Income Taxes (Tables)

12 Months Ended

Jul. 31, 2025

Income Taxes [Abstract]

Schedule of Components of Loss Before Income Taxes

The components of loss before income taxes, including equity in loss of Day Three, are as follows:

	For the Years Ended July 31,
	2025			2024
	(in thousands)
Domestic	$	(32,338	)	$	(67,653	)
Foreign		(858	)		(30	)
Loss before income taxes	$	(33,196	)	$	(67,683	)

Schedule of Benefit From Income Taxes

Benefit from income taxes consisted of the following:

	For the Years Ended July 31,
	2025			2024
	(in thousands)
Current:
Foreign	$	—		$	19
Federal		—			—
State		(2,388	)		(2,602	)
Total current benefit		(2,388	)		(2,583	)
Deferred:
Foreign		—			(73	)
Federal		(160	)		(17	)
State		(5	)		(7	)
Total deferred benefit		(165	)		(97	)
Benefit from income taxes	$	(2,553	)	$	(2,680	)

Schedule of Effective Tax Rate

The reconciliation between the Company’s effective tax rate on loss before income taxes and the statutory tax rate for the years ended July 31, 2025 and July 31, 2024 is as follows:

	For the Years Ended July 31,
	2025			2024
	(in thousands)
U.S. federal income tax at statutory rate	$	(6,972	)	$	(14,213	)
Permanent items - Cornerstone Acquisition		—			18,871
Nondeductible items		1,360			672
State income tax		(1,739	)		1,807
Rate change		140			—
Foreign operations		(34	)		(1	)
True up and other		(1,043	)		627
Cornerstone Acquisition impact to deferred tax assets		—			(51,546	)
Derecognition of Cornerstone investment due to Cornerstone Acquisition		—			23,312
Sales of state NOLs		(2,429	)		(2,613	)
Orphan Drug Credits		(1,045	)		—
Change in valuation allowance		9,209			20,404
Benefit from income taxes	$	(2,553	)	$	(2,680	)

Schedule of Deferred Tax Assets and Deferred Tax Liabilities

Significant components of the Company’s deferred tax assets and deferred tax liabilities are as follows:

	At July 31,
	2025			2024
	(in thousands)
Deferred tax assets:
Net operating loss carryforwards	$	85,847		$	61,204
Federal tax credits, net of uncertain tax position		16,910			6,145
Capitalized Sec. 174 research and experimental expenditures		29,117			3,121
Stock-based compensation		2,354			2,486
Depreciation		340			286
Reserves and accruals		647			249
Charitable contributions		346			141
Related party interest		853			—
Disallowed interest expense		1,008			—
Gross deferred tax assets		137,422			73,632
Less valuation allowance		(128,403	)		(71,275	)
Total deferred tax assets, net of valuation allowance		9,019			2,357
Deferred tax liabilities:
Unrealized gain		(199	)		(2,327	)
Intangible assets		(8,958	)		(30	)
Total deferred tax liabilities:		(9,157	)		(2,357	)
Deferred tax liability, net	$	(138	)	$	—

Schedule of Beginning and Ending Amount of Unrecognized Tax Benefits

A reconciliation of the beginning and ending amount of unrecognized tax benefits associated with uncertain tax positions is as follows:

	At July 31,
	2025		2024
	(in thousands)
Balance, beginning of the year	$	6,218	$	—
Additions of tax positions related to the current year		1,045		—
Additions of tax positions related to the current year – Cyclo Acquisition		9,720		—
Additions of tax positions related to the prior year		—		6,218
Balance, end of year	$	16,983	$	6,218