The Company is the lessee in all of its lease arrangements. The Company did not enter into any leases with related parties during the presented periods. The Company makes assumptions and judgments when assessing contracts for lease components, determining lease classifications, and calculating right-of-use asset and lease liability values. These assumptions and judgments may include the useful lives and fair values of the leased assets, the implicit rate underlying the Company’s leases, the Company’s incremental borrowing rate or the Company’s intent to exercise or not exercise options available in lease contracts.

The following table shows right-of-use assets and lease liabilities and the associated financial statement line items as of June 30, 2025 and December 31, 2024 (in thousands):


		June 30,		December 31,
Lease-Related Assets and Liabilities	Financial Statement Line Items	2025		2024
Right-of-use assets:
Operating leases	Other assets	$	313	$	613
Finance leases	Property and equipment, net		542		699
Total right-of-use assets		$	855	$	1,312

Lease liabilities:
Operating leases	Accrued and other current liabilities	$	328	$	644
Finance leases	Finance lease obligation, current portion		23		194
	Finance lease obligation, net of current portion		—		2
Total lease liabilities		$	351	$	840

Lease costs and other information consisted of the following (in thousands, except terms and rates):


	Three Months Ended						Six Months Ended
	June 30,						June 30,
	2025			2024			2025			2024
Lease cost
Finance lease cost:
Amortization of right-of-use assets	$	78		$	78		$	157		$	157
Interest on lease liabilities		1			8			3			17
Operating lease cost		159			159			318			318
Total lease cost	$	238		$	245		$	478		$	492

Other information
Finance leases:
Operating cash outflows	$	1		$	8		$	3		$	17
Financing cash outflows	$	58		$	109		$	173		$	217
Weighted-average remaining lease term (in years)		0.2			0.9			0.2			0.9
Weighted-average discount rate		8.0	%		6.6	%		8.0	%		6.6	%
Operating leases:
Operating cash outflows	$	166		$	162		$	333		$	323
Weighted-average remaining lease term (in years)		0.5			1.5			0.5			1.5
Weighted-average discount rate		7.5	%		7.5	%		7.5	%		7.5	%

Future minimum lease payments for the Company’s leases as of June 30, 2025, were as follows (in thousands):


	Operating Leases			Finance Leases			Total
2025	$	333		$	22		$	355
2026		—			2			2
2027 and thereafter		—			—			—
Total minimum lease payments		333			24			357
Less: imputed interest		(5	)		(1	)		(6	)
Present value of future lease payments		328			23			351
Less: current portion		(328	)		(23	)		(351	)
Long-term portion	$	—		$	—		$	—

The Company leases a total of approximately 24,300 square feet of office and laboratory space under a single non-cancelable operating lease with a termination date of December 31, 2025. The implicit rate provided in the Company’s operating lease is not readily determinable. As such, the Company uses its incremental borrowing rate to calculate the present value of its operating lease liabilities.

The Company leases certain equipment related to its information technology infrastructure and laboratory operations. All of the Company’s current finance leases include bargain purchase options that the Company is reasonably certain to exercise. The Company has elected not to separate lease and non-lease components for its equipment leases. The rates implicit in the Company’s finance leases are determinable, and the Company uses those rates to calculate the present value of its finance lease liabilities.

The Company has agreed to indemnify its officers and directors for certain events or occurrences while the officer or director is or was serving at the Company’s request in such capacity. The maximum amount of potential future indemnification is unlimited; however, the Company purchases director and officer insurance coverage that provides for corporate reimbursements of covered obligations that limits the Company’s exposure and enables it to recover a portion of potential future amounts paid. The Company is unable to reasonably estimate the maximum amount that could be payable under these arrangements since these obligations are not capped but are conditional to the unique facts and circumstances involved. Accordingly, the Company has no liabilities recorded for these agreements as of June 30, 2025 and December 31, 2024. The Company has never incurred costs to defend lawsuits or settle claims related to these indemnification agreements.

The Company is not currently a party to any material litigation or other material legal proceedings. The Company may, from time to time, be involved in various legal proceedings arising from the normal course of business activities, and an unfavorable resolution of any of these matters could materially affect the Company’s future results of operations, cash flows, or financial position.