Group has a right and intention to set off current tax assets and liabilities from the same taxation authority. Changes in deferred tax assets or liabilities are recognized as a component of tax income or expense in profit or loss, except where they relate to items that are recognized in other comprehensive income or directly in equity, in which case the related deferred tax is also recognized in other comprehensive income or equity, respectively. A valuation allowance is recorded against any deferred income tax asset if it is more likely than not that the asset will be realized. |
Revenue | Revenue arises from the sale of goods and the rendering of services. It is measured by reference to the fair value of consideration received or receivable, excluding sales taxes, rebates, and trade discounts. The Group often enters into sales transactions involving a range of the Group’s products and services, for example for the delivery of battery systems and related services. Sale of goods Sale of goods is recognized when the Group has transferred to the buyer the significant risks and rewards of ownership, generally when the customer has taken undisputed delivery of the goods. For contracts that permit the customer to return an item, revenue is recognized to the extent that it is highly probable that a significant reversal in the amount of cumulative revenue recognized will not occur. Therefore, the amount of revenue recognized is adjusted for expected returns, which are estimated based on the historical data for specific types of products. advance payments by customers. Any advance receipts from customers are included in contract liabilities until the revenue recognition criteria is met. Government Grants Government grants are recognized when there is reasonable assurance that the Company has met the requirements of the approved grant program and there is reasonable assurance that the grant will be received. Government grants that compensate for expenses already incurred are recognized in income on a systematic basis in the same year in which the expenses are incurred. Government grants for immediate financial support, with no future related costs, are recognized in income when receivable. Government grants that compensate the Company for the cost of an asset are recognized on a systematic basis over the useful life of the asset. Government grants consisting of investment tax credits are recorded as a reduction of the related expense or cost of the asset acquired. If a government grant becomes repayable, the repayment is treated as a change in estimate. Where the original grant related to income, the repayment is applied first against any related deferred government grant balance, and any excess as an expense. Where the original grant related to an asset, the repayment is treated as an increase to the carrying amount of the asset or as a reduction to the deferred government grant balance. |
Research and development | Expenditure on research is recognized as an expense in the period in which it is incurred. Costs that are directly attributable to the development phase are recognized as intangible assets provided, they meet the following recognition requirements: · completion of the intangible asset is technically feasible so that it will be available for use or sale. · the Group intends to complete the intangible asset and use or sell it. · the Group has the ability to use or sell the intangible asset. · the intangible asset will generate probable future economic benefits. Among other things, this requires that there is a market for the output from the intangible asset or for the intangible asset itself, or, if it is to be used internally, the asset will be used in generating such benefits. · there are adequate technical, financial and other resources to complete the development and to use or sell the intangible asset. · the expenditure attributable to the intangible asset during its development can be measured reliably. Development costs not meeting these criteria for capitalization are expensed in profit or loss as incurred. |
Finance income and finance expense | Interest income is reported on an accrual basis using the effective interest method. Finance costs are comprised of interest expense on promissory notes, short term loans and working capital facilities. Borrowing costs that are not directly attributable to the acquisition, construction or production of a qualifying asset are recognized in profit or loss using the effective interest method. Foreign currency gains and losses are reported on a net basis. |
Earnings per share (EPS) | The Company presents basic and diluted earnings per share (“EPS”) data for its common shares. Basic EPS is calculated by dividing the profit or loss attributable to common shareholders of the Company by the weighted average number of common shares outstanding during the period. Diluted EPS is determined by adjusting the profit or loss attributable to common shareholders and the weighted average number of common shares outstanding, adjusted for own shares held, for the effects of all dilutive potential common shares, which comprise share options granted to employees. In a period of losses, the dilutive instruments comprising warrants and stock options are excluded for the determination of dilutive net loss per share because their effect is anti-dilutive. |
Segment reporting | An operating segment is a component of the Company that engages in business activities from which it may earn revenues and incur expenses, including revenues and expenses that relate to transactions with any of the Company’s other components. All operating segments’ operating results are regularly reviewed by the Company’s chief operating decision maker to make decisions about resources to be allocated to the segment and assess its performance, and for which discrete financial information is available. |
Basis of Presentation (Tables)
Basis of Presentation (Tables) | 12 Months Ended |
Sep. 30, 2023 | |
Schedule Of Property, Plant and Equipment Usefule Lives | Years Leasehold improvements 5 Production equipment 2-15 Office Furniture and Equipment 2-5 Building 20 Right of use assets Over the lease term |
Trade and Other Receivables (Ta
Trade and Other Receivables (Tables) | 12 Months Ended |
Sep. 30, 2023 | |
Trade and Other Receivables | September 30, September 30, 2023 2022 Trade receivables, gross $ 9,404 $ 2,916 Allowance for expected credit losses (257 ) (54 ) Trade receivables 9,147 2,862 Other receivables 1,464 51 Trade and other receivables $ 10,611 $ 2,913 |
accounts receivable | Current 31 – 60 days 61 – 90 days 91 – 120 days Over 120 days Total 74.8 % 20.0 % 0.6 % 2.9 % 1.7 % 100 % $ 7,034 $ 1,881 $ 56 $ 273 $ 160 9,404 |
allowance for credit losses | September 30 September 30, 2023 2022 Beginning balance $ 54 $ - Allowance provided 203 54 Ending balance $ 257 $ 54 |
Inventories (Tables)
Inventories (Tables) | 12 Months Ended |
Sep. 30, 2023 | |
schedule Of Inventories | September 30, September 30, 2023 2022 Raw materials $ 6,553 $ 4,184 Semi-finished 165 755 Finished goods 1,548 2,416 $ 8,266 $ 7,355 |
Revaluation of land and build_2
Revaluation of land and building (Tables) | 12 Months Ended |
Sep. 30, 2023 | |
Revaluation of land and building | |
schedule Of revaluation of Land And Building | High Low Market Rent ($ sq ft) $ 7.10 $ 3.14 Capitalization Rate 13.7 % 9.5 % Sales ($ sq ft) $ 56.87 $ 35.41 |
Prepaid expenses (Tables)
Prepaid expenses (Tables) | 12 Months Ended |
Sep. 30, 2023 | |
Prepaid expenses | |
schedule Of Prepaid expenses | September 30, September 30, 2023 2022 Prepaid expenses $ 5,997 $ 3,894 $ 5,997 $ 3,894 |
Property Plant and Equipment (T
Property Plant and Equipment (Tables) | 12 Months Ended |
Sep. 30, 2023 | |
Schedule Of Property, Plant and Equipment | Property, plant and equipment Land & Building Right of Use Asset Leasehold Improvement Production Equipment Office Furniture and Equipment Total Gross carrying amount Balance October 1, 2021 - $ 2,802 $ 42 $ 1,304 $ 60 $ 4,208 Additions (restated, see note 27) 5,105 - - 48 1 5,154 Exchange differences - (220 ) (3 ) (112 ) (5 ) (340 ) Balance September 30, 2022 5,105 2,582 39 1,240 56 9,022 Depreciation and impairment Balance October 1, 2021 - (490 ) (13 ) (775 ) (60 ) (1,338 ) Additions (104 ) (258 ) (8 ) (105 ) - (475 ) Exchange differences - 38 1 60 5 104 Balance September 30, 2022 (104 ) (710 ) (20 ) (820 ) (55 ) (1,709 ) Net Book Value – September 30,2022 $ 5,001 $ 1,872 $ 19 $ 420 $ 1 $ 7,313 Property, plant and equipment Land & Building Right of Use Asset Leasehold Improvement Production Equipment Office Furniture and Equipment Total Gross carrying amount Balance October 1, 2022 5,105 $ 2,582 $ 39 $ 1,240 $ 56 $ 9,022 Additions 2,595 573 37 452 16 3,673 Exchange differences - 42 - 20 1 63 Balance September 30, 2023 7,700 3,197 76 1,712 73 12,758 Depreciation and impairment Balance October 1, 2022 (104 ) (710 ) (20 ) (819 ) (55 ) (1,708 ) Additions (315 ) (406 ) (12 ) (138 ) (4 ) (875 ) Exchange differences - (11 ) (1 ) (13 ) (1 ) (26 ) Balance September 30, 2023 (419 ) (1,127 ) (33 ) (970 ) (60 ) (2,609 ) Net Book Value – September 30,2023 7,281 $ 2,070 $ 43 $ 742 $ 13 $ 10,149 |
Trade and Other Payables (Table
Trade and Other Payables (Tables) | 12 Months Ended |
Sep. 30, 2023 | |
schedule Of Trade and Other Payables | September 30 2023 September 30, 2022 Trade Payables $ 6,046 $ 3,133 Accruals 1,197 545 Other Payables 1,186 1,036 $ 8,429 $ 4,714 |
Working Capital Facilities (Tab
Working Capital Facilities (Tables) | 12 Months Ended |
Sep. 30, 2023 | |
Working Capital Facilities | |
schedule Of Revolving Credit Facility | September 30 September 30 2023 2022 Opening balance $ 11,635 $ 3,277 Exchange difference 186 (207 ) Payments made during the year (34,184 ) (11,435 ) Finance cost paid (1,543 ) (1,522 ) Cash drawn during the year 35,727 21,522 Closing balance $ 11,821 $ 11,635 |
schedule Of finance cost and credited | September 30, September 30, 2023 2022 Promissory Note(i) opening balance $ 4,363 $ 4,363 Finance cost 126 Repayment of Promissory Note (i) (4,489 ) - Promissory Note (ii) issued 1,050 - Repayment of Promissory Note (ii) (24 ) - $ 1,026 $ 4,363 |
Promissory note and Other Loa_2
Promissory note and Other Loans (Tables) | 12 Months Ended |
Sep. 30, 2023 | |
Promissory note and Other Loans | |
Schedule Of Short term loans | September 30, 2023 September 30, 2022 Short term loans $ - $ 582 Vendor Take Back $ 3,457 $ 673 3,457 1,255 |
Schedule Of Short term VTB continuity | Opening Balance as at May 22, 2022 (ST: $419. LT:$3,826) $ 4,245 Repaid in year (150 ) Interest accretion 35 Closing balance as at September 30, 2022 (ST: $673. LT: $3,457) 4,130 Repaid in the year (750 ) Interest accretion 77 Closing balance as at September 30, 2023 (ST:$3,457. LT:$nil) 3,457 |
Schedule Of cash and non-cash finance costs | Cash Non- Cash Total Working capital facility 1,543 - 1,511 Issued to lender (note 16a (vii,viii,ix) - 118 118 Promissory notes 47 - 47 Settlement fee on promissory note 126 126 Interest on VTB loan (note 14) 77 77 Lease interest (note 15) 380 - 380 Equity issuance costs 84 - 84 Warrant issuance costs 134 - 134 Changes in FV of derivative warrants - (361 ) (361 ) Accretion on promissory note (note 12b) - 32 - Accretion on Government Loans - 294 294 $ 2,391 $ 83 $ 2,474 |
Schedule Ofcomparative of Loans | Cash Non- Cash Total Working capital facility 1,522 - 1,522 Issued to lender - 621 621 Promissory notes 109 - 109 Interest on VTB loan (note 14) 35 35 Lease interest (note 15) 365 - 365 Equity issuance costs 71 - 71 Warrant issuance costs - 38 38 Other bank interest 12 - 12 Accretion on Government Loans - 260 260 $ 2,114 $ 919 $ 3,033 |
Lease liability (Tables)
Lease liability (Tables) | 12 Months Ended |
Sep. 30, 2023 | |
Lease liability | |
Schedule Of Lease liability | September 30, September 30, 2023 2022 Current $ 389 $ 164 Non-current $ 2,338 $ 2,235 Carrying amount – lease liability $ 2,727 $ 2,399 |
Schedule Of Lease | September 30, September 30, 2023 2022 Interest on lease liabilities $ 380 $ 365 Incremental borrowing rate at time of transition 14.00 % 14.00 % Total cash outflow for the lease $ 707 $ 744 |
Schedule Of minimum lease payments | Year Amount 2024 $ 929 2025 $ 950 2026 $ 789 2027 $ 745 2028 $ 762 2029 and beyond $ 975 |
Share Capital (Tables)
Share Capital (Tables) | 12 Months Ended |
Sep. 30, 2023 | |
Share Capital | |
Schedule Of Authorized and issued capital stock | Common Shares Number Amount Balance, September 30, 2021 29,188,182 $ 102,498 Issuance of shares (i) 61,224 234 Exercise of options (note 16(b)) 13,000 29 Exercise of options - 25 Issuance of shares (ii) 98,765 320 Issuance of shares (iii) 46,155 115 Issuance of shares (iv) 16,949 40 Exercise of options (note 16(b)) 1,333 3 Transfer from contributed surplus - 2 Issuance of shares (v) 11,764 39 Balance, September 30, 2022 29,437,372 $ 103,305 Issuance of shares (vi) 3,508,680 7,167 Exercise of options (note (16(b)) 6,800 8 Issuance of shares (vii) 14,414 59 Transfer from contributed surplus - 5 Exercise of options (note (16(b)) 5,200 13 Transfer from contributed surplus - 11 Issuance of shares note (viii) 8,376 30 Issuance of shares note (ix) 10,443 30 Exercise of warrants (note 16(c)) 841,499 3,004 Transfer from derivative liability - 1,409 Balance, September 30, 2023 33,832,784 115,041 |
Schedule Of Stock Options | Number outstanding Weighted average exercise price Outstanding, September 30, 2021 3,454,254 $ 2.25 Granted 20,000 $ 4.50 Expired (11,000 ) $ 0.63 Exercised (note 15(a)) (13,000 ) $ 2.20 Granted 300,000 $ 2.20 Exercised (note 15(a)) (1,333 ) $ 2.55 Expired (21,333 ) $ 3.15 Outstanding, September 30, 2022 3,727,588 $ 2.30 Exercised (note 15(a)) (6,800 ) $ 1.05 Exercised (note 15(a)) (5,200 ) $ 2.55 Expired (3,200 ) $ 2.60 Granted 1,060,000 $ 4.04 Cancelled or expired (58,000 ) $ 4.04 Outstanding, September 30, 2023 4,714,388 $ 2.44 Exercise price Number Outstanding Weighted average remaining life (years) Number exercisable Weighted average exercise price $ 2.66 $ (Cdn 3.60 ) 256,400 0.39 256,400 $ 2.66 $ 3.84 $ (Cdn 5.20 ) 3,000 0.44 3,000 $ 3.84 $ 3.77 $ (Cdn 5.10 ) 8,200 0.64 8,200 $ 3.77 $ 2.40 $ (Cdn 3.25 ) 35,499 1.39 35,499 $ 2.40 $ 3.36 $ (Cdn 4.55 ) 12,000 1.64 12,000 $ 3.36 $ 2.55 $ (Cdn 3.45 ) 42,900 2.00 42,900 $ 2.55 $ 2.92 $ (Cdn 3.95 ) 9,600 2.37 9,600 $ 2.92 $ 7.87 $ (Cdn 10.65 ) 101,121 3.25 101,121 $ 7.87 $ 4.51 $ (Cdn 6.10 ) 10,667 3.84 10,667 $ 4.51 $ 1.03 $ (Cdn 1.40 ) 120,066 4.40 120,066 $ 1.03 $ 1.11 $ (Cdn 1.50 ) 1,024,000 5.84 1,024,000 $ 1.11 $ 2.44 $ (Cdn 3.30 ) 274,268 6.95 274,268 $ 2.44 $ 3.69 $ (Cdn 5.00 ) 1,494,667 7.96 671,337 $ 3.69 $ 4.25 $ (Cdn 5.75 ) 20,000 8.17 20,000 $ 4.25 $ 2.11 $ (Cdn2.85 ) 150,000 8.73 123,333 $ 2.11 $ 2.11 $ (Cdn 2.85 ) 150,000 8.73 50,000 $ 2.11 $ 3.95 $ (Cdn 5.35 ) 1,002,000 9.53 41,000 $ 3.95 4,714,388 7.06 2,803,391 $ 2.44 |
Schedule Of stock-based compensation costs | Grant date April 10, 2023 No of options 1,060,000 Share price $ 3.85 Exercise price $ 4.04 Average expected life in years 10 Volatility 79.30 % Risk-free weighted interest rate 2.92 % Dividend yield - Fair-value of options granted $ 4,282 Grant date November 29, 2021 No of options 20,000 Share price $ 3.75 Exercise price $ 4.20 Average expected life in years 10 Volatility 89.38 % Risk-free weighted interest rate 1.54 % Dividend yield - Fair-value of options granted $ 84 Grant date June 20, 2022 No of options 300,000 Share price $ 2.20 Exercise price $ 2.05 Average expected life in years 10 Volatility 81.04 % Risk-free weighted interest rate 2.72 % Dividend yield - Fair-value of options granted $ 615 |
Schedule Of Warrants | Details of Share Warrants Number Exercise Outstanding Price Outstanding, September 30, 2021 and September 30, 2022 2,035,015 $ 2.30 Expired during the year (80,869 ) $ 5.80 Expired during the year (242,222 ) $ 6.45 Outstanding, September 30, 2023 1,711,924 $ 2.38 |
Schedule Of Warrant continuity | Units Fair Value Opening valuation as at Nov 9, 2022 1,754,340 $ 3,259 Warrants exercised as at July 28, 2023 (841,499 ) (1,409 ) Fair value adjustment (361 ) Closing balance 912,841 $ 1,489 |
Schedule Of Details of Compensation options | Details of Compensation options Number Outstanding Exercise Price Outstanding, September 30, 2021 and September 30, 2022 46,588 $ 5.90 Expired during the year (29,066 ) $ 6.45 Outstanding, March 31, 2023, June 30, 2023 and September 30, 2023. 17,522 $ 4.95 |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 12 Months Ended |
Sep. 30, 2023 | |
Schedule of related party transactions Management compensation | 2023 2022 Salaries, bonus and other benefits 764 310 Share based compensation 1,089 2,757 1,853 3,067 |
Schedule of related party transactions Personal Guarantees | September 30, 2023 September 30, 2022 USD CDN USD CDN Shareholder guaranteed loan (Dec. 2017) $ - $ - $ 364 $ 500 Shareholder guaranteed loan (June 2019) - - 218 $ 300 $ - $ - $ 582 $ 800 |
Schedule of accrued interest | September 30, September 30, 2023 2022 Promissory Note (note 11(b)) $ 1,026 (i) $ 4,363 (ii) |
Change in Non-Cash Operating _2
Change in Non-Cash Operating Working Capital (Tables) | 12 Months Ended |
Sep. 30, 2023 | |
Change in Non-Cash Operating Working Capital | |
Schedule Of Change in Non-Cash Operating Working Capital | September 30 2023 2022 Trade and other receivables $ (7,845 ) $ (1,626 ) Inventories (724 ) (2,788 ) Prepaid expenses and other (2,103 ) (2,075 ) Trade and other payables 3,054 43 Other payable (123 ) 73 $ (7,741 ) $ (6,373 ) |
Financial Instruments (Tables)
Financial Instruments (Tables) | 12 Months Ended |
Sep. 30, 2023 | |
Schedule Of Warrant Fair Value | Fair Value Level 1 Level 2 Level 3 Warrants $ 1,489 - $ 1,489 - |
Schedule Of financial liabilities | 2024 2025 2026 2027 2028 & beyond Total Trade and other payables 8,429 - - - - 8,429 Lease liability 929 950 789 745 1,737 5,150 Promissory notes 3,500 - - - - 3,500 Short term loans 1,026 - - - - 1,026 Working capital facility 11,821 - - - - 11,821 Other payable 1,365 490 215 56 38 2,164 27,070 1,440 1,004 801 1,775 32,090 |
Segment and Customer Reporting
Segment and Customer Reporting (Tables) | 12 Months Ended |
Sep. 30, 2023 | |
Segment and Customer Reporting | |
Schedule Of segment performance | 2023 2022 Large format batteries $ 42,168 $ 15,190 Other 1,891 1,080 $ 44,059 $ 16,270 |
Schedule Of Revenues | 2023 2022 Revenue with customers Sale of batteries and battery systems $ 42,168 $ 15,190 Sale of services 216 142 Grant income Research grant 693 650 Others 982 288 $ 44,059 $ 16,270 |
Schedule Of Revenues In geographical | 2023 2022 Canada $ 1,258 $ 1,927 United States 42,351 14,313 Others 450 30 $ 44,059 $ 16,270 |
Other payables (Tables)
Other payables (Tables) | 12 Months Ended |
Sep. 30, 2023 | |
Other payables (Tables) | |
Schedule Of Other payables | September 30, 2023 2022 Opening balance 798 508 Interest accretion 294 290 Miscellaneous (108 ) - Ending balance 984 798 Less: current portion of the provision (661 ) (358 ) Ending balance of long-term portion $ 323 $ 440 |
Schedule Of latest repayment | 2024 1,309 2025 434 2026 159 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Sep. 30, 2023 | |
Schedule of Income Tax | September 30, 2023 2022 Income (Loss) before income taxes $ (1,479 ) $ (9,211 ) Expected recovery of income taxes based on (392 ) (2,441 ) statutory rates Reduction in income tax recovery resulting from: Lower rate on manufacturing profits (9 ) 66 Non-taxable portion of capital gain - - Other permanent differences 206 654 Deferred tax benefit not recognized (484 ) 1,721 Income tax recovery $ (679 ) $ - |
Schedule of components of deferred tax | Opening, October 1, Recognized Recognized Closing, September 2022 in P&L in OCI 30,2023 Deferred Tax Assets: Canadian non-capital loss carry forwards 47 555 - 602 US net operating losses - 408 - 408 Deferred tax assets recognized 47 963 - 1,010 Deferred Tax Liabilities Unrealized foreign exchange - (11 ) - (11 ) Property, plant and equipment (47 ) (273 ) (679 ) (999 ) (47 ) (284 ) (679 ) (1,010 ) Net Deferred tax asset (liability) - 679 (679 ) - Opening, October 1, Recognized Recognized Closing, September 2021 in P&L in OCI 30,2022 Deferred Tax Assets: Canadian non-capital loss carry forwards - 47 - 47 US net operating losses - - Deferred tax assets recognized - 47 - 47 Deferred Tax Liabilities Property, plant and equipment - (47 ) - (47 ) Net Deferred tax asset (liability) - (47 ) - (47 ) - - - - |
Schedule Of operating deferred tax assets | September 30, 2023 September 30, 2022 Canadian non-capital loss carry forwards 44,061 52,264 US net operating losses 4,306 3,939 Property, plant and equipment - 27 Lease liabilities 2,727 - Unclaimed research and development expenses 15,824 15,571 Non-refundable research and development credits 19,489 - Other 1,343 61 87,750 71,862 |
Schedule of Unrecognized losses | Year of expiry Canada USA 2024 - - 2025 - 1,422 2026 11,394 192 2027 3,398 678 2028 3,844 49 2029 - 356 2030 311 665 2031 - 944 2032 633 - 2033 994 - 2034 - - 2035 2,196 - 2036 1,631 - 2037 2,175 - 2038 6,100 - 2039 2,190 - 2040 548 - 2041 5,097 - 2042 3,550 - 2043 - - Infinite - - 44,061 4,306 |
Restatement of financial resu_2
Restatement of financial results (Tables) | 12 Months Ended |
Sep. 30, 2023 | |
Restatement of financial results | |
Schedule Of Statemen to Financial Position | As at September 30, 2022 As Restated As Previously Reported Restatement Assets Current assets Cash and cash equivalents $ 626 $ 626 $ - Trade and other receivables (ii) 2,913 6,309 (3,396 ) Inventories (ii) 7,355 4,477 2,878 Prepaid expenses and other 3,894 3,895 (1 ) Due from related party (i) - 374 (374 ) Total current assets 14,788 15,681 (893 ) Non current assets Property, plant and equipment (i) 7,313 2,312 5,001 Long-term deposit 88 88 - Total non-current assets 7,401 2,400 5,001 Total assets $ 22,189 $ 18,081 4,108 Liabilities and Equity Current liabilities Trade and other payables (iv) $ 4,714 $ 4,627 87 Working capital facilities 11,635 11,635 - Promissory notes 4,363 4,363 - Short term loans (iii) 1,255 582 673 Lease liability – current portion 164 164 - Due to related party (i) 531 - 531 Total current liabilities 22,662 21,371 1,291 Non-current liabilities Lease liability – non-current portion 2,235 2,235 - Relief and recovery fund payable (iii) 102 249 (147 ) Other payables (iii) 440 145 295 Promissory Note (i) 3,457 - 3,457 Total non-current liabilities 6,234 2,629 3,605 Equity (Deficiency) Share capital 103,305 103,305 - Contributed surplus (v) 8,099 6,235 1,864 Warrants 4,725 4,725 - Accumulated other comprehensive gain 6,135 13,491 (7,356 ) Deficit (128,971 ) (133,675 ) 4,704 Total Equity (Deficiency) (6,707 ) (5,919 ) (788 ) Total liabilities and equity (deficiency) $ 22,189 $ 18,081 4,108 |
Schedule Of Statement of Earnings | Year Ended September 30, 2022 As Restated As Previously Reported Restatement Revenue (ii) $ 16,270 $ 19,823 $ (3,553 ) Direct manufacturing costs (ii) 12,396 14,847 (2,451 ) Gross margin 3,874 4,976 (1,102 ) Expenses Research and development (iii) 3,434 3,899 (465 ) Government assistance (210 ) (210 ) - Sales and marketing 1,147 1,147 - General and administrative (i) 3,046 2,776 270 Stock based compensation (v) 3,223 1,358 1,865 Depreciation (i) 503 399 104 11,143 9,369 1,774 Income(loss) from operations (7,269 ) (4,393 ) (2,876 ) Finance costs (iii) 3,033 2,700 333 Foreign exchange gain(loss) and interest income (iv) 1,091 546 545 Net income(loss) for the period (9,211 ) (6,547 ) (2,664 ) Basic income(loss) per share $ (0.31 ) $ (0.22 ) - Weighted average number of shares Outstanding, basic and fully diluted 29,344,623 29,344,622 - |
Schedule Of Statement of Cash Flows | Year Ended September 30, 2022 As Restated As Previously Reported Restatement Net loss for the period (ii) $ (9,211 ) $ (6,547 ) (2,664 ) Items not involving cash: Depreciation and depreciation (i) 503 399 104 Stock based compensation expense (v) 3,223 1,358 1,865 Interest and financing costs (iii) 3,033 2,700 333 Cash and cash equivalents provided by (used in) operating activities (2,452 ) (2,090 ) (362 ) Net changes in working capital (iii) (6,373 ) (7,567 ) 1,194 Cash and cash equivalents used in operating activities (8,825 ) (9,657 ) 832 Investing activities Purchase of property, plant and equipment (i) (203 ) (49 ) (154 ) Change in long term deposits (9 ) (17 ) 8 Cash and cash equivalents (used in) investing activities (212 ) (66 ) (146 ) Financing activities Issue of shares 780 780 - Exercise of options 27 - 27 Proceeds from loans (vi) 21,522 9,245 12,277 Repayment of loans (vi) (11,435 ) (11,435 ) Repayment of loans (i) (150 ) - (150 ) Change in due to related parties (i) - (374 ) 374 Changes in other payables - 12 (12 ) Lease payments (744 ) - (744 ) Interest and financing costs (2,114 ) (2,662 ) 548 Cash and cash equivalents from (used in) financing activities 7,886 7,001 885 Increase (Decrease) in cash and cash equivalents (1,151 ) (2,722 ) (1,571 ) Exchange difference (2,425 ) (854 ) 1,571 Cash and cash equivalents, beginning of period 4,202 4,202 - Cash and cash equivalents, end of period 626 626 - |
Schedule Of Statement of Comprehensive Income (Loss) | As Restated As Previously Reported Restatement Net Loss for the year $ (9,211 ) $ (6,547 ) $ (2,664 ) Currency translation difference 585 147 438 Total comprehensive loss for the year (8,626 ) (6,400 ) (2,226 |
Schedule Of Opening balances | Opening Balances as at October 1, 2021 As Restated As Previously Reported Restatement Assets Current assets Cash and cash equivalents $ 4,202 $ 4,202 $ - Trade and other receivables 1,341 1,341 - Inventories 4,666 4,666 - Prepaid expenses and other 1,819 1,819 - Due from related party - - - Total current assets 12,028 12,028 - Non current assets Property, plant and equipment 2,870 2,870 - Long-term deposit 79 79 - Total non-current assets 2,949 2,949 - Total assets $ 14,977 $ 14,977 - Liabilities and Equity Current liabilities Trade and other payables $ 4,671 $ 4,671 - Working capital facilities 3,277 3,277 - Promissory notes 4,734 4,734 - Short term loans (iii) 937 631 306 Lease liability – current portion 140 140 - Total current liabilities 13,759 13,453 306 Non-current liabilities Lease liability – non-current portion 2,603 2,603 - Relief and recovery fund payable (iii) 40 300 (260 ) Other payables (iii) 549 169 380 Lease inducement 148 148 - Total non-current liabilities 3,340 3,220 120 Equity (Deficiency) Share capital 102,498 102,498 - Contributed surplus 4,903 4,903 - Warrants 4,687 4,687 - Accumulated other comprehensive gain (iv) 5,550 13,344 (7,794 ) Deficit (iv) (119,760 ) (127,128 ) 7,368 Total Equity (Deficiency) (2,122 ) (1,696 ) (426 ) Total liabilities and equity (deficiency) $ 14,977 14,977 - |
Basis of Presentation (Details
Basis of Presentation (Details Narrative) - USD ($) $ in Millions | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Company generated negative cash from operations | $ 4.8 | $ 8.8 |
Cash and cash equivalents | 1 | 0.6 |
Working capital | 7.7 | 6.4 |
Net loss | 1.4 | 9.2 |
Equity was a surplus | 7.1 | $ 6.7 |
Estimated capital expenditure | $ 38 |
Significant Accounting Polici_3
Significant Accounting Policies (Details) | 12 Months Ended |
Sep. 30, 2023 | |
Bottom of range [member] | Productions Equipment [Member] | |
Statement [Line Items] | |
Estimated useful lives | 2 years |
Bottom of range [member] | Office Furniture and Equipments [Member] | |
Statement [Line Items] | |
Estimated useful lives | 5 years |
Top of range [member] | Offices Furniture and Equipment [Member] | |
Statement [Line Items] | |
Estimated useful lives | 2 years |
Top of range [member] | Productions Equipments [Member] | |
Statement [Line Items] | |
Estimated useful lives | 15 years |
Leasehold Improvements [Member] | |
Statement [Line Items] | |
Estimated useful lives | 5 years |
Buildings [member] | |
Statement [Line Items] | |
Estimated useful lives | 20 years |
Trade and Other Receivables (De
Trade and Other Receivables (Details) - USD ($) | Sep. 30, 2023 | Sep. 30, 2022 |
Trade receivables, gross | $ 9,404 | $ 2,916 |
Allowance for expected credit losses | 257 | 54 |
Trade receivables | 9,147 | 2,862 |
Other receivables | 1,464 | 51 |
Trade and other receivables | $ 10,611 | $ 2,913 |
Trade and Other Receivables (_2
Trade and Other Receivables (Details 1) | 12 Months Ended |
Sep. 30, 2023 USD ($) | |
Statement [Line Items] | |
Accounts receivable in percentage | 100% |
Accounts receivable | $ 9,404 |
Current | |
Statement [Line Items] | |
Accounts receivable in percentage | 74.80% |
Accounts receivable | $ 7,034 |
31 to 60 days | |
Statement [Line Items] | |
Accounts receivable in percentage | 20% |
Accounts receivable | $ 1,881 |
61 to 90 days | |
Statement [Line Items] | |
Accounts receivable in percentage | 0.60% |
Accounts receivable | $ 56 |
91 to 120 days | |
Statement [Line Items] | |
Accounts receivable in percentage | 2.90% |
Accounts receivable | $ 273 |
Over 120 days | |
Statement [Line Items] | |
Accounts receivable in percentage | 1.70% |
Accounts receivable | $ 160 |
Trade and Other Receivables (_3
Trade and Other Receivables (Details 2) - USD ($) | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Allowance for credit losses Beginning balance | $ 54 | $ 0 |
Allowance provided | 203 | 54 |
Allowance for credit losses Ending balance | $ 257 | $ 54 |
Trade and Other Receivables (_4
Trade and Other Receivables (Details Narrative) | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Accounts receivable Percentage | 7.18% | 2.08% |
Inventories (Details)
Inventories (Details) - USD ($) | Sep. 30, 2023 | Sep. 30, 2022 |
Raw materials | $ 6,553 | $ 4,184 |
Finished goods | 1,548 | 2,416 |
Total Inventories | 8,266,000 | 7,355,000 |
Semi-finished | $ 165 | $ 755 |
Inventories (Details Narrative)
Inventories (Details Narrative) | 12 Months Ended |
Sep. 30, 2022 USD ($) | |
Inventories | $ 187 |
Revaluation of land and build_3
Revaluation of land and building (Details) | 12 Months Ended |
Sep. 30, 2023 USD ($) | |
Statement [Line Items] | |
Capitalization Rate | 1% |
Top of ranges [member] | |
Statement [Line Items] | |
Market Rent | $ 7,100 |
Capitalization Rate | 13.70% |
Sales | $ 56,870 |
Bottom of ranges [member] | |
Statement [Line Items] | |
Market Rent | $ 3,140 |
Capitalization Rate | 9.50% |
Sales | $ 35,410 |
Revaluation of land and build_4
Revaluation of land and building (Details Narrative) | 12 Months Ended |
Sep. 30, 2023 USD ($) | |
Revaluation of land and building | |
Revaluation surplus | $ 2,600 |
Less tax | 679 |
Change in the value of the land and building | $ 800 |
Capitalization Rate | 1% |
Prepaid expenses (Details)
Prepaid expenses (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Sep. 30, 2022 |
Prepaid expenses | ||
Prepaid expenses | $ 5,997 | $ 3,894 |
Total Prepad expenses | $ 5,997 | $ 3,894 |
Property, plant and equipment (
Property, plant and equipment (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Statement [Line Items] | ||
Balance at beginning | $ 9,022 | $ 4,208 |
Additions during the year | 3,673 | 5,154 |
Exchange differences | 63 | (340) |
Balance at ending | 12,758 | 9,022 |
Depreciation and impairment Balance at beginning | (1,708) | (1,338) |
Depreciation and impairment Additions | (875) | (475) |
Depreciation and impairment Exchange differences | (26) | 104 |
Depreciation and impairment Balance at ending | (2,609) | (1,709) |
Net Book Value | 10,149 | 7,313 |
Leasehold Improvements [Member] | ||
Statement [Line Items] | ||
Balance at beginning | 39 | 42 |
Additions during the year | 37 | 0 |
Exchange differences | 0 | (3) |
Balance at ending | 76 | 39 |
Depreciation and impairment Balance at beginning | (20) | (13) |
Depreciation and impairment Additions | (12) | (8) |
Depreciation and impairment Exchange differences | (1) | 1 |
Depreciation and impairment Balance at ending | (33) | (20) |
Net Book Value | 43 | 19 |
Production Equipment [Member] | ||
Statement [Line Items] | ||
Balance at beginning | 1,240 | 1,304 |
Additions during the year | 452 | 48 |
Exchange differences | 20 | (112) |
Balance at ending | 1,712 | 1,240 |
Depreciation and impairment Balance at beginning | (819) | (775) |
Depreciation and impairment Additions | (138) | (105) |
Depreciation and impairment Exchange differences | (13) | 60 |
Depreciation and impairment Balance at ending | (970) | (820) |
Net Book Value | 742 | 420 |
Office Furniture and Equipment [Member] | ||
Statement [Line Items] | ||
Balance at beginning | 56 | 60 |
Additions during the year | 16 | 1 |
Exchange differences | 1 | (5) |
Balance at ending | 73 | 56 |
Depreciation and impairment Balance at beginning | (55) | (60) |
Depreciation and impairment Additions | (4) | |
Depreciation and impairment Exchange differences | (1) | 5 |
Depreciation and impairment Balance at ending | (60) | (55) |
Net Book Value | 13 | 1 |
Right-of-use assets [member] | ||
Statement [Line Items] | ||
Balance at beginning | 2,582 | 2,802 |
Additions during the year | 573 | 0 |
Exchange differences | 42 | (220) |
Balance at ending | 3,197 | 2,582 |
Depreciation and impairment Balance at beginning | (710) | (490) |
Depreciation and impairment Additions | (406) | (258) |
Depreciation and impairment Exchange differences | (11) | 38 |
Depreciation and impairment Balance at ending | (1,127) | (710) |
Net Book Value | 2,070 | 1,872 |
Land And Building [Member] | ||
Statement [Line Items] | ||
Balance at beginning | 5,105 | 0 |
Additions during the year | 2,595 | 5,105 |
Exchange differences | 0 | |
Balance at ending | 7,700 | 5,105 |
Depreciation and impairment Balance at beginning | (104) | |
Depreciation and impairment Additions | (315) | (104) |
Depreciation and impairment Exchange differences | 0 | 0 |
Depreciation and impairment Balance at ending | (419) | (104) |
Net Book Value | $ 7,281 | $ 5,001 |
Trade and Other Payables (Detai
Trade and Other Payables (Details) - USD ($) | Sep. 30, 2023 | Sep. 30, 2022 |
Trade Payables | $ 6,046 | $ 3,133 |
Accruals | 1,197 | 545 |
Other Payables | 1,186 | 1,036 |
Trade and Other Payables | $ 8,429 | $ 4,714 |
Working Capital Facilities (Det
Working Capital Facilities (Details) - USD ($) | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Working Capital Facilities | ||
Interest on revolving credit facility Beginning balance | $ 11,635 | $ 3,277 |
Exchange difference | 186 | (207) |
Payments made during the year | (34,184) | (11,435) |
Finance cost paid | (1,543) | (1,522) |
Cash drawn during the year | 35,727 | 21,522 |
Interest on revolving credit facility Ending balance | $ 11,821 | $ 11,635 |
Working Capital Facilities (D_2
Working Capital Facilities (Details 1) - USD ($) | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Working Capital Facilities | ||
Promissory Note Beginning balance | $ 4,363 | $ 4,363 |
Finance cost | 126 | |
Repayment of Promissory Note | (4,489) | 0 |
Promissory Note issued | 1,050 | 0 |
Repayment of Promissory Note purchased | 24 | 0 |
Promissory Note Ending balance | $ 1,026 | $ 4,363 |
Working Capital Facilities (D_3
Working Capital Facilities (Details Narrative) - USD ($) | 1 Months Ended | 12 Months Ended | |||||||
Sep. 29, 2023 | Jun. 30, 2023 | Dec. 20, 2022 | Jul. 31, 2022 | Jun. 30, 2022 | May 31, 2022 | Dec. 18, 2021 | Sep. 30, 2023 | Nov. 09, 2022 | |
Working Capital Facilities | |||||||||
Stock issued | 10,443 | 8,376 | 14,414 | 11,764 | 16,949 | 46,155 | 1,754,340 | ||
Maximum funds available | $ 11,820,000 | ||||||||
Extension fee | $ 70 | ||||||||
Credit facility | $ 14,000,000 | $ 11,000,000 | 7,000,000 | ||||||
Increase the Credit facility | 16,000,000 | 14,000,000 | $ 11,000,000 | ||||||
Amendment fee | $ 40 | $ 40 | $ 80 | $ 50 | $ 50 | $ 150 | |||
Interest rate | 1% |
Deferred Grant Income (Details
Deferred Grant Income (Details Narrative) - USD ($) | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Deferred Grant Income | ||
Total funds received | $ 4,200,000 | |
Revenue recognized | $ 400 |
Promissory note and Other Loa_3
Promissory note and Other Loans (Details) - USD ($) | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Promissory note and Other Loans | ||
Short term loans | $ 0 | $ 582 |
Vendor Take Back | 3,457 | 673 |
Total short term loans | $ 3,457 | $ 1,255 |
Promissory note and Other Loa_4
Promissory note and Other Loans (Details 1) - USD ($) | 4 Months Ended | 12 Months Ended |
Sep. 30, 2022 | Sep. 30, 2023 | |
Promissory note and Other Loans | ||
Vendor Take Back Beginning Balance | $ 4,245 | $ 4,130 |
Repaid in year | (150) | (750) |
Interest accretion | $ 35 | 77 |
Vendor Take Back Ending Balance | $ 3,457 |
Promissory note and Other Loa_5
Promissory note and Other Loans (Details 2) - USD ($) | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Statement [Line Items] | ||
Working capital facility | $ 1,511 | $ 1,522 |
Issued to lender | 118 | 621 |
Promissory notes | 47 | 109 |
Settlement fee on promissory note | 126 | |
Interest on VTB loan | 77 | 35 |
Lease interest | 380 | 365 |
Equity issuance costs | 84 | 71 |
Warrant issuance costs | 134 | 38 |
Changes in FV of derivative warrants | (361) | |
Accretion on promissory note | 0 | |
Other bank interest | 12 | |
Accretion on Government Loans | 294 | 260 |
Finance costs | 2,474 | 3,033 |
Cash | ||
Statement [Line Items] | ||
Working capital facility | 1,543 | 1,522 |
Issued to lender | 0 | 0 |
Settlement fee on promissory note | 126 | |
Interest on VTB loan | 77 | 35 |
Lease interest | 380 | 365 |
Equity issuance costs | 84 | 71 |
Warrant issuance costs | 134 | |
Changes in FV of derivative warrants | 0 | |
Accretion on promissory note | 0 | |
Other bank interest | 0 | 12 |
Accretion on Government Loans | 0 | 0 |
Finance costs | 2,391 | 2,114 |
Promissory notes | 47 | 109 |
Non-Cash | ||
Statement [Line Items] | ||
Working capital facility | 0 | 0 |
Issued to lender | 118 | 621 |
Lease interest | 0 | 0 |
Equity issuance costs | 0 | 0 |
Warrant issuance costs | 0 | 38 |
Changes in FV of derivative warrants | (361) | |
Accretion on promissory note | 32 | |
Other bank interest | 0 | |
Accretion on Government Loans | 294 | 260 |
Finance costs | 83 | 919 |
Promissory notes | $ 0 | $ 0 |
Promissory note and Other Loa_6
Promissory note and Other Loans (Details Narrative) - USD ($) | 1 Months Ended | 12 Months Ended | ||
May 16, 2022 | Sep. 30, 2023 | Sep. 30, 2019 | Sep. 30, 2017 | |
Promissory note and Other Loans | ||||
Short term loan principal amount | $ 218 | $ 364 | ||
Vendor Take Back payment | $ 2,400,000 | |||
Vendor Take Back | 3,500,000 | |||
Vendor Take Back Long term | 3,457 | |||
Vendor Take Back Short term | $ 673 | |||
Interest on loan per annum | 1.80% | |||
Interest Description | The secured VTB has a two-year term starting on July 1, 2022 and expiring on June 30, 2024, and carries interest at 2% per annum | The loans had interest at 2% per month and carried a commitment fee of 5% |
Lease liability (Details)
Lease liability (Details) - USD ($) | Sep. 30, 2023 | Sep. 30, 2022 |
Lease liability | ||
Current | $ 389 | $ 164 |
Non-current | 2,338 | 2,235 |
Carrying amount - lease liability | $ 2,727 | $ 2,399 |
Lease liability (Details 1)
Lease liability (Details 1) - USD ($) | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Lease liability | ||
Interest on lease liabilities | $ 380 | $ 365 |
Incremental borrowing rate at time of transition | 14% | 14% |
Total cash outflow for the lease | $ 707 | $ 744 |
Lease liability (Details 2)
Lease liability (Details 2) | 12 Months Ended |
Sep. 30, 2023 USD ($) | |
Lease liability | |
2024 | $ 929 |
2025 | 950 |
2026 | 789 |
2027 | 745 |
2028 | 762 |
2029 and beyond | $ 975 |
Lease liability (Details Narrat
Lease liability (Details Narrative) - Sep. 30, 2023 | CAD ($) | USD ($) |
Statement [Line Items] | ||
lease liability | $ 5,150 | |
Lease Monthly Rent For the First Year[Member] | ||
Statement [Line Items] | ||
lease liability | $ 25,625 | |
Lease Monthly Rent For the Second Year [Member] | ||
Statement [Line Items] | ||
lease liability | 26,265 | |
Lease Monthly Rent For the Third Year [Member] | ||
Statement [Line Items] | ||
lease liability | $ 26,922 |
Share capital (Details)
Share capital (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Statement [Line Items] | ||
Share capital, begin | $ 103,305 | |
Share capital, end | $ 115,041 | $ 103,305 |
Common Shares | ||
Statement [Line Items] | ||
Number of Common shares, begin | 29,437,372 | 29,188,182 |
Share capital, begin | $ 103,305 | $ 102,498 |
Number of Common shares, End | 33,832,784 | 29,437,372 |
Share capital, end | $ 115,041 | $ 103,305 |
Issuance of shares one, share | 61,224 | |
Issuance of shares one, amount | $ 234 | |
Issuance of shares two, share | 98,765 | |
Issuance of shares two, amount | $ 320 | |
Issuance of shares three, share | 46,155 | |
Issuance of shares three, amount | $ 115 | |
Issuance of shares four, share | 16,949 | |
Issuance of shares four, amount | $ 40 | |
Issuance of shares five, share | 11,764 | |
Issuance of shares five, amount | $ 39 | |
Issuance of shares six, share | 3,508,680 | |
Issuance of shares six, amount | $ 7,167 | |
Issuance of shares seven, share | 14,414 | |
Issuance of shares seven, amount | $ 59 | |
Issuance of shares eight, share | 8,376 | |
Issuance of shares eight, amount | $ 30 | |
Issuance of shares nine, share | 10,443 | |
Issuance of shares nine, amount | $ 30 | |
Exercise of options one, share | 6,800 | 13,000 |
Exercise of options one, amount | $ 8 | $ 29 |
Exercise of options, amount | $ 25 | |
Exercise of options two, share | 5,200 | 1,333 |
Exercise of options two, amount | $ 13 | $ 3 |
Exercise of options three, share | 841,499 | |
Exercise of options three, amount | $ 3,004 | |
Transfer from contributed surplus one | 5 | $ 2 |
Transfer from contributed surplus two | 11 | |
Transfer from derivative liability | $ 1,409 |
Share capital (Details 1)
Share capital (Details 1) - $ / shares | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Statement [Line Items] | ||
Number of Outstanding, begin | 46,588 | |
Number of Outstanding, End | 4,714,388 | 46,588 |
Stock Options | ||
Statement [Line Items] | ||
Number of Outstanding, begin | 3,727,588 | 3,454,254 |
Number of Outstanding, Granted | 1,060,000 | 20,000 |
Number of Outstanding, Expired | (3,200) | (11,000) |
Number of Outstanding, Exercised | (6,800) | (13,000) |
Number of Outstanding, Granted two | 300,000 | |
Number of Outstanding, Expired two | (21,333) | |
Number of Outstanding, Exercised two | (5,200) | (1,333) |
Number of Outstanding, Cancelled or expired | (58,000) | |
Number of Outstanding, End | 4,714,388 | 3,727,588 |
Weighted average exercise price, begin | $ 2.30 | $ 2.25 |
Weighted average exercise price, Granted | 4.04 | 4.50 |
Weighted average exercise price, Expired | 2.60 | 0.63 |
Weighted average exercise price, Exercised | 1.05 | 2.20 |
Weighted average exercise price, Granted two | 2.20 | |
Weighted average exercise price, Expired two | 3.15 | |
Weighted average exercise price, Exercised two | 2.55 | 2.55 |
Weighted average exercise price, Cancelled or expired | 4.04 | |
Weighted average exercise price, End | $ 2.44 | $ 2.30 |
Share capital (Details 2)
Share capital (Details 2) - $ / shares | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Statement [Line Items] | ||
Number of Outstanding | 4,714,388 | 46,588 |
Weighted average remaining life (years) | 7 years 21 days | |
Number of Exercisable | 2,803,391 | |
Weighted average exercise price | $ 2.44 | |
2.66 | ||
Statement [Line Items] | ||
Number of Outstanding | 256,400 | |
Weighted average remaining life (years) | 4 months 20 days | |
Number of Exercisable | 256,400 | |
Weighted average exercise price | $ 2.66 | |
3.84 | ||
Statement [Line Items] | ||
Number of Outstanding | 3,000 | |
Weighted average remaining life (years) | 5 months 8 days | |
Number of Exercisable | 3,000 | |
Weighted average exercise price | $ 3.84 | |
3.77 | ||
Statement [Line Items] | ||
Number of Outstanding | 8,200 | |
Weighted average remaining life (years) | 7 months 20 days | |
Number of Exercisable | 8,200 | |
Weighted average exercise price | $ 3.77 | |
2.40 | ||
Statement [Line Items] | ||
Number of Outstanding | 35,499 | |
Weighted average remaining life (years) | 1 year 4 months 20 days | |
Number of Exercisable | 35,499 | |
Weighted average exercise price | $ 2.40 | |
3.36 | ||
Statement [Line Items] | ||
Number of Outstanding | 12,000 | |
Weighted average remaining life (years) | 1 year 7 months 20 days | |
Number of Exercisable | 12,000 | |
Weighted average exercise price | $ 3.36 | |
2.55 | ||
Statement [Line Items] | ||
Number of Outstanding | 42,900 | |
Weighted average remaining life (years) | 2 years | |
Number of Exercisable | 42,900 | |
Weighted average exercise price | $ 2.55 | |
2.92 | ||
Statement [Line Items] | ||
Number of Outstanding | 9,600 | |
Weighted average remaining life (years) | 2 years 4 months 13 days | |
Number of Exercisable | 9,600 | |
Weighted average exercise price | $ 2.92 | |
7.87 | ||
Statement [Line Items] | ||
Number of Outstanding | 101,121 | |
Weighted average remaining life (years) | 3 years 3 months | |
Number of Exercisable | 101,121 | |
Weighted average exercise price | $ 7.87 | |
4.51 | ||
Statement [Line Items] | ||
Number of Outstanding | 10,667 | |
Weighted average remaining life (years) | 3 years 10 months 2 days | |
Number of Exercisable | 10,667 | |
Weighted average exercise price | $ 4.51 | |
1.03 | ||
Statement [Line Items] | ||
Number of Outstanding | 120,066 | |
Weighted average remaining life (years) | 4 years 4 months 24 days | |
Number of Exercisable | 120,066 | |
Weighted average exercise price | $ 1.03 | |
1.11 | ||
Statement [Line Items] | ||
Number of Outstanding | 1,024,000 | |
Weighted average remaining life (years) | 5 years 10 months 2 days | |
Number of Exercisable | 1,024,000 | |
Weighted average exercise price | $ 1.11 | |
2.44 | ||
Statement [Line Items] | ||
Number of Outstanding | 274,268 | |
Weighted average remaining life (years) | 6 years 11 months 12 days | |
Number of Exercisable | 274,268 | |
Weighted average exercise price | $ 2.44 | |
3.69 | ||
Statement [Line Items] | ||
Number of Outstanding | 1,494,667 | |
Weighted average remaining life (years) | 7 years 11 months 15 days | |
Number of Exercisable | 671,337 | |
Weighted average exercise price | $ 3.69 | |
4.25 | ||
Statement [Line Items] | ||
Number of Outstanding | 20,000 | |
Weighted average remaining life (years) | 8 years 2 months 1 day | |
Number of Exercisable | 20,000 | |
Weighted average exercise price | $ 4.25 | |
2.11 | ||
Statement [Line Items] | ||
Number of Outstanding | 150,000 | |
Weighted average remaining life (years) | 8 years 8 months 23 days | |
Number of Exercisable | 123,333 | |
Weighted average exercise price | $ 2.11 | |
2.11 one | ||
Statement [Line Items] | ||
Number of Outstanding | 150,000 | |
Weighted average remaining life (years) | 8 years 8 months 23 days | |
Number of Exercisable | 50,000 | |
Weighted average exercise price | $ 2.11 | |
3.95 | ||
Statement [Line Items] | ||
Number of Outstanding | 1,002,000 | |
Weighted average remaining life (years) | 9 years 6 months 10 days | |
Number of Exercisable | 41,000 | |
Weighted average exercise price | $ 3.95 |
Share Capital (Details 3)
Share Capital (Details 3) - USD ($) | 1 Months Ended | ||
Apr. 10, 2023 | Jun. 20, 2022 | Nov. 29, 2021 | |
Share Capital | |||
No of options | 1,060,000 | 300,000 | 20,000 |
Share price | $ 3.85 | $ 2.20 | $ 3.75 |
Exercise price | $ 4.04 | $ 2.05 | $ 4.20 |
Average expected life in years | 10 years | 10 years | 10 years |
Volatility | 79.30% | 81.04% | 89.38% |
Risk-free weighted interest rate | 2.92% | 2.72% | 1.54% |
Fair-value of options granted | $ 4,282 | $ 615 | $ 84 |
Share Capital (Details 4)
Share Capital (Details 4) | 12 Months Ended |
Sep. 30, 2023 $ / shares shares | |
Statement [Line Items] | |
Number of Outstanding, begin | shares | 46,588 |
Expired during the year | shares | (242,222) |
Number of Outstanding, End | shares | 4,714,388 |
Exercise Price, Beginning | $ / shares | $ 5.90 |
Excercise Price Expired during the year | $ / shares | 6.45 |
Exercise Price, Ending | $ / shares | $ 4.95 |
Details of Share Warrants [Member] | |
Statement [Line Items] | |
Number of Outstanding, begin | shares | 2,035,015 |
Expired during the year | shares | (80,869) |
Number of Outstanding, End | shares | 1,711,924 |
Exercise Price, Beginning | $ / shares | $ 2.30 |
Excercise Price Expired during the year | $ / shares | 5.80 |
Exercise Price, Ending | $ / shares | $ 2.38 |
Share Capital (Details 5)
Share Capital (Details 5) - Warrant continuity [Member] | 12 Months Ended |
Sep. 30, 2023 USD ($) shares | |
Statement [Line Items] | |
Warrant Continuity Opening balance | shares | 1,754,340 |
Warrant Exercised | shares | (841,499) |
Warrant Continuity Closing balance | shares | 912,841 |
Warrants Fair Value, Opening balance | $ 3,259 |
Fair Value Warrant Exercised | (1,409) |
Fair value adjustment | (361) |
Warrants Fair Value, Closing balance | $ 1,489 |
Share Capital (Details 6)
Share Capital (Details 6) | 12 Months Ended |
Sep. 30, 2023 $ / shares shares | |
Share Capital | |
Number of Outstanding, begin | shares | 46,588 |
Expired during the year | shares | (29,066) |
Share Warrants, Ending | shares | 17,522 |
Exercise Price, Beginning | $ / shares | $ 5.90 |
Excercise Price Expired during the year | $ / shares | 6.45 |
Exercise Price, Ending | $ / shares | $ 4.95 |
Share Capital (Details Narrativ
Share Capital (Details Narrative) $ / shares in Units, $ / shares in Units, $ in Thousands | 1 Months Ended | 12 Months Ended | ||||||||||||||||
Apr. 10, 2023 | Jun. 08, 2022 CAD ($) $ / shares shares | May 12, 2022 CAD ($) $ / shares shares | Sep. 29, 2023 CAD ($) $ / shares shares | Jun. 30, 2023 CAD ($) $ / shares shares | Dec. 20, 2022 CAD ($) $ / shares shares | Jul. 20, 2022 CAD ($) $ / shares shares | Jun. 20, 2022 | Mar. 25, 2022 | Feb. 23, 2022 CAD ($) $ / shares shares | Dec. 17, 2021 CAD ($) $ / shares shares | Nov. 29, 2021 | Sep. 30, 2023 USD ($) shares | Sep. 30, 2022 USD ($) $ / shares | Nov. 09, 2022 shares | Jul. 31, 2022 shares | Jun. 30, 2022 shares | May 31, 2022 shares | |
Statement [Line Items] | ||||||||||||||||||
Non brokered private placement unit | 3,508,680 | |||||||||||||||||
Risk free interest rate | 2.92% | 2.72% | 1.54% | |||||||||||||||
Expected volatility of the market price | 79.30% | 81.04% | 89.38% | |||||||||||||||
Finance costs | $ | $ 2,474 | $ 3,033 | ||||||||||||||||
Number of share issue | 10,443 | 8,376 | 14,414 | 1,754,340 | 11,764 | 16,949 | 46,155 | |||||||||||
Share issue price per share | $ / shares | $ 4.2305 | |||||||||||||||||
Warrant exercise price description | warrant exercise price would be adjusted from $5.30 to $4.70 | |||||||||||||||||
Description reverse stock split | reducing the number of outstanding Common Shares from approximately 164.86 million to approximately 32.97 million | |||||||||||||||||
Description related to reduce number of outstanding share | reducing the number of outstanding options from approximately 23.5 million to 4.7 million | |||||||||||||||||
Description related to stock option plan | Stock Option Plan to increase the maximum number of common shares issuable upon the exercise of stock options thereunder from 4,600,000 to 6,000,000 | Stock Option Plan to increase the maximum number of common shares issuable upon the exercise of stock options thereunder from 3,020,000 to 4,600,000 | ||||||||||||||||
Description of stock based compensation | options exercised, the share price at the time of exercise was between $2.83-$3.80. Total stock- based compensation expense recognized during the year ended September 30, 2023 was $1,167 (2022: $3,223). Of this, the portion related to stock options that vested during the year ended September 30, 2023 was $511 (September 30, 2022-$1,358) | |||||||||||||||||
Derivative warrants [Member] | ||||||||||||||||||
Statement [Line Items] | ||||||||||||||||||
Derivative warrants | 912,845 | |||||||||||||||||
Risk free interest rate | 3.80% | |||||||||||||||||
Expected volatility of the market price | 85.58% | |||||||||||||||||
Derivative warrants liability description | reducing the number of outstanding warrants from approximately 13.1 million to 2.6 million. A 10% of change in any assumption would result in the change in derivative warrant liability between $(417) and $393 | |||||||||||||||||
Share capital [Member] | ||||||||||||||||||
Statement [Line Items] | ||||||||||||||||||
Finance costs | $ | $ 50 | $ 150 | $ 40 | $ 40 | $ 80 | $ 50 | $ 400 | $ 300 | ||||||||||
Number of share issue | 16,949 | 46,155 | 10,443 | 8,376 | 14,414 | 11,764 | 98,765 | 61,224 | ||||||||||
Share issue price per share | $ / shares | $ 2.95 | $ 3.25 | $ 3.83 | $ 4.77 | $ 5.55 | $ 4.25 | $ 4.05 | $ 4.90 | ||||||||||
Credit facility increase description | increased from C$11 million to C$14 million | credit facility was increased from C $14M to C $16M | increased from C$7 million to C$11 million |
Related Party Transactions (Det
Related Party Transactions (Details) - USD ($) | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Share based compensation | $ 1,089 | $ 2,757 |
Salaries, bonus and other benefits | 764 | 310 |
Key Management Personnel Compensation | $ 1,853 | $ 3,067 |
Related Party Transactions (D_2
Related Party Transactions (Details 1) - USD ($) | Sep. 30, 2023 | Sep. 30, 2022 |
CDN | ||
Statement [Line Items] | ||
Shareholder guaranteed short-term loans | $ 0 | $ 800 |
USA | ||
Statement [Line Items] | ||
Shareholder guaranteed short-term loans | 0 | 582 |
June 2019 [Member] | CDN | ||
Statement [Line Items] | ||
Shareholder guaranteed short-term loans | 0 | 300 |
June 2019 [Member] | USA | ||
Statement [Line Items] | ||
Shareholder guaranteed short-term loans | 0 | 218 |
Dec. 2017 [Member] | CDN | ||
Statement [Line Items] | ||
Shareholder guaranteed short-term loans | 0 | 500 |
Dec. 2017 [Member] | USA | ||
Statement [Line Items] | ||
Shareholder guaranteed short-term loans | $ 0 | $ 364 |
Related Party Transactions (D_3
Related Party Transactions (Details 2) - USD ($) | Sep. 30, 2023 | Sep. 30, 2022 |
Promissory Note | $ 1,026 | $ 4,363 |
Related Party Transactions (D_4
Related Party Transactions (Details Narrative) - USD ($) | 1 Months Ended | 12 Months Ended | |
Apr. 30, 2023 | Sep. 30, 2023 | Sep. 30, 2022 | |
Statement [Line Items] | |||
Purchase price | $ 500 | ||
Stock based compensation expense | $ 260 | 1,167 | $ 3,223 |
Purchased land and buildings | $ 2,700,000 | 5,100,000 | |
Deposit | 600 | ||
Promissory note payable | 4,400,000 | ||
Transaction costs | 105 | ||
Payable to majority shareholders | $ 531 | ||
Tranche One [Member] | |||
Statement [Line Items] | |||
Option granted | 700,000 | ||
Vested option | 200,000 | ||
Stock based compensation expense | $ 256 | ||
Tranche Two [Member] | |||
Statement [Line Items] | |||
Vested option | 300,000 | ||
Tranche Three [Member] | |||
Statement [Line Items] | |||
Option granted | 900,000 | ||
Vested option | 300,000 | ||
Stock based compensation expense | $ 248 |
Change in Non-Cash Operating _3
Change in Non-Cash Operating Working Capital (Details) - USD ($) | Sep. 30, 2023 | Sep. 30, 2022 |
Change in Non-Cash Operating Working Capital | ||
Trade and other receivables | $ (7,845) | $ (1,626) |
Inventories | (724) | (2,788) |
Prepaid expenses and other | (2,103) | (2,075) |
Trade and other payables | 3,054 | 43 |
Other payable | (123) | 73 |
Non-Cash Operating Working Capital | $ (7,741) | $ (6,373) |
Relief and Recovery Fund Paya_2
Relief and Recovery Fund Payable (Details Narrative) | 12 Months Ended |
Sep. 30, 2021 USD ($) | |
Relief and Recovery Fund Payable | |
Repayment term | 5 years |
Amount received from fund | $ 300 |
Government Assistance (Details
Government Assistance (Details Narrative) - USD ($) | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Research and Development | $ 348 | $ 39 |
Financial Instruments (Details)
Financial Instruments (Details) $ in Thousands | 12 Months Ended |
Sep. 30, 2023 USD ($) | |
Statement [Line Items] | |
Warrants | $ 1,489 |
Level 1 Of Fair Value Hierarchy [Member] | |
Statement [Line Items] | |
Warrants | 0 |
Level 2 Of Fair Value Hierarchy [Member] | |
Statement [Line Items] | |
Warrants | 1,489 |
Level 3 Of Fair Value Hierarchy [Member] | |
Statement [Line Items] | |
Warrants | $ 0 |
Financial Instruments (Details
Financial Instruments (Details 1) | Sep. 30, 2023 USD ($) |
Statement [Line Items] | |
Trade and other payables | $ 8,429,000 |
Lease liability | 5,150 |
Promissory notes | 3,500,000 |
Short term loans | 1,026,000 |
Working capital facility | 11,821,000 |
Other payable | 2,164,000 |
Total financial liabilities | 32,090,000 |
Financial Liabilities 2024 [Member] | |
Statement [Line Items] | |
Trade and other payables | 8,429,000 |
Lease liability | 929,000 |
Promissory notes | 3,500 |
Short term loans | 1,026,000 |
Working capital facility | 11,821,000 |
Other payable | 1,365,000 |
Total financial liabilities | 27,070,000 |
Financial Liabilities 2025 [Member] | |
Statement [Line Items] | |
Trade and other payables | 0 |
Lease liability | 950,000 |
Promissory notes | 0 |
Short term loans | 0 |
Working capital facility | 0 |
Other payable | 490,000 |
Total financial liabilities | 1,440,000 |
Financial Liabilities 2026 [Member] | |
Statement [Line Items] | |
Trade and other payables | 0 |
Lease liability | 789,000 |
Promissory notes | 0 |
Short term loans | 0 |
Working capital facility | 0 |
Other payable | 215,000 |
Total financial liabilities | 1,004,000 |
Financial Liabilities 2027 [Member] | |
Statement [Line Items] | |
Trade and other payables | 0 |
Lease liability | 745,000 |
Promissory notes | 0 |
Short term loans | 0 |
Working capital facility | 0 |
Other payable | 56,000 |
Total financial liabilities | 801,000 |
Financial Liabilities 2028 & beyond [Member] | |
Statement [Line Items] | |
Trade and other payables | 0 |
Lease liability | 1,737,000 |
Promissory notes | 0 |
Short term loans | 0 |
Working capital facility | 0 |
Other payable | 38,000 |
Total financial liabilities | $ 1,775,000 |
Financial Instruments (Detail_2
Financial Instruments (Details Narrative) $ / shares in Units, $ in Thousands | 1 Months Ended | 12 Months Ended | ||||
Apr. 10, 2023 | Jun. 20, 2022 | Nov. 29, 2021 | Sep. 30, 2023 USD ($) $ / shares | Sep. 30, 2023 USD ($) $ / shares | Sep. 30, 2022 USD ($) | |
Statement [Line Items] | ||||||
Long term deposit | $ 459 | $ 459 | $ 88 | |||
Derivative liability and expensed | 134 | 134 | ||||
Finance cost | $ 325 | 325 | ||||
Description related to credit risk and concentration risk | Accounts receivable are recorded at the invoiced amount, do not bear interest, and do not require collateral. For the year ended September 30, 2023, one customer accounted for $42 million or 94% of revenue (2022 — $13 million or 82%). As of September 30, 2023, one customer accounted for 85% of accounts receivable (2022 — 64%) | |||||
Cash | $ 175 | $ 175 | $ 386 | |||
Description related to foreign exchange rate | Canadian foreign exchange rate changed by 2% this would change the recorded Net gain(loss) by $173 (September 30, 2022-$179) | |||||
Volatility percentage | 79.30% | 81.04% | 89.38% | |||
Annual risk free rate | 2.92% | 2.72% | 1.54% | |||
Derivatives liabilities black scholes model [Member] | ||||||
Statement [Line Items] | ||||||
Fair Value of Warrants | $ 3,300 | |||||
Stock price | $ / shares | $ 4.55 | |||||
Expected life of warrants | 3 years | |||||
Volatility percentage | 85.58% | |||||
Annual risk free rate | 3.87% | |||||
Annual dividend yield | 0% | |||||
Key valuation inputs and assumptions [Member] | ||||||
Statement [Line Items] | ||||||
Stock price | $ / shares | $ 3.75 | |||||
Expected life of warrants | 2 years 1 month 6 days | |||||
Volatility percentage | 76.80% | |||||
Annual risk free rate | 3.92% | |||||
Annual dividend yield | 0% |
Contingencies (Details Narrativ
Contingencies (Details Narrative) - USD ($) | 1 Months Ended | ||
May 28, 2018 | Sep. 30, 2023 | Sep. 30, 2022 | |
Statement [Line Items] | |||
Dispute regarding funding and fulfilment | $ 655 | ||
On July 22, 2022 | |||
Statement [Line Items] | |||
Contingencies | $ 299 | $ 302 |
Segment and Customer Reportin_2
Segment and Customer Reporting (Details) - USD ($) | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Segment and Customer Reporting | ||
Large format batteries | $ 42,168 | $ 15,190 |
Other | 1,891 | 1,080 |
Total of Large format batteries | $ 44,059 | $ 16,270 |
Segment and Customer Reportin_3
Segment and Customer Reporting (Details 1) - USD ($) | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Segment and Customer Reporting | ||
Sale of batteries and battery systems | $ 42,168 | $ 15,190 |
Sale of services | 216 | 142 |
Research grant | 693 | 650 |
Grant income | ||
Others | 982 | 288 |
Total of Revenue with customers | $ 44,059 | $ 16,270 |
Segment and Customer Reportin_4
Segment and Customer Reporting (Details 2) - USD ($) | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Statement [Line Items] | ||
Others | $ 450 | $ 30 |
Total of Revenues attributed | 44,059 | 16,270 |
Canada | ||
Statement [Line Items] | ||
Revenues attributed | 1,258 | 1,927 |
United States [Member] | ||
Statement [Line Items] | ||
Revenues attributed | $ 42,351 | $ 14,313 |
Other payables (Details)
Other payables (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Other payables (Tables) | ||
Changes in the provision for repayments other payable | $ 798 | $ 508 |
Interest accretion | 294 | 290 |
Miscellaneous | (108) | 0 |
Changes in the provision for repayments other payable | 984 | 798 |
Less: current portion of the provision | (661) | (358) |
Ending balance of long-term portion | $ 323 | $ 440 |
Other payables (Details 1)
Other payables (Details 1) $ in Thousands | 12 Months Ended |
Sep. 30, 2023 USD ($) | |
Other payables (Tables) | |
2024 | $ 1,309 |
2025 | 434 |
2026 | $ 159 |
Other payables (Details Narrati
Other payables (Details Narrative) - USD ($) $ in Thousands | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Other payables (Tables) | ||
Interest accretion | $ 294 | $ 290 |
Income taxes (Details)
Income taxes (Details) - USD ($) | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Income (loss) before income taxes | $ (1,479) | $ (9,211) |
Expected recovery of income taxes based on statutory rates | (392) | (2,441) |
Reduction in income tax recovery resulting from: | ||
Lower rate on manufacturing profits | (9) | 66 |
Non-taxable portion of capital gain | 0 | 0 |
Other permanent differences | 206 | 654 |
Deferred tax benefit not recognized | (484) | 1,721 |
Income tax recovery | $ (679) | $ 0 |
Income taxes (Details 1)
Income taxes (Details 1) - USD ($) | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Statement [Line Items] | ||
Net Deferred tax asset (liability) Beginning balance | $ 0 | |
Net Deferred tax asset (liability) Recognized in profit (loss) | 679 | $ 47 |
Net Deferred tax asset (liability) Recognized in OCI | (679) | |
Net Deferred tax asset (liability) Ending balance | 0 | 47 |
Deferred Tax Liabilities Recognized Beginning balance | (47) | |
Deferred Tax Liabilities Recognized in profit (loss) | (284) | |
Deferred Tax Liabilities Recognized in Other Comprehensive Income | (679) | |
Deferred Tax Liabilities Recognized Ending balance | (1,010) | |
Deferred tax assets recognized beginning | 47 | |
Deferred tax assets recognized in profit (loss) | 963 | 47 |
Deferred tax assets recognized Ending balance | 1,010 | 47 |
Property, plant and equipment | ||
Statement [Line Items] | ||
Deferred Tax Liabilities Recognized in profit (loss) | (273) | (47) |
Deferred Tax Liabilities Recognized in Other Comprehensive Income | (679) | |
Deferred Tax Liabilities beginning balance | 47 | |
Deferred Tax Liabilities ending balance | (999) | (47) |
Canadian non-capital loss carry forwards | ||
Statement [Line Items] | ||
Deferred tax assets recognized in profit (loss) | 555 | 47 |
Deferred tax assets recognized beginning | 47 | |
Deferred tax assets recognized in OCI | 0 | 0 |
Deferred tax assets recognized ending | 602 | $ 47 |
Unrealized foreign exchange | ||
Statement [Line Items] | ||
Deferred Tax Liabilities Recognized in profit (loss) | (11) | |
Deferred Tax Liabilities Recognized in Other Comprehensive Income | 0 | |
Deferred Tax Liabilities beginning balance | 0 | |
Deferred Tax Liabilities ending balance | (11) | |
US net operating losses | ||
Statement [Line Items] | ||
Deferred tax assets recognized in profit (loss) | 408 | |
Deferred tax assets recognized ending | $ 408 |
Income taxes (Details 2)
Income taxes (Details 2) - USD ($) | Sep. 30, 2023 | Sep. 30, 2022 |
Canadian non-capital loss carry forwards | $ 44,061 | $ 52,264 |
US net operating losses | 4,306 | 3,939 |
Property, plant and equipment | 0 | 27 |
Unclaimed research and development expenses | 15,824 | 15,571 |
Non-refundable research and development credits | 19,489 | 0 |
Other | 1,343 | 61 |
Lease liabilities | 2,727 | 0 |
Total | $ 87,750 | $ 71,862 |
Income taxes (Details 3)
Income taxes (Details 3) | Sep. 30, 2023 USD ($) |
Canada | |
Statement [Line Items] | |
2024 | $ 0 |
2025 | 0 |
2026 | 11,394 |
2027 | 3,398 |
2028 | 3,844 |
2029 | 0 |
2030 | 311 |
2031 | 0 |
2032 | 633 |
2033 | 994 |
2034 | 0 |
2035 | 2,196 |
2036 | 1,631 |
2037 | 2,175 |
2038 | 6,100 |
2039 | 2,190 |
2040 | 548 |
2041 | 5,097 |
2042 | 3,550 |
2043 | 0 |
Infinite | 0 |
Total | 44,061 |
USA | |
Statement [Line Items] | |
2024 | 0 |
2025 | 1,422 |
2026 | 192 |
2027 | 678 |
2028 | 49 |
2029 | 356 |
2030 | 665 |
2031 | 944 |
2032 | 0 |
2033 | 0 |
2034 | 0 |
2035 | 0 |
2036 | 0 |
2037 | 0 |
2038 | 0 |
2039 | 0 |
2040 | 0 |
2041 | 0 |
2042 | 0 |
2043 | 0 |
Infinite | 0 |
Total | $ 4,306 |
Income taxes (Details Narrative
Income taxes (Details Narrative) | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Canadian | ||
Statement [Line Items] | ||
Statutory income tax rat | 26.50% | 26.50% |
Restatement of financial resu_3
Restatement of financial results (Details) - USD ($) | Sep. 30, 2023 | Sep. 30, 2022 | Oct. 01, 2021 | Sep. 30, 2021 |
Current assets | ||||
Cash and cash equivalents | $ 1,000,000 | $ 600,000 | ||
Trade and other receivables | 10,611,000 | 2,913,000 | ||
Inventories | 8,266,000 | 7,355,000 | ||
Prepaid expenses and onther | 5,997,000 | 3,894,000 | ||
Total current assets | 25,906,000 | 14,788,000 | ||
Non-current assets | ||||
Property, plant and equipment | 10,149,000 | 7,313,000 | ||
Long-term deposit | 459,000 | 88,000 | ||
Total non-current assets | 10,608,000 | 7,401,000 | ||
Total assets | 36,514,000 | 22,189,000 | ||
Current liabilities | ||||
Trade and other payables | 3,054 | 43 | ||
Working capital facilities | 11,821,000 | 11,635,000 | ||
Promissory notes | 1,026,000 | 4,363,000 | ||
Lease liability - current portion | 389 | 164 | ||
Total current liabilities | 26,611,000 | 22,662,000 | ||
Non-current liabilities | ||||
Lease liability - non-current portion | 2,338 | 2,235 | ||
Relief and recovery fund payable | 96,000 | 102,000 | ||
Other payables | 6,046 | 3,133 | ||
Promissory Note | 0 | 3,457,000 | ||
Total non-current liabilities | 2,757,000 | 6,234,000 | ||
Equity | ||||
Share capital | 115,041,000 | 103,305,000 | ||
Contributed surplus | 9,249,000 | 8,099,000 | ||
Warrants | 4,725,000 | 4,725,000 | ||
Deficit | (130,450,000) | (128,971,000) | ||
Total Equity (Deficiency) | 7,146,000 | (6,707,000) | $ (2,122) | |
Total liabilities and equity (deficiency) | $ 36,514,000 | 22,189,000 | ||
As Restated | ||||
Current assets | ||||
Cash and cash equivalents | 626 | $ 4,202 | ||
Trade and other receivables | 2,913 | 1,341 | ||
Inventories | 7,355 | 4,666 | ||
Prepaid expenses and onther | 3,894 | 1,819 | ||
Due from related party | 0 | 0 | ||
Total current assets | 14,788 | 12,028 | ||
Non-current assets | ||||
Property, plant and equipment | 7,313 | 2,870 | ||
Long-term deposit | 88 | 79 | ||
Total non-current assets | 7,401 | 2,949 | ||
Total assets | 22,189 | 14,977 | ||
Current liabilities | ||||
Trade and other payables | 4,714 | 4,671 | ||
Working capital facilities | 11,635 | 3,277 | ||
Promissory notes | 4,363 | 4,734 | ||
Short term loans | 1,255 | 937 | ||
Lease liability - current portion | 164 | 140 | ||
Due to related party | 531 | |||
Total current liabilities | 22,662 | 13,759 | ||
Non-current liabilities | ||||
Lease liability - non-current portion | 2,235 | 2,603 | ||
Relief and recovery fund payable | 102 | 40 | ||
Other payables | 440 | 549 | ||
Promissory Note | 3,457 | |||
Total non-current liabilities | 6,234 | 3,340 | ||
Equity | ||||
Share capital | 103,305 | 102,498 | ||
Contributed surplus | 8,099 | 4,903 | ||
Warrants | 4,725 | 4,687 | ||
Accumulated other comprehensive gain | 6,135 | 5,550 | ||
Deficit | (128,971) | (119,760) | ||
Total Equity (Deficiency) | (6,707) | (2,122) | ||
Total liabilities and equity (deficiency) | 22,189 | 14,977 | ||
As Previously Reported | ||||
Current assets | ||||
Cash and cash equivalents | 626 | 4,202 | ||
Trade and other receivables | 6,309 | 1,341 | ||
Inventories | 4,477 | 4,666 | ||
Prepaid expenses and onther | 3,895 | 1,819 | ||
Due from related party | 374 | 0 | ||
Total current assets | 15,681 | 12,028 | ||
Non-current assets | ||||
Property, plant and equipment | 2,312 | 2,870 | ||
Long-term deposit | 88 | 79 | ||
Total non-current assets | 2,400 | 2,949 | ||
Total assets | 18,081 | 14,977 | ||
Current liabilities | ||||
Trade and other payables | 4,627 | 4,671 | ||
Working capital facilities | 11,635 | 3,277 | ||
Promissory notes | 4,363 | 4,734 | ||
Short term loans | 582 | 631 | ||
Lease liability - current portion | 164 | 140 | ||
Due to related party | 0 | |||
Total current liabilities | 21,371 | 13,453 | ||
Non-current liabilities | ||||
Lease liability - non-current portion | 2,235 | 2,603 | ||
Relief and recovery fund payable | 249 | 300 | ||
Other payables | 145 | 169 | ||
Promissory Note | 0 | |||
Total non-current liabilities | 2,629 | 3,220 | ||
Equity | ||||
Share capital | 103,305 | 102,498 | ||
Contributed surplus | 6,235 | 4,903 | ||
Warrants | 4,725 | 4,687 | ||
Accumulated other comprehensive gain | 13,491 | 13,344 | ||
Deficit | (133,675) | (127,128) | ||
Total Equity (Deficiency) | (5,919) | (1,696) | ||
Total liabilities and equity (deficiency) | 18,081 | 14,977 | ||
Restatement | ||||
Current assets | ||||
Cash and cash equivalents | 0 | 0 | ||
Trade and other receivables | (3,396) | 0 | ||
Inventories | 2,878 | 0 | ||
Prepaid expenses and onther | (1) | 0 | ||
Due from related party | (374) | 0 | ||
Total current assets | (893) | 0 | ||
Non-current assets | ||||
Property, plant and equipment | 5,001 | 0 | ||
Long-term deposit | 0 | 0 | ||
Total non-current assets | 5,001 | 0 | ||
Total assets | 4,108 | 0 | ||
Current liabilities | ||||
Trade and other payables | 87 | 0 | ||
Working capital facilities | 0 | 0 | ||
Promissory notes | 0 | 0 | ||
Short term loans | 673 | 306 | ||
Lease liability - current portion | 0 | 0 | ||
Due to related party | 531 | |||
Total current liabilities | 1,291 | 306 | ||
Non-current liabilities | ||||
Lease liability - non-current portion | 0 | 0 | ||
Relief and recovery fund payable | (147) | (260) | ||
Other payables | 295 | 380 | ||
Promissory Note | 3,457 | |||
Total non-current liabilities | 3,605 | 120 | ||
Equity | ||||
Share capital | 0 | 0 | ||
Contributed surplus | 1,864 | 0 | ||
Warrants | 0 | 0 | ||
Accumulated other comprehensive gain | (7,356) | (7,794) | ||
Deficit | 4,704 | 7,368 | ||
Total Equity (Deficiency) | (788) | (426) | ||
Total liabilities and equity (deficiency) | $ 4,108 | $ 0 |
Restatement of financial resu_4
Restatement of financial results (Details 1) - USD ($) | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Statement [Line Items] | ||
Revenue | $ 44,059,000 | $ 16,270,000 |
Gross margin | 11,856,000 | 3,874,000 |
Expenses | ||
Sales and marketing | 1,897,000 | 1,147,000 |
General and administration | 3,687,000 | 3,046,000 |
Stock based compensation | 1,089 | 2,757 |
Depreciation | 907 | 503 |
Total operating expenses | 10,653,000 | 11,143,000 |
Income (loss) from operations | 1,203,000 | (7,269,000) |
Finance costs | 2,474 | 3,033 |
Foreign exchange gain(loss) and interest income | (887,000) | 1,091,000 |
Net loss for the year | $ (1,479,000) | $ (9,211,000) |
Weighted average number of shares Outstanding, basic and fully diluted | 33,832,784,000 | 29,344,622,000 |
As Restated | ||
Statement [Line Items] | ||
Revenue | $ 16,270 | |
Direct manufacturing costs | 12,396 | |
Gross margin | 3,874 | |
Expenses | ||
Research and development | 3,434 | |
Government assistance | (210) | |
Sales and marketing | 1,147 | |
General and administration | 3,046 | |
Stock based compensation | 3,223 | |
Depreciation | 503 | |
Total operating expenses | 11,143 | |
Income (loss) from operations | (7,269) | |
Finance costs | 3,033 | |
Foreign exchange gain(loss) and interest income | 1,091 | |
Net loss for the year | $ (9,211) | $ (9,211) |
Basic income(loss) per share | $ (0.31) | |
Weighted average number of shares Outstanding, basic and fully diluted | 29,344,623 | |
As Previously Reported | ||
Statement [Line Items] | ||
Revenue | $ 19,823 | |
Direct manufacturing costs | 14,847 | |
Gross margin | 4,976 | |
Expenses | ||
Research and development | 3,899 | |
Government assistance | (210) | |
Sales and marketing | 1,147 | |
General and administration | 2,776 | |
Stock based compensation | 1,358 | |
Depreciation | 399 | |
Total operating expenses | 9,369 | |
Income (loss) from operations | (4,393) | |
Finance costs | 2,700 | |
Foreign exchange gain(loss) and interest income | 546 | |
Net loss for the year | (6,547) | $ (6,547) |
Basic income(loss) per share | $ (0.22) | |
Weighted average number of shares Outstanding, basic and fully diluted | 29,344,622 | |
Restatement | ||
Statement [Line Items] | ||
Revenue | $ (3,553) | |
Direct manufacturing costs | (2,451) | |
Gross margin | (1,102) | |
Expenses | ||
Research and development | (465) | |
Government assistance | 0 | |
Sales and marketing | 0 | |
General and administration | 270 | |
Stock based compensation | 1,865 | |
Depreciation | 104 | |
Total operating expenses | 1,774 | |
Income (loss) from operations | (2,876) | |
Finance costs | 333 | |
Foreign exchange gain(loss) and interest income | 545 | |
Net loss for the year | $ (2,664) | $ (2,664) |
Basic income(loss) per share | $ 0 |
Restatement of financial resu_5
Restatement of financial results (Details 2) - USD ($) | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Statement [Line Items] | ||
Net loss for the year | $ (1,479,000) | $ (9,211,000) |
Items not involving cash: | ||
Stock based compensation expense | 1,167,000 | 3,223,000 |
Cash and cash equivalents used in operating activities | (4,856) | (8,825) |
Investing activities | ||
Cash and cash equivalents (used in) investing activities | (903) | (212) |
Financing activities | ||
Exercise of options | 21 | 27 |
Cash and cash equivalents from (used in) financing activities | 6,201 | 7,886 |
Exchange difference | (36) | (2,425) |
Cash and cash equivalents, beginning of year | 626 | 4,202 |
Cash and cash equivalents, end of year | 1,032 | 626 |
As Restated | ||
Statement [Line Items] | ||
Net loss for the year | (9,211) | (9,211) |
Items not involving cash: | ||
Depreciation and depreciation (i) | 503 | |
Stock based compensation expense | 3,223 | |
Interest and financing costs (iii) | 3,033 | |
Cash and cash equivalents provided by (used in) operating activities | (2,452) | |
Net changes in working capital | (6,373) | |
Cash and cash equivalents used in operating activities | (8,825) | |
Investing activities | ||
Purchase of property, plant and equipment | (203) | |
Change in long term deposits | (9) | |
Cash and cash equivalents (used in) investing activities | (212) | |
Financing activities | ||
Issue of shares | 780 | |
Exercise of options | 27 | |
Proceeds from loans | 21,522 | |
Repayment of loans (vi) | (11,435) | |
Repayment of loans (i) | (150) | |
Change in due to related parties | 0 | |
Changes in other payables | 0 | |
Lease payments | (744) | |
Interest and financing costs | (2,114) | |
Cash and cash equivalents from (used in) financing activities | 7,886 | |
Increase (Decrease) in cash and cash equivalents | (1,151) | |
Exchange difference | (2,425) | |
Cash and cash equivalents, beginning of year | 626 | 4,202 |
Cash and cash equivalents, end of year | 626 | |
As Previously Reported | ||
Statement [Line Items] | ||
Net loss for the year | (6,547) | (6,547) |
Items not involving cash: | ||
Depreciation and depreciation (i) | 399 | |
Stock based compensation expense | 1,358 | |
Interest and financing costs (iii) | 2,700 | |
Net changes in working capital | (7,567) | |
Cash and cash equivalents used in operating activities | (9,657) | |
Investing activities | ||
Purchase of property, plant and equipment | (49) | |
Change in long term deposits | (17) | |
Cash and cash equivalents (used in) investing activities | (66) | |
Financing activities | ||
Issue of shares | 780 | |
Exercise of options | 0 | |
Proceeds from loans | 9,245 | |
Repayment of loans (i) | 0 | |
Change in due to related parties | (374) | |
Changes in other payables | (12) | |
Lease payments | 0 | |
Interest and financing costs | (2,662) | |
Cash and cash equivalents from (used in) financing activities | 7,001 | |
Increase (Decrease) in cash and cash equivalents | (2,722) | |
Exchange difference | (854) | |
Cash and cash equivalents, beginning of year | 626 | 4,202 |
Cash and cash equivalents, end of year | 626 | |
Restatement | ||
Statement [Line Items] | ||
Net loss for the year | (2,664) | (2,664) |
Items not involving cash: | ||
Depreciation and depreciation (i) | 104 | |
Stock based compensation expense | 1,865 | |
Interest and financing costs (iii) | 333 | |
Net changes in working capital | 1,194 | |
Cash and cash equivalents used in operating activities | 832 | |
Investing activities | ||
Purchase of property, plant and equipment | (154) | |
Change in long term deposits | 8 | |
Cash and cash equivalents (used in) investing activities | (146) | |
Financing activities | ||
Issue of shares | 0 | |
Exercise of options | 27 | |
Proceeds from loans | 12,277 | |
Repayment of loans (vi) | (11,435) | |
Repayment of loans (i) | (150) | |
Change in due to related parties | 374 | |
Changes in other payables | (12) | |
Lease payments | (744) | |
Interest and financing costs | 548 | |
Cash and cash equivalents from (used in) financing activities | 885 | |
Increase (Decrease) in cash and cash equivalents | (1,571) | |
Exchange difference | 1,571 | |
Cash and cash equivalents, beginning of year | $ 0 | 0 |
Cash and cash equivalents, end of year | $ 0 |
Restatement of financial resu_6
Restatement of financial results (Details 3) - USD ($) | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Statement [Line Items] | ||
Net loss for the year | $ (1,479,000) | $ (9,211,000) |
Total comprehensive loss for the year | 2,446,000 | 585,000 |
As Restated | ||
Statement [Line Items] | ||
Net loss for the year | (9,211) | (9,211) |
Currency translation difference | 585 | |
Total comprehensive loss for the year | (8,626) | |
As Previously Reported | ||
Statement [Line Items] | ||
Net loss for the year | (6,547) | (6,547) |
Currency translation difference | 147 | |
Total comprehensive loss for the year | (6,400) | |
Restatement | ||
Statement [Line Items] | ||
Net loss for the year | (2,664) | $ (2,664) |
Currency translation difference | 438 | |
Total comprehensive loss for the year | $ (2,226) |
Restatement of financial resu_7
Restatement of financial results (Details 4) - USD ($) | Sep. 30, 2023 | Sep. 30, 2022 | Oct. 01, 2021 | Sep. 30, 2021 |
Current assets | ||||
Cash and cash equivalents | $ 1,000,000 | $ 600,000 | ||
Trade and other receivables | 10,611,000 | 2,913,000 | ||
Inventories | 8,266,000 | 7,355,000 | ||
Prepaid expenses and onther | 5,997,000 | 3,894,000 | ||
Total current assets | 25,906,000 | 14,788,000 | ||
Non-current assets | ||||
Property, plant and equipment | 10,149,000 | 7,313,000 | ||
Long-term deposit | 459,000 | 88,000 | ||
Total non-current assets | 10,608,000 | 7,401,000 | ||
Total assets | 36,514,000 | 22,189,000 | ||
Current liabilities | ||||
Trade and other payables | 3,054 | 43 | ||
Working capital facilities | 11,821,000 | 11,635,000 | ||
Promissory notes | 1,026,000 | 4,363,000 | ||
Lease liability - current portion | 389 | 164 | ||
Total current liabilities | 26,611,000 | 22,662,000 | ||
Non-current liabilities | ||||
Lease liability - non-current portion | 2,338 | 2,235 | ||
Relief and recovery fund payable | 96,000 | 102,000 | ||
Other payables | 6,046 | 3,133 | ||
Total non-current liabilities | 2,757,000 | 6,234,000 | ||
Equity | ||||
Share capital | 115,041,000 | 103,305,000 | ||
Contributed surplus | 9,249,000 | 8,099,000 | ||
Warrants | 4,725,000 | 4,725,000 | ||
Deficit | (130,450,000) | (128,971,000) | ||
Total Equity (Deficiency) | 7,146,000 | (6,707,000) | $ (2,122) | |
Total liabilities and equity (deficiency) | $ 36,514,000 | 22,189,000 | ||
As Restated | ||||
Current assets | ||||
Cash and cash equivalents | 626 | $ 4,202 | ||
Trade and other receivables | 2,913 | 1,341 | ||
Inventories | 7,355 | 4,666 | ||
Prepaid expenses and onther | 3,894 | 1,819 | ||
Due from related party | 0 | 0 | ||
Total current assets | 14,788 | 12,028 | ||
Non-current assets | ||||
Property, plant and equipment | 7,313 | 2,870 | ||
Long-term deposit | 88 | 79 | ||
Total non-current assets | 7,401 | 2,949 | ||
Total assets | 22,189 | 14,977 | ||
Current liabilities | ||||
Trade and other payables | 4,714 | 4,671 | ||
Working capital facilities | 11,635 | 3,277 | ||
Promissory notes | 4,363 | 4,734 | ||
Short term loans | 1,255 | 937 | ||
Lease liability - current portion | 164 | 140 | ||
Total current liabilities | 22,662 | 13,759 | ||
Non-current liabilities | ||||
Lease liability - non-current portion | 2,235 | 2,603 | ||
Relief and recovery fund payable | 102 | 40 | ||
Other payables | 440 | 549 | ||
Lease inducement | 148 | |||
Total non-current liabilities | 6,234 | 3,340 | ||
Equity | ||||
Share capital | 103,305 | 102,498 | ||
Contributed surplus | 8,099 | 4,903 | ||
Warrants | 4,725 | 4,687 | ||
Accumulated other comprehensive gain | 6,135 | 5,550 | ||
Deficit | (128,971) | (119,760) | ||
Total Equity (Deficiency) | (6,707) | (2,122) | ||
Total liabilities and equity (deficiency) | 22,189 | 14,977 | ||
As Previously Reported | ||||
Current assets | ||||
Cash and cash equivalents | 626 | 4,202 | ||
Trade and other receivables | 6,309 | 1,341 | ||
Inventories | 4,477 | 4,666 | ||
Prepaid expenses and onther | 3,895 | 1,819 | ||
Due from related party | 374 | 0 | ||
Total current assets | 15,681 | 12,028 | ||
Non-current assets | ||||
Property, plant and equipment | 2,312 | 2,870 | ||
Long-term deposit | 88 | 79 | ||
Total non-current assets | 2,400 | 2,949 | ||
Total assets | 18,081 | 14,977 | ||
Current liabilities | ||||
Trade and other payables | 4,627 | 4,671 | ||
Working capital facilities | 11,635 | 3,277 | ||
Promissory notes | 4,363 | 4,734 | ||
Short term loans | 582 | 631 | ||
Lease liability - current portion | 164 | 140 | ||
Total current liabilities | 21,371 | 13,453 | ||
Non-current liabilities | ||||
Lease liability - non-current portion | 2,235 | 2,603 | ||
Relief and recovery fund payable | 249 | 300 | ||
Other payables | 145 | 169 | ||
Lease inducement | 148 | |||
Total non-current liabilities | 2,629 | 3,220 | ||
Equity | ||||
Share capital | 103,305 | 102,498 | ||
Contributed surplus | 6,235 | 4,903 | ||
Warrants | 4,725 | 4,687 | ||
Accumulated other comprehensive gain | 13,491 | 13,344 | ||
Deficit | (133,675) | (127,128) | ||
Total Equity (Deficiency) | (5,919) | (1,696) | ||
Total liabilities and equity (deficiency) | 18,081 | 14,977 | ||
Restatement | ||||
Current assets | ||||
Cash and cash equivalents | 0 | 0 | ||
Trade and other receivables | (3,396) | 0 | ||
Inventories | 2,878 | 0 | ||
Prepaid expenses and onther | (1) | 0 | ||
Due from related party | (374) | 0 | ||
Total current assets | (893) | 0 | ||
Non-current assets | ||||
Property, plant and equipment | 5,001 | 0 | ||
Long-term deposit | 0 | 0 | ||
Total non-current assets | 5,001 | 0 | ||
Total assets | 4,108 | 0 | ||
Current liabilities | ||||
Trade and other payables | 87 | 0 | ||
Working capital facilities | 0 | 0 | ||
Promissory notes | 0 | 0 | ||
Short term loans | 673 | 306 | ||
Lease liability - current portion | 0 | 0 | ||
Total current liabilities | 1,291 | 306 | ||
Non-current liabilities | ||||
Lease liability - non-current portion | 0 | 0 | ||
Relief and recovery fund payable | (147) | (260) | ||
Other payables | 295 | 380 | ||
Lease inducement | 0 | |||
Total non-current liabilities | 3,605 | 120 | ||
Equity | ||||
Share capital | 0 | 0 | ||
Contributed surplus | 1,864 | 0 | ||
Warrants | 0 | 0 | ||
Accumulated other comprehensive gain | (7,356) | (7,794) | ||
Deficit | 4,704 | 7,368 | ||
Total Equity (Deficiency) | (788) | (426) | ||
Total liabilities and equity (deficiency) | $ 4,108 | $ 0 |