v3.26.1
Stockholders’ Equity
 6 Months Ended
Jun. 30, 2026
Stockholders’ Equity [Abstract]  
Stockholders’ Equity

Note 8. Stockholders’ Equity

 

Authorized Shares

 

On December 8, 2025, the Company amended its certificate of incorporation to increase the aggregate number of shares issuable to 155,000,000 consisting of the following:

 

  i. 150,000,000 shares of Common Stock, $0.001 par value per share; and

 

  ii. 5,000,000 shares of Preferred Stock, $0.001 par value per share available for designation

 

The Company currently has 150,000,000 common shares and has 900,000 Series A convertible preferred shares authorized designated with a par value of $0.001 per share.

 

On July 28, 2026, following stockholder approval at the Company’s annual meeting, the Company amended its certificate of incorporation to implement a 1 for 12 reverse split of its common stock. The effect of the reverse stock split was to combine every 12 shares of outstanding common stock into one share of common stock. The reverse stock split was effective at the opening of the trading day on August 4. The effects of the reverse stock split have been reflected in this Quarterly Report for all periods presented.

 

Common Stock

 

Issuance of Shares for Note Conversions

 

On February 12, 2026, the Company issued an aggregate 681 shares of common stock for the conversion of an aggregate $42,857 in principal and interest due under the Company’s senior secured convertible notes.

 

Issuance of Shares for Warrant Exercises

 

On February 12, 2026, the Company issued an aggregate 278 shares of common stock for the exercise of warrants.

 

Stock Incentive Plan

 

The number of shares of the Company’s common stock that are issuable pursuant to warrant and stock option grants with time-based vesting as of and for the six months ended June 30, 2026 were:

 

    Warrant Grants     Stock Option Grants     Restricted Stock Units  
    Number of
shares
subject to
warrants		     Weighted-
average exercise
price per
share		     Number of
shares
subject to
options		     Weighted-
average exercise
price
per share		     Number of
shares
subject to
restricted
stock units		  
Balance at December 31, 2025     300,306     $ 12.95       -     $ -       678  
Granted     1,130,703       11.73       -       -       -  
Exercised     (278 )     11.71         -        -       -  
Cancelled/Expired     (34 )     10,800       -       -       -  
Balance at June 30, 2026     1,430,697     $ 11.73       -     $ -       678  
Exercisable at June 30, 2026     928,251     $ 11.73       -     $ -       678  

 

 

The number of shares of the Company’s common stock that are issuable pursuant to warrant and stock option grants with time-based vesting as of and for the six months ended June 30, 2025 were:

 

    Warrant Grants     Stock Option Grants     Restricted
Stock
Units		  
    Number of
shares
subject to
warrants		     Weighted-
average
exercise
price per
share		     Number of
shares
subject to
options		     Weighted-
average
exercise
price per
share		     Number of
shares
subject to
restricted
stock units		  
Balance at December 31, 2024     49,533     $ 165.60        -     $  -       678  
Granted     194,400       73.80       -       -       -  
Exercised     -       -       -       -       -  
Cancelled/Expired     -       -       -       -       -  
Balance at June 30, 2025     243,932     $ 73.80       -     $ -       678  
Exercisable at June 30, 2025     161,265     $ 73.80       -     $ -       678  

 

The Company’s outstanding warrants at June 30, 2026 are as follows:

 

Warrants Outstanding   Warrants Exercisable  
Exercise Price Range   Number Outstanding     Weighted Average Remaining Contractual
Life (in years)		     Weighted
Average Exercise Price		     Number Exercisable     Weighted Average Exercise Price     Intrinsic
Value		  
$11.71 - $14.06     1,430,697       3.31     $ 11.73       928,251     $ 11.73     $ -  

 

The Company’s outstanding warrants at June 30, 2025, are as follows:

 

Warrants Outstanding   Warrants Exercisable  
Exercise Price
Range		   Number
Outstanding		     Weighted Average
Remaining
Contractual Life
(in years)		     Weighted
Average
Exercise Price		     Number
Exercisable		     Weighted
Average
Exercise Price		     Intrinsic
Value		  
$63.00 - $10,800.00     243,932       4.31     $ 73.80       161,265     $ 73.80       1,206,830  

 

As of June 30, 2026 and December 31, 2025, there was no unrecognized expense for unvested stock options and restricted stock awards.

 

    For the Three Months Ended     For the Six Months Ended  
    June 30,     June 30,  
    2026     2025     2026     2025  
Stock-based compensation expense   $ 3,735     $ -     $ 16,139     $ -  

 

 

Stock-based compensation expense categorized by the equity components for the three and six months ended June 30, 2026 and 2025 is as follows:

 

    For the Three Months Ended     For the Six Months Ended  
    June 30,     June 30,  
    2026     2025     2026     2025  
Common stock   $ 3,735     $    -     $ 16,139     $       -  
Total   $ 3,735     $ -     $ 16,139     $ -  

 

Stock compensation is included in general and administrative expense on the condensed consolidated statements of operations.