Tharimmune(US:THAR)2026-03-31 13:00Operating Expenses - For the year ended December 31, 2025, total operating expenses increased by $7.7 million, or 62%, to $20.1 million from $12.4 million in 2024[289]. - General and administrative expenses increased by $11.0 million, or 182%, to $17.0 million for the year ended December 31, 2025, driven by higher personnel costs and investor relations expenses[292]. - Research and development expenses decreased by $3.3 million, or 52%, to $3.1 million for the year ended December 31, 2025, primarily due to a reduction in clinical trial expenses and license fees[291]. Financial Performance - The company incurred operating losses of approximately $20.0 million and had an accumulated deficit of approximately $72.8 million as of December 31, 2025[296]. - Interest income decreased by approximately $0.2 million, or 83%, to less than $0.1 million for the year ended December 31, 2025, due to a decrease in cash and interest rates[294]. - Unrealized loss from digital asset holdings increased to $22.0 million for the year ended December 31, 2025, attributed to the decline in the fair value of digital assets acquired[295]. Cash Flow - Net cash used in operating activities was $16.1 million for the year ended December 31, 2025, compared to $10.9 million in 2024[304]. - Cash used in investing activities for the year ended December 31, 2025 was $77.6 million, representing the purchase of digital assets[307]. - Cash provided by financing activities for the year ended December 31, 2025 was $107.2 million, primarily from a Cash Offering of $99.4 million[308]. Fundraising and Liquidity - The company raised net proceeds of over $537 million through various offerings in November 2025, improving liquidity and addressing going concern issues[301]. - The company completed a private placement offering in November 2025, strengthening its liquidity to support its digital asset treasury strategy[274]. Research and Development - The company plans to increase research and development expenses as it prepares for clinical trials of new product candidates HS3215 and HS1940[281]. - Research and development costs are expensed as incurred, including personnel costs and third-party contractor expenses[315]. Accounting and Reporting - The company intends to rely on exemptions under the JOBS Act as an "emerging growth company" until certain revenue or debt thresholds are met[323]. - The company has chosen to take advantage of extended transition periods for complying with new accounting standards under the JOBS Act[321]. - The company is not required to provide market risk disclosures as it qualifies as a "smaller reporting company" under the Exchange Act[324]. Stock and Compensation - The company executed a reverse stock split at a ratio of 1-for-15 on May 24, 2024, retroactively adjusting all share amounts in the financial statements[310]. - Stock-based compensation costs are recognized over the requisite service period based on the estimated fair value of the awards[316]. - The fair value of digital assets is determined based on quoted prices in the principal market at the time of measurement[314].