SUBSEQUENT EVENTS

6 Months Ended

Jun. 30, 2025

Subsequent Events [Abstract]

SUBSEQUENT EVENTS

SUBSEQUENT EVENTS

The Company has evaluated subsequent events through August 5, 2025, the date the condensed consolidated financial statements were issued. No material subsequent events within the Company were noted. The Company has noted the passage of new tax legislation after the second quarter of 2025.

One Big Beautiful Bill Act

On July 4, 2025, the One Big Beautiful Bill Act ("OBBB") was signed into law. The change in the tax law will be partially effective in the current 2025 fiscal year, with additional provisions going into effect in future years. The primary impacts to the Company include the ability to expense U.S. research and development expenditures paid or incurred due to the permanent suspension of the current Section 174 requirement to capitalize and amortize, the ability to expense 100% of the cost of qualified property through Section 168 bonus depreciation, and expanded allowance for deducting business interest expense. Due to the valuation allowance recorded by the Company, these changes are not expected to have a material impact to the value of deferred tax assets and liabilities and the Company's future taxable income and effective tax rate.

Additionally, we currently anticipate that the enacted changes to expensing research and development costs, elective 100% bonus depreciation, and reduced business interest expense limitation will have a favorable effect on our financial condition. The Company is analyzing the OBBB with its professional advisers. Until such analysis is complete, the full impact of the new tax law on the Company in future periods is uncertain, and no assurances can be made by the Company on any potential impacts.