Income taxes (Tables)

7 Months Ended

Dec. 31, 2025

The following table presents the components of the provision for income taxes from continuing operations:

Income tax expense differs from the amount calculated using the 21% statutory U.S. federal income tax rate as follows:


	May 26, 2025 through
	December 31, 2025
	Amount		%
Tax at U.S. statutory rate	$	(3,701)	21.0	%
State and local income taxes, net of federal income tax effect	160		(0.9)	%

Research & development tax credits	(188)		1.1	%
Changes in federal valuation allowances	2,723		(15.5)	%
Nontaxable or nondeductible items	210		(1.2)	%
Changes in unrecognized tax benefits	34		(0.2)	%
Deferred tax write-offs	664		(3.8)	%
Return to provision	59		(0.3)	%
Capital loss expiration	376		(2.1)	%

Income tax expense	$	337	(1.9)	%


	Year ended
	May 25, 2025		May 26, 2024
Tax at U.S. statutory rate	$	(8,122)	$	1,998
State income taxes, net of federal benefit	(197)		52
Compensation-related activity	799		418
Return to provision adjustments	213		3,136
Deferred tax write-offs	(748)		711
Tax credit carryforwards	(539)		(518)
Other	96		158
Change in valuation allowance	8,541		(5,772)
Income tax expense	$	43	$	183

The following table presents the components of deferred tax assets and liabilities reported in the balance sheets:


	May 26, 2025 through		Year ended		Year ended
	December 31, 2025		May 25, 2025		May 26, 2024
Deferred tax assets:
Net operating loss carryforwards	$	42,091	$	40,677	$	40,806
Limitations on business interest expense	17,831		15,573		11,783
Research credit carryforwards	7,344		7,116		6,700
Capitalized research and development	1,874		3,767		2,916
Other	5,000		6,338		4,609
Deferred tax assets before valuation allowance	74,140		73,471		66,814
Less: valuation allowance	(57,538)		(54,714)		(46,173)
Deferred tax assets	16,602		18,757		20,641
Deferred tax liabilities:
Depreciation	(10,007)		(10,735)		(11,809)
Debt derivative liability and related debt discount	(5,799)		(7,026)		(7,911)
Other	(1,374)		(1,419)		(1,464)
Deferred tax liabilities	(17,180)		(19,180)		(21,184)
Net deferred tax liability	$	(578)	$	(423)	$	(543)

The following table presents the amounts and expiration dates of net operating loss and tax credit carryforwards as of December 31, 2025:


	Net operating loss carryforwards			Research and development credits
	Amount		Begin to expire	Amount		Life	Begin to expire
Federal, not subject to §382 limitation	$	174,674	no expiration	$	4,001	20 years	2033
Federal, subject to §382 limitation	3,867		2032	—		—	—
California	52,636		2038	2,058		unlimited	none
All other states	16,907		2029	2,132		15 years	2029