Note 6 - Leases

12 Months Ended

Dec. 31, 2023

Notes to Financial Statements

Lessee, Operating Leases [Text Block]

NOTE 6 – LEASES

The Company’s corporate offices and other offices are in Pittsburgh, Pennsylvania. Upon expiration of previous leases for office space and laboratory operations, the Company entered two new leases for office space and laboratory operations on January 4, 2023. The leases each have an approximate five-year term ending February 29, 2028, and the Company recorded corresponding right of use (“ROU”) assets and liabilities of $2,922,365.

The Company has an additional office in Birmingham, Alabama, which is used for office space and laboratory operations. The lease is effective through August 31, 2025.

The Company has an office in Eagan, Minnesota, which is used for office space and manufacturing. Since July 31, 2022, the lease was month-to-month tenancy. On June 1, 2023, the lease was amended for two additional years until May 31, 2025 and the Company recorded a corresponding ROU asset and liability of $74,816.

Lease expense under operating lease arrangements was $892,993 and $746,590 for 2023 and 2022, respectively.

The following table summarizes other information related to the Company’s operating leases:

	December 31, 2023			December 31, 2022
Weighted average remaining lease term – operating leases in years		3.99			1.72
Weighted average discount rate – operating leases		12	%		8	%

The Company’s operating lease obligation as of December 31, 2023, which includes expected lease extensions that are reasonably certain of renewal, are as follows:

2024	$	818,463
2025		857,622
2026		803,724
2027		827,909
2028		139,022
Total lease payments		3,446,740
Less interest		(740,334	)
Present value of lease liabilities	$	2,706,406