Company: SMNR
Filing Date: 2025-04-02
Form Type: 10-K
Source: 0001213900-25-027319
Chunk: 211

Company: Semnur Pharmaceuticals, Inc.
Filing Date: 2025-04-02
Form: 10-K
Item: Item 1A
Chunk 211
---
   
    Non- 

    Redeemable  
    Redeemable  
    Redeemable  
    Redeemable 

    Common  
    Common  
    Common  
    Common 

    Stock  
    Stock  
    Stock  
    Stock 
  
    Basic and diluted net income (loss) per share: 

    Numerators: 

    Allocation of net loss including accretion of temporary equity 
    $(1,098,113) 
    $(1,037,563) 
    $(3,720,244) 
    $(1,290,491)
  
    Accretion of temporary equity to redemption value 
     1,968,370  
     -  
     5,643,271  
     - 
  
    Allocation of net income/(loss) 
    $870,257  
    $(1,037,563) 
    $1,923,027  
    $(1,290,491)

    Denominators: 

    Weighted-average shares outstanding 
     2,722,627  
     2,572,500  
     7,416,033  
     2,572,500 
  
    Basic and diluted net income/ (loss) per share 
    $0.32  
    $(0.40) 
    $0.26  
    $(0.50)

Income
Taxes

The
Company accounts for income taxes under FASB ASC 740, “Income Taxes” (“ASC 740”). ASC 740 requires the recognition
of deferred tax assets and liabilities for both the expected impact of differences between the financial statements and tax basis of
assets and liabilities and for the expected future tax benefit to be derived from tax loss and tax credit carry forwards. ASC 740 additionally
requires a valuation allowance to be established when it is more likely than not that all or a portion of deferred tax assets will not
be realized.

ASC
740 also clarifies the accounting for uncertainty in income taxes recognized in an enterprise’s financial statements and prescribes
a recognition threshold and measurement process for financial statements recognition and measurement of a tax position taken or expected
to be taken in a tax return. For those benefits to be recognized, a tax position must be more-likely-than-not to be sustained upon examination
by taxing authorities. ASC 740 also provides guidance on derecognition, classification, interest and penalties