Annual report [Section 13 and 15(d), not S-K Item 405]

Consolidated Statements of Cash Flows

v3.26.1
Consolidated Statements of Cash Flows - USD ($)
 12 Months Ended
Dec. 31, 2025
Dec. 31, 2024
Dec. 31, 2023
CASH FLOWS FROM OPERATING ACTIVITIES:      
Net loss $ (10,892,833) $ (15,849,805) $ (8,132,167)
Adjustments to reconcile net loss to net cash provided by (used in) operating activities:      
Depreciation and amortization 2,503,115 3,153,832  
Share based compensation 85,226 29,002  
Deferred taxes   (41,579)  
Goodwill impairment loss   3,101,981  
Intangible asset impairment loss 0 750,000  
Credit loss provision 67,812 146,732  
Provision to write down inventories to net realizable value 135,838 99,449  
Amortization of right of use asset 333,792 413,681  
Fair value remeasurement of earnout consideration   (1,000,000)  
Fair value remeasurement of warrant liability 7,531,044 974,823  
Fair value remeasurement of embedded derivative liability   65,617  
Fair value remeasurement of contingent forward contract (899,080)    
Fair value remeasurement of contingent value rights (36,079) (522,257)  
Loss on extinguishment of debt 343,471 35,657  
Gain on sale of assets   822  
Loss on lease termination 11,313 215,415  
Interest and accretion expense 242,432 3,087,449  
Changes in assets and liabilities:      
Trade and related party accounts receivables 575,858 5,969  
Inventories, net 36,821 754,069  
Prepaid income taxes (14,407) (302)  
Other assets (146,115) (635,892)  
Accounts payable 499,079 355,508  
Accrued compensation and benefits 1,720,872 (563,333)  
Customer deposits (796,889) (242,190)  
Other accrued liabilities 289,264 1,016,428  
Accrued interest (635,556) (1,653,762)  
Net cash provided by (used in) operating activities 954,978 (6,302,686)  
CASH FLOWS FROM INVESTING ACTIVITIES:      
Capital expenditures (48,594) (32,785)  
Proceeds from the sale of fixed assets   6,118  
Net cash used in investing activities (48,594) (26,667)  
CASH FLOWS FROM FINANCING ACTIVITIES:      
Proceeds from loans payable 64,744 1,604,000  
Payments against loans payable (8,704,184) (1,595,364)  
Payments against related party loans payable (1,377,280)    
Payments related to debt issuance costs (38,613) (24,150)  
Payments related to equity issuance costs (2,128,038) (501,414)  
Proceeds from the issuance of common stock and pre-funded warrants under registered direct offering 9,690,790 1,000,000  
Proceeds from the issuance of common stock on the exercise of pre-funded warrants 11,078    
Proceeds from the issuance of Series A and Series B warrants 10,298,134    
Proceeds from the issuance of common stock under at-the-market offering 351,372 2,457,352  
Proceeds from the issuance of Series B preferred stock   15  
Payments for the termination of Series A warrants (267,391)    
Payments for contingent value rights distributions (276,000) (856,736)  
Proceeds from issuance of common stock, net of shares withheld   9,775  
Cash in lieu payment on fractional shares under reverse stock split   (3,022)  
Payment of contingent consideration related to acquisition (2,500,000)    
Purchase of common stock   (6,098)  
Net cash provided by financing activities 5,124,612 2,084,358  
NET INCREASE (DECREASE) IN CASH, CASH EQUIVALENTS AND RESTRICTED CASH 6,030,996 (4,244,995)  
CASH, CASH EQUIVALENTS AND RESTRICTED CASH AT BEGINNING OF YEAR 1,151,348 5,396,343  
CASH, CASH EQUIVALENTS AND RESTRICTED CASH AT END OF YEAR 7,182,344 1,151,348 $ 5,396,343
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION:      
Income taxes paid 65,547 76,700  
Interest paid 1,391,453 1,604,100  
SUPPLEMENTAL DISCLOSURES OF NON-CASH ACTIVITIES:      
Loss on extinguishment of debt   35,657  
Issuance of common stock for the settlement of loss contingencies $ 880,756    
Deemed dividend on Convertible Preferred Stock and PIPE Warrants   11,587,121  
Conversion of redeemable convertible preferred stock to common stock   $ 15,277,055