v3.26.1
Segment Reporting
 6 Months Ended
Jun. 30, 2026
Segment Reporting [Abstract]  
Segment Reporting

NOTE 9 – Segment Reporting

 

Through March 31, 2026, the Company operated as a single operating segment as a clinical-stage biopharmaceutical company focused on developing new generation therapies for unmet medical needs. During the three months ended June 30, 2026, the Company began the process of transitioning primarily into an AI semiconductor infrastructure company building nanomagnetic and spintronic computing for ultra-low-power AI, resilient edge, defense, and space. Accordingly, beginning in the second quarter of 2026, the Company began operating in two reportable segments which consist of (1) a clinical-stage biopharmaceutical company, herein known as the “Biopharmaceutical” segment, and (2) an AI semiconductor infrastructure and other technologies company, herein known as the “AI Infrastructure and Technologies” segment. The Company has determined that these reportable segments are strategic business units that offer different products. These reportable segments shall be managed separately based on the fundamental differences in their operations.

 

Through June 30, 2026, corporate and administrative amounts have been allocated to the Biopharmaceutical segment since substantially all of the Company’s operations are attributable to this segment.

 

The Company’s CODM is its Chief Executive Officer. The decisions concerning the allocation of the Company’s resources are made by the CODM with oversight by the Board. The CODM evaluates the performance of each segment and makes decisions concerning the allocation of resources based upon segment operating profit (loss), generally defined as income or loss before interest expense and income taxes. The CODM assesses segment performance by using each segment’s operating income (loss) and considers budget-to-actual variances on a periodic basis (at least quarterly) when making decisions about operational planning, including whether to invest resources into the segments or into other parts of the Company. Segment assets are reviewed by the Company’s CODM and are disclosed below. The accounting policies of the Biopharmaceutical segment and the AI Infrastructure and Technologies segment are the same as those described in Note 2 of the Notes to the condensed consolidated financial statements.

 

Information with respect to these reportable business segments for the three and six months ended June 30, 2026 and 2025 was as follows:

 

Three Months Ended June 30, 2026

 

    Biopharmaceutical
segment		     AI
Infrastructure
and
Technologies
segment		     Consolidated  
Net revenues   $ -     $ -     $ -  
                         
Operating expenses     3,558,843       275,957       3,834,800  
Depreciation and amortization     -       -       -  
Loss from operations     (3,558,843 )     (275,957 )     (3,834,800 )
Interest expense     -       -       -  
Other income     149       -       149  
Loss before provision for income taxes     (3,558,694 )     (275,957 )     (3,834,651 )
Provision for income taxes     -       -       -  
Net loss   $ (3,558,694 )   $ (275,957 )   $ (3,834,651 )

 

Three Months Ended June 30, 2025

 

    Biopharmaceutical
segment		     AI
Infrastructure
and
Technologies
segment		     Consolidated  
Net revenues   $ -     $         -     $ -  
                         
Operating expenses     2,199,649       -       2,199,649  
Depreciation and amortization     -       -       -  
Loss from operations     (2,199,649 )     -       (2,199,649 )
Interest expense     -       -       -  
Other income     173       -       173  
Loss before provision for income taxes     (2,199,476 )     -       (2,199,476 )
Provision for income taxes     -       -       -  
Net loss   $ (2,199,476 )   $ -     $ (2,199,476 )

 

Six Months Ended June 30, 2026

 

    Biopharmaceutical
segment		     AI
Infrastructure
and
Technologies
segment		     Consolidated  
Net revenues   $      -     $     -     $ -  
                         
Operating expenses     6,207,292       275,957       6,483,249  
Depreciation and amortization     -       -       -  
Loss from operations     (6,207,292 )     (275,957 )     (6,483,249 )
Interest expense     -       -       -  
Realized loss on crypto assets     (44,165 )     -       (44,165 )
Other income     298       -       298  
Loss before provision for income taxes     (6,251,159 )     (275,957 )     (6,527,116 )
Provision for income taxes     -       -       -  
Net loss   $ (6,251,159 )   $ (275,957 )   $ (6,527,116 )

 

Six Months Ended June 30, 2025

 

    Biopharmaceutical
segment		     AI
Infrastructure
and
Technologies
segment		     Consolidated  
Net revenues   $ -     $          -     $ -  
                         
Operating expenses     5,675,666       -       5,675,666  
Depreciation and amortization     -       -       -  
Loss from operations     (5,675,666 )     -       (5,675,666 )
Interest expense     -       -       -  
Other income     354       -       354  
Loss before provision for income taxes     (5,675,312 )     -       (5,675,312 )
Provision for income taxes     -       -       -  
Net loss   $ (5,675,312 )   $ -     $ (5,675,312 )

 

Total assets by segment on June 30, 2026 and December 31, 2025 were as follows:

 

    June 30,
2026		     December 31,
2025		  
Biopharmaceutical segment   $ 9,584,874     $ 7,603,444  
AI Infrastructure and Technologies segment     -       -  
    $ 9,584,874     $ 7,603,444