Company: HCWB
Filing Date: 2025-03-28
Form Type: 10-K
Source: 0000950170-25-046724
Chunk: 316

Company: HCW Biologics Inc.
Filing Date: 2025-03-28
Form: 10-K
Item: Item 1B
Chunk 316
---
6,779,515

        6,312,292

        Other segment items(b)

        11,098,806

        18,281,931

        Total operating expenses

        25,554,637

        30,983,217

        Net segment loss
         
        $
        (24,994,277
        )
         
        $
        (30,023,814
        )

        (a)
        Professional services consist primarily of audit and accounting advisory services, tax advisory services, corporate legal services related to SEC compliance, and legal fees related to patent filings.  

        (b)
        Other segment items include the following unusual or nonrecurring items: 

        Years EndedDecember 31,

        2023

        2024

        Arbitration legal fees
         
        $
        6,571,689

        $
        15,910,480

        Reserve for credit losses and other expenses

        5,250,000

        1,300,000

        Accretion of fixed bonus upon maturity of Senior Notes

        —

        527,304

        Interest expense

        283,042

        631,137

        Other income, net

        (1,005,925
        )

        (86,990
        )

        Other segment items
         
        $
        11,098,806

        $
        18,281,931

122

17. Commitments and Contingencies Operating Leases The Company has operating leases for approximately 12,250 square feet of space located in Miramar, Florida.  On February 29, 2024, the lease on the Company's current location reached the end of its term and the Company entered a new one-year lease for the same location which commenced on March 1, 2024 and terminated on February 28, 2025.  On January 27, 2025, the Company entered a new one-year lease for the same location which commenced on March 1, 2025 and terminates on February 28, 2026.  As a lease of 12 months or less in duration and qualifies for a short-term lease exemption under ASC 842-20-25-2.  The Company elected to account for this lease on a straight-line basis over the lease term and will not recognize a ROU asset and a lease liability as a result.  The Company has no obligations