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Stockholders’ Equity

12 Months Ended

Sep. 30, 2025

Stockholders’ Equity [Abstract]

Stockholders’ Equity

NOTE 9 – Stockholders’ Equity

April 2025 Financing

On April 4, 2025, the Company entered into an underwriting agreement with Ladenburg Thalmann & Co. Inc. as underwriter ( “Ladenburg”), relating to the issuance and sale of 16,000,000 shares of the Company’s common stock at a price to the public of $0.50 per share (the “April 2025 Financing”). In addition, under the terms of the underwriting agreement, the Company granted Ladenburg an option, exercisable for 45 days, to purchase up to an additional 2,400,000 shares of common stock on the same terms as the offering, which overallotment was exercised in full. Issuance costs in connection with the April 2025 Financing amounted to $960,717 which included a 7% commission to Ladenburg and legal and other expenses in the amount of $316,717. Net proceeds to the Company were $8,239,283.

At-The-Market Offering

On December 21, 2022, the Company entered into a Capital on Demand^TM Sales Agreement (the “Sales Agreement”) with JonesTrading Institutional Services LLC (“JonesTrading”) that created an at-the-market offering program (“ATM Program”) under which the Company could offer and sell common stock having an aggregate offering price of up to $14.5 million. JonesTrading is entitled to a commission at a fixed commission rate of up to 3% of the gross proceeds. On July 24, 2023, the Company decreased the amount of common stock that could be sold pursuant to the Sales Agreement, such that the Company was offering up to an aggregate of $2.6 million of its common stock for sale under the Sales Agreement, including the shares of common stock previously sold. Subsequently on December 1, 2023, however, the Company increased the amount of common stock that could be sold pursuant to the Sales Agreement, such that the Company was offering up to an aggregate of $4.8 million of its common stock for sale under the Sales Agreement, including the shares of common stock previously sold. On January 5, 2024, the Company further increased the amount of common stock that can be sold pursuant to the Sales Agreement, such that the Company was offering up to an aggregate of $9.3 million of its common stock for sale under the Sales Agreement, including the shares of common stock previously sold. On August 16, 2024, the Company increased the amount of common stock that can be sold pursuant to the Sales Agreement by $3.0 million. On April 3, 2025, the Company decreased the amount of common stock that could be sold pursuant to the Sales Agreement to zero. On August 15, 2025, the Company increased the amount of common stock that can be sold pursuant to the Sales Agreement to $6,750,000.

During the years ended September 30, 2025 and 2024, 355,899 and 3,748,913 shares of common stock were issued, respectively, under the ATM Program for an aggregate offering price of $414,037 and $5,033,906, respectively. Issuance costs incurred under the ATM Program during the years ended September 30, 2025 and 2024 were $95,929 and $277,903, respectively. Lastly, during the year ended September 30, 2025, the Company incurred legal costs of $9,325 that were expensed as financing costs.

The total aggregate offering price and common stock issued since inception of the ATM Program through September 30, 2025 was $8,000,600 and 5,544,489 shares, respectively. Cumulative issuance costs incurred under the ATM Program through September 30, 2025 was $608,558.

August 2024 Private Placement

On August 1, 2024, the Company entered into a securities purchase agreement with certain accredited investors, pursuant to which the Company, in a private placement (the “2024 Private Placement”), agreed to issue and sell an aggregate of (i) 2,944,446 shares of the Company’s common stock and (ii) warrants to purchase an aggregate of 2,208,338 shares of common stock (the “PIPE Warrants”) at a purchase price of $0.90 per unit, consisting of one share and a PIPE Warrant to purchase 0.75 shares of common stock, resulting in total gross proceeds of approximately $2.65 million before deducting expenses. Issuance costs attributed to the 2024 Private Placement amounted to approximately $0.2 million. The 2024 Private Placement closed on August 2, 2024.

The PIPE Warrants are exercisable beginning on the date of issuance and had an initial exercise price of $1.19 per share, subject to adjustment. In April 2025, the exercise price was reset to $0.465 upon the close of the April 2025 Financing for all of the PIPE Warrants, except for the PIPE Warrants to purchase 20,834 shares of common stock issued to a director on the Company’s Board of Directors for which the exercise price was reset to $0.876 per share. The PIPE Warrants will expire on the third anniversary of the date of issuance.

The PIPE Warrants were accounted for and classified as liabilities on the accompanying balance sheets given certain price reset provisions not used for a fair valuation under a fixed for fixed settlement scenario as required for equity balance sheet classification. A Monte Carlo simulation model was used to estimate the aggregate fair value of the PIPE Warrants. Input assumptions used were as follows on September 30, 2025 and 2024: risk-free interest rate 3.55% and 3.53%, respectively; expected volatility of 94.5% and 115.7%; respectively; expected life of 1.84 years and 2.84 years, respectively; and expected dividend yield zero percent for both dates. The underlying stock price used was the market price as quoted on Nasdaq as of September 30, 2025 and 2024, respectively. The aggregate fair value of the PIPE Warrants of $1,813,223 upon issuance was recorded as a long term liability on the accompanying balance sheets. The Company recorded the fair value change of the PIPE Warrants in the amount of a $784,670 benefit and an expense of $327,092 to the fair value change in warrant liability line item on the accompanying statements of operations for the years ended September 30, 2025 and 2024, respectively.

Warrant Activity and Summary

The following table summarizes warrant activity during the years ended September 30, 2025 and 2024:

		Warrants				Exercise Price Per Warrant				Weighted Average Exercise Price				Weighted Average Term (years)
Outstanding and exercisable at September 30, 2023			6,202,426			$	3.00-9.00			$	5.92				2.00
Issued			2,308,338			$	0.66-1.19			$	1.17				3.09
Exercised			—			$	—			$	—				—
Expired			(1,464,889	)			$6.00-9.00			$	8.59				—
Outstanding at September 30, 2024			7,045,875				$ 0.66-5.61			$	3.81				1.98
Issued			—			$	—			$	—				—
Exercised			(150,000	)		$	0.465			$	0.465				—
Expired			—			$	—			$	—				—
Outstanding at September 30, 2025			6,895,875			$	0.465-5.61			$	3.65				0.96
Outstanding and exercisable at September 30, 2025			6,895,875			$	0.465-5.61			$	3.65				0.96

The following table summarizes information about warrants outstanding at September 30, 2025:

Exercise Price				Number Outstanding				Weighted Average Remaining Contractual life (Years)				Number Exercisable at September 30, 2025
$	0.465				2,037,504				1.84				2,037,504
$	0.66				100,000				3.84				100,000
$	0.876				20,834				1.84				20,834
$	3.00				350,000				1.84				350,000
$	5.25				4,166,682				0.29				4,166,682
$	5.61				220,855				2.75				220,855
Total					6,895,875								6,895,875

As provided in the PIPE Warrants agreement, the exercise price of the PIPE Warrants was adjusted downward from $1.19 per share as of September 30, 2024 ultimately to $0.465 per share for most of the PIPE Warrants in April 2025 attributed to the April 2025 Financing. The exercise price of the PIPE Warrants issued to a director of the Company’s Board of Directors; however, was reset to $0.876 per given a higher floor price provision for that individual.