UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 8-K CURRENT REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 Date of Report (Date of earliest event reported): January 20, 2026 INTERPACE BIOSCIENCES, INC. (Exact name of Registrant as specified in its charter) (State or other jurisdiction of incorporation) (Commission File Number) Delaware 000-24249 22-2919486 (IRS Employer Identification No.) Waterview Plaza, Suite 310, 2001 Route 46 Parsippany, NJ 07 ...

Preliminary 2025 thyroid testing revenue grew 21% over prior year Initial 2026 guidance of 16% growth in thyroid testing revenue All preferred stock converted to common stock Debt-free balance sheet and positive Net Income and EBITDA operations Company to seek uplisting on the Nasdaq Stock Market PARSIPPANY, NJ, Jan. 20, 2026 (GLOBE NEWSWIRE) -- Interpace Biosciences, Inc. (OTCID: IDXG) (“Interpace” or the “Company”) today announced preliminary and unaudited 2025 revenue from continuing operations (i.e., t ...

Core Viewpoint - Interpace Biosciences has successfully repaid its outstanding term loan facility with BroadOak Capital Partners ahead of schedule, enhancing its financial position and operational flexibility for future growth [1][2][3]. Financial Performance - The early repayment of the loan eliminates related interest expenses, which is expected to provide increased operational flexibility for the company [2]. - The repayment is described as a significant milestone, reflecting the company's robust financial performance and disciplined capital management [3]. Strategic Partnerships - BroadOak Capital Partners has been a valuable partner in supporting Interpace's strategic turnaround and transition to profitability [3]. Business Focus - With the debt retired, the company aims to focus its resources on driving commercial growth, particularly in delivering record testing volumes and revenue for its thyroid tests [3]. Company Overview - Interpace Biosciences is positioned as an emerging leader in personalized medicine, offering specialized services from early diagnosis to targeted therapeutic applications [4]. - The company provides clinically useful molecular diagnostic tests and bioinformatics services for cancer risk evaluation, leveraging advanced technology for improved patient management [5].

Core Insights - Interpace Biosciences has fully repaid its outstanding term loan facility with BroadOak Capital Partners ahead of the maturity date, enhancing its financial position and operational flexibility [1][2][3] Financial Performance - The early repayment of the loan eliminates related interest expenses, which is expected to support future growth [2] - The Chief Financial Officer highlighted that this repayment is a significant milestone, reflecting the company's robust financial performance and disciplined capital management [3] Strategic Positioning - With the debt retired, the company aims to strengthen its balance sheet and focus on driving commercial growth, particularly in its thyroid testing services [3] - Interpace has been experiencing record testing volumes and revenue for its thyroid tests, indicating a positive trend in its operational performance [3] Company Overview - Interpace Biosciences is positioned as an emerging leader in personalized medicine, offering specialized services from early diagnosis to targeted therapeutic applications [4] - The company provides clinically useful molecular diagnostic tests through Interpace Diagnostics, leveraging advanced technology for cancer risk evaluation [5]

Financial Performance - Q3 2025 net revenue was $8.8 million, a decrease of 29% from $12.3 million in Q3 2024, but an increase of 22% from $7.3 million on a pro forma basis[5] - Income from continuing operations for Q3 2025 was $1.0 million, compared to $1.8 million in Q3 2024 and a loss of $0.7 million on a pro forma basis[11] - Adjusted EBITDA for Q3 2025 was $1.3 million, down from $2.5 million in the prior year quarter and $0.1 million on a pro forma basis[11] - Cash collections for Q3 2025 totaled $10.0 million, compared to $11.2 million in the prior year quarter[11] - The gross profit percentage for Q3 2025 was 62%, compared to 64% in the prior year quarter and 57% on a pro forma basis[5] - The company reported a total stockholders' deficit of $298,000 as of September 30, 2025, improved from a deficit of $2.2 million at the end of 2024[15] Revenue and Growth - Q3 2025 thyroid test volume increased by 12% year-over-year, reaching record levels, contributing to thyroid revenue of $8.8 million, up 22% year-over-year[4] - The company anticipates continued growth in revenue, profitability, and cash flow as a thyroid-only clinical diagnostics business[2] Operational Efficiency and Strategy - The company is focused on enhancing operational efficiency through AI and automation as part of its digital strategy[2] - The company continues to develop its unique combination testing platform, including ThyGeNEXT® and ThyraMIR®v2, to support informed patient management decisions[2] Previous Year Comparisons - Net revenue for the three months ended September 30, 2024, was $12,295 million, with a gross profit of $7,902 million[19] - Operating income for the same period was $2,301 million, while net income was $1,676 million[19] - Basic income per share from continuing operations was $0.40, compared to $0.55 in the previous year[19] - Adjusted EBITDA for the three months ended September 30, 2025, was $1,263 million, reflecting a decrease from $2,472 million in the previous year[21] - Total operating expenses for the three months ended September 30, 2024, were $5,601 million, with sales and marketing expenses at $2,864 million[19] - The company reported a loss from discontinued operations of $82 million for the three months ended September 30, 2024[19] - The weighted average number of diluted shares outstanding was 4,423 million[19] - The company incurred interest expenses of $141 million related to note payable for the three months ended September 30, 2024[19] - Research and development expenses were $199 million for the three months ended September 30, 2024[19] Non-GAAP Measures - The company provided non-GAAP financial measures to evaluate ongoing business performance, including Adjusted EBITDA[22]

Revenue Performance - Net revenue for the three months ended September 30, 2025 decreased by $3.5 million, or 29%, to $8.8 million compared to $12.3 million for the same period in 2024, primarily due to the loss of reimbursement for the PancraGEN test[109] - Net revenue for the nine months ended September 30, 2025 decreased by $5.0 million, or 15%, to $29.5 million compared to $34.5 million for the same period in 2024[120] Cost and Profitability - Cost of revenue for the three months ended September 30, 2025 was $3.3 million, with an increase to 38% of revenue compared to approximately 36% in the prior year period[110] - Gross profit for the three months ended September 30, 2025 was approximately $5.4 million, down from $7.9 million in the same period in 2024[111] - Gross profit for the nine months ended September 30, 2025 was approximately $18.1 million, with a gross profit percentage of 61%, down from $22.0 million and 64% in 2024[122] - Operating income from continuing operations for the three months ended September 30, 2025 was $1.1 million, a decrease from $2.3 million in the same period in 2024, primarily due to reduced revenue[115] - Operating income from continuing operations was $2.5 million for the nine months ended September 30, 2025, a decrease from $6.0 million in the same period of 2024[126] - Total operating expenses for the nine months ended September 30, 2025 were $15.6 million, representing 52.8% of revenue, compared to $16.0 million or 46.3% of revenue in 2024[126] Expenses - Sales and marketing expense for the three months ended September 30, 2025 was approximately $2.1 million, down from $2.9 million in the same period in 2024, reflecting a reduction in salesforce size[112] - General and administrative expense for the three months ended September 30, 2025 was approximately $2.1 million, compared to $2.5 million in the same period in 2024, primarily due to decreased professional services costs[114] - The company incurred restructuring and related costs of approximately $0.5 million in the second quarter of 2025 and approximately $0.7 million for the nine months ended September 30, 2025 due to the loss of PancraGEN[100] - The Company incurred approximately $0.7 million in severance and related costs due to the restructuring plan[145] Strategic Decisions - The company announced that it would stop offering the PancraGEN test and would not accept specimens for testing after February 7, 2025, following the non-coverage decision by CMS[99] - The Company announced the establishment of non-coverage for the PancraGEN test, leading to its discontinuation and a restructuring plan to reduce operating costs[145] - The Company is exploring various strategic alternatives for additional liquidity, including equity and debt financings, following the delisting from Nasdaq in February 2021[142] Cash Flow and Liquidity - Cash and cash equivalents as of September 30, 2025 were $1.4 million, with total current assets of $9.1 million and current liabilities of $5.9 million[137] - Net cash provided by operating activities for the nine months ended September 30, 2025 was $3.7 million, compared to $3.5 million in 2024[138] - Cash used in financing activities for the nine months ended September 30, 2025 was $3.4 million, down from $4.1 million in 2024, primarily for Term Loan payments[140] - The Term Loan balance outstanding at September 30, 2025 was $1.0 million, with a reduced interest rate of 8% effective November 1, 2023[136] - Current cash and cash equivalents, along with forecasted cash receipts, are expected to be sufficient to meet cash requirements for the next twelve months[146] Operational Challenges - The Company experienced a loss from discontinued operations of approximately $0.3 million for both the nine months ended September 30, 2025 and 2024[129] - Inflation and supply chain disruptions may impact operations in the near term, although no significant impact was noted on results of operations for the periods presented[147] Accounting Policies - There have been no material changes to critical accounting policies, which include revenue recognition, leases, income taxes, and stock-based compensation expense[148]

Core Insights - Interpace Biosciences reported third quarter 2025 net revenue of $8.8 million, a decrease of 29% from $12.3 million in the same quarter of 2024, but an increase of 22% from $7.3 million on a pro forma basis [5][12] - The company achieved income from continuing operations of $1.0 million, down from $1.8 million in the prior year quarter [3][5] - The third quarter marked the first full quarter as a thyroid-only diagnostics testing company, with record thyroid test volumes and revenue [2][4] Financial Performance - Q3 2025 cash collections totaled $10.0 million, compared to $11.2 million in the prior year quarter [5] - Gross profit percentage was 62%, compared to 64% in the prior year quarter [5] - Adjusted EBITDA for Q3 2025 was $1.3 million, down from $2.5 million in the prior year quarter [5][21] Operational Highlights - Thyroid test volume increased by 12% year-over-year, reaching record levels [4] - The average revenue per test increased by 5% due to reimbursement improvements [2] - The company focused on enhancing operational efficiency through AI and automation [2] Strategic Positioning - Interpace's unique combination testing platform, including ThyGeNEXT and ThyraMIRv2, supports physicians in making informed patient-management decisions [2][7] - The company is positioned as an emerging leader in personalized medicine, offering specialized services along the therapeutic value chain [6]

Core Insights - Interpace Biosciences presented two scientific posters at the 2025 American Thyroid Association Annual Meeting, showcasing advancements in thyroid nodule testing and risk stratification [2][3][7] Group 1: Scientific Findings - The first poster demonstrated that 86% of previously insufficient thyroid FNA cases yielded successful molecular results using Interpace's ThyGeNEXT + ThyraMIRv2 testing from archival cytology slides, reducing the need for repeat FNAs [3][7] - The second poster reported on 28,144 indeterminate (Bethesda III/IV) nodules tested, revealing that ThyGeNEXT identified BRAF V600E-like alterations in approximately 4%-6% and RAS-like alterations in about 19%, with 76%-77% being mutation-negative [3][7] - ThyraMIRv2 microRNA profiling further refined malignancy risk, classifying over 90% of mutation-negative nodules as low risk, thus aiding clinical decision-making [3][4] Group 2: Clinical Implications - The integration of archival cytology slides in testing has shown practical advantages, enabling actionable molecular results and clearer patient care guidance [3][7] - The combination platform of ThyGeNEXT and ThyraMIRv2 supports more informed clinical decisions, particularly in managing RAS-like and mutation-negative indeterminate nodules [4][6] Group 3: Company Overview - Interpace Biosciences is positioned as an emerging leader in personalized medicine, offering specialized services from early diagnosis to targeted therapeutic applications [5][6] - The company provides clinically useful molecular diagnostic tests and bioinformatics services to evaluate cancer risk, leveraging advanced technology for improved patient management [6][8]

Interpace Biosciences Q2 2025 Financial and Business Results [Business & Financial Highlights](index=1&type=section&id=Business%20%26%20Financial%20Highlights) The company is transitioning to a thyroid testing focus, with Q2 2025 revenue impacted by PancraGEN wind-down, but showing strong July 2025 growth - The company is transitioning to a business focused solely on **Thyroid testing** following the loss of reimbursement for its PancraGEN test[2](index=2&type=chunk)[3](index=3&type=chunk) - The reported loss includes **$1.2 million** in one-time charges associated with the wind-down of the PancraGEN business[2](index=2&type=chunk)[5](index=5&type=chunk) - The core Thyroid testing business demonstrated significant year-over-year growth in Q2, with **double-digit increases** in both volume and revenue[3](index=3&type=chunk)[4](index=4&type=chunk) - Positive momentum continued into Q3, with preliminary revenue for July 2025 reaching **$3.3 million**, a **54% increase** compared to July 2024[2](index=2&type=chunk) [Second Quarter 2025 Financial Performance](index=1&type=section&id=Second%20Quarter%202025%20Financial%20Performance) Q2 2025 net revenue decreased to $9.2 million, resulting in an operating loss, primarily due to PancraGEN reimbursement loss, despite strong Thyroid segment growth Q2 2025 vs. Q2 2024 Financial Comparison | Metric | Q2 2025 | Q2 2024 | Change | | :--- | :--- | :--- | :--- | | Net Revenue | $9.2 million | $12.0 million | -23% | | Thyroid Revenue | $8.7 million | Not specified | +25% | | Thyroid Test Volume | Record levels | Not specified | +16% | | Gross Profit % | 57% | 65% | -8 p.p. | | Operating (Loss) Income | ($0.5 million) | $2.6 million | - | | Loss from Continuing Ops | ($0.5 million) | $2.5 million (Income) | - | | Adjusted EBITDA | $0.4 million | $2.8 million | -85.7% | | Cash Collections | $10.8 million | $11.0 million | -1.8% | - Excluding the one-time impact from the PancraGEN reimbursement loss, the Gross Profit percentage would have been **65%**, consistent with the prior year quarter[5](index=5&type=chunk) [Financial Statements](index=3&type=section&id=Financial%20Statements) The consolidated financial statements show a Q2 2025 net loss, reduced assets and liabilities, and positive operating cash flow offset by financing activities [Condensed Consolidated Statements of Operations](index=3&type=section&id=CONDENSED%20CONSOLIDATED%20STATEMENTS%20OF%20OPERATIONS) Interpace reported a Q2 2025 net loss of $640,000, a reversal from prior year income, driven by revenue decline and increased operating expenses Statement of Operations Highlights (in thousands) | Metric | Q2 2025 | Q2 2024 | Six Months 2025 | Six Months 2024 | | :--- | :--- | :--- | :--- | :--- | | Revenue, net | $9,232 | $12,042 | $20,747 | $22,219 | | Gross Profit | $5,276 | $7,806 | $12,646 | $14,117 | | Operating (loss) income | $(468) | $2,632 | $1,362 | $3,746 | | (Loss) income from continuing operations | $(533) | $2,511 | $1,221 | $3,323 | | Net (loss) income | $(640) | $2,437 | $1,007 | $3,145 | [Selected Balance Sheet Data](index=4&type=section&id=Selected%20Balance%20Sheet%20Data) As of June 30, 2025, cash and cash equivalents decreased to $502 thousand, with total assets and liabilities also reduced, while the stockholders' deficit improved Balance Sheet Highlights (in thousands) | Metric | June 30, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Cash and cash equivalents | $502 | $1,461 | | Total current assets | $9,504 | $11,773 | | Total assets | $12,335 | $14,792 | | Total current liabilities | $7,149 | $10,615 | | Total liabilities | $13,548 | $17,009 | | Total stockholders' deficit | $(1,213) | $(2,217) | [Selected Cash Flow Data](index=4&type=section&id=Selected%20Cash%20Flow%20Data) For the six months ended June 30, 2025, net cash provided by operating activities was $1,755 thousand, offset by financing activities, resulting in a net decrease in cash Cash Flow Highlights for Six Months Ended June 30 (in thousands) | Metric | 2025 | 2024 | | :--- | :--- | :--- | | Net cash provided by operating activities | $1,755 | $1,346 | | Net cash used in investing activities | $(201) | $(225) | | Net cash used in financing activities | $(2,513) | $(2,600) | | Change in cash and cash equivalents | $(959) | $(1,479) | [Non-GAAP Financial Measures](index=5&type=section&id=Non-GAAP%20Financial%20Measures) Adjusted EBITDA, a non-GAAP measure, significantly decreased to $365 thousand in Q2 2025, reflecting adjustments for severance and asset impairment related to the PancraGEN wind-down - Adjusted EBITDA is used by management to measure the cash flow of the ongoing business, defined as income/loss from continuing operations adjusted for specific non-cash and non-recurring items[21](index=21&type=chunk) Reconciliation of Adjusted EBITDA (in thousands) | Metric | Q2 2025 | Q2 2024 | Six Months 2025 | Six Months 2024 | | :--- | :--- | :--- | :--- | :--- | | (Loss) income from continuing operations (GAAP) | $(533) | $2,511 | $1,221 | $3,323 | | Severance & related expense | $524 | $ - | $692 | $ - | | Asset impairment - lab supplies | $198 | $ - | $198 | $ - | | Adjusted EBITDA (Non-GAAP) | $365 | $2,752 | $2,472 | $3,997 | [Company Overview](index=2&type=section&id=About%20Interpace%20Biosciences) Interpace Biosciences specializes in personalized medicine, offering molecular diagnostic tests and pathology services for cancer risk assessment, including commercialized tests for thyroid and lung cancer - Interpace offers specialized services in **personalized medicine**, focusing on diagnosis and prognostic planning for cancer[6](index=6&type=chunk) - The company has three commercialized molecular tests: **ThyGeNEXT**, **ThyraMIRv2** (for thyroid cancer), and **RespriDX** (for lung cancer)[7](index=7&type=chunk) [Forward-Looking Statements](index=2&type=section&id=Forward-looking%20Statements) This section contains forward-looking statements subject to risks and uncertainties, including the company's history of losses, financing needs, and dependence on clinical service reimbursements - The press release contains forward-looking statements regarding future financial and operating performance, which are subject to significant risks and uncertainties[9](index=9&type=chunk) - Key risks include the company's history of operating losses, ability to finance its business, dependence on clinical service reimbursements, and the impact of the PancraGEN product reimbursement loss[9](index=9&type=chunk)

PART I - FINANCIAL INFORMATION [Item 1. Unaudited Interim Condensed Consolidated Financial Statements](index=4&type=section&id=Item%201.%20Unaudited%20Interim%20Condensed%20Consolidated%20Financial%20Statements) Interim financials for June 30, 2025, reflect decreased assets, a Q2 net loss due to lost Medicare coverage, and reduced cash despite positive operating cash flow [Condensed Consolidated Balance Sheets](index=4&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) As of June 30, 2025, total assets and liabilities decreased, while the total stockholders' deficit slightly improved Condensed Consolidated Balance Sheet Highlights (in thousands) | Metric | June 30, 2025 (unaudited) | December 31, 2024 | | :--- | :--- | :--- | | Cash and cash equivalents | $502 | $1,461 | | Total current assets | $9,504 | $11,773 | | Total assets | $12,335 | $14,792 | | Total current liabilities | $7,149 | $10,615 | | Total liabilities | $13,548 | $17,009 | | Total stockholders' deficit | $(1,213) | $(2,217) | [Condensed Consolidated Statements of Operations](index=5&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) Q2 2025 revenue decreased 23% year-over-year, resulting in a net loss, with six-month revenue also declining Statement of Operations Summary (in thousands, except per share data) | Metric | Q2 2025 | Q2 2024 | Six Months 2025 | Six Months 2024 | | :--- | :--- | :--- | :--- | :--- | | Revenue, net | $9,232 | $12,042 | $20,747 | $22,219 | | Gross profit | $5,276 | $7,806 | $12,646 | $14,117 | | Operating (loss) income | $(468) | $2,632 | $1,362 | $3,746 | | Net (loss) income | $(640) | $2,437 | $1,007 | $3,145 | | Net (loss) income per basic share | $(0.14) | $0.56 | $0.23 | $0.72 | [Condensed Consolidated Statements of Cash Flows](index=7&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) For the six months ended June 30, 2025, operating cash flow increased, but financing outflows led to a net cash decrease Cash Flow Summary for the Six Months Ended June 30 (in thousands) | Cash Flow Activity | 2025 | 2024 | | :--- | :--- | :--- | | Net cash provided by operating activities | $1,755 | $1,346 | | Net cash used in investing activities | $(201) | $(225) | | Net cash used in financing activities | $(2,513) | $(2,600) | | **Net decrease in cash and cash equivalents** | **$(959)** | **$(1,479)** | | Cash and cash equivalents – ending | $502 | $2,019 | [Notes to Unaudited Condensed Consolidated Financial Statements](index=8&type=section&id=Notes%20to%20Unaudited%20Condensed%20Consolidated%20Financial%20Statements) The notes detail liquidity challenges from lost Medicare coverage for PancraGEN, a restructuring plan, and the BroadOak term loan status - The company was negatively impacted by Local Coverage Determination (LCD) L39365, which resulted in the loss of Medicare coverage for its **PancraGEN molecular test** as of April 24, 2025[22](index=22&type=chunk) - A restructuring and cost-savings plan was implemented, resulting in workforce reductions and severance costs of **$0.7 million** for the six months ended June 30, 2025[23](index=23&type=chunk)[25](index=25&type=chunk)[87](index=87&type=chunk) - Despite the loss of PancraGEN revenue, management anticipates that current cash and forecasted receipts will be **sufficient to meet cash requirements for the next twelve months**[29](index=29&type=chunk) - The outstanding balance of the Term Loan with BroadOak was **$1.9 million** as of June 30, 2025, with the maturity date extended to **December 31, 2025**[73](index=73&type=chunk)[72](index=72&type=chunk) [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=22&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses the impact of lost Medicare coverage for PancraGEN, leading to revenue decline and operating loss, and liquidity strategies - The primary challenge discussed is the reliance on Medicare reimbursement and the negative impact from the Center for Medicare and Medicaid Services' decision to cease coverage for the **PancraGEN test**, effective April 24, 2025[94](index=94&type=chunk)[97](index=97&type=chunk) - As a result of the PancraGEN non-coverage, the company implemented a restructuring plan, incurring approximately **$0.7 million** in related costs for the first six months of 2025[100](index=100&type=chunk) - The company's **liquidity strategy** involves using available cash, improving margins, collecting receivables, containing costs, and exploring other financing or strategic alternatives[139](index=139&type=chunk)[140](index=140&type=chunk) Reconciliation of Adjusted EBITDA (in thousands) | Metric | Q2 2025 | Q2 2024 | Six Months 2025 | Six Months 2024 | | :--- | :--- | :--- | :--- | :--- | | (Loss) income from continuing operations (GAAP) | $(533) | $2,511 | $1,221 | $3,323 | | **Adjusted EBITDA (Non-GAAP)** | **$365** | **$2,752** | **$2,472** | **$3,997** | [Results of Operations](index=25&type=section&id=Results%20of%20Operations) Q2 2025 net revenue decreased 23% due to lost PancraGEN reimbursement, leading to an operating loss, with six-month revenue also down - Q2 2025 net revenue decreased by **$2.8 million (23%)** year-over-year, primarily driven by the loss of reimbursement for **PancraGEN**[108](index=108&type=chunk) - Q2 2025 operating expenses included **$0.5 million** in severance and related costs and a **$0.2 million** asset impairment charge for lab supplies associated with PancraGEN[111](index=111&type=chunk)[113](index=113&type=chunk) - For the six months ended June 30, 2025, net revenue decreased by **$1.5 million (7%)** year-over-year, also due to the loss of PancraGEN revenue[119](index=119&type=chunk) [Liquidity and Capital Resources](index=29&type=section&id=Liquidity%20and%20Capital%20Resources) The company ended with **$0.5 million** cash, with operating cash flow of **$1.8 million**, anticipating sufficient liquidity for the next twelve months - As of June 30, 2025, the company had **$0.5 million** in cash and cash equivalents, down from **$1.5 million** at year-end 2024[136](index=136&type=chunk) - The Term Loan with BroadOak has been amended multiple times, extending the maturity date to **December 31, 2025**. The outstanding balance was **$1.9 million** at June 30, 2025[135](index=135&type=chunk) - Management believes that even with the loss of PancraGEN reimbursement, current cash and forecasted receipts are **sufficient for the next twelve months**[144](index=144&type=chunk) [Item 3. Quantitative and Qualitative Disclosures About Market Risk](index=31&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) As a smaller reporting company, the company is not required to provide quantitative and qualitative disclosures about market risk - The company is not required to provide information for this item as it qualifies as a **smaller reporting company**[148](index=148&type=chunk) [Item 4. Controls and Procedures](index=32&type=section&id=Item%204.%20Controls%20and%20Procedures) A material weakness in internal control over financial reporting was identified, rendering disclosure controls ineffective, with a remediation plan adopted - A **material weakness** was identified in internal control over financial reporting related to accruing royalty expense and understanding complex royalty agreements[150](index=150&type=chunk) - Due to the material weakness, the company's disclosure controls and procedures were concluded to be **not effective** as of June 30, 2025[150](index=150&type=chunk) - A **remediation plan** has been adopted, involving quarterly meetings between the accounting department and lab management to mitigate the weakness[151](index=151&type=chunk) PART II - OTHER INFORMATION [Item 1. Legal Proceedings](index=32&type=section&id=Item%201.%20Legal%20Proceedings) The company reported no pending legal proceedings at this time - There are **no pending legal proceedings** involving the Company at this time[153](index=153&type=chunk)[48](index=48&type=chunk) [Item 1A. Risk Factors](index=32&type=section&id=Item%201A.%20Risk%20Factors) The report refers to previously disclosed risk factors in the Annual Report on Form 10-K, with no material changes noted - The company directs investors to the risk factors disclosed in its **Annual Report on Form 10-K** filed on March 31, 2025, as amended[154](index=154&type=chunk) [Other Items (2, 3, 4, 5)](index=32&type=section&id=Other%20Items%20%282%2C%203%2C%204%2C%205%29) The company reported no information for Items 2, 3, 4, or 5, including no unregistered equity sales or defaults - **No information was reported** for Item 2 (Unregistered Sales of Equity Securities), Item 3 (Defaults Upon Senior Securities), Item 4 (Mine Safety Disclosures), or Item 5 (Other Information)[155](index=155&type=chunk)[156](index=156&type=chunk)[157](index=157&type=chunk)[158](index=158&type=chunk) [Item 6. Exhibits](index=34&type=section&id=Item%206.%20Exhibits) This section lists exhibits filed with the Form 10-Q, including corporate governance documents and officer certifications - The exhibits include certifications from the Principal Executive Officer and Principal Financial Officer as required by the **Sarbanes-Oxley Act of 2002**[160](index=160&type=chunk)