Income Taxes (Tables)
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12 Months Ended |
Dec. 31, 2025 |
| Income Taxes |
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| Schedule of Pretax book income (loss), as per geographical location |
Income before income taxes included the following (in thousands): | | | | | | | | | As of December 31, 2025 | | As of December 31, 2024 | Pretax book income/(loss) | | | | | | | United States | | $ | (56,511) | | $ | (77,193) | United Kingdom | | | (6,378) | | | (5,541) | Germany | | | — | | | (1,008) | Netherlands | | | 119 | | | (35) | Pretax book loss | | $ | (62,770) | | $ | (83,777) |
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| Schedule of Deferred Tax Assets and Liabilities |
The tax effects of temporary differences and tax loss and credit carry forwards that give rise to significant portions of deferred tax assets and liabilities at December 31, 2025 and 2024 are comprised of the following (in thousands): | | | | | | | | | As of December 31, 2025 | | As of December 31, 2024 | Deferred tax asset | | | | | | | Net operating loss carryforward | | $ | 236,137 | | $ | 222,329 | Research and development credit carry forwards | | | 19,746 | | | 18,687 | Capitalized research and experimental expenditures | | | 24,835 | | | 23,496 | Stock based compensation | | | 16,856 | | | 17,116 | Intangible assets | | | (12,970) | | | 38 | Other | | | 12 | | | (407) | Total deferred tax assets | | | 284,616 | | | 281,221 | Valuation Allowance | | | (297,787) | | | (281,221) | Deferred tax liability, net of allowance | | $ | (13,171) | | $ | — |
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| Schedule of Effective Income Tax Rate Reconciliation |
The expected tax expense (benefit) based on the U.S. federal statutory rate is reconciled with actual tax expense (benefit) as follow (dollars in thousands): | | | | | | | | | | | | | | As of December 31, 2025 | | | As of December 31, 2024 | | | | $ | Amount | | Percent | % | $ | Amount | | Percent | % | Statutory federal income tax rate | | | (13,182) | | 21.0 | % | | (17,593) | | 21.0 | % | State taxes, net of federal tax benefit (a) | | | — | | 0.0 | % | | (456) | | 5.8 | % | Foreign tax effect | | | | | | | | | | | | Rate differential | | | (279) | | 0.4 | % | | 170 | | -0.2 | % | Rate change | | | (475) | | 0.8 | % | | — | | 0.0 | % | Change in valuation allowance | | | 1,532 | | -2.4 | % | | 1,213 | | -1.4 | % | Nontaxable or nondeductible items | | | | | | | | | | | | Interest on convertible debt | | | 1,015 | | -1.6 | % | | 648 | | -0.8 | % | Debt extinguishment on convertible debt | | | 2,403 | | -3.8 | % | | 2,125 | | -2.5 | % | Mark-to-market gain on convertible debt | | | (5,383) | | 8.6 | % | | (1,620) | | 1.9 | % | Other permanent items and true ups | | | (490) | | 0.8 | % | | 13 | | 0.0 | % | Tax credits | | | | | | | | | | | | Research & development tax credits | | | (468) | | 0.7 | % | | (464) | | 0.6 | % | Change in unrecognized tax benefit | | | — | | 0.0 | % | | — | | 0.0 | % | Change in valuation allowance | | | 14,790 | | -23.6 | % | | 15,964 | | -19.1 | % | Income tax provision (benefit) | | | (537) | | 0.9 | % | | — | | 0.0 | % |
(a)State taxes in Maryland made up the majority (greater than 50 percent) of the tax effect in this category.
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| Schedule of Components of Income Tax Expense (Benefit) |
| | | | | | | | | As of December 31, 2025 | | As of December 31, 2024 | Federal | | | | | | | Current | | $ | — | | $ | — | Deferred | | | (12,733) | | | (13,994) | State | | | | | | | Current | | | — | | | — | Deferred | | | (6,832) | | | (4,364) | Foreign | | | | | | | Current | | | (497) | | | — | Deferred | | | 2,959 | | | (1,418) | Change in valuation allowance | | | 16,566 | | | 19,776 | Income tax provision (benefit) | | $ | (537) | | $ | — |
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