Note 3 – Recent Developments, Liquidity and Management’s Plans

As of September 30, 2025, the Company’s cash on hand was $6.9 million and marketable securities were $3.1 million. The Company has incurred a net loss from operations of $5.7 million for the nine months ended September 30, 2025. As of September 30, 2025, the Company had working capital of $4.6 million and stockholders’ equity of $14.3 million including an accumulated deficit of $137.6 million. During the nine months ended September 30, 2025, cash flows used in operating activities were $5.9 million consisting primarily of a net loss of $5.7 million, Since its inception, the Company has met its liquidity requirements principally through the sale of its Common Stock and Preferred Stock in public and private placements. 

As of June 30, 2025, the Company concluded that there was substantial doubt about the Company continuing as a going concern due to the lack of funds to cover estimated costs for the next 12 months. During the three months ended September 30, 2025, the Company raised $6.7 million through the issuance of preferred stock and received $2.7 million in proceeds from the exercise of warrants. As a result of these activities the Company has concluded that the substantial doubt has been alleviated as of September 30, 2025.

The Company evaluated the current cash requirements for operations in conjunction with management’s strategic plan and believes that the Company’s current financial resources as of the date of the issuance of these condensed consolidated financial statements are sufficient to fund its current operating budget and contractual obligations as of September 30, 2025 as they fall due within the next twelve-month period, alleviating any substantial doubt raised by the Company’s historical operating results and satisfying its estimated liquidity needs for twelve months from the issuance of these condensed consolidated financial statements.