XML 20 R9.htm IDEA: XBRL DOCUMENT
v3.25.2

Assets Held for Sale | 6 Months Ended
--- | ---
Jun. 30, 2025
Discontinued Operations and Disposal Groups [Abstract] |
Assets Held for Sale | Assets Held for Sale We entered into a definitive merger agreement to combine our wholly owned subsidiaries, Pelthos Therapeutics Inc. and LNHC, Inc. (collectively “Pelthos”) with CHRO Merger Sub Inc., a wholly owned subsidiary of Channel Therapeutics Corporation (“Channel”) in April 2025. As a result of meeting the criteria to classify the disposal group as held for sale under generally accepted accounting principles, Pelthos was classified as held for sale as of June 30, 2025. Classification of our disposal group held for sale occurs when sufficient authority to sell the disposal group has been obtained, the disposal group is available for immediate sale and its sale is probable within one year. If at any time these criteria are no longer met, the disposal group would be reclassified as held and used. Assets classified as held for sale are recorded at the lower of their carrying amount or fair value less costs to sell and are not depreciated or amortized. We evaluate the held for sale classification during each reporting period. The disposal group did not meet the requirements for presentation as discontinued operations and are included in income from continuing operations for the three and six months ended June 30, 2025. We did not have any assets held for sale as of December 31, 2024. The following table presents the carrying amounts of major classes of assets and liabilities related to assets held for sale with respect to the Pelthos divestiture as of June 30, 2025.
| June 30, 2025
Assets: |
Cash and cash equivalents | $ | 2,817 |
Accounts receivable, net | 48 |
Other current assets | 7,910 |
Property and equipment, net | 11,091 |
Goodwill | 3,709 |
Operating lease right-of-use assets | 3,625 |
Deferred income taxes, net | 5,499 |
Other assets | 529 |
Total assets held for sale | $ | 35,228 |
Liabilities: |
Accounts payable | $ | 993 |
Accrued liabilities | 3,894 |
Deferred revenue | 1,072 |
Current operating lease liabilities | 626 |
Short-term bridge loan | 6,963 |
Long-term deferred revenue | 1,763 |
Long-term operating lease liability | 2,940 |
Other long-term liabilities | 17,441 |
Total liabilities related to assets held for sale | $ | 35,692 |
The estimated fair value of the Pelthos other long-term liabilities was $20.6 million compared to a carrying value of $17.4 million as of June 30, 2025. The estimated fair value of the Pelthos other long-term liabilities was $19.1 million compared to a carrying value of $15.9 million as of December 31, 2024. The merger was closed in July 2025. For additional information, see Note 11, Subsequent Events.

X
- References No definition available. + Details
Name: | us-gaap_DiscontinuedOperationsAndDisposalGroupsAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure related to a disposal group. Includes, but is not limited to, a discontinued operation, disposal classified as held-for-sale or disposed of by means other than sale or disposal of an individually significant component. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 205 -SubTopic 20 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/205-20/tableOfContent Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 360 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/360/tableOfContent + Details
Name: | us-gaap_DisposalGroupsIncludingDiscontinuedOperationsDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration