Note 3 — Long-Term Debt

SWK Loan

In  November 2019, the Company entered into a credit agreement (the “SWK Credit Agreement”) with SWK Funding LLC (“SWK”), which was subsequently acquired in 2026 by Runway Growth Finance Corp (“Runway Growth Finance”). The SWK Credit Agreement provided for up to $10,000 in debt financing. As a result of subsequent amendments to the SWK Credit Agreement, the Company expanded its credit facility to $30,000, extended the facility’s maturity to three years from closing with a loan maturity date of  December 17, 2027, and reduced the facility’s annual interest rate to Secured Overnight Financing Rate (“SOFR”) plus 6.75%. In April 2026, the Company entered into a sixth amendment to its credit agreement with SWK. Under the amended terms of the SWK credit agreement, the credit facility was increased to $40,000, the interest rate was reduced from SOFR plus 6.75% to SOFR plus 6.55% with the SOFR floor reduced to 2.75% from the previous 5.0%. Further, the interest only period was extended to November 2026. There were no fees paid to SWK associated with the credit amendment and the amended credit agreement maturity date remained in December 2027.

Interest payments are payable quarterly, with quarterly principal payments of $3,000 due beginning in November 2026 with a final principal payment of $12,000 due at maturity in  December 2027. The SWK Credit Agreement includes a 5.0% exit fee payable at maturity and this exit fee payable is being accreted to interest expense in the Company's Condensed Statement of Operations using the effective interest expense method. The SWK Credit Agreement contains a mandatory prepayment clause that can compel the Company to partially prepay the loan upon certain triggering events, which the Company has deemed to be remote. Borrowing under the SWK Credit Agreement is secured by the Company's assets, contains customary default provisions, which include limits on additional indebtedness. As of June 30, 2026 and December 31, 2025, the Company was in compliance with all financial covenants. 

In June 2026, Runway Growth Finance exercised 51,239 common stock warrants at an exercise price of $5.86, exercised 18,141 common stock warrants at an exercise price of $6.62 and exercised 289,736 common stock warrants at an exercise price of $5.32. The weighted average fair market value of $31.19 was based on a ten-day weighted average closing price of the Company's closing common stock price, which resulted in a net cashless settlement of 296,215 shares issued of the Company's common stock. As of June 30, 2026, there are no outstanding common stock warrants.

During the six months ended June 30, 2026 and 2025, the Company recorded interest expense of $2,149 and $2,361, respectively, which included $278 and $342, respectively, of debt discount amortization and non-cash interest expense. The Company had accrued interest of $356 and $425 as of June 30, 2026 and December 31, 2025, respectively, which is included in accrued liabilities in the accompanying Condensed Balance Sheets.

The table below reflects the future payments for the SWK loan principal as of June 30, 2026.