000168037812-312025Q2false0.10xbrli:sharesiso4217:USDiso4217:USDxbrli:sharessnes:statesnes:territoryxbrli:puresnes:yearsnes:segement00016803782025-01-012025-06-3000016803782025-08-0500016803782025-06-3000016803782024-12-3100016803782025-04-012025-06-3000016803782024-04-012024-06-3000016803782024-01-012024-06-3000016803782023-12-3100016803782024-06-300001680378snes:EvolveMember2025-01-012025-06-300001680378snes:EvolveMouseMember2025-01-012025-06-3000016803782025-03-3100016803782024-03-310001680378snes:ResearchAndDevelopmentEquipmentMember2025-06-300001680378snes:ResearchAndDevelopmentEquipmentMember2024-12-310001680378snes:OfficeAndComputerEquipmentMember2025-06-300001680378snes:OfficeAndComputerEquipmentMember2024-12-310001680378snes:AutosTrucksMember2025-06-300001680378snes:AutosTrucksMember2024-12-310001680378us-gaap:FurnitureAndFixturesMember2025-06-300001680378us-gaap:FurnitureAndFixturesMember2024-12-310001680378us-gaap:LeaseholdImprovementsMember2025-06-300001680378us-gaap:LeaseholdImprovementsMember2024-12-310001680378snes:DepreciablePropertyPlantAndEquipmentMember2025-06-300001680378snes:DepreciablePropertyPlantAndEquipmentMember2024-12-310001680378us-gaap:ConstructionInProgressMember2025-06-300001680378us-gaap:ConstructionInProgressMember2024-12-310001680378us-gaap:NotesPayableOtherPayablesMember2025-06-300001680378us-gaap:NotesPayableOtherPayablesMember2025-01-012025-06-300001680378snes:EquityIncentivePlan2018Member2024-07-110001680378snes:EquityIncentivePlan2018Member2025-06-300001680378us-gaap:EmployeeStockOptionMembersrt:MinimumMembersnes:EquityIncentivePlan2018Member2025-04-012025-06-300001680378us-gaap:EmployeeStockOptionMembersrt:MaximumMembersnes:EquityIncentivePlan2018Member2025-04-012025-06-300001680378snes:EquityIncentivePlan2018Memberus-gaap:EmployeeStockOptionMember2025-04-012025-06-3000016803782025-01-012025-03-3100016803782024-01-012024-12-310001680378snes:ShareBasedPaymentArrangementOptionInducementAwardMember2025-06-300001680378snes:EquityIncentivePlan2018Memberus-gaap:EmployeeStockOptionMember2025-01-012025-06-300001680378us-gaap:ResearchAndDevelopmentExpenseMember2025-04-012025-06-300001680378us-gaap:ResearchAndDevelopmentExpenseMember2024-04-012024-06-300001680378us-gaap:ResearchAndDevelopmentExpenseMember2025-01-012025-06-300001680378us-gaap:ResearchAndDevelopmentExpenseMember2024-01-012024-06-300001680378us-gaap:SellingGeneralAndAdministrativeExpensesMember2025-04-012025-06-300001680378us-gaap:SellingGeneralAndAdministrativeExpensesMember2024-04-012024-06-300001680378us-gaap:SellingGeneralAndAdministrativeExpensesMember2025-01-012025-06-300001680378us-gaap:SellingGeneralAndAdministrativeExpensesMember2024-01-012024-06-300001680378us-gaap:CommonStockMember2024-12-310001680378us-gaap:AdditionalPaidInCapitalMember2024-12-310001680378us-gaap:RetainedEarningsMember2024-12-310001680378us-gaap:AdditionalPaidInCapitalMember2025-01-012025-03-310001680378us-gaap:CommonStockMember2025-01-012025-03-310001680378us-gaap:RetainedEarningsMember2025-01-012025-03-310001680378us-gaap:CommonStockMember2025-03-310001680378us-gaap:AdditionalPaidInCapitalMember2025-03-310001680378us-gaap:RetainedEarningsMember2025-03-310001680378us-gaap:AdditionalPaidInCapitalMember2025-04-012025-06-300001680378us-gaap:CommonStockMember2025-04-012025-06-300001680378us-gaap:RetainedEarningsMember2025-04-012025-06-300001680378us-gaap:CommonStockMember2025-06-300001680378us-gaap:AdditionalPaidInCapitalMember2025-06-300001680378us-gaap:RetainedEarningsMember2025-06-300001680378us-gaap:CommonStockMember2023-12-310001680378us-gaap:AdditionalPaidInCapitalMember2023-12-310001680378us-gaap:RetainedEarningsMember2023-12-310001680378us-gaap:AdditionalPaidInCapitalMember2024-01-012024-03-3100016803782024-01-012024-03-310001680378us-gaap:CommonStockMember2024-01-012024-03-310001680378us-gaap:RetainedEarningsMember2024-01-012024-03-310001680378us-gaap:CommonStockMember2024-03-310001680378us-gaap:AdditionalPaidInCapitalMember2024-03-310001680378us-gaap:RetainedEarningsMember2024-03-310001680378us-gaap:AdditionalPaidInCapitalMember2024-04-012024-06-300001680378us-gaap:RetainedEarningsMember2024-04-012024-06-300001680378us-gaap:CommonStockMember2024-06-300001680378us-gaap:AdditionalPaidInCapitalMember2024-06-300001680378us-gaap:RetainedEarningsMember2024-06-300001680378snes:DealerManagerWarrants16Member2025-04-012025-06-300001680378snes:OriginalWarrantsMember2024-08-310001680378snes:DealerManagerWarrants16Member2025-06-300001680378snes:DealerManagerWarrants16Membersrt:MaximumMember2025-06-300001680378snes:SeriesF1WarrantsMember2024-08-012024-08-310001680378snes:SeriesF1WarrantsMember2024-08-310001680378snes:SeriesF2WarrantsMember2024-08-012024-08-310001680378snes:SeriesF2WarrantsMember2024-08-310001680378snes:OriginalWarrantsMember2025-01-012025-03-310001680378snes:SeriesF1WarrantsMemberus-gaap:MeasurementInputSharePriceMember2024-08-310001680378snes:SeriesF1WarrantsMemberus-gaap:MeasurementInputPriceVolatilityMember2024-08-310001680378snes:SeriesF1WarrantsMemberus-gaap:MeasurementInputExpectedTermMember2024-08-310001680378snes:SeriesF1WarrantsMemberus-gaap:MeasurementInputExpectedDividendRateMember2024-08-310001680378snes:SeriesF1WarrantsMemberus-gaap:MeasurementInputRiskFreeInterestRateMember2024-08-310001680378snes:SeriesF2WarrantsMemberus-gaap:MeasurementInputSharePriceMember2024-08-310001680378snes:SeriesF2WarrantsMemberus-gaap:MeasurementInputPriceVolatilityMember2024-08-310001680378snes:SeriesF2WarrantsMemberus-gaap:MeasurementInputExpectedTermMember2024-08-310001680378snes:SeriesF2WarrantsMemberus-gaap:MeasurementInputExpectedDividendRateMember2024-08-310001680378snes:SeriesF2WarrantsMemberus-gaap:MeasurementInputRiskFreeInterestRateMember2024-08-310001680378snes:SeriesF1SeriesF2AndDealerManagerWarrantsMember2025-01-012025-03-310001680378us-gaap:CommonStockMember2025-01-012025-06-300001680378snes:RegisteredDirectOfferingMember2025-01-012025-06-300001680378snes:RegisteredDirectOfferingMember2025-06-300001680378snes:RegisteredDirectOfferingMember2024-12-310001680378snes:DealerManagerWarrants3Member2025-01-012025-06-300001680378snes:DealerManagerWarrants3Member2025-06-300001680378snes:DealerManagerWarrants3Member2024-12-310001680378snes:DealerManagerWarrants4Member2025-01-012025-06-300001680378snes:DealerManagerWarrants4Member2025-06-300001680378snes:DealerManagerWarrants4Member2024-12-310001680378snes:DealerManagerWarrants5Member2025-01-012025-06-300001680378snes:DealerManagerWarrants5Member2025-06-300001680378snes:DealerManagerWarrants5Member2024-12-310001680378snes:RegisteredDirectOfferingTwoMember2025-01-012025-06-300001680378snes:RegisteredDirectOfferingTwoMember2025-06-300001680378snes:RegisteredDirectOfferingTwoMember2024-12-310001680378snes:DealerManagerWarrants6Member2025-01-012025-06-300001680378snes:DealerManagerWarrants6Member2025-06-300001680378snes:DealerManagerWarrants6Member2024-12-310001680378snes:PrivatePlacementAgreementOneMember2025-01-012025-06-300001680378snes:PrivatePlacementAgreementOneMember2025-06-300001680378snes:PrivatePlacementAgreementOneMember2024-12-310001680378snes:DealerManagerWarrants7Member2025-01-012025-06-300001680378snes:DealerManagerWarrants7Member2025-06-300001680378snes:DealerManagerWarrants7Member2024-12-310001680378snes:DealerManagerWarrants8Member2025-01-012025-06-300001680378snes:DealerManagerWarrants8Member2025-06-300001680378snes:DealerManagerWarrants8Member2024-12-310001680378snes:DealerManagerWarrants9Member2025-01-012025-06-300001680378snes:DealerManagerWarrants9Member2025-06-300001680378snes:DealerManagerWarrants9Member2024-12-310001680378snes:SeriesCWarrantsMember2025-01-012025-06-300001680378snes:SeriesCWarrantsMember2025-06-300001680378snes:SeriesCWarrantsMember2024-12-310001680378snes:DealerManagerWarrants10Member2025-01-012025-06-300001680378snes:DealerManagerWarrants10Member2025-06-300001680378snes:DealerManagerWarrants10Member2024-12-310001680378snes:DealerManagerWarrants11Member2025-01-012025-06-300001680378snes:DealerManagerWarrants11Member2025-06-300001680378snes:DealerManagerWarrants11Member2024-12-310001680378snes:SeriesDWarrantsMember2025-01-012025-06-300001680378snes:SeriesDWarrantsMember2025-06-300001680378snes:SeriesDWarrantsMember2024-12-310001680378snes:SeriesEWarrantsMember2025-01-012025-06-300001680378snes:SeriesEWarrantsMember2025-06-300001680378snes:SeriesEWarrantsMember2024-12-310001680378snes:DealerManagerWarrants12Member2025-01-012025-06-300001680378snes:DealerManagerWarrants12Member2025-06-300001680378snes:DealerManagerWarrants12Member2024-12-310001680378snes:SeriesF1WarrantsMember2025-01-012025-06-300001680378snes:SeriesF1WarrantsMember2025-06-300001680378snes:SeriesF1WarrantsMember2024-12-310001680378snes:SeriesF2WarrantsMember2025-01-012025-06-300001680378snes:SeriesF2WarrantsMember2025-06-300001680378snes:SeriesF2WarrantsMember2024-12-310001680378snes:DealerManagerWarrants13Member2025-01-012025-06-300001680378snes:DealerManagerWarrants13Member2025-06-300001680378snes:DealerManagerWarrants13Member2024-12-310001680378snes:DealerManagerWarrants14Member2025-01-012025-06-300001680378snes:DealerManagerWarrants14Member2025-06-300001680378snes:DealerManagerWarrants14Member2024-12-310001680378snes:DealerManagerWarrants15Member2025-01-012025-06-300001680378snes:DealerManagerWarrants15Member2025-06-300001680378snes:DealerManagerWarrants15Member2024-12-310001680378snes:DealerManagerWarrants16Member2025-01-012025-06-300001680378snes:DealerManagerWarrants16Member2024-12-310001680378snes:DealerManagerWarrants17Member2025-01-012025-06-300001680378snes:DealerManagerWarrants17Member2025-06-300001680378snes:DealerManagerWarrants17Member2024-12-3100016803782024-01-012024-09-300001680378snes:DealerManagerWarrants16Memberus-gaap:MeasurementInputExpectedTermMember2025-06-300001680378snes:DealerManagerWarrants16Memberus-gaap:MeasurementInputSharePriceMember2025-06-300001680378snes:DealerManagerWarrants16Memberus-gaap:MeasurementInputPriceVolatilityMember2025-06-300001680378snes:DealerManagerWarrants16Memberus-gaap:MeasurementInputExpectedDividendRateMember2025-06-300001680378snes:DealerManagerWarrants16Memberus-gaap:MeasurementInputRiskFreeInterestRateMember2025-06-300001680378snes:DealerManagerWarrants17Membersrt:MaximumMember2025-06-300001680378snes:DealerManagerWarrants17Memberus-gaap:MeasurementInputExpectedTermMember2025-06-300001680378snes:DealerManagerWarrants17Memberus-gaap:MeasurementInputSharePriceMember2025-06-300001680378snes:DealerManagerWarrants17Memberus-gaap:MeasurementInputPriceVolatilityMember2025-06-300001680378snes:DealerManagerWarrants17Memberus-gaap:MeasurementInputExpectedDividendRateMember2025-06-300001680378snes:DealerManagerWarrants17Memberus-gaap:MeasurementInputRiskFreeInterestRateMember2025-06-300001680378snes:DealerManagerWarrants14Membersrt:MaximumMember2025-06-300001680378snes:DealerManagerWarrants14Memberus-gaap:MeasurementInputExpectedTermMember2025-06-300001680378snes:DealerManagerWarrants14Memberus-gaap:MeasurementInputSharePriceMember2025-06-300001680378snes:DealerManagerWarrants14Memberus-gaap:MeasurementInputPriceVolatilityMember2025-06-300001680378snes:DealerManagerWarrants14Memberus-gaap:MeasurementInputExpectedDividendRateMember2025-06-300001680378snes:DealerManagerWarrants14Memberus-gaap:MeasurementInputRiskFreeInterestRateMember2025-06-300001680378snes:DealerManagerWarrants15Membersrt:MaximumMember2025-06-300001680378snes:DealerManagerWarrants15Memberus-gaap:MeasurementInputExpectedTermMember2025-06-300001680378snes:DealerManagerWarrants15Memberus-gaap:MeasurementInputSharePriceMember2025-06-300001680378snes:DealerManagerWarrants15Memberus-gaap:MeasurementInputPriceVolatilityMember2025-06-300001680378snes:DealerManagerWarrants15Memberus-gaap:MeasurementInputExpectedDividendRateMember2025-06-300001680378snes:DealerManagerWarrants15Memberus-gaap:MeasurementInputRiskFreeInterestRateMember2025-06-300001680378us-gaap:WarrantMember2025-04-012025-06-300001680378us-gaap:WarrantMember2024-04-012024-06-300001680378us-gaap:WarrantMember2025-01-012025-06-300001680378us-gaap:WarrantMember2024-01-012024-06-300001680378snes:CommonStockOptionsMember2025-04-012025-06-300001680378snes:CommonStockOptionsMember2024-04-012024-06-300001680378snes:CommonStockOptionsMember2025-01-012025-06-300001680378snes:CommonStockOptionsMember2024-01-012024-06-300001680378snes:DistributorAMemberus-gaap:CustomerConcentrationRiskMemberus-gaap:SalesRevenueNetMember2025-04-012025-06-300001680378snes:DistributorAMemberus-gaap:CustomerConcentrationRiskMemberus-gaap:SalesRevenueNetMember2024-04-012024-06-300001680378snes:DistributorAMemberus-gaap:CustomerConcentrationRiskMemberus-gaap:SalesRevenueNetMember2025-01-012025-06-300001680378snes:DistributorAMemberus-gaap:CustomerConcentrationRiskMemberus-gaap:SalesRevenueNetMember2024-01-012024-06-300001680378snes:DistributorBMemberus-gaap:CustomerConcentrationRiskMemberus-gaap:SalesRevenueNetMember2025-04-012025-06-300001680378snes:DistributorBMemberus-gaap:CustomerConcentrationRiskMemberus-gaap:SalesRevenueNetMember2024-04-012024-06-300001680378snes:DistributorBMemberus-gaap:CustomerConcentrationRiskMemberus-gaap:SalesRevenueNetMember2025-01-012025-06-300001680378snes:DistributorBMemberus-gaap:CustomerConcentrationRiskMemberus-gaap:SalesRevenueNetMember2024-01-012024-06-300001680378snes:DistributorAMemberus-gaap:CustomerConcentrationRiskMemberus-gaap:AccountsReceivableMember2025-01-012025-06-300001680378snes:DistributorAMemberus-gaap:CustomerConcentrationRiskMemberus-gaap:AccountsReceivableMember2024-01-012024-12-310001680378snes:DistributorBMemberus-gaap:CustomerConcentrationRiskMemberus-gaap:AccountsReceivableMember2025-01-012025-06-300001680378snes:DistributorBMemberus-gaap:CustomerConcentrationRiskMemberus-gaap:AccountsReceivableMember2024-01-012024-12-310001680378snes:DistributorCMemberus-gaap:CustomerConcentrationRiskMemberus-gaap:AccountsReceivableMember2025-01-012025-06-300001680378snes:DistributorCMemberus-gaap:CustomerConcentrationRiskMemberus-gaap:AccountsReceivableMember2024-01-012024-12-310001680378snes:DealerManagerWarrants18Memberus-gaap:SubsequentEventMember2025-08-052025-08-050001680378snes:DealerManagerWarrants18Memberus-gaap:SubsequentEventMember2025-08-050001680378snes:DealerManagerWarrants19Memberus-gaap:SubsequentEventMember2025-08-052025-08-050001680378snes:DealerManagerWarrants19Memberus-gaap:SubsequentEventMember2025-08-050001680378snes:DealerManagerWarrants20Memberus-gaap:SubsequentEventMember2025-08-05

x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

(Exact name of registrant as specified in its charter)

(Registrant’s telephone number, including area code)

(Former name, former address and former fiscal year, if changed since last report)

Securities registered pursuant to Section 12(b) of the Act:

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes x No o

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes x No o

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. o

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes o No x

The number of shares of common stock outstanding as of August 5, 2025: 5,223,015

(Unaudited)

(In thousands)

(Unaudited)

(Unaudited)

SenesTech, Inc. (subsequently referred to in this report as “we,” “us,” “our,” or “our company”) was incorporated in the state of Nevada in July 2004. On November 12, 2015, we subsequently reincorporated in the state of Delaware. Our corporate headquarters and manufacturing site are in Surprise, Arizona. We have developed and are commercializing products for managing animal pest populations through fertility control. Our current products focus on rat and mouse populations, and are known as ContraPest®, EvolveTM Rat and Evolve Mouse.

CONTRAPEST. ContraPest, our initial product, is a liquid bait containing the active ingredients 4-vinylcyclohexene diepoxide and triptolide. ContraPest targets the reproductive systems of both male and female rats, is a highly palatable formulation, does not cause illness or changed behavior in rats, and leads to significant reductions in fertility and rat populations. Accordingly, ContraPest is an additional tool to use as part of an integrated pest management program.

In August 2016, the U.S. Environmental Protection Agency (“EPA”) granted an unconditional registration for ContraPest as a restricted use pesticide (“RUP”), requiring purchase or application oversight by a licensed professional. In October 2018, the EPA approved the removal of the RUP designation and ContraPest was reclassified as a general use pesticide. To date, ContraPest is registered in all 50 states and the District of Columbia (49 states and the District of Columbia have approved the RUP designation) and two major U.S. territories, Puerto Rico and the U.S. Virgin Islands. In March 2022, the EPA granted a sub-label for ContraPest allowing for an alternative delivery system in a hanging bait station. This sub-label is marketed as Elevate Bait SystemTM and was designed to target roof rat habitats and infestations.

EVOLVE. The Evolve product line, which began in the form of Evolve Rat, launched in January 2024, and is currently our lead product. Evolve Rat is a soft bait product that is novel to the pest control industry and contains the active ingredient, cottonseed oil. Evolve Rat reduces fertility in both male and female rats. Additionally, its palatable formulation produces high acceptance for sustained consumption even when other sought-after food sources are present. Evolve Rat does not cause illness in rats and, therefore, it does not change behavior or result in bait aversion. By targeting the reproductive systems of both male and female rats and with palatability generating continued consumption, the use of Evolve Rat can lead to a sustained reduction of the rat population.

Evolve Rat meets the EPA’s minimum risk pesticide conditions under the Federal Insecticide, Fungicide, and Rodenticide Act (“FIFRA”), Section 25(b). Due to its classification, Evolve Rat is exempt from federal registration because it poses little to no risk to human health and the environment. Evolve Rat may also be used in agricultural application, as it is made from food ingredients with tolerance exemptions for both food and nonfood applications. There are 10 states that accept the federal exemption for pesticide registration and require no additional determination or approval. In states that do not accept the federal exemption, we must obtain registration from the various state regulatory agencies. To date, we are authorized to sell Evolve Rat in 48 states and territories.

In May 2024, we launched Evolve Mouse, our latest expansion of the Evolve product line. Evolve Mouse is a variation of our soft bait formulation and contains the same active ingredient, cottonseed oil, in a different concentration. Evolve Mouse limits reproduction of male and female mice and is also considered a minimum risk pesticide under the EPA’s FIFRA, Section 25(b). To date, we are authorized to sell Evolve Mouse in 37 states and territories.

We are continuously enhancing ContraPest and Evolve to align with the unique needs and environments of our customers in our target verticals, while simultaneously pursuing regulatory approvals and amendments to our existing U.S. registrations to broaden its use and marketability. When regulatory and financial conditions permit, we will seek regulatory approval for additional jurisdictions beyond the United States.

Our condensed financial statements as of June 30, 2025 were prepared under the assumption that we would continue as a going concern. The reports of our independent registered public accounting firm that accompanies our financial statements for each of the years ended December 31, 2024 and December 31, 2023 contain a going concern qualification in which such firm expressed substantial doubt about our ability to continue as a going concern, based on the financial statements at that time. Specifically, we have incurred significant operating losses since our inception, and we expect to continue to incur significant expenses and operating losses for the foreseeable future.

These prior losses and expected future losses have had, and will continue to have, an adverse effect on our financial condition. If we encounter continued issues or delays in the commercialization of fertility control products, our expected future losses could have an adverse effect on our financial condition and negatively impact our ability to fund continued operations, obtain additional financing in the future and continue as a going concern. There are no assurances that such financing, if necessary, will be available to us at all or will be available in sufficient amounts or on reasonable terms. Our financial statements do not include any adjustments that may result from the outcome of this uncertainty. If we are unable to generate additional funds in the future through additional financings, sales of our products, licensing fees, royalty payments or from other sources or transactions, we will exhaust our resources and will be unable to continue operations.

Since our inception, we have incurred significant operating losses related to our research and development and commercialization efforts and we expect these losses to continue in the near term. We have generated limited revenue to date from product sales and have primarily funded our operations through the sale of equity securities, including common stock and warrants to purchase common stock.As of June 30, 2025, we had an accumulated deficit of $139.4 million and cash and cash equivalents of $6.1 million.

Based upon our current operating plan, we expect that cash and cash equivalents at June 30, 2025, in combination with anticipated revenue and any additional sales of our equity securities, including the most recent warrant exercise transaction in August 2025, see Note 11, Subsequent Events, will be sufficient to fund our current operations through at least the end of fiscal 2027.While we have evaluated and continue to evaluate our operating expenses and concentrate our resources toward the successful commercialization of fertility control products in the United States, additional financing may still be needed before achieving anticipated revenue targets and margin targets. If we are unable to raise necessary capital through the sale of our securities, we may be required to take other measures that could impair our ability to be successful and operate as a going concern. In any event, additional capital may be needed in order to fund our operating losses and research and development activities before we become profitable. We may never achieve profitability or generate positive cash flows, and unless and until we do, we will continue to need to raise capital through equity or debt financing. If such equity or debt financing is not available at adequate levels or on acceptable terms, we may need to delay, limit or terminate commercialization and development efforts or discontinue operations.

Our accompanying unaudited condensed financial statements have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”) for interim financial reporting. Certain information and footnote disclosures normally included in the annual financial statements prepared in accordance with the U.S. generally accepted accounting principles (“U.S. GAAP”) have been condensed or omitted pursuant to such rules and regulations. In our opinion, the unaudited condensed financial statements include all material adjustments, all of which are of a normal and recurring nature, necessary to present fairly our financial position as of June 30, 2025, and our operating results and cash flows for the six month periods ended June 30, 2025 and 2024. The accompanying financial information as of December 31, 2024 is derived from audited financial statements. Interim results are not necessarily indicative of results for a full year. The information included in this Quarterly Report on Form 10-Q should be read in conjunction with our Annual Report on Form 10-K for the year ended December 31, 2024, filed with the SEC on March 13, 2025.

There have been no new accounting pronouncements not yet effective or adopted in the current year that we believe have a significant impact, or potential significant impact, to our condensed financial statements.

The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts and classification of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements and reported amounts of revenues and expenses during the reporting period. The significant estimates in our financial statements include the valuation of inventory, common stock warrants and stock-based awards, such as stock options and restricted stock units. Actual results could differ from such estimates.

Advertising costs are expensed as incurred and were $34,000 and $62,000 for the three months ended June 30, 2025 and 2024, respectively, and $57,000 and $121,000 for the six months ended June 30, 2025 and 2024, respectively.

We have no other comprehensive income items for the periods presented. As a result, our net loss and comprehensive loss were the same for the periods presented, and a separate statement of comprehensive loss is not included in the accompanying condensed financial statements.

Highly liquid investments with maturities of three months or less as of the date of acquisition are classified as cash equivalents, of which we had $6.1 million and $1.3 million as of June 30, 2025 and December 31, 2024, respectively, included within cash and cash equivalents in the condensed balance sheets.

Accounts receivable, net consisted of the following (in thousands):

The following was the activity in the allowance for uncollectible accounts (in thousands):

Inventory, net consisted of the following (in thousands):

The following was the activity in the reserve for obsolescence (in thousands):

Prepaid expenses and other current assets consisted of the following (in thousands):

Property and equipment, net consisted of the following (in thousands):

Accrued expenses consisted of the following (in thousands):

We have financing arrangements related to the purchase of certain equipment. The notes payable for that certain equipment have a weighted average annual interest rate of 10.4% with original terms of five years and are secured by the underlying equipment.

As of June 30, 2025, future principal payments were as follows (in thousands):

The carrying amounts of our financial instruments, including accounts payable and accrued liabilities, approximate fair value due to their short maturities. Notes payable and operating lease liability are recorded at amortized cost, which approximates fair value.

In August 2024, we entered into an operating lease for a new location for our corporate headquarters and manufacturing and research operations. The lease commenced in April 2025 and expires in 2035. The operating lease for our previous manufacturing and research operations and our corporate headquarters expired in May 2025.

The components of lease cost were as follows (in thousands):

As of June 30, 2025, the maturities of under the operating lease liability were as follows (in thousands):

In 2018, our stockholders approved the adoption of the SenesTech, Inc. 2018 Equity Incentive Plan (the “2018 Plan”), which provides for the issuance of stock-based instruments, such as stock options or restricted stock units, to employees or consultants as deemed appropriate. The 2018 Plan has since been amended and restated on certain occasions, most recently on July 11, 2024, when our stockholders approved an increase to the total number of authorized shares to 207,071 shares. As of June 30, 2025, we have 32,182 shares of common stock available for issuance under the 2018 Plan.

Currently, only stock options are outstanding under the 2018 Plan, which are generally issued with a per share exercise price equal to the fair market value of our common stock at the date of grant. Options granted generally vest ratably over a 12- to 36-month period coinciding with their respective service periods, with terms generally of ten years. Certain stock option awards provide for accelerated vesting upon a change in control.

The following table presents the outstanding stock option activity:

(1) Includes options related to 603 shares that are inducement awards and not granted under the 2018 Plan.

The weighted average grant date fair value of options granted during the three and six months ended June 30, 2025 was $3.08 per share based on the following assumptions used in the Black-Scholes option pricing model:

The expected volatility assumption is based on the calculated volatility of our common stock at the date of grant based on historical prices over the most recent period commensurate with the term of the award. The expected dividend yield assumption is based on our history and expected dividend payouts: we have not, and do not expect to, pay dividends. The expected term assumption is the contractual term of the options. The risk-free interest rate assumption is determined using the U.S. treasury yields for bonds with a maturity commensurate with the term of the award.

The stock-based compensation expense was recorded as follows (in thousands):

The allocation between research and development and selling, general and administrative expense was based on the department and services performed by the employee or non-employee.

As of June 30, 2025, the total compensation cost related to unvested options not yet recognized, unamortized stock-based compensation, was $245,000, which will be recognized over a weighted average period of 2.1 years, assuming the employees and non-employees complete their service period required for vesting.

Activity in equity during the three and six month periods ended June 30, 2025 and 2024 was as follows (dollars in thousands):

In June 2025, we completed a warrant inducement transaction whereby we issued 1,458,872 shares of common stock pursuant to the exercise of warrants. Certain warrant holders were induced to exercise warrants at the existing exercise price of $2.90 per share and pay a purchase price of $0.125 per share, or an aggregate purchase price of $182,000, in consideration of our issuance of new warrants with similar terms as the warrants that were induced to exercise (the “June 2025 Warrant Inducement”). Additionally, warrants related to 40,000 shares were also exercised in June 2025 outside of the June 2025 Warrant Inducement. Gross proceeds for warrants exercised in June 2025 was $4.5 million, before deducting $507,000 of issuance-related costs.

See Note 7, Common Stock Warrants, for a discussion of the new short-term warrants to purchase 1,458,872 shares that were issued in connection with the June 2025 Warrant Inducement.

In March 2025, we completed a warrant inducement transaction whereby we issued 374,718 shares of common stock pursuant to the exercise of warrants. Certain warrant holders were induced to exercise warrants by reducing the exercise price to the then current market price of our common stock (the “March 2025 Warrant Inducement”). The original warrants consisted of 251,884 shares issued August 23, 2024 with an exercise price of $4.35 per share and a remaining life of 4.5 years (“Series F-1 Warrants”) and 122,834 shares issued August 23, 2024 with an exercise price of $4.35 per share and a remaining life of 1.0 year (“Series F-2 Warrants”) (collectively, the “Original Warrants”). The Original Warrants were exercised for $2.90 per share for gross proceeds of $1.1 million, before deducting $250,000 of issuance costs.

The difference between the fair value of the warrants immediately prior to modification and immediately after modification was treated as a transaction cost, which is netted against proceeds received, and was $58,000 using the Black-Scholes model based on the following significant inputs:

•For the Series F-1 Warrants: common stock price of $2.38 per share; volatility of 120%; term of 4.5 years; dividend yield of 0%; and risk-free rate of 4.0%; and

•For the Series F-2 Warrants: common stock price of $2.38 per share; volatility of 111%; term of 1.0 year; dividend yield of 0%; and risk-free rate of 4.0%.

In connection with the March 2025 Warrant Inducement, new short-term warrants to purchase 1,517,608 shares of our common stock were issued, which are discussed in Note 7, Common Stock Warrants.

In June 2024, we entered into an at-the-market offering arrangement with a sales agent, pursuant to which we may offer and sell, from time to time at our sole discretion, in transactions that are deemed to be “at the market” offerings under the Securities Act of 1933, as amended (the “Securities Act”), shares of our common stock (“ATM Facility”). The offering is being conducted pursuant to a shelf registration statement on Form S-3 (Registration no. 333-261227), originally filed with the SEC on November 19, 2021, amended on May 4, 2022, and declared effective by the SEC on May 6, 2022, along with related prospectus supplements dated June 20, 2024 and April 22, 2025, which registration statement was subsequently replaced by a new shelf registration statement on Form S-3 (Registration no. 333-286955), filed with the SEC on May 2, 2025, amended on June 23, 2025, and declared effective by the SEC on June 24, 2025, along with related prospectus supplements dated June 24, 2025 and June 30, 2025. All prospectus supplements were filed with the SEC pursuant to Rule 424(b) under the Securities Act. During the first half of 2025, we have sold 854,660 shares of common stock under this ATM Facility for gross proceeds of $3.0 million, before deducting offering expenses of $299,000. As of June 30, 2025, there is capacity under the ATM Facility of $649,000.

The following table presents the common stock warrant activity:

In connection with the June 2025 Warrant Inducement discussed in Note 6, Stockholders’ Equity, we issued to those investors warrants to purchase up to 1,458,872 shares of our common stock at an exercise price of $4.15 per share, which are exercisable for 1.3 years from the date of issuance. We estimated the fair value of these warrants to be $4.1 million using a Black-Scholes model based on the following significant inputs: common stock price of $5.09 per share; volatility of 114%; term of 1.3 years; dividend yield of 0%; and risk-free rate of 3.7%. These warrants were exercised in August 2025, see Note 11, Subsequent Events.

In addition, placement agent warrants were issued to purchase up to 72,944 shares of our common stock at an exercise price of $3.781 per share, which are exercisable for 1.3 years from the date of issuance. We estimated the fair value of these warrants to be $212,000 using a Black-Scholes model based on the following significant inputs: common stock price of $5.09 per share; volatility of 114%; term of 1.3 years; dividend yield of 0%; and risk-free interest rate of 3.7%.

In connection with the March 2025 Warrant Inducement discussed in Note 6, Stockholders’ Equity, we issued to those investors warrants to purchase up to 1,498,872 shares of our common stock at an exercise price of $2.90 per share, which will be exercisable for 1.5 years beginning on the effective date of stockholder approval of the issuance of the shares of common stock, which was obtained on June 9, 2025. We estimated the fair value of these warrants to be $1.5 million using a Black-Scholes model based on the following significant inputs: common stock price of $2.38 per share; volatility of 117%; term of 1.5 years; dividend yield of 0%; and risk-free rate of 4.37%.

In addition, placement agent warrants were issued to purchase up to 18,736 shares of our common stock at an exercise price of $3.625 per share, which will be exercisable for 1.5 years beginning on the effective date of stockholder approval of the issuance of the shares of common stock, which was obtained on June 9, 2025. We estimated the fair value of these warrants to be $20,000 using a Black-Scholes model based on the following significant inputs: common stock price of $2.38 per share; volatility of 117%; term of 1.5 years; dividend yield of 0%; and risk-free interest rate of 4.37%.

Basic loss per share is calculated by dividing the net loss attributable to common stockholders by the weighted average number of common shares outstanding during the period, which includes any prefunded warrants and shares held in abeyance from date of issuance. Diluted loss per share is computed by dividing the loss attributable to common stockholders by the weighted average number of common shares used in the basic loss per share calculation plus potentially dilutive securities outstanding during the period determined using the treasury stock method. Stock options and warrants are considered to be potentially dilutive securities but have been excluded from the calculation of diluted loss per share because their effect would be anti-dilutive given the net losses reported for all periods presented. Therefore, basic and diluted loss per share are the same for each period presented.

The following shares were excluded from the calculation of diluted net loss per share:

We operate in a single operating segment: the formulation, development, marketing and sale of fertility control products for use in managing pest populations. This single operating segment has been identified based on our internal management structure and reporting to our chief operating decision maker (“CODM”), our Chief Executive Officer.

Our CODM evaluates segment performance based on the revenues, gross profit and operating loss of the segment and uses internal financial statements to make decisions regarding resource allocation. Revenues, gross profit and operating loss used by the CODM are presented on our accompanying statement of operations. The measure of segment assets is represented as total assets presented on our accompanying balance sheets. There are no intersegment revenues, as all transactions are conducted within one operating segment.

We have not identified any reportable segments other than the single operating segment discussed.

The percentage of revenue attributable to our customers that represented 10% or more of revenue in at least one of the periods presented, was as follows:

The following accounts represented at least 10% of total accounts receivable in at least one of the periods presented:

In December 2024, Liphatech Inc. (“Liphatech”) commenced an action against us in the United States District Court for the Eastern District of Wisconsin. The complaint alleges, among other things, breach of contract, misappropriation of trade secrets, unfair competition and unjust enrichment. These claims are based on allegations that we misappropriated and utilized proprietary information and trade secrets of Liphatech. The complaint also alleges that we breached a non-disclosure agreement that we had entered into with Liphatech. The complaint seeks unspecified damages as well as injunctive relief. We believe we have strong defenses and are actively defending the case, although no assurance can be given regarding the outcome. The outcome of this legal matter is not known or probable at this time, and no specific damages have been claimed, therefore no amounts have been accrued for a settlement.

In addition to the matters described above, we may be subject to other legal proceedings and claims arising from contracts or other matters from time to time in the ordinary course of business. Management is not aware of any other pending or threatened litigation where the ultimate disposition or resolution could have a material adverse effect on our financial position, results of operations or liquidity.

On August 5, 2025, we completed a warrant inducement transaction resulting in the issuance of 1,458,872 shares of our common stock upon the exercise of certain existing warrants (the “Warrant Inducement Transaction”). The holders of such warrants agreed to exercise their existing warrants at the exercise price of $4.15 per share and pay a purchase price of $0.125 per share—totaling $274,000—in consideration of our issuance, in a private placement, of new warrants. These new warrants relate to 2,188,308 shares of common stock, have an exercise price of $5.25 per share, are immediately exercisable, and will expire 15 months after the effective date of the resale registration statement covering the underlying shares. This Warrant Inducement Transaction generated gross proceeds of $6.3 million, before deducting placement agent fees and other offering expenses payable by us. In connection with this transaction, we issued placement agent warrants to purchase up to 72,944 shares of common stock. These placement agent warrants have an exercise price of $5.4219 per share and have terms substantially similar to those of the new warrants issued to the investors.

We have evaluated subsequent events from the balance sheet date through August 7, 2025, the date at which the condensed financial statements were issued, and determined that there were no additional items that require adjustment to or disclosure in the condensed financial statements.

The following Management’s Discussion and Analysis of Financial Condition and Results of Operations should be read in conjunction with our condensed financial statements and related notes.

The statements contained in this Quarterly Report on Form 10-Q that are not historical are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (the “Securities Act”), and Section 21E of the Securities Exchange Act of 1934, as amended, (the “Exchange Act”). All statements other than statements of historical facts contained or incorporated herein by reference in this Quarterly Report on Form 10-Q, including statements regarding our future operating results, future financial position, business strategy, objectives, goals, plans, prospects, markets, and plans and objectives for future operations, are forward-looking statements. In some cases, you can identify forward-looking statements by terms such as “anticipates,” “believes,” “estimates,” “expects,” “intends,” “suggests,” “targets,” “contemplates,” “projects,” “predicts,” “may,” “might,” “plan,” “would,” “should,” “could,” “can,” “potential,” “continue,” “objective,” or the negative of those terms, or similar expressions intended to identify forward-looking statements. However, not all forward-looking statements contain these identifying words. Specific forward-looking statements in this Quarterly Report on Form 10-Q include statements regarding:

•our expectation that we will continue to incur significant expenses and operating losses for the foreseeable future;

•our belief that if we encounter continued issues or delays in the commercialization of fertility control products, our expected future losses could have an adverse effect on our financial condition and negatively impact our ability to fund continued operations, obtain additional financing in the future and continue as a growing concern;

•our expectation that if we are unable to generate additional funds in the future through additional financings, sales of our products, licensing fees, royalty payments or from other sources or transactions, we will exhaust our resources and will be unable to continue operations;

•our expectation that significant operating losses will continue for the near future;

•our ability to successfully commercialize our fertility control products and obtain and maintain regulatory approval for our products and product candidates;

•our ability to gain market acceptance, commercial viability and profitability of fertility control products and other products;

•our ability to market our products and establish an effective sales force and marketing infrastructure to generate sufficient revenue;

•our ability to retain and attract key personnel to develop, operate and grow our business;

•our ability to meet our working capital needs;

•our expectation that cash and cash equivalents will be sufficient to fund our current operations through at least the end of fiscal 2027;

•our belief that the use of our products can lead to sustained reductions of the rat or mice populations;

•our belief that additional financing will be needed before achieving anticipated revenue targets and margin targets;

•our belief that if we are unable to raise necessary capital through the sale of our securities, we may be required to take other measures that could impair our ability to be successful and operate as a going concern;

•our belief that we may never achieve profitability or generate positive cash flows, and unless and until we do, we will continue to need to raise capital through equity or debt financing. If such equity or debt financing is not available tat adequate levels or on acceptable terms, we may need to delay, limit or terminate commercialization and development efforts or discontinue operations;

•our belief that we will not pay dividends;

•our estimates of the fair value of warrants based on a Black-Scholes model;

•our belief that we have strong defenses against the claims by Liphatech;

•our belief that we may be subject to other legal proceedings and claims arising from contracts or other matters from time to time in the ordinary course of business;

•our belief that Evolve qualifies for exemption from registration as a minimum risk pesticide under the EPA’s FIFRA, Section 25(b);

•our belief that additional financing will be needed before achieving anticipated revenue targets and margin targets;

•our ability to raise necessary capital through the sale of our securities;

•our ability to achieve profitability or generate positive cash flows;

•our estimates or expectations related to our revenue, cash flow, expenses, capital requirements and need for additional financing;

•our belief that if equity or debt financing is not available at adequate levels or on acceptable terms we may need to delay, limit or terminate commercialization and development efforts or discontinue operations;

•our anticipation that the cost of producing Evolve will continue to be lower than ContraPest based on the current costs of raw materials;

•our expectation that our expenses will continue or increase in connection with our ongoing activities, particularly as we focus on marketing and sales of fertility control products;

•our expectation that we will continue to incur costs associated with operating as a public company;

•our expectation that we will incur substantial and increased expenses; and

•our belief that we will need additional financing to fund our continuing and additional expenses.

These forward-looking statements are not guarantees of future performance and involve known and unknown risks, uncertainties and situations that are difficult to predict and that may cause our own, or our industry’s, actual results to be materially different from the future results that are expressed or implied by these statements. Accordingly, actual results may differ materially from those anticipated or expressed in such statements as a result of a variety of factors, including those discussed in Item 1A-“Risk Factors” of Part I of our Annual Report on Form 10-K, for the year ended December 31, 2024, filed with the SEC on March 13, 2025, and those contained from time to time in our other filings with the SEC. A number of factors could cause our actual results to differ materially from those indicated by the forward-looking statements. Such factors include, among others, the following:

•the successful commercialization of our products;

•market acceptance of our products;

•our financial performance, including our ability to fund operations;

•our ability to maintain compliance with Nasdaq Capital Market’s continued listing requirements;

•regulatory approval and regulation of our products; and

•other factors and risks identified from time to time in our filings with the SEC, including this Quarterly Report on Form 10-Q.

All forward-looking statements included herein are based on information available to us as of the date hereof and speak only as of such date. Except as required by law, we undertake no obligation to update any forward-looking statements to reflect events or circumstances after the date of such statements.

The forward-looking statements contained in or incorporated by reference into this Quarterly Report on Form 10-Q reflect our views as of the date of this Quarterly Report on Form 10-Q about future events and are subject to risks, uncertainties, assumptions and changes in circumstances that may cause our actual results, performance or achievements to differ significantly from those expressed or implied in any forward-looking statement. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future events, results, performance or achievements.

We are subject to the information requirements of the Exchange Act, and we file or furnish reports, proxy statements and other information with the SEC. Such reports and other information we file with the SEC are available free of charge at www.senestech.com as soon as practicable after such reports are available on the SEC’s website at www.sec.gov. The SEC’s website contains reports, proxy and information statements, and other information regarding issuers that file electronically with the SEC.

Since our inception, we have incurred significant operating losses related to our research and development and commercialization efforts, with a net loss of $1.6 million for the three months ended June 30, 2025, and we expect these losses to continue in the near term. Although sales of our product have increased over the last three years, 56% in 2024, 17% in 2023, and 77% in 2022, we are not yet able to fund operations by product sales alone. We have primarily funded our operations to date through the sale of equity securities, including common stock and warrants to purchase common stock. As of June 30, 2025, we had received net proceeds of $111.4 million from the issuance of common and preferred stock, warrant exercises, and convertible and other promissory notes. We have also generated an aggregate of $6.7 million in net product sales and $1.7 million in licensing fees. At the end of the period, we reported an accumulated deficit of $139.4 million and cash and cash equivalents totaling $6.1 million.

Based upon our current operating plan, we expect that cash and cash equivalents at June 30, 2025, in combination with anticipated revenue and any additional sales of our equity securities, including the most recent warrant exercise transaction in August 2025 (as further described below), will be sufficient to fund our current operations through at least the end of fiscal 2027.While we have evaluated and continue to evaluate our operating expenses and concentrate our resources toward the successful commercialization of fertility control products in the United States and internationally, additional financing may still be needed before achieving anticipated revenue targets and margin targets. If we are unable to raise necessary capital through the sale of our securities, we may be required to take other measures that could impair our ability to be successful and operate as a going concern. In any event, additional capital may be needed in order to fund our operating losses and research and development activities before we become profitable. We may never achieve profitability or generate positive cash flows, and unless and until we do, we will continue to need to raise capital through equity or debt financing. If such equity or debt financing is not available at adequate levels or on acceptable terms, we may need to delay, limit or terminate commercialization and development efforts or discontinue operations.

The following table summarizes our results of operations for the periods presented (in thousands):

Sales, net of sales discounts and promotions, were $625,000 for the second quarter of 2025, compared to $459,000 for the second quarter of 2024. The $166,000 increase was driven by sales of our Evolve product offerings—Evolve Rat and Evolve Mouse (collectively, “Evolve”)—partially offset by a decline in units sold of our existing ContraPest product line.

Evolve, which launched in January 2024 and expanded with variations later that year, is a soft bait containing the active ingredient, cottonseed oil. It represented approximately 83% of second quarter 2025 revenues, compared to 58% in the second quarter of 2024. The increase in Evolve revenues was partially offset by a continued decline in ContraPest sales.

Sales, net of sales discounts and promotions, were $1.1 million for the first half of 2025, compared to $874,000 for the first half of 2024. The $236,000 increase was driven by sales of Evolve, partially offset by a decline in units sold of our ContraPest product line. Evolve product sales represented approximately 81% of revenues for the first half of 2025, compared with 41% in the first half of 2024. The increase in Evolve revenues was partially offset by a continued decline in ContraPest sales. We expect this trend to continue as the market adoption of Evolve grows.

Cost of sales consists of costs related to products sold, including scrap and reserves for obsolescence, as well as shipping costs when charged to the customer. Cost of sales was $216,000, or 34.6% of net sales, for the second quarter of 2025, compared to $210,000, or 45.8%, for the second quarter of 2024.

Cost of sales was $388,000, or 35.0% of net sales, for the first half of 2025, compared to $490,000, or 56.1%, for the first half of 2024.

The decrease as a percentage of sales was driven by a shift in product mix toward Evolve, which carries a lower cost relative to ContraPest. Additionally, the second quarter of 2024 and first half of 2024 reflected higher input costs for a key Evolve ingredient, as we transitioned from development-stage pricing to production-scale sourcing.

Gross profit for the second quarter of 2025 was $409,000, representing a margin of 65.4%, compared to $249,000, or 54.2%, in the second quarter of 2024.

Gross profit for the first half of 2025 was $722,000, representing a margin of 65.0%, compared to $384,000, or 43.9%, in the first half of 2024.

The improvement in gross margin was primarily driven by a greater proportion of sales coming from Evolve. This benefit was partially offset by a shift in sales channel mix, with increased distributor sales, which typically yield lower margins.

Research and development expenses consisted of the following (in thousands):

Research and development expenses were $427,000 for the second quarter of 2025, compared to $467,000 for the second quarter of 2024. The $40,000 reduction was primarily due to cost containment efforts, including lower personnel costs resulting from changes in headcount. These savings were partially offset by increased facility expenses associated with our move to a new manufacturing site in April 2025, with expanded production capacity and corporate offices, and included $34,000 in non-cash operating lease costs.

Research and development expenses were $845,000 for the first half of 2025, compared to $837,000 during the same period of 2024. The $8,000 increase was primarily driven by higher facility-related costs related to our April 2025 move to a new manufacturing site with expanded production capacity and corporate offices, which included $34,000 in non-cash operating lease expense. This increase was partially offset by overall reductions in spending as a result of our ongoing cost containment efforts.

Selling, general and administrative expenses consisted of the following (in thousands):

Selling, general and administrative expenses were $1.6 million for the second quarter of 2025, compared to $1.4 million for the second quarter of 2024.

Selling, general and administrative expenses were approximately $3.2 million for the first half of 2025, compared to $3.0 million for the first half of 2024.

The increase in selling, general and administrative expenses was primarily due to higher legal fees related to an ongoing legal matter, as well as increased franchise fees. Overall, our other operating expenses decreased as a result of our continued cost containment efforts.

For the second quarter of 2025, other expense, net totaled $2,000, consisting of $6,000 in interest expense partially offset by $4,000 in interest income. This compares to other income, net of $18,000 in the second quarter of 2024, which included $22,000 in interest income and $5,000 in interest expense. The increase in interest expense in 2025 reflects a higher average balance of notes payable, following the financing of new equipment in late 2024 to expand production capacity and streamline operations. Interest income declined due to a lower average balance of cash and cash equivalents compared to the same period in 2024.

For the first half of 2025, other expense, net was $4,000, comprised of $11,000 in interest expense and $7,000 in interest income. In contrast, the first half of 2024 reflected other income, net of $29,000, including $37,000 in interest income and $9,000 in interest expense. The increase in interest expense and decrease in interest income in 2025 were similarly driven by a higher average balance of notes payable and a lower average balance of cash and cash equivalents, respectively.

Since our inception, we have incurred significant operating losses related to our research and development activities and commercialization efforts, and we expect these losses to continue in the near term. To date, we have generated limited revenue from product sales and have primarily funded our operations through the sale of equity securities, including common stock and warrants.

As of June 30, 2025, we had received net proceeds of $111.4 million from the issuance of common and preferred stock, warrant exercises, and convertible and other promissory notes. We have also generated an aggregate of $6.7 million in net product sales and $1.7 million in licensing fees. At the end of the period, we reported an accumulated deficit of $139.4 million and cash and cash equivalents totaling $6.1 million.

Our long-term success depends on several key factors, including:

(i)    successful commercialization and regulatory approval of our fertility control products and pipeline candidates;

(ii)    market acceptance, commercial viability, and profitability of our products;

(iii)    the development of an effective sales and marketing infrastructure;

(iv)    the success of our ongoing research and development programs;

(v)    our ability to attract and retain key personnel; and

(vi)    our capacity to meet ongoing working capital requirements.

Based on our current operating plan, we believe our cash and cash equivalents as of June 30, 2025, combined with anticipated revenue and potential proceeds from future equity sales, will be sufficient to fund operations through at least the end of fiscal 2027. We continue to monitor and adjust our operating expenses and remain focused on the successful commercialization of our fertility control products both in the United States and abroad.

However, if our revenue or margin targets are not met, or if our expenses exceed projections, we may need to secure additional financing sooner than expected. If additional capital is required and we are unable to raise it through equity or debt offerings, we may need to take alternative actions that could negatively impact our business and our ability to continue as a going concern. Regardless, we anticipate needing additional capital to fund ongoing operating losses and research and development efforts before reaching profitability and may seek funding opportunistically. There is no guarantee that we will ever achieve profitability or positive cash flow. Without adequate financing on acceptable terms, we may be forced to delay, scale back, or discontinue commercialization and development activities—or cease operations entirely.

We expect our expenses to continue or increase in connection with our ongoing activities, particularly as we focus on marketing and sales of fertility control products. In addition, we will continue to incur costs associated with operating as a public company.

In particular, we expect to incur substantial and increased expenses as we:

•work to maximize market acceptance for, and generate sales of, our products, including by conducting field demonstrations for potential lead customers;

•explore strategic partnerships to enable us to penetrate additional target markets and geographical locations;

•manage the infrastructure for sales, marketing and distribution of fertility control products and any other product candidates for which we may receive regulatory approval;

•seek additional regulatory approvals for fertility control products, including to more fully expand the market and use for fertility control products and, if we believe there is commercial viability, for our other product candidates;

•further develop our manufacturing processes to contain costs while being able to scale to meet future demand of fertility control products and any other product candidates for which we receive regulatory approval;

•continue product development of fertility control products and advance our research and development activities and, as our operating budget permits, advance the research and development programs for other product candidates;

•maintain and protect our intellectual property portfolio; and

•add operational, financial and management information systems and personnel, including personnel to support our product development and commercialization efforts and operations as a public company.

We may need additional financing to fund these continuing and additional expenses.

The following table summarizes our sources and uses of cash for each of the periods presented (in thousands):

Cash Flows from Operating Activities—Cash flows from operating activities are generally determined by the amount and timing of cash received from customers and payments made to vendors, as well as the nature and amount of non-cash items, including depreciation and amortization and stock-based compensation included in operating results during a given period.

During the six months ended June 30, 2025, operating activities used $2.7 million of cash, resulting from our net loss of $3.3 million and net changes in our operating assets and liabilities of $275,000, partially offset by net non-cash charges of $299,000, consisting primarily of stock-based compensation, depreciation and amortization and operating lease expenses. Our net loss was driven by costs related to our selling, general and administrative activities resulting from our continued efforts to commercialize our products, combined with research and development costs related to our continued efforts on formulations of new products and improvements to existing products. Net cash provided by changes in our operating assets and liabilities consisted of a net increase in accounts payable and accrued expenses of $194,000 combined by decreases in prepaid expenses of $139,000 and inventory of $83,000, partially offset by increase in accounts receivable of $141,000.

During the six months ended June 30, 2024, operating activities used $3.4 million of cash, resulting from our net loss of $3.4 million and net changes in our operating assets and liabilities of $245,000, partially offset by non-cash charges of $245,000, consisting primarily of stock-based compensation and depreciation and amortization expense. Our net loss was driven by costs related to our selling, general and administrative activities resulting from our efforts to commercialize our products, combined with costs related to our research and development efforts. Net cash used by changes in our operating assets and liabilities consisted primarily of increases in accounts receivable of $150,000, inventory of $104,000, and prepaid expenses of $76,000, partially offset by an increase in accounts payable and accrued expenses of $88,000.

Cash Flows from Investing Activities—Cash flows used in investing activities primarily consist of the purchase of property and equipment, offset by any proceeds received in connection with sales of property and equipment. During the six months ended June 30, 2025 and 2024, cash flows used in investing activities consisted of property and equipment purchases and was higher in 2025 in connection with the April 2025 move into our new manufacturing facility with increased production capacity and corporate offices.

Cash Flows from Financing Activities—Financing activities provide cash for both day-to-day operations and capital requirements as needed. During the six months ended June 30, 2025, net cash provided by financing activities consisted of net proceeds received from the exercise of warrants of $4.9 million and from the issuance of common stock under our ATM Facility of $2.7 million, partially offset by repayments on notes payable of $28,000. During the six months ended June 30, 2024, net cash provided by financing activities consisted of proceeds received from notes payable of $25,000 and net proceeds received from the exercise of warrants of $6,000, partially offset by the repayment of notes payable of $17,000.

On August 5, 2025, we completed a warrant inducement transaction resulting in the issuance of 1,458,872 shares of our common stock upon the exercise of certain existing warrants (the “Warrant Inducement Transaction”). The holders of such warrants agreed to exercise their existing warrants at the exercise price of $4.15 per share and pay a purchase price of $0.125 per share—totaling $274,000—in consideration of our issuance, in a private placement, of new warrants.

These new warrants relate to 2,188,308 shares of common stock, have an exercise price of $5.25 per share, are immediately exercisable, and will expire 15 months after the effective date of the resale registration statement covering the underlying shares. This Warrant Inducement Transaction generated gross proceeds of $6.3 million, before deducting placement agent fees and other offering expenses payable by us. In connection with this transaction, we issued placement agent warrants to purchase up to 72,944 shares of common stock. These placement agent warrants have an exercise price of $5.4219 per share and have terms substantially similar to those of the new warrants issued to the investors.

As a result of the Warrant Inducement Transaction, we had approximately $11.2 million in cash and cash equivalents as of August 5, 2025, and we believe that our existing cash and cash equivalents will be sufficient to fund our operations and any capital expenditures through at least the end of fiscal 2027. If we have not yet achieved break-even or profitability by that point, our ability to continue as a going concern will depend on our ability to generate sufficient revenues, reduce operating costs, or obtain additional funding through equity or debt financings, strategic collaborations, or other arrangements.

There have been no material changes to our critical accounting policies and estimates as previously disclosed in Item 7 of our Annual Report on Form 10-K for the year ended December 31, 2024, filed with the SEC on March 13, 2025.

Not applicable.

We periodically conduct evaluations (pursuant to Rule 13a-15(b) of the Exchange Act), under the supervision and with the participation of management, of the effectiveness of our disclosure controls and procedures (as defined in Rule 13a-15(e)) as of the end of the period covered by this report.

These disclosure controls and procedures are designed to ensure that information required to be disclosed in our reports that are filed or submitted under the Exchange Act is recorded, processed, summarized and reported within the time periods specified in the SEC’s rules and forms. Our disclosure controls and procedures include, without limitation, controls and procedures designed to ensure that this information is accumulated and communicated to management, including the principal executive and principal financial officers, or persons performing similar functions, as appropriate, to allow timely decisions regarding required disclosure.

Based on the evaluation, our Chief Executive Officer and Chief Financial Officer have concluded that these disclosure controls and procedures were effective as of the end of the period covered by this report.

There were no changes in our internal control over financial reporting that occurred during the period covered by this quarterly report that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

From time to time, we may be a party to certain legal proceedings, incidental to the normal course of business. For information regarding legal proceedings in which we are involved, see Note 10, Contingencies, in our Notes to Condensed Financial Statements in Part I, Item I of the Quarterly Report on Form 10-Q.

There have been no material changes to our risk factors set forth in Part I, Item 1A, of our Annual Report on Form 10-K for the year ended December 31, 2024, filed with the SEC on March 13, 2025.

During the quarter ended June 30, 2025, none of our directors or officers adopted or terminated a “Rule 10b5-1 trading arrangement” or a “non-Rule 10b5-1 trading arrangement” (in each case, as defined in Item 408 of Regulation S-K).

*    Incorporated by reference as indicated.

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.