Marked against last year's 10-K:
cut words struck through, new words highlighted and underlined.
MD&A 259 words changed in this paragraph; it is 31% similar to last year's version.
General Research and administrative development expenses increased by $4.2 $37.4 million in the for year ended December 31, 2024, as 2025, compared to the prior year period. This The increase was primarily driven by by: (1) an increase in employee compensation and benefits of $10.3 benefits, which increased by $24.2 million, largely due to higher stock-based compensation and variable compensation expenses, (2) consumable laboratory supplies and other lab-related costs, which increased by $12.3 million, reflecting expanded research activities, (3) consulting, advisory, and professional services costs, which increased by $1.9 million, predominantly due to (i) stock-based compensation expenses recognized in the fourth quarter of fiscal year 2024 as a result of an equity grant third‑party engineering, certification, and regulatory support for scaling our solid‑oxide platforms and for AI data‑center power programs, (4) computer equipment costs, which increased by $1.3 million, primarily due to our Chief Executive Officer, increased spending on hardware and (ii) software maintenance, and (5) an increase in employee compensation for executive new hires, partially offset by an effect of the restructuring efforts in the second half of fiscal year 2023, as well as the voluntary resignation of certain of our executives in the second half of fiscal year 2023, (2) an increase in depreciation travel and entertainment expenses of $3.5 million, $0.7 million for year ended December 31, 2025, due to higher in-person engagement and (3) an increase in computer equipment maintenance expenses of $3.1 million. event participation. The overall increase was partially offset by (1) a decrease in office other research and development expenses of $8.0 million, (2) a decrease in facility costs of $3.2 million, primarily due to reduction in rent and utility costs, (3) a decrease in (i) consulting, advisory and other professional services costs, (ii) travel and entertainment, and (iii) other operating expenses of $0.7 million, $0.4 million, and $0.4 million, respectively, as a result of our cost reduction efforts initiated in fiscal million for year 2023. ended December 31, 2025.
Source: Item 7, 10-K 0001628280-26-006516 vs Item 7, 10-K 0001628280-25-008747
Accounting Policies 219 words changed in this paragraph; it is 30% similar to last year's version.
In March 2024, July 2025, the FASB issued ASU 2024-01, Compensation — Stock Compensation Accounting Standards Update (“ASU”) 2025-05, Financial Instruments-Credit Losses (Topic 718): Scope Application 326): Measurement of Profits Interest Credit Losses for Accounts Receivable and Similar Awards Contract Assets (“ASU 2024-01”). 2025-05”). This guidance is intended to improve U.S. GAAP. by adding an illustrative example to demonstrate how update introduces a practical expedient for all entities when estimating expected credit losses for current accounts receivable and current contract assets arising from transactions accounted for under ASC 606, Revenue from Contracts with Customers. Under the practical expedient, when developing reasonable and supportable forecasts as part of estimating expected credit losses, an entity should apply may assume that current conditions as of the scope guidance in paragraph 718-10-15-3 to determine whether profits interest and similar awards (“profits interest awards”) should be accounted balance sheet date do not change for in accordance with Topic 718, Compensation — Stock Compensation. The amendments in the remaining life of the asset. ASU 2024-01 are 2025-05 is effective for annual reporting periods beginning after December 15, 2024, 2025, and interim periods reporting within those annual reporting periods. The amendments Early adoption is permitted in ASU 2024-01 should be applied either (1) retrospectively to all prior periods presented in the financial statements or (2) prospectively to profits interest both interim and similar awards granted or modified on or after the date at which the entity first applies the amendments. annual reporting periods. We are currently evaluating this guidance, but do not expect the adoption impact of this guidance to have a material impact ASU 2025-05 on our consolidated financial statements.
Source: Item 8, Note 2 – Summary of Significant Accounting Policies, 10-K 0001628280-26-006516 vs Item 8, Note 2 – Summary of Significant Accounting Policies, 10-K 0001628280-25-008747
Legal Proceedings 165 words changed in this paragraph; it is 40% similar to last year's version.
On February 23, 2023, we filed an amended complaint adding additional causes of action and filed objections to the Magistrate’s report and recommendation. On April 26, 2023, Judge Gilstrap overruled our objections to the Magistrate’s report and recommendation and stayed the district court action pending arbitrability determinations by the arbitrator in the WIPO proceeding. The arbitration had been held in abeyance awaiting the decision of the Eastern District of Texas. A hearing by the arbitrator in WIPO on arbitrability took place on June 27, 2023. On October 2, 2023, the arbitrator in the WIPO proceeding issued a ruling concluding that all the parties’ claims were arbitrable. On November 18, 2023, the arbitrator bifurcated the arbitration into a first phase that will focus focusing on Bloom’s claims directed to improper inventorship of the Patents-in-Suit and Bloom’s defective product claims. Briefing on the first phase took place throughout 2024 with a potential and the first half of 2025. An evidentiary hearing to be scheduled in with witness testimony commenced on July 21, 2025, and continued through August 1, 2025. Post hearing briefs were submitted on October 3, 2025. There is no set time frame for a decision from the Arbitrator on the first phase of the arbitration. We are unable to predict the ultimate outcome of the arbitration at this time.
Source: Item 3, via Note 13 – Commitments and Contingencies, 10-K 0001628280-26-006516 vs Item 3, via Note 13 – Commitments and Contingencies, 10-K 0001628280-25-008747
Risk Factors 62 words changed in this paragraph; it is 71% similar to last year's version.
Our products have significant upfront costs, which may be a barrier for some customers who may not have the financial capability to purchase our products directly. To address this, we have developed various financing options that allow customers to use our products through third-party financing arrangements. These options enable our customers to access our products without making a direct purchase. For more information on the different financing arrangements available, please see Part II, Item 7, Management’s Discussion and Analysis of Financial Condition and Results of Operations - Purchase and Financing Options. If in any given quarter we or our customers are not able to secure funding, our financial condition and results of operations would be harmed. To attract new customers, we regularly innovate our customer contracts which may have different terms and financing conditions from prior transactions.
Source: Item 1A, 10-K 0001628280-26-006516 vs Item 1A, 10-K 0001628280-25-008747
