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Note 9 - Convertible Notes
 3 Months Ended
Mar. 31, 2026
Notes to Financial Statements  
Debt Disclosure [Text Block]

NOTE 9. CONVERTIBLE NOTES

 

In March 2024, the Company issued $525 thousand aggregate principal amount of unsecured convertible notes (the “Unsecured Convertible Notes”) in connection with the closing of the DERMAdoctor divestiture in March 2024. The Unsecured Convertible Notes were due March 25, 2026, bore no stated interest, and were convertible at a conversion price of $24.50 per share, subject to certain limitations including beneficial ownership limitations.

 

In December 2025, holders converted $350 thousand aggregate principal amount of Unsecured Convertible Notes into 14,286 shares of common stock. In January 2026, the remaining $175 thousand aggregate principal amount of Unsecured Convertible Notes was converted into 7,144 shares of common stock. The conversions were accounted for as partial extinguishments of debt at carrying value in accordance with ASC 470. As of March 31, 2026, no Unsecured Convertible Notes remained outstanding.

 

Interest expense recognized in connection with the Unsecured Convertible Notes, including amortization of issuance costs and debt discount, was $3 thousand and $39 thousand for the three months ended March 31, 2026 and 2025, respectively, and was included in other expense, net in the Unaudited Condensed Consolidated Statements of Operations.