Quarterly report [Sections 13 or 15(d)]

Segments

v3.26.1
Segments
 6 Months Ended
Jun. 30, 2026
Segment Reporting [Abstract]  
Segments

Note 13—Segments

 

The Company has two reportable segments. The legacy segment focuses on the previous endeavors of TNF Pharmaceuticals, Inc. This business segment operates in the clinical-stage pharmaceutical space and is specifically focused on Isomyosamine (formerly MYMD-1). The second and primary segment is focused on the development and eventual application of quantum computing technology. The Company’s chief operating decision maker (“CODM”), who is responsible for evaluating financial performance and allocating resources, is the Executive Chairman of the Board. The accounting policies of the dual segments are the same as those described in the summary of significant accounting policies. The CODM does not use assets to assess the segment. The CODM assesses performance for each segment and decides how to allocate resources based on net operating loss excluding stock-based compensation and warrant issuance expenses. The CODM uses a non-GAAP measure, net of operating loss excluding stock-based compensation and warrant issuance expenses, as the primary measure of operating performance and to monitor the Company’s cash burn and adherence to budget.

 

To date, the Company has not generated any product revenues and has incurred losses and negative cash flows from operations since inception.

 

The following table presents certain financial data for the Company’s two reportable segments and a reconciliation to the Company’s consolidated net loss.

Schedule of Reconciliation Consolidated Net Loss

 

                                 
    For the Three Months Ended     For the Six Months Ended  
    June 30,     June 30,  
    2026     2025     2026     2025  
Sales                                
Pharmaceuticals     -       -       -       -  
Computing Technology     -       -       -       -  
Total Sales     -       -       -       -  
Product Cost of Sales                                
Pharmaceuticals     -       -       -       -  
Computing Technology     -       -       -       -  
Total Cost of Sales     -       -       -       -  
Gross Profit     -       -       -       -  
                                 
Operating Expenses                                
Administrative Expenses                                
Pharmaceuticals     100,295       894,297       206,960       1,735,982  
Computing Technology     902,654       -       1,862,639       -  
Total Administrative Expenses     1,002,949       894,297       2,069,599       1,735,982  
Research and Development Expenses                                
Pharmaceuticals     5,150       873,472       (18,948 )     2,418,985  
Computing Technology     230,983       -       765,615       -  
Total Research and Development Expenses     236,133       873,472       746,667       2,418,985  
Stock Based Compensation                                
Pharmaceuticals     -       104,854       -       189,490  
Computing Technology     2,373,655       -       2,432,261       -  
Total Stock Based Compensation     2,373,655       104,854       2,432,261       189,490  
Franchise Tax Expense                                
Pharmaceuticals     -       -       21,940       -  
Computing Technology     -       -       197,463       -  
Total Franchise Tax Expense     -       -       219,403      

-

  
Segment Net Loss                                
Pharmaceuticals     105,445       1,872,623       209,952       4,344,457  
Computing Technology     3,507,292       -       5,257,978       -  
Total Segment Net Loss     3,612,737       1,872,623       5,467,930       4,344,457  
                                 
Reconcilement of Net Loss                                
Adjustments and Reconciling Items                                
Interest and Dividend Income                                
Pharmaceuticals     -       57,575       -       120,087  
Computing Technology     100,625       -       171,965       -  
Total Interest and Dividend Income     100,625       57,575       171,965       120,087  
Gain (Loss) on Sales of Marketable Securities                                
Pharmaceuticals     -       -       -       2,176  
Computing Technology     19,459       -       31,241       -  
Total Gain (Loss) on Sales of Marketable Securities     19,459       -       31,241       2,176  
Unrealized Gain (Loss) on Marketable Securities                                
Pharmaceuticals     -       (147 )     -       (1,744 )
Computing Technology     (26,584 )     -       (7,290 )     -  
Total Unrealized Gain (Loss) on Marketable Securities     (26,584 )     (147 )     (7,290 )     (1,744 )
Change in Fair Value of Derivative Liabilities                                
Pharmaceuticals     -       19,000       -       1,303,000  
Computing Technology     81,000       -       591,000       -  
Total Change in Fair Value of Derivative Liabilities     81,000       19,000       591,000       1,303,000  
Impairment of Technology License                                
Pharmaceuticals     -       -       -       -  
Computing Technology     (3,177,999 )     -       (3,177,999 )     -  
Total Impairment of Technology License     (3,177,999 )     -       (3,177,999 )     -  
Total Adjustments and Reconciling Items:                                
Pharmaceuticals     -       76,428       -       1,423,519  
Computing Technology     (3,003,499 )     -       (2,391,083 )     -  
Total Adjustments and Reconciling Items     (3,003,499 )     76,428       (2,391,083 )     1,423,519  
                                 
Consolidated Net Loss:                                
Pharmaceuticals     (105,445 )     (1,796,195 )     (209,952 )     (2,920,938 )
Computing Technology     (6,510,791 )     -       (7,649,061 )     -  
Consolidated Net Loss     (6,616,236 )     (1,796,195 )     (7,859,013 )     (2,920,938 )

 

Segment assets are not reviewed by the CODM and, accordingly, asset information is not presented.