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Description of Business</span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Nature of Business</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> SCWorx, LLC (n/k/a SCW FL Corp.) (“SCW LLC”) was a privately held limited liability company which was organized in Florida on November 17, 2016. On December 31, 2017, SCW LLC acquired Primrose Solutions, LLC (“Primrose”), a Delaware limited liability company, which became its wholly-owned subsidiary and focused on developing functionality for the software now used and sold by SCWorx Corp. (the “Company” or “SCWorx”). The majority interest holders of Primrose were interest holders of SCW LLC and based upon Staff Accounting Bulletin Topic 5G, the technology acquired has been accounted for at predecessor cost of $0. To facilitate the planned acquisition by Alliance MMA, Inc., a Delaware corporation (“Alliance”), on June 27, 2018, SCW LLC merged with and into a newly-formed entity, SCWorx Acquisition Corp., a Delaware corporation (“SCW Acquisition”), with SCW Acquisition being the surviving entity. Subsequently, on August 17, 2018, SCW Acquisition changed its name to SCWorx Corp. In June 2018, the Company began to collect subscriptions for common stock. On November 30, 2018, the Company and certain of its stockholders agreed to cancel 6,510 shares of common stock. From June to November 2018, the Company collected $1,250,000 in subscriptions and issued 3,125 shares of common stock to new third-party investors. In addition, on February 1, 2019, (i) SCWorx Corp. (f/k/a SCWorx Acquisition Corp.) changed its name to SCW FL Corp. (to allow Alliance to change its name to SCWorx Corp.) and (ii) Alliance acquired SCWorx Corp. (n/k/a SCW FL Corp.) in a stock-for-stock exchange transaction and changed Alliance’s name to SCWorx Corp., which is the Company’s current name, with SCW FL Corp. becoming the Company’s subsidiary. </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> 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, 2026. The effects of the reverse stock split have been reflected in this Quarterly Report on Form 10-Q for all periods presented. </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Operations of the Business</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">SCWorx is a provider of data content and services related to the repair, normalization and interoperability of information for healthcare providers and big data analytics for the healthcare industry.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">SCWorx has developed and markets health information technology solutions and associated services that improve healthcare processes and information flow within hospitals. SCWorx’s software platform enables healthcare providers to simplify, repair, and organize its data (“data normalization”), allows the data to be utilized across multiple internal software applications (“interoperability”) and provides the basis for sophisticated data analytics (“big data”). SCWorx’s solutions are designed to improve the flow of information quickly and accurately between the existing supply chain, electronic medical records, clinical systems, and patient billing functions. The software is designed to achieve multiple operational benefits such as supply chain cost reductions, decreased accounts receivables aging, accelerated and more accurate billing, contract optimization, increased supply chain management and cost visibility, synchronous Charge Description Master (“CDM”) and control of vendor rebates and contract administration fees.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">SCWorx empowers healthcare providers to maintain comprehensive access and visibility to an advanced business intelligence that enables better decision-making and reductions in product costs and utilization, ultimately leading to accelerated and accurate patient billing. SCWorx’s software modules perform separate functions as follows:</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><table cellpadding="0" cellspacing="0" style="font: 11pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse;"> <tbody><tr style="vertical-align: top;"><td style="width: 0.5IN;"> </td> <td style="width: 0.25IN;"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt;">●</span></td> <td style="text-align: justify;"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt;">virtualized Item Master File repair, expansion and automation;</span></td> </tr></tbody></table><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0;"> </p><table cellpadding="0" cellspacing="0" style="font: 11pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse;"> <tbody><tr style="vertical-align: top;"><td style="width: 0.5IN;"> </td> <td style="width: 0.25IN;"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt;">●</span></td> <td style="text-align: justify;"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt;">CDM management;</span></td> </tr></tbody></table><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0;"> </p><table cellpadding="0" cellspacing="0" style="font: 11pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse;"> <tbody><tr style="vertical-align: top;"><td style="width: 0.5IN;"> </td> <td style="width: 0.25IN;"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt;">●</span></td> <td style="text-align: justify;"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt;">contract management;</span></td> </tr></tbody></table><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0;"> </p><table cellpadding="0" cellspacing="0" style="font: 11pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse;"> <tbody><tr style="vertical-align: top;"><td style="width: 0.5in;"> </td> <td style="width: 0.25in;"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt;">●</span></td> <td style="text-align: justify;"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt;">request for proposal automation;</span></td> </tr></tbody></table><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0;"> </p><table cellpadding="0" cellspacing="0" style="font: 11pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse;"> <tbody><tr style="vertical-align: top;"><td style="width: 0.5in;"> </td> <td style="width: 0.25in;"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt;">●</span></td> <td style="text-align: justify;"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt;">rebate management;</span></td> </tr></tbody></table><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0;"> </p><table cellpadding="0" cellspacing="0" style="font: 11pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse;"> <tbody><tr style="vertical-align: top;"><td style="width: 0.5in;"> </td> <td style="width: 0.25in;"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt;">●</span></td> <td style="text-align: justify;"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt;">big data analytics modeling; and</span></td> </tr></tbody></table><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0;"> </p><table cellpadding="0" cellspacing="0" style="font: 11pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse;"> <tbody><tr style="vertical-align: top;"><td style="width: 0.5in;"> </td> <td style="width: 0.25in;"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt;">●</span></td> <td style="text-align: justify;"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt;">data integration and warehousing.</span></td> </tr></tbody></table><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">SCWorx continues to provide transformational data-driven solutions to some of the finest, most well-respected healthcare providers in the United States. Clients are geographically dispersed throughout the country. The Company’s focus is to assist healthcare providers with issues they have pertaining to data interoperability. SCWorx provides these solutions through a combination of direct sales and relationships with strategic partners.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">SCWorx’s software solutions are delivered to clients within a fixed term period, typically a three-to-five-year contracted term, where such software is hosted in SCWorx data centers (Amazon Web Service’s “AWS” or RackSpace) and accessed by the client through a secure connection in a software as a service (“SaaS”) delivery method.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">SCWorx currently sells its solutions and services in the United States to hospitals and health systems through its direct sales force and its distribution and reseller partnerships.</p> 0 6510 1250000 3125 1 for 12 12 1 <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;">Note 2. Summary of Significant Accounting Policies</span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Basis of Presentation and Principles of Consolidation</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with United States Generally Accepted Accounting Principles (“U.S. GAAP”) and the rules and regulations of the U.S. Securities and Exchange Commission (“SEC”). They do not include all of the information and footnotes required by U.S. GAAP for complete consolidated financial statements. Therefore, these unaudited condensed consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements and notes thereto contained in its report on Form 10-K for the year ended December 31, 2025, filed with the SEC on March 31, 2026.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">The accompanying unaudited condensed consolidated financial statements include the accounts of SCWorx and its wholly-owned subsidiaries. All material intercompany balances and transactions have been eliminated in consolidation.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">The unaudited condensed consolidated financial statements included herein are unaudited; however, they contain all normal recurring accruals and adjustments that, in the opinion of management, are necessary to present fairly the Company’s financial position at June 30, 2026, the results of its operations and cash flows for the six months ended June 30, 2026. The results of operations for the three and six months ended June 30, 2026 are not necessarily indicative of the results to be expected for future quarters or the full year.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Cash</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> Cash is maintained with various financial institutions. Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of cash deposits. Accounts at each institution are insured by the Federal Deposit Insurance Corporation (“FDIC”) up to $250,000. The Company had amounts in excess of the FDIC insured limit of $902,293 and $1,356,754 as of June 30, 2026 and December 31, 2025, respectively. </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Fair Value of Financial Instruments</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">Management applies fair value accounting for significant financial assets and liabilities and non-financial assets and liabilities that are recognized or disclosed at fair value in the unaudited condensed consolidated financial statements on a recurring basis. Management defines fair value as the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. When determining the fair value measurements for assets and liabilities, which are required to be recorded at fair value, management considers the principal or most advantageous market in which the Company would transact and the market-based risk measurements or assumptions that market participants would use in pricing the asset or liability, such as risks inherent in valuation techniques, transfer restrictions and credit risk. Fair value is estimated by applying the following hierarchy, which prioritizes the inputs used to measure fair value into three levels and bases the categorization within the hierarchy upon the lowest level of input that is available and significant to the fair value measurement: Level 1 - Quoted prices in active markets for identical assets or liabilities. Level 2 - Observable inputs other than quoted prices in active markets for identical assets and liabilities, quoted prices for identical or similar assets or liabilities in inactive markets, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 3 - Inputs that are generally unobservable and typically reflect management’s estimate of assumptions that market participants would use in pricing the asset or liability.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Fair value of stock options and warrants</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">Management uses the Black-Scholes option-pricing model to calculate the fair value of stock options and warrants. Use of this method requires management to make assumptions and estimates about the expected life of options and warrants, anticipated forfeitures, the risk-free rate, and the volatility of the Company’s share price. In making these assumptions and estimates, management relies on historical market data.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Concentration of Credit and Other Risks</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">Financial instruments that potentially subject the Company to significant concentrations of credit risk consist principally of cash and accounts receivable. The Company believes that any concentration of credit risk in its accounts receivable is substantially mitigated by the Company’s evaluation process, relatively short collection terms and the high level of credit worthiness of its customers. The Company performs ongoing internal credit evaluations of its customers’ financial condition, obtains deposits and limits the amount of credit extended when deemed necessary but generally requires no collateral.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">Significant customers are those which represent more than 10% of the Company’s revenue for each period presented, or the Company’s accounts receivable balance as of each respective balance sheet date. For each significant customer, revenue as a percentage of total revenue and accounts receivable as a percentage of total net accounts receivable are as follows:</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 11pt Times New Roman, Times, Serif;"> <tbody><tr style="vertical-align: bottom;"><td> </td> <td style="font-size: 10pt; font-weight: bold;"> </td> <td colspan="6" style="font-size: 10pt; font-weight: bold; text-align: center;">Revenue For The</td> <td style="font-size: 10pt; font-weight: bold;"> </td> <td> </td> <td colspan="6"> </td> <td> </td> </tr><tr style="vertical-align: bottom;"><td> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="6" style="font-size: 10pt; font-weight: bold; text-align: center;">Six Months Ended</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="6" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Accounts Receivable</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom;"><td> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="6" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">June 30,</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center;">June 30,</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center;">December 31,</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom;"><td style="font-size: 10pt; font-weight: bold; border-bottom: Black 1.5pt solid;">Customers</td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">2026</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">2025</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">2026</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">2025</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="width: 52%; font-size: 10pt; text-align: left;">Customer A</td> <td style="width: 1%; font-size: 10pt;"> </td> <td style="width: 1%; font-size: 10pt; text-align: left;"> </td> <td style="width: 9%; font-size: 10pt; text-align: right;">19</td> <td style="width: 1%; font-size: 10pt; text-align: left;">%</td> <td style="width: 1%; font-size: 10pt;"> </td> <td style="width: 1%; font-size: 10pt; text-align: left;"> </td> <td style="width: 9%; font-size: 10pt; text-align: right;">9</td> <td style="width: 1%; font-size: 10pt; text-align: left;">%</td> <td style="width: 1%; font-size: 10pt;"> </td> <td style="width: 1%; font-size: 10pt; text-align: left;"> </td> <td style="width: 9%; font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_2051112786;">-</span></td> <td style="width: 1%; font-size: 10pt; text-align: left;">%</td> <td style="width: 1%; font-size: 10pt;"> </td> <td style="width: 1%; font-size: 10pt; text-align: left;"> </td> <td style="width: 9%; font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_1007602021;">-</span></td> <td style="width: 1%; font-size: 10pt; text-align: left;">%</td> </tr><tr style="vertical-align: bottom; background-color: White;"> <td style="font-size: 10pt; text-align: left;">Customer B</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">17</td> <td style="font-size: 10pt; text-align: left;">%</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">20</td> <td style="font-size: 10pt; text-align: left;">%</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">-</td> <td style="font-size: 10pt; text-align: left;">%</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">8</td> <td style="font-size: 10pt; text-align: left;">%</td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="font-size: 10pt; text-align: left;">Customer C</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">14</td> <td style="font-size: 10pt; text-align: left;">%</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">14</td> <td style="font-size: 10pt; text-align: left;">%</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_161561846;">13</span></td> <td style="font-size: 10pt; text-align: left;">%</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_1272952749;">-</span></td> <td style="font-size: 10pt; text-align: left;">%</td> </tr><tr style="vertical-align: bottom; background-color: White;"> <td style="font-size: 10pt; text-align: left;">Customer D</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">9</td> <td style="font-size: 10pt; text-align: left;">%</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">16</td> <td style="font-size: 10pt; text-align: left;">%</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">14</td> <td style="font-size: 10pt; text-align: left;">%</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">32</td> <td style="font-size: 10pt; text-align: left;">%</td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="font-size: 10pt; text-align: left;">Customer E</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">7</td> <td style="font-size: 10pt; text-align: left;">%</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">7</td> <td style="font-size: 10pt; text-align: left;">%</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">21</td> <td style="font-size: 10pt; text-align: left;">%</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">11</td> <td style="font-size: 10pt; text-align: left;">%</td> </tr></tbody></table><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Allowance for Credit Losses</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">Accounts receivable are comprised of amounts billed and currently due from customers. Accounts receivable are amounts related to any unconditional right the Company has for receiving consideration and are presented as accounts receivable in the condensed consolidated balance sheets. The Company maintains an allowance for credit losses for estimated losses resulting from the inability of the Company’s customers to make required payments. The Company employs the practical expedient to estimate expected credit losses for current accounts receivable by utilizing subsequent cash collections. The evaluation of subsequent cash collections was performed through approximately August 12, 2026, for the reporting period ended June 30, 2026.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> Management considers the following factors when determining the collectability of specific customer accounts: customer creditworthiness, past transaction history with the customer, current industry trends, changes in customer payment terms, and specific customer situations. The Company’s normal collection cycle ranges between thirty and 60 days. Estimated uncollectible amounts are charged to earnings and a credit to a valuation allowance. Balances which remain outstanding after reasonable collection efforts are written off through a charge to the valuation allowance and a credit to accounts receivable. The Company has assessed that certain receivables may not be collectable and has recorded an allowance for credit losses of $55,200 as of June 30, 2026 and December 31, 2025. </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0;"><span style="font-weight: bold;"><i>Leases</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">Management determines if an arrangement is a lease at inception. The current portion of lease obligations are included in accounts payable and accrued liabilities on the consolidated balance sheets. Right-of-use (“ROU”) assets represent our right to use an underlying asset for the lease term, and lease liabilities represent our obligation to make lease payments arising from the lease. Operating lease ROU assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term. As most of the Company’s leases do not provide an implicit rate, we use our incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments. The Company’s lease terms may include options to extend or terminate the lease, which are included in the lease ROU asset when it is reasonably certain that we will exercise that option. Lease expense for lease payments is recognized on a straight-line basis over the lease term. The Company lease agreements with lease components only, none with non-lease components, which are generally accounted for separately.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">Management has elected a short-term lease exception policy on all classes of underlying assets, permitting the Company to not apply the recognition requirements of this standard to short-term leases (i.e. leases with terms of 12 months or less).</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0;"><span style="font-weight: bold;"><i>Goodwill</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">Goodwill is recorded as the difference, if any, between the aggregate consideration paid for an acquisition and the fair value of the net tangible and identified intangible assets acquired under a business combination. Goodwill also includes acquired assembled workforce, which does not qualify as an identifiable intangible asset. The Company reviews impairment of goodwill annually in the fourth quarter, or more frequently if events or circumstances indicate that the goodwill might be impaired. The Company first assesses qualitative factors to determine whether it is necessary to perform the quantitative goodwill impairment test. If, after assessing the totality of events or circumstances, the Company determines that it is not more likely than not that the fair value of a reporting unit is less than its carrying amount, then the quantitative goodwill impairment test is unnecessary.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Property and Equipment</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i> </i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">Property and equipment are recorded at cost. Depreciation is recorded for property and equipment using the straight-line method over the estimated useful lives of assets typically ranging from 3-7 years. The Company reviews the recoverability of all long-lived assets, including the related useful lives, whenever events or changes in circumstances indicate that the carrying amount of a long-lived asset might not be recoverable. The Company recognized depreciation expense of $886 and $1,771 for the three and six months ended June 30, 2026, respectively. The Company did not recognize any depreciation expense for the same periods during the prior year.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">Property and equipment as of June 30, 2026 and December 31, 2025 and depreciation expense for the six months ended June 30, 2026 and the year ended December 31, 2025 are as follows:</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;">   </p><table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif;"> <tbody><tr style="vertical-align: bottom;"><td style="text-align: center;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">June 30,<br/> 2026</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">December 31,<br/> 2025</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="width: 76%; text-align: justify;">Computer equipment</td> <td style="width: 1%;"> </td> <td style="width: 1%; text-align: left;"> </td> <td style="width: 9%; text-align: right;">10,623</td> <td style="width: 1%; text-align: left;"> </td> <td style="width: 1%;"> </td> <td style="width: 1%; text-align: left;"> </td> <td style="width: 9%; text-align: right;">10,623</td> <td style="width: 1%; text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: White;"> <td style="text-align: justify; padding-bottom: 1.5pt;">Accumulated depreciation</td> <td style="padding-bottom: 1.5pt;"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: right;">(2,174</td> <td style="padding-bottom: 1.5pt; text-align: left;">)</td> <td style="padding-bottom: 1.5pt;"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: right;">(403</td> <td style="padding-bottom: 1.5pt; text-align: left;">)</td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="text-align: justify; padding-bottom: 1.5pt;">Property and equipment, net</td> <td style="padding-bottom: 1.5pt;"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left;">$</td> <td style="border-bottom: Black 1.5pt solid; text-align: right;">8,449</td> <td style="padding-bottom: 1.5pt; text-align: left;"> </td> <td style="padding-bottom: 1.5pt;"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left;">$</td> <td style="border-bottom: Black 1.5pt solid; text-align: right;">10,220</td> <td style="padding-bottom: 1.5pt; text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: White;"> <td style="text-align: justify; padding-bottom: 4pt;">Depreciation expense</td> <td style="padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; text-align: left;">$</td> <td style="border-bottom: Black 4pt double; text-align: right;">1,771</td> <td style="padding-bottom: 4pt; text-align: left;"> </td> <td style="padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; text-align: left;">$</td> <td style="border-bottom: Black 4pt double; text-align: right;">403</td> <td style="padding-bottom: 4pt; text-align: left;"> </td> </tr></tbody></table><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Intangible Assets and Impairment of Long Lived Assets</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> The Company capitalizes costs incurred during the application development stage for internal-use software, which include external direct costs of materials and services, as well as payroll-related costs for employees directly associated with the software development. Costs related to the preliminary project phase, training, and maintenance are expensed as incurred. Once the software is ready for its intended use, capitalized costs are amortized on a straight-line basis over an estimated useful life of 3 to 5 years in accordance with the provisions of Accounting Standard Codification (“ASC”) 350, “<i>Goodwill and Other Intangible Assets</i>”. </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; text-indent: 0.5in; margin: 0pt 0; text-align: justify;">The assessment of any impairment of these assets is dependent upon estimates of recoverable amounts that consider factors such as economic and market conditions and the useful lives of assets. If, after assessing the totality of events or circumstances, the Company determines that it is not more likely than not that the fair value of an asset is less than its carrying amount, then the company records impairment of the asset.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Segment Reporting</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i> </i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 0.5in; text-align: justify;">In November 2023, the FASB issued ASU 2023-07 Segment Reporting (Topic 280): “<i>Improvements to Reportable Segment Disclosures to enhance the reportable segment disclosures.</i>” The guidance requires additional disclosures about significant segment expenses.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 0.5in; text-align: justify;">The Company has determined that it currently operates in a single segment - health information technology solutions and services, located in a single geographic location – the United States. The accounting policies of the segment are the same as those described in the summary of significant accounting policies. Since the Company operates in a single segment, the measure of segment total assets and loss from operations is the same as that reported on the accompanying condensed consolidated balance sheets as total assets, and the accompanying condensed consolidated statements of operations as loss from operations, respectively. Refer to Note 12, Segment Reporting, for additional detail.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i> </i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Revenue Recognition</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">The Company recognizes revenue in accordance with ASC Topic 606 to depict the transfer of promised goods or services in an amount that reflects the consideration to which an entity expects to be entitled in exchange for those goods or services. To determine revenue recognition for arrangements within the scope of Topic 606 the Company performs the following steps:</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><table cellpadding="0" cellspacing="0" style="font: 11pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse;"> <tbody><tr style="vertical-align: top;"><td style="width: 0.5IN;"> </td> <td style="width: 0.25IN;"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt;">●</span></td> <td style="text-align: justify;"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt;">Step 1: Identify the contract(s) with a customer</span></td> </tr></tbody></table><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0;"> </p><table cellpadding="0" cellspacing="0" style="font: 11pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse;"> <tbody><tr style="vertical-align: top;"><td style="width: 0.5IN;"> </td> <td style="width: 0.25IN;"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt;">●</span></td> <td style="text-align: justify;"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt;">Step 2: Identify the performance obligations in the contract</span></td> </tr></tbody></table><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0;"> </p><table cellpadding="0" cellspacing="0" style="font: 11pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse;"> <tbody><tr style="vertical-align: top;"><td style="width: 0.5IN;"> </td> <td style="width: 0.25IN;"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt;">●</span></td> <td style="text-align: justify;"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt;">Step 3: Determine the transaction price</span></td> </tr></tbody></table><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0;"> </p><table cellpadding="0" cellspacing="0" style="font: 11pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse;"> <tbody><tr style="vertical-align: top;"><td style="width: 0.5IN;"> </td> <td style="width: 0.25IN;"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt;">●</span></td> <td style="text-align: justify;"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt;">Step 4: Allocate the transaction price to the performance obligations in the contract</span></td> </tr></tbody></table><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0;"> </p><table cellpadding="0" cellspacing="0" style="font: 11pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse;"> <tbody><tr style="vertical-align: top;"><td style="width: 0.5IN;"> </td> <td style="width: 0.25IN;"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt;">●</span></td> <td style="text-align: justify;"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt;">Step 5: Recognize revenue when (or as) the entity satisfies a performance obligation</span></td> </tr></tbody></table><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">The Company follows the accounting revenue guidance under Topic 606 to determine whether contracts contain more than one performance obligation. Performance obligations are the unit of accounting for revenue recognition and generally represent the distinct goods or services that are promised to the customer.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 36pt;">The Company has identified the following performance obligation in its SaaS contracts with customers:</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse;"> <tbody><tr style="vertical-align: top;"><td style="width: 48px; font-size: 10pt;"> </td> <td style="width: 24px; font-size: 10pt;"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt;">1)</span></td> <td style="text-align: justify; font-size: 10pt;"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt;">Software-as-a-service (“SaaS”): which is generated from clients’ access of and usage of the Company’s hosted software solutions on a subscription basis for a specified contract term, which is usually annually. In SaaS arrangements, the client cannot take possession of the software during the term of the contract and generally has the right to access and use the software and receive any software upgrades published during the subscription period.  This service includes data preparation, product and vendor mapping, product categorization, data enrichment and other data related services as well as ongoing data cleansing and normalization, content enrichment, and optimization</span></td> </tr></tbody></table><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">A contract will typically include Data Normalization, SaaS and Maintenance, which are distinct performance obligations and are accounted for separately. The transaction price is allocated to each separate performance obligation on a relative stand-alone selling price basis. Significant judgement is required to determine the stand-alone selling price for each distinct performance obligation and is typically estimated based on observable transactions when these services are sold on a stand-alone basis. At contract inception, an assessment of the goods and services promised in the contracts with customers is performed and a performance obligation is identified for each distinct promise to transfer to the customer a good or service (or bundle of goods or services). To identify the performance obligations, the Company considers all the goods or services promised in the contract regardless of whether they are explicitly stated or are implied by customary business practices. Revenue is recognized when the performance obligation has been met. The Company considers control to have transferred upon delivery because the Company has a present right to payment at that time, the Company has transferred use of the good or service, and the customer is able to direct the use of, and obtain substantially all the remaining benefits from, the good or service.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">The Company’s SaaS and Maintenance contracts typically have termination for convenience without penalty clauses and accordingly, are generally accounted for as month-to-month agreements. If it is determined that the Company has not satisfied a performance obligation, revenue recognition will be deferred until the performance obligation is deemed to be satisfied.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">Revenue recognition for the Company’s performance obligations are as follows:</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><i>SaaS and Maintenance</i></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">SaaS and Maintenance revenues are recognized ratably over the contract terms beginning on the commencement date of each contract, which is the date on which the Company’s service is made available to customers.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">The Company does have some contracts that have payment terms that differ from the timing of revenue recognition, which requires the Company to assess whether the transaction price for those contracts include a significant financing component. The Company has elected the practical expedient that permits an entity to not adjust for the effects of a significant financing component if it expects that at the contract inception, the period between when the entity transfers a promised good or service to a customer and when the customer pays for that good or service will be one year or less. The Company does not maintain contracts in which the period between when the entity transfers a promised good or service to a customer and when the customer pays for that good or service exceeds the one-year threshold.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">The Company has one revenue stream, from the SaaS business, and believes it has presented all varying factors that affect the nature, timing and uncertainty of revenues and cash flows.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0;"><i>Remaining Performance Obligations</i></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> As of June 30, 2026 and December 31, 2025, the Company had $198,125 and $158,750, respectively, of remaining performance obligations recorded as deferred revenue. The Company expects to recognize the revenue relating to the current performance obligations during the following 12 month period. </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><i>Costs to Obtain and Fulfill a Contract</i></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">Costs to fulfill a contract typically include costs related to satisfying performance obligations as well as general and administrative costs that are not explicitly chargeable to customer contracts. These expenses are recognized and expensed when incurred in accordance with ASC 340-40, <i>“Other Assets and Deferred Costs—Contracts with Customers”</i>.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Cost of Revenues</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">Cost of revenues primarily represent data center hosting costs, consulting services and maintenance of the Company’s large data array that were incurred in delivering professional services and maintenance of the Company’s large data array during the periods presented.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Convertible Debt and Amortization of Debt Discounts</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i> </i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> The Company has issued various debt instruments with warrants and conversion features for which total proceeds were allocated to individual instruments based on the relative fair value of each instrument at the time of issuance. The relative fair value of the warrants issued in connection with convertible debt was recorded as discount on debt and amortized over the term of the respective debt. For the three and six months ended June 30, 2026, amortization of debt discount was $0 and $34,175, respectively. For the three and six months ended June 30, 2025, amortization of debt discounts was $1,379,532 and $1,458,243, respectively. </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Contract Balances</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> Contract assets arise when the associated revenue was earned prior to the Company’s unconditional right to receive a payment under a contract with a customer (unbilled revenue) and are derecognized when either it becomes a receivable or the cash is received. There were <span style="-sec-ix-hidden:fc_1725595275;"><span style="-sec-ix-hidden:fc_1363517488;">no</span></span> contract assets as of June 30, 2026 and December 31, 2025. </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> Contract liabilities arise when customers remit contractual cash payments in advance of the Company satisfying its performance obligations under the contract and are derecognized when the revenue associated with the contract is recognized when the performance obligation is satisfied. Contract liabilities were $198,125 and $158,750 as of June 30, 2026 and December 31, 2025, respectively. </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Income Taxes</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">The Company uses the asset and liability method of accounting for income taxes in accordance with ASC Topic 740, “<i>Income Taxes</i>.” Under this method, income tax expense is recognized for the amount of: (i) taxes payable or refundable for the current year and (ii) deferred tax consequences of temporary differences resulting from matters that have been recognized in an entity’s financial statements or tax returns. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in the results of operations in the period that includes the enactment date.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">Valuation allowances are provided if, based upon the weight of available evidence, it is more likely than not that some or all of the deferred tax assets will not be realized. As of June 30, 2026 and December 31, 2025, the Company has evaluated available evidence and concluded that the Company may not realize all the benefits of its deferred tax assets; therefore, a valuation allowance has been established for its deferred tax assets.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">ASC Topic 740-10-30 clarifies the accounting for uncertainty in income taxes recognized in an enterprise’s financial statements and prescribes a recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. ASC Topic 740-10-40 provides guidance on derecognition, classification, interest and penalties, accounting in interim periods, disclosure, and transition. The Company has no material uncertain tax positions for any of the reporting periods presented.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> There was <span style="-sec-ix-hidden:fc_445640514;"><span style="-sec-ix-hidden:fc_156666320;">no</span></span> income tax expense for the three and six months ended June 30, 2026 and 2025. </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Stock-Based Compensation</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">The Company accounts for stock-based compensation expense in accordance with the authoritative guidance on share-based payments. Under the provisions of the guidance, stock-based compensation expense is measured at the grant date based on the fair value of the option or warrant using a Black-Scholes option pricing model and is recognized as expense on a straight-line basis over the requisite service period, which is generally the vesting period.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">The authoritative guidance also requires that the Company measures and recognizes stock-based compensation expense upon modification of the term of stock award. The stock-based compensation expense for such modification is accounted for as a repurchase of the original award and the issuance of a new award.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">Calculating stock-based compensation expense requires the input of highly subjective assumptions, including the expected term of the stock-based awards, stock price volatility, and the pre-vesting option forfeiture rate. The Company estimates the expected life of options granted based on historical exercise patterns, which are believed to be representative of future behavior. The Company estimates the volatility of the Company’s common stock on the date of grant based on historical volatility. The assumptions used in calculating the fair value of stock-based awards represent the Company’s best estimates, but these estimates involve inherent uncertainties and the application of management’s judgment. As a result, if factors change and the Company uses different assumptions, its stock-based compensation expense could be materially different in the future. In addition, the Company is required to estimate the expected forfeiture rate and only recognize expense for those shares expected to vest. The Company estimates the forfeiture rate based on historical experience of its stock-based awards that are granted, exercised and cancelled. If the actual forfeiture rate is materially different from the estimate, stock-based compensation expense could be significantly different from what was recorded in the current period. The Company also grants performance-based restricted stock awards to employees and consultants. These awards will vest if certain employee\consultant-specific or Company-designated performance targets are achieved. If minimum performance thresholds are achieved, each award will convert into a designated number of the Company’s common stock. If minimum performance thresholds are not achieved, then no shares will be issued. Based upon the expected levels of achievement, stock-based compensation is recognized on a straight-line basis over the requisite service period. The expected levels of achievement are reassessed over the requisite service periods and, to the extent that the expected levels of achievement change, stock-based compensation is adjusted in the period of change and recorded on the statements of operations and the remaining unrecognized stock-based compensation is recorded over the remaining requisite service period. Refer to Note 8, Stockholders’ Equity, for additional detail.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Loss Per Share</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">The Company computes earnings (loss) per share in accordance with ASC 260, “<i>Earnings per Share</i>” which requires presentation of both basic and diluted earnings (loss) per share (“EPS”) on the face of the consolidated statements of operations. Basic EPS is computed by dividing the loss available to common shareholders (numerator) by the weighted average number of shares outstanding (denominator) during the period. Diluted EPS gives effect to all dilutive potential common shares outstanding during the period using the treasury stock method and convertible preferred stock using the if-converted method. In computing diluted EPS, the average stock price for the period is used in determining the number of shares assumed to be purchased from the exercise of stock options or warrants and the exercise of fully vested restricted stock units. Diluted EPS excludes all dilutive potential shares if their effect is anti-dilutive.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Indemnification</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">The Company provides indemnification of varying scope to certain customers against claims of intellectual property infringement made by third parties arising from the use of the Company’s software. In accordance with authoritative guidance for accounting for guarantees, the Company evaluates estimated losses for such indemnification. The Company considers such factors as the degree of probability of an unfavorable outcome and the ability to make a reasonable estimate of the amount of loss. To date, no such claims have been filed against the Company and no liability has been recorded in its condensed consolidated financial statements.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">As permitted under Delaware law, the Company has agreements whereby it indemnifies its officers and directors for certain events or occurrences while the officer or director is, or was, serving at the Company’s request in such capacity. The maximum potential amount of future payments the Company could be required to make under these indemnification agreements is unlimited. In addition, the Company has directors’ and officers’ liability insurance coverage that is intended to reduce its financial exposure and may enable it to recover any payments above the applicable policy retention, should they occur.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i> </i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Contingencies</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">The Company records a liability when the Company believes that it is both probable that a loss has been incurred and the amount can be reasonably estimated. If the Company determines that a loss is reasonably possible, and the loss or range of loss can be estimated, the Company discloses the possible loss in the notes to the unaudited condensed consolidated financial statements. The Company reviews the developments in its contingencies that could affect the amount of the provisions that has been previously recorded, and the matters and related possible losses disclosed. The Company adjusts provisions and changes to its disclosures accordingly to reflect the impact of negotiations, settlements, rulings, advice of legal counsel, and updated information. Significant judgment is required to determine both the probability and the estimated amount.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">Legal costs associated with loss contingencies are accrued based upon legal expenses incurred by the end of the reporting period.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Use of Estimates</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported and disclosed in the unaudited condensed consolidated financial statements and accompanying notes. The Company regularly evaluates estimates and assumptions related to the allowance for doubtful accounts, the estimated useful lives and recoverability of long-lived assets, stock-based compensation, goodwill, and deferred income tax asset valuation allowances. The Company bases its estimates and assumptions on current facts, historical experience and various other factors that it believes to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities and the accrual of costs and expenses that are not readily apparent from other sources. The actual results experienced by the Company may differ materially and adversely from the Company’s estimates. To the extent there are material differences between the estimates and the actual results, future results of operations will be affected. Actual results could differ materially from those estimates.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Recently Issued Accounting Pronouncements</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">From time to time, new accounting pronouncements are issued by the Financial Accounting Standards Board (“FASB”) that are adopted by the Company as of the specified effective date. If not discussed, management believes that the impact of recently issued standards, which are not yet effective, will not have a material impact on the Company’s condensed consolidated financial statements upon adoption.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Basis of Presentation and Principles of Consolidation</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with United States Generally Accepted Accounting Principles (“U.S. GAAP”) and the rules and regulations of the U.S. Securities and Exchange Commission (“SEC”). They do not include all of the information and footnotes required by U.S. GAAP for complete consolidated financial statements. Therefore, these unaudited condensed consolidated financial statements should be read in conjunction with the Company’s audited consolidated financial statements and notes thereto contained in its report on Form 10-K for the year ended December 31, 2025, filed with the SEC on March 31, 2026.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">The accompanying unaudited condensed consolidated financial statements include the accounts of SCWorx and its wholly-owned subsidiaries. All material intercompany balances and transactions have been eliminated in consolidation.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">The unaudited condensed consolidated financial statements included herein are unaudited; however, they contain all normal recurring accruals and adjustments that, in the opinion of management, are necessary to present fairly the Company’s financial position at June 30, 2026, the results of its operations and cash flows for the six months ended June 30, 2026. The results of operations for the three and six months ended June 30, 2026 are not necessarily indicative of the results to be expected for future quarters or the full year.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Cash</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> Cash is maintained with various financial institutions. Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of cash deposits. Accounts at each institution are insured by the Federal Deposit Insurance Corporation (“FDIC”) up to $250,000. The Company had amounts in excess of the FDIC insured limit of $902,293 and $1,356,754 as of June 30, 2026 and December 31, 2025, respectively. </p> 250000 902293 1356754 <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Fair Value of Financial Instruments</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">Management applies fair value accounting for significant financial assets and liabilities and non-financial assets and liabilities that are recognized or disclosed at fair value in the unaudited condensed consolidated financial statements on a recurring basis. Management defines fair value as the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. When determining the fair value measurements for assets and liabilities, which are required to be recorded at fair value, management considers the principal or most advantageous market in which the Company would transact and the market-based risk measurements or assumptions that market participants would use in pricing the asset or liability, such as risks inherent in valuation techniques, transfer restrictions and credit risk. Fair value is estimated by applying the following hierarchy, which prioritizes the inputs used to measure fair value into three levels and bases the categorization within the hierarchy upon the lowest level of input that is available and significant to the fair value measurement: Level 1 - Quoted prices in active markets for identical assets or liabilities. Level 2 - Observable inputs other than quoted prices in active markets for identical assets and liabilities, quoted prices for identical or similar assets or liabilities in inactive markets, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. Level 3 - Inputs that are generally unobservable and typically reflect management’s estimate of assumptions that market participants would use in pricing the asset or liability.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Fair value of stock options and warrants</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">Management uses the Black-Scholes option-pricing model to calculate the fair value of stock options and warrants. Use of this method requires management to make assumptions and estimates about the expected life of options and warrants, anticipated forfeitures, the risk-free rate, and the volatility of the Company’s share price. In making these assumptions and estimates, management relies on historical market data.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Concentration of Credit and Other Risks</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">Financial instruments that potentially subject the Company to significant concentrations of credit risk consist principally of cash and accounts receivable. The Company believes that any concentration of credit risk in its accounts receivable is substantially mitigated by the Company’s evaluation process, relatively short collection terms and the high level of credit worthiness of its customers. The Company performs ongoing internal credit evaluations of its customers’ financial condition, obtains deposits and limits the amount of credit extended when deemed necessary but generally requires no collateral.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">Significant customers are those which represent more than 10% of the Company’s revenue for each period presented, or the Company’s accounts receivable balance as of each respective balance sheet date. For each significant customer, revenue as a percentage of total revenue and accounts receivable as a percentage of total net accounts receivable are as follows:</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 11pt Times New Roman, Times, Serif;"> <tbody><tr style="vertical-align: bottom;"><td> </td> <td style="font-size: 10pt; font-weight: bold;"> </td> <td colspan="6" style="font-size: 10pt; font-weight: bold; text-align: center;">Revenue For The</td> <td style="font-size: 10pt; font-weight: bold;"> </td> <td> </td> <td colspan="6"> </td> <td> </td> </tr><tr style="vertical-align: bottom;"><td> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="6" style="font-size: 10pt; font-weight: bold; text-align: center;">Six Months Ended</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="6" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Accounts Receivable</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom;"><td> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="6" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">June 30,</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center;">June 30,</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center;">December 31,</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom;"><td style="font-size: 10pt; font-weight: bold; border-bottom: Black 1.5pt solid;">Customers</td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">2026</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">2025</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">2026</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">2025</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="width: 52%; font-size: 10pt; text-align: left;">Customer A</td> <td style="width: 1%; font-size: 10pt;"> </td> <td style="width: 1%; font-size: 10pt; text-align: left;"> </td> <td style="width: 9%; font-size: 10pt; text-align: right;">19</td> <td style="width: 1%; font-size: 10pt; text-align: left;">%</td> <td style="width: 1%; font-size: 10pt;"> </td> <td style="width: 1%; font-size: 10pt; text-align: left;"> </td> <td style="width: 9%; font-size: 10pt; text-align: right;">9</td> <td style="width: 1%; font-size: 10pt; text-align: left;">%</td> <td style="width: 1%; font-size: 10pt;"> </td> <td style="width: 1%; font-size: 10pt; text-align: left;"> </td> <td style="width: 9%; font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_2051112786;">-</span></td> <td style="width: 1%; font-size: 10pt; text-align: left;">%</td> <td style="width: 1%; font-size: 10pt;"> </td> <td style="width: 1%; font-size: 10pt; text-align: left;"> </td> <td style="width: 9%; font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_1007602021;">-</span></td> <td style="width: 1%; font-size: 10pt; text-align: left;">%</td> </tr><tr style="vertical-align: bottom; background-color: White;"> <td style="font-size: 10pt; text-align: left;">Customer B</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">17</td> <td style="font-size: 10pt; text-align: left;">%</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">20</td> <td style="font-size: 10pt; text-align: left;">%</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">-</td> <td style="font-size: 10pt; text-align: left;">%</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">8</td> <td style="font-size: 10pt; text-align: left;">%</td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="font-size: 10pt; text-align: left;">Customer C</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">14</td> <td style="font-size: 10pt; text-align: left;">%</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">14</td> <td style="font-size: 10pt; text-align: left;">%</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_161561846;">13</span></td> <td style="font-size: 10pt; text-align: left;">%</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_1272952749;">-</span></td> <td style="font-size: 10pt; text-align: left;">%</td> </tr><tr style="vertical-align: bottom; background-color: White;"> <td style="font-size: 10pt; text-align: left;">Customer D</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">9</td> <td style="font-size: 10pt; text-align: left;">%</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">16</td> <td style="font-size: 10pt; text-align: left;">%</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">14</td> <td style="font-size: 10pt; text-align: left;">%</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">32</td> <td style="font-size: 10pt; text-align: left;">%</td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="font-size: 10pt; text-align: left;">Customer E</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">7</td> <td style="font-size: 10pt; text-align: left;">%</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">7</td> <td style="font-size: 10pt; text-align: left;">%</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">21</td> <td style="font-size: 10pt; text-align: left;">%</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">11</td> <td style="font-size: 10pt; text-align: left;">%</td> </tr></tbody></table> For each significant customer, revenue as a percentage of total revenue and accounts receivable as a percentage of total net accounts receivable are as follows:<table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 11pt Times New Roman, Times, Serif;"> <tbody><tr style="vertical-align: bottom;"><td> </td> <td style="font-size: 10pt; font-weight: bold;"> </td> <td colspan="6" style="font-size: 10pt; font-weight: bold; text-align: center;">Revenue For The</td> <td style="font-size: 10pt; font-weight: bold;"> </td> <td> </td> <td colspan="6"> </td> <td> </td> </tr><tr style="vertical-align: bottom;"><td> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="6" style="font-size: 10pt; font-weight: bold; text-align: center;">Six Months Ended</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="6" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Accounts Receivable</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom;"><td> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="6" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">June 30,</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center;">June 30,</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center;">December 31,</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom;"><td style="font-size: 10pt; font-weight: bold; border-bottom: Black 1.5pt solid;">Customers</td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">2026</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">2025</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">2026</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">2025</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="width: 52%; font-size: 10pt; text-align: left;">Customer A</td> <td style="width: 1%; font-size: 10pt;"> </td> <td style="width: 1%; font-size: 10pt; text-align: left;"> </td> <td style="width: 9%; font-size: 10pt; text-align: right;">19</td> <td style="width: 1%; font-size: 10pt; text-align: left;">%</td> <td style="width: 1%; font-size: 10pt;"> </td> <td style="width: 1%; font-size: 10pt; text-align: left;"> </td> <td style="width: 9%; font-size: 10pt; text-align: right;">9</td> <td style="width: 1%; font-size: 10pt; text-align: left;">%</td> <td style="width: 1%; font-size: 10pt;"> </td> <td style="width: 1%; font-size: 10pt; text-align: left;"> </td> <td style="width: 9%; font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_2051112786;">-</span></td> <td style="width: 1%; font-size: 10pt; text-align: left;">%</td> <td style="width: 1%; font-size: 10pt;"> </td> <td style="width: 1%; font-size: 10pt; text-align: left;"> </td> <td style="width: 9%; font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_1007602021;">-</span></td> <td style="width: 1%; font-size: 10pt; text-align: left;">%</td> </tr><tr style="vertical-align: bottom; background-color: White;"> <td style="font-size: 10pt; text-align: left;">Customer B</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">17</td> <td style="font-size: 10pt; text-align: left;">%</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">20</td> <td style="font-size: 10pt; text-align: left;">%</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">-</td> <td style="font-size: 10pt; text-align: left;">%</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">8</td> <td style="font-size: 10pt; text-align: left;">%</td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="font-size: 10pt; text-align: left;">Customer C</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">14</td> <td style="font-size: 10pt; text-align: left;">%</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">14</td> <td style="font-size: 10pt; text-align: left;">%</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_161561846;">13</span></td> <td style="font-size: 10pt; text-align: left;">%</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_1272952749;">-</span></td> <td style="font-size: 10pt; text-align: left;">%</td> </tr><tr style="vertical-align: bottom; background-color: White;"> <td style="font-size: 10pt; text-align: left;">Customer D</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">9</td> <td style="font-size: 10pt; text-align: left;">%</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">16</td> <td style="font-size: 10pt; text-align: left;">%</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">14</td> <td style="font-size: 10pt; text-align: left;">%</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">32</td> <td style="font-size: 10pt; text-align: left;">%</td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="font-size: 10pt; text-align: left;">Customer E</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">7</td> <td style="font-size: 10pt; text-align: left;">%</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">7</td> <td style="font-size: 10pt; text-align: left;">%</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">21</td> <td style="font-size: 10pt; text-align: left;">%</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">11</td> <td style="font-size: 10pt; text-align: left;">%</td> </tr></tbody></table> 0.19 0.09 0.17 0.20 0 0.08 0.14 0.14 0.09 0.16 0.14 0.32 0.07 0.07 0.21 0.11 <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Allowance for Credit Losses</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">Accounts receivable are comprised of amounts billed and currently due from customers. Accounts receivable are amounts related to any unconditional right the Company has for receiving consideration and are presented as accounts receivable in the condensed consolidated balance sheets. The Company maintains an allowance for credit losses for estimated losses resulting from the inability of the Company’s customers to make required payments. The Company employs the practical expedient to estimate expected credit losses for current accounts receivable by utilizing subsequent cash collections. The evaluation of subsequent cash collections was performed through approximately August 12, 2026, for the reporting period ended June 30, 2026.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> Management considers the following factors when determining the collectability of specific customer accounts: customer creditworthiness, past transaction history with the customer, current industry trends, changes in customer payment terms, and specific customer situations. The Company’s normal collection cycle ranges between thirty and 60 days. Estimated uncollectible amounts are charged to earnings and a credit to a valuation allowance. Balances which remain outstanding after reasonable collection efforts are written off through a charge to the valuation allowance and a credit to accounts receivable. The Company has assessed that certain receivables may not be collectable and has recorded an allowance for credit losses of $55,200 as of June 30, 2026 and December 31, 2025. </p> 55200 55200 <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0;"><span style="font-weight: bold;"><i>Leases</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">Management determines if an arrangement is a lease at inception. The current portion of lease obligations are included in accounts payable and accrued liabilities on the consolidated balance sheets. Right-of-use (“ROU”) assets represent our right to use an underlying asset for the lease term, and lease liabilities represent our obligation to make lease payments arising from the lease. Operating lease ROU assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term. As most of the Company’s leases do not provide an implicit rate, we use our incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments. The Company’s lease terms may include options to extend or terminate the lease, which are included in the lease ROU asset when it is reasonably certain that we will exercise that option. Lease expense for lease payments is recognized on a straight-line basis over the lease term. The Company lease agreements with lease components only, none with non-lease components, which are generally accounted for separately.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">Management has elected a short-term lease exception policy on all classes of underlying assets, permitting the Company to not apply the recognition requirements of this standard to short-term leases (i.e. leases with terms of 12 months or less).</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0;"><span style="font-weight: bold;"><i>Goodwill</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">Goodwill is recorded as the difference, if any, between the aggregate consideration paid for an acquisition and the fair value of the net tangible and identified intangible assets acquired under a business combination. Goodwill also includes acquired assembled workforce, which does not qualify as an identifiable intangible asset. The Company reviews impairment of goodwill annually in the fourth quarter, or more frequently if events or circumstances indicate that the goodwill might be impaired. The Company first assesses qualitative factors to determine whether it is necessary to perform the quantitative goodwill impairment test. If, after assessing the totality of events or circumstances, the Company determines that it is not more likely than not that the fair value of a reporting unit is less than its carrying amount, then the quantitative goodwill impairment test is unnecessary.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Property and Equipment</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i> </i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">Property and equipment are recorded at cost. Depreciation is recorded for property and equipment using the straight-line method over the estimated useful lives of assets typically ranging from 3-7 years. The Company reviews the recoverability of all long-lived assets, including the related useful lives, whenever events or changes in circumstances indicate that the carrying amount of a long-lived asset might not be recoverable. The Company recognized depreciation expense of $886 and $1,771 for the three and six months ended June 30, 2026, respectively. The Company did not recognize any depreciation expense for the same periods during the prior year.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">Property and equipment as of June 30, 2026 and December 31, 2025 and depreciation expense for the six months ended June 30, 2026 and the year ended December 31, 2025 are as follows:</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;">   </p><table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif;"> <tbody><tr style="vertical-align: bottom;"><td style="text-align: center;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">June 30,<br/> 2026</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">December 31,<br/> 2025</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="width: 76%; text-align: justify;">Computer equipment</td> <td style="width: 1%;"> </td> <td style="width: 1%; text-align: left;"> </td> <td style="width: 9%; text-align: right;">10,623</td> <td style="width: 1%; text-align: left;"> </td> <td style="width: 1%;"> </td> <td style="width: 1%; text-align: left;"> </td> <td style="width: 9%; text-align: right;">10,623</td> <td style="width: 1%; text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: White;"> <td style="text-align: justify; padding-bottom: 1.5pt;">Accumulated depreciation</td> <td style="padding-bottom: 1.5pt;"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: right;">(2,174</td> <td style="padding-bottom: 1.5pt; text-align: left;">)</td> <td style="padding-bottom: 1.5pt;"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: right;">(403</td> <td style="padding-bottom: 1.5pt; text-align: left;">)</td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="text-align: justify; padding-bottom: 1.5pt;">Property and equipment, net</td> <td style="padding-bottom: 1.5pt;"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left;">$</td> <td style="border-bottom: Black 1.5pt solid; text-align: right;">8,449</td> <td style="padding-bottom: 1.5pt; text-align: left;"> </td> <td style="padding-bottom: 1.5pt;"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left;">$</td> <td style="border-bottom: Black 1.5pt solid; text-align: right;">10,220</td> <td style="padding-bottom: 1.5pt; text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: White;"> <td style="text-align: justify; padding-bottom: 4pt;">Depreciation expense</td> <td style="padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; text-align: left;">$</td> <td style="border-bottom: Black 4pt double; text-align: right;">1,771</td> <td style="padding-bottom: 4pt; text-align: left;"> </td> <td style="padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; text-align: left;">$</td> <td style="border-bottom: Black 4pt double; text-align: right;">403</td> <td style="padding-bottom: 4pt; text-align: left;"> </td> </tr></tbody></table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">Property and equipment as of June 30, 2026 and December 31, 2025 and depreciation expense for the six months ended June 30, 2026 and the year ended December 31, 2025 are as follows:</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;">   </p><table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif;"> <tbody><tr style="vertical-align: bottom;"><td style="text-align: center;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">June 30,<br/> 2026</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">December 31,<br/> 2025</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="width: 76%; text-align: justify;">Computer equipment</td> <td style="width: 1%;"> </td> <td style="width: 1%; text-align: left;"> </td> <td style="width: 9%; text-align: right;">10,623</td> <td style="width: 1%; text-align: left;"> </td> <td style="width: 1%;"> </td> <td style="width: 1%; text-align: left;"> </td> <td style="width: 9%; text-align: right;">10,623</td> <td style="width: 1%; text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: White;"> <td style="text-align: justify; padding-bottom: 1.5pt;">Accumulated depreciation</td> <td style="padding-bottom: 1.5pt;"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: right;">(2,174</td> <td style="padding-bottom: 1.5pt; text-align: left;">)</td> <td style="padding-bottom: 1.5pt;"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: right;">(403</td> <td style="padding-bottom: 1.5pt; text-align: left;">)</td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="text-align: justify; padding-bottom: 1.5pt;">Property and equipment, net</td> <td style="padding-bottom: 1.5pt;"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left;">$</td> <td style="border-bottom: Black 1.5pt solid; text-align: right;">8,449</td> <td style="padding-bottom: 1.5pt; text-align: left;"> </td> <td style="padding-bottom: 1.5pt;"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left;">$</td> <td style="border-bottom: Black 1.5pt solid; text-align: right;">10,220</td> <td style="padding-bottom: 1.5pt; text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: White;"> <td style="text-align: justify; padding-bottom: 4pt;">Depreciation expense</td> <td style="padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; text-align: left;">$</td> <td style="border-bottom: Black 4pt double; text-align: right;">1,771</td> <td style="padding-bottom: 4pt; text-align: left;"> </td> <td style="padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; text-align: left;">$</td> <td style="border-bottom: Black 4pt double; text-align: right;">403</td> <td style="padding-bottom: 4pt; text-align: left;"> </td> </tr></tbody></table> 10623 10623 2174 403 8449 10220 1771 403 <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Intangible Assets and Impairment of Long Lived Assets</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> The Company capitalizes costs incurred during the application development stage for internal-use software, which include external direct costs of materials and services, as well as payroll-related costs for employees directly associated with the software development. Costs related to the preliminary project phase, training, and maintenance are expensed as incurred. Once the software is ready for its intended use, capitalized costs are amortized on a straight-line basis over an estimated useful life of 3 to 5 years in accordance with the provisions of Accounting Standard Codification (“ASC”) 350, “<i>Goodwill and Other Intangible Assets</i>”. </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; text-indent: 0.5in; margin: 0pt 0; text-align: justify;">The assessment of any impairment of these assets is dependent upon estimates of recoverable amounts that consider factors such as economic and market conditions and the useful lives of assets. If, after assessing the totality of events or circumstances, the Company determines that it is not more likely than not that the fair value of an asset is less than its carrying amount, then the company records impairment of the asset.</p> P3Y P5Y <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Segment Reporting</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i> </i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 0.5in; text-align: justify;">In November 2023, the FASB issued ASU 2023-07 Segment Reporting (Topic 280): “<i>Improvements to Reportable Segment Disclosures to enhance the reportable segment disclosures.</i>” The guidance requires additional disclosures about significant segment expenses.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 0.5in; text-align: justify;">The Company has determined that it currently operates in a single segment - health information technology solutions and services, located in a single geographic location – the United States. The accounting policies of the segment are the same as those described in the summary of significant accounting policies. Since the Company operates in a single segment, the measure of segment total assets and loss from operations is the same as that reported on the accompanying condensed consolidated balance sheets as total assets, and the accompanying condensed consolidated statements of operations as loss from operations, respectively. Refer to Note 12, Segment Reporting, for additional detail.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Revenue Recognition</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">The Company recognizes revenue in accordance with ASC Topic 606 to depict the transfer of promised goods or services in an amount that reflects the consideration to which an entity expects to be entitled in exchange for those goods or services. To determine revenue recognition for arrangements within the scope of Topic 606 the Company performs the following steps:</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><table cellpadding="0" cellspacing="0" style="font: 11pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse;"> <tbody><tr style="vertical-align: top;"><td style="width: 0.5IN;"> </td> <td style="width: 0.25IN;"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt;">●</span></td> <td style="text-align: justify;"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt;">Step 1: Identify the contract(s) with a customer</span></td> </tr></tbody></table><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0;"> </p><table cellpadding="0" cellspacing="0" style="font: 11pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse;"> <tbody><tr style="vertical-align: top;"><td style="width: 0.5IN;"> </td> <td style="width: 0.25IN;"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt;">●</span></td> <td style="text-align: justify;"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt;">Step 2: Identify the performance obligations in the contract</span></td> </tr></tbody></table><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0;"> </p><table cellpadding="0" cellspacing="0" style="font: 11pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse;"> <tbody><tr style="vertical-align: top;"><td style="width: 0.5IN;"> </td> <td style="width: 0.25IN;"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt;">●</span></td> <td style="text-align: justify;"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt;">Step 3: Determine the transaction price</span></td> </tr></tbody></table><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0;"> </p><table cellpadding="0" cellspacing="0" style="font: 11pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse;"> <tbody><tr style="vertical-align: top;"><td style="width: 0.5IN;"> </td> <td style="width: 0.25IN;"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt;">●</span></td> <td style="text-align: justify;"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt;">Step 4: Allocate the transaction price to the performance obligations in the contract</span></td> </tr></tbody></table><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0;"> </p><table cellpadding="0" cellspacing="0" style="font: 11pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse;"> <tbody><tr style="vertical-align: top;"><td style="width: 0.5IN;"> </td> <td style="width: 0.25IN;"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt;">●</span></td> <td style="text-align: justify;"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt;">Step 5: Recognize revenue when (or as) the entity satisfies a performance obligation</span></td> </tr></tbody></table><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">The Company follows the accounting revenue guidance under Topic 606 to determine whether contracts contain more than one performance obligation. Performance obligations are the unit of accounting for revenue recognition and generally represent the distinct goods or services that are promised to the customer.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 36pt;">The Company has identified the following performance obligation in its SaaS contracts with customers:</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse;"> <tbody><tr style="vertical-align: top;"><td style="width: 48px; font-size: 10pt;"> </td> <td style="width: 24px; font-size: 10pt;"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt;">1)</span></td> <td style="text-align: justify; font-size: 10pt;"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt;">Software-as-a-service (“SaaS”): which is generated from clients’ access of and usage of the Company’s hosted software solutions on a subscription basis for a specified contract term, which is usually annually. In SaaS arrangements, the client cannot take possession of the software during the term of the contract and generally has the right to access and use the software and receive any software upgrades published during the subscription period.  This service includes data preparation, product and vendor mapping, product categorization, data enrichment and other data related services as well as ongoing data cleansing and normalization, content enrichment, and optimization</span></td> </tr></tbody></table><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">A contract will typically include Data Normalization, SaaS and Maintenance, which are distinct performance obligations and are accounted for separately. The transaction price is allocated to each separate performance obligation on a relative stand-alone selling price basis. Significant judgement is required to determine the stand-alone selling price for each distinct performance obligation and is typically estimated based on observable transactions when these services are sold on a stand-alone basis. At contract inception, an assessment of the goods and services promised in the contracts with customers is performed and a performance obligation is identified for each distinct promise to transfer to the customer a good or service (or bundle of goods or services). To identify the performance obligations, the Company considers all the goods or services promised in the contract regardless of whether they are explicitly stated or are implied by customary business practices. Revenue is recognized when the performance obligation has been met. The Company considers control to have transferred upon delivery because the Company has a present right to payment at that time, the Company has transferred use of the good or service, and the customer is able to direct the use of, and obtain substantially all the remaining benefits from, the good or service.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">The Company’s SaaS and Maintenance contracts typically have termination for convenience without penalty clauses and accordingly, are generally accounted for as month-to-month agreements. If it is determined that the Company has not satisfied a performance obligation, revenue recognition will be deferred until the performance obligation is deemed to be satisfied.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">Revenue recognition for the Company’s performance obligations are as follows:</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><i>SaaS and Maintenance</i></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">SaaS and Maintenance revenues are recognized ratably over the contract terms beginning on the commencement date of each contract, which is the date on which the Company’s service is made available to customers.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">The Company does have some contracts that have payment terms that differ from the timing of revenue recognition, which requires the Company to assess whether the transaction price for those contracts include a significant financing component. The Company has elected the practical expedient that permits an entity to not adjust for the effects of a significant financing component if it expects that at the contract inception, the period between when the entity transfers a promised good or service to a customer and when the customer pays for that good or service will be one year or less. The Company does not maintain contracts in which the period between when the entity transfers a promised good or service to a customer and when the customer pays for that good or service exceeds the one-year threshold.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">The Company has one revenue stream, from the SaaS business, and believes it has presented all varying factors that affect the nature, timing and uncertainty of revenues and cash flows.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0;"><i>Remaining Performance Obligations</i></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> As of June 30, 2026 and December 31, 2025, the Company had $198,125 and $158,750, respectively, of remaining performance obligations recorded as deferred revenue. The Company expects to recognize the revenue relating to the current performance obligations during the following 12 month period. </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><i>Costs to Obtain and Fulfill a Contract</i></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">Costs to fulfill a contract typically include costs related to satisfying performance obligations as well as general and administrative costs that are not explicitly chargeable to customer contracts. These expenses are recognized and expensed when incurred in accordance with ASC 340-40, <i>“Other Assets and Deferred Costs—Contracts with Customers”</i>.</p> 198125 158750 <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Cost of Revenues</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">Cost of revenues primarily represent data center hosting costs, consulting services and maintenance of the Company’s large data array that were incurred in delivering professional services and maintenance of the Company’s large data array during the periods presented.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Convertible Debt and Amortization of Debt Discounts</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i> </i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> The Company has issued various debt instruments with warrants and conversion features for which total proceeds were allocated to individual instruments based on the relative fair value of each instrument at the time of issuance. The relative fair value of the warrants issued in connection with convertible debt was recorded as discount on debt and amortized over the term of the respective debt. For the three and six months ended June 30, 2026, amortization of debt discount was $0 and $34,175, respectively. For the three and six months ended June 30, 2025, amortization of debt discounts was $1,379,532 and $1,458,243, respectively. </p> 0 34175 1379532 1458243 <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Contract Balances</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> Contract assets arise when the associated revenue was earned prior to the Company’s unconditional right to receive a payment under a contract with a customer (unbilled revenue) and are derecognized when either it becomes a receivable or the cash is received. There were <span style="-sec-ix-hidden:fc_1725595275;"><span style="-sec-ix-hidden:fc_1363517488;">no</span></span> contract assets as of June 30, 2026 and December 31, 2025. </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> Contract liabilities arise when customers remit contractual cash payments in advance of the Company satisfying its performance obligations under the contract and are derecognized when the revenue associated with the contract is recognized when the performance obligation is satisfied. Contract liabilities were $198,125 and $158,750 as of June 30, 2026 and December 31, 2025, respectively. </p> 198125 158750 <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Income Taxes</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">The Company uses the asset and liability method of accounting for income taxes in accordance with ASC Topic 740, “<i>Income Taxes</i>.” Under this method, income tax expense is recognized for the amount of: (i) taxes payable or refundable for the current year and (ii) deferred tax consequences of temporary differences resulting from matters that have been recognized in an entity’s financial statements or tax returns. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in the results of operations in the period that includes the enactment date.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">Valuation allowances are provided if, based upon the weight of available evidence, it is more likely than not that some or all of the deferred tax assets will not be realized. As of June 30, 2026 and December 31, 2025, the Company has evaluated available evidence and concluded that the Company may not realize all the benefits of its deferred tax assets; therefore, a valuation allowance has been established for its deferred tax assets.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">ASC Topic 740-10-30 clarifies the accounting for uncertainty in income taxes recognized in an enterprise’s financial statements and prescribes a recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. ASC Topic 740-10-40 provides guidance on derecognition, classification, interest and penalties, accounting in interim periods, disclosure, and transition. The Company has no material uncertain tax positions for any of the reporting periods presented.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> There was <span style="-sec-ix-hidden:fc_445640514;"><span style="-sec-ix-hidden:fc_156666320;">no</span></span> income tax expense for the three and six months ended June 30, 2026 and 2025. </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Stock-Based Compensation</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">The Company accounts for stock-based compensation expense in accordance with the authoritative guidance on share-based payments. Under the provisions of the guidance, stock-based compensation expense is measured at the grant date based on the fair value of the option or warrant using a Black-Scholes option pricing model and is recognized as expense on a straight-line basis over the requisite service period, which is generally the vesting period.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">The authoritative guidance also requires that the Company measures and recognizes stock-based compensation expense upon modification of the term of stock award. The stock-based compensation expense for such modification is accounted for as a repurchase of the original award and the issuance of a new award.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">Calculating stock-based compensation expense requires the input of highly subjective assumptions, including the expected term of the stock-based awards, stock price volatility, and the pre-vesting option forfeiture rate. The Company estimates the expected life of options granted based on historical exercise patterns, which are believed to be representative of future behavior. The Company estimates the volatility of the Company’s common stock on the date of grant based on historical volatility. The assumptions used in calculating the fair value of stock-based awards represent the Company’s best estimates, but these estimates involve inherent uncertainties and the application of management’s judgment. As a result, if factors change and the Company uses different assumptions, its stock-based compensation expense could be materially different in the future. In addition, the Company is required to estimate the expected forfeiture rate and only recognize expense for those shares expected to vest. The Company estimates the forfeiture rate based on historical experience of its stock-based awards that are granted, exercised and cancelled. If the actual forfeiture rate is materially different from the estimate, stock-based compensation expense could be significantly different from what was recorded in the current period. The Company also grants performance-based restricted stock awards to employees and consultants. These awards will vest if certain employee\consultant-specific or Company-designated performance targets are achieved. If minimum performance thresholds are achieved, each award will convert into a designated number of the Company’s common stock. If minimum performance thresholds are not achieved, then no shares will be issued. Based upon the expected levels of achievement, stock-based compensation is recognized on a straight-line basis over the requisite service period. The expected levels of achievement are reassessed over the requisite service periods and, to the extent that the expected levels of achievement change, stock-based compensation is adjusted in the period of change and recorded on the statements of operations and the remaining unrecognized stock-based compensation is recorded over the remaining requisite service period. Refer to Note 8, Stockholders’ Equity, for additional detail.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Loss Per Share</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">The Company computes earnings (loss) per share in accordance with ASC 260, “<i>Earnings per Share</i>” which requires presentation of both basic and diluted earnings (loss) per share (“EPS”) on the face of the consolidated statements of operations. Basic EPS is computed by dividing the loss available to common shareholders (numerator) by the weighted average number of shares outstanding (denominator) during the period. Diluted EPS gives effect to all dilutive potential common shares outstanding during the period using the treasury stock method and convertible preferred stock using the if-converted method. In computing diluted EPS, the average stock price for the period is used in determining the number of shares assumed to be purchased from the exercise of stock options or warrants and the exercise of fully vested restricted stock units. Diluted EPS excludes all dilutive potential shares if their effect is anti-dilutive.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Indemnification</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">The Company provides indemnification of varying scope to certain customers against claims of intellectual property infringement made by third parties arising from the use of the Company’s software. In accordance with authoritative guidance for accounting for guarantees, the Company evaluates estimated losses for such indemnification. The Company considers such factors as the degree of probability of an unfavorable outcome and the ability to make a reasonable estimate of the amount of loss. To date, no such claims have been filed against the Company and no liability has been recorded in its condensed consolidated financial statements.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">As permitted under Delaware law, the Company has agreements whereby it indemnifies its officers and directors for certain events or occurrences while the officer or director is, or was, serving at the Company’s request in such capacity. The maximum potential amount of future payments the Company could be required to make under these indemnification agreements is unlimited. In addition, the Company has directors’ and officers’ liability insurance coverage that is intended to reduce its financial exposure and may enable it to recover any payments above the applicable policy retention, should they occur.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Contingencies</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">The Company records a liability when the Company believes that it is both probable that a loss has been incurred and the amount can be reasonably estimated. If the Company determines that a loss is reasonably possible, and the loss or range of loss can be estimated, the Company discloses the possible loss in the notes to the unaudited condensed consolidated financial statements. The Company reviews the developments in its contingencies that could affect the amount of the provisions that has been previously recorded, and the matters and related possible losses disclosed. The Company adjusts provisions and changes to its disclosures accordingly to reflect the impact of negotiations, settlements, rulings, advice of legal counsel, and updated information. Significant judgment is required to determine both the probability and the estimated amount.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">Legal costs associated with loss contingencies are accrued based upon legal expenses incurred by the end of the reporting period.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Use of Estimates</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported and disclosed in the unaudited condensed consolidated financial statements and accompanying notes. The Company regularly evaluates estimates and assumptions related to the allowance for doubtful accounts, the estimated useful lives and recoverability of long-lived assets, stock-based compensation, goodwill, and deferred income tax asset valuation allowances. The Company bases its estimates and assumptions on current facts, historical experience and various other factors that it believes to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities and the accrual of costs and expenses that are not readily apparent from other sources. The actual results experienced by the Company may differ materially and adversely from the Company’s estimates. To the extent there are material differences between the estimates and the actual results, future results of operations will be affected. Actual results could differ materially from those estimates.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Recently Issued Accounting Pronouncements</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">From time to time, new accounting pronouncements are issued by the Financial Accounting Standards Board (“FASB”) that are adopted by the Company as of the specified effective date. If not discussed, management believes that the impact of recently issued standards, which are not yet effective, will not have a material impact on the Company’s condensed consolidated financial statements upon adoption.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;">Note 3. Intangible Assets</span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"> </span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> The Company capitalizes costs associated with software developed for internal use, including payroll for employees directly involved in development and external consulting fees, once the project has reached the application development stage in accordance with ASC 350-40.  Amortization is computed using the straight-line method over an estimated useful life of 3–5 years. </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> During the three and six months ended June 30, 2026, the Company capitalized $72,608 and $138,021, respectively, in costs related to new software development. The Company did not capitalize any costs during the same periods for the prior year. The Company is still in the development phase and the asset has not yet been put into service. Therefore, no amortization of the asset has occurred as of the date of these unaudited condensed consolidated financial statements. </p> P3Y P5Y 72608 138021 <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;">Note 4. Goodwill</span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"> </span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> On February 1, 2019, the Company’s shareholders exchanged all of its outstanding shares in exchange for 5,263,158 shares of Alliance common stock. Due to the Company’s shareholders acquiring a controlling interest in Alliance after acquisition, the transaction was treated as a reverse merger for accounting purposes, with SCWorx being the reporting company. </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> The acquisition was accounted for under the acquisition method of accounting with an initial goodwill value of $8,366,467. During the year ended December 31, 2023, the Company determined the fair value of its goodwill to be less than its carrying value and recognized impairment expense $2,524,034. </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> There were <span style="-sec-ix-hidden:fc_194595437;"><span style="-sec-ix-hidden:fc_565694191;"><span style="-sec-ix-hidden:fc_1464412471;"><span style="-sec-ix-hidden:fc_644489560;">no</span></span></span></span> changes to the carrying value of goodwill for the three and six months ended June 30, 2026 and 2025. </p> 5263158 8366467 2524034 <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;">Note 5. Debt</span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><i>Convertible Loans</i></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"> </span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> On July 15, 2024, the Company issued an aggregate $1,155,000 in convertible notes bearing interest at 10% per annum. The notes mature on December 31, 2025 and are convertible into the Company’s common stock at a price of $1.43 per share, subject to certain adjustments, at the holder’s request.  The noteholders and certain third parties were also granted detachable 5 year warrants to purchase an aggregate of 4,887,118 shares of the Company’s common stock at exercise prices ranging from $1.43 to $1.692 per share. The Company valued the warrants at $6,163,572 using the Black-Scholes pricing model. The Company has allocated the note proceeds based on relative fair value and has recorded the value of the warrants as a discount to the debt in the amount of $973,200. As of December 31, 2025 and June 30, 2026, all principal amounts had been converted into equity. </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"> </span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> On January 21, 2025, the Company issued an aggregate $1,500,000 in convertible notes bearing interest at 10% per annum. The notes mature on January 21, 2027 and are convertible into the Company’s common stock at a price of $1.25 per share, subject to certain adjustments, at the holder’s request.  The noteholders and certain third parties were also granted detachable 5 year warrants to purchase an aggregate of 7,256,364 shares of the Company’s common stock at exercise prices ranging from $1.25 to $1.65 per share. The Company valued the warrants at $11,422,792 using the Black-Scholes pricing model.  The Company has allocated the note proceeds based on relative fair value and has recorded the value of the warrants as a discount to the debt in the amount of $1,186,579, as well as the value of the conversion feature of $198,421.  Additionally, the Company recorded debt issuance costs of $115,000 as a discount to the debt. At December 31, 2025, $35,714 of the principal balances remain outstanding and are included on the Company’s consolidated balance sheets net of discounts at $1,539. As of June 30, 2026, all principal amounts had been converted into equity. </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> The Company has accrued interest for the above notes in the amount of $142,750 and $146,116 as of June 30, 2026 and December 31, 2025, respectively, which is included in accounts payable and accrued liabilities on the Company’s condensed consolidated balance sheets. For the three and six months ended June 30, 2026, amortization of debt discount was $0 and $34,175, respectively. For the three and six months ended June 30, 2025, amortization of debt discounts was $1,379,532 and $1,458,243, respectively. Total interest expense for the three and six months ended June 30, 2026 was $0 and $3,778, respectively. Total interest expense for the three and six months ended June 30, 2025 was $154,922 and $218,517, respectively. </p> 1155000 0.10 1.43 P5Y 4887118 1.43 1.692 6163572 973200 1500000 0.10 1.25 P5Y 7256364 1.25 1.65 11422792 1186579 198421 115000 35714 1539 142750 146116 0 34175 1379532 1458243 0 3778 154922 218517 <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;">Note 6. Leases</span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Operating Leases</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> The Company’s principal executive office in Middleton Massachusetts is under a one year arrangement with a base rent of $990 per month running from November 1, 2025 through October 31, 2026. </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">The Company has operating leases for corporate, business and technician offices. Leases with a probable term of 12 months or less, including month-to-month agreements, are not recorded on the consolidated balance sheets, unless the arrangement includes an option to purchase the underlying asset, or an option to renew the arrangement, that the Company is reasonably certain to exercise (short-term leases). The Company recognizes lease expense for these leases on a straight-line basis over the lease term. As a practical expedient, the Company elected, for all office and facility leases, not to separate non-lease components (common-area maintenance costs) from lease components (fixed payments including rent) and instead to account for each separate lease component and its associated non-lease components as a single lease component. </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">For the three and six months ended June 30, 2026 and 2025, the components of lease expense were as follows:</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 0.5in;"> </p><table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 11pt Times New Roman, Times, Serif;"> <tbody><tr style="vertical-align: bottom;"><td> </td> <td style="font-size: 10pt; font-weight: bold;"> </td> <td colspan="6" style="font-size: 10pt; font-weight: bold; text-align: center;">For the Three Months Ended</td> <td style="font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold;"> </td> <td colspan="6" style="font-size: 10pt; font-weight: bold; text-align: center;">For the Six Months Ended</td> <td style="font-size: 10pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom;"><td> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="6" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">June 30,</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="6" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">June 30,</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom;"><td> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">2026</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">2025</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">2026</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">2025</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="width: 52%; font-size: 10pt; text-align: left;">Operating lease cost</td> <td style="width: 1%; font-size: 10pt; padding-bottom: 1.5pt;"> </td> <td style="width: 1%; border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: left;">$</td> <td style="width: 9%; border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: right;">3,970</td> <td style="width: 1%; padding-bottom: 1.5pt; font-size: 10pt; text-align: left;"> </td> <td style="width: 1%; font-size: 10pt; padding-bottom: 1.5pt;"> </td> <td style="width: 1%; border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: left;">$</td> <td style="width: 9%; border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: right;">1,011</td> <td style="width: 1%; padding-bottom: 1.5pt; font-size: 10pt; text-align: left;"> </td> <td style="width: 1%; font-size: 10pt; padding-bottom: 1.5pt;"> </td> <td style="width: 1%; border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: left;">$</td> <td style="width: 9%; border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: right;">9,176</td> <td style="width: 1%; padding-bottom: 1.5pt; font-size: 10pt; text-align: left;"> </td> <td style="width: 1%; font-size: 10pt; padding-bottom: 1.5pt;"> </td> <td style="width: 1%; border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: left;">$</td> <td style="width: 9%; border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: right;">2,203</td> <td style="width: 1%; padding-bottom: 1.5pt; font-size: 10pt; text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: White;"> <td style="font-size: 10pt; text-align: left;">Total lease cost</td> <td style="font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left;">$</td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right;">3,970</td> <td style="padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left;">$</td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right;">1,011</td> <td style="padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left;">$</td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right;">9,176</td> <td style="padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left;">$</td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right;">2,203</td> <td style="padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> </tr></tbody></table><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">As of June 30, 2026 and December 31, 2025, the Company had no additional operating leases, other than those noted above, and no financing leases.</p> 990 <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">For the three and six months ended June 30, 2026 and 2025, the components of lease expense were as follows:</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-indent: 0.5in;"> </p><table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 11pt Times New Roman, Times, Serif;"> <tbody><tr style="vertical-align: bottom;"><td> </td> <td style="font-size: 10pt; font-weight: bold;"> </td> <td colspan="6" style="font-size: 10pt; font-weight: bold; text-align: center;">For the Three Months Ended</td> <td style="font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold;"> </td> <td colspan="6" style="font-size: 10pt; font-weight: bold; text-align: center;">For the Six Months Ended</td> <td style="font-size: 10pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom;"><td> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="6" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">June 30,</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="6" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">June 30,</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom;"><td> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">2026</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">2025</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">2026</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">2025</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="width: 52%; font-size: 10pt; text-align: left;">Operating lease cost</td> <td style="width: 1%; font-size: 10pt; padding-bottom: 1.5pt;"> </td> <td style="width: 1%; border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: left;">$</td> <td style="width: 9%; border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: right;">3,970</td> <td style="width: 1%; padding-bottom: 1.5pt; font-size: 10pt; text-align: left;"> </td> <td style="width: 1%; font-size: 10pt; padding-bottom: 1.5pt;"> </td> <td style="width: 1%; border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: left;">$</td> <td style="width: 9%; border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: right;">1,011</td> <td style="width: 1%; padding-bottom: 1.5pt; font-size: 10pt; text-align: left;"> </td> <td style="width: 1%; font-size: 10pt; padding-bottom: 1.5pt;"> </td> <td style="width: 1%; border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: left;">$</td> <td style="width: 9%; border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: right;">9,176</td> <td style="width: 1%; padding-bottom: 1.5pt; font-size: 10pt; text-align: left;"> </td> <td style="width: 1%; font-size: 10pt; padding-bottom: 1.5pt;"> </td> <td style="width: 1%; border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: left;">$</td> <td style="width: 9%; border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: right;">2,203</td> <td style="width: 1%; padding-bottom: 1.5pt; font-size: 10pt; text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: White;"> <td style="font-size: 10pt; text-align: left;">Total lease cost</td> <td style="font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left;">$</td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right;">3,970</td> <td style="padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left;">$</td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right;">1,011</td> <td style="padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left;">$</td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right;">9,176</td> <td style="padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left;">$</td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right;">2,203</td> <td style="padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> </tr></tbody></table> 3970 1011 9176 2203 3970 1011 9176 2203 <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;">Note 7. Commitments and Contingencies</span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"> </span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">In conducting its business, the Company may become involved in legal proceedings. The Company will accrue a liability for such matters when it is probable that a liability has been incurred and the amount can be reasonably estimated. When only a range of possible loss can be established, the most probable amount in the range is accrued. If no amount within this range is a better estimate than any other amount within the range, the minimum amount in the range is accrued. The accrual for a litigation loss contingency might include, for example, estimates of potential damages, outside legal fees and other directly related costs expected to be incurred. The Company does not currently have any pending or threatened litigation.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;">Nasdaq minimum bid price deficiency notification</span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> As Previously Disclosed in the Company’s periodic report filed with the SEC on April 16, 2025, Nasdaq notified the Company that based upon the Company’s closing bid price for the last 30 consecutive business days (February 26, 2025 through April 9, 2025), the Company no longer meets the listed securities requirement to maintain a minimum bid price of $1 per share pursuant to Nasdaq Rules 5550(a)(2) and 5810(c)(3)(A). </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">On October 8, 2025, the Company received written notification from the Listing Qualifications Department of Nasdaq, granting the Company’s request for a 180-day extension to regain compliance with the Bid Price Rule. The Company had until April 6, 2026 to meet the requirement.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> On April 7, 2026, Nasdaq notified the Company that, because it failed to regain compliance with Nasdaq’s minimum bid price requirement of $1 per share pursuant to Nasdaq Rule 5550(a)(2), its securities will be delisted from the Capital Market. Consequently, trading of the Company’s common stock was suspended at the opening of business on April 14, 2026, and a Form 25-NSE was filed with the Securities and Exchange Commission, which removed the Company’s securities from listing and registration on The Nasdaq Stock Market. The Company appealed the Staff’s delisting determination to the Panel, and the Decision resolves that appeal.  </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"> </span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> Under the terms of the Decision, the Company must satisfy the following conditions in order for trading of its common stock to be reinstated on Nasdaq: (i) on or before July 22, 2026, the Company must obtain shareholder approval for a reverse stock split at a ratio sufficient to achieve a post-split price reasonably expected to sustain compliance with the Bid Price Rule; (ii) on or before August 3, 2026, the Company must effect a reverse stock split; and (iii) on or before August 28, 2026, the Company must demonstrate compliance with the Bid Price Rule by evidencing a closing bid price at or above $1.00 per share for a minimum of 20 consecutive trading days. </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> The Company received shareholder approval at its annual meeting on July 22, 2026 to effect the required reverse split, and effected said reverse split on August 3, 2026. The Company is currently in the 20 trading day compliance period and has thus far sustained a closing bid price above $1.00 per share </p> P30D 1 1 (i) on or before July 22, 2026, the Company must obtain shareholder approval for a reverse stock split at a ratio sufficient to achieve a post-split price reasonably expected to sustain compliance with the Bid Price Rule; (ii) on or before August 3, 2026, the Company must effect a reverse stock split; and (iii) on or before August 28, 2026, the Company must demonstrate compliance with the Bid Price Rule by evidencing a closing bid price at or above $1.00 per share for a minimum of 20 consecutive trading days. P20Y 1 <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;">Note 8. Stockholders’ Equity</span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><i>Authorized Shares</i></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> 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: </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><table cellpadding="0" cellspacing="0" style="font: 11pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse;"> <tbody><tr style="vertical-align: top;"><td style="width: 0.5IN;"> </td> <td style="width: 0.25IN;"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt;">i.</span></td> <td style="text-align: justify;"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt;">150,000,000 shares of Common Stock, $0.001 par value per share; and</span></td> </tr></tbody> </table><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0;"> </p><table cellpadding="0" cellspacing="0" style="font: 11pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse;"> <tbody><tr style="vertical-align: top;"><td style="width: 0.5IN;"> </td> <td style="width: 0.25IN;"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt;">ii.</span></td> <td style="text-align: justify;"><span style="font-family: Times New Roman, Times, Serif; font-size: 10pt;">5,000,000 shares of Preferred Stock, $0.001 par value per share available for designation</span></td> </tr></tbody> </table><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> 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. </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> 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. </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Common Stock</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><i>Issuance of Shares for Note Conversions</i></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> 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. </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><i>Issuance of Shares for Warrant Exercises</i></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><i> </i></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> On February 12, 2026, the Company issued an aggregate 278 shares of common stock for the exercise of warrants. </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;"><i>Stock Incentive Plan</i></span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">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:</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center;"> </p><table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif;"> <tbody><tr style="vertical-align: bottom;"><td style="font-size: 11pt;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="6" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Warrant Grants</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="6" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Stock Option Grants</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Restricted Stock Units</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom;"><td style="font-size: 11pt;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Number of <br/> shares <br/> subject to <br/> warrants</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Weighted-<br/> average exercise <br/> price per <br/> share</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Number of <br/> shares <br/> subject to <br/> options</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Weighted-<br/> average exercise <br/> price <br/> per share</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Number of <br/> shares <br/> subject to <br/> restricted <br/> stock units</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="width: 40%;">Balance at December 31, 2025</td> <td style="width: 1%; padding-bottom: 4pt;"> </td> <td style="width: 1%; border-bottom: Black 4pt double; text-align: left;"> </td> <td style="width: 9%; border-bottom: Black 4pt double; text-align: right;">300,306</td> <td style="width: 1%; padding-bottom: 4pt; text-align: left;"> </td> <td style="width: 1%; padding-bottom: 4pt;"> </td> <td style="width: 1%; border-bottom: Black 4pt double; text-align: left;">$</td> <td style="width: 9%; border-bottom: Black 4pt double; text-align: right;">12.95</td> <td style="width: 1%; padding-bottom: 4pt; text-align: left;"> </td> <td style="width: 1%; padding-bottom: 4pt;"> </td> <td style="width: 1%; border-bottom: Black 4pt double; text-align: left;"> </td> <td style="width: 9%; border-bottom: Black 4pt double; text-align: right;"><span style="-sec-ix-hidden:fc_1994780171;">-</span></td> <td style="width: 1%; padding-bottom: 4pt; text-align: left;"> </td> <td style="width: 1%; padding-bottom: 4pt;"> </td> <td style="width: 1%; border-bottom: Black 4pt double; text-align: left;">$</td> <td style="width: 9%; border-bottom: Black 4pt double; text-align: right;"><span style="-sec-ix-hidden:fc_1771523566;">-</span></td> <td style="width: 1%; padding-bottom: 4pt; text-align: left;"> </td> <td style="width: 1%; padding-bottom: 4pt;"> </td> <td style="width: 1%; border-bottom: Black 4pt double; text-align: left;"> </td> <td style="width: 9%; border-bottom: Black 4pt double; text-align: right;">678</td> <td style="width: 1%; padding-bottom: 4pt; text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: White;"> <td>Granted</td> <td> </td> <td style="text-align: left;"> </td> <td style="text-align: right;">1,130,703</td> <td style="text-align: left;"> </td> <td> </td> <td style="text-align: left;"> </td> <td style="text-align: right;">11.73</td> <td style="text-align: left;"> </td> <td> </td> <td style="text-align: left;"> </td> <td style="text-align: right;"><span style="-sec-ix-hidden:fc_683078387;">-</span></td> <td style="text-align: left;"> </td> <td> </td> <td style="text-align: left;"> </td> <td style="text-align: right;"><span style="-sec-ix-hidden:fc_1069629925;">-</span></td> <td style="text-align: left;"> </td> <td> </td> <td style="text-align: left;"> </td> <td style="text-align: right;"><span style="-sec-ix-hidden:fc_1552567067;">-</span></td> <td style="text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td>Exercised</td> <td> </td> <td style="text-align: left;"> </td> <td style="text-align: right;">(278</td> <td style="text-align: left;">)</td> <td> </td> <td style="text-align: left;"> </td> <td style="text-align: right;">11.71</td> <td style="text-align: left;"> </td> <td> </td> <td style="text-align: left;"> </td> <td style="text-align: right;">  <span style="-sec-ix-hidden:fc_89890250;">-</span></td> <td style="text-align: left;"> </td> <td> </td> <td style="text-align: left;"> </td> <td style="text-align: right;"> <span style="-sec-ix-hidden:fc_869726269;">-</span></td> <td style="text-align: left;"> </td> <td> </td> <td style="text-align: left;"> </td> <td style="text-align: right;"><span style="-sec-ix-hidden:fc_504863564;">-</span></td> <td style="text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: White;"> <td>Cancelled/Expired</td> <td style="padding-bottom: 1.5pt;"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: right;">(34</td> <td style="padding-bottom: 1.5pt; text-align: left;">)</td> <td style="padding-bottom: 1.5pt;"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: right;">10,800</td> <td style="padding-bottom: 1.5pt; text-align: left;"> </td> <td style="padding-bottom: 1.5pt;"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: right;"><span style="-sec-ix-hidden:fc_188425687;">-</span></td> <td style="padding-bottom: 1.5pt; text-align: left;"> </td> <td style="padding-bottom: 1.5pt;"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: right;"><span style="-sec-ix-hidden:fc_1844577003;">-</span></td> <td style="padding-bottom: 1.5pt; text-align: left;"> </td> <td style="padding-bottom: 1.5pt;"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: right;"><span style="-sec-ix-hidden:fc_100236121;">-</span></td> <td style="padding-bottom: 1.5pt; text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td>Balance at June 30, 2026</td> <td style="padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; text-align: left;"> </td> <td style="border-bottom: Black 4pt double; text-align: right;">1,430,697</td> <td style="padding-bottom: 4pt; text-align: left;"> </td> <td style="padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; text-align: left;">$</td> <td style="border-bottom: Black 4pt double; text-align: right;">11.73</td> <td style="padding-bottom: 4pt; text-align: left;"> </td> <td style="padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; text-align: left;"> </td> <td style="border-bottom: Black 4pt double; text-align: right;"><span style="-sec-ix-hidden:fc_978430217;">-</span></td> <td style="padding-bottom: 4pt; text-align: left;"> </td> <td style="padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; text-align: left;">$</td> <td style="border-bottom: Black 4pt double; text-align: right;"><span style="-sec-ix-hidden:fc_1035681324;">-</span></td> <td style="padding-bottom: 4pt; text-align: left;"> </td> <td style="padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; text-align: left;"> </td> <td style="border-bottom: Black 4pt double; text-align: right;">678</td> <td style="padding-bottom: 4pt; text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: White;"> <td>Exercisable at June 30, 2026</td> <td style="padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; text-align: left;"> </td> <td style="border-bottom: Black 4pt double; text-align: right;">928,251</td> <td style="padding-bottom: 4pt; text-align: left;"> </td> <td style="padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; text-align: left;">$</td> <td style="border-bottom: Black 4pt double; text-align: right;">11.73</td> <td style="padding-bottom: 4pt; text-align: left;"> </td> <td style="padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; text-align: left;"> </td> <td style="border-bottom: Black 4pt double; text-align: right;"><span style="-sec-ix-hidden:fc_147725002;">-</span></td> <td style="padding-bottom: 4pt; text-align: left;"> </td> <td style="padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; text-align: left;">$</td> <td style="border-bottom: Black 4pt double; text-align: right;"><span style="-sec-ix-hidden:fc_1183133741;">-</span></td> <td style="padding-bottom: 4pt; text-align: left;"> </td> <td style="padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; text-align: left;"> </td> <td style="border-bottom: Black 4pt double; text-align: right;">678</td> <td style="padding-bottom: 4pt; text-align: left;"> </td> </tr></tbody></table><p style="margin-top: 0; margin-bottom: 0;"> </p><p style="font: 12pt Times New Roman, Times, Serif; margin: 0pt 0;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">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:</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center;"> </p><table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 11pt Times New Roman, Times, Serif;"> <tbody><tr style="vertical-align: bottom;"><td> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="6" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Warrant Grants</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="6" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Stock Option Grants</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Restricted<br/> Stock<br/> Units</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom;"><td> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Number of<br/> shares<br/> subject to<br/> warrants</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Weighted-<br/> average<br/> exercise<br/> price per<br/> share</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Number of<br/> shares<br/> subject to<br/> options</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Weighted-<br/> average<br/> exercise<br/> price per<br/> share</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Number of<br/> shares<br/> subject to<br/> restricted<br/> stock units</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="width: 40%; font-size: 10pt; padding-bottom: 4pt;">Balance at December 31, 2024</td> <td style="width: 1%; font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="width: 1%; border-bottom: Black 4pt double; font-size: 10pt; text-align: left;"> </td> <td style="width: 9%; border-bottom: Black 4pt double; font-size: 10pt; text-align: right;">49,533</td> <td style="width: 1%; padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> <td style="width: 1%; font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="width: 1%; border-bottom: Black 4pt double; font-size: 10pt; text-align: left;">$</td> <td style="width: 9%; border-bottom: Black 4pt double; font-size: 10pt; text-align: right;">165.60</td> <td style="width: 1%; padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> <td style="width: 1%; font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="width: 1%; border-bottom: Black 4pt double; font-size: 10pt; text-align: left;"> </td> <td style="width: 9%; border-bottom: Black 4pt double; font-size: 10pt; text-align: right;"> <span style="-sec-ix-hidden:fc_923771316;">-</span></td> <td style="width: 1%; padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> <td style="width: 1%; font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="width: 1%; border-bottom: Black 4pt double; font-size: 10pt; text-align: left;">$</td> <td style="width: 9%; border-bottom: Black 4pt double; font-size: 10pt; text-align: right;"> <span style="-sec-ix-hidden:fc_1008216819;">-</span></td> <td style="width: 1%; padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> <td style="width: 1%; font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="width: 1%; border-bottom: Black 4pt double; font-size: 10pt; text-align: left;"> </td> <td style="width: 9%; border-bottom: Black 4pt double; font-size: 10pt; text-align: right;">678</td> <td style="width: 1%; padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: White;"> <td style="font-size: 10pt;">Granted</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">194,400</td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">73.80</td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_2126325202;">-</span></td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_240241373;">-</span></td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_927142127;">-</span></td> <td style="font-size: 10pt; text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="font-size: 10pt;">Exercised</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_346160718;">-</span></td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_1801118970;">-</span></td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_1423114112;">-</span></td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_634861877;">-</span></td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_62667866;">-</span></td> <td style="font-size: 10pt; text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: White;"> <td style="font-size: 10pt; padding-bottom: 1.5pt;">Cancelled/Expired</td> <td style="font-size: 10pt; padding-bottom: 1.5pt;"> </td> <td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: left;"> </td> <td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_1770376250;">-</span></td> <td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; padding-bottom: 1.5pt;"> </td> <td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: left;"> </td> <td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_150730572;">-</span></td> <td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; padding-bottom: 1.5pt;"> </td> <td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: left;"> </td> <td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_163054981;">-</span></td> <td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; padding-bottom: 1.5pt;"> </td> <td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: left;"> </td> <td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_31668047;">-</span></td> <td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; padding-bottom: 1.5pt;"> </td> <td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: left;"> </td> <td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_1302661649;">-</span></td> <td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="font-size: 10pt; padding-bottom: 4pt;">Balance at June 30, 2025</td> <td style="font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right;">243,932</td> <td style="padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left;">$</td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right;">73.80</td> <td style="padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_1887252382;">-</span></td> <td style="padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left;">$</td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_1134693152;">-</span></td> <td style="padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right;">678</td> <td style="padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: White;"> <td style="font-size: 10pt; padding-bottom: 4pt;">Exercisable at June 30, 2025</td> <td style="font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right;">161,265</td> <td style="padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left;">$</td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right;">73.80</td> <td style="padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_63474162;">-</span></td> <td style="padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left;">$</td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_294092551;">-</span></td> <td style="padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right;">678</td> <td style="padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> </tr></tbody></table><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">The Company’s outstanding warrants at June 30, 2026 are as follows:</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif;"> <tbody><tr style="vertical-align: bottom;"><td colspan="13" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Warrants Outstanding</td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="10" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Warrants Exercisable</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom;"><td style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Exercise Price Range</td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Number Outstanding</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Weighted Average Remaining Contractual<br/> Life (in years)</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Weighted<br/> Average Exercise Price</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Number Exercisable</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Weighted Average Exercise Price</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Intrinsic<br/> Value</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="white-space: nowrap; width: 14%; text-align: center;">$11.71 - $14.06</td> <td style="width: 1%;"> </td> <td style="width: 1%; text-align: left;"> </td> <td style="width: 12%; text-align: right;">1,430,697</td> <td style="width: 1%; text-align: left;"> </td> <td style="width: 1%;"> </td> <td style="width: 1%; text-align: left;"> </td> <td style="width: 12%; text-align: right;">3.31</td> <td style="width: 1%; text-align: left;"> </td> <td style="width: 1%;"> </td> <td style="width: 1%; text-align: left;">$</td> <td style="width: 11%; text-align: right;">11.73</td> <td style="width: 1%; text-align: left;"> </td> <td style="width: 1%;"> </td> <td style="width: 1%; text-align: left;"> </td> <td style="width: 11%; text-align: right;">928,251</td> <td style="width: 1%; text-align: left;"> </td> <td style="width: 1%;"> </td> <td style="width: 1%; text-align: left;">$</td> <td style="width: 11%; text-align: right;">11.73</td> <td style="width: 1%; text-align: left;"> </td> <td style="width: 1%;"> </td> <td style="width: 1%; text-align: left;">$</td> <td style="width: 11%; text-align: right;"><span style="-sec-ix-hidden:fc_320302856;">-</span></td> <td style="width: 1%; text-align: left;"> </td> </tr></tbody></table><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">The Company’s outstanding warrants at June 30, 2025, are as follows:</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 11pt Times New Roman, Times, Serif;"> <tbody><tr style="vertical-align: bottom;"><td colspan="13" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Warrants Outstanding</td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="10" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Warrants Exercisable</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom;"><td style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Exercise Price<br/> Range</td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Number<br/> Outstanding</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Weighted Average<br/> Remaining<br/> Contractual Life<br/> (in years)</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Weighted<br/> Average<br/> Exercise Price</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Number<br/> Exercisable</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Weighted<br/> Average<br/> Exercise Price</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Intrinsic<br/> Value</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="white-space: nowrap; width: 14%; font-size: 10pt; text-align: center;">$63.00 - $10,800.00</td> <td style="width: 1%; font-size: 10pt;"> </td> <td style="width: 1%; font-size: 10pt; text-align: left;"> </td> <td style="width: 12%; font-size: 10pt; text-align: right;">243,932</td> <td style="width: 1%; font-size: 10pt; text-align: left;"> </td> <td style="width: 1%; font-size: 10pt;"> </td> <td style="width: 1%; font-size: 10pt; text-align: left;"> </td> <td style="width: 12%; font-size: 10pt; text-align: right;">4.31</td> <td style="width: 1%; font-size: 10pt; text-align: left;"> </td> <td style="width: 1%; font-size: 10pt;"> </td> <td style="width: 1%; font-size: 10pt; text-align: left;">$</td> <td style="width: 11%; font-size: 10pt; text-align: right;">73.80</td> <td style="width: 1%; font-size: 10pt; text-align: left;"> </td> <td style="width: 1%; font-size: 10pt;"> </td> <td style="width: 1%; font-size: 10pt; text-align: left;"> </td> <td style="width: 11%; font-size: 10pt; text-align: right;">161,265</td> <td style="width: 1%; font-size: 10pt; text-align: left;"> </td> <td style="width: 1%; font-size: 10pt;"> </td> <td style="width: 1%; font-size: 10pt; text-align: left;">$</td> <td style="width: 11%; font-size: 10pt; text-align: right;">73.80</td> <td style="width: 1%; font-size: 10pt; text-align: left;"> </td> <td style="width: 1%; font-size: 10pt;"> </td> <td style="width: 1%; font-size: 10pt; text-align: left;"> </td> <td style="width: 11%; font-size: 10pt; text-align: right;">1,206,830</td> <td style="width: 1%; font-size: 10pt; text-align: left;"> </td> </tr></tbody></table><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> As of June 30, 2026 and December 31, 2025, there was <span style="-sec-ix-hidden:fc_1266054311;"><span style="-sec-ix-hidden:fc_183567641;"><span style="-sec-ix-hidden:fc_2073452136;"><span style="-sec-ix-hidden:fc_2052802447;">no</span></span></span></span> unrecognized expense for unvested stock options and restricted stock awards. </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 11pt Times New Roman, Times, Serif;"> <tbody><tr style="vertical-align: bottom;"><td> </td> <td style="font-size: 10pt; font-weight: bold;"> </td> <td colspan="6" style="font-size: 10pt; font-weight: bold; text-align: center;">For the Three Months Ended</td> <td style="font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold;"> </td> <td colspan="6" style="font-size: 10pt; font-weight: bold; text-align: center;">For the Six Months Ended</td> <td style="font-size: 10pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom;"><td> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="6" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">June 30,</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="6" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">June 30,</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom;"><td> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">2026</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">2025</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">2026</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">2025</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="width: 60%; font-size: 10pt; text-align: left;">Stock-based compensation expense</td> <td style="width: 1%; font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="width: 1%; border-bottom: Black 4pt double; font-size: 10pt; text-align: left;">$</td> <td style="width: 7%; border-bottom: Black 4pt double; font-size: 10pt; text-align: right;">3,735</td> <td style="width: 1%; padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> <td style="width: 1%; font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="width: 1%; border-bottom: Black 4pt double; font-size: 10pt; text-align: left;">$</td> <td style="width: 7%; border-bottom: Black 4pt double; font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_1172837201;">-</span></td> <td style="width: 1%; padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> <td style="width: 1%; font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="width: 1%; border-bottom: Black 4pt double; font-size: 10pt; text-align: left;">$</td> <td style="width: 7%; border-bottom: Black 4pt double; font-size: 10pt; text-align: right;">16,139</td> <td style="width: 1%; padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> <td style="width: 1%; font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="width: 1%; border-bottom: Black 4pt double; font-size: 10pt; text-align: left;">$</td> <td style="width: 7%; border-bottom: Black 4pt double; font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_697228993;">-</span></td> <td style="width: 1%; padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> </tr></tbody></table><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">Stock-based compensation expense categorized by the equity components for the three and six months ended June 30, 2026 and 2025 is as follows:</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif;"> <tbody><tr style="vertical-align: bottom;"><td style="font-size: 11pt;"> </td> <td style="font-weight: bold;"> </td> <td colspan="6" style="font-weight: bold; text-align: center;">For the Three Months Ended</td> <td style="font-weight: bold;"> </td> <td style="font-weight: bold;"> </td> <td colspan="6" style="font-weight: bold; text-align: center;">For the Six Months Ended</td> <td style="font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom;"><td style="font-size: 11pt;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="6" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">June 30,</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="6" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">June 30,</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom;"><td style="font-size: 11pt;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">2026</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">2025</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">2026</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">2025</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="width: 60%; text-align: left; padding-bottom: 1.5pt;">Common stock</td> <td style="width: 1%; padding-bottom: 1.5pt;"> </td> <td style="width: 1%; border-bottom: Black 1.5pt solid; text-align: left;">$</td> <td style="width: 7%; border-bottom: Black 1.5pt solid; text-align: right;">3,735</td> <td style="width: 1%; padding-bottom: 1.5pt; text-align: left;"> </td> <td style="width: 1%; padding-bottom: 1.5pt;"> </td> <td style="width: 1%; border-bottom: Black 1.5pt solid; text-align: left;">$</td> <td style="width: 7%; border-bottom: Black 1.5pt solid; text-align: right;">   <span style="-sec-ix-hidden:fc_765951559;">-</span></td> <td style="width: 1%; padding-bottom: 1.5pt; text-align: left;"> </td> <td style="width: 1%; padding-bottom: 1.5pt;"> </td> <td style="width: 1%; border-bottom: Black 1.5pt solid; text-align: left;">$</td> <td style="width: 7%; border-bottom: Black 1.5pt solid; text-align: right;">16,139</td> <td style="width: 1%; padding-bottom: 1.5pt; text-align: left;"> </td> <td style="width: 1%; padding-bottom: 1.5pt;"> </td> <td style="width: 1%; border-bottom: Black 1.5pt solid; text-align: left;">$</td> <td style="width: 7%; border-bottom: Black 1.5pt solid; text-align: right;">      <span style="-sec-ix-hidden:fc_1603420800;">-</span></td> <td style="width: 1%; padding-bottom: 1.5pt; text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: White;"> <td style="padding-bottom: 4pt;">Total</td> <td style="padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; text-align: left;">$</td> <td style="border-bottom: Black 4pt double; text-align: right;">3,735</td> <td style="padding-bottom: 4pt; text-align: left;"> </td> <td style="padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; text-align: left;">$</td> <td style="border-bottom: Black 4pt double; text-align: right;"><span style="-sec-ix-hidden:fc_380718927;">-</span></td> <td style="padding-bottom: 4pt; text-align: left;"> </td> <td style="padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; text-align: left;">$</td> <td style="border-bottom: Black 4pt double; text-align: right;">16,139</td> <td style="padding-bottom: 4pt; text-align: left;"> </td> <td style="padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; text-align: left;">$</td> <td style="border-bottom: Black 4pt double; text-align: right;"><span style="-sec-ix-hidden:fc_1650773511;">-</span></td> <td style="padding-bottom: 4pt; text-align: left;"> </td> </tr></tbody></table><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">Stock compensation is included in general and administrative expense on the condensed consolidated statements of operations.</p> 155000000 150000000 0.001 5000000 0.001 150000000 900000 0.001 1 for 12 681 42857 278 <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">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:</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center;"> </p><table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif;"> <tbody><tr style="vertical-align: bottom;"><td style="font-size: 11pt;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="6" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Warrant Grants</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="6" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Stock Option Grants</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Restricted Stock Units</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom;"><td style="font-size: 11pt;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Number of <br/> shares <br/> subject to <br/> warrants</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Weighted-<br/> average exercise <br/> price per <br/> share</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Number of <br/> shares <br/> subject to <br/> options</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Weighted-<br/> average exercise <br/> price <br/> per share</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Number of <br/> shares <br/> subject to <br/> restricted <br/> stock units</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="width: 40%;">Balance at December 31, 2025</td> <td style="width: 1%; padding-bottom: 4pt;"> </td> <td style="width: 1%; border-bottom: Black 4pt double; text-align: left;"> </td> <td style="width: 9%; border-bottom: Black 4pt double; text-align: right;">300,306</td> <td style="width: 1%; padding-bottom: 4pt; text-align: left;"> </td> <td style="width: 1%; padding-bottom: 4pt;"> </td> <td style="width: 1%; border-bottom: Black 4pt double; text-align: left;">$</td> <td style="width: 9%; border-bottom: Black 4pt double; text-align: right;">12.95</td> <td style="width: 1%; padding-bottom: 4pt; text-align: left;"> </td> <td style="width: 1%; padding-bottom: 4pt;"> </td> <td style="width: 1%; border-bottom: Black 4pt double; text-align: left;"> </td> <td style="width: 9%; border-bottom: Black 4pt double; text-align: right;"><span style="-sec-ix-hidden:fc_1994780171;">-</span></td> <td style="width: 1%; padding-bottom: 4pt; text-align: left;"> </td> <td style="width: 1%; padding-bottom: 4pt;"> </td> <td style="width: 1%; border-bottom: Black 4pt double; text-align: left;">$</td> <td style="width: 9%; border-bottom: Black 4pt double; text-align: right;"><span style="-sec-ix-hidden:fc_1771523566;">-</span></td> <td style="width: 1%; padding-bottom: 4pt; text-align: left;"> </td> <td style="width: 1%; padding-bottom: 4pt;"> </td> <td style="width: 1%; border-bottom: Black 4pt double; text-align: left;"> </td> <td style="width: 9%; border-bottom: Black 4pt double; text-align: right;">678</td> <td style="width: 1%; padding-bottom: 4pt; text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: White;"> <td>Granted</td> <td> </td> <td style="text-align: left;"> </td> <td style="text-align: right;">1,130,703</td> <td style="text-align: left;"> </td> <td> </td> <td style="text-align: left;"> </td> <td style="text-align: right;">11.73</td> <td style="text-align: left;"> </td> <td> </td> <td style="text-align: left;"> </td> <td style="text-align: right;"><span style="-sec-ix-hidden:fc_683078387;">-</span></td> <td style="text-align: left;"> </td> <td> </td> <td style="text-align: left;"> </td> <td style="text-align: right;"><span style="-sec-ix-hidden:fc_1069629925;">-</span></td> <td style="text-align: left;"> </td> <td> </td> <td style="text-align: left;"> </td> <td style="text-align: right;"><span style="-sec-ix-hidden:fc_1552567067;">-</span></td> <td style="text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td>Exercised</td> <td> </td> <td style="text-align: left;"> </td> <td style="text-align: right;">(278</td> <td style="text-align: left;">)</td> <td> </td> <td style="text-align: left;"> </td> <td style="text-align: right;">11.71</td> <td style="text-align: left;"> </td> <td> </td> <td style="text-align: left;"> </td> <td style="text-align: right;">  <span style="-sec-ix-hidden:fc_89890250;">-</span></td> <td style="text-align: left;"> </td> <td> </td> <td style="text-align: left;"> </td> <td style="text-align: right;"> <span style="-sec-ix-hidden:fc_869726269;">-</span></td> <td style="text-align: left;"> </td> <td> </td> <td style="text-align: left;"> </td> <td style="text-align: right;"><span style="-sec-ix-hidden:fc_504863564;">-</span></td> <td style="text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: White;"> <td>Cancelled/Expired</td> <td style="padding-bottom: 1.5pt;"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: right;">(34</td> <td style="padding-bottom: 1.5pt; text-align: left;">)</td> <td style="padding-bottom: 1.5pt;"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: right;">10,800</td> <td style="padding-bottom: 1.5pt; text-align: left;"> </td> <td style="padding-bottom: 1.5pt;"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: right;"><span style="-sec-ix-hidden:fc_188425687;">-</span></td> <td style="padding-bottom: 1.5pt; text-align: left;"> </td> <td style="padding-bottom: 1.5pt;"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: right;"><span style="-sec-ix-hidden:fc_1844577003;">-</span></td> <td style="padding-bottom: 1.5pt; text-align: left;"> </td> <td style="padding-bottom: 1.5pt;"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: right;"><span style="-sec-ix-hidden:fc_100236121;">-</span></td> <td style="padding-bottom: 1.5pt; text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td>Balance at June 30, 2026</td> <td style="padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; text-align: left;"> </td> <td style="border-bottom: Black 4pt double; text-align: right;">1,430,697</td> <td style="padding-bottom: 4pt; text-align: left;"> </td> <td style="padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; text-align: left;">$</td> <td style="border-bottom: Black 4pt double; text-align: right;">11.73</td> <td style="padding-bottom: 4pt; text-align: left;"> </td> <td style="padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; text-align: left;"> </td> <td style="border-bottom: Black 4pt double; text-align: right;"><span style="-sec-ix-hidden:fc_978430217;">-</span></td> <td style="padding-bottom: 4pt; text-align: left;"> </td> <td style="padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; text-align: left;">$</td> <td style="border-bottom: Black 4pt double; text-align: right;"><span style="-sec-ix-hidden:fc_1035681324;">-</span></td> <td style="padding-bottom: 4pt; text-align: left;"> </td> <td style="padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; text-align: left;"> </td> <td style="border-bottom: Black 4pt double; text-align: right;">678</td> <td style="padding-bottom: 4pt; text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: White;"> <td>Exercisable at June 30, 2026</td> <td style="padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; text-align: left;"> </td> <td style="border-bottom: Black 4pt double; text-align: right;">928,251</td> <td style="padding-bottom: 4pt; text-align: left;"> </td> <td style="padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; text-align: left;">$</td> <td style="border-bottom: Black 4pt double; text-align: right;">11.73</td> <td style="padding-bottom: 4pt; text-align: left;"> </td> <td style="padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; text-align: left;"> </td> <td style="border-bottom: Black 4pt double; text-align: right;"><span style="-sec-ix-hidden:fc_147725002;">-</span></td> <td style="padding-bottom: 4pt; text-align: left;"> </td> <td style="padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; text-align: left;">$</td> <td style="border-bottom: Black 4pt double; text-align: right;"><span style="-sec-ix-hidden:fc_1183133741;">-</span></td> <td style="padding-bottom: 4pt; text-align: left;"> </td> <td style="padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; text-align: left;"> </td> <td style="border-bottom: Black 4pt double; text-align: right;">678</td> <td style="padding-bottom: 4pt; text-align: left;"> </td> </tr></tbody></table><p style="margin-top: 0; margin-bottom: 0;"> </p><p style="font: 12pt Times New Roman, Times, Serif; margin: 0pt 0;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">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:</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center;"> </p><table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 11pt Times New Roman, Times, Serif;"> <tbody><tr style="vertical-align: bottom;"><td> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="6" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Warrant Grants</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="6" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Stock Option Grants</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Restricted<br/> Stock<br/> Units</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom;"><td> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Number of<br/> shares<br/> subject to<br/> warrants</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Weighted-<br/> average<br/> exercise<br/> price per<br/> share</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Number of<br/> shares<br/> subject to<br/> options</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Weighted-<br/> average<br/> exercise<br/> price per<br/> share</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Number of<br/> shares<br/> subject to<br/> restricted<br/> stock units</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="width: 40%; font-size: 10pt; padding-bottom: 4pt;">Balance at December 31, 2024</td> <td style="width: 1%; font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="width: 1%; border-bottom: Black 4pt double; font-size: 10pt; text-align: left;"> </td> <td style="width: 9%; border-bottom: Black 4pt double; font-size: 10pt; text-align: right;">49,533</td> <td style="width: 1%; padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> <td style="width: 1%; font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="width: 1%; border-bottom: Black 4pt double; font-size: 10pt; text-align: left;">$</td> <td style="width: 9%; border-bottom: Black 4pt double; font-size: 10pt; text-align: right;">165.60</td> <td style="width: 1%; padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> <td style="width: 1%; font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="width: 1%; border-bottom: Black 4pt double; font-size: 10pt; text-align: left;"> </td> <td style="width: 9%; border-bottom: Black 4pt double; font-size: 10pt; text-align: right;"> <span style="-sec-ix-hidden:fc_923771316;">-</span></td> <td style="width: 1%; padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> <td style="width: 1%; font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="width: 1%; border-bottom: Black 4pt double; font-size: 10pt; text-align: left;">$</td> <td style="width: 9%; border-bottom: Black 4pt double; font-size: 10pt; text-align: right;"> <span style="-sec-ix-hidden:fc_1008216819;">-</span></td> <td style="width: 1%; padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> <td style="width: 1%; font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="width: 1%; border-bottom: Black 4pt double; font-size: 10pt; text-align: left;"> </td> <td style="width: 9%; border-bottom: Black 4pt double; font-size: 10pt; text-align: right;">678</td> <td style="width: 1%; padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: White;"> <td style="font-size: 10pt;">Granted</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">194,400</td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">73.80</td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_2126325202;">-</span></td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_240241373;">-</span></td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_927142127;">-</span></td> <td style="font-size: 10pt; text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="font-size: 10pt;">Exercised</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_346160718;">-</span></td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_1801118970;">-</span></td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_1423114112;">-</span></td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_634861877;">-</span></td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_62667866;">-</span></td> <td style="font-size: 10pt; text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: White;"> <td style="font-size: 10pt; padding-bottom: 1.5pt;">Cancelled/Expired</td> <td style="font-size: 10pt; padding-bottom: 1.5pt;"> </td> <td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: left;"> </td> <td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_1770376250;">-</span></td> <td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; padding-bottom: 1.5pt;"> </td> <td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: left;"> </td> <td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_150730572;">-</span></td> <td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; padding-bottom: 1.5pt;"> </td> <td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: left;"> </td> <td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_163054981;">-</span></td> <td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; padding-bottom: 1.5pt;"> </td> <td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: left;"> </td> <td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_31668047;">-</span></td> <td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; padding-bottom: 1.5pt;"> </td> <td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: left;"> </td> <td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_1302661649;">-</span></td> <td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="font-size: 10pt; padding-bottom: 4pt;">Balance at June 30, 2025</td> <td style="font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right;">243,932</td> <td style="padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left;">$</td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right;">73.80</td> <td style="padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_1887252382;">-</span></td> <td style="padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left;">$</td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_1134693152;">-</span></td> <td style="padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right;">678</td> <td style="padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: White;"> <td style="font-size: 10pt; padding-bottom: 4pt;">Exercisable at June 30, 2025</td> <td style="font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right;">161,265</td> <td style="padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left;">$</td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right;">73.80</td> <td style="padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_63474162;">-</span></td> <td style="padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left;">$</td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_294092551;">-</span></td> <td style="padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right;">678</td> <td style="padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> </tr></tbody></table> 300306 12.95 678 1130703 11.73 278 11.71 34 10800 1430697 11.73 678 928251 11.73 678 49533 165.6 678 194400 73.8 243932 73.8 678 161265 73.8 678 <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">The Company’s outstanding warrants at June 30, 2026 are as follows:</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif;"> <tbody><tr style="vertical-align: bottom;"><td colspan="13" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Warrants Outstanding</td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="10" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Warrants Exercisable</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom;"><td style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Exercise Price Range</td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Number Outstanding</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Weighted Average Remaining Contractual<br/> Life (in years)</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Weighted<br/> Average Exercise Price</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Number Exercisable</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Weighted Average Exercise Price</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Intrinsic<br/> Value</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="white-space: nowrap; width: 14%; text-align: center;">$11.71 - $14.06</td> <td style="width: 1%;"> </td> <td style="width: 1%; text-align: left;"> </td> <td style="width: 12%; text-align: right;">1,430,697</td> <td style="width: 1%; text-align: left;"> </td> <td style="width: 1%;"> </td> <td style="width: 1%; text-align: left;"> </td> <td style="width: 12%; text-align: right;">3.31</td> <td style="width: 1%; text-align: left;"> </td> <td style="width: 1%;"> </td> <td style="width: 1%; text-align: left;">$</td> <td style="width: 11%; text-align: right;">11.73</td> <td style="width: 1%; text-align: left;"> </td> <td style="width: 1%;"> </td> <td style="width: 1%; text-align: left;"> </td> <td style="width: 11%; text-align: right;">928,251</td> <td style="width: 1%; text-align: left;"> </td> <td style="width: 1%;"> </td> <td style="width: 1%; text-align: left;">$</td> <td style="width: 11%; text-align: right;">11.73</td> <td style="width: 1%; text-align: left;"> </td> <td style="width: 1%;"> </td> <td style="width: 1%; text-align: left;">$</td> <td style="width: 11%; text-align: right;"><span style="-sec-ix-hidden:fc_320302856;">-</span></td> <td style="width: 1%; text-align: left;"> </td> </tr></tbody></table><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">The Company’s outstanding warrants at June 30, 2025, are as follows:</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 11pt Times New Roman, Times, Serif;"> <tbody><tr style="vertical-align: bottom;"><td colspan="13" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Warrants Outstanding</td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="10" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Warrants Exercisable</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom;"><td style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Exercise Price<br/> Range</td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Number<br/> Outstanding</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Weighted Average<br/> Remaining<br/> Contractual Life<br/> (in years)</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Weighted<br/> Average<br/> Exercise Price</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Number<br/> Exercisable</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Weighted<br/> Average<br/> Exercise Price</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">Intrinsic<br/> Value</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="white-space: nowrap; width: 14%; font-size: 10pt; text-align: center;">$63.00 - $10,800.00</td> <td style="width: 1%; font-size: 10pt;"> </td> <td style="width: 1%; font-size: 10pt; text-align: left;"> </td> <td style="width: 12%; font-size: 10pt; text-align: right;">243,932</td> <td style="width: 1%; font-size: 10pt; text-align: left;"> </td> <td style="width: 1%; font-size: 10pt;"> </td> <td style="width: 1%; font-size: 10pt; text-align: left;"> </td> <td style="width: 12%; font-size: 10pt; text-align: right;">4.31</td> <td style="width: 1%; font-size: 10pt; text-align: left;"> </td> <td style="width: 1%; font-size: 10pt;"> </td> <td style="width: 1%; font-size: 10pt; text-align: left;">$</td> <td style="width: 11%; font-size: 10pt; text-align: right;">73.80</td> <td style="width: 1%; font-size: 10pt; text-align: left;"> </td> <td style="width: 1%; font-size: 10pt;"> </td> <td style="width: 1%; font-size: 10pt; text-align: left;"> </td> <td style="width: 11%; font-size: 10pt; text-align: right;">161,265</td> <td style="width: 1%; font-size: 10pt; text-align: left;"> </td> <td style="width: 1%; font-size: 10pt;"> </td> <td style="width: 1%; font-size: 10pt; text-align: left;">$</td> <td style="width: 11%; font-size: 10pt; text-align: right;">73.80</td> <td style="width: 1%; font-size: 10pt; text-align: left;"> </td> <td style="width: 1%; font-size: 10pt;"> </td> <td style="width: 1%; font-size: 10pt; text-align: left;"> </td> <td style="width: 11%; font-size: 10pt; text-align: right;">1,206,830</td> <td style="width: 1%; font-size: 10pt; text-align: left;"> </td> </tr></tbody></table> 1430697 P3Y3M21D 11.73 928251 11.73 243932 P4Y3M21D 73.8 161265 73.8 1206830 <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> As of June 30, 2026 and December 31, 2025, there was <span style="-sec-ix-hidden:fc_1266054311;"><span style="-sec-ix-hidden:fc_183567641;"><span style="-sec-ix-hidden:fc_2073452136;"><span style="-sec-ix-hidden:fc_2052802447;">no</span></span></span></span> unrecognized expense for unvested stock options and restricted stock awards. </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 11pt Times New Roman, Times, Serif;"> <tbody><tr style="vertical-align: bottom;"><td> </td> <td style="font-size: 10pt; font-weight: bold;"> </td> <td colspan="6" style="font-size: 10pt; font-weight: bold; text-align: center;">For the Three Months Ended</td> <td style="font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold;"> </td> <td colspan="6" style="font-size: 10pt; font-weight: bold; text-align: center;">For the Six Months Ended</td> <td style="font-size: 10pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom;"><td> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="6" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">June 30,</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="6" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">June 30,</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom;"><td> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">2026</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">2025</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">2026</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">2025</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="width: 60%; font-size: 10pt; text-align: left;">Stock-based compensation expense</td> <td style="width: 1%; font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="width: 1%; border-bottom: Black 4pt double; font-size: 10pt; text-align: left;">$</td> <td style="width: 7%; border-bottom: Black 4pt double; font-size: 10pt; text-align: right;">3,735</td> <td style="width: 1%; padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> <td style="width: 1%; font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="width: 1%; border-bottom: Black 4pt double; font-size: 10pt; text-align: left;">$</td> <td style="width: 7%; border-bottom: Black 4pt double; font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_1172837201;">-</span></td> <td style="width: 1%; padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> <td style="width: 1%; font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="width: 1%; border-bottom: Black 4pt double; font-size: 10pt; text-align: left;">$</td> <td style="width: 7%; border-bottom: Black 4pt double; font-size: 10pt; text-align: right;">16,139</td> <td style="width: 1%; padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> <td style="width: 1%; font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="width: 1%; border-bottom: Black 4pt double; font-size: 10pt; text-align: left;">$</td> <td style="width: 7%; border-bottom: Black 4pt double; font-size: 10pt; text-align: right;"><span style="-sec-ix-hidden:fc_697228993;">-</span></td> <td style="width: 1%; padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> </tr></tbody></table><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">Stock-based compensation expense categorized by the equity components for the three and six months ended June 30, 2026 and 2025 is as follows:</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif;"> <tbody><tr style="vertical-align: bottom;"><td style="font-size: 11pt;"> </td> <td style="font-weight: bold;"> </td> <td colspan="6" style="font-weight: bold; text-align: center;">For the Three Months Ended</td> <td style="font-weight: bold;"> </td> <td style="font-weight: bold;"> </td> <td colspan="6" style="font-weight: bold; text-align: center;">For the Six Months Ended</td> <td style="font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom;"><td style="font-size: 11pt;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="6" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">June 30,</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="6" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">June 30,</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom;"><td style="font-size: 11pt;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">2026</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">2025</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">2026</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> <td style="font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">2025</td> <td style="padding-bottom: 1.5pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="width: 60%; text-align: left; padding-bottom: 1.5pt;">Common stock</td> <td style="width: 1%; padding-bottom: 1.5pt;"> </td> <td style="width: 1%; border-bottom: Black 1.5pt solid; text-align: left;">$</td> <td style="width: 7%; border-bottom: Black 1.5pt solid; text-align: right;">3,735</td> <td style="width: 1%; padding-bottom: 1.5pt; text-align: left;"> </td> <td style="width: 1%; padding-bottom: 1.5pt;"> </td> <td style="width: 1%; border-bottom: Black 1.5pt solid; text-align: left;">$</td> <td style="width: 7%; border-bottom: Black 1.5pt solid; text-align: right;">   <span style="-sec-ix-hidden:fc_765951559;">-</span></td> <td style="width: 1%; padding-bottom: 1.5pt; text-align: left;"> </td> <td style="width: 1%; padding-bottom: 1.5pt;"> </td> <td style="width: 1%; border-bottom: Black 1.5pt solid; text-align: left;">$</td> <td style="width: 7%; border-bottom: Black 1.5pt solid; text-align: right;">16,139</td> <td style="width: 1%; padding-bottom: 1.5pt; text-align: left;"> </td> <td style="width: 1%; padding-bottom: 1.5pt;"> </td> <td style="width: 1%; border-bottom: Black 1.5pt solid; text-align: left;">$</td> <td style="width: 7%; border-bottom: Black 1.5pt solid; text-align: right;">      <span style="-sec-ix-hidden:fc_1603420800;">-</span></td> <td style="width: 1%; padding-bottom: 1.5pt; text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: White;"> <td style="padding-bottom: 4pt;">Total</td> <td style="padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; text-align: left;">$</td> <td style="border-bottom: Black 4pt double; text-align: right;">3,735</td> <td style="padding-bottom: 4pt; text-align: left;"> </td> <td style="padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; text-align: left;">$</td> <td style="border-bottom: Black 4pt double; text-align: right;"><span style="-sec-ix-hidden:fc_380718927;">-</span></td> <td style="padding-bottom: 4pt; text-align: left;"> </td> <td style="padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; text-align: left;">$</td> <td style="border-bottom: Black 4pt double; text-align: right;">16,139</td> <td style="padding-bottom: 4pt; text-align: left;"> </td> <td style="padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; text-align: left;">$</td> <td style="border-bottom: Black 4pt double; text-align: right;"><span style="-sec-ix-hidden:fc_1650773511;">-</span></td> <td style="padding-bottom: 4pt; text-align: left;"> </td> </tr></tbody></table> 3735 16139 3735 16139 3735 16139 <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;">Note 9. Net Loss per Share</span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">Basic net loss per share is computed by dividing net loss for the period by the weighted average shares of common stock outstanding during each period. Diluted net loss per share is computed by dividing net loss for the period by the weighted average shares of common stock, common stock equivalents and potentially dilutive securities outstanding during each period. The Company uses the treasury stock method to determine whether there is a dilutive effect of outstanding option grants.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">The following securities were excluded from the computation of diluted net loss per share for the periods presented because including them would have been anti-dilutive:</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center;"> </p><table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%;"> <tbody><tr style="vertical-align: bottom;"><td> </td> <td style="font: bold 10pt Times New Roman, Times, Serif;"> </td> <td colspan="6" style="text-align: center; font: bold 10pt Times New Roman, Times, Serif;">For the Six Months Ended</td> <td> </td> </tr><tr style="vertical-align: bottom;"><td style="padding-bottom: 1.5pt;"> </td> <td style="padding-bottom: 1.5pt; font: bold 10pt Times New Roman, Times, Serif;"> </td> <td colspan="6" style="border-bottom: Black 1.5pt solid; font: bold 10pt Times New Roman, Times, Serif; text-align: center;">June 30,</td> <td style="padding-bottom: 1.5pt;"> </td> </tr><tr style="vertical-align: bottom;"><td style="padding-bottom: 1.5pt;"> </td> <td style="padding-bottom: 1.5pt; font: bold 10pt Times New Roman, Times, Serif;"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center; font: bold 10pt Times New Roman, Times, Serif;">2026</td> <td style="padding-bottom: 1.5pt; font: bold 10pt Times New Roman, Times, Serif;"> </td> <td style="padding-bottom: 1.5pt; font: bold 10pt Times New Roman, Times, Serif;"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center; font: bold 10pt Times New Roman, Times, Serif;">2025</td> <td style="padding-bottom: 1.5pt; font: bold 10pt Times New Roman, Times, Serif;"> </td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="width: 76%; font: 10pt Times New Roman, Times, Serif;">Warrants</td> <td style="width: 1%; font: 10pt Times New Roman, Times, Serif;"> </td> <td style="width: 1%; font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="width: 9%; font: 10pt Times New Roman, Times, Serif; text-align: right;">1,430,697</td> <td style="width: 1%; font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="width: 1%; font: 10pt Times New Roman, Times, Serif;"> </td> <td style="width: 1%; font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="width: 9%; font: 10pt Times New Roman, Times, Serif; text-align: right;">243,932</td> <td style="width: 1%; font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: White;"> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;">Restricted stock units</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: right;">678</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: right;">678</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-align: left;">Total common stock equivalents</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: left;"></td> <td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: right;">1,431,375</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: left;"></td> <td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: right;">244,610</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-align: left;"> </td> </tr></tbody></table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">The following securities were excluded from the computation of diluted net loss per share for the periods presented because including them would have been anti-dilutive:</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center;"> </p><table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%;"> <tbody><tr style="vertical-align: bottom;"><td> </td> <td style="font: bold 10pt Times New Roman, Times, Serif;"> </td> <td colspan="6" style="text-align: center; font: bold 10pt Times New Roman, Times, Serif;">For the Six Months Ended</td> <td> </td> </tr><tr style="vertical-align: bottom;"><td style="padding-bottom: 1.5pt;"> </td> <td style="padding-bottom: 1.5pt; font: bold 10pt Times New Roman, Times, Serif;"> </td> <td colspan="6" style="border-bottom: Black 1.5pt solid; font: bold 10pt Times New Roman, Times, Serif; text-align: center;">June 30,</td> <td style="padding-bottom: 1.5pt;"> </td> </tr><tr style="vertical-align: bottom;"><td style="padding-bottom: 1.5pt;"> </td> <td style="padding-bottom: 1.5pt; font: bold 10pt Times New Roman, Times, Serif;"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center; font: bold 10pt Times New Roman, Times, Serif;">2026</td> <td style="padding-bottom: 1.5pt; font: bold 10pt Times New Roman, Times, Serif;"> </td> <td style="padding-bottom: 1.5pt; font: bold 10pt Times New Roman, Times, Serif;"> </td> <td colspan="2" style="border-bottom: Black 1.5pt solid; text-align: center; font: bold 10pt Times New Roman, Times, Serif;">2025</td> <td style="padding-bottom: 1.5pt; font: bold 10pt Times New Roman, Times, Serif;"> </td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="width: 76%; font: 10pt Times New Roman, Times, Serif;">Warrants</td> <td style="width: 1%; font: 10pt Times New Roman, Times, Serif;"> </td> <td style="width: 1%; font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="width: 9%; font: 10pt Times New Roman, Times, Serif; text-align: right;">1,430,697</td> <td style="width: 1%; font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="width: 1%; font: 10pt Times New Roman, Times, Serif;"> </td> <td style="width: 1%; font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="width: 9%; font: 10pt Times New Roman, Times, Serif; text-align: right;">243,932</td> <td style="width: 1%; font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: White;"> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;">Restricted stock units</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: right;">678</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: right;">678</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-align: left;">Total common stock equivalents</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: left;"></td> <td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: right;">1,431,375</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: left;"></td> <td style="border-bottom: Black 4pt double; font: 10pt Times New Roman, Times, Serif; text-align: right;">244,610</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt; text-align: left;"> </td> </tr></tbody></table> 1430697 243932 678 678 1431375 244610 <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;">Note 10. Related Party Transactions</span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> At June 30, 2026 and December 31, 2025, the Company had a payable due to an officer in the amount of $149,838 for contract work performed prior to becoming an officer. </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">The above amount and terms are not necessarily indicative of what third parties would agree to.</p> 149838 149838 <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0;"><span style="font-weight: bold;">Note 11. Income Tax Provision</span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">The Company uses the asset and liability method of accounting for income taxes in accordance with ASC Topic 740, “<i>Income Taxes</i>.” Under this method, income tax expense is recognized for the amount of: (i) taxes payable or refundable for the current year and (ii) deferred tax consequences of temporary differences resulting from matters that have been recognized in an entity’s financial statements or tax returns. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in the results of operations in the period that includes the enactment date.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">Valuation allowances are provided if, based upon the weight of available evidence, it is more likely than not that some or all of the deferred tax assets will not be realized. As of June 30, 2026 and December 31, 2025, the Company has evaluated available evidence and concluded that the Company may not realize all the benefits of its deferred tax assets; therefore, a valuation allowance has been established for its deferred tax assets.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> As of June 30, 2026 and December 31, 2025, the Company had federal net operating loss carryforwards of approximately $42.2 million and $41.9  million, respectively, available to offset future taxable income. As of June 30, 2026 and December 31, 2025, the Company had state loss carry-forwards of approximately $20.6 million and $20.3 million, respectively. Future utilization of net operating losses may be limited due to potential ownership changes under Section 382 of the Internal Revenue Code of 1986, as amended (the “Code”). The federal net operating loss carryforwards can be carried forward indefinitely and state loss carryforwards begin to expire in 2039. </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> The valuation allowance as of June 30, 2026 and December 31, 2025 was $13,446,808 and $13,380,053, respectively. The net change in valuation allowance for the six months ended June 30, 2026 was an increase of $66,755. In assessing the realizability of deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred income tax assets will not be realized. The ultimate realization of deferred income tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. Management considers the scheduled reversal of deferred income tax liabilities, projected future taxable income, and tax planning strategies in making this assessment. Based on consideration of these items, management has determined that enough uncertainty exists relative to the realization of the deferred income tax asset balances to warrant the application of a full valuation allowance as of June 30, 2026 and December 31, 2025. </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">As of June 30, 2026 and December 31, 2025, the difference between the tax provision at the statutory federal income tax rate and the tax provision attributable to loss before income tax is as follows (in percentages):</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif;"> <tbody><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="padding-bottom: 0pt; width: 88%; text-align: left;">Statutory federal income tax rate</td> <td style="width: 1%;"> </td> <td style="width: 1%; text-align: left;"> </td> <td style="width: 9%; text-align: right;">21.00</td> <td style="width: 1%; text-align: left;">%</td> </tr><tr style="vertical-align: bottom; background-color: White;"> <td style="padding-bottom: 0pt; text-align: left;">State tax rate</td> <td> </td> <td style="text-align: left;"> </td> <td style="text-align: right;">1.65</td> <td style="text-align: left;">%</td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="text-align: left; padding-bottom: 0pt;">Valuation Allowance</td> <td style="padding-bottom: 1.5pt;"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: right;">(22.65</td> <td style="padding-bottom: 1.5pt; text-align: left;">)%</td> </tr><tr style="vertical-align: bottom; background-color: White;"> <td style="padding-bottom: 0pt; font-size: 11pt;"> </td> <td> </td> <td style="text-align: left;"> </td> <td style="text-align: right;">0.00</td> <td style="text-align: left;">%</td> </tr></tbody></table> 42200000 41900000 20600000 20300000 13446808 13380053 66755 <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">As of June 30, 2026 and December 31, 2025, the difference between the tax provision at the statutory federal income tax rate and the tax provision attributable to loss before income tax is as follows (in percentages):</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif;"> <tbody><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="padding-bottom: 0pt; width: 88%; text-align: left;">Statutory federal income tax rate</td> <td style="width: 1%;"> </td> <td style="width: 1%; text-align: left;"> </td> <td style="width: 9%; text-align: right;">21.00</td> <td style="width: 1%; text-align: left;">%</td> </tr><tr style="vertical-align: bottom; background-color: White;"> <td style="padding-bottom: 0pt; text-align: left;">State tax rate</td> <td> </td> <td style="text-align: left;"> </td> <td style="text-align: right;">1.65</td> <td style="text-align: left;">%</td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="text-align: left; padding-bottom: 0pt;">Valuation Allowance</td> <td style="padding-bottom: 1.5pt;"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="border-bottom: Black 1.5pt solid; text-align: right;">(22.65</td> <td style="padding-bottom: 1.5pt; text-align: left;">)%</td> </tr><tr style="vertical-align: bottom; background-color: White;"> <td style="padding-bottom: 0pt; font-size: 11pt;"> </td> <td> </td> <td style="text-align: left;"> </td> <td style="text-align: right;">0.00</td> <td style="text-align: left;">%</td> </tr></tbody></table> 0.21 0.0165 -0.2265 0 <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;">Note 12. Segment Reporting</span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">As noted above, the Company is a provider of data content and services related to the repair, normalization and interoperability of information for healthcare providers and big data analytics for the healthcare industry.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;">The Company has determined that it currently operates in a single segment - health information technology solutions and services, located in a single geographic location – the United States. The accounting policies of the segment are the same as those described in the summary of significant accounting policies. Since the Company operates in a single segment, the measure of segment total assets and loss from operations is the same as that reported on the accompanying condensed consolidated balance sheets as total assets, and the accompanying condensed consolidated statements of operations as loss from operations, respectively.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> The Company’s <span style="-sec-ix-hidden:fc_1217074242;">Chief Executive Officer</span> is the Chief Operating Decision Maker (“CODM”). The CODM manages the Company’s business activities as a <span style="-sec-ix-hidden:fc_1586102621;"><span style="-sec-ix-hidden:fc_1548605724;">single</span></span> operating and reportable segment. The CODM uses consolidated profit and loss to evaluate and measure performance against progress in its commercialization efforts. The following table sets forth significant segment assets and expenses. </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 11pt Times New Roman, Times, Serif;"> <tbody><tr style="vertical-align: bottom;"><td style="text-indent: 0pt;"> </td> <td style="font-size: 10pt; font-weight: bold;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center;">June 30,</td> <td style="font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center;">December 31,</td> <td style="font-size: 10pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom;"><td style="text-indent: 0pt;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">2026</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">2025</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom;"><td style="text-indent: 0pt; font-size: 10pt;">Assets:</td> <td> </td> <td colspan="2"> </td> <td> </td> <td> </td> <td colspan="2"> </td> <td> </td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="padding-left: 0.125in; width: 76%; font-size: 10pt; text-indent: 0pt;">Cash</td> <td style="width: 1%; font-size: 10pt;"> </td> <td style="width: 1%; font-size: 10pt; text-align: left;">$</td> <td style="width: 9%; font-size: 10pt; text-align: right;">1,263,478</td> <td style="width: 1%; font-size: 10pt; text-align: left;"> </td> <td style="width: 1%; font-size: 10pt;"> </td> <td style="width: 1%; font-size: 10pt; text-align: left;">$</td> <td style="width: 9%; font-size: 10pt; text-align: right;">1,644,439</td> <td style="width: 1%; font-size: 10pt; text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: White;"> <td style="padding-left: 0.125in; font-size: 10pt; text-align: left; text-indent: 0pt;">Accounts receivable, net</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">261,758</td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">313,350</td> <td style="font-size: 10pt; text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="padding-left: 0.125in; font-size: 10pt; text-align: left; text-indent: 0pt;">Prepaid expenses and other assets</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">173,743</td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">65,627</td> <td style="font-size: 10pt; text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: White;"> <td style="padding-left: 0.125in; font-size: 10pt; text-align: left; text-indent: 0pt;">Property and equipment, net</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">8,449</td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">10,220</td> <td style="font-size: 10pt; text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="padding-left: 0.125in; font-size: 10pt; text-align: left; text-indent: 0pt;">Intangible assets</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">158,040</td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">20,019</td> <td style="font-size: 10pt; text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: White;"> <td style="padding-left: 0.125in; font-size: 10pt; text-indent: 0pt;">Goodwill</td> <td style="font-size: 10pt; padding-bottom: 1.5pt;"> </td> <td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: left;"> </td> <td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: right;">5,842,433</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; padding-bottom: 1.5pt;"> </td> <td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: left;"> </td> <td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: right;">5,842,433</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="padding-left: 0.25in; font-size: 10pt; text-align: left; text-indent: 0pt;">Total Assets</td> <td style="font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left;">$</td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right;">7,707,901</td> <td style="padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left;">$</td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right;">7,896,088</td> <td style="padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> </tr></tbody></table><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center;"> </p><table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%;"> <tbody><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: bottom;"><td style="font: 10pt Times New Roman, Times, Serif; text-indent: 0pt;"> </td> <td style="font: bold 10pt Times New Roman, Times, Serif;"> </td> <td colspan="6" style="font: bold 10pt Times New Roman, Times, Serif; text-align: center;">For the Three Months Ended</td> <td style="font: bold 10pt Times New Roman, Times, Serif;"> </td> <td style="font: bold 10pt Times New Roman, Times, Serif;"> </td> <td colspan="6" style="font: bold 10pt Times New Roman, Times, Serif; text-align: center;">For the Six Months Ended</td> <td style="font: bold 10pt Times New Roman, Times, Serif;"> </td> </tr><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: bottom;"><td style="font: 10pt Times New Roman, Times, Serif; text-indent: 0pt;"> </td> <td style="font: bold 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td colspan="6" style="font: bold 10pt Times New Roman, Times, Serif; text-align: center; border-bottom: Black 1.5pt solid;">June 30,</td> <td style="font: bold 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: bold 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td colspan="6" style="font: bold 10pt Times New Roman, Times, Serif; text-align: center; border-bottom: Black 1.5pt solid;">June 30,</td> <td style="font: bold 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> </tr><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: bottom;"><td style="font: 10pt Times New Roman, Times, Serif; text-indent: 0pt;"> </td> <td style="font: bold 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font: bold 10pt Times New Roman, Times, Serif; text-align: center; border-bottom: Black 1.5pt solid;">2026</td> <td style="font: bold 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: bold 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font: bold 10pt Times New Roman, Times, Serif; text-align: center; border-bottom: Black 1.5pt solid;">2025</td> <td style="font: bold 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: bold 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font: bold 10pt Times New Roman, Times, Serif; text-align: center; border-bottom: Black 1.5pt solid;">2026</td> <td style="font: bold 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: bold 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font: bold 10pt Times New Roman, Times, Serif; text-align: center; border-bottom: Black 1.5pt solid;">2025</td> <td style="font: bold 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> </tr><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: bottom;"><td style="font: 10pt Times New Roman, Times, Serif; text-indent: 0pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td colspan="2" style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td colspan="2" style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td colspan="2" style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td colspan="2" style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> </tr><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="font: 10pt Times New Roman, Times, Serif; text-indent: 0pt; width: 52%;">Revenue</td> <td style="font: 10pt Times New Roman, Times, Serif; width: 1%;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; width: 1%; text-align: left;">$</td> <td style="font: 10pt Times New Roman, Times, Serif; width: 9%; text-align: right;">706,049</td> <td style="font: 10pt Times New Roman, Times, Serif; width: 1%; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; width: 1%;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; width: 1%; text-align: left;">$</td> <td style="font: 10pt Times New Roman, Times, Serif; width: 9%; text-align: right;">682,632</td> <td style="font: 10pt Times New Roman, Times, Serif; width: 1%; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; width: 1%;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; width: 1%; text-align: left;">$</td> <td style="font: 10pt Times New Roman, Times, Serif; width: 9%; text-align: right;">1,450,948</td> <td style="font: 10pt Times New Roman, Times, Serif; width: 1%; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; width: 1%;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; width: 1%; text-align: left;">$</td> <td style="font: 10pt Times New Roman, Times, Serif; width: 9%; text-align: right;">1,402,931</td> <td style="font: 10pt Times New Roman, Times, Serif; width: 1%; text-align: left;"> </td> </tr><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: bottom; background-color: White;"> <td style="font: 10pt Times New Roman, Times, Serif; text-indent: 0pt;">Cost of revenue</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;">375,626</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;">502,215</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;">746,416</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;">1,085,651</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;"> </td> </tr><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="font: 10pt Times New Roman, Times, Serif; text-indent: 0pt; text-align: left;">Gross profit</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;">330,423</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;">180,417</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;">704,532</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;">317,280</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;"> </td> </tr><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: bottom; background-color: White;"><td style="font: 10pt Times New Roman, Times, Serif; text-indent: 0pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> </tr><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: bottom; background-color: rgb(204,238,255);"><td style="font: 10pt Times New Roman, Times, Serif; text-indent: 0pt; text-align: left;">Operating expenses:</td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> </tr><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: bottom; background-color: White;"> <td style="font: 10pt Times New Roman, Times, Serif; padding-left: 0.125in; text-align: left; text-indent: 0pt;">Legal and professional</td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;">124,166</td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;">111,339</td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;">282,521</td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;">315,318</td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> </tr><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="font: 10pt Times New Roman, Times, Serif; padding-left: 0.125in; text-align: left; text-indent: 0pt;">Salaries and wages</td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;">139,285</td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;">155,276</td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;">279,731</td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;">239,554</td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> </tr><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: bottom; background-color: White;"> <td style="font: 10pt Times New Roman, Times, Serif; padding-left: 0.125in; text-align: left; text-indent: 0pt;">General and administrative</td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;">187,040</td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;">207,329</td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;">397,277</td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;">389,932</td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> </tr><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="font: 10pt Times New Roman, Times, Serif; padding-left: 0.125in; text-indent: 0pt;">Depreciation</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: right;"><span style="-sec-ix-hidden:fc_531115955;">886</span></td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;"><span style="-sec-ix-hidden:fc_1657148520;">-</span></td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;">1,771</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;"><span style="-sec-ix-hidden:fc_1659719136;">-</span></td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;"> </td> </tr><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: bottom; background-color: White;"> <td style="font: 10pt Times New Roman, Times, Serif; padding-left: 0.25in; text-align: left; text-indent: 0pt;">Total operating expenses</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;">451,377</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;">473,944</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;">961,300</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;">944,804</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;"> </td> </tr><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: bottom; background-color: rgb(204,238,255);"><td style="font: 10pt Times New Roman, Times, Serif; text-indent: 0pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> </tr><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: bottom; background-color: White;"><td style="font: 10pt Times New Roman, Times, Serif; text-indent: 0pt; text-align: left;">Other income (expense)</td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> </tr><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="font: 10pt Times New Roman, Times, Serif; text-indent: 0pt; text-align: left;">Interest expense</td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;"><span style="-sec-ix-hidden:fc_709491529;">-</span></td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;">(1,534,454</td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;">)</td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;">(37,953</td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;">)</td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;">(1,676,760</td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;">)</td> </tr><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: bottom; background-color: White;"> <td style="font: 10pt Times New Roman, Times, Serif; text-indent: 0pt; text-align: left;">Loss on shares issued for legal settlement</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;"><span style="-sec-ix-hidden:fc_1550761426;">-</span></td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;">(78,104</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;">)</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;"><span style="-sec-ix-hidden:fc_492536109;">-</span></td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;">(78,104</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;">)</td> </tr><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="font: 10pt Times New Roman, Times, Serif; padding-left: 0.25in; text-align: left; text-indent: 0pt;">Total other expense</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;"><span style="-sec-ix-hidden:fc_1115747112;">-</span></td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;">(1,612,558</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;">)</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;">(37,953</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;">)</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;">(1,754,864</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;">)</td> </tr><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: bottom; background-color: White;"><td style="font: 10pt Times New Roman, Times, Serif; text-indent: 0pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> </tr><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="font: 10pt Times New Roman, Times, Serif; text-indent: 0pt; text-align: left;">Net loss</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 4pt double; text-align: left;">$</td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 4pt double; text-align: right;">(120,954</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 2.5pt; text-align: left;">)</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 4pt double; text-align: left;">$</td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 4pt double; text-align: right;">(1,906,085</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 2.5pt; text-align: left;">)</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 4pt double; text-align: left;">$</td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 4pt double; text-align: right;">(294,721</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 2.5pt; text-align: left;">)</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 4pt double; text-align: left;">$</td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 4pt double; text-align: right;">(2,382,388</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 2.5pt; text-align: left;">)</td> </tr></tbody></table> The Company’s Chief Executive Officer is the Chief Operating Decision Maker (“CODM”). The CODM manages the Company’s business activities as a single operating and reportable segment. The CODM uses consolidated profit and loss to evaluate and measure performance against progress in its commercialization efforts. The following table sets forth significant segment assets and expenses. <table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%; font: 11pt Times New Roman, Times, Serif;"> <tbody><tr style="vertical-align: bottom;"><td style="text-indent: 0pt;"> </td> <td style="font-size: 10pt; font-weight: bold;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center;">June 30,</td> <td style="font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center;">December 31,</td> <td style="font-size: 10pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom;"><td style="text-indent: 0pt;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">2026</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> <td style="font-size: 10pt; font-weight: bold; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font-size: 10pt; font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid;">2025</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; font-weight: bold;"> </td> </tr><tr style="vertical-align: bottom;"><td style="text-indent: 0pt; font-size: 10pt;">Assets:</td> <td> </td> <td colspan="2"> </td> <td> </td> <td> </td> <td colspan="2"> </td> <td> </td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="padding-left: 0.125in; width: 76%; font-size: 10pt; text-indent: 0pt;">Cash</td> <td style="width: 1%; font-size: 10pt;"> </td> <td style="width: 1%; font-size: 10pt; text-align: left;">$</td> <td style="width: 9%; font-size: 10pt; text-align: right;">1,263,478</td> <td style="width: 1%; font-size: 10pt; text-align: left;"> </td> <td style="width: 1%; font-size: 10pt;"> </td> <td style="width: 1%; font-size: 10pt; text-align: left;">$</td> <td style="width: 9%; font-size: 10pt; text-align: right;">1,644,439</td> <td style="width: 1%; font-size: 10pt; text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: White;"> <td style="padding-left: 0.125in; font-size: 10pt; text-align: left; text-indent: 0pt;">Accounts receivable, net</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">261,758</td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">313,350</td> <td style="font-size: 10pt; text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="padding-left: 0.125in; font-size: 10pt; text-align: left; text-indent: 0pt;">Prepaid expenses and other assets</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">173,743</td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">65,627</td> <td style="font-size: 10pt; text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: White;"> <td style="padding-left: 0.125in; font-size: 10pt; text-align: left; text-indent: 0pt;">Property and equipment, net</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">8,449</td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">10,220</td> <td style="font-size: 10pt; text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="padding-left: 0.125in; font-size: 10pt; text-align: left; text-indent: 0pt;">Intangible assets</td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">158,040</td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt;"> </td> <td style="font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; text-align: right;">20,019</td> <td style="font-size: 10pt; text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: White;"> <td style="padding-left: 0.125in; font-size: 10pt; text-indent: 0pt;">Goodwill</td> <td style="font-size: 10pt; padding-bottom: 1.5pt;"> </td> <td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: left;"> </td> <td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: right;">5,842,433</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; padding-bottom: 1.5pt;"> </td> <td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: left;"> </td> <td style="border-bottom: Black 1.5pt solid; font-size: 10pt; text-align: right;">5,842,433</td> <td style="padding-bottom: 1.5pt; font-size: 10pt; text-align: left;"> </td> </tr><tr style="vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="padding-left: 0.25in; font-size: 10pt; text-align: left; text-indent: 0pt;">Total Assets</td> <td style="font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left;">$</td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right;">7,707,901</td> <td style="padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> <td style="font-size: 10pt; padding-bottom: 4pt;"> </td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: left;">$</td> <td style="border-bottom: Black 4pt double; font-size: 10pt; text-align: right;">7,896,088</td> <td style="padding-bottom: 4pt; font-size: 10pt; text-align: left;"> </td> </tr></tbody></table><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: center;"> </p><table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%;"> <tbody><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: bottom;"><td style="font: 10pt Times New Roman, Times, Serif; text-indent: 0pt;"> </td> <td style="font: bold 10pt Times New Roman, Times, Serif;"> </td> <td colspan="6" style="font: bold 10pt Times New Roman, Times, Serif; text-align: center;">For the Three Months Ended</td> <td style="font: bold 10pt Times New Roman, Times, Serif;"> </td> <td style="font: bold 10pt Times New Roman, Times, Serif;"> </td> <td colspan="6" style="font: bold 10pt Times New Roman, Times, Serif; text-align: center;">For the Six Months Ended</td> <td style="font: bold 10pt Times New Roman, Times, Serif;"> </td> </tr><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: bottom;"><td style="font: 10pt Times New Roman, Times, Serif; text-indent: 0pt;"> </td> <td style="font: bold 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td colspan="6" style="font: bold 10pt Times New Roman, Times, Serif; text-align: center; border-bottom: Black 1.5pt solid;">June 30,</td> <td style="font: bold 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: bold 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td colspan="6" style="font: bold 10pt Times New Roman, Times, Serif; text-align: center; border-bottom: Black 1.5pt solid;">June 30,</td> <td style="font: bold 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> </tr><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: bottom;"><td style="font: 10pt Times New Roman, Times, Serif; text-indent: 0pt;"> </td> <td style="font: bold 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font: bold 10pt Times New Roman, Times, Serif; text-align: center; border-bottom: Black 1.5pt solid;">2026</td> <td style="font: bold 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: bold 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font: bold 10pt Times New Roman, Times, Serif; text-align: center; border-bottom: Black 1.5pt solid;">2025</td> <td style="font: bold 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: bold 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font: bold 10pt Times New Roman, Times, Serif; text-align: center; border-bottom: Black 1.5pt solid;">2026</td> <td style="font: bold 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: bold 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td colspan="2" style="font: bold 10pt Times New Roman, Times, Serif; text-align: center; border-bottom: Black 1.5pt solid;">2025</td> <td style="font: bold 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> </tr><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: bottom;"><td style="font: 10pt Times New Roman, Times, Serif; text-indent: 0pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td colspan="2" style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td colspan="2" style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td colspan="2" style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td colspan="2" style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> </tr><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="font: 10pt Times New Roman, Times, Serif; text-indent: 0pt; width: 52%;">Revenue</td> <td style="font: 10pt Times New Roman, Times, Serif; width: 1%;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; width: 1%; text-align: left;">$</td> <td style="font: 10pt Times New Roman, Times, Serif; width: 9%; text-align: right;">706,049</td> <td style="font: 10pt Times New Roman, Times, Serif; width: 1%; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; width: 1%;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; width: 1%; text-align: left;">$</td> <td style="font: 10pt Times New Roman, Times, Serif; width: 9%; text-align: right;">682,632</td> <td style="font: 10pt Times New Roman, Times, Serif; width: 1%; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; width: 1%;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; width: 1%; text-align: left;">$</td> <td style="font: 10pt Times New Roman, Times, Serif; width: 9%; text-align: right;">1,450,948</td> <td style="font: 10pt Times New Roman, Times, Serif; width: 1%; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; width: 1%;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; width: 1%; text-align: left;">$</td> <td style="font: 10pt Times New Roman, Times, Serif; width: 9%; text-align: right;">1,402,931</td> <td style="font: 10pt Times New Roman, Times, Serif; width: 1%; text-align: left;"> </td> </tr><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: bottom; background-color: White;"> <td style="font: 10pt Times New Roman, Times, Serif; text-indent: 0pt;">Cost of revenue</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;">375,626</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;">502,215</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;">746,416</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;">1,085,651</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;"> </td> </tr><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="font: 10pt Times New Roman, Times, Serif; text-indent: 0pt; text-align: left;">Gross profit</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;">330,423</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;">180,417</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;">704,532</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;">317,280</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;"> </td> </tr><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: bottom; background-color: White;"><td style="font: 10pt Times New Roman, Times, Serif; text-indent: 0pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> </tr><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: bottom; background-color: rgb(204,238,255);"><td style="font: 10pt Times New Roman, Times, Serif; text-indent: 0pt; text-align: left;">Operating expenses:</td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> </tr><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: bottom; background-color: White;"> <td style="font: 10pt Times New Roman, Times, Serif; padding-left: 0.125in; text-align: left; text-indent: 0pt;">Legal and professional</td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;">124,166</td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;">111,339</td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;">282,521</td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;">315,318</td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> </tr><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="font: 10pt Times New Roman, Times, Serif; padding-left: 0.125in; text-align: left; text-indent: 0pt;">Salaries and wages</td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;">139,285</td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;">155,276</td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;">279,731</td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;">239,554</td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> </tr><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: bottom; background-color: White;"> <td style="font: 10pt Times New Roman, Times, Serif; padding-left: 0.125in; text-align: left; text-indent: 0pt;">General and administrative</td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;">187,040</td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;">207,329</td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;">397,277</td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;">389,932</td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> </tr><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="font: 10pt Times New Roman, Times, Serif; padding-left: 0.125in; text-indent: 0pt;">Depreciation</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; text-align: right;"><span style="-sec-ix-hidden:fc_531115955;">886</span></td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;"><span style="-sec-ix-hidden:fc_1657148520;">-</span></td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;">1,771</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;"><span style="-sec-ix-hidden:fc_1659719136;">-</span></td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;"> </td> </tr><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: bottom; background-color: White;"> <td style="font: 10pt Times New Roman, Times, Serif; padding-left: 0.25in; text-align: left; text-indent: 0pt;">Total operating expenses</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;">451,377</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;">473,944</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;">961,300</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;">944,804</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;"> </td> </tr><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: bottom; background-color: rgb(204,238,255);"><td style="font: 10pt Times New Roman, Times, Serif; text-indent: 0pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> </tr><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: bottom; background-color: White;"><td style="font: 10pt Times New Roman, Times, Serif; text-indent: 0pt; text-align: left;">Other income (expense)</td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> </tr><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="font: 10pt Times New Roman, Times, Serif; text-indent: 0pt; text-align: left;">Interest expense</td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;"><span style="-sec-ix-hidden:fc_709491529;">-</span></td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;">(1,534,454</td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;">)</td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;">(37,953</td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;">)</td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;">(1,676,760</td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;">)</td> </tr><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: bottom; background-color: White;"> <td style="font: 10pt Times New Roman, Times, Serif; text-indent: 0pt; text-align: left;">Loss on shares issued for legal settlement</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;"><span style="-sec-ix-hidden:fc_1550761426;">-</span></td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;">(78,104</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;">)</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;"><span style="-sec-ix-hidden:fc_492536109;">-</span></td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;">(78,104</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;">)</td> </tr><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="font: 10pt Times New Roman, Times, Serif; padding-left: 0.25in; text-align: left; text-indent: 0pt;">Total other expense</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;"><span style="-sec-ix-hidden:fc_1115747112;">-</span></td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;">(1,612,558</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;">)</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;">(37,953</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;">)</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 1.5pt solid; text-align: right;">(1,754,864</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 1.5pt; text-align: left;">)</td> </tr><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: bottom; background-color: White;"><td style="font: 10pt Times New Roman, Times, Serif; text-indent: 0pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: right;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; text-align: left;"> </td> </tr><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: bottom; background-color: rgb(204,238,255);"> <td style="font: 10pt Times New Roman, Times, Serif; text-indent: 0pt; text-align: left;">Net loss</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 4pt double; text-align: left;">$</td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 4pt double; text-align: right;">(120,954</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 2.5pt; text-align: left;">)</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 4pt double; text-align: left;">$</td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 4pt double; text-align: right;">(1,906,085</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 2.5pt; text-align: left;">)</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 4pt double; text-align: left;">$</td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 4pt double; text-align: right;">(294,721</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 2.5pt; text-align: left;">)</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 4pt;"> </td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 4pt double; text-align: left;">$</td> <td style="font: 10pt Times New Roman, Times, Serif; border-bottom: Black 4pt double; text-align: right;">(2,382,388</td> <td style="font: 10pt Times New Roman, Times, Serif; padding-bottom: 2.5pt; text-align: left;">)</td> </tr></tbody></table> 1263478 1644439 261758 313350 173743 65627 8449 10220 158040 20019 5842433 5842433 7707901 7896088 706049 1450948 1402931 375626 502215 746416 1085651 330423 180417 704532 317280 124166 111339 282521 315318 139285 155276 279731 239554 187040 207329 397277 389932 1771 451377 473944 961300 944804 1534454 37953 1676760 -78104 -78104 -1612558 -37953 -1754864 -120954 -1906085 -294721 -2382388 <p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><span style="font-weight: bold;">Note 13. Subsequent Events</span></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 36pt;">The Company has evaluated all events that occurred after the date of the financial statements and through the date of issuance to determine if they must be reported. Management has determined that other than those disclosed below, there were no additional reportable subsequent events to be disclosed.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><i>Issuance of Shears for Interest Conversions</i></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><i> </i></p><p style="font: 10pt Times New Roman, Times, Serif; text-indent: 0.5in; margin: 0pt 0; text-align: justify;">On August 7, 2026, the Company issued 520 shares of common stock for the conversion of $2,500 in accrued interest due under the Company’s senior secured convertible notes.</p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"> </p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><i>Reverse Stock Split</i></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify;"><i> </i></p><p style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify; text-indent: 0.5in;"> 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, 2026. The effects of the reverse stock split have been reflected in this Quarterly Report for all periods presented. </p> 520 2500 1 for 12 12 false false false false