Cover
Cover - shares | 6 Months Ended | |
Jun. 30, 2024 | Aug. 02, 2024 | |
Document Information [Line Items] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Entity Interactive Data Current | Yes | |
Amendment Flag | false | |
Document Period End Date | Jun. 30, 2024 | |
Document Fiscal Year Focus | 2024 | |
Document Fiscal Period Focus | Q2 | |
Entity Information [Line Items] | ||
Entity Registrant Name | ImmuCell Corporation | |
Entity Central Index Key | 0000811641 | |
Entity File Number | 001-12934 | |
Entity Tax Identification Number | 01-0382980 | |
Entity Incorporation, State or Country Code | DE | |
Current Fiscal Year End Date | --12-31 | |
Entity Current Reporting Status | Yes | |
Entity Shell Company | false | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Contact Personnel [Line Items] | ||
Entity Address, Address Line One | 56 Evergreen Drive | |
Entity Address, City or Town | Portland | |
Entity Address, State or Province | ME | |
Entity Address, Postal Zip Code | 04103 | |
Entity Phone Fax Numbers [Line Items] | ||
City Area Code | (207) | |
Local Phone Number | 878-2770 | |
Entity Listings [Line Items] | ||
Title of 12(b) Security | Common Stock, $0.10 par value per share | |
Trading Symbol | ICCC | |
Security Exchange Name | NASDAQ | |
Entity Common Stock, Shares Outstanding | 7,833,080 |
Balance Sheets (Unaudited)
Balance Sheets (Unaudited) - USD ($) | Jun. 30, 2024 | Dec. 31, 2023 |
CURRENT ASSETS: | ||
Cash and cash equivalents | $ 1,324,285 | $ 978,741 |
Trade accounts receivable | 1,950,450 | 2,185,383 |
Inventory | 7,299,606 | 7,811,841 |
Prepaid expenses and other current assets | 219,571 | 493,885 |
Total current assets | 10,793,912 | 11,469,850 |
Property, plant and equipment, net | 26,397,059 | 27,575,683 |
Operating lease right-of-use asset | 4,502,595 | 4,571,149 |
Goodwill | 95,557 | 95,557 |
Intangible assets, net | 28,656 | 38,208 |
Other assets | 37,679 | 57,655 |
TOTAL ASSETS | 41,855,458 | 43,808,102 |
CURRENT LIABILITIES: | ||
Current portion of debt obligations | 1,461,216 | 1,428,807 |
Current portion of operating lease liability | 533,315 | 644,276 |
Accounts payable and accrued expenses | 2,562,571 | 2,124,337 |
Total current liabilities | 4,557,102 | 4,197,420 |
LONG-TERM LIABILITIES: | ||
Debt obligations, net of current portion | 9,798,247 | 10,540,496 |
Operating lease liability, net of current portion | 4,044,646 | 4,077,109 |
Total long-term liabilities | 13,842,893 | 14,617,605 |
TOTAL LIABILITIES | 18,399,995 | 18,815,025 |
CONTINGENT LIABILITIES AND COMMITMENTS (See Note 11) | ||
STOCKHOLDER’ EQUITY: | ||
Common stock, $0.10 par value per share, 15,000,000 and 15,000,000 shares authorized, 7,896,381 and 7,814,165 shares issued and 7,833,080 and 7,750,864 shares outstanding, as of June 30, 2024 and December 31, 2023, respectively. | 789,639 | 781,417 |
Additional paid-in capital | 36,780,897 | 36,357,239 |
Accumulated deficit | (13,976,591) | (12,007,097) |
Treasury stock, at cost, 63,301 shares as of both June 30, 2024 and December 31, 2023 | (138,482) | (138,482) |
TOTAL STOCKHOLDERS’ EQUITY | 23,455,463 | 24,993,077 |
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY | $ 41,855,458 | $ 43,808,102 |
Balance Sheets (Unaudited) (Par
Balance Sheets (Unaudited) (Parentheticals) - $ / shares | Jun. 30, 2024 | Dec. 31, 2023 |
Statement of Financial Position [Abstract] | ||
Common stock, par value (in Dollars per share) | $ 0.1 | $ 0.1 |
Common stock, shares authorized | 15,000,000 | 15,000,000 |
Common stock, shares issued | 7,896,381 | 7,814,165 |
Common stock, shares outstanding | 7,833,080 | 7,750,864 |
Treasury stock | 63,301 | 63,301 |
Statements of Operations (Unaud
Statements of Operations (Unaudited) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Income Statement [Abstract] | ||||
Product sales | $ 5,472,890 | $ 3,532,681 | $ 12,730,467 | $ 6,979,207 |
Costs of goods sold | 4,242,404 | 2,488,793 | 9,204,622 | 5,634,544 |
Gross margin | 1,230,486 | 1,043,888 | 3,525,845 | 1,344,663 |
Product development expenses | 1,030,502 | 1,099,538 | 2,293,053 | 2,209,907 |
Sales and marketing expenses | 984,957 | 719,789 | 1,785,880 | 1,599,216 |
Administrative expenses | 601,634 | 529,056 | 1,133,572 | 1,096,074 |
Operating expenses | 2,617,093 | 2,348,383 | 5,212,505 | 4,905,197 |
NET OPERATING LOSS | (1,386,607) | (1,304,495) | (1,686,660) | (3,560,534) |
Other expenses, net | 143,679 | 73,694 | 280,154 | 131,183 |
LOSS BEFORE INCOME TAXES | (1,530,286) | (1,378,189) | (1,966,814) | (3,691,717) |
Income tax expense | 1,340 | 1,525 | 2,680 | 3,050 |
NET LOSS | $ (1,531,626) | $ (1,379,714) | $ (1,969,494) | $ (3,694,767) |
Basic weighted average common shares outstanding (in Shares) | 7,810,037 | 7,746,864 | 7,780,450 | 7,746,864 |
Basic net loss per share (in Dollars per share) | $ (0.2) | $ (0.18) | $ (0.25) | $ (0.48) |
Diluted weighted average common shares outstanding (in Shares) | 7,810,037 | 7,746,864 | 7,780,450 | 7,746,864 |
Diluted net loss per share (in Dollars per share) | $ (0.2) | $ (0.18) | $ (0.25) | $ (0.48) |
Statements of Stockholders_ Equ
Statements of Stockholders’ Equity (Unaudited) - USD ($) | Common Stock | Additional paid-in capital | Accumulated Deficit | Treasury Stock | Total |
Balance at Dec. 31, 2022 | $ 781,417 | $ 35,978,364 | $ (6,232,499) | $ (147,233) | $ 30,380,049 |
Balance (in Shares) at Dec. 31, 2022 | 7,814,165 | 67,301 | |||
Net loss | (3,694,767) | (3,694,767) | |||
Stock-based compensation | 171,773 | 171,773 | |||
Balance at Jun. 30, 2023 | $ 781,417 | 36,150,137 | (9,927,266) | $ (147,233) | 26,857,055 |
Balance (in Shares) at Jun. 30, 2023 | 7,814,165 | 67,301 | |||
Balance at Mar. 31, 2023 | $ 781,417 | 36,074,480 | (8,547,552) | $ (147,233) | 28,161,112 |
Balance (in Shares) at Mar. 31, 2023 | 7,814,165 | 67,301 | |||
Net loss | (1,379,714) | (1,379,714) | |||
Stock-based compensation | 75,657 | 75,657 | |||
Balance at Jun. 30, 2023 | $ 781,417 | 36,150,137 | (9,927,266) | $ (147,233) | 26,857,055 |
Balance (in Shares) at Jun. 30, 2023 | 7,814,165 | 67,301 | |||
Balance at Dec. 31, 2023 | $ 781,417 | 36,357,239 | (12,007,097) | $ (138,482) | $ 24,993,077 |
Balance (in Shares) at Dec. 31, 2023 | 7,814,165 | 63,301 | 7,750,864 | ||
Net loss | (1,969,494) | $ (1,969,494) | |||
At-The-Market Offering of common stock, net of $164,802 of offering costs | $ 8,222 | 244,527 | 252,749 | ||
At-The-Market Offering of common stock, net of $164,802 of offering costs (in Shares) | 82,216 | ||||
Stock-based compensation | 179,131 | 179,131 | |||
Balance at Jun. 30, 2024 | $ 789,639 | 36,780,897 | (13,976,591) | $ (138,482) | $ 23,455,463 |
Balance (in Shares) at Jun. 30, 2024 | 7,896,381 | 63,301 | 7,833,080 | ||
Balance at Mar. 31, 2024 | $ 781,417 | 36,438,349 | (12,444,965) | $ (138,482) | $ 24,636,319 |
Balance (in Shares) at Mar. 31, 2024 | 7,814,165 | 63,301 | |||
Net loss | (1,531,626) | (1,531,626) | |||
At-The-Market Offering of common stock, net of $164,802 of offering costs | $ 8,222 | 244,527 | 252,749 | ||
At-The-Market Offering of common stock, net of $164,802 of offering costs (in Shares) | 82,216 | ||||
Stock-based compensation | 98,021 | 98,021 | |||
Balance at Jun. 30, 2024 | $ 789,639 | $ 36,780,897 | $ (13,976,591) | $ (138,482) | $ 23,455,463 |
Balance (in Shares) at Jun. 30, 2024 | 7,896,381 | 63,301 | 7,833,080 |
Statements of Stockholders_ E_2
Statements of Stockholders’ Equity (Unaudited) (Parentheticals) - USD ($) | 3 Months Ended | 6 Months Ended |
Jun. 30, 2024 | Jun. 30, 2024 | |
Statement of Stockholders' Equity [Abstract] | ||
At-The-Market Offering of common stock, net of offering costs | $ 164,802 | $ 164,802 |
Statements of Cash Flows (Unaud
Statements of Cash Flows (Unaudited) - USD ($) | 6 Months Ended | |
Jun. 30, 2024 | Jun. 30, 2023 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ||
Net loss | $ (1,969,494) | $ (3,694,767) |
Adjustments to reconcile net loss to net cash provided by (used for) operating activities: | ||
Depreciation | 1,328,659 | 1,332,153 |
Amortization of intangible assets | 9,552 | 9,552 |
Amortization of debt issuance costs | 10,608 | 3,838 |
Amortization of debt discounts | 10,446 | |
Stock-based compensation | 179,131 | 171,773 |
Loss on disposal of property, plant and equipment | 14,557 | 8,167 |
Non-cash rent (benefit) expense | (74,871) | 28,901 |
Changes in: | ||
Trade accounts receivable | 234,933 | 259,752 |
Inventory | 512,235 | (1,497,442) |
Prepaid expenses and other current assets | 274,314 | (50,325) |
Other assets | 19,976 | (5,831) |
Accounts payable and accrued expenses | 450,239 | (9,182) |
Net cash provided by (used for) operating activities | 1,000,285 | (3,443,411) |
CASH FLOWS FROM INVESTING ACTIVITIES: | ||
Purchase of property, plant and equipment | (181,097) | (1,390,654) |
Proceeds from sale of property, plant and equipment | 4,500 | 91 |
Net cash used for investing activities | (176,597) | (1,390,563) |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||
Proceeds from At-The-Market Offering, net | 252,749 | |
Proceeds from line of credit | 1,000,000 | |
Debt principal repayments | (725,856) | (503,277) |
Payments of debt issuance costs | (5,037) | |
Net cash (used for) provided by financing activities | (478,144) | 496,723 |
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS | 345,544 | (4,337,251) |
BEGINNING CASH AND CASH EQUIVALENTS | 978,741 | 5,791,562 |
ENDING CASH AND CASH EQUIVALENTS | 1,324,285 | 1,454,311 |
CASH PAID FOR: | ||
Income taxes | 5,905 | 7,205 |
Interest expense | 270,068 | 176,451 |
NON-CASH ACTIVITIES: | ||
Decrease (increase) in capital expenditures included in accounts payable and accrued expenses | 12,005 | (58,835) |
(Decrease) increase in operating lease right-of-use asset and operating lease liability | $ (17,012) | $ 2,090,298 |
Business Operations
Business Operations | 6 Months Ended |
Jun. 30, 2024 | |
Business Operations [Abstract] | |
BUSINESS OPERATIONS | 1. BUSINESS OPERATIONS ImmuCell Corporation (the “Company”, “we”, “us”, “our”) was originally incorporated in Maine in 1982 and reincorporated in Delaware in 1987, in conjunction with an initial public offering of common stock. We are an animal health company whose purpose is to create scientifically proven and practical products that improve the health and productivity of dairy and beef cattle. We focus on the two most critical stages of dairy productivity, those being the first 30 days of life and the first 30 days of lactation. Our concentrated colostrum and purified Nisin technologies offer unique animal health solutions during these periods when immunity is at its most vulnerable. As disclosed in Note 17, “Segment Information”, one of our business segments is dedicated to Scours and the other is focused on Mastitis. We manufacture and market the First Defense ® Immediate Immunity™ E. coli Re-Tain ® |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2024 | |
Summary of Significant Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (a) Basis of Presentation We have prepared the accompanying unaudited financial statements reflecting all adjustments (which are of a normal recurring nature) that are, in our opinion, necessary in order to ensure that the financial statements are not misleading. We follow accounting standards set by the Financial Accounting Standards Board (FASB). The FASB sets Generally Accepted Accounting Principles (GAAP) that we follow to ensure we accurately report our financial condition, results of operations, earnings per share and cash flows. References to GAAP in these footnotes are to the FASB Accounting Standards Codification (b) Cash and Cash Equivalents We consider all highly liquid investment instruments that mature within three months of their purchase dates to be cash equivalents. Cash equivalents are principally invested in securities backed by the U.S. government. We hold no cash or cash equivalents in excess of Federal Deposit Insurance Corporation (FDIC) limits of $250,000 per financial institution per depositor. See Note 3. (c) Trade Accounts Receivable Accounts receivable are carried at the original invoice amount less an estimate made for doubtful collection when applicable. Management determines the allowance for doubtful accounts on a monthly basis by identifying troubled accounts and by using historical experience applied to an aging of accounts and other relevant factors. Accounts receivable are considered to be past due if a portion of the receivable balance is outstanding for more than 30 days. Past due accounts receivable are subject to an interest charge. It was not necessary to charge interest on past due accounts during the six-month periods ended June 30, 2024 or 2023 because the time past due was not significant, and there was no accrual for such interest charges as of June 30, 2024 or December 31, 2023. Accounts receivable are written off when deemed uncollectible. No accounts receivable were written off during the six-month periods ended June 30, 2024 or 2023. Recoveries of accounts receivable previously written off are recorded as income when received. No such recoveries were recorded during the six-month periods ended June 30, 2024 or 2023. As of June 30, 2024 and December 31, 2023, we determined that no allowance for doubtful accounts was necessary. See Note 4. (d) Inventory Inventory includes raw materials, work-in-process and finished goods and is recorded at the lower of cost, on the first-in, first-out method, or net realizable value (determined as the estimated selling price in the normal course of business, less reasonably predictable costs of completion, disposal and transportation). Work-in-process and finished goods inventories include materials, labor and manufacturing overhead. At each balance sheet date, we evaluate our ending inventories for excess quantities and obsolescence. Inventories that we consider excess or obsolete are written down to estimated net realizable value. Once inventory is written down and a new cost basis is established, it is not written back up. We believe that supplies and raw materials for the production of our products are available from more than one vendor or farm. Our policy is to maintain more than one source of supply for the components used in our products when feasible. See Note 5. (e) Property, Plant and Equipment, net We depreciate property, plant and equipment on the straight-line method by charges to operations and costs of goods sold in amounts estimated to expense the cost of the assets from the date they are first put into service to the end of the estimated useful lives of the assets. The facility we have constructed at 33 Caddie Lane to produce the Nisin Drug Substance (DS) for Re-Tain ® Building 33 First Defense ® Building 175A Building 175B (f) Operating Leases We account for our real estate leases using a right-of-use model, which recognizes that at the date of commencement, a lessee has a financial obligation to make lease payments to the lessor for the right to use the underlying asset during the lease term and recognizes a corresponding right-of-use (ROU) asset related to this right. ROU assets and lease liabilities are recognized at the lease commencement date based on the present value of the future lease payments over the expected lease term. The ROU asset is also adjusted for any lease prepayments made, lease incentives received and initial direct costs incurred. For operating leases with lease payments that fluctuate over the lease term, the total lease costs are recognized on a straight-line basis over the lease term. Our leases, at times, may include options to extend the term of the lease. When it is reasonably certain that we will exercise the option, we include the impact of the option in the lease term for purposes of determining future lease payments. For all underlying classes of assets, we made an accounting policy election to not recognize assets or liabilities for leases with a term of twelve months or less and to account for all components in a lease arrangement as a single combined lease component. Short-term lease payments are recognized on a straight-line basis. Certain of our lease agreements include variable rent payments, consisting primarily of amounts paid to the lessor based on cost or consumption, such as maintenance and real estate taxes. These costs are recognized in the period in which the obligation is incurred. Because our leases do not specify an implicit rate, we use an incremental borrowing rate based on information available at the lease commencement date to determine the present value of the lease payments. We evaluate our ROU asset for impairment when events or changes in circumstances indicate that the carrying value of the asset may not be recoverable. See Notes 2(h) and 12 for additional information. (g) Intangible Assets and Goodwill We amortize intangible assets on the straight-line method by charges to costs of goods sold in amounts estimated to expense the cost of the assets from the date they are first put into service to the end of the estimated useful lives of the assets. We have recorded intangible assets related to customer relationships, non-compete agreements and developed technology, each with defined useful lives. Amounts paid in excess of the fair value of the net assets (including tax attributes) are recorded as goodwill under the acquisition method of accounting. We assess the impairment of intangible assets that have indefinite lives (when applicable) and goodwill (at the reporting unit level) on an annual basis (as of December 31 st No (h) Valuation of Long-Lived Assets We periodically evaluate our long-lived assets, consisting principally of property, plant and equipment, operating lease right-of-use asset and amortizable intangible assets, for potential impairment. In accordance with the applicable accounting guidance for the treatment of long-lived assets, we review the carrying value of our long-lived assets or asset group that is held and used, including intangible assets subject to amortization, for impairment whenever events and circumstances indicate that the carrying value of the assets may not be recoverable. Under the held for use approach, the asset or asset group to be tested for impairment should represent the lowest level for which identifiable cash flows are largely independent of the cash flows of other groups of assets and liabilities. No (i) Fair Value Measurements In determining Fair Value Measurements and Disclosures Level 1 — Pricing inputs are quoted prices available in active markets for identical assets or liabilities as of the measurement date. Level 2 — Pricing inputs are quoted prices for similar assets or liabilities, or inputs that are observable, either directly or indirectly, for substantially the full term through corroboration with observable market data. Level 3 — Pricing inputs are unobservable for the assets or liabilities, that is, inputs that reflect the reporting entity’s own assumptions about the assumptions market participants would use in pricing the asset or liability. In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, the level of an asset or liability within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. Our assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment and considers factors specific to the investment. We also hold money market accounts in our bank account, which are classified as cash equivalents and measured at fair value. The fair value of these investments is based on their closing published net asset value. We assess the levels of the investments at each measurement date, and transfers between levels are recognized on the actual date of the event or change in circumstances that caused the transfer in accordance with our accounting policy regarding the recognition of transfers between levels of the fair value hierarchy. During the six-month periods ended June 30, 2024 and 2023, there were no transfers between levels. As of June 30, 2024 and December 31, 2023, our Level 1 assets measured at fair value by quoted prices in active markets consisted of cash and money market accounts. There were no assets or liabilities measured at fair value on a nonrecurring basis as of June 30, 2024 or December 31, 2023. The carrying values of our cash and money market accounts as of June 30, 2024 or December 31, 2023 approximated their fair market values. Due to inflation and the changing interest rate environment, the carrying values of our fixed rate bank debt as of June 30, 2024 and December 31, 2023 differed from their fair market values. These values are reflected in the following tables: As of June 30, 2024 Level 1 Level 2 Level 3 Total Assets: Cash and money market accounts $ 1,324,285 $ — $ — $ 1,324,285 Liabilities: Bank debt $ — $ 9,854,011 $ — $ 9,854,011 As of December 31, 2023 Level 1 Level 2 Level 3 Total Assets: Cash and money market accounts $ 978,741 $ — $ — $ 978,741 Liabilities: Bank debt $ — $ 10,431,817 $ — $ 10,431,817 (j) Concentration of credit risk with respect to accounts receivable is principally limited to certain customers to whom we make substantial sales. To reduce risk, we routinely assess the financial strength of our customers and, as a consequence, believe that our accounts receivable credit risk exposure is limited. We maintain an allowance for potential credit losses when deemed necessary, but historically we have not experienced significant credit losses related to an individual customer or groups of customers in any particular industry or geographic area. Sales to significant customers that amounted to 10% or more of total product sales are detailed in the following table: During the Three-Month During the Six-Month 2024 2023 2024 2023 Company A 44 % 47 % 45 % 47 % Company B 33 % 33 % 34 % 32 % Trade accounts receivable due from significant customers that amounted to 10% or more of our total trade accounts receivable are detailed in the following table: As of June 30, As of Company A 39 % 43 % Company B 38 % 36 % (k) Revenue Recognition We recognize revenue in accordance with Codification Topic 606, Revenue from Contracts with Customers (ASC 606) (l) Expense Recognition We do not incur costs in connection with product sales to customers that are eligible for capitalization. Advertising costs are expensed when incurred, which is generally during the month in which the advertisement is published. All product development expenses are expensed as incurred, as are all related patent costs. We capitalize costs to produce inventory during the production cycle, and these costs are charged to costs of goods sold when the inventory is sold to a customer or is deemed to be in excess or obsolete. (m) Income Taxes We account for income taxes in accordance with Codification Topic 740, Income Taxes Codification Topic 740-10 clarifies the accounting for income taxes by prescribing a minimum recognition threshold that a tax position must meet before being recognized in the financial statements. In the ordinary course of business, there are transactions and calculations where the ultimate tax outcome is uncertain. In addition, we are subject to periodic audits and examinations by the Internal Revenue Service and other taxing authorities. With few exceptions, we are no longer subject to income tax examinations by tax authorities for years before 2021. We have evaluated the positions taken on our filed tax returns and have concluded that no uncertain tax positions existed as of June 30, 2024 or December 31, 2023. Although we believe that our estimates are reasonable, actual results could differ from these estimates. See Note 16. (n) Stock-Based Compensation We account for stock-based compensation in accordance with Codification Topic 718, Compensation-Stock Compensation (o) Net Loss Per Common Share Net loss per common share has been computed in accordance with Codification Topic 260-10, Earnings Per Share During the Three-Month Periods Ended June 30, During the Six-Month Periods Ended June 30, 2024 2023 2024 2023 Net loss attributable to stockholders $ (1,531,626 ) $ (1,379,714 ) $ (1,969,494 ) $ (3,694,767 ) Weighted average common shares outstanding - Basic 7,810,037 7,746,864 7,780,450 7,746,864 Dilutive impact of share-based compensation awards — — — — Weighted average common shares outstanding - Diluted 7,810,037 7,746,864 7,780,450 7,746,864 Net loss per share: Basic $ (0.20 ) $ (0.18 ) $ (0.25 ) $ (0.48 ) Diluted $ (0.20 ) $ (0.18 ) $ (0.25 ) $ (0.48 ) (p) Use of Estimates The preparation of financial statements in conformity with 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 period. Although we regularly assess these estimates, actual amounts could differ from those estimates and are subject to change in the near term. Changes in estimates are recorded during the period in which they become known. Significant estimates include our valuation of inventory, deferred tax assets and costs of goods sold (q) New Accounting Pronouncements Not Yet Adopted In November of 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures, In December of 2023, the FASB issued ASU 2023-09 , Income Taxes (Topic 740): Improvements to Income Tax Disclosures |
Cash and Cash Equivalents
Cash and Cash Equivalents | 6 Months Ended |
Jun. 30, 2024 | |
Cash and Cash Equivalents [Abstract] | |
CASH AND CASH EQUIVALENTS | 3. CASH AND CASH EQUIVALENTS Cash and cash equivalents amounted to $1,324,285 and $978,741 as of June 30, 2024 and December 31, 2023, respectively. |
Trade Accounts Receivable
Trade Accounts Receivable | 6 Months Ended |
Jun. 30, 2024 | |
Trade Accounts Receivable [Abstract] | |
TRADE ACCOUNTS RECEIVABLE | 4. TRADE ACCOUNTS RECEIVABLE Trade accounts receivable amounted to $1,950,450 and $2,185,383 as of June 30, 2024 and December 31, 2023, respectively. No allowance for bad debt or product returns was recorded as of June 30, 2024 or December 31, 2023. We anticipate no future events or conditions that would impact our ability to collect our accounts receivable. Because of the generally short duration from the balance sheet date to the date of collection, our collection rate is not expected to be significantly impacted by events occurring after the balance sheet date. The trade accounts receivable balances included $34,576 and $42,507 due from a related party as of June 30, 2024 and December 31, 2023, respectively. See Note 18. |
Inventory
Inventory | 6 Months Ended |
Jun. 30, 2024 | |
Inventory [Abstract] | |
INVENTORY | 5. INVENTORY Inventory consisted of the following: As of As of Raw materials $ 1,249,703 $ 1,594,028 Work-in-process 5,609,045 5,815,194 Finished goods 440,858 402,619 Total $ 7,299,606 $ 7,811,841 These inventory figures are net of write-offs of scrapped inventory in the amounts of $433,122 and $527,133 during the six-month period ended June 30, 2024 and the year ended December 31, 2023, respectively, that resulted principally from contamination events and other production process losses |
Prepaid Expenses and Other Curr
Prepaid Expenses and Other Current Assets | 6 Months Ended |
Jun. 30, 2024 | |
Prepaid Expenses and Other Current Assets [Abstract] | |
PREPAID EXPENSES AND OTHER CURRENT ASSETS | 6. PREPAID EXPENSES AND OTHER CURRENT ASSETS Prepaid expenses and other current assets consisted of the following: As of As of Prepaid expenses $ 196,181 $ 454,152 Other receivables 23,390 39,733 Total $ 219,571 $ 493,885 |
Property, Plant and Equipment,
Property, Plant and Equipment, Net | 6 Months Ended |
Jun. 30, 2024 | |
Property, Plant and Equipment, Net [Abstract] | |
PROPERTY, PLANT AND EQUIPMENT, net | 7. PROPERTY, PLANT AND EQUIPMENT, net Property, plant and equipment consisted of the following: Estimated As of As of Laboratory and manufacturing equipment 3-10 $ 21,128,526 $ 20,953,601 Buildings and improvements 10-39 20,861,288 20,784,565 Office furniture and equipment 3-10 1,038,641 1,036,374 Construction in progress n/a 2,612,239 2,768,224 Land n/a 516,867 516,867 Property, plant and equipment, gross 46,157,561 46,059,631 Accumulated depreciation (19,760,502 ) (18,483,948 ) Property, plant and equipment, net $ 26,397,059 $ 27,575,683 As of June 30, 2024 and December 31, 2023, construction in progress consisted principally of payments toward the First Defense ® Re-Tain ® |
Intangible Assets
Intangible Assets | 6 Months Ended |
Jun. 30, 2024 | |
Intangible Assets [Abstract] | |
INTANGIBLE ASSETS | 8. INTANGIBLE ASSETS Intangible assets of $191,040 were valued using the relief from royalty method and are being amortized to costs of goods sold over their useful lives, which are estimated to be 10 years. Intangible amortization expense was $4,776 during both of the three-month periods ended June 30, 2024 and 2023 and $9,552 during both of the six-month periods ended June 30, 2024 and 2023. The net value of these intangibles was $28,656 and $38,208 as of June 30, 2024 and December 31, 2023, respectively. Intangible asset amortization expense is estimated to be $19,104 per year through December 31, 2025. Intangible assets as of June 30, 2024 consisted of the following: Gross Accumulated Net Book Developed technology $ 184,100 $ (156,485 ) $ 27,615 Customer relationships 1,300 (1,105 ) 195 Non-compete agreements 5,640 (4,794 ) 846 Total $ 191,040 $ (162,384 ) $ 28,656 Intangible assets as of December 31, 2023 consisted of the following: Gross Accumulated Net Book Developed technology $ 184,100 $ (147,280 ) $ 36,820 Customer relationships 1,300 (1,040 ) 260 Non-compete agreements 5,640 (4,512 ) 1,128 Total $ 191,040 $ (152,832 ) $ 38,208 |
Accounts Payable and Accrued Ex
Accounts Payable and Accrued Expenses | 6 Months Ended |
Jun. 30, 2024 | |
Accounts Payable and Accrued Expenses [Abstract] | |
ACCOUNTS PAYABLE AND ACCRUED EXPENSES | 9. ACCOUNTS PAYABLE AND ACCRUED EXPENSES Accounts payable and accrued expenses consisted of the following: As of As of Accounts payable – trade $ 436,977 $ 874,558 Accounts payable – capital 1,170 13,175 Accrued payroll 1,272,813 942,999 Accrued professional fees 78,550 97,800 Accrued other 773,061 192,754 Income tax payable — 3,051 Total $ 2,562,571 $ 2,124,337 |
Bank Debt
Bank Debt | 6 Months Ended |
Jun. 30, 2024 | |
Bank Debt [Abstract] | |
BANK DEBT | 10. BANK DEBT Loans #1 and #2 Line of Credit (LOC) Loan #3 Loan #4 Loan #5 Loan #6: Loan #7: Loans #1, #2, #4, #6 and #7 are secured by liens on substantially all of our assets and are subject to certain restrictions and financial covenants. Loan #7 is subordinated to Loans #1, #2, #4 and #6. Reflecting our poor financial performance during 2023, the debt service covenant (DSC) requirements for the twelve-month periods ended December 31, 2023, June 30, 2024 and September 30, 2024 were waived pre-emptively by our lenders. We are required to meet a minimum DSC ratio of 1.35 for the year ending December 31, 2024 and annually thereafter. In connection with these credit facilities, we incurred aggregate debt issuance and debt discount costs of $173,305 ($5,037 and $0 of which was incurred during the six-month periods ended June 30, 2024 and 2023, respectively). The amortization of these debt issuance and debt discount costs is being recorded as a component of interest expense, included in other expenses, net, and is being amortized on a straight-line basis over the underlying terms of the notes. Loans #3 and #5 are unsecured and subordinated to our indebtedness to GSB and FAME. Failure to make timely payments of principal and interest, or otherwise to comply with the terms of the agreements of Loans #3 and #5, would entitle the MTI to accelerate the maturity of such debt and demand repayment in full. These loans may be prepaid without penalty at any time. Debt proceeds received and principal repayments made (excluding our $1,000,000 line of credit) are reflected by loan during the periods as described in the tables below: During the Three-Month Period Ended June 30, 2024 During the Three-Month Period Ended June 30, 2023 Proceeds Debt Proceeds Debt Loan #1 $ — $ 57,148 $ — $ 55,114 Loan #2 — 127,382 — 122,905 Loan #3 — 23,875 — 22,717 Loan #4 — 53,026 — 51,165 Loan #5 — 16,513 — — Loan #6 — 58,143 — — Loan #7 — 28,264 — — Total $ — $ 364,351 $ — $ 251,901 During the Six-Month Period Ended June 30, 2024 During the Six-Month Period Ended June 30, 2023 Proceeds Debt Proceeds Debt Loan #1 $ — $ 114,346 $ — $ 110,907 Loan #2 — 253,791 — 245,134 Loan #3 — 47,455 — 45,155 Loan #4 — 105,666 — 102,081 Loan #5 — 32,822 — — Loan #6 — 115,613 — — Loan #7 — 56,163 — — Total $ — $ 725,856 $ — $ 503,277 During the Year Ended December 31, 2023 During the Year Ended December 31 2022 Proceeds Debt Proceeds Debt Loan #1 $ — $ 223,222 $ 2,000,000 $ 199,013 Loan #2 — 494,455 — 477,237 Loan #3 — 91,446 — 22,160 Loan #4 — 205,884 — 198,715 Loan #5 — 32,017 — — Loan #6 2,000,000 93,054 — — Loan #7 1,000,000 45,696 — — Total $ 3,000,000 $ 1,185,774 $ 2,000,000 $ 897,125 Principal payments (net of debt issuance and debt discount costs) due under bank loans outstanding as of June 30, 2024 (excluding our $1,000,000 line of credit) are reflected in the following table by the year that payments are due: During the During the Years Ending December 31, 2024 2025 2026 2027 2028 Thereafter Total Loan #1 $ 116,468 $ 239,876 $ 248,604 $ 257,649 $ 266,537 $ 4,598,425 $ 5,727,559 Loan #2 258,326 530,738 549,881 140,445 — — 1,479,390 Loan #3 48,649 101,001 106,146 83,143 — — 338,939 Loan #4 107,557 220,994 228,965 240,446 — — 797,962 Loan #5 33,648 69,856 73,415 77,156 81,086 — 335,161 Loan #6 119,768 253,003 1,418,562 — — — 1,791,333 Loan #7 58,265 124,364 715,512 — — — 898,141 Subtotal 742,681 1,539,832 3,341,085 798,839 347,623 4,598,425 11,368,485 Debt issuance cost (11,167 ) (21,314 ) (13,580 ) (5,420 ) (3,513 ) (11,347 ) (66,341 ) Debt discount cost (10,446 ) (20,891 ) (11,344 ) — — — (42,681 ) Total $ 721,068 $ 1,497,627 $ 3,316,161 $ 793,419 $ 344,110 $ 4,587,078 $ 11,259,463 |
Contingent Liabilities and Comm
Contingent Liabilities and Commitments | 6 Months Ended |
Jun. 30, 2024 | |
Contingent Liabilities and Commitments [Abstract] | |
CONTINGENT LIABILITIES AND COMMITMENTS | 11. CONTINGENT LIABILITIES AND COMMITMENTS Our bylaws, as amended, in effect provide that the Company will indemnify its officers and directors against any liability arising from their responsibilities as officers and directors to the maximum extent permitted by Delaware law. In addition, we make similar indemnity undertakings with each director through a separate indemnification agreement with that director. The maximum payment that we may be required to make under such provisions is theoretically unlimited and is impossible to determine. We maintain directors’ and officers’ liability insurance, which may provide reimbursement to the Company for payments made to, or on behalf of, officers and directors pursuant to the indemnification provisions. Our indemnification obligations were grandfathered under the provisions of Codification Topic 460 , Guarantees The development, manufacturing and marketing of animal health care products entails an inherent risk that liability claims will be asserted against us during the normal course of business. We are aware of no such claims against us as of the date of this filing. We believe that we have reasonable levels of liability insurance to support our operations. We enter into agreements with third parties in the ordinary course of business under which we are obligated to indemnify such third parties from and against various risks and losses. The precise terms of such indemnities vary with the nature of the agreement. In many cases, we limit the maximum amount of our indemnification obligations, but in some cases those obligations may be theoretically unlimited. We have not incurred material expenses in discharging any of these indemnification obligations and based on our analysis of the nature of the risks involved, we believe that the fair value of the liabilities potentially arising under these agreements is minimal. Accordingly, we recorded no liabilities for such obligations as of June 30, 2024 or December 31, 2023. We plan to purchase certain key parts (syringes) and services (formulation, aseptic filling and final packaging) pertaining to Re-Tain ® Effective March 28, 2022, we entered into an Amended and Restated Separation and Deferred Compensation Agreement (the “Deferred Compensation Agreement”) with Mr. Brigham (our President and CEO) that superseded and replaced in its entirety a March 2020 severance agreement between the Company and Mr. Brigham. Upon separation from the Company for any reason, Mr. Brigham’s Deferred Compensation Agreement allows Mr. Brigham to be paid, among other amounts, all earned and unused paid time off (which expense totaling $222,379 was accrued during the first quarter of 2022 and $230,162 was included in accounts payable and accrued expenses on the accompanying balance sheets as of both June 30, 2024 and December 31, 2023) and to receive up to an additional $300,000 in deferred compensation (which amount is being accrued over the three-year period ending in January 2025). This deferred compensation payment vested as to $100,000 on January 1, 2023 and an additional $100,000 on January 1, 2024. An additional $100,000 will vest on January 1, 2025, provided that Mr. Brigham is employed by the Company as of such date. The vested amounts would be paid upon the earlier of January 31, 2025 or within thirty (30) days following his separation from the Company. As of June 30, 2024 and December 31, 2023, $250,000 and $200,000, respectively, was included in accounts payable and accrued expenses on the accompanying balance sheets. In addition, upon termination of Mr. Brigham’s employment (a) by the Company other than for cause, (b) due to death or disability or (c) by Mr. Brigham for good reason, in each case as described and defined in the Deferred Compensation Agreement, the Company agrees to pay Mr. Brigham 100% of his then current annual base salary and a lump sum payment equal to the employer portion of the costs of continued health benefits for Mr. Brigham and his covered dependents for a twelve-month period following termination, and certain equity incentive awards granted to Mr. Brigham would continue to vest following such termination in accordance with the terms of the Deferred Compensation Agreement. Incentive compensation agreements may be entered into with Mr. Brigham, Ms. Brockmann (our Vice President of Sales and Marketing) and Ms. Williams (our Vice President of Manufacturing Operations) which, at times, allow these executives to earn incentive compensation if certain regulatory and financial objectives are met during the year to which the agreement relates, as specified in their agreements. Amounts related to these incentive compensation agreements are accrued over the period they are earned (when it is probable that the amounts will be earned) based on our best estimate of the amounts expected to be In addition to the commitments discussed above, we had committed $123,000 to increase our production capacity for the First Defense ® |
Operating Leases
Operating Leases | 6 Months Ended |
Jun. 30, 2024 | |
Operating Leases [Abstract] | |
OPERATING LEASES | 12. OPERATING LEASE On September 12, 2019, we entered into a lease covering approximately 14,300 square feet of office and warehouse space with a possession date of November 15, 2019 and a commencement date of February 13, 2020. The property is located at 175 Industrial Way in Portland ( Building 175A First Defense ® Building 175B Building 175B Building 175B, Building 175A Building 175B During the Three-Month During the Six-Month 2024 2023 2024 2023 Lease Cost Operating lease cost $ 106,880 $ 98,714 $ 213,759 $ 146,240 Variable lease cost 19,431 9,720 29,151 17,334 Total lease cost $ 126,311 $ 108,434 $ 242,910 $ 163,574 Operating Lease Cash paid for operating lease liabilities $ 144,315 $ 30,993 $ 288,630 $ 61,734 Weighted average remaining lease term (in years) 18.6 19.6 18.6 19.6 Weighted average discount rate 7.1 % 6.3 % 7.1 % 6.3 % Future lease payments required under non-cancelable operating leases in effect as of June 30, 2024 were as follows: Amount During the six-month period ending December 31, 2024 $ 288,630 During the years ending December 31, 2025 711,623 2026 349,744 2027 356,732 2028 363,870 Thereafter 5,949,488 Total lease payments (undiscounted cash flows) 8,020,087 Less: imputed interest (discount effect of cash flows) (3,442,126 ) Total operating liabilities $ 4,577,961 |
Stockholders_ Equity
Stockholders’ Equity | 6 Months Ended |
Jun. 30, 2024 | |
Stockholders’ Equity [Abstract] | |
STOCKHOLDERS’ EQUITY | 13. STOCKHOLDERS’ EQUITY Common Stock Issuances From February of 2016 to April of 2021, we sold the aggregate of 4,553,017 shares of common stock in six different transactions raising gross proceeds of $26,714,403 at the weighted average price of $5.87 per share. These funds have been essential to funding our business growth plans. The details of each transaction are discussed below: 1) During February of 2016, we sold 1,123,810 shares of common stock at a price to the public of $5.25 per share in an underwritten public offering pursuant to our effective shelf registration statement on Form S-3, raising gross proceeds of $5,900,003 and resulting in net proceeds to the Company of $5,313,224 (after deducting underwriting discounts and offering expenses incurred in connection with the equity financing). 2) During October of 2016, we sold, in a private placement, 659,880 shares of common stock to nineteen institutional and accredited investors at $5.25 per share, raising gross proceeds of $3,464,370 and resulting in net proceeds to the Company of $3,160,923 (after deducting placement agent fees and other expenses incurred in connection with the equity financing). 3) During July of 2017, we sold 200,000 shares of our common stock at a price of $5.25 per share in a public, registered sale to two related investors pursuant to our effective shelf registration statement on Form S-3, raising gross proceeds of $1,050,000 and resulting in net proceeds of $1,034,164 (after deducting expenses incurred in connection with the equity financing). 4) During December of 2017, we sold 417,807 shares of common stock at a price to the public of $7.30 per share in an underwritten public offering pursuant to our effective shelf registration statement on Form S-3, raising gross proceeds of $3,049,991 and resulting in net proceeds to the Company of $2,734,173 (after deducting underwriting discounts and offering expenses incurred in connection with the equity financing). 5) During March of 2019, we sold 1,636,364 shares of common stock at a price to the public of $5.50 per share in an underwritten public offering pursuant to our effective shelf registration statement on Form S-3, raising gross proceeds of $9,000,002 and resulting in net proceeds to the Company of $8,303,436 (after deducting underwriting discounts and offering expenses incurred in connection with the equity financing). 6) During April of 2021, we sold 515,156 shares of our common stock at a price of $8.25 per share in a public, registered sale to seven investors pursuant to our effective shelf registration statement on Form S-3, raising gross proceeds of $4,250,038 and resulting in net proceeds of $4,233,026 (after deducting expenses incurred in connection with the equity financing). 7) On April 9, 2024, our shelf registration on Form S-3 (File No. 333-278438) relating to the offer, issuance and sale by the Company of up to $20,000,000 of securities was declared effective by the SEC. Also on April 9, 2024, we entered into an At-The-Market Offering Agreement (ATM Agreement) with Craig-Hallum Capital Group LLC, pursuant to which we may offer and sell up to $11,000,000 of shares of our common stock. As of August 2, 2024, we had sold 82,216 shares pursuant to the ATM Agreement. Legal, accounting and other fees of $152,272 associated with the completion of the shelf registration and the ATM Agreement were initially capitalized and then were offset against the initial proceeds received during the second quarter of 2024. Net proceeds from the at the market offering conducted pursuant to the ATM Agreement (net of the upfront legal, accounting and other fees), less sales commissions of $12,530 were $252,749 through August 2, 2024. Stock Option Plans In June of 2010, our stockholders approved the 2010 Stock Option and Incentive Plan (the “2010 Plan”) pursuant to the provisions of the Internal Revenue Code of 1986, under which employees and certain service providers may be granted options to purchase shares of the Company’s common stock at no less than fair market value on the date of grant. At that time, 300,000 shares of common stock were reserved for issuance under the 2010 Plan and subsequently no additional shares have been reserved for the 2010 Plan. Vesting requirements are determined by the Compensation and Stock Option Committee of the Board of Directors on a case-by-case basis. All options granted under the 2010 Plan expire no later than 10 years from the date of grant. The 2010 Plan expired in June of 2020, after which date no further options can be granted under the 2010 Plan. However, options outstanding under the 2010 Plan at that time can be exercised in accordance with their terms. There were 186,500 and 188,500 options outstanding under the 2010 Plan as of June 30, 2024 and December 31, 2023, respectively. In June of 2017, our stockholders approved the 2017 Stock Option and Incentive Plan (the “2017 Plan”) pursuant to the provisions of the Internal Revenue Code of 1986, under which employees and certain service providers may be granted options to purchase shares of the Company’s common stock at no less than fair market value on the date of grant. At that time, 300,000 shares of common stock were reserved for issuance under the 2017 Plan. An amendment to the 2017 Plan increasing the number of shares reserved for issuance under the 2017 Plan from 300,000 shares to 650,000 shares was approved by a vote of stockholders at the Annual Meeting of Stockholders in June of 2022. Vesting requirements are determined by the Compensation and Stock Option Committee of the Board of Directors on a case-by-case basis. All options granted under the 2017 Plan expire no later than 10 years from the date of grant. The 2017 Plan expires in March of 2027, after which date no further options can be granted under the 2017 Plan. However, options outstanding under the 2017 Plan at that time can be exercised in accordance with their terms. As of June 30, 2024 and December 31, 2023, there were 431,500 and 430,000 options outstanding under the 2017 Plan, respectively. Activity under the stock option plans described above was as follows: 2010 2017 Weighted Aggregate (1) Outstanding as of December 31, 2022 202,500 402,500 $ 7.19 $ (661,310 ) Grants — 122,000 $ 5.16 Terminations/forfeitures (2) (10,000 ) (94,500 ) $ 7.12 Exercises (4,000 ) — $ 4.69 Outstanding as of December 31, 2023 188,500 430,000 $ 6.82 $ (1,071,121 ) Grants — 21,000 $ 4.30 Terminations/forfeitures (2) (2,000 ) (19,500 ) $ 7.29 Exercises — — $ — Outstanding as of June 30, 2024 186,500 431,500 $ 6.72 $ (1,155,451 ) Vested as of June 30, 2024 186,500 128,500 $ 6.87 $ (637,770 ) Vested and expected to vest as of June 30, 2024 186,500 431,500 $ 6.72 $ (1,155,451 ) Reserved for future grants — 200,500 (1) Intrinsic value is the difference between the fair market value of the underlying common stock as of the date indicated and as of the date of the option grant (which is equal to the option exercise price). (2) Terminations and forfeitures are recognized when they occur. The following table displays additional information about the stock option plans described above: Number of Weighted Weighted Non-vested stock options as of January 1, 2024 337,500 $ 3.66 $ 7.14 Non-vested stock options as of June 30, 2024 303,000 $ 3.46 $ 6.56 Stock options granted during the six-month period ended June 30, 2024 21,000 $ 2.02 $ 4.30 Stock options that vested during the six-month period ended June 30, 2024 46,000 $ 4.16 $ 9.69 Stock options that were terminated or forfeited during the six-month period ended June 30, 2024 21,500 $ 3.53 $ 7.29 No stock options were exercised during the three-month or six-month periods ended June 30, 2024 and 2023. The weighted average remaining life of the options outstanding under the 2010 Plan and the 2017 Plan as of June 30, 2024 was approximately 5 years and 3 months. The weighted average remaining life of the options exercisable under these plans as of June 30, 2024 was approximately 3 years. The exercise price of the options outstanding under these plans as of June 30, 2024, ranged from $4.00 to $10.04 per share. The 21,000 stock options granted during the six-month period ended June 30, 2024 had an average exercise price of $4.30 per share. The 108,000 stock options granted during the six-month period ended June 30, 2023 had an average exercise price of $5.19 per share. The weighted-average grant date fair values of options granted during the six-month periods ended June 30, 2024 and 2023 were $2.02 and $2.80 per share, respectively. As of June 30, 2024, total unrecognized stock-based compensation related to non-vested stock options aggregated $446,494 which will be recognized over a weighted average remaining period of approximately 1 year and 8 months. The fair value of each stock option grant has been estimated on the date of grant using the Black-Scholes option pricing model, for the purpose discussed in Note 2(n), with the following weighted-average assumptions: During the Three-Month During the Six-Month 2024 2023 2024 2023 Risk-free interest rate (1) 4.24 % 3.25 % 4.24 % 3.48 % Dividend yield (2) 0 % 0 % 0 % 0 % Expected volatility (2) 50 % 50 % 50 % 54 % Expected life (3) 4.7 years 4.9 years 4.8 years 6.2 years (1) The risk-free interest rate is based on U.S. Treasury yields for a maturity approximating the expected option term. (2) The dividend yield and expected volatility are derived from averages of our historical data. (3) The expected life is calculated utilizing the simplified method, which uses the mid-point between the vesting period and the contractual term as the expected life. Common Stock Rights Plan In September of 1995, our Board of Directors adopted a Common Stock Rights Plan (the “Rights Plan”) and declared a dividend of one common share purchase right (a “Right”) for each of the then outstanding shares of the common stock of the Company. Each Right entitles the registered holder to purchase from the Company one share of common stock at an initial purchase price of $70.00 per share, subject to adjustment. The description and terms of the Rights are set forth in a Rights Agreement between the Company and Equiniti Trust Company, LLC, as Rights Agent. The Rights (as amended) become exercisable and transferable apart from the common stock upon the earlier of i) 10 days following a public announcement that a person or group (Acquiring Person) has, without the prior consent of the Continuing Directors (as such term is defined in the Rights Agreement), acquired beneficial ownership of 20% or more of the outstanding common stock or ii) 10 days following commencement of a tender offer or exchange offer the consummation of which would result in ownership by a person or group of 20% or more of the outstanding common stock (the earlier of such dates being called the Distribution Date). Upon the Distribution Date, the holder of each Right not owned by the Acquiring Person would be entitled to purchase common stock at a discount to the initial purchase price of $70.00 per share, effectively equal to one half of the market price of a share of common stock on the date the Acquiring Person becomes an Acquiring Person. If, after the Distribution Date, the Company should consolidate or merge with any other entity and the Company were not the surviving company, or, if the Company were the surviving company, all or part of the Company’s common stock were changed or exchanged into the securities of any other entity, or if more than 50% of the Company’s assets or earning power were sold, each Right would entitle its holder to purchase, at the Rights’ then-current purchase price, a number of shares of the acquiring company’s common stock having a market value at that time equal to twice the Right’s exercise price. At any time after a person or group becomes an Acquiring Person and prior to the acquisition by such person or group of 50% or more of the outstanding common stock, the Board of Directors of the Company may exchange the Rights (other than Rights owned by such person or group which have become void), in whole or in part, at an exchange ratio of one share of common stock per Right (subject to adjustment). At any time prior to 14 days following the date that any person or group becomes an Acquiring Person (subject to extension by the Board of Directors), the Board of Directors of the Company may redeem the then outstanding Rights in whole, but not in part, at a price of $0.005 per Right, subject to adjustment. During the third quarter of 2011, our Board of Directors voted to authorize an amendment to the Rights Plan to increase the ownership threshold for determining “Acquiring Person” status to 20%. During the second quarter of 2015, our Board of Directors also voted to authorize an amendment to remove a provision that prevented a new group of directors elected following the emergence of an Acquiring Person (an owner of more than 20% of our stock) from controlling the Rights Plan by maintaining exclusive authority over the Rights Plan with pre-existing directors. We did this because such provisions have come to be viewed with disfavor by Delaware courts. Each time that we made such amendments we entered into amendments to the Rights Agreement with the Rights Agent reflecting such extensions, threshold increases or provision changes. No other changes have been made to the terms of the Rights or the Rights Plan. At various times over the years, our Board of Directors, which has the authority to amend the Rights Plan, has voted to authorize amendments to the Rights Plan to extend the expiration date of the Rights Plan. Our Board of Directors decided to seek an advisory vote by stockholders at the Annual Meeting of Stockholders held in June of 2022, as to whether to extend the Rights Plan by one year to September 19, 2023. Of the votes actually cast on this proposal, 65% voted in favor, 32% voted against and 3% abstained. On the basis of this vote, our Board of Directors voted to extend the Rights Plan by one year to September 19, 2023. Our Board of Directors decided to seek another advisory vote by stockholders at the Annual Meeting of Stockholders held in June of 2023, as to whether to extend the Rights Plan by another year to September 19, 2024. Of the votes actually cast on this proposal, 65.10% voted in favor, 34.60% voted against and 0.30% abstained. On the basis of this vote, our Board of Directors voted to extend the Rights Plan by one year to September 19, 2024. Recognizing that there might be a substantial number of broker non-votes, our Board of Directors disclosed that it would be guided by the votes actually cast on these proposals in deciding whether to extend the expiration date of such plan by one year. Authorized Common Stock At the June 14, 2018 Annual Meeting of Stockholders, our stockholders voted to approve an amendment to our Certificate of Incorporation to increase the number of shares of common stock authorized for issuance from 8,000,000 to 11,000,000. At the June 10, 2020 Annual Meeting of Stockholders, our stockholders voted to approve an amendment to our Certificate of Incorporation to increase the number of shares of common stock authorized for issuance from 11,000,000 to 15,000,000. |
Revenue
Revenue | 6 Months Ended |
Jun. 30, 2024 | |
Revenue [Abstract] | |
REVENUE | 14. REVENUE We primarily offer the First Defense Ò product line to dairy and beef producers to prevent scours in newborn calves. Generally, our products are promoted to veterinarians as well as dairy and beef producers by our sales team and then sold through distributors. Our primary market is North America. We do sell into select international regions and may expand this international reach in the future. There were no material changes between the allocation and timing of revenue recognition during the three-month or six-month periods ended June 30, 2024 or 2023. We do not have any contract assets for which we have satisfied the performance obligations, but do not yet have the right to bill for, or contract liabilities such as customer advances. All trade receivables on our balance sheet are from contracts with customers. We incur no material costs to obtain contracts. The following table presents our product sales disaggregated by geographic area: During the Three-Month During the Six-Month 2024 % 2023 % 2024 % 2023 % United States $ 4,892,136 89 % $ 3,254,266 92 % $ 11,232,777 88 % $ 6,250,420 90 % Other 580,754 11 % 278,415 8 % 1,497,690 12 % 728,787 10 % Total Product Sales $ 5,472,890 100 % $ 3,532,681 100 % $ 12,730,467 100 % $ 6,979,207 100 % The following table presents our product sales disaggregated by major product category: During the Three-Month During the Six-Month 2024 % 2023 % 2024 % 2023 % First Defense ® product line $ 5,430,069 99 % $ 3,482,259 99 % $ 12,650,710 99 % $ 6,893,491 99 % Other animal health 42,821 1 % 50,422 1 % 79,757 1 % 85,716 1 % Total Product Sales $ 5,472,890 100 % $ 3,532,681 100 % $ 12,730,467 100 % $ 6,979,207 100 % |
Other Expenses, Net
Other Expenses, Net | 6 Months Ended |
Jun. 30, 2024 | |
Other Expenses, Net [Abstract] | |
OTHER EXPENSES, NET | 15. OTHER EXPENSES, NET Other expenses net, consisted of the following: During the Three-Month During the Six-Month 2024 2023 2024 2023 Interest expense (1) $ 142,386 $ 88,577 $ 288,388 $ 178,561 Loss (gain) on disposal of property, plant and equipment 14,557 (77 ) 14,557 8,167 Interest income (13,264 ) (14,806 ) (22,791 ) (55,438 ) Income-other — — — (107 ) Other expenses, net $ 143,679 $ 73,694 $ 280,154 $ 131,183 (1) Interest expense includes amortization of debt issuance and debt discount costs of $10,806 and $1,919 during the three-month periods ended June 30, 2024 or 2023, respectively, and $21,054 and $3,838 during the six-month periods ended June 30, 2024 and 2023, respectively. |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2024 | |
Income Taxes [Abstract] | |
INCOME TAXES | 16. INCOME TAXES Our income tax expense aggregated $1,340 and $1,525 (amounting to less than 1% of our loss before income taxes) during the three-month periods ended June 30, 2024 and 2023, respectively, and $2,680 and $3,050 (amounting to less than 1% of our loss before income taxes) during the six-month periods ended June 30, 2024 and 2023, respectively. As of December 31, 2023, we had federal net operating loss carryforwards of $17,759,519 of which $16,047,612 do not expire and of which $1,711,907 expire in 2034 through 2037 (if not utilized before then) and state net operating loss carryforwards of $4,681,644 that expire in 2037 through 2038 (if not utilized before then). Additionally, we had federal general business tax credit carryforwards of $726,474 that expire in 2027 through 2042 (if not utilized before then) and state tax credit carryforwards of $775,473 that expire in 2024 through 2042 (if not utilized before then). The provision for income taxes is determined using the asset and liability approach of accounting for income taxes. Under this approach, deferred taxes represent the estimated future tax effects of temporary differences between book and tax treatment of assets and liabilities and carryforwards to the extent they are realizable. During the second quarter of 2018, we assessed our historical and near-term future profitability and recorded $563,252 in non-cash income tax expense to create a full valuation allowance against our net deferred tax assets (which consist largely of net operating loss carryforwards and federal and state credits) based on applicable accounting standards and practices. At that time, we had incurred a net loss for six consecutive quarters, had not been profitable on a year-to-date basis since the nine-month period ended September 30, 2017 and projected additional net losses for some period going forward before returning to profitability. Should future profitability be realized at an adequate level, we would be able to release this valuation allowance (resulting in a non-cash income tax benefit) and realize these deferred tax assets before they expire. We will continue to assess the need for the valuation allowance at each quarter and, in the event that actual results differ from these estimates, or we adjust these estimates in future periods, we may need to adjust our valuation allowance. Currently, we adjust the valuation allowance at the end of each quarter to reduce the value of our deferred tax assets to zero. Net operating loss carryforwards, credits, and other tax attributes are subject to review and possible adjustment by the Internal Revenue Service. Section 382 of the Internal Revenue Code contains provisions that could place annual limitations on the future utilization of net operating loss carryforwards and credits in the event of a change in ownership of the Company, as defined. We file income tax returns in the U.S. federal jurisdiction and several state jurisdictions. We currently have no tax examinations in progress. We also have not paid additional taxes, interest or penalties as a result of tax examinations nor do we have any unrecognized tax benefits for any of the periods in the accompanying unaudited financial statements. |
Segment Information
Segment Information | 6 Months Ended |
Jun. 30, 2024 | |
Segment Information [Abstract] | |
SEGMENT INFORMATION | 17. SEGMENT INFORMATION Our business operations (being the development, acquisition, manufacture and sale of products that improve the health and productivity of dairy and beef cattle) are described in Note 1. Pursuant to Codification Topic 280, Segment Reporting First Defense ® CMT Re-Tain ® Re-Tain ® First Defense ® Re-Tain ® During the Three-Month Period Ended June 30, 2024 Scours Mastitis Other Total Product sales $ 5,430,069 $ 42,821 $ — $ 5,472,890 Costs of goods sold 4,198,849 43,555 — 4,242,404 Gross margin 1,231,220 (734 ) — 1,230,486 Product development expense 65,598 928,531 36,373 1,030,502 Sales and marketing expenses 855,513 129,444 — 984,957 Administrative expenses — — 601,634 601,634 Operating expenses 921,111 1,057,975 638,007 2,617,093 NET OPERATING INCOME (LOSS) $ 310,109 $ (1,058,709 ) $ (638,007 ) $ (1,386,607 ) During the Three-Month Period Ended June 30, 2023 Scours Mastitis Other Total Product sales $ 3,482,259 $ 50,422 $ — $ 3,532,681 Costs of goods sold 2,453,169 35,624 — 2,488,793 Gross margin 1,029,090 14,798 — 1,043,888 Product development expenses 2,252 1,061,383 35,903 1,099,538 Sales and marketing expenses 558,179 161,610 — 719,789 Administrative expenses — — 529,056 529,056 Operating expenses 560,431 1,222,993 564,959 2,348,383 NET OPERATING INCOME (LOSS) $ 468,659 $ (1,208,195 ) $ (564,959 ) $ (1,304,495 ) Scours Mastitis Other Total Total Assets as of June 30, 2024 $ 23,240,545 $ 17,107,377 $ 1,507,536 $ 41,855,458 Total Assets as of June 30, 2023 $ 23,910,633 $ 18,374,662 $ 1,721,773 $ 44,007,068 Depreciation and amortization expense during the three-month period ended June 30, 2024 $ 342,362 $ 319,727 $ 19,676 $ 681,765 Depreciation and amortization expense during the three-month period ended June 30, 2023 $ 341,979 $ 323,661 $ 21,074 $ 686,714 Capital Expenditures during the three-month period ended June 30, 2024 $ 93,338 $ 17,403 $ — $ 110,741 Capital Expenditures during the three-month period ended June 30, 2023 $ 124,911 $ 583,577 $ — $ 708,488 During the Six-Month Period Ended June 30, 2024 Scours Mastitis Other Total Product sales $ 12,650,710 $ 79,757 $ — $ 12,730,467 Costs of goods sold 9,122,397 82,225 — 9,204,622 Gross margin 3,528,313 (2,468 ) — 3,525,845 Product development expense 95,093 2,131,473 66,487 2,293,053 Sales and marketing expenses 1,525,252 260,628 — 1,785,880 Administrative expenses — — 1,133,572 1,133,572 Operating expenses 1,620,345 2,392,101 1,200,059 5,212,505 NET OPERATING INCOME (LOSS) $ 1,907,968 $ (2,394,569 ) $ (1,200,059 ) $ (1,686,660 ) During the Six-Month Period Ended June 30, 2023 Scours Mastitis Other Total Product sales $ 6,893,491 $ 85,716 $ — $ 6,979,207 Costs of goods sold 5,557,127 77,417 — 5,634,544 Gross margin 1,336,364 8,299 — 1,344,663 Product development expenses 2,543 2,137,728 69,636 2,209,907 Sales and marketing expenses 1,248,723 350,493 — 1,599,216 Administrative expenses — — 1,096,074 1,096,074 Operating expenses 1,251,266 2,488,221 1,165,710 4,905,197 NET OPERATING INCOME (LOSS) $ 85,098 $ (2,479,922 ) $ (1,165,710 ) $ (3,560,534 ) Scours Mastitis Other Total Total Assets as of June 30, 2024 $ 23,240,545 $ 17,107,377 $ 1,507,536 $ 41,855,458 Total Assets as of June 30, 2023 $ 23,910,633 $ 18,374,662 $ 1,721,773 $ 44,007,068 Depreciation and amortization expense during the six-month period ended June 30, 2024 $ 681,281 $ 638,445 $ 39,539 $ 1,359,265 Depreciation and amortization expense during the six-month period ended June 30, 2023 $ 665,236 $ 641,285 $ 39,022 $ 1,345,543 Capital Expenditures during the six-month period ended June 30, 2024 $ 132,812 $ 48,285 $ — $ 181,097 Capital Expenditures during the six-month period ended June 30, 2023 $ 696,647 $ 694,007 $ — $ 1,390,654 During the Year Ended December 31, 2023 Scours Mastitis Other Total Product sales $ 17,293,933 $ 177,736 $ — $ 17,471,669 Costs of goods sold 13,453,514 148,871 — 13,602,385 Gross margin 3,840,419 28,865 — 3,869,284 Product development expense 11,103 4,242,329 141,420 4,394,852 Sales and marketing expenses 2,447,137 641,078 — 3,088,215 Administrative expenses — — 2,134,295 2,134,295 Operating expenses 2,458,240 4,883,407 2,275,715 9,617,362 NET OPERATING INCOME (LOSS) $ 1,382,179 $ (4,854,542 ) $ (2,275,715 ) $ (5,748,078 ) During the Year Ended December 31, 2022 Scours Mastitis Other Total Product sales $ 18,411,949 $ 154,558 $ 1,455 $ 18,567,962 Costs of goods sold 10,754,189 136,347 28,647 10,919,183 Gross margin 7,657,760 18,211 (27,192 ) 7,648,779 Product development expenses 66,346 4,317,921 109,605 4,493,872 Sales and marketing expenses 1,871,926 1,318,107 — 3,190,033 Administrative expenses — — 2,263,817 2,263,817 Operating expenses 1,938,272 5,636,028 2,373,422 9,947,722 NET OPERATING INCOME (LOSS) $ 5,719,488 $ (5,617,817 ) $ (2,400,614 ) $ (2,298,943 ) Scours Mastitis Other Total Total Assets as of December 31, 2023 $ 24,735,413 $ 17,827,839 $ 1,244,850 $ 43,808,102 Total Assets as of December 31, 2022 $ 20,539,523 $ 18,315,492 $ 6,005,634 $ 44,860,649 Depreciation and amortization expense during the year ended December 31, 2023 $ 1,365,988 $ 1,287,600 $ 86,032 $ 2,739,620 Depreciation and amortization expense during the year ended December 31, 2022 $ 1,169,011 $ 1,263,318 $ 62,912 $ 2,495,241 Capital Expenditures during the year ended December 31, 2023 $ 1,096,819 $ 795,694 $ — $ 1,892,513 Capital Expenditures during the year ended December 31, 2022 $ 3,513,336 $ 414,486 $ 47,452 $ 3,975,274 |
Related Party Transactions
Related Party Transactions | 6 Months Ended |
Jun. 30, 2024 | |
Related Party Transactions [Abstract] | |
RELATED PARTY TRANSACTIONS | 18. RELATED PARTY TRANSACTIONS David S. Tomsche (Chair of our Board of Directors) is a controlling owner of Leedstone Inc., a domestic distributor of our products (the First Defense Ò product line and CMT |
Employee Benefits
Employee Benefits | 6 Months Ended |
Jun. 30, 2024 | |
Employee Benefits [Abstract] | |
EMPLOYEE BENEFITS | 19. EMPLOYEE BENEFITS We have a 401(k) savings plan (the Plan) in which all employees completing one month of service with the Company are eligible to participate. Participants may contribute up to the maximum amount allowed by the Internal Revenue Service. We currently match 100% of the first 3% of each employee’s salary that is contributed to the Plan and 50% of the next 2% of each employee’s salary that is contributed to the Plan. Under this matching plan, we paid $48,579 and $40,630 into the Plan for the three-month periods ended June 30, 2024 and 2023, respectively, and $103,514 and $85,572 for the six-month periods ended June 30, 2024 and 2023, respectively. |
Subsequent Events
Subsequent Events | 6 Months Ended |
Jun. 30, 2024 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | 20. SUBSEQUENT EVENTS We have evaluated subsequent events through the time of filing on the date we have issued this Quarterly Report on Form 10-Q. As of the time of filing, there were no material, reportable subsequent events. |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Pay vs Performance Disclosure | ||||
Net Income (Loss) | $ (1,531,626) | $ (1,379,714) | $ (1,969,494) | $ (3,694,767) |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Jun. 30, 2024 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
Accounting Policies, by Policy
Accounting Policies, by Policy (Policies) | 6 Months Ended |
Jun. 30, 2024 | |
Summary of Significant Accounting Policies [Abstract] | |
Basis of Presentation | (a) Basis of Presentation We have prepared the accompanying unaudited financial statements reflecting all adjustments (which are of a normal recurring nature) that are, in our opinion, necessary in order to ensure that the financial statements are not misleading. We follow accounting standards set by the Financial Accounting Standards Board (FASB). The FASB sets Generally Accepted Accounting Principles (GAAP) that we follow to ensure we accurately report our financial condition, results of operations, earnings per share and cash flows. References to GAAP in these footnotes are to the FASB Accounting Standards Codification |
Cash and Cash Equivalents | (b) Cash and Cash Equivalents We consider all highly liquid investment instruments that mature within three months of their purchase dates to be cash equivalents. Cash equivalents are principally invested in securities backed by the U.S. government. We hold no cash or cash equivalents in excess of Federal Deposit Insurance Corporation (FDIC) limits of $250,000 per financial institution per depositor. See Note 3. |
Trade Accounts Receivable | (c) Trade Accounts Receivable Accounts receivable are carried at the original invoice amount less an estimate made for doubtful collection when applicable. Management determines the allowance for doubtful accounts on a monthly basis by identifying troubled accounts and by using historical experience applied to an aging of accounts and other relevant factors. Accounts receivable are considered to be past due if a portion of the receivable balance is outstanding for more than 30 days. Past due accounts receivable are subject to an interest charge. It was not necessary to charge interest on past due accounts during the six-month periods ended June 30, 2024 or 2023 because the time past due was not significant, and there was no accrual for such interest charges as of June 30, 2024 or December 31, 2023. Accounts receivable are written off when deemed uncollectible. No accounts receivable were written off during the six-month periods ended June 30, 2024 or 2023. Recoveries of accounts receivable previously written off are recorded as income when received. No such recoveries were recorded during the six-month periods ended June 30, 2024 or 2023. As of June 30, 2024 and December 31, 2023, we determined that no allowance for doubtful accounts was necessary. See Note 4. |
Inventory | (d) Inventory Inventory includes raw materials, work-in-process and finished goods and is recorded at the lower of cost, on the first-in, first-out method, or net realizable value (determined as the estimated selling price in the normal course of business, less reasonably predictable costs of completion, disposal and transportation). Work-in-process and finished goods inventories include materials, labor and manufacturing overhead. At each balance sheet date, we evaluate our ending inventories for excess quantities and obsolescence. Inventories that we consider excess or obsolete are written down to estimated net realizable value. Once inventory is written down and a new cost basis is established, it is not written back up. We believe that supplies and raw materials for the production of our products are available from more than one vendor or farm. Our policy is to maintain more than one source of supply for the components used in our products when feasible. See Note 5. |
Property, Plant and Equipment, net | (e) Property, Plant and Equipment, net We depreciate property, plant and equipment on the straight-line method by charges to operations and costs of goods sold in amounts estimated to expense the cost of the assets from the date they are first put into service to the end of the estimated useful lives of the assets. The facility we have constructed at 33 Caddie Lane to produce the Nisin Drug Substance (DS) for Re-Tain ® Building 33 First Defense ® Building 175A Building 175B |
Operating Leases | (f) Operating Leases We account for our real estate leases using a right-of-use model, which recognizes that at the date of commencement, a lessee has a financial obligation to make lease payments to the lessor for the right to use the underlying asset during the lease term and recognizes a corresponding right-of-use (ROU) asset related to this right. ROU assets and lease liabilities are recognized at the lease commencement date based on the present value of the future lease payments over the expected lease term. The ROU asset is also adjusted for any lease prepayments made, lease incentives received and initial direct costs incurred. For operating leases with lease payments that fluctuate over the lease term, the total lease costs are recognized on a straight-line basis over the lease term. Our leases, at times, may include options to extend the term of the lease. When it is reasonably certain that we will exercise the option, we include the impact of the option in the lease term for purposes of determining future lease payments. For all underlying classes of assets, we made an accounting policy election to not recognize assets or liabilities for leases with a term of twelve months or less and to account for all components in a lease arrangement as a single combined lease component. Short-term lease payments are recognized on a straight-line basis. Certain of our lease agreements include variable rent payments, consisting primarily of amounts paid to the lessor based on cost or consumption, such as maintenance and real estate taxes. These costs are recognized in the period in which the obligation is incurred. Because our leases do not specify an implicit rate, we use an incremental borrowing rate based on information available at the lease commencement date to determine the present value of the lease payments. We evaluate our ROU asset for impairment when events or changes in circumstances indicate that the carrying value of the asset may not be recoverable. See Notes 2(h) and 12 for additional information. |
Intangible Assets and Goodwill | (g) Intangible Assets and Goodwill We amortize intangible assets on the straight-line method by charges to costs of goods sold in amounts estimated to expense the cost of the assets from the date they are first put into service to the end of the estimated useful lives of the assets. We have recorded intangible assets related to customer relationships, non-compete agreements and developed technology, each with defined useful lives. Amounts paid in excess of the fair value of the net assets (including tax attributes) are recorded as goodwill under the acquisition method of accounting. We assess the impairment of intangible assets that have indefinite lives (when applicable) and goodwill (at the reporting unit level) on an annual basis (as of December 31 st No |
Valuation of Long-Lived Assets | (h) Valuation of Long-Lived Assets We periodically evaluate our long-lived assets, consisting principally of property, plant and equipment, operating lease right-of-use asset and amortizable intangible assets, for potential impairment. In accordance with the applicable accounting guidance for the treatment of long-lived assets, we review the carrying value of our long-lived assets or asset group that is held and used, including intangible assets subject to amortization, for impairment whenever events and circumstances indicate that the carrying value of the assets may not be recoverable. Under the held for use approach, the asset or asset group to be tested for impairment should represent the lowest level for which identifiable cash flows are largely independent of the cash flows of other groups of assets and liabilities. No |
Fair Value Measurements | (i) Fair Value Measurements In determining Fair Value Measurements and Disclosures Level 1 — Pricing inputs are quoted prices available in active markets for identical assets or liabilities as of the measurement date. Level 2 — Pricing inputs are quoted prices for similar assets or liabilities, or inputs that are observable, either directly or indirectly, for substantially the full term through corroboration with observable market data. Level 3 — Pricing inputs are unobservable for the assets or liabilities, that is, inputs that reflect the reporting entity’s own assumptions about the assumptions market participants would use in pricing the asset or liability. In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, the level of an asset or liability within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. Our assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment and considers factors specific to the investment. We also hold money market accounts in our bank account, which are classified as cash equivalents and measured at fair value. The fair value of these investments is based on their closing published net asset value. We assess the levels of the investments at each measurement date, and transfers between levels are recognized on the actual date of the event or change in circumstances that caused the transfer in accordance with our accounting policy regarding the recognition of transfers between levels of the fair value hierarchy. During the six-month periods ended June 30, 2024 and 2023, there were no transfers between levels. As of June 30, 2024 and December 31, 2023, our Level 1 assets measured at fair value by quoted prices in active markets consisted of cash and money market accounts. There were no assets or liabilities measured at fair value on a nonrecurring basis as of June 30, 2024 or December 31, 2023. The carrying values of our cash and money market accounts as of June 30, 2024 or December 31, 2023 approximated their fair market values. Due to inflation and the changing interest rate environment, the carrying values of our fixed rate bank debt as of June 30, 2024 and December 31, 2023 differed from their fair market values. These values are reflected in the following tables: As of June 30, 2024 Level 1 Level 2 Level 3 Total Assets: Cash and money market accounts $ 1,324,285 $ — $ — $ 1,324,285 Liabilities: Bank debt $ — $ 9,854,011 $ — $ 9,854,011 As of December 31, 2023 Level 1 Level 2 Level 3 Total Assets: Cash and money market accounts $ 978,741 $ — $ — $ 978,741 Liabilities: Bank debt $ — $ 10,431,817 $ — $ 10,431,817 |
Concentration of Risk | (j) Concentration of credit risk with respect to accounts receivable is principally limited to certain customers to whom we make substantial sales. To reduce risk, we routinely assess the financial strength of our customers and, as a consequence, believe that our accounts receivable credit risk exposure is limited. We maintain an allowance for potential credit losses when deemed necessary, but historically we have not experienced significant credit losses related to an individual customer or groups of customers in any particular industry or geographic area. Sales to significant customers that amounted to 10% or more of total product sales are detailed in the following table: During the Three-Month During the Six-Month 2024 2023 2024 2023 Company A 44 % 47 % 45 % 47 % Company B 33 % 33 % 34 % 32 % Trade accounts receivable due from significant customers that amounted to 10% or more of our total trade accounts receivable are detailed in the following table: As of June 30, As of Company A 39 % 43 % Company B 38 % 36 % |
Revenue Recognition | (k) Revenue Recognition We recognize revenue in accordance with Codification Topic 606, Revenue from Contracts with Customers (ASC 606) |
Expense Recognition | (l) Expense Recognition We do not incur costs in connection with product sales to customers that are eligible for capitalization. Advertising costs are expensed when incurred, which is generally during the month in which the advertisement is published. All product development expenses are expensed as incurred, as are all related patent costs. We capitalize costs to produce inventory during the production cycle, and these costs are charged to costs of goods sold when the inventory is sold to a customer or is deemed to be in excess or obsolete. |
Income Taxes | (m) Income Taxes We account for income taxes in accordance with Codification Topic 740, Income Taxes Codification Topic 740-10 clarifies the accounting for income taxes by prescribing a minimum recognition threshold that a tax position must meet before being recognized in the financial statements. In the ordinary course of business, there are transactions and calculations where the ultimate tax outcome is uncertain. In addition, we are subject to periodic audits and examinations by the Internal Revenue Service and other taxing authorities. With few exceptions, we are no longer subject to income tax examinations by tax authorities for years before 2021. We have evaluated the positions taken on our filed tax returns and have concluded that no uncertain tax positions existed as of June 30, 2024 or December 31, 2023. Although we believe that our estimates are reasonable, actual results could differ from these estimates. See Note 16. |
Stock-Based Compensation | (n) Stock-Based Compensation We account for stock-based compensation in accordance with Codification Topic 718, Compensation-Stock Compensation |
Net Loss Per Common Share | (o) Net Loss Per Common Share Net loss per common share has been computed in accordance with Codification Topic 260-10, Earnings Per Share During the Three-Month Periods Ended June 30, During the Six-Month Periods Ended June 30, 2024 2023 2024 2023 Net loss attributable to stockholders $ (1,531,626 ) $ (1,379,714 ) $ (1,969,494 ) $ (3,694,767 ) Weighted average common shares outstanding - Basic 7,810,037 7,746,864 7,780,450 7,746,864 Dilutive impact of share-based compensation awards — — — — Weighted average common shares outstanding - Diluted 7,810,037 7,746,864 7,780,450 7,746,864 Net loss per share: Basic $ (0.20 ) $ (0.18 ) $ (0.25 ) $ (0.48 ) Diluted $ (0.20 ) $ (0.18 ) $ (0.25 ) $ (0.48 ) |
Use of Estimates | (p) Use of Estimates The preparation of financial statements in conformity with 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 period. Although we regularly assess these estimates, actual amounts could differ from those estimates and are subject to change in the near term. Changes in estimates are recorded during the period in which they become known. Significant estimates include our valuation of inventory, deferred tax assets and costs of goods sold |
New Accounting Pronouncements Not Yet Adopted | (q) New Accounting Pronouncements Not Yet Adopted In November of 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures, In December of 2023, the FASB issued ASU 2023-09 , Income Taxes (Topic 740): Improvements to Income Tax Disclosures |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Summary of Significant Accounting Policies [Abstract] | |
Schedule of Assets or Liabilities Measured at Fair Value on a Nonrecurring Basis | These values are reflected in the following tables: As of June 30, 2024 Level 1 Level 2 Level 3 Total Assets: Cash and money market accounts $ 1,324,285 $ — $ — $ 1,324,285 Liabilities: Bank debt $ — $ 9,854,011 $ — $ 9,854,011 As of December 31, 2023 Level 1 Level 2 Level 3 Total Assets: Cash and money market accounts $ 978,741 $ — $ — $ 978,741 Liabilities: Bank debt $ — $ 10,431,817 $ — $ 10,431,817 |
Schedule of Concentration of Risk | Sales to significant customers that amounted to 10% or more of total product sales are detailed in the following table: During the Three-Month During the Six-Month 2024 2023 2024 2023 Company A 44 % 47 % 45 % 47 % Company B 33 % 33 % 34 % 32 % As of June 30, As of Company A 39 % 43 % Company B 38 % 36 % |
Schedule of Net Income (Loss) Per Common Share | Outstanding stock options that were not included in this calculation because the effect would be anti-dilutive amounted to 618,000 and 624,000 during the three-month periods ended June 30, 2024 and 2023, respectively, and 618,000 and 624,000 during the six-month periods ended June 30, 2024 and 2023, respectively. During the Three-Month Periods Ended June 30, During the Six-Month Periods Ended June 30, 2024 2023 2024 2023 Net loss attributable to stockholders $ (1,531,626 ) $ (1,379,714 ) $ (1,969,494 ) $ (3,694,767 ) Weighted average common shares outstanding - Basic 7,810,037 7,746,864 7,780,450 7,746,864 Dilutive impact of share-based compensation awards — — — — Weighted average common shares outstanding - Diluted 7,810,037 7,746,864 7,780,450 7,746,864 Net loss per share: Basic $ (0.20 ) $ (0.18 ) $ (0.25 ) $ (0.48 ) Diluted $ (0.20 ) $ (0.18 ) $ (0.25 ) $ (0.48 ) |
Inventory (Tables)
Inventory (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Inventory [Abstract] | |
Schedule of Inventory | Inventory consisted of the following: As of As of Raw materials $ 1,249,703 $ 1,594,028 Work-in-process 5,609,045 5,815,194 Finished goods 440,858 402,619 Total $ 7,299,606 $ 7,811,841 |
Prepaid Expenses and Other Cu_2
Prepaid Expenses and Other Current Assets (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Prepaid Expenses and Other Current Assets [Abstract] | |
Schedule of Prepaid Expenses and Other Current Assets | Prepaid expenses and other current assets consisted of the following: As of As of Prepaid expenses $ 196,181 $ 454,152 Other receivables 23,390 39,733 Total $ 219,571 $ 493,885 |
Property, Plant and Equipment_2
Property, Plant and Equipment, Net (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Property, Plant and Equipment, Net [Abstract] | |
Schedule of Property, Plant and Equipment | Property, plant and equipment consisted of the following: Estimated As of As of Laboratory and manufacturing equipment 3-10 $ 21,128,526 $ 20,953,601 Buildings and improvements 10-39 20,861,288 20,784,565 Office furniture and equipment 3-10 1,038,641 1,036,374 Construction in progress n/a 2,612,239 2,768,224 Land n/a 516,867 516,867 Property, plant and equipment, gross 46,157,561 46,059,631 Accumulated depreciation (19,760,502 ) (18,483,948 ) Property, plant and equipment, net $ 26,397,059 $ 27,575,683 |
Intangible Assets (Tables)
Intangible Assets (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Intangible Assets [Abstract] | |
Schedule of Intangible Assets | Intangible assets as of June 30, 2024 consisted of the following: Gross Accumulated Net Book Developed technology $ 184,100 $ (156,485 ) $ 27,615 Customer relationships 1,300 (1,105 ) 195 Non-compete agreements 5,640 (4,794 ) 846 Total $ 191,040 $ (162,384 ) $ 28,656 Gross Accumulated Net Book Developed technology $ 184,100 $ (147,280 ) $ 36,820 Customer relationships 1,300 (1,040 ) 260 Non-compete agreements 5,640 (4,512 ) 1,128 Total $ 191,040 $ (152,832 ) $ 38,208 |
Accounts Payable and Accrued _2
Accounts Payable and Accrued Expenses (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Accounts Payable and Accrued Expenses [Abstract] | |
Schedule of Accounts Payable and Accrued Expenses | Accounts payable and accrued expenses consisted of the following: As of As of Accounts payable – trade $ 436,977 $ 874,558 Accounts payable – capital 1,170 13,175 Accrued payroll 1,272,813 942,999 Accrued professional fees 78,550 97,800 Accrued other 773,061 192,754 Income tax payable — 3,051 Total $ 2,562,571 $ 2,124,337 |
Bank Debt (Tables)
Bank Debt (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Bank Debt [Abstract] | |
Schedule of Debt Proceeds Received and Principal Repayments | Debt proceeds received and principal repayments made (excluding our $1,000,000 line of credit) are reflected by loan during the periods as described in the tables below: During the Three-Month Period Ended June 30, 2024 During the Three-Month Period Ended June 30, 2023 Proceeds Debt Proceeds Debt Loan #1 $ — $ 57,148 $ — $ 55,114 Loan #2 — 127,382 — 122,905 Loan #3 — 23,875 — 22,717 Loan #4 — 53,026 — 51,165 Loan #5 — 16,513 — — Loan #6 — 58,143 — — Loan #7 — 28,264 — — Total $ — $ 364,351 $ — $ 251,901 During the Six-Month Period Ended June 30, 2024 During the Six-Month Period Ended June 30, 2023 Proceeds Debt Proceeds Debt Loan #1 $ — $ 114,346 $ — $ 110,907 Loan #2 — 253,791 — 245,134 Loan #3 — 47,455 — 45,155 Loan #4 — 105,666 — 102,081 Loan #5 — 32,822 — — Loan #6 — 115,613 — — Loan #7 — 56,163 — — Total $ — $ 725,856 $ — $ 503,277 During the Year Ended December 31, 2023 During the Year Ended December 31 2022 Proceeds Debt Proceeds Debt Loan #1 $ — $ 223,222 $ 2,000,000 $ 199,013 Loan #2 — 494,455 — 477,237 Loan #3 — 91,446 — 22,160 Loan #4 — 205,884 — 198,715 Loan #5 — 32,017 — — Loan #6 2,000,000 93,054 — — Loan #7 1,000,000 45,696 — — Total $ 3,000,000 $ 1,185,774 $ 2,000,000 $ 897,125 |
Schedule of Principal Payments Bank Loans Outstanding | Principal payments (net of debt issuance and debt discount costs) due under bank loans outstanding as of June 30, 2024 (excluding our $1,000,000 line of credit) are reflected in the following table by the year that payments are due: During the During the Years Ending December 31, 2024 2025 2026 2027 2028 Thereafter Total Loan #1 $ 116,468 $ 239,876 $ 248,604 $ 257,649 $ 266,537 $ 4,598,425 $ 5,727,559 Loan #2 258,326 530,738 549,881 140,445 — — 1,479,390 Loan #3 48,649 101,001 106,146 83,143 — — 338,939 Loan #4 107,557 220,994 228,965 240,446 — — 797,962 Loan #5 33,648 69,856 73,415 77,156 81,086 — 335,161 Loan #6 119,768 253,003 1,418,562 — — — 1,791,333 Loan #7 58,265 124,364 715,512 — — — 898,141 Subtotal 742,681 1,539,832 3,341,085 798,839 347,623 4,598,425 11,368,485 Debt issuance cost (11,167 ) (21,314 ) (13,580 ) (5,420 ) (3,513 ) (11,347 ) (66,341 ) Debt discount cost (10,446 ) (20,891 ) (11,344 ) — — — (42,681 ) Total $ 721,068 $ 1,497,627 $ 3,316,161 $ 793,419 $ 344,110 $ 4,587,078 $ 11,259,463 |
Operating Leases (Tables)
Operating Leases (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Operating Leases [Abstract] | |
Schedule of Lease Costs and Other Lease Information | Variable lease cost primarily represents variable payments such as real estate taxes and common area maintenance. The following tables describe our lease costs and other lease information: During the Three-Month During the Six-Month 2024 2023 2024 2023 Lease Cost Operating lease cost $ 106,880 $ 98,714 $ 213,759 $ 146,240 Variable lease cost 19,431 9,720 29,151 17,334 Total lease cost $ 126,311 $ 108,434 $ 242,910 $ 163,574 Operating Lease Cash paid for operating lease liabilities $ 144,315 $ 30,993 $ 288,630 $ 61,734 Weighted average remaining lease term (in years) 18.6 19.6 18.6 19.6 Weighted average discount rate 7.1 % 6.3 % 7.1 % 6.3 % |
Schedule of Future Lease Payments Required Under Non-Cancelable Operating Leases | Future lease payments required under non-cancelable operating leases in effect as of June 30, 2024 were as follows: Amount During the six-month period ending December 31, 2024 $ 288,630 During the years ending December 31, 2025 711,623 2026 349,744 2027 356,732 2028 363,870 Thereafter 5,949,488 Total lease payments (undiscounted cash flows) 8,020,087 Less: imputed interest (discount effect of cash flows) (3,442,126 ) Total operating liabilities $ 4,577,961 |
Stockholders_ Equity (Tables)
Stockholders’ Equity (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Stockholders’ Equity [Abstract] | |
Schedule of Activity Under the Stock Option Plans | Activity under the stock option plans described above was as follows: 2010 2017 Weighted Aggregate (1) Outstanding as of December 31, 2022 202,500 402,500 $ 7.19 $ (661,310 ) Grants — 122,000 $ 5.16 Terminations/forfeitures (2) (10,000 ) (94,500 ) $ 7.12 Exercises (4,000 ) — $ 4.69 Outstanding as of December 31, 2023 188,500 430,000 $ 6.82 $ (1,071,121 ) Grants — 21,000 $ 4.30 Terminations/forfeitures (2) (2,000 ) (19,500 ) $ 7.29 Exercises — — $ — Outstanding as of June 30, 2024 186,500 431,500 $ 6.72 $ (1,155,451 ) Vested as of June 30, 2024 186,500 128,500 $ 6.87 $ (637,770 ) Vested and expected to vest as of June 30, 2024 186,500 431,500 $ 6.72 $ (1,155,451 ) Reserved for future grants — 200,500 (1) Intrinsic value is the difference between the fair market value of the underlying common stock as of the date indicated and as of the date of the option grant (which is equal to the option exercise price). (2) Terminations and forfeitures are recognized when they occur. |
Schedule of Additional Information About the Stock Option Plans | The following table displays additional information about the stock option plans described above: Number of Weighted Weighted Non-vested stock options as of January 1, 2024 337,500 $ 3.66 $ 7.14 Non-vested stock options as of June 30, 2024 303,000 $ 3.46 $ 6.56 Stock options granted during the six-month period ended June 30, 2024 21,000 $ 2.02 $ 4.30 Stock options that vested during the six-month period ended June 30, 2024 46,000 $ 4.16 $ 9.69 Stock options that were terminated or forfeited during the six-month period ended June 30, 2024 21,500 $ 3.53 $ 7.29 |
Schedule of Fair Value Stock Option Grant Using Black-Scholes Option Pricing Model With the Weighted-Average Assumptions | The fair value of each stock option grant has been estimated on the date of grant using the Black-Scholes option pricing model, for the purpose discussed in Note 2(n), with the following weighted-average assumptions: During the Three-Month During the Six-Month 2024 2023 2024 2023 Risk-free interest rate (1) 4.24 % 3.25 % 4.24 % 3.48 % Dividend yield (2) 0 % 0 % 0 % 0 % Expected volatility (2) 50 % 50 % 50 % 54 % Expected life (3) 4.7 years 4.9 years 4.8 years 6.2 years (1) The risk-free interest rate is based on U.S. Treasury yields for a maturity approximating the expected option term. (2) The dividend yield and expected volatility are derived from averages of our historical data. (3) The expected life is calculated utilizing the simplified method, which uses the mid-point between the vesting period and the contractual term as the expected life. |
Revenue (Tables)
Revenue (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Revenue [Abstract] | |
Schedule of Product Sales Disaggregated by Geographic Area | The following table presents our product sales disaggregated by geographic area: During the Three-Month During the Six-Month 2024 % 2023 % 2024 % 2023 % United States $ 4,892,136 89 % $ 3,254,266 92 % $ 11,232,777 88 % $ 6,250,420 90 % Other 580,754 11 % 278,415 8 % 1,497,690 12 % 728,787 10 % Total Product Sales $ 5,472,890 100 % $ 3,532,681 100 % $ 12,730,467 100 % $ 6,979,207 100 % |
Schedule of Product Sales Disaggregated by Major Product Category | The following table presents our product sales disaggregated by major product category: During the Three-Month During the Six-Month 2024 % 2023 % 2024 % 2023 % First Defense ® product line $ 5,430,069 99 % $ 3,482,259 99 % $ 12,650,710 99 % $ 6,893,491 99 % Other animal health 42,821 1 % 50,422 1 % 79,757 1 % 85,716 1 % Total Product Sales $ 5,472,890 100 % $ 3,532,681 100 % $ 12,730,467 100 % $ 6,979,207 100 % |
Other Expenses, Net (Tables)
Other Expenses, Net (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Other Expenses, Net [Abstract] | |
Schedule of Other Expenses Net | Other expenses net, consisted of the following: During the Three-Month During the Six-Month 2024 2023 2024 2023 Interest expense (1) $ 142,386 $ 88,577 $ 288,388 $ 178,561 Loss (gain) on disposal of property, plant and equipment 14,557 (77 ) 14,557 8,167 Interest income (13,264 ) (14,806 ) (22,791 ) (55,438 ) Income-other — — — (107 ) Other expenses, net $ 143,679 $ 73,694 $ 280,154 $ 131,183 (1) Interest expense includes amortization of debt issuance and debt discount costs of $10,806 and $1,919 during the three-month periods ended June 30, 2024 or 2023, respectively, and $21,054 and $3,838 during the six-month periods ended June 30, 2024 and 2023, respectively. |
Segment Information (Tables)
Segment Information (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Segment Information [Abstract] | |
Schedule of Segment Information | During the Three-Month Period Ended June 30, 2024 Scours Mastitis Other Total Product sales $ 5,430,069 $ 42,821 $ — $ 5,472,890 Costs of goods sold 4,198,849 43,555 — 4,242,404 Gross margin 1,231,220 (734 ) — 1,230,486 Product development expense 65,598 928,531 36,373 1,030,502 Sales and marketing expenses 855,513 129,444 — 984,957 Administrative expenses — — 601,634 601,634 Operating expenses 921,111 1,057,975 638,007 2,617,093 NET OPERATING INCOME (LOSS) $ 310,109 $ (1,058,709 ) $ (638,007 ) $ (1,386,607 ) During the Three-Month Period Ended June 30, 2023 Scours Mastitis Other Total Product sales $ 3,482,259 $ 50,422 $ — $ 3,532,681 Costs of goods sold 2,453,169 35,624 — 2,488,793 Gross margin 1,029,090 14,798 — 1,043,888 Product development expenses 2,252 1,061,383 35,903 1,099,538 Sales and marketing expenses 558,179 161,610 — 719,789 Administrative expenses — — 529,056 529,056 Operating expenses 560,431 1,222,993 564,959 2,348,383 NET OPERATING INCOME (LOSS) $ 468,659 $ (1,208,195 ) $ (564,959 ) $ (1,304,495 ) Scours Mastitis Other Total Total Assets as of June 30, 2024 $ 23,240,545 $ 17,107,377 $ 1,507,536 $ 41,855,458 Total Assets as of June 30, 2023 $ 23,910,633 $ 18,374,662 $ 1,721,773 $ 44,007,068 Depreciation and amortization expense during the three-month period ended June 30, 2024 $ 342,362 $ 319,727 $ 19,676 $ 681,765 Depreciation and amortization expense during the three-month period ended June 30, 2023 $ 341,979 $ 323,661 $ 21,074 $ 686,714 Capital Expenditures during the three-month period ended June 30, 2024 $ 93,338 $ 17,403 $ — $ 110,741 Capital Expenditures during the three-month period ended June 30, 2023 $ 124,911 $ 583,577 $ — $ 708,488 During the Six-Month Period Ended June 30, 2024 Scours Mastitis Other Total Product sales $ 12,650,710 $ 79,757 $ — $ 12,730,467 Costs of goods sold 9,122,397 82,225 — 9,204,622 Gross margin 3,528,313 (2,468 ) — 3,525,845 Product development expense 95,093 2,131,473 66,487 2,293,053 Sales and marketing expenses 1,525,252 260,628 — 1,785,880 Administrative expenses — — 1,133,572 1,133,572 Operating expenses 1,620,345 2,392,101 1,200,059 5,212,505 NET OPERATING INCOME (LOSS) $ 1,907,968 $ (2,394,569 ) $ (1,200,059 ) $ (1,686,660 ) During the Six-Month Period Ended June 30, 2023 Scours Mastitis Other Total Product sales $ 6,893,491 $ 85,716 $ — $ 6,979,207 Costs of goods sold 5,557,127 77,417 — 5,634,544 Gross margin 1,336,364 8,299 — 1,344,663 Product development expenses 2,543 2,137,728 69,636 2,209,907 Sales and marketing expenses 1,248,723 350,493 — 1,599,216 Administrative expenses — — 1,096,074 1,096,074 Operating expenses 1,251,266 2,488,221 1,165,710 4,905,197 NET OPERATING INCOME (LOSS) $ 85,098 $ (2,479,922 ) $ (1,165,710 ) $ (3,560,534 ) Scours Mastitis Other Total Total Assets as of June 30, 2024 $ 23,240,545 $ 17,107,377 $ 1,507,536 $ 41,855,458 Total Assets as of June 30, 2023 $ 23,910,633 $ 18,374,662 $ 1,721,773 $ 44,007,068 Depreciation and amortization expense during the six-month period ended June 30, 2024 $ 681,281 $ 638,445 $ 39,539 $ 1,359,265 Depreciation and amortization expense during the six-month period ended June 30, 2023 $ 665,236 $ 641,285 $ 39,022 $ 1,345,543 Capital Expenditures during the six-month period ended June 30, 2024 $ 132,812 $ 48,285 $ — $ 181,097 Capital Expenditures during the six-month period ended June 30, 2023 $ 696,647 $ 694,007 $ — $ 1,390,654 During the Year Ended December 31, 2023 Scours Mastitis Other Total Product sales $ 17,293,933 $ 177,736 $ — $ 17,471,669 Costs of goods sold 13,453,514 148,871 — 13,602,385 Gross margin 3,840,419 28,865 — 3,869,284 Product development expense 11,103 4,242,329 141,420 4,394,852 Sales and marketing expenses 2,447,137 641,078 — 3,088,215 Administrative expenses — — 2,134,295 2,134,295 Operating expenses 2,458,240 4,883,407 2,275,715 9,617,362 NET OPERATING INCOME (LOSS) $ 1,382,179 $ (4,854,542 ) $ (2,275,715 ) $ (5,748,078 ) During the Year Ended December 31, 2022 Scours Mastitis Other Total Product sales $ 18,411,949 $ 154,558 $ 1,455 $ 18,567,962 Costs of goods sold 10,754,189 136,347 28,647 10,919,183 Gross margin 7,657,760 18,211 (27,192 ) 7,648,779 Product development expenses 66,346 4,317,921 109,605 4,493,872 Sales and marketing expenses 1,871,926 1,318,107 — 3,190,033 Administrative expenses — — 2,263,817 2,263,817 Operating expenses 1,938,272 5,636,028 2,373,422 9,947,722 NET OPERATING INCOME (LOSS) $ 5,719,488 $ (5,617,817 ) $ (2,400,614 ) $ (2,298,943 ) Scours Mastitis Other Total Total Assets as of December 31, 2023 $ 24,735,413 $ 17,827,839 $ 1,244,850 $ 43,808,102 Total Assets as of December 31, 2022 $ 20,539,523 $ 18,315,492 $ 6,005,634 $ 44,860,649 Depreciation and amortization expense during the year ended December 31, 2023 $ 1,365,988 $ 1,287,600 $ 86,032 $ 2,739,620 Depreciation and amortization expense during the year ended December 31, 2022 $ 1,169,011 $ 1,263,318 $ 62,912 $ 2,495,241 Capital Expenditures during the year ended December 31, 2023 $ 1,096,819 $ 795,694 $ — $ 1,892,513 Capital Expenditures during the year ended December 31, 2022 $ 3,513,336 $ 414,486 $ 47,452 $ 3,975,274 |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Summary of Significant Accounting Policies [Line Items] | ||||
Federal deposit insurance corporation limits | $ 250,000 | $ 250,000 | ||
Asset depreciated percentage | 86% | 86% | ||
Goodwill impairments | ||||
impairment of recognized | ||||
Stock-based compensation | $ 98,021 | $ 75,657 | $ 179,131 | $ 171,773 |
Anti-dilutive amounted (in Shares) | 618,000 | 624,000 | 618,000 | 624,000 |
Nisin Drug Substance [Member] | ||||
Summary of Significant Accounting Policies [Line Items] | ||||
Useful life | 10 years | 10 years | ||
Leasehold Improvements [Member] | ||||
Summary of Significant Accounting Policies [Line Items] | ||||
Useful life | 10 years | 10 years |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies (Details) - Schedule of Assets or Liabilities Measured at Fair Value on a Nonrecurring Basis - USD ($) | Jun. 30, 2024 | Dec. 31, 2023 |
Assets: | ||
Cash and money market accounts | $ 1,324,285 | $ 978,741 |
Liabilities: | ||
Bank debt | 9,854,011 | 10,431,817 |
Level 1 [Member] | ||
Assets: | ||
Cash and money market accounts | 1,324,285 | 978,741 |
Liabilities: | ||
Bank debt | ||
Level 2 [Member] | ||
Assets: | ||
Cash and money market accounts | ||
Liabilities: | ||
Bank debt | 9,854,011 | 10,431,817 |
Level 3 [Member] | ||
Assets: | ||
Cash and money market accounts | ||
Liabilities: | ||
Bank debt |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies (Details) - Schedule of Concentration of Risk - Customer Concentration Risk [Member] | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2024 | Dec. 31, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Company A [Member] | Product sales [Member] | ||||||
Schedule of Concentration of Risk [Line Items] | ||||||
Concentration risk, percentage | 44% | 47% | 45% | 47% | ||
Company A [Member] | Trade accounts receivable [Member] | ||||||
Schedule of Concentration of Risk [Line Items] | ||||||
Concentration risk, percentage | 39% | 43% | ||||
Company B [Member] | Product sales [Member] | ||||||
Schedule of Concentration of Risk [Line Items] | ||||||
Concentration risk, percentage | 33% | 33% | 34% | 32% | ||
Company B [Member] | Trade accounts receivable [Member] | ||||||
Schedule of Concentration of Risk [Line Items] | ||||||
Concentration risk, percentage | 38% | 36% |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies (Details) - Schedule of Net Income (Loss) Per Common Share - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Schedule of Net Income (Loss) Per Common Share [Abstract] | ||||
Net loss attributable to stockholders (in Dollars) | $ (1,531,626) | $ (1,379,714) | $ (1,969,494) | $ (3,694,767) |
Weighted average common shares outstanding - Basic | 7,810,037 | 7,746,864 | 7,780,450 | 7,746,864 |
Dilutive impact of share-based compensation awards | ||||
Weighted average common shares outstanding - Diluted | 7,810,037 | 7,746,864 | 7,780,450 | 7,746,864 |
Net loss per share: | ||||
Basic (in Dollars per share) | $ (0.2) | $ (0.18) | $ (0.25) | $ (0.48) |
Diluted (in Dollars per share) | $ (0.2) | $ (0.18) | $ (0.25) | $ (0.48) |
Cash and Cash Equivalents (Deta
Cash and Cash Equivalents (Details) - USD ($) | Jun. 30, 2024 | Dec. 31, 2023 |
Cash and Cash Equivalents [Abstract] | ||
Cash and cash equivalents | $ 1,324,285 | $ 978,741 |
Trade Accounts Receivable (Deta
Trade Accounts Receivable (Details) - USD ($) | Jun. 30, 2024 | Dec. 31, 2023 |
Trade Accounts Receivable [Line Items] | ||
Trade accounts receivable, net | $ 1,950,450 | $ 2,185,383 |
Related Party [Member] | ||
Trade Accounts Receivable [Line Items] | ||
Trade accounts receivable, net | $ 34,576 | $ 42,507 |
Inventory (Details)
Inventory (Details) - USD ($) | 6 Months Ended | 12 Months Ended |
Jun. 30, 2024 | Dec. 31, 2023 | |
Inventory [Abstract] | ||
Inventory write off | $ 433,122 | $ 527,133 |
Inventory (Details) - Schedule
Inventory (Details) - Schedule of Inventory - USD ($) | Jun. 30, 2024 | Dec. 31, 2023 |
Schedule of Inventory [Abstract] | ||
Raw materials | $ 1,249,703 | $ 1,594,028 |
Work-in-process | 5,609,045 | 5,815,194 |
Finished goods | 440,858 | 402,619 |
Total | $ 7,299,606 | $ 7,811,841 |
Prepaid Expenses and Other Cu_3
Prepaid Expenses and Other Current Assets (Details) - Schedule of Prepaid Expenses and Other Current Assets - USD ($) | Jun. 30, 2024 | Dec. 31, 2023 |
Schedule of Prepaid Expenses and Other Current Assets [Abstract] | ||
Prepaid expenses | $ 196,181 | $ 454,152 |
Other receivables | 23,390 | 39,733 |
Total | $ 219,571 | $ 493,885 |
Property, Plant and Equipment_3
Property, Plant and Equipment, Net (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Property, Plant and Equipment, Net [Abstract] | ||||
Property, plant and equipment disposals | $ 71,162 | $ 14,380 | $ 71,162 | $ 56,639 |
Depreciation expense | $ 666,182 | $ 680,019 | $ 1,328,659 | $ 1,332,153 |
Property, Plant and Equipment_4
Property, Plant and Equipment, Net (Details) - Schedule of Property, Plant and Equipment - USD ($) | Jun. 30, 2024 | Dec. 31, 2023 |
Schedule of Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 46,157,561 | $ 46,059,631 |
Accumulated depreciation | (19,760,502) | (18,483,948) |
Property, plant and equipment, net | 26,397,059 | 27,575,683 |
Laboratory and manufacturing equipment [Member] | ||
Schedule of Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 21,128,526 | 20,953,601 |
Buildings and improvements [Member] | ||
Schedule of Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | 20,861,288 | 20,784,565 |
Office furniture and equipment [Member] | ||
Schedule of Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, gross | $ 1,038,641 | 1,036,374 |
Construction in progress [Member] | ||
Schedule of Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, Estimated Useful Lives (in years) | ||
Property, plant and equipment, gross | $ 2,612,239 | 2,768,224 |
Land [Member] | ||
Schedule of Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, Estimated Useful Lives (in years) | ||
Property, plant and equipment, gross | $ 516,867 | $ 516,867 |
Minimum [Member] | Laboratory and manufacturing equipment [Member] | ||
Schedule of Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, Estimated Useful Lives (in years) | 3 years | |
Minimum [Member] | Buildings and improvements [Member] | ||
Schedule of Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, Estimated Useful Lives (in years) | 10 years | |
Minimum [Member] | Office furniture and equipment [Member] | ||
Schedule of Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, Estimated Useful Lives (in years) | 3 years | |
Maximum [Member] | Laboratory and manufacturing equipment [Member] | ||
Schedule of Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, Estimated Useful Lives (in years) | 10 years | |
Maximum [Member] | Buildings and improvements [Member] | ||
Schedule of Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, Estimated Useful Lives (in years) | 39 years | |
Maximum [Member] | Office furniture and equipment [Member] | ||
Schedule of Property, Plant and Equipment [Line Items] | ||
Property, plant and equipment, Estimated Useful Lives (in years) | 10 years |
Intangible Assets (Details)
Intangible Assets (Details) - USD ($) | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | Dec. 31, 2025 | Dec. 31, 2023 | |
Intangible Assets [Line Items] | ||||||
Intangible assets | $ 191,040 | $ 191,040 | $ 191,040 | |||
Intangible asset amortized, useful lives | 10 years | 10 years | ||||
Intangible amortization expense | $ 4,776 | $ 4,776 | $ 9,552 | $ 9,552 | ||
Net value | $ 28,656 | $ 28,656 | $ 38,208 | |||
Forecast [Member] | ||||||
Intangible Assets [Line Items] | ||||||
Intangible amortization expense | $ 19,104 |
Intangible Assets (Details) - S
Intangible Assets (Details) - Schedule of Intangible Assets - USD ($) | Jun. 30, 2024 | Dec. 31, 2023 |
Schedule of Intangible Assets [Line Items] | ||
Gross Carrying Value | $ 191,040 | $ 191,040 |
Accumulated Amortization | (162,384) | (152,832) |
Net Book Value | 28,656 | 38,208 |
Developed technology [Member] | ||
Schedule of Intangible Assets [Line Items] | ||
Gross Carrying Value | 184,100 | 184,100 |
Accumulated Amortization | (156,485) | (147,280) |
Net Book Value | 27,615 | 36,820 |
Customer relationships [Member] | ||
Schedule of Intangible Assets [Line Items] | ||
Gross Carrying Value | 1,300 | 1,300 |
Accumulated Amortization | (1,105) | (1,040) |
Net Book Value | 195 | 260 |
Non-compete agreements [Member] | ||
Schedule of Intangible Assets [Line Items] | ||
Gross Carrying Value | 5,640 | 5,640 |
Accumulated Amortization | (4,794) | (4,512) |
Net Book Value | $ 846 | $ 1,128 |
Accounts Payable and Accrued _3
Accounts Payable and Accrued Expenses (Details) - Schedule of Accounts Payable and Accrued Expenses - USD ($) | Jun. 30, 2024 | Dec. 31, 2023 |
Schedule of Accounts Payable and Accrued Expenses [Abstract] | ||
Accounts payable – trade | $ 436,977 | $ 874,558 |
Accounts payable – capital | 1,170 | 13,175 |
Accrued payroll | 1,272,813 | 942,999 |
Accrued professional fees | 78,550 | 97,800 |
Accrued other | 773,061 | 192,754 |
Income tax payable | 3,051 | |
Total | $ 2,562,571 | $ 2,124,337 |
Bank Debt (Details)
Bank Debt (Details) | 3 Months Ended | 6 Months Ended | 9 Months Ended | 12 Months Ended | |||||||
Sep. 30, 2027 | Jun. 30, 2021 USD ($) | Mar. 31, 2020 USD ($) | Jun. 30, 2024 USD ($) | Jun. 30, 2023 USD ($) | Sep. 30, 2026 USD ($) | Dec. 31, 2024 | Dec. 31, 2020 USD ($) | Sep. 30, 2023 USD ($) | Mar. 31, 2022 USD ($) | Jun. 30, 2020 USD ($) | |
Bank Debt [Line Items] | |||||||||||
Bearing interest percentage | 3.53% | 3.58% | |||||||||
Mortgage debt | $ 2,000,000 | ||||||||||
Line of credit | $ 1,000,000 | ||||||||||
Interest fixed rate | 5% | ||||||||||
Debt issuance costs | $ 173,305 | ||||||||||
Incurred costs | 5,037 | $ 0 | |||||||||
Outstanding amount of loan | 1,000,000 | $ 1,000,000 | |||||||||
Bank loans outstanding | 1,000,000 | ||||||||||
Gorham Savings Bank [Member] | |||||||||||
Bank Debt [Line Items] | |||||||||||
Debt financing | $ 8,600,000 | ||||||||||
Loan amortization, term | 5 years 6 months | 25 years | |||||||||
Minimum [Member] | |||||||||||
Bank Debt [Line Items] | |||||||||||
Balloon principal payment | 3,145,888 | ||||||||||
Outstanding principal balance | 4,233,957 | ||||||||||
Maximum [Member] | |||||||||||
Bank Debt [Line Items] | |||||||||||
Balloon principal payment | 3,687,544 | ||||||||||
Outstanding principal balance | $ 6,233,957 | ||||||||||
Loan #1 [Member] | |||||||||||
Bank Debt [Line Items] | |||||||||||
Balloon principal payment | $ 3,145,888 | ||||||||||
Loan #1 [Member] | Gorham Savings Bank [Member] | |||||||||||
Bank Debt [Line Items] | |||||||||||
Escrow account | $ 5,100,000 | ||||||||||
Bearing interest percentage | 3.50% | ||||||||||
Interest payments, term | 10 years | ||||||||||
Debt Instrument, Redemption, Period Two [Member] | |||||||||||
Bank Debt [Line Items] | |||||||||||
Bearing interest percentage | 3.50% | ||||||||||
Balloon principal payment | $ 3,500,000 | ||||||||||
Debt Instrument, Redemption, Period Two [Member] | Gorham Savings Bank [Member] | |||||||||||
Bank Debt [Line Items] | |||||||||||
Loan amortization, term | 7 years | ||||||||||
Loan #3 [Member] | Maine Technology Institute [Member] | |||||||||||
Bank Debt [Line Items] | |||||||||||
Loan amortization, term | 2 years 3 months | ||||||||||
Principal payment | $ 500,000 | ||||||||||
Loans #4 [Member] | Gorham Savings Bank [Member] | |||||||||||
Bank Debt [Line Items] | |||||||||||
Debt financing | $ 1,500,000 | ||||||||||
Bearing interest percentage | 3.50% | ||||||||||
Loan amortization, term | 7 years | ||||||||||
Debt Instrument, Redemption, Period Six [Member] | |||||||||||
Bank Debt [Line Items] | |||||||||||
Debt financing | $ 2,000,000 | ||||||||||
Bearing interest percentage | 7% | ||||||||||
Finance loan provided | $ 1,000,000 | ||||||||||
Debt Instrument, Redemption, Period Six [Member] | Maine Technology Institute [Member] | |||||||||||
Bank Debt [Line Items] | |||||||||||
Debt financing | $ 1,400,000 | ||||||||||
Proceeds from issuance of loan | $ 624,167 | ||||||||||
Loan to value ratio | 80% | ||||||||||
Loan #5 [Member] | |||||||||||
Bank Debt [Line Items] | |||||||||||
Principal payment | $ 400,000 | ||||||||||
Debt Instrument, Redemption, Period Seven [Member] | |||||||||||
Bank Debt [Line Items] | |||||||||||
Debt financing | $ 1,000,000 | ||||||||||
Bearing interest percentage | 8% | ||||||||||
Forecast [Member] | |||||||||||
Bank Debt [Line Items] | |||||||||||
Balloon principal payment | $ 649,439 | ||||||||||
DSC ratio | 1.35 | ||||||||||
Forecast [Member] | Maine Technology Institute [Member] | |||||||||||
Bank Debt [Line Items] | |||||||||||
Loan amortization, term | 5 years | ||||||||||
Forecast [Member] | Loan #3 [Member] | |||||||||||
Bank Debt [Line Items] | |||||||||||
Interest fixed rate | 5% | ||||||||||
Forecast [Member] | Debt Instrument, Redemption, Period Six [Member] | |||||||||||
Bank Debt [Line Items] | |||||||||||
Balloon principal payment | $ 1,285,060 | ||||||||||
Forecast [Member] | Debt Instrument, Redemption, Period Six [Member] | Mortgage Note [Member] | |||||||||||
Bank Debt [Line Items] | |||||||||||
Loan amortization, term | 7 years | ||||||||||
Forecast [Member] | Debt Instrument, Redemption, Period Seven [Member] | |||||||||||
Bank Debt [Line Items] | |||||||||||
Loan amortization, term | 7 years |
Bank Debt (Details) - Schedule
Bank Debt (Details) - Schedule of Debt Proceeds Received and Principal Repayments - USD ($) | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | Dec. 31, 2023 | Dec. 31, 2022 | |
Schedule of Debt Proceeds Received and Principal Repayments [Line Items] | ||||||
Proceeds from Debt Issuance | $ 3,000,000 | $ 2,000,000 | ||||
Debt Principal Repayments | 364,351 | 251,901 | 725,856 | 503,277 | 1,185,774 | 897,125 |
Loan #1 [Member] | ||||||
Schedule of Debt Proceeds Received and Principal Repayments [Line Items] | ||||||
Proceeds from Debt Issuance | 2,000,000 | |||||
Debt Principal Repayments | 57,148 | 55,114 | 114,346 | 110,907 | 223,222 | 199,013 |
Loan #2 [Member] | ||||||
Schedule of Debt Proceeds Received and Principal Repayments [Line Items] | ||||||
Proceeds from Debt Issuance | ||||||
Debt Principal Repayments | 127,382 | 122,905 | 253,791 | 245,134 | 494,455 | 477,237 |
Loan #3 [Member] | ||||||
Schedule of Debt Proceeds Received and Principal Repayments [Line Items] | ||||||
Proceeds from Debt Issuance | ||||||
Debt Principal Repayments | 23,875 | 22,717 | 47,455 | 45,155 | 91,446 | 22,160 |
Loan #4 [Member] | ||||||
Schedule of Debt Proceeds Received and Principal Repayments [Line Items] | ||||||
Proceeds from Debt Issuance | ||||||
Debt Principal Repayments | 53,026 | 51,165 | 105,666 | 102,081 | 205,884 | 198,715 |
Loan #5 [Member] | ||||||
Schedule of Debt Proceeds Received and Principal Repayments [Line Items] | ||||||
Proceeds from Debt Issuance | ||||||
Debt Principal Repayments | 16,513 | 32,822 | 32,017 | |||
Loan #6 [Member] | ||||||
Schedule of Debt Proceeds Received and Principal Repayments [Line Items] | ||||||
Proceeds from Debt Issuance | 2,000,000 | |||||
Debt Principal Repayments | 58,143 | 115,613 | 93,054 | |||
Loan #7 [Member] | ||||||
Schedule of Debt Proceeds Received and Principal Repayments [Line Items] | ||||||
Proceeds from Debt Issuance | 1,000,000 | |||||
Debt Principal Repayments | $ 28,264 | $ 56,163 | $ 45,696 |
Bank Debt (Details) - Schedul_2
Bank Debt (Details) - Schedule of Principal Payments Bank Loans Outstanding | Jun. 30, 2024 USD ($) |
Schedule of Principal Payments Bank Loans Outstanding [Line Items] | |
Debt issuance costs During the Three-Month Period Ending December 31, 2024 | $ (11,167) |
Debt issuance costs 2025 | (21,314) |
Debt issuance costs 2026 | (13,580) |
Debt issuance costs 2027 | (5,420) |
Debt issuance costs 2028 | (3,513) |
Debt issuance costs Thereafter | (11,347) |
Debt issuance costs, Total | (66,341) |
Debt discount cost During the Three-Month Period Ending December 31, 2024 | (10,446) |
Debt discount cost 2025 | (20,891) |
Debt discount cost 2026 | (11,344) |
Debt discount cost 2027 | |
Debt discount cost 2028 | |
Debt discount cost Thereafter | |
Debt discount cost Total | (42,681) |
Total During the Three-Month Period Ending December 31, 2024 | 721,068 |
Total 2025 | 1,497,627 |
Total 2026 | 3,316,161 |
Total 2027 | 793,419 |
Total 2028 | 344,110 |
Total Thereafter | 4,587,078 |
Total | 11,259,463 |
Loan #1 [Member] | |
Schedule of Principal Payments Bank Loans Outstanding [Line Items] | |
During the Three-Month Period Ending December 31, 2024 | 116,468 |
During the Three-Month Period Ending December 31, 2025 | 239,876 |
During the Three-Month Period Ending December 31, 2026 | 248,604 |
During the Three-Month Period Ending December 31, 2027 | 257,649 |
During the Three-Month Period Ending December 31, 2028 | 266,537 |
During the Three-Month Period Ending ,Thereafter | 4,598,425 |
During the Three-Month Period Ending, Total | 5,727,559 |
Loan #2 [Member] | |
Schedule of Principal Payments Bank Loans Outstanding [Line Items] | |
During the Three-Month Period Ending December 31, 2024 | 258,326 |
During the Three-Month Period Ending December 31, 2025 | 530,738 |
During the Three-Month Period Ending December 31, 2026 | 549,881 |
During the Three-Month Period Ending December 31, 2027 | 140,445 |
During the Three-Month Period Ending December 31, 2028 | |
During the Three-Month Period Ending ,Thereafter | |
During the Three-Month Period Ending, Total | 1,479,390 |
Loan #3 [Member] | |
Schedule of Principal Payments Bank Loans Outstanding [Line Items] | |
During the Three-Month Period Ending December 31, 2024 | 48,649 |
During the Three-Month Period Ending December 31, 2025 | 101,001 |
During the Three-Month Period Ending December 31, 2026 | 106,146 |
During the Three-Month Period Ending December 31, 2027 | 83,143 |
During the Three-Month Period Ending December 31, 2028 | |
During the Three-Month Period Ending ,Thereafter | |
During the Three-Month Period Ending, Total | 338,939 |
Loan #4 [Member] | |
Schedule of Principal Payments Bank Loans Outstanding [Line Items] | |
During the Three-Month Period Ending December 31, 2024 | 107,557 |
During the Three-Month Period Ending December 31, 2025 | 220,994 |
During the Three-Month Period Ending December 31, 2026 | 228,965 |
During the Three-Month Period Ending December 31, 2027 | 240,446 |
During the Three-Month Period Ending December 31, 2028 | |
During the Three-Month Period Ending ,Thereafter | |
During the Three-Month Period Ending, Total | 797,962 |
Loan #5 [Member] | |
Schedule of Principal Payments Bank Loans Outstanding [Line Items] | |
During the Three-Month Period Ending December 31, 2024 | 33,648 |
During the Three-Month Period Ending December 31, 2025 | 69,856 |
During the Three-Month Period Ending December 31, 2026 | 73,415 |
During the Three-Month Period Ending December 31, 2027 | 77,156 |
During the Three-Month Period Ending December 31, 2028 | 81,086 |
During the Three-Month Period Ending ,Thereafter | |
During the Three-Month Period Ending, Total | 335,161 |
Loan #6 [Member] | |
Schedule of Principal Payments Bank Loans Outstanding [Line Items] | |
During the Three-Month Period Ending December 31, 2024 | 119,768 |
During the Three-Month Period Ending December 31, 2025 | 253,003 |
During the Three-Month Period Ending December 31, 2026 | 1,418,562 |
During the Three-Month Period Ending December 31, 2027 | |
During the Three-Month Period Ending December 31, 2028 | |
During the Three-Month Period Ending ,Thereafter | |
During the Three-Month Period Ending, Total | 1,791,333 |
Loan #7 [Member] | |
Schedule of Principal Payments Bank Loans Outstanding [Line Items] | |
During the Three-Month Period Ending December 31, 2024 | 58,265 |
During the Three-Month Period Ending December 31, 2025 | 124,364 |
During the Three-Month Period Ending December 31, 2026 | 715,512 |
During the Three-Month Period Ending December 31, 2027 | |
During the Three-Month Period Ending December 31, 2028 | |
During the Three-Month Period Ending ,Thereafter | |
During the Three-Month Period Ending, Total | 898,141 |
Subtotal [Member] | |
Schedule of Principal Payments Bank Loans Outstanding [Line Items] | |
During the Three-Month Period Ending December 31, 2024 | 742,681 |
During the Three-Month Period Ending December 31, 2025 | 1,539,832 |
During the Three-Month Period Ending December 31, 2026 | 3,341,085 |
During the Three-Month Period Ending December 31, 2027 | 798,839 |
During the Three-Month Period Ending December 31, 2028 | 347,623 |
During the Three-Month Period Ending ,Thereafter | 4,598,425 |
During the Three-Month Period Ending, Total | $ 11,368,485 |
Contingent Liabilities and Co_2
Contingent Liabilities and Commitments (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Mar. 31, 2022 | Jun. 30, 2024 | Jan. 01, 2024 | Dec. 31, 2023 | Jan. 01, 2023 | |
Contingent Liabilities and Commitments [Line Items] | |||||
Total accrued amount | $ 222,379 | ||||
Accounts payable and accrued expenses | $ 250,000 | $ 200,000 | |||
Deferred compensation | $ 300,000 | $ 100,000 | $ 100,000 | ||
Deferred compensation agreement annual base salary percentage | 100% | ||||
Capital expenditures committed | $ 123,000 | ||||
Construct and equip commitment | 1,769,000 | ||||
Purchase of inventory | 457,000 | ||||
Mr. Brigham [Member] | |||||
Contingent Liabilities and Commitments [Line Items] | |||||
Accounts payable and accrued expenses | 230,162 | $ 230,162 | |||
Deferred compensation | $ 100,000 |
Operating Leases (Details)
Operating Leases (Details) | Jan. 31, 2025 USD ($) | Nov. 01, 2023 USD ($) | Jun. 30, 2024 USD ($) | Dec. 31, 2023 USD ($) | Sep. 30, 2022 ft² | Sep. 12, 2019 ft² |
Operating Leases [Line Items] | ||||||
Square feet (in Square Feet) | ft² | 14,300 | |||||
Operating lease right of use assets | $ 4,502,595 | $ 4,571,149 | ||||
Operating lease liability | $ 4,577,961 | |||||
Building [Member] | ||||||
Operating Leases [Line Items] | ||||||
Square feet (in Square Feet) | ft² | 15,400 | |||||
Lease term | 10 years | 20 years | ||||
Renew term | 10 years | |||||
Additional rent payment | $ 20,000 | |||||
Operating lease right of use assets | $ 4,502,595 | 4,571,149 | ||||
Operating lease liability | $ 4,577,961 | $ 4,721,385 | ||||
Forecast [Member] | Building [Member] | ||||||
Operating Leases [Line Items] | ||||||
Additional rent payment | $ 368,743 |
Operating Leases (Details) - Sc
Operating Leases (Details) - Schedule of Lease Costs and Other Lease Information - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Lease Cost | ||||
Operating lease cost | $ 106,880 | $ 98,714 | $ 213,759 | $ 146,240 |
Variable lease cost | 19,431 | 9,720 | 29,151 | 17,334 |
Total lease cost | 126,311 | 108,434 | 242,910 | 163,574 |
Operating Lease | ||||
Cash paid for operating lease liabilities | $ 144,315 | $ 30,993 | $ 288,630 | $ 61,734 |
Weighted average remaining lease term (in years) | 18 years 7 months 6 days | 19 years 7 months 6 days | 18 years 7 months 6 days | 19 years 7 months 6 days |
Weighted average discount rate | 7.10% | 6.30% | 7.10% | 6.30% |
Operating Leases (Details) - _2
Operating Leases (Details) - Schedule of Future Lease Payments Required Under Non-Cancelable Operating Leases | Jun. 30, 2024 USD ($) |
Schedule of Future Lease Payments Required Under Non-Cancelable Operating Leases [Abstract] | |
During the six-month period ending December 31, 2024 | $ 288,630 |
2025 | 711,623 |
2026 | 349,744 |
2027 | 356,732 |
2028 | 363,870 |
Thereafter | 5,949,488 |
Total lease payments (undiscounted cash flows) | 8,020,087 |
Less: imputed interest (discount effect of cash flows) | (3,442,126) |
Total operating liabilities | $ 4,577,961 |
Stockholders_ Equity (Details)
Stockholders’ Equity (Details) - USD ($) | 1 Months Ended | 6 Months Ended | 12 Months Ended | |||||||||||||
Aug. 02, 2024 | Apr. 09, 2024 | Apr. 30, 2021 | Apr. 30, 2021 | Mar. 31, 2019 | Dec. 31, 2017 | Jul. 31, 2017 | Oct. 31, 2016 | Feb. 29, 2016 | Jun. 30, 2024 | Jun. 30, 2023 | Dec. 31, 2023 | Dec. 31, 2022 | Jun. 30, 2022 | Jun. 10, 2020 | Jun. 14, 2018 | |
Stockholders’ Equity [Line Items] | ||||||||||||||||
Common stock shares sold | 515,156 | 1,636,364 | 417,807 | 200,000 | 1,123,810 | |||||||||||
Gross proceeds (in Dollars) | $ 4,250,038 | $ 9,000,002 | $ 3,049,991 | $ 1,050,000 | $ 5,900,003 | $ 252,749 | ||||||||||
Sale of stock, per share (in Dollars per share) | $ 8.25 | $ 8.25 | $ 5.5 | $ 7.3 | $ 5.25 | $ 5.25 | ||||||||||
Net proceeds (in Dollars) | $ 4,233,026 | $ 8,303,436 | $ 2,734,173 | $ 1,034,164 | $ 5,313,224 | |||||||||||
Common stock, shares authorized | 11,000,000 | 15,000,000 | 15,000,000 | |||||||||||||
Exercise price (in Dollars per share) | $ 6.72 | $ 5.19 | $ 6.82 | $ 7.19 | ||||||||||||
Stock options granted | 21,000 | 108,000 | ||||||||||||||
Stock-based compensation related to non-vested stock options (in Dollars) | $ 446,494 | |||||||||||||||
Weighted-average period | 1 year | |||||||||||||||
Common stock purchase price (in Dollars per share) | $ 70 | |||||||||||||||
Exercisable and transferable, description | The Rights (as amended) become exercisable and transferable apart from the common stock upon the earlier of i) 10 days following a public announcement that a person or group (Acquiring Person) has, without the prior consent of the Continuing Directors (as such term is defined in the Rights Agreement), acquired beneficial ownership of 20% or more of the outstanding common stock or ii) 10 days following commencement of a tender offer or exchange offer the consummation of which would result in ownership by a person or group of 20% or more of the outstanding common stock (the earlier of such dates being called the Distribution Date). | |||||||||||||||
Purchase price (in Dollars per share) | $ 70 | |||||||||||||||
Common stock were changed percentage | 50% | |||||||||||||||
Price per Right (in Dollars per share) | $ 0.005 | |||||||||||||||
Extend the rights plan, description | Our Board of Directors decided to seek an advisory vote by stockholders at the Annual Meeting of Stockholders held in June of 2022, as to whether to extend the Rights Plan by one year to September 19, 2023. Of the votes actually cast on this proposal, 65% voted in favor, 32% voted against and 3% abstained. On the basis of this vote, our Board of Directors voted to extend the Rights Plan by one year to September 19, 2023. Our Board of Directors decided to seek another advisory vote by stockholders at the Annual Meeting of Stockholders held in June of 2023, as to whether to extend the Rights Plan by another year to September 19, 2024. Of the votes actually cast on this proposal, 65.10% voted in favor, 34.60% voted against and 0.30% abstained. On the basis of this vote, our Board of Directors voted to extend the Rights Plan by one year to September 19, 2024. Recognizing that there might be a substantial number of broker non-votes, our Board of Directors disclosed that it would be guided by the votes actually cast on these proposals in deciding whether to extend the expiration date of such plan by one year. | |||||||||||||||
Common Stock Issuances [Member] | ||||||||||||||||
Stockholders’ Equity [Line Items] | ||||||||||||||||
Issuance and sale (in Dollars) | $ 20,000,000 | |||||||||||||||
Minimum [Member] | ||||||||||||||||
Stockholders’ Equity [Line Items] | ||||||||||||||||
Common stock, shares authorized | 11,000,000 | 8,000,000 | ||||||||||||||
Percentage of acquiring person | 20% | |||||||||||||||
Maximum [Member] | ||||||||||||||||
Stockholders’ Equity [Line Items] | ||||||||||||||||
Common stock, shares authorized | 15,000,000 | 11,000,000 | ||||||||||||||
Percentage of acquiring person | 20% | |||||||||||||||
2010 Plan [Member] | ||||||||||||||||
Stockholders’ Equity [Line Items] | ||||||||||||||||
Shares of common stock | 300,000 | |||||||||||||||
Stock option expiration period | 10 years | |||||||||||||||
Common stock outstanding under the plan | 186,500 | 188,500 | ||||||||||||||
Weighted average remaining life of options outstanding | 5 years | |||||||||||||||
Weighted average remaining life of the options exercisable | 3 years | |||||||||||||||
2010 Plan [Member] | Minimum [Member] | ||||||||||||||||
Stockholders’ Equity [Line Items] | ||||||||||||||||
Exercise price (in Dollars per share) | $ 4 | |||||||||||||||
2010 Plan [Member] | Maximum [Member] | ||||||||||||||||
Stockholders’ Equity [Line Items] | ||||||||||||||||
Exercise price (in Dollars per share) | $ 10.04 | |||||||||||||||
2017 Plan [Member] | ||||||||||||||||
Stockholders’ Equity [Line Items] | ||||||||||||||||
Stock option expiration period | 10 years | |||||||||||||||
Common stock outstanding under the plan | 431,500 | 430,000 | ||||||||||||||
Weighted average remaining life of options outstanding | 3 months | |||||||||||||||
2017 Plan [Member] | Minimum [Member] | ||||||||||||||||
Stockholders’ Equity [Line Items] | ||||||||||||||||
Shares of common stock | 300,000 | |||||||||||||||
2017 Plan [Member] | Maximum [Member] | ||||||||||||||||
Stockholders’ Equity [Line Items] | ||||||||||||||||
Shares of common stock | 650,000 | |||||||||||||||
2017 Plan [Member] | Common Stock [Member] | ||||||||||||||||
Stockholders’ Equity [Line Items] | ||||||||||||||||
Shares of common stock | 300,000 | |||||||||||||||
Employee Stock Option [Member] | ||||||||||||||||
Stockholders’ Equity [Line Items] | ||||||||||||||||
Exercise price (in Dollars per share) | $ 4.3 | |||||||||||||||
Acquiring Person [Member] | ||||||||||||||||
Stockholders’ Equity [Line Items] | ||||||||||||||||
Acquisition percentage | 50% | |||||||||||||||
Employee Stock Option [Member] | ||||||||||||||||
Stockholders’ Equity [Line Items] | ||||||||||||||||
Stock options granted (in Dollars per share) | $ 2.02 | $ 2.8 | ||||||||||||||
Subsequent Event [Member] | ||||||||||||||||
Stockholders’ Equity [Line Items] | ||||||||||||||||
Common stock shares sold | 82,216 | |||||||||||||||
Other fees (in Dollars) | $ 152,272 | |||||||||||||||
Sales commissions (in Dollars) | 12,530 | |||||||||||||||
Subsequent Event [Member] | ATM Agreement [Member] | ||||||||||||||||
Stockholders’ Equity [Line Items] | ||||||||||||||||
Sales commissions (in Dollars) | $ 252,749 | |||||||||||||||
Common Stock [Member] | ||||||||||||||||
Stockholders’ Equity [Line Items] | ||||||||||||||||
Common stock shares sold | 4,553,017 | |||||||||||||||
Gross proceeds (in Dollars) | $ 26,714,403 | |||||||||||||||
Weighted average price (in Dollars per share) | $ 5.87 | $ 5.87 | ||||||||||||||
Private Placement [Member] | ||||||||||||||||
Stockholders’ Equity [Line Items] | ||||||||||||||||
Common stock shares sold | 659,880 | |||||||||||||||
Gross proceeds (in Dollars) | $ 3,464,370 | |||||||||||||||
Sale of stock, per share (in Dollars per share) | $ 5.25 | |||||||||||||||
Net proceeds (in Dollars) | $ 3,160,923 |
Stockholders_ Equity (Details)
Stockholders’ Equity (Details) - Schedule of Activity Under the Stock Option Plans - USD ($) | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2024 | Dec. 31, 2023 | ||
Schedule of Activity Under the Stock Option Plans [Line Items] | |||
Weighted Average Exercise Price, Outstanding, Beginning balance (in Dollars) | [1] | $ (1,071,121) | $ (661,310) |
Aggregate Intrinsic Value, Outstanding, Beginning balance (in Dollars per share) | $ 6.82 | $ 7.19 | |
Weighted Average Exercise Price, Outstanding, Ending balance (in Dollars) | [1] | $ (1,155,451) | $ (1,071,121) |
Aggregate Intrinsic Value, Outstanding, Ending balance (in Dollars per share) | $ 6.72 | $ 6.82 | |
Weighted Average Exercise Price, Vested (in Dollars per share) | $ 6.87 | ||
Aggregate Intrinsic Value, Vested (in Dollars) | [1] | $ (637,770) | |
Weighted Average Exercise Price, Vested and expected to vest (in Dollars) | [1] | $ (1,155,451) | |
Aggregate Intrinsic Value, Vested and expected to vest (in Dollars per share) | $ 6.72 | ||
Weighted Average Exercise Price, Grants (in Dollars per share) | 4.3 | 5.16 | |
Weighted Average Exercise Price, Terminations/forfeitures (in Dollars per share) | [2] | 7.29 | 7.12 |
Weighted Average Exercise Price, Exercises (in Dollars per share) | $ 4.69 | ||
2010 Plan [Member] | |||
Schedule of Activity Under the Stock Option Plans [Line Items] | |||
Outstanding, Beginning balance | 188,500 | 202,500 | |
Outstanding, Ending balance | 186,500 | 188,500 | |
Vested | 186,500 | ||
Vested and expected to vest | 186,500 | ||
Reserved for future grants | |||
Grants | |||
Terminations/forfeitures | [2] | (2,000) | (10,000) |
Exercises | (4,000) | ||
2017 Plan [Member] | |||
Schedule of Activity Under the Stock Option Plans [Line Items] | |||
Outstanding, Beginning balance | 430,000 | 402,500 | |
Outstanding, Ending balance | 431,500 | 430,000 | |
Vested | 128,500 | ||
Vested and expected to vest | 431,500 | ||
Reserved for future grants | 200,500 | ||
Grants | 21,000 | 122,000 | |
Terminations/forfeitures | [2] | (19,500) | (94,500) |
Exercises | |||
[1]Intrinsic value is the difference between the fair market value of the underlying common stock as of the date indicated and as of the date of the option grant (which is equal to the option exercise price).[2]Terminations and forfeitures are recognized when they occur. |
Stockholders_ Equity (Details_2
Stockholders’ Equity (Details) - Schedule of Additional Information About the Stock Option Plans - Stock Option Plans [Member] | 6 Months Ended |
Jun. 30, 2024 $ / shares shares | |
Schedule of Additional Information About the Stock Option Plans [Line Items] | |
Number of Shares, Non-vested stock options as of beginning balance (in Shares) | shares | 337,500 |
Weighted Average Fair Value at Grant Date, Non-vested stock options as of beginning balance | $ 3.66 |
Weighted Average Exercise Price, Non-vested stock options as of beginning balance | $ 7.14 |
Number of Shares, Non-vested stock options as of ending balance (in Shares) | shares | 303,000 |
Weighted Average Fair Value at Grant Date, Non-vested stock options as of ending balance | $ 3.46 |
Weighted Average Exercise Price, Non-vested stock options as of ending balance | $ 6.56 |
Number of Shares, Stock options granted (in Shares) | shares | 21,000 |
Weighted Average Fair Value at Grant Date, Stock options granted | $ 2.02 |
Weighted Average Exercise Price, Stock options granted | $ 4.3 |
Number of Shares, Stock options that vested (in Shares) | shares | 46,000 |
Weighted Average Fair Value at Grant Date, Stock options that vested | $ 4.16 |
Weighted Average Exercise Price, Stock options that vested | $ 9.69 |
Number of Shares, Stock options that were forfeited (in Shares) | shares | 21,500 |
Weighted Average Fair Value at Grant Date, Stock options that were forfeited | $ 3.53 |
Weighted Average Exercise Price, Stock options that were forfeited | $ 7.29 |
Stockholders_ Equity (Details_3
Stockholders’ Equity (Details) - Schedule of Fair Value Stock Option Grant Using Black-Scholes Option Pricing Model With the Weighted-Average Assumptions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | ||
Schedule of Fair Value Stock Option Grant Using Black-Scholes Option Pricing Model With the Weighted-Average Assumptions [Abstract] | |||||
Risk-free interest rate | [1] | 4.24% | 3.25% | 4.24% | 3.48% |
Dividend yield | [2] | 0% | 0% | 0% | 0% |
Expected volatility | [2] | 50% | 50% | 50% | 54% |
Expected life | [3] | 4 years 8 months 12 days | 4 years 10 months 24 days | 4 years 9 months 18 days | 6 years 2 months 12 days |
[1]The risk-free interest rate is based on U.S. Treasury yields for a maturity approximating the expected option term.[2]The dividend yield and expected volatility are derived from averages of our historical data.[3]The expected life is calculated utilizing the simplified method, which uses the mid-point between the vesting period and the contractual term as the expected life. |
Revenue (Details) - Schedule of
Revenue (Details) - Schedule of Product Sales Disaggregated by Geographic Area - USD ($) | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | Dec. 31, 2023 | Dec. 31, 2022 | |
Schedule of Product Sales Disaggregated by Geographic Area [Line Items] | ||||||
Total product Sales | $ 5,472,890 | $ 3,532,681 | $ 12,730,467 | $ 6,979,207 | $ 17,471,669 | $ 18,567,962 |
Percentage of product sales | 100% | 100% | 100% | 100% | ||
United States [Member] | ||||||
Schedule of Product Sales Disaggregated by Geographic Area [Line Items] | ||||||
Total product Sales | $ 4,892,136 | $ 3,254,266 | $ 11,232,777 | $ 6,250,420 | ||
Percentage of product sales | 89% | 92% | 88% | 90% | ||
Other [Member] | ||||||
Schedule of Product Sales Disaggregated by Geographic Area [Line Items] | ||||||
Total product Sales | $ 580,754 | $ 278,415 | $ 1,497,690 | $ 728,787 | ||
Percentage of product sales | 11% | 8% | 12% | 10% |
Revenue (Details) - Schedule _2
Revenue (Details) - Schedule of Product Sales Disaggregated by Major Product Category - USD ($) | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | Dec. 31, 2023 | Dec. 31, 2022 | |
Schedule of Product Sales Disaggregated by Major Product Category [Line Items] | ||||||
Total product sales | $ 5,472,890 | $ 3,532,681 | $ 12,730,467 | $ 6,979,207 | $ 17,471,669 | $ 18,567,962 |
Percentage of product sales | 100% | 100% | 100% | 100% | ||
First Defense® product line [Member] | ||||||
Schedule of Product Sales Disaggregated by Major Product Category [Line Items] | ||||||
Total product sales | $ 5,430,069 | $ 3,482,259 | $ 12,650,710 | $ 6,893,491 | ||
Percentage of product sales | 99% | 99% | 99% | 99% | ||
Other animal health [Member] | ||||||
Schedule of Product Sales Disaggregated by Major Product Category [Line Items] | ||||||
Total product sales | $ 42,821 | $ 50,422 | $ 79,757 | $ 85,716 | ||
Percentage of product sales | 1% | 1% | 1% | 1% |
Other Expenses, Net (Details)
Other Expenses, Net (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Other Expenses, Net [Abstract] | ||||
Amortization of debt issuance costs | $ 10,806 | $ 1,919 | $ 21,054 | $ 3,838 |
Other Expenses, Net (Details) -
Other Expenses, Net (Details) - Schedule of Other Expenses Net - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | ||
Schedule of Other Expenses Net [Abstract] | |||||
Interest expense | [1] | $ 142,386 | $ 88,577 | $ 288,388 | $ 178,561 |
Loss (gain) on disposal of property, plant and equipment | 14,557 | (77) | 14,557 | 8,167 | |
Interest income | (13,264) | (14,806) | (22,791) | (55,438) | |
Income-other | (107) | ||||
Other expenses, net | $ 143,679 | $ 73,694 | $ 280,154 | $ 131,183 | |
[1]Interest expense includes amortization of debt issuance and debt discount costs of $10,806 and $1,919 during the three-month periods ended June 30, 2024 or 2023, respectively, and $21,054 and $3,838 during the six-month periods ended June 30, 2024 and 2023, respectively. |
Income Taxes (Details)
Income Taxes (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2018 | Dec. 31, 2023 | |
Income Taxes [Line Items] | ||||||
Income tax expense | $ 1,340 | $ 1,525 | $ 2,680 | $ 3,050 | ||
Loss income before income taxes, rate | 1% | 1% | ||||
Non-cash income tax expense | $ 563,252 | |||||
Value of our deferred tax assets | $ 0 | $ 0 | ||||
Federal [Member] | ||||||
Income Taxes [Line Items] | ||||||
Net operating loss carryforwards | $ 17,759,519 | |||||
Net operating loss carryforwards not expire | 16,047,612 | |||||
Net operating loss carryforwards expire | 1,711,907 | |||||
Expiration term | expire in 2034 through 2037 | |||||
State [Member] | ||||||
Income Taxes [Line Items] | ||||||
Net operating loss carryforwards expire | $ 4,681,644 | |||||
Expiration term | expire in 2037 through 2038 | |||||
Federal General Business [Member] | ||||||
Income Taxes [Line Items] | ||||||
Net operating loss carryforwards expire | 726,474 | $ 726,474 | ||||
Expiration term | expire in 2027 through 2042 | |||||
State Tax Credit [Member] | ||||||
Income Taxes [Line Items] | ||||||
Net operating loss carryforwards expire | $ 775,473 | $ 775,473 | ||||
Expiration term | expire in 2024 through 2042 |
Segment Information (Details)
Segment Information (Details) | 6 Months Ended |
Jun. 30, 2024 | |
Segment Information [Abstract] | |
Reportable business segments | 2 |
Segment Information (Details) -
Segment Information (Details) - Schedule of Segment Information - USD ($) | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | Dec. 31, 2023 | Dec. 31, 2022 | |
Schedule of Segment Information [Line Items] | ||||||
Product sales | $ 5,472,890 | $ 3,532,681 | $ 12,730,467 | $ 6,979,207 | $ 17,471,669 | $ 18,567,962 |
Costs of goods sold | 4,242,404 | 2,488,793 | 9,204,622 | 5,634,544 | 13,602,385 | 10,919,183 |
Gross margin | 1,230,486 | 1,043,888 | 3,525,845 | 1,344,663 | 3,869,284 | 7,648,779 |
Product development expense | 1,030,502 | 1,099,538 | 2,293,053 | 2,209,907 | 4,394,852 | 4,493,872 |
Sales and marketing expenses | 984,957 | 719,789 | 1,785,880 | 1,599,216 | 3,088,215 | 3,190,033 |
Administrative expenses | 601,634 | 529,056 | 1,133,572 | 1,096,074 | 2,134,295 | 2,263,817 |
Operating expenses | 2,617,093 | 2,348,383 | 5,212,505 | 4,905,197 | 9,617,362 | 9,947,722 |
NET OPERATING INCOME (LOSS) | (1,386,607) | (1,304,495) | (1,686,660) | (3,560,534) | (5,748,078) | (2,298,943) |
Total Assets | 41,855,458 | 44,007,068 | 41,855,458 | 44,007,068 | 43,808,102 | 44,860,649 |
Depreciation and amortization expense | 681,765 | 686,714 | 1,359,265 | 1,345,543 | 2,739,620 | 2,495,241 |
Capital Expenditures | 110,741 | 708,488 | 181,097 | 1,390,654 | 1,892,513 | 3,975,274 |
Scours [Member] | ||||||
Schedule of Segment Information [Line Items] | ||||||
Product sales | 5,430,069 | 3,482,259 | 12,650,710 | 6,893,491 | 17,293,933 | 18,411,949 |
Costs of goods sold | 4,198,849 | 2,453,169 | 9,122,397 | 5,557,127 | 13,453,514 | 10,754,189 |
Gross margin | 1,231,220 | 1,029,090 | 3,528,313 | 1,336,364 | 3,840,419 | 7,657,760 |
Product development expense | 65,598 | 2,252 | 95,093 | 2,543 | 11,103 | 66,346 |
Sales and marketing expenses | 855,513 | 558,179 | 1,525,252 | 1,248,723 | 2,447,137 | 1,871,926 |
Administrative expenses | ||||||
Operating expenses | 921,111 | 560,431 | 1,620,345 | 1,251,266 | 2,458,240 | 1,938,272 |
NET OPERATING INCOME (LOSS) | 310,109 | 468,659 | 1,907,968 | 85,098 | 1,382,179 | 5,719,488 |
Total Assets | 23,240,545 | 23,910,633 | 23,240,545 | 23,910,633 | 24,735,413 | 20,539,523 |
Depreciation and amortization expense | 342,362 | 341,979 | 681,281 | 665,236 | 1,365,988 | 1,169,011 |
Capital Expenditures | 93,338 | 124,911 | 132,812 | 696,647 | 1,096,819 | 3,513,336 |
Mastitis [Member] | ||||||
Schedule of Segment Information [Line Items] | ||||||
Product sales | 42,821 | 50,422 | 79,757 | 85,716 | 177,736 | 154,558 |
Costs of goods sold | 43,555 | 35,624 | 82,225 | 77,417 | 148,871 | 136,347 |
Gross margin | (734) | 14,798 | (2,468) | 8,299 | 28,865 | 18,211 |
Product development expense | 928,531 | 1,061,383 | 2,131,473 | 2,137,728 | 4,242,329 | 4,317,921 |
Sales and marketing expenses | 129,444 | 161,610 | 260,628 | 350,493 | 641,078 | 1,318,107 |
Administrative expenses | ||||||
Operating expenses | 1,057,975 | 1,222,993 | 2,392,101 | 2,488,221 | 4,883,407 | 5,636,028 |
NET OPERATING INCOME (LOSS) | (1,058,709) | (1,208,195) | (2,394,569) | (2,479,922) | (4,854,542) | (5,617,817) |
Total Assets | 17,107,377 | 18,374,662 | 17,107,377 | 18,374,662 | 17,827,839 | 18,315,492 |
Depreciation and amortization expense | 319,727 | 323,661 | 638,445 | 641,285 | 1,287,600 | 1,263,318 |
Capital Expenditures | 17,403 | 583,577 | 48,285 | 694,007 | 795,694 | 414,486 |
Other [Member] | ||||||
Schedule of Segment Information [Line Items] | ||||||
Product sales | 1,455 | |||||
Costs of goods sold | 28,647 | |||||
Gross margin | (27,192) | |||||
Product development expense | 36,373 | 35,903 | 66,487 | 69,636 | 141,420 | 109,605 |
Sales and marketing expenses | ||||||
Administrative expenses | 601,634 | 529,056 | 1,133,572 | 1,096,074 | 2,134,295 | 2,263,817 |
Operating expenses | 638,007 | 564,959 | 1,200,059 | 1,165,710 | 2,275,715 | 2,373,422 |
NET OPERATING INCOME (LOSS) | (638,007) | (564,959) | (1,200,059) | (1,165,710) | (2,275,715) | (2,400,614) |
Total Assets | 1,507,536 | 1,721,773 | 1,507,536 | 1,721,773 | 1,244,850 | 6,005,634 |
Depreciation and amortization expense | 19,676 | 21,074 | 39,539 | 39,022 | 86,032 | 62,912 |
Capital Expenditures | $ 47,452 |
Related Party Transactions (Det
Related Party Transactions (Details) - USD ($) | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Dec. 31, 2023 | |
Related Party Transactions [Line Items] | |||
Related party products purchased | $ 270,867 | $ 56,556 | |
Related Party [Member] | |||
Related Party Transactions [Line Items] | |||
Accounts receivable | $ 34,576 | $ 42,507 |
Employee Benefits (Details)
Employee Benefits (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Employee Benefits [Line Items] | ||||
Employee’s salary percentage | 100% | |||
Employee’s salary contribution percentage | 50% | |||
Employee benefits paid | $ 48,579 | $ 40,630 | $ 103,514 | $ 85,572 |
Employee [Member] | ||||
Employee Benefits [Line Items] | ||||
Employee’s salary percentage | 3% | |||
Employee One [Member] | ||||
Employee Benefits [Line Items] | ||||
Employee’s salary contribution percentage | 2% |