XML 24 R12.htm IDEA: XBRL DOCUMENT

Leases

3 Months Ended

Mar. 31, 2026

5. Leases

On November 21, 2025, the Company assumed, as part of the Liora acquisition, a two-year lease agreement with United Kingdom Research and Innovation for the rental of the premises at UKRI Daresbury that houses the acquired LiGHT system equipment. The lease was classified as an operating lease and has a quarterly base rent of GBP 147,596 or approximately $198,500. The lease commencement date was November 17, 2025 and has no renewal option. The Company recognized a right-of-use asset and corresponding lease liability of $1,043,437 for the UKRI Daresbury Lease.

Supplemental cash flow information related to operating leases is as follows:

	Three months ended March 31, 2026
Cash payments for operating leases		-
Weighted-average remaining lease term (in years)		1.63
Weighted-average discount rate		9.0	%

The Company’s operating lease right of use asset was $972,682 as of December 31, 2025. During the three months ended March 31, 2026, the Company recorded noncash operating lease expense of $122,553, resulting in an operating lease right of use asset of $850,129 as of March 31, 2026.

The Company’s operating lease liability balance was $1,034,377 as of December 31, 2025. During the three months ended March 31, 2026, the Company was not required to make any lease payments against its operating lease obligations. During the three months ended March 31, 2026, the accretion of the lease liability was $22,813, resulting in a lease liability of $1,057,190 as of March 31, 2026. The current portion of operating lease obligation was $595,418, and a long-term portion of the operating lease obligation was $461,772.

During the three months ended March 31, 2026 and 2025, lease costs totaled approximately $83,860 and $77,061, respectively.

As of March 31, 2026, the weighted average remaining lease terms for operating lease is 1.63 years, and the weighted average discount rate for operating lease is 9.00%.

Maturities of the Company’s operating lease liabilities are as follows as of March 31, 2026:

	As of March 31, 2026

2026 (remaining)	$	595,418
2027		564,884
Thereafter		-
Total		1,160,302
Less: Imputed interest		(103,112	)
Total operating lease liability	$	1,057,190