| Summary of Significant Expense Categories |
The
tables below summarize the significant expense categories regularly reviewed by the CODM for the three and six months ended June 30,
2025 and 2026:
Summary of Significant Expense Categories
| | |
2025 | | |
2026 | | |
2025 | | |
2026 | |
| | |
Three Months Ended June 30, | | |
Six Months Ended June 30, | |
| | |
2025 | | |
2026 | | |
2025 | | |
2026 | |
| Revenues: | |
| | |
| | |
| | |
| |
| Revenues | |
$ | 6,550 | | |
$ | 135,568 | | |
$ | 11,615 | | |
$ | 6,678,569 | |
| Cost of revenues | |
| (5,240 | ) | |
| (229,455 | ) | |
| (9,292 | ) | |
| (240,526 | ) |
| Gross Profit | |
| 1,310 | | |
| (93,887 | ) | |
| 2,323 | | |
| 6,438,043 | |
| | |
| | | |
| | | |
| | | |
| | |
| Operating expenses: | |
| | | |
| | | |
| | | |
| | |
| Research and development expenses | |
| | | |
| | | |
| | | |
| | |
| Salaries, benefits and related expenses | |
| 778,440 | | |
| 761,312 | | |
| 1,479,546 | | |
| 1,539,698 | |
| Manufacturing and materials | |
| 33,986 | | |
| 27,073 | | |
| 296,783 | | |
| 17,114 | |
| Preclinical expenses | |
| 146,948 | | |
| 158,917 | | |
| 324,060 | | |
| 376,483 | |
| Clinical trials | |
| 110,935 | | |
| 101,246 | | |
| 298,755 | | |
| 228,777 | |
| Overhead allocations | |
| 156,515 | | |
| 154,804 | | |
| 306,392 | | |
| 299,228 | |
| Total research and development expenses | |
| 1,226,824 | | |
| 1,203,352 | | |
| 2,705,536 | | |
| 2,461,300 | |
| General and administrative | |
| | | |
| | | |
| | | |
| | |
| Salaries, benefits and related expenses | |
| 765,539 | | |
| 523,466 | | |
| 1,554,026 | | |
| 1,046,820 | |
| Professional services(a) | |
| 496,641 | | |
| 504,837 | | |
| 951,008 | | |
| 989,975 | |
| Facilities and office expenses | |
| 111,740 | | |
| 103,883 | | |
| 206,068 | | |
| 216,796 | |
| Depreciation expenses | |
| 59,160 | | |
| 49,994 | | |
| 120,398 | | |
| 103,870 | |
| Rent and occupancy expenses | |
| 62,528 | | |
| 45,887 | | |
| 112,278 | | |
| 87,049 | |
| Insurance | |
| 270,598 | | |
| 191,080 | | |
| 560,866 | | |
| 385,523 | |
| Taxes | |
| 61,576 | | |
| 111,278 | | |
| 94,168 | | |
| 285,966 | |
| Other expenses | |
| 165,991 | | |
| 325,537 | | |
| 328,181 | | |
| 558,827 | |
| Total general and administrative expenses | |
| 1,993,773 | | |
| 1,855,962 | | |
| 3,926,993 | | |
| 3,674,826 | |
| Other segment items(b) | |
| (1,291,557 | ) | |
| 2,066,030 | | |
| (2,505,600 | ) | |
| 1,718,482 | |
| Total operating expenses | |
| 1,929,040 | | |
| 5,125,344 | | |
| 4,126,929 | | |
| 7,854,608 | |
| Net segment loss | |
$ | (1,927,730 | ) | |
$ | (5,219,231 | ) | |
$ | (4,124,606 | ) | |
$ | (1,416,565 | ) |
| (a) |
Professional
services consist primarily of audit and accounting advisory services, tax advisory services, corporate legal services and other services
related to SEC compliance, and legal fees related to patent filings. |
| |
|
| (b) |
Other
segment items include the following unusual or nonrecurring item that comprise other segment items for the three and six months ended
June 30, 2025 and 2026: |
| | |
2025 | | |
2026 | | |
2025 | | |
2026 | |
| | |
Three Months Ended June 30, | | |
Six Months Ended June 30, | |
| | |
2025 | | |
2026 | | |
2025 | | |
2026 | |
| Arbitration legal fees (recoveries), net | |
$ | 142,542 | | |
$ | (1,325 | ) | |
$ | (1,596,951 | ) | |
$ | 5,525 | |
| Accretion of fixed bonus upon maturity of Secured Notes | |
| 102,248 | | |
| 14,413 | | |
| 375,308 | | |
| 28,826 | |
| Interest expense | |
| 228,714 | | |
| 100,541 | | |
| 505,853 | | |
| 209,815 | |
| Indirect tax expense | |
| — | | |
| — | | |
| — | | |
| 198,146 | |
| Change in fair value of investment, net | |
| (1,748,688 | ) | |
| — | | |
| (1,748,688 | ) | |
| — | |
| Gain on extinguishment of liability | |
| — | | |
| (483,383 | ) | |
| — | | |
| (483,383 | ) |
| Change in fair value of warrant liability | |
| — | | |
| 2,443,335 | | |
| — | | |
| 1,775,992 | |
| Other income, net | |
| (16,373 | ) | |
| (7,551 | ) | |
| (41,122 | ) | |
| (16,439 | ) |
| Other segment items | |
$ | (1,291,557 | ) | |
$ | 2,066,030 | | |
$ | (2,505,600 | ) | |
$ | 1,718,482 | |
|