v3.25.2
Segments
 6 Months Ended
Jun. 30, 2025
Segments [Abstract]  
Segments

14. Segments

 

The Company operates in two segments – the sale of products and licensing/service income in India (“Pharmaceutical Segment”) and the development of biotechnology products (“Biotechnology Segment”), with substantially all of the resources of the Company focused on its biotechnology activities. The Company purchases substantially all of the products for the Pharmaceutical Segment from a third-party manufacturer. Other income items relate to corporate financing activities outside of these two segments. Reporting by segment is summarized as follows:

 

Amount in USD  For the six months ended June 30, 2025   For the six months ended June 30, 2024 
   Biotechnology   Pharmaceutical   Total   Biotechnology   Pharmaceutical   Total 
Revenues  $
—
   $248,536   $248,536   $
—
   $110,990   $110,990 
Gross margin   
—
    178,655    178,655    
—
    95,124    95,124 
Operating expenses:                              
Depreciation and amortization   6,491    
—
    6,491    9,056    
—
    9,056 
Selling, general and administrative   484,739    40,281    525,020    363,801    40,574    404,375 
Research and development   144,776    25,553    170,329    124,600    26,449    151,049 
Total Operating expenses   636,006    65,834    701,840    497,457    67,023    564,480 
Other expenses                              
Interest expense   (111,093)   
—
    (111,093)   (107,487)   
—
    (107,487)
Fair value adjustment   30,511    
—
    30,511    (17,996)  —    (17,996)
Other income (loss), net   1,035    
—
    1,035    1,707    
—
    1,707 
Other expenses   (79,547)   
—
    (79,547)   (123,776)   
—
    (123,776)
Net income  $(715,553)  $112,821   $(602,732)  $(621,233)  $(28,101)  $(593,132)
                               
Assets of segment  $1,625,478   $341   $1,625,819   $1,375,638   $3,130   $1,378,768 

 

The Company derives revenues from the sale of products, including royalties related to sales of such products and from the license of technology. Substantially all revenues for the six months ended June 30, 2025, and 2024 are derived from one customer, a significant pharmaceutical company based in India - Sun Pharma (“Major Customer”). Revenues for the six months ended June 30, 2025, and 2024 are summarized as follows:

 

   Six months
ending		   Six months
ending		 
   June 30,
2025		   June 30, 2024 
Service fee for arrangements for sale of Dandruff products  $
-
   $75,147 
Licensing and milestone fees – Luliconazole   116,900    

-

 
Sale of products   121,424    28,113 
Royalty income related to above product sales   10,212    7,730 
Total  $248,536   $110,990 

In December 2020, the Company entered into a licensing contract for a product to such a Major Customer, whereby the Company would be entitled to development and sales-based milestones and royalties on future sales of the product by the Major Customer. No development milestones, sales-based milestones or royalties have been received under this license during the six months ended June 30, 2025 or 2024.

 

During 2024, the Company amended its arrangement with the Major Customer such that the Company will no longer be responsible for purchasing and selling inventory of the Dandruff Lotion and Shampoo, but instead will receive a net service fee payment for sales of such products made by the Major Customer. These payments are recorded as service fee revenue in the period earned.