Artelo Biosciences, Inc. Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

LEASES

LEASES

9 Months Ended

Sep. 30, 2022

NOTE 7 - LEASES

On May 12, 2021, the Company entered into a lease arrangement for office space with Beckman/Lomas LLC, an entity controlled by a close family member of a director. Effective June 1, 2022, the related party had divested its interests in the property, and as such, will no longer constitute a related party transaction. On April 19, 2022, the Company entered into a lease arrangement for office space with an annual rent of $13 (£11) and the term from April 2022 through September 2023.

The following summarizes the right-of use asset and lease information about the Company’s operating lease as of September 30, 2022:

	Nine months ended
	September 30,
	2022			2021
Lease cost
Operating lease cost	$	30		$	11

Other information
Cash paid for operating cash flows from operating leases	$	34		$	3
Right-of-use assets obtained in exchange for new operating lease liability	$	20		$	97

Weighted-average remaining lease term — operating leases (year)		1.81			2.92
Weighted-average discount rate — operating leases		2.98	%		3.00	%

Future non-cancelable minimum lease payments under the operating lease liability as of September 30, 2022, are as follows:

	Total
Year Ended December 31,
2022 - Remaining 3 months		11
2023		41
2024		24
Thereafter		-
		76
Less: Imputed interest		(2	)
Operating lease liabilities		74

Operating lease liability - current		42
Operating lease liability - non-current	$	32