Revisions to Previously Issued Condensed Consolidated Financial Statements and Financial Information

6 Months Ended

Jun. 30, 2026

Revisions to Previously Issued Condensed Consolidated Financial Statements and Financial Information [Abstract]

REVISIONS TO PREVIOUSLY ISSUED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS AND FINANCIAL INFORMATION

NOTE 2 – REVISIONS TO PREVIOUSLY ISSUED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS AND FINANCIAL INFORMATION

As previously reported in the Company’s Annual Report on Form 10-K, during the preparation of its consolidated financial statements for the year ended December 31, 2025, the Company identified an error in its previously reported consolidated financial statements for the year ended December 31, 2024 and for each of the quarters ended March 31, June 30, and September 30, 2025. Specifically, certain options denominated in Canadian dollars (the “CAD Options”) were previously classified as equity awards. Upon further evaluation of the terms of the CAD Options and the applicable accounting guidance, the Company determined that because the exercise price of the CAD Options is denominated in a currency that is different than the one in which a substantial portion of the Company’s shares are traded, the CAD Options were considered to be indexed to a factor other than a market, performance, or service condition. Accordingly, the CAD Options should have been accounted for as liability-classified awards measured at fair value beginning with the Company’s US initial public offering in November 2024, with subsequent changes in fair value recognized in earnings each reporting period.

In accordance with Staff Accounting Bulletin (“SAB”) 99, Materiality, and SAB 108, Considering the Effects of Prior Year Misstatements when Quantifying Misstatements in the Current Year Financial Statements, the Company evaluated the materiality of the error from qualitative and quantitative perspectives, and concluded that the error was immaterial to each of the 2025 interim financial statements.

However, the Company has corrected the error in the current year comparative condensed consolidated financial statements by adjusting the information, as applicable, as of and for the quarter and six months ended June 30, 2025. A summary of the corrections to the affected financial statement line items in these condensed consolidated financial statements is presented below.

Condensed Consolidated Statement of Operations and Comprehensive Loss

		Three Months Ended June 30, 2025
		As Reported				Adjustment				As Revised
Operating expenses
Research and development		$	317,120			$	89,020			$	406,140
General and administrative expenses			6,873,710				2,621,256				9,494,966
Total operating expenses			7,190,830				2,710,276				9,901,106
Net operating loss			(5,737,001	)			(2,710,276	)			(8,447,277	)
Total other income (expenses)			(4,751,951	)			-				(4,751,951
Net loss and comprehensive loss		$	(10,488,952	)		$	(2,710,276	)		$	(13,199,228	)
Net loss per share, basic and diluted		$	(0.65	)		$	(0.17	)		$	(0.82	)

		Six Months Ended June 30, 2025
		As Reported				Adjustment				As Revised
Operating expenses
Research and development		$	724,631			$	81,925			$	806,556
General and administrative expenses			12,239,357				2,346,881				14,586,238
Total operating expenses			12,963,988				2,428,806				15,392,794
Net operating loss			(9,423,433	)			(2,428,806	)			(11,852,239	)
Total other income (expenses)			(3,072,062	)							(3,072,062
Net loss and comprehensive loss		$	(12,495,495	)		$	(2,428,806	)		$	(14,924,301	)
Net loss per share, basic and diluted		$	(0.78	)		$	(0.15	)		$	(0.93	)

Condensed Consolidated Statement of Stockholders’ Equity

For the three months ended June 30, 2025:

		Additional Paid in Capital												Accumulated Deficit												Total
		As Reported				Adjustment				As Revised				As Reported				Adjustment				As Revised				As Reported				Adjustment				As Revised
Balance, March 31, 2025		$	20,079,465			$	(2,440,654	)		$	17,638,811			$	(78,291,581	)		$	129,608			$	(78,161,973	)		$	40,811,875			$	(2,311,046	)		$	38,500,829
Stock-based compensation		$	1,547,570			$	(159,186	)		$	1,388,384			$	-			$	-			$	-			$	1,547,570			$	(159,186	)		$	1,388,384
Net loss		$	-			$	-			$	-			$	(10,488,952	)		$	(2,710,276	)		$	(13,199,228	)		$	(10,488,952	)		$	(2,710,276	)		$	(13,199,228	)
Balance, June 30, 2025		$	21,627,035			$	(2,599,840	)		$	19,027,195			$	(88,780,533	)		$	(2,580,668	)		$	(91,361,201	)		$	31,896,316			$	(5,180,508	)		$	26,715,808

For the six months ended June 30, 2025

		Additional Paid in Capital												Accumulated Deficit												Total
		As Reported				Adjustment				As Revised				As Reported				Adjustment				As Revised				As Reported				Adjustment				As Revised
Balance, December 31, 2024		$	18,724,092			$	(2,216,356	)		$	16,507,736			$	(76,285,038	)		$	(151,862	)		$	(76,436,900	)		$	41,463,045			$	(2,368,218	)		$	39,094,827
Stock-based compensation		$	2,902,943			$	(383,484	)		$	2,519,459			$	-			$	-			$	-			$	2,902,943			$	(383,484	)		$	2,519,459
Net loss		$	-			$	-			$	-			$	(12,495,495	)		$	(2,428,806	)		$	(14,924,301	)		$	(12,495,495	)		$	(2,428,806	)		$	(14,924,301	)
Balance, June 30, 2025		$	21,627,035			$	(2,599,840	)		$	19,027,195			$	(88,780,533	)		$	(2,580,668	)		$	(91,361,201	)		$	31,896,316			$	(5,180,508	)		$	26,715,808

Condensed Consolidated Statement of Cash Flows

		Six Months Ended June 30, 2025
		As Reported				Adjustment				As Revised
Net loss		$	(12,495,495	)		$	(2,428,806	)		$	(14,924,301	)
Cash flow used in operating activities:
Adjustments to reconcile net loss to net cash used in operating activities:
Stock-based compensation		$	2,902,943			$	2,428,806			$	5,331,749