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Note 1 - NATURE OF BUSINESS Dragonfly Energy Holdings Corp. (“New Dragonfly” or the “Company”) sells lithium-ion battery packs for use in a wide variety of applications. The Company sells to distributors under the Dragonfly Energy brand name, and sells direct to consumers under the trade name Battleborn Batteries. In addition, the Company develops technology for improved lithium-ion battery manufacturing and assembly methods.

Note 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND GOING CONCERN Principles of consolidation The accompanying unaudited condensed consolidated financial statements and related notes have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) and present the consolidated financial statements of the Company and its wholly owned subsidiaries. All significant intercompany transactions and balances are eliminated in consolidation. Basis of presentation The accompanying unaudited condensed consolidated financial statements and related notes have been prepared in accordance with U.S. GAAP for interim financial information, and with the rules and regulations of the United States Securities and Exchange Commission (the “SEC”) set forth in Article 8 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete financial statements. The unaudited interim financial statements furnished reflect all adjustments (consisting of normal recurring accruals) which are, in the opinion of management, necessary to a fair statement of the results for the interim periods presented. Unaudited interim results are not necessarily indicative of the results for the full fiscal year. These condensed consolidated financial statements should be read along with the 10-K filed with the SEC on April 16, 2024 (as amended April 29, 2024, the “Annual Report”) of the Company for the annual period ended December 31, 2023. The consolidated balance sheet as of December 31, 2023 was derived from the audited consolidated financial statements as of and for the year then ended. Going Concern The accompanying condensed consolidated financial statements have been prepared on a going concern basis, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business. The condensed consolidated financial statements do not include any adjustments that might result from the outcome of this uncertainty. During the nine months ended September 30, 2024 and 2023, the Company incurred losses from operations and had negative cash flow from operations. As of September 30, 2024, the Company had $8,019 in cash and cash equivalents and a working capital deficit of $9,927. The Company’s ability to achieve profitability and positive cash flow depends on its ability to increase revenue, contain its expenses and maintain compliance with the financial covenants in its outstanding indebtedness agreements. In connection with the Company’s senior secured term loan facility in an aggregate principal amount of $<span id="xdx_906_eus-gaap--DebtInstrumentFaceAmount_iI_pn3n3_c20240930__us-gaap--CreditFacilityAxis__custom--SeniorSecuredTermLoanFacilityMember__us-gaap--LongtermDebtTypeAxis__custom--TermLoanMember_zvwZiU9PHqj6" title="Loan amount">75,000 (as amended, the “Term Loan”), the Company is obligated to comply with certain financial covenants, which include maintaining a maximum senior leverage ratio, minimum liquidity, a springing fixed charge coverage ratio, and maximum capital expenditures (Note 6). On March 31, 2024, April 29, 2024, June 28, 2024, July 31, 2024, August 30, 2024, September 30, 2024 and October 31, 2024 the Company obtained waivers from the Term Loan administrative agent and lenders of its failures to satisfy the liquidity requirement under the Term Loan for the quarters ended March 31, 2024, June 30, 2024, and September 30, 2024 and the fiscal month ended April 30, 2024, July 31, 2024, August 31, 2024, 2024, September 30, 2024, and October 31, 2024 as applicable. If the Company is unable to obtain a waiver or if the Company is unable to comply with such covenants, the lenders have the right to accelerate the maturity of the Term Loan. These conditions raise substantial doubt about the Company’s ability to continue as a going concern. Note 2 – Summary of Significant Accounting Policies and Going Concern (continued) Going Concern (Continued) In addition, the Company will need to raise additional debt and/or equity financings to fund its operations, strategic plans, and meet its financial covenants. The Company has historically been able to raise additional capital through issuance of equity and/or debt financings and the Company intends to use its equity facility and raise additional capital as needed. However, the Company cannot guarantee that it will be able to raise additional equity, contain expenses, or increase revenue, and comply with the financial covenants under the Term Loan. Recently issued accounting pronouncements: In November 2023, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2023-07, Segment Reporting (Topic 280), Improvements to Reportable Segment Disclosures (“ASU 2023-07”) which will require companies to disclose significant segment expenses that are regularly provided to the chief operating decision maker (“CODM”). The pronouncement is effective for annual filings for the year ended December 31, 2024. The adoption of ASU 2023-07 will necessitate substantial changes to the notes to the financial statements, specifically in the area of segment disclosures. For a company that operates as a single-segment entity and previously did not need to comply with ASC 280 Segment Reporting (“ASC 280”), the changes include: <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top"> <td style="font: 10pt Times New Roman, Times, Serif; width: 0.25in"></td><td style="font: 10pt Times New Roman, Times, Serif; width: 0.25in">●</td><td style="font: 10pt Times New Roman, Times, Serif; text-align: justify">Single reportable segment entities are required to provide the new disclosures and all disclosures currently required under ASC 280</td></tr></table> <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top"> <td style="font: 10pt Times New Roman, Times, Serif; width: 0.25in"></td><td style="font: 10pt Times New Roman, Times, Serif; width: 0.25in">●</td><td style="font: 10pt Times New Roman, Times, Serif; text-align: justify">Disclosure of the title and position of the CODM</td></tr></table> <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top"> <td style="font: 10pt Times New Roman, Times, Serif; width: 0.25in"></td><td style="font: 10pt Times New Roman, Times, Serif; width: 0.25in">●</td><td style="font: 10pt Times New Roman, Times, Serif; text-align: justify">Disclosure of significant segment expenses and “other segment items” for reach reportable segment</td></tr></table> <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top"> <td style="font: 10pt Times New Roman, Times, Serif; width: 0.25in"></td><td style="font: 10pt Times New Roman, Times, Serif; width: 0.25in">●</td><td style="font: 10pt Times New Roman, Times, Serif; text-align: justify">Disclosure of reportable segment profit or loss and assets in annual and interim periods</td></tr></table> <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top"> <td style="font: 10pt Times New Roman, Times, Serif; width: 0.25in"></td><td style="font: 10pt Times New Roman, Times, Serif; width: 0.25in">●</td><td style="font: 10pt Times New Roman, Times, Serif; text-align: justify">Disclosure of segment profitability measures used by the CODM provided such measures comply with the use of non-GAAP financial measures</td></tr></table> The Company is still in the process of assessing the full impact of adopting this standard on the enhanced disclosure requirements in the notes to the Company’s financial statements. In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures (“ASU 2023-09”). ASU 2023-09 requires enhanced annual disclosures regarding the rate reconciliation and income taxes paid information. ASU 2023-09 is effective for fiscal years beginning after December 15, 2024, and may be adopted on a prospective or retrospective basis. Early adoption is permitted. The Company is evaluating the impact of this guidance on its consolidated financial statements and related disclosures. Cash and Cash Equivalents The Company considers all short-term debt securities purchased with a maturity of three months or less to be cash equivalents. As of September 30, 2024 and December 31, 2023, the Company held no Cash Equivalents. From time to time the Company has amounts on deposit with financial institutions that exceed federally insured limits. The Company has not experienced any significant losses in such accounts. Accounts Receivable The Company’s trade receivables are recorded when billed and represent claims against third parties that will be settled in cash. Generally, payment is due from customers within 30-90 days of the invoice date and the contracts do not have significant financing components. Trade accounts receivables are recorded gross and are net of any applicable allowance. The allowance for credit losses as of September 30, 2024 and December 31, 2023 were not material. Inventory Inventories (Note 4), which consist of raw materials and finished goods, are stated at the lower of cost (first in, first out) or net realizable value, net of reserves for obsolete inventory. The Company continually analyzes its slow moving and excess inventories. Based on historical and projected sales volumes and anticipated selling prices, the Company established reserves. Inventory that is in excess of current and projected use is reduced by an allowance to a level that approximates its estimate of future demand. Products that are determined to be obsolete are written down to net realizable value. The inventory reserve as of September 30, 2024 and December 31, 2023 was not material. Note 2 – Summary of Significant Accounting Policies (continued) Use of Estimates The preparation of financial statements in conformity with U.S GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. The Company utilizes the use of estimates in its calculations for the reserve for obsolete or slow-moving inventory, right of use asset, warrant liability, equity-based compensation, and income taxes. Revenue Recognition Under Topic 606, an entity recognizes revenue when its customer obtains control of promised goods or services, in an amount that reflects the consideration that the entity expects to receive in exchange for those goods or services. To determine revenue recognition for arrangements that an entity determines are within the scope of Topic 606, the entity performs the following five steps: (i) identify the contract(s) with a customer; (ii) identify the performance obligations in the contract; (iii) determine the transaction price; (iv) allocate the transaction price to the performance obligations in the contract; and (v) recognize revenue when (or as) the entity satisfies a performance obligation. The Company only applies the five-step model to contracts when it is probable the entity will collect the consideration it is entitled to in exchange for the goods or services it transfers to the customer. Revenue is recognized when control of the promised goods is transferred to the customer or reseller, in an amount that reflects the consideration the Company expects to be entitled to in exchange for those goods and services. Revenue associated with products holding rights of return are recognized when the Company concludes there is not a risk of significant revenue reversal in the future periods for the expected consideration in the transaction. There are no material instances including discounts and refunds where variable consideration is constrained and not recorded at the initial time of sale. Generally, our revenue is recognized at a point in time for standard promised goods at the time of shipment when title and risk of loss pass to the customer. The Company may receive payments at the onset of the contract before delivery of goods for customers in the retail channel. Payment terms for distributors and OEMs are typically due within <span id="xdx_90F_ecustom--PaymentTermForDistributorsAndOriginalEquipmentManufacturers_dtD_c20240101__20240930__srt--RangeAxis__srt--MinimumMember_zFwBlaDFmsr6" title="Payment term for distributors and OEMs">30-<span id="xdx_909_ecustom--PaymentTermForDistributorsAndOriginalEquipmentManufacturers_dtD_c20240101__20240930__srt--RangeAxis__srt--MaximumMember_zoRG4BROlvkj" title="Payment term for distributors and OEMs">90 days after shipment. In such instances, the Company records a customer deposit liability. The Company recognizes these contract liabilities as sales after the revenue criteria are met. As of September 30, 2024 and December 31, 2023, the contract liability related to the Company’s customer deposits were approximately $189 and $201, respectively. The Company recognized $201 of the contract liability as of December 31, 2023 during the nine months ended September 30, 2024. The Company recognized $230 of the contract liability as of December 31, 2022 during the nine months ended September 30, 2023. On July 29, 2024, Dragonfly Energy Corp. (“Legacy Dragonfly”), a wholly-owned subsidiary of the Company, and Battle Born Battery Products, LLC (“Battle Born LLC”), a wholly-owned subsidiary of Legacy Dragonfly, entered into a License Agreement (the “License Agreement”) with Stryten Energy LLC (“Stryten”) (Note 8). The $5,000 initial licensing fee is being recognized as revenue on a straight-line basis over five years. For the three and nine months ended September 30, 2024, the Company has recorded $<span id="xdx_907_eus-gaap--RevenueFromContractWithCustomerExcludingAssessedTax_pn3n3_c20240701__20240930__us-gaap--TypeOfArrangementAxis__custom--LicenseAgreementMember_zD5nEquAFqPe" title="License fee revenue"><span id="xdx_90A_eus-gaap--RevenueFromContractWithCustomerExcludingAssessedTax_pn3n3_c20240101__20240930__us-gaap--TypeOfArrangementAxis__custom--LicenseAgreementMember_zmivDbE4k5rj" title="License fee revenue">167 in revenue related to the License Agreement. As of September 30, 2024 and December 31, 2023, the contract liability related to the Company’s deferred revenue were approximately $4,833 and $0, respectively. As of September 30, 2024, the Company had $1,000 in short term deferred revenue and $3,833 in long-term deferred revenue related to the License Agreement. Note 2 – Summary of Significant Accounting Policies (continued) Disaggregation of Revenue The following table present our disaggregated revenues by distribution channel: SCHEDULE OF DISAGGREGATED REVENUES BY DISTRIBUTION CHANNEL <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"> <tr style="display: none; vertical-align: bottom"> <td style="padding-bottom: 1pt">Sales</td><td style="padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_49F_20240701__20240930_zDAjzmsTQ6Ld" style="border-bottom: Black 1pt solid; text-align: center">2024</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_492_20230701__20230930_zqacWhF2lMkl" style="border-bottom: Black 1pt solid; text-align: center">2023</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_490_20240101__20240930_zykBv6adPgw9" style="border-bottom: Black 1pt solid; text-align: center">2024</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_49B_20230101__20230930_zNUNV22Dibsg" style="border-bottom: Black 1pt solid; text-align: center">2023</td><td style="padding-bottom: 1pt"> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td> </td> <td colspan="6" style="text-align: center">For the Three Months Ended</td><td> </td><td> </td> <td colspan="6" style="text-align: center">For the Nine Months Ended</td><td> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td style="padding-bottom: 1pt"> </td> <td colspan="6" style="border-bottom: Black 1pt solid; text-align: center">September 30</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="6" style="border-bottom: Black 1pt solid; text-align: center">September 30</td><td style="padding-bottom: 1pt"> </td></tr> <tr style="vertical-align: bottom"> <td style="padding-bottom: 1pt">Sales</td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">2024</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">2023</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">2024</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">2023</td><td style="padding-bottom: 1pt"> </td></tr> <tr id="xdx_400_eus-gaap--RevenueFromContractWithCustomerExcludingAssessedTax_pn3n3_hus-gaap--ContractWithCustomerSalesChannelAxis__us-gaap--SalesChannelDirectlyToConsumerMember_zirvpAx6H35a" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 36%; text-align: left; padding-left: 10pt">Direct to customer</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 12%; text-align: right">5,153</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 12%; text-align: right">10,305</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 12%; text-align: right">16,890</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 12%; text-align: right">30,314</td><td style="width: 1%; text-align: left"> </td></tr> <tr id="xdx_402_eus-gaap--RevenueFromContractWithCustomerExcludingAssessedTax_pn3n3_hus-gaap--ContractWithCustomerSalesChannelAxis__custom--OriginalEquipmentManufactureMember_zISPHMRyTQ59" style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-left: 10pt">Original equipment manufacture</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">7,400</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">5,584</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">21,376</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">23,640</td><td style="text-align: left"> </td></tr> <tr id="xdx_407_eus-gaap--RevenueFromContractWithCustomerExcludingAssessedTax_pn3n3_hus-gaap--ContractWithCustomerSalesChannelAxis__custom--LicenseFeeRevenueMember_z2srsxjXcIwa" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 1pt; padding-left: 10pt">License fee revenue</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">167</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">-</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">167</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">-</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> <tr id="xdx_402_eus-gaap--RevenueFromContractWithCustomerExcludingAssessedTax_pn3n3_z6gSeyQYUBP5" style="vertical-align: bottom; background-color: White"> <td style="padding-bottom: 2.5pt; padding-left: 20pt">Total</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">12,720</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">15,889</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">38,433</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">53,954</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr> </table> During the year ended December 31, 2023, the Company deemed it more appropriate to classify Retail and Distributor revenues as a single line item referred to as direct-to-consumer revenue. The Company has combined previously reported retail and distributor amounts to direct-to-consumer revenue to conform with current year presentation. The consolidation into direct-to-consumer revenue is motivated by the Company’s strategic perspective on its operations and better represents how it evaluates their sales channels. Product Warranty The Company offers assurance type warranties from 5 to 10 years on its products. The Company estimates the costs associated with the warranty obligation using historical data of warranty claims and costs incurred to satisfy those claims. The Company estimates, based upon a review of historical warranty claim experience, the costs that may be incurred under its warranties and record a liability in the amount of such estimate at the time a product is sold. Factors that affect our warranty liability include the number of units sold, historical and anticipated rates of warranty claims, and cost per claim. The Company periodically assesses the adequacy of our recorded warranty liability and adjust the accrual as claims data and historical experience warrants. The Company has assessed the costs of fulfilling its existing assurance type warranties and has determined that the estimated outstanding warranty obligation at September 30, 2024 and December 31, 2023 to be $482 and $307, respectively. SCHEDULE OF WARRANTY OBLIGATION <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_495_20240101__20240930_zADB3r7SERM7" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">September 30, 2024</td><td style="padding-bottom: 1pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_493_20230101__20231231_zdNVsk8ie9wg" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">December 31, 2023</td><td style="padding-bottom: 1pt; font-weight: bold"> </td></tr> <tr id="xdx_404_eus-gaap--ProductWarrantyAccrual_iS_pn3n3_zf9TmpUCYJ2i" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 60%; text-align: left">Beginning warranty obligation</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 16%; text-align: right">307</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 16%; text-align: right">328</td><td style="width: 1%; text-align: left"> </td></tr> <tr id="xdx_406_eus-gaap--ProductWarrantyAccrualWarrantiesIssued_zDK1HU0u7fuh" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Provision of warranty expense</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">433</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">397</td><td style="text-align: left"> </td></tr> <tr id="xdx_40A_eus-gaap--ProductWarrantyAccrualPayments_iN_di_zeusxnHIwEai" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 1pt">Settlement of warranty claims</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">(258</td><td style="padding-bottom: 1pt; text-align: left">)</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">(418</td><td style="padding-bottom: 1pt; text-align: left">)</td></tr> <tr id="xdx_40E_eus-gaap--ProductWarrantyAccrual_iE_pn3n3_zHP9MuttfE5k" style="vertical-align: bottom; background-color: White"> <td style="padding-left: 10pt; padding-bottom: 2.5pt">Ending warrant obligation</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">482</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">307</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr> </table> Concentrations As of September 30, 2024, receivables from Customer A, Customer B, and Customer C comprised approximately <span id="xdx_902_eus-gaap--ConcentrationRiskPercentage1_pid_dp_uPure_c20240101__20240930__us-gaap--ConcentrationRiskByBenchmarkAxis__us-gaap--AccountsReceivableMember__us-gaap--ConcentrationRiskByTypeAxis__us-gaap--CustomerConcentrationRiskMember__srt--MajorCustomersAxis__custom--CustomerAMember_zRcR2NVZa2lk" title="Concentration risk, percentage">19%, <span id="xdx_904_eus-gaap--ConcentrationRiskPercentage1_pid_dp_c20240101__20240930__us-gaap--ConcentrationRiskByBenchmarkAxis__us-gaap--AccountsReceivableMember__us-gaap--ConcentrationRiskByTypeAxis__us-gaap--CustomerConcentrationRiskMember__srt--MajorCustomersAxis__custom--CustomerBMember_zP56LPBkALyf" title="Concentration risk, percentage">12% and <span id="xdx_906_eus-gaap--ConcentrationRiskPercentage1_pid_dp_c20240101__20240930__us-gaap--ConcentrationRiskByBenchmarkAxis__us-gaap--AccountsReceivableMember__us-gaap--ConcentrationRiskByTypeAxis__us-gaap--CustomerConcentrationRiskMember__srt--MajorCustomersAxis__custom--CustomerCMember_z7xWu4B1Yfva" title="Concentration risk, percentage">10%, respectively, of accounts receivable. As of December 31, 2023, receivables from Customer D and E comprised approximately <span id="xdx_90A_eus-gaap--ConcentrationRiskPercentage1_pid_dp_c20230101__20231231__us-gaap--ConcentrationRiskByBenchmarkAxis__us-gaap--AccountsReceivableMember__us-gaap--ConcentrationRiskByTypeAxis__us-gaap--CustomerConcentrationRiskMember__srt--MajorCustomersAxis__custom--CustomerDMember_zGLOxMSeN8n3" title="Concentration risk, percentage">28% and <span id="xdx_901_eus-gaap--ConcentrationRiskPercentage1_pid_dp_c20230101__20231231__us-gaap--ConcentrationRiskByBenchmarkAxis__us-gaap--AccountsReceivableMember__us-gaap--ConcentrationRiskByTypeAxis__us-gaap--CustomerConcentrationRiskMember__srt--MajorCustomersAxis__custom--CustomerEMember_zECATjRT8zDj" title="Concentration risk, percentage">10%, respectively, of accounts receivable. For the nine months ended September 30, 2024, sales from Customer A comprised approximately <span id="xdx_90E_eus-gaap--ConcentrationRiskPercentage1_pid_dp_c20240101__20240930__us-gaap--ConcentrationRiskByBenchmarkAxis__us-gaap--RevenueFromContractWithCustomerMember__us-gaap--ConcentrationRiskByTypeAxis__us-gaap--CustomerConcentrationRiskMember__srt--MajorCustomersAxis__custom--CustomerAMember_z0eEinlRreq7" title="Concentration risk, percentage">15% of the Company’s total revenue. For the nine months ended September 30, 2023, sales from Customer B accounted for approximately <span id="xdx_909_eus-gaap--ConcentrationRiskPercentage1_pid_dp_c20230101__20230930__us-gaap--ConcentrationRiskByBenchmarkAxis__us-gaap--RevenueFromContractWithCustomerMember__us-gaap--ConcentrationRiskByTypeAxis__us-gaap--CustomerConcentrationRiskMember__srt--MajorCustomersAxis__custom--CustomerBMember_znSqJvPgG5zi" title="Concentration risk, percentage">19% of the Company’s total revenue. For the three months ended September 30, 2024, sales from Customer A comprised approximately <span id="xdx_90E_eus-gaap--ConcentrationRiskPercentage1_pid_dp_c20240701__20240930__us-gaap--ConcentrationRiskByBenchmarkAxis__us-gaap--RevenueFromContractWithCustomerMember__us-gaap--ConcentrationRiskByTypeAxis__us-gaap--CustomerConcentrationRiskMember__srt--MajorCustomersAxis__custom--CustomerAMember_zDHAjOCXEtu7" title="Concentration risk, percentage">16% of the Company’s total revenue. For the three months ended September 30, 2023, sales from Customer C accounted for approximately <span id="xdx_901_eus-gaap--ConcentrationRiskPercentage1_pid_dp_c20230701__20230930__us-gaap--ConcentrationRiskByBenchmarkAxis__us-gaap--RevenueFromContractWithCustomerMember__us-gaap--ConcentrationRiskByTypeAxis__us-gaap--CustomerConcentrationRiskMember__srt--MajorCustomersAxis__custom--CustomerCMember_zZImbfZwqsLl" title="Concentration risk, percentage">11% of the Company’s total revenue. Note 2 – Summary of Significant Accounting Policies (continued) Concentrations (Continued) As of September 30, 2024, payables to Vendor A and Vendor B comprised approximately <span id="xdx_906_eus-gaap--ConcentrationRiskPercentage1_pid_dp_c20240101__20240930__us-gaap--ConcentrationRiskByBenchmarkAxis__us-gaap--AccountsPayableMember__us-gaap--ConcentrationRiskByTypeAxis__us-gaap--SupplierConcentrationRiskMember__srt--MajorCustomersAxis__custom--VendorAMember_zbSYgo40qHE6" title="Concentration risk, percentage">36% and <span id="xdx_901_eus-gaap--ConcentrationRiskPercentage1_pid_dp_c20240101__20240930__us-gaap--ConcentrationRiskByBenchmarkAxis__us-gaap--AccountsPayableMember__us-gaap--ConcentrationRiskByTypeAxis__us-gaap--SupplierConcentrationRiskMember__srt--MajorCustomersAxis__custom--VendorBMember_zsa88quO9sM3" title="Concentration risk, percentage">18%, respectively, of accounts payables. As of December 31, 2023, payables to Vendor A comprised approximately <span id="xdx_90D_eus-gaap--ConcentrationRiskPercentage1_pid_dp_c20230101__20231231__us-gaap--ConcentrationRiskByBenchmarkAxis__us-gaap--AccountsPayableMember__us-gaap--ConcentrationRiskByTypeAxis__us-gaap--SupplierConcentrationRiskMember__srt--MajorCustomersAxis__custom--VendorAMember_z8JlyaChpSCb" title="Concentration risk, percentage">65% of accounts payables. For the nine months ended September 30, 2024, Vendor A accounted for approximately <span id="xdx_90F_eus-gaap--ConcentrationRiskPercentage1_pid_dp_c20240101__20240930__us-gaap--ConcentrationRiskByBenchmarkAxis__custom--TotalPurchasesMember__us-gaap--ConcentrationRiskByTypeAxis__us-gaap--SupplierConcentrationRiskMember__srt--MajorCustomersAxis__custom--VendorAMember_zpWu6TLNXyqe" title="Concentration risk, percentage">11% of the Company’s total purchases. For the nine months ended September 30, 2023, Vendor B accounted for approximately <span id="xdx_904_eus-gaap--ConcentrationRiskPercentage1_pid_dp_c20230101__20230930__us-gaap--ConcentrationRiskByBenchmarkAxis__custom--TotalPurchasesMember__us-gaap--ConcentrationRiskByTypeAxis__us-gaap--SupplierConcentrationRiskMember__srt--MajorCustomersAxis__custom--VendorBMember_znHpkR66n3j1" title="Concentration risk, percentage">16% of the Company’s total purchases. For the three months ended September 30, 2024, Vendor A and Vendor C accounted for approximately <span id="xdx_902_eus-gaap--ConcentrationRiskPercentage1_pid_dp_c20240701__20240930__us-gaap--ConcentrationRiskByBenchmarkAxis__custom--TotalPurchasesMember__us-gaap--ConcentrationRiskByTypeAxis__us-gaap--SupplierConcentrationRiskMember__srt--MajorCustomersAxis__custom--VendorAMember_zKFg62DnQvm1" title="Concentration risk, percentage">16% and <span id="xdx_90C_eus-gaap--ConcentrationRiskPercentage1_pid_dp_c20240701__20240930__us-gaap--ConcentrationRiskByBenchmarkAxis__custom--TotalPurchasesMember__us-gaap--ConcentrationRiskByTypeAxis__us-gaap--SupplierConcentrationRiskMember__srt--MajorCustomersAxis__custom--VendorCMember_zfA12qkgXQM7" title="Concentration risk, percentage">13%, respectively, of the Company’s total purchases. For the three months ended September 30, 2023, Vendor C, D and E accounted for approximately <span id="xdx_906_eus-gaap--ConcentrationRiskPercentage1_pid_dp_c20230701__20230930__us-gaap--ConcentrationRiskByBenchmarkAxis__custom--TotalPurchasesMember__us-gaap--ConcentrationRiskByTypeAxis__us-gaap--SupplierConcentrationRiskMember__srt--MajorCustomersAxis__custom--VendorCMember_zBYPMm908sWc" title="Concentration risk, percentage">14%, <span id="xdx_904_eus-gaap--ConcentrationRiskPercentage1_pid_dp_c20230701__20230930__us-gaap--ConcentrationRiskByBenchmarkAxis__custom--TotalPurchasesMember__us-gaap--ConcentrationRiskByTypeAxis__us-gaap--SupplierConcentrationRiskMember__srt--MajorCustomersAxis__custom--VendorDMember_zdHV6hzVIAVd" title="Concentration risk, percentage">11%, and <span id="xdx_901_eus-gaap--ConcentrationRiskPercentage1_pid_dp_c20230701__20230930__us-gaap--ConcentrationRiskByBenchmarkAxis__custom--TotalPurchasesMember__us-gaap--ConcentrationRiskByTypeAxis__us-gaap--SupplierConcentrationRiskMember__srt--MajorCustomersAxis__custom--VendorEMember_zoLEnOg7UVe4" title="Concentration risk, percentage">10%, respectively, of the Company’s total purchases. Stock-Based Compensation The Company accounts for stock-based compensation arrangements with employees and non-employee consultants using a fair value method which requires the recognition of compensation expense for costs related to all stock-based payments, including stock options (Note 12). The fair value method requires the Company to estimate the fair value of stock-based payment awards to employees and non-employees on the date of grant using an option pricing model. Stock based compensation costs are based on the fair value of the underlying option calculated using the Black Scholes option pricing model and recognized as expense on a straight-line basis over the requisite service period, which is the vesting period. Restricted stock unit awards (“RSUs”) are valued based on the closing trading value of the Company’s common stock on the date of grant and then amortized on a straight-line basis over the requisite service period of the award. The Company measures equity-based compensation awards granted to non-employees at fair value as the awards vest and recognizes the resulting value as compensation expense at each financial reporting period. Determining the appropriate fair value model and related assumptions requires judgment, including estimating stock price volatility, expected dividend yield, expected term, risk free rate of return, and the estimated fair value of the underlying common stock. Due to the lack of company specific historical and implied volatility data, the Company has based its estimate of expected volatility on the historical volatility of a group of similar companies that are publicly traded. The historical volatility is calculated based on a period of time commensurate with the expected term assumption. The group of representative companies have characteristics similar to the Company, including stage of product development and focus on the lithium-ion battery industry. The Company uses the simplified method, which is the average of the final vesting tranche date and the contractual term, to calculate the expected term for options granted to employees as it does not have sufficient historical exercise data to provide a reasonable basis upon which to estimate the expected term. The risk-free interest rate is based on a treasury instrument whose term is consistent with the expected term of the stock options. The Company uses an assumed dividend yield of zero as the Company has never paid dividends and has no current plans to pay any dividends on its common stock. The Company accounts for forfeitures as they occur. Income Taxes Deferred income tax assets and liabilities are determined based on the estimated future tax effects of net operating loss, credit carryforwards and temporary differences between the tax basis of assets and liabilities and their respective financial reporting amounts measured at the current enacted tax rates. The Company recognizes a tax benefit for an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by taxing authorities, based on the technical merits of the position. The Company had a liability of $91 as of September 30, 2024 and December 31, 2023, of uncertain tax positions. The Company’s accounting policy is to include penalties and interest related to income taxes if any, in selling, general and administrative expenses. The Company regularly assesses the need to record a valuation allowance against net deferred tax assets if, based upon the available evidence, it is more likely than not that some or all of the deferred tax assets will not be realized. Note 2 – Summary of Significant Accounting Policies (continued) Net Loss per Common Share Basic net loss per share is calculated by dividing net loss by the weighted-average number of common shares outstanding during the period. Diluted net loss per share is calculated using the weighted-average number of common shares outstanding during the period and, if dilutive, the weighted-average number of potential shares of common stock. The weighted-average number of common shares included in the computation of diluted net loss gives effect to all potentially dilutive common equivalent shares, including outstanding stock options and warrants. Common stock equivalent shares are excluded from the computation of diluted net loss per share if their effect is antidilutive. In periods in which the Company reports a net loss, diluted net loss per share is generally the same as basic net loss per share since dilutive common shares are not assumed to have been issued if their effect is anti-dilutive. <p id="xdx_89A_eus-gaap--ScheduleOfAntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareTextBlock_zkgEj2kSF0s3" style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify">The following table sets forth the number of potential shares of common stock that have been excluded from diluted net loss per share because their effect was anti-dilutive: SCHEDULE OF POTENTIAL SHARES OF COMMON STOCK EXCLUDED FROM DILUTED NET LOSS PER SHARE <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_493_20240101__20240930_zodIf6F2K4wc" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">September 30, 2024</td><td style="padding-bottom: 1pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_493_20230101__20230930_zZ9gKrkFrNc3" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">September 30, 2023</td><td style="padding-bottom: 1pt; font-weight: bold"> </td></tr> <tr id="xdx_401_eus-gaap--AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareAmount_hus-gaap--AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareByAntidilutiveSecuritiesAxis__us-gaap--WarrantMember_zaPfnyCHIjzl" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 60%">Warrants</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 16%; text-align: right">32,181,100</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 16%; text-align: right">23,219,622</td><td style="width: 1%; text-align: left"> </td></tr> <tr id="xdx_407_eus-gaap--AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareAmount_hus-gaap--AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareByAntidilutiveSecuritiesAxis__us-gaap--RestrictedStockUnitsRSUMember_zzGdiPLB30xh" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Restricted stock units</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">109,375</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">217,000</td><td style="text-align: left"> </td></tr> <tr id="xdx_407_eus-gaap--AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareAmount_hus-gaap--AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareByAntidilutiveSecuritiesAxis__us-gaap--EmployeeStockOptionMember_zROAwQAC1fRa" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="padding-bottom: 1pt">Options</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">1,748,687</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">3,274,940</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> <tr id="xdx_40D_eus-gaap--AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareAmount_zY2oj1qAEcNd" style="vertical-align: bottom; background-color: White"> <td style="padding-bottom: 2.5pt">Weighted average number of common shares-basic</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> </td><td style="border-bottom: Black 2.5pt double; text-align: right">34,039,162</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> </td><td style="border-bottom: Black 2.5pt double; text-align: right">26,711,562</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr> </table> Leases At the inception of an arrangement, the Company determines whether the arrangement is or contains a lease based on the unique facts and circumstances present in the arrangement including the use of an identified asset(s) and the Company’s control over the use of that identified asset. The Company elected, as allowed under FASB ASU 2016-02, Leases (“ASC 842”), to not recognize leases with a lease term of one year or less on its balance sheet. Leases with a term greater than one year are recognized on the balance sheet as right-of-use (“ROU”) assets and current and non-current lease liabilities, as applicable. Segment Reporting Operating segments are identified as components of an enterprise for which separate discrete financial information is available for evaluation by the Company’s Chief Executive Officer to make decisions with respect to resource allocation and assessment of performance. To date, the Company has viewed its operations and manages its business as one operating segment. Reclassifications Certain prior period amounts have been reclassified to conform to the current period presentation in the condensed consolidated financial statements and these accompanying notes. The reclassifications did not have a material impact on the Company’s unaudited condensed consolidated financial statements and related disclosures. The impact on any prior period disclosures was immaterial.

Principles of consolidation The accompanying unaudited condensed consolidated financial statements and related notes have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) and present the consolidated financial statements of the Company and its wholly owned subsidiaries. All significant intercompany transactions and balances are eliminated in consolidation.

Basis of presentation The accompanying unaudited condensed consolidated financial statements and related notes have been prepared in accordance with U.S. GAAP for interim financial information, and with the rules and regulations of the United States Securities and Exchange Commission (the “SEC”) set forth in Article 8 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete financial statements. The unaudited interim financial statements furnished reflect all adjustments (consisting of normal recurring accruals) which are, in the opinion of management, necessary to a fair statement of the results for the interim periods presented. Unaudited interim results are not necessarily indicative of the results for the full fiscal year. These condensed consolidated financial statements should be read along with the 10-K filed with the SEC on April 16, 2024 (as amended April 29, 2024, the “Annual Report”) of the Company for the annual period ended December 31, 2023. The consolidated balance sheet as of December 31, 2023 was derived from the audited consolidated financial statements as of and for the year then ended.

Going Concern The accompanying condensed consolidated financial statements have been prepared on a going concern basis, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business. The condensed consolidated financial statements do not include any adjustments that might result from the outcome of this uncertainty. During the nine months ended September 30, 2024 and 2023, the Company incurred losses from operations and had negative cash flow from operations. As of September 30, 2024, the Company had $8,019 in cash and cash equivalents and a working capital deficit of $9,927. The Company’s ability to achieve profitability and positive cash flow depends on its ability to increase revenue, contain its expenses and maintain compliance with the financial covenants in its outstanding indebtedness agreements. In connection with the Company’s senior secured term loan facility in an aggregate principal amount of $<span id="xdx_906_eus-gaap--DebtInstrumentFaceAmount_iI_pn3n3_c20240930__us-gaap--CreditFacilityAxis__custom--SeniorSecuredTermLoanFacilityMember__us-gaap--LongtermDebtTypeAxis__custom--TermLoanMember_zvwZiU9PHqj6" title="Loan amount">75,000 (as amended, the “Term Loan”), the Company is obligated to comply with certain financial covenants, which include maintaining a maximum senior leverage ratio, minimum liquidity, a springing fixed charge coverage ratio, and maximum capital expenditures (Note 6). On March 31, 2024, April 29, 2024, June 28, 2024, July 31, 2024, August 30, 2024, September 30, 2024 and October 31, 2024 the Company obtained waivers from the Term Loan administrative agent and lenders of its failures to satisfy the liquidity requirement under the Term Loan for the quarters ended March 31, 2024, June 30, 2024, and September 30, 2024 and the fiscal month ended April 30, 2024, July 31, 2024, August 31, 2024, 2024, September 30, 2024, and October 31, 2024 as applicable. If the Company is unable to obtain a waiver or if the Company is unable to comply with such covenants, the lenders have the right to accelerate the maturity of the Term Loan. These conditions raise substantial doubt about the Company’s ability to continue as a going concern. Note 2 – Summary of Significant Accounting Policies and Going Concern (continued) Going Concern (Continued) In addition, the Company will need to raise additional debt and/or equity financings to fund its operations, strategic plans, and meet its financial covenants. The Company has historically been able to raise additional capital through issuance of equity and/or debt financings and the Company intends to use its equity facility and raise additional capital as needed. However, the Company cannot guarantee that it will be able to raise additional equity, contain expenses, or increase revenue, and comply with the financial covenants under the Term Loan.

8019000

9927000

75000000

Recently issued accounting pronouncements: In November 2023, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2023-07, Segment Reporting (Topic 280), Improvements to Reportable Segment Disclosures (“ASU 2023-07”) which will require companies to disclose significant segment expenses that are regularly provided to the chief operating decision maker (“CODM”). The pronouncement is effective for annual filings for the year ended December 31, 2024. The adoption of ASU 2023-07 will necessitate substantial changes to the notes to the financial statements, specifically in the area of segment disclosures. For a company that operates as a single-segment entity and previously did not need to comply with ASC 280 Segment Reporting (“ASC 280”), the changes include: <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top"> <td style="font: 10pt Times New Roman, Times, Serif; width: 0.25in"></td><td style="font: 10pt Times New Roman, Times, Serif; width: 0.25in">●</td><td style="font: 10pt Times New Roman, Times, Serif; text-align: justify">Single reportable segment entities are required to provide the new disclosures and all disclosures currently required under ASC 280</td></tr></table> <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top"> <td style="font: 10pt Times New Roman, Times, Serif; width: 0.25in"></td><td style="font: 10pt Times New Roman, Times, Serif; width: 0.25in">●</td><td style="font: 10pt Times New Roman, Times, Serif; text-align: justify">Disclosure of the title and position of the CODM</td></tr></table> <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top"> <td style="font: 10pt Times New Roman, Times, Serif; width: 0.25in"></td><td style="font: 10pt Times New Roman, Times, Serif; width: 0.25in">●</td><td style="font: 10pt Times New Roman, Times, Serif; text-align: justify">Disclosure of significant segment expenses and “other segment items” for reach reportable segment</td></tr></table> <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top"> <td style="font: 10pt Times New Roman, Times, Serif; width: 0.25in"></td><td style="font: 10pt Times New Roman, Times, Serif; width: 0.25in">●</td><td style="font: 10pt Times New Roman, Times, Serif; text-align: justify">Disclosure of reportable segment profit or loss and assets in annual and interim periods</td></tr></table> <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top"> <td style="font: 10pt Times New Roman, Times, Serif; width: 0.25in"></td><td style="font: 10pt Times New Roman, Times, Serif; width: 0.25in">●</td><td style="font: 10pt Times New Roman, Times, Serif; text-align: justify">Disclosure of segment profitability measures used by the CODM provided such measures comply with the use of non-GAAP financial measures</td></tr></table> The Company is still in the process of assessing the full impact of adopting this standard on the enhanced disclosure requirements in the notes to the Company’s financial statements. In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures (“ASU 2023-09”). ASU 2023-09 requires enhanced annual disclosures regarding the rate reconciliation and income taxes paid information. ASU 2023-09 is effective for fiscal years beginning after December 15, 2024, and may be adopted on a prospective or retrospective basis. Early adoption is permitted. The Company is evaluating the impact of this guidance on its consolidated financial statements and related disclosures.

Cash and Cash Equivalents The Company considers all short-term debt securities purchased with a maturity of three months or less to be cash equivalents. As of September 30, 2024 and December 31, 2023, the Company held no Cash Equivalents. From time to time the Company has amounts on deposit with financial institutions that exceed federally insured limits. The Company has not experienced any significant losses in such accounts.

Accounts Receivable The Company’s trade receivables are recorded when billed and represent claims against third parties that will be settled in cash. Generally, payment is due from customers within 30-90 days of the invoice date and the contracts do not have significant financing components. Trade accounts receivables are recorded gross and are net of any applicable allowance. The allowance for credit losses as of September 30, 2024 and December 31, 2023 were not material.

Inventory Inventories (Note 4), which consist of raw materials and finished goods, are stated at the lower of cost (first in, first out) or net realizable value, net of reserves for obsolete inventory. The Company continually analyzes its slow moving and excess inventories. Based on historical and projected sales volumes and anticipated selling prices, the Company established reserves. Inventory that is in excess of current and projected use is reduced by an allowance to a level that approximates its estimate of future demand. Products that are determined to be obsolete are written down to net realizable value. The inventory reserve as of September 30, 2024 and December 31, 2023 was not material. Note 2 – Summary of Significant Accounting Policies (continued)

Use of Estimates The preparation of financial statements in conformity with U.S GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. The Company utilizes the use of estimates in its calculations for the reserve for obsolete or slow-moving inventory, right of use asset, warrant liability, equity-based compensation, and income taxes.

Revenue Recognition Under Topic 606, an entity recognizes revenue when its customer obtains control of promised goods or services, in an amount that reflects the consideration that the entity expects to receive in exchange for those goods or services. To determine revenue recognition for arrangements that an entity determines are within the scope of Topic 606, the entity performs the following five steps: (i) identify the contract(s) with a customer; (ii) identify the performance obligations in the contract; (iii) determine the transaction price; (iv) allocate the transaction price to the performance obligations in the contract; and (v) recognize revenue when (or as) the entity satisfies a performance obligation. The Company only applies the five-step model to contracts when it is probable the entity will collect the consideration it is entitled to in exchange for the goods or services it transfers to the customer. Revenue is recognized when control of the promised goods is transferred to the customer or reseller, in an amount that reflects the consideration the Company expects to be entitled to in exchange for those goods and services. Revenue associated with products holding rights of return are recognized when the Company concludes there is not a risk of significant revenue reversal in the future periods for the expected consideration in the transaction. There are no material instances including discounts and refunds where variable consideration is constrained and not recorded at the initial time of sale. Generally, our revenue is recognized at a point in time for standard promised goods at the time of shipment when title and risk of loss pass to the customer. The Company may receive payments at the onset of the contract before delivery of goods for customers in the retail channel. Payment terms for distributors and OEMs are typically due within <span id="xdx_90F_ecustom--PaymentTermForDistributorsAndOriginalEquipmentManufacturers_dtD_c20240101__20240930__srt--RangeAxis__srt--MinimumMember_zFwBlaDFmsr6" title="Payment term for distributors and OEMs">30-<span id="xdx_909_ecustom--PaymentTermForDistributorsAndOriginalEquipmentManufacturers_dtD_c20240101__20240930__srt--RangeAxis__srt--MaximumMember_zoRG4BROlvkj" title="Payment term for distributors and OEMs">90 days after shipment. In such instances, the Company records a customer deposit liability. The Company recognizes these contract liabilities as sales after the revenue criteria are met. As of September 30, 2024 and December 31, 2023, the contract liability related to the Company’s customer deposits were approximately $189 and $201, respectively. The Company recognized $201 of the contract liability as of December 31, 2023 during the nine months ended September 30, 2024. The Company recognized $230 of the contract liability as of December 31, 2022 during the nine months ended September 30, 2023. On July 29, 2024, Dragonfly Energy Corp. (“Legacy Dragonfly”), a wholly-owned subsidiary of the Company, and Battle Born Battery Products, LLC (“Battle Born LLC”), a wholly-owned subsidiary of Legacy Dragonfly, entered into a License Agreement (the “License Agreement”) with Stryten Energy LLC (“Stryten”) (Note 8). The $5,000 initial licensing fee is being recognized as revenue on a straight-line basis over five years. For the three and nine months ended September 30, 2024, the Company has recorded $<span id="xdx_907_eus-gaap--RevenueFromContractWithCustomerExcludingAssessedTax_pn3n3_c20240701__20240930__us-gaap--TypeOfArrangementAxis__custom--LicenseAgreementMember_zD5nEquAFqPe" title="License fee revenue"><span id="xdx_90A_eus-gaap--RevenueFromContractWithCustomerExcludingAssessedTax_pn3n3_c20240101__20240930__us-gaap--TypeOfArrangementAxis__custom--LicenseAgreementMember_zmivDbE4k5rj" title="License fee revenue">167 in revenue related to the License Agreement. As of September 30, 2024 and December 31, 2023, the contract liability related to the Company’s deferred revenue were approximately $4,833 and $0, respectively. As of September 30, 2024, the Company had $1,000 in short term deferred revenue and $3,833 in long-term deferred revenue related to the License Agreement. Note 2 – Summary of Significant Accounting Policies (continued)

P30D P90D

189000

201000

230000

5000000

P5Y

167000

4833000

1000000

3833000

Disaggregation of Revenue The following table present our disaggregated revenues by distribution channel: SCHEDULE OF DISAGGREGATED REVENUES BY DISTRIBUTION CHANNEL <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"> <tr style="display: none; vertical-align: bottom"> <td style="padding-bottom: 1pt">Sales</td><td style="padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_49F_20240701__20240930_zDAjzmsTQ6Ld" style="border-bottom: Black 1pt solid; text-align: center">2024</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_492_20230701__20230930_zqacWhF2lMkl" style="border-bottom: Black 1pt solid; text-align: center">2023</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_490_20240101__20240930_zykBv6adPgw9" style="border-bottom: Black 1pt solid; text-align: center">2024</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_49B_20230101__20230930_zNUNV22Dibsg" style="border-bottom: Black 1pt solid; text-align: center">2023</td><td style="padding-bottom: 1pt"> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td> </td> <td colspan="6" style="text-align: center">For the Three Months Ended</td><td> </td><td> </td> <td colspan="6" style="text-align: center">For the Nine Months Ended</td><td> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td style="padding-bottom: 1pt"> </td> <td colspan="6" style="border-bottom: Black 1pt solid; text-align: center">September 30</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="6" style="border-bottom: Black 1pt solid; text-align: center">September 30</td><td style="padding-bottom: 1pt"> </td></tr> <tr style="vertical-align: bottom"> <td style="padding-bottom: 1pt">Sales</td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">2024</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">2023</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">2024</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">2023</td><td style="padding-bottom: 1pt"> </td></tr> <tr id="xdx_400_eus-gaap--RevenueFromContractWithCustomerExcludingAssessedTax_pn3n3_hus-gaap--ContractWithCustomerSalesChannelAxis__us-gaap--SalesChannelDirectlyToConsumerMember_zirvpAx6H35a" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 36%; text-align: left; padding-left: 10pt">Direct to customer</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 12%; text-align: right">5,153</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 12%; text-align: right">10,305</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 12%; text-align: right">16,890</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 12%; text-align: right">30,314</td><td style="width: 1%; text-align: left"> </td></tr> <tr id="xdx_402_eus-gaap--RevenueFromContractWithCustomerExcludingAssessedTax_pn3n3_hus-gaap--ContractWithCustomerSalesChannelAxis__custom--OriginalEquipmentManufactureMember_zISPHMRyTQ59" style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-left: 10pt">Original equipment manufacture</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">7,400</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">5,584</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">21,376</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">23,640</td><td style="text-align: left"> </td></tr> <tr id="xdx_407_eus-gaap--RevenueFromContractWithCustomerExcludingAssessedTax_pn3n3_hus-gaap--ContractWithCustomerSalesChannelAxis__custom--LicenseFeeRevenueMember_z2srsxjXcIwa" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 1pt; padding-left: 10pt">License fee revenue</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">167</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">-</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">167</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">-</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> <tr id="xdx_402_eus-gaap--RevenueFromContractWithCustomerExcludingAssessedTax_pn3n3_z6gSeyQYUBP5" style="vertical-align: bottom; background-color: White"> <td style="padding-bottom: 2.5pt; padding-left: 20pt">Total</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">12,720</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">15,889</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">38,433</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">53,954</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr> </table> During the year ended December 31, 2023, the Company deemed it more appropriate to classify Retail and Distributor revenues as a single line item referred to as direct-to-consumer revenue. The Company has combined previously reported retail and distributor amounts to direct-to-consumer revenue to conform with current year presentation. The consolidation into direct-to-consumer revenue is motivated by the Company’s strategic perspective on its operations and better represents how it evaluates their sales channels.

The following table present our disaggregated revenues by distribution channel: SCHEDULE OF DISAGGREGATED REVENUES BY DISTRIBUTION CHANNEL <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"> <tr style="display: none; vertical-align: bottom"> <td style="padding-bottom: 1pt">Sales</td><td style="padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_49F_20240701__20240930_zDAjzmsTQ6Ld" style="border-bottom: Black 1pt solid; text-align: center">2024</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_492_20230701__20230930_zqacWhF2lMkl" style="border-bottom: Black 1pt solid; text-align: center">2023</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_490_20240101__20240930_zykBv6adPgw9" style="border-bottom: Black 1pt solid; text-align: center">2024</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_49B_20230101__20230930_zNUNV22Dibsg" style="border-bottom: Black 1pt solid; text-align: center">2023</td><td style="padding-bottom: 1pt"> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td> </td> <td colspan="6" style="text-align: center">For the Three Months Ended</td><td> </td><td> </td> <td colspan="6" style="text-align: center">For the Nine Months Ended</td><td> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td style="padding-bottom: 1pt"> </td> <td colspan="6" style="border-bottom: Black 1pt solid; text-align: center">September 30</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="6" style="border-bottom: Black 1pt solid; text-align: center">September 30</td><td style="padding-bottom: 1pt"> </td></tr> <tr style="vertical-align: bottom"> <td style="padding-bottom: 1pt">Sales</td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">2024</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">2023</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">2024</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">2023</td><td style="padding-bottom: 1pt"> </td></tr> <tr id="xdx_400_eus-gaap--RevenueFromContractWithCustomerExcludingAssessedTax_pn3n3_hus-gaap--ContractWithCustomerSalesChannelAxis__us-gaap--SalesChannelDirectlyToConsumerMember_zirvpAx6H35a" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 36%; text-align: left; padding-left: 10pt">Direct to customer</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 12%; text-align: right">5,153</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 12%; text-align: right">10,305</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 12%; text-align: right">16,890</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 12%; text-align: right">30,314</td><td style="width: 1%; text-align: left"> </td></tr> <tr id="xdx_402_eus-gaap--RevenueFromContractWithCustomerExcludingAssessedTax_pn3n3_hus-gaap--ContractWithCustomerSalesChannelAxis__custom--OriginalEquipmentManufactureMember_zISPHMRyTQ59" style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-left: 10pt">Original equipment manufacture</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">7,400</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">5,584</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">21,376</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">23,640</td><td style="text-align: left"> </td></tr> <tr id="xdx_407_eus-gaap--RevenueFromContractWithCustomerExcludingAssessedTax_pn3n3_hus-gaap--ContractWithCustomerSalesChannelAxis__custom--LicenseFeeRevenueMember_z2srsxjXcIwa" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 1pt; padding-left: 10pt">License fee revenue</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">167</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">-</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">167</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">-</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> <tr id="xdx_402_eus-gaap--RevenueFromContractWithCustomerExcludingAssessedTax_pn3n3_z6gSeyQYUBP5" style="vertical-align: bottom; background-color: White"> <td style="padding-bottom: 2.5pt; padding-left: 20pt">Total</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">12,720</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">15,889</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">38,433</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">53,954</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr> </table>

5153000

10305000

16890000

30314000

7400000

5584000

21376000

23640000

167000

12720000

15889000

38433000

53954000

Product Warranty The Company offers assurance type warranties from 5 to 10 years on its products. The Company estimates the costs associated with the warranty obligation using historical data of warranty claims and costs incurred to satisfy those claims. The Company estimates, based upon a review of historical warranty claim experience, the costs that may be incurred under its warranties and record a liability in the amount of such estimate at the time a product is sold. Factors that affect our warranty liability include the number of units sold, historical and anticipated rates of warranty claims, and cost per claim. The Company periodically assesses the adequacy of our recorded warranty liability and adjust the accrual as claims data and historical experience warrants. The Company has assessed the costs of fulfilling its existing assurance type warranties and has determined that the estimated outstanding warranty obligation at September 30, 2024 and December 31, 2023 to be $482 and $307, respectively. SCHEDULE OF WARRANTY OBLIGATION <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_495_20240101__20240930_zADB3r7SERM7" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">September 30, 2024</td><td style="padding-bottom: 1pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_493_20230101__20231231_zdNVsk8ie9wg" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">December 31, 2023</td><td style="padding-bottom: 1pt; font-weight: bold"> </td></tr> <tr id="xdx_404_eus-gaap--ProductWarrantyAccrual_iS_pn3n3_zf9TmpUCYJ2i" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 60%; text-align: left">Beginning warranty obligation</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 16%; text-align: right">307</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 16%; text-align: right">328</td><td style="width: 1%; text-align: left"> </td></tr> <tr id="xdx_406_eus-gaap--ProductWarrantyAccrualWarrantiesIssued_zDK1HU0u7fuh" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Provision of warranty expense</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">433</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">397</td><td style="text-align: left"> </td></tr> <tr id="xdx_40A_eus-gaap--ProductWarrantyAccrualPayments_iN_di_zeusxnHIwEai" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 1pt">Settlement of warranty claims</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">(258</td><td style="padding-bottom: 1pt; text-align: left">)</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">(418</td><td style="padding-bottom: 1pt; text-align: left">)</td></tr> <tr id="xdx_40E_eus-gaap--ProductWarrantyAccrual_iE_pn3n3_zHP9MuttfE5k" style="vertical-align: bottom; background-color: White"> <td style="padding-left: 10pt; padding-bottom: 2.5pt">Ending warrant obligation</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">482</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">307</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr> </table>

P5Y P10Y

482000

307000

SCHEDULE OF WARRANTY OBLIGATION <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_495_20240101__20240930_zADB3r7SERM7" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">September 30, 2024</td><td style="padding-bottom: 1pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_493_20230101__20231231_zdNVsk8ie9wg" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">December 31, 2023</td><td style="padding-bottom: 1pt; font-weight: bold"> </td></tr> <tr id="xdx_404_eus-gaap--ProductWarrantyAccrual_iS_pn3n3_zf9TmpUCYJ2i" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 60%; text-align: left">Beginning warranty obligation</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 16%; text-align: right">307</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 16%; text-align: right">328</td><td style="width: 1%; text-align: left"> </td></tr> <tr id="xdx_406_eus-gaap--ProductWarrantyAccrualWarrantiesIssued_zDK1HU0u7fuh" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Provision of warranty expense</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">433</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">397</td><td style="text-align: left"> </td></tr> <tr id="xdx_40A_eus-gaap--ProductWarrantyAccrualPayments_iN_di_zeusxnHIwEai" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 1pt">Settlement of warranty claims</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">(258</td><td style="padding-bottom: 1pt; text-align: left">)</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">(418</td><td style="padding-bottom: 1pt; text-align: left">)</td></tr> <tr id="xdx_40E_eus-gaap--ProductWarrantyAccrual_iE_pn3n3_zHP9MuttfE5k" style="vertical-align: bottom; background-color: White"> <td style="padding-left: 10pt; padding-bottom: 2.5pt">Ending warrant obligation</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">482</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">307</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr> </table>

307000

328000

433000

397000

258000

418000

482000

307000

Concentrations As of September 30, 2024, receivables from Customer A, Customer B, and Customer C comprised approximately <span id="xdx_902_eus-gaap--ConcentrationRiskPercentage1_pid_dp_uPure_c20240101__20240930__us-gaap--ConcentrationRiskByBenchmarkAxis__us-gaap--AccountsReceivableMember__us-gaap--ConcentrationRiskByTypeAxis__us-gaap--CustomerConcentrationRiskMember__srt--MajorCustomersAxis__custom--CustomerAMember_zRcR2NVZa2lk" title="Concentration risk, percentage">19%, <span id="xdx_904_eus-gaap--ConcentrationRiskPercentage1_pid_dp_c20240101__20240930__us-gaap--ConcentrationRiskByBenchmarkAxis__us-gaap--AccountsReceivableMember__us-gaap--ConcentrationRiskByTypeAxis__us-gaap--CustomerConcentrationRiskMember__srt--MajorCustomersAxis__custom--CustomerBMember_zP56LPBkALyf" title="Concentration risk, percentage">12% and <span id="xdx_906_eus-gaap--ConcentrationRiskPercentage1_pid_dp_c20240101__20240930__us-gaap--ConcentrationRiskByBenchmarkAxis__us-gaap--AccountsReceivableMember__us-gaap--ConcentrationRiskByTypeAxis__us-gaap--CustomerConcentrationRiskMember__srt--MajorCustomersAxis__custom--CustomerCMember_z7xWu4B1Yfva" title="Concentration risk, percentage">10%, respectively, of accounts receivable. As of December 31, 2023, receivables from Customer D and E comprised approximately <span id="xdx_90A_eus-gaap--ConcentrationRiskPercentage1_pid_dp_c20230101__20231231__us-gaap--ConcentrationRiskByBenchmarkAxis__us-gaap--AccountsReceivableMember__us-gaap--ConcentrationRiskByTypeAxis__us-gaap--CustomerConcentrationRiskMember__srt--MajorCustomersAxis__custom--CustomerDMember_zGLOxMSeN8n3" title="Concentration risk, percentage">28% and <span id="xdx_901_eus-gaap--ConcentrationRiskPercentage1_pid_dp_c20230101__20231231__us-gaap--ConcentrationRiskByBenchmarkAxis__us-gaap--AccountsReceivableMember__us-gaap--ConcentrationRiskByTypeAxis__us-gaap--CustomerConcentrationRiskMember__srt--MajorCustomersAxis__custom--CustomerEMember_zECATjRT8zDj" title="Concentration risk, percentage">10%, respectively, of accounts receivable. For the nine months ended September 30, 2024, sales from Customer A comprised approximately <span id="xdx_90E_eus-gaap--ConcentrationRiskPercentage1_pid_dp_c20240101__20240930__us-gaap--ConcentrationRiskByBenchmarkAxis__us-gaap--RevenueFromContractWithCustomerMember__us-gaap--ConcentrationRiskByTypeAxis__us-gaap--CustomerConcentrationRiskMember__srt--MajorCustomersAxis__custom--CustomerAMember_z0eEinlRreq7" title="Concentration risk, percentage">15% of the Company’s total revenue. For the nine months ended September 30, 2023, sales from Customer B accounted for approximately <span id="xdx_909_eus-gaap--ConcentrationRiskPercentage1_pid_dp_c20230101__20230930__us-gaap--ConcentrationRiskByBenchmarkAxis__us-gaap--RevenueFromContractWithCustomerMember__us-gaap--ConcentrationRiskByTypeAxis__us-gaap--CustomerConcentrationRiskMember__srt--MajorCustomersAxis__custom--CustomerBMember_znSqJvPgG5zi" title="Concentration risk, percentage">19% of the Company’s total revenue. For the three months ended September 30, 2024, sales from Customer A comprised approximately <span id="xdx_90E_eus-gaap--ConcentrationRiskPercentage1_pid_dp_c20240701__20240930__us-gaap--ConcentrationRiskByBenchmarkAxis__us-gaap--RevenueFromContractWithCustomerMember__us-gaap--ConcentrationRiskByTypeAxis__us-gaap--CustomerConcentrationRiskMember__srt--MajorCustomersAxis__custom--CustomerAMember_zDHAjOCXEtu7" title="Concentration risk, percentage">16% of the Company’s total revenue. For the three months ended September 30, 2023, sales from Customer C accounted for approximately <span id="xdx_901_eus-gaap--ConcentrationRiskPercentage1_pid_dp_c20230701__20230930__us-gaap--ConcentrationRiskByBenchmarkAxis__us-gaap--RevenueFromContractWithCustomerMember__us-gaap--ConcentrationRiskByTypeAxis__us-gaap--CustomerConcentrationRiskMember__srt--MajorCustomersAxis__custom--CustomerCMember_zZImbfZwqsLl" title="Concentration risk, percentage">11% of the Company’s total revenue. Note 2 – Summary of Significant Accounting Policies (continued) Concentrations (Continued) As of September 30, 2024, payables to Vendor A and Vendor B comprised approximately <span id="xdx_906_eus-gaap--ConcentrationRiskPercentage1_pid_dp_c20240101__20240930__us-gaap--ConcentrationRiskByBenchmarkAxis__us-gaap--AccountsPayableMember__us-gaap--ConcentrationRiskByTypeAxis__us-gaap--SupplierConcentrationRiskMember__srt--MajorCustomersAxis__custom--VendorAMember_zbSYgo40qHE6" title="Concentration risk, percentage">36% and <span id="xdx_901_eus-gaap--ConcentrationRiskPercentage1_pid_dp_c20240101__20240930__us-gaap--ConcentrationRiskByBenchmarkAxis__us-gaap--AccountsPayableMember__us-gaap--ConcentrationRiskByTypeAxis__us-gaap--SupplierConcentrationRiskMember__srt--MajorCustomersAxis__custom--VendorBMember_zsa88quO9sM3" title="Concentration risk, percentage">18%, respectively, of accounts payables. As of December 31, 2023, payables to Vendor A comprised approximately <span id="xdx_90D_eus-gaap--ConcentrationRiskPercentage1_pid_dp_c20230101__20231231__us-gaap--ConcentrationRiskByBenchmarkAxis__us-gaap--AccountsPayableMember__us-gaap--ConcentrationRiskByTypeAxis__us-gaap--SupplierConcentrationRiskMember__srt--MajorCustomersAxis__custom--VendorAMember_z8JlyaChpSCb" title="Concentration risk, percentage">65% of accounts payables. For the nine months ended September 30, 2024, Vendor A accounted for approximately <span id="xdx_90F_eus-gaap--ConcentrationRiskPercentage1_pid_dp_c20240101__20240930__us-gaap--ConcentrationRiskByBenchmarkAxis__custom--TotalPurchasesMember__us-gaap--ConcentrationRiskByTypeAxis__us-gaap--SupplierConcentrationRiskMember__srt--MajorCustomersAxis__custom--VendorAMember_zpWu6TLNXyqe" title="Concentration risk, percentage">11% of the Company’s total purchases. For the nine months ended September 30, 2023, Vendor B accounted for approximately <span id="xdx_904_eus-gaap--ConcentrationRiskPercentage1_pid_dp_c20230101__20230930__us-gaap--ConcentrationRiskByBenchmarkAxis__custom--TotalPurchasesMember__us-gaap--ConcentrationRiskByTypeAxis__us-gaap--SupplierConcentrationRiskMember__srt--MajorCustomersAxis__custom--VendorBMember_znHpkR66n3j1" title="Concentration risk, percentage">16% of the Company’s total purchases. For the three months ended September 30, 2024, Vendor A and Vendor C accounted for approximately <span id="xdx_902_eus-gaap--ConcentrationRiskPercentage1_pid_dp_c20240701__20240930__us-gaap--ConcentrationRiskByBenchmarkAxis__custom--TotalPurchasesMember__us-gaap--ConcentrationRiskByTypeAxis__us-gaap--SupplierConcentrationRiskMember__srt--MajorCustomersAxis__custom--VendorAMember_zKFg62DnQvm1" title="Concentration risk, percentage">16% and <span id="xdx_90C_eus-gaap--ConcentrationRiskPercentage1_pid_dp_c20240701__20240930__us-gaap--ConcentrationRiskByBenchmarkAxis__custom--TotalPurchasesMember__us-gaap--ConcentrationRiskByTypeAxis__us-gaap--SupplierConcentrationRiskMember__srt--MajorCustomersAxis__custom--VendorCMember_zfA12qkgXQM7" title="Concentration risk, percentage">13%, respectively, of the Company’s total purchases. For the three months ended September 30, 2023, Vendor C, D and E accounted for approximately <span id="xdx_906_eus-gaap--ConcentrationRiskPercentage1_pid_dp_c20230701__20230930__us-gaap--ConcentrationRiskByBenchmarkAxis__custom--TotalPurchasesMember__us-gaap--ConcentrationRiskByTypeAxis__us-gaap--SupplierConcentrationRiskMember__srt--MajorCustomersAxis__custom--VendorCMember_zBYPMm908sWc" title="Concentration risk, percentage">14%, <span id="xdx_904_eus-gaap--ConcentrationRiskPercentage1_pid_dp_c20230701__20230930__us-gaap--ConcentrationRiskByBenchmarkAxis__custom--TotalPurchasesMember__us-gaap--ConcentrationRiskByTypeAxis__us-gaap--SupplierConcentrationRiskMember__srt--MajorCustomersAxis__custom--VendorDMember_zdHV6hzVIAVd" title="Concentration risk, percentage">11%, and <span id="xdx_901_eus-gaap--ConcentrationRiskPercentage1_pid_dp_c20230701__20230930__us-gaap--ConcentrationRiskByBenchmarkAxis__custom--TotalPurchasesMember__us-gaap--ConcentrationRiskByTypeAxis__us-gaap--SupplierConcentrationRiskMember__srt--MajorCustomersAxis__custom--VendorEMember_zoLEnOg7UVe4" title="Concentration risk, percentage">10%, respectively, of the Company’s total purchases.

0.19

0.12

0.10

0.28

0.10

0.15

0.19

0.16

0.11

0.36

0.18

0.65

0.11

0.16

0.13

0.14

0.11

0.10

Stock-Based Compensation The Company accounts for stock-based compensation arrangements with employees and non-employee consultants using a fair value method which requires the recognition of compensation expense for costs related to all stock-based payments, including stock options (Note 12). The fair value method requires the Company to estimate the fair value of stock-based payment awards to employees and non-employees on the date of grant using an option pricing model. Stock based compensation costs are based on the fair value of the underlying option calculated using the Black Scholes option pricing model and recognized as expense on a straight-line basis over the requisite service period, which is the vesting period. Restricted stock unit awards (“RSUs”) are valued based on the closing trading value of the Company’s common stock on the date of grant and then amortized on a straight-line basis over the requisite service period of the award. The Company measures equity-based compensation awards granted to non-employees at fair value as the awards vest and recognizes the resulting value as compensation expense at each financial reporting period. Determining the appropriate fair value model and related assumptions requires judgment, including estimating stock price volatility, expected dividend yield, expected term, risk free rate of return, and the estimated fair value of the underlying common stock. Due to the lack of company specific historical and implied volatility data, the Company has based its estimate of expected volatility on the historical volatility of a group of similar companies that are publicly traded. The historical volatility is calculated based on a period of time commensurate with the expected term assumption. The group of representative companies have characteristics similar to the Company, including stage of product development and focus on the lithium-ion battery industry. The Company uses the simplified method, which is the average of the final vesting tranche date and the contractual term, to calculate the expected term for options granted to employees as it does not have sufficient historical exercise data to provide a reasonable basis upon which to estimate the expected term. The risk-free interest rate is based on a treasury instrument whose term is consistent with the expected term of the stock options. The Company uses an assumed dividend yield of zero as the Company has never paid dividends and has no current plans to pay any dividends on its common stock. The Company accounts for forfeitures as they occur.

Income Taxes Deferred income tax assets and liabilities are determined based on the estimated future tax effects of net operating loss, credit carryforwards and temporary differences between the tax basis of assets and liabilities and their respective financial reporting amounts measured at the current enacted tax rates. The Company recognizes a tax benefit for an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by taxing authorities, based on the technical merits of the position. The Company had a liability of $91 as of September 30, 2024 and December 31, 2023, of uncertain tax positions. The Company’s accounting policy is to include penalties and interest related to income taxes if any, in selling, general and administrative expenses. The Company regularly assesses the need to record a valuation allowance against net deferred tax assets if, based upon the available evidence, it is more likely than not that some or all of the deferred tax assets will not be realized. Note 2 – Summary of Significant Accounting Policies (continued)

91000

Net Loss per Common Share Basic net loss per share is calculated by dividing net loss by the weighted-average number of common shares outstanding during the period. Diluted net loss per share is calculated using the weighted-average number of common shares outstanding during the period and, if dilutive, the weighted-average number of potential shares of common stock. The weighted-average number of common shares included in the computation of diluted net loss gives effect to all potentially dilutive common equivalent shares, including outstanding stock options and warrants. Common stock equivalent shares are excluded from the computation of diluted net loss per share if their effect is antidilutive. In periods in which the Company reports a net loss, diluted net loss per share is generally the same as basic net loss per share since dilutive common shares are not assumed to have been issued if their effect is anti-dilutive. <p id="xdx_89A_eus-gaap--ScheduleOfAntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareTextBlock_zkgEj2kSF0s3" style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify">The following table sets forth the number of potential shares of common stock that have been excluded from diluted net loss per share because their effect was anti-dilutive: SCHEDULE OF POTENTIAL SHARES OF COMMON STOCK EXCLUDED FROM DILUTED NET LOSS PER SHARE <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_493_20240101__20240930_zodIf6F2K4wc" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">September 30, 2024</td><td style="padding-bottom: 1pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_493_20230101__20230930_zZ9gKrkFrNc3" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">September 30, 2023</td><td style="padding-bottom: 1pt; font-weight: bold"> </td></tr> <tr id="xdx_401_eus-gaap--AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareAmount_hus-gaap--AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareByAntidilutiveSecuritiesAxis__us-gaap--WarrantMember_zaPfnyCHIjzl" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 60%">Warrants</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 16%; text-align: right">32,181,100</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 16%; text-align: right">23,219,622</td><td style="width: 1%; text-align: left"> </td></tr> <tr id="xdx_407_eus-gaap--AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareAmount_hus-gaap--AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareByAntidilutiveSecuritiesAxis__us-gaap--RestrictedStockUnitsRSUMember_zzGdiPLB30xh" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Restricted stock units</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">109,375</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">217,000</td><td style="text-align: left"> </td></tr> <tr id="xdx_407_eus-gaap--AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareAmount_hus-gaap--AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareByAntidilutiveSecuritiesAxis__us-gaap--EmployeeStockOptionMember_zROAwQAC1fRa" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="padding-bottom: 1pt">Options</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">1,748,687</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">3,274,940</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> <tr id="xdx_40D_eus-gaap--AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareAmount_zY2oj1qAEcNd" style="vertical-align: bottom; background-color: White"> <td style="padding-bottom: 2.5pt">Weighted average number of common shares-basic</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> </td><td style="border-bottom: Black 2.5pt double; text-align: right">34,039,162</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> </td><td style="border-bottom: Black 2.5pt double; text-align: right">26,711,562</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr> </table>

<p id="xdx_89A_eus-gaap--ScheduleOfAntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareTextBlock_zkgEj2kSF0s3" style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify">The following table sets forth the number of potential shares of common stock that have been excluded from diluted net loss per share because their effect was anti-dilutive: SCHEDULE OF POTENTIAL SHARES OF COMMON STOCK EXCLUDED FROM DILUTED NET LOSS PER SHARE <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_493_20240101__20240930_zodIf6F2K4wc" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">September 30, 2024</td><td style="padding-bottom: 1pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_493_20230101__20230930_zZ9gKrkFrNc3" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">September 30, 2023</td><td style="padding-bottom: 1pt; font-weight: bold"> </td></tr> <tr id="xdx_401_eus-gaap--AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareAmount_hus-gaap--AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareByAntidilutiveSecuritiesAxis__us-gaap--WarrantMember_zaPfnyCHIjzl" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 60%">Warrants</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 16%; text-align: right">32,181,100</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 16%; text-align: right">23,219,622</td><td style="width: 1%; text-align: left"> </td></tr> <tr id="xdx_407_eus-gaap--AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareAmount_hus-gaap--AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareByAntidilutiveSecuritiesAxis__us-gaap--RestrictedStockUnitsRSUMember_zzGdiPLB30xh" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Restricted stock units</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">109,375</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">217,000</td><td style="text-align: left"> </td></tr> <tr id="xdx_407_eus-gaap--AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareAmount_hus-gaap--AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareByAntidilutiveSecuritiesAxis__us-gaap--EmployeeStockOptionMember_zROAwQAC1fRa" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="padding-bottom: 1pt">Options</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">1,748,687</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">3,274,940</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> <tr id="xdx_40D_eus-gaap--AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareAmount_zY2oj1qAEcNd" style="vertical-align: bottom; background-color: White"> <td style="padding-bottom: 2.5pt">Weighted average number of common shares-basic</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> </td><td style="border-bottom: Black 2.5pt double; text-align: right">34,039,162</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> </td><td style="border-bottom: Black 2.5pt double; text-align: right">26,711,562</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr> </table>

32181100000

23219622000

109375000

217000000

1748687000

3274940000

34039162000

26711562000

Leases At the inception of an arrangement, the Company determines whether the arrangement is or contains a lease based on the unique facts and circumstances present in the arrangement including the use of an identified asset(s) and the Company’s control over the use of that identified asset. The Company elected, as allowed under FASB ASU 2016-02, Leases (“ASC 842”), to not recognize leases with a lease term of one year or less on its balance sheet. Leases with a term greater than one year are recognized on the balance sheet as right-of-use (“ROU”) assets and current and non-current lease liabilities, as applicable.

Segment Reporting Operating segments are identified as components of an enterprise for which separate discrete financial information is available for evaluation by the Company’s Chief Executive Officer to make decisions with respect to resource allocation and assessment of performance. To date, the Company has viewed its operations and manages its business as one operating segment.

Reclassifications Certain prior period amounts have been reclassified to conform to the current period presentation in the condensed consolidated financial statements and these accompanying notes. The reclassifications did not have a material impact on the Company’s unaudited condensed consolidated financial statements and related disclosures. The impact on any prior period disclosures was immaterial.

Note 3 - Fair Value Measurements ASC 820, Fair Value Measurements and Disclosures (“ASC 820”), establishes a fair value hierarchy for instruments measured at fair value that distinguishes between assumptions based on market data (observable inputs) and the Company’s own assumptions (unobservable inputs). Observable inputs are inputs that market participants would use in pricing the asset or liability based on market data obtained from sources independent of the Company. Unobservable inputs are inputs that reflect the Company’s assumptions about the inputs that market participants would use in pricing the asset or liability and are developed based on the best information available in the circumstances. ASC 820 identifies fair value as the exchange price, or exit price, representing the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. As a basis for considering market participant assumptions in fair value measurements, ASC 820 establishes a three-tier fair value hierarchy that distinguishes between the following: <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0; margin-bottom: 0"><tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top"> <td style="font: 10pt Times New Roman, Times, Serif; width: 0.25in">●</td><td style="font: 10pt Times New Roman, Times, Serif; text-align: justify">Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities.</td></tr> <tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top"> <td style="font: 10pt Times New Roman, Times, Serif; width: 0.25in">●</td><td style="font: 10pt Times New Roman, Times, Serif; text-align: justify">Level 2 inputs are inputs other than quoted prices included within Level 1 that are observable for a similar asset or liability, either directly or indirectly.</td></tr> <tr style="font: 10pt Times New Roman, Times, Serif; vertical-align: top"> <td style="font: 10pt Times New Roman, Times, Serif; width: 0.25in">●</td><td style="font: 10pt Times New Roman, Times, Serif; text-align: justify">Level 3 inputs are unobservable inputs that reflect the Company’s own assumptions about the inputs that market participants would use in pricing the asset or liability.</td></tr></table> Financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. To the extent that the valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. Accordingly, the degree of judgment exercised by the Company in determining fair value is greatest for instruments categorized in Level 3. A financial instrument’s level within the fair value hierarchy is based on the lowest level of any input that is significant to the fair value measurement. Note 3 - Fair Value Measurements (continued) <p id="xdx_893_eus-gaap--ScheduleOfFairValueAssetsAndLiabilitiesMeasuredOnRecurringBasisTableTextBlock_zRQdSCpxszg3" style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify">The following table presents assets and liabilities that were measured at fair value in the Condensed Consolidated Balance Sheets on a recurring basis as of September 30, 2024: SCHEDULE OF FAIR VALUE OF ASSETS AND LIABILITIES <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"> <tr style="vertical-align: bottom"> <td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt; font-weight: bold"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">Carrying Amount</td><td style="padding-bottom: 1pt; font-weight: bold"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center"> Fair Value</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center"> (Level 1)</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center"> (Level 2)</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center"> (Level 3)</td><td style="padding-bottom: 1pt"> </td></tr> <tr style="vertical-align: bottom"> <td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="18" style="border-bottom: Black 1pt solid; text-align: center">As of September 30, 2024</td><td style="padding-bottom: 1pt"> </td></tr> <tr style="vertical-align: bottom"> <td style="border-bottom: Black 1pt solid">Liabilities</td><td style="padding-bottom: 1pt"> </td> <td colspan="2"> </td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2"> </td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2"> </td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2"> </td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2"> </td><td style="padding-bottom: 1pt"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 30%; text-align: left">Warrant liability- Term Loan</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_982_eus-gaap--DerivativeLiabilitiesNoncurrent_iI_pn3n3_c20240930__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FinancialInstrumentAxis__custom--TermLoanMember_zF0wgIQwmb49" style="width: 10%; text-align: right" title="Carrying Amount">5,017</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_98D_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20240930__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FinancialInstrumentAxis__custom--TermLoanMember_zcXyUGbiv4v4" style="width: 10%; text-align: right">5,017</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_98B_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20240930__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel1Member__us-gaap--FinancialInstrumentAxis__custom--TermLoanMember_zs5tkjAfCE7k" style="width: 10%; text-align: right"> -</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_98B_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20240930__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel2Member__us-gaap--FinancialInstrumentAxis__custom--TermLoanMember_z1oqlpCcLqnd" style="width: 10%; text-align: right">-</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_982_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20240930__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel3Member__us-gaap--FinancialInstrumentAxis__custom--TermLoanMember_zDljw4ddqDIl" style="width: 10%; text-align: right">5,017</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Warrant liability- June Public Offering</td><td> </td> <td style="text-align: left"> </td><td id="xdx_980_eus-gaap--DerivativeLiabilitiesNoncurrent_iI_pn3n3_c20240930__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FinancialInstrumentAxis__custom--JunePublicOfferingMember_zl8CfBNLqw71" style="text-align: right" title="Carrying Amount">2,686</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_984_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20240930__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FinancialInstrumentAxis__custom--JunePublicOfferingMember_ztUUcgL3ZhN1" style="text-align: right">2,686</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_985_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20240930__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel1Member__us-gaap--FinancialInstrumentAxis__custom--JunePublicOfferingMember_zh1UGe7WEQD8" style="text-align: right">-</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_985_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20240930__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel2Member__us-gaap--FinancialInstrumentAxis__custom--JunePublicOfferingMember_z6TBJDlRz8F8" style="text-align: right">-</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_983_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20240930__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel3Member__us-gaap--FinancialInstrumentAxis__custom--JunePublicOfferingMember_z8hc9yMuVWEc" style="text-align: right">2,686</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="padding-bottom: 1pt; text-align: left">Warrant liability- Private Placement Warrants</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td id="xdx_98C_eus-gaap--DerivativeLiabilitiesNoncurrent_iI_pn3n3_c20240930__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FinancialInstrumentAxis__custom--PrivatePlacementWarrantsMember_zLCSGyOiX7N9" style="border-bottom: Black 1pt solid; text-align: right" title="Carrying Amount">11</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td id="xdx_985_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20240930__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FinancialInstrumentAxis__custom--PrivatePlacementWarrantsMember_ztVVXF43WSR7" style="border-bottom: Black 1pt solid; text-align: right">11</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td id="xdx_985_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20240930__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel1Member__us-gaap--FinancialInstrumentAxis__custom--PrivatePlacementWarrantsMember_zrqh4uvG3k9f" style="border-bottom: Black 1pt solid; text-align: right">-</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td id="xdx_982_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20240930__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel2Member__us-gaap--FinancialInstrumentAxis__custom--PrivatePlacementWarrantsMember_ztWEPqoow5Ra" style="border-bottom: Black 1pt solid; text-align: right">11</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td id="xdx_989_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20240930__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel3Member__us-gaap--FinancialInstrumentAxis__custom--PrivatePlacementWarrantsMember_zFHvoYAMoiT7" style="border-bottom: Black 1pt solid; text-align: right">-</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 2.5pt">Total liabilities</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td id="xdx_984_eus-gaap--DerivativeLiabilitiesNoncurrent_iI_pn3n3_c20240930__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember_zY4WiefKVqv5" style="border-bottom: Black 2.5pt double; text-align: right" title="Carrying Amount">7,714</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td id="xdx_982_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20240930__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember_zG1YFKt5ARm2" style="border-bottom: Black 2.5pt double; text-align: right" title="Fair Value">7,714</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td id="xdx_985_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20240930__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel1Member_zmOWZjrd9XBk" style="border-bottom: Black 2.5pt double; text-align: right" title="Fair Value">-</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td id="xdx_987_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20240930__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel2Member_zeBAyL48MFN7" style="border-bottom: Black 2.5pt double; text-align: right" title="Fair Value">11</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td id="xdx_981_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20240930__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel3Member_z3Qx9hwkq6v3" style="border-bottom: Black 2.5pt double; text-align: right" title="Fair Value">7,703</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr> </table> The following table presents assets and liabilities that were measured at fair value in the Condensed Consolidated Balance Sheets on a recurring basis as of December 31, 2023: <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"> <tr style="vertical-align: bottom"> <td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt; font-weight: bold"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">Carrying Amount</td><td style="padding-bottom: 1pt; font-weight: bold"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: justify"> Fair Value</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center"> (Level 1)</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center"> (Level 2)</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center"> (Level 3)</td><td style="padding-bottom: 1pt"> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td style="padding-bottom: 1pt"> </td> <td colspan="18" style="border-bottom: Black 1pt solid; text-align: center">As of December 31, 2023</td><td style="padding-bottom: 1pt"> </td></tr> <tr style="vertical-align: bottom"> <td style="border-bottom: Black 1pt solid">Liabilities</td><td style="padding-bottom: 1pt"> </td> <td colspan="2"> </td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2"> </td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2"> </td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2"> </td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2"> </td><td style="padding-bottom: 1pt"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 30%; text-align: left">Warrant liability- Term Loan</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_98E_eus-gaap--DerivativeLiabilitiesNoncurrent_iI_pn3n3_c20231231__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FinancialInstrumentAxis__custom--TermLoanMember_zeWrXGCHX6o4" style="width: 10%; text-align: right" title="Carrying Amount">1,014</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_980_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20231231__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FinancialInstrumentAxis__custom--TermLoanMember_zZtBSWTJQgQ3" style="width: 10%; text-align: right">1,014</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_98F_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20231231__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel1Member__us-gaap--FinancialInstrumentAxis__custom--TermLoanMember_znQGmH3O6nY" style="width: 10%; text-align: right"> -</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_988_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20231231__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel2Member__us-gaap--FinancialInstrumentAxis__custom--TermLoanMember_z3MYhptRwk87" style="width: 10%; text-align: right">-</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_984_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20231231__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel3Member__us-gaap--FinancialInstrumentAxis__custom--TermLoanMember_zBq0GAiVk8i9" style="width: 10%; text-align: right">1,014</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Warrant liability- June Public Offering</td><td> </td> <td style="text-align: left"> </td><td id="xdx_980_eus-gaap--DerivativeLiabilitiesNoncurrent_iI_pn3n3_c20231231__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FinancialInstrumentAxis__custom--JunePublicOfferingMember_zcLekKXll7y" style="text-align: right" title="Carrying Amount">3,434</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_98E_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20231231__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FinancialInstrumentAxis__custom--JunePublicOfferingMember_zpbcpgz2UtE4" style="text-align: right">3,434</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_984_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20231231__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel1Member__us-gaap--FinancialInstrumentAxis__custom--JunePublicOfferingMember_z24SRtMO4M3k" style="text-align: right">-</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_985_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20231231__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel2Member__us-gaap--FinancialInstrumentAxis__custom--JunePublicOfferingMember_zNQS1Hbi2kSj" style="text-align: right">-</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_985_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20231231__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel3Member__us-gaap--FinancialInstrumentAxis__custom--JunePublicOfferingMember_zMeno73ymFjh" style="text-align: right">3,434</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="padding-bottom: 1pt; text-align: left">Warrant liability- Private placement warrants</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td id="xdx_98A_eus-gaap--DerivativeLiabilitiesNoncurrent_iI_pn3n3_c20231231__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FinancialInstrumentAxis__custom--PrivatePlacementWarrantsMember_z52o6TFCkDWg" style="border-bottom: Black 1pt solid; text-align: right" title="Carrying Amount">15</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td id="xdx_984_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20231231__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FinancialInstrumentAxis__custom--PrivatePlacementWarrantsMember_zsT1vl2f60b4" style="border-bottom: Black 1pt solid; text-align: right">15</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td id="xdx_98A_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20231231__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel1Member__us-gaap--FinancialInstrumentAxis__custom--PrivatePlacementWarrantsMember_zEP9Mb73sZsd" style="border-bottom: Black 1pt solid; text-align: right">-</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td id="xdx_982_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20231231__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel2Member__us-gaap--FinancialInstrumentAxis__custom--PrivatePlacementWarrantsMember_zGambWqCcJP5" style="border-bottom: Black 1pt solid; text-align: right">15</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td id="xdx_98A_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20231231__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel3Member__us-gaap--FinancialInstrumentAxis__custom--PrivatePlacementWarrantsMember_zHhxb5OoVUg6" style="border-bottom: Black 1pt solid; text-align: right">-</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 2.5pt">Total liabilities</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td id="xdx_987_eus-gaap--DerivativeLiabilitiesNoncurrent_iI_pn3n3_c20231231__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember_z7dJMw2K6726" style="border-bottom: Black 2.5pt double; text-align: right" title="Carrying Amount">4,463</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td id="xdx_987_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20231231__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember_zupxnRjk5Az" style="border-bottom: Black 2.5pt double; text-align: right" title="Fair Value">4,463</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td id="xdx_98B_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20231231__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel1Member_zRKwMab34qwc" style="border-bottom: Black 2.5pt double; text-align: right" title="Fair Value">-</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td id="xdx_98D_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20231231__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel2Member_z6AR7VrzbODl" style="border-bottom: Black 2.5pt double; text-align: right" title="Fair Value">15</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td id="xdx_982_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20231231__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel3Member_zVP3UydeNDlb" style="border-bottom: Black 2.5pt double; text-align: right" title="Fair Value">4,448</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr> </table> The carrying amounts of accounts receivable and accounts payable are considered level 1 and approximate fair value as of September 30, 2024 and December 31, 2023 because of the relatively short maturity of these instruments. The carrying value of the Term Loan as of September 30, 2024 and December 31, 2023 approximates fair value as the interest rate does not differ significantly from the current market rates available to the Company for similar debt and is considered level 2. Note 3 - Fair Value Measurements (continued) Level 3 Roll forward Fair value measurements categorized within Level 3 are sensitive to changes in assumptions or methodology used to determine fair value, and such changes could result in a significant increase or decrease in the fair value. <p id="xdx_897_eus-gaap--FairValueLiabilitiesMeasuredOnRecurringBasisUnobservableInputReconciliationTextBlock_zmIMM7LXujUd" style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify">The changes for Level 3 items measured at fair value on recurring basis using significant unobservable inputs are as follows: SCHEDULE OF FAIR VALUE ON RECURRING BASIS USING SIGNIFICANT UNOBSERVABLE INPUTS <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 85%"> <tr style="vertical-align: bottom"> <td> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_4B4_us-gaap--FinancialInstrumentAxis_custom--TermLoanMember_znmD5Bvc78jj" style="border-bottom: Black 1pt solid; text-align: center">Warrant Liability – Term Loan</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_4B4_us-gaap--FinancialInstrumentAxis_custom--JunePublicOfferingMember_zpa3DKXk11Ba" style="border-bottom: Black 1pt solid; text-align: center">Warrant liability- June Public Offering</td><td style="padding-bottom: 1pt"> </td></tr> <tr id="xdx_433_c20240101__20240331_eus-gaap--FairValueMeasurementWithUnobservableInputsReconciliationsRecurringBasisLiabilityValue_iS_pn3n3_zBDhuaLBfjnf" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 60%; font-weight: bold">Fair value as of January 1, 2024</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 16%; text-align: right">1,014</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 16%; text-align: right">3,434</td><td style="width: 1%; text-align: left"> </td></tr> <tr id="xdx_404_eus-gaap--FairValueMeasurementWithUnobservableInputsReconciliationRecurringBasisLiabilityIssues_pn3n3_zZHAFaoL0Me8" style="display: none; vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="font-weight: bold">Warrant Issued</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr> <tr id="xdx_400_ecustom--FairValueMeasurementWithUnobservableInputsReconciliationRecurringBasisLiabilityExerciseOfWarrants_iN_pn3n3_di_zejYWNQzT9Xa" style="display: none; vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="font-weight: bold">Warrant exercises</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr> <tr id="xdx_407_eus-gaap--FairValueMeasurementWithUnobservableInputsReconciliationRecurringBasisLiabilityPeriodIncreaseDecrease_iN_pn3n3_di_zGZQ5oNs6HM7" style="vertical-align: bottom; background-color: White"> <td style="padding-bottom: 1pt; text-align: left">Change in fair value, gain included in net loss(1)</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">(4</td><td style="padding-bottom: 1pt; text-align: left">)</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">(220</td><td style="padding-bottom: 1pt; text-align: left">)</td></tr> <tr id="xdx_43B_c20240401__20240630_eus-gaap--FairValueMeasurementWithUnobservableInputsReconciliationsRecurringBasisLiabilityValue_iS_pn3n3_zXpPfFvGlzEa" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="font-weight: bold">Fair value as of March 31, 2024</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">1,010</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">3,214</td><td style="text-align: left"> </td></tr> <tr id="xdx_405_eus-gaap--FairValueMeasurementWithUnobservableInputsReconciliationRecurringBasisLiabilityIssues_pn3n3_zI8ERuOMEgqi" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Warrants Issued</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">4,796</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td></tr> <tr id="xdx_407_eus-gaap--FairValueMeasurementWithUnobservableInputsReconciliationRecurringBasisLiabilityPeriodIncreaseDecrease_iN_pn3n3_di_zOc4v4flrQr2" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="padding-bottom: 1pt; text-align: left">Change in fair value, (gain) loss included in net loss(1)</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">(304</td><td style="padding-bottom: 1pt; text-align: left">)</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">2,277</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> <tr id="xdx_431_c20240701__20240930_eus-gaap--FairValueMeasurementWithUnobservableInputsReconciliationsRecurringBasisLiabilityValue_iS_pn3n3_zzjrOZAEwwAh" style="vertical-align: bottom; background-color: White"> <td style="font-weight: bold">Fair value as of June 30, 2024</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">5,502</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">5,491</td><td style="text-align: left"> </td></tr> <tr id="xdx_405_eus-gaap--FairValueMeasurementWithUnobservableInputsReconciliationRecurringBasisLiabilityIssues_pn3n3_znuN1zGKiq9h" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Warrants Issued</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">1,585</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td></tr> <tr id="xdx_409_eus-gaap--FairValueMeasurementWithUnobservableInputsReconciliationRecurringBasisLiabilityPeriodIncreaseDecrease_iN_pn3n3_di_zJW4FY9NR0A6" style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 2.5pt">Change in fair value, (gain) loss included in net loss(1)</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> </td><td style="border-bottom: Black 2.5pt double; text-align: right">(2,070</td><td style="padding-bottom: 2.5pt; text-align: left">)</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> </td><td style="border-bottom: Black 2.5pt double; text-align: right">(2,805</td><td style="padding-bottom: 2.5pt; text-align: left">)</td></tr> <tr id="xdx_43C_c20240701__20240930_eus-gaap--FairValueMeasurementWithUnobservableInputsReconciliationsRecurringBasisLiabilityValue_iE_pn3n3_zbov2mQvHLla" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="font-weight: bold; padding-bottom: 2.5pt">Fair value as of September 30, 2024</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">5,017</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">2,686</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr> </table> <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 85%"> <tr style="vertical-align: bottom"> <td> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_4B4_us-gaap--FinancialInstrumentAxis_custom--TermLoanMember_zApB5sZ7KMzi" style="border-bottom: Black 1pt solid; text-align: center">Warrant Liability – Term Loan</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_4B4_us-gaap--FinancialInstrumentAxis_custom--JunePublicOfferingMember_zceKv0gnLtdi" style="border-bottom: Black 1pt solid; text-align: center">Warrant liability- June Public Offering</td><td style="padding-bottom: 1pt"> </td></tr> <tr id="xdx_43E_c20230101__20230331_eus-gaap--FairValueMeasurementWithUnobservableInputsReconciliationsRecurringBasisLiabilityValue_iS_pn3n3_zJE9FVVmJeHb" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 60%; font-weight: bold">Fair value as of January 1, 2023</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 16%; text-align: right">30,841</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 16%; text-align: right">-</td><td style="width: 1%; text-align: left"> </td></tr> <tr id="xdx_403_eus-gaap--FairValueMeasurementWithUnobservableInputsReconciliationRecurringBasisLiabilityIssues_pn3n3_zhRXQfxB8aCl" style="display: none; vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="font-weight: bold">Warrants Issued</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr> <tr id="xdx_40C_ecustom--FairValueMeasurementWithUnobservableInputsReconciliationRecurringBasisLiabilityExerciseOfWarrants_iN_pn3n3_di_zFJiO1p5UcHd" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Warrant exercises</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(8,822</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td></tr> <tr id="xdx_407_eus-gaap--FairValueMeasurementWithUnobservableInputsReconciliationRecurringBasisLiabilityPeriodIncreaseDecrease_iN_pn3n3_di_zV1uJOG79K5j" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="padding-bottom: 1pt; text-align: left">Change in fair value, gain included in net loss(1)</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">(17,998</td><td style="padding-bottom: 1pt; text-align: left">)</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">-</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> <tr id="xdx_43E_c20230401__20230630_eus-gaap--FairValueMeasurementWithUnobservableInputsReconciliationsRecurringBasisLiabilityValue_iS_pn3n3_zBw9AxocIAC8" style="vertical-align: bottom; background-color: White"> <td style="font-weight: bold">Fair value as of March 31, 2023</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">4,021</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td></tr> <tr id="xdx_405_eus-gaap--FairValueMeasurementWithUnobservableInputsReconciliationRecurringBasisLiabilityIssues_pn3n3_zNvITWyi7fE" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Warrants Issued</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">13,762</td><td style="text-align: left"> </td></tr> <tr id="xdx_40C_ecustom--FairValueMeasurementWithUnobservableInputsReconciliationRecurringBasisLiabilityExerciseOfWarrants_iN_pn3n3_di_zY2QnFZ8NHs" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Warrant exercises</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(2,462</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td></tr> <tr id="xdx_407_eus-gaap--FairValueMeasurementWithUnobservableInputsReconciliationRecurringBasisLiabilityPeriodIncreaseDecrease_iN_pn3n3_di_zsCRLoxzZord" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="padding-bottom: 1pt; text-align: left">Change in fair value, gain included in net loss(1)</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">(684</td><td style="padding-bottom: 1pt; text-align: left">)</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">(150</td><td style="padding-bottom: 1pt; text-align: left">)</td></tr> <tr id="xdx_436_c20230701__20230930_eus-gaap--FairValueMeasurementWithUnobservableInputsReconciliationsRecurringBasisLiabilityValue_iS_pn3n3_z8WT5KjXSVKg" style="vertical-align: bottom; background-color: White"> <td style="font-weight: bold">Fair value as of June 30, 2023</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">875</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">13,612</td><td style="text-align: left"> </td></tr> <tr id="xdx_432_c20230701__20230930_eus-gaap--FairValueMeasurementWithUnobservableInputsReconciliationsRecurringBasisLiabilityValue_iS_pn3n3_zeJi63lZnMmb" style="display: none; vertical-align: bottom; background-color: White"> <td style="font-weight: bold">Fair value, balance</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">875</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">13,612</td><td style="text-align: left"> </td></tr> <tr id="xdx_407_eus-gaap--FairValueMeasurementWithUnobservableInputsReconciliationRecurringBasisLiabilityPeriodIncreaseDecrease_iN_pn3n3_di_zBDRGBqpYPCg" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Change in fair value, loss included in net loss(1)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">36</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">154</td><td style="text-align: left"> </td></tr> <tr id="xdx_40C_ecustom--FairValueMeasurementWithUnobservableInputsReconciliationRecurringBasisLiabilityExerciseOfWarrants_iN_pn3n3_di_znYBMMmsQJKa" style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 2.5pt">Warrant exercises</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> </td><td style="border-bottom: Black 2.5pt double; text-align: right">-</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> </td><td style="border-bottom: Black 2.5pt double; text-align: right">(617</td><td style="padding-bottom: 2.5pt; text-align: left">)</td></tr> <tr id="xdx_438_c20230701__20230930_eus-gaap--FairValueMeasurementWithUnobservableInputsReconciliationsRecurringBasisLiabilityValue_iE_pn3n3_zlmcyjqnI31i" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="font-weight: bold; padding-bottom: 2.5pt">Fair value as of September 30, 2023</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">911</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">13,149</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr> <tr id="xdx_43C_c20230701__20230930_eus-gaap--FairValueMeasurementWithUnobservableInputsReconciliationsRecurringBasisLiabilityValue_iE_pn3n3_zG7bfHdlhjO7" style="display: none; vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="font-weight: bold; padding-bottom: 2.5pt">Fair value, balance</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">911</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">13,149</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr> </table> <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; width: 100%"><tr style="vertical-align: top; text-align: justify"> <td style="width: 15pt; text-align: right">(1)</td><td style="text-align: justify">Changes in fair value of warrant liabilities are disclosed separately in the Condensed Consolidated Statements of Operations</td> </tr></table>

<p id="xdx_893_eus-gaap--ScheduleOfFairValueAssetsAndLiabilitiesMeasuredOnRecurringBasisTableTextBlock_zRQdSCpxszg3" style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify">The following table presents assets and liabilities that were measured at fair value in the Condensed Consolidated Balance Sheets on a recurring basis as of September 30, 2024: SCHEDULE OF FAIR VALUE OF ASSETS AND LIABILITIES <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"> <tr style="vertical-align: bottom"> <td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt; font-weight: bold"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">Carrying Amount</td><td style="padding-bottom: 1pt; font-weight: bold"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center"> Fair Value</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center"> (Level 1)</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center"> (Level 2)</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center"> (Level 3)</td><td style="padding-bottom: 1pt"> </td></tr> <tr style="vertical-align: bottom"> <td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="18" style="border-bottom: Black 1pt solid; text-align: center">As of September 30, 2024</td><td style="padding-bottom: 1pt"> </td></tr> <tr style="vertical-align: bottom"> <td style="border-bottom: Black 1pt solid">Liabilities</td><td style="padding-bottom: 1pt"> </td> <td colspan="2"> </td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2"> </td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2"> </td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2"> </td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2"> </td><td style="padding-bottom: 1pt"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 30%; text-align: left">Warrant liability- Term Loan</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_982_eus-gaap--DerivativeLiabilitiesNoncurrent_iI_pn3n3_c20240930__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FinancialInstrumentAxis__custom--TermLoanMember_zF0wgIQwmb49" style="width: 10%; text-align: right" title="Carrying Amount">5,017</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_98D_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20240930__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FinancialInstrumentAxis__custom--TermLoanMember_zcXyUGbiv4v4" style="width: 10%; text-align: right">5,017</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_98B_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20240930__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel1Member__us-gaap--FinancialInstrumentAxis__custom--TermLoanMember_zs5tkjAfCE7k" style="width: 10%; text-align: right"> -</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_98B_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20240930__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel2Member__us-gaap--FinancialInstrumentAxis__custom--TermLoanMember_z1oqlpCcLqnd" style="width: 10%; text-align: right">-</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_982_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20240930__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel3Member__us-gaap--FinancialInstrumentAxis__custom--TermLoanMember_zDljw4ddqDIl" style="width: 10%; text-align: right">5,017</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Warrant liability- June Public Offering</td><td> </td> <td style="text-align: left"> </td><td id="xdx_980_eus-gaap--DerivativeLiabilitiesNoncurrent_iI_pn3n3_c20240930__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FinancialInstrumentAxis__custom--JunePublicOfferingMember_zl8CfBNLqw71" style="text-align: right" title="Carrying Amount">2,686</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_984_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20240930__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FinancialInstrumentAxis__custom--JunePublicOfferingMember_ztUUcgL3ZhN1" style="text-align: right">2,686</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_985_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20240930__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel1Member__us-gaap--FinancialInstrumentAxis__custom--JunePublicOfferingMember_zh1UGe7WEQD8" style="text-align: right">-</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_985_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20240930__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel2Member__us-gaap--FinancialInstrumentAxis__custom--JunePublicOfferingMember_z6TBJDlRz8F8" style="text-align: right">-</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_983_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20240930__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel3Member__us-gaap--FinancialInstrumentAxis__custom--JunePublicOfferingMember_z8hc9yMuVWEc" style="text-align: right">2,686</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="padding-bottom: 1pt; text-align: left">Warrant liability- Private Placement Warrants</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td id="xdx_98C_eus-gaap--DerivativeLiabilitiesNoncurrent_iI_pn3n3_c20240930__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FinancialInstrumentAxis__custom--PrivatePlacementWarrantsMember_zLCSGyOiX7N9" style="border-bottom: Black 1pt solid; text-align: right" title="Carrying Amount">11</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td id="xdx_985_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20240930__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FinancialInstrumentAxis__custom--PrivatePlacementWarrantsMember_ztVVXF43WSR7" style="border-bottom: Black 1pt solid; text-align: right">11</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td id="xdx_985_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20240930__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel1Member__us-gaap--FinancialInstrumentAxis__custom--PrivatePlacementWarrantsMember_zrqh4uvG3k9f" style="border-bottom: Black 1pt solid; text-align: right">-</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td id="xdx_982_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20240930__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel2Member__us-gaap--FinancialInstrumentAxis__custom--PrivatePlacementWarrantsMember_ztWEPqoow5Ra" style="border-bottom: Black 1pt solid; text-align: right">11</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td id="xdx_989_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20240930__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel3Member__us-gaap--FinancialInstrumentAxis__custom--PrivatePlacementWarrantsMember_zFHvoYAMoiT7" style="border-bottom: Black 1pt solid; text-align: right">-</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 2.5pt">Total liabilities</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td id="xdx_984_eus-gaap--DerivativeLiabilitiesNoncurrent_iI_pn3n3_c20240930__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember_zY4WiefKVqv5" style="border-bottom: Black 2.5pt double; text-align: right" title="Carrying Amount">7,714</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td id="xdx_982_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20240930__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember_zG1YFKt5ARm2" style="border-bottom: Black 2.5pt double; text-align: right" title="Fair Value">7,714</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td id="xdx_985_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20240930__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel1Member_zmOWZjrd9XBk" style="border-bottom: Black 2.5pt double; text-align: right" title="Fair Value">-</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td id="xdx_987_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20240930__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel2Member_zeBAyL48MFN7" style="border-bottom: Black 2.5pt double; text-align: right" title="Fair Value">11</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td id="xdx_981_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20240930__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel3Member_z3Qx9hwkq6v3" style="border-bottom: Black 2.5pt double; text-align: right" title="Fair Value">7,703</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr> </table> The following table presents assets and liabilities that were measured at fair value in the Condensed Consolidated Balance Sheets on a recurring basis as of December 31, 2023: <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"> <tr style="vertical-align: bottom"> <td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt; font-weight: bold"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">Carrying Amount</td><td style="padding-bottom: 1pt; font-weight: bold"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: justify"> Fair Value</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center"> (Level 1)</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center"> (Level 2)</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center"> (Level 3)</td><td style="padding-bottom: 1pt"> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td style="padding-bottom: 1pt"> </td> <td colspan="18" style="border-bottom: Black 1pt solid; text-align: center">As of December 31, 2023</td><td style="padding-bottom: 1pt"> </td></tr> <tr style="vertical-align: bottom"> <td style="border-bottom: Black 1pt solid">Liabilities</td><td style="padding-bottom: 1pt"> </td> <td colspan="2"> </td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2"> </td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2"> </td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2"> </td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2"> </td><td style="padding-bottom: 1pt"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 30%; text-align: left">Warrant liability- Term Loan</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_98E_eus-gaap--DerivativeLiabilitiesNoncurrent_iI_pn3n3_c20231231__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FinancialInstrumentAxis__custom--TermLoanMember_zeWrXGCHX6o4" style="width: 10%; text-align: right" title="Carrying Amount">1,014</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_980_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20231231__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FinancialInstrumentAxis__custom--TermLoanMember_zZtBSWTJQgQ3" style="width: 10%; text-align: right">1,014</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_98F_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20231231__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel1Member__us-gaap--FinancialInstrumentAxis__custom--TermLoanMember_znQGmH3O6nY" style="width: 10%; text-align: right"> -</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_988_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20231231__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel2Member__us-gaap--FinancialInstrumentAxis__custom--TermLoanMember_z3MYhptRwk87" style="width: 10%; text-align: right">-</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_984_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20231231__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel3Member__us-gaap--FinancialInstrumentAxis__custom--TermLoanMember_zBq0GAiVk8i9" style="width: 10%; text-align: right">1,014</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Warrant liability- June Public Offering</td><td> </td> <td style="text-align: left"> </td><td id="xdx_980_eus-gaap--DerivativeLiabilitiesNoncurrent_iI_pn3n3_c20231231__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FinancialInstrumentAxis__custom--JunePublicOfferingMember_zcLekKXll7y" style="text-align: right" title="Carrying Amount">3,434</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_98E_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20231231__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FinancialInstrumentAxis__custom--JunePublicOfferingMember_zpbcpgz2UtE4" style="text-align: right">3,434</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_984_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20231231__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel1Member__us-gaap--FinancialInstrumentAxis__custom--JunePublicOfferingMember_z24SRtMO4M3k" style="text-align: right">-</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_985_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20231231__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel2Member__us-gaap--FinancialInstrumentAxis__custom--JunePublicOfferingMember_zNQS1Hbi2kSj" style="text-align: right">-</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_985_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20231231__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel3Member__us-gaap--FinancialInstrumentAxis__custom--JunePublicOfferingMember_zMeno73ymFjh" style="text-align: right">3,434</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="padding-bottom: 1pt; text-align: left">Warrant liability- Private placement warrants</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td id="xdx_98A_eus-gaap--DerivativeLiabilitiesNoncurrent_iI_pn3n3_c20231231__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FinancialInstrumentAxis__custom--PrivatePlacementWarrantsMember_z52o6TFCkDWg" style="border-bottom: Black 1pt solid; text-align: right" title="Carrying Amount">15</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td id="xdx_984_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20231231__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FinancialInstrumentAxis__custom--PrivatePlacementWarrantsMember_zsT1vl2f60b4" style="border-bottom: Black 1pt solid; text-align: right">15</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td id="xdx_98A_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20231231__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel1Member__us-gaap--FinancialInstrumentAxis__custom--PrivatePlacementWarrantsMember_zEP9Mb73sZsd" style="border-bottom: Black 1pt solid; text-align: right">-</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td id="xdx_982_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20231231__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel2Member__us-gaap--FinancialInstrumentAxis__custom--PrivatePlacementWarrantsMember_zGambWqCcJP5" style="border-bottom: Black 1pt solid; text-align: right">15</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td id="xdx_98A_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20231231__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel3Member__us-gaap--FinancialInstrumentAxis__custom--PrivatePlacementWarrantsMember_zHhxb5OoVUg6" style="border-bottom: Black 1pt solid; text-align: right">-</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 2.5pt">Total liabilities</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td id="xdx_987_eus-gaap--DerivativeLiabilitiesNoncurrent_iI_pn3n3_c20231231__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember_z7dJMw2K6726" style="border-bottom: Black 2.5pt double; text-align: right" title="Carrying Amount">4,463</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td id="xdx_987_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20231231__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember_zupxnRjk5Az" style="border-bottom: Black 2.5pt double; text-align: right" title="Fair Value">4,463</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td id="xdx_98B_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20231231__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel1Member_zRKwMab34qwc" style="border-bottom: Black 2.5pt double; text-align: right" title="Fair Value">-</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td id="xdx_98D_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20231231__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel2Member_z6AR7VrzbODl" style="border-bottom: Black 2.5pt double; text-align: right" title="Fair Value">15</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td id="xdx_982_eus-gaap--LiabilitiesFairValueDisclosure_iI_pn3n3_c20231231__us-gaap--FairValueByMeasurementFrequencyAxis__us-gaap--FairValueMeasurementsRecurringMember__us-gaap--FairValueByFairValueHierarchyLevelAxis__us-gaap--FairValueInputsLevel3Member_zVP3UydeNDlb" style="border-bottom: Black 2.5pt double; text-align: right" title="Fair Value">4,448</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr> </table>

5017000

2686000

11000

7714000

11000

7703000

1014000

3434000

15000

4463000

15000

4448000

<p id="xdx_897_eus-gaap--FairValueLiabilitiesMeasuredOnRecurringBasisUnobservableInputReconciliationTextBlock_zmIMM7LXujUd" style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify">The changes for Level 3 items measured at fair value on recurring basis using significant unobservable inputs are as follows: SCHEDULE OF FAIR VALUE ON RECURRING BASIS USING SIGNIFICANT UNOBSERVABLE INPUTS <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 85%"> <tr style="vertical-align: bottom"> <td> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_4B4_us-gaap--FinancialInstrumentAxis_custom--TermLoanMember_znmD5Bvc78jj" style="border-bottom: Black 1pt solid; text-align: center">Warrant Liability – Term Loan</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_4B4_us-gaap--FinancialInstrumentAxis_custom--JunePublicOfferingMember_zpa3DKXk11Ba" style="border-bottom: Black 1pt solid; text-align: center">Warrant liability- June Public Offering</td><td style="padding-bottom: 1pt"> </td></tr> <tr id="xdx_433_c20240101__20240331_eus-gaap--FairValueMeasurementWithUnobservableInputsReconciliationsRecurringBasisLiabilityValue_iS_pn3n3_zBDhuaLBfjnf" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 60%; font-weight: bold">Fair value as of January 1, 2024</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 16%; text-align: right">1,014</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 16%; text-align: right">3,434</td><td style="width: 1%; text-align: left"> </td></tr> <tr id="xdx_404_eus-gaap--FairValueMeasurementWithUnobservableInputsReconciliationRecurringBasisLiabilityIssues_pn3n3_zZHAFaoL0Me8" style="display: none; vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="font-weight: bold">Warrant Issued</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr> <tr id="xdx_400_ecustom--FairValueMeasurementWithUnobservableInputsReconciliationRecurringBasisLiabilityExerciseOfWarrants_iN_pn3n3_di_zejYWNQzT9Xa" style="display: none; vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="font-weight: bold">Warrant exercises</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr> <tr id="xdx_407_eus-gaap--FairValueMeasurementWithUnobservableInputsReconciliationRecurringBasisLiabilityPeriodIncreaseDecrease_iN_pn3n3_di_zGZQ5oNs6HM7" style="vertical-align: bottom; background-color: White"> <td style="padding-bottom: 1pt; text-align: left">Change in fair value, gain included in net loss(1)</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">(4</td><td style="padding-bottom: 1pt; text-align: left">)</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">(220</td><td style="padding-bottom: 1pt; text-align: left">)</td></tr> <tr id="xdx_43B_c20240401__20240630_eus-gaap--FairValueMeasurementWithUnobservableInputsReconciliationsRecurringBasisLiabilityValue_iS_pn3n3_zXpPfFvGlzEa" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="font-weight: bold">Fair value as of March 31, 2024</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">1,010</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">3,214</td><td style="text-align: left"> </td></tr> <tr id="xdx_405_eus-gaap--FairValueMeasurementWithUnobservableInputsReconciliationRecurringBasisLiabilityIssues_pn3n3_zI8ERuOMEgqi" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Warrants Issued</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">4,796</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td></tr> <tr id="xdx_407_eus-gaap--FairValueMeasurementWithUnobservableInputsReconciliationRecurringBasisLiabilityPeriodIncreaseDecrease_iN_pn3n3_di_zOc4v4flrQr2" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="padding-bottom: 1pt; text-align: left">Change in fair value, (gain) loss included in net loss(1)</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">(304</td><td style="padding-bottom: 1pt; text-align: left">)</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">2,277</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> <tr id="xdx_431_c20240701__20240930_eus-gaap--FairValueMeasurementWithUnobservableInputsReconciliationsRecurringBasisLiabilityValue_iS_pn3n3_zzjrOZAEwwAh" style="vertical-align: bottom; background-color: White"> <td style="font-weight: bold">Fair value as of June 30, 2024</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">5,502</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">5,491</td><td style="text-align: left"> </td></tr> <tr id="xdx_405_eus-gaap--FairValueMeasurementWithUnobservableInputsReconciliationRecurringBasisLiabilityIssues_pn3n3_znuN1zGKiq9h" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Warrants Issued</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">1,585</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td></tr> <tr id="xdx_409_eus-gaap--FairValueMeasurementWithUnobservableInputsReconciliationRecurringBasisLiabilityPeriodIncreaseDecrease_iN_pn3n3_di_zJW4FY9NR0A6" style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 2.5pt">Change in fair value, (gain) loss included in net loss(1)</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> </td><td style="border-bottom: Black 2.5pt double; text-align: right">(2,070</td><td style="padding-bottom: 2.5pt; text-align: left">)</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> </td><td style="border-bottom: Black 2.5pt double; text-align: right">(2,805</td><td style="padding-bottom: 2.5pt; text-align: left">)</td></tr> <tr id="xdx_43C_c20240701__20240930_eus-gaap--FairValueMeasurementWithUnobservableInputsReconciliationsRecurringBasisLiabilityValue_iE_pn3n3_zbov2mQvHLla" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="font-weight: bold; padding-bottom: 2.5pt">Fair value as of September 30, 2024</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">5,017</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">2,686</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr> </table> <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 85%"> <tr style="vertical-align: bottom"> <td> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_4B4_us-gaap--FinancialInstrumentAxis_custom--TermLoanMember_zApB5sZ7KMzi" style="border-bottom: Black 1pt solid; text-align: center">Warrant Liability – Term Loan</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_4B4_us-gaap--FinancialInstrumentAxis_custom--JunePublicOfferingMember_zceKv0gnLtdi" style="border-bottom: Black 1pt solid; text-align: center">Warrant liability- June Public Offering</td><td style="padding-bottom: 1pt"> </td></tr> <tr id="xdx_43E_c20230101__20230331_eus-gaap--FairValueMeasurementWithUnobservableInputsReconciliationsRecurringBasisLiabilityValue_iS_pn3n3_zJE9FVVmJeHb" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 60%; font-weight: bold">Fair value as of January 1, 2023</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 16%; text-align: right">30,841</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 16%; text-align: right">-</td><td style="width: 1%; text-align: left"> </td></tr> <tr id="xdx_403_eus-gaap--FairValueMeasurementWithUnobservableInputsReconciliationRecurringBasisLiabilityIssues_pn3n3_zhRXQfxB8aCl" style="display: none; vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="font-weight: bold">Warrants Issued</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr> <tr id="xdx_40C_ecustom--FairValueMeasurementWithUnobservableInputsReconciliationRecurringBasisLiabilityExerciseOfWarrants_iN_pn3n3_di_zFJiO1p5UcHd" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Warrant exercises</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(8,822</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td></tr> <tr id="xdx_407_eus-gaap--FairValueMeasurementWithUnobservableInputsReconciliationRecurringBasisLiabilityPeriodIncreaseDecrease_iN_pn3n3_di_zV1uJOG79K5j" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="padding-bottom: 1pt; text-align: left">Change in fair value, gain included in net loss(1)</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">(17,998</td><td style="padding-bottom: 1pt; text-align: left">)</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">-</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> <tr id="xdx_43E_c20230401__20230630_eus-gaap--FairValueMeasurementWithUnobservableInputsReconciliationsRecurringBasisLiabilityValue_iS_pn3n3_zBw9AxocIAC8" style="vertical-align: bottom; background-color: White"> <td style="font-weight: bold">Fair value as of March 31, 2023</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">4,021</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td></tr> <tr id="xdx_405_eus-gaap--FairValueMeasurementWithUnobservableInputsReconciliationRecurringBasisLiabilityIssues_pn3n3_zNvITWyi7fE" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Warrants Issued</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">13,762</td><td style="text-align: left"> </td></tr> <tr id="xdx_40C_ecustom--FairValueMeasurementWithUnobservableInputsReconciliationRecurringBasisLiabilityExerciseOfWarrants_iN_pn3n3_di_zY2QnFZ8NHs" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Warrant exercises</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(2,462</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td></tr> <tr id="xdx_407_eus-gaap--FairValueMeasurementWithUnobservableInputsReconciliationRecurringBasisLiabilityPeriodIncreaseDecrease_iN_pn3n3_di_zsCRLoxzZord" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="padding-bottom: 1pt; text-align: left">Change in fair value, gain included in net loss(1)</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">(684</td><td style="padding-bottom: 1pt; text-align: left">)</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">(150</td><td style="padding-bottom: 1pt; text-align: left">)</td></tr> <tr id="xdx_436_c20230701__20230930_eus-gaap--FairValueMeasurementWithUnobservableInputsReconciliationsRecurringBasisLiabilityValue_iS_pn3n3_z8WT5KjXSVKg" style="vertical-align: bottom; background-color: White"> <td style="font-weight: bold">Fair value as of June 30, 2023</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">875</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">13,612</td><td style="text-align: left"> </td></tr> <tr id="xdx_432_c20230701__20230930_eus-gaap--FairValueMeasurementWithUnobservableInputsReconciliationsRecurringBasisLiabilityValue_iS_pn3n3_zeJi63lZnMmb" style="display: none; vertical-align: bottom; background-color: White"> <td style="font-weight: bold">Fair value, balance</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">875</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">13,612</td><td style="text-align: left"> </td></tr> <tr id="xdx_407_eus-gaap--FairValueMeasurementWithUnobservableInputsReconciliationRecurringBasisLiabilityPeriodIncreaseDecrease_iN_pn3n3_di_zBDRGBqpYPCg" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Change in fair value, loss included in net loss(1)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">36</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">154</td><td style="text-align: left"> </td></tr> <tr id="xdx_40C_ecustom--FairValueMeasurementWithUnobservableInputsReconciliationRecurringBasisLiabilityExerciseOfWarrants_iN_pn3n3_di_znYBMMmsQJKa" style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 2.5pt">Warrant exercises</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> </td><td style="border-bottom: Black 2.5pt double; text-align: right">-</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> </td><td style="border-bottom: Black 2.5pt double; text-align: right">(617</td><td style="padding-bottom: 2.5pt; text-align: left">)</td></tr> <tr id="xdx_438_c20230701__20230930_eus-gaap--FairValueMeasurementWithUnobservableInputsReconciliationsRecurringBasisLiabilityValue_iE_pn3n3_zlmcyjqnI31i" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="font-weight: bold; padding-bottom: 2.5pt">Fair value as of September 30, 2023</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">911</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">13,149</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr> <tr id="xdx_43C_c20230701__20230930_eus-gaap--FairValueMeasurementWithUnobservableInputsReconciliationsRecurringBasisLiabilityValue_iE_pn3n3_zG7bfHdlhjO7" style="display: none; vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="font-weight: bold; padding-bottom: 2.5pt">Fair value, balance</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">911</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">13,149</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr> </table> <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; width: 100%"><tr style="vertical-align: top; text-align: justify"> <td style="width: 15pt; text-align: right">(1)</td><td style="text-align: justify">Changes in fair value of warrant liabilities are disclosed separately in the Condensed Consolidated Statements of Operations</td> </tr></table>

1014000

3434000

4000

220000

1010000

3214000

4796000

304000

-2277000

5502000

5491000

1585000

2070000

2805000

5017000

2686000

30841000

8822000

17998000

4021000

13762000

2462000

684000

150000

875000

13612000

875000

13612000

-36000

-154000

617000

911000

13149000

911000

13149000

Note 4 - Inventory Inventory consists of the following: SCHEDULE OF INVENTORY <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-left: auto; border-collapse: collapse; width: 60%; margin-right: auto"> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_497_20240930_zXvz9KAIyjLl" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">September 30, 2024</td><td style="padding-bottom: 1pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_495_20231231_zXukG3rqBmn5" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">December 31, 2023</td><td style="padding-bottom: 1pt; font-weight: bold"> </td></tr> <tr id="xdx_404_eus-gaap--InventoryRawMaterials_iI_pn3n3_maINzAGF_zHK8J74ADrK8" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 60%; text-align: left">Raw material</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 16%; text-align: right">20,692</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 16%; text-align: right">31,604</td><td style="width: 1%; text-align: left"> </td></tr> <tr id="xdx_401_eus-gaap--InventoryFinishedGoods_iI_pn3n3_maINzAGF_zT61r5W8GkVh" style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 1pt">Finished goods</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">3,321</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">7,174</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> <tr id="xdx_40B_eus-gaap--InventoryNet_iTI_pn3n3_mtINzAGF_zk3tpzPFN6Oh" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 2.5pt">Total inventory</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">24,013</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">38,778</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr> </table>

Inventory consists of the following: SCHEDULE OF INVENTORY <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-left: auto; border-collapse: collapse; width: 60%; margin-right: auto"> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_497_20240930_zXvz9KAIyjLl" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">September 30, 2024</td><td style="padding-bottom: 1pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_495_20231231_zXukG3rqBmn5" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">December 31, 2023</td><td style="padding-bottom: 1pt; font-weight: bold"> </td></tr> <tr id="xdx_404_eus-gaap--InventoryRawMaterials_iI_pn3n3_maINzAGF_zHK8J74ADrK8" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 60%; text-align: left">Raw material</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 16%; text-align: right">20,692</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 16%; text-align: right">31,604</td><td style="width: 1%; text-align: left"> </td></tr> <tr id="xdx_401_eus-gaap--InventoryFinishedGoods_iI_pn3n3_maINzAGF_zT61r5W8GkVh" style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 1pt">Finished goods</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">3,321</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">7,174</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> <tr id="xdx_40B_eus-gaap--InventoryNet_iTI_pn3n3_mtINzAGF_zk3tpzPFN6Oh" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 2.5pt">Total inventory</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">24,013</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">38,778</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr> </table>

20692000

31604000

3321000

7174000

24013000

38778000

Note 5 - Commitments and Contingencies Litigation From time to time the Company may be named in claims arising in the ordinary course of business. Currently, no legal proceedings, governmental actions, administrative actions, investigations or claims are pending against the Company or involve the Company that, in the opinion of the Company’s management, could reasonably be expected to have a material adverse effect on the Company’s business and financial condition. Operating Leases The Company has leases related to the main office, warehouse space, research and development lab, engineering office, and sales office, all located in Reno, Nevada. The leases require annual escalating monthly payments ranging from $111 to $309. On February 2, 2022, the Company entered into a 124-month lease agreement in Reno, Nevada. The lease calls for monthly base rent of $230, $23 of fixed operating expense costs, and estimated monthly property taxes of $21. The monthly base rent and fixed operating expense costs are subject to escalation of 3% and 2.4%, respectively, on an annual basis. A certificate of substantial completion has been issued and the lease commencement date was March 25, 2024. The Company began paying monthly rent under the lease on July 24, 2024. On April 12, 2024 the Company entered into a lease agreement, pursuant to which the Company agreed to lease an approximately 64,000 square foot facility (the “Premises”) located in Fernley, Nevada, to be used for general, warehousing, assembly/light manufacturing, painting of products, storage fulfillment, distribution of the Company’s products, and other uses as permitted under the Fernley Lease Agreement (the “Fernley Lease Agreement”). The effective date of the lease is April 1, 2024 (the “Lease Commencement Date”). However, the initial term of the Fernley Lease Agreement (the “Term”) is for a period of sixty (60) months, effective June 1, 2024 (the “Rent Commencement Date”). The base rent for the Premises, payable monthly, is $45 for the first ten months, starting June 1, 2024, and is subject to a three percent (3.0%) increase on the anniversary of the Lease Commencement Date each year. The Company also will be responsible for twenty-five percent (25%) of any operating expenses, taxes and insurance expenses incurred by the Landlord in connection with the building in which the Premises are located (the “Expenses”) as well as utility expenses. The Expenses are subject to recalculation and increase upon the completion of the Initial Improvements (as defined in the Fernley Lease Agreement). The Landlord is responsible for completing the Initial Improvements. The Fernley Lease Agreement also contains customary default provisions allowing the Landlord to terminate the Fernley Lease Agreement if the Company fails to cure certain breaches of its obligations under the Fernley Lease Agreement within a specified period of time upon written notice to the Company. Concurrent with the execution of the Fernley Lease Agreement, the Company paid the Landlord a security deposit of $50. Note 5 - Commitments and Contingencies (continued) The following table presents the breakout of the operating leases as of: SCHEDULE OF BREAKOUT OF OPERATING LEASES <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-left: auto; border-collapse: collapse; width: 80%; margin-right: auto"> <tr style="vertical-align: bottom"> <td style="text-align: center"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_496_20240930_zdI5MYiKQFg" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">September 30, 2024</td><td style="padding-bottom: 1pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_499_20231231_zSGKUTw7U2h8" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">December 31, 2023</td><td style="padding-bottom: 1pt; font-weight: bold"> </td></tr> <tr id="xdx_40E_eus-gaap--OperatingLeaseRightOfUseAsset_iI_pn3n3_zLKGYSQQn1Ee" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 60%; text-align: left; padding-bottom: 1pt">Operating lease right-of-use assets</td><td style="width: 2%; padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1pt solid; width: 16%; text-align: right">20,383</td><td style="width: 1%; padding-bottom: 1pt; text-align: left"> </td><td style="width: 2%; padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1pt solid; width: 16%; text-align: right">3,315</td><td style="width: 1%; padding-bottom: 1pt; text-align: left"> </td></tr> <tr id="xdx_402_eus-gaap--OperatingLeaseLiabilityCurrent_iI_pn3n3_zyHvYIUY0dXk" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Short-term operating lease liabilities</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">2,867</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">1,288</td><td style="text-align: left"> </td></tr> <tr id="xdx_401_eus-gaap--OperatingLeaseLiabilityNoncurrent_iI_pn3n3_zPAC7gZJNBh" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 1pt">Long-term operating lease liabilities</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">23,330</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">2,234</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> <tr id="xdx_409_eus-gaap--OperatingLeaseLiability_iI_pn3n3_zYwawTckAY17" style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 2.5pt">Total operating lease liabilities</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">26,197</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">3,522</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td>Weighted average remaining lease term</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">8.62 years</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">2.6 years</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td>Weighted average discount rate</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">7.84</td><td style="text-align: left">%</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">5.2</td><td style="text-align: left">%</td></tr> </table> Assumptions used in determining the Company’s incremental borrowing rate include its implied credit rating and an estimate of secured borrowing rates based on comparable market data. At September 30, 2024, the future minimum lease payments under these operating leases are as follows: SCHEDULE OF FUTURE MINIMUM LEASE PAYMENTS UNDER OPERATING LEASES <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-left: auto; border-collapse: collapse; width: 60%; margin-right: auto"> <tr style="vertical-align: bottom"> <td style="border-bottom: Black 1pt solid; font-weight: bold">Fiscal Years Ending</td><td style="padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_490_20240930_zVCX2q5K1Plj"> </td><td style="padding-bottom: 1pt"> </td></tr> <tr id="xdx_405_eus-gaap--LesseeOperatingLeaseLiabilityPaymentsRemainderOfFiscalYear_iI_pn3n3_maLOLLPzo30_zzTchX8DRzcb" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 78%">December 31, 2024(1)</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 18%; text-align: right">1,187</td><td style="width: 1%; text-align: left"> </td></tr> <tr id="xdx_40C_eus-gaap--LesseeOperatingLeaseLiabilityPaymentsDueNextTwelveMonths_iI_pn3n3_maLOLLPzo30_zd0Wqt26LIyj" style="vertical-align: bottom; background-color: White"> <td>December 31, 2025</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">4,817</td><td style="text-align: left"> </td></tr> <tr id="xdx_40B_eus-gaap--LesseeOperatingLeaseLiabilityPaymentsDueYearTwo_iI_pn3n3_maLOLLPzo30_zBr6HPrPtKXl" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td>December 31, 2026</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">4,376</td><td style="text-align: left"> </td></tr> <tr id="xdx_403_eus-gaap--LesseeOperatingLeaseLiabilityPaymentsDueYearThree_iI_pn3n3_maLOLLPzo30_zbSiABcgabB3" style="vertical-align: bottom; background-color: White"> <td>December 31, 2027</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">3,588</td><td style="text-align: left"> </td></tr> <tr id="xdx_40E_eus-gaap--LesseeOperatingLeaseLiabilityPaymentsDueYearFour_iI_pn3n3_maLOLLPzo30_zY6lTnmw9SXj" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td>December 31, 2028</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">3,695</td><td style="text-align: left"> </td></tr> <tr id="xdx_401_ecustom--LesseeOperatingLeaseLiabilityPaymentsDueAfterYearFour_iI_pn3n3_maLOLLPzo30_z9MWm6iAhWI" style="vertical-align: bottom; background-color: White"> <td style="padding-bottom: 1pt">Thereafter</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">19,325</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> <tr id="xdx_40F_eus-gaap--LesseeOperatingLeaseLiabilityPaymentsDue_iTI_pn3n3_mtLOLLPzo30_zguR9XvWe7rc" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 1pt">Total lease payments</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">36,988</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> <tr id="xdx_40E_eus-gaap--LesseeOperatingLeaseLiabilityUndiscountedExcessAmount_iI_pn3n3_zN9Lzm1VoMue" style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 1pt">Less imputed interest</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">10,791</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> <tr id="xdx_40A_eus-gaap--OperatingLeaseLiability_iI_pn3n3_zvEHjoYNg4S3" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 2.5pt">Total operating lease liabilities</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">26,197</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr> </table> <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; width: 100%"><tr style="vertical-align: top; text-align: justify"> <td id="xdx_F0D_z6wYon6Xa5yl" style="width: 15pt; text-align: right">(1)</td><td style="text-align: justify">Represents scheduled payments for the remaining three-month period ending December 31, 2024.</td> </tr></table> SCHEDULE OF LEASE COST <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"> <tr style="vertical-align: bottom"> <td> </td><td style="padding-bottom: 1pt"> </td> <td> </td><td style="padding-bottom: 1pt"> </td> <td colspan="6" style="border-bottom: Black 1pt solid; text-align: center">For The Three Months Ended September 30,</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="6" style="border-bottom: Black 1pt solid; text-align: center">For The Nine Months Ended September 30,</td><td style="padding-bottom: 1pt"> </td></tr> <tr style="vertical-align: bottom"> <td style="border-bottom: Black 1pt solid">Lease cost</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid">Classification</td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">2024</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">2023</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">2024</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">2023</td><td style="padding-bottom: 1pt"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 21%; text-align: left">Operating lease cost</td><td style="width: 2%"> </td> <td style="width: 21%; text-align: left">Cost of goods sold</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_98D_eus-gaap--OperatingLeaseCost_pn3n3_c20240701__20240930__us-gaap--IncomeStatementLocationAxis__us-gaap--CostOfSalesMember_zVSUaS56Q0G6" style="width: 10%; text-align: right" title="Operating lease cost">310</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_983_eus-gaap--OperatingLeaseCost_pn3n3_c20230701__20230930__us-gaap--IncomeStatementLocationAxis__us-gaap--CostOfSalesMember_zOdHOJDJd001" style="width: 10%; text-align: right" title="Operating lease cost">345</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_980_eus-gaap--OperatingLeaseCost_pn3n3_c20240101__20240930__us-gaap--IncomeStatementLocationAxis__us-gaap--CostOfSalesMember_zu3M5PLh4klk" style="width: 10%; text-align: right" title="Operating lease cost">1,001</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_982_eus-gaap--OperatingLeaseCost_pn3n3_c20230101__20230930__us-gaap--IncomeStatementLocationAxis__us-gaap--CostOfSalesMember_zpjUwSJKOsx1" style="width: 10%; text-align: right" title="Operating lease cost">1,040</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Operating lease cost</td><td> </td> <td style="text-align: left">Research and development</td><td> </td> <td style="text-align: left"> </td><td id="xdx_989_eus-gaap--OperatingLeaseCost_pn3n3_c20240701__20240930__us-gaap--IncomeStatementLocationAxis__us-gaap--ResearchAndDevelopmentExpenseMember_z58rZ7k7ybY8" style="text-align: right" title="Operating lease cost">204</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_981_eus-gaap--OperatingLeaseCost_pn3n3_c20230701__20230930__us-gaap--IncomeStatementLocationAxis__us-gaap--ResearchAndDevelopmentExpenseMember_zX122lLzs36f" style="text-align: right" title="Operating lease cost">22</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_987_eus-gaap--OperatingLeaseCost_pn3n3_c20240101__20240930__us-gaap--IncomeStatementLocationAxis__us-gaap--ResearchAndDevelopmentExpenseMember_zZc3eo2Zqdq4" style="text-align: right" title="Operating lease cost">357</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_988_eus-gaap--OperatingLeaseCost_pn3n3_c20230101__20230930__us-gaap--IncomeStatementLocationAxis__us-gaap--ResearchAndDevelopmentExpenseMember_znQv42ldTJTl" style="text-align: right" title="Operating lease cost">67</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Operating lease cost</td><td> </td> <td style="text-align: left">General and administration</td><td> </td> <td style="text-align: left"> </td><td id="xdx_981_eus-gaap--OperatingLeaseCost_pn3n3_c20240701__20240930__us-gaap--IncomeStatementLocationAxis__us-gaap--GeneralAndAdministrativeExpenseMember_zKTYjIwYn11f" style="text-align: right" title="Operating lease cost">676</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_988_eus-gaap--OperatingLeaseCost_pn3n3_c20230701__20230930__us-gaap--IncomeStatementLocationAxis__us-gaap--GeneralAndAdministrativeExpenseMember_zxVubvkwIp83" style="text-align: right" title="Operating lease cost">11</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_98D_eus-gaap--OperatingLeaseCost_pn3n3_c20240101__20240930__us-gaap--IncomeStatementLocationAxis__us-gaap--GeneralAndAdministrativeExpenseMember_zX2xsDo5qfM2" style="text-align: right" title="Operating lease cost">1,708</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_98B_eus-gaap--OperatingLeaseCost_pn3n3_c20230101__20230930__us-gaap--IncomeStatementLocationAxis__us-gaap--GeneralAndAdministrativeExpenseMember_znFrDq7UED84" style="text-align: right" title="Operating lease cost">35</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 2.5pt">Operating lease cost</td><td style="padding-bottom: 2.5pt"> </td> <td style="text-align: left; padding-bottom: 2.5pt">Selling and marketing</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> </td><td id="xdx_98C_eus-gaap--OperatingLeaseCost_pn3n3_c20240701__20240930__us-gaap--IncomeStatementLocationAxis__us-gaap--SellingAndMarketingExpenseMember_zXWemlAFRbua" style="border-bottom: Black 2.5pt double; text-align: right" title="Operating lease cost">11</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> </td><td id="xdx_98E_eus-gaap--OperatingLeaseCost_pn3n3_c20230701__20230930__us-gaap--IncomeStatementLocationAxis__us-gaap--SellingAndMarketingExpenseMember_zfzl1brKnjWd" style="border-bottom: Black 2.5pt double; text-align: right" title="Operating lease cost">11</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> </td><td id="xdx_986_eus-gaap--OperatingLeaseCost_pn3n3_c20240101__20240930__us-gaap--IncomeStatementLocationAxis__us-gaap--SellingAndMarketingExpenseMember_zvX7t90gibf" style="border-bottom: Black 2.5pt double; text-align: right" title="Operating lease cost">34</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> </td><td id="xdx_98F_eus-gaap--OperatingLeaseCost_pn3n3_c20230101__20230930__us-gaap--IncomeStatementLocationAxis__us-gaap--SellingAndMarketingExpenseMember_zm2COtvy9lx8" style="border-bottom: Black 2.5pt double; text-align: right" title="Operating lease cost">35</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 2.5pt">Total lease cost</td><td style="padding-bottom: 2.5pt"> </td> <td style="padding-bottom: 2.5pt"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td id="xdx_98E_eus-gaap--OperatingLeaseCost_pn3n3_c20240701__20240930_zxG1T5DQxdva" style="border-bottom: Black 2.5pt double; text-align: right" title="Operating lease cost">1,201</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td id="xdx_982_eus-gaap--OperatingLeaseCost_pn3n3_c20230701__20230930_zThxkXS4kxc1" style="border-bottom: Black 2.5pt double; text-align: right" title="Operating lease cost">389</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td id="xdx_982_eus-gaap--OperatingLeaseCost_pn3n3_c20240101__20240930_zSKOJ8ZUFnG2" style="border-bottom: Black 2.5pt double; text-align: right" title="Operating lease cost">3,100</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td id="xdx_987_eus-gaap--OperatingLeaseCost_pn3n3_c20230101__20230930_zIGijj2weX3k" style="border-bottom: Black 2.5pt double; text-align: right" title="Operating lease cost">1,177</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr> </table> All lease costs included in the schedule above are fixed. Note 5 - Commitments and Contingencies (continued) Financing Leases The Company entered into finance lease agreements for equipment to support the Company’s operations. Payments under the finance lease agreements are fixed for a term of 3-5 years. The leased assets are recognized in property plant & equipment. The following table presents the breakout of the financing leases as of: SCHEDULE OF BREAKOUT OF FINANCE LEASES <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-left: auto; border-collapse: collapse; width: 85%; margin-right: auto"> <tr style="vertical-align: bottom"> <td style="text-align: center"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_490_20240930_zOruWq26Xlqj" style="border-bottom: Black 1pt solid; text-align: center">September 30, 2024</td><td style="padding-bottom: 1pt"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_491_20231231_zkiLJU9XSgm9" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">December 31, 2023</td><td style="padding-bottom: 1pt; font-weight: bold"> </td></tr> <tr id="xdx_40F_ecustom--FinanceLeaseRightOfUseAssets_iI_pn3n3_z7KwO0OdzA7e" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 60%; text-align: left; padding-bottom: 1pt">Finance lease right-of-use assets</td><td style="width: 2%; padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1pt solid; width: 16%; text-align: right">82</td><td style="width: 1%; padding-bottom: 1pt; text-align: left"> </td><td style="width: 2%; padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1pt solid; width: 16%; text-align: right">106</td><td style="width: 1%; padding-bottom: 1pt; text-align: left"> </td></tr> <tr id="xdx_403_eus-gaap--FinanceLeaseLiabilityCurrent_iI_pn3n3_zncCnsELuCHa" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Short-term finance lease liabilities</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">38</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">36</td><td style="text-align: left"> </td></tr> <tr id="xdx_402_eus-gaap--FinanceLeaseLiabilityNoncurrent_iI_pn3n3_zf8C3LT6HZGl" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 1pt">Long-term finance lease liabilities</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">37</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">66</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> <tr id="xdx_400_eus-gaap--FinanceLeaseLiability_iI_pn3n3_zZZhcHR1qQ2f" style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 2.5pt">Total finance lease liabilities</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">75</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">102</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td>Weighted average remaining lease term</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">2.0 years</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">2.7 years</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td>Weighted average discount rate</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">5.2</td><td style="text-align: left">%</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">5.2</td><td style="text-align: left">%</td></tr> </table> Assumptions used in determining our incremental borrowing rate include our implied credit rating and an estimate of secured borrowing rates based on comparable market data. At September 30, 2024, the future minimum lease payments under these operating leases are as follows: SCHEDULE OF FUTURE MINIMUM LEASE PAYMENTS UNDER FINANCE LEASES <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-left: auto; border-collapse: collapse; width: 60%; margin-right: auto"> <tr style="vertical-align: bottom"> <td style="border-bottom: Black 1pt solid; font-weight: bold">Fiscal Years Ending</td><td style="padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_496_20240930_zyA1T37BHaQf"> </td><td style="padding-bottom: 1pt"> </td></tr> <tr id="xdx_40F_eus-gaap--FinanceLeaseLiabilityPaymentsRemainderOfFiscalYear_iI_pn3n3_maFLLPDzyw4_zEBXXuTody4c" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 78%">December 31, 2024(1)</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 18%; text-align: right">10</td><td style="width: 1%; text-align: left"> </td></tr> <tr id="xdx_409_eus-gaap--FinanceLeaseLiabilityPaymentsDueNextTwelveMonths_iI_pn3n3_maFLLPDzyw4_zZBy1xCsNwg3" style="vertical-align: bottom; background-color: White"> <td>December 31, 2025</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">41</td><td style="text-align: left"> </td></tr> <tr id="xdx_402_eus-gaap--FinanceLeaseLiabilityPaymentsDueYearTwo_iI_pn3n3_maFLLPDzyw4_zkoWn6gELSDb" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td>December 31, 2026</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">24</td><td style="text-align: left"> </td></tr> <tr id="xdx_40F_eus-gaap--FinanceLeaseLiabilityPaymentsDueYearThree_iI_pn3n3_maFLLPDzyw4_zW0Vz6cdRCM4" style="vertical-align: bottom; background-color: White"> <td style="padding-bottom: 1pt">December 31, 2027</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">4</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> <tr id="xdx_406_eus-gaap--FinanceLeaseLiabilityPaymentsDue_iTI_pn3n3_mtFLLPDzyw4_ze1UFVDujQad" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Total lease payments</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">79</td><td style="text-align: left"> </td></tr> <tr id="xdx_40B_eus-gaap--FinanceLeaseLiabilityUndiscountedExcessAmount_iI_pn3n3_z83CUhix6J2i" style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 1pt">Less imputed interest</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">4</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> <tr id="xdx_405_eus-gaap--FinanceLeaseLiability_iI_pn3n3_zsbkjmubA0l" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 2.5pt">Total operating lease liabilities</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">75</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr> </table> <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; width: 100%"><tr style="vertical-align: top; text-align: justify"> <td style="width: 15pt; text-align: right">(1)</td><td style="text-align: justify">Represents scheduled payments for the remaining three-month period ending December 31, 2024.</td> </tr></table> Other Contingencies See Note 7 for further discussion regarding contingent consideration arising from the April 2022 Asset Purchase agreement with Thomason Jones Company, LLC.

111000

309000

230000

23000

21000 0.03 0.024

64000

45000

0.030

50000

The following table presents the breakout of the operating leases as of: SCHEDULE OF BREAKOUT OF OPERATING LEASES <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-left: auto; border-collapse: collapse; width: 80%; margin-right: auto"> <tr style="vertical-align: bottom"> <td style="text-align: center"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_496_20240930_zdI5MYiKQFg" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">September 30, 2024</td><td style="padding-bottom: 1pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_499_20231231_zSGKUTw7U2h8" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">December 31, 2023</td><td style="padding-bottom: 1pt; font-weight: bold"> </td></tr> <tr id="xdx_40E_eus-gaap--OperatingLeaseRightOfUseAsset_iI_pn3n3_zLKGYSQQn1Ee" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 60%; text-align: left; padding-bottom: 1pt">Operating lease right-of-use assets</td><td style="width: 2%; padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1pt solid; width: 16%; text-align: right">20,383</td><td style="width: 1%; padding-bottom: 1pt; text-align: left"> </td><td style="width: 2%; padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1pt solid; width: 16%; text-align: right">3,315</td><td style="width: 1%; padding-bottom: 1pt; text-align: left"> </td></tr> <tr id="xdx_402_eus-gaap--OperatingLeaseLiabilityCurrent_iI_pn3n3_zyHvYIUY0dXk" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Short-term operating lease liabilities</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">2,867</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">1,288</td><td style="text-align: left"> </td></tr> <tr id="xdx_401_eus-gaap--OperatingLeaseLiabilityNoncurrent_iI_pn3n3_zPAC7gZJNBh" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 1pt">Long-term operating lease liabilities</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">23,330</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">2,234</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> <tr id="xdx_409_eus-gaap--OperatingLeaseLiability_iI_pn3n3_zYwawTckAY17" style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 2.5pt">Total operating lease liabilities</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">26,197</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">3,522</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td>Weighted average remaining lease term</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">8.62 years</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">2.6 years</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td>Weighted average discount rate</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">7.84</td><td style="text-align: left">%</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">5.2</td><td style="text-align: left">%</td></tr> </table>

20383000

3315000

2867000

1288000

23330000

2234000

26197000

3522000

P8Y7M13D

P2Y7M6D

0.0784

0.052

At September 30, 2024, the future minimum lease payments under these operating leases are as follows: SCHEDULE OF FUTURE MINIMUM LEASE PAYMENTS UNDER OPERATING LEASES <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-left: auto; border-collapse: collapse; width: 60%; margin-right: auto"> <tr style="vertical-align: bottom"> <td style="border-bottom: Black 1pt solid; font-weight: bold">Fiscal Years Ending</td><td style="padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_490_20240930_zVCX2q5K1Plj"> </td><td style="padding-bottom: 1pt"> </td></tr> <tr id="xdx_405_eus-gaap--LesseeOperatingLeaseLiabilityPaymentsRemainderOfFiscalYear_iI_pn3n3_maLOLLPzo30_zzTchX8DRzcb" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 78%">December 31, 2024(1)</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 18%; text-align: right">1,187</td><td style="width: 1%; text-align: left"> </td></tr> <tr id="xdx_40C_eus-gaap--LesseeOperatingLeaseLiabilityPaymentsDueNextTwelveMonths_iI_pn3n3_maLOLLPzo30_zd0Wqt26LIyj" style="vertical-align: bottom; background-color: White"> <td>December 31, 2025</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">4,817</td><td style="text-align: left"> </td></tr> <tr id="xdx_40B_eus-gaap--LesseeOperatingLeaseLiabilityPaymentsDueYearTwo_iI_pn3n3_maLOLLPzo30_zBr6HPrPtKXl" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td>December 31, 2026</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">4,376</td><td style="text-align: left"> </td></tr> <tr id="xdx_403_eus-gaap--LesseeOperatingLeaseLiabilityPaymentsDueYearThree_iI_pn3n3_maLOLLPzo30_zbSiABcgabB3" style="vertical-align: bottom; background-color: White"> <td>December 31, 2027</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">3,588</td><td style="text-align: left"> </td></tr> <tr id="xdx_40E_eus-gaap--LesseeOperatingLeaseLiabilityPaymentsDueYearFour_iI_pn3n3_maLOLLPzo30_zY6lTnmw9SXj" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td>December 31, 2028</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">3,695</td><td style="text-align: left"> </td></tr> <tr id="xdx_401_ecustom--LesseeOperatingLeaseLiabilityPaymentsDueAfterYearFour_iI_pn3n3_maLOLLPzo30_z9MWm6iAhWI" style="vertical-align: bottom; background-color: White"> <td style="padding-bottom: 1pt">Thereafter</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">19,325</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> <tr id="xdx_40F_eus-gaap--LesseeOperatingLeaseLiabilityPaymentsDue_iTI_pn3n3_mtLOLLPzo30_zguR9XvWe7rc" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 1pt">Total lease payments</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">36,988</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> <tr id="xdx_40E_eus-gaap--LesseeOperatingLeaseLiabilityUndiscountedExcessAmount_iI_pn3n3_zN9Lzm1VoMue" style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 1pt">Less imputed interest</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">10,791</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> <tr id="xdx_40A_eus-gaap--OperatingLeaseLiability_iI_pn3n3_zvEHjoYNg4S3" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 2.5pt">Total operating lease liabilities</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">26,197</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr> </table> <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; width: 100%"><tr style="vertical-align: top; text-align: justify"> <td id="xdx_F0D_z6wYon6Xa5yl" style="width: 15pt; text-align: right">(1)</td><td style="text-align: justify">Represents scheduled payments for the remaining three-month period ending December 31, 2024.</td> </tr></table>

1187000

4817000

4376000

3588000

3695000

19325000

36988000

10791000

26197000

SCHEDULE OF LEASE COST <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"> <tr style="vertical-align: bottom"> <td> </td><td style="padding-bottom: 1pt"> </td> <td> </td><td style="padding-bottom: 1pt"> </td> <td colspan="6" style="border-bottom: Black 1pt solid; text-align: center">For The Three Months Ended September 30,</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="6" style="border-bottom: Black 1pt solid; text-align: center">For The Nine Months Ended September 30,</td><td style="padding-bottom: 1pt"> </td></tr> <tr style="vertical-align: bottom"> <td style="border-bottom: Black 1pt solid">Lease cost</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid">Classification</td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">2024</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">2023</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">2024</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">2023</td><td style="padding-bottom: 1pt"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 21%; text-align: left">Operating lease cost</td><td style="width: 2%"> </td> <td style="width: 21%; text-align: left">Cost of goods sold</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_98D_eus-gaap--OperatingLeaseCost_pn3n3_c20240701__20240930__us-gaap--IncomeStatementLocationAxis__us-gaap--CostOfSalesMember_zVSUaS56Q0G6" style="width: 10%; text-align: right" title="Operating lease cost">310</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_983_eus-gaap--OperatingLeaseCost_pn3n3_c20230701__20230930__us-gaap--IncomeStatementLocationAxis__us-gaap--CostOfSalesMember_zOdHOJDJd001" style="width: 10%; text-align: right" title="Operating lease cost">345</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_980_eus-gaap--OperatingLeaseCost_pn3n3_c20240101__20240930__us-gaap--IncomeStatementLocationAxis__us-gaap--CostOfSalesMember_zu3M5PLh4klk" style="width: 10%; text-align: right" title="Operating lease cost">1,001</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_982_eus-gaap--OperatingLeaseCost_pn3n3_c20230101__20230930__us-gaap--IncomeStatementLocationAxis__us-gaap--CostOfSalesMember_zpjUwSJKOsx1" style="width: 10%; text-align: right" title="Operating lease cost">1,040</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Operating lease cost</td><td> </td> <td style="text-align: left">Research and development</td><td> </td> <td style="text-align: left"> </td><td id="xdx_989_eus-gaap--OperatingLeaseCost_pn3n3_c20240701__20240930__us-gaap--IncomeStatementLocationAxis__us-gaap--ResearchAndDevelopmentExpenseMember_z58rZ7k7ybY8" style="text-align: right" title="Operating lease cost">204</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_981_eus-gaap--OperatingLeaseCost_pn3n3_c20230701__20230930__us-gaap--IncomeStatementLocationAxis__us-gaap--ResearchAndDevelopmentExpenseMember_zX122lLzs36f" style="text-align: right" title="Operating lease cost">22</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_987_eus-gaap--OperatingLeaseCost_pn3n3_c20240101__20240930__us-gaap--IncomeStatementLocationAxis__us-gaap--ResearchAndDevelopmentExpenseMember_zZc3eo2Zqdq4" style="text-align: right" title="Operating lease cost">357</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_988_eus-gaap--OperatingLeaseCost_pn3n3_c20230101__20230930__us-gaap--IncomeStatementLocationAxis__us-gaap--ResearchAndDevelopmentExpenseMember_znQv42ldTJTl" style="text-align: right" title="Operating lease cost">67</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Operating lease cost</td><td> </td> <td style="text-align: left">General and administration</td><td> </td> <td style="text-align: left"> </td><td id="xdx_981_eus-gaap--OperatingLeaseCost_pn3n3_c20240701__20240930__us-gaap--IncomeStatementLocationAxis__us-gaap--GeneralAndAdministrativeExpenseMember_zKTYjIwYn11f" style="text-align: right" title="Operating lease cost">676</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_988_eus-gaap--OperatingLeaseCost_pn3n3_c20230701__20230930__us-gaap--IncomeStatementLocationAxis__us-gaap--GeneralAndAdministrativeExpenseMember_zxVubvkwIp83" style="text-align: right" title="Operating lease cost">11</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_98D_eus-gaap--OperatingLeaseCost_pn3n3_c20240101__20240930__us-gaap--IncomeStatementLocationAxis__us-gaap--GeneralAndAdministrativeExpenseMember_zX2xsDo5qfM2" style="text-align: right" title="Operating lease cost">1,708</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_98B_eus-gaap--OperatingLeaseCost_pn3n3_c20230101__20230930__us-gaap--IncomeStatementLocationAxis__us-gaap--GeneralAndAdministrativeExpenseMember_znFrDq7UED84" style="text-align: right" title="Operating lease cost">35</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 2.5pt">Operating lease cost</td><td style="padding-bottom: 2.5pt"> </td> <td style="text-align: left; padding-bottom: 2.5pt">Selling and marketing</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> </td><td id="xdx_98C_eus-gaap--OperatingLeaseCost_pn3n3_c20240701__20240930__us-gaap--IncomeStatementLocationAxis__us-gaap--SellingAndMarketingExpenseMember_zXWemlAFRbua" style="border-bottom: Black 2.5pt double; text-align: right" title="Operating lease cost">11</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> </td><td id="xdx_98E_eus-gaap--OperatingLeaseCost_pn3n3_c20230701__20230930__us-gaap--IncomeStatementLocationAxis__us-gaap--SellingAndMarketingExpenseMember_zfzl1brKnjWd" style="border-bottom: Black 2.5pt double; text-align: right" title="Operating lease cost">11</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> </td><td id="xdx_986_eus-gaap--OperatingLeaseCost_pn3n3_c20240101__20240930__us-gaap--IncomeStatementLocationAxis__us-gaap--SellingAndMarketingExpenseMember_zvX7t90gibf" style="border-bottom: Black 2.5pt double; text-align: right" title="Operating lease cost">34</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> </td><td id="xdx_98F_eus-gaap--OperatingLeaseCost_pn3n3_c20230101__20230930__us-gaap--IncomeStatementLocationAxis__us-gaap--SellingAndMarketingExpenseMember_zm2COtvy9lx8" style="border-bottom: Black 2.5pt double; text-align: right" title="Operating lease cost">35</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 2.5pt">Total lease cost</td><td style="padding-bottom: 2.5pt"> </td> <td style="padding-bottom: 2.5pt"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td id="xdx_98E_eus-gaap--OperatingLeaseCost_pn3n3_c20240701__20240930_zxG1T5DQxdva" style="border-bottom: Black 2.5pt double; text-align: right" title="Operating lease cost">1,201</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td id="xdx_982_eus-gaap--OperatingLeaseCost_pn3n3_c20230701__20230930_zThxkXS4kxc1" style="border-bottom: Black 2.5pt double; text-align: right" title="Operating lease cost">389</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td id="xdx_982_eus-gaap--OperatingLeaseCost_pn3n3_c20240101__20240930_zSKOJ8ZUFnG2" style="border-bottom: Black 2.5pt double; text-align: right" title="Operating lease cost">3,100</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td id="xdx_987_eus-gaap--OperatingLeaseCost_pn3n3_c20230101__20230930_zIGijj2weX3k" style="border-bottom: Black 2.5pt double; text-align: right" title="Operating lease cost">1,177</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr> </table>

310000

345000

1001000

1040000

204000

22000

357000

67000

676000

11000

1708000

35000

11000

34000

35000

1201000

389000

3100000

1177000

P3Y

P5Y

The following table presents the breakout of the financing leases as of: SCHEDULE OF BREAKOUT OF FINANCE LEASES <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-left: auto; border-collapse: collapse; width: 85%; margin-right: auto"> <tr style="vertical-align: bottom"> <td style="text-align: center"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_490_20240930_zOruWq26Xlqj" style="border-bottom: Black 1pt solid; text-align: center">September 30, 2024</td><td style="padding-bottom: 1pt"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_491_20231231_zkiLJU9XSgm9" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">December 31, 2023</td><td style="padding-bottom: 1pt; font-weight: bold"> </td></tr> <tr id="xdx_40F_ecustom--FinanceLeaseRightOfUseAssets_iI_pn3n3_z7KwO0OdzA7e" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 60%; text-align: left; padding-bottom: 1pt">Finance lease right-of-use assets</td><td style="width: 2%; padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1pt solid; width: 16%; text-align: right">82</td><td style="width: 1%; padding-bottom: 1pt; text-align: left"> </td><td style="width: 2%; padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; width: 1%; text-align: left">$</td><td style="border-bottom: Black 1pt solid; width: 16%; text-align: right">106</td><td style="width: 1%; padding-bottom: 1pt; text-align: left"> </td></tr> <tr id="xdx_403_eus-gaap--FinanceLeaseLiabilityCurrent_iI_pn3n3_zncCnsELuCHa" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Short-term finance lease liabilities</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">38</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">36</td><td style="text-align: left"> </td></tr> <tr id="xdx_402_eus-gaap--FinanceLeaseLiabilityNoncurrent_iI_pn3n3_zf8C3LT6HZGl" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 1pt">Long-term finance lease liabilities</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">37</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">66</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> <tr id="xdx_400_eus-gaap--FinanceLeaseLiability_iI_pn3n3_zZZhcHR1qQ2f" style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 2.5pt">Total finance lease liabilities</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">75</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">102</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td>Weighted average remaining lease term</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">2.0 years</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">2.7 years</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td>Weighted average discount rate</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">5.2</td><td style="text-align: left">%</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">5.2</td><td style="text-align: left">%</td></tr> </table> 82000 106000

38000

36000

37000

66000

75000

102000

P2Y

P2Y8M12D

0.052

At September 30, 2024, the future minimum lease payments under these operating leases are as follows: SCHEDULE OF FUTURE MINIMUM LEASE PAYMENTS UNDER FINANCE LEASES <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-left: auto; border-collapse: collapse; width: 60%; margin-right: auto"> <tr style="vertical-align: bottom"> <td style="border-bottom: Black 1pt solid; font-weight: bold">Fiscal Years Ending</td><td style="padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_496_20240930_zyA1T37BHaQf"> </td><td style="padding-bottom: 1pt"> </td></tr> <tr id="xdx_40F_eus-gaap--FinanceLeaseLiabilityPaymentsRemainderOfFiscalYear_iI_pn3n3_maFLLPDzyw4_zEBXXuTody4c" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 78%">December 31, 2024(1)</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td style="width: 18%; text-align: right">10</td><td style="width: 1%; text-align: left"> </td></tr> <tr id="xdx_409_eus-gaap--FinanceLeaseLiabilityPaymentsDueNextTwelveMonths_iI_pn3n3_maFLLPDzyw4_zZBy1xCsNwg3" style="vertical-align: bottom; background-color: White"> <td>December 31, 2025</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">41</td><td style="text-align: left"> </td></tr> <tr id="xdx_402_eus-gaap--FinanceLeaseLiabilityPaymentsDueYearTwo_iI_pn3n3_maFLLPDzyw4_zkoWn6gELSDb" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td>December 31, 2026</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">24</td><td style="text-align: left"> </td></tr> <tr id="xdx_40F_eus-gaap--FinanceLeaseLiabilityPaymentsDueYearThree_iI_pn3n3_maFLLPDzyw4_zW0Vz6cdRCM4" style="vertical-align: bottom; background-color: White"> <td style="padding-bottom: 1pt">December 31, 2027</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">4</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> <tr id="xdx_406_eus-gaap--FinanceLeaseLiabilityPaymentsDue_iTI_pn3n3_mtFLLPDzyw4_ze1UFVDujQad" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Total lease payments</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">79</td><td style="text-align: left"> </td></tr> <tr id="xdx_40B_eus-gaap--FinanceLeaseLiabilityUndiscountedExcessAmount_iI_pn3n3_z83CUhix6J2i" style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 1pt">Less imputed interest</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">4</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> <tr id="xdx_405_eus-gaap--FinanceLeaseLiability_iI_pn3n3_zsbkjmubA0l" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 2.5pt">Total operating lease liabilities</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">75</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr> </table> <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 6pt; width: 100%"><tr style="vertical-align: top; text-align: justify"> <td style="width: 15pt; text-align: right">(1)</td><td style="text-align: justify">Represents scheduled payments for the remaining three-month period ending December 31, 2024.</td> </tr></table>

10000

41000

24000

4000

79000

4000

75000

Note 6 - Long Term Debt Term Loan Agreement On October 7, 2022 (the “Closing Date”), in connection with the merger, CNTQ, Legacy Dragonfly and CCM Investments 5 LLC, an affiliate of CCM LLC (“CCM 5”, and in connection with the Term Loan, the “Chardan Lender”), and EICF Agent LLC (“EIP”) entered into the Term Loan, Guarantee and Security Agreement (the “Original Term Loan Agreement”) setting forth the terms of the Term Loan. The Chardan Lender backstopped its commitment under the Debt Commitment Letter by entering into a backstop commitment letter, dated as of May 20, 2022 (the “Backstop Commitment Letter”), with a certain third party financing source (the “Backstop Lender” and collectively with EIP, the “Term Loan Lenders”), pursuant to which the Backstop Lender committed to purchase from the Chardan Lender the aggregate amount of the Term Loan held by the Chardan Lender (the “Backstopped Loans”) immediately following the issuance of the Term Loan on the Closing Date. Pursuant to an assignment agreement, the Backstopped Loans were assigned by CCM 5 to the Backstop Lender on the Closing Date. Pursuant to the terms of the Term Loan Agreement, the Term Loan was advanced in one tranche on the Closing Date. The proceeds of the Term Loan were used (i) to refinance on the Closing Date prior indebtedness (including the obligations underlying the Trust Indenture), (ii) to support the merger and related transactions under the merger agreement, (iii) for working capital purposes and other corporate purposes, and (iv) to pay any fees associated with transactions contemplated under the Term Loan Agreement and the other loan documents entered into in connection therewith, including the transactions described in the foregoing clauses (i) and (ii) and fees and expenses related to the merger. The Term Loan amortizes in the amount of <span id="xdx_907_ecustom--DebtInstrumentAmortizationPercentage_pid_dp_uPure_c20221007__20221007__us-gaap--CreditFacilityAxis__custom--SeniorSecuredTermLoanFacilityMember__us-gaap--TypeOfArrangementAxis__custom--TermLoanAgreementMember_zVO5rKDPo4Kg" title="Debt instrument, amortization percentage">5.0% per annum (or $<span id="xdx_900_ecustom--DebtInstrumentAmortizationAmount_pp1n3_c20221007__20221007__us-gaap--CreditFacilityAxis__custom--SeniorSecuredTermLoanFacilityMember__us-gaap--TypeOfArrangementAxis__custom--TermLoanAgreementMember_zEs7SYr4gCE2" title="Debt instrument, amortization amount">937.5 on the first day of each calendar quarter) beginning twenty-four (<span id="xdx_900_ecustom--DebtInstrumentAmortizationPeriod_dtM_c20221007__20221007__us-gaap--CreditFacilityAxis__custom--SeniorSecuredTermLoanFacilityMember__us-gaap--TypeOfArrangementAxis__custom--TermLoanAgreementMember_ze6xxdNpZlRa" title="Debt instrument, amortization period">24) months after the Closing Date and matures on the fourth anniversary of the Closing Date (“Maturity Date”). The Term Loan accrues interest as follows: (i) until October 1, 2024, at a per annum rate equal to adjusted SOFR plus <span id="xdx_90A_ecustom--DebtInstrumentBasisSpreadOnVariableRatePayableInCash_pid_dp_c20221007__20221007__srt--StatementScenarioAxis__custom--AfterApril12023UntilOctober12024Member__us-gaap--CreditFacilityAxis__custom--SeniorSecuredTermLoanFacilityMember__us-gaap--TypeOfArrangementAxis__custom--TermLoanAgreementMember__us-gaap--DebtInstrumentAxis__us-gaap--SecuredOvernightFinancingRateSofrOvernightIndexSwapRateMember_zlgNhS4VtcIc" title="Variable rate, payable in kind">7.0% payable in cash plus an amount ranging from <span id="xdx_907_ecustom--DebtInstrumentBasisSpreadOnVariableRatePayableInKind_pid_dp_uPure_c20221007__20221007__srt--StatementScenarioAxis__custom--AfterApril12023UntilOctober12024Member__us-gaap--CreditFacilityAxis__custom--SeniorSecuredTermLoanFacilityMember__us-gaap--TypeOfArrangementAxis__custom--TermLoanAgreementMember__us-gaap--DebtInstrumentAxis__us-gaap--SecuredOvernightFinancingRateSofrOvernightIndexSwapRateMember__srt--RangeAxis__srt--MinimumMember_z2Ts3OYgNMyc" title="Variable rate, payable in kind">4.5% to <span id="xdx_909_ecustom--DebtInstrumentBasisSpreadOnVariableRatePayableInKind_pid_dp_c20221007__20221007__srt--StatementScenarioAxis__custom--AfterApril12023UntilOctober12024Member__us-gaap--CreditFacilityAxis__custom--SeniorSecuredTermLoanFacilityMember__us-gaap--TypeOfArrangementAxis__custom--TermLoanAgreementMember__us-gaap--DebtInstrumentAxis__us-gaap--SecuredOvernightFinancingRateSofrOvernightIndexSwapRateMember__srt--RangeAxis__srt--MaximumMember_zFJF6NYuKw8e" title="Variable rate, payable in kind">6.5%, depending on the senior leverage ratio of the consolidated company, which will be paid in kind; (ii) at all times thereafter, at a per annum rate equal to adjusted SOFR plus a margin ranging from <span id="xdx_901_ecustom--DebtInstrumentBasisSpreadOnVariableRatePayableInCash_pid_dp_uPure_c20221007__20221007__srt--StatementScenarioAxis__custom--AfterApril12023UntilOctober12024Member__us-gaap--CreditFacilityAxis__custom--SeniorSecuredTermLoanFacilityMember__us-gaap--TypeOfArrangementAxis__custom--TermLoanAgreementMember__us-gaap--DebtInstrumentAxis__us-gaap--SecuredOvernightFinancingRateSofrOvernightIndexSwapRateMember__srt--RangeAxis__srt--MinimumMember_zaXzjIND6g4e" title="Variable rate, payable in cash">11.5% to <span id="xdx_909_ecustom--DebtInstrumentBasisSpreadOnVariableRatePayableInCash_pid_dp_uPure_c20221007__20221007__srt--StatementScenarioAxis__custom--AfterApril12023UntilOctober12024Member__us-gaap--CreditFacilityAxis__custom--SeniorSecuredTermLoanFacilityMember__us-gaap--TypeOfArrangementAxis__custom--TermLoanAgreementMember__us-gaap--DebtInstrumentAxis__us-gaap--SecuredOvernightFinancingRateSofrOvernightIndexSwapRateMember__srt--RangeAxis__srt--MaximumMember_zFVWDSwWb2d9" title="Variable rate, payable in cash">13.5% payable in cash, depending on the senior leverage ratio of the consolidated company. In each of the foregoing cases, adjusted SOFR will be no less than <span id="xdx_907_eus-gaap--DebtInstrumentBasisSpreadOnVariableRate1_pid_dp_uPure_c20221007__20221007__srt--StatementScenarioAxis__custom--AfterApril12023UntilOctober12024Member__us-gaap--CreditFacilityAxis__custom--SeniorSecuredTermLoanFacilityMember__us-gaap--TypeOfArrangementAxis__custom--TermLoanAgreementMember__us-gaap--DebtInstrumentAxis__us-gaap--SecuredOvernightFinancingRateSofrOvernightIndexSwapRateMember__srt--RangeAxis__srt--MaximumMember_zsceLZZWe3Ve" title="Basis spread on variable rate">1%; (iii) effective April 1, 2024 and thereafter, interest payable to certain lenders subject to regulations of the U.S. Small Business Administration (“SBA”) with outstanding principal on that date of $30,846 will be limited to 14.0% per annum (except for default interest permitted under SBA regulations, as applicable); and (iv) the other outstanding principal will accrue interest from April 1, 2024 thereafter until October 1, 2024, at a per annum rate equal to adjusted SOFR plus <span id="xdx_903_ecustom--DebtInstrumentBasisSpreadOnVariableRatePayableInCash_pid_dp_c20240401__20240401__srt--StatementScenarioAxis__custom--AfterApril12023UntilOctober12024Member__us-gaap--CreditFacilityAxis__custom--SeniorSecuredTermLoanFacilityMember__us-gaap--TypeOfArrangementAxis__custom--TermLoanAgreementMember__us-gaap--DebtInstrumentAxis__us-gaap--SecuredOvernightFinancingRateSofrOvernightIndexSwapRateMember_zbjOwvMl6W63" title="Variable rate, payable in kind">7.0% payable in cash plus an amount ranging from <span id="xdx_906_ecustom--DebtInstrumentBasisSpreadOnVariableRatePayableInKind_pid_dp_uPure_c20240401__20240401__srt--StatementScenarioAxis__custom--AfterApril12023UntilOctober12024Member__us-gaap--CreditFacilityAxis__custom--SeniorSecuredTermLoanFacilityMember__us-gaap--TypeOfArrangementAxis__custom--TermLoanAgreementMember__us-gaap--DebtInstrumentAxis__us-gaap--SecuredOvernightFinancingRateSofrOvernightIndexSwapRateMember__srt--RangeAxis__srt--MinimumMember_zv5UHCDI1Cua" title="Variable rate, payable in kind">4.5% to <span id="xdx_906_ecustom--DebtInstrumentBasisSpreadOnVariableRatePayableInKind_pid_dp_c20240401__20240401__srt--StatementScenarioAxis__custom--AfterApril12023UntilOctober12024Member__us-gaap--CreditFacilityAxis__custom--SeniorSecuredTermLoanFacilityMember__us-gaap--TypeOfArrangementAxis__custom--TermLoanAgreementMember__us-gaap--DebtInstrumentAxis__us-gaap--SecuredOvernightFinancingRateSofrOvernightIndexSwapRateMember__srt--RangeAxis__srt--MaximumMember_zHoj15WjBFP7" title="Variable rate, payable in kind">6.5%, depending on the Company’s senior leverage ratio, and at all times thereafter, at a per annum rate equal to adjusted SOFR plus a margin ranging from <span id="xdx_906_ecustom--DebtInstrumentBasisSpreadOnVariableRatePayableInCash_pid_dp_uPure_c20240401__20240401__srt--StatementScenarioAxis__custom--AfterApril12023UntilOctober12024Member__us-gaap--CreditFacilityAxis__custom--SeniorSecuredTermLoanFacilityMember__us-gaap--TypeOfArrangementAxis__custom--TermLoanAgreementMember__us-gaap--DebtInstrumentAxis__us-gaap--SecuredOvernightFinancingRateSofrOvernightIndexSwapRateMember__srt--RangeAxis__srt--MinimumMember_znR6j1bRw4H1" title="Variable rate, payable in cash">11.5% to <span id="xdx_909_ecustom--DebtInstrumentBasisSpreadOnVariableRatePayableInCash_pid_dp_c20240401__20240401__srt--StatementScenarioAxis__custom--AfterApril12023UntilOctober12024Member__us-gaap--CreditFacilityAxis__custom--SeniorSecuredTermLoanFacilityMember__us-gaap--TypeOfArrangementAxis__custom--TermLoanAgreementMember__us-gaap--DebtInstrumentAxis__us-gaap--SecuredOvernightFinancingRateSofrOvernightIndexSwapRateMember__srt--RangeAxis__srt--MaximumMember_zjk7PolqgfD1" title="Variable rate, payable in cash">13.5%, depending on the senior leverage ratio of the Company. Payments of interest based on the Term Loan Agreement, as amended, are as follows: <table border="0" cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; width: 100%; margin-top: 0pt; margin-bottom: 0pt"> <tr style="vertical-align: top"> <td style="width: 0.5in"> </td> <td style="text-align: justify; width: 0.5in">(i)</td> <td style="text-align: justify">Interest payable on April 1, 2024, was paid in cash.</td></tr> <tr style="vertical-align: top"> <td> </td> <td style="text-align: justify">(ii)</td> <td style="text-align: justify">Interest payable on July 1, 2024, became payable in kind.</td></tr> <tr style="vertical-align: top"> <td> </td> <td style="text-align: justify">(iii)</td> <td style="text-align: justify">Interest payable on October 1, 2024, became payable partly in cash and partly in-kind, at a per annum rate equal to adjusted SOFR plus <span id="xdx_906_ecustom--DebtInstrumentBasisSpreadOnVariableRatePayableInCash_pid_dp_c20221007__20221007__srt--StatementScenarioAxis__custom--AfterApril12023UntilOctober12024Member__us-gaap--CreditFacilityAxis__custom--SeniorSecuredTermLoanFacilityMember__us-gaap--TypeOfArrangementAxis__custom--TermLoanAgreementMember__us-gaap--DebtInstrumentAxis__us-gaap--SecuredOvernightFinancingRateSofrOvernightIndexSwapRateMember_zFhhnIcGateg" title="Variable rate, payable in kind">7.0% payable in cash plus an amount ranging from <span id="xdx_906_ecustom--DebtInstrumentBasisSpreadOnVariableRatePayableInKind_pid_dp_uPure_c20221007__20221007__srt--StatementScenarioAxis__custom--AfterApril12023UntilOctober12024Member__us-gaap--CreditFacilityAxis__custom--SeniorSecuredTermLoanFacilityMember__us-gaap--TypeOfArrangementAxis__custom--TermLoanAgreementMember__us-gaap--DebtInstrumentAxis__us-gaap--SecuredOvernightFinancingRateSofrOvernightIndexSwapRateMember__srt--RangeAxis__srt--MinimumMember_zVUQ81PYaBQ8" title="Variable rate, payable in kind">4.5% to <span id="xdx_909_ecustom--DebtInstrumentBasisSpreadOnVariableRatePayableInKind_pid_dp_c20221007__20221007__srt--StatementScenarioAxis__custom--AfterApril12023UntilOctober12024Member__us-gaap--CreditFacilityAxis__custom--SeniorSecuredTermLoanFacilityMember__us-gaap--TypeOfArrangementAxis__custom--TermLoanAgreementMember__us-gaap--DebtInstrumentAxis__us-gaap--SecuredOvernightFinancingRateSofrOvernightIndexSwapRateMember__srt--RangeAxis__srt--MaximumMember_zREHLZRktYUf" title="Variable rate, payable in kind">6.5% paid-in-kind, depending on the senior leverage ratio of the consolidated company (subject to the 14.0% limit for lenders subject to SBA regulations).</td></tr> <tr style="vertical-align: top"> <td> </td> <td style="text-align: justify">(iv)</td> <td style="text-align: justify">For each payment date occurring on or after January 1, 2025, interest will be payable in cash.</td></tr> </table> In each of the foregoing cases, adjusted SOFR will be no less than <span id="xdx_90D_eus-gaap--DebtInstrumentBasisSpreadOnVariableRate1_pid_dp_uPure_c20221007__20221007__srt--StatementScenarioAxis__custom--AfterApril12023UntilOctober12024Member__us-gaap--CreditFacilityAxis__custom--SeniorSecuredTermLoanFacilityMember__us-gaap--TypeOfArrangementAxis__custom--TermLoanAgreementMember__us-gaap--DebtInstrumentAxis__us-gaap--SecuredOvernightFinancingRateSofrOvernightIndexSwapRateMember__srt--RangeAxis__srt--MaximumMember_zsW8oXUcy7K6" title="Basis spread on variable rate">1%. Note 6 - Long Term Debt (continued) In addition to optional prepayments by the Company upon written notice, the Term Loan Agreement provides for mandatory prepayments upon receipt of proceeds from certain transactions or casualty events. The Company is required to prepay the Term Loan based on excess cash flow, as defined in the agreement, beginning with the financial statements for the year ended December 31, 2023. During the year ended December 31, 2023 the Company prepaid the first four installments of the Term Loan which amounted to $5,275 and pushed back the first principal payment to October 2025. In connection with the entry into the Term Loan Agreement, and as a required term and condition thereof, the Company issued (i) the penny warrants to the Term Loan Lenders exercisable to purchase an aggregate of <span id="xdx_904_eus-gaap--ClassOfWarrantOrRightNumberOfSecuritiesCalledByWarrantsOrRights_iI_c20240930__us-gaap--TypeOfArrangementAxis__custom--TermLoanAgreementMember__us-gaap--ClassOfWarrantOrRightAxis__custom--PennyWarrantsMember_zrDpc2uZC3a" title="Warrants exercisable">2,593,056 and (ii) the $<span id="xdx_902_eus-gaap--SharePrice_iI_c20240930__us-gaap--TypeOfArrangementAxis__custom--TermLoanAgreementMember__us-gaap--ClassOfWarrantOrRightAxis__custom--WarrantsTenMember_zp7LZI1jL9d1" title="SharePrice">10 warrants to issue warrants to the Term Loan Lenders exercisable to purchase an aggregate of <span id="xdx_90F_eus-gaap--ClassOfWarrantOrRightNumberOfSecuritiesCalledByWarrantsOrRights_iI_c20240930__us-gaap--TypeOfArrangementAxis__custom--TermLoanAgreementMember__us-gaap--ClassOfWarrantOrRightAxis__custom--WarrantsTenMember_zm5QDCI0kc5f" title="Warrants to purchase shares">1,600,000 shares of common stock at $<span id="xdx_90F_eus-gaap--SharePrice_iI_c20240930__us-gaap--TypeOfArrangementAxis__custom--TermLoanAgreementMember__us-gaap--ClassOfWarrantOrRightAxis__custom--WarrantsTenMember_zvwHBKRvPgk5" title="Share price">10 per share. Refer to Note 10 for further information. Unless the obligations under the Term Loan are accelerated under the terms of the agreement, the maturity date will be October 7, 2026. The Term Loan Lenders have been granted a first priority lien, and security interest in, the mortgaged properties underlying the Company’s mortgages. During the nine months ended September 30, 2024 and 2023, a total of $<span id="xdx_908_eus-gaap--InterestExpenseDebtExcludingAmortization_pn3n3_c20240101__20240930__us-gaap--LongtermDebtTypeAxis__us-gaap--SeniorNotesMember__us-gaap--TypeOfArrangementAxis__custom--TermLoanAgreementMember_z4xEKolSAq4a" title="Interest expense debt, excluding amortization">10,531 and $<span id="xdx_909_eus-gaap--InterestExpenseDebtExcludingAmortization_pn3n3_c20230101__20230930__us-gaap--LongtermDebtTypeAxis__us-gaap--SeniorNotesMember__us-gaap--TypeOfArrangementAxis__custom--TermLoanAgreementMember_z4A6Gkk61sLh" title="Interest expense debt, excluding amortization">10,736, respectively, of interest expense was incurred under the debt. During the three months ended September 30, 2024 and 2023, a total of $<span id="xdx_90E_eus-gaap--InterestExpenseDebtExcludingAmortization_pn3n3_c20240701__20240930__us-gaap--LongtermDebtTypeAxis__us-gaap--SeniorNotesMember__us-gaap--TypeOfArrangementAxis__custom--TermLoanAgreementMember_zvweNkTGOCL2" title="Interest expense debt, excluding amortization">3,509 and $<span id="xdx_901_eus-gaap--InterestExpenseDebtExcludingAmortization_pn3n3_c20230701__20230930__us-gaap--LongtermDebtTypeAxis__us-gaap--SeniorNotesMember__us-gaap--TypeOfArrangementAxis__custom--TermLoanAgreementMember_z92BRWbNvsG3" title="Interest expense debt, excluding amortization">3,589, respectively, of interest expense was incurred under the debt. Amortization of the debt issuance costs amounted to $<span id="xdx_908_eus-gaap--AmortizationOfFinancingCosts_pn3n3_c20240101__20240930__us-gaap--LongtermDebtTypeAxis__us-gaap--SeniorNotesMember__us-gaap--TypeOfArrangementAxis__custom--TermLoanAgreementMember_zES5VMp8vLr1" title="Amortization of debt issuance costs">4,490 and $<span id="xdx_901_eus-gaap--AmortizationOfFinancingCosts_pn3n3_c20230101__20230930__us-gaap--LongtermDebtTypeAxis__us-gaap--SeniorNotesMember__us-gaap--TypeOfArrangementAxis__custom--TermLoanAgreementMember_zsrY2cyuDcr5" title="Amortization of debt issuance costs">995, respectively, during the nine months ended September 30, 2024 and 2023. Amortization of the debt issuance costs amounted to $<span id="xdx_90F_eus-gaap--AmortizationOfFinancingCosts_pn3n3_c20240701__20240930__us-gaap--LongtermDebtTypeAxis__us-gaap--SeniorNotesMember__us-gaap--TypeOfArrangementAxis__custom--TermLoanAgreementMember_zNInfp8HkDXg" title="Amortization of debt issuance costs">2,062 and $<span id="xdx_905_eus-gaap--AmortizationOfFinancingCosts_pn3n3_c20230701__20230930__us-gaap--LongtermDebtTypeAxis__us-gaap--SeniorNotesMember__us-gaap--TypeOfArrangementAxis__custom--TermLoanAgreementMember_zUpSPM7zxJw2" title="Amortization of debt issuance costs">375, respectively, during the three months ended September 30, 2024 and 2023. The carrying balance of $<span id="xdx_904_eus-gaap--LongTermDebt_iI_pn3n3_c20240930__us-gaap--LongtermDebtTypeAxis__us-gaap--SeniorNotesMember__us-gaap--TypeOfArrangementAxis__custom--TermLoanAgreementMember_zTQmJsYUTizg" title="Long term debt">24,398 on September 30, 2024, consisted of $<span id="xdx_901_eus-gaap--DebtInstrumentFaceAmount_iI_pn3n3_c20240930__us-gaap--LongtermDebtTypeAxis__us-gaap--SeniorNotesMember__us-gaap--TypeOfArrangementAxis__custom--TermLoanAgreementMember_zkc71pyRxx2j" title="Loan principal amount">69,725 in principal, plus $<span id="xdx_90B_eus-gaap--PaidInKindInterest_pn3n3_c20240101__20240930__us-gaap--LongtermDebtTypeAxis__us-gaap--SeniorNotesMember__us-gaap--TypeOfArrangementAxis__custom--TermLoanAgreementMember_zipjdIwtM6Kl" title="Paid in kind interest">12,719 PIK interest, less $<span id="xdx_907_eus-gaap--DebtInstrumentUnamortizedDiscount_iI_pn3n3_c20240930__us-gaap--LongtermDebtTypeAxis__us-gaap--SeniorNotesMember__us-gaap--TypeOfArrangementAxis__custom--TermLoanAgreementMember_zmgNRAwyjC3d" title="Unamortized debt discount">58,046 in unamortized debt discount related to the debt issuance costs. The carrying balance of $<span id="xdx_90C_eus-gaap--LongTermDebt_iI_pn3n3_c20231231__us-gaap--LongtermDebtTypeAxis__us-gaap--SeniorNotesMember__us-gaap--TypeOfArrangementAxis__custom--TermLoanAgreementMember_zLcSwOrJ1cF2" title="Long term debt">19,683 on December 31, 2023, consisted of $<span id="xdx_90D_eus-gaap--DebtInstrumentFaceAmount_iI_pn3n3_c20231231__us-gaap--LongtermDebtTypeAxis__us-gaap--SeniorNotesMember__us-gaap--TypeOfArrangementAxis__custom--TermLoanAgreementMember_zZeYFtpFiB77" title="Loan principal amount">69,725 in principal, plus $<span id="xdx_909_eus-gaap--PaidInKindInterest_pn3n3_c20230101__20231231__us-gaap--LongtermDebtTypeAxis__us-gaap--SeniorNotesMember__us-gaap--TypeOfArrangementAxis__custom--TermLoanAgreementMember_z2JI9qrf6uJe" title="Paid in kind interest">6,130 PIK interest, less $<span id="xdx_90F_eus-gaap--DebtInstrumentUnamortizedDiscount_iI_pn3n3_c20231231__us-gaap--LongtermDebtTypeAxis__us-gaap--SeniorNotesMember__us-gaap--TypeOfArrangementAxis__custom--TermLoanAgreementMember_zuKy2KcfHZBf" title="Unamortized debt discount">56,172 in unamortized debt discount related to the debt issuance costs. On May 13, 2024, the Company received a waiver from its Administrative Agent and Term Loan Lenders (the “May 2024 Waiver”) in regards to its compliance with the Senior Leverage Ratio and Fixed Charge Coverage Ratio tests (the “Tests”) as of the last day of the quarter ended March 31, 2024. The May 2024 Waiver provided for a one-time issuance of penny warrants (the “May 2024 Penny Warrants”) to purchase up to <span id="xdx_904_eus-gaap--ClassOfWarrantOrRightNumberOfSecuritiesCalledByWarrantsOrRights_iI_pid_c20240513__us-gaap--ClassOfWarrantOrRightAxis__custom--MayTwoThousandTwentyFourPennyWarrantsMember__us-gaap--StatementEquityComponentsAxis__us-gaap--CommonStockMember_zbp5EctKLn92" title="Warrans purchase">2,550,000 shares of the Company’s common stock (the “May 2024 Penny Warrant Shares”). The May 2024 Penny Warrants have an exercise price of $<span id="xdx_90B_eus-gaap--ClassOfWarrantOrRightExercisePriceOfWarrantsOrRights1_iI_pid_c20240513__us-gaap--ClassOfWarrantOrRightAxis__custom--MayTwoThousandTwentyFourPennyWarrantsMember__us-gaap--StatementEquityComponentsAxis__us-gaap--CommonStockMember_zyuKLIAvjDs1" title="Exercise price">0.01 per share, were valued at $3,022, and recorded as a debt discount. The May 2024 Penny Warrants were issued in connection with the Term Loan Lenders’ agreement to waive the Tests under the Term Loan for the quarter ended March 31, 2024. The May 2024 Penny Warrants were immediately exercisable upon issuance and will expire <span id="xdx_90D_eus-gaap--WarrantsAndRightsOutstandingTerm_iI_dc_c20240513__us-gaap--ClassOfWarrantOrRightAxis__custom--MayTwoThousandTwentyFourPennyWarrantsMember__us-gaap--StatementEquityComponentsAxis__us-gaap--CommonStockMember_zg8iolRR6Nf6" title="Warrants exercisable Term">ten years from the date of issuance. On June 28, 2024, the Company entered into a Limited Waiver and First Amendment to the Term Loan with the Term Loan Lenders in regards to its compliance with the Tests as of the last day of the quarter ended June 30, 2024 and certain amendments to the Term Loan. The First Amendment provided for a one-time issuance of Penny Warrants to purchase up to <span id="xdx_902_eus-gaap--ClassOfWarrantOrRightNumberOfSecuritiesCalledByWarrantsOrRights_iI_pid_c20240628__us-gaap--ClassOfWarrantOrRightAxis__custom--JuneTwoThousandTwentyFourPennyWarrantsMember__us-gaap--StatementEquityComponentsAxis__us-gaap--CommonStockMember_zCj3l7rGKHX3" title="Warrans purchase">2,100,000 shares of the Company’s Common Stock at an exercise price of $<span id="xdx_909_eus-gaap--ClassOfWarrantOrRightExercisePriceOfWarrantsOrRights1_iI_pid_c20240628__us-gaap--ClassOfWarrantOrRightAxis__custom--JuneTwoThousandTwentyFourPennyWarrantsMember__us-gaap--StatementEquityComponentsAxis__us-gaap--CommonStockMember_z2d0yukcj3K5" title="Exercise price">0.01 per share (the “June 2024 Penny Warrants”), valued at $1,767 and recorded as a debt discount. The June 2024 Penny Warrants were issued in connection with the Term Loan Lenders’ agreement to waive the Tests under the Term Loan for the quarter ended June 30, 2024 and to amend the Term Loan. The June 2024 Penny Warrants are immediately exercisable upon issuance and will expire ten years from the date of issuance. Note 6 - Long Term Debt (continued) In addition, the First Amendment (i) reduced the liquidity requirement under the Term Loan to be $3.5 million as of the last day of the month ended June 30, 2024, and $10.0 million as of the last day of each fiscal month thereafter commencing with the fiscal month ended July 31, 2024 and (ii) provided for the interest to be paid on the Payment Date (as defined in the Term Loan Agreement) occurred on July 1, 2024 to be solely payable-in-kind. In connection with the License Agreement, on July 29, 2024, the Company, Legacy Dragonfly and Battle Born LLC entered into a Limited Waiver, Consent and Second Amendment (the “Second Amendment”) to the Term Loan. Pursuant to the Second Amendment, the Term Loan Lenders (i) consented to the transactions contemplated by the License Agreement and the Trademark Transfer Agreement and (ii) agreed to waive the mandatory prepayment under the Term Loan that would have been due to the Lenders under the Loan Agreement upon Battle Born LLC’s receipt of the Initial Licensing Fee. In connection with the Second Amendment, Battle Born LLC entered into a Joinder Agreement with the Term Loan Lenders whereby Battle Born LLC became a guarantor and credit party to the Term Loan. On July 31, 2024, August 30, 2024, September 30, 2024, and October 31, 2024 the Company received waivers from its Administrative Agent and the Term Loan Lenders in regards to its compliance with the Liquidity test as of the last day of the fiscal months ended July 31, 2024, August 31, 2024, September 30, 2024, and October 31, 2024. On September 30, 2024, the Company entered into a Limited Waiver and Third Amendment (the “Third Amendment”, together with the Original Term Loan Agreement, the First Amendment and the Second Amendment, the “Term Loan Agreement”) to the Term Loan Agreement with the Term Loan Lenders in regards to its compliance with the Tests as of the last day of the quarter ended September 30, 2024 and certain amendments to the Term Loan Agreement. The Third Amendment provided for a one-time issuance of penny warrants (the “September 2024 Penny Warrants”, collectively with the Original Penny Warrants, the May 2024 Penny Warrants and the June 2024 Penny Warrants, the “Penny Warrants”) to purchase up to <span id="xdx_904_eus-gaap--ClassOfWarrantOrRightNumberOfSecuritiesCalledByWarrantsOrRights_iI_pid_c20240930__us-gaap--ClassOfWarrantOrRightAxis__custom--OriginalPennyWarrantsMember__us-gaap--StatementEquityComponentsAxis__us-gaap--CommonStockMember_zbt40DJFALqb" title="Warrans purchase">3,000,000 shares of the Company’s Common Stock at an exercise price of $<span id="xdx_906_eus-gaap--ClassOfWarrantOrRightExercisePriceOfWarrantsOrRights1_iI_pid_c20240930__us-gaap--ClassOfWarrantOrRightAxis__custom--OriginalPennyWarrantsMember__us-gaap--StatementEquityComponentsAxis__us-gaap--CommonStockMember_zxcNXep4N1h9" title="Exercise price">0.01 per share (the “September 2024 Penny Warrant Shares”, collectively with the Original Penny Warrants, and the May 2024 Penny Warrants, the “Penny Warrant Shares”), valued at $<span id="xdx_90C_eus-gaap--AmortizationOfDebtDiscountPremium_pn3n3_c20240901__20240930__us-gaap--ClassOfWarrantOrRightAxis__custom--OriginalPennyWarrantsMember__us-gaap--StatementEquityComponentsAxis__us-gaap--CommonStockMember_zMr8sv2kpj0d" title="Warrans purchase">1,576 and recorded as a debt discount. The September 2024 Penny Warrants were issued in connection with the Term Loan Lenders’ agreement to waive the Tests under the Term Loan for the quarter ended September 30, 2024 and to amend the Term Loan Agreement. The September 2024 Penny Warrants are immediately exercisable upon issuance and will expire <span id="xdx_903_eus-gaap--WarrantsAndRightsOutstandingTerm_iI_dc_c20240930__us-gaap--ClassOfWarrantOrRightAxis__custom--OriginalPennyWarrantsMember__us-gaap--StatementEquityComponentsAxis__us-gaap--CommonStockMember_zAfPeLnRrSV6" title="Warrants exercisable Term">ten years from the date of issuance. In addition, the Third Amendment (i) reduced the liquidity requirement under the Term Loan to be $7.0 million as of the last day of the month ended September 30, 2024, and $10.0 million as of the last day of each fiscal month thereafter commencing with the fiscal month ended July 31, 2024 and (ii) On October 1, 2024, interest is payable (a) $1,500,000 in cash for the pro rata benefit of the Lenders and (b) the remaining interest in-kind, to be capitalized and added to the principal. For Payment Dates occurring on or after January 1, 2025 (including interest accruing from October 1, 2024, through December 31, 2024), all interest shall be paid in cash at a rate equal to Adjusted Term SOFR plus the Applicable Margin. Note 6 - Long Term Debt (continued) Financial Covenants The Company is subject to restrictive financial covenants pertaining to Maximum Senior Leverage Ratio, Liquidity, Fixed Charge Coverage Ratio, and Capital Expenditures as defined in the Term Loan Agreement. As of September 30, 2024, the Company was not in compliance with its financial covenants pertaining to the fixed charge coverage ratio, liquidity, and the maximum senior leverage ratio. On March 31, 2024, April 29, 2024, June 28, 2024, July 31, 2024, August 30, 2024, September 30, 2024, and October 31, 2024, the Company obtained waivers from the Term Loan Lenders and administrative agent in regards to its failure to satisfy the liquidity requirement under the Term Loan for the quarters ended March 31, 2024, June 30, 2024, and September 30, 2024, and the fiscal month ended April 30, 2024, July 31, 2024, August 31, 2024, September 30, 2024, and October 31, 2024 as applicable. If the Company is unable to obtain a waiver or if the Company is unable to comply with such covenants, the Term Loan Lenders have the right to accelerate the maturity of the Term Loan Agreement. Because of this, the entire debt is classified as current instead of long-term debt. At September 30, 2024 the future debt maturities are as follows: SCHEDULE OF FUTURE DEBT MATURITIES <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-left: auto; border-collapse: collapse; width: 85%; margin-right: auto"> <tr style="vertical-align: bottom"> <td style="border-bottom: Black 1pt solid; font-weight: bold">For Year Ended December 31,</td><td style="padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_496_20240930_z04SzFCbaLSk"> </td><td style="padding-bottom: 1pt"> </td></tr> <tr id="xdx_407_eus-gaap--LongTermDebtMaturitiesRepaymentsOfPrincipalRemainderOfFiscalYear_iI_pn3n3_maLTDMRzRKL_zH5mMVmwrIA7" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">2024</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td></tr> <tr id="xdx_408_eus-gaap--LongTermDebtMaturitiesRepaymentsOfPrincipalInNextTwelveMonths_iI_pn3n3_maLTDMRzRKL_zKteqcgthTC3" style="vertical-align: bottom; background-color: White"> <td style="width: 80%; text-align: left">2025</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 16%; text-align: right">938</td><td style="width: 1%; text-align: left"> </td></tr> <tr id="xdx_40E_eus-gaap--LongTermDebtMaturitiesRepaymentsOfPrincipalInYearTwo_iI_pn3n3_maLTDMRzRKL_zfyXN5ziNrD4" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 1pt">2026</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">81,506</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> <tr id="xdx_408_ecustom--LongTermDebtMaturitiesRepaymentsOfPrincipal_iTI_pn3n3_mtLTDMRzRKL_maLTDzvhW_zf9HGRmI2se2" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Total debt</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">82,444</td><td style="text-align: left"> </td></tr> <tr id="xdx_402_ecustom--EstimatedInterestPaidinkind_iI_pn3n3_maLTDzvhW_zCcbEXqnVRoe" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 1pt">Less: Estimated interest paid-in-kind</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">-</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> <tr id="xdx_401_eus-gaap--LongTermDebt_iTI_pn3n3_mtLTDzvhW_zG3hCZStX4wb" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Total debt</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">82,444</td><td style="text-align: left"> </td></tr> <tr id="xdx_403_eus-gaap--DebtInstrumentUnamortizedDiscount_iNI_pn3n3_di_z5kd0GB2mSgf" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 1pt">Less: Unamortized debt issuance costs</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">(58,046</td><td style="padding-bottom: 1pt; text-align: left">)</td></tr> <tr id="xdx_40F_eus-gaap--DebtInstrumentCarryingAmount_iI_pn3n3_z8uOoXNVSPug" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Total carrying amount</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">24,398</td><td style="text-align: left"> </td></tr> <tr id="xdx_407_eus-gaap--LongTermDebtCurrent_iNI_pn3n3_di_zMnz6OnHpit3" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 1pt">Less: Current portion of debt</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">(24,398</td><td style="padding-bottom: 1pt; text-align: left">)</td></tr> <tr id="xdx_401_eus-gaap--LongTermDebtNoncurrent_iI_pn3n3_zuG5B38I7T45" style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 2.5pt">Total long-term debt</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">-</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr> </table>

0.050 937500 P24M 0.070 0.045 0.065 0.115 0.135

0.01

30846000

0.140

0.070 0.045 0.065 0.115 0.135 0.070 0.045 0.065

0.140

0.01

5275000

2593056

1600000

10531000

10736000

3509000

3589000

4490000

995000

2062000

375000

24398000

69725000

12719000

58046000

19683000

69725000

6130000

56172000

2550000

0.01

3022

P10Y

2100000

0.01

1767

3500000

10000000.0

3000000

0.01

1576000

P10Y

7000000.0

10000000.0

1500000

At September 30, 2024 the future debt maturities are as follows: SCHEDULE OF FUTURE DEBT MATURITIES <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-left: auto; border-collapse: collapse; width: 85%; margin-right: auto"> <tr style="vertical-align: bottom"> <td style="border-bottom: Black 1pt solid; font-weight: bold">For Year Ended December 31,</td><td style="padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_496_20240930_z04SzFCbaLSk"> </td><td style="padding-bottom: 1pt"> </td></tr> <tr id="xdx_407_eus-gaap--LongTermDebtMaturitiesRepaymentsOfPrincipalRemainderOfFiscalYear_iI_pn3n3_maLTDMRzRKL_zH5mMVmwrIA7" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">2024</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td></tr> <tr id="xdx_408_eus-gaap--LongTermDebtMaturitiesRepaymentsOfPrincipalInNextTwelveMonths_iI_pn3n3_maLTDMRzRKL_zKteqcgthTC3" style="vertical-align: bottom; background-color: White"> <td style="width: 80%; text-align: left">2025</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 16%; text-align: right">938</td><td style="width: 1%; text-align: left"> </td></tr> <tr id="xdx_40E_eus-gaap--LongTermDebtMaturitiesRepaymentsOfPrincipalInYearTwo_iI_pn3n3_maLTDMRzRKL_zfyXN5ziNrD4" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 1pt">2026</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">81,506</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> <tr id="xdx_408_ecustom--LongTermDebtMaturitiesRepaymentsOfPrincipal_iTI_pn3n3_mtLTDMRzRKL_maLTDzvhW_zf9HGRmI2se2" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Total debt</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">82,444</td><td style="text-align: left"> </td></tr> <tr id="xdx_402_ecustom--EstimatedInterestPaidinkind_iI_pn3n3_maLTDzvhW_zCcbEXqnVRoe" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 1pt">Less: Estimated interest paid-in-kind</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">-</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> <tr id="xdx_401_eus-gaap--LongTermDebt_iTI_pn3n3_mtLTDzvhW_zG3hCZStX4wb" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Total debt</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">82,444</td><td style="text-align: left"> </td></tr> <tr id="xdx_403_eus-gaap--DebtInstrumentUnamortizedDiscount_iNI_pn3n3_di_z5kd0GB2mSgf" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 1pt">Less: Unamortized debt issuance costs</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">(58,046</td><td style="padding-bottom: 1pt; text-align: left">)</td></tr> <tr id="xdx_40F_eus-gaap--DebtInstrumentCarryingAmount_iI_pn3n3_z8uOoXNVSPug" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Total carrying amount</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">24,398</td><td style="text-align: left"> </td></tr> <tr id="xdx_407_eus-gaap--LongTermDebtCurrent_iNI_pn3n3_di_zMnz6OnHpit3" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 1pt">Less: Current portion of debt</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">(24,398</td><td style="padding-bottom: 1pt; text-align: left">)</td></tr> <tr id="xdx_401_eus-gaap--LongTermDebtNoncurrent_iI_pn3n3_zuG5B38I7T45" style="vertical-align: bottom; background-color: White"> <td style="text-align: left; padding-bottom: 2.5pt">Total long-term debt</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">-</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr> </table>

938000

81506000

82444000

58046000

24398000

Note 7 - Asset Purchase Agreement Thomason Jones Company, LLC In April 2022, the Company entered into an Asset Purchase Agreement with William Thomason, Richard Jones, and Thomason Jones Company, LLC whereby the Company acquired inventory and intellectual property assets for a price not to exceed $<span id="xdx_900_eus-gaap--AssetAcquisitionConsiderationTransferred_pn3n3_c20220401__20220430__us-gaap--AssetAcquisitionAxis__custom--InventoryAndIntellectualPropertyAssetsMember__srt--RangeAxis__srt--MaximumMember_zJ3XuwGbWau5" title="Purchase price for acquiring machinery and equipment">700 cash plus contingent payments of $<span id="xdx_904_eus-gaap--AssetAcquisitionConsiderationTransferredContingentConsideration_pn3n3_c20220401__20220430__us-gaap--AssetAcquisitionAxis__custom--InventoryAndIntellectualPropertyAssetsMember__us-gaap--RelatedPartyTransactionsByRelatedPartyAxis__custom--RichardJonesMember_ztO4WVWeS8ok" title="Contingent payments">1,000 each to William Thomason and Richard Jones (the “Earn Out”). The transaction was determined to be a business combination under the guidance in FASB ASC 805: Business Combinations. The Company followed the guidance under ASC 805-10-55 and determined the contingent consideration to be separate from the business combination and the earn out to be recognized as contingent compensation to Mr. Thomason and Mr. Jones as the contingency became probable of being met. The Company concluded the purchase price to be $<span id="xdx_904_eus-gaap--AssetAcquisitionConsiderationTransferred_pn3n3_c20240101__20240930__us-gaap--AssetAcquisitionAxis__custom--InventoryAndIntellectualPropertyAssetsMember_zwvKDptdYn1i" title="Purchase price for acquiring machinery and equipment">444 and was allocated in its entirety to inventory. Pursuant to the terms of the agreement dated April 2022, Dragonfly Energy Corp. agreed to a contingent compensation arrangement with Mr. Thomason and Mr. Jones. According to this agreement, if Dragonfly Energy Corp. realizes $3,000 in gross sales from products sold under the Wakespeed brand or which incorporate any portion of the Purchased Intellectual Property within twenty-four months of the acquisition, the Company is obligated to pay each of Thomason and Jones $<span id="xdx_903_eus-gaap--RepaymentsOfRelatedPartyDebt_pn3n3_c20220401__20220430__us-gaap--RelatedPartyTransactionsByRelatedPartyAxis__custom--ThomasonAndJonesMember_zPsiwA4WtXle" title="Payment of related party">1,000. The Company may satisfy this obligation in cash or by issuing common stock at its discretion. The Company has determined that this arrangement constitutes compensation for post-acquisition services. Consequently, the Company has recognized this contingent consideration as a compensation expense, measured at its fair value at the acquisition date. The fair value was determined using a probability weighted expected outcome approach, considering the likelihood of reaching the gross sales target. As of December 31, 2023, the Company has recognized $<span id="xdx_90D_eus-gaap--CompensationExpenseExcludingCostOfGoodAndServiceSold_pn3n3_c20230101__20231231__us-gaap--IncomeStatementLocationAxis__us-gaap--SellingAndMarketingExpenseMember_zNSrPqpp2eG1" title="Compensation expense">2,000 of compensation expense in connection with this arrangement. During the period January 1, 2024 through the quarter ended September 30, 2024, no compensation expense has been recognized. This expense is reflected in the statement of operations under Sales and marketing expense. The total amount was recognized as compensation expense as of December 31, 2023, since it was deemed earned and no further service performance was required.

700000

1000000

444000

3000000

1000000

2000000

Note 8 - License Agreement On July 29, 2024, Legacy Dragonfly and Battle Born LLC, a wholly-owned subsidiary of Legacy Dragonfly, entered into the License Agreement with Stryten. Under the terms of the License Agreement, Battle Born LLC granted Stryten an exclusive, worldwide license to use certain trademarks associated with the Company’s lithium-ion battery brand, Battle Born Batteries®, for business-to-business battery sales in specified markets. In exchange, Stryten paid an initial licensing fee of $5,000 and will make additional mid-single digit royalty payments to be paid based on net sales to be paid quarterly utilizing the licensed trademarks, with total royalties capped at $25,000. Once the cap is reached, Stryten will be required to pay a nominal annual license fee. The License Agreement is perpetual unless terminated in accordance with its terms. Concurrently, the Company transferred all intellectual property rights related to the licensed trademarks to Battle Born LLC and retained a worldwide license outside of Stryten’s designated markets. The $5,000 initial licensing fee is being recognized as revenue on a <span id="xdx_909_ecustom--InitialLicensingFeeRecognizedRevenueDescription_c20240101__20240930__us-gaap--TypeOfArrangementAxis__custom--LicenseAgreementMember_zIHV0owQr85k" title="Initial licensing fee recognized revenue description">straight-line basis over five years. For the three and nine months ended September 30, 2024, the Company has recorded $167 in revenue related to the amortization of the License Agreement and <span id="xdx_906_eus-gaap--ProceedsFromRoyaltiesReceived_pn3n3_do_c20240701__20240930__us-gaap--TypeOfArrangementAxis__custom--LicenseAgreementMember_zvNPoiabRoVf" title="Royalty payments received or earned"><span id="xdx_90A_eus-gaap--ProceedsFromRoyaltiesReceived_pn3n3_do_c20240101__20240930__us-gaap--TypeOfArrangementAxis__custom--LicenseAgreementMember_zBX2ZmVf3Al" title="Royalty payments received or earned">no royalty payments have been received or earned. As of September 30, 2024, the Company has recorded $1,000 in short term deferred revenue and $3,833 in long-term deferred revenue related to the license agreement. 5000000 25000000 5000000 straight-line basis over five years 167000 167000

1000000 3833000

Note 9 - Related Party On October 25, 2022, the Company entered into a separation and release of claims agreement with its Chief Operating Officer (the “COO”). As consideration for the COO’s execution of the agreement, the Company agreed to pay the employee a lump sum payment of $100 which is included in general and administrative expenses in the statements of operations, payments equivalent to $1,000 divided into twenty-four (24) monthly payments commencing on December 1, 2022, and all outstanding equity-based compensation awards to become fully vested and exercisable. The COO shall have 12 months from the termination date to exercise outstanding options. The twelve (12) month period ended on November 7, 2023 in which the COO exercised 100,000 options and <span id="xdx_90D_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsExpirationsInPeriod_c20231107__20231107__srt--TitleOfIndividualAxis__srt--ChiefOperatingOfficerMember_zG2NnRvJsUO8" title="Stock options expired">76,316 options expired In February 2023, the Company entered into an agreement with its former COO in which the COO waived their rights to a transaction bonus resulting from the merger transaction in lieu of a Company van. The Company accounted for the cost of the van as an employee bonus, resulting in $116 of general and administrative expense for the prior year. On March 5, 2023, the Company entered into a convertible promissory note (the “Note”) with a board member in the amount of $1,000, or the Principal Amount. Upon execution of the Note and funding of the original principal sum, a payment of $100 (the “Loan Fee”) was fully earned as of the date of the Note and was due and payable in full in cash on April 4, 2023. The Company paid the Principal Amount and the Loan Fee on April 1, 2023 and April 4, 2023, respectively. On April 26, 2023, the Company entered into a separation and release of claims agreement with its former Chief Legal Officer (the “CLO”). As consideration for the CLO’s execution of the agreement, the Company agreed to pay the employee payments equivalent to $720 divided into twenty-four (24) monthly payments commencing on June 1, 2023, and all outstanding equity-based compensation awards to become fully vested and exercisable at an expense of $<span id="xdx_902_eus-gaap--EmployeeBenefitsAndShareBasedCompensation_pn3n3_c20230426__20230426__us-gaap--RelatedPartyTransactionsByRelatedPartyAxis__custom--ChiefLegalOfficerMember_zfIfqZ7lU3Fl" title="Share based compensation">76. The CLO shall have three (3) months from the termination date to exercise outstanding options. The three (3) month period ended on July 26, 2023 in which the options were not exercised and the options were forfeited as a result. On January 26, 2024, the Company entered into a convertible promissory note (the “January Note”) with a board member in the amount of $1,000, or the January Principal Amount. Upon execution of the January Note and funding of the original principal sum, a payment of $50 (the “January Loan Fee”) was fully earned as of the date of the January Note and was due and payable in full in cash on February 2, 2024. The Company paid the January Principal Amount and the January Loan Fee on February 1, 2024. Note 9 - Related Party (Continued) On February 27, 2024, the Company entered into a convertible promissory note (the “February Note”) with a board member in the amount of $1,700, or the February Principal Amount. Upon execution of the February Note and funding of the original principal sum, a payment of $85 (the “February Loan Fee”) was fully earned as of the date of the February Note and was due and payable in full in cash on March 1, 2024. The Company paid the February Principal Amount and the February Loan Fee on March 1, 2024. Effective April 12, 2024, the Company entered into amendments to the employment agreements with its Chief Executive Officer, its Chief Revenue Officer and its Chief Marketing Officer to amend the terms of their annual equity compensation (the “Amended Employee Agreements”). The Amended Employee Agreements allow the Company to issue a combination of cash and equity awards on an annual basis up to a specified amount ($<span id="xdx_908_eus-gaap--PaymentOfFinancingAndStockIssuanceCosts_pn3n3_c20240412__20240412__srt--TitleOfIndividualAxis__srt--ChiefExecutiveOfficerMember_z5eluU7zSZvi" title="Issuance of cash and equity awards">1,532 for the Chief Executive Officer, $<span id="xdx_906_eus-gaap--PaymentOfFinancingAndStockIssuanceCosts_pn3n3_c20240412__20240412__srt--TitleOfIndividualAxis__custom--ChiefRevenueOfficerMember_zEznQ0UALRab" title="Issuance of cash and equity awards">490 for the Chief Revenue Officer, and $<span id="xdx_909_eus-gaap--PaymentOfFinancingAndStockIssuanceCosts_pn3n3_c20240412__20240412__srt--TitleOfIndividualAxis__custom--ChiefMarketingOfficerMember_zpFDxeGbVaO1" title="Issuance of cash and equity awards">236 for the Chief Marketing Officer), subject to approval and such other terms and conditions imposed by the compensation committee of the board of directors.

100000

1000000

100000

76316

116000

1000000

100000

720000

76000

1000000

50000

1700000

85000

1532000

490000

236000

Note 10 - Warrants Common Stock Warrants classified as Equity Public Warrants The Company’s Public Warrants are classified as equity and as of September 30, 2024 and September 30, 2023, there were <span id="xdx_908_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardNonOptionEquityInstrumentsGranted_pid_c20240101__20240930__us-gaap--ClassOfWarrantOrRightAxis__custom--PublicWarrantsMember_zyCgYyQI2NY4" title="Warrants issued"><span id="xdx_90B_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardNonOptionEquityInstrumentsOutstandingNumber_iI_pid_c20240930__us-gaap--ClassOfWarrantOrRightAxis__custom--PublicWarrantsMember_zikGHVp7bO83" title="Warrants outstanding"><span id="xdx_905_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardNonOptionEquityInstrumentsGranted_pid_c20230101__20230930__us-gaap--ClassOfWarrantOrRightAxis__custom--PublicWarrantsMember_zwZ8B6T2goaj" title="Warrants issued"><span id="xdx_909_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardNonOptionEquityInstrumentsOutstandingNumber_iI_pid_c20230930__us-gaap--ClassOfWarrantOrRightAxis__custom--PublicWarrantsMember_zJjJxOMH6Yzc" title="Warrants outstanding">9,422,529 Public Warrants issued and outstanding. During the nine months ended September 30, 2024, no public warrants were exercised. Common Stock Warrants classified as Liability Private Placement Warrants On October 7, 2022, in connection with the merger, the Company assumed the outstanding private placement warrants of CNTQ. There were no Private Placement Warrants outstanding prior to the merger. The Private Placement Warrants (the “Private Warrants”) may not be redeemed by the Company so long as the Private Placement Warrants are held by the initial purchasers, or such purchasers’ permitted transferees. The Private Warrants: (i) will be exercisable either for cash or on a cashless basis at the holders’ option and (ii) will not be redeemable by the Company, in either case as long as the Private Warrants are held by the initial purchasers or any of their permitted transferees (as prescribed in the Subscription Agreement). The Private Warrants may not be sold, transferred, assigned, pledged or hypothecated, or be the subject of any hedging, short sale, derivative, put, or call transaction that would result in the effective economic disposition of, the Private Warrants (or any securities underlying the Private Warrants) for a period of one hundred eighty (180) days following the effective date of the Registration Statement to anyone other than any member participating in the Public Offering and the officers or partners thereof, if all securities so transferred remain subject to the lock-up restriction for the remainder of the time period. During the year ended December 31, 2023, private placement warrant holders exercised 3,126,472 warrants on a cashless basis, with the Company agreeing to issue 1,100,000 shares of Common Stock in connection with such exercise. There were 1,501,386 private warrants outstanding as of September 30, 2024 and December 31, 2023, respectively. The Company accounts for the Private Warrants issued in connection with the Initial Public Offering in accordance with the guidance contained in ASC 815-40. Such guidance provides that because the private warrants do not meet the criteria for equity treatment thereunder, each private warrant must be recorded as a liability. This liability is subject to re-measurement at each balance sheet date. With each such re-measurement, the warrant liabilities will be adjusted to its current fair value, with the change in fair value recognized in the Company’s statement of operations. The Company will reassess the classification at each balance sheet date. Note 10 - Warrants (Continued) Common Stock Warrants classified as Liability (Continued) Private Placement Warrants (Continued) The private placement warrants are classified as Level 2 as the transfer of Private Placement Warrants to anyone who is not a permitted transferee would result in the Private Placement Warrants having substantially similar terms as the Public Warrants (with the exception of a different remaining life). The Company determined, through use of a Binomial Lattice model, that the fair value of each Private Placement Warrant less a discount for the difference in remaining life is equivalent to that of each Public Warrant. Term Loan Warrants In connection with the entry into the Term Loan Agreement on October 7, 2022, and as a required term and condition thereof, the Company issued (i) the penny warrants to the Term Loan Lenders exercisable to purchase an aggregate of 2,593,056 shares of Common Stock (the “Original Penny Warrants”) and (ii) the $10 warrants to issue warrants to the Term Loan Lenders exercisable to purchase an aggregate of 1,600,000 shares of Common Stock at $10 per share (the “$10 Warrants” and, together with the Original Penny Warrants, the “Term Loan Warrants”). The $10 Warrants were exercised on a cashless basis on October 10, 2022, with the Company issuing 457,142 shares of Common Stock in connection with such exercise. During the year ended December 31, 2023, Original Penny Warrant holders exercised <span id="xdx_90B_eus-gaap--ClassOfWarrantOrRightNumberOfSecuritiesCalledByWarrantsOrRights_iI_pid_c20231231__us-gaap--ClassOfWarrantOrRightAxis__custom--PennyWarrantsMember__us-gaap--StatementEquityComponentsAxis__us-gaap--CommonStockMember_zOh1NgsaYjXj">2,000,000 warrants on a cashless basis, with the Company agreeing to issue <span id="xdx_903_eus-gaap--ClassOfWarrantOrRightNumberOfSecuritiesCalledByWarrantsOrRights_iI_pid_c20231231__us-gaap--ClassOfWarrantOrRightAxis__custom--WarrantsTenMember__us-gaap--StatementEquityComponentsAxis__us-gaap--CommonStockMember_zhf6eA5dg305" title="Number of warrants issued">1,996,323 shares of Common Stock in connection with such exercise. During the year ended December 31, 2023 the Company issued additional Original Penny Warrants to purchase <span id="xdx_90B_eus-gaap--ClassOfWarrantOrRightNumberOfSecuritiesCalledByWarrantsOrRights_iI_pid_c20231231__us-gaap--ClassOfWarrantOrRightAxis__custom--PennyWarrantsMember__us-gaap--StatementEquityComponentsAxis__us-gaap--CommonStockMember__srt--TitleOfIndividualAxis__custom--LendersMember_zd168tcHEU09" title="Number of warrants issued">4,783 shares of Common Stock to the Term Loan Lenders in accordance with the anti-dilution provisions of the Original Penny Warrants with respect to certain sales made by the Company under the ChEF Equity Facility. In addition, pursuant to the Company’s limited waiver agreement on December 29, 2023 between the Company and the Term Loan Lenders and lending agent, the Company agreed to issue to the lenders additional penny warrants exercisable to purchase an aggregate <span id="xdx_903_eus-gaap--ClassOfWarrantOrRightNumberOfSecuritiesCalledByWarrantsOrRights_iI_pid_c20231229__us-gaap--ClassOfWarrantOrRightAxis__custom--PennyWarrantsMember__us-gaap--StatementEquityComponentsAxis__us-gaap--CommonStockMember_zoGvQ67bnkk4">1,286,671 shares of its Common Stock. On May 13, 2024, the Company received the May 2024 Waiver in regards to its compliance with the Tests as of the last day of the quarter ended March 31, 2024. The May 2024 Waiver provided for a one-time issuance of the May 2024 Penny Warrants to purchase up to <span id="xdx_903_eus-gaap--ClassOfWarrantOrRightNumberOfSecuritiesCalledByWarrantsOrRights_iI_pid_c20240513__us-gaap--ClassOfWarrantOrRightAxis__custom--MayTwoThousandTwentyFourPennyWarrantsMember__us-gaap--StatementEquityComponentsAxis__us-gaap--CommonStockMember_zsUD6V5LH6v8" title="Warrans purchase">2,550,000 shares of the Company’s common stock, at an exercise price of $<span id="xdx_903_eus-gaap--ClassOfWarrantOrRightExercisePriceOfWarrantsOrRights1_iI_pid_c20240513__us-gaap--ClassOfWarrantOrRightAxis__custom--MayTwoThousandTwentyFourPennyWarrantsMember__us-gaap--StatementEquityComponentsAxis__us-gaap--CommonStockMember_zTqgV8x5GpVj" title="Exercise price">0.01 per share, in connection with the Term Loan Lenders’ agreement to waive the Tests under the Term Loan for the quarter ended March 31, 2024. The May 2024 Penny Warrants were immediately exercisable upon issuance and will expire <span id="xdx_90A_eus-gaap--WarrantsAndRightsOutstandingTerm_iI_dc_c20240513__us-gaap--ClassOfWarrantOrRightAxis__custom--MayTwoThousandTwentyFourPennyWarrantsMember__us-gaap--StatementEquityComponentsAxis__us-gaap--CommonStockMember_zbeeQXwwQSvh" title="Warrants exercisable Term">ten years from the date of issuance. On June 28, 2024, the Company entered into the First Amendment to the Term Loan with the Term Loan Lenders in regards to its compliance with the Tests for the quarter ended June 30, 2024. The First Amendment provided for a one-time issuance of the June 2024 Penny Warrants to purchase up to <span id="xdx_901_eus-gaap--ClassOfWarrantOrRightNumberOfSecuritiesCalledByWarrantsOrRights_iI_pid_c20240628__us-gaap--ClassOfWarrantOrRightAxis__custom--JuneTwoThousandTwentyFourPennyWarrantsMember__us-gaap--StatementEquityComponentsAxis__us-gaap--CommonStockMember_zqgDJVIJPvTk" title="Warrans purchase">2,100,000 shares of the Company’s common stock, at an exercise price of $<span id="xdx_90C_eus-gaap--ClassOfWarrantOrRightExercisePriceOfWarrantsOrRights1_iI_pid_c20240628__us-gaap--ClassOfWarrantOrRightAxis__custom--JuneTwoThousandTwentyFourPennyWarrantsMember__us-gaap--StatementEquityComponentsAxis__us-gaap--CommonStockMember_z480HweiCQqc" title="Exercise price">0.01 per share, in connection with the Term Loan Lenders’ agreement to waive the Tests under the Term Loan for the quarter ended June 30, 2024 and certain amendments to the Term Loan. The June 2024 Penny Warrants are immediately exercisable upon issuance and will expire ten years from the date of issuance. Note 10 - Warrants (continued) Common Stock Warrants classified as Liability (Continued) On September 30, 2024, the Company entered into the Third Amendment to the Term Loan with the Term Loan Lenders in regards to its compliance with the Tests for the quarter ended September 30, 2024. The Third Amendment provided for a one-time issuance the September 2024 Penny Warrants to purchase up to <span id="xdx_903_eus-gaap--ClassOfWarrantOrRightNumberOfSecuritiesCalledByWarrantsOrRights_iI_pid_c20240930__us-gaap--ClassOfWarrantOrRightAxis__custom--SeptemberTwoThousandTwentyFourPennyWarrantsMember__us-gaap--StatementEquityComponentsAxis__us-gaap--CommonStockMember_zVKOUpDGIgkd" title="Warrans purchase">3,000,000 shares of the Company’s Common Stock, at an exercise price of $<span id="xdx_905_eus-gaap--ClassOfWarrantOrRightExercisePriceOfWarrantsOrRights1_iI_pid_c20240930__us-gaap--ClassOfWarrantOrRightAxis__custom--SeptemberTwoThousandTwentyFourPennyWarrantsMember__us-gaap--StatementEquityComponentsAxis__us-gaap--CommonStockMember_zOsXuo3JpFW" title="Exercise price">0.01 per share, in connection with the Term Loan Lenders agreement to waive the Tests under the Term Loan for the quarter ended September 30, 2024 and to amend the Term Loan. The September 2024 Penny Warrants are immediately exercisable upon issuance and will expire ten years from the date of issuance. The May 2024 Penny Warrants, the June 2024 Penny Warrants, and the September 2024 Penny Warrants were valued utilizing a Black-Scholes model with the following assumptions: SCHEDULE OF PENNY WARRANTS <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-left: auto; border-collapse: collapse; width: 85%; margin-right: auto"> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">May 2024 Penny Warrants</td><td style="padding-bottom: 1pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">June 2024 Penny Warrants</td><td style="padding-bottom: 1pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">September 2024 Penny Warrants</td><td style="padding-bottom: 1pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 46%">Stock price</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_988_eus-gaap--SharePrice_iI_pid_c20240930__us-gaap--ClassOfWarrantOrRightAxis__custom--MayTwoThousandTwentyFourPennyWarrantsMember_zBVFDT5qafli" style="width: 14%; text-align: right" title="Stock price">1.19</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_984_eus-gaap--SharePrice_iI_pid_c20240930__us-gaap--ClassOfWarrantOrRightAxis__custom--JuneTwoThousandTwentyFourPennyWarrantsMember_zQgir68qMVic" style="width: 14%; text-align: right" title="Stock price">0.85</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_985_eus-gaap--SharePrice_iI_pid_c20240930__us-gaap--ClassOfWarrantOrRightAxis__custom--SeptemberTwoThousandTwentyFourPennyWarrantsMember_ztjt80h0pQQ1" style="width: 14%; text-align: right" title="Stock price">0.53</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td>Strike price</td><td> </td> <td style="text-align: left">$</td><td id="xdx_98E_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExercisePrice_iI_pid_uUSDPShares_c20240930__us-gaap--ClassOfWarrantOrRightAxis__custom--MayTwoThousandTwentyFourPennyWarrantsMember_z67g8ZujqIu5" style="text-align: right" title="Strike price">0.01</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left">$</td><td id="xdx_980_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExercisePrice_iI_pid_uUSDPShares_c20240930__us-gaap--ClassOfWarrantOrRightAxis__custom--JuneTwoThousandTwentyFourPennyWarrantsMember_zQekzM6ATaKa" style="text-align: right" title="Strike price">0.01</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left">$</td><td id="xdx_980_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExercisePrice_iI_pid_uUSDPShares_c20240930__us-gaap--ClassOfWarrantOrRightAxis__custom--SeptemberTwoThousandTwentyFourPennyWarrantsMember_zF3cYyD4LYC4" style="text-align: right" title="Strike price">0.01</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td>Term</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"><span id="xdx_900_eus-gaap--SharebasedCompensationArrangementBySharebasedPaymentAwardFairValueAssumptionsExpectedTerm1_dtY_c20240101__20240930__us-gaap--ClassOfWarrantOrRightAxis__custom--MayTwoThousandTwentyFourPennyWarrantsMember_zRg2RIqvFobb" title="Term">10 years</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"><span id="xdx_906_eus-gaap--SharebasedCompensationArrangementBySharebasedPaymentAwardFairValueAssumptionsExpectedTerm1_dtY_c20240101__20240930__us-gaap--ClassOfWarrantOrRightAxis__custom--JuneTwoThousandTwentyFourPennyWarrantsMember_zh65PVoV06Ad" title="Term">10 years</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"><span id="xdx_90D_eus-gaap--SharebasedCompensationArrangementBySharebasedPaymentAwardFairValueAssumptionsExpectedTerm1_dtY_c20240101__20240930__us-gaap--ClassOfWarrantOrRightAxis__custom--SeptemberTwoThousandTwentyFourPennyWarrantsMember_zD3HgzGwa6Ge" title="Term">10 years</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td>Volatility</td><td> </td> <td style="text-align: left"> </td><td id="xdx_984_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedVolatilityRate_pid_dp_uPure_c20240101__20240930__us-gaap--ClassOfWarrantOrRightAxis__custom--MayTwoThousandTwentyFourPennyWarrantsMember_zbtJL4SbAoMh" style="text-align: right" title="Volatility">88</td><td style="text-align: left">%</td><td> </td> <td style="text-align: left"> </td><td id="xdx_98F_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedVolatilityRate_pid_dp_uPure_c20240101__20240930__us-gaap--ClassOfWarrantOrRightAxis__custom--JuneTwoThousandTwentyFourPennyWarrantsMember_zMN8TPbxYB47" style="text-align: right" title="Volatility">91</td><td style="text-align: left">%</td><td> </td> <td style="text-align: left"> </td><td id="xdx_980_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedVolatilityRate_pid_dp_uPure_c20240101__20240930__us-gaap--ClassOfWarrantOrRightAxis__custom--SeptemberTwoThousandTwentyFourPennyWarrantsMember_zwJZgbKUvdSe" style="text-align: right" title="Volatility">90</td><td style="text-align: left">%</td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Risk-free rate</td><td> </td> <td style="text-align: left"> </td><td id="xdx_980_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsRiskFreeInterestRate_pid_dp_uPure_c20240101__20240930__us-gaap--ClassOfWarrantOrRightAxis__custom--MayTwoThousandTwentyFourPennyWarrantsMember_zWFaYr6E0uI2" style="text-align: right" title="Risk-free rate">4.5</td><td style="text-align: left">%</td><td> </td> <td style="text-align: left"> </td><td id="xdx_98C_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsRiskFreeInterestRate_pid_dp_uPure_c20240101__20240930__us-gaap--ClassOfWarrantOrRightAxis__custom--JuneTwoThousandTwentyFourPennyWarrantsMember_zx4Lkrw8QBJg" style="text-align: right" title="Risk-free rate">4.4</td><td style="text-align: left">%</td><td> </td> <td style="text-align: left"> </td><td id="xdx_98D_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsRiskFreeInterestRate_pid_dp_uPure_c20240101__20240930__us-gaap--ClassOfWarrantOrRightAxis__custom--SeptemberTwoThousandTwentyFourPennyWarrantsMember_zoR9ZtWQruAi" style="text-align: right" title="Risk-free rate">3.8</td><td style="text-align: left">%</td></tr> </table> The Company concluded the Penny Warrants are not considered indexed to the Company’s Common Stock and to be accounted for as liabilities under ASC 815. As such, the estimated fair value is recognized as a liability each reporting period, with changes in the fair value recognized within income each period. There were no Term Loan Warrants outstanding prior to the merger. <p id="xdx_896_ecustom--ScheduleOfShareBasedPaymentAwardWarrantsValuationAssumptionsTableTextBlock_z1UUPqdxxVDd" style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify">The following table provides the significant inputs to the Black-Scholes method for the fair value of the Penny Warrants: SCHEDULE FAIR VALUE WARRANTS <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-left: auto; border-collapse: collapse; width: 85%; margin-right: auto"> <tr style="vertical-align: bottom"> <td> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">As of September 30, 2024</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">As of December 31, 2023</td><td style="padding-bottom: 1pt"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 60%">Common stock price</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_98F_eus-gaap--SharePrice_iI_pid_c20240930__us-gaap--StatementEquityComponentsAxis__custom--PennyWarrantsMember_zfF6cxpVHqc3" style="width: 16%; text-align: right" title="Common stock price">0.53</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_987_eus-gaap--SharePrice_iI_pid_c20231231__us-gaap--StatementEquityComponentsAxis__custom--PennyWarrantsMember_zHzWTY6FQut8" style="width: 16%; text-align: right" title="Common stock price">0.54</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td>Exercise price</td><td> </td> <td style="text-align: left"> </td><td id="xdx_984_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExercisePrice_iI_pid_uUSDPShares_c20240930__us-gaap--StatementEquityComponentsAxis__custom--PennyWarrantsMember_zqNG29S2Glbh" style="text-align: right" title="Exercise price">0.01</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_983_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExercisePrice_iI_pid_uUSDPShares_c20231231__us-gaap--StatementEquityComponentsAxis__custom--PennyWarrantsMember_zLjv7XPw4Gq5" style="text-align: right" title="Exercise price">0.01</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Dividend yield</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"><span id="xdx_90E_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedDividendRate_pid_uPure_c20240101__20240930__us-gaap--StatementEquityComponentsAxis__custom--PennyWarrantsMember_zNdZwAwrUEm1" title="Dividend yield">0</td><td style="text-align: left">%</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"><span id="xdx_901_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedDividendRate_pid_uPure_c20230101__20231231__us-gaap--StatementEquityComponentsAxis__custom--PennyWarrantsMember_z09ut0abvy47" title="Dividend yield">0</td><td style="text-align: left">%</td></tr> <tr style="vertical-align: bottom; background-color: White"> <td>Term</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"><span id="xdx_907_eus-gaap--SharebasedCompensationArrangementBySharebasedPaymentAwardFairValueAssumptionsExpectedTerm1_dtY_c20240101__20240930__us-gaap--StatementEquityComponentsAxis__custom--PennyWarrantsMember_zCsvTuB3rqj2" title="Term">8.02</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"><span id="xdx_905_eus-gaap--SharebasedCompensationArrangementBySharebasedPaymentAwardFairValueAssumptionsExpectedTerm1_dtY_c20230101__20231231__us-gaap--StatementEquityComponentsAxis__custom--PennyWarrantsMember_zrLHz9o0BWWf" title="Term">10</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td>Volatility</td><td> </td> <td style="text-align: left"> </td><td id="xdx_982_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedVolatilityRate_pid_dp_uPure_c20240101__20240930__us-gaap--StatementEquityComponentsAxis__custom--PennyWarrantsMember_zZSKTjIefph3" style="text-align: right" title="Volatility">91.00</td><td style="text-align: left">%</td><td> </td> <td style="text-align: left"> </td><td id="xdx_98B_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedVolatilityRate_pid_dp_uPure_c20230101__20231231__us-gaap--StatementEquityComponentsAxis__custom--PennyWarrantsMember_z4p9B9bJUOWj" style="text-align: right" title="Volatility">96.00</td><td style="text-align: left">%</td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Risk-free rate</td><td> </td> <td style="text-align: left"> </td><td id="xdx_98B_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsRiskFreeInterestRate_pid_dp_uPure_c20240101__20240930__us-gaap--StatementEquityComponentsAxis__custom--PennyWarrantsMember_znV2RdmTQQs" style="text-align: right" title="Risk-free rate">3.70</td><td style="text-align: left">%</td><td> </td> <td style="text-align: left"> </td><td id="xdx_980_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsRiskFreeInterestRate_pid_dp_uPure_c20230101__20231231__us-gaap--StatementEquityComponentsAxis__custom--PennyWarrantsMember_zI4kRg34KBb5" style="text-align: right" title="Risk-free rate">3.90</td><td style="text-align: left">%</td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td>Fair value</td><td> </td> <td style="text-align: left">$</td><td id="xdx_98A_ecustom--FairValueOfWarrant_iI_pid_c20240930__us-gaap--StatementEquityComponentsAxis__custom--PennyWarrantsMember_zcaaLxF1DgBe" style="text-align: right" title="Fair value">0.52</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left">$</td><td id="xdx_980_ecustom--FairValueOfWarrant_iI_pid_c20231231__us-gaap--StatementEquityComponentsAxis__custom--PennyWarrantsMember_z2yxRjouc1I9" style="text-align: right" title="Fair value">0.54</td><td style="text-align: left"> </td></tr> </table> The following table provides the significant inputs to the Black-Scholes method for the fair value of the Investor Warrants issued in the June 2023 Offering: <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-left: auto; border-collapse: collapse; width: 85%; margin-right: auto"> <tr style="vertical-align: bottom"> <td> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">As of September 30, 2024</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">As of December 31, 2023</td><td style="padding-bottom: 1pt"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 60%">Common stock price</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_98D_eus-gaap--SharePrice_iI_pid_c20240930__us-gaap--StatementEquityComponentsAxis__custom--InvestorWarrantsMember_zj2NWVk1ZOwj" style="width: 16%; text-align: right" title="Common stock price">0.53</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_988_eus-gaap--SharePrice_iI_pid_c20231231__us-gaap--StatementEquityComponentsAxis__custom--InvestorWarrantsMember_zcPXirO1F8Li" style="width: 16%; text-align: right" title="Common stock price">0.54</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td>Exercise price</td><td> </td> <td style="text-align: left">$</td><td id="xdx_983_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExercisePrice_iI_pid_uUSDPShares_c20240930__us-gaap--StatementEquityComponentsAxis__custom--InvestorWarrantsMember_zP3Hsmesazb" style="text-align: right" title="Exercise price">2.00</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left">$</td><td id="xdx_98B_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExercisePrice_iI_pid_uUSDPShares_c20231231__us-gaap--StatementEquityComponentsAxis__custom--InvestorWarrantsMember_zLWZCeUwrkR" style="text-align: right" title="Exercise price">2.00</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Dividend yield</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"><span id="xdx_909_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedDividendRate_pid_dp_uPure_c20240101__20240930__us-gaap--StatementEquityComponentsAxis__custom--InvestorWarrantsMember_zTZ7JnoVczab" title="Dividend yield">0</td><td style="text-align: left">%</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"><span id="xdx_902_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedDividendRate_pid_dp_uPure_c20230101__20231231__us-gaap--StatementEquityComponentsAxis__custom--InvestorWarrantsMember_zGxq3PRhDe15" title="Dividend yield">0</td><td style="text-align: left">%</td></tr> <tr style="vertical-align: bottom; background-color: White"> <td>Term</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"><span id="xdx_905_eus-gaap--SharebasedCompensationArrangementBySharebasedPaymentAwardFairValueAssumptionsExpectedTerm1_dtY_c20240101__20240930__us-gaap--StatementEquityComponentsAxis__custom--InvestorWarrantsMember_znN8jD9n8iVk" title="Term">3.72</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"><span id="xdx_903_eus-gaap--SharebasedCompensationArrangementBySharebasedPaymentAwardFairValueAssumptionsExpectedTerm1_dtY_c20230101__20231231__us-gaap--StatementEquityComponentsAxis__custom--InvestorWarrantsMember_zzyeaxtT31Rg" title="Term">4.48</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td>Volatility</td><td> </td> <td style="text-align: left"> </td><td id="xdx_98A_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedVolatilityRate_pid_dp_uPure_c20240101__20240930__us-gaap--StatementEquityComponentsAxis__custom--InvestorWarrantsMember_zmnQQhmklsR" style="text-align: right" title="Volatility">101.00</td><td style="text-align: left">%</td><td> </td> <td style="text-align: left"> </td><td id="xdx_98E_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedVolatilityRate_pid_dp_uPure_c20230101__20231231__us-gaap--StatementEquityComponentsAxis__custom--InvestorWarrantsMember_zTBTRUKb6gg4" style="text-align: right" title="Volatility">106.00</td><td style="text-align: left">%</td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Risk-free rate</td><td> </td> <td style="text-align: left"> </td><td id="xdx_98A_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsRiskFreeInterestRate_pid_dp_uPure_c20240101__20240930__us-gaap--StatementEquityComponentsAxis__custom--InvestorWarrantsMember_zx7GFd5E0ayd" style="text-align: right" title="Risk-free rate">3.60</td><td style="text-align: left">%</td><td> </td> <td style="text-align: left"> </td><td id="xdx_982_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsRiskFreeInterestRate_pid_dp_uPure_c20230101__20231231__us-gaap--StatementEquityComponentsAxis__custom--InvestorWarrantsMember_ziAOdSHX5uO5" style="text-align: right" title="Risk-free rate">3.90</td><td style="text-align: left">%</td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td>Fair value</td><td> </td> <td style="text-align: left">$</td><td id="xdx_98E_ecustom--FairValueOfWarrant_iI_pid_c20240930__us-gaap--StatementEquityComponentsAxis__custom--InvestorWarrantsMember_zn0MsTA6Om5" style="text-align: right" title="Fair value">0.24</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left">$</td><td id="xdx_981_ecustom--FairValueOfWarrant_iI_pid_c20231231__us-gaap--StatementEquityComponentsAxis__custom--InvestorWarrantsMember_zDwRRhev7WS" style="text-align: right" title="Fair value">0.31</td><td style="text-align: left"> </td></tr> </table> Note 10 - Warrants (continued) The following table presents a roll-forward of the Company’s warrants from January 1, 2024 to September 30, 2024: SCHEDULE OF ROLL FORWARD IN WARRANTS Term Loan Warrants (including Penny Warrants): <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-left: auto; border-collapse: collapse; width: 90%; margin-right: auto"> <tr style="vertical-align: bottom"> <td style="text-align: center"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_4B5_us-gaap--StatementEquityComponentsAxis_custom--TermLoanIncludingPennyWarrantsMember_zhEjFBLABVek" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">Common Stock Warrants</td><td style="padding-bottom: 1pt; font-weight: bold"> </td></tr> <tr id="xdx_430_c20240101__20240930_eus-gaap--ClassOfWarrantOrRightOutstanding_iS_pid_zfyrn6cLC581" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 80%">Warrants Outstanding, January 1, 2024</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 16%; text-align: right">1,884,510</td><td style="width: 1%; text-align: left"> </td></tr> <tr id="xdx_404_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardNonOptionEquityInstrumentsExercised_iN_pid_di_z9H8K0jdXyae" style="vertical-align: bottom; background-color: White"> <td style="text-align: justify">Exercise of warrants</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td></tr> <tr id="xdx_406_ecustom--ClassOfWarrantOrRightissued_pid_zmLkWwUzY6a4" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: justify; padding-bottom: 1pt">Warrants issued</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">7,670,524</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> <tr id="xdx_43D_c20240101__20240930_eus-gaap--ClassOfWarrantOrRightOutstanding_iE_pid_zCwkvJVZhoYi" style="vertical-align: bottom; background-color: White"> <td style="padding-bottom: 1pt">Warrants Outstanding, September 30, 2024</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">9,555,034</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> </table> Investor Warrants: <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-left: auto; border-collapse: collapse; width: 90%; margin-right: auto"> <tr style="vertical-align: bottom"> <td style="text-align: center"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_4BB_us-gaap--StatementEquityComponentsAxis_custom--InvestorWarrantsMember_zAyqun7LFww9" style="border-bottom: Black 1pt solid; text-align: center">Common Stock Warrants</td><td style="padding-bottom: 1pt"> </td></tr> <tr id="xdx_43B_c20240101__20240930_eus-gaap--ClassOfWarrantOrRightOutstanding_iS_pid_zHiLtfGdxVU1" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 80%">Warrants Outstanding, January 1, 2024</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 16%; text-align: right">11,131,900</td><td style="width: 1%; text-align: left"> </td></tr> <tr id="xdx_431_c20240101__20240930_eus-gaap--ClassOfWarrantOrRightOutstanding_iS_pid_znpIEnfRzevb" style="display: none; vertical-align: bottom; background-color: rgb(204,238,255)"> <td>Warrants Outstanding, Beginning</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">11,131,900</td><td style="text-align: left"> </td></tr> <tr id="xdx_40A_ecustom--ClassOfWarrantOrRightissued_pid_zxzHybZfU8gb" style="vertical-align: bottom; background-color: White"> <td>Issuance of warrants</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td></tr> <tr id="xdx_404_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardNonOptionEquityInstrumentsExercised_iN_pid_di_zETmlaqXgFEf" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="padding-bottom: 1pt">Exercise of warrants</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">-</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> <tr id="xdx_43D_c20240101__20240930_eus-gaap--ClassOfWarrantOrRightOutstanding_iE_pid_z4TvFEE5XyD" style="vertical-align: bottom; background-color: White"> <td style="text-align: justify; padding-bottom: 2.5pt">Warrants outstanding, September 30, 2024</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> </td><td style="border-bottom: Black 2.5pt double; text-align: right">11,131,900</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr> <tr id="xdx_435_c20240101__20240930_eus-gaap--ClassOfWarrantOrRightOutstanding_iE_pid_zy7lqg0v311i" style="display: none; vertical-align: bottom; background-color: White"> <td style="text-align: justify; padding-bottom: 2.5pt">Warrants outstanding, Ending</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> </td><td style="border-bottom: Black 2.5pt double; text-align: right">11,131,900</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr> </table>

9422529

3126472

1100000

1501386

the Company issued (i) the penny warrants to the Term Loan Lenders exercisable to purchase an aggregate of 2,593,056 shares of Common Stock (the “Original Penny Warrants”) and (ii) the $10 warrants to issue warrants to the Term Loan Lenders exercisable to purchase an aggregate of 1,600,000 shares of Common Stock at $10 per share (the “$10 Warrants” and, together with the Original Penny Warrants, the “Term Loan Warrants”). The $10 Warrants were exercised on a cashless basis on October 10, 2022, with the Company issuing 457,142 shares of Common Stock in connection with such exercise.

2593056

1600000

457142

2000000

1996323

4783

1286671

2550000

0.01

P10Y

2100000

0.01

3000000

0.01

SCHEDULE OF PENNY WARRANTS <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-left: auto; border-collapse: collapse; width: 85%; margin-right: auto"> <tr style="vertical-align: bottom"> <td> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">May 2024 Penny Warrants</td><td style="padding-bottom: 1pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">June 2024 Penny Warrants</td><td style="padding-bottom: 1pt; font-weight: bold"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">September 2024 Penny Warrants</td><td style="padding-bottom: 1pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 46%">Stock price</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_988_eus-gaap--SharePrice_iI_pid_c20240930__us-gaap--ClassOfWarrantOrRightAxis__custom--MayTwoThousandTwentyFourPennyWarrantsMember_zBVFDT5qafli" style="width: 14%; text-align: right" title="Stock price">1.19</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_984_eus-gaap--SharePrice_iI_pid_c20240930__us-gaap--ClassOfWarrantOrRightAxis__custom--JuneTwoThousandTwentyFourPennyWarrantsMember_zQgir68qMVic" style="width: 14%; text-align: right" title="Stock price">0.85</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_985_eus-gaap--SharePrice_iI_pid_c20240930__us-gaap--ClassOfWarrantOrRightAxis__custom--SeptemberTwoThousandTwentyFourPennyWarrantsMember_ztjt80h0pQQ1" style="width: 14%; text-align: right" title="Stock price">0.53</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td>Strike price</td><td> </td> <td style="text-align: left">$</td><td id="xdx_98E_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExercisePrice_iI_pid_uUSDPShares_c20240930__us-gaap--ClassOfWarrantOrRightAxis__custom--MayTwoThousandTwentyFourPennyWarrantsMember_z67g8ZujqIu5" style="text-align: right" title="Strike price">0.01</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left">$</td><td id="xdx_980_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExercisePrice_iI_pid_uUSDPShares_c20240930__us-gaap--ClassOfWarrantOrRightAxis__custom--JuneTwoThousandTwentyFourPennyWarrantsMember_zQekzM6ATaKa" style="text-align: right" title="Strike price">0.01</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left">$</td><td id="xdx_980_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExercisePrice_iI_pid_uUSDPShares_c20240930__us-gaap--ClassOfWarrantOrRightAxis__custom--SeptemberTwoThousandTwentyFourPennyWarrantsMember_zF3cYyD4LYC4" style="text-align: right" title="Strike price">0.01</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td>Term</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"><span id="xdx_900_eus-gaap--SharebasedCompensationArrangementBySharebasedPaymentAwardFairValueAssumptionsExpectedTerm1_dtY_c20240101__20240930__us-gaap--ClassOfWarrantOrRightAxis__custom--MayTwoThousandTwentyFourPennyWarrantsMember_zRg2RIqvFobb" title="Term">10 years</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"><span id="xdx_906_eus-gaap--SharebasedCompensationArrangementBySharebasedPaymentAwardFairValueAssumptionsExpectedTerm1_dtY_c20240101__20240930__us-gaap--ClassOfWarrantOrRightAxis__custom--JuneTwoThousandTwentyFourPennyWarrantsMember_zh65PVoV06Ad" title="Term">10 years</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"><span id="xdx_90D_eus-gaap--SharebasedCompensationArrangementBySharebasedPaymentAwardFairValueAssumptionsExpectedTerm1_dtY_c20240101__20240930__us-gaap--ClassOfWarrantOrRightAxis__custom--SeptemberTwoThousandTwentyFourPennyWarrantsMember_zD3HgzGwa6Ge" title="Term">10 years</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td>Volatility</td><td> </td> <td style="text-align: left"> </td><td id="xdx_984_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedVolatilityRate_pid_dp_uPure_c20240101__20240930__us-gaap--ClassOfWarrantOrRightAxis__custom--MayTwoThousandTwentyFourPennyWarrantsMember_zbtJL4SbAoMh" style="text-align: right" title="Volatility">88</td><td style="text-align: left">%</td><td> </td> <td style="text-align: left"> </td><td id="xdx_98F_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedVolatilityRate_pid_dp_uPure_c20240101__20240930__us-gaap--ClassOfWarrantOrRightAxis__custom--JuneTwoThousandTwentyFourPennyWarrantsMember_zMN8TPbxYB47" style="text-align: right" title="Volatility">91</td><td style="text-align: left">%</td><td> </td> <td style="text-align: left"> </td><td id="xdx_980_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedVolatilityRate_pid_dp_uPure_c20240101__20240930__us-gaap--ClassOfWarrantOrRightAxis__custom--SeptemberTwoThousandTwentyFourPennyWarrantsMember_zwJZgbKUvdSe" style="text-align: right" title="Volatility">90</td><td style="text-align: left">%</td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Risk-free rate</td><td> </td> <td style="text-align: left"> </td><td id="xdx_980_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsRiskFreeInterestRate_pid_dp_uPure_c20240101__20240930__us-gaap--ClassOfWarrantOrRightAxis__custom--MayTwoThousandTwentyFourPennyWarrantsMember_zWFaYr6E0uI2" style="text-align: right" title="Risk-free rate">4.5</td><td style="text-align: left">%</td><td> </td> <td style="text-align: left"> </td><td id="xdx_98C_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsRiskFreeInterestRate_pid_dp_uPure_c20240101__20240930__us-gaap--ClassOfWarrantOrRightAxis__custom--JuneTwoThousandTwentyFourPennyWarrantsMember_zx4Lkrw8QBJg" style="text-align: right" title="Risk-free rate">4.4</td><td style="text-align: left">%</td><td> </td> <td style="text-align: left"> </td><td id="xdx_98D_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsRiskFreeInterestRate_pid_dp_uPure_c20240101__20240930__us-gaap--ClassOfWarrantOrRightAxis__custom--SeptemberTwoThousandTwentyFourPennyWarrantsMember_zoR9ZtWQruAi" style="text-align: right" title="Risk-free rate">3.8</td><td style="text-align: left">%</td></tr> </table>

1.19

0.85

0.53

0.01

P10Y

0.88

0.91

0.90

0.045

0.044

0.038

<p id="xdx_896_ecustom--ScheduleOfShareBasedPaymentAwardWarrantsValuationAssumptionsTableTextBlock_z1UUPqdxxVDd" style="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0pt 0pt 0; text-align: justify">The following table provides the significant inputs to the Black-Scholes method for the fair value of the Penny Warrants: SCHEDULE FAIR VALUE WARRANTS <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-left: auto; border-collapse: collapse; width: 85%; margin-right: auto"> <tr style="vertical-align: bottom"> <td> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">As of September 30, 2024</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">As of December 31, 2023</td><td style="padding-bottom: 1pt"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 60%">Common stock price</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_98F_eus-gaap--SharePrice_iI_pid_c20240930__us-gaap--StatementEquityComponentsAxis__custom--PennyWarrantsMember_zfF6cxpVHqc3" style="width: 16%; text-align: right" title="Common stock price">0.53</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_987_eus-gaap--SharePrice_iI_pid_c20231231__us-gaap--StatementEquityComponentsAxis__custom--PennyWarrantsMember_zHzWTY6FQut8" style="width: 16%; text-align: right" title="Common stock price">0.54</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td>Exercise price</td><td> </td> <td style="text-align: left"> </td><td id="xdx_984_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExercisePrice_iI_pid_uUSDPShares_c20240930__us-gaap--StatementEquityComponentsAxis__custom--PennyWarrantsMember_zqNG29S2Glbh" style="text-align: right" title="Exercise price">0.01</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_983_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExercisePrice_iI_pid_uUSDPShares_c20231231__us-gaap--StatementEquityComponentsAxis__custom--PennyWarrantsMember_zLjv7XPw4Gq5" style="text-align: right" title="Exercise price">0.01</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Dividend yield</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"><span id="xdx_90E_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedDividendRate_pid_uPure_c20240101__20240930__us-gaap--StatementEquityComponentsAxis__custom--PennyWarrantsMember_zNdZwAwrUEm1" title="Dividend yield">0</td><td style="text-align: left">%</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"><span id="xdx_901_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedDividendRate_pid_uPure_c20230101__20231231__us-gaap--StatementEquityComponentsAxis__custom--PennyWarrantsMember_z09ut0abvy47" title="Dividend yield">0</td><td style="text-align: left">%</td></tr> <tr style="vertical-align: bottom; background-color: White"> <td>Term</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"><span id="xdx_907_eus-gaap--SharebasedCompensationArrangementBySharebasedPaymentAwardFairValueAssumptionsExpectedTerm1_dtY_c20240101__20240930__us-gaap--StatementEquityComponentsAxis__custom--PennyWarrantsMember_zCsvTuB3rqj2" title="Term">8.02</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"><span id="xdx_905_eus-gaap--SharebasedCompensationArrangementBySharebasedPaymentAwardFairValueAssumptionsExpectedTerm1_dtY_c20230101__20231231__us-gaap--StatementEquityComponentsAxis__custom--PennyWarrantsMember_zrLHz9o0BWWf" title="Term">10</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td>Volatility</td><td> </td> <td style="text-align: left"> </td><td id="xdx_982_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedVolatilityRate_pid_dp_uPure_c20240101__20240930__us-gaap--StatementEquityComponentsAxis__custom--PennyWarrantsMember_zZSKTjIefph3" style="text-align: right" title="Volatility">91.00</td><td style="text-align: left">%</td><td> </td> <td style="text-align: left"> </td><td id="xdx_98B_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedVolatilityRate_pid_dp_uPure_c20230101__20231231__us-gaap--StatementEquityComponentsAxis__custom--PennyWarrantsMember_z4p9B9bJUOWj" style="text-align: right" title="Volatility">96.00</td><td style="text-align: left">%</td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Risk-free rate</td><td> </td> <td style="text-align: left"> </td><td id="xdx_98B_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsRiskFreeInterestRate_pid_dp_uPure_c20240101__20240930__us-gaap--StatementEquityComponentsAxis__custom--PennyWarrantsMember_znV2RdmTQQs" style="text-align: right" title="Risk-free rate">3.70</td><td style="text-align: left">%</td><td> </td> <td style="text-align: left"> </td><td id="xdx_980_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsRiskFreeInterestRate_pid_dp_uPure_c20230101__20231231__us-gaap--StatementEquityComponentsAxis__custom--PennyWarrantsMember_zI4kRg34KBb5" style="text-align: right" title="Risk-free rate">3.90</td><td style="text-align: left">%</td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td>Fair value</td><td> </td> <td style="text-align: left">$</td><td id="xdx_98A_ecustom--FairValueOfWarrant_iI_pid_c20240930__us-gaap--StatementEquityComponentsAxis__custom--PennyWarrantsMember_zcaaLxF1DgBe" style="text-align: right" title="Fair value">0.52</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left">$</td><td id="xdx_980_ecustom--FairValueOfWarrant_iI_pid_c20231231__us-gaap--StatementEquityComponentsAxis__custom--PennyWarrantsMember_z2yxRjouc1I9" style="text-align: right" title="Fair value">0.54</td><td style="text-align: left"> </td></tr> </table> The following table provides the significant inputs to the Black-Scholes method for the fair value of the Investor Warrants issued in the June 2023 Offering: <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-left: auto; border-collapse: collapse; width: 85%; margin-right: auto"> <tr style="vertical-align: bottom"> <td> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">As of September 30, 2024</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">As of December 31, 2023</td><td style="padding-bottom: 1pt"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 60%">Common stock price</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_98D_eus-gaap--SharePrice_iI_pid_c20240930__us-gaap--StatementEquityComponentsAxis__custom--InvestorWarrantsMember_zj2NWVk1ZOwj" style="width: 16%; text-align: right" title="Common stock price">0.53</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_988_eus-gaap--SharePrice_iI_pid_c20231231__us-gaap--StatementEquityComponentsAxis__custom--InvestorWarrantsMember_zcPXirO1F8Li" style="width: 16%; text-align: right" title="Common stock price">0.54</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td>Exercise price</td><td> </td> <td style="text-align: left">$</td><td id="xdx_983_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExercisePrice_iI_pid_uUSDPShares_c20240930__us-gaap--StatementEquityComponentsAxis__custom--InvestorWarrantsMember_zP3Hsmesazb" style="text-align: right" title="Exercise price">2.00</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left">$</td><td id="xdx_98B_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExercisePrice_iI_pid_uUSDPShares_c20231231__us-gaap--StatementEquityComponentsAxis__custom--InvestorWarrantsMember_zLWZCeUwrkR" style="text-align: right" title="Exercise price">2.00</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Dividend yield</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"><span id="xdx_909_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedDividendRate_pid_dp_uPure_c20240101__20240930__us-gaap--StatementEquityComponentsAxis__custom--InvestorWarrantsMember_zTZ7JnoVczab" title="Dividend yield">0</td><td style="text-align: left">%</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"><span id="xdx_902_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedDividendRate_pid_dp_uPure_c20230101__20231231__us-gaap--StatementEquityComponentsAxis__custom--InvestorWarrantsMember_zGxq3PRhDe15" title="Dividend yield">0</td><td style="text-align: left">%</td></tr> <tr style="vertical-align: bottom; background-color: White"> <td>Term</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"><span id="xdx_905_eus-gaap--SharebasedCompensationArrangementBySharebasedPaymentAwardFairValueAssumptionsExpectedTerm1_dtY_c20240101__20240930__us-gaap--StatementEquityComponentsAxis__custom--InvestorWarrantsMember_znN8jD9n8iVk" title="Term">3.72</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"><span id="xdx_903_eus-gaap--SharebasedCompensationArrangementBySharebasedPaymentAwardFairValueAssumptionsExpectedTerm1_dtY_c20230101__20231231__us-gaap--StatementEquityComponentsAxis__custom--InvestorWarrantsMember_zzyeaxtT31Rg" title="Term">4.48</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td>Volatility</td><td> </td> <td style="text-align: left"> </td><td id="xdx_98A_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedVolatilityRate_pid_dp_uPure_c20240101__20240930__us-gaap--StatementEquityComponentsAxis__custom--InvestorWarrantsMember_zmnQQhmklsR" style="text-align: right" title="Volatility">101.00</td><td style="text-align: left">%</td><td> </td> <td style="text-align: left"> </td><td id="xdx_98E_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedVolatilityRate_pid_dp_uPure_c20230101__20231231__us-gaap--StatementEquityComponentsAxis__custom--InvestorWarrantsMember_zTBTRUKb6gg4" style="text-align: right" title="Volatility">106.00</td><td style="text-align: left">%</td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Risk-free rate</td><td> </td> <td style="text-align: left"> </td><td id="xdx_98A_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsRiskFreeInterestRate_pid_dp_uPure_c20240101__20240930__us-gaap--StatementEquityComponentsAxis__custom--InvestorWarrantsMember_zx7GFd5E0ayd" style="text-align: right" title="Risk-free rate">3.60</td><td style="text-align: left">%</td><td> </td> <td style="text-align: left"> </td><td id="xdx_982_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsRiskFreeInterestRate_pid_dp_uPure_c20230101__20231231__us-gaap--StatementEquityComponentsAxis__custom--InvestorWarrantsMember_ziAOdSHX5uO5" style="text-align: right" title="Risk-free rate">3.90</td><td style="text-align: left">%</td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td>Fair value</td><td> </td> <td style="text-align: left">$</td><td id="xdx_98E_ecustom--FairValueOfWarrant_iI_pid_c20240930__us-gaap--StatementEquityComponentsAxis__custom--InvestorWarrantsMember_zn0MsTA6Om5" style="text-align: right" title="Fair value">0.24</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left">$</td><td id="xdx_981_ecustom--FairValueOfWarrant_iI_pid_c20231231__us-gaap--StatementEquityComponentsAxis__custom--InvestorWarrantsMember_zDwRRhev7WS" style="text-align: right" title="Fair value">0.31</td><td style="text-align: left"> </td></tr> </table>

0.53

0.54

0.01

P8Y7D

P10Y

0.9100

0.9600

0.0370

0.0390

0.52 0.54

0.53

0.54

2.00

P3Y8M19D

P4Y5M23D

1.0100

1.0600

0.0360

0.0390

0.24 0.31

SCHEDULE OF ROLL FORWARD IN WARRANTS Term Loan Warrants (including Penny Warrants): <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-left: auto; border-collapse: collapse; width: 90%; margin-right: auto"> <tr style="vertical-align: bottom"> <td style="text-align: center"> </td><td style="font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_4B5_us-gaap--StatementEquityComponentsAxis_custom--TermLoanIncludingPennyWarrantsMember_zhEjFBLABVek" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">Common Stock Warrants</td><td style="padding-bottom: 1pt; font-weight: bold"> </td></tr> <tr id="xdx_430_c20240101__20240930_eus-gaap--ClassOfWarrantOrRightOutstanding_iS_pid_zfyrn6cLC581" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 80%">Warrants Outstanding, January 1, 2024</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 16%; text-align: right">1,884,510</td><td style="width: 1%; text-align: left"> </td></tr> <tr id="xdx_404_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardNonOptionEquityInstrumentsExercised_iN_pid_di_z9H8K0jdXyae" style="vertical-align: bottom; background-color: White"> <td style="text-align: justify">Exercise of warrants</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td></tr> <tr id="xdx_406_ecustom--ClassOfWarrantOrRightissued_pid_zmLkWwUzY6a4" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: justify; padding-bottom: 1pt">Warrants issued</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">7,670,524</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> <tr id="xdx_43D_c20240101__20240930_eus-gaap--ClassOfWarrantOrRightOutstanding_iE_pid_zCwkvJVZhoYi" style="vertical-align: bottom; background-color: White"> <td style="padding-bottom: 1pt">Warrants Outstanding, September 30, 2024</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">9,555,034</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> </table> Investor Warrants: <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-left: auto; border-collapse: collapse; width: 90%; margin-right: auto"> <tr style="vertical-align: bottom"> <td style="text-align: center"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_4BB_us-gaap--StatementEquityComponentsAxis_custom--InvestorWarrantsMember_zAyqun7LFww9" style="border-bottom: Black 1pt solid; text-align: center">Common Stock Warrants</td><td style="padding-bottom: 1pt"> </td></tr> <tr id="xdx_43B_c20240101__20240930_eus-gaap--ClassOfWarrantOrRightOutstanding_iS_pid_zHiLtfGdxVU1" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 80%">Warrants Outstanding, January 1, 2024</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 16%; text-align: right">11,131,900</td><td style="width: 1%; text-align: left"> </td></tr> <tr id="xdx_431_c20240101__20240930_eus-gaap--ClassOfWarrantOrRightOutstanding_iS_pid_znpIEnfRzevb" style="display: none; vertical-align: bottom; background-color: rgb(204,238,255)"> <td>Warrants Outstanding, Beginning</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">11,131,900</td><td style="text-align: left"> </td></tr> <tr id="xdx_40A_ecustom--ClassOfWarrantOrRightissued_pid_zxzHybZfU8gb" style="vertical-align: bottom; background-color: White"> <td>Issuance of warrants</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td></tr> <tr id="xdx_404_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardNonOptionEquityInstrumentsExercised_iN_pid_di_zETmlaqXgFEf" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="padding-bottom: 1pt">Exercise of warrants</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">-</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> <tr id="xdx_43D_c20240101__20240930_eus-gaap--ClassOfWarrantOrRightOutstanding_iE_pid_z4TvFEE5XyD" style="vertical-align: bottom; background-color: White"> <td style="text-align: justify; padding-bottom: 2.5pt">Warrants outstanding, September 30, 2024</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> </td><td style="border-bottom: Black 2.5pt double; text-align: right">11,131,900</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr> <tr id="xdx_435_c20240101__20240930_eus-gaap--ClassOfWarrantOrRightOutstanding_iE_pid_zy7lqg0v311i" style="display: none; vertical-align: bottom; background-color: White"> <td style="text-align: justify; padding-bottom: 2.5pt">Warrants outstanding, Ending</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> </td><td style="border-bottom: Black 2.5pt double; text-align: right">11,131,900</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr> </table>

1884510

7670524

9555034

11131900

Note 11 - Common Stock No dividends on common stock had been declared by the Company. For the nine months ended September 30, 2024 and 2023, the Company had reserved shares of common stock for issuance as follows: SUMMARY OF RESERVED SHARES OF COMMON STOCK FOR ISSUANCE <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-left: auto; border-collapse: collapse; width: 90%; margin-right: auto"> <tr style="vertical-align: bottom"> <td> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_495_20240930_zijAl97ibjGi" style="border-bottom: Black 1pt solid; text-align: center">September 30, 2024</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_499_20230930_zM15T1LOSaB5" style="border-bottom: Black 1pt solid; text-align: center">September 30, 2023</td><td style="padding-bottom: 1pt"> </td></tr> <tr id="xdx_403_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingNumber_iI_pid_zuMET07oMF3d" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 60%; text-align: left">Options issued and outstanding</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 16%; text-align: right">1,748,687</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 16%; text-align: right">3,274,940</td><td style="width: 1%; text-align: left"> </td></tr> <tr id="xdx_40F_eus-gaap--CommonStockSharesOutstanding_iI_pid_zMYcaSDQdTFa" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Common stock outstanding</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">62,767,982</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">58,880,712</td><td style="text-align: left"> </td></tr> <tr id="xdx_406_eus-gaap--ClassOfWarrantOrRightOutstanding_iI_pid_zkDBaF7mHxu3" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Warrants outstanding</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">32,181,100</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">23,219,622</td><td style="text-align: left"> </td></tr> <tr id="xdx_403_ecustom--EarnoutShares_iI_pid_zWythHl26Ed2" style="vertical-align: bottom; background-color: White"> <td>Earnout shares</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">25,000,000</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">40,000,000</td><td style="text-align: left"> </td></tr> <tr id="xdx_40D_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardNumberOfSharesAvailableForGrant_iI_pid_zlgzsei39vt4" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 1pt">Shares available for future issuance</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">8,359,925</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">4,470,153</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> <tr id="xdx_407_eus-gaap--CommonStockCapitalSharesReservedForFutureIssuance_iI_pid_zgc71EusfuNg" style="vertical-align: bottom; background-color: White"> <td style="padding-bottom: 2.5pt">Total</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> </td><td style="border-bottom: Black 2.5pt double; text-align: right">130,057,694</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> </td><td style="border-bottom: Black 2.5pt double; text-align: right">129,845,427</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr> </table> Note 11 - Common Stock (continued) ChEF Equity Facility On October 7, 2022, the Company and Chardan Capital Markets LLC, a New York limited liability company (“CCM LLC”) entered into a purchase agreement (the “Original Purchase Agreement”) and a Registration Rights Agreement in connection with the merger. Pursuant to the Original Purchase Agreement, the Company has the right to sell to CCM LLC an amount of shares of Common Stock, up to a maximum aggregate purchase price of $<span id="xdx_900_ecustom--PlanOfMergerMaximumAggregatePurchasePrice_pn6n6_c20221007__20221007__us-gaap--TypeOfArrangementAxis__custom--PurchaseAgreementMember_zUHeWghX4Lxd" title="Aggregated purchase price">150 million, pursuant to the terms of the Purchase Agreement (the “ChEF Equity Facility”). In addition, the Company appointed LifeSci Capital, LLC as “qualified independent underwriter” with respect to the transactions contemplated by the Purchase Agreement. On May 20, 2024, the Company entered into an amendment to the Original Purchase Agreement (the “A&R Purchase Agreement”, together with the Original Purchase Agreement, the “Purchase Agreement”) with CCM LLC to update the volume weighted average price purchase mechanics of the equity facility to permit Intraday VWAP Purchases (as defined in the A&R Purchase Agreement). Under the terms of the Purchase Agreement, the Company issued 98,500 shares pursuant to the Purchase Agreement with CCM LLC for aggregate net proceeds to the Company of $671 from the period January 1, 2023 through September 30, 2023. The Company issued 2,245,391 shares pursuant to the Purchase Agreement with CCM LLC for aggregate proceeds to the Company of $1,705 from the period January 1, 2024 through September 30, 2024. In accordance with the anti-dilution provisions of the penny warrants with respect to certain sales made by the Company under the ChEF Equity Facility, <span id="xdx_90E_eus-gaap--ClassOfWarrantOrRightNumberOfSecuritiesCalledByWarrantsOrRights_iI_c20240930__us-gaap--StatementEquityComponentsAxis__custom--PennyWarrantsMember_z5dLPGlbpCsc" title="Peny warrants">20,524 penny warrants were issued from the period January 1, 2024 through September 30, 2024.

For the nine months ended September 30, 2024 and 2023, the Company had reserved shares of common stock for issuance as follows: SUMMARY OF RESERVED SHARES OF COMMON STOCK FOR ISSUANCE <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-left: auto; border-collapse: collapse; width: 90%; margin-right: auto"> <tr style="vertical-align: bottom"> <td> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_495_20240930_zijAl97ibjGi" style="border-bottom: Black 1pt solid; text-align: center">September 30, 2024</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" id="xdx_499_20230930_zM15T1LOSaB5" style="border-bottom: Black 1pt solid; text-align: center">September 30, 2023</td><td style="padding-bottom: 1pt"> </td></tr> <tr id="xdx_403_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingNumber_iI_pid_zuMET07oMF3d" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 60%; text-align: left">Options issued and outstanding</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 16%; text-align: right">1,748,687</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 16%; text-align: right">3,274,940</td><td style="width: 1%; text-align: left"> </td></tr> <tr id="xdx_40F_eus-gaap--CommonStockSharesOutstanding_iI_pid_zMYcaSDQdTFa" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Common stock outstanding</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">62,767,982</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">58,880,712</td><td style="text-align: left"> </td></tr> <tr id="xdx_406_eus-gaap--ClassOfWarrantOrRightOutstanding_iI_pid_zkDBaF7mHxu3" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Warrants outstanding</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">32,181,100</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">23,219,622</td><td style="text-align: left"> </td></tr> <tr id="xdx_403_ecustom--EarnoutShares_iI_pid_zWythHl26Ed2" style="vertical-align: bottom; background-color: White"> <td>Earnout shares</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">25,000,000</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">40,000,000</td><td style="text-align: left"> </td></tr> <tr id="xdx_40D_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardNumberOfSharesAvailableForGrant_iI_pid_zlgzsei39vt4" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left; padding-bottom: 1pt">Shares available for future issuance</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">8,359,925</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">4,470,153</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> <tr id="xdx_407_eus-gaap--CommonStockCapitalSharesReservedForFutureIssuance_iI_pid_zgc71EusfuNg" style="vertical-align: bottom; background-color: White"> <td style="padding-bottom: 2.5pt">Total</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> </td><td style="border-bottom: Black 2.5pt double; text-align: right">130,057,694</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> </td><td style="border-bottom: Black 2.5pt double; text-align: right">129,845,427</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr> </table>

1748687

3274940

62767982

58880712

32181100

23219622

25000000 40000000

8359925

4470153

130057694

129845427

150000000

98500

671000

2245391

1705000

20524

Note 12 - Stock-Based Compensation Share-based compensation expense for options and RSUs totaling $759 and $6,387 was recognized in the Company’s consolidated statements of operations for the nine months ended September 30, 2024 and 2023, respectively. Share-based compensation expense for options and RSUs totaling $256 and $946 was recognized in the Company’s consolidated statements of operations for the three months ended September 30, 2024 and 2023, respectively. Of the $759 of share-based compensation incurred during the nine months ended September 30, 2024, $81 is allocated to cost of goods sold, $<span id="xdx_90A_eus-gaap--AllocatedShareBasedCompensationExpense_pn3n3_c20240101__20240930__us-gaap--IncomeStatementLocationAxis__us-gaap--ResearchAndDevelopmentExpenseMember_zSVMM6lCs7h8" title="Total compensation">136 to research and development, $<span id="xdx_900_eus-gaap--AllocatedShareBasedCompensationExpense_pn3n3_c20240101__20240930__us-gaap--IncomeStatementLocationAxis__us-gaap--SellingAndMarketingExpenseMember_z6TkhztFEy14" title="Total compensation">198 to selling and marketing, and $<span id="xdx_901_eus-gaap--AllocatedShareBasedCompensationExpense_pn3n3_c20240101__20240930__us-gaap--IncomeStatementLocationAxis__us-gaap--GeneralAndAdministrativeExpenseMember_zXoNALGP89D4" title="Total compensation">344 to general and administrative expenses. Of the $6,387 of share-based compensation incurred during the nine months ended September 30, 2023, $104 is allocated to cost of goods sold, $<span id="xdx_904_eus-gaap--AllocatedShareBasedCompensationExpense_pn3n3_c20230101__20230930__us-gaap--IncomeStatementLocationAxis__us-gaap--ResearchAndDevelopmentExpenseMember_zytXbwSI0no4" title="Total compensation">82 to research and development, $<span id="xdx_909_eus-gaap--AllocatedShareBasedCompensationExpense_pn3n3_c20230101__20230930__us-gaap--IncomeStatementLocationAxis__us-gaap--SellingAndMarketingExpenseMember_zpuf7Q5hFRvc" title="Total compensation">1,033 to selling and marketing, and $<span id="xdx_906_eus-gaap--AllocatedShareBasedCompensationExpense_pn3n3_c20230101__20230930__us-gaap--IncomeStatementLocationAxis__us-gaap--GeneralAndAdministrativeExpenseMember_zgl0sR11d8Bc" title="Total compensation">5,168 to general and administrative expenses. Of the $256 of share-based compensation incurred during the three months ended September 30, 2024, $21 is allocated to cost of goods sold, $<span id="xdx_906_eus-gaap--AllocatedShareBasedCompensationExpense_pn3n3_c20240701__20240930__us-gaap--IncomeStatementLocationAxis__us-gaap--ResearchAndDevelopmentExpenseMember_zg4nTRMRfFIj" title="Total compensation">35 to research and development, $<span id="xdx_90F_eus-gaap--AllocatedShareBasedCompensationExpense_pn3n3_c20240701__20240930__us-gaap--IncomeStatementLocationAxis__us-gaap--SellingAndMarketingExpenseMember_zk0l9priFXeg" title="Total compensation">71 to selling and marketing, and $<span id="xdx_90E_eus-gaap--AllocatedShareBasedCompensationExpense_pn3n3_c20240701__20240930__us-gaap--IncomeStatementLocationAxis__us-gaap--GeneralAndAdministrativeExpenseMember_zEPRmLvWjNLb" title="Total compensation">129 to general and administrative expenses. Of the $946 of share-based compensation incurred during the three months ended September 30, 2023, $29 is allocated to cost of goods sold, $<span id="xdx_908_eus-gaap--AllocatedShareBasedCompensationExpense_pn3n3_c20230701__20230930__us-gaap--IncomeStatementLocationAxis__us-gaap--ResearchAndDevelopmentExpenseMember_zJP3ENylWwL" title="Total compensation">33 to research and development, $<span id="xdx_90F_eus-gaap--AllocatedShareBasedCompensationExpense_pn3n3_c20230701__20230930__us-gaap--IncomeStatementLocationAxis__us-gaap--SellingAndMarketingExpenseMember_zn3BKyyXxgjk" title="Total compensation">62 to selling and marketing, and $<span id="xdx_904_eus-gaap--AllocatedShareBasedCompensationExpense_pn3n3_c20230701__20230930__us-gaap--IncomeStatementLocationAxis__us-gaap--GeneralAndAdministrativeExpenseMember_z6U7dAx3GMZ2" title="Total compensation">822 to general and administrative expenses. The Company maintains the Dragonfly Energy Holdings Corp. Employee Stock Purchase Plan (the “ESPP”) which is designed to allow eligible employees and the eligible employees of the Company’s participating subsidiaries to purchase shares of the Company’s common stock, at semi-annual intervals, with their accumulated payroll deductions. A total of <span id="xdx_90B_eus-gaap--StockIssuedDuringPeriodSharesNewIssues_pid_c20240101__20240930__us-gaap--PlanNameAxis__custom--StockIncentiveTwoThousandTwentyTwoPlanMember__us-gaap--StatementEquityComponentsAxis__us-gaap--CommonStockMember_zioY0J0Z2Ebc" title="Issuance of shares">2,464,400 shares of the Company’s common stock were initially available for issuance under the ESPP. The share limit will automatically increase on the first trading day in January of each year by an amount equal to lesser of (1) <span id="xdx_90D_ecustom--OutstandingSharesPercentage_pid_dp_uPure_c20230101__20231231__us-gaap--PlanNameAxis__custom--StockIncentiveTwoThousandTwentyTwoPlanMember__us-gaap--StatementEquityComponentsAxis__us-gaap--CommonStockMember_zi2P7aPQn7Rg" title="Outstanding shares percentage">1% of the total number of outstanding shares of the Company’s common stock on December 31 in the prior year, (2) <span id="xdx_90C_eus-gaap--StockIssuedDuringPeriodSharesNewIssues_pid_c20230101__20231231__us-gaap--PlanNameAxis__custom--StockIncentiveTwoThousandTwentyTwoPlanMember__us-gaap--StatementEquityComponentsAxis__us-gaap--CommonStockMember_zCjZ2BdhGPNb" title="Issuance of shares">1,500,000 shares, or (3) such number as determined by the Company’s board of directors. Note 12 - Stock-Based Compensation (continued) A summary of the Company’s option activity and related information follows: SCHEDULE OF OPTION ACTIVITY AND RELATED INFORMATION <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"> <tr style="vertical-align: bottom"> <td> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">Number of Options</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">Weighted- Average Exercise Price</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">Weighted- Average Grant Date Fair Value</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">Weighted- Average Remaining Contractual Life (in years)</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">Aggregate intrinsic value</td><td style="padding-bottom: 1pt"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 30%; text-align: justify">Balances, January 1, 2024</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td id="xdx_986_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingNumber_iS_pid_c20240101__20240930_z6ks08I99nrg" style="width: 10%; text-align: right" title="Number of Options, Balance at the beginning">2,364,787</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_98C_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingWeightedAverageExercisePrice_iS_pid_c20240101__20240930_zD6ioWpg6be7" style="width: 10%; text-align: right" title="Weighted- Average Exercise Price - Balances at the beginning">2.69</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_98F_eus-gaap--SharebasedCompensationArrangementBySharebasedPaymentAwardOptionsNonvestedWeightedAverageGrantDateFairValue_iS_pid_c20240101__20240930_zswSPUOVsAvl" style="width: 10%; text-align: right" title="Weighted- Average Grant Date Fair Value, Balances at the beginning">1.57</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 10%; text-align: right"><span id="xdx_903_ecustom--SharebasedCompensationArrangementBySharebasedPaymentAwardOptionsOutstandingWeightedAverageRemainingContractualTerm_dtY_c20230101__20231231_zpOTsqW8XzYl" title="Weighted- Average Remaining Contractual Life (in years)">7.60</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_989_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingIntrinsicValue_iS_pn3n3_c20240101__20240930_zQ2aAzioLk9a" style="width: 10%; text-align: right" title="Aggregate Intrinsic value Balances at the beginning"> 60</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: justify">Options granted</td><td> </td> <td style="text-align: left"> </td><td id="xdx_98B_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsGrantsInPeriodGross_pid_c20240101__20240930_z4f8gUyZgdkh" style="text-align: right" title="Number of Options granted">-</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_986_eus-gaap--ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsGrantsInPeriodWeightedAverageExercisePrice_pid_c20240101__20240930_zDoVs8C6odab" style="text-align: right" title="Weighted- Average Exercise Price Options granted">-</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_98F_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsGrantsInPeriodWeightedAverageGrantDateFairValue_pid_c20240101__20240930_zXvSsgJZLGq7" style="text-align: right" title="Weighted- Average Grant Date Fair Value, Options granted">-</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_983_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsGrantsInPeriodGrantDateIntrinsicValue_pn3n3_c20240101__20240930_z7lSKIonvNu1" style="text-align: right" title="Aggregate Intrinsic value Options granted">-</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: justify">Options forfeited</td><td> </td> <td style="text-align: left"> </td><td id="xdx_98E_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsForfeituresInPeriod_iN_pid_di_c20240101__20240930_zS9d0ONYnJeg" style="text-align: right" title="Number of Options forfeited">(228,888</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td id="xdx_98A_eus-gaap--ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsForfeituresInPeriodWeightedAverageExercisePrice_pid_c20240101__20240930_zJnKY0l9Anf9" style="text-align: right" title="Weighted- Average Exercise Price Options forfeited">2.94</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_986_eus-gaap--SharebasedCompensationArrangementBySharebasedPaymentAwardOptionsNonvestedOptionsForfeitedWeightedAverageGrantDateFairValue_pid_c20240101__20240930_zcdVqnVfnpqi" style="text-align: right" title="Weighted- Average Grant Date Fair Value, Options forfeited">1.63</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_98B_ecustom--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsForfeitedInPeriodTotalIntrinsicValue_pn3n3_c20240101__20240930_zBxLo85dfk54" style="text-align: right" title="Aggregate Intrinsic value Options forfeited">-</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: justify">Options expired</td><td> </td> <td style="text-align: left"> </td><td id="xdx_982_ecustom--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsExpiredInPeriod_iN_pid_di_c20240101__20240930_zPCRPcVWElZh" style="text-align: right" title="Number of Options expired">(376,121</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td id="xdx_98E_eus-gaap--ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsExpirationsInPeriodWeightedAverageExercisePrice_pid_c20240101__20240930_z9c9Ph91zZP6" style="text-align: right" title="Weighted- Average Exercise Price Options expired">2.87</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_98D_ecustom--SharebasedCompensationArrangementBySharebasedPaymentAwardOptionsNonvestedOptionsExpiredWeightedAverageGrantDateFairValue_pid_c20240101__20240930_zv2h6arNtFs6" style="text-align: right" title="Weighted- Average Grant Date Fair Value, Options expired">1.60</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_98C_ecustom--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsExpiredInPeriodTotalIntrinsicValue_pn3n3_c20240101__20240930_znAl0dzgZYG4" style="text-align: right" title="Aggregate Intrinsic value Options expired">2</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: justify; padding-bottom: 1pt">Options exercised</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td id="xdx_986_eus-gaap--StockIssuedDuringPeriodSharesStockOptionsExercised_iN_pid_di_c20240101__20240930_zOiaEHxrdpuc" style="border-bottom: Black 1pt solid; text-align: right" title="Number of Options exercised">(11,091</td><td style="padding-bottom: 1pt; text-align: left">)</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td id="xdx_98D_eus-gaap--ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsExercisesInPeriodWeightedAverageExercisePrice_pid_c20240101__20240930_zgmAufbVrBW1" style="border-bottom: Black 1pt solid; text-align: right" title="Weighted- Average Exercise Price Options Exercised">0.35</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td id="xdx_986_eus-gaap--SharebasedCompensationArrangementBySharebasedPaymentAwardOptionsVestedWeightedAverageGrantDateFairValue_pid_c20240101__20240930_zzLRfj0beGNh" style="border-bottom: Black 1pt solid; text-align: right" title="Weighted- Average Grant Date Fair Value, Options exercised">0.53</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">-</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td id="xdx_986_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsExercisesInPeriodTotalIntrinsicValue_pn3n3_c20240101__20240930_zWVnScu8ctye" style="border-bottom: Black 1pt solid; text-align: right" title="Aggregate Intrinsic value Options exercised">4</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: justify; padding-bottom: 2.5pt">Balances, September 30, 2024</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> </td><td id="xdx_983_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingNumber_iE_pid_c20240101__20240930_zacv8IJ4qqW3" style="border-bottom: Black 2.5pt double; text-align: right" title="Number of Options, Balance at the end">1,748,687</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td id="xdx_989_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingWeightedAverageExercisePrice_iE_pid_c20240101__20240930_ztRJcaIEot1b" style="border-bottom: Black 2.5pt double; text-align: right" title="Weighted- Average Exercise Price Balances at the end">2.63</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td id="xdx_983_eus-gaap--SharebasedCompensationArrangementBySharebasedPaymentAwardOptionsNonvestedWeightedAverageGrantDateFairValue_iE_pid_c20240101__20240930_z1hrIrBDHfrf" style="border-bottom: Black 2.5pt double; text-align: right" title="Weighted- Average Grant Date Fair Value, Balances at the end">1.56</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> </td><td style="border-bottom: Black 2.5pt double; text-align: right"><span id="xdx_907_eus-gaap--SharebasedCompensationArrangementBySharebasedPaymentAwardOptionsOutstandingWeightedAverageRemainingContractualTerm2_dtY_c20240101__20240930_z0E9N9O9dR79" title="Weighted- Average Remaining Contractual Life (in years)">6.71</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td id="xdx_980_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingIntrinsicValue_iE_pn3n3_c20240101__20240930_zCUm3IJipBx3" style="border-bottom: Black 2.5pt double; text-align: right" title="Aggregate Intrinsic value Balances at the end">55</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: justify"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: justify">At September 30, 2024</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: justify">Vested and Exercisable</td><td> </td> <td style="text-align: left"> </td><td id="xdx_982_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsVestedAndExpectedToVestExercisableNumber_iE_pid_c20240101__20240930_zkhl0KRaNz9i" style="text-align: right" title="Number of Options, Vested and Exercisable">1,469,296</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left">$</td><td id="xdx_985_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsVestedAndExpectedToVestExercisableWeightedAverageExercisePrice_iE_pid_c20240101__20240930_zRLll30VuGXa" style="text-align: right" title="Weighted- Average Exercise Price Vested and Exercisable">2.44</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"><span id="xdx_909_eus-gaap--SharebasedCompensationArrangementBySharebasedPaymentAwardOptionsVestedAndExpectedToVestExercisableWeightedAverageRemainingContractualTerm1_dtY_c20240101__20240930_z1gjSW4XjKQ2" title="Weighted- Average Remaining Contractual Life (in years), Vested and Exercisable">6.60</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left">$</td><td id="xdx_988_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsVestedAndExpectedToVestExercisableAggregateIntrinsicValue_iE_pn3n3_c20240101__20240930_zghTyZC6Thwh" style="text-align: right" title="Aggregate Intrinsic value Vested and Exercisable">55</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: justify">Vested and expected to vest</td><td> </td> <td style="text-align: left"> </td><td id="xdx_985_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsVestedAndExpectedToVestOutstandingNumber_iE_pid_c20240101__20240930_z2bxRkGMFi0b" style="text-align: right" title="Number of Options, Vested and expected to vest">1,748,687</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left">$</td><td id="xdx_987_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsVestedAndExpectedToVestOutstandingWeightedAverageExercisePrice_iE_pid_c20240101__20240930_zioMpjW6Yvva" style="text-align: right" title="Weighted- Average Exercise Price Vested and expected to vest">2.63</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"><span id="xdx_902_eus-gaap--SharebasedCompensationArrangementBySharebasedPaymentAwardOptionsVestedAndExpectedToVestOutstandingWeightedAverageRemainingContractualTerm1_dtY_c20240101__20240930_zz3AxwN6W1mh" title="Weighted- Average Remaining Contractual Life (in years), Vested and expected to vest">6.71</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left">$</td><td id="xdx_982_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsVestedAndExpectedToVestOutstandingAggregateIntrinsicValue_iE_pn3n3_c20240101__20240930_zGV8mFcNXkAc" style="text-align: right" title="Aggregate Intrinsic value Vested and expected to vest">55</td><td style="text-align: left"> </td></tr> </table> During the nine months ended September 30, 2024, the Company issued 11,091 shares as a result of exercised stock options upon the receipt of proceeds of approximately $4. Restricted Stock Units On February 10, 2023, the Company granted <span id="xdx_90D_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardEquityInstrumentsOtherThanOptionsGrantsInPeriod_pid_c20230210__20230210__us-gaap--AwardTypeAxis__us-gaap--RestrictedStockUnitsRSUMember_z5EUumMAOIhj" title="Restricted stock units">461,998 restricted stock units (“RSUs”) under the 2022 plan, which vested immediately. The fair value of these restricted stock units on the grant date was $<span id="xdx_90F_eus-gaap--StockIssuedDuringPeriodValueRestrictedStockAwardGross_pn3n3_c20230101__20230930__us-gaap--AwardTypeAxis__us-gaap--RestrictedStockUnitsRSUMember_zgVRufUhOhAa" title="Restricted stock units, value">3,464, and the full amount was recorded as compensation expense during the nine months ended September 30, 2023. No related expense was recorded during the three months ended September 30, 2023. During the nine months ended September 30, 2023, the Company also granted <span id="xdx_905_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardEquityInstrumentsOtherThanOptionsGrantsInPeriod_pid_c20230101__20230930__us-gaap--AwardTypeAxis__us-gaap--RestrictedStockUnitsRSUMember_zV9GeN5M3xJ1" title="Restricted stock units">37,000 additional RSUs. The fair value of these unvested RSUs was $121, with $14 of expense recorded during both the three and nine months ended September 30, 2023. Additionally, during the three months ended September 30, 2023, the Company granted another <span id="xdx_90E_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardEquityInstrumentsOtherThanOptionsGrantsInPeriod_pid_c20230701__20230930__us-gaap--AwardTypeAxis__us-gaap--RestrictedStockUnitsRSUMember_zbTJ4Ukgoljg" title="Restricted stock units">9,000 RSUs. The fair value of these RSUs on the grant date was $<span id="xdx_904_eus-gaap--StockIssuedDuringPeriodValueRestrictedStockAwardGross_pn3n3_c20230701__20230930__us-gaap--AwardTypeAxis__us-gaap--RestrictedStockUnitsRSUMember_zaVzVVdk2mhd" title="Restricted stock units, value">16, and no expense was recognized for this grant during the three months ended September 30, 2023. On February 5, 2024, the Company granted <span id="xdx_90E_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardEquityInstrumentsOtherThanOptionsGrantsInPeriod_c20240205__20240205__us-gaap--AwardTypeAxis__us-gaap--RestrictedStockUnitsRSUMember_zbSmEORohAg8" title="Restricted stock units, vested">220,000 RSUs of which <span id="xdx_902_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardEquityInstrumentsOtherThanOptionsVestedInPeriod_c20240205__20240205__us-gaap--AwardTypeAxis__us-gaap--RestrictedStockUnitsRSUMember_zs8kYRMh73D6" title="Restricted stock units, vested">100,000 vested immediately. The fair value of the <span id="xdx_90E_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardEquityInstrumentsOtherThanOptionsGrantsInPeriod_c20240205__20240205__us-gaap--AwardTypeAxis__us-gaap--RestrictedStockUnitsRSUMember_zYTlykpluXh7" title="Restricted stock units, vested">220,000 RSUs was $<span id="xdx_904_eus-gaap--StockIssuedDuringPeriodValueRestrictedStockAwardGross_pn3n3_c20240101__20240930__us-gaap--AwardTypeAxis__custom--RestrictedStockUnitsUnvestedMember_zL4z0lMgpl" title="Restricted stock units, value">95 and an expense of $48 was recorded as compensation expense during the nine months ended September 30, 2024. On April 12, 2024, the Company issued a total of <span id="xdx_90B_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardEquityInstrumentsOtherThanOptionsGrantsInPeriod_pid_c20240412__20240412__us-gaap--AwardTypeAxis__us-gaap--RestrictedStockUnitsRSUMember_z6Ak2CRwZwO8" title="Shares issued">836,295 RSUs to the following employees: (i) <span id="xdx_905_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardEquityInstrumentsOtherThanOptionsGrantsInPeriod_pid_c20240412__20240412__us-gaap--AwardTypeAxis__us-gaap--RestrictedStockUnitsRSUMember__srt--TitleOfIndividualAxis__srt--ChiefExecutiveOfficerMember_zkLzn8hKWT9i" title="Shares issued">567,407 RSUs to the Chief Executive Officer; (ii) <span id="xdx_903_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardEquityInstrumentsOtherThanOptionsGrantsInPeriod_pid_c20240412__20240412__us-gaap--AwardTypeAxis__us-gaap--RestrictedStockUnitsRSUMember__srt--TitleOfIndividualAxis__custom--ChiefRevenueOfficerMember_zTW5HVjKp79e" title="Shares issued">181,481 RSUs to the Chief Revenue Officer; and (iii) <span id="xdx_90F_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardEquityInstrumentsOtherThanOptionsGrantsInPeriod_pid_c20240412__20240412__us-gaap--AwardTypeAxis__us-gaap--RestrictedStockUnitsRSUMember__srt--TitleOfIndividualAxis__custom--ChiefMarketingOfficerMember_ziGE06jvTp5d" title="Shares issued">87,407 RSUs to the Chief Marketing Officer. Each of the RSUs granted will vest in three equal annual installments, with the first vesting date on the one (1) year anniversary of the date of issuance and the following two vesting dates on each subsequent anniversary of the date of issuance, subject to each employees’ continued employment as of each vesting date. On April 12, 2024, the board of directors authorized the issuance of <span id="xdx_90F_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardNumberOfSharesAuthorized_iI_pid_c20240412__us-gaap--AwardTypeAxis__us-gaap--RestrictedStockUnitsRSUMember_zAAu6rpI3sZg" title="Number of shares authorized for issuance">222,222 RSUs to each director in connection with their service as directors for the year ended December 31, 2023. The RSUs will vest in three equal annual installments, with the first vesting date on the one (1) year anniversary date of their issuance, subject to the directors continued service on with the Company on each vesting date. On April 17, 2024, the Company issued 3,428 shares in exchange for 4,875 vested RSU’s less shares deducted to cover taxes. On May 22, 2024, the Company issued 375 shares in exchange for 375 vested RSU’s. On June 24, 2024, the Company granted <span id="xdx_909_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardEquityInstrumentsOtherThanOptionsGrantsInPeriod_c20240624__20240624__us-gaap--AwardTypeAxis__us-gaap--RestrictedStockUnitsRSUMember_z16vzq300R83" title="Restricted stock units, vested">21,750 RSUs. The fair value of the <span id="xdx_90F_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardEquityInstrumentsOtherThanOptionsGrantsInPeriod_c20240101__20240630__us-gaap--AwardTypeAxis__custom--RestrictedStockUnitsRSUOneMember_zTg6wu3t9738" title="Restricted stock units, vested">2,191,377 RSUs granted during the three months ended June 30, 2024 was $<span id="xdx_90F_eus-gaap--StockIssuedDuringPeriodValueRestrictedStockAwardGross_pn3n3_c20240101__20240930__us-gaap--AwardTypeAxis__us-gaap--RestrictedStockUnitsRSUMember_zYX88hn3dSDb" title="Restricted stock units, value">995 and an expense of $154 was recorded as compensation expense during the nine months ended September 30, 2024. Note 12 - Stock-Based Compensation (continued) Restricted Stock Units (Continued) In addition to the restricted stock unit awards, the Board also approved the following cash awards to the above referenced employees: (i) $<span id="xdx_904_eus-gaap--PaymentOfFinancingAndStockIssuanceCosts_pn3n3_c20240412__20240412__srt--TitleOfIndividualAxis__srt--ChiefExecutiveOfficerMember__us-gaap--AwardTypeAxis__us-gaap--RestrictedStockUnitsRSUMember_zBiHqNaRQ769" title="Issuance of cash and equity awards">511 to the Chief Executive Officer; (ii) $<span id="xdx_90F_eus-gaap--PaymentOfFinancingAndStockIssuanceCosts_pn3n3_c20240412__20240412__srt--TitleOfIndividualAxis__custom--ChiefRevenueOfficerMember__us-gaap--AwardTypeAxis__us-gaap--RestrictedStockUnitsRSUMember_zzbGE84cYVr7" title="Issuance of cash and equity awards">163 to the Chief Revenue Officer; and (iii) $<span id="xdx_901_eus-gaap--PaymentOfFinancingAndStockIssuanceCosts_pn3n3_c20240412__20240412__srt--TitleOfIndividualAxis__custom--ChiefMarketingOfficerMember__us-gaap--AwardTypeAxis__us-gaap--RestrictedStockUnitsRSUMember_z51KqZDXS7ab" title="Issuance of cash and equity awards">79 to the Chief Marketing Officer. Each of the approved cash awards will not be paid out to the employees until the Company has achieved a minimum cash balance of $30,000, and are subject to each employee’s continued employment on the date of payment. On August 19, 2024, the Company issued a total of <span id="xdx_90E_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardEquityInstrumentsOtherThanOptionsGrantsInPeriod_pid_c20240819__20240819__us-gaap--AwardTypeAxis__custom--RestrictedStockUnitsRSUOneMember_zFskJOZbPf5e" title="Shares issued">735,000 RSUs. Each of the RSUs granted will vest in three equal annual installments, with the first vesting date on the one (1) year anniversary of the date of issuance and the following two vesting dates on each subsequent anniversary of the date of issuance, subject to each employees’ continued employment as of each vesting date. The fair value of the <span id="xdx_903_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardEquityInstrumentsOtherThanOptionsGrantsInPeriod_c20240101__20240930__us-gaap--AwardTypeAxis__custom--RestrictedStockUnitsRSUOneMember_zlOJ17n4OiY8" title="Restricted stock units, vested">735,000 RSUs was $<span id="xdx_90E_eus-gaap--StockIssuedDuringPeriodValueRestrictedStockAwardGross_pn3n3_c20240101__20240930__us-gaap--AwardTypeAxis__custom--RestrictedStockUnitsRSUOneMember_z1bwLN5zLhgl" title="Restricted stock units, value">448 and an expense of $17 was recorded as compensation expense during the nine months ended September 30, 2024, respectively. On August 26, 2024, the Company issued a total of <span id="xdx_90C_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardEquityInstrumentsOtherThanOptionsGrantsInPeriod_pid_c20240826__20240826__us-gaap--AwardTypeAxis__custom--RestrictedStockUnitsRSUTwoMember_zFttX32aRpX3" title="Shares issued">20,000 RSUs. Each of the RSUs granted will vest in three equal annual installments, with the first vesting date on the one (1) year anniversary of the date of issuance and the following two vesting dates on each subsequent anniversary of the date of issuance, subject to each employees’ continued employment as of each vesting date. The fair value of the <span id="xdx_905_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardEquityInstrumentsOtherThanOptionsGrantsInPeriod_c20240101__20240930__us-gaap--AwardTypeAxis__custom--RestrictedStockUnitsRSUTwoMember_z0zQ3vgvSpFk" title="Restricted stock units, vested">20,000 RSUs was $<span id="xdx_90A_eus-gaap--StockIssuedDuringPeriodValueRestrictedStockAwardGross_pn3n3_c20240101__20240930__us-gaap--AwardTypeAxis__custom--RestrictedStockUnitsRSUTwoMember_zDUjRaAHTG22" title="Restricted stock units, value">12 and no expense was recorded as compensation expense during the nine months ended September 30, 2024. The following table presents the RSUs activity for the nine months ended September 30, 2024: SCHEDULE OF RESTRICTED STOCK UNITS ACTIVITY <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-left: auto; border-collapse: collapse; width: 80%; margin-right: auto"> <tr style="vertical-align: bottom"> <td> </td><td> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">Number of Shares</td><td> </td><td style="font-weight: bold"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">Weighted-Average Fair Market Value</td><td style="font-weight: bold"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 60%; text-align: justify">Unvested shares, January 1, 2024</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td id="xdx_98E_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardEquityInstrumentsOtherThanOptionsNonvestedNumber_iS_pid_c20240101__20240930__us-gaap--AwardTypeAxis__us-gaap--RestrictedStockUnitsRSUMember_zVk4J6YkLu2c" style="width: 16%; text-align: right" title="Number of Shares, Unvested shares beginning balance">47,000</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_98D_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardEquityInstrumentsOtherThanOptionsNonvestedWeightedAverageGrantDateFairValue_iS_pid_c20240101__20240930__us-gaap--AwardTypeAxis__us-gaap--RestrictedStockUnitsRSUMember_zjL10RNWnnD8" style="width: 16%; text-align: right" title="Weighted-Average Fair Market Value, Unvested shares beginning balance">2.69</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: justify">Granted and unvested</td><td> </td> <td style="text-align: left"> </td><td id="xdx_989_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardEquityInstrumentsOtherThanOptionsGrantsInPeriod_pid_c20240101__20240930__us-gaap--AwardTypeAxis__us-gaap--RestrictedStockUnitsRSUMember_zJSIPIAbzyle" style="text-align: right" title="Number of Shares, Granted and unvested">3,166,377</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_983_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardEquityInstrumentsOtherThanOptionsGrantsInPeriodWeightedAverageGrantDateFairValue_pid_c20240101__20240930__us-gaap--AwardTypeAxis__us-gaap--RestrictedStockUnitsRSUMember_zHHeHbL5DmD5" style="text-align: right" title="Weighted-Average Fair Market Value, Granted and unvested">0.49</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: justify">Forfeited</td><td> </td> <td style="text-align: left"> </td><td id="xdx_984_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardEquityInstrumentsOtherThanOptionsForfeitedInPeriod_iN_pid_di_c20240101__20240930__us-gaap--AwardTypeAxis__us-gaap--RestrictedStockUnitsRSUMember_zoHBOM9zHyCd" style="text-align: right" title="Number of Shares, Forfeited">(10,000</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td id="xdx_988_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardEquityInstrumentsOtherThanOptionsForfeituresWeightedAverageGrantDateFairValue_pid_c20240101__20240930__us-gaap--AwardTypeAxis__us-gaap--RestrictedStockUnitsRSUMember_zRGuZP6gOuf6" style="text-align: right" title="Weighted-Average Fair Market Value, Forfeited">2.87</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: justify">Vested</td><td> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td id="xdx_984_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardEquityInstrumentsOtherThanOptionsVestedInPeriod_iN_pid_di_c20240101__20240930__us-gaap--AwardTypeAxis__us-gaap--RestrictedStockUnitsRSUMember_zwywRR5VZPcj" style="border-bottom: Black 1pt solid; text-align: right" title="Number of Shares, Vested">(109,375</td><td style="text-align: left">)</td><td> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td id="xdx_984_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardEquityInstrumentsOtherThanOptionsVestedInPeriodWeightedAverageGrantDateFairValue_pid_c20240101__20240930__us-gaap--AwardTypeAxis__us-gaap--RestrictedStockUnitsRSUMember_zShD7DvZ7L0c" style="border-bottom: Black 1pt solid; text-align: right" title="Weighted-Average Fair Market Value, Vested">0.71</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: justify">Unvested shares, September 30, 2024</td><td> </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> </td><td id="xdx_985_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardEquityInstrumentsOtherThanOptionsNonvestedNumber_iE_pid_c20240101__20240930__us-gaap--AwardTypeAxis__us-gaap--RestrictedStockUnitsRSUMember_z10DAcpG7bv" style="border-bottom: Black 2.5pt double; text-align: right" title="Number of Shares, Unvested shares ending balance">3,094,002</td><td style="text-align: left"> </td><td> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td id="xdx_983_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardEquityInstrumentsOtherThanOptionsNonvestedWeightedAverageGrantDateFairValue_iE_pid_c20240101__20240930__us-gaap--AwardTypeAxis__us-gaap--RestrictedStockUnitsRSUMember_z0jmt0zIKW33" style="border-bottom: Black 2.5pt double; text-align: right" title="Weighted-Average Fair Market Value, Unvested shares ending balance">0.51</td><td style="text-align: left"> </td></tr> </table> As of September 30, 2024 there were <span id="xdx_907_eus-gaap--ClassOfWarrantOrRightUnissued_iI_pid_c20240930__us-gaap--PlanNameAxis__custom--TwoThousandTwentyTwoEquityIncentiveAndEmployeeStockPurchasePlanMember_z0DbS7x8tuV1" title="Unissued authorized and available for future awards">8,359,925 shares of unissued authorized and available for future awards under the 2022 Equity Incentive Plan and the ESPP. Note 12 - Stock-Based Compensation (continued) Employee Stock Purchase Plan The Company maintains the ESPP which permits eligible employees to purchase shares at not less than 85% of the market value of the Company’s common stock on the offering date or the purchase date of the applicable offering period, whichever is lower. The plan was adopted by the Company’s Board of Directors on May 13, 2022. On April 24, 2024, the Company issued 244,774 common shares in connection with its Employee Stock Purchase Plan for a total consideration of approximately $<span id="xdx_907_eus-gaap--StockIssuedDuringPeriodValueEmployeeStockPurchasePlan_pn3n3_c20240424__20240424__us-gaap--PlanNameAxis__custom--EmployeeStockPurchasePlanMember_zUF1JwF0E601" title="Consideration">112. The ESPP allows employees to purchase shares at a 15% discount to the lesser of the stock price at the beginning or the end of the offering period, which was October 1, 2023, and April 1, 2024, respectively. The discount resulted in an exercise price of $<span id="xdx_901_eus-gaap--ClassOfWarrantOrRightExercisePriceOfWarrantsOrRights1_iI_pid_c20240424__us-gaap--StatementEquityComponentsAxis__us-gaap--CommonStockMember__us-gaap--PlanNameAxis__custom--EmployeeStockPurchasePlanMember_zXgWUZHU7uhf" title="Exercise price">0.46 per share. During the three and nine months ended September 30, 2024, the Company did not recognize any compensation expense. On April 1, 2024, the Company commenced a second offering under the ESPP, which ran through September 30, 2024, with the same terms as the first offering. As of September 30, 2024, the Company had <span id="xdx_90D_eus-gaap--StockIssuedDuringPeriodSharesEmployeeStockPurchasePlans_pid_c20240101__20240930__us-gaap--PlanNameAxis__custom--EmployeeStockPurchasePlanMember_zJFayMKBNF7e" title="Share issuance under ESPP">305,552 shares reserved for issuance in connection with the second ESPP offering. The Company recorded a liability of approximately $<span id="xdx_90F_ecustom--StockIssuedDuringPeriodValueEmployeeStockPurchasePlanLiability_pn3n3_c20240424__20240424__us-gaap--PlanNameAxis__custom--EmployeeStockPurchasePlanMember_zDXfXnlp0za7" title="Employee contribution, liability">186 related to employee contributions. However, $51 of this amount was disallowed for issuance due to the 10,000-share purchase limit. The remaining $135 was settled after the third quarter ended September 30, 2024, and the corresponding shares were issued.

759000

6387000

256000

946000

759000

81000

136000

198000

344000

6387000

104000

82000

1033000

5168000

256000

21000

35000

71000

129000

946000

29000

33000

62000

822000

2464400

0.01

1500000

A summary of the Company’s option activity and related information follows: SCHEDULE OF OPTION ACTIVITY AND RELATED INFORMATION <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 100%"> <tr style="vertical-align: bottom"> <td> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">Number of Options</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">Weighted- Average Exercise Price</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">Weighted- Average Grant Date Fair Value</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">Weighted- Average Remaining Contractual Life (in years)</td><td style="padding-bottom: 1pt"> </td><td style="padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">Aggregate intrinsic value</td><td style="padding-bottom: 1pt"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 30%; text-align: justify">Balances, January 1, 2024</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td id="xdx_986_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingNumber_iS_pid_c20240101__20240930_z6ks08I99nrg" style="width: 10%; text-align: right" title="Number of Options, Balance at the beginning">2,364,787</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_98C_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingWeightedAverageExercisePrice_iS_pid_c20240101__20240930_zD6ioWpg6be7" style="width: 10%; text-align: right" title="Weighted- Average Exercise Price - Balances at the beginning">2.69</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_98F_eus-gaap--SharebasedCompensationArrangementBySharebasedPaymentAwardOptionsNonvestedWeightedAverageGrantDateFairValue_iS_pid_c20240101__20240930_zswSPUOVsAvl" style="width: 10%; text-align: right" title="Weighted- Average Grant Date Fair Value, Balances at the beginning">1.57</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 10%; text-align: right"><span id="xdx_903_ecustom--SharebasedCompensationArrangementBySharebasedPaymentAwardOptionsOutstandingWeightedAverageRemainingContractualTerm_dtY_c20230101__20231231_zpOTsqW8XzYl" title="Weighted- Average Remaining Contractual Life (in years)">7.60</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_989_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingIntrinsicValue_iS_pn3n3_c20240101__20240930_zQ2aAzioLk9a" style="width: 10%; text-align: right" title="Aggregate Intrinsic value Balances at the beginning"> 60</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: justify">Options granted</td><td> </td> <td style="text-align: left"> </td><td id="xdx_98B_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsGrantsInPeriodGross_pid_c20240101__20240930_z4f8gUyZgdkh" style="text-align: right" title="Number of Options granted">-</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_986_eus-gaap--ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsGrantsInPeriodWeightedAverageExercisePrice_pid_c20240101__20240930_zDoVs8C6odab" style="text-align: right" title="Weighted- Average Exercise Price Options granted">-</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_98F_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsGrantsInPeriodWeightedAverageGrantDateFairValue_pid_c20240101__20240930_zXvSsgJZLGq7" style="text-align: right" title="Weighted- Average Grant Date Fair Value, Options granted">-</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_983_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsGrantsInPeriodGrantDateIntrinsicValue_pn3n3_c20240101__20240930_z7lSKIonvNu1" style="text-align: right" title="Aggregate Intrinsic value Options granted">-</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: justify">Options forfeited</td><td> </td> <td style="text-align: left"> </td><td id="xdx_98E_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsForfeituresInPeriod_iN_pid_di_c20240101__20240930_zS9d0ONYnJeg" style="text-align: right" title="Number of Options forfeited">(228,888</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td id="xdx_98A_eus-gaap--ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsForfeituresInPeriodWeightedAverageExercisePrice_pid_c20240101__20240930_zJnKY0l9Anf9" style="text-align: right" title="Weighted- Average Exercise Price Options forfeited">2.94</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_986_eus-gaap--SharebasedCompensationArrangementBySharebasedPaymentAwardOptionsNonvestedOptionsForfeitedWeightedAverageGrantDateFairValue_pid_c20240101__20240930_zcdVqnVfnpqi" style="text-align: right" title="Weighted- Average Grant Date Fair Value, Options forfeited">1.63</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_98B_ecustom--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsForfeitedInPeriodTotalIntrinsicValue_pn3n3_c20240101__20240930_zBxLo85dfk54" style="text-align: right" title="Aggregate Intrinsic value Options forfeited">-</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: justify">Options expired</td><td> </td> <td style="text-align: left"> </td><td id="xdx_982_ecustom--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsExpiredInPeriod_iN_pid_di_c20240101__20240930_zPCRPcVWElZh" style="text-align: right" title="Number of Options expired">(376,121</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td id="xdx_98E_eus-gaap--ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsExpirationsInPeriodWeightedAverageExercisePrice_pid_c20240101__20240930_z9c9Ph91zZP6" style="text-align: right" title="Weighted- Average Exercise Price Options expired">2.87</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_98D_ecustom--SharebasedCompensationArrangementBySharebasedPaymentAwardOptionsNonvestedOptionsExpiredWeightedAverageGrantDateFairValue_pid_c20240101__20240930_zv2h6arNtFs6" style="text-align: right" title="Weighted- Average Grant Date Fair Value, Options expired">1.60</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_98C_ecustom--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsExpiredInPeriodTotalIntrinsicValue_pn3n3_c20240101__20240930_znAl0dzgZYG4" style="text-align: right" title="Aggregate Intrinsic value Options expired">2</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: justify; padding-bottom: 1pt">Options exercised</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td id="xdx_986_eus-gaap--StockIssuedDuringPeriodSharesStockOptionsExercised_iN_pid_di_c20240101__20240930_zOiaEHxrdpuc" style="border-bottom: Black 1pt solid; text-align: right" title="Number of Options exercised">(11,091</td><td style="padding-bottom: 1pt; text-align: left">)</td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td id="xdx_98D_eus-gaap--ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsExercisesInPeriodWeightedAverageExercisePrice_pid_c20240101__20240930_zgmAufbVrBW1" style="border-bottom: Black 1pt solid; text-align: right" title="Weighted- Average Exercise Price Options Exercised">0.35</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td id="xdx_986_eus-gaap--SharebasedCompensationArrangementBySharebasedPaymentAwardOptionsVestedWeightedAverageGrantDateFairValue_pid_c20240101__20240930_zzLRfj0beGNh" style="border-bottom: Black 1pt solid; text-align: right" title="Weighted- Average Grant Date Fair Value, Options exercised">0.53</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td style="border-bottom: Black 1pt solid; text-align: right">-</td><td style="padding-bottom: 1pt; text-align: left"> </td><td style="padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td id="xdx_986_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsExercisesInPeriodTotalIntrinsicValue_pn3n3_c20240101__20240930_zWVnScu8ctye" style="border-bottom: Black 1pt solid; text-align: right" title="Aggregate Intrinsic value Options exercised">4</td><td style="padding-bottom: 1pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: justify; padding-bottom: 2.5pt">Balances, September 30, 2024</td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> </td><td id="xdx_983_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingNumber_iE_pid_c20240101__20240930_zacv8IJ4qqW3" style="border-bottom: Black 2.5pt double; text-align: right" title="Number of Options, Balance at the end">1,748,687</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td id="xdx_989_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingWeightedAverageExercisePrice_iE_pid_c20240101__20240930_ztRJcaIEot1b" style="border-bottom: Black 2.5pt double; text-align: right" title="Weighted- Average Exercise Price Balances at the end">2.63</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td id="xdx_983_eus-gaap--SharebasedCompensationArrangementBySharebasedPaymentAwardOptionsNonvestedWeightedAverageGrantDateFairValue_iE_pid_c20240101__20240930_z1hrIrBDHfrf" style="border-bottom: Black 2.5pt double; text-align: right" title="Weighted- Average Grant Date Fair Value, Balances at the end">1.56</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> </td><td style="border-bottom: Black 2.5pt double; text-align: right"><span id="xdx_907_eus-gaap--SharebasedCompensationArrangementBySharebasedPaymentAwardOptionsOutstandingWeightedAverageRemainingContractualTerm2_dtY_c20240101__20240930_z0E9N9O9dR79" title="Weighted- Average Remaining Contractual Life (in years)">6.71</td><td style="padding-bottom: 2.5pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td id="xdx_980_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingIntrinsicValue_iE_pn3n3_c20240101__20240930_zCUm3IJipBx3" style="border-bottom: Black 2.5pt double; text-align: right" title="Aggregate Intrinsic value Balances at the end">55</td><td style="padding-bottom: 2.5pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: justify"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: justify">At September 30, 2024</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: justify">Vested and Exercisable</td><td> </td> <td style="text-align: left"> </td><td id="xdx_982_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsVestedAndExpectedToVestExercisableNumber_iE_pid_c20240101__20240930_zkhl0KRaNz9i" style="text-align: right" title="Number of Options, Vested and Exercisable">1,469,296</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left">$</td><td id="xdx_985_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsVestedAndExpectedToVestExercisableWeightedAverageExercisePrice_iE_pid_c20240101__20240930_zRLll30VuGXa" style="text-align: right" title="Weighted- Average Exercise Price Vested and Exercisable">2.44</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"><span id="xdx_909_eus-gaap--SharebasedCompensationArrangementBySharebasedPaymentAwardOptionsVestedAndExpectedToVestExercisableWeightedAverageRemainingContractualTerm1_dtY_c20240101__20240930_z1gjSW4XjKQ2" title="Weighted- Average Remaining Contractual Life (in years), Vested and Exercisable">6.60</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left">$</td><td id="xdx_988_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsVestedAndExpectedToVestExercisableAggregateIntrinsicValue_iE_pn3n3_c20240101__20240930_zghTyZC6Thwh" style="text-align: right" title="Aggregate Intrinsic value Vested and Exercisable">55</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: justify">Vested and expected to vest</td><td> </td> <td style="text-align: left"> </td><td id="xdx_985_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsVestedAndExpectedToVestOutstandingNumber_iE_pid_c20240101__20240930_z2bxRkGMFi0b" style="text-align: right" title="Number of Options, Vested and expected to vest">1,748,687</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left">$</td><td id="xdx_987_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsVestedAndExpectedToVestOutstandingWeightedAverageExercisePrice_iE_pid_c20240101__20240930_zioMpjW6Yvva" style="text-align: right" title="Weighted- Average Exercise Price Vested and expected to vest">2.63</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"><span id="xdx_902_eus-gaap--SharebasedCompensationArrangementBySharebasedPaymentAwardOptionsVestedAndExpectedToVestOutstandingWeightedAverageRemainingContractualTerm1_dtY_c20240101__20240930_zz3AxwN6W1mh" title="Weighted- Average Remaining Contractual Life (in years), Vested and expected to vest">6.71</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left">$</td><td id="xdx_982_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsVestedAndExpectedToVestOutstandingAggregateIntrinsicValue_iE_pn3n3_c20240101__20240930_zGV8mFcNXkAc" style="text-align: right" title="Aggregate Intrinsic value Vested and expected to vest">55</td><td style="text-align: left"> </td></tr> </table>

2364787

2.69

1.57

P7Y7M6D

60000

228888

2.94

1.63

376121

2.87

1.60 2000

11091

0.35

0.53

4000

1748687

2.63

1.56

P6Y8M15D

55000

1469296

2.44

P6Y7M6D

55000

1748687

2.63

P6Y8M15D

55000

11091

4000

461998

3464000

37000

121000 14000

9000

16000

220000

100000

220000

95000

48000

836295

567407

181481

87407

222222

3428

4875

375

21750

2191377

995000

154000

511000

163000

79000

30000

735000

448000

17000

20000

12000

The following table presents the RSUs activity for the nine months ended September 30, 2024: SCHEDULE OF RESTRICTED STOCK UNITS ACTIVITY <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; margin-left: auto; border-collapse: collapse; width: 80%; margin-right: auto"> <tr style="vertical-align: bottom"> <td> </td><td> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">Number of Shares</td><td> </td><td style="font-weight: bold"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; font-weight: bold; text-align: center">Weighted-Average Fair Market Value</td><td style="font-weight: bold"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 60%; text-align: justify">Unvested shares, January 1, 2024</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td id="xdx_98E_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardEquityInstrumentsOtherThanOptionsNonvestedNumber_iS_pid_c20240101__20240930__us-gaap--AwardTypeAxis__us-gaap--RestrictedStockUnitsRSUMember_zVk4J6YkLu2c" style="width: 16%; text-align: right" title="Number of Shares, Unvested shares beginning balance">47,000</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left">$</td><td id="xdx_98D_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardEquityInstrumentsOtherThanOptionsNonvestedWeightedAverageGrantDateFairValue_iS_pid_c20240101__20240930__us-gaap--AwardTypeAxis__us-gaap--RestrictedStockUnitsRSUMember_zjL10RNWnnD8" style="width: 16%; text-align: right" title="Weighted-Average Fair Market Value, Unvested shares beginning balance">2.69</td><td style="width: 1%; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: justify">Granted and unvested</td><td> </td> <td style="text-align: left"> </td><td id="xdx_989_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardEquityInstrumentsOtherThanOptionsGrantsInPeriod_pid_c20240101__20240930__us-gaap--AwardTypeAxis__us-gaap--RestrictedStockUnitsRSUMember_zJSIPIAbzyle" style="text-align: right" title="Number of Shares, Granted and unvested">3,166,377</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_983_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardEquityInstrumentsOtherThanOptionsGrantsInPeriodWeightedAverageGrantDateFairValue_pid_c20240101__20240930__us-gaap--AwardTypeAxis__us-gaap--RestrictedStockUnitsRSUMember_zHHeHbL5DmD5" style="text-align: right" title="Weighted-Average Fair Market Value, Granted and unvested">0.49</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: justify">Forfeited</td><td> </td> <td style="text-align: left"> </td><td id="xdx_984_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardEquityInstrumentsOtherThanOptionsForfeitedInPeriod_iN_pid_di_c20240101__20240930__us-gaap--AwardTypeAxis__us-gaap--RestrictedStockUnitsRSUMember_zoHBOM9zHyCd" style="text-align: right" title="Number of Shares, Forfeited">(10,000</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td id="xdx_988_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardEquityInstrumentsOtherThanOptionsForfeituresWeightedAverageGrantDateFairValue_pid_c20240101__20240930__us-gaap--AwardTypeAxis__us-gaap--RestrictedStockUnitsRSUMember_zRGuZP6gOuf6" style="text-align: right" title="Weighted-Average Fair Market Value, Forfeited">2.87</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="text-align: justify">Vested</td><td> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td id="xdx_984_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardEquityInstrumentsOtherThanOptionsVestedInPeriod_iN_pid_di_c20240101__20240930__us-gaap--AwardTypeAxis__us-gaap--RestrictedStockUnitsRSUMember_zwywRR5VZPcj" style="border-bottom: Black 1pt solid; text-align: right" title="Number of Shares, Vested">(109,375</td><td style="text-align: left">)</td><td> </td> <td style="border-bottom: Black 1pt solid; text-align: left"> </td><td id="xdx_984_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardEquityInstrumentsOtherThanOptionsVestedInPeriodWeightedAverageGrantDateFairValue_pid_c20240101__20240930__us-gaap--AwardTypeAxis__us-gaap--RestrictedStockUnitsRSUMember_zShD7DvZ7L0c" style="border-bottom: Black 1pt solid; text-align: right" title="Weighted-Average Fair Market Value, Vested">0.71</td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: justify">Unvested shares, September 30, 2024</td><td> </td> <td style="border-bottom: Black 2.5pt double; text-align: left"> </td><td id="xdx_985_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardEquityInstrumentsOtherThanOptionsNonvestedNumber_iE_pid_c20240101__20240930__us-gaap--AwardTypeAxis__us-gaap--RestrictedStockUnitsRSUMember_z10DAcpG7bv" style="border-bottom: Black 2.5pt double; text-align: right" title="Number of Shares, Unvested shares ending balance">3,094,002</td><td style="text-align: left"> </td><td> </td> <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td id="xdx_983_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardEquityInstrumentsOtherThanOptionsNonvestedWeightedAverageGrantDateFairValue_iE_pid_c20240101__20240930__us-gaap--AwardTypeAxis__us-gaap--RestrictedStockUnitsRSUMember_z0jmt0zIKW33" style="border-bottom: Black 2.5pt double; text-align: right" title="Weighted-Average Fair Market Value, Unvested shares ending balance">0.51</td><td style="text-align: left"> </td></tr> </table>

47000

2.69

3166377

0.49

10000

2.87

109375

0.71

3094002

0.51

8359925

244774

112000

0.15

0.46

305552

186000 51000 10000

135000

Note 13 - Supplier Agreement On May 9, 2023, Ioneer Rhyolite Ridge LLC, or the seller, an emerging lithium-boron producer, and the Company announced a commercial offtake agreement partnership whereby the seller is developing the Rhyolite Ridge Project which, once completed, is expected to produce 20 ktpa of lithium carbonate, and 174 ktpa of boic acid (the “project”). Beginning on the Supply Start Date which is the date the seller notifies the Company that the project is fully completed and commissioned in accordance with the engineering, procurement and construction contract, and for the duration of the supply period, the Company shall purchase and receive product from seller, on the terms and conditions of the agreement. The agreement calls for a minimum annual purchase requirement. The agreement becomes effective when the seller has informed the Company that the seller has made a positive financial investment decision in respect of the project.

Note 14 - Revisions of Previously Issued Financial Statements The Company has revised the previously issued financial statements for the quarter ended September 30, 2023 for the underpayment of tariffs to U.S. Customs and Border Protection (“CBP”) related to the improper classification and valuation of certain of the products used in its batteries. The Company has reported the underpayment to CBP. The underpayment of tariffs was primarily the result of utilizing an improper tariff rate. The additional amount of the tariffs was allocated between inventory and cost of goods sold based on the status of imported items (i.e. included in the inventories held vs included in the inventories already sold to customers. In accordance with Staff Accounting Bulletin (“SAB”) 99, Materiality, and SAB 108, Considering the Effects of Prior Year Misstatements when Quantifying Misstatements in Current Year Financial Statements, the Company evaluated the materiality of the error from qualitative and quantitative perspectives, and concluded that the error was immaterial to any prior annual or interim financial statements. Notwithstanding this conclusion, management has revised the accompanying condensed consolidated financial statements for the quarter ended September 30, 2023 and related notes included herein to correct this error for the financial statements for the quarter ended September 30, 2023 presented. Note 14 - Revisions of Previously Issued Financial Statements (Continued) The following tables present the effect of correcting this error on the Company’s previously issued financial statements. SCHEDULE OF PREVIOUSLY ISSUED FINANCIAL STATEMENTS <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 95%"> <tr style="display: none; vertical-align: bottom"> <td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: justify"> Consolidated Statements of Operations</td><td> </td> <td colspan="2" id="xdx_496_20230701__20230930__srt--RestatementAxis__srt--ScenarioPreviouslyReportedMember_zZTyZ2jvP1J7" style="border-bottom: Black 1pt solid; text-align: center">As previously reported</td><td> </td><td> </td> <td colspan="2" id="xdx_49F_20230701__20230930__srt--RestatementAxis__srt--RevisionOfPriorPeriodReclassificationAdjustmentMember_zPomLpkQmrIb" style="border-bottom: Black 1pt solid; text-align: center">Adjustment</td><td> </td><td> </td> <td colspan="2" id="xdx_493_20230701__20230930_zgv9g8FiTiB3" style="border-bottom: Black 1pt solid; text-align: center">As revised</td><td> </td></tr> <tr style="vertical-align: bottom"> <td style="text-align: center"> </td><td> </td> <td colspan="10" style="border-bottom: Black 1pt solid; text-align: center">For the three months ended September 30, 2023</td><td> </td></tr> <tr style="vertical-align: bottom"> <td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: justify"> Consolidated Statements of Operations</td><td> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">As previously reported</td><td> </td><td> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">Adjustment</td><td> </td><td> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">As revised</td><td> </td></tr> <tr id="xdx_40D_eus-gaap--CostOfGoodsAndServicesSold_zXE7V2CRyJnh" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 46%; text-align: left">Cost of Goods Sold</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 14%; text-align: right">11,317</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 14%; text-align: right">(26</td><td style="width: 1%; text-align: left">)</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 14%; text-align: right">11,291</td><td style="width: 1%; text-align: left"> </td></tr> <tr id="xdx_408_eus-gaap--GrossProfit_zjwpO2CbXuk3" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Gross Profit</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">4,572</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">26</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">4,598</td><td style="text-align: left"> </td></tr> <tr id="xdx_408_eus-gaap--OperatingIncomeLoss_zQO1z5XZeF6l" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Loss From Operations</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(5,901</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">26</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(5,875</td><td style="text-align: left">)</td></tr> <tr id="xdx_407_eus-gaap--InterestExpense_zzQTj3rgF03i" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Interest Expense</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(3,977</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(10</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(3,987</td><td style="text-align: left">)</td></tr> <tr id="xdx_40F_eus-gaap--IncomeLossFromContinuingOperationsBeforeIncomeTaxesExtraordinaryItemsNoncontrollingInterest_zjaFomCFVlNh" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Loss Before Taxes</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(10,023</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">16</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(10,007</td><td style="text-align: left">)</td></tr> <tr id="xdx_40F_eus-gaap--NetIncomeLoss_zlrfBAuT9Xff" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Net Loss</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(10,023</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">16</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(10,007</td><td style="text-align: left">)</td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Net Loss per share - Basic & Diluted</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(0.17</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(0.0</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(0.17</td><td style="text-align: left">)</td></tr> </table> <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 95%"> <tr style="display: none; vertical-align: bottom"> <td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: justify"> Consolidated Statements of Operations</td><td> </td> <td colspan="2" id="xdx_495_20230101__20230930__srt--RestatementAxis__srt--ScenarioPreviouslyReportedMember_zVasQsf0G3te" style="border-bottom: Black 1pt solid; text-align: center">As previously reported</td><td> </td><td> </td> <td colspan="2" id="xdx_496_20230101__20230930__srt--RestatementAxis__srt--RevisionOfPriorPeriodReclassificationAdjustmentMember_z82P6NR5HaTi" style="border-bottom: Black 1pt solid; text-align: center">Adjustment</td><td> </td><td> </td> <td colspan="2" id="xdx_49E_20230101__20230930_zn6K7XMdJHze" style="border-bottom: Black 1pt solid; text-align: center">As revised</td><td> </td></tr> <tr style="vertical-align: bottom"> <td style="text-align: center"> </td><td> </td> <td colspan="10" style="border-bottom: Black 1pt solid; text-align: center">For the nine months ended September 30, 2023</td><td> </td></tr> <tr style="vertical-align: bottom"> <td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: justify">Consolidated Statements of Operations</td><td> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">As previously reported</td><td> </td><td> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">Adjustment</td><td> </td><td> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">As revised</td><td> </td></tr> <tr id="xdx_40B_eus-gaap--CostOfGoodsAndServicesSold_zfwB3FfY0hK6" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 46%; text-align: left">Cost of Goods Sold</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 14%; text-align: right">40,541</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 14%; text-align: right">224</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 14%; text-align: right">40,765</td><td style="width: 1%; text-align: left"> </td></tr> <tr id="xdx_405_eus-gaap--GrossProfit_zYORoWpX55U6" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Gross Profit</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">13,413</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(224</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">13,189</td><td style="text-align: left"> </td></tr> <tr id="xdx_403_eus-gaap--OperatingIncomeLoss_zfHaqCIYzPKb" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Loss From Operations</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(24,108</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(224</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(24,332</td><td style="text-align: left">)</td></tr> <tr id="xdx_40A_eus-gaap--InterestExpense_zLLrKv6LNkij" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Interest Expense</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(11,905</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(76</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(11,981</td><td style="text-align: left">)</td></tr> <tr id="xdx_40F_eus-gaap--IncomeLossFromContinuingOperationsBeforeIncomeTaxesExtraordinaryItemsNoncontrollingInterest_zYBpDHlJlAQ2" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Loss Before Taxes</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(16,831</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(300</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(17,131</td><td style="text-align: left">)</td></tr> <tr id="xdx_400_eus-gaap--NetIncomeLoss_znfYPZMzqPJa" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Net Loss</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(16,831</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(300</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(17,131</td><td style="text-align: left">)</td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Net Loss per share - Basic & Diluted</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(0.34</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(0.0</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(0.34</td><td style="text-align: left">)</td></tr> </table> <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 95%"> <tr style="display: none; vertical-align: bottom"> <td style="border-bottom: Black 1.5pt solid; font-weight: bold">Consolidated Statements of Cash Flows</td><td style="padding-bottom: 1.5pt"> </td> <td colspan="2" id="xdx_491_20230101__20230930__srt--RestatementAxis__srt--ScenarioPreviouslyReportedMember_zTGnSstdNQC9" style="border-bottom: Black 1.5pt solid; text-align: center">As previously reported</td><td style="padding-bottom: 1.5pt"> </td><td style="padding-bottom: 1.5pt"> </td> <td colspan="2" id="xdx_499_20230101__20230930__srt--RestatementAxis__srt--RevisionOfPriorPeriodReclassificationAdjustmentMember_zuH6OxNrdFYj" style="border-bottom: Black 1.5pt solid; text-align: center">Adjustment</td><td style="padding-bottom: 1.5pt"> </td><td style="padding-bottom: 1.5pt"> </td> <td colspan="2" id="xdx_492_20230101__20230930_zddvziSwkox2" style="border-bottom: Black 1.5pt solid; text-align: center">As revised</td><td style="padding-bottom: 1.5pt"> </td></tr> <tr style="vertical-align: bottom"> <td style="text-align: center"> </td><td> </td> <td colspan="10" style="border-bottom: Black 1pt solid; text-align: center">For the Period Ended September 30, 2023</td><td> </td></tr> <tr style="vertical-align: bottom"> <td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: justify">Consolidated Statements of Cash Flows</td><td> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">As previously reported</td><td> </td><td> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">Adjustment</td><td> </td><td> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">As revised</td><td> </td></tr> <tr id="xdx_405_eus-gaap--NetIncomeLoss_z9LYtnPDFoL4" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 46%; text-align: left">Net Loss</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 14%; text-align: right">(16,831</td><td style="width: 1%; text-align: left">)</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 14%; text-align: right">(300</td><td style="width: 1%; text-align: left">)</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 14%; text-align: right">(17,131</td><td style="width: 1%; text-align: left">)</td></tr> <tr id="xdx_408_ecustom--IncreaseDecreaseInAccruedTariffs_zDR83B52EgWk" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Change in Accrued Tariffs</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">300</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">300</td><td style="text-align: left"> </td></tr> </table> Note 14 - Revisions of Previously Issued Financial Statements (Continued) <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 95%"> <tr style="display: none; vertical-align: bottom"> <td style="border-bottom: Black 1.5pt solid"> Consolidated Statements of Stockholders’ Equity</td><td> </td> <td colspan="2" id="xdx_4B3_srt--RestatementAxis_srt--ScenarioPreviouslyReportedMember_zJefkc5zNHu1" style="border-bottom: Black 1.5pt solid; text-align: center">As previously reported</td><td> </td><td> </td> <td colspan="2" id="xdx_4BC_srt--RestatementAxis_srt--RevisionOfPriorPeriodReclassificationAdjustmentMember_zeoYPGX9KNOf" style="border-bottom: Black 1.5pt solid; text-align: center">Adjustment</td><td> </td><td> </td> <td colspan="2" id="xdx_4B4_zDdVHBQd6VOe" style="border-bottom: Black 1.5pt solid; text-align: center">As revised</td><td> </td></tr> <tr style="vertical-align: bottom"> <td style="text-align: center"> </td><td> </td> <td colspan="10" style="border-bottom: Black 1pt solid; text-align: center">For the Period Ended September 30, 2023</td><td> </td></tr> <tr style="vertical-align: bottom"> <td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: justify">Consolidated Statements of Shareholder’s Equity</td><td> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">As previously reported</td><td> </td><td> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">Adjustment</td><td> </td><td> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">As revised</td><td> </td></tr> <tr id="xdx_434_c20230101__20230331_eus-gaap--RetainedEarningsAccumulatedDeficit_iS_zey6nqFwnhRe" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 46%">Accumulated Deficit - January 1, 2023</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 14%; text-align: right">(27,133</td><td style="width: 1%; text-align: left">)</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 14%; text-align: right">(589</td><td style="width: 1%; text-align: left">)</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 14%; text-align: right">(27,722</td><td style="width: 1%; text-align: left">)</td></tr> <tr id="xdx_40D_eus-gaap--NetIncomeLoss_zKer3jTMgkDl" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Net Income</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">4,892</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(117</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">4,775</td><td style="text-align: left"> </td></tr> <tr id="xdx_431_c20230401__20230630_eus-gaap--RetainedEarningsAccumulatedDeficit_iS_zy3TZx2Rwpb4" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td>Accumulated Deficit - March 31, 2023</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(22,241</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(706</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(22,947</td><td style="text-align: left">)</td></tr> <tr id="xdx_40D_eus-gaap--NetIncomeLoss_z57v6KwRq2Ne" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Net Loss</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(11,700</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(199</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(11,899</td><td style="text-align: left">)</td></tr> <tr id="xdx_434_c20230701__20230930_eus-gaap--RetainedEarningsAccumulatedDeficit_iS_z3X3IcYgdaci" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td>Accumulated Deficit - June 30, 2023</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(33,941</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(905</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(34,846</td><td style="text-align: left">)</td></tr> <tr id="xdx_437_c20230701__20230930_eus-gaap--RetainedEarningsAccumulatedDeficit_iS_zl7SeZfZlsGh" style="display: none; vertical-align: bottom; background-color: rgb(204,238,255)"> <td>Accumulated Deficit, balance</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(33,941</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(905</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(34,846</td><td style="text-align: left">)</td></tr> <tr id="xdx_40D_eus-gaap--NetIncomeLoss_zZ7gT6VI6Dkk" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Net Loss</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(10,023</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">16</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(10,007</td><td style="text-align: left">)</td></tr> <tr id="xdx_401_eus-gaap--NetIncomeLoss_zzEMhNnT9OD3" style="display: none; vertical-align: bottom; background-color: White"> <td style="text-align: left">Net Income (Loss)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(10,023</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">16</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(10,007</td><td style="text-align: left">)</td></tr> <tr id="xdx_439_c20230701__20230930_eus-gaap--RetainedEarningsAccumulatedDeficit_iE_zlkqwkBnpJFc" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td>Accumulated Deficit - September 30, 2023</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(43,964</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(889</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(44,853</td><td style="text-align: left">)</td></tr> <tr id="xdx_437_c20230701__20230930_eus-gaap--RetainedEarningsAccumulatedDeficit_iE_zEKzvpv4BYq7" style="display: none; vertical-align: bottom; background-color: rgb(204,238,255)"> <td>Accumulated Deficit, balance</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(43,964</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(889</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(44,853</td><td style="text-align: left">)</td></tr> </table>

The following tables present the effect of correcting this error on the Company’s previously issued financial statements. SCHEDULE OF PREVIOUSLY ISSUED FINANCIAL STATEMENTS <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 95%"> <tr style="display: none; vertical-align: bottom"> <td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: justify"> Consolidated Statements of Operations</td><td> </td> <td colspan="2" id="xdx_496_20230701__20230930__srt--RestatementAxis__srt--ScenarioPreviouslyReportedMember_zZTyZ2jvP1J7" style="border-bottom: Black 1pt solid; text-align: center">As previously reported</td><td> </td><td> </td> <td colspan="2" id="xdx_49F_20230701__20230930__srt--RestatementAxis__srt--RevisionOfPriorPeriodReclassificationAdjustmentMember_zPomLpkQmrIb" style="border-bottom: Black 1pt solid; text-align: center">Adjustment</td><td> </td><td> </td> <td colspan="2" id="xdx_493_20230701__20230930_zgv9g8FiTiB3" style="border-bottom: Black 1pt solid; text-align: center">As revised</td><td> </td></tr> <tr style="vertical-align: bottom"> <td style="text-align: center"> </td><td> </td> <td colspan="10" style="border-bottom: Black 1pt solid; text-align: center">For the three months ended September 30, 2023</td><td> </td></tr> <tr style="vertical-align: bottom"> <td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: justify"> Consolidated Statements of Operations</td><td> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">As previously reported</td><td> </td><td> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">Adjustment</td><td> </td><td> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">As revised</td><td> </td></tr> <tr id="xdx_40D_eus-gaap--CostOfGoodsAndServicesSold_zXE7V2CRyJnh" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 46%; text-align: left">Cost of Goods Sold</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 14%; text-align: right">11,317</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 14%; text-align: right">(26</td><td style="width: 1%; text-align: left">)</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 14%; text-align: right">11,291</td><td style="width: 1%; text-align: left"> </td></tr> <tr id="xdx_408_eus-gaap--GrossProfit_zjwpO2CbXuk3" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Gross Profit</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">4,572</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">26</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">4,598</td><td style="text-align: left"> </td></tr> <tr id="xdx_408_eus-gaap--OperatingIncomeLoss_zQO1z5XZeF6l" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Loss From Operations</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(5,901</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">26</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(5,875</td><td style="text-align: left">)</td></tr> <tr id="xdx_407_eus-gaap--InterestExpense_zzQTj3rgF03i" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Interest Expense</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(3,977</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(10</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(3,987</td><td style="text-align: left">)</td></tr> <tr id="xdx_40F_eus-gaap--IncomeLossFromContinuingOperationsBeforeIncomeTaxesExtraordinaryItemsNoncontrollingInterest_zjaFomCFVlNh" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Loss Before Taxes</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(10,023</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">16</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(10,007</td><td style="text-align: left">)</td></tr> <tr id="xdx_40F_eus-gaap--NetIncomeLoss_zlrfBAuT9Xff" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Net Loss</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(10,023</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">16</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(10,007</td><td style="text-align: left">)</td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Net Loss per share - Basic & Diluted</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(0.17</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(0.0</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(0.17</td><td style="text-align: left">)</td></tr> </table> <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 95%"> <tr style="display: none; vertical-align: bottom"> <td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: justify"> Consolidated Statements of Operations</td><td> </td> <td colspan="2" id="xdx_495_20230101__20230930__srt--RestatementAxis__srt--ScenarioPreviouslyReportedMember_zVasQsf0G3te" style="border-bottom: Black 1pt solid; text-align: center">As previously reported</td><td> </td><td> </td> <td colspan="2" id="xdx_496_20230101__20230930__srt--RestatementAxis__srt--RevisionOfPriorPeriodReclassificationAdjustmentMember_z82P6NR5HaTi" style="border-bottom: Black 1pt solid; text-align: center">Adjustment</td><td> </td><td> </td> <td colspan="2" id="xdx_49E_20230101__20230930_zn6K7XMdJHze" style="border-bottom: Black 1pt solid; text-align: center">As revised</td><td> </td></tr> <tr style="vertical-align: bottom"> <td style="text-align: center"> </td><td> </td> <td colspan="10" style="border-bottom: Black 1pt solid; text-align: center">For the nine months ended September 30, 2023</td><td> </td></tr> <tr style="vertical-align: bottom"> <td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: justify">Consolidated Statements of Operations</td><td> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">As previously reported</td><td> </td><td> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">Adjustment</td><td> </td><td> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">As revised</td><td> </td></tr> <tr id="xdx_40B_eus-gaap--CostOfGoodsAndServicesSold_zfwB3FfY0hK6" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 46%; text-align: left">Cost of Goods Sold</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 14%; text-align: right">40,541</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 14%; text-align: right">224</td><td style="width: 1%; text-align: left"> </td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 14%; text-align: right">40,765</td><td style="width: 1%; text-align: left"> </td></tr> <tr id="xdx_405_eus-gaap--GrossProfit_zYORoWpX55U6" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Gross Profit</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">13,413</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(224</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">13,189</td><td style="text-align: left"> </td></tr> <tr id="xdx_403_eus-gaap--OperatingIncomeLoss_zfHaqCIYzPKb" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Loss From Operations</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(24,108</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(224</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(24,332</td><td style="text-align: left">)</td></tr> <tr id="xdx_40A_eus-gaap--InterestExpense_zLLrKv6LNkij" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Interest Expense</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(11,905</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(76</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(11,981</td><td style="text-align: left">)</td></tr> <tr id="xdx_40F_eus-gaap--IncomeLossFromContinuingOperationsBeforeIncomeTaxesExtraordinaryItemsNoncontrollingInterest_zYBpDHlJlAQ2" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Loss Before Taxes</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(16,831</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(300</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(17,131</td><td style="text-align: left">)</td></tr> <tr id="xdx_400_eus-gaap--NetIncomeLoss_znfYPZMzqPJa" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Net Loss</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(16,831</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(300</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(17,131</td><td style="text-align: left">)</td></tr> <tr style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="text-align: left">Net Loss per share - Basic & Diluted</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(0.34</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(0.0</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(0.34</td><td style="text-align: left">)</td></tr> </table> <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 95%"> <tr style="display: none; vertical-align: bottom"> <td style="border-bottom: Black 1.5pt solid; font-weight: bold">Consolidated Statements of Cash Flows</td><td style="padding-bottom: 1.5pt"> </td> <td colspan="2" id="xdx_491_20230101__20230930__srt--RestatementAxis__srt--ScenarioPreviouslyReportedMember_zTGnSstdNQC9" style="border-bottom: Black 1.5pt solid; text-align: center">As previously reported</td><td style="padding-bottom: 1.5pt"> </td><td style="padding-bottom: 1.5pt"> </td> <td colspan="2" id="xdx_499_20230101__20230930__srt--RestatementAxis__srt--RevisionOfPriorPeriodReclassificationAdjustmentMember_zuH6OxNrdFYj" style="border-bottom: Black 1.5pt solid; text-align: center">Adjustment</td><td style="padding-bottom: 1.5pt"> </td><td style="padding-bottom: 1.5pt"> </td> <td colspan="2" id="xdx_492_20230101__20230930_zddvziSwkox2" style="border-bottom: Black 1.5pt solid; text-align: center">As revised</td><td style="padding-bottom: 1.5pt"> </td></tr> <tr style="vertical-align: bottom"> <td style="text-align: center"> </td><td> </td> <td colspan="10" style="border-bottom: Black 1pt solid; text-align: center">For the Period Ended September 30, 2023</td><td> </td></tr> <tr style="vertical-align: bottom"> <td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: justify">Consolidated Statements of Cash Flows</td><td> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">As previously reported</td><td> </td><td> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">Adjustment</td><td> </td><td> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">As revised</td><td> </td></tr> <tr id="xdx_405_eus-gaap--NetIncomeLoss_z9LYtnPDFoL4" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 46%; text-align: left">Net Loss</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 14%; text-align: right">(16,831</td><td style="width: 1%; text-align: left">)</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 14%; text-align: right">(300</td><td style="width: 1%; text-align: left">)</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 14%; text-align: right">(17,131</td><td style="width: 1%; text-align: left">)</td></tr> <tr id="xdx_408_ecustom--IncreaseDecreaseInAccruedTariffs_zDR83B52EgWk" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Change in Accrued Tariffs</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">-</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">300</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">300</td><td style="text-align: left"> </td></tr> </table> Note 14 - Revisions of Previously Issued Financial Statements (Continued) <table cellpadding="0" cellspacing="0" style="font: 10pt Times New Roman, Times, Serif; border-collapse: collapse; width: 95%"> <tr style="display: none; vertical-align: bottom"> <td style="border-bottom: Black 1.5pt solid"> Consolidated Statements of Stockholders’ Equity</td><td> </td> <td colspan="2" id="xdx_4B3_srt--RestatementAxis_srt--ScenarioPreviouslyReportedMember_zJefkc5zNHu1" style="border-bottom: Black 1.5pt solid; text-align: center">As previously reported</td><td> </td><td> </td> <td colspan="2" id="xdx_4BC_srt--RestatementAxis_srt--RevisionOfPriorPeriodReclassificationAdjustmentMember_zeoYPGX9KNOf" style="border-bottom: Black 1.5pt solid; text-align: center">Adjustment</td><td> </td><td> </td> <td colspan="2" id="xdx_4B4_zDdVHBQd6VOe" style="border-bottom: Black 1.5pt solid; text-align: center">As revised</td><td> </td></tr> <tr style="vertical-align: bottom"> <td style="text-align: center"> </td><td> </td> <td colspan="10" style="border-bottom: Black 1pt solid; text-align: center">For the Period Ended September 30, 2023</td><td> </td></tr> <tr style="vertical-align: bottom"> <td style="border-bottom: Black 1pt solid; font-weight: bold; text-align: justify">Consolidated Statements of Shareholder’s Equity</td><td> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">As previously reported</td><td> </td><td> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">Adjustment</td><td> </td><td> </td> <td colspan="2" style="border-bottom: Black 1pt solid; text-align: center">As revised</td><td> </td></tr> <tr id="xdx_434_c20230101__20230331_eus-gaap--RetainedEarningsAccumulatedDeficit_iS_zey6nqFwnhRe" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td style="width: 46%">Accumulated Deficit - January 1, 2023</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 14%; text-align: right">(27,133</td><td style="width: 1%; text-align: left">)</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 14%; text-align: right">(589</td><td style="width: 1%; text-align: left">)</td><td style="width: 2%"> </td> <td style="width: 1%; text-align: left"> </td><td style="width: 14%; text-align: right">(27,722</td><td style="width: 1%; text-align: left">)</td></tr> <tr id="xdx_40D_eus-gaap--NetIncomeLoss_zKer3jTMgkDl" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Net Income</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">4,892</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(117</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">4,775</td><td style="text-align: left"> </td></tr> <tr id="xdx_431_c20230401__20230630_eus-gaap--RetainedEarningsAccumulatedDeficit_iS_zy3TZx2Rwpb4" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td>Accumulated Deficit - March 31, 2023</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(22,241</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(706</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(22,947</td><td style="text-align: left">)</td></tr> <tr id="xdx_40D_eus-gaap--NetIncomeLoss_z57v6KwRq2Ne" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Net Loss</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(11,700</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(199</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(11,899</td><td style="text-align: left">)</td></tr> <tr id="xdx_434_c20230701__20230930_eus-gaap--RetainedEarningsAccumulatedDeficit_iS_z3X3IcYgdaci" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td>Accumulated Deficit - June 30, 2023</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(33,941</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(905</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(34,846</td><td style="text-align: left">)</td></tr> <tr id="xdx_437_c20230701__20230930_eus-gaap--RetainedEarningsAccumulatedDeficit_iS_zl7SeZfZlsGh" style="display: none; vertical-align: bottom; background-color: rgb(204,238,255)"> <td>Accumulated Deficit, balance</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(33,941</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(905</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(34,846</td><td style="text-align: left">)</td></tr> <tr id="xdx_40D_eus-gaap--NetIncomeLoss_zZ7gT6VI6Dkk" style="vertical-align: bottom; background-color: White"> <td style="text-align: left">Net Loss</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(10,023</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">16</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(10,007</td><td style="text-align: left">)</td></tr> <tr id="xdx_401_eus-gaap--NetIncomeLoss_zzEMhNnT9OD3" style="display: none; vertical-align: bottom; background-color: White"> <td style="text-align: left">Net Income (Loss)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(10,023</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">16</td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(10,007</td><td style="text-align: left">)</td></tr> <tr id="xdx_439_c20230701__20230930_eus-gaap--RetainedEarningsAccumulatedDeficit_iE_zlkqwkBnpJFc" style="vertical-align: bottom; background-color: rgb(204,238,255)"> <td>Accumulated Deficit - September 30, 2023</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(43,964</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(889</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(44,853</td><td style="text-align: left">)</td></tr> <tr id="xdx_437_c20230701__20230930_eus-gaap--RetainedEarningsAccumulatedDeficit_iE_zEKzvpv4BYq7" style="display: none; vertical-align: bottom; background-color: rgb(204,238,255)"> <td>Accumulated Deficit, balance</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(43,964</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(889</td><td style="text-align: left">)</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right">(44,853</td><td style="text-align: left">)</td></tr> </table>

11317000

-26000

11291000

4572000

26000

4598000

-5901000

26000

-5875000

-3977000

-10000

-3987000

-10023000

16000

-10007000

-10023000

16000

-10007000

-0.17

-0.0

-0.17

40541000

224000

40765000

13413000

-224000

13189000

-24108000

-224000

-24332000

-11905000

-76000

-11981000

-16831000

-300000

-17131000

-16831000

-300000

-17131000

-0.34

-0.0

-0.34

-16831000

-300000

-17131000

300000 300000

-27133000

-589000

-27722000

4892000

-117000

4775000

-22241000

-706000

-22947000

-11700000

-199000

-11899000

-33941000

-905000

-34846000

-33941000

-905000

-34846000

-10023000

16000

-10007000

-10023000

16000

-10007000

-43964000

-889000

-44853000

-43964000

-889000

-44853000

Note 15 - Subsequent Events From October 1, 2024 through November 12, 2024, the Company issued and sold approximately 53,719 shares of Common Stock under the ChEF Equity Facility, resulting in additional net cash proceeds of $26,660. In addition, from October 1, 2024 through November 12, 2024, the Company issued certain Penny Warrants to purchase 419 shares of Common Stock to the Term Loan Lenders in accordance with the anti-dilution provisions of the Penny Warrants with respect to certain sales the Company made under the ChEF Equity Facility.

53719

26660

419

false false false false Changes in fair value of warrant liabilities are disclosed separately in the Condensed Consolidated Statements of Operations Represents scheduled payments for the remaining three-month period ending December 31, 2024. Represents scheduled payments for the remaining three-month period ending December 31, 2024.