Cover
Cover - shares | 3 Months Ended | |
Mar. 31, 2024 | May 09, 2024 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Document Period End Date | Mar. 31, 2024 | |
Document Fiscal Period Focus | Q1 | |
Document Fiscal Year Focus | 2024 | |
Current Fiscal Year End Date | --12-31 | |
Entity File Number | 001-40766 | |
Entity Registrant Name | Lightwave Logic, Inc. | |
Entity Central Index Key | 0001325964 | |
Entity Tax Identification Number | 82-0497368 | |
Entity Incorporation, State or Country Code | NV | |
Entity Address, Address Line One | 369 Inverness Parkway | |
Entity Address, Address Line Two | Suite 350 | |
Entity Address, City or Town | Englewood | |
Entity Address, State or Province | CO | |
Entity Address, Postal Zip Code | 80112 | |
City Area Code | 720 | |
Local Phone Number | 340-4949 | |
Title of 12(b) Security | Common Stock, $0.001 par value per share | |
Trading Symbol | LWLG | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 120,094,245 |
BALANCE SHEETS (UNAUDITED)
BALANCE SHEETS (UNAUDITED) - USD ($) | Mar. 31, 2024 | Dec. 31, 2023 |
CURRENT ASSETS | ||
Cash and cash equivalents | $ 31,509,058 | $ 31,432,087 |
Accounts Receivable | 56,760 | 30,376 |
Prepaid expenses and other current assets | 696,689 | 1,237,621 |
TOTAL CURRENT ASSETS | 32,262,507 | 32,700,084 |
PROPERTY AND EQUIPMENT - NET | 5,397,438 | 4,990,790 |
OTHER ASSETS | ||
Intangible assets - net | 1,286,663 | 1,254,501 |
Operating Lease - Right of Use - Building | 2,791,199 | 2,838,210 |
TOTAL OTHER ASSETS | 4,077,862 | 4,092,711 |
TOTAL ASSETS | 41,737,807 | 41,783,585 |
CURRENT LIABILITIES | ||
Accounts payable | 1,000,494 | 1,447,596 |
Accrued bonuses and accrued expenses | 500,049 | 599,430 |
Accounts payable and accrued expenses - related parties | 97,597 | 313,483 |
Deferred revenue | 35,708 | 39,875 |
Deferred lease liability | 27,852 | 38,297 |
Operating lease liability | 149,962 | 144,120 |
TOTAL CURRENT LIABILITIES | 1,811,662 | 2,582,801 |
LONG TERM LIABILITIES | ||
Operating lease liability | 2,726,901 | 2,766,970 |
TOTAL LONG TERM LIABILITIES | 2,726,901 | 2,766,970 |
TOTAL LIABILITIES | 4,538,563 | 5,349,771 |
STOCKHOLDERS' EQUITY | ||
Preferred stock, $0.001 par value, 1,000,000 authorized, no shares issued or outstanding | ||
Common stock $0.001 par value, 250,000,000 authorized, 119,795,941 and 118,137,309 issued and outstanding at March 31, 2024 and December 31, 2023 | 119,796 | 118,137 |
Additional paid-in-capital | 170,998,846 | 164,619,363 |
Deferred compensation | (368,094) | (432,293) |
Accumulated deficit | (133,551,304) | (127,871,393) |
TOTAL STOCKHOLDERS' EQUITY | 37,199,244 | 36,433,814 |
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | $ 41,737,807 | $ 41,783,585 |
BALANCE SHEETS (UNAUDITED) (Par
BALANCE SHEETS (UNAUDITED) (Parenthetical) - $ / shares | Mar. 31, 2024 | Dec. 31, 2023 |
Statement of Financial Position [Abstract] | ||
Preferred stock, par value | $ 0.001 | $ 0.001 |
Preferred stock, shares authorized | 1,000,000 | 1,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 250,000,000 | 250,000,000 |
Common stock, shares issued | 119,795,941 | 118,137,309 |
Common stock, shares outstanding | 119,795,941 | 118,137,309 |
STATEMENTS OF COMPREHENSIVE LOS
STATEMENTS OF COMPREHENSIVE LOSS (UNAUDITED) - USD ($) | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Income Statement [Abstract] | ||
NET SALES | $ 30,417 | |
COST AND EXPENSE | ||
Cost of sales | 5,175 | |
Research and development | 4,620,662 | 3,799,707 |
General and administrative | 1,255,450 | 1,360,170 |
TOTAL COST AND EXPENSE | 5,881,287 | 5,159,877 |
LOSS FROM OPERATIONS | (5,850,870) | (5,159,877) |
OTHER INCOME (EXPENSE) | ||
Interest income | 253,336 | 53,287 |
Commitment fee | (76,977) | (361,694) |
Loss on disposal of property and equipment | (3,166) | |
Other expense | (2,234) | (7,734) |
NET LOSS | $ (5,679,911) | $ (5,476,018) |
LOSS PER SHARE | ||
Basic | $ (0.05) | $ (0.05) |
Diluted | $ (0.05) | $ (0.05) |
WEIGHTED AVERAGE NUMBER OF SHARES | ||
Basic | 118,950,591 | 113,270,655 |
Diluted | 118,950,591 | 113,270,655 |
STATEMENT OF STOCKHOLDERS' EQUI
STATEMENT OF STOCKHOLDERS' EQUITY (UNAUDITED) - USD ($) | Common Stock [Member] | Additional Paid-in Capital [Member] | Deferred Compensation, Share-Based Payments [Member] | Retained Earnings [Member] | Total |
Beginning balance, value at Dec. 31, 2022 | $ 112,883 | $ 134,406,825 | $ (133,324) | $ (106,833,361) | $ 27,553,023 |
Beginning balance, shares at Dec. 31, 2022 | 112,882,793 | ||||
Common stock issued to institutional investor | $ 1,020 | 5,498,357 | 5,499,377 | ||
Common stock issued to institutional investor, shares | 1,020,455 | ||||
Common stock issued for commitment shares | $ 66 | 361,628 | 361,694 | ||
Common stock issued for commitment shares, shares | 65,659 | ||||
Exercise of options | $ 10 | 6,990 | 7,000 | ||
Exercise of options, shares | 10,000 | ||||
Exercise of warrants | $ 25 | 18,725 | 18,750 | ||
Exercise of warrants, shares | 25,000 | ||||
Options issued for services | 1,795,842 | 1,795,842 | |||
Restricted stock awards issued for future services | $ 100 | 519,896 | (519,996) | ||
Restricted stock awards issued for future services, shares | 99,616 | ||||
Deferred compensation | 73,498 | 73,498 | |||
Net loss | (5,476,018) | (5,476,018) | |||
Ending balance, value at Mar. 31, 2023 | $ 114,104 | 142,608,263 | (579,822) | (112,309,379) | 29,833,166 |
Ending balance, shares at Mar. 31, 2023 | 114,103,523 | ||||
Beginning balance, value at Dec. 31, 2023 | $ 118,137 | 164,619,363 | (432,293) | (127,871,393) | 36,433,814 |
Beginning balance, shares at Dec. 31, 2023 | 118,137,309 | ||||
Common stock issued to institutional investor | $ 1,250 | 5,151,100 | 5,152,350 | ||
Common stock issued to institutional investor, shares | 1,250,000 | ||||
Common stock issued for commitment shares | $ 18 | 76,959 | 76,977 | ||
Common stock issued for commitment shares, shares | 17,482 | ||||
Common stock sales at the market by investment banking company | $ 77 | 330,376 | 330,453 | ||
Common stock sales at the market by investment banking company, shares | 77,150 | ||||
Exercise of options | $ 295 | 180,305 | 180,600 | ||
Exercise of options, shares | 295,000 | ||||
Exercise of warrants | $ 19 | 14,231 | 14,250 | ||
Exercise of warrants, shares | 19,000 | ||||
Options issued for services | 626,512 | 626,512 | |||
Deferred compensation | 64,199 | 64,199 | |||
Net loss | (5,679,911) | (5,679,911) | |||
Ending balance, value at Mar. 31, 2024 | $ 119,796 | $ 170,998,846 | $ (368,094) | $ (133,551,304) | $ 37,199,244 |
Ending balance, shares at Mar. 31, 2024 | 119,795,941 |
STATEMENTS OF CASH FLOWS (UNAUD
STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($) | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
CASH FLOWS FROM OPERATING ACTIVITIES | ||
Net loss | $ (5,679,911) | $ (5,476,018) |
Adjustments to reconcile net loss to net cash used in operating activities | ||
Stock options issued for services | 626,512 | 1,795,842 |
Amortization of deferred compensation | 64,199 | 73,498 |
Common stock issued for services and fees | 76,977 | 361,694 |
Depreciation and amortization of patents | 386,498 | 275,276 |
Amortization of right of use asset | 47,011 | 46,381 |
Loss on disposal of property and equipment | 3,166 | |
(Increase) decrease in assets | ||
Accounts receivable | (26,384) | |
Prepaid expenses and other current assets | 540,932 | (91,853) |
(Decrease) increase in liabilities | ||
Accounts payable | (447,102) | (427,132) |
Accrued bonuses, accrued expenses and other liabilities | (99,381) | (248,151) |
Accounts payable and accrued expenses-related parties | (215,886) | (1,367) |
Deferred revenue | (4,167) | |
Deferred lease liability | (10,445) | (10,445) |
Operating lease liability | (34,227) | (46,381) |
Net cash used in operating activities | (4,772,208) | (3,748,656) |
CASH FLOWS FROM INVESTING ACTIVITIES | ||
Cost of intangibles | (53,097) | (106,475) |
Purchase of property and equipment | (775,377) | (246,053) |
Repayment of loan | 642,120 | |
Net cash (used in) provided by investing activities | (828,474) | 289,592 |
CASH FLOWS FROM FINANCING ACTIVITIES | ||
Exercise of options and warrants | 194,850 | 25,750 |
Issuance of common stock, institutional investor | 5,152,350 | 5,499,377 |
Common stock sales at the market by investment banking company | 330,453 | |
Net cash provided by financing activities | 5,677,653 | 5,525,127 |
NET INCREASE IN CASH AND CASH EQUIVALENTS | 76,971 | 2,066,063 |
CASH AND CASH EQUIVALENTS - BEGINNING OF PERIOD | 31,432,087 | 24,102,151 |
CASH AND CASH EQUIVALENTS - END OF PERIOD | $ 31,509,058 | $ 26,168,214 |
NATURE OF BUSINESS AND SUMMARY
NATURE OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 3 Months Ended |
Mar. 31, 2024 | |
Accounting Policies [Abstract] | |
NATURE OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | NOTE 1 – NATURE OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Financial Statements The accompanying unaudited financial statements have been prepared by Lightwave Logic, Inc. (the “Company”). These statements include all adjustments (consisting only of its normal recurring adjustments) which management believes necessary for a fair presentation of the statements and have been prepared on a consistent basis using the accounting polices described in the Summary of Significant Accounting Policies included in the financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2023, as filed with the Securities and Exchange Commission on February 29, 2024 (the “2023 Annual Report”). Certain financial information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States have been condensed or omitted pursuant to the rules and regulations of the Securities and Exchange Commission, although the Company firmly believes that the accompanying disclosures are adequate to make the information presented not misleading. The financial statements should be read in conjunction with the financial statements and notes thereto included in the 2023 Annual Report. The interim operating results for the three months ending March 31, 2024 may not be indicative of operating results expected for the full year. Nature of Business Lightwave Logic, Inc. (the “Company”) is a technology company focused on development of next generation electro-optic photonic devices made on its P 2 The Company’s current development activities are subject to significant risks and uncertainties, including failing to secure additional funding to operationalize the Company’s technology now under development. Lightwave Logic, Inc. was organized under the laws of the State of Nevada in 1997, and it commenced with its current business plan in 2004. Revenue Recognition and Deferred Revenue The rights and benefits to the Company’s patented electro-optic polymer materials are conveyed to the customer through technology license and material supply agreements where the Company provides the licensee a supply of its proprietary polymers for use in the licensee’s manufacturing of photonic devices (the “Licensed Product”) as well as non-exclusive, royalty-bearing license to intellectual property rights in the Company’s patented polymer technology. The Company receives license and royalty payments under such commercial agreements, some of which are nonrefundable upfront payments for license fees. These advances are initially recorded as deferred revenue on the Company’s balance sheets. The Company believes that the licenses provided and materials transferred under such agreements are not distinct from each other for financial reporting purposes and as such, they are accounted for as a single performance obligation. Advance payments for license fees and minimum annual royalties are recognized on a pro-rata basis over the related contract term. Royalties from licensee’s sale of the Licensed Product that exceed the minimum annual royalty are recognized when cumulative royalties exceed the minimum royalty. Milestone license fees are recognized when the licensee reaches the milestone of selling a contractually specified number of units of the Licensed Product. Revenue associated with the sale of the Company’s patented electro-optic polymer materials for incorporation into the customers’ commercial photonic devices or for their device development and evaluation activities will be recognized at the time title passes, which is typically at the time of shipment or at the time of delivery, depending upon the contractual agreement between the parties. Cost of Sales Cost of sales consists of labor costs, material costs and manufacturing overhead costs associated with the production of materials transferred to the customer under the technology license and material supply agreement at the Company’s facility. Stock-based Payments The Company accounts for stock-based compensation under Compensation – Stock Compensation (Topic 718), Improvements to Nonemployee Share-Based Payment Accounting The Company has elected to account for forfeiture of stock-based awards as they occur. Loss Per Share The Company follows FASB ASC 260, “Earnings per Share”, resulting in the presentation of basic and diluted earnings per share. Because the Company reported a net loss in 2024 and 2023, common stock equivalents, including stock options and warrants were anti-dilutive; therefore, the amounts reported for basic and dilutive loss per share were the same. Comprehensive Income (Loss) The Company follows FASB ASC 220.10, “Reporting Comprehensive Income (Loss).” Comprehensive income (loss) is a more inclusive financial reporting methodology that includes disclosure of certain financial information that historically has not been recognized in the calculation of net income (loss). Since the Company has no items of other comprehensive income (loss), comprehensive income (loss) is equal to net income (loss). Recently Issued Accounting Pronouncements Not Yet Adopted As of March 31, 2024, there are no recently issued accounting standards not yet adopted which would have a material effect on the Company’s financial statements. Recently Adopted Accounting Pronouncements As of March 31, 2024 and for the period then ended, there are no recently adopted accounting standards that have a material effect on the Company’s financial statements. Reclassifications Certain reclassifications have been made to the 2023 financial statement in order to conform to the 2024 financial statement presentation. |
MANAGEMENT_S PLANS
MANAGEMENT’S PLANS | 3 Months Ended |
Mar. 31, 2024 | |
Managements Plans | |
MANAGEMENT’S PLANS | NOTE 2 – MANAGEMENT’S PLANS Our future expenditures and capital requirements will depend on numerous factors, including: the progress of our research and development efforts; the rate at which we can, directly or through arrangements with original equipment manufacturers, introduce and sell products incorporating our polymer materials technology; the costs of filing, prosecuting, defending and enforcing any patent claims and other intellectual property rights; market acceptance of our products and competing technological developments; and our ability to establish cooperative development, joint venture and licensing arrangements. We expect that we will incur approximately $ 1,840,000 30,000,000 973,950 $7,727,648 35,000,000 no 33,096,514 16,667 |
REVENUE
REVENUE | 3 Months Ended |
Mar. 31, 2024 | |
Revenue | |
REVENUE | NOTE 3 – REVENUE The Company recognizes revenue in accordance with ASC Topic 606, Revenue from Contracts with Customers (Topic 606). The standard establishes the principles that an entity shall apply to report useful information to users of financial statements about the nature, amount, timing, and uncertainty of revenue and cash flows from a contract with a customer. The Company's first commercial agreement occurred in May 2023, in the form of a four-year material supply and license agreement (the “License Agreement”) that incorporates the Company's patented electro-optic polymer materials for use in manufacturing of photonic devices (the “Licensed Product”). The licensee shall pay the Company a running royalty with a minimum royalty paid on an annual basis over the term of the License Agreement. Additional future revenue will be generated from royalties from the licensee’s sale of Licensed Product that exceed the minimum royalty payments and milestone license fees. The License Agreement is a non-exclusive material supply and license agreement. During 2024, the Company performed device poling work for a customer. Timing of Revenue Recognition and Contract Balances Revenues related to the initial license fee and a minimum annual royalty are recognized over time commencing with the License Agreement in May 2023. An up-front license fee in the amount of $ 50,000 35,708 ended March 31, 2024, the Company recognized $ 16,667 In March 2024, the Company completed coating and poling work on the devices supplied by a customer. Revenue for this contract was recognized at the time of shipment of the devices back to the customer and amounted to $ 13,750 Contract balances are as follows: Schedule of contract balances March 31, 2024 December 31, 2023 Accounts receivable, net $ 56,760 $ 30,376 Short-term contract assets $ — $ — Long-term contract assets $ — $ — Short-term liability deferred revenue $ 35,708 $ 39,875 Long-term liability deferred revenue $ — $ — Significant changes in the contract balances for the period ended March 31, 2024 are as follows: Schedule of changes in contract balances March 31, 2024 Assets Liabilities Balance at December 31, 2023 $ 30,376 $ (39,875 ) Revenue recognized that was previously included in deferred revenue — 4,167 Billed receivables recorded 13,884 — Unbilled receivables recorded 12,500 — Balance at March 31, 2024 $ 56,760 $ (35,708 ) Assets Recognized for the Costs to Obtain a Contract There are no assets recognized for the costs to obtain the License Agreement. |
PREPAID EXPENSES AND OTHER CURR
PREPAID EXPENSES AND OTHER CURRENT ASSETS | 3 Months Ended |
Mar. 31, 2024 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
PREPAID EXPENSES AND OTHER CURRENT ASSETS | NOTE 4 – PREPAID EXPENSES AND OTHER CURRENT ASSETS Prepaid expenses and other current assets consist of the following: Schedule of prepaid expenses and other current assets March 31, 2024 December 31, 2023 License $ 263,101 $ 241,936 Insurance 133,336 237,791 Materials fabrication 89,880 475,936 Investor relations 80,069 6,313 Prototype devices 48,318 161,267 Other 45,460 53,373 Rent 36,525 36,525 Deposit for equipment — 20,000 Lease incentive receivable — 4,480 Prepaid expenses and other current $ 696,689 $ 1,237,621 |
LOAN RECEIVABLE
LOAN RECEIVABLE | 3 Months Ended |
Mar. 31, 2024 | |
Loan Receivable | |
LOAN RECEIVABLE | NOTE 5 – LOAN RECEIVABLE On September 7, 2022, the Company entered into a convertible loan agreement (the “Loan”) with an entity and issued a loan on September 12, 2022 in the amount of EUR 600,000 7% March 31, 2023 11,125 |
PROPERTY AND EQUIPMENT
PROPERTY AND EQUIPMENT | 3 Months Ended |
Mar. 31, 2024 | |
Property, Plant and Equipment [Abstract] | |
PROPERTY AND EQUIPMENT | NOTE 6 – PROPERTY AND EQUIPMENT Property and equipment consist of the following: Schedule of property and equipment March 31, 2024 December 31, 2023 Office equipment $ 152,439 $ 146,196 Lab equipment 9,534,549 8,937,847 Furniture 74,119 74,119 Leasehold improvements 396,111 396,111 Software 120,368 111,077 10,277,586 9,665,350 Less: Accumulated depreciation 4,880,148 4,674,560 $ 5,397,438 $ 4,990,790 Depreciation expense for the three months ending March 31, 2024 and 2023 was $ 365,563 255,925 163,141 159,975 3,166 |
INTANGIBLE ASSETS
INTANGIBLE ASSETS | 3 Months Ended |
Mar. 31, 2024 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
INTANGIBLE ASSETS | NOTE 7 – INTANGIBLE ASSETS This represents legal fees and patent fees associated with the prosecution of patent applications. The Company has recorded amortization expense on patents granted, which are amortized over the remaining legal life. Maintenance patent fees are paid to a government patent authority to maintain a granted patent in force. Some countries require the payment of maintenance fees for pending patent applications. Maintenance fees paid after a patent is granted are expensed, as these are considered ongoing costs to “maintain a patent”. Maintenance fees paid prior to a patent grant date are capitalized to patent costs, as these are considered “patent application costs”. No amortization expense has been recorded on the remaining patent applications since patents have yet to be granted. Patents consists of the following: Schedule of intangible assets March 31, 2024 December 31, 2023 Patents $ 1,966,848 $ 1,913,751 Less: Accumulated amortization 680,185 659,250 Intangible assets - net $ 1,286,663 $ 1,254,501 Amortization expense for the three months ending March 31, 2024 and 2023 was $ 20,935 19,351 no |
COMMITMENTS
COMMITMENTS | 3 Months Ended |
Mar. 31, 2024 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS | NOTE 8 – COMMITMENTS On October 30, 2017 13,420 61 November 1, 2017 November 30, 2022 24 168,824 3% 347,045 186,293 November 1, 2019 3.00 36,525 October 30, 2017 260,000 260,000 27,852 Due to the adoption of the new lease standard, the Company has capitalized the present value of the minimum lease payments commencing November 1, 2019 6.5% As of January 1, 2019 the operating lease right-of-use asset and operating lease liability amounted to $ 885,094 On November 22, 2022, the Company entered into an amendment to the Lease (“the Amended Lease”) to lease an additional approximately 9,684 square feet of adjacent office and warehouse space. The term of the Amended Lease is one hundred twenty ( 128 June 1, 2023 30,517 377,288 3% June 1, 2023 43,216 2,945,322 2,791,199 2,876,863 The Company has elected not to recognize right-of-use assets and lease liabilities arising from short-term leases. There are no other material operating leases. The Company is obligated under the Amended Lease for office, chemistry, clean room and research and development space. The aggregate minimum future lease payments under the Amended Lease, including the extended term are as follows: Schedule of future lease payments of operating leases YEARS ENDING DECEMBER 31, AMOUNT 2024 $ 282,966 2025 387,666 2026 399,199 2027 411,174 2028 423,612 Thereafter 2,357,570 4,262,187 Less discounted interest (1,385,324 ) TOTAL $ 2,876,863 Rent expense totaling $ 75,511 25,170 36,142 12,047 |
INCOME TAXES
INCOME TAXES | 3 Months Ended |
Mar. 31, 2024 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | NOTE 9 – INCOME TAXES There is no The Company’s policy is to record interest and penalties associated with unrecognized tax benefits as additional income taxes in the statement of operations. As of January 1, 2024, the Company had no unrecognized tax benefits, or any tax related interest or penalties. There were no no |
STOCKHOLDERS_ EQUITY
STOCKHOLDERS’ EQUITY | 3 Months Ended |
Mar. 31, 2024 | |
Equity [Abstract] | |
STOCKHOLDERS’ EQUITY | NOTE 10 – STOCKHOLDERS’ EQUITY Preferred Stock Pursuant to the Company’s articles of incorporation, the Company’s Board of Directors is empowered, without stockholder approval, to issue series of preferred stock with any designations, rights and preferences as they may from time to time determine. The rights and preferences of this preferred stock may be superior to the rights and preferences of the Company’s common stock; consequently, preferred stock, if issued could have dividend, liquidation, conversion, voting or other rights that could adversely affect the voting power or other rights of the common stock. Additionally, preferred stock, if issued, could be utilized, under special circumstances, as a method of discouraging, delaying or preventing a change in control of the Company’s business or a takeover from a third party. Common Stock, Options and Warrants In January 2019, the Company signed a purchase agreement with the institutional investor to sell up to $25,000,000 9,500,000 350,000 $258,125 812,500 6,000,000 8,000,000 22,337,500 $23,773,924 772,666 $1,575,509 39,834 On July 2, 2021, the Company filed a $100,000,000 universal shelf registration statement with the U.S. Securities and Exchange Commission which became effective on July 9, 2021. On October 4, 2021, the Company entered into a purchase agreement with the institutional investor to sell up to $33,000,000 30,312 $279,174 60,623 3,632,456 $33,000,000 60,623 $694,531 On February 28, 2023, the Company entered into a purchase agreement with an institutional investor to sell up to $30,000,000 50,891 $279,391 101,781 4,120,455 $21,298,402 72,261 $433,003 29,520 1,250,000 $5,152,350 17,482 $76,977 250,000 $973,950 3,304 $13,658 26,216 On December 9, 2022, the Company entered into a sales agreement with an investment banking company. In accordance with the terms of this sales agreement, the Company may offer and sell shares of its common stock having an aggregate offering price of up to $35,000,000 3% 77,150 $330,453 $10,221 |
STOCK BASED COMPENSATION
STOCK BASED COMPENSATION | 3 Months Ended |
Mar. 31, 2024 | |
Share-Based Payment Arrangement [Abstract] | |
STOCK BASED COMPENSATION | NOTE 11 – STOCK BASED COMPENSATION During 2007, the Board of Directors of the Company adopted the 2007 Employee Stock Plan (“2007 Plan”) that was approved by the shareholders. Under the 2007 Plan, the Company is authorized to grant options to purchase up to 10,000,000 Effective June 24, 2016, the 2007 Plan was terminated. As of March 31, 2024, options to purchase 2,063,000 During 2016, the Board of Directors of the Company adopted the 2016 Plan that was approved by the shareholders at the 2016 annual meeting of shareholders on May 20, 2016. Under the 2016 Plan, the Company is authorized to grant awards of incentive and non-qualified stock options and restricted stock to purchase up to 3,000,000 3,000,000 8,000,000 8,000,000 13,000,000 6,038,807 129,174 5,185,784 Both plans are administered by the Company’s Board of Directors or its compensation committee which determines the persons to whom awards will be granted, the number of awards to be granted, and the specific terms of each grant. Subject to the provisions regarding Ten Percent Shareholders, (as defined in the 2016 Plan), the exercise price per share of each option cannot be less than 100% of the fair market value of a share of common stock on the date of grant. Options granted under the 2016 Plan are generally exercisable for a period of 10 The Company uses the Black-Scholes no 76.3% 77.1% 3.91% 4.11% 10 years As of March 31, 2024, there was $3,032,177 Share-based compensation was recognized as follows: Schedule of share-based compensation For the Three For the Three Months Ending Months Ending March 31, 2024 March 31, 2023 2007 Employee Stock Option Plan $ — $ — 2016 Equity Incentive Plan 626,512 1,795,842 2016 Equity Incentive Plan restricted stock awards 64,199 73,498 Warrants — — Total share-based compensation $ 690,711 $ 1,869,340 The following tables summarize all stock option and warrant activity of the Company during the three months ended March 31, 2024: Schedule of stock option and warrant activity Non-Qualified Stock Options and Warrants Outstanding and Exercisable Number of Exercise Weighted Average Shares Price Exercise Price Outstanding, December 31, 2023 8,809,807 $0.51 $16.81 $ 2.76 Granted 106,000 $3.99 $4.60 $ 4.20 Expired — — — Forfeited — — — Exercised (314,000 ) $0.57 $1.15 $ 0.62 Outstanding, March 31, 2024 8,601,807 $0.51 $16.81 $ 2.86 Exercisable, March 31, 2024 7,795,841 $0.51 $16.81 $ 2.63 The aggregate intrinsic value of options and warrants outstanding and exercisable as of March 31, 2024 was $21,211,923 $21,144,079 $4.68 295,000 $180,600 19,000 $14,250 Schedule of non-qualified stock options and warrants outstanding Non-Qualified Stock Options and Warrants Outstanding Range of Number Outstanding Weighted Average Weighted Average $0.51 $16.81 7,795,841 5.3 $2.63 Restricted Stock Awards On March 16, 2023, the Compensation Committee of the Board of Directors approved grants totaling 99,616 $5.22 8,338 2,766 On August 1, 2023, the Compensation Committee of the Board of Directors approved a grant totaling 6,238 $6.68 218 215 Upon the occurrence of a Change in Control, 100% of the unvested Restricted Stock shall vest as of the date of the Change in Control. Upon vesting, the restrictions on the shares lapse. The fair value of restricted stock awards is estimated by the market price of the Company’s common stock at the date of grant. Restricted stock activity during the three-month period ending March 31, 2024 is as follows: Schedule of fair value of restricted stock awards Weighted Average Number of Grant Date Fair Shares Value per Share Non-vested, beginning of period 78,452 $ 5.71 Granted — — Vested (8,943 ) 5.33 Cancelled and forfeited — — Non-vested, end of period 69,509 $ 5.76 Restricted stock awards are being amortized to expense over the vesting period. As of March 31, 2024 and 2023, the unamortized value of the RSAs was $368,094 $579,822 |
RELATED PARTY
RELATED PARTY | 3 Months Ended |
Mar. 31, 2024 | |
Related Party Transactions [Abstract] | |
RELATED PARTY | NOTE 12 – RELATED PARTY At March 31, 2024 the Company had directors’ fees accrual in the amount of $ 51,250 24,000 19,918 8,500 4,929 11,000 115,160 102,351 53,776 33,746 8,450 |
RETIREMENT PLAN
RETIREMENT PLAN | 3 Months Ended |
Mar. 31, 2024 | |
Retirement Benefits [Abstract] | |
RETIREMENT PLAN | NOTE 13 – RETIREMENT PLAN The Company established a 401(k) retirement plan covering all eligible employees beginning November 15, 2013. For the three months ending March 31, 2024 and 2023, a contribution of $ 24,768 15,521 |
NATURE OF BUSINESS AND SUMMAR_2
NATURE OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 3 Months Ended |
Mar. 31, 2024 | |
Accounting Policies [Abstract] | |
Financial Statements | Financial Statements The accompanying unaudited financial statements have been prepared by Lightwave Logic, Inc. (the “Company”). These statements include all adjustments (consisting only of its normal recurring adjustments) which management believes necessary for a fair presentation of the statements and have been prepared on a consistent basis using the accounting polices described in the Summary of Significant Accounting Policies included in the financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2023, as filed with the Securities and Exchange Commission on February 29, 2024 (the “2023 Annual Report”). Certain financial information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States have been condensed or omitted pursuant to the rules and regulations of the Securities and Exchange Commission, although the Company firmly believes that the accompanying disclosures are adequate to make the information presented not misleading. The financial statements should be read in conjunction with the financial statements and notes thereto included in the 2023 Annual Report. The interim operating results for the three months ending March 31, 2024 may not be indicative of operating results expected for the full year. |
Nature of Business | Nature of Business Lightwave Logic, Inc. (the “Company”) is a technology company focused on development of next generation electro-optic photonic devices made on its P 2 The Company’s current development activities are subject to significant risks and uncertainties, including failing to secure additional funding to operationalize the Company’s technology now under development. Lightwave Logic, Inc. was organized under the laws of the State of Nevada in 1997, and it commenced with its current business plan in 2004. |
Revenue Recognition and Deferred Revenue | Revenue Recognition and Deferred Revenue The rights and benefits to the Company’s patented electro-optic polymer materials are conveyed to the customer through technology license and material supply agreements where the Company provides the licensee a supply of its proprietary polymers for use in the licensee’s manufacturing of photonic devices (the “Licensed Product”) as well as non-exclusive, royalty-bearing license to intellectual property rights in the Company’s patented polymer technology. The Company receives license and royalty payments under such commercial agreements, some of which are nonrefundable upfront payments for license fees. These advances are initially recorded as deferred revenue on the Company’s balance sheets. The Company believes that the licenses provided and materials transferred under such agreements are not distinct from each other for financial reporting purposes and as such, they are accounted for as a single performance obligation. Advance payments for license fees and minimum annual royalties are recognized on a pro-rata basis over the related contract term. Royalties from licensee’s sale of the Licensed Product that exceed the minimum annual royalty are recognized when cumulative royalties exceed the minimum royalty. Milestone license fees are recognized when the licensee reaches the milestone of selling a contractually specified number of units of the Licensed Product. Revenue associated with the sale of the Company’s patented electro-optic polymer materials for incorporation into the customers’ commercial photonic devices or for their device development and evaluation activities will be recognized at the time title passes, which is typically at the time of shipment or at the time of delivery, depending upon the contractual agreement between the parties. |
Cost of Sales | Cost of Sales Cost of sales consists of labor costs, material costs and manufacturing overhead costs associated with the production of materials transferred to the customer under the technology license and material supply agreement at the Company’s facility. |
Stock-based Payments | Stock-based Payments The Company accounts for stock-based compensation under Compensation – Stock Compensation (Topic 718), Improvements to Nonemployee Share-Based Payment Accounting The Company has elected to account for forfeiture of stock-based awards as they occur. |
Loss Per Share | Loss Per Share The Company follows FASB ASC 260, “Earnings per Share”, resulting in the presentation of basic and diluted earnings per share. Because the Company reported a net loss in 2024 and 2023, common stock equivalents, including stock options and warrants were anti-dilutive; therefore, the amounts reported for basic and dilutive loss per share were the same. |
Comprehensive Income (Loss) | Comprehensive Income (Loss) The Company follows FASB ASC 220.10, “Reporting Comprehensive Income (Loss).” Comprehensive income (loss) is a more inclusive financial reporting methodology that includes disclosure of certain financial information that historically has not been recognized in the calculation of net income (loss). Since the Company has no items of other comprehensive income (loss), comprehensive income (loss) is equal to net income (loss). |
Recently Issued Accounting Pronouncements Not Yet Adopted | Recently Issued Accounting Pronouncements Not Yet Adopted As of March 31, 2024, there are no recently issued accounting standards not yet adopted which would have a material effect on the Company’s financial statements. |
Recently Adopted Accounting Pronouncements | Recently Adopted Accounting Pronouncements As of March 31, 2024 and for the period then ended, there are no recently adopted accounting standards that have a material effect on the Company’s financial statements. |
Reclassifications | Reclassifications Certain reclassifications have been made to the 2023 financial statement in order to conform to the 2024 financial statement presentation. |
REVENUE (Tables)
REVENUE (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Revenue | |
Schedule of contract balances | Schedule of contract balances March 31, 2024 December 31, 2023 Accounts receivable, net $ 56,760 $ 30,376 Short-term contract assets $ — $ — Long-term contract assets $ — $ — Short-term liability deferred revenue $ 35,708 $ 39,875 Long-term liability deferred revenue $ — $ — |
Schedule of changes in contract balances | Schedule of changes in contract balances March 31, 2024 Assets Liabilities Balance at December 31, 2023 $ 30,376 $ (39,875 ) Revenue recognized that was previously included in deferred revenue — 4,167 Billed receivables recorded 13,884 — Unbilled receivables recorded 12,500 — Balance at March 31, 2024 $ 56,760 $ (35,708 ) |
PREPAID EXPENSES AND OTHER CU_2
PREPAID EXPENSES AND OTHER CURRENT ASSETS (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
Schedule of prepaid expenses and other current assets | Schedule of prepaid expenses and other current assets March 31, 2024 December 31, 2023 License $ 263,101 $ 241,936 Insurance 133,336 237,791 Materials fabrication 89,880 475,936 Investor relations 80,069 6,313 Prototype devices 48,318 161,267 Other 45,460 53,373 Rent 36,525 36,525 Deposit for equipment — 20,000 Lease incentive receivable — 4,480 Prepaid expenses and other current $ 696,689 $ 1,237,621 |
PROPERTY AND EQUIPMENT (Tables)
PROPERTY AND EQUIPMENT (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Property, Plant and Equipment [Abstract] | |
Schedule of property and equipment | Schedule of property and equipment March 31, 2024 December 31, 2023 Office equipment $ 152,439 $ 146,196 Lab equipment 9,534,549 8,937,847 Furniture 74,119 74,119 Leasehold improvements 396,111 396,111 Software 120,368 111,077 10,277,586 9,665,350 Less: Accumulated depreciation 4,880,148 4,674,560 $ 5,397,438 $ 4,990,790 |
INTANGIBLE ASSETS (Tables)
INTANGIBLE ASSETS (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of intangible assets | Schedule of intangible assets March 31, 2024 December 31, 2023 Patents $ 1,966,848 $ 1,913,751 Less: Accumulated amortization 680,185 659,250 Intangible assets - net $ 1,286,663 $ 1,254,501 |
COMMITMENTS (Tables)
COMMITMENTS (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of future lease payments of operating leases | Schedule of future lease payments of operating leases YEARS ENDING DECEMBER 31, AMOUNT 2024 $ 282,966 2025 387,666 2026 399,199 2027 411,174 2028 423,612 Thereafter 2,357,570 4,262,187 Less discounted interest (1,385,324 ) TOTAL $ 2,876,863 |
STOCK BASED COMPENSATION (Table
STOCK BASED COMPENSATION (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Share-Based Payment Arrangement [Abstract] | |
Schedule of share-based compensation | Schedule of share-based compensation For the Three For the Three Months Ending Months Ending March 31, 2024 March 31, 2023 2007 Employee Stock Option Plan $ — $ — 2016 Equity Incentive Plan 626,512 1,795,842 2016 Equity Incentive Plan restricted stock awards 64,199 73,498 Warrants — — Total share-based compensation $ 690,711 $ 1,869,340 |
Schedule of stock option and warrant activity | Schedule of stock option and warrant activity Non-Qualified Stock Options and Warrants Outstanding and Exercisable Number of Exercise Weighted Average Shares Price Exercise Price Outstanding, December 31, 2023 8,809,807 $0.51 $16.81 $ 2.76 Granted 106,000 $3.99 $4.60 $ 4.20 Expired — — — Forfeited — — — Exercised (314,000 ) $0.57 $1.15 $ 0.62 Outstanding, March 31, 2024 8,601,807 $0.51 $16.81 $ 2.86 Exercisable, March 31, 2024 7,795,841 $0.51 $16.81 $ 2.63 |
Schedule of non-qualified stock options and warrants outstanding | Schedule of non-qualified stock options and warrants outstanding Non-Qualified Stock Options and Warrants Outstanding Range of Number Outstanding Weighted Average Weighted Average $0.51 $16.81 7,795,841 5.3 $2.63 |
Schedule of fair value of restricted stock awards | Schedule of fair value of restricted stock awards Weighted Average Number of Grant Date Fair Shares Value per Share Non-vested, beginning of period 78,452 $ 5.71 Granted — — Vested (8,943 ) 5.33 Cancelled and forfeited — — Non-vested, end of period 69,509 $ 5.76 |
MANAGEMENT_S PLANS (Details Nar
MANAGEMENT’S PLANS (Details Narrative) - USD ($) | 2 Months Ended | 3 Months Ended | |||
Dec. 09, 2022 | May 31, 2024 | Mar. 31, 2024 | Mar. 31, 2023 | Feb. 28, 2023 | |
Expected expenditures per month | $ 1,840,000 | ||||
Revenue | 30,417 | ||||
Purchase Agreement [Member] | |||||
Purchase agreement amount received | $ 973,950 | ||||
Agreement to sell invest common stock value remaining amount available | 7,727,648 | ||||
Sales Agreement [Member] | |||||
Agreement to sell invest common stock value remaining amount available | 33,096,514 | ||||
Revenue | $ 16,667 | ||||
Sales Agreement [Member] | Forecast [Member] | |||||
Sales agreement amount received | $ 0 | ||||
Institutional Investor [Member] | Purchase Agreement [Member] | |||||
Agreement to sell invest common stock value upper limit instutional investor | $ 30,000,000 | ||||
Institutional Investor [Member] | Sales Agreement [Member] | |||||
Aggregate offering price | $ 35,000,000 |
REVENUE (Details - Contract bal
REVENUE (Details - Contract balances) - USD ($) | Mar. 31, 2024 | Dec. 31, 2023 |
Revenue | ||
Accounts receivable, net | $ 56,760 | $ 30,376 |
Short-term contract assets | ||
Long-term contract assets | ||
Short-term liability deferred revenue | 35,708 | 39,875 |
Long-term liability deferred revenue |
REVENUE (Details - Changes in c
REVENUE (Details - Changes in contract balances) | 3 Months Ended |
Mar. 31, 2024 USD ($) | |
Revenue | |
Balance at beginning, Assets | $ 30,376 |
Balance at beginning, Liabilities | (39,875) |
Revenue recognized that was previously included in deferred revenue | 4,167 |
Billed receivables recorded | 13,884 |
Unbilled receivables recorded | 12,500 |
Balance at end, Assets | 56,760 |
Balance at end, Liabilities | $ (35,708) |
REVENUE (Details Narrative)
REVENUE (Details Narrative) - USD ($) | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | |
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |||
License paid | $ 50,000 | ||
Deferred revenue | $ 35,708 | $ 39,875 | |
Revenue | 30,417 | ||
Revenue from contract | 13,750 | ||
Sales Agreement [Member] | |||
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | |||
Revenue | $ 16,667 |
PREPAID EXPENSES AND OTHER CU_3
PREPAID EXPENSES AND OTHER CURRENT ASSETS (Details - Prepaid expenses and other current assets) - USD ($) | Mar. 31, 2024 | Dec. 31, 2023 |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ||
License | $ 263,101 | $ 241,936 |
Insurance | 133,336 | 237,791 |
Materials fabrication | 89,880 | 475,936 |
Investor relations | 80,069 | 6,313 |
Prototype devices | 48,318 | 161,267 |
Other | 45,460 | 53,373 |
Rent | 36,525 | 36,525 |
Deposit for equipment | 20,000 | |
Lease incentive receivable | 4,480 | |
Prepaid expenses and other current | $ 696,689 | $ 1,237,621 |
LOAN RECEIVABLE (Details Narrat
LOAN RECEIVABLE (Details Narrative) - Convertible Loan Agreement [Member] | 3 Months Ended | |
Sep. 12, 2022 EUR (€) | Mar. 31, 2024 USD ($) | |
Collaborative Arrangement and Arrangement Other than Collaborative [Line Items] | ||
Principal amount | € | € 600,000 | |
Interest rate | 7% | |
Maturity date | Mar. 31, 2023 | |
Interest income | $ | $ 11,125 |
PROPERTY AND EQUIPMENT (Propert
PROPERTY AND EQUIPMENT (Property and equipment) (Details) - USD ($) | Mar. 31, 2024 | Dec. 31, 2023 |
Property, Plant and Equipment [Line Items] | ||
Property and equipment gross | $ 10,277,586 | $ 9,665,350 |
Less: Accumulated depreciation | 4,880,148 | 4,674,560 |
Property and equipment net | 5,397,438 | 4,990,790 |
Office Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment gross | 152,439 | 146,196 |
Other Machinery and Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment gross | 9,534,549 | 8,937,847 |
Furniture and Fixtures [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment gross | 74,119 | 74,119 |
Leasehold Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment gross | 396,111 | 396,111 |
Software [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment gross | $ 120,368 | $ 111,077 |
PROPERTY AND EQUIPMENT (Details
PROPERTY AND EQUIPMENT (Details Narrative) - USD ($) | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Property, Plant and Equipment [Abstract] | ||
Depreciation expense | $ 365,563 | $ 255,925 |
Retire property and equipment | 163,141 | |
Accumulated depreciation | 159,975 | |
Loss on disposal of property and equipment | $ 3,166 |
INTANGIBLE ASSETS (Schedule of
INTANGIBLE ASSETS (Schedule of Patents) (Details) - USD ($) | Mar. 31, 2024 | Dec. 31, 2023 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Patents | $ 1,966,848 | $ 1,913,751 |
Less: Accumulated amortization | 680,185 | 659,250 |
Intangible assets - net | $ 1,286,663 | $ 1,254,501 |
INTANGIBLE ASSETS (Details Narr
INTANGIBLE ASSETS (Details Narrative) - USD ($) | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Amortization expense | $ 20,935 | $ 19,351 |
Patent costs written off | $ 0 | $ 0 |
COMMITMENTS (Schedule of Future
COMMITMENTS (Schedule of Future Lease Payments of Operating Leases) (Details) | Mar. 31, 2024 USD ($) |
Commitments and Contingencies Disclosure [Abstract] | |
2024 | $ 282,966 |
2025 | 387,666 |
2026 | 399,199 |
2027 | 411,174 |
2027 | 423,612 |
Thereafter | 2,357,570 |
Lessee operating lease liability to be paid | 4,262,187 |
Less discounted interest | (1,385,324) |
Total | $ 2,876,863 |
COMMITMENTS (Details Narrative)
COMMITMENTS (Details Narrative) | 1 Months Ended | 3 Months Ended | ||||||||
Jun. 01, 2023 USD ($) | Nov. 02, 2019 | Nov. 01, 2019 USD ($) | Nov. 01, 2017 USD ($) | Nov. 22, 2022 USD ($) | Oct. 30, 2017 USD ($) ft² | Mar. 31, 2024 USD ($) | Mar. 31, 2023 USD ($) | Dec. 31, 2023 USD ($) | Jan. 02, 2019 USD ($) | |
Loss Contingencies [Line Items] | ||||||||||
Commencement date | Jun. 01, 2023 | Nov. 01, 2019 | Oct. 30, 2017 | |||||||
Lease area | ft² | 13,420 | |||||||||
Lease term | 128 months | 61 months | ||||||||
Lease date | Nov. 01, 2017 | |||||||||
Lease effective date | Jun. 01, 2023 | Nov. 30, 2022 | ||||||||
Extended lease term | 24 months | |||||||||
Lease rent for next ful year | $ 168,824 | |||||||||
Percentage of rent increase annual base rent | 3% | 3% | ||||||||
Prepaid Rents | $ 347,045 | |||||||||
Operating lease expenses | 186,293 | |||||||||
Cost of cosmetic improvements for squre foot | $ 3 | |||||||||
Security deposit | 36,525 | |||||||||
Original lessee paid | $ 260,000 | |||||||||
Lease consideration received | $ 260,000 | |||||||||
Deferred lease liability | $ 27,852 | |||||||||
Percentage of estimated incremental borrowing rate | 6.50% | |||||||||
Operating lease right of use asset | $ 2,945,322 | 2,791,199 | $ 2,838,210 | $ 885,094 | ||||||
Monthly rental payments | $ 30,517 | |||||||||
Lease rent for next ful year | 377,288 | |||||||||
Lease allowance | $ 43,216 | |||||||||
Operating lease liability | 2,876,863 | |||||||||
Research and Development Expense [Member] | ||||||||||
Loss Contingencies [Line Items] | ||||||||||
Rent expense | 75,511 | $ 36,142 | ||||||||
General and Administrative Expense [Member] | ||||||||||
Loss Contingencies [Line Items] | ||||||||||
Rent expense | $ 25,170 | $ 12,047 |
INCOME TAXES (Details Narrative
INCOME TAXES (Details Narrative) - USD ($) | 3 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | |
Income Tax Disclosure [Abstract] | |||
Income tax benefit | $ 0 | $ 0 | |
Unrecognized tax benefits | $ 0 | $ 0 |
STOCKHOLDERS_ EQUITY (Details N
STOCKHOLDERS’ EQUITY (Details Narrative) - USD ($) | 1 Months Ended | 2 Months Ended | 3 Months Ended | 13 Months Ended | 21 Months Ended | 30 Months Ended | ||||||
Feb. 28, 2023 | Dec. 09, 2022 | Oct. 04, 2021 | Jan. 31, 2019 | May 31, 2024 | Mar. 31, 2024 | Mar. 31, 2024 | Jun. 30, 2023 | Jun. 30, 2021 | Nov. 20, 2020 | Feb. 04, 2020 | Feb. 13, 2019 | |
Sales Agreement [Member] | ||||||||||||
Common stock shares sold | 77,150 | |||||||||||
Proceeds from commissions | $ 330,453 | |||||||||||
Payment for commission to investment banking | $ 10,221 | |||||||||||
Institutional Investor [Member] | Sales Agreement [Member] | ||||||||||||
Aggregate offering price | $ 35,000,000 | |||||||||||
Commission rate | 3% | |||||||||||
Institutional Investor [Member] | 2019 Purchase Agreement [Member] | ||||||||||||
Agreement with an institutional investor to sell common stock and investor | $ 25,000,000 | |||||||||||
Registering shares of common stock | 8,000,000 | 6,000,000 | 9,500,000 | |||||||||
Common stock issued to institutional investor as commitment fee, shares | 350,000 | |||||||||||
Common stock issued to institutional investor as commitment fee | $ 258,125 | |||||||||||
Common stock reserved for additional commitment fees to the institutional investor | 812,500 | 39,834 | ||||||||||
Common stock issued for commitment shares | 22,337,500 | |||||||||||
Proceeds from common stock | $ 23,773,924 | |||||||||||
Additional shares issued | 772,666 | |||||||||||
Additional shares issued amount | $ 1,575,509 | |||||||||||
Institutional Investor [Member] | 2021 Purchase Agreement [Member] | ||||||||||||
Common stock reserved for additional commitment fees to the institutional investor | 60,623 | |||||||||||
Common stock issued for commitment shares | 3,632,456 | |||||||||||
Proceeds from common stock | $ 33,000,000 | |||||||||||
Additional shares issued | 30,312 | 60,623 | ||||||||||
Additional shares issued amount | $ 279,174 | |||||||||||
Agreement to sell invest common stock value upper limit institutional investor | $ 33,000,000 | |||||||||||
Additional value issued amount | $ 694,531 | |||||||||||
Institutional Investor [Member] | 2023 Purchase Agreement [Member] | ||||||||||||
Common stock reserved for additional commitment fees to the institutional investor | 101,781 | 26,216 | 29,520 | |||||||||
Common stock issued for commitment shares | 250,000 | 1,250,000 | 4,120,455 | |||||||||
Proceeds from common stock | $ 973,950 | $ 5,152,350 | $ 21,298,402 | |||||||||
Additional shares issued | 50,891 | 3,304 | 17,482 | 72,261 | ||||||||
Additional shares issued amount | $ 279,391 | $ 13,658 | $ 433,003 | |||||||||
Agreement to sell invest common stock value upper limit institutional investor | $ 30,000,000 | |||||||||||
Additional commitment shares amount | $ 76,977 |
STOCK BASED COMPENSATION (Stock
STOCK BASED COMPENSATION (Stock based compensation plans) (Details) - USD ($) | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||
Total share-based compensation | $ 690,711 | $ 1,869,340 |
2007 Employee Stock Option Plan [Member] | ||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||
Total share-based compensation | ||
2016 Equity Incentive Plan [Member] | ||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||
Total share-based compensation | 626,512 | 1,795,842 |
2016 Equity Incentive Plan Restricted Stock Awards [Member] | ||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||
Total share-based compensation | 64,199 | 73,498 |
Warrants [Member] | ||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||
Total share-based compensation |
STOCK BASED COMPENSATION (Stoc
STOCK BASED COMPENSATION (Stock option and warrant outstanding and exercisable) (Details) - Non Qualified Stock Options And Warrants [Member] - $ / shares | 3 Months Ended | 12 Months Ended |
Mar. 31, 2024 | Dec. 31, 2023 | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||
Number of shares outstanding, beginning balance | 8,809,807 | |
Exercise price beginning balance, minimum | $ 0.51 | $ 0.51 |
Exercise price beginning balance, maximum | 16.81 | $ 16.81 |
Weighted average exercise price beginning balance | $ 2.76 | |
Number of shares, granted | 106,000 | |
Exercise price granted, minimum | $ 3.99 | |
Exercise price granted, maximum | 4.60 | |
Weighted average exercise price granted | $ 4.20 | |
Number of shares, expired | ||
Expired price expired | ||
Weighted average exercise price expired | ||
Number of shares, forfeited | ||
Exercise price forfeited | ||
Weighted average exercise price, forfeited | ||
Number of shares, exercised | (314,000) | |
Exercise price exercised, minimum | $ 0.57 | |
Exercise price exercised, maximum | 1.15 | |
Weighted average exercise price, exercised | $ 0.62 | |
Number of shares outstanding, ending balance | 8,601,807 | 8,809,807 |
Weighted average exercise price, ending balance | $ 2.86 | $ 2.76 |
Number of shares, exercisable | 7,795,841 | |
Exercise price exercisable, minimum | $ 0.51 | |
Exercise price exercisable, maximum | 16.81 | |
Weighted average exercise price, exercisable | $ 2.63 |
STOCK BASED COMPENSATION (Summa
STOCK BASED COMPENSATION (Summary of Stock Option and Warrant Outstanding) (Details) - Non Qualified Stock Options And Warrants [Member] - $ / shares | 3 Months Ended | 12 Months Ended |
Mar. 31, 2024 | Dec. 31, 2023 | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||
Exercise prices, minimum | $ 0.51 | $ 0.51 |
Exercise prices, maximum | 16.81 | $ 16.81 |
Exercise Price $0.51-$16.81 [Member] | ||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||
Exercise prices, minimum | 0.51 | |
Exercise prices, maximum | $ 16.81 | |
Number outstanding currently exercisable | 7,795,841 | |
Weighted average remaining contractual life | 5 years 3 months 18 days | |
Weighted average exercise price of options and warrants currently exercisable | $ 2.63 |
STOCK BASED COMPENSATION (Restr
STOCK BASED COMPENSATION (Restricted Stock activity) (Details) - Restricted Stock Units (RSUs) [Member] | 3 Months Ended |
Mar. 31, 2024 $ / shares shares | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |
Number of shares non vested outstanding, beginning balance | shares | 78,452 |
Weighted average fair value per share, beginning balance | $ / shares | $ 5.71 |
Number of shares, granted | shares | |
Weighted average fair value per share, granted | $ / shares | |
Number of shares, vested | shares | (8,943) |
Weighted average fair value per share, vested | $ / shares | $ 5.33 |
Number of shares, cancelled and forfeited | shares | |
Weighted average fair value per share, cancelled and forfeited | $ / shares | |
Number of shares non vested outstanding, ending balance | shares | 69,509 |
Weighted average fair value per share, ending balance | $ / shares | $ 5.76 |
STOCK BASED COMPENSATION (Detai
STOCK BASED COMPENSATION (Details Narrative) - USD ($) | 3 Months Ended | |||||
Aug. 01, 2023 | Mar. 16, 2023 | Mar. 31, 2024 | Dec. 31, 2023 | May 25, 2023 | May 16, 2019 | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||||||
Common stock remaining for grants | 5,185,784 | |||||
Pricing model used in calculation of grant-date fair value | Black-Scholes | |||||
Expected dividend yield | 0% | |||||
Expected option life | 10 years | |||||
Unrecognized compensation expense related to non-vested market-based share awards | $ 3,032,177 | |||||
Aggregate intrinsic value of options and warrants outstanding | 21,211,923 | |||||
Aggregate intrinsic value of options and warrants exercisable | $ 21,144,079 | |||||
Share Price | $ 4.68 | |||||
Options exercised | 295,000 | |||||
Proceeds from options exercised | $ 180,600 | |||||
Warrants exercised | 19,000 | |||||
Proceed from warrants exercised | $ 14,250 | |||||
Unamortized value | $ 368,094 | $ 579,822 | ||||
Restricted Stock Units (RSUs) [Member] | ||||||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||||||
Option granted | 6,238 | 99,616 | ||||
Grant date fair value | $ 6.68 | $ 5.22 | ||||
Restricted Stock Units (RSUs) [Member] | 2016 Equity Incentive Plan [Member] | ||||||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||||||
Vested due next twelve months | 218 | 8,338 | ||||
Remaining vested due next twelve months | 215 | 2,766 | ||||
Minimum [Member] | ||||||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||||||
Expected volatility | 76.30% | |||||
Risk-free interest rate | 3.91% | |||||
Maximum [Member] | ||||||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||||||
Expected volatility | 77.10% | |||||
Risk-free interest rate | 4.11% | |||||
2007 Employee Stock Plan [Member] | ||||||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||||||
Number of shares authorized under plan | 10,000,000 | |||||
Number of common shares available to be purchased through options issued and outstanding | 2,063,000 | |||||
2016 Plan [Member] | ||||||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||||||
Number of shares authorized under plan | 3,000,000 | |||||
Number of common shares available to be purchased through options issued and outstanding | 6,038,807 | |||||
Common stock remaining for grants | 129,174 | |||||
Exercisable period | 10 years | |||||
2016 Plan [Member] | Minimum [Member] | ||||||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||||||
Number of shares authorized under plan | 8,000,000 | 3,000,000 | ||||
2016 Plan [Member] | Maximum [Member] | ||||||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||||||
Number of shares authorized under plan | 13,000,000 | 8,000,000 |
RELATED PARTY (Details Narrativ
RELATED PARTY (Details Narrative) - USD ($) | Mar. 31, 2024 | Dec. 31, 2023 |
Director [Member] | ||
Related Party Transaction [Line Items] | ||
Director fees | $ 51,250 | $ 53,776 |
Director committee fees | 11,000 | |
Related Party [Member] | ||
Related Party Transaction [Line Items] | ||
Legal accrual to related party | 24,000 | 115,160 |
Accounting service fee accrual | 4,929 | 102,351 |
Officer [Member] | ||
Related Party Transaction [Line Items] | ||
Travel and office expense accruals | 19,918 | 8,450 |
Advisory Board [Member] | ||
Related Party Transaction [Line Items] | ||
Fees and consulting expense | $ 8,500 | $ 33,746 |
RETIREMENT PLAN (Details Narrat
RETIREMENT PLAN (Details Narrative) - USD ($) | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Retirement Benefits [Abstract] | ||
Contributions to 401k plan | $ 24,768 | $ 15,521 |