v3.26.1
INCOME TAXES (Tables)
 12 Months Ended
Dec. 31, 2025
Income Tax Disclosure [Abstract]  
Schedule of Income before Income Tax, Domestic and Foreign
Income (loss) before provision for income taxes, by tax jurisdiction, was as follows, during the year ended December 31, 2025 and 2024:
Year Ended December 31,
20252024
United States$(65,328)$(982)
Schedule of Components of Income Tax Provision
The provision for income taxes for the years ended December 31, 2025 and 2024, consisted of the following:
Year Ended December 31,
20252024
Current:
Federal$150 $— 
State725 159 
Total current875 159 
Deferred:
Federal162 270 
State(142)(109)
Total deferred20 161 
Provision for income taxes$895 $320 
Schedule of Cash Flow, Supplemental Disclosures
Cash paid for income taxes, net of refunds, during the year ended December 31, 2025 and 2024 was as follows:
Year Ended December 31,
20252024
U.S. Federal income taxes, net$— $— 
State and local income taxes, net131 — 
Total cash paid for income taxes$131 $— 
Schedule of Income Tax Provision Reconciliation
A reconciliation of the provision for income taxes to the amount computed by applying the 21.0% statutory U.S. federal income tax rate to the income before income taxes after the adoption of ASU 2023-09 is as follows:
Year ended December 31, 2025
AmountPercent
Computed income taxes at the statutory rate$(13,719)21.0 %
Other Perm165 (0.3)%
Warrant Liability - Mark-to-market change1,244 (1.9)%
Nondeductible Interest Expense1,322 (2.0)%
Change in Valuation Allowance11,140 (17.1)%
Uncertain Tax Positions647 (1.0)%
State Income Tax32 — %
Other64 (0.1)%
$895 (1.4)%
A reconciliation of the provision for income taxes to the amount computed by applying the 21% statutory U.S. federal income tax rate to the income before income taxes for the year prior to the adoption of ASU 2023-09 is as follows:
Year Ended December 31,
2024
Federal statutory income tax rate21 %
Computed income tax provision at federal statutory rate$(206)
State income tax(2,037)
Uncertain tax position1,889 
Mark-to-market change on warrants(8,056)
Nondeductible interest811 
Other nondeductible expenses161 
Equity based compensation(97)
Valuation allowance7,833 
Other22 
Provision for income taxes$320 
Schedule of Components of Deferred Tax Assets and Deferred Tax Liabilities
The components of deferred tax assets and deferred tax liabilities at December 31, 2025 and 2024, were as follows:
 December 31, 2025December 31, 2024
Deferred tax assets:
Intangible assets$25,097 $20,873 
Lease liability11,702 12,666 
Interest deduction carryforward8,727 6,492 
Stock compensation10 30 
Net operating losses19,090 11,925 
Property and equipment— 38 
Other1,841 1,438 
Valuation allowance(45,713)(32,956)
Total deferred tax assets20,754 20,506 
Deferred tax liabilities  
Indefinite-lived intangible assets(11,073)(9,721)
Right of use asset(12,432)(13,720)
Property and equipment(204)— 
Total deferred tax liabilities(23,709)(23,441)
Net deferred tax liabilities$(2,955)$(2,935)
Schedule of Unrecognized Tax Benefits Roll Forward The following is a tabular reconciliation of the total amounts of gross unrecognized tax benefits for the years ended December 31, 2025 and 2024:
 December 31, 2025December 31, 2024
Gross unrecognized tax benefit - opening balance$390 $390 
Gross increases - tax position prior year7,278 — 
Gross increases - tax position current year— — 
Decreases relating to settlement with taxing authorities— — 
Gross decreases - lapse of applicable statute of limitation— — 
Gross unrecognized tax benefit - ending balance$7,668 $390