Company: OCEA
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001641172-25-011080
Chunk: 190

Company: Ocean Biomedical, Inc.
Filing Date: 2025-05-15
Form: 10-Q
Item: Item 8
Chunk 190
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 returns. Deferred tax assets and liabilities are determined based on the difference between the financial statement and tax bases
of assets and liabilities using enacted tax rates in effect for the year in which the differences are expected to reverse, and net operating
loss, or NOL, carryforwards and research and development tax credit carryforwards. Valuation allowances are provided, if based upon the
weight of available evidence, it is more likely than not that some or all of the deferred tax assets will not be realized. We have recorded
a full valuation allowance to reduce our net deferred income tax assets to zero. In the event we were to determine that we would be able
to realize some or all of our deferred income tax assets in the future, an adjustment to the deferred income tax asset valuation allowance
would increase income in the period such determination was made. As a consequence, we have recorded no income tax expense nor benefit
for all years presented.

Comparison of the Three
months Ended March 31, 2025 and 2024

    Three months ended March 31, 
  
    in thousands 
    2025  
    2024  
    $ Change 
  
    Revenue 
    $-  
    $-  
    $- 
  
    Operating Expenses: 

    Research and development 
     18  
     26  
     (8)
  
    General and administrative 
     940  
     569  
     371 
  
    Total operating expenses 
     958  
     595  
     363 
  
    Operating loss 
     (958) 
     (595) 
     (363)
  
    Other (loss) income 
     (7,282) 
     13,594  
     (20,876)
  
    Net (loss) income 
     (8,240) 
     12,999  
     (21,239)

Operating Expenses

Research and development

Research and development expense
for the three months ended March 31, 2025 were basically unchanged, as compared to the three months ended March 31, 2024.

40

General and administrative

General and administrative expense
for the three months ended March 31, 2025 increased by $0.4 million, as compared to the three months ended March 31, 2024. The $0.4 million
increase was primarily driven by increases in the costs associated