Annual report [Section 13 and 15(d), not S-K Item 405]

Income Taxes (Tables)

v3.25.2
Income Taxes (Tables)
12 Months Ended
May 31, 2025
Income Taxes  
Schedule of provision for income taxes

​

​

​

​

​

​

​

​

​

    

Years Ended May 31,

​

​

2025

​

2024

Current:

​

​

​

​

​

​

Federal

​

$

—

​

$

—

State

​

 

—

​

 

—

Total Current

​

 

—

​

 

—

Deferred:

​

 

​

​

 

​

Federal

​

 

(2,433)

​

 

57

State

​

 

—

​

 

—

Change in valuation allowance

​

​

2,433

​

​

(57)

Total deferred

​

​

—

​

​

—

Total income tax benefit (expense)

​

$

—

​

$

—

Schedule of reconciliation of federal statutory Income tax

The Company’s provision for income tax differs from the amount computed by applying the statutory federal income tax rate to income before taxes as follows:

​

​

​

​

​

​

​

​

Years ended May 31,

​

    

2025

    

2024

    

Statutory federal income tax rate

 

21.0

%  

21.0

%  

Derivative loss

 

4.8

 

(0.1)

 

Non-deductible debt issuance costs

 

(2.3)

 

(7.1)

 

Non-deductible interest on convertible notes

 

24.8

 

(2.0)

 

Non-deductible loss on induced conversion

​

6.6

​

(2.8)

​

Non-deductible debt discount amortization

 

2.3

 

(0.5)

 

Stock Compensation

 

6.2

 

(7.2)

 

NOL expiration

 

1.5

 

(0.0)

 

Other

 

(0.0)

 

(1.2)

 

Valuation allowance

 

(64.9)

 

(0.1)

 

Total provision for income taxes

 

0.0

%  

0.0

%  

Schedule of net deferred tax assets and liabilities

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​

​

​

​

​

​

​

​

    

As of May 31,

​

    

2025

    

2024

Deferred tax assets:

​

​

​

​

​

​

Net operating loss

​

$

97,626

​

$

100,897

Credits

​

 

2,063

​

 

2,063

ASC 718 expense on non-qualified stock options

​

 

2,724

​

 

2,665

Accrued expenses

​

 

272

​

 

411

Lease liability

​

​

30

​

​

59

Inventory charges

​

​

6,173

​

​

6,173

Inventory write-off

​

​

1,953

​

​

1,953

Contingent liability

​

​

9,150

​

​

9,202

Issued warrants

​

​

2,901

​

​

3,000

Section 174 R&D costs

​

​

3,179

​

​

2,056

Amortization

​

 

155

​

 

207

Fixed assets

​

 

4

​

 

5

Other

​

​

—

​

​

—

Total gross deferred tax asset

​

​

126,230

​

​

128,691

Less valuation allowance

​

​

(126,203)

​

​

(128,636)

Total deferred tax assets

​

​

27

​

​

55

Deferred tax liabilities:

​

​

​

​

​

​

Right-of-use asset

​

 

(27)

​

 

(55)

Total deferred tax liabilities

​

​

(27)

​

​

(55)

Net deferred tax asset (liability)

​

$

—

​

$

—

Schedule of reconciliation of the beginning and ending amount of the valuation allowance

​

​

​

​

​

​

​

​

​

    

May 31,

​

​

2025

​

2024

Valuation allowance at beginning of year

​

$

128,636

​

$

128,579

Change in valuation allowance

​

 

(2,433)

​

 

57

Valuation allowance at end of year

​

$

126,203

​

$

128,636