INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2025

Schedule of Effective Income Tax Rate Reconciliation

A reconciliation of the U.S. statutory federal income tax rate of 21% to the Company’s effective income tax rate, after the adoption of ASU 2023-09 for the year ended December 31, 2025 is as follows:


	Year Ended December 31, 2025
	Amount		Percent
Statutory federal income tax rate	$	(25,453)	21.0	%
Non-deductible stock compensation	1,222		(1.0)
Other	432		(0.4)
Change in valuation allowance	23,799		(19.6)
Income tax provision	$	—	—	%

A reconciliation of the U.S. statutory federal income tax rate of 21% to the Company’s effective income tax rate, prior to the adoption of ASU 2023-09 for the year ended December 31, 2024 is as follows:


	Year Ended December 31, 2024
Statutory federal income tax rate	21.0	%
State tax, net of federal benefit	3.1	%
Non-deductible stock compensation	(0.5)	%
Rate change	0.4	%
Other	(1.9)	%
Change in valuation allowance	(22.1)	%
Income tax provision	—	%

Schedule of Deferred Tax Assets and Liabilities

Significant components of the Company’s deferred tax assets as of December 31, 2025 and 2024 were as follows (in thousands):


	December 31,
	2025		2024
Deferred tax assets:
Net operating loss	$	50,390	$	20,906
Capitalized R&D	27,657		29,548
Stock compensation	4,179		3,171
R&D credit	992		1,215
Intangible assets	622		443
Accruals and other temporary differences	1,796		1,395
Gross deferred tax assets	85,636		56,678
Valuation allowance	(85,473)		(56,405)
Total deferred tax assets	163		273
Deferred tax liabilities:
Embedded debt derivative liabilities	(128)		(208)
Other	(35)		(65)
Total deferred tax liabilities	(163)		(273)
Net deferred tax assets	$	—	$	—