v3.25.4
Segment Information
 6 Months Ended
Dec. 31, 2025
Segment Reporting [Abstract]  
Segment Information

13. Segment Information

Operating segments are defined as components of an enterprise for which separate financial information is regularly evaluated by the chief operating decision maker (CODM), which is our Chief Executive Officer and Chief Financial Officer, in deciding how to allocate resources and assess performance. During fiscal year 2025, when allocating financial and personnel resources, due to pursuing our strategic alternatives initiative, the CODM evaluated our financial information, including year over year profit and loss comparisons and cash projections, on an aggregate basis. During fiscal year 2026, our CODM evaluates financial information including budget versus actual comparisons when assessing performance for allocating financial and personnel resources. Prior to the commencement of writing the Covered Call Options in the second quarter of fiscal year 2026, the CODM considered our cash and cash equivalents and other corporate expenses to be primarily available for use in our development of pharmaceutical products segment. However, since the proceeds from the issuance of our Covered Call Options are being utilized to repurchase our Common Stock, the CODM reevaluated its position during the second quarter of fiscal year 2026 and concluded cash and cash equivalents and corporate expenses were no longer segment expenses and therefore would represent corporate expenses and be a reconciling item between total segment costs and our consolidated results. We are not organized by market.

Prior to the initiation of our Litecoin Treasury Strategy in August 2025, we operated as a single operating segment, the development of pharmaceutical products. Subsequently, we now operate under two operating segments (development of pharmaceutical products and digital asset treasury strategy), which we identify based upon the underlying business activities supporting these two segments. During the first quarter of fiscal year 2026 and for fiscal year 2025, we did not generate any revenue. Consistent with the CODM's reevaluation in the section quarter of 2026, he concluded our administrative functions including finance, business development and information systems, no longer were primarily supportive of our development of pharmaceutical products segment, and would be primarily included in corporate expenses. We operate in one geographic area, the United States. The CODM allocates resources (inclusive of both capital and personnel) based upon our net loss, which is utilized to monitor year over year variances on a quarterly basis.

The accounting policies of both our segments are the same as those described in Note 2. Summary of Significant Accounting Policies. All our assets are in the United States. We do not have intra-entity sales or transfers.

During the three and six months ended December 31, 2025 and 2024, we had no transactions denominated in foreign currencies nor any intangible property for which we recognized amortization expense. During the three and six months ended December 31, 2025, and the three months ended December 31, 2024, we did not recognize depreciation expense. During the six months ended December 31, 2024, we recognized depreciation expense that we have included in "other segment expenses" within the table below.

Depreciation expense is reported in our statements of cash flows and is expected to be zero during fiscal year 2026. Noncash expenses such as depreciating assets and share-based compensation are not part of the CODM's evaluation or decision-making process.

The following tables summarize our financial data for our segments (in thousands):

 

 

For the Three Months Ended December 31, 2025

 

 

 

Digital Asset Treasury Strategy

 

 

Development of Pharmaceutical Products

 

 

Total Segment Costs

 

 

Corporate Expenses

 

 

Consolidated

 

Operating and other (income) expense

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Employee expenses

 

$

144

 

 

$

23

 

 

$

167

 

 

$

332

 

 

$

499

 

Other segment expenses(1)

 

 

13

 

 

 

—

 

 

 

13

 

 

 

838

 

 

 

851

 

Professional fees

 

 

371

 

 

 

—

 

 

 

371

 

 

 

357

 

 

 

728

 

Legal fees

 

 

5

 

 

 

172

 

 

 

177

 

 

 

383

 

 

 

560

 

voruciclib

 

 

—

 

 

 

23

 

 

 

23

 

 

 

—

 

 

 

23

 

Asset management fee and advisory fees

 

 

690

 

 

 

—

 

 

 

690

 

 

 

—

 

 

 

690

 

Change in fair value of digital assets

 

 

26,516

 

 

 

—

 

 

 

26,516

 

 

 

—

 

 

 

26,516

 

Change in fair value of digital assets
    receivable, net

 

 

1,533

 

 

 

—

 

 

 

1,533

 

 

 

—

 

 

 

1,533

 

Gain on derivative liabilities

 

 

(541

)

 

 

—

 

 

 

(541

)

 

 

—

 

 

 

(541

)

Interest and dividend income(2)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(60

)

 

 

(60

)

Total operating and other (income)
      expense

 

 

28,731

 

 

 

218

 

 

 

28,949

 

 

 

1,850

 

 

 

30,799

 

Total segment costs loss and net loss

 

$

(28,731

)

 

$

(218

)

 

$

(28,949

)

 

$

(1,850

)

 

$

(30,799

)

___________

(1) Includes product development costs associated with zandelisib determined to be immaterial for both periods presented, occupancy costs, share-based compensation costs, administrative costs, travel and business taxes.

(2) Interest and dividend income are solely attributable to our cash and cash equivalents.

 

 

 

 

For the Three Months Ended December 31, 2024

 

 

 

Development of Pharmaceutical Products
and Total Segment Costs

 

 

Corporate Expenses

 

 

Consolidated

 

Operating and other (income) expense

 

 

 

 

 

 

 

 

 

Employee expenses

 

$

401

 

 

$

1,675

 

 

$

2,076

 

Other segment expenses(1)

 

 

(79

)

 

 

468

 

 

 

389

 

Professional fees

 

 

9

 

 

 

288

 

 

 

297

 

Legal fees

 

 

212

 

 

 

505

 

 

 

717

 

voruciclib

 

 

81

 

 

 

—

 

 

 

81

 

ME-344

 

 

(104

)

 

 

—

 

 

 

(104

)

Gain on disposition of nonfinancial asset

 

 

—

 

 

 

(500

)

 

 

(500

)

Interest and dividend income(2)

 

 

—

 

 

 

(279

)

 

 

(279

)

Total operating and other (income)
      expense

 

 

520

 

 

 

2,157

 

 

 

2,677

 

Total segment costs loss and net loss

 

$

(520

)

 

$

(2,157

)

 

$

(2,677

)

___________

(1) Includes product development costs associated with zandelisib determined to be immaterial for both periods presented, occupancy costs (including rent and utilities), share-based compensation costs, depreciation expense, administrative costs, travel and business taxes.

(2) Interest and dividend income are solely attributable to our cash and cash equivalents.

 

 

 

For the Six Months Ended December 31, 2025

 

 

 

Digital Asset Treasury Strategy

 

 

Development of Pharmaceutical Products

 

 

Total Segment Costs

 

 

Corporate Expenses

 

 

Consolidated

 

Operating and other (income) expense

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Employee expenses

 

$

376

 

 

$

23

 

 

$

399

 

 

$

679

 

 

$

1,078

 

Other segment expenses(1)

 

 

33

 

 

 

5

 

 

 

38

 

 

 

1,649

 

 

 

1,687

 

Professional fees

 

 

441

 

 

 

2

 

 

 

443

 

 

 

1,056

 

 

 

1,499

 

Legal fees

 

 

112

 

 

 

366

 

 

 

478

 

 

 

528

 

 

 

1,006

 

voruciclib

 

 

—

 

 

 

26

 

 

 

26

 

 

 

—

 

 

 

26

 

Asset management fee and advisory fees

 

 

1,163

 

 

 

—

 

 

 

1,163

 

 

 

—

 

 

 

1,163

 

Change in fair value of digital assets

 

 

27,147

 

 

 

—

 

 

 

27,147

 

 

 

—

 

 

 

27,147

 

Change in fair value of digital assets
    receivable, net

 

 

1,533

 

 

 

—

 

 

 

1,533

 

 

 

—

 

 

 

1,533

 

Gain on derivative liabilities

 

 

(541

)

 

 

—

 

 

 

(541

)

 

 

—

 

 

 

(541

)

Interest and dividend income(2)

 

 

—

 

 

 

—

 

 

 

—

 

 

 

(160

)

 

 

(160

)

Total operating and other (income)
      expense

 

 

30,264

 

 

 

422

 

 

 

30,686

 

 

 

3,752

 

 

 

34,438

 

Total segment costs loss and net loss

 

$

(30,264

)

 

$

(422

)

 

$

(30,686

)

 

$

(3,752

)

 

$

(34,438

)

________

(1) Includes product development costs associated with zandelisib determined to be immaterial for both periods presented, occupancy costs, share-based compensation costs, administrative costs, travel and business taxes.

(2) Interest and dividend income are solely attributable to our cash and cash equivalents.

 

 

 

 

For the Six Months Ended December 31, 2024

 

 

 

Development of Pharmaceutical Products
and Total Segment Costs

 

 

Corporate Expenses

 

 

Consolidated

 

Operating and other (income) expense

 

 

 

 

 

 

 

 

 

Employee expenses

 

$

2,366

 

 

$

4,633

 

 

$

6,999

 

Other segment expenses(1)

 

 

33

 

 

 

1,638

 

 

 

1,671

 

Professional fees

 

 

21

 

 

 

890

 

 

 

911

 

Legal fees

 

 

409

 

 

 

777

 

 

 

1,186

 

voruciclib

 

 

798

 

 

 

—

 

 

 

798

 

ME-344

 

 

253

 

 

 

—

 

 

 

253

 

Gain on disposition of nonfinancial asset

 

 

—

 

 

 

(500

)

 

 

(500

)

Interest and dividend income(2)

 

 

—

 

 

 

(634

)

 

 

(634

)

Total operating and other (income)
      expense

 

 

3,880

 

 

 

6,804

 

 

 

10,684

 

Total segment costs loss and net loss

 

$

(3,880

)

 

$

(6,804

)

 

$

(10,684

)

________

(1) Includes product development costs associated with zandelisib determined to be immaterial for both periods presented, occupancy costs (including rent and utilities), share-based compensation costs, depreciation expense, administrative costs, travel and business taxes.

(2) Interest and dividend income are solely attributable to our cash and cash equivalents.

 

 

 

December 31, 2025

 

 

 

Digital Asset Treasury Strategy

 

 

Development of Pharmaceutical Products

 

 

Total Segment Assets

 

 

Corporate Assets

 

 

Consolidated

 

Current assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash and cash equivalent

 

$

—

 

 

$

—

 

 

$

—

 

 

$

8,758

 

 

$

8,758

 

Prepaid expenses and other current assets

 

 

1,061

 

 

 

51

 

 

 

1,112

 

 

 

1,042

 

 

 

2,154

 

Total current assets

 

 

1,061

 

 

 

51

 

 

 

1,112

 

 

 

9,800

 

 

 

10,912

 

Digital assets

 

 

63,970

 

 

 

—

 

 

 

63,970

 

 

 

—

 

 

 

63,970

 

Digital assets receivable, net

 

 

7,350

 

 

 

—

 

 

 

7,350

 

 

 

—

 

 

 

7,350

 

Other long-term assets

 

 

—

 

 

 

—

 

 

 

—

 

 

 

705

 

 

 

705

 

Total assets

 

$

72,381

 

 

$

51

 

 

$

72,432

 

 

$

10,505

 

 

$

82,937

 

 

 

 

 

 

June 30, 2025

 

 

 

Development of Pharmaceutical Products
and Total Segment Assets

 

 

Corporate Assets

 

 

Consolidated

 

Current assets:

 

 

 

 

 

 

 

 

 

Cash and cash equivalent

 

$

—

 

 

$

18,011

 

 

$

18,011

 

Prepaid expenses and other current assets

 

 

25

 

 

 

249

 

 

 

274

 

Total current assets

 

 

25

 

 

 

18,260

 

 

 

18,285

 

Total assets

 

$

25

 

 

$

18,260

 

 

$

18,285