v3.26.1
Income Taxes (Tables)
 12 Months Ended
Dec. 31, 2025
Income Tax Disclosure [Abstract]  
Schedule of Reconciliation of U.S. Federal Statutory Income Tax Rate
A reconciliation of the U.S. federal statutory tax rate to the Company’s effective tax rate for the years ended December 31, 2025 and 2024 is as follows:
 
    
 Year Ended December 31, 2025 
    
 Year Ended December 31, 2024 
  
    
Amount
     
Percent
    
Amount
     
Percent
  
U.S. federal statutory tax rate
    $ (15,701 )       21.00 %    $ (1,978 )       21.00 % 
State and local income tax, net of federal income tax effect
      —         —        —         —   
Foreign tax effects
      —         —        —         —   
Effects of changes in tax laws or rates enacted in the current period
      —         —        —         —   
Effects of
cross-border-tax
laws
      —         —        —         —   
Tax credits:
           
Federal research and development credits
      (908 )       0.01       (884 )       0.09  
Federal orphan drug credits
      (5,255 )       0.07       (7,297 )       0.77  
Changes in valuation allowances
      20,716        (0.28 )      (89,613 )       9.51  
Nontaxable or nondeductible items:
           
Stock-based compensation
      —         —        587        (0.06 ) 
Officers’ compensation
      879        (0.01 )      482        (0.05 ) 
Other permanent differences
      (103 )       0.00       85        (0.01 ) 
Changes in unrecognized tax benefits
      —         —        —         —   
Other adjustments:
           
Impact of ownership change
      —         —        97,547        (10.36 ) 
Stock compensation cancellations
      —         —        1,322        (0.14 ) 
Other
      372        (0.00 )      (251 )       0.03  
  
 
 
     
 
 
    
 
 
     
 
 
  
Effective income tax rate
    $ —         —  %    $ —         —  % 
  
 
 
     
 
 
    
 
 
     
 
 
  
Schedule of Deferred Tax Assets and Liabilities
The Company’s deferred tax assets and liabilities consist of the following (in thousands):
 
    
December 31,
2025
     
December 31,
2024
  
Deferred tax assets:
      
Capitalized research and development costs
    $ 29,024      $ 38,850  
Net operating loss carryforwards
      27,713        1,436  
Orphan drug credit carryforwards
      7,448        2,193  
Research and development credit carryforwards
      1,326        422  
Intangible assets
      2,848        2,705  
Accrued expenses and other
      8,298        6,760  
Operating lease liability
      1,703        2,287  
  
 
 
     
 
 
  
Gross deferred tax assets
      78,360        54,653  
Valuation allowance
      (76,506 )       (51,753 ) 
  
 
 
     
 
 
  
Net deferred tax assets
      1,854        2,900  
Deferred tax liability
      (1,854 )       (2,900 ) 
  
 
 
     
 
 
  
Net deferred tax assets
    $ —       $ —