Customer Rewards and Financial Products - Fold's total customer rewards liability was $6.9 million as of December 31, 2025, with an equal amount held in the Rewards Treasury[39]. - The Fold Bitcoin Credit Card offers cardholders automatic base rewards of 1.5% back in bitcoin, with potential rewards of up to 4.0% based on qualifying transactions[33]. - Customers can earn up to 15% or more in bitcoin rewards through card-linked merchant offers and up to 20% back through the catalog of merchant offers[34]. - Fold's banking platform includes an FDIC-insured checking account and a Visa prepaid debit card, allowing users to receive paychecks up to three days early[31]. - The Fold Bitcoin Gift Card is available in both physical and digital formats, redeemable for bitcoin, and serves as a customer acquisition channel[44][46]. - The company integrates traditional banking services with bitcoin-based rewards, aiming to help customers improve their financial outcomes over time[24]. - Fold's treasury strategy includes holding bitcoin as part of its corporate treasury to align with customer interests and support long-term operations[28]. - The Fold App allows users to buy, sell, and store bitcoin, with transactions processed through BitGo, a federally chartered national trust bank[40]. - Fold's rewards are calculated based on the USD value at the time of the transaction, with 100,000,000 satoshis in 1 bitcoin[35]. - The company launched the Fold Credit Card in March 2026, allowing eligible cardholders to earn bitcoin rewards on qualifying purchases[58]. - The Fold Bitcoin Gift Card was publicly announced in May 2025, allowing customers to purchase USD-denominated gift cards redeemable for bitcoin[63]. - The company released the updated Fold App, "Fold 2.0," on February 4, 2026, enhancing the user experience in preparation for the credit card launch[59]. Customer Demographics and Engagement - A January 2025 survey indicated that 83% of Fold's core customer demographic is between 25-54 years old, with 81% having credit scores of 700+ and 71% earning over $100K annually[71]. - 81% of Fold's customers have credit scores of 700 or higher, with 40% having scores of 800 or above[73]. - 71% of users have household incomes of $100,000 or more, with 26% earning between $150,000 and $249,000, and 21% earning $250,000 or more[79]. - Fold's "Auto stack" feature allows users to purchase bitcoin at specified intervals, with a minimum requirement of $10 for recurring purchases[53]. - The "Round-Ups" feature enables users to convert spare change from transactions into bitcoin, with a minimum purchase amount of $10[53]. Financial Performance and Challenges - The company incurred an operating loss of $27.7 million for 2025, compared to a loss of $5.8 million for 2024, highlighting ongoing financial challenges[197]. - The company's net cash used in operating activities was a loss of $16.1 million for 2025, compared to a loss of $3.3 million for 2024, indicating worsening cash flow issues[197]. - The company has a history of negative cash flows, with an accumulated deficit of $170.9 million as of December 31, 2025[197]. - The company held approximately $140.5 million in bitcoin in its treasury accounts, reflecting significant exposure to bitcoin price volatility[195]. - The price of bitcoin experienced significant volatility, with values ranging from approximately $42,623.54 on December 18, 2023, to $100,041.54 on December 18, 2024[193]. - Future operating expenses may increase due to talent acquisition, marketing efforts, and regulatory compliance, potentially impacting profitability and cash flow[203]. - The company has experienced challenges in customer retention, growth, and engagement, which could adversely affect revenue and financial results[201]. Regulatory Compliance and Risks - Fold's partnership with Sutton Bank and BitGo requires compliance with AML regulations due to their status as financial institutions[104]. - Fold has implemented a risk-based AML program to enhance customer identification practices and monitor transactions in real-time[105]. - Continuous OFAC and sanctions screenings are performed daily on all users to ensure compliance with international regulations[108]. - The company operates in a highly evolving regulatory landscape, with potential adverse effects on brand, reputation, and financial condition due to non-compliance with laws and regulations[137]. - The company is subject to increased regulatory scrutiny and compliance costs due to recent events in the crypto industry, including the bankruptcy of Synapse Financial Technologies, Inc.[153][154]. - The company may be subject to significant fines and penalties if found non-compliant with regulatory requirements, impacting its financial condition[142][143]. - The evolving nature of the bitcoin economy and regulatory frameworks may require the company to adapt its business operations and compliance measures[141]. - The company faces constraints from regulatory authorities and banking partners, limiting its ability to offer non-bitcoin digital assets or services requiring specialized regulatory permissions[161]. - The complexity of regulatory environments could lead to overlapping investigations and legal proceedings, adversely affecting the company's operating results and financial condition[166]. - The company is classified as an "emerging growth company," allowing it to take advantage of certain reporting exemptions until specific revenue thresholds are met[126]. - Fold is also a "smaller reporting company," which permits reduced disclosure obligations until market value or revenue thresholds are reached[129]. Technology and Innovation - The company must innovate and develop new products to keep pace with rapidly evolving market demands, as failure to do so could adversely affect financial performance[159][160]. - Significant technological changes, including omnichannel commerce and AI, pose challenges to the company's current offerings[219]. - The ability to adapt to new technologies and industry standards is crucial for the company's success[220]. - Generative AI adoption is increasing, and the company must enhance its products to remain competitive[220]. - The company depends on third parties for technology development, which can impact its ability to innovate[221]. - Continuous modification of products is necessary to ensure compatibility with various systems and infrastructures[221]. - Failure to keep pace with technological changes could lead to reduced demand and customer dissatisfaction[221]. Partnerships and Strategic Growth - Fold has established partnerships with large online and physical retailers to expand the availability of its bitcoin services[27]. - The company has established partnerships with key service providers, including Marqeta for card issuance and BitGo for bitcoin custody[74][77]. - Fold's growth strategy includes scaling adoption through partnerships with major retailers and financial institutions to enhance legitimacy and reduce friction[89]. - The company focuses on capital-efficient growth, utilizing organic methods and partner-led distribution while also exploring paid marketing opportunities[90]. - The company has established a Master Loan Agreement with Two Prime Lending Limited, providing a revolving credit facility[61]. Operational Risks and Challenges - The company faces risks related to operational scaling, including managing headcount and processes efficiently, which could strain resources and affect service quality[204]. - The company relies on third-party partners for safeguarding customer assets, which poses risks if those partners fail to maintain necessary controls[144][149]. - The company may face material litigation and regulatory investigations, which could harm its financial condition and operating results[167]. - Loss of critical banking relationships could adversely impact the company's operations, although it has not yet experienced significant issues in this area[169]. - Disruptions in the company's products and services or information technology systems could result in loss of customers and adversely impact its brand and financial condition[174]. - The company's bitcoin held in custodial accounts may be at risk in the event of a partner's insolvency, potentially treating customer assets as part of a bankruptcy estate[178]. - Recent insolvencies in the digital asset space could lead to customers perceiving the company's services as riskier, adversely affecting its customer base and financial condition[181].

Customer Rewards and Financial Products - Fold's total customer rewards liability was $6.9 million as of December 31, 2025, with an equal amount held in the Rewards Treasury[39]. - The Fold Bitcoin Credit Card offers cardholders the ability to earn automatic base rewards of 1.5% back in bitcoin, with potential rewards of up to 4.0% based on qualifying transactions[33]. - Customers can earn up to 15% or more in bitcoin rewards through card-linked merchant offers and up to 20% back through an evolving catalog of merchant offers[34]. - The Fold Bitcoin Gift Card is available in both physical and digital formats, redeemable for bitcoin, and serves as a customer acquisition channel for the company's financial services[44][46]. - Fold's banking platform includes an FDIC-insured checking account and a Visa prepaid debit card, allowing customers to receive paychecks up to three days early[31]. - The company integrates traditional banking services with bitcoin-based rewards, aiming to help customers improve their financial outcomes over time[24]. - Fold's rewards are calculated based on the USD value of transactions at the time of earning, with immediate crediting to user accounts[35]. - The company launched the Fold Credit Card in March 2026, allowing eligible cardholders to earn bitcoin rewards on qualifying purchases[58]. - The company introduced the Employee Bitcoin Bonus program in January 2026, allowing employers to offer bitcoin bonuses to employees[60]. Partnerships and Strategic Initiatives - Fold has established partnerships with large online and physical retailers to expand the availability of its bitcoin services, enhancing customer engagement[27]. - Fold's treasury strategy includes holding bitcoin as part of its corporate treasury to align with customer interests and support long-term operations[28]. - Fold entered into a Purchase Agreement with SATS Credit Fund L.P. for a $13.0 million senior unsecured promissory note on February 25, 2026[58]. - Fold entered into an Equity Purchase Facility Agreement with SZOP Opportunities I, LLC, committing to purchase up to $250 million in newly issued shares[62]. - The merger with FTAC Emerald Acquisition Corp. was finalized on February 14, 2025, making Fold Holdings, Inc. the surviving entity[64]. - Fold has established partnerships with key service providers such as Marqeta and BitGo to enhance its product offerings and customer experience[74][77]. Customer Demographics and Engagement - As of December 31, 2025, Fold had nearly 84,000 Verified Accounts on its platform[70]. - The core customer demographic is primarily aged 25-54, with 81% having credit scores of 700+ and 71% earning over $100K annually[71]. - 81% of Fold's customers have credit scores of 700 or higher, with 40% having scores of 800 or above, indicating a strong financial base[73]. - 71% of users have household incomes of $100,000 or more, with 26% earning between $150,000 and $249,000, and 21% earning $250,000 or more[79]. - The company’s ability to retain and attract customers is critical for growth, and any decline in customer engagement could significantly harm its business and financial condition[200]. - The company has experienced challenges in customer retention, growth, and engagement, which could adversely affect revenue and financial results[201]. Financial Performance and Risks - The company reported a net cash used in operating activities of $16.1 million for 2025, compared to a loss of $3.3 million for 2024, indicating ongoing negative cash flows[197]. - The company incurred an operating loss of $27.7 million for 2025, compared to a loss of $5.8 million for 2024, reflecting deteriorating financial performance[197]. - The company has approximately $7.7 million in cash and cash equivalents as of December 31, 2025, raising concerns about liquidity and operational continuity[197]. - The company holds approximately $140.5 million in bitcoin in its treasury accounts as of December 31, 2025, which is subject to significant price volatility[195]. - The price of bitcoin experienced substantial fluctuations, with values ranging from approximately $16,530 at the end of 2022 to $100,041.54 on December 18, 2024[193]. - The company may face challenges in obtaining favorable funding terms due to bitcoin price volatility, which could limit operational flexibility and financial stability[190]. - The company faces risks related to operational scaling, including managing headcount and processes, which could strain resources and affect product quality[204]. - There is uncertainty regarding the effectiveness of the company's growth strategy, as significant expenditures may not lead to corresponding revenue growth[205]. Regulatory Compliance and Legal Matters - The company operates with institutional-grade custody and regulatory infrastructure to maintain trust and safety as it scales its operations[91]. - The company is subject to various legal and regulatory proceedings, which may result in fines or penalties, but it does not expect a material adverse effect on future operations[120]. - The company is subject to increased regulatory scrutiny due to partnerships with banks, which may affect operations and relationships with partner banks[150]. - The company must ensure its services integrate effectively with various operating systems and devices to avoid adverse impacts on usage[207]. - The company is classified as an "emerging growth company," allowing it to take advantage of certain exemptions from reporting requirements[126]. - The company anticipates remaining an emerging growth company until it achieves total annual gross revenue of at least $1.235 billion[128]. - The company is also a "smaller reporting company," which allows for reduced disclosure obligations until certain market value thresholds are met[129]. - The company faces intense competition from traditional financial firms and fintech providers, which may impact its market position and financial results[156]. Technology and Innovation - The company must adapt to technology changes and evolving industry standards to provide tailored products and services[220]. - Significant technological changes include advancements in omnichannel commerce, contactless payments, digital banking, and artificial intelligence[218]. - The ability to develop new products may be hindered by industry standards, regulations, and third-party intellectual property rights[219]. - Incorporating new technologies may require substantial expenditures and considerable time, with uncertain returns on investment[219]. - Generative AI adoption is increasing, and failure to enhance products with new features may adversely affect the business[220]. - Reliance on third parties for technology development is critical, and failure to predict industry developments may impair business operations[221]. - Continuous modification of products is necessary to ensure compatibility with various systems and technologies[221]. Security and Operational Risks - Approximately 90% of bitcoin held on behalf of customers is retained in multi-signature cold storage wallets, enhancing security against hacks and unauthorized access[186]. - The company is dependent on third-party partners for safeguarding customer assets, which poses risks if those partners fail to maintain necessary controls[149]. - The company may face significant penalties and reputational harm if it fails to comply with applicable laws and regulations[143]. - Service interruptions in the company's systems or the bitcoin network could result in customer loss and harm to reputation[174]. - The company is continually upgrading its information systems, and failure to implement these upgrades successfully could adversely impact operations[177]. - Bitcoin held in custodial accounts may be treated as part of a bankruptcy estate, posing risks to customer ownership rights[178]. - Recent insolvencies in the digital asset space could lead to customers perceiving the company's services as riskier, potentially affecting customer retention[181]. - Prime Core Technologies, Inc. filed for bankruptcy protection on August 14, 2023, and the company is named as a defendant in a related adversary proceeding, which could heighten perceptions of counterparty risk[182][183].

Customer Rewards and Financial Products - Fold's total customer rewards liability was $6.9 million as of December 31, 2025, with an equal amount held in the Rewards Treasury[39]. - The Fold Bitcoin Credit Card offers cardholders automatic base rewards of 1.5% back in bitcoin, with potential rewards of up to 4.0% based on qualifying transactions[33]. - Customers can earn up to 15% or more in bitcoin rewards through card-linked merchant offers and up to 20% back through the catalog of merchant offers[34]. - The Fold Bitcoin Gift Card is available in both physical and digital formats, redeemable for bitcoin, and serves as a customer acquisition channel[44][46]. - Fold's banking platform includes an FDIC-insured checking account and a Visa prepaid debit card linked to the checking account[31]. - The Fold App allows users to buy, sell, and store bitcoin, with transactions processed through BitGo, a federally chartered national trust bank[40]. - The company integrates traditional banking services with bitcoin-based rewards to enhance customer financial outcomes[24]. - Fold aims to build an integrated financial system that combines spending, savings, and financial planning for both bitcoin and USD within a single account, enhancing customer engagement and lifetime value[88]. - The company offers a feature called "Auto stack," allowing users to purchase bitcoin at specified recurring intervals, with a minimum requirement of $10[50]. - Fold's "Round-Ups" feature enables users to convert spare change from transactions into bitcoin, with a minimum purchase amount of $10[53]. Customer Demographics and Engagement - As of December 31, 2025, Fold had nearly 84,000 Verified Accounts on its platform[70]. - A January 2025 survey indicated that 83% of Fold's core customer demographic is between 25-54 years old, with 81% having credit scores of 700+ and 71% earning over $100K annually[71]. - 81% of Fold's customers have credit scores of 700 or higher, with 40% having scores of 800 or above, indicating strong creditworthiness within its core customer base[73]. - 71% of users have household incomes of $100,000 or more, with 26% earning between $150,000 and $249,000, and 21% earning $250,000 or more[79]. - The company believes that younger generations view bitcoin as a core financial asset, potentially driving industry growth[134]. - The company faces risks related to customer retention and engagement, which are critical for its business success in a competitive market[200]. - The company has experienced challenges in customer retention, growth, and engagement, which could adversely affect revenue and financial results[201]. Financial Performance and Strategy - The company reported a net cash used in operating activities of $16.1 million for 2025, compared to a loss of $3.3 million for 2024, indicating a significant increase in operational losses[197]. - The company incurred an operating loss of $27.7 million for 2025, compared to a loss of $5.8 million for 2024, reflecting ongoing financial challenges[197]. - The company has an accumulated deficit of $170.9 million as of December 31, 2025, highlighting ongoing financial struggles[197]. - The company aims to maintain a sufficient bitcoin balance in its Rewards Treasury to fulfill customer obligations, which is sensitive to bitcoin price fluctuations[216]. - Future operating expenses may increase due to talent acquisition, marketing efforts, and regulatory compliance, potentially impacting profitability and cash flow[203]. Regulatory Compliance and Risk Management - The company is committed to adhering to CFPB regulations to protect consumer rights and avoid deceptive practices in marketing communications[115]. - The company is committed to a robust risk management framework, utilizing third-party services for KYC and fraud detection to ensure compliance and security[102]. - Continuous OFAC and sanctions screenings are performed daily on all users to ensure compliance with international regulations[108]. - Fold's partnership with Sutton Bank and BitGo requires compliance with AML regulations due to their status as financial institutions[104]. - The company has implemented a risk-based AML program to enhance customer identification practices and monitor transactions in real-time[105]. - The company may be subject to significant fines and penalties if it fails to comply with evolving regulatory requirements[142]. - The company operates in a highly evolving regulatory landscape, with potential adverse effects on brand, reputation, and financial condition due to non-compliance with laws and regulations[137]. Technological Adaptation and Innovation - The company’s long-term success relies on developing products and services that address the rapidly evolving payments and financial services market[218]. - Significant technological changes, including omnichannel commerce and AI, pose challenges to the company's current offerings[219]. - The ability to adapt to new technologies and industry standards is crucial for the company's success[220]. - The company depends on third parties for technology development, which can impact its ability to innovate[221]. - Continuous modification of products is necessary to ensure compatibility with various systems and infrastructures[221]. - Failure to keep pace with technological changes could lead to reduced demand and customer dissatisfaction[221]. Market Competition and Industry Landscape - Fold's growth strategy includes scaling adoption through partnerships with major retailers and financial institutions to increase legitimacy and reduce friction for mainstream adoption[89]. - The company competes in a highly competitive industry characterized by rapid innovation and the introduction of new products, with competition from traditional financial firms and fintech providers[156]. - The company’s long-term success depends on its ability to develop new and innovative products to keep pace with technological changes in the financial services market[159]. Operational Challenges and Risks - The company faces risks related to operational scaling, including managing headcount and processes efficiently, which could strain resources and affect service quality[204]. - There is uncertainty regarding the company's ability to forecast customer demand for bitcoin, which could impact the management of bitcoin balances and financial position[215]. - The company may engage in acquisitions and investments, which could disrupt operations and result in dilution to stockholders[213]. - The company relies on insurance carriers for customer loss coverage, and failure to maintain appropriate insurance could lead to substantial business disruptions[173]. - Any significant disruption in the company's products or services could result in loss of customers and adversely impact its brand and financial condition[174]. - The company is continually upgrading its information systems, and failure to implement new technologies successfully could have negative consequences[177]. - Bitcoin held by the company or its customers may be at risk in the event of a custodial partner's insolvency, potentially affecting ownership rights[178]. - Recent insolvencies in the digital asset space could lead to customers perceiving the company's services as riskier, impacting customer retention and growth[181]. - The company may face increased regulatory scrutiny and compliance costs due to recent banking regulatory initiatives and the bankruptcy of Synapse Financial Technologies, which could impact relationships with partner banks[150][154].

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2025 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE TRANSITION PERIOD FROM TO Commission File Number 001-41168 Fold Holdings, Inc. (Exact name of Registrant as specified in its Charter) Delaware 86-2170416 (State or other jurisdiction of ...

LULULEMON ATHLETICA INC. ANNOUNCES FOURTH QUARTER AND FULL YEAR FISCAL 2025 RESULTS Fourth quarter revenue increased 1% to $3.6 billion. Diluted EPS of $5.01 Full year revenue increased 5% to $11.1 billion. Diluted EPS of $13.26 Vancouver, British Columbia - March 17, 2026 - lululemon athletica inc. (NASDAQ:LULU) today announced financial results for the fourth quarter and fiscal year ended February 1, 2026. Meghan Frank, Interim Co-CEO and Chief Financial Officer, stated: "We are pleased to achieve fourth ...

Financial Performance - Total revenues for Q4 2025 reached $6.1 million, a significant increase of 2091.6% compared to $279,879 in Q4 2024[3] - For the full year 2025, total revenues were $23.6 million, up 2049.9% from $1,098,280 in 2024[3] - Total revenue for the year ended December 31, 2025, was $23,612,459, a significant increase from $1,098,280 in 2024[17] - Managed information technology revenue reached $14,813,411, including $7,309,250 from related party revenue, compared to $0 in 2024[17] Net Loss and EBITDA - Net loss improved by 88.5% in Q4 2025, totaling $631,968 compared to a net loss of $5,490,501 in the same period last year[3] - The company reported a net loss of $1,956,536 for the full year 2025, a 76.8% improvement from a net loss of $8,426,209 in 2024[3] - Net loss from continuing operations for 2025 was $1,956,536, an improvement from a loss of $4,268,675 in 2024[19] - Adjusted EBITDA for Q4 2025 was positive at $4,630, a turnaround from a loss of $1,548,947 in Q4 2024[3] - Adjusted EBITDA for the year ended December 31, 2025, was $(1,116,037), an improvement from $(4,431,852) in 2024[22] Cash Flow and Assets - Cash flow from operations was positive at $1.1 million for the full year 2025, compared to a cash outflow of $2.7 million in 2024[3] - As of December 31, 2025, the company had cash and cash equivalents of $8.4 million and no long-term debt[3] - Total assets increased to $26,040,517 in 2025, up from $15,872,530 in 2024, reflecting a growth of approximately 64%[15] - Cash and cash equivalents decreased to $5,597,014 in 2025 from $10,588,534 in 2024, a decline of approximately 47%[19] Liabilities and Equity - Total liabilities rose to $7,854,589 in 2025, compared to $3,972,868 in 2024, marking an increase of about 97%[15] - The balance of stockholders' equity increased to $18,185,928 in 2025, up from $11,899,662 in 2024, reflecting a growth of approximately 53%[15] Strategic Initiatives - The acquisition of Newtek Technology Solutions was completed on January 2, 2025, marking a strategic shift towards cybersecurity and cloud infrastructure[4] - The company aims to grow revenue both organically and through potential acquisitions in 2026, while optimizing expenses[2] - The company acquired NTS for $4,000,000 during the year, impacting cash flows from investing activities[19] Operational Growth - The company managed over 10,000 devices under management as of December 31, 2025, indicating growth in its managed services[6] - The company incurred litigation expenses of $717,780 related to the Cisco ManyCam Litigation in 2025[22]

Cibus Reports Fourth Quarter Financial Results and Provides Business Update SAN DIEGO, March 17, 2026 – Cibus, Inc. (Nasdaq: CBUS) (the "Company"), a leading agricultural technology company that develops and licenses plant traits to seed companies, today announced its financial results for the quarter ended December 31, 2025, and provided a business update. Management will host a conference call and webcast today at 4:30 p.m. ET. Management Commentary Peter Beetham, Interim Chief Executive Officer of Cibus, ...

Financial Position - Cibus reported a cash position of $9.9 million as of December 31, 2025, and expects existing cash to fund operations into late Q3 2026[21]. - Cibus' cash and cash equivalents decreased to $9.923 million as of December 31, 2025, down from $14.433 million a year earlier, a decline of approximately 31.5%[37]. - The company anticipates the need for additional near-term funding to finance its activities, indicating potential challenges in obtaining capital on acceptable terms[31]. Revenue and Loss - Net loss for the quarter ended December 31, 2025, was $31.9 million, an increase from $25.8 million in the same period last year, representing a year-over-year increase of approximately 23.9%[26]. - Total revenue for the quarter was $1.057 million, down from $1.212 million in the same quarter of 2024, reflecting a decrease of approximately 12.8%[41]. - Net loss for 2025 was $132,201, a significant improvement from a net loss of $282,713 in 2024, representing a reduction of approximately 53%[43]. Expenses - R&D expenses decreased to $9.4 million in Q4 2025 from $12.4 million in the previous year, reflecting cost reduction initiatives[21]. - SG&A expenses were reduced to $5.1 million in Q4 2025 compared to $6.8 million in the year-ago period, also due to cost-saving measures[21]. - Total operating expenses increased to $23.631 million from $19.236 million year-over-year, an increase of approximately 22.8%[41]. Assets and Liabilities - Total assets decreased to $305.047 million from $350.069 million year-over-year, a decline of approximately 12.9%[39]. - Total liabilities increased to $283.218 million from $252.238 million, reflecting an increase of approximately 12.3%[39]. Operational Highlights - The company achieved a significant milestone with its first customer payment from the Sustainable Ingredients program in Q4 2025, indicating strong commercial potential[6]. - Cibus' Rice program is on track for targeted launches in 2027 and 2028, with a potential for over $200 million in annual addressable royalties at peak[7]. - Cibus' single-cell editing system has achieved up to 50-70% efficiency, fundamentally changing breeding economics for seed companies[6]. Regulatory and Market Developments - The EU reached a political agreement on New Genomic Techniques legislation, a significant regulatory advancement that Cibus has influenced over the past decade[6]. - Cibus' Trait Machine process was recognized by Fast Company Magazine as one of the most innovative products in 2024, highlighting the company's advancements in gene editing technology[29]. Cash Flow and Financing - Net cash used in operating activities improved from $58,043 in 2024 to $50,591 in 2025, reflecting a decrease of approximately 13%[43]. - Proceeds from issuances of securities increased to $50,100 in 2025 from $43,902 in 2024, marking an increase of about 14%[43]. - Net cash provided by financing activities rose to $46,648 in 2025 compared to $40,598 in 2024, an increase of about 15%[43]. Impairments - Long-lived assets impairment was reported at $9.1 million for Q4 2025, attributed to the planned wind-down of operations at the Roseville facility[21]. - Goodwill impairment decreased from $181,432 in 2024 to $20,950 in 2025, indicating a reduction of about 88%[43].

Clinical Development - Haduvio achieved statistically significant reductions in 24-hour cough frequency of 60.2%, 53.4%, and 47.9% for the 108 mg, 54 mg, and 27 mg BID dose groups, respectively, compared to a placebo reduction of 16.9% in the Phase 2b CORAL trial[565]. - The first Phase 3 trial for Haduvio is planned to enroll approximately 300 patients and is set to initiate in the second quarter of 2026[566]. - The second Phase 3 trial is planned to enroll approximately 130 patients and is expected to start in the second half of 2026[566]. - The company plans to initiate a Phase 2b trial for Haduvio in RCC in the second quarter of 2026, subject to regulatory review[570]. - Haduvio's development costs include manufacturing necessary quantities for clinical trials and commercialization activities, with a focus on treatment for IPF-related chronic cough, non-IPF ILD, and RCC[609]. Financial Performance - The company reported a net loss of $42.759 million for the year ended December 31, 2025, a decrease from a net loss of $47.911 million in 2024, reflecting an improvement of $5.152 million[585]. - As of December 31, 2025, the company had an accumulated deficit of $329.8 million, primarily due to research and development and general and administrative expenses[572]. - Other income, net rose to $6.5 million in 2025 from $3.6 million in 2024, mainly due to increased interest income from higher cash equivalents and marketable securities[588]. - Net cash used in operating activities was $42.1 million in 2025, compared to $38.3 million in 2024, reflecting a net loss of $42.8 million[596]. - Net cash used in investing activities was $94.1 million in 2025, primarily due to $170.7 million in purchases of marketable securities[599]. - Net cash provided by financing activities was $121.0 million in 2025, mainly from the June 2025 Offering, which generated approximately $115.1 million in gross proceeds[591][601]. - The company reported a net decrease in cash and cash equivalents of $15.2 million in 2025, compared to an increase of $1.7 million in 2024[595]. Research and Development Expenses - Research and development expenses for 2025 were $33.478 million, a decrease of $5.899 million from $39.377 million in 2024[585]. - Research and development expenses decreased to $33.5 million in 2025 from $39.4 million in 2024, primarily due to reduced clinical development expenses[586]. - The company expects substantial expenditures in the foreseeable future as it advances Haduvio through clinical development and regulatory approval processes[574]. - The company emphasizes the importance of establishing healthcare coverage and adequate reimbursement for its products as a critical factor for commercialization success[609]. - The company is focused on expanding its research and development activities and establishing a commercial infrastructure, which will increase headcount and associated costs[609]. General and Administrative Expenses - General and administrative expenses increased to $15.850 million in 2025 from $12.147 million in 2024, an increase of $3.703 million[585]. - General and administrative expenses increased to $15.9 million in 2025 from $12.1 million in 2024, driven by higher outside services, professional fees, and personnel-related expenses[587]. Funding and Capital Needs - The company believes existing cash and marketable securities will fund operations into 2028, but additional capital will be needed for full development and commercialization of Haduvio[606]. - The company has no committed external funding sources and will need to seek additional financing through various means, which may lead to dilution for existing shareholders[608]. - The ability to raise sufficient capital is crucial; failure to do so may lead to delays or abandonment of product development programs[611]. - The company may need to relinquish rights to future revenue streams if additional funds are raised through collaborations or licensing arrangements[611]. Accounting and Financial Reporting - The company’s financial statements are prepared under U.S. GAAP, requiring estimates and assumptions that may impact reported amounts of assets and liabilities[614]. - The company has agreements with CROs and contract manufacturers, with research and development expenses estimated based on service levels and study progress[617]. - Research and development expenses are recognized as incurred, with nonrefundable advance payments deferred and capitalized until the related services are performed[616]. - The company outsources a significant portion of development activities to third parties, with contracts generally cancelable upon 45 to 60 days' notice, indicating non-material non-cancelable obligations[612].

Revenue Performance - Revenue decreased by $1.1 million, or 19.3%, to $4.6 million for the year ended December 31, 2025, from $5.7 million for the year ended December 31, 2024[235]. - Two customers accounted for 70% and 17% of total revenue for the year ended December 31, 2025, compared to three customers accounting for 57%, 18%, and 11% of total revenue for the year ended December 31, 2024[235]. Cost and Expenses - Cost of Goods Sold (COGS) decreased by $2.2 million, or 20.8%, to $8.5 million for the year ended December 31, 2025, from $10.8 million for the year ended December 31, 2024[236]. - Research and development expenses increased to $18.95 million for the year ended December 31, 2025, compared to $16.24 million for the year ended December 31, 2024[232]. - Selling, general and administrative expenses rose to $39.56 million for the year ended December 31, 2025, from $33.51 million for the year ended December 31, 2024[232]. - Total operating expenses increased to $74.81 million for the year ended December 31, 2025, compared to $65.77 million for the year ended December 31, 2024[232]. - Depreciation and amortization expenses increased by $2.5 million, or 48%, to $7.8 million for the year ended December 31, 2025, mainly due to accelerated depreciation related to retired network assets[239]. - Selling, general and administrative expenses rose by $6.1 million, or 18.1%, to $39.6 million during the year ended December 31, 2025, primarily due to a $2.5 million increase in stock-based compensation[238]. Financial Losses - The net loss for the year ended December 31, 2025, was $189.25 million, compared to a net loss of $101.88 million for the year ended December 31, 2024[232]. - Other expenses surged to $106.4 million for the year ended December 31, 2025, compared to $32.2 million in 2024, reflecting significant losses from changes in fair value of derivative liabilities and debt extinguishment[241]. - Net losses for the year ended December 31, 2025, were $189.3 million, compared to $101.9 million in 2024, indicating a substantial increase in financial losses[243]. Cash Flow and Financing - Cash and cash equivalents, along with marketable securities, totaled $152.1 million as of December 31, 2025, with an accumulated deficit of $1.1 billion[243]. - Net cash used in operating activities was $50.7 million for 2025, primarily due to a net loss adjusted for non-cash charges totaling $77.2 million[249]. - Net cash provided by financing activities was $120.5 million in 2025, mainly from the issuance of $190.0 million in Senior Secured Convertible Notes[253]. - As of December 31, 2025, the company had cash and cash equivalents and short-term marketable securities totaling $152.1 million[265]. - The company has $190 million in Senior Secured Convertible Notes due 2028 with a fixed interest rate of 5% per annum, insulating it from interest rate fluctuations[266]. Future Outlook - The company expects to incur additional losses and higher operating expenses for the foreseeable future, necessitating significant cash for ongoing research and development[243]. - Management believes there is minimal credit risk associated with cash and cash equivalents due to the financial soundness of the institutions holding these funds[267]. - The company aims to minimize banking risk by limiting uninsured deposits and investing excess cash in U.S. government securities and money market funds[267]. Market Conditions - Inflation and supply chain challenges have not significantly impacted the company's revenue and cost of services to date, particularly due to moderated inflationary pressure in the U.S. economy[268]. - There is no assurance that future results of operations and financial condition will not be materially impacted by inflation or supply chain challenges[268]. Product Development - The company is evolving its PNT solutions to utilize 5G New Radio positioning reference signals to enhance operational efficiency and service scalability[216]. - Research and development expenses increased by $2.7 million, or 16.7%, to $19.0 million for the year ended December 31, 2025, driven by a $2.8 million increase in non-recurring engineering services[237]. - Interest expense, net, increased to $12.44 million for the year ended December 31, 2025, from $9.40 million for the year ended December 31, 2024[232]. - Interest expense increased by $3.0 million, or 32.4%, to $12.4 million for the year ended December 31, 2025, primarily driven by higher interest and amortization of debt discounts[240].