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SEGMENT REPORTING
 6 Months Ended
Jun. 30, 2026
Segment Reporting [Abstract]  
SEGMENT REPORTING

NOTE 16 – SEGMENT REPORTING

 

The Company operates as a single reportable segment, as the Chief Operating Decision Maker (“CODM”), the Chief Executive Officer (“CEO”), evaluates the business as a whole and does not receive discrete financial information for separate business units. The CODM is responsible for evaluating financial results and making resource allocation decisions. The Company determined that it has one operating and reportable segment based on the way the CODM organizes, manages, and evaluates the Company’s operations on a consolidated basis.

 

The CODM assesses the Company's financial performance based on operating loss, which aligns with the amount reported in the statements of comprehensive loss. The following table presents a reconciliation of segment operating loss to net loss for the three and six months ended June 30, 2026 and 2025:

               
   Three Months ended  

Three Months ended

June 30, 2025

   Six Months Ended  

Six Months

Ended

June 30, 2025

 
   June 30, 2026   (Restated)   June 30, 2026   (Restated) 
                 
NET SALES  $32,751   $25,605   $61,918   $48,522 
                     
COST OF SALES   —    3,463    1,336    5,491 
                     
OPERATING EXPENSES                    
Research and development   3,878,703    2,621,441    7,368,998    5,710,659 
General and administrative   3,423,188    2,300,884    6,686,054    4,137,936 
    7,301,891    4,925,788    14,056,388    9,854,086 
                     
SEGMENT OPERATING LOSS   (7,269,140)   (4,900,183)   (13,994,470)   (9,805,564)
                     
OTHER INCOME (EXPENSE)                    
Interest income and interest amortization on marketable securities   652,071    168,253    1,113,346    356,101 
Commitment fee   —    (235,801)   —    (243,830)
Gain (loss) on disposal of property and equipment and intangible assets   (5,270)   —    (41,679)   28,800 
Other income   8,542    1,098    8,466    836 
                     
                     
NET LOSS  $(6,613,797)  $(4,966,633)  $(12,914,337)  $(9,663,657)

 

 The CODM regularly reviews the following significant expense categories in evaluating the segment performance:

 

•  

Research and Development: includes costs related to personnel, laboratory and wafer fabrication materials and supplies, prototype device development and wafer fabrication expenses, and third-party consulting costs aimed at developing high-performance electro-optic polymer materials.

 

 •  

General and Administrative: includes personnel costs, professional fees, and other overhead expenses.

 

 •   Cost of Sales: represents labor costs, material costs and manufacturing overhead costs associated with the production of materials transferred to the customer under the technology license and material supply agreement at the Company’s facility.

 

There were no other segment items for the three and six months ended June 30, 2026 and 2025.

 

 

Segment assets

  

The CODM does not regularly review asset information by segment; accordingly, the Company has not disclosed segment assets.

 

Entity-Wide Disclosures

 

•   Geographic Revenue Information: For the three and six months ended June 30, 2026 and 2025, 100% of the Company’s net sales were generated in Switzerland. Revenue is attributed to geographic areas based on the customer’s bill-to location. 
     
•   Long-lived assets: long-lived assets, consisting of property and equipment, intangible assets, and right of use assets under operating leases were all located in the United States and totaled $10,002,699 and $9,376,041 as of June 30, 2026 and December 31, 2025, respectively.
     
•   Major Customers: For the three and six months ended June 30, 2026 and 2025, one customer accounted for 10% or more of total revenue. The related revenue was attributable to the Company’s single reportable segment.