v3.26.1
Income Taxes (Tables)
 12 Months Ended
Dec. 31, 2025
Income Tax Disclosure [Abstract]  
Schedule of Loss From Continuing Operations Before Income Tax
The components of loss from continuing operations before income tax provision consist of the following:
(in thousands)20252024
Operations$(39,869)$(29,164)
Total loss before income taxes$(39,869)$(29,164)
Schedule of Components of Income Tax Expense (Benefit)
Income tax provision consists of the following:
(in thousands)20252024
Current:
Federal$— $— 
State— — 
Foreign— — 
Total current taxes$— $— 
Deferred:
Federal$(8,704)$(5,666)
State(1,206)(864)
Foreign— — 
Total deferred taxes$(9,910)$(6,530)
Valuation allowance9,910 6,530 
Income tax provision$— $— 
Schedule of Effective Income Tax Rate Reconciliation
A reconciliation of the provision for income taxes to the amount computed by applying the 21% statutory U.S. federal income tax rate to income before income taxes after the adoption of ASU 2023-09 is as follows:
(in thousands)2025 ($)2025 (%)
Income tax at U.S. federal statutory rate$(8,372)21.0 %
State income tax, net of federal tax effect (1)
— 0.0 %
Tax credits
   R&D credits(1,605)4.0 %
Change in valuation allowance8,957 (22.5)%
Nontaxable and nondeductible items
   Stock-based compensation469 (1.2)%
   Other221 (0.5)%
Changes in unrecognized tax benefits321 (0.8)%
Other reconciling items9 0.0 %
Effective tax provision$— 0.0 %
(1) State and local taxes in California comprise the majority of this category.
A reconciliation of the provision for income taxes to the amount computed by applying the 21% statutory U.S. federal income tax rate to income before income taxes prior to the adoption of ASU 2023-09 is as follows:
(in thousands)2024
Income tax at U.S. federal statutory rate$(6,124)
Stock-based compensation251 
State income tax, net of federal tax effect(682)
Permanent adjustments22 
Loss on tranche liability fair value adjustment717 
R&D credits(667)
Other(47)
Change in valuation allowance6,530 
Effective tax provision$— 
Schedule of Deferred Tax Assets and Liabilities
The significant components that comprised the Company’s net deferred taxes at December 31, 2025 and 2024 are as follows:
(in thousands)20252024
Deferred tax assets:
Lease liabilities$395 $972 
Stock-based compensation173 60 
Book over tax depreciation— — 
Section 174 R&E expenditures3,823 5,151 
Sales and bad debt allowances— — 
Accrued compensation3 17 
Net operating loss16,055 7,032 
Credits4,967 2,719 
Other— — 
Total deferred tax assets25,416 15,951 
Valuation allowance(24,954)(15,044)
Net deferred tax assets$462 $907 
Deferred tax liabilities:
Right-of-use assets$387 $820 
Tax over book depreciation1 13 
Other74 74 
Total deferred tax liabilities462 907 
Net deferred tax assets (liabilities)$— $— 
Schedule of Unrecognized Tax Benefits Roll Forward
Reconciliation of unrecognized tax benefits:
(in thousands)20252024
Balance as of beginning of year$1,660 $1,149 
Increases related to current year tax positions625 511 
Balance as of end of year$2,285 $1,660 
Schedule of Income Taxes Paid
The amount of income taxes paid by the Company in cash in 2025 was as follows:
(in thousands)2025
Federal$— 
State
   California1 
   New Jersey— 
Total cash paid for income taxes, net of refunds$1