Palatin (PTN) 10-Q 15 May 24 2024 Q3 Quarterly report Financial data

Cover

Cover - shares	9 Months Ended
	Mar. 31, 2024	May 14, 2024
Cover [Abstract]
Entity Registrant Name	PALATIN TECHNOLOGIES, INC.
Entity Central Index Key	0000911216
Document Type	10-Q
Amendment Flag	false
Current Fiscal Year End Date	--06-30
Entity Small Business	true
Entity Shell Company	false
Entity Emerging Growth Company	false
Entity Current Reporting Status	Yes
Document Period End Date	Mar. 31, 2024
Entity Filer Category	Non-accelerated Filer
Document Fiscal Period Focus	Q3
Document Fiscal Year Focus	2024
Entity Common Stock Shares Outstanding		16,136,640
Entity File Number	001-15543
Entity Incorporation State Country Code	DE
Entity Tax Identification Number	95-4078884
Entity Address Address Line 1	4B Cedar Brook Drive
Entity Address City Or Town	Cranbury
Entity Address State Or Province	NJ
Entity Address Postal Zip Code	08512
City Area Code	609
Local Phone Number	495‑2200
Security 12b Title	Common Stock, par value $0.01 per share
Trading Symbol	PTN
Security Exchange Name	NYSE
Document Quarterly Report	true
Document Transition Report	false
Entity Interactive Data Current	Yes

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($)	Mar. 31, 2024	Jun. 30, 2023
Cash and cash equivalents	$ 10,014,088	$ 7,989,582
Marketable securities	0	2,992,890
Accounts receivable	0	2,915,760
Inventories	0	526,000
Prepaid expenses and other current assets	254,554	1,897,281
Total current assets	10,268,642	16,321,513
Property and equipment, net	465,410	684,910
Right-of-use assets - operating leases	615,269	876,101
Other assets	56,916	56,916
Total assets	11,406,237	17,939,440
Accounts payable	3,443,247	4,303,527
Accrued expenses	2,364,964	6,511,059
Short-term operating lease liabilities	371,280	354,052
Short-term finance lease liabilities	73,141	106,392
Other current liabilities	2,280,150	3,856,800
Total current liabilities	8,532,782	15,131,830
Long-term operating lease liabilities	262,220	544,323
Long-term finance lease liabilities	0	46,014
Other long-term liabilities	1,032,300	2,083,200
Warrant liabilities	0	1,850,544
Total liabilities	9,827,302	19,655,911
Commitments and contingencies (Note 13)
Contingently redeemable warrants	0	263,400
Preferred stock of $0.01 par value - authorized 10,000,000 shares: shares issued and outstanding designated as follows:
Common stock of $0.01 par value - authorized 300,000,000 shares issued and outstanding 16,136,640 shares as of March 31, 2024 and 11,656,714 shares as of June 30, 2023	161,366	116,567
Additional paid-in capital	434,933,649	409,933,959
Accumulated deficit	(433,516,120)	(412,030,437)
Total stockholders' equity (deficiency)	1,578,935	(1,979,871)
Total liabilities and stockholders' equity (deficiency)	11,406,237	17,939,440
Series A Convertible Preferred Stocks [Member]
Preferred stock of $0.01 par value - authorized 10,000,000 shares: shares issued and outstanding designated as follows:
Series A Convertible: authorized 4,030 shares as of March 31, 2024: issued and outstanding 4,030 shares as of March 31, 2024 and June 30, 2023	$ 40	$ 40

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - $ / shares	Mar. 31, 2024	Jun. 30, 2023
Preferred stock, par value	$ 0.01	$ 0.01
Preferred stock, shares authorized	10,000,000	10,000,000
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares authorized	300,000,000	300,000,000
Common stock, shares issued	16,136,640	11,656,714
Common stock, shares outstanding	16,136,640	11,656,714
Series A Convertible Preferred Stocks [Member]
Preferred stock, shares authorized	4,030	4,030
Preferred stock, shares issued	4,030	4,030
Preferred stock, shares outstanding	4,030	4,030

Consolidated Statements of Oper

Consolidated Statements of Operations (unaudited) - USD ($)	3 Months Ended		9 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Mar. 31, 2024	Mar. 31, 2023
REVENUES
Product revenue, net	$ 0	$ 1,195,675	$ 4,140,090	$ 3,091,745
OPERATING EXPENSES
Cost of products sold	0	129,235	97,637	314,438
Research and development	7,159,686	4,830,327	17,728,516	15,224,896
Selling, general and administrative	2,033,410	3,537,376	8,266,267	10,220,518
Gain on sale of Vyleesi	25,202	0	(7,798,280)	0
Gain on purchase commitment	0	0	0	(1,027,322)
Total operating expenses	9,218,298	8,496,938	18,294,140	24,732,530
Loss from operations	(9,218,298)	(7,301,263)	(14,154,050)	(21,640,785)
OTHER INCOME (EXPENSE)
Investment income	139,273	234,044	272,929	509,006
Foreign currency gain (loss)	215,600	(77,266)	68,653	(352,121)
Interest expense	(1,254)	(3,434)	(13,741)	(18,523)
Offering expenses	0	0	(696,912)	(1,115,765)
Change in fair value of warrant liabilities	429,029	(1,521,413)	(6,962,562)	3,725,895
Total other income (expense), net	782,648	(1,368,069)	(7,331,633)	2,748,492
Loss before income taxes	(8,435,650)	(8,669,332)	(21,485,683)	(18,892,293)
Income tax benefit	0	0	0	(4,674,999)
NET LOSS	$ (8,435,650)	$ (8,669,332)	$ (21,485,683)	$ (14,217,294)
Basic and diluted net loss per common share	$ (0.53)	$ (0.76)	$ (1.53)	$ (1.34)
Weighted average number of common shares outstanding used in computing basic and diluted net loss per common share	15,792,421	11,432,380	14,013,848	10,613,830

Consolidated Statements of Chan

Consolidated Statements of Changes in Redeemable Convertible Preferred Stock and Stockholders (Deficiency) Equity (unaudited) - USD ($)	Total	Series A Convertible Preferred Stock [Member]	Common Stock	Contigently Rdeemable Warrant Member	Additional Paid-In Capital	Retained Earnings (Accumulated Deficit)	Series B Redeemable Convertible Preferred Stock Series B Member	Series C Redeemable Convertible Preferred Stock Member	Escrow Proceeds
Balance, shares at Jun. 30, 2022		4,030	9,270,947				8,100,000	900,000
Balance, amount at Jun. 30, 2022	$ 16,267,875	$ 40	$ 92,709	$ 0	$ 404,168,822	$ (387,993,696)	$ 13,500,000	$ 1,500,000	$ (15,000,000)
Cumulative effect of accounting change							0	0	0
Stock-based compensation, shares			84,062
Stock-based compensation, amount	1,452,338	0	$ 841	0	1,451,497	0	0	0	0
Withholding taxes related to restricted stock units, shares			(20,468)
Withholding taxes related to restricted stock units, amount	(146,062)	0	$ (205)	0	(145,857)	0	$ 0	$ 0	0
Redemption of convertible series B & series C preferred stock, shares							(8,100,000)	(900,000)
Redemption of convertible series B & series C preferred stock, amount	0	0	$ 0	0	0	0	$ (13,500,000)	$ (1,500,000)	15,000,000
Sale of common stock and warrants, net of costs, shares			1,020,000
Sale of common stock and warrants, net of costs, amount	165,354	0	$ 10,200	0	155,154	0	0	0	0
Conversion of liability classified warrants	3,324,653			0	3,324,653
Warrant excercises, shares			798,182
Warrant excercises, amount	78	0	$ 7,982	0	(7,904)	0	0	0	0
Reverse stock split fractional shares, shares			(43)
Reverse stock split fractional shares, amount	0	0	$ 0	0	0	0	0	0	0
Reclassification of contingently redeemable warrants	(263,400)			263,400	(263,400)
Net loss	(14,217,294)	$ 0	$ 0	0	0	(14,217,294)	0	0	0
Balance, shares at Mar. 31, 2023		4,030	11,152,680
Balance, amount at Mar. 31, 2023	6,583,542	$ 40	$ 111,527	263,400	408,682,965	(402,210,990)	0	0	0
Balance, shares at Dec. 31, 2022		4,030	10,354,498
Balance, amount at Dec. 31, 2022	11,531,386	$ 40	$ 103,545	0	404,969,459	(393,541,658)	0	0	0
Stock-based compensation, amount	396,757	0	0	0	396,757	0	0	0	0
Withholding taxes related to restricted stock units, amount	0	0	0		0	0	0	0	0
Conversion of liability classified warrants	3,324,653			0	3,324,653
Reclassification of contingently redeemable warrants	0	0	0	0	0	0	0	0	0
Net loss	(8,669,332)	0	0	0	0	(8,669,332)	0	0	0
Redemption of convertible series B & series C preferred stock	0	0	$ 0	0	0	0	0	0	0
Warrant exercises, shares			798,182
Warrant exercises, amount	78	0	$ 7,982	0	(7,904)	0	0	0	0
Sale of common stock and warrants, net of costs	0	$ 0	$ 0		0	0	0	0	0
Balance, shares at Mar. 31, 2023		4,030	11,152,680
Balance, amount at Mar. 31, 2023	6,583,542	$ 40	$ 111,527	263,400	408,682,965	(402,210,990)	$ 0	$ 0	$ 0
Balance, shares at Jun. 30, 2023		4,030	11,656,714
Balance, amount at Jun. 30, 2023	(1,979,871)	$ 40	$ 116,567	263,400	409,933,959	(412,030,437)
Stock-based compensation, shares			98,372
Stock-based compensation, amount	1,330,502	0	$ 984	0	1,329,518	0
Withholding taxes related to restricted stock units, shares			(25,467)
Withholding taxes related to restricted stock units, amount	(56,401)	0	$ (255)	0	(56,146)	0
Conversion of liability classified warrants	11,423,203	0	0	0	11,423,203	0
Reclassification of contingently redeemable warrants	263,400	0	0	(263,400)	263,400	0
Net loss	(21,485,683)	0	$ 0	0	0	(21,485,683)
Sale of common stock, net of costs, shares			2,048,530
Sale of common stock, net of costs, amount	9,693,882	0	$ 20,485	0	9,673,397	0
Conversion of liability classified warrants upon warrant exercise, shares			2,358,491
Conversion of liability classified warrants upon warrant exercise, amount	2,389,903	$ 0	$ 23,585	0	2,366,318	0
Balance, shares at Mar. 31, 2024		4,030	16,136,640
Balance, amount at Mar. 31, 2024	1,578,935	$ 40	$ 161,366	0	434,933,649	(433,516,120)
Balance, shares at Dec. 31, 2023		4,030	14,305,137
Balance, amount at Dec. 31, 2023	(11,384,426)	$ 40	$ 143,051	423,100	413,552,953	(425,080,470)
Stock-based compensation, amount	390,195	0	0	0	390,195	0
Conversion of liability classified warrants	11,423,203	0	0	0	11,423,203	0
Reclassification of contingently redeemable warrants	423,100	0	0	(423,100)	423,100	0
Net loss	(8,435,650)	0	$ 0	0	0	(8,435,650)
Sale of common stock, net of costs, shares			1,831,503
Sale of common stock, net of costs, amount	9,162,513	$ 0	$ 18,315		9,144,198	0
Balance, shares at Mar. 31, 2024		4,030	16,136,640
Balance, amount at Mar. 31, 2024	$ 1,578,935	$ 40	$ 161,366	$ 0	$ 434,933,649	$ (433,516,120)

Consolidated Statements of Cash

Consolidated Statements of Cash Flows (unaudited) - USD ($)	9 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss	$ (21,485,683)	$ (14,217,294)
Adjustments to reconcile net loss to net cash
Depreciation and amortization	257,115	207,278
Decrease in right-of-use asset	260,832	279,023
Unrealized foreign currency transaction gain	(68,653)	352,121
Stock-based compensation	1,330,502	1,452,338
Change in fair value of liability classified warrants	6,962,562	(3,725,895)
Gain on sale of Vyleesi	(7,798,280)	0
Gain on purchase commitment	0	(1,027,322)
Changes in operating assets and liabilities:
Accounts receivable	2,915,760	80,910
Prepaid expenses and other assets	1,206,564	(345,044)
Inventories	(1,154,355)	314,438
Accounts payable	(860,280)	(407,673)
Accrued expenses	(4,171,297)	(1,339,183)
Operating lease liabilities	(264,875)	(278,863)
Other liabilities	(2,118,897)	(1,010,416)
Net cash used in operating activities	(24,988,985)	(19,665,582)
CASH FLOWS FROM INVESTING ACTIVITIES:
Maturity of marketable securities	2,992,890	0
Proceeds from sale of Vyleesi	9,500,000	0
Purchases of property and equipment	(37,615)	(381,531)
Net cash provided by (used in) investing activities	12,455,275	(381,531)
CASH FLOWS FROM FINANCING ACTIVITIES:
stock units	(56,401)	(146,062)
Proceeds from the sale of common stock and warrants,	14,693,779	9,961,462
Payment of finance lease obligations	(79,265)	(75,189)
Proceeds from exercise of warrants	103	78
Net cash provided by financing activities	14,558,216	9,740,289
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS	2,024,506	(10,306,824)
CASH AND CASH EQUIVALENTS, beginning of period	7,989,582	29,939,154
CASH AND CASH EQUIVALENTS, end of period	10,014,088	19,632,330
SUPPLEMENTAL CASH FLOW INFORMATION:
Cash paid for interest	13,741	18,523
Conversion of liability classified warrants	11,423,203	0
Conversion of liability classified warrants upon warrant exercise	$ 2,389,903	$ 0

ORGANIZATION

ORGANIZATION	9 Months Ended
	Mar. 31, 2024
ORGANIZATION
ORGANIZATION	(1) ORGANIZATION Nature of Business Melanocortin Receptor System. The Company’s prior commercial product, Vyleesi®, was approved by the U.S. Food and Drug Administration (“FDA”) in June 2019 for the treatment of hypoactive sexual desire disorder (“HSDD”) in premenopausal women. As disclosed in Note 5, this product was acquired by Cosette Pharmaceuticals, Inc. (“Cosette”) on December 19, 2023. The Company’s new product development activities focus primarily on MC1r agonists, with potential to treat inflammatory and autoimmune diseases, such as dry eye disease, which is also known as keratoconjunctivitis sicca, uveitis, diabetic retinopathy, and inflammatory bowel disease. The Company believes that the MC1r agonist peptides in development have broad anti-inflammatory effects and appear to utilize mechanisms engaged by the endogenous melanocortin system in regulation of the immune system and resolution of inflammatory responses. The Company is also developing peptides that are active at more than one melanocortin receptor, and MC4r peptide and small molecule agonists with potential utility in obesity and metabolic-related disorders, including rare disease and orphan indications. Business Risks and Liquidity – As of March 31, 2024, the Company’s cash and cash equivalents were $10,014,088 and current liabilities were $8,532,782. Management intends to utilize existing capital resources for general corporate purposes and working capital, including clinical development of the Company’s MC1r and MC4r programs, and development of other portfolio products. The Company follows the provisions of Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 205-40, Presentation of Financial Statements — Going Concern Based on our available cash and cash equivalents as of March 31, 2024, management has concluded that substantial doubt exists about the Company’s ability to continue as a going concern for one year from the date these consolidated financial statements are issued. The Company is evaluating strategies to obtain additional funding for future operations which include but are not limited to obtaining equity financing, issuing debt, or reducing planned expenses. A failure to raise additional funding or to effectively implement cost reductions could harm the Company’s business, results of operations, and future prospects. If the Company is not able to secure adequate additional funding in future periods, the Company would be forced to make additional reductions in certain expenditures. This may include liquidating assets and suspending or curtailing planned programs. The Company may also have to delay, reduce the scope of, suspend, or eliminate one or more research and development programs or its commercialization efforts or pursue a strategic transaction. If the Company is unable to raise capital when needed or enter into a strategic transaction, then the Company may be required to cease operations, which could cause its stockholders to lose all or part of their investment. The consolidated financial statements have been prepared assuming the Company will continue as a going concern, which contemplates the continuity of operations, the realization of assets and the satisfaction of liabilities and commitments in the normal course of business. Assuming no additional funding and based on its current operating and development plans, the Company expects that existing cash and cash equivalents as of the date of this filing will be sufficient to fund currently anticipated operating expenses into the second half of calendar year 2024. The Company may receive contingent, sales-based milestone payments of up to $159,000,000 on sales of Vyleesi by Cosette and its licensees. Concentrations –

BASIS OF PRESENTATION

BASIS OF PRESENTATION	9 Months Ended
	Mar. 31, 2024
BASIS OF PRESENTATION
BASIS OF PRESENTATION	(2) BASIS OF PRESENTATION The accompanying unaudited consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) for interim financial information and with the instructions to Form 10-Q. Accordingly, they do not include all of the information and footnote disclosures required to be presented for complete financial statements. In the opinion of management, these consolidated financial statements contain all adjustments (consisting of normal recurring adjustments) considered necessary for fair presentation. The results of operations for the three and nine months ended March 31, 2024, may not necessarily be indicative of the results of operations expected for the full fiscal year. The accompanying unaudited consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended June 30, 2023, filed with the U.S. Securities and Exchange Commission (“SEC”), which includes consolidated financial statements as of June 30, 2023 and 2022 and for the fiscal years then ended.

SUMMARY OF SIGNIFICANT ACCOUNTI

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	9 Months Ended
	Mar. 31, 2024
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	(3) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Principles of Consolidation Revision of Previously Issued Financial Statements Contracts in Entity’s Own Equity The Company also recorded a loss of $1,521,413 and a gain of $3,725,895 as a result in the change in fair value of the warrant liabilities for the three and nine months ended March 31, 2023. The Company recorded $1,115,765 of offering expenses for the nine months ended March 31, 2023. As a result of these adjustments, the cash flow from operations decreased by $852,345 and cash flows from financing activities increased by $852,345 for the nine months ended March 31, 2023. The Company has assessed the impact of improperly classifying the warrants within equity rather than as a warranty liability that is adjusted through charges or credits to the income statement to reflect changes in the fair value of the warrants, and determined the impact is not material, quantitatively or qualitatively, to any prior period impacted. Accordingly, the Company will adjust prior periods as those financial statements are presented for comparative purposes in future filings. Use of Estimates Cash, Cash Equivalents Marketable Securities Fair Value of Financial Instruments Credit Risk Trade Accounts Receivable Property and Equipment Impairment of Long-Lived Assets Leases The ROU asset is initially measured at cost, which comprises the initial amount of the lease liability adjusted for lease payments made at or before the lease commencement date, plus any initial direct costs incurred less any lease incentives received. For operating leases, the ROU asset is subsequently measured throughout the lease term at the carrying amount of the lease liability, plus initial direct costs, plus (minus) any prepaid (accrued) lease payments, less the unamortized balance of lease incentives received. Lease expense for lease payments is recognized on a straight-line basis over the lease term. For finance leases, the ROU asset is subsequently amortized using the straight-line method from the lease commencement date to the earlier of the end of its useful life or the end of the lease term unless the lease transfers ownership of the underlying asset to the Company or the Company is reasonably certain to exercise an option to purchase the underlying asset. In those cases, the ROU asset is amortized over the useful life of the underlying asset. Amortization of the ROU asset is recognized and presented as an operating expense separately from interest expense on the lease liability. The Company has elected not to recognize an ROU asset and obligation for leases with an initial term of 12 months or less. The expense associated with short-term leases is included in selling, general and administrative expenses in the statements of operations. To the extent a lease arrangement includes both lease and non-lease components, the Company has elected to account for the components as a single lease component. Revenue Recognition Revenue from Contracts with Customers In accordance with ASC Topic 606, the Company recognizes product revenue when its performance obligation is satisfied by transferring control of the product to a customer. Per the Company’s contracts with customers, control of the product is transferred upon the conveyance of title, which occurs when the product is sold to and received by a customer. Trade accounts receivable due to the Company from contracts with its customers are stated separately in the consolidated balance sheet, net of various allowances as described in the Trade Accounts Receivable policy above. Product revenues consist of sales of Vyleesi in the United States. The Company sold Vyleesi to specialty pharmacies at the wholesale acquisition cost and payment is currently made within approximately 30 days. The Company records product revenues net of allowances for direct and indirect fees, discounts, co-pay assistance programs, estimated chargebacks and rebates. Product sales are also subject to return rights, which have not been significant to date. Gross product sales offset by product sales allowances for the three and nine months ended March 31, 2024 and 2023 are as follows: Three Months Ended March 31, Nine Months Ended March 31, 2024 2023 2024 2023 Gross product sales $ - $ 3,425,190 $ 8,875,153 $ 8,333,730 Product sales allowances and accruals - (2,229,515 ) (4,735,063 ) (5,241,985 ) Net sales $ - $ 1,195,675 $ 4,140,090 $ 3,091,745 For licenses of intellectual property, the Company assesses at contract inception whether the intellectual property is distinct from other performance obligations identified in the arrangement. If the licensing of intellectual property is determined to be distinct, revenue is recognized for nonrefundable, upfront license fees when the license is transferred to the customer and the customer can use and benefit from the license. If the licensing of intellectual property is determined not to be distinct, then the license is bundled with other promises in the arrangement into one performance obligation. The Company needs to determine if the bundled performance obligation is satisfied over time or at a point in time. If the Company concludes that the nonrefundable, upfront license fees will be recognized over time, the Company will need to assess the appropriate method of measuring proportional performance. Regulatory milestone payments are excluded from the transaction price due to the inability to estimate the probability of reversal. Revenue relating to achievement of these milestones is recognized in the period in which the milestone is achieved. Sales-based royalty and milestone payments resulting from customer contracts solely or predominately for the license of intellectual property will only be recognized upon occurrence of the underlying sale or achievement of the sales milestone in the future and such sales-based royalties and milestone payments will be recognized in the same period earned. The Company recognizes revenue for reimbursements of research and development costs under collaboration agreements as the services are performed. The Company records these reimbursements as revenue and not as a reduction of research and development expenses as the Company is the principal in the research and development activities based upon its control of such activities, which is considered part of its ordinary activities. Development milestone payments are generally due 30 business days after the milestone is achieved. Sales milestone payments are generally due 45 business days after the calendar year in which the sales milestone is achieved. Royalty payments are generally due on a quarterly basis 20 business days after being invoiced. Research and Development Costs Accrued Expenses – Stock-Based Compensation – Income Taxes Net Loss per Common Share Earnings per Share For the three months ended March 31, 2024 and 2023, no additional common shares were added to the computation of diluted EPS because to do so would have been anti-dilutive. The potential number of common shares excluded from diluted EPS during the three and nine months ended March 31, 2024 and 2023 was 8,520,332 and 3,425,323, respectively. Included in the weighted average common shares used in computing basic and diluted net loss per common share are 279,700 vested restricted stock units that had not been issued as of March 31, 2024, and 2023, respectively, due to a provision in the restricted stock unit agreements to delay delivery. Translation of foreign currencies

New and recently Adopted Accoun

New and recently Adopted Accounting Pronouncements	9 Months Ended
	Mar. 31, 2024
New and recently Adopted Accounting Pronouncements
New and recently adopted accounting pronouncements	(4) New and recently Adopted Accounting Pronouncements In November 2023, the FASB issued Accounting Standards Update (“ASU”) 2023-07, Segment Reporting (Topic 280) – Improvements to Reportable Segment Disclosures. This ASU requires that a public entity provide additional segment disclosures on an interim and annual basis. The amendments in this ASU should be applied retrospectively to all prior periods presented in the financial statements, unless impracticable. Upon transition, the segment expense categories and amounts disclosed in the prior periods should be based on the significant segment expense categories identified and disclosed in the period of adoption. The ASU is effective for fiscal years beginning after December 15, 2023 and interim periods within fiscal years beginning after December 15, 2024. Early adoption is permitted. The Company is currently evaluating the impact of the adoption on the Company’s consolidated financial statements and accompanying footnotes. In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments – Credit Losses: Measurement of Credit Losses on Financial Instruments,

ASSET PURCHASE AGREEMENT

ASSET PURCHASE AGREEMENT	9 Months Ended
	Mar. 31, 2024
ASSET PURCHASE AGREEMENT
ASSET PURCHASE AGREEMENT	(5) ASSET PURCHASE AGREEMENT On December 19, 2023, the Company entered into an Asset Purchase Agreement (the “Purchase Agreement”) with Cosette pursuant to which Cosette acquired from the Company worldwide rights to Vyleesi®. Under the terms of the Purchase Agreement, the Company sold certain assets (the “Purchased Assets”) to Cosette, comprising the exclusive right to market and sell Vyleesi for treatment of hypoactive sexual desire disorder in women, and contracts relating manufacturing and distribution of Vyleesi. The Purchased Assets include applicable intellectual property pertaining to the marketing and sale of Vyleesi, including patents, patent applications, trademarks and copyrights. In addition, Cosette acquired records pertaining to the historical sales and distribution of Vyleesi, as well as quality control and pharmacovigilance records and other records. The Company will receive up to $171,000,000, consisting of an upfront purchase price of $9,500,000, $2,500,000 payable upon the settlement of certain purchase commitments, and sales-based milestone payments of up to $159,000,000. The closing of the transaction took place simultaneously with the signing of the Purchase Agreement. As a result of the transaction, the Company recorded a loss of $25,202 and gain of $7,798,280 on the sale of Vyleesi for the three and nine months ended March 31, 2024. The Purchase Agreement includes customary representations, warranties and covenants, as well as standard mutual indemnities covering losses arising from any material breach of the Purchase Agreement or inaccuracy of representations and warranties. The parties have also entered into a transition service agreement pursuant to which the Company will provide certain transition services to Cosette for a period time and the Company will be reimbursed for the costs of the transition services. The Company is also eligible to receive regulatory approval milestones associated previous licensing of Vyleesi to Fosun for China (see Note 7) and Kwangdong for the Republic of Korea (“Korea”) (see Note 8).

MANUFACTURING SUPPLY AGREEMENTS

MANUFACTURING SUPPLY AGREEMENTS FOR VYLEESI	9 Months Ended
	Mar. 31, 2024
MANUFACTURING SUPPLY AGREEMENTS FOR VYLEESI
MANUFACTURING SUPPLY AGREEMENTS FOR VYLEESI	(6) MANUFACTURING SUPPLY AGREEMENTS FOR VYLEESI The Company has agreed to transfer to Cosette it’s right, title and interest in contracts and agreements to manufacture Vyleesi, including manufacturing contracts with Catalent Belgium S.A. (“Catalent”), a subsidiary of Catalent Pharma Solutions, Inc., to manufacture drug product and prefilled syringes and assemble prefilled syringes into an auto-injector device; Ypsomed AG (“Ypsomed”), to manufacture the auto-injector device (the “Ypsomed Agreement”); and Lonza Ltd. (“Lonza”), to manufacture the active pharmaceutical ingredient peptide (the “Lonza Agreement”). In September 2020, the Company and Catalent entered into a new Vyleesi manufacturing agreement (the “Catalent Agreement”) which includes reduced minimum annual purchase requirements (see Note 13) as compared to the original Catalent agreement and modified other financial terms. The Catalent Agreement provides that Catalent will provide manufacturing and supply services to Palatin related to production of Vyleesi, including that Catalent will supply specified minimums of Palatin’s requirements for Vyleesi during the term of the Catalent Agreement through August 21, 2025, unless earlier terminated in accordance with the terms of the Catalent Agreement. The initial term of the Catalent Agreement will be automatically extended for one 24-month period unless either party notifies the other of its desire to terminate as of the end of the initial term. The Catalent Agreement also includes customary terms and conditions relating to forecasting and minimum commitments, ordering, delivery, inspection and acceptance, and termination, among other matters (see Note 13). The initial term of the Ypsomed Agreement is through December 31, 2025, with automatic renewal for successive one-year periods unless either party terminates the Ypsomed Agreement by ten months’ written notice prior to the expiration of the Ypsomed Agreement or any automatic renewal period. There are specified minimum purchase requirements under the Ypsomed Agreement, and under specified circumstances, termination fees may be payable upon termination of the Ypsomed Agreement by the Company (see Note 13). The term of the Lonza Agreement was set to expire on December 31, 2022. In November 2022, Lonza and the Company amended the Lonza Agreement to extend contract peptide manufacturing services until June 30, 2024. The amendment reduced certain minimum purchase commitments that were previously accrued for. As a result, the Company recorded a gain on the purchase commitment of $1,027,322 upon the reversal of the accrual in the three months ended December 31, 2022 (see Note 13).

AGREEMENT WITH FOSUN

AGREEMENT WITH FOSUN	9 Months Ended
	Mar. 31, 2024
AGREEMENT WITH FOSUN
AGREEMENT WITH FOSUN	(7) AGREEMENT WITH FOSUN On September 6, 2017, the Company entered into a license agreement with Shanghai Fosun Pharmaceutical Industrial Development Co. Ltd. (“Fosun”) for exclusive rights to commercialize Vyleesi in China (the “Fosun License Agreement”). Under the terms of the Fosun License Agreement, the Company received $4,500,000 in October 2017, which consisted of an upfront payment of $5,000,000 less $500,000 that was withheld in accordance with tax withholding requirements in China and recorded as an expense during the year ended June 30, 2018. The Company has agreed to assign the Fosun License Agreement to Cosette, provided that the Company retains the right to receive a $7,500,000 milestone payment upon regulatory approval in China.

AGREEMENT WITH KWANGDONG

AGREEMENT WITH KWANGDONG	9 Months Ended
	Mar. 31, 2024
AGREEMENT WITH KWANGDONG
AGREEMENT WITH KWANGDONG	(8) AGREEMENT WITH KWANGDONG On November 21, 2017, the Company entered into a license agreement with Kwangdong Pharmaceutical Co., Ltd. (“Kwangdong”) for exclusive rights to commercialize Vyleesi in Korea (the “Kwangdong License Agreement”). Under the terms of the Kwangdong License Agreement, the Company received $417,500 in December 2017, consisting of an upfront payment of $500,000, less $82,500, which was withheld in accordance with tax withholding requirements in Korea and recorded as an expense during the year ended June 30, 2018. The Company has agreed to assign the Kwangdong License Agreement to Cosette, provided that the Company retains the right to receive a $3,000,000 milestone payment based on the first commercial sale in Korea.

PREPAID EXPENSES AND OTHER CURR

PREPAID EXPENSES AND OTHER CURRENT ASSETS	9 Months Ended
	Mar. 31, 2024
PREPAID EXPENSES AND OTHER CURRENT ASSETS
PREPAID EXPENSES AND OTHER CURRENT ASSETS	(9) PREPAID EXPENSES AND OTHER CURRENT ASSETS Prepaid expenses March 31, June 30, 2024 2023 Clinical / regulatory costs $ 32,500 $ 141,512 Insurance premiums 62,280 342,645 Vyleesi contractual advances - 816,750 Other 159,774 596,374 $ 254,554 $ 1,897,281

FAIR VALUE MEASUREMENTS

FAIR VALUE MEASUREMENTS	9 Months Ended
	Mar. 31, 2024
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS	(10) FAIR VALUE MEASUREMENTS The fair value of cash equivalents is classified using a hierarchy prioritized based on inputs. Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities. Level 2 inputs are quoted prices for similar assets and liabilities in active markets or inputs that are observable for the asset or liability, either directly or indirectly through market corroboration, for substantially the full term of the financial instrument. Level 3 inputs are unobservable inputs based on management’s own assumptions used to measure assets and liabilities at fair value. A financial asset’s or liability’s classification within the hierarchy is determined based on the lowest level input that is significant to the fair value measurement. The following table provides the assets carried at fair value: Carrying Value Quoted prices in active markets (Level 1) Other quoted/observable inputs (Level 2) Significant unobservable inputs (Level 3) March 31, 2024: Cash equivalents - Money market funds $ 8,236,002 $ 8,236,002 $ - $ - June 30, 2023: Cash equivalents - Money market funds $ 2,808,598 $ 2,808,598 - - Cash equivalents - Treasury bill 2,980,620 2,980,620 - - Marketable securities - Treasury bill 2,992,890 2,992,890 - - Total $ 8,782,108 $ 8,782,108 $ - $ -

INVENTORIES

INVENTORIES	9 Months Ended
	Mar. 31, 2024
INVENTORIES
INVENTORIES	(11) INVENTORIES Inventories consist of raw materials and work-in-process related to Vyleesi. The following table summarizes the components of inventories: March 31, June 30, 2024 2023 Raw materials $ - $ 526,000 Finished goods - - $ - $ 526,000

ACCRUED EXPENSES

ACCRUED EXPENSES	9 Months Ended
	Mar. 31, 2024
ACCRUED EXPENSES
ACCRUED EXPENSES	(12) ACCRUED EXPENSES Accrued expenses March 31, June 30, 2024 2023 Clinical / regulatory costs $ 1,366,822 $ 2,960,126 Other research related expenses 248,798 121,121 Professional Services 69,840 339,258 Personnel costs - 1,563,847 Selling expenses 667,533 1,266,653 Other 11,972 260,054 $ 2,364,964 $ 6,511,059

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES	9 Months Ended
	Mar. 31, 2024
Commitments and contingencies (Note 13)
COMMITMENTS AND CONTINGENCIES	(13) COMMITMENTS AND CONTINGENCIES Inventory Purchases The following table summarizes the contractual obligations under the New Catalent Agreement, Ypsomed Agreement, and Lonza Agreement as of March 31, 2024: Total Current 1 - 3 Years 4 - 5 Years Inventory purchase commitments $ 3,924,600 $ 2,892,300 $ 1,032,300 $ - As of March 31, 2024, the Company has $2,280,150 and $1,032,300 accrued within other current and long-term liabilities, respectively, in the consolidated balance sheet related to estimated losses for firm commitment contractual obligations under these agreements. As of June 30, 2023, $3,856,800 and $2,083,200 was accrued within other current and long-term liabilities, respectively. Losses on these firm commitment contractual obligations are recognized based upon the terms of the respective agreement and similar factors considered for the write-down of inventory, including expected sales requirements as determined by internal sales forecasts. The commitment contractual obligation amounts above are denominated in Swiss Francs and Euros and have been translated using period end exchange rates. The Company may experience a negative impact on future earnings and equity solely as a result of future foreign currency exchange rate fluctuations. Contingencies Loss Contingencies The Company is involved, from time to time, in various claims and legal proceedings arising in the ordinary course of its business. The Company is not currently a party to any such claims or proceedings that, if decided adversely to it, would either individually or in the aggregate have a material adverse effect on its business, financial condition, or results of operations.

REDEEMABLE CONVERTIBLE PREFERRE

REDEEMABLE CONVERTIBLE PREFERRED STOCK ESCROWED PROCEEDS AND STOCKHOLDERS EQUITY	9 Months Ended
	Mar. 31, 2024
REDEEMABLE CONVERTIBLE PREFERRED STOCK ESCROWED PROCEEDS AND STOCKHOLDERS EQUITY
REDEEMABLE CONVERTIBLE PREFERRED STOCK, ESCROWED PROCEEDS, AND STOCKHOLDERS' EQUITY	(14) REDEEMABLE CONVERTIBLE PREFERRED STOCK, ESCROWED PROCEEDS, AND STOCKHOLDERS’ EQUITY (DEFICIENCY) Series B and C Redeemable Convertible Preferred Stock Given that the fee and other costs were not refundable to the Company as of June 30, 2022, regardless of the election selected by the investors, the $750,000 fee, the fair value of the warrants ($234,443), and other costs of $150,995 were recorded as expenses within selling, general and administrative expenses during the year ended June 30, 2022. The Company called a meeting of stockholders on June 24, 2022, to seek approval of, among other things, an amendment to its certificate of incorporation authorizing a reverse stock split. Except as otherwise required by law, holders of the Series B Preferred Stock and Series C Preferred Stock were entitled to vote only on the reverse stock split and any adjournment of the meeting relating to the reverse stock split. The Company’s common stock, outstanding Series A Convertible Preferred Stock, the Series B Preferred Stock and the Series C Preferred Stock voted as a single class on an as-if converted basis. The holders of Series B Preferred Stock had votes equal to the number of shares of common stock into which the Series B Preferred Stock is convertible. The holders of Series C Preferred Stock were entitled to 20,000 votes per share of common stock into which the Series C Preferred Stock is convertible but could only vote in the same proportion as the shares of common stock, Series A Convertible Preferred Stock, and Series B Preferred Stock were voted on the reverse stock split or any adjournment of the stockholder meeting relating thereto. The holders of the Series B Preferred Stock agreed to vote in favor of the reverse stock split, which was approved and ultimately became effective on August 30, 2022. Series A Convertible Preferred Stock Financing Transactions – The January 2024 Private Warrants are exercisable on the six-month anniversary of the issuance date for a period of four years from the issuance date, at an exercise price equal to $5.46 per January 2024 Private Warrant Share. The January 2024 Private Warrants are exercisable for cash, or, solely during any period when a registration statement for the issuance or resale of the January 2024 Private Warrant Shares issuable upon exercise of the January 2024 Private Warrants to or by the holder of such January 2024 Private Warrants is not in effect, on a cashless basis. The Company paid the placement agent a cash fee equal to 7.0% of the aggregate gross proceeds of the January 2024 Offering and for certain expenses and legal fees in connection with the January 2024 Offering. In addition, the Company also issued to the placement agent or its designees warrants (the “2024 Placement Agent Warrants”) to purchase up to 91,575 shares of the Company’s common stock (the “January 2024 Placement Agent Warrant Shares”) as part of the compensation payable to the placement agent. The January 2024 Placement Agent Warrants have substantially the same terms as the January 2024 Private Warrants, except that the January 2024 Placement Agent Warrants have an exercise price of $6.825 per share. On March 14, 2024 the Company filed a registration statement on Form S-1 to register the January 2024 Private Warrants and the January 2024 Placement Agent Warrants, which registration statement was declared effective on March 28, 2024 and a prospectus was filed on the same date. The gross proceeds from the January 2024 Offering totaled $10,000,006, with net proceeds from the January 2024 Offering, after deducting the placement agent fees and offering expenses, amounting to $9,224,056. The Company intends to use the net proceeds received from the January 2024 Offering for general working capital purposes. On October 20, 2023, the Company entered into a securities purchase agreement (the “October 2023 Purchase Agreement”) with a certain institutional investor, to sell in a registered direct offering (the “October 2023 RD Offering”), an aggregate of (i) 1,325,000 shares of common stock (the “October 2023 Shares”), of the Company and (ii) pre-funded warrants (the “October 2023 Pre-Funded Warrants”) to purchase up to 1,033,491 shares of the Company’s common stock (the “October 2023 Pre-Funded Warrant Shares”). Pursuant to the October 2023 Purchase Agreement the Company also issued unregistered warrants (the “October 2023 Private Warrants”) to purchase up to 2,358,491 shares of the Company’s common stock (the “October 2023 Private Warrant Shares”) in a concurrent private placement (the “October 2023 Private Offering” and together with the October 2023 RD Offering, the “October 2023 Offering”). The October 2023 Shares and accompanying October 2023 Private Warrants were offered at a combined offering price of $2.12. The October 2023 Pre-Funded Warrants and accompanying October 2023 Private Warrants were offered at a combined offering price of $2.1199. The October 2023 Offering closed on October 24, 2023. The October 2023 Private Warrants are exercisable on the six-month anniversary of issuance for a period of five and one-half years from the issuance date, at an exercise price equal to $2.12 per October 2023 Private Warrant Share. The October 2023 Private Warrants will be exercisable for cash, or, solely during any period when a registration statement for the issuance or resale of the October 2023 Private Warrant Shares issuable upon exercise of the October 2023 Private Warrants to or by the holder of such October 2023 Private Warrants is not in effect, on a cashless basis. The October 2023 Pre-Funded Warrants had an exercise price of $0.0001 per October 2023 Pre-Funded Warrant Share, were exercisable upon issuance, and during the three months ended December 31, 2023, the institutional investor exercised the outstanding October 2023 Pre-Funded Warrants to purchase 1,033,491 shares of the Company’s common stock. The net proceeds from the October 2023 Offering, after deducting the placement agent fees and offering expenses, were $4,573,948. On October 31, 2022, the Company entered into a securities purchase agreement with a certain institutional investor to sell, in a registered direct offering (the “October 2022 RD Offering”), an aggregate of (i) 1,020,000 shares of the Company’s common stock, (ii) prefunded warrants (the “October 2022 Pre-Funded Warrants”) to purchase up to 798,182 shares of the Company’s common stock, and (iii) common stock warrants (the “October 2022 Common Warrants”) to purchase up to 1,818,182 shares of the Company’s common stock. Each share of common stock was offered with one accompanying October 2022 Common Warrant with a combined offering price of $5.50. Each October 2022 Pre-Funded Warrant was offered with one accompanying October 2022 Common Warrant with a combined offering price of $5.4999. The Offering was completed on November 2, 2022. The October 2022 Common Warrants have an exercise price of $5.83 per share, are exercisable beginning six months after the date of issuance and will expire five and one-half years from the date of issuance. The October 2022 Pre-Funded Warrants had an exercise price of $0.0001 per share, were exercisable upon issuance, and have been all exercised in full. The October 2022 Common Warrants will be exercisable for cash, or, solely during any period when a registration statement for the issuance or resale of the shares of common stock issuable upon exercise of the October 2022 Common Warrants to or by the holder of such October 2022 Common Warrants is not in effect, on a cashless basis. During the year ended June 30, 2023, the institutional investor exercised the outstanding October 2022 Pre-Funded Warrants to purchase 798,182 shares of the Company’s common stock. The proceeds from the October 2022 Offering, after deducting the placement agent fees and expenses and other estimated offering expenses, were $9,109,117. The private warrants and common warrants related to the October 2022 and October 2023 financings met the definition of a derivative instrument under ASC Subtopic 815-40 and were reported as liabilities as of June 30, 2023 since the warrants did not meet the criteria for equity classification. The Company recorded the warrants at fair value on its balance sheet with changes in the fair value of the warrants recorded as a non-cash charge or gain in the consolidated statements of operations. The placement agent warrants were issued to non-employees in exchange for services related to the offering are accounting for in accordance ASC 718 which requires the fair value of the warrants to be recognized as an offering expense. The placement agent warrants contain certain contingent cash settlement features that are not probable of occurring and not within the control of Company, therefore the placement agent warrants are classified out of permanent equity. On January 24, 2024, the Company and warrant holders amended the terms of warrants related to the October 2022 and October 2023 financings. As a result, all liability classified warrants were reclassified to additional paid-in capital. On April 12, 2023, the Company entered into a new equity distribution agreement (the “2023 Equity Distribution Agreement”) with Canaccord Genuity LLC (“Canaccord”), pursuant to which the Company may, from time to time, sell shares of the Company’s common stock at market prices by methods deemed to be an “at-the-market offering” as defined in Rule 415 promulgated under the Securities Act of 1933, as amended. The 2023 Equity Distribution Agreement and related prospectus is limited to sales of up to an aggregate maximum $50.0 million of shares of the Company’s common stock. The Company pays Canaccord 3.0% of the gross proceeds as a commission. Proceeds raised under the 2023 Equity Distribution Agreement are as follows: Three Months Ended March 31, 2024 Nine Months Ended March 31, 2024 Cumulative from inception Shares Proceeds Shares Proceeds Shares Proceeds Gross proceeds - $ - 217,027 $ 547,803 721,061 $ 1,744,542 Fees - - - (16,434 ) - (52,336 ) Expenses - - - - - (126,800 ) Net proceeds - $ - 217,027 $ 531,369 721,061 $ 1,565,406 As of March 31, 2024, the Company had outstanding warrants for shares of common stock as follows: Shares of Common Exercise Price per Latest Expiration Description Stock Share Date May 2022 Warrants 66,666 $ 12.50 May 11, 2026 October 2022 Private Warrants 1,818,182 $ 5.83 May 2, 2028 October 2022 Placement Agent Warrants 90,909 $ 6.88 October 31, 2027 October 2023 Private Warrants 2,358,491 $ 2.12 October 29, 2028 October 2023 Placement Agent Warrants 117,925 $ 2.65 October 29, 2028 January 2024 Private Warrants 1,831,503 $ 5.46 February 1, 2028 January 2024 Placement Agent Warrants 91,575 $ 6.83 February 1, 2028 The fair value of the warrants was determined using the Black-Scholes option-pricing model and are classified as a Level 2 financial instrument. The key assumptions used to determine the fair value was the term of the warrants, the risk-free rate and volatility. The weighted average assumptions used in the Black-Scholes model in estimating the fair value of the warrants issued for the period presented were as follows: June 30, 2023 Expected term 4.84 Volatility 82.35 % Risk-free rate 4.16 % Stock Options – A summary of stock option activity is as follows: Number of Shares Weighted Average Exercise Price Weighted Average Remaining Term in Years Aggregate Intrinsic Value Outstanding - June 30, 2023 1,550,600 $ 8.27 8.4 Granted - - Forfeited - - Exercised - - Expired - - Outstanding - March 31, 2024 1,550,600 $ 8.27 7.6 $ - Exercisable at March 31, 2024 561,688 $ 14.18 5.8 $ - Expected to vest at March 31, 2024 988,912 $ 4.91 8.7 $ - On December 16, 2022, Carl Spana, President and CEO of the Company, and Stephen T. Wills, CFO, COO and Executive Vice President of the Company, voluntarily contributed stock options previously issued to them to purchase 143,360 and 124,220 shares, respectively, of the Company’s common stock to the 2011 Stock Incentive Plan. The stock options were forfeited and cancelled without payment of any consideration by the Company. Stock options granted to the Company’s executive officers and employees generally vest over a 48-month period, while stock options granted to its non-employee directors vest over a 12-month period. Included in the outstanding options in the table above are 318,813 and 57,999 unvested performance-based stock options granted to executive officers and other employees, respectively, which were granted in June 2020, 2021, 2022 and 2023. Grants in June 2020, 2021, 2022 and 2023 were 87,303, 95,167, 60,566, and 238,838, respectively. The performance-based stock options vest on annual performance criteria through the fiscal years ending June 30, 2027, relating to advancement of MC1r programs, including initiation of clinical trials and licensing of Vyleesi in additional countries or regions. Restricted Stock Units – A summary of restricted stock unit activity is as follows: Outstanding at June 30, 2023 987,521 Granted - Forfeited (2,302 ) Expired (18,000 ) Vested (98,372 ) Outstanding at March 31, 2024 868,847 Included in outstanding restricted stock units in the table above are 279,700 vested shares that have not been issued as of March 31, 2024, due to a provision in the restricted stock unit agreements to delay delivery. Time-based restricted stock units granted to the Company’s executive officers, employees, and non-employee directors generally vest over 48 months, 48 months, and 12 months, respectively. Included in the outstanding restricted stock units in the table above are 217,833 and 37,116 unvested performance-based restricted stock units granted to executive officers and other employees, respectively, which were granted in June 2020, 2021, 2022, and 2023. Grants in June 2020, 2021, 2022, and 2023 were 52,679, 22,343, 40,707, and 152,432 restricted stock units, respectively. The performance-based restricted stock units vest on annual performance criteria through the fiscal years ending June 30, 2026, relating to advancement of MC1r programs, including initiation of clinical trials, and licensing of Vyleesi in additional countries or regions. In connection with the vesting of restricted share units during the nine months ended March 31, 2024, the Company withheld 25,467 shares, with an aggregate value of $56,401, in satisfaction of minimum tax withholding obligations.

INCOME TAXES

INCOME TAXES	9 Months Ended
	Mar. 31, 2024
INCOME TAXES
INCOME TAXES	(15) INCOME TAXES The Company has participated in the State of New Jersey’s Technology Business Tax Certificate Transfer Program (the “Program”) sponsored by The New Jersey Economic Development Authority. The Program enables approved biotechnology companies with unused Net Operating Losses (“NOLs”) and unused research and development credits (“R&D credits”) to sell these tax benefits for at least 80% of the value of the tax benefits to unaffiliated, profitable corporate taxpayers in the State of New Jersey. The Company received final approval in December 2022 for the sale of NOLs and R&D credits that resulted in the receipt of $4,674,999 in January 2023. As a result, the Company recorded an income tax benefit for the nine months ended March 31, 2023.

SUMMARY OF SIGNIFICANT ACCOUN_2

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	9 Months Ended
	Mar. 31, 2024
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Principles of Consolidation	Principles of Consolidation
Revision of Previously Issued Financial Statements	Revision of Previously Issued Financial Statements Contracts in Entity’s Own Equity The Company also recorded a loss of $1,521,413 and a gain of $3,725,895 as a result in the change in fair value of the warrant liabilities for the three and nine months ended March 31, 2023. The Company recorded $1,115,765 of offering expenses for the nine months ended March 31, 2023. As a result of these adjustments, the cash flow from operations decreased by $852,345 and cash flows from financing activities increased by $852,345 for the nine months ended March 31, 2023. The Company has assessed the impact of improperly classifying the warrants within equity rather than as a warranty liability that is adjusted through charges or credits to the income statement to reflect changes in the fair value of the warrants, and determined the impact is not material, quantitatively or qualitatively, to any prior period impacted. Accordingly, the Company will adjust prior periods as those financial statements are presented for comparative purposes in future filings.
Use of Estimates	Use of Estimates
Cash and Cash Equivalents	Cash, Cash Equivalents
Marketable Securities	Marketable Securities
Fair Value of Financial Instruments	Fair Value of Financial Instruments
Credit Risk	Credit Risk
Trade Account Receivables	Trade Accounts Receivable
Property and Equipment	Property and Equipment
Impairment of Long-Lived Assets	Impairment of Long-Lived Assets
Leases	Leases The ROU asset is initially measured at cost, which comprises the initial amount of the lease liability adjusted for lease payments made at or before the lease commencement date, plus any initial direct costs incurred less any lease incentives received. For operating leases, the ROU asset is subsequently measured throughout the lease term at the carrying amount of the lease liability, plus initial direct costs, plus (minus) any prepaid (accrued) lease payments, less the unamortized balance of lease incentives received. Lease expense for lease payments is recognized on a straight-line basis over the lease term. For finance leases, the ROU asset is subsequently amortized using the straight-line method from the lease commencement date to the earlier of the end of its useful life or the end of the lease term unless the lease transfers ownership of the underlying asset to the Company or the Company is reasonably certain to exercise an option to purchase the underlying asset. In those cases, the ROU asset is amortized over the useful life of the underlying asset. Amortization of the ROU asset is recognized and presented as an operating expense separately from interest expense on the lease liability. The Company has elected not to recognize an ROU asset and obligation for leases with an initial term of 12 months or less. The expense associated with short-term leases is included in selling, general and administrative expenses in the statements of operations. To the extent a lease arrangement includes both lease and non-lease components, the Company has elected to account for the components as a single lease component.
Revenue Recognition	Revenue Recognition Revenue from Contracts with Customers In accordance with ASC Topic 606, the Company recognizes product revenue when its performance obligation is satisfied by transferring control of the product to a customer. Per the Company’s contracts with customers, control of the product is transferred upon the conveyance of title, which occurs when the product is sold to and received by a customer. Trade accounts receivable due to the Company from contracts with its customers are stated separately in the consolidated balance sheet, net of various allowances as described in the Trade Accounts Receivable policy above. Product revenues consist of sales of Vyleesi in the United States. The Company sold Vyleesi to specialty pharmacies at the wholesale acquisition cost and payment is currently made within approximately 30 days. The Company records product revenues net of allowances for direct and indirect fees, discounts, co-pay assistance programs, estimated chargebacks and rebates. Product sales are also subject to return rights, which have not been significant to date. Gross product sales offset by product sales allowances for the three and nine months ended March 31, 2024 and 2023 are as follows: Three Months Ended March 31, Nine Months Ended March 31, 2024 2023 2024 2023 Gross product sales $ - $ 3,425,190 $ 8,875,153 $ 8,333,730 Product sales allowances and accruals - (2,229,515 ) (4,735,063 ) (5,241,985 ) Net sales $ - $ 1,195,675 $ 4,140,090 $ 3,091,745 For licenses of intellectual property, the Company assesses at contract inception whether the intellectual property is distinct from other performance obligations identified in the arrangement. If the licensing of intellectual property is determined to be distinct, revenue is recognized for nonrefundable, upfront license fees when the license is transferred to the customer and the customer can use and benefit from the license. If the licensing of intellectual property is determined not to be distinct, then the license is bundled with other promises in the arrangement into one performance obligation. The Company needs to determine if the bundled performance obligation is satisfied over time or at a point in time. If the Company concludes that the nonrefundable, upfront license fees will be recognized over time, the Company will need to assess the appropriate method of measuring proportional performance. Regulatory milestone payments are excluded from the transaction price due to the inability to estimate the probability of reversal. Revenue relating to achievement of these milestones is recognized in the period in which the milestone is achieved. Sales-based royalty and milestone payments resulting from customer contracts solely or predominately for the license of intellectual property will only be recognized upon occurrence of the underlying sale or achievement of the sales milestone in the future and such sales-based royalties and milestone payments will be recognized in the same period earned. The Company recognizes revenue for reimbursements of research and development costs under collaboration agreements as the services are performed. The Company records these reimbursements as revenue and not as a reduction of research and development expenses as the Company is the principal in the research and development activities based upon its control of such activities, which is considered part of its ordinary activities. Development milestone payments are generally due 30 business days after the milestone is achieved. Sales milestone payments are generally due 45 business days after the calendar year in which the sales milestone is achieved. Royalty payments are generally due on a quarterly basis 20 business days after being invoiced.
Research and Development Costs	Research and Development Costs
Accrued Expenses	Accrued Expenses –
Stock-Based Compensation	Stock-Based Compensation –
Income Taxes	Income Taxes
Net Loss per Common Share	Net Loss per Common Share Earnings per Share For the three months ended March 31, 2024 and 2023, no additional common shares were added to the computation of diluted EPS because to do so would have been anti-dilutive. The potential number of common shares excluded from diluted EPS during the three and nine months ended March 31, 2024 and 2023 was 8,520,332 and 3,425,323, respectively. Included in the weighted average common shares used in computing basic and diluted net loss per common share are 279,700 vested restricted stock units that had not been issued as of March 31, 2024, and 2023, respectively, due to a provision in the restricted stock unit agreements to delay delivery.
Translation of foreign currencies	Translation of foreign currencies

SUMMARY OF SIGNIFICANT ACCOUN_3

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)	9 Months Ended
	Mar. 31, 2024
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Schedule of sales	Three Months Ended March 31, Nine Months Ended March 31, 2024 2023 2024 2023 Gross product sales $ - $ 3,425,190 $ 8,875,153 $ 8,333,730 Product sales allowances and accruals - (2,229,515 ) (4,735,063 ) (5,241,985 ) Net sales $ - $ 1,195,675 $ 4,140,090 $ 3,091,745

PREPAID EXPENSES AND OTHER CU_2

PREPAID EXPENSES AND OTHER CURRENT ASSETS (Tables)	9 Months Ended
	Mar. 31, 2024
PREPAID EXPENSES AND OTHER CURRENT ASSETS
Schedule of prepaid expenses and other current assets	March 31, June 30, 2024 2023 Clinical / regulatory costs $ 32,500 $ 141,512 Insurance premiums 62,280 342,645 Vyleesi contractual advances - 816,750 Other 159,774 596,374 $ 254,554 $ 1,897,281

FAIR VALUE MEASUREMENTS (Tables

FAIR VALUE MEASUREMENTS (Tables)	9 Months Ended
	Mar. 31, 2024
FAIR VALUE MEASUREMENTS
Schedule of fair value asset measurement	Carrying Value Quoted prices in active markets (Level 1) Other quoted/observable inputs (Level 2) Significant unobservable inputs (Level 3) March 31, 2024: Cash equivalents - Money market funds $ 8,236,002 $ 8,236,002 $ - $ - June 30, 2023: Cash equivalents - Money market funds $ 2,808,598 $ 2,808,598 - - Cash equivalents - Treasury bill 2,980,620 2,980,620 - - Marketable securities - Treasury bill 2,992,890 2,992,890 - - Total $ 8,782,108 $ 8,782,108 $ - $ -

INVENTORIES (Tables)

INVENTORIES (Tables)	9 Months Ended
	Mar. 31, 2024
INVENTORIES
Schedule of inventory	March 31, June 30, 2024 2023 Raw materials $ - $ 526,000 Finished goods - - $ - $ 526,000

ACCRUED EXPENSES (Tables)

ACCRUED EXPENSES (Tables)	9 Months Ended
	Mar. 31, 2024
ACCRUED EXPENSES
Schdule of Accrued Expenses	March 31, June 30, 2024 2023 Clinical / regulatory costs $ 1,366,822 $ 2,960,126 Other research related expenses 248,798 121,121 Professional Services 69,840 339,258 Personnel costs - 1,563,847 Selling expenses 667,533 1,266,653 Other 11,972 260,054 $ 2,364,964 $ 6,511,059

COMMITMENTS AND CONTINGENCIES (

COMMITMENTS AND CONTINGENCIES (Tables)	9 Months Ended
	Mar. 31, 2024
Commitments and contingencies (Note 13)
Schedule of inventory purchase commitments	Total Current 1 - 3 Years 4 - 5 Years Inventory purchase commitments $ 3,924,600 $ 2,892,300 $ 1,032,300 $ -

REDEEMABLE CONVERTIBLE PREFER_2

REDEEMABLE CONVERTIBLE PREFERRED STOCK ESCROWED PROCEEDS AND STOCKHOLDERS (DEFICIENCY) EQUITY (Tables)	9 Months Ended
	Mar. 31, 2024
REDEEMABLE CONVERTIBLE PREFERRED STOCK ESCROWED PROCEEDS AND STOCKHOLDERS EQUITY
Equity Distribution Agreement	Three Months Ended March 31, 2024 Nine Months Ended March 31, 2024 Cumulative from inception Shares Proceeds Shares Proceeds Shares Proceeds Gross proceeds - $ - 217,027 $ 547,803 721,061 $ 1,744,542 Fees - - - (16,434 ) - (52,336 ) Expenses - - - - - (126,800 ) Net proceeds - $ - 217,027 $ 531,369 721,061 $ 1,565,406
Outstanding Stock Purchase Warrants	Shares of Common Exercise Price per Latest Expiration Description Stock Share Date May 2022 Warrants 66,666 $ 12.50 May 11, 2026 October 2022 Private Warrants 1,818,182 $ 5.83 May 2, 2028 October 2022 Placement Agent Warrants 90,909 $ 6.88 October 31, 2027 October 2023 Private Warrants 2,358,491 $ 2.12 October 29, 2028 October 2023 Placement Agent Warrants 117,925 $ 2.65 October 29, 2028 January 2024 Private Warrants 1,831,503 $ 5.46 February 1, 2028 January 2024 Placement Agent Warrants 91,575 $ 6.83 February 1, 2028
Weighted average assumption	June 30, 2023 Expected term 4.84 Volatility 82.35 % Risk-free rate 4.16 %
Stock option activity	Number of Shares Weighted Average Exercise Price Weighted Average Remaining Term in Years Aggregate Intrinsic Value Outstanding - June 30, 2023 1,550,600 $ 8.27 8.4 Granted - - Forfeited - - Exercised - - Expired - - Outstanding - March 31, 2024 1,550,600 $ 8.27 7.6 $ - Exercisable at March 31, 2024 561,688 $ 14.18 5.8 $ - Expected to vest at March 31, 2024 988,912 $ 4.91 8.7 $ -
Restricted Stock Units	Outstanding at June 30, 2023 987,521 Granted - Forfeited (2,302 ) Expired (18,000 ) Vested (98,372 ) Outstanding at March 31, 2024 868,847

ORGANIZATION (Details Narrative

ORGANIZATION (Details Narrative) - USD ($)	3 Months Ended		9 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Mar. 31, 2024	Mar. 31, 2023	Jun. 30, 2023
ORGANIZATION
Accumulated deficit	$ 433,516,120		$ 433,516,120		$ 412,030,437
Net loss	(8,435,650)	$ (8,669,332)	$ (21,485,683)	$ (14,217,294)
Description of sales-based payments			The Company may receive contingent, sales-based milestone payments of up to $159,000,000 on sales of Vyleesi by Cosette and its licensees
Cash and cash equivalents	21,485,683		$ 21,485,683
Total current liabilities	$ 8,532,782		$ 8,532,782		$ 15,131,830

SUMMARY OF SIGNIFICANT ACCOUN_4

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) - USD ($)	3 Months Ended		9 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Mar. 31, 2024	Mar. 31, 2023
Net loss	$ (8,435,650)	$ (8,669,332)	$ (21,485,683)	$ (14,217,294)
Product Revenue
Gross product sales	0	3,425,190	8,875,153	8,333,730
Product sales allowances and accruals	0	(2,229,515)	(4,735,063)	(5,241,985)
Net loss	$ 0	$ 1,195,675	$ 4,140,090	$ 3,091,745

SUMMARY OF SIGNIFICANT ACCOUN_5

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) - USD ($)	3 Months Ended	9 Months Ended		12 Months Ended
	Mar. 31, 2024	Mar. 31, 2024	Mar. 31, 2023	Jun. 30, 2023
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Potential number of common shares excluded from diluted EPS	8,520,332	3,425,323
Liability for the warrants amount				$ 1,850,544
Contingently redeemable warrants amount				263,400
Additional paid-in capital				5,619,090
Increased accumulated deficit				$ 3,505,146
Change in fair value of the warrant liabilities	$ (1,521,413)	$ 3,725,895
Offering expenses			$ 1,115,765
Cash flows from financing activities			852,345
Cash flow from operations decreased			$ 852,345
Weighted average vested restricted stock units	279,700			279,700
Money market account and treasury bills	$ 8,236,002	$ 8,236,002		$ 5,789,218

ASSET PURCHASE AGREEMENT (Detai

ASSET PURCHASE AGREEMENT (Details Narrative)	9 Months Ended
	Mar. 31, 2024 USD ($)
ASSET PURCHASE AGREEMENT
Payable the settlement of certain purchase commitments	$ 2,500,000
Acounts receiveble	171,000,000
Sales-based milestone payments	159,000,000
Upfront purchase price amount	9,500,000
Gain of the sale	$ 7,798,280

MANUFACTURING SUPPLY AGREEMEN_2

MANUFACTURING SUPPLY AGREEMENTS FOR VYLEESI (Details Narrative)	9 Months Ended
	Mar. 31, 2024 USD ($)
MANUFACTURING SUPPLY AGREEMENTS FOR VYLEESI
Gain on the purchase commitment	$ 1,027,322

AGREEMENT WITH FOSUN (Details N

AGREEMENT WITH FOSUN (Details Narrative) - USD ($)		1 Months Ended
	Sep. 06, 2017	Nov. 21, 2017
AGREEMENT WITH FOSUN
Company License Agreement Recievables	$ 4,500,000
Upfront Payments	5,000,000	$ 500,000
Milestone payment receivable	7,500,000	3,000,000
Recievable under company agreement	417,500	$ 417,500
Tax Expense	82,500
Upfront payment of less	$ 500,000

AGREEMENT WITH KWANGDONG (Detai

AGREEMENT WITH KWANGDONG (Details Narrative) - USD ($)		1 Months Ended
	Sep. 06, 2017	Nov. 21, 2017
AGREEMENT WITH KWANGDONG
Recievable under company agreement	$ 417,500	$ 417,500
Upfront payments	5,000,000	500,000
Tax Expense		82,500
Milestone payment receivable	$ 7,500,000	$ 3,000,000

PREPAID EXPENSES AND OTHER CU_3

PREPAID EXPENSES AND OTHER CURRENT ASSETS (Details) - USD ($)	Mar. 31, 2024	Jun. 30, 2023
PREPAID EXPENSES AND OTHER CURRENT ASSETS
Clinical / regulatory costs	$ 32,500	$ 141,512
Insurance premiums	62,280	342,645
Vyleesi contractual advances	0	816,750
Other	159,774	596,374
Total prepaid expenses and other current assets	$ 254,554	$ 1,897,281

FAIR VALUE MEASUREMENTS (Detail

FAIR VALUE MEASUREMENTS (Details) - USD ($)	Mar. 31, 2024	Jun. 30, 2023
Cash Equivalents - Money market funds	$ 8,236,002	$ 2,808,598
Cash Equivalents - Treasury bill		2,980,620
Marketable securities - Treasury bill		2,992,890
Total		8,782,108
Level 1
Cash Equivalents - Money market funds	8,236,002	2,808,598
Cash Equivalents - Treasury bill		2,980,620
Marketable securities - Treasury bill		2,992,890
Total		8,782,108
Level 2
Cash Equivalents - Money market funds	0	0
Cash Equivalents - Treasury bill		0
Marketable securities - Treasury bill		0
Total		0
Level 3
Cash Equivalents - Money market funds	$ 0	0
Cash Equivalents - Treasury bill		0
Marketable securities - Treasury bill		0
Total		$ 0

INVENTORIES (Details)

INVENTORIES (Details) - USD ($)	Mar. 31, 2024	Jun. 30, 2023
INVENTORIES
Raw materials	$ 0	$ 526,000
Finished goods	0	0
Inventories	$ 0	$ 526,000

ACCRUED EXPENSES (Details)

ACCRUED EXPENSES (Details) - USD ($)	Mar. 31, 2024	Jun. 30, 2023
ACCRUED EXPENSES
Clinical / regulatory costs	$ 1,366,822	$ 2,960,126
Other research related expenses	248,798	121,121
Professional services	69,840	339,258
Personal cost	0	1,563,847
Selling expenses	667,533	1,266,653
Other	11,972	260,054
Total	$ 2,364,964	$ 6,511,059

COMMITMENTS AND CONTINGENCIES_2

COMMITMENTS AND CONTINGENCIES (Details)	Mar. 31, 2024 USD ($)
Inventory purchase commitments	$ 3,924,600
Current
Inventory purchase commitments	2,892,300
1 - 3 Years
Inventory purchase commitments	1,032,300
4 - 5
Inventory purchase commitments	$ 0

COMMITMENTS AND CONTINGENCIES_3

COMMITMENTS AND CONTINGENCIES (Details Narrative) - USD ($)	Mar. 31, 2024	Jun. 30, 2023
Commitments and contingencies (Note 13)
Other Liabilities Current	$ 2,280,150	$ 3,856,800
Accrued Other long-term Liabilities	$ 1,032,300	$ 2,083,200

REDEEMABLE CONVERTIBLE PREFER_3

REDEEMABLE CONVERTIBLE PREFERRED STOCK ESCROWED PROCEEDS AND STOCKHOLDERS (DEFICIENCY) EQUITY (Details) - USD ($)	3 Months Ended	9 Months Ended
	Mar. 31, 2024	Mar. 31, 2024
Equity Gross proceeds, Shares	0	217,027
Equity Gross proceeds, Proceeds	$ 0	$ 547,803
Equity Fees, Shares	0	0
Equity Fees, Proceeds	$ 0	$ (16,434)
Equity Expenses, Shares	0	0
Equity Expenses, Proceeds	$ 0	$ 0
Equity Net proceeds, Shares	0	217,027
Equity Net proceeds, Proceeds	$ 0	$ 531,369
Cumulative from inception
Equity Gross proceeds, Shares		721,061
Equity Gross proceeds, Proceeds		$ 1,744,542
Equity Fees, Shares		0
Equity Fees, Proceeds		$ (52,336)
Equity Expenses, Shares		0
Equity Expenses, Proceeds		$ 126,800
Equity Net proceeds, Shares		721,061
Equity Net proceeds, Proceeds		$ 1,565,406

REDEEMABLE CONVERTIBLE PREFER_4

REDEEMABLE CONVERTIBLE PREFERRED STOCK ESCROWED PROCEEDS AND STOCKHOLDERS EQUITY (Details 1)	9 Months Ended
	Mar. 31, 2024 $ / shares shares
May 2022 Warrants
Shares of Common Stock | shares	66,666
Exercise Price per Share | $ / shares	$ 12.50
Latest Termination Date	May 11, 2026
October 2022 private Warrants
Shares of Common Stock | shares	1,818,182
Exercise Price per Share | $ / shares	$ 5.83
Latest Termination Date	May 2, 2028
October 2022 Placement Agent Warrants
Shares of Common Stock | shares	90,909
Exercise Price per Share | $ / shares	$ 6.88
Latest Termination Date	October 31, 2027
October 2023 Private Warrants
Shares of Common Stock | shares	2,358,491
Exercise Price per Share | $ / shares	$ 2.12
Latest Termination Date	October 29, 2028
October 2023 Placement Agent Warrants
Shares of Common Stock | shares	117,925
Exercise Price per Share | $ / shares	$ 2.65
Latest Termination Date	October 29, 2028
January 2024 Private Warrants
Shares of Common Stock | shares	1,831,503
Exercise Price per Share | $ / shares	$ 5.46
Latest Termination Date	February 1, 2028
January 2024 Placement Agent Warrants
Shares of Common Stock | shares	91,575
Exercise Price per Share | $ / shares	$ 6.83
Latest Termination Date	February 1, 2028

REDEEMABLE CONVERTIBLE PREFER_5

REDEEMABLE CONVERTIBLE PREFERRED STOCK ESCROWED PROCEEDS AND STOCKHOLDERS EQUITY (Details 2)	9 Months Ended
	Mar. 31, 2024
REDEEMABLE CONVERTIBLE PREFERRED STOCK ESCROWED PROCEEDS AND STOCKHOLDERS EQUITY
Expected option life (years)	4 years 10 months 2 days
Volatility factor	82.35%
Risk-free interest rate	4.16%

REDEEMABLE CONVERTIBLE PREFER_6

REDEEMABLE CONVERTIBLE PREFERRED STOCK ESCROWED PROCEEDS AND STOCKHOLDERS EQUITY (Details 3)	9 Months Ended
	Mar. 31, 2024 USD ($) $ / shares shares
REDEEMABLE CONVERTIBLE PREFERRED STOCK ESCROWED PROCEEDS AND STOCKHOLDERS EQUITY
Number of Options Outstanding, Beginning | shares	1,550,600
Number of Options Exercisable | shares	561,688
Number of Options Expected to vest | shares	988,912
Number of Options Outstanding, Ending | shares	1,550,600
Weighted Average Exercise Price Outstanding, Beginning	$ 8.27
Weighted Average Exercise Price Granted	0
Weighted Average Exercise Price Forfeited	0
Weighted Average Exercise Price Exercised	0
Weighted Average Exercise Price Expired	0
Weighted Average Exercise Price Outstanding, Ending	8.27
Weighted Average Exercise Price Exercisable	14.18
Weighted Average Exercise Price Options Expected to vest	$ 4.91
Weighted Average Remaining Term in Years Options outstanding at beginning of year	8 years 4 months 24 days
Weighted Average Remaining Term in Years Options outstanding at end of year	7 years 7 months 6 days
Weighted Average Remaining Term in Years Options exercisable at end of year	5 years 9 months 18 days
Weighted Average Remaining Term in Years Options Expected to vest	8 years 8 months 12 days
Aggregate Intrinsic Value Options Expected to vest | $	$ 0
Aggregate Intrinsic Value Options Expected to outstanding | $	0
Aggregate Intrinsic Value Options Expected to Expected | $	$ 0

REDEEMABLE CONVERTIBLE PREFER_7

REDEEMABLE CONVERTIBLE PREFERRED STOCK ESCROWED PROCEEDS AND STOCKHOLDERS EQUITY (Details 4)	9 Months Ended
	Mar. 31, 2024 shares
REDEEMABLE CONVERTIBLE PREFERRED STOCK ESCROWED PROCEEDS AND STOCKHOLDERS EQUITY
Outstanding at beginning of year	987,521
Granted	0
Forfeited	(2,302)
Expired	18,000
Vested	(98,372)
Outstanding at ending of year	868,847

REDEEMABLE CONVERTIBLE PREFER_8

REDEEMABLE CONVERTIBLE PREFERRED STOCK ESCROWED PROCEEDS AND STOCKHOLDERS EQUITY (Details Narrative) - USD ($)		1 Months Ended				3 Months Ended			6 Months Ended	9 Months Ended		12 Months Ended
	May 11, 2022	Feb. 29, 2024	Oct. 20, 2023	Dec. 16, 2022	Oct. 31, 2022	Mar. 31, 2024	Mar. 31, 2023	Dec. 31, 2022	Dec. 31, 2022	Mar. 31, 2024	Mar. 31, 2023	Jun. 30, 2023	Jun. 30, 2022	Jan. 31, 2024	Jun. 30, 2021	Jun. 30, 2020
Stock based compensation, options						$ 205,176		$ 121,584	$ 382,541	$ 615,716
Number of common stock share					798,182					1,033,491		1,033,491
Exercise price per share			$ 2.12		$ 5.83									$ 5.46
Fees and expenses			$ 4,573,948		$ 9,109,117					$ 9,224,056
Gross proceeds										$ 10,000,006,000,000
Voting of shares description										The holders of Series C Preferred Stock were entitled to 20,000 votes per share
Exercise price			$ 0.0001		$ 0.0001	$ 6.82				$ 6.82
Description of commission										The Company pays Canaccord 3.0% of the gross proceeds as a commission
Unvested performance-based restricted stock												$ 238,838	$ 60,566		$ 95,167	$ 87,303
Unvested performance-based stock options granted to executive officers and other employees						318,813				318,813
Unvested performance-based stock options granted						57,999				57,999
Stock based compensation, restricted stock units						$ 185,019	$ 202,512			$ 555,057	$ 612,132
Outstanding vested restricted stock unit						279,700				279,700
Description of securities purchase agreement		the Company issued to the investors in the January 2024 RD Offering unregistered warrants (the “January 2024 Private Warrants”) to purchase up to 1,831,503 shares of the Company’s common stock (the “January 2024 Private Warrant Shares”) in a concurrent private placement (the “Private Offering” and together with the January 2024 RD Offering, the “January 2024 Offering”). The shares of common stock and accompanying January 2024 Private Warrants were offered at a combined offering price of $5.46	(i) 1,325,000 shares of common stock (the “October 2023 Shares”), of the Company and (ii) pre-funded warrants (the “October 2023 Pre-Funded Warrants”) to purchase up to 1,033,491 shares of the Company’s common stock (the “October 2023 Pre-Funded Warrant Shares”). Pursuant to the October 2023 Purchase Agreement the Company also issued unregistered warrants (the “October 2023 Private Warrants”) to purchase up to 2,358,491 shares of the Company’s common stock (the “October 2023 Private Warrant Shares”) in a concurrent private placement (the “October 2023 Private Offering” and together with the October 2023 RD Offering, the “October 2023 Offering”). The October 2023 Shares and accompanying October 2023 Private Warrants were offered at a combined offering price of $2.12. The October 2023 Pre-Funded Warrants and accompanying October 2023 Private Warrants were offered at a combined offering price of $2.1199		(i) 1,020,000 shares of the Company’s common stock, (ii) prefunded warrants (the “October 2022 Pre-Funded Warrants”) to purchase up to 798,182 shares of the Company’s common stock, and (iii) common stock warrants (the “October 2022 Common Warrants”) to purchase up to 1,818,182 shares of the Company’s common stock. Each share of common stock was offered with one accompanying October 2022 Common Warrant with a combined offering price of $5.50. Each October 2022 Pre-Funded Warrant was offered with one accompanying October 2022 Common Warrant with a combined offering price of $5.4999
Total gross proceeds										$ 15,000,000
Account to release										171,000,000
Distributable value of dividend						$ 100				100
Selling, general and administrative expenses						$ 2,033,410	$ 3,537,376			$ 8,266,267	$ 10,220,518
Executive Officers
Unvested performance-based stock options granted to executive officers and other employees						217,833				217,833
Unvested performance-based stock options granted						37,116				37,116
Unvested performance-based restricted stock units granted												152,432	40,707		22,343	52,679
Convertible Series A Preferred Stocks
Convertible preferred stock were outstanding						4,030				4,030
Aggregate value										$ 403,000
Conversion price						$ 75.45				$ 75.45
Convertible shares						$ 1.33				$ 1.33
Distributable value of dividend						$ 100				$ 100
Distributable value of dividend additional						$ 100				100
Series B Convertible Preferred Stock
Fee										750,000
Selling, general and administrative expenses													$ 150,995
Fair value of the warrants													$ (234,443)
Securities Purchase Agreement Plan [Member] | Series B and C Redeemable Convertible Preferred Stock [Member]
Exercise price	$ 12.50
Account to release										15,750,000
Fee										750,000
Warrants to purchase up	66,666
Total gross proceeds from the offering										$ 15,000,000
Expiry of share issuance	48 years
Securities Purchase Agreement [Member] | Series B Redeemable Convertible Preferred Stock [Member]
Shares sold	8,100,000
Securities Purchase Agreement [Member] | Series C Redeemable Convertible Preferred Stock [Member]
Shares sold	900,000
Share purchase price	$ 1.67
2011 Stock Incentive Plan [Member] | President and CEO [Member]
Voluntarily contributed stock options number of share				143,360
2011 Stock Incentive Plan [Member] | CFO and COO [Member]
Voluntarily contributed stock options number of share				124,220
2023 Equity Distribution Agreement [Member]
Description of equity distribution agreement										The 2023 Equity Distribution Agreement and related prospectus is limited to sales of up to an aggregate maximum $50.0 million of shares of the Company’s common stock
Vesting of restricted share units										25,467
Vesting of restricted share units value aggregate										$ 56,401

INCOME TAXES (Details Narrative

INCOME TAXES (Details Narrative) - USD ($)	3 Months Ended			9 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Dec. 31, 2022	Mar. 31, 2024	Mar. 31, 2023
INCOME TAXES
Income tax benefit	$ 0	$ 0	$ 4,674,999	$ 0	$ 4,674,999
Sale value of the tax benefits to unaffiliated				80%