{"url_path":"/sec/ivf/10-k/2026/item-8","section_key":"item-8","section_title":"Item 8 Financial Statements and Supplementary Data**","topic":"sec","document":{"doc_type":"10-K","doc_date":"2026-06-02","source_url":"https://www.sec.gov/Archives/edgar/data/1417926/0001493152-26-026775-index.html","accession_number":"0001493152-26-026775","cik":"0001417926","ticker":"IVF","issuer_name":"INVO Fertility, Inc.","edgar_url":"https://www.sec.gov/Archives/edgar/data/1417926/0001493152-26-026775-index.html","primary_entity_key":"0001417926","primary_entity_name":"INVO Fertility, Inc."},"word_count":27140,"has_tables":true,"body_markdown":"**Item\n8. Financial Statements and Supplementary Data**\n\n \n\n \n**Page**\n\n \n \n\n[Report of Independent Registered Public Accounting Firm](#F_001) (PCAOB ID No. 100)\nF-1\n\n \n \n\n[Report of Independent Registered Public Accounting Firm](#aud_001) (PCAOB ID No. 2738)\nF-3\n\n \n \n\n[Consolidated Balance Sheets as of December 31, 2025 and 2024](#F_002)\nF-4\n\n \n \n\n[Consolidated Statements of Operations for the Years Ended December 31, 2025 and 2024](#F_003)\nF-5\n\n \n \n\n[Consolidated Statements of Stockholders’ Equity and Mezzanine Equity for the Period from January 1, 2024 to December 31, 2025](#F_004)\nF-6\n\n \n \n\n[Consolidated Statements of Cash Flows for the Years Ended December 31, 2025 and 2024](#F_005)\nF-7\n\n \n \n\n[Notes to Consolidated Financial Statements](#F_006)\nF-8\n\n \n\n51\n\n \n\n \n\n**Report\nof Independent Registered Public Accounting Firm**\n\n \n\nTo the Board of Directors and Shareholders\n\nINVO Fertility, Inc.\n\n \n\n**Opinion on the Consolidated Financial Statements**\n\n \n\nWe have audited the accompanying consolidated\nbalance sheet of INVO Fertility, Inc. (the “Company”) as of December 31, 2025, and the related consolidated statements of\noperations, of Stockholders’ Equity and Mezzanine Equity, and of cash flows for year ended December 31, 2025, and the related notes\nto the consolidated financial statements (collectively referred to as the “consolidated financial statements”). In our opinion,\nthe financial statements present fairly, in all material respects, the consolidated financial position of the Company as of December 31,\n2025, and the results of its operations and its cash flows for the year ended December 31, 2025, in conformity with accounting principles\ngenerally accepted in the United States of America.\n\n \n\nWe also have audited the adjustments described\nin Note 1 that were applied to the recast of the December 31, 2024 consolidated balance sheet, consolidated statement of operations, and\ncash flows in relation to discontinued operations. In our opinion, such adjustments are appropriate and have been properly applied. We\nwere not engaged to audit, review, or apply any procedures to the 2024 consolidated financial statements of the Company, other than with\nrespect to the adjustment and, accordingly, we do not express an opinion or any other form of assurance on the 2024 consolidated financial\nstatements taken as a whole.\n\n \n\n**Substantial Doubt Regarding Going Concern**\n\n** **\n\nThe accompanying consolidated financial statements\nhave been prepared assuming the Company will continue as a going concern. As noted in Note 3 to the consolidated financial statements,\nthe Company has suffered recurring losses and negative cash flows from operations. This raises substantial doubt about the Company’s\nability to continue as a going concern. Management’s plans regarding these matters are also included in Note 3. The consolidated\nfinancial statements do not include any adjustments that might result from the outcome of this uncertainty.\n\n** **\n\n**Basis for Opinion**\n\n* *\n\nThese consolidated financial statements are the\nresponsibility of the entity’s management. Our responsibility is to express an opinion on these financial statements based on our\naudit. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”)\nand are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable\nrules and regulations of the Securities and Exchange Commission and the PCAOB.\n\n \n\nWe conducted our audits in accordance with the\nstandards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial\nstatements are free of material misstatement, whether due to error or fraud. The Company is not required to have, nor were we engaged\nto perform, an audit of its internal control over financial reporting. As part of our audit we are required to obtain an understanding\nof internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the entity’s\ninternal control over financial reporting. Accordingly, we express no such opinion.\n\n \n\nOur audit included performing procedures to assess\nthe risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond\nto those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements.\nOur audit also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating\nthe overall presentation of the financial statements. We believe that our audit provides a reasonable basis for our opinion.\n\n* *\n\n**Critical Audit Matters**\n\n \n\nThe critical audit matters communicated below\nare matters arising from the current period audit of the financial statements that were communicated or required to be communicated to\nthe audit committee and that: (1) relate to accounts or disclosures that are material to the financial statements and (2) involved our\nespecially challenging, subjective, or complex judgments. The communication of critical audit matters does not alter in any way our opinion\non the financial statements, taken as a whole, and we are not, by communicating the critical audit matters below, providing separate opinions\non the critical audit matters or on the accounts or disclosures to which they relate.\n\n \n\n**Critical Audit Matter Description and How it Was Addressed in the\nAudit**\n\n* *\n\n*Accounting for Goodwill Valuation and Impairment – Refer to Note 9*\n\n* *\n\nDescription of the matter\n\n \n\nAs reflected in the Company’s financial\nstatements at December 31, 2025, the Company’s goodwill was approximately $5.9 million, which requires an annual impairment test.\nA qualitative assessment includes consideration of the economic, industry and market conditions in addition to the overall financial performance\nof the Company and these assets. If the qualitative assessment does not conclude that it is more likely than not that the estimated fair\nvalue of the reporting unit is greater than the carrying value, the Company performs a quantitative analysis. We identified the evaluation\nof the Company’s impairment test of goodwill as a critical audit matter due to significant management estimates and judgments inherently\nrequired in determining the fair value estimates. Due to these estimates relying heavily on management’s judgement about future performance\nand market conditions, evaluating the goodwill impairment analysis required significant auditor attention. Additionally, the audit effort\ninvolved the use of professionals with specialized skill and knowledge.\n\n \n\nHow We Addressed the Matter in Our Audit\n\n \n\nOur audit procedures included comparing past forecasts\nto actual results, assessing whether the valuation model was appropriate, and testing the key assumptions such as revenue growth, margins,\ndiscount rates, and long-term growth rates. We also used our valuation specialists to assist in evaluating the reasonableness of the valuation\ninputs.\n\n \n\n F-1 \n\n \n\n \n\n*Accounting for Complex Equity Transactions – Refer to Note 11, Note 13 and Note 15*\n\n* *\n\nDescription of the matter\n\n \n\nThe Company entered into several equity transactions\nduring the year that included the issuance of convertible debentures and warrants with various terms and features. We identified the evaluation\nof the transactions as a critical audit matter due to the significant management estimates and judgements inherently required in determining\nthe accounting treatment and valuation of these transactions. This, in turn, led to a high degree of auditor judgment, subjectivity, and\neffort in performing procedures to evaluate the reasonableness of management’s significant estimates and assumptions, several of\nwhich included the use of complex modeling in determining fair values of the equity instruments. Additionally, the audit effort involved\nthe use of professionals with specialized skills and knowledge.\n\n \n\nHow We Addressed the Matter in Our Audit\n\n \n\nOur audit procedures included reviewing the underlying agreements, assessing\nmanagement’s analysis of the applicable accounting literature, and testing the inputs and assumptions used in the fair value calculations.\nWe also involved our valuation specialists to assist in evaluating the model used in the fair value calculations of warrants and derivative\nliabilities.\n\n \n\n*Accounting for Variable Interest Entities* *– Refer\nto Note 5*\n\n* *\n\nDescription of the matter\n\n \n\nthe Company has an investment in a joint venture\nthat is a variable interest entity (“VIE”). Management concluded that the Company is not the primary beneficiary of the VIE\nand therefore did not consolidate the joint venture; instead, the Company accounts for the investment as a non-consolidated equity method\ninvestment. We identified the evaluation of the assessment as a critical audit matter due to the significant management judgements inherently\nrequired in determining the accounting treatment of the VIE. This, in turn, led to a high degree of auditor judgment, subjectivity, and\neffort in performing procedures and research to evaluate the reasonableness of management’s significant interpretations, positions\nand assumptions, several of which included analysis of the VIE’s activities and purposes as written in the partnership agreement\ncompared to its actual operating activities in practice. Additionally, the audit effort involved the use of professionals with specialized\nskills and knowledge.\n\n \n\nHow We Addressed the Matter in Our Audit\n\n \n\nOur audit procedures included reviewing the underlying\nagreements and assessing management’s analysis of the applicable accounting literature. We also involved our technical accounting professionals\nto assist in evaluating the accounting treatment of the VIE and the reasonableness of management’s judgements.\n\n \n\n**Emphasis of Matter – Restatement of Unaudited Interim Consolidated\nFinancial Statements**\n\n \n\nAs discussed in Note 1 to the consolidated financial statements, the unaudited\nconsolidated financial statements as of March 31, 2025 and for the three months ended March 31, 2025, as of June 30, 2025 and for the\nthree and six months ended June 30, 2025 and as of September 30, 2025 and for the three and nine months ended September 30, 2025 have\nbeen restated to correct misstatements related to equity classifications, warrant classifications and settlement liabilities.\n\n \n\n/s/ WithumSmith+Brown, PC\n\n \n\nWe have served as the Company’s auditor since 2025.\n\n \n\nIrvine, CA\n\n* *\n\nJune 2, 2026\n\n \n\nPCAOB ID Number 100\n\n \n\n F-2 \n\n \n\n \n\n \n\n**REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING\nFIRM**\n\n \n\nTo the Board of Directors and\n\nStockholders of INVO Fertility, Inc.\n\n \n\n**Opinion on the Consolidated Financial Statements**\n\n \n\nWe have audited the accompanying consolidated\nbalance sheet of INVO Fertility, Inc. (former name: NAYA Biosciences, Inc. and INVO Bioscience, Inc.) (the Company) as of December 31,\n2024, and the related consolidated statements of operations, stockholders’ equity, and cash flows for the year ended December 31,\n2024, and the related notes (collectively referred to as the financial statements). In our opinion, the financial statements present fairly,\nbefore the effects of the adjustments for the reclassification of discontinued operations as described in Note 1, in all material respects,\nthe financial position of the Company as of December 31, 2024, and the results of its operations and its cash flows for the year ended\nDecember 31, 2024, in conformity with accounting principles generally accepted in the United States of America.\n\n \n\nWe were not engaged to audit, review or apply\nany procedures to the adjustments for the reclassification of discontinued operations as described in Note 1, and accordingly, we do not\nexpress an opinion or any other form of assurance about whether such adjustments are appropriate and have been properly applied. Those\nadjustments were audit by WithumSmith+Brown, PC.\n\n \n\n**Going Concern**\n\n** **\n\nThe accompanying consolidated financial\nstatements have been prepared assuming that the Company will continue as a going concern. As discussed in Note 3 to the consolidated\nfinancial statements, the Company has suffered net losses from operations and has a net capital deficiency, which raises substantial\ndoubt about its ability to continue as a going concern. Management’s plans regarding those matters are discussed in Note 3.\nThe consolidated financial statements do not include any adjustments that might result from the outcome of this uncertainty.\n\n \n\n**Basis for Opinion**\n\n \n\nThese consolidated financial statements are the\nresponsibility of the Company’s management. Our responsibility is to express an opinion on the Company’s consolidated financial\nstatements based on our audit. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States)\n(PCAOB) and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable\nrules and regulations of the Securities and Exchange Commission and the PCAOB.\n\n \n\nWe conducted our audit in accordance with the\nstandards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial\nstatements are free of material misstatement, whether due to error or fraud. The Company is not required to have, nor were we engaged\nto perform, an audit of its internal control over financial reporting. As part of our audit, we are required to obtain an understanding\nof internal control over financial reporting, but not for the purpose of expressing an opinion on the effectiveness of the Company’s\ninternal control over financial reporting. Accordingly, we express no such opinion.\n\n \n\nOur audit included performing procedures to assess\nthe risks of material misstatement of the consolidated financial statements, whether due to error or fraud, and performing procedures\nthat respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the\nfinancial statements. Our audit also included evaluating the accounting principles used and significant estimates made by management,\nas well as evaluating the overall presentation of the consolidated financial statements. We believe that our audit provides a reasonable\nbasis for our opinion.\n\n \n\n**Critical Audit Matter**\n\n \n\nThe critical audit matter communicated below is\na matter arising from the current period audit of the consolidated financial statements that was communicated or required to be communicated\nto the audit committee and that: (1) relates to accounts or disclosures that are material to the consolidated financial statements and\n(2) involved our especially challenging, subjective, or complex judgments. The communication of critical audit matters does not alter\nin any way our opinion on the consolidated financial statements, taken as a whole, and we are not, by communicating the critical audit\nmatter below, providing a separate opinion on the critical audit matter or on the accounts or disclosures to which it relates.\n\n \n\n**Goodwill and Intangible Assets**\n\n** **\n\nAs discussed in Note 4 and 9 to the consolidated\nfinancial statements, the Company acquired intangible assets through business combinations in 2024 and 2023. At each reporting period,\ncertain intangible assets are required to be assessed annually for impairment based on the facts and circumstances at that time. Auditing\nmanagement’s evaluation of intangible assets can be a significant judgment given the fact that the Company uses management estimates\non future revenues and expenses which are not easily able to be substantiated.\n\n \n\nGiven these factors and due to significant judgements\nmade by management, the related audit effort in evaluating management’s judgments in evaluation of intangible assets required a\nhigh degree of auditor judgment.\n\n \n\nThe procedures performed included evaluation of\nthe methods and assumptions used by the Company, tests of the data used and an evaluation of the findings. We evaluated and tested the\nCompany’s significant judgments that determine the impairment evaluation of intangible assets.\n\n \n\n/s/ M&K CPAS, PLLC\n\n \n\nM&K CPAS, PLLC\n\nPCAOB ID: 2738\n\n \n\nWe served as the Company’s auditor from September 19, 2019 until\nSeptember 5, 2025.\n\n \n\nThe Woodlands, TX\n\nApril 29, 2025\n\n \n\n F-3 \n\n \n\n \n\n**INVO\nFERTILITY, INC.**\n\n**CONSOLIDATED\nBALANCE SHEETS**\n\n \n\n  \nDecember 31, 2025  \nDecember 31, 2024 \n\nASSETS \n    \n   \n\nCurrent assets \n    \n   \n\nCash \n$2,077,842  \n$619,520 \n\nAccounts receivable, net of allowances of $69,641 and $61,773 as of December 31, 2025 and 2024, respectively \n 217,263  \n 113,108 \n\nInventory \n 225,253  \n 219,764 \n\nPrepaid expenses and other current assets \n 241,145  \n 180,853 \n\nCurrent assets held for disposition \n -  \n 123,313 \n\nTotal current assets \n 2,761,503  \n 1,256,558 \n\nProperty and equipment, net \n 386,165  \n 466,684 \n\nLease right of use \n 1,286,217  \n 1,493,620 \n\nIntangible assets, net \n 1,325,145  \n 3,275,931 \n\nGoodwill \n 5,878,986  \n 5,878,986 \n\nInvestment in NAYA Therapeutics \n 2,466,810  \n - \n\nNote receivable – NAYA Therapeutics \n 5,029,770  \n - \n\nNote receivable - HRCFG \n 1,085,528  \n 1,220,528 \n\nNote receivable \n 1,085,528  \n 1,220,528 \n\nNoncurrent assets held for disposition \n -  \n 32,484,707 \n\nTotal assets \n$20,220,124  \n$46,077,014 \n\n  \n    \n   \n\nLIABILITIES, MEZZANINE EQUITY, AND STOCKHOLDERS’ EQUITY \n    \n   \n\nCurrent liabilities \n    \n   \n\nAccounts payable and accrued liabilities \n$2,034,057  \n$3,113,660 \n\nAccrued compensation \n 285,946  \n 713,483 \n\nNotes payable - current portion, net \n 1,054,664  \n 5,173,293 \n\nNotes payable - related party, net \n 220,000  \n 880,000 \n\nNotes payable , net \n 220,000  \n 880,000 \n\nDeferred revenue \n 721,897  \n 602,359 \n\nLease liability, current portion \n 208,987  \n 181,132 \n\nAdditional payments for acquisition, current portion \n 3,925,000  \n 2,500,000 \n\nDerivative liability \n 1,881,078  \n - \n\nOther current liabilities \n -  \n 410,000 \n\nCurrent liabilities held for disposition \n -  \n 4,294,521 \n\nTotal current liabilities \n 10,331,629  \n 17,868,448 \n\nLease liability, net of current portion \n 1,171,075  \n 1,395,612 \n\nLiability for excess losses of equity method investee \n 448,474  \n 479,768 \n\nNotes payable – net of current portion \n 744,725  \n 1,128,713 \n\nDeferred tax liability \n -  \n 163,115 \n\nAdditional payments for acquisition, net of current portion \n 300,000  \n 5,000,000 \n\nTotal liabilities \n 12,995,903  \n 26,035,656 \n\n  \n    \n   \n\nMezzanine equity \n    \n   \n\nSeries C-2 Preferred Stock (mezzanine) $1,000.00 par value; 20,000 shares authorized; 3,004 and 8,576 issued and outstanding as of December 31, 2025 and 2024, respectively. \n -  \n 7,457,000 \n\n  \n    \n   \n\nStockholders’ equity \n    \n   \n\nSeries C-1 Preferred Stock, $1,000.00 par value; 30,375 shares authorized; 0 and 30,375 issued and outstanding as of December 31, 2025 and 2024, respectively. \n -  \n 30,375,000 \n\nSeries C-2 Preferred Stock (equity) $1,000.00 par value; 20,000 shares authorized; 3,004 and 8,576 issued and outstanding as of December 31, 2025 and 2024, respectively. \n 2,406,359  \n - \n\nPreferred stock value \n 2,406,359  \n - \n\nCommon Stock, $.0001 par value; 6,250,000 shares authorized; 477,366 and 3,111 issued and outstanding as of December 31, 2025 and 2024, respectively \n 239  \n 37 \n\nAdditional paid-in capital \n 96,187,026  \n 49,537,054 \n\nAccumulated deficit \n (91,369,403) \n (67,327,733)\n\nTotal stockholders’ equity \n 7,224,221  \n 12,584,358 \n\nTotal liabilities, mezzanine, and stockholders’ equity \n$20,220,124  \n$46,077,014 \n\n \n\nThe\naccompanying notes are an integral part of these consolidated financial statements.\n\n \n\n F-4 \n\n \n\n \n\n**INVO\nFERTILITY, INC.**\n\n**CONSOLIDATED\nSTATEMENTS OF OPERATIONS**\n\n \n\n  \n2025  \n2024 \n\n  \nFor the Years Ended December 31, \n\n  \n2025  \n2024 \n\nRevenue: \n   \n  \n\nClinic revenue \n$6,721,057  \n$6,450,431 \n\nProduct revenue \n 120,193  \n 81,569 \n\nTotal revenue \n 6,841,250  \n 6,532,000 \n\nOperating expenses: \n    \n   \n\nCost of services \n 4,282,167  \n 3,645,565 \n\nCost of goods sold \n 30,571  \n 12,201 \n\nSelling, general and administrative expenses \n 7,691,151  \n 8,065,801 \n\nResearch and development expenses \n -  \n 4,880 \n\nImpairment of intangible assets \n 1,397,353  \n - \n\nLoss on disposal of fixed assets \n -  \n 511,663 \n\nDepreciation and amortization \n 677,364  \n 919,603 \n\nTotal operating expenses \n 14,078,606  \n 13,159,713 \n\nLoss from operations \n (7,237,356) \n (6,627,713)\n\nOther income (expense): \n    \n   \n\nGain from equity method joint ventures \n 31,294  \n 9,045 \n\nGain on changes in fair value \n 5,172,006  \n - \n\nGain on lease termination \n -  \n 94,551 \n\nLoss from debt extinguishment \n (2,135,854) \n (40,491)\n\nLoss on issuance of warrants \n \n(943,862\n) \n - \n\nGain on settlement of liability (Note 18) \n 929,500  \n - \n\nInterest expense \n (1,302,074) \n (1,035,143)\n\nTotal other income (expenses) \n 1,751,010 \n (972,038)\n\nNet loss before income taxes \n (5,486,346) \n (7,599,751)\n\nProvision (benefit) for income taxes \n (150,371\n)\n \n 140,202\n\nNet loss from continuing operations \n (5,335,975) \n (7,739,953)\n\nLoss on disposal of NTI (Note 4) \n (1,534,517) \n - \n\nLoss on discontinued operations of NTI (Note 4) \n (16,452,562) \n (1,519,000)\n\nNet\nloss \n (23,323,054) \n (9,258,953)\n\nPreferred stock dividends and deemed dividends \n (1,807,170)  \n (250,635)\n\nNet loss attributable to common shareholders \n$(25,130,224) \n$(9,509,588)\n\nNet loss from continuing operations per common share: \n    \n   \n\nBasic \n$(45.57) \n$(3,078.74)\n\nDiluted \n$(45.57) \n$(3,078.74)\n\nNet loss from discontinued operations per common share: \n    \n   \n\nBasic \n$(153.63) \n$(604.21)\n\nDiluted \n$(153.63) \n$(604.21)\n\nNet loss per common share: \n    \n   \n\nBasic \n$(214.64) \n$(3,782.65)\n\nDiluted \n$(214.64) \n$(3,782.65)\n\nWeighted average number of common shares outstanding: \n    \n   \n\nBasic \n 117,083  \n 2,514 \n\nDiluted \n 117,083  \n 2,514 \n\n \n\nThe\naccompanying notes are an integral part of these consolidated financial statements.\n\n \n\n F-5 \n\n \n\n \n\n**INVO\nFERTILITY, INC.**\n\n**CONSOLIDATED\nSTATEMENTS OF STOCKHOLDERS’ EQUITY AND MEZZANINE EQUITY**\n\n \n\n  \nShares  \nAmount  \nShares  \nAmount  \nShares  \nAmount  \nShares  \nAmount  \nCapital  \nDeficit  \nTotal \n \n \n \n \n \n \n \n \n\n  \nStockholders’ Equity  \nMezzanine Equity \n\n  \nCommon Stock  \n\n**Series A**\n\n**Preferred Stock**\n  \n\n**Series B**\n\n**Preferred Stock**\n  \n\n**Series C-1**\n\n**Preferred Stock**\n  \n\nAdditional\n\nPaid-in\n  \nAccumulated  \n   \n\n**Series C-2**\n\n**Preferred Stock**\n \n\n  \nShares  \nAmount  \nShares  \nAmount  \nShares  \nAmount  \nShares  \nAmount  \nCapital  \nDeficit  \nTotal  \nShares  \nAmount \n\nBalances, December 31, 2023 \n 8,655  \n$1  \n -  \n$-  \n 1,200,000  \n$6,000,000  \n -  \n$- -\n$52,710,969  \n$(57,818,145) \n$892,825  \n -  \n$- \n\nCommon stock issued to directors and employees \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n 153  \n -  \n 153  \n -  \n - \n\nCommon stock issued to service providers \n 1,006  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n 275,753  \n -  \n 275,753  \n -  \n - \n\nStock issued for cash \n 904  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n 165,131  \n -  \n 165,131  \n -  \n - \n\nPreferred stock issued \n -  \n -  \n 328,780  \n 1,643,904  \n -  \n -  \n -  \n -  \n -  \n -  \n 1,643,904  \n -  \n - \n\nStock options issued to directors and employees \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n 342,728  \n -  \n 342,728  \n -  \n - \n\nWarrants issued with notes payable \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n 188,755  \n -  \n 188,755  \n -  \n - \n\nConvertible note modification/extinguishment \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n 40,491  \n -  \n 40,491  \n -  \n - \n\nDebt conversion \n 1,044  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n 387,033  \n -  \n 387,033  \n -  \n - \n\nWarrants issued \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n 971,012  \n -  \n 971,012  \n -  \n - \n\nWarrant exercise \n 2,803  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n 900,611  \n -  \n 900,611  \n -  \n - \n\nConsideration for Legacy NAYA \n 1,140  \n -  \n (328,780) \n (1,643,904) \n (1,200,000) \n (6,000,000) \n 30,375  \n 30,375,000  \n (6,696,181) \n -  \n 16,034,915  \n 8,576  \n 7,457,000 \n\nNAYA debt conversion \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n - \n\nDeemed dividend \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n 250,635  \n (250,635) \n -  \n -  \n - \n\nReturned shares \n (1) \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n - \n\nNet loss attributable to INVO Fertility, Inc. \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n - -\n -  \n (9,258,953) \n (9,258,953) \n -  \n - \n\nBalances, December 31, 2024 \n 15,551  \n$1  \n -  \n$-  \n -  \n$-  \n 30,375  \n$30,375,000 -\n$49,537,090  \n$(67,327,733) \n$12,584,358  \n 8,576  \n$7,457,000 \n\n \n\n  \nShares  \nAmount  \nShares  \nAmount  \nShares  \nAmount  \nShares  \nAmount  \nShares  \nAmount  \nCapital  \nDeficit  \nTotal\n \n \n \n \n \n \n \n  \n\n  \nStockholders’ Equity\n \n \n\n**Mezzanine Equity**\n\n \n\n  \nCommon Stock  \n\n**Series A**\n\n**Preferred Stock**\n  \n\n**Series B**\n\n**Preferred Stock**\n  \n\n**Series C-1**\n\n**Preferred Stock**\n  \n\n**Series C-2**\n\n**Preferred Stock**\n  \n\n**Additional**\n\n**Paid-In**\n  \nAccumulated  \n \n \n \n**Series C-2 Preferred Stock** \n\n  \nShares  \nAmount  \nShares  \nAmount  \nShares  \nAmount  \nShares  \nAmount  \nShares  \nAmount  \nCapital  \nDeficit  \nTotal\n \n \n**Shares**\n \n \n\n**Amount**\n\n \n\nBalances, December 31, 2024 \n 15,551  \n$1  \n -  \n$     -  \n   -  \n$     -  \n 30,375  \n$30,375,000  \n -  \n$-  \n$49,537,090  \n$(67,327,733) \n$12,584,358\n \n \n \n**8,576**\n \n \n**$**\n**7,457,000** \n\nBalance \n 15,551  \n$1  \n -  \n$     -  \n   -  \n$     -  \n 30,375  \n$30,375,000  \n -  \n$-  \n$49,537,090  \n$(67,327,733) \n$12,584,358\n \n \n \n**8,576**\n \n \n**$**\n**7,457,000** \n\nReclassification of Series C-2 Preferred stock from mezzanine equity \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n 4,576  \n 3,978,922  \n -  \n -  \n 3,978,922\n \n \n \n(4,576\n)\n \n \n(3,978,922)\n\nPreferred stock redemption \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n    \n (521,922) \n -  \n (521,922\n)\n \n \n(4,000\n)\n \n \n(3,478,078)\n\nCommon stock issued to service providers \n 65,617  \n 6  \n -  \n -  \n -  \n -  \n -  \n -  \n 1,097  \n 1,097,000  \n 216,936  \n -  \n 1,313,942\n \n \n \n-\n \n \n \n- \n\nProceeds from the sale of common stock, net of fees and\nexpenses \n 244,069  \n 25  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n 12,355,582  \n -  \n 12,355,607\n \n \n \n-\n \n \n \n- \n\nWarrant exercise - cashless \n 1,960  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -\n \n \n \n-\n \n \n \n- \n\nWarrant exercise - pre-funded \n 38,210  \n 4  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n 971  \n -  \n 975\n \n \n \n-\n \n \n \n- \n\nWarrant exercise \n 40,910  \n 4  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n 1,109,625) \n -  \n 1,109,629\n \n \n \n-\n \n \n \n- \n\nStock options issued to directors and employees \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n 178,729  \n -  \n 178,729\n \n \n \n-\n \n \n \n- \n\nDebt conversion \n 96,590  \n 10  \n -  \n -  \n -  \n -  \n -  \n -  \n 4,759  \n 4,759,000  \n 989,951  \n -  \n 5,748,961\n \n \n \n-\n \n \n \n- \n\nC-1 to C-2 exchange \n -  \n -  \n -  \n -  \n -  \n -  \n (2,025) \n (2,025,000) \n 3,213  \n 3,213,000  \n (837,821) \n -  \n 350,179\n \n \n \n-\n \n \n \n- \n\nDivesture of NAYA \n -  \n -  \n -  \n -  \n -  \n -  \n (28,350) \n (28,350,000) \n -  \n -  \n 24,368,110  \n -  \n (3,981,890\n)\n \n \n-\n \n \n \n- \n\nProceeds from the sale of preferred stock \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n 2,850  \n 2,850,000  \n -  \n -  \n 2,850,000\n \n \n \n-\n \n \n \n- \n\nDividends on preferred stock \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n 245  \n 244,437  \n -  \n (718,616) \n (474,179\n)\n \n \n-\n \n \n \n- \n\nC-2 to common stock exchange \n 1,883,714  \n 189  \n -  \n -  \n -  \n -  \n -  \n -  \n (13,736) \n (13,736,000) \n 13,735,811  \n -  \n -\n \n \n \n-\n \n \n \n- \n\nFair value of warrants issued with notes payable \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n 167,863  \n -   \n 167,863\n \n \n \n-\n \n \n \n- \n\nChanges in fair value of derivatives \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -\n\n \n (5,113,899) \n -  \n \n(5,113,899\n\n)\n \n \n \n \n \n \n  \n\nRounding for reverse split \n 205  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -\n \n \n \n-\n \n \n \n- \n\nNet loss attributable to INVO Fertility, Inc. \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n (23,323,054) \n (23,323,054\n)\n \n \n-\n \n \n \n- \n\nBalances, December 31, 2025 \n 2,386,826  \n$239  \n -  \n$-  \n -  \n$-  \n -  \n -  \n 3,004  \n$2,406,359  \n$96,187,026  \n$(91,369,403) \n$7,224,221\n \n \n \n**-**\n \n \n**$**\n**-** \n\nBalance \n 2,386,826  \n$239  \n -  \n$-  \n -  \n$-  \n -  \n -  \n 3,004  \n$2,406,359  \n$96,187,026  \n$(91,369,403) \n$7,224,221\n \n \n \n**-**\n \n \n**$**\n**-** \n\n \n\nThe\naccompanying notes are an integral part of these consolidated financial statements.\n\n \n\n F-6 \n\n \n\n \n\n**INVO\nFERTILITY, INC.**\n\n**CONSOLIDATED\nSTATEMENTS OF CASH FLOWS**\n\n \n\n  \n2025  \n2024 \n\n  \nFor the Years Ended December 31, \n\n  \n2025  \n2024 \n\nCash flows from operating activities: \n    \n   \n\nNet loss attributable to INVO Fertility, Inc. \n$(23,323,054) \n$(9,258,953)\n\nAdjustments to reconcile net loss to net cash used in operating activities: \n    \n   \n\nNon-cash stock compensation issued for services \n 1,290,482  \n 1,246,765 \n\nNon-cash stock compensation issued to directors and/or employees \n -  \n 153 \n\nFair value of stock options issued to employees \n 178,729  \n 342,728 \n\nNon-cash compensation for services \n 135,000  \n 180,000 \n\nAmortization of discount on notes payable \n 1,182,979  \n 622,283 \n\nImpairment loss \n 16,042,422  \n - \n\nReserve on other assets \n -  \n 498,592 \n\n(Gain) Loss from equity method investment \n (31,294) \n (9,045)\n\nLoss from debt extinguishment \n 2,135,854  \n 40,491 \n\nLoss on disposal of fixed assets \n -  \n 511,663 \n\nGain on lease termination \n -  \n (94,551)\n\nLoss on disposition \n 1,534,517  \n - \n\nLoss on issuance of warrants \n 943,862  \n - \n\nGain on changes in fair value \n (5,172,006) \n - \n\nGain on settlement \n (929,500) \n - \n\nDepreciation and amortization \n 677,364  \n 919,603 \n\nChanges in assets and liabilities: \n    \n   \n\nAccounts receivable \n (104,155) \n 27,442 \n\nInventory \n (5,489) \n 44,743 \n\nPrepaid expenses and other current assets \n (120,472) \n (163,761)\n\nEquity investments \n - \n 4,534 \n\nAccounts payable and accrued expenses \n (1,322,698) \n 1,350,675 \n\nAccrued compensation \n (153,265) \n 274,665 \n\nDeferred revenue \n 119,538  \n 193,590 \n\nOther current liabilities \n (60,000) \n - \n\nLeasehold liability \n 10,721  \n (35,904)\n\nAccrued interest \n 119,095  \n 166,772 \n\nDeferred tax liabilities\n \n \n(163,115\n) \n \n163,115\n \n\nNet cash used in operating activities \n (7,014,485) \n (2,974,400)\n\nCash used in investing activities: \n    \n   \n\nPayments to acquire property, plant, and equipment \n (43,412) \n (183,703)\n\nProceeds from sale of fixed assets \n -  \n 75,590 \n\nCash acquired in acquisition \n -  \n 472,008 \n\nDivesture of NTI \n (6,569) \n - \n\nPayment for acquisitions \n (2,695,500) \n - \n\nNet cash used in investing activities \n (2,745,481) \n 363,895 \n\nCash from financing activities: \n    \n   \n\nProceeds from notes payable \n \n-\n \n 1,344,250 \n\nProceeds from the sale of common stock, net of offering costs \n 12,355,607  \n 165,131 \n\nProceeds from the sale of preferred stock \n 2,850,000  \n 1,643,904 \n\nProceeds from warrant exercise \n 1,110,604  \n 900,611 \n\nPreferred stock redemption \n (4,000,000) \n - \n\nPrincipal payments on notes payable \n (1,219,799) \n (934,419)\n\nNet cash provided by financing activities \n 11,096,412  \n 3,119,477 \n\nIncrease in cash and cash equivalents \n 1,336,446  \n 508,972 \n\nCash and cash equivalents at beginning of period \n 741,396  \n 232,424 \n\nCash and cash equivalents at end of period \n$2,077,842  \n$741,396 \n\n  \n    \n   \n\nSupplemental disclosure of cash flow information: \n    \n   \n\nCash paid during the period for: \n    \n   \n\nInterest \n$644,158  \n$214,742 \n\nTaxes \n$-  \n$- \n\nNoncash activities: \n    \n   \n\nFair value of preferred stock issued for acquisition \n$-  \n$25,148,000 \n\nCommon stock and preferred stock issued upon conversion notes payable and accrued interest \n 5,047,044  \n 387,033 \n\nDividends on preferred stock \n 718,616  \n - \n\nDeemed dividend \n 1,088,554  \n 250,635 \n\nFair value of warrants issued with debt \n \n167,863\n  \n 188,755 \n\nC-2 to common stock exchange \n 13,735,811  \n - \n\nPreferred stock redemption adjustment \n 521,922  \n - \n\nPreferred stock exchange \n 1,188,000  \n - \n\nCommon stock issued for accounts payable \n$23,460  \n$- \n\n \n\nThe\naccompanying notes are an integral part of these consolidated financial statements.\n\n \n\n F-7 \n\n \n\n \n\n**INVO\nFERTILITY, INC.**\n\n**NOTES\nTO CONSOLIDATED FINANCIAL STATEMENTS**\n\n**DECEMBER\n31, 2025**\n\n \n\n**Note\n1 – Summary of Significant Accounting Policies**\n\n \n\n**Description\nof Business**\n\n \n\nINVO\nFertility, Inc., (“INVO” or the “Company”) is a healthcare services and technology company focused on the fertility\nmarketplace and dedicated to expanding access to assisted reproductive technology (“ART”) care for patients in need. The\nCompany’s principal commercialization strategy is focused on building, acquiring and operating fertility clinics, including “INVO\nCenters” dedicated primarily to offering the intravaginal culture (“IVC”) procedure enabled by its INVOcell medical\ndevice (“INVOcell”) and US-based, profitable in vitro fertilization (“IVF”) clinics. As of the date of this filing,\nthe Company has four fertility clinics in the United States. The Company also continues to engage in the sale\nand distribution of its INVOcell technology solution into third-party owned and operated fertility clinics. The Company’s proprietary\ntechnology, INVOcell, is a revolutionary medical device that allows fertilization and early embryo development to take place in vivo\nwithin the woman’s body. This treatment solution is the world’s first IVC technique for the incubation of oocytes and sperm\nduring fertilization and early embryo development. The Company intends to seek out additional, innovative fertility-focused technologies,\nto license or acquire in order to utilize within its operating clinics. In addition, the Company owns 19.9% of NAYA Therapeutics, Inc.\n(“NTI”), a clinical-stage oncology and autoimmune technology business, after divesting the remaining 80.1% in the second\nquarter of 2025 to focus exclusively on the fertility marketplace.\n\n \n\n**Basis\nof Presentation**\n\n \n\nThe\naccompanying consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the\nUnited States of America (“GAAP”) and applicable rules and regulations of the U.S. Securities and Exchange Commission (“SEC”)\nfor the fair presentation of the Company’s financial statements for the periods presented. The Company’s fiscal year end\nis December 31.\n\n \n\nThe\naccompanying consolidated financial statements present on a consolidated basis the accounts of the Company and its wholly owned subsidiaries\nand controlled affiliates. All significant intercompany accounts and transactions have been eliminated in consolidation.\n\n \n\nThe\nCompany uses the equity method of accounting when it owns an interest in an entity whereby it can exert significant influence over but\ncannot control the entity’s operations.\n\n \n\nThe\nCompany considers events or transactions that have occurred after the consolidated balance sheet date of December 31, 2025, but prior\nto the filing of the consolidated financial statements with the SEC in this Annual Report on Form 10-K, to provide additional evidence\nrelative to certain estimates or to identify matters that require additional disclosure, as applicable. Subsequent events have been evaluated\nthrough the date of the filing of this Annual Report on Form 10-K.\n\n \n\n**Business\nAcquisitions**\n\n \n\nThe\nCompany accounts for all business acquisitions at fair value and expenses acquisition costs as they are incurred. Any identifiable assets\nacquired and liabilities assumed are recognized and measured at their respective fair values on the acquisition date. If information\nabout facts and circumstances existing as of the acquisition date is incomplete at the end of the reporting period in which a business\nacquisition occurs, the Company will report provisional amounts for the items for which the accounting is incomplete. The measurement\nperiod ends once the Company receives sufficient information to finalize the fair values; however, the period will not exceed one year\nfrom the acquisition date. Any adjustments to provisional amounts that are identified during the measurement period are recognized in\nthe reporting period in which the adjustment amounts are determined.\n\n \n\n**Discontinued\nOperations**\n\n \n\nThe\nCompany accounted for the divesture of its NAYA Therapeutics (“NTI”) subsidiary in accordance with Accounting Standards Codification\n(“ASC”) 205 *Discontinued Operations*(“ASC 205”). ASC 205 requires that a component of an entity that has\nbeen disposed of or is classified as held for sale, has operations and cash flows that can be clearly distinguished from the rest of\nthe entity, and represents a strategic shift that has (or will have) a major effect on the reporting entity’s financial results\nmust be reported as discontinued operations. As of June 30, 2025 the divesture of NTI met the held-for-sale criteria as defined in ASC\n205 and was disposed of in the same period. See Note 4 for additional information on the discontinued operations treatment\nof NTI.\n\n \n\nIn\nthe period a component of an entity is classified as a discontinued operation, the results of operations for the periods presented are\nreclassified into separate line items in the unaudited condensed consolidated statements of operations and the assets and liabilities\nof the discontinued operation are also reclassified into separate line items on the related condensed consolidated balance sheets. Prior\nperiod amounts are also adjusted to reflect discontinued operations presentation. All amounts included in the notes to the unaudited\ncondensed consolidated financial statements relate to continuing operations unless otherwise noted.\n\n \n\n**Variable\nInterest Entities**\n\n \n\nThe\nCompany’s consolidated financial statements include the accounts of the Company, its wholly owned subsidiaries, and variable interest\nentities (“VIE”), where the Company is the primary beneficiary under the provisions of ASC 810, Consolidation (“ASC\n810”). A VIE must be consolidated by its primary beneficiary when, along with its affiliates and agents, the primary beneficiary\nhas both: (i) the power to direct the activities that most significantly impact the VIE’s economic performance; and (ii) the obligation\nto absorb losses or the right to receive the benefits of the VIE that could potentially be significant to the VIE. The Company reconsiders\nwhether an entity is still a VIE only upon certain triggering events and continually assesses its consolidated VIEs to determine if it\ncontinues to be the primary beneficiary. See “Note 4 – Variable Interest Entities” for additional information on the\nCompany’s VIEs.\n\n \n\n F-8 \n\n \n\n \n\n**Equity\nMethod Investments**\n\n \n\nInvestments\nin unconsolidated affiliates, which the Company exerts significant influence but does not control or otherwise consolidate are accounted\nfor using the equity method. Equity method investments are initially recorded at cost. These investments are included in investment in\njoint ventures in the accompanying consolidated balance sheets. The Company’s share of the profits and losses from these investments\nis reported in loss from equity method joint venture in the accompanying consolidated statements of operations. The Company monitors\nits investments for other-than-temporary impairment by considering factors such as current economic and market conditions and the operating\nperformance of the investees and records reductions in carrying values when necessary.\n\n \n\n**Use\nof Estimates**\n\n \n\nIn\npreparing financial statements in conformity with generally accepted accounting principles, management is required to make estimates\nand assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at\nthe date of the consolidated financial statements and revenues and expenses during the reported period. Actual results could differ from\nthose estimates.\n\n \n\n**Cash\nand Cash Equivalents**\n\n \n\nFor\nfinancial statement presentation purposes, the Company considers time deposits, certificates of deposit and all highly liquid investments\nwith original maturities of three months or less to be cash and cash equivalents. At times, cash balances exceed\namounts insured by the Federal Deposit Insurance Corporation.\n\n \n\n**Accounts\nReceivable, net**\n\n** **\n\nThe\nCompany estimates an allowance for doubtful accounts based upon an evaluation of the current status of receivables, historical experience,\nand other factors as necessary. It is reasonably possible that the Company’s estimate of the allowance for doubtful accounts will\nchange.\n\n \n\nThe following table presents the changes in the Company’s\naccounts receivable:\n\n \n\nSchedule\nof Accounts Receivable\n\n  \n2025  \n2024 \n\n  \nYear Ended December 31, \n\n  \n2025  \n2024 \n\nBalance as of beginning of year \n$174,881  \n$140,550 \n\nAdditions to accounts receivable \n 7,255,922  \n 6,932,158 \n\nReductions to accounts receivable \n (7,145,924) \n (6,899,851)\n\nBalance as of end of year \n 286,904  \n 174,881 \n\nAllowance for doubtful accounts \n (69,641) \n (61,773)\n\nAccounts receivable, net \n$217,263  \n$113,108 \n\n \n\n**Inventory**\n\n \n\nInventories\nconsist of raw materials, work in process and finished goods and are stated at the lower of cost or net realizable value, using the first-in,\nfirst-out method as a cost flow method.\n\n \n\n**Property\nand Equipment**\n\n \n\nThe\nCompany records property and equipment at cost. Property and equipment are depreciated using the straight-line method over the estimated\neconomic lives of the assets, which are from 3 to 10 years. The Company capitalizes the expenditures for major renewals and improvements\nthat extend the useful lives of property and equipment. Expenditures for maintenance and repairs are charged to expense as incurred.\nThe Company reviews the carrying value of long-lived assets for impairment at least annually or whenever events or changes in circumstances\nindicate that the carrying amount of an asset may not be recoverable. The recoverability of long-lived assets is measured by a comparison\nof its carrying amount to the undiscounted cash flows that the asset or asset group is expected to generate. If such assets are considered\nimpaired, the impairment to be recognized is measured by the amount by which the carrying amount of the property, if any, exceeds its\nfair market value.\n\n \n\n**Long-\nLived Assets**\n\n \n\nLong-lived\nassets and certain identifiable assets related to those assets are periodically reviewed for impairment whenever circumstances and situations\nchange such that there is an indication that the carrying amounts may not be recoverable. If the non-discounted future cash flows of\nthe asset are less than their carrying amount, their carrying amounts are reduced to the fair value and an impairment loss recognized.\n\n \n\n F-9 \n\n \n\n \n\n**Fair\nValue of Financial Instruments**\n\n \n\nThe\nCompany’s financial instruments consist primarily of cash, accounts receivable, accounts payable, notes payable, convertible\npreferred stock, and warrants. The carrying value of cash, accounts receivable, accounts payable and notes payable, as reflected in the\nbalance sheets, approximate fair value because of the short-term maturity of these instruments.\n\n \n\nASC\n820 establishes a three-level hierarchy for fair value measurements based on the observability of inputs used in valuation techniques:\n\n \n\n \n**●**\n**Level\n1** — Quoted prices in active markets for identical assets or liabilities.\n\n \n**●**\n**Level\n2** — Observable inputs other than Level 1 prices, such as quoted prices for similar instruments, interest rates, yield curves,\nand market-corroborated inputs.\n\n \n**●**\n**Level\n3** — Unobservable inputs reflecting the Company’s assumptions about the assumptions market participants would use.\n\n \n\nThe\nfollowing table presents, for each of the fair value hierarchy *levels* required under ASC 820, the Company’s liabilities\nthat are measured at fair value on a recurring basis as of December 31, 2025:\n\n Schedule\nof Fair Value on Recurring Basis\n\n  \n\nQuoted Prices in\n\nActive Markets\n\n(Level 1)\n  \n\nSignificant Other\n\nObservable Inputs\n\n(Level 2)\n  \n\nSignificant Other\n\nUnobservable\n\nInputs (Level 3)\n \n\nAssets: \n   \n   \n  \n\nNote receivable \n$        -  \n$          -  \n$5,029,770 \n\nLiabilities: \n    \n    \n   \n\nWarrant liability \n$-  \n$-  \n$1,881,078 \n\n \n\nThe\nCompany had no assets or liabilities recorded at fair value for the period ended December 31, 2024.\n\n \n\nThe\nfollowing table presents the changes is the fair value of the Level 3 assets and liabilities:\n\n \n\n Schedule\nof Changes in Fair Value\n\n  \nNote receivable  \nWarrant liability \n\nFair value as of December 31, 2024 \n$-  \n$- \n\nInitial fair value \n \n4,803,175\n  \n \n5,680,757\n \n\nChange in valuation \n 226,595  \n (3,799,679)\n\nBalance as of December 31, 2025 \n$5,029,770  \n$1,881,078 \n\n \n\nThe\nBlack-Scholes valuation model was used to estimate the fair value of the warrant liability as of December 31, 2025 with the following assumptions:\n\n \n\nSchedule\nof Black-scholes Valuation Model Fair Value of the Warrants\n\n  \nDecember 31, 2025 \n\nVolatility \n 187.87%\n\nExpected term in years \n 2.5 \n\nDividend rate \n 0%\n\nRisk-free interest rate \n 3.51%\n\nFair value of warrants \n 3.51%\n\n \n\nThe Company used a scenario-based discounted cash\nflow (income approach) to estimate the fair value of the convertible note as of December 31, 2025. Under this method, management identified\nfour discrete payoff scenarios based on the note’s contractual terms, then probability-weighted the present value of expected cash flows\nunder each scenario. The calibrated discount rate was 10.27%\n\n \n\n**Derivatives**\n\n \n\nThe\nCompany reviews the conversion features of all liability and equity instruments based on the requirements of ASC 815,\n“Derivatives and Hedging” to determine if the conversion feature represents an embedded derivative. The Company\ndetermined certain warrants and convertible debentures issued during the fiscal year ending December 31, 2025 were derivative instruments, see Note 11 – Notes Payable and Note 15 – Unit Purchase Options and Warrants for additional\ninformation.\n\n** **\n\n**Income\nTaxes**\n\n \n\nThe\nCompany is subject to income taxes in the United States and its domestic tax liabilities are subject to the allocation of expenses in\nmultiple state jurisdictions. The Company uses the asset and liability method to account for income taxes. Under this method, deferred\nincome tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement\ncarrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured\nusing enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered\nor settled. The recoverability of deferred tax assets is evaluated by assessing the adequacy of future expected taxable income from all\nsources, including taxable income in prior carryback years, reversal of taxable temporary differences, forecasted operating earnings\nand available tax planning strategies. To the extent the Company does not consider it more-likely-than-not that a deferred tax asset\nwill be recovered, a valuation allowance is established.\n\n \n\n**Revenue\nRecognition**\n\n \n\nThe\nCompany recognizes revenue on arrangements in accordance with ASC 606, Revenue from Contracts with Customers (“ASC 606”).\nThe core principle of ASC 606 is to recognize revenues when promised goods or services are transferred to customers in an amount that\nreflects the consideration to which an entity expects to be entitled for those goods or services ASC 606 requires companies to assess\ntheir contracts to determine the timing and amount of revenue to recognize under the new revenue standard. The model has a five-step\napproach:\n\n \n\n1.\nIdentify\nthe contract with the customer.\n\n \n \n\n2.\nIdentify\nthe performance obligations in the contract.\n\n \n \n\n3.\nDetermine\nthe total transaction price.\n\n \n \n\n4.\nAllocate\nthe total transaction price to each performance obligation in the contract.\n\n \n \n\n5.\nRecognize\nas revenue when (or as) each performance obligation is satisfied.\n\n \n\n F-10 \n\n \n\n \n\nRevenue\ngenerated from the sale of INVOcell is typically recognized at the time the product is shipped, at which time the title passes to the\ncustomer, and there are no further performance obligations.\n\n \n\nRevenue\ngenerated from clinical and lab services related at the Company’s fertility clinics is typically recognized at the time the service\nis performed.\n\n \n\nThe\nCompany’s Therapeutics segment did not generate revenue. This segment was divested during the second quarter of 2025.\n\n \n\n**Deferred Revenue**\n\n** **\n\nThe Company records deferred revenue when cash payments\nare received or become due in advance of the Company’s performance under the applicable revenue arrangement. Deferred revenue primarily\nconsists of advance payments for clinical services not yet rendered. Such amounts are recognized as revenue as services are provided in\naccordance with ASC 606.\n\n \n\nThe following table presents the changes in the Company’s\ndeferred revenue:\n\n \n\nSchedule\nof Deferred Revenue\n\n  \n2025  \n2024 \n\n  \nYear Ended December 31, \n\n  \n2025  \n2024 \n\nBalance as of beginning of year \n$602,359  \n$408,769 \n\nAdditions to deferred revenue \n 7,072,801  \n 6,989,470 \n\nRevenue recognized from deferred revenue \n (6,953,263) \n (6,795,880)\n\nBalance as of end of year \n$721,897  \n$602,359 \n\n \n\n**Stock\nBased Compensation**\n\n \n\nThe\nCompany accounts for stock-based compensation under the provisions of ASC 718-10 Compensation. This\nstatement requires the Company to measure the cost of employee services received in exchange for an award of equity instruments\nbased on the grant-date fair value of the award. That cost is recognized over the period in which the employee is required to\nprovide service or based on performance goals in exchange for the award, which is usually the vesting period. The Company recognizes\nforfeitures as they occur.\n\n \n\n**Loss\nPer Share**\n\n \n\nBasic\nloss per share calculations are computed by dividing net loss by the weighted-average number of common shares outstanding. Diluted earnings\nper share are computed similar to basic earnings per share except that the denominator is increased to include potentially dilutive securities.\nThe Company’s diluted loss per share is the same as the basic loss per share for the years ended December 31, 2025, and 2024, as\nthe inclusion of any potential shares would have had an anti-dilutive effect due to the Company generating a loss.\n\n Schedule of Earnings Per Share Basic and Diluted \n\n  \n2025  \n2024 \n\n  \n\n**Year\nEnded December 31,**\n \n\n  \n2025  \n2024 \n\nNet loss attributable to common shareholders (numerator) \n$(25,130,224) \n$(9,509,588)\n\nBasic and diluted weighted-average number of common shares outstanding (denominator) \n 117,083  \n 2,514 \n\nBasic and diluted net loss per common share \n$(214.64) \n$(3,782.65)\n\n \n\nThe\nCompany has excluded the following dilutive securities from the calculation of fully diluted shares outstanding because the result would\nhave been anti-dilutive:\n\n Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share \n\n  \n2025  \n2024 \n\n  \nAs of December 31, \n\n  \n2025  \n2024 \n\nOptions \n 9,123  \n 69 \n\nConvertible notes and interest \n 10,525  \n 4,466 \n\nConvertible preferred shares \n 119,491  \n - \n\nWarrants \n 960,847  \n 3,189 \n\nTotal \n 1,099,986  \n 7,724 \n\n \n\n F-11 \n\n \n\n \n\n**Recently\nAdopted Accounting Pronouncements** \n\n \n\nIn\nDecember 2023, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”)\n2023-09, Improvements to Income Tax Disclosures. The ASU requires greater disaggregation of information about a reporting\nentity’s effective tax rate reconciliation and information on income taxes paid. The ASU applies to all entities subject to\nincome taxes and is intended to help investors better understand an entity’s exposure to potential changes in jurisdictional\ntax legislation and assess income tax information that affects cash flow forecasts and capital allocation decisions. The ASU is\neffective for annual periods beginning after December 15, 2024, with early adoption permitted. The adoption of this ASU on January\n1, 2025, had no material impact on the Company’s financial statements.\n\n \n\n**Accounting\nPronouncements Not Yet Adopted**\n\n \n\nIn\nNovember 2024, the FASB issued ASU 2024-03 Income Statement – Reporting Comprehensive Income – Expense Disaggregation Disclosures\n(Subtopic 220-40). The ASU aims to improve financial reporting by requiring that public business entities disclose additional information\nabout specific expense categories in the notes to financial statements at interim and annual reporting periods. In January 2025, the\nASU was subsequently amended by ASU 2025-01 to clarify the effective date by which all public business entities are required to adopt\nthe guidance in annual reporting periods beginning after December 15, 2026, and interim periods within annual reporting periods beginning\nafter December 15, 2027. Early adoption of ASU 2024-03 is permitted. The Company is currently evaluating the impact of this guidance\non its financial statements.\n\n \n\n**Note 2 – Restatements and Revisions**\n\n \n\n**Restatement\nof Previously Issued Unaudited Interim Consolidated Financial Statements**\n\n** **\n\nAs a result of an internal review, the Company\nidentified errors related classification of preferred stock and warrants, derivative liabilities, calculation of gain on settlement,\nand debt extinguishment accounting in its previously issued unaudited consolidated financial statements for the period ended March\n31, 2025, included in its Quarterly Report on Form 10-Q filed with the SEC on May 20, 2025; the period ended June 30, 2025, included\nin its Quarterly Report on Form 10-Q filed with the SEC on August 14, 2025; and the period ended September 30, 2025, included in its\nQuarterly Report on Form 10-Q filed with the SEC on November 17, 2025 (the “Affected Periods”).\n\n \n\nThe Company has identified the following errors in the Affected Periods: (i) incorrect classification of Series C-1\nPreferred Stock, which should have been classified as mezzanine equity is the first quarter of 2025; (ii) incorrect classification of\nSeries C-2 Preferred Stock, which should have been classified as mezzanine equity is the second quarter of 2025; (iii) incorrect treatment\nof a convertible debenture containing an embedded derivative which should have been bifurcated; (iv) the incorrect recognition of a gain\non settlement and corresponding reduction to liabilities in connection with a binding term sheet entered into during the second quarter\nof 2025; (v) the incorrect equity classification of common stock purchase warrants issued pursuant to a warrant inducement transaction\nduring the second quarter of 2025, which should have been liability classified; and (vi) the incorrect accounting treatment of an amendment\nto a promissory note entered into during the third quarter of 2025, which should have been accounted for as a debt extinguishment under\nASC 470-50 (collectively, the “2025 Financial Statement Errors”).\n\n \n\nThe\nCompany evaluated the materiality of the 2025 Financial Statement Errors both qualitatively and quantitatively in accordance with Staff\nAccounting Bulletin No. 99, Materiality, and determined the effect of correcting these misstatements was material to the Affected Periods.\nAs a result the Company is restating its unaudited consolidated financial statements (the “Restated Consolidated Financial Statements”)\nfor the Affected Periods in accordance with ASC 250, Accounting Changes and Error Corrections. The Company is to presenting the restatement\nof the affected line items of the unaudited consolidated financial statements for the Affected Periods within this Annual Report on Form\n10-K for the year ended December 31, 2025. Under this approach, the previously issued Quarterly Reports on Form 10-Q for the Affected\nPeriods will not be amended, however, historical amounts presented in future Form 10-Q filings will be recast to be consistent.\n\n \n\nA reconciliation from the amounts previously reported for the Affected\nPeriods to the restated amounts is provided for the impacted financial statement line items below for: (i) the consolidated balance sheets\nas of March 31, 2025, June 30, 2025, and September 30, 2025; (ii) the consolidated income statement for the periods ended March 31, 2025,\nJune 30, 2025, and September 30, 2025, (iii) the consolidated statement of stockholders equity for periods ended March 31, 2025, June\n30, 2025, and September 30, 2025, and (iv) the consolidated statement of cash flows for the periods ended March31, 2025, June 30, 2025\nand September 30, 2025.\n\n \n\nSchedule\nof Effects of Restatement Adjustments  \n\nThe following table presents the effects of\nthe restatement adjustments for the 2025 Financial Statement Errors on the Company’s unaudited interim consolidated balance\nsheets as March 31, 2025:\n\n \n\n  \nStated  \nAdjustment  \nRestated \n\n  \nMarch 31, 2025 \n\n  \nAs Previously  \nRestatement  \nAs \n\n  \nStated  \nAdjustment  \nRestated \n\nLIABILITIES, MEZZANINE EQUITY, AND STOCKHOLDERS’ EQUITY (DEFICIT) \n    \n    \n   \n\nMezzanine equity \n    \n    \n   \n\nSeries C-1 Preferred Stock, $1,000.00 par value; 30,375 shares authorized; 30,375 and 30,375 issued and outstanding as of March 31, 2025 and December 31, 2024, respectively \n$-  \n$30,375,000  \n$30,375,000 \n\nTotal mezzanine equity \n 12,983,476  \n 30,375,000  \n 34,353,922 \n\n  \n    \n    \n   \n\nStockholders’ equity (deficit) \n    \n    \n   \n\nSeries C-1 Preferred Stock, $1,000.00 par value; 30,375 shares authorized; 30,375 and 30,375 issued and outstanding as of March 31, 2025 and December 31, 2024, respectively \n 30,375,000  \n (30,375,000) \n - \n\nTotal stockholders’ equity (deficit) \n$5,848,722  \n$(30,375,000) \n$(27,039,635)\n\n \n\nThe following table presents the effects of\nthe restatement adjustments for the 2025 Financial Statement on the Company’s unaudited interim consolidated statement of stockholders’ equity (deficit)\nas March 31, 2025:\n\n \n\n  \nAs Previously Stated \n\n  \nStockholders’\nEquity (Deficit)  \nMezzanine Equity \n\n  \nSeries C-1\n\nPreferred Stock  \n   \nSeries C-1\n\nPreferred Stock  \n  \n\n  \nShares  \nAmount  \nTotal  \nShares  \nAmount  \nTotal \n\nBalances, December 31, 2024 \n 30,375  \n$30,375,000  \n$12,747,473  \n     -  \n$     -  \n$7,457,000 \n\nReclassification of C-1 Preferred Stock \n -  \n -  \n -  \n --  \n --  \n -- \n\nBalances, March 31, 2025 \n 30,375  \n$30,375,000  \n$3,335,365  \n -  \n$-  \n$ 3,978,922 \n\n \n\n  \n**Restatement Adjustment** \n\n  \nStockholders’\nEquity (Deficit)  \nMezzanine Equity \n\n  \nSeries C-1\n\nPreferred Stock  \n   \nSeries C-1\n\nPreferred Stock  \n  \n\n  \nShares  \nAmount  \nTotal  \nShares  \nAmount  \nTotal \n\nBalances, December 31, 2024 \n -  \n$-  \n$-  \n -  \n$-  \n$- \n\nReclassification of C-1 Preferred Stock \n (30,375) \n (30,375,000) \n (30,375,000) \n 30,375  \n 30,375,000  \n 30,375,000 \n\nBalances, March 31, 2025 \n (30,375) \n$(30,375,000) \n$(30,375,000) \n 30,375  \n$30,375,000  \n$30,375,000 \n\n \n\n  \n**As Restated** \n\n  \nStockholders’\nEquity (Deficit)  \nMezzanine Equity \n\n  \nSeries C-1\n\nPreferred Stock  \n   \nSeries C-1\n\nPreferred Stock  \n  \n\n  \nShares  \nAmount  \nTotal  \nShares  \nAmount  \nTotal \n\n  \n   \n   \n   \n   \n   \n  \n\nBalances, December 31, 2024 \n 30,375  \n$ 30,375,000  \n$12,747,473  \n -  \n$-  \n$7,457,000 \n\nReclassification of C-1 Preferred Stock \n (30,375) \n (30,375,000) \n (30,375,000) \n 30,375  \n 30,375,000  \n 30,375,000 \n\nBalances, March 31, 2025 \n -  \n$-  \n$(27,039,635) \n 30,375  \n$30,375,000  \n$34,353,922 \n\n \n\nThere was no impact on the Company’s unaudited\ninterim consolidated income statement consolidated or cash flow statement for the three ending March 31, 2025.\n\n \n\n F-12 \n\n \n\n \n\nThe\nfollowing table presents the effects of the restatement adjustments for the 2025 Financial Statement Errors on the Company’s unaudited interim consolidated balance sheets\nas June 30, 2025:\n\n \n\n  \n    \n    \n   \n\n  \nAs Previously  \nRestatement  \nAs \n\n  \nStated  \nAdjustment  \nRestated \n\nASSETS \n    \n    \n   \n\nAccounts receivable, net of allowances of $61,773 \n    \n    \n   \n\nTotal current assets \n    \n    \n   \n\nLease right of use \n    \n    \n   \n\nEquity investments \n    \n    \n   \n\nNote receivable from HRCFG \n    \n    \n   \n\nTotal assets \n    \n    \n   \n\nLIABILITIES, MEZZANINE EQUITY, AND STOCKHOLDERS’ EQUITY (DEFICIT) \n    \n    \n   \n\nDerivative liability \n$-  \n$815,897  \n$815,897 \n\nLease liability, current portion \n    \n    \n   \n\nConvertible notes payable – current portion, net \n 2,888,947  \n (1,091,224) \n 1,797,723 \n\nAdditional payments for acquisition, current portion \n 5,000,000  \n (50,000) \n 4,950,000 \n\nTotal current liabilities \n 12,463,211  \n (325,327) \n 12,137,884 \n\nLease liability, net of current portion \n    \n    \n   \n\nLiability for excess losses of equity method investee \n    \n    \n   \n\nDeferred tax liability \n    \n    \n   \n\nAdditional payments for acquisition, net of current portion \n 1,125,000  \n (175,000) \n 950,000 \n\nTotal liabilities \n 16,687,766  \n (500,327) \n 16,187,439 \n\n  \n    \n    \n   \n\nMezzanine equity \n    \n    \n   \n\nSeries C-2 Preferred Stock $1,000.00 par value; 20,000 shares\nauthorized; 10,719 and 8,576 issued and outstanding as of June 30, 2025 and December 31, 2024, respectively \n -  \n 10,121,922  \n 10,121,922 \n\n  \n    \n    \n   \n\nStockholders’\nequity (deficit) \n    \n    \n   \n\nSeries C-2 Preferred Stock $1,000.00 par value; 20,000 shares\nauthorized; 10,719 and 8,576 issued and outstanding as of June 30, 2025 and December 31, 2024, respectively \n 10,121,922  \n (10,121,922) \n - \n\nAdditional paid-in capital \n 82,712,709  \n (1,165,562) \n 81,547,147 \n\nAccumulated deficit \n (90,203,241) \n 1,665,889  \n (88,537,352)\n\nTotal stockholders’ equity (deficit) \n$2,631,473  \n$(9,621,595) \n$(6,990,122)\n\nTotal liabilities and stockholders’ equity \n    \n    \n   \n\n \n\nThe\nfollowing tables present the effects of the restatement adjustments for the 2025 Financial Statement Errors on the Company’s unaudited interim consolidated income statements\nfor the three and six months ending June 30, 2025:\n\n \n\n  \n    \n    \n   \n\n  \nFor the Three Months Ended June 30, 2025 \n\n  \nAs Previously  \nRestatement  \nAs \n\n  \nStated  \nAdjustment  \nRestated \n\nGain on changes in fair value \n$-  \n$1,660,160  \n$1,660,160 \n\nInterest expense \n (221,325) \n (219,271) \n (440,596)\n\nLoss on debt extinguishment \n    \n    \n   \n\nGain on settlement liability \n 714,500  \n 225,000  \n 939,500 \n\nTotal other income (expense) \n (219,006) \n 1,665,889  \n 1,446,883 \n\nProvision for\nincome taxes \n    \n    \n   \n\nNet loss from continuing operations \n (3,209,094) \n 1,665,889  \n (1,543,205)\n\nNet loss \n$(5,284,858) \n$1,665,889  \n$(3,618,969)\n\nNet loss attributable to common\nshareholders \n    \n    \n   \n\n  \n    \n    \n   \n\nNet loss from continuing operations per common share: \n    \n    \n   \n\nBasic \n$(318.00) \n$167.66  \n$(155.31)\n\nDiluted \n$(318.00) \n$167.66  \n$(155.31)\n\n  \n    \n    \n   \n\nNet loss per common share: \n    \n    \n   \n\nBasic \n$(532.00) \n$167.66  \n$(364.23)\n\nDiluted \n$(532.00) \n$167.66  \n$(364.23)\n\n \n\n  \n    \n    \n   \n\n  \nFor the Six Months Ended June 30, 2025 \n\n  \nAs Previously  \nRestatement  \nAs \n\n  \nStated  \nAdjustment  \nRestated \n\nGain on changes in fair value \n$-  \n$1,660,160  \n$1,660,160 \n\nInterest expense \n (221,325) \n (219,271) \n (440,596)\n\nGain on settlement liability \n 714,500  \n 225,000  \n 939,500 \n\nTotal other income (expense) \n (511,749) \n 1,665,889  \n 1,154,140 \n\nNet loss from continuing operations \n (4,701,365) \n 1,665,889  \n \n(3,035,476\n)\n\nNet Loss \n$(22,688,444) \n$1,665,889  \n$\n(21,022,555\n)\n\n  \n    \n    \n   \n\nNet loss from continuing operations per common share: \n    \n    \n   \n\nBasic \n$(628.80) \n$222.78  \n$\n(405.93\n)\n\nDiluted \n$(628.80) \n$222.78  \n$\n(405.93\n)\n\n  \n    \n    \n   \n\nNet loss per common share: \n    \n    \n   \n\nBasic \n$(3,034.00) \n$222.78  \n$\n(2,811.31\n)\n\nDiluted \n$(3,034.00) \n$222.78  \n$\n(2,811.31\n)\n\n \n\n F-13 \n\n \n\n \n\nThe\nfollowing table presents the effects of the restatement adjustments for the 2025 Financial Statement Errors on the Company’s unaudited interim consolidated statement\nof stockholders’ equity (deficit) as June 30, 2025:\n\n \n\n  \nShares  \nAmount  \nShares  \nAmount  \nCapital  \nDeficit  \nTotal  \nShares  \nAmount  \nShares  \nAmount  \nTotal \n\n**As Previously Stated**** **\n\n  \nStockholders’\nEquity (Deficit)  \nMezzanine Equity \n\n  \nSeries C-1  \nSeries C-2  \nAdditional  \n   \n   \nSeries C-1  \nSeries C-2  \n  \n\n  \nPreferred Stock  \nPreferred Stock  \nPaid-In  \nAccumulated  \n   \nPreferred Stock  \nPreferred Stock  \n  \n\n  \nShares  \nAmount  \nShares  \nAmount  \nCapital  \nDeficit  \nTotal  \nShares  \nAmount  \nShares  \nAmount  \nTotal \n\nBalances, December 31, 2024 \n 30,375  \n$30,375,000  \n -  \n$-  \n$49,537,134  \n$(67,327,733) \n$12,747,473  \n -  \n$-  \n -  \n$-  \n$7,457,000 \n\nReclassification of C-1 Preferred Stock \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n    \n    \n -  \n -  \n - \n\nBalances, March 31, 2025 \n 30,375  \n$30,375,000  \n -  \n$-  \n$57,833,740  \n$(84,873,449) \n$3,335,365  \n -  \n$-  \n -  \n$-  \n 3,978,922 \n\nReclassification of Series C-2 Preferred stock \n -  \n -  \n 4,576  \n 3,978,922  \n -  \n -  \n 3,978,922  \n -  \n -  \n -  \n -  \n - \n\nDebt conversion \n -  \n -  \n 2,430  \n 2,430,000  \n 249,991  \n    \n 2,680,000  \n    \n    \n    \n    \n   \n\nC-1 to C-2 exchange \n (2,025) \n (2,025,000) \n 3,213  \n 3,213,000  \n (837,821) \n -  \n 350,179  \n -  \n -  \n -  \n -  \n - \n\nDivesture of NAYA \n (28,350) \n (28,350,000) \n -  \n -  \n 24,368,110  \n -  \n (3,981,890) \n -  \n -  \n -  \n -  \n - \n\nPreferred stock issued \n -  \n -  \n 500  \n 500,000  \n -  \n -  \n 500,000  \n -  \n -  \n -  \n -  \n - \n\nWarrant exercise \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n - \n\nNet loss \n -  \n -  \n -  \n -  \n -  \n (5,284,858) \n (5,284,858) \n -  \n -  \n -  \n -  \n - \n\nBalances, June 30, 2025 \n -  \n$-  \n 10,719  \n$10,121,922  \n$82,712,709  \n$(90,203,241) \n$2,631,473  \n -  \n$-  \n -  \n$-  \n$- \n\n \n\n  \nShares  \nAmount  \nShares  \nAmount  \nCapital  \nDeficit  \nTotal  \nShares  \nAmount  \nShares  \nAmount  \nTotal \n\n**Restatement Adjustment**** **\n\n  \nStockholders’\nEquity (Deficit)  \nMezzanine Equity \n\n  \nSeries C-1  \nSeries C-2  \nAdditional  \n   \n   \nSeries C-1  \nSeries C-2  \n  \n\n  \nPreferred Stock  \nPreferred Stock  \nPaid-In  \nAccumulated  \n   \nPreferred Stock  \nPreferred Stock  \n  \n\n  \nShares  \nAmount  \nShares  \nAmount  \nCapital  \nDeficit  \nTotal  \nShares  \nAmount  \nShares  \nAmount  \nTotal \n\nBalances, December 31, 2024 \n -  \n$-  \n -  \n$-  \n$-  \n$-  \n$-  \n -  \n$-  \n -  \n$-  \n$- \n\nReclassification of C-1 Preferred Stock \n (30,375) \n (30,375,000) \n -  \n -  \n -  \n -  \n (30,375,000) \n 30,375  \n 30,375,000  \n -  \n -  \n 30,375,000 \n\nBalances, March 31, 2025 \n (30,375) \n$(30,375,000) \n -  \n$-  \n$-  \n$-  \n$(30,375,000) \n 30,375  \n$30,375,000  \n -  \n$-  \n$30,375,000 \n\nReclassification of Series C-2 Preferred stock \n -  \n -  \n (4,576) \n (3,978,922) \n -  \n -  \n (3,978,922) \n -  \n -  \n 4,576  \n 3,978,922  \n 3,978,922 \n\nDebt conversion \n -  \n -  \n (2,430) \n (2,430,000) \n (428,666) \n -  \n (2,858,666) \n -  \n -  \n 2,430  \n 2,430,000  \n 2,430,000 \n\nC-1 to C-2 exchange \n 2,025  \n 2,025,000  \n (3,213) \n (3,213,000) \n -  \n -  \n (1,188,000) \n (2,025) \n (2,025,000) \n 3,213  \n 3,213,000  \n 1,188,000 \n\nDivesture of NAYA \n 28,350  \n 28,350,000  \n -  \n -  \n -  \n -  \n 28,350,000  \n (28,350) \n (28,350,000) \n -  \n -  \n (28,350,000)\n\nPreferred stock issued \n -  \n -  \n (500) \n (500,000) \n -  \n -  \n (500,000) \n -  \n -  \n 500  \n 500,000  \n 500,000 \n\nWarrant exercise \n -  \n -  \n -  \n -  \n (736,896) \n -  \n (736,896) \n -  \n -  \n -  \n -  \n - \n\nNet loss \n -  \n -  \n -  \n -  \n -  \n 1,665,889  \n 1,665,889  \n -  \n -  \n -  \n -  \n - \n\nBalances, June 30, 2025 \n -  \n$-  \n (10,719) \n$(10,121,922) \n$(1,165,562) \n$1,665,889  \n$(9,621,595) \n -  \n$-  \n 10,719  \n$10,121,922  \n$10,121,922 \n\n \n\n  \nShares  \nAmount  \nShares  \nAmount  \nCapital  \nDeficit  \nTotal  \nShares  \nAmount  \nShares  \nAmount  \nTotal \n\n**As Restated**** **\n\n  \nStockholders’\nEquity (Deficit)  \nMezzanine Equity \n\n  \nSeries C-1  \nSeries C-2  \nAdditional  \n   \n   \nSeries C-1  \nSeries C-2  \n  \n\n  \nPreferred Stock  \nPreferred Stock  \nPaid-In  \nAccumulated  \n   \nPreferred Stock  \nPreferred Stock  \n  \n\n  \nShares  \nAmount  \nShares  \nAmount  \nCapital  \nDeficit  \nTotal  \nShares  \nAmount  \nShares  \nAmount  \nTotal \n\nBalances, December 31, 2024 \n 30,375  \n$30,375,000  \n -  \n$-  \n$49,537,134  \n$(67,327,733) \n$12,747,473  \n -  \n$-  \n -  \n$-  \n$7,457,000 \n\nReclassification of C-1 Preferred Stock \n (30,375) \n (30,375,000) \n -  \n -  \n -  \n -  \n (30,375,000) \n 30,375  \n 30,375,000  \n -  \n -  \n 30,375,000 \n\nBalances, March 31, 2025 \n -  \n$-  \n -  \n$-  \n$57,833,740  \n$(84,873,449) \n$(27,039,635) \n 30,375  \n 30,375,000  \n -  \n$-  \n 34,353,922 \n\nReclassification of Series C-2 Preferred stock \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n 4,576  \n 3,978,922  \n 3,978,922 \n\nDebt conversion \n -  \n -  \n -  \n -  \n (178,675) \n -  \n (178,666) \n -  \n -  \n 2,430  \n 2,430,000  \n 2,430,000 \n\nC-1 to C-2 exchange \n -  \n -  \n -  \n -  \n (837,821) \n -  \n (837,821) \n (2,025) \n (2,025,000) \n 3,213  \n 3,213,000  \n 1,188,000 \n\nDivesture of NAYA \n -  \n -  \n -  \n -  \n 24,368,110  \n -  \n 24,368,110  \n (28,350) \n (28,350,000) \n -  \n -  \n (28,350,000)\n\nPreferred stock issued \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n 500  \n 500,000  \n 500,000 \n\nWarrant exercise \n -  \n -  \n -  \n -  \n (736,896) \n -  \n (736,896) \n -  \n -  \n -  \n -  \n - \n\nNet loss \n -  \n -  \n -  \n -  \n -  \n (3,618,969) \n (3,618,969) \n -  \n -  \n -  \n -  \n - \n\nBalances, June 30, 2025 \n -  \n$-  \n -  \n$-  \n$81,547,147  \n$(88,537,352) \n$(6,990,122) \n -  \n -  \n 10,719  \n$10,121,922  \n 10,121,922 \n\n \n\n \n\nThe\nfollowing table presents the effects of the restatement adjustments for the 2025 Financial Statement Errors on the Company’s unaudited interim consolidated cash flow\nstatements for the six months ending June 30, 2025:\n\n \n\n  \n    \n    \n   \n\n  \nFor the Six Months Ended June 30, 2025 \n\n  \nAs Previously  \nRestatement  \nAs \n\n  \nStated  \nAdjustment  \nRestated \n\nCash flows from operating activities: \n    \n    \n   \n\nNet loss \n$(22,688,444) \n$1,665,889  \n$\n(21,022,555\n)\n\nAdjustments to reconcile net loss to net cash used in operating activities: \n    \n    \n   \n\nAmortization of discount on notes payable \n 130,908  \n 219,271  \n 350,179 \n\nGain on settlement \n (774,500) \n (225,000) \n (999,500)\n\nGain on changes in FV \n$-  \n$(1,660,160) \n$\n(1,660,160\n)\n\n \n\n F-14 \n\n \n\n \n\nThe\nfollowing table presents the effects of the restatement adjustments for the 2025 Financial Statement Errors on the Company’s unaudited interim consolidated balance sheets\nas September 30, 2025:\n\n \n\n  \n    \n    \n   \n\n  \nSeptember 30, 2025 \n\n  \nAs Previously  \nRestatement  \nAs \n\n  \nStated  \nAdjustment  \nRestated \n\nLIABILITIES AND STOCKHOLDERS’ EQUITY \n    \n    \n   \n\nWarrant liability \n$-  \n$256,034  \n$256,034 \n\nAdditional payments for acquisition, current portion \n 4,484,500  \n (375,000) \n 4,109,500 \n\nTotal current liabilities \n 9,244,687  \n (118,966) \n 9,125,721 \n\nAdditional payments for acquisition, net of current portion \n 800,000  \n 150,000  \n 950,000 \n\nTotal liabilities \n 12,983,476  \n 31,034  \n 13,014,510 \n\n  \n    \n    \n   \n\nStockholders’ equity \n    \n    \n   \n\nAdditional paid-in capital \n 90,063,124  \n (945,950) \n 89,117,174 \n\nAccumulated deficit \n (93,092,303) \n 914,916  \n (92,177,387)\n\nTotal stockholders’ equity \n$5,848,722  \n$(31,034) \n$5,817,688 \n\n  \n\nThe\nfollowing tables present the effects of the restatement adjustments for the 2025 Financial Statement Errors on the Company’s unaudited interim consolidated income statements\nfor the three and nine months ending September 30, 2025:\n\n \n\n  \n    \n    \n   \n\n  \nFor the Three Months Ended September 30, 2025 \n\n  \nAs Previously  \nRestatement  \nAs \n\n  \nStated  \nAdjustment  \nRestated \n\nGain on changes in fair value \n$-  \n$(33,566) \n$(33,566)\n\nInterest Expense \n (145,803) \n (176,962) \n (322,765)\n\nLoss on debt extinguishment \n (876,165) \n (540,445) \n (1,416,610)\n\nTotal other income (expense) \n (1,009,141) \n (750,973) \n (1,760,114)\n\nNet loss from continuing operations \n (2,644,625) \n (750,973) \n (3,395,598)\n\nNet Loss \n$(2,644,625) \n$(750,973) \n$(3,395,598)\n\n  \n    \n    \n   \n\nNet loss from continuing operations per common share: \n    \n    \n   \n\nBasic \n$(30.80) \n$(8.71) \n$(39.40)\n\nDiluted \n$(30.80) \n$(8.71) \n$(39.40)\n\n  \n    \n    \n   \n\nNet loss per common share: \n    \n    \n   \n\nBasic \n$(30.80) \n$(8.71) \n$(39.40)\n\nDiluted \n$(30.80) \n$(8.71) \n$(39.40)\n\n \n\n  \n    \n    \n   \n\n  \nFor the Nine Months Ended September 30, 2025 \n\n  \nAs Previously  \nRestatement  \nAs \n\n  \nStated  \nAdjustment  \nRestated \n\nGain on changes in fair value \n$-  \n$1,626,594  \n$1,626,594 \n\nInterest Expense \n (273,629) \n (396,233) \n (669,862)\n\nLoss on debt extinguishment \n (1,568,435) \n (540,445) \n (2,108,880)\n\nGain on settlement liability \n 714,500  \n 225,000  \n 939,500 \n\nTotal other income (expense) \n (1,520,890) \n 914,916  \n (605,974)\n\nNet loss from continuing operations \n (7,345,990) \n 914,916  \n (6,431,074)\n\nNet Loss \n$(25,333,069) \n$914,916  \n$(24,418,153)\n\n  \n    \n    \n   \n\nNet loss from continuing operations per common share: \n    \n    \n   \n\nBasic \n$(206.80) \n$25.76  \n$(181.05)\n\nDiluted \n$(206.80) \n$25.76  \n$(181.05)\n\n  \n    \n    \n   \n\nNet loss per common share: \n    \n    \n   \n\nBasic \n$(713.20) \n$25.76  \n$(687.42)\n\nDiluted \n$(713.20) \n$25.76  \n$(687.42)\n\n \n\n F-15 \n\n \n\n \n\nThe\nfollowing table presents the effects of the restatement adjustments for the 2025 Financial Statement Errors on the Company’s unaudited interim consolidated statement of\nstockholders’ equity as September 30, 2025:\n\n \n\n  \nShares  \nAmount  \nShares  \nAmount  \nCapital  \nDeficit  \nTotal  \nShares  \nAmount  \nShares  \nAmount  \nTotal \n\n**As Previously Stated**** **\n\n  \nStockholders’ Equity  \nMezzanine Equity \n\n  \nSeries C-1  \nSeries C-2  \nAdditional  \n   \n   \nSeries C-1  \nSeries C-2  \n  \n\n  \nPreferred Stock  \nPreferred Stock  \nPaid-In  \nAccumulated  \n   \nPreferred Stock  \nPreferred Stock  \n  \n\n  \nShares  \nAmount  \nShares  \nAmount  \nCapital  \nDeficit  \nTotal  \nShares  \nAmount  \nShares  \nAmount  \nTotal \n\nBalances, December 31, 2024 \n 30,375  \n$30,375,000  \n -  \n$-  \n$49,537,134  \n$(67,327,733) \n$12,747,473  \n -  \n$-  \n -  \n$-  \n$7,457,000 \n\nReclassification of C-1 Preferred Stock \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n    \n    \n -  \n -  \n - \n\nBalances, March 31, 2025 \n 30,375  \n$30,375,000  \n -  \n$-  \n$57,833,740  \n$(84,873,449) \n$3,335,365  \n -  \n$-  \n -  \n$-  \n 3,978,922 \n\nReclassification of Series C-2 Preferred stock \n -  \n -  \n 4,576  \n 3,978,922  \n -  \n -  \n 3,978,922  \n -  \n -  \n -  \n -  \n - \n\nDebt conversion \n -  \n -  \n 2,430  \n 2,430,000  \n 249,991  \n    \n 2,680,000  \n    \n    \n    \n    \n   \n\nC-1 to C-2 exchange \n (2,025) \n (2,025,000) \n 3,213  \n 3,213,000  \n (837,821) \n -  \n 350,179  \n -  \n -  \n -  \n -  \n - \n\nDivesture of NAYA \n (28,350) \n (28,350,000) \n -  \n -  \n 24,368,110  \n -  \n (3,981,890) \n -  \n -  \n -  \n -  \n - \n\nPreferred stock issued \n -  \n -  \n 500  \n 500,000  \n -  \n -  \n 500,000  \n -  \n -  \n -  \n -  \n - \n\nWarrant exercise \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n - \n\nNet loss \n -  \n -  \n -  \n -  \n -  \n (5,284,858) \n (5,284,858) \n -  \n -  \n -  \n -  \n - \n\nBalances, June 30, 2025 \n -  \n$-  \n 10,719  \n$10,121,922  \n$82,712,709  \n$(90,203,241) \n$2,631,473  \n -  \n$-  \n -  \n$-  \n$- \n\nReclassification of Series C-2 Preferred stock \n -  \n$-  \n -  \n$-  \n$-  \n$-  \n -  \n -  \n$-  \n -  \n$-  \n$- \n\nDebt conversion \n -  \n -  \n 2,959  \n 2,959,000  \n 739,892  \n -  \n 3,698,960  \n -  \n -  \n -  \n -  \n - \n\nFair value of warrants issued with notes \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n - \n\nNet loss \n -  \n -  \n -  \n -  \n -  \n (2,644,625) \n (2,644,625) \n -  \n -  \n -  \n -  \n - \n\nBalances, September 30, 2025 \n -  \n$-  \n 9,475  \n$8,877,359  \n$90,063,124  \n$(93,092,303) \n$5,848,722  \n -  \n$-  \n -  \n$-  \n$- \n\n \n\n  \nShares  \nAmount  \nShares  \nAmount  \nCapital  \nDeficit  \nTotal  \nShares  \nAmount  \nShares  \nAmount  \nTotal \n\n**Restatement Adjustment**** **\n\n  \nStockholders’ Equity  \nMezzanine Equity \n\n  \nSeries C-1  \nSeries C-2  \nAdditional  \n   \n   \nSeries C-1  \nSeries C-2  \n  \n\n  \nPreferred Stock  \nPreferred Stock  \nPaid-In  \nAccumulated  \n   \nPreferred Stock  \nPreferred Stock  \n  \n\n  \nShares  \nAmount  \nShares  \nAmount  \nCapital  \nDeficit  \nTotal  \nShares  \nAmount  \nShares  \nAmount  \nTotal \n\nBalances, December 31, 2024 \n -  \n$-  \n -  \n$-  \n$-  \n$-  \n$-  \n -  \n$-  \n -  \n$-  \n$- \n\nReclassification of C-1 Preferred Stock \n (30,375) \n (30,375,000) \n -  \n -  \n -  \n -  \n (30,375,000) \n 30,375  \n 30,375,000  \n -  \n -  \n 30,375,000 \n\nBalances, March 31, 2025 \n (30,375) \n$(30,375,000) \n -  \n$-  \n$-  \n$-  \n$(30,375,000) \n 30,375  \n$30,375,000  \n -  \n$-  \n$30,375,000 \n\nReclassification of Series C-2 Preferred stock \n -  \n\n$\n-  \n (4,576) \n\n$\n(3,978,922) \n\n$\n-  \n\n$\n-  \n\n$\n(3,978,922) \n -  \n\n$\n-  \n 4,576  \n\n$\n3,978,922  \n\n$\n3,978,922 \n\nDebt conversion \n -  \n -  \n (2,430) \n (2,430,000) \n (428,666) \n -  \n (2,858,666) \n -  \n -  \n 2,430  \n 2,430,000  \n 2,430,000 \n\nC-1 to C-2 exchange \n 2,025  \n 2,025,000  \n (3,213) \n (3,213,000) \n -  \n -  \n (1,188,000) \n (2,025) \n (2,025,000) \n 3,213  \n 3,213,000  \n 1,188,000 \n\nDivesture of NAYA \n 28,350  \n 28,350,000  \n -  \n -  \n -  \n -  \n 28,350,000  \n (28,350) \n (28,350,000) \n -  \n -  \n (28,350,000)\n\nPreferred stock issued \n -  \n -  \n (500) \n (500,000) \n -  \n -  \n (500,000) \n -  \n -  \n 500  \n 500,000  \n 500,000 \n\nWarrant exercise \n -  \n -  \n -  \n -  \n (736,896) \n -  \n (736,896) \n -  \n -  \n -  \n -  \n - \n\nNet loss \n -  \n -  \n -  \n -  \n -  \n 1,665,889  \n 1,665,889  \n -  \n -  \n -  \n -  \n - \n\nBalances, June 30, 2025 \n -  \n$-  \n (10,719) \n$(10,121,922) \n$(1,165,562) \n$1,665,889  \n$(9,621,595) \n -  \n$-  \n 10,719  \n$10,121,922  \n$10,121,922 \n\nReclassification of Series C-2 Preferred stock \n -  \n$-  \n 10,719  \n$10,121,922  \n$-  \n$-  \n\n$\n10,121,922  \n -  \n$-  \n (10,719) \n$(10,121,922) \n$(10,121,922)\n\nDebt conversion \n -  \n -  \n -  \n -  \n 51,749  \n -  \n 51,749  \n -  \n -  \n -  \n -  \n - \n\nFair value of warrants issued with notes \n -  \n -  \n -  \n -  \n 167,863  \n -  \n 167,863  \n    \n    \n    \n    \n   \n\nNet loss \n    \n    \n    \n    \n    \n (750,973) \n (750,973) \n -  \n -  \n -  \n -  \n - \n\nBalances, September 30, 2025 \n -  \n$-  \n -  \n$-  \n$(945,950) \n$914,916  \n$(31,034) \n -  \n$-  \n -  \n$-  \n$- \n\n \n\n  \nShares  \nAmount  \nShares  \nAmount  \nCapital  \nDeficit  \nTotal  \nShares  \nAmount  \nShares  \nAmount  \nTotal \n\n**As Restated**** **\n\n  \nStockholders’ Equity  \nMezzanine Equity \n\n  \nSeries C-1  \nSeries C-2  \nAdditional  \n   \n   \nSeries C-1  \nSeries C-2  \n  \n\n  \nPreferred Stock  \nPreferred Stock  \nPaid-In  \nAccumulated  \n   \nPreferred Stock  \nPreferred Stock  \n  \n\n  \nShares  \nAmount  \nShares  \nAmount  \nCapital  \nDeficit  \nTotal  \nShares  \nAmount  \nShares  \nAmount  \nTotal \n\nBalances, December 31, 2024 \n 30,375  \n$30,375,000  \n -  \n$-  \n$49,537,134  \n$(67,327,733) \n$12,747,473  \n -  \n$-  \n -  \n$-  \n$7,457,000 \n\nReclassification of C-1 Preferred Stock \n (30,375) \n (30,375,000) \n -  \n -  \n -  \n -  \n (30,375,000) \n 30,375  \n 30,375,000  \n -  \n -  \n 30,375,000 \n\nBalances, March 31, 2025 \n -  \n$-  \n -  \n$-  \n$57,833,740  \n$(84,873,449) \n$\n**(27,039,635**\n\n) \n 30,375  \n\n$\n30,375,000  \n -  \n$-  \n\n$\n34,353,922 \n\nReclassification of Series C-2 Preferred stock \n -  \n\n$\n-  \n -  \n\n$\n-  \n\n$\n-  \n\n$\n-  \n\n$\n-  \n -  \n\n$\n-  \n 4,576  \n\n$\n3,978,922  \n\n$\n3,978,922 \n\nDebt conversion \n -  \n -  \n -  \n -  \n (178,675) \n -  \n (178,666) \n -  \n -  \n 2,430  \n 2,430,000  \n 2,430,000 \n\nC-1 to C-2 exchange \n -  \n -  \n -  \n -  \n (837,821) \n -  \n (837,821) \n (2,025) \n (2,025,000) \n 3,213  \n 3,213,000  \n 1,188,000 \n\nDivesture of NAYA \n -  \n -  \n -  \n -  \n 24,368,110  \n -  \n 24,368,110  \n (28,350) \n (28,350,000) \n -  \n -  \n (28,350,000)\n\nPreferred stock issued \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n -  \n 500  \n 500,000  \n 500,000 \n\nWarrant exercise \n -  \n -  \n -  \n -  \n (736,896) \n -  \n (736,896) \n -  \n -  \n -  \n -  \n - \n\nNet loss \n -  \n -  \n -  \n -  \n -  \n (3,618,969) \n (3,618,969) \n -  \n -  \n -  \n -  \n - \n\nBalances, June 30, 2025 \n -  \n$-  \n -  \n$-  \n$81,547,147  \n$(88,537,352) \n$(6,990,122) \n -  \n\n$\n-  \n 10,719  \n$10,121,922  \n\n$\n10,121,922 \n\nReclassification of Series C-2 Preferred stock \n -  \n$-  \n 10,719  \n$10,121,922  \n$-  \n$-  \n\n$\n10,121,922  \n -  \n\n$\n-  \n (10,719) \n$(10,121,922) \n\n$\n(10,121,922)\n\nDebt conversion \n -  \n -  \n 2,959  \n 2,959,000  \n 791,641  \n -  \n 3,750,709  \n -  \n -  \n -  \n -  \n - \n\nFair value of warrants issued with notes \n -  \n -  \n -  \n -  \n 167,863  \n -  \n 167,863  \n -  \n -  \n -  \n -  \n - \n\nNet loss \n -  \n -  \n -  \n -  \n -  \n (3,395,598) \n (3,395,598) \n -  \n -  \n -  \n -  \n - \n\nBalances, September 30, 2025 \n -  \n$-  \n 9,475  \n$8,877,359  \n$89,117,174  \n$(92,177,387) \n\n$\n5,817,688  \n -  \n$-  \n -  \n$-  \n$- \n\n \n\n F-16 \n\n \n\n \n\nThe\nfollowing table presents the effects of the restatement adjustments for the 2025 Financial Statement Errors on the Company’s unaudited interim consolidated cash flow statements\nfor the nine months ending September 30, 2025:\n\n \n\n  \n    \n    \n   \n\n  \nFor the Nine Months Ended September 30, 2025 \n\n  \nAs Previously  \nRestatement  \nAs \n\n  \nStated  \nAdjustment  \nRestated \n\nCash flows from operating activities: \n    \n    \n   \n\nNet loss \n$(25,333,069) \n$914,916  \n$(24,418,153)\n\nAdjustments to reconcile net loss to net cash used in operating activities: \n    \n    \n   \n\nAmortization of discount on notes payable \n 132,644  \n 396,233  \n 528,877 \n\nLoss from debt extinguishment \n 1,568,435  \n 540,445  \n 2,108,880 \n\nGain on changes in FV \n -  \n (1,626,594) \n (1,626,594)\n\nGain on settlement \n$(1,615,000) \n$(225,000) \n$(1,840,000)\n\n \n\n**Revision\nof Previously Issued Consolidated Financial Statements**\n\n \n\nThe\nCompany revised its consolidated financial statements and related notes included herein for the year ending December 31, 2024 to correct\nthe following errors:\n\n \n\n \n●\nthe\npreviously reported deferred tax liability and associated tax provision expense did not correctly account for the acquisition of\nNTI. The correction increased the tax provision expense and increased the deferred tax liability by $163,115 as of December 31, 2024.\nNote 17 has been updated to reflect the revision;\n\n \n●\nthe\nCompany originally did not recognize an allowance for its accounts receivable, this has now been corrected to include an allowance\nof $61,773;\n\n \n●\nthe\nCompany incorrectly recognized an ROU Asset of $740,759 and corresponding current lease liability of $57,993 and long term lease\nliability of $793,943 for the related to the Alabama JV; and\n\n \n●\nthe\n$1,220,528 note receivable associated with the Alabama JV was reclassified from equity investments to note receivable from HRCFG\non the Company’s consolidated balance sheet.\n\n \n\nThe\nfollowing table presents the effects of the revision on the Company’s consolidated balance sheet as of December 31, 2024:\n\n \n\n  \nAs Previously  \nRevision  \nAs \n\n  \nDecember 31, 2024 \n\n  \nAs Previously  \nRevision  \nAs \n\n  \nStated  \nAdjustment  \nRevised \n\nASSETS \n   \n   \n  \n\nAccounts receivable, net of allowances of $61,773 \n$174,881  \n$(61,773) \n$113,108 \n\nTotal current assets \n 1,318,331  \n (61,773) \n 1,256,558 \n\nLease right of use \n 2,283,784  \n (790,164) \n 1,493,620 \n\nEquity investments \n 740,759  \n (740,759) \n - \n\nNote receivable from HRCFG \n -  \n 1,220,528  \n 1,220,528 \n\nTotal assets \n$46,449,182  \n$(372,168) \n$46,077,014 \n\n  \n    \n    \n   \n\nLIABILITIES AND STOCKHOLDERS’ EQUITY \n    \n    \n   \n\nLease liability, current portion \n$239,125  \n$(57,993) \n$181,132 \n\nTotal current liabilities \n 17,926,441  \n (57,993) \n 17,868,448 \n\nLease liability, net of current portion \n 2,189,555  \n (793,943) \n 1,395,612 \n\nLiability for excess losses of equity method investee \n -  \n 479,768  \n 479,768 \n\nDeferred tax liability \n -  \n 163,115  \n 163,115 \n\nTotal liabilities \n 26,244,709  \n (209,053) \n 26,035,656 \n\n  \n    \n    \n   \n\nStockholders’ equity \n    \n    \n   \n\nAccumulated deficit \n (67,164,618) \n (163,115) \n (67,327,733)\n\nTotal stockholders’ equity \n 12,747,473  \n (163,115) \n 12,584,358 \n\nTotal liabilities and stockholders’ equity \n$46,449,182  \n$(372,168) \n$46,077,014 \n\n \n\nThe\nfollowing table presents the effects of the revision on the Company’s consolidated income statement as of December 31, 2024:\n\n \n\n  \n    \n    \n   \n\n  \nFor\nthe Year Ended December 31, 2024 \n\n  \nAs Previously  \nRevision  \nAs \n\n  \nStated  \nAdjustment  \nRevised \n\nProvision for\nincome taxes \n$(22,913) \n$163,115  \n$140,202 \n\nNet loss from continuing operations \n (7,576,838) \n (163,115) \n (7,739,953)\n\nNet Loss \n (9,095,838) \n (163,115) \n (9,258,953)\n\nNet loss attributable to common\nshareholders \n$(9,346,473) \n$(163,115) \n$(9,509,588)\n\n  \n    \n    \n   \n\nNet loss from continuing operations\nper common share: \n    \n    \n   \n\nBasic \n$(3,013.82) \n$(64.88) \n$(3,078.74)\n\nDiluted \n$(3,013.82) \n$(64.88) \n$(3,078.74)\n\n  \n    \n    \n   \n\nNet loss per common share: \n    \n    \n   \n\nBasic \n$(3,717.73) \n$(64.88) \n$(3,782.65)\n\nDiluted \n$(3,717.73) \n$(64.88) \n$(3,782.65)\n\n \n\nThe\nfollowing table presents the effects of the revision on the Company’s consolidated statement of stockholders’ equity as of\nDecember 31, 2024:\n\n \n\n  \nDeficit  \nTotal  \nDeficit  \nTotal  \nDeficit  \nTotal \n\n  \nStockholders’ Equity \n\n  \nAs Previously Stated  \nRestatement Adjustment  \nAs Restated \n\n  \nAccumulated  \n   \nAccumulated  \n   \nAccumulated  \n  \n\n  \nDeficit  \nTotal  \nDeficit  \nTotal  \nDeficit  \nTotal \n\nBalances, December 31, 2023 \n$(57,818,145) \n$892,825  \n$-  \n$-  \n$(57,818,145) \n$892,825 \n\nNet loss \n (9,095,838) \n (9,095,838) \n (163,115) \n (163,115) \n (9,258,953) \n (9,258,953)\n\nBalances, December 31, 2024 \n\n$\n(67,164,618) \n\n$\n12,747,473  \n\n$\n(163,115) \n\n$\n(163,115) \n\n$\n(67,327,733) \n\n$\n12,584,358 \n\n \n\nThe\nfollowing table presents the effects of the revision on the Company’s consolidated statement of cash flows for the year ended December\n31, 2024:\n\n \n\n  \nAs Previously  \nRevision  \nAs \n\n  \nFor the Year Ended December 31, 2024 \n\n  \nAs Previously  \nRevision  \nAs \n\n  \nStated  \nAdjustment  \nRevised \n\nCash flows from operating activities: \n    \n    \n   \n\nNet loss \n$(9,095,838) \n$(163,115) \n$(9,258,953)\n\nChanges in assets and liabilities: \n    \n    \n   \n\nAccounts receivable \n (34,331) \n 61,773  \n 27,442 \n\nLeasehold liability \n 25,869  \n (61,773) \n (35,904)\n\nDeferred tax liability \n -  \n 163,115  \n 163,115 \n\nNet cash (used in) provided by operating activities \n$(2,974,400) \n$-  \n$(2,974,400)\n\n \n\n F-17 \n\n \n\n \n\n**Note\n3 – Liquidity**\n\n \n\nHistorically,\nthe Company has funded its cash and liquidity needs through revenue collection, equity financings, notes, and convertible notes. For\nthe years ended December 31, 2025 and 2024, the Company incurred a net loss from continuing operations of approximately $5.3 million\nand $7.7 million,\nrespectively, and has an accumulated deficit of approximately $91.4 million\nas of December 31, 2025.\n\n \n\nThe\nCompany has been dependent on raising capital through debt and equity financings to meet its needs for cash used in operating and\ninvesting activities. During 2025, the Company received net proceeds of approximately $2.9\nmillion from the sale of its preferred stock, $0.4\nmillion from the exercise of warrants, and net proceeds of approximately $13.1\nmillion for the sale of its common stock, of which $4 million was used to redeem preferred stock. During 2024, the Company received proceeds of $1.3 million\nfrom notes, net proceeds of approximately $1.6 million\nfrom the sale of its preferred stock, $0.9 million\nfrom the exercise of warrants, and net proceeds of approximately $0.2 million\nfor the sale of its common stock. Over the next 12 months, the Company’s plan includes growing its clinic revenue organically and pursuing additional profitable fertility\nclinic acquisitions. Until the Company can generate positive cash from operations, it will\nneed to raise additional funding to meet its liquidity needs and to execute its business strategy. As in the past, the Company will\nseek debt and/or equity financing, which may not be available on reasonable terms, if at all.\n\n \n\nThese\nfactors, among others, raise substantial doubt about the Company’s ability to continue as a going concern for at least one year\nfrom the date the accompanying financial statements are issued. If the Company is unable to raise additional funding to meet its working\ncapital needs in the future, it will be forced to delay or reduce the scope of its growth and acquisition plans and/or limit or cease\nits operations. If the Company cannot continue as a going concern, its stockholders would likely lose most or all of their investment\nin the Company. The financial statements do not include any adjustments that might result from the outcome of this uncertainty.\n\n \n\n**Note\n4 – Business Combinations**\n\n \n\n*NAYA\nTherapeutics*\n\n \n\nOn\nOctober 11, 2024 (the “Effective Time”), the Company, a wholly owned subsidiary (“Merger Sub”), and NTI\nentered into an Amended and Restated Agreement and Plan of Merger (the “A&R Merger Agreement”) and consummated the\ntransactions contemplated thereby (the “NTI Acquisition”). Upon the terms and subject to the conditions set forth in the A&R\nMerger Agreement, Merger Sub merged with and into NTI, with NTI continuing as the surviving corporation and a wholly owned\nsubsidiary of the Company.\n\n \n\nAt\nthe Effective Time and as a result of the consummation of the NTI Acquisition:\n\n \n\n●\nEach share of Class A common stock, par value $0.000001\nper share, and Class B common stock, par value $0.000001\nper share, of NTI (“NTI common stock”) outstanding\nimmediately prior to the Effective Time, other than certain excluded shares held by NTI as treasury stock or owned by the Company or\nMerger Sub, automatically converted into the right to receive 82\nshares of the Company’s common stock and 30,375\nshares of the Company’s newly-designated Series C-1 Convertible\nPreferred Stock (the “Series C-1 Preferred”). See *Note 13 – Stockholders’ Equity* for additional information\non the Series C-1 Preferred.\n\n \n\n●\nCertain outstanding debt obligations of NTI, including a portion of an amended and restated senior secured convertible debenture issued\nto Five Narrow Lane LP (“FNL”), with a combined principal balance of $8,575,833\nconverted into the right to receive 465\nshares of the Company’s common stock and 8,576\nshares of the Company’s newly-designated Series C-2 Convertible\nPreferred Stock (the “Series C-2 Preferred”). The\nCompany and FNL have agreed that the Company shall issue to FNL a pre-funded common stock purchase warrant (the “NAYA Acquisition\nPre-funded Warrants”) to purchase up to 320 shares of the Company’s common stock in lieu of 320 shares of the aforementioned\ncommon stock. See *Note 13 – Stockholders’ Equity* for additional information on the Series C-2 Preferred.\n\n \n\n●\nThe remaining balance of the amended and restated senior secured convertible debenture issued to FNL in the amount of $3,934,146\nwas exchanged for a 7.0%\nsenior secured convertible debenture in the principal balance of $3,934,146\ndue December\n11, 2025 (the “Convertible Debenture”).\nA description of the rights, preferences, and privileges of the Convertible Debenture are set forth below in *Note 10 – Notes\nPayable.*\n\n \n\nThe\nallocation of the purchase price is as follows:\n\n Schedule\nof Allocation of Purchase Price \n\n  \n   \n\nConsideration given: \n  \n\nCommon Stock \n$214,937 \n\nNAYA Acquisition Pre-funded Warrants \n 300,978 \n\nSeries C-1 Preferred \n 17,691,000 \n\nSeries C-2 Preferred \n 7,457,000 \n\nConvertible Debenture \n 3,934,146 \n\nBusiness acquisition cost \n 29,598,061 \n\nAssets and liabilities acquired: \n   \n\nCash \n 472,008 \n\nOther current assets \n 40,747 \n\nTradename \n 257,000 \n\nIn process R&D \n 14,571,000 \n\nGoodwill \n 17,656,707 \n\nAP & accrued liabilities \n (3,109,039)\n\nDebt \n (290,362)\n\nTotal assets and liabilities acquired \n$29,598,061 \n\n \n\n F-18 \n\n \n\n \n\nOn\nJune 2, 2025, the Company divested a majority stake in NTI. The Company elected to redeem all outstanding shares of Series C-1 Preferred\nat a redemption price of 113.8558\nshares of Class A Common Stock of NTI for each share of C-1 Preferred being redeemed. Immediately, prior to the redemption, the Company\nwas the holder of 3,227,813\nshares\nof Class A Common Stock of NTI, representing all outstanding common shares of NTI. The Company retained 6,300\nshares\nof Series A Preferred Stock of NTI, which represents 19.9% of the outstanding common stock on an as-if converted basis. In addition,\non May 28, 2025, NTI issued a secured convertible promissory note (“NTI Note Receivable”) in the principal amount of $4,803,175\nto\nthe Company. The NTI Note Receivable carries an interest rate of 7%\nper annum and has a maturity date of November 28, 2026. In the event of a Qualified IPO or Qualified Securities transaction, the NTI\nNote Receivable shall convert into share of NTI Class A Common Stock at a conversion price equal to the closing sale price of the IPO\nor Qualified Securities, subject to beneficial ownership limitations.\n\n \n\nThe\nCompany recognized a loss of $1,534,517 upon the disposition of the 80.1% ownership of NTI.\n\n Schedule\nof Allocation of Purchase Price \n\n  \n   \n\nConsideration received: \n  \n\nSeries C-1 Preferred \n 2,466,810 \n\nNTI Note Receivable \n 4,803,175 \n\nNTI Series A Preferred \n 3,879,611 \n\nBusiness acquisition cost \n$11,149,596 \n\n  \n   \n\nAssets and liabilities divested: \n   \n\nCash \n 6,569 \n\nOther current assets \n 16,700 \n\nTradename \n 257,000 \n\nIn process R&D \n 14,571,000 \n\nGoodwill \n 3,011,638 \n\nAP & accrued liabilities \n (4,804,016)\n\nDebt \n (374,778)\n\nNet assets \n$12,684,113 \n\n  \n   \n\nLoss on disposition \n$1,534,517 \n\n \n\nThe\nCompany’s consolidated financial statements for the year ended December 31, 2025, include NTI’s results of operations\nthrough June 2, 2025. The Company’s consolidated financial statements reflect the purchase accounting adjustments in accordance\nwith ASC 805 “Business Combinations”, whereby the purchase price was allocated to the assets acquired and liabilities assumed\nbased upon their estimated fair values on the acquisition date as well as deconsolidation adjustments in accordance with ASC 810 “Consolidation”,\nwhereby the loss upon disposition was recognized.\n\n \n\nThe\ncarrying amounts of major classes of assets and liabilities held for disposal are as follows:\n\n Schedule\nof Assets and Liabilities Held for Disposal \n\n  \nDecember 31, 2024 \n\nASSETS \n   \n\nCash \n$121,876 \n\nPrepaid expenses and other current assets \n 1,437 \n\nIntangible assets, net \n 14,828,000 \n\nGoodwill \n 17,656,707 \n\nTotal assets held for sale \n$32,608,020 \n\nLIABILITIES \n   \n\nAccounts payable and accrued liabilities \n$4,009,743 \n\nNotes payable, net \n 284,778 \n\nTotal liabilities held for sale \n$4,294,521 \n\n \n\nThe\nmajor classes of line items constituting loss from discontinued operations are as follows:\n\n \n\n  \n2025  \n2024 \n\n  \nFor the Year Ended \n\n  \nDecember 31, \n\n  \n2025  \n2024 \n\nRevenue \n$-  \n$- \n\nCost of revenue \n -  \n - \n\nSelling, general and administrative expenses \n 1,408,305  \n 1,013,003 \n\nResearch and development expenses \n 393,470  \n 484,780 \n\nImpairment loss \n 14,645,069  \n - \n\nDepreciation and amortization \n -  \n - \n\nInterest expense \n 5,718  \n 21,217 \n\nLoss on discontinued operations \n$16,452,562  \n$1,519,000 \n\n \n\nThere\nwere no depreciation, amortization, capital expenditures, or significant operating and investing noncash items related to the discontinued\noperations.\n\n \n\n**Note\n5 – Variable Interest Entities**\n\n \n\n**Consolidated\nVIEs**\n\n \n\n*Bloom\nINVO, LLC*\n\n \n\nOn\nJune 28, 2021, INVO Centers LLC (“INVO CTR”) entered into a limited liability company agreement (the “Bloom Agreement”)\nwith Bloom Fertility, LLC (“Bloom”) to establish a joint venture entity, formed as “Bloom INVO LLC” (the “Georgia\nJV”), for the purposes of commercializing INVOcell, and the related IVC procedure, through the establishment of an INVO Center\nin the Atlanta, Georgia metropolitan area (the “Atlanta Clinic”).\n\n \n\nIn\nconsideration for the Company’s commitment to contribute up to $800,000 within the 24-month period following the execution of the\nBloom Agreement to support the start-up operations of the Georgia JV, the Georgia JV issued 800 of its units to INVO CTR and in consideration\nfor Bloom’s commitment to contribute physician services having an anticipated value of up to $1,200,000 over the course of a 24-month\nvesting period, the Georgia JV issued 1,200 of its units to Bloom.\n\n \n\nThe\nresponsibilities of Bloom include providing all medical services required for the operation of the Atlanta Clinic. The responsibilities\nof INVO CTR include providing certain funding to the Georgia JV, lab services quality management, and providing access to and being the\nexclusive provider of the INVOcell to the Georgia JV. INVO CTR also performs all required, industry specific compliance and accreditation\nfunctions, and product documentation for product registration.\n\n \n\n F-19 \n\n \n\n \n\nThe\nBloom Agreement provides Bloom with a “profits interest” in the Georgia JV and, in connection with such profits interest,\nstates that profits and losses be allocated to its members based on a hypothetical liquidation of the Georgia JV. In such a scenario,\nliquidation proceeds would be distributed in the following order: (a) to INVO CTR until the difference between its capital contributions\nand distributions (the “Hurdle Amount”) equals $0; (b) to Bloom until its distributions equal 150% of the liquidation amounts\ndistributed to INVO CTR (a “catch-up” to rebalance the distributions between members); and (c) thereafter on a pro rata basis.\nThe Georgia JV had no assets or liabilities at the time the units were issued, and, as of December 31, 2025, INVO CTR had made capital\ncontributions greater than the net loss of the Georgia JV. As such, the entire net loss was allocated to INVO CTR, and no loss was allocated\nto the noncontrolling interest of Bloom.\n\n \n\nThe\nCompany determined the Georgia JV is a VIE, and that the Company is its primary beneficiary because the Company has an obligation to\nabsorb losses that are potentially significant and the Company controls the majority of the activities that impact the Georgia JV’s\neconomic performance, specifically control of the INVOcell and lab services quality management. As a result, the Company consolidated\nthe Georgia JV’s results with its own. As of December 31, 2025, the Company invested $0.9 million in the Georgia JV in the form\nof capital contributions as well as $0.5 million in the form of a note. For the years ended December 31, 2025 and 2024, the Georgia JV\nrecorded a net gain of $0.1 million and net loss of $0.2 million, respectively. Noncontrolling interest in the Georgia JV was $0.\n\n \n\n**Unconsolidated\nVIEs**\n\n \n\n*HRCFG\nINVO, LLC*\n\n \n\nOn\nMarch 10, 2021, INVO CTR entered into a limited liability company agreement with HRCFG, LLC (“HRCFG”) to form a joint venture\nfor the purpose of establishing an INVO Center in Birmingham, Alabama. The name of the joint venture entity is HRCFG INVO, LLC (the “Alabama\nJV”). The Company also provides certain funding to the Alabama JV. Each party owns 50% of the Alabama JV.\n\n \n\nThe\nCompany determined that the Alabama JV is a variable interest entity (“VIE”) for which no party is the primary beneficiary.\nAlthough the Company has potentially significant economic exposure as the Alabama JV’s primary funding source, it does not have\nunilateral power to direct the activities that most significantly impact the Alabama JV’s economic performance, as such power is\nshared between the parties under the Alabama JV’s operating agreement. Accordingly, the Company accounts for its interest in the\nAlabama JV under the equity method.\n\n \n\nThe\nCompany funded the Alabama JV in the form of a $1.7\nmillion note receivable issued by HRCFG (the “Alabama JV Note Receivable”). The Alabama JV Note Receivable has an annual\ninterest rate of 1.5%\nand repayment is to be made from 30% of the Alabama JV’s operating profit. Beginning in May 2022, the principal Alabama JV\nNote Receivable was reduced by $15,000\neach month in exchange for consulting services provided by the members of HRCFG. The consulting agreement was terminated in the\nthird quarter of 2025. As of December 31, 2025 and 2024 the principal balance of the Alabama JV Note Receivable was $1.2\nmillion and $1.1\nmillion respectively.\n\n \n\nThe\nCompany co-signed a lease with HRCFG to provide facilities for the Alabama JV’s clinical operations. The Alabama JV is responsible\nfor the lease payments and controls the use of the leased premises. The Company is obligated to satisfy the lease payments only in the\nevent the Alabama JV is unable to do so. The remaining lease payments as of December 31, 2025 and 2024 were $0.3 million and $0.4\nmillion, respectively.\n\n \n\nFor the years ended December 31, 2025\nand 2024, the Alabama JV recorded net income of $0.06\nmillion and $0.02\nmillion, respectively, of which the Company recognized gains\nfrom equity method investments of $0.03\nmillion and $0.01\nmillion, respectively. The negative carrying value of the Alabama JV as of December 31, 2025 and 2024 was $(0.4) million and $(0.5) million,\nrespectively.\n\n \n\n F-20 \n\n \n\n \n\nThe\nfollowing table summarizes our investments in unconsolidated VIEs:\n\n Schedule of Investments in Unconsolidated Variable Interest Entities \n\n  \n  \n   \nCarrying Value as of \n\n  \nLocation \nPercentage Ownership  \nDecember 31, 2025  \nDecember 31, 2024 \n\nHRCFG INVO, LLC \nAlabama, United States \n 50% \n$637,053  \n 740,759 \n\nTotal investment in unconsolidated VIEs \n  \n    \n$637,053  \n 740,759 \n\n \n\nEarnings\nfrom investments in unconsolidated VIEs were as follows:\n\n Schedule of Earnings from Investments in Unconsolidated Variable Interest Entities \n\n  \n2025  \n2024 \n\n  \nYear Ended December 31, \n\n  \n2025  \n2024 \n\nHRCFG INVO, LLC \n$31,294  \n 9,045 \n\nTotal earnings from unconsolidated VIEs \n$31,294  \n 9,045 \n\n \n\nThe\nfollowing tables summarize the combined unaudited financial information of our investments in unconsolidated VIEs:\n\n Schedule of Financial Information of Investments in Unconsolidated Variable Interest Entities \n\n  \n2025  \n2024 \n\n  \nYear Ended December 31, \n\n  \n2025  \n2024 \n\nStatement of operations: \n   \n  \n\nOperating revenue \n$1,300,872  \n 1,280,746 \n\nOperating expenses \n (1,238,284) \n (1,260,219)\n\nNet income (loss) \n$62,588  \n 20,527 \n\n \n\n  \nDecember 31, 2025  \nDecember 31, 2024 \n\nBalance sheet: \n    \n   \n\nCurrent assets \n$105,845  \n 105,949 \n\nLong-term assets \n 388,647  \n 481,102 \n\nCurrent liabilities \n (127,217) \n (119,436)\n\nLong-term liabilities \n -  \n - \n\nNet assets \n$367,275  \n 467,615 \n\n \n\n**Note\n6 – Agreements and Transactions with VIE’s**\n\n \n\nThe\nCompany sells the INVOcell to its consolidated and unconsolidated VIEs and anticipates continuing to do so in the ordinary course of\nbusiness. All intercompany transactions with consolidated entities are eliminated in the Company’s consolidated financial statements.\nPer ASC 323-10-35-8 the Company eliminates any sales to an unconsolidated VIE for INVOcell inventory that the VIE still has remaining\non the books at period end.\n\n \n\nThe\nfollowing table summarizes the Company’s transactions with VIEs:\n\n Summary of Transaction with Variable Interest Entities \n\n  \n2025  \n2024 \n\n  \nYear Ended December 31, \n\n  \n2025  \n2024 \n\nBloom Invo, LLC \n    \n   \n\nINVOcell revenue \n$27,000  \n$24,000 \n\nUnconsolidated VIEs \n    \n   \n\nINVOcell revenue \n$6,000  \n$7,500 \n\n \n\nThe\nCompany had balances with VIEs as follows:\n\n Summary of Balances with Variable Interest Entities \n\n  \nDecember\n31, 2025  \nDecember 31, 2024 \n\nBloom Invo, LLC \n    \n  \n\nAccounts receivable \n$-  \n$37,500 \n\nNotes payable \n 511,946  \n 497,321 \n\nUnconsolidated VIEs \n    \n   \n\nAccounts receivable \n$28,500  \n$22,500 \n\n \n\n F-21 \n\n \n\n \n\n**Note\n7 – Inventory**\n\n \n\nComponents\nof inventory are:\n\n \n\nSchedule\nof Inventory\n\n  \nDecember\n31, 2025  \nDecember\n31, 2024 \n\nRaw materials \n$50,323  \n$53,537 \n\nFinished goods \n 174,930  \n 166,227 \n\nTotal inventory \n$225,253  \n$219,764 \n\n \n\n**Note\n8 – Property and Equipment**\n\n \n\nThe\nestimated useful lives and accumulated depreciation for equipment are as follows as of December 31, 2025, and December 31, 2024:\n\n \n\nSchedule of Estimated Useful Lives of Property and Equipment\n\n  \nEstimated Useful Life\n\nManufacturing equipment \n6 to 10 years\n\nMedical equipment \n10 years\n\nOffice equipment \n3 to 7 years\n\n \n\nSchedule of Property and Equipment\n\n  \nDecember\n31, 2025  \nDecember\n31, 2024 \n\nManufacturing equipment \n$132,513  \n$132,513 \n\nMedical equipment \n 522,624  \n 483,145 \n\nOffice equipment \n 93,837  \n 89,904 \n\nLeasehold improvements \n 96,817  \n 96,817 \n\nProperty, plant and equipment, gross \n 96,817  \n 96,817 \n\nLess: accumulated depreciation \n (459,626) \n (335,695)\n\nTotal equipment, net \n$386,165  \n$466,684 \n\n \n\nDuring\neach of the years ended December 31, 2025, and 2024, the Company recorded depreciation expense of $123,931 and $102,103, respectively.\n\n \n\nFor\nthe years ended December 31, 2025, and 2024, the Company recognized a loss on disposal of fixed assets of $0 and $511,663, respectively.\n\n \n\n**Note\n9 – Intangible Assets & Goodwill**\n\n \n\nComponents\nof intangible assets are as follows:\n\n \n\nSchedule of Finite-Lived Intangible Assets\n\n  \nDecember 31, 2025  \n\n**December\n31, 2024**\n \n\nTradename \n$253,000  \n$510,000 \n\nNoncompetition agreement \n 1,980,500  \n 3,961,000 \n\nLess: accumulated amortization \n (908,355) \n (938,069)\n\nTotal intangible assets \n$1,325,145  \n$3,532,931 \n\n \n\nThe\nchanges in the carrying amount of goodwill are as follows:\n\nSchedule\nof Carrying Amount of Goodwill \n\n  \nFertility Clinic Services  \nTherapeutics  \nTotal \n\nBalance as of December 31, 2024 \n   \n   \n  \n\nGoodwill \n$5,878,986  \n$17,656,707  \n$23,535,693 \n\nAccumulated impairment losses \n -  \n -  \n - \n\nGoodwill, net \n 5,878,986  \n 17,656,707  \n 23,535,693 \n\nImpairment losses \n -  \n (14,645,069) \n (14,645,069)\n\nGoodwill written off related to divesture \n -  \n (3,011,638) \n (3,011,638)\n\nBalance as of December 31, 2025 \n    \n    \n   \n\nGoodwill \n 5,878,986  \n 14,645,069  \n 20,524,055 \n\nAccumulated impairment losses \n -  \n (14,645,069) \n (14,645,069)\n\nGoodwill, net \n$5,878,986  \n$-  \n$5,878,986 \n\n \n\nAs\npart of the Wisconsin Fertility Institute (“WFI”) acquisition, which closed on August 10, 2023, the Company acquired a tradename\nvalued at $253,000, noncompetition agreements valued at $3,961,000 and goodwill of $5,878,986 which includes assembled workforce valued\nat $34,000. The tradename was deemed to have a useful life of 10 years. The noncompetition agreements were deemed to have a useful life\nof 5 years. The Company recognized an impairment of $1,397,353 in its Clinic Services segment on the noncompetition agreement as the\nCompany agreed to release Dr. Pritts from her noncompetition agreement as part of a settlement and binding term sheet entered into with\nDr. Pritts on May 14, 2025. See *Note 18 – Commitments and Contingencies* for additional information on the settlement and\nbinding term sheet. \n\n \n\nAs\npart of the NTI Acquisition, which closed on October 11, 2024, the Company acquired a tradename valued at $257,000,\nin-process research and development valued at $14,571,000,\nand goodwill of $17,656,707,\nwhich includes assembled workforce valued at $203,000.\nThe NTI tradename and in-process research and development were deemed to have an indefinite useful life. These assets were derecognized\nupon the disposition of the majority stake of NTI on June 2, 2025. See *Note 4 – Business Combination* for additional information\non the NTI disposition.\n\n \n\nDuring\nthe year ended December 31, 2025, and 2024, the Company recorded amortization expenses related to intangible assets of $553,433 and $817,500,\nrespectively. This amortization expense is related to the WFI tradename and WFI noncompetition agreements.\n\n \n\nGoodwill\nhas an indefinite useful life and is therefore not amortized. The Company performed an impairment analysis as of March 31, 2025, and\ndetermined the goodwill of NTI was impaired by $14,645,069.\n\n \n\nThe\nCompany determined an impairment analysis was needed for the NTI goodwill due to an overall decline in the Company’s stock price\nas of March 31, 2025. The Company engaged an independent third-party valuation specialist to complete the impairment analysis. The valuation\nspecialist used a discounted cash flow method to determine the fair value of NTI was less than the carrying value and therefore goodwill\nwas impaired by $14,645,069. The NTI goodwill was part of the Therapeutics segment.\n\n \n\nThe\nfollowing table presents estimated future amortization expense:\n\n \n\nSchedule\nof Estimated Future Amortization Expense \n\n  \n   \n\n2026 \n$421,400 \n\n2027 \n 421,400 \n\n2028 \n 366,386 \n\n2029 \n 25,300 \n\n2030 \n 25,300 \n\nTotal \n$1,259,786 \n\n \n\n F-22 \n\n \n\n \n\n**Note\n10 – Leases**\n\n \n\nThe\nCompany has various operating lease agreements in place for its office and joint ventures. Per FASB’s ASU 2016-02, Leases Topic\n842 (“ASU 2016-02”), effective January 1, 2019, the Company is required to report a right-of-use (“ROU”) asset\nand corresponding liability to report the present value of the total lease payments, with appropriate interest calculation. The Company\nutilizes the incremental borrowing rate for each lease by developing a synthetic credit rating for the Company as of the commencement\ndate of each lease, adjusting the synthetic credit rating to reflect the collateralized nature of the incremental borrowing rate, the\nCompany’s borrowing rate under other debt facilities, and the market spread between secured and unsecured borrowings, and based\non the adjusted synthetic rating and the various terms of the leases, selected the incremental borrowing rate based on the commencement\ndate, duration of the lease, and a corresponding weight-adjusted corporate yield curve. Lease renewal options included in any lease are\nconsidered in the lease term if it is reasonably certain the Company will exercise the option to renew. The Company’s operating\nlease agreements do not contain any material restrictive covenants.\n\n \n\nAs\nof December 31, 2025, the Company’s lease components included in the consolidated balance sheet were as follows:\n\n \n\nSchedule of Lease Components\n\nLease component \nBalance sheet classification \nDecember 31, 2025 \n \n**December 31, 2024**\n \n\nAssets \n  \n   \n \n \n \n \n\nROU assets - operating lease \nOther assets \n$1,286,217 \n \n$\n1,493,620\n \n\nTotal ROU assets \n  \n$1,286,217 \n \n$\n1,493,620\n \n\n  \n  \n   \n \n \n \n \n\nLiabilities \n  \n   \n \n \n \n \n\nCurrent operating lease liability \nCurrent liabilities \n$208,987 \n \n$\n181,132\n \n\nLong-term operating lease liability \nOther liabilities \n 1,171,075 \n \n \n1,395,612\n \n\nTotal lease liabilities \n  \n$1,380,062 \n \n$\n1,576,744\n \n\n \n\nFuture\nminimum lease payments as of December 31, 2025 were as follows:\n\n \n\nSchedule of Future Minimum Lease Payments\n\n  \n   \n\n2026 \n 393,231 \n\n2027 \n 361,187 \n\n2028 \n 247,600 \n\n2029 \n 255,028 \n\n2030 and beyond \n 979,351 \n\nTotal future minimum lease payments \n$2,236,397 \n\nLess: Interest \n (856,335)\n\nTotal operating lease liabilities \n$1,380,062 \n\n \n\nFor\nthe years ended December 31, 2025 and 2024, the weighted average remaining lease term for operating leases was 78\nmonths and 85\nmonths, respectively. For the years ended December 31, 2025 and 2024, the weighted average discount rate for operating leases was 14.6%\nand 14.2%,\nrespectively. The Company paid approximately $0.4\nmillion in cash for operating lease amounts included in the measurement of lease liabilities for the year ended December 31, 2025\nand approximately $0.4\nmillion for the year ended December 31, 2024. The Company did not have any finance leases as of December 31, 2025 and\n2024.\n\n \n\nFor\nthe year ended December 31, 2024, the Company recognized a gain on lease termination of $94,551 related to the termination of the lease\nassociated with a former project in Tampa, FL.\n\n \n\n F-23 \n\n \n\n \n\n**Note\n11 – Notes Payable**\n\n \n\nNotes\npayables consisted of the following:\n\nSchedule of Notes Payable \n\n  \nDecember 31, 2025  \n**December\n31, 2024** \n\n  \n   \n  \n\nRelated party demand notes with a 10% financing fee. 10% annual interest from issuance. As of December 31, 2025 and December 31, 2024, all these notes are callable. \n$220,000  \n$880,000 \n\nRelated party convertible notes with a 10% financing fee. 10% annual interest from issuance. As of December 31, 2025 and December 31, 2024, all these notes are callable. \n 660,000  \n - \n\nConvertible notes payable. 10% annual interest. Conversion price of $16.00 \n 50,000  \n 235,000 \n\nConvertible note payable. 12% annual interest. Conversion price of $288.00 \n -  \n 85,000 \n\nCash advance agreement \n -  \n 258,202 \n\nNote payable. 35% - 100% cumulative interest. Matures on June 29, 2028 \n 1,089,389  \n 1,280,986 \n\nConvertible debenture payable. 7% annual interest. \n -  \n 4,434,146 \n\nNote payable. 7% annual interest \n -  \n 253,678 \n\nOther debt \n -  \n 181,100 \n\nNotes payable, gross \n -  \n 181,100 \n\nLess debt discount and financing costs \n - \n (141,328)\n\nTotal, net of discount \n 2,019,389  \n 7,466,784 \n\nLess current portion \n 1,274,664  \n 6,338,071 \n\nLong-term portion of notes payable \n$744,725  \n$1,128,713 \n\n \n\nRelated\nParty Demand Notes\n\n \n\n*JAG Note*\n\n \n\nIn\nthe fourth quarter of 2022, the Company received $500,000 through the issuance of five demand notes (the “JAG Notes”) from\na related party, JAG Multi Investments LLC (“JAG”). The Company’s Chief Business Officer is a beneficiary of JAG but\ndoes not have any control over JAG’s investment decisions with respect to the Company. The JAG Notes accrue 10% annual interest\nfrom their respective dates of issuance. At maturity, the Company agreed to pay outstanding principal, a 10% financing fee and accrued\ninterest. On July 10, 2023, the Company received an additional $100,000 from JAG through the issuance of an additional demand note.\n\n \n\nOn January 21, 2025, the Company received\na demand notice from JAG.\n\n \n\nOn\nAugust 13, 2025, the Company and JAG entered into a letter agreement (the “JAG August Letter”) pursuant to which (i) the\nmaturity date of the JAG Notes is extended until September 30, 2025, (ii) if the Company pays $100,000 to JAG before September 30, 2025,\nthe maturity of the JAG Notes will be extended automatically to December 31, 2025, (iii) if the Company pays an additional $175,000 to\nJAG before the end of each subsequent quarter, the maturity of the JAG Notes will be extended automatically by an additional calendar\nquarter, until the JAG Notes have been repaid in full, (iv) if the Company raises more than $3,000,000 after the date of the letter agreement,\nthe Company shall pay ten percent (10%) of any proceeds in excess of $3,000,000 to repay the JAG Notes, (v) the JAG Notes may be converted\nby the holder into shares of the Company’s common stock at a conversion price of $80.00 per share, and (iv) the Company agreed to\nissue to JAG a warrant (the “JAG Warrant”) to purchase up to 3,750 shares of the Company’s common stock at an exercise\nprice of $80.00 per share, exercisable for five years from the date of issuance.\n\n \n\nAs\nthe JAG August Letter added a conversion feature to the JAG Notes the modification was accounted for as an extinguishment. The Company\nrecognized a loss of $235,712 based on the fair value of the warrants issued with the modification.\n\n \n\nOn\nNovember 13, 2025, the Company and JAG entered into a letter agreement (the “JAG Nov Letter”) pursuant to which (i) the\nmaturity date of the JAG Notes was extended until December 31, 2025, if the Company pays $100,000\nto JAG by November 30, 2025, (ii) the exercise price on the JAG Warrant was reduced from $80.00\nper share to $30.00 per\nshare, and (iii) the remaining terms of the JAG August Letter remained unchanged. The Company reviewed the revised terms of the JAG Nov Letter both qualitatively and quantitatively and determined\nit was a modification.\n\n \n\nFor the years ended December 31, 2025 and 2024, the\nCompany incurred $60,833 and $61,000 in interest related to the JAG Notes, respectively. In December 2025, the Company repaid $63,000\nof interest due on the JAG Notes. As of December 31, 2025 the balance of the JAG Notes was $660,000 plus outstanding accrued interest\nof $120,437.\n\n \n\n*Executive Notes*\n\n \n\nIn\nthe fourth quarter of 2022, the Company received $200,000\nthrough the issuance of demand promissory notes of which (1) $100,000\nwas received from its Chief Executive Officer ($60,000\non November 29, 2022, $15,000\non December 2, 2022, and $25,000\non December 13, 2022) and (2) $100,000\nwas received from an entity controlled by its Chief Business Officer ($75,000\non November 29, 2022 and $25,000\non December 13, 2022). These notes accrue 10%\nannual interest accrues from the date of issuance. These notes are callable with 10 days prior written notice for the principal\namounts, a 10%\nfinancing fee, and accrued interest.\n\n \n\nFor the years ended December 31, 2025 and 2024, the\nCompany incurred $20,278 and $20,333 in interest related to these demand notes, respectively. As of December 31, 2025 the cumulative balance\nof these demand notes was $220,000 plus outstanding accrued interest of $62,460.\n\n \n\nStandard\nMerchant Cash Advance\n\n \n\nOn\nSeptember 25, 2024, the Company entered into a Standard Merchant Cash Advance Agreement (the “Sept 24 Cash Advance Agreement”)\nwith Cedar under which Cedar purchased $384,250 of the Company’s receivables for a gross purchase price of $265,000. The Company\nreceived net proceeds of $251,750. Until the purchase price was repaid, the Company agreed to pay Cedar $9,606 per week and, as of July\n3, 2025, the purchase price was fully repaid.\n\n \n\nThe\nfinancing fees were recorded as a debt discount. For the year ended December 31, 2025, the Company amortized $86,598 of the debt\ndiscount and, as of December 31, 2025, the debt discount was fully amortized. For the year ended December 31, 2024, the Company amortized $45,902 of the debt discount.\n\n \n\nRevenue\nLoan and Security Agreement\n\n \n\nOn\nSeptember 29, 2023, the Company, Steven Shum, as a Key Person, and the Company’s wholly-owned subsidiaries Bio X Cell, Inc, INVO\nCTR, Wood Violet Fertility LLC, FLOW and Orange Blossom Fertility LLC as guarantors (the “Guarantors”), entered into a Revenue\nLoan and Security Agreement (the “Loan Agreement”) with Decathlon Alpha V LP (the “Lender”) under which the Lender\nadvanced a gross amount of $1,500,000 to the Company (the “RSLA Loan”). The RSLA Loan has a maturity date of June 29, 2028,\nis payable in fixed monthly installments, as set forth in the Loan Agreement, and may be prepaid without penalty at any time. The installments\ninclude an interest factor that varies based on when the RSLA Loan is fully repaid and is based on a minimum amount that increases from\nthirty five percent (35%) of the RSLA Loan principal, if fully repaid in the first six months, to one hundred percent (100%) of the RSLA\nLoan principal, if fully repaid after 30 months from the RSLA Loan’s effective date.\n\n \n\nOn\nSeptember 24, 2024, the Company, the Lender, Steven Shum and the Guarantors entered into an amendment to the Loan Agreement, pursuant\nto which the Lender approved the Sept 24 Cash Advance Agreement and the Company agreed to increase the “Minimum Interest”\n(as defined in the Loan Agreement) by 0.15x effective as of December 1, 2024, if the Company did not receive equity investment of at\nleast $1,000,000 by November 30, 2024. The Company did not raise such amount by such date, and, as such the Minimum Interest rate due\non the RSLA Loan increased by 0.15x.\n\n \n\nOn\nAugust 13, 2025, the Company, the Lender, Steven Shum and the Guarantors entered into a third amendment to the Loan Agreement,\npursuant to which (i) the Lender consented to the change of the Company’s name to INVO Fertility, Inc., (ii) the Lender waived\nthe event of default that would result from the entry of judgment pursuant to the Term Sheet with Dr. Pritts and the Pritts Trust,\n(iii) the parties agreed to an adjusted repayment schedule whereby the monthly payment under the Loan Agreement increased by $20,000,\nand (iv) the Company agreed to reimburse the Lender for approximately $17,500\nin fees and expenses incurred in connection with the third amendment. The Company reviewed the revised terms of the third amendment both qualitatively and quantitatively and as there\nwas more than a 10% change in cash flows determined it should be accounted for an extinguishment. As such the $17,500 in lender fees were\nexpensed immediately as an extinguishment loss.\n\n \n\nThe\nfinancing fees for the RSLA Loan were recorded as a debt discount. For the year ending December 31, 2025, the Company amortized $6,382\nof the debt discount and as of December 31, 2025 had a remaining debt discount balance of $22,171. For the year ending December 31, 2025\nthe Company incurred $498,403 in interest related to the RSLA Loan.\n\n \n\n F-24 \n\n \n\n \n\nFuture\nReceipts Agreement\n\n \n\nOn\nFebruary 26, 2024, the Company finalized an Agreement for the Purchase and Sale of Future Receipts (the “Future Receipts Agreement”)\nwith a buyer (the “Buyer”) under which the Buyer purchased $344,925 of our future sales for a gross purchase price of $236,250.\nThe Company received net proceeds of $225,000. Until the purchase price was repaid, the Company agreed to pay the Buyer $13,797\nper week. As of December 31, 2024, the Future Receipts Agreement was fully repaid.\n\n \n\nThe\nfinancing fees were recorded as a debt discount. For the year ended December 31, 2024, the Company amortized $119,925 of\nthe debt discount and, as of December 31, 2024, was fully amortized.\n\n \n\nFirstFire\nConvertible Note\n\n \n\nOn\nApril 5, 2024, the Company entered into a purchase agreement with FirstFire Global Opportunities Fund, LLC (“FirstFire”),\npursuant to which FirstFire agreed to purchase, and the Company agreed to issue and sell, (i) a promissory note with an aggregate principal\namount of $275,000, which is convertible into shares of the Company’s common stock, according to the terms, conditions, and limitations\noutlined in the note (the “FirstFire Note”), (ii) a warrant to purchase 159 shares of the Company’s common stock\nat an exercise price of $1728.00 per share, (iii) a warrant to purchase 348 shares of common stock at an exercise price of $14.40 issued\nto FirstFire, and (iv) 35 shares of common stock, for a purchase price of $250,000. Carter, Terry, & Company, Inc. acted as placement\nagent for the transaction, for which it received a cash fee of $25,000 and 41 restricted shares of the Company’s common stock.\n\n \n\nThe\nFirstFire Note carries an interest rate of twelve percent (12%) per annum, with the first twelve months of interest, amounting to $33,000,\nguaranteed, and fully earned as of the issue date. The maturity date of the FirstFire Note was twelve (12) months from the issue date,\nat which point the Principal Amount, together with any accrued and unpaid interest and other fees, shall be due and payable to the holder\nof the FirstFire Note.\n\n \n\nThe\nfinancing fees for the FirstFire Note were recorded as a debt discount. For the year ending December 31, 2025, the Company amortized\n$43,677\nof the debt discount and, as of December 31, 2025, it was fully amortized. For the year ending December 31, 2025, the Company\nincurred $11,800\nin interest related to the FirstFire Note. For the year ending December 31, 2024, the Company amortized $124,135 of the debt discount and incurred $33,000 in\ninterest related to the FirstFire Note.\n\n \n\nOn\nOctober 14, 2024, $190,000 of the note was converted to 660 shares of common stock. The remaining balance and $33,000 of outstanding\ninterest was paid on January 16, 2025.\n\n \n\n7.0%\nSenior Secured Convertible Debenture\n\n \n\nIn\nconnection with the NTI Acquisition, on October 11, 2024, the Company issued the Convertible Debenture in the principal amount of $3,934,146\nto FNL in an exchange of an outstanding note of NTI held by FNL. The Convertible Debenture carried an interest rate of seven percent\n(7%)\nper annum, payable on the first business day of each calendar month commencing November 1, 2024. Monthly principal payments of $437,127 were due to start on March 14, 2025.\nUpon shareholder approval FNL had the right to convert principal and interest into shares of the Company’s stock as a conversion\nprice of $1400.40 per share. The maturity date of the Convertible Debenture\nwas December\n11, 2025 (the “Maturity Date”), at which point the outstanding principal amount, together with any accrued and\nunpaid interest and other fees, would be due and payable to the holder of the Convertible Debenture.\n\n \n\nIn\nNovember 2024, the Company received an additional $500,000\nfrom FNL under the Convertible Debenture. In January 2025,\nthe Company repaid $500,000\nout of the net proceeds from the Jan 2025 Offering (see *Note\n13 – Stockholder’s Equity* for additional information on the Jan 2025 Offering).\n\n \n\nAmended\nand Restated Debenture (May 2025)\n\n \n\nOn\nMay 23, 2025, the Company agreed to exchange the Convertible Debenture for an amended and restated debenture (the “Amended and\nRestated Debenture”). The Amended and Restated Debenture carried an interest rate of seven percent (7%) per annum, payable on the\nfifteenth (15th) day of each calendar month commencing August 15, 2025, and the principal sum was $4,803,175. The maturity date of the\nAmended and Restated Debenture was February 11, 2026.\n\n \n\nFollowing\nthe Company’s stockholders approval of the issuance of any Company common stock upon conversion of the Amended and Restated Debenture\non June 25, 2025, the holder of the Amended and Restated Debenture became entitled to convert any portion of the outstanding and unpaid\nprincipal amount and accrued interest into shares of Company common stock at an initial conversion price of $193.20\nper share, subject to adjustment as described\ntherein.\n\n \n\nCommencing\nAugust 15, 2025, and on the 15th of each month thereafter until the maturity date, the Company would have been required to redeem\n$686,168, plus accrued but unpaid interest and other fees, of the principal amount of the Amended and Restated Debenture.\n\n \n\nThe\nCompany reviewed the revised terms of the Amended and Restated Debenture both qualitatively and quantitatively and as there was more\nthan a 10% change in cash flows determined it should be accounted for an extinguishment. The Company recognized an extinguishment loss\nof $692,270.\n\n \n\nAt the time of the exchange,\nthe Company lacked sufficient authorized but unissued shares of common stock to satisfy potential conversion of the Amended and Restated\nDebenture in full. Because the conversion feature could not be classified in equity due to the insufficient authorized share availability,\nit was required to be bifurcated from the host debt instrument and recognized as a derivative liability measured at fair value through\nearnings pursuant to ASC 815-15, *Embedded Derivatives*. Accordingly, the fair value of the conversion feature of $2,129,660 was\nbifurcated from the host debt instrument on May 23, 2025, and recorded as a derivative liability, with a corresponding debt discount recorded\nagainst the carrying value of the Amended and Restated Debenture. The debt discount was amortized to interest expense over the term of\nthe Amended and Restated Debenture using the effective interest method. The Company amortized $396,233 of the debt discount as interest\nexpense during the year ended December 31, 2025 and remaining amount was pro rata recognized as the debenture was converted.\n\n \n\nThe conversion feature was\nvalued using a binomial lattice model and was revalued at each period end. The fair value as of June 30, 2025 was $222,535, primarily\ndue to a decrease in the Company’s stock price, as such the Company recognized a gain on fair value of $1,145,732.\n\n \n\nThe authorized share deficiency\nwas remedied on July 23, 2025, when shareholders approved an increase in the Company’s authorized common stock. At that date, the conditions\nthat had previously prevented equity classification were resolved and the derivative liability was reclassified to additional paid-in\ncapital at its then-current fair value of $85,121, in accordance with ASC 815-40. No gain or loss was recognized upon reclassification.\n\n \n\nOn\nJune 30, 2025, the Company entered into an inducement letter agreement (the “AIR Exercise and Reload Agreement”) with FNL,\npursuant to which FNL agreed to exercise its Additional Investment Right to acquire 1,800 shares of C-2 Preferred, with an aggregate\nstated value of $1,800,000, in exchange for $1,800,000 in principal amount, plus accrued and unpaid interest thereon of the Amended and\nRestated Debenture.\n\n \n\n F-25 \n\n \n\n \n\nAmended\nand Restated Debenture (August 2025)\n\n \n\nOn\nAugust 21, 2025, the Company and FNL entered into an agreement (the “Aug 25 Amendment and Exchange Agreement”) pursuant\nto which the parties agreed to exchange the Amended and Restated Debenture in exchange for a Second Amended and Restated Debenture\nto (i) decrease the outstanding principal amount of the Second Amended and Restated Debenture to $1,751,344,\n(ii) remove provisions related to Monthly Redemption Amounts, as defined in the Second Amended and Restated Debenture, and (iii)\nmake other changes mutually agreed to between the parties.\n\n \n\nIn\nconsideration of the foregoing amendments, the Company and FNL agreed to reduce the outstanding principal amount of the Second Amended\nand Restated Debenture by $1,300,000 in exchange for receipt of shares of the Company’s Series C-2 Preferred pursuant to an additional\ninvestment right previously granted to FNL with aggregated stated value of $1,300,000. In consideration thereof, the Company agreed to\nissue 325 shares of additional C-2 Preferred to FNL.\n\n \n\nThe\nCompany reviewed the revised terms of the Aug 25 Amendment and Exchange Agreement both qualitatively and quantitatively and as there\nwas more than a 10% change in cash flows determined it should be accounted for an extinguishment. The Company recognized an extinguishment\nloss of $1,248,747.\n\n \n\nOn\nSeptember 29, 2025, the Company and FNL entered into an exchange agreement pursuant to which FNL agreed to exchange the Second Amended\nand Restated Debenture held by FNL for receipt of shares of Series C-2 Preferred with an aggregated stated value of $1,334,000. In consideration\nthereof, the Company agreed to issue 467 additional shares of Series C-2 Preferred to FNL. As a result, the Second Amended and Restated\nDebenture has been paid in full.\n\n \n\nFor the year ended December 31, 2025 and 2024, the Company incurred $106,922 in interest related to the Original Debenture, $59,104 in interest related to the First Amended and Restated Debenture, and $10,734 in interest related to the Second Amended and Restate Debenture. For the\nyear ended December 31, 2024, the Company incurred $69,838 in interest related to the Original Debenture.\n\n \n\nLong-term\ndebt maturities at December 31, 2025:\n\n Schedule\nof Long-term\nDebt Maturities\n\n2026 \n$305,931 \n\n2026 \n$305,931 \n\n2027 \n 586,557 \n\n2028 \n - \n\n2029 \n - \n\n2030 and beyond \n - \n\nLong term notes payable \n$892,488 \n\n \n\n**Note\n12 – Related Party Transactions**\n\n \n\n*JAG Note Payable and Warrant*\n\n \n\nIn\nthe fourth quarter of 2022, the Company issued a series of demand promissory notes in the aggregate principal amount of $550,000 to a\nrelated party, JAG, a company in which the Company’s Chief Business Officer is a beneficiary but does not have any control over\nits investment decisions with respect to the Company, for an aggregate purchase price of $500,000. The JAG Notes accrue 10% annual interest\nfrom their respective dates of issuance. At maturity, the Company agreed to pay outstanding principal, a 10% financing fee and accrued\ninterest. On July 10, 2023, the Company issued an additional demand promissory note in the principal amount of $110,000 to JAG for a\npurchase price of $100,000.\n\n \n\nIn\nconsideration for subscribing to the JAG Note for $100,000 dated December 29, 2022, and for agreeing to extend the date on which the\nother JAG Notes are callable to March 31, 2023, the Company issued JAG a warrant to purchase 61 shares of common stock. The warrant\nmay be exercised for a period of five (5) years from issuance at a price of $14,400.00 per share. On July 10, 2023, JAG agreed to extend\nthe date on which the JAG Notes are callable to September 30, 2023. On January 21, 2025, the Company received a demand notice from JAG.\n\n \n\nOn\nAugust 13, 2025, the Company and JAG entered into the JAG August Letter pursuant to which (i) the maturity date of the JAG Notes is\nextended until September 30, 2025, (ii) if the Company pays $100,000 to JAG before September 30, 2025, the maturity of the JAG Notes\nwill be extended automatically to December 31, 2025, (iii) if the Company pays an additional $175,000 to JAG before the end of each\nsubsequent quarter, the maturity of the JAG Notes will be extended automatically by an additional calendar quarter, until the JAG\nNotes have been repaid in full, (iv) if the Company raises more than $3,000,000 after the date of the letter agreement, the Company\nshall pay ten percent (10%) of any proceeds in excess of $3,000,000 to repay the JAG Notes, (v) the JAG Notes may be converted by\nthe holder into shares of the Company’s common stock at a conversion price of $80.00 per share, and (iv) the Company agreed to\nissue to JAG a warrant to purchase up to 3,750 shares of the Company’s common stock at an exercise price of $80.00 per share,\nexercisable for five years from the date of issuance (the “JAG Warrant”).\n\n \n\nOn November 13, 2025, the Company and JAG entered into the JAG Nov Letter\npursuant to which (i) the maturity date of the JAG Notes was extended until December 31, 2025, if the Company pays $100,000 to JAG\nby November 30, 2025, (ii) the exercise price on the JAG Warrant was reduced from $80.00 per share to $30.00 per share, and (iii) the\nremaining terms of the JAG August Letter remained unchanged.\n\n \n\nFor the years ended December 31, 2025 and 2024, the\nCompany incurred $60,833 and $61,000 in interest related to the JAG Notes, respectively. In December 2025, the Company repaid $63,000\nof interest due on the JAG Notes. As of December 31, 2025 the balance of the JAG Notes was $660,000 plus outstanding accrued interest\nof $120,437.\n\n \n\n*Executive Notes Payable*\n\n \n\nIn\nthe fourth quarter of 2022, the Company issued demand promissory notes in the aggregate principal amount of $220,000 for an aggregate\npurchase price of $200,000, of which (1) $100,000 was received from its Chief Executive Officer ($60,000 on November 29, 2022, $15,000\non December 2, 2022, and $25,000 on December 13, 2022) and (2) $100,000 was received from an entity controlled by its Chief Business Officer ($75,000 on November 29, 2022 and $25,000 on December 13, 2022). These notes accrue 10% annual interest accrues from the date\nof issuance. These notes are callable with 10 days prior written notice. At maturity, the Company agreed to pay outstanding principal,\na 10% financing fee, and accrued interest.\n\n \n\nFor the years ended December 31, 2025 and 2024, the Company incurred $20,278\nand $20,333 in interest related to these demand notes, respectively. As of December 31, 2025 the cumulative balance of these demand notes\nwas $220,000 plus outstanding accrued interest of $62,460.\n\n \n\n F-26 \n\n \n\n \n\n**Note\n13 – Stockholders’ Equity**\n\n \n\n*Reverse\nStock Split (March 2025)*\n\n \n\nOn\nFebruary 24, 2025, the Company’s board of directors approved a reverse stock split of the Company’s common stock at a\nratio of 1-for-12 and also approved a proportionate decrease in its authorized common stock to 4,166,667 shares\nfrom 50,000,000.\nThe reverse\nstock split took effect on March 18, 2025. All share information included in this Form 10-K has been reflected as if the reverse stock\nsplit occurred as of the earliest period presented.\n\n \n\n*Reverse\nStock Split (July 2025)*\n\n \n\nOn\nJune 30, 2025, the Company’s board of directors approved a reverse stock split of the Company’s common stock at a ratio\nof 1-for-3 and also approved a proportionate decrease in its authorized common stock to 1,388,888 shares\nfrom 4,166,667.\nThe reverse\nstock split took effect on July 21, 2025. All share information included in this Form 10-K has been reflected as if the reverse stock\nsplit occurred as of the earliest period presented.\n\n \n\n*Increase\nin Authorized Common Stock*\n\n \n\nOn\nJuly 23, 2025, the stockholders of the Company approved an amendment to the Company’s Amended and Restated Articles of Incorporation\nto increase its number of authorized shares of common stock from 1,388,888 to 50,000,000. On July 23, 2025, the Company filed a Certificate\nof Amendment to its Articles of Incorporation to increase its authorized shares of common stock from 1,388,888 shares to 50,000,000 shares.\n\n \n\n*Reverse Stock Split (Nov 2025)*\n\n \n\nOn November 26, 2025, the Company’s board of\ndirectors approved a reverse stock split of the Company’s common stock at a ratio of 1-for-8 and also approved a proportionate decrease\nin its authorized common stock to 6,250,000 shares from 50,000,000. The reverse stock split took effect on November 28, 2025. All share\ninformation included in this Form 10-K has been reflected as if the reverse stock split occurred as of the earliest period presented.\n\n \n\n*Series\nC-1 Preferred Stock*\n\n \n\nOn\nOctober 14, 2024, the Company filed with the Nevada Secretary of State a Certificate of Designation (the “Series C-1 Certificate\nof Designation”) of Series C-1 Convertible Preferred Stock (the “Series C-1 Preferred”) which sets forth the rights,\npreferences, and privileges of the Series C-1 Preferred. 30,375 shares of Series C-1 Preferred with a stated value of $1,000.00 per share\nwere authorized under the Series C-1 Certificate of Designation.\n\n \n\nEach\nshare of Series C-1 Preferred had a stated value of $1,000.00, which was convertible into shares of the Company’s common stock\nat a conversion price equal to $1,481.945 per share, subject to adjustment. The Series C-1 Preferred could not be converted into shares\nof the Company’s common stock unless and until the Company’s stockholders approved the issuance of common stock upon conversion\nof the Series C-1 Preferred. Each share of Series C-1 Preferred would automatically convert into the Company’s common stock if\nthe Company’s stockholders approved the issuance, except that the Company could not effect such conversion if, after giving effect\nto the conversion or issuance, the holder, together with its affiliates, would beneficially own in excess of 19.99% of the Company’s\noutstanding common stock.\n\n \n\n F-27 \n\n \n\n \n\nCommencing\non the ninety-first (91st) day after the first issuance of any Series C-1 Preferred, the holders of Series C-1 Preferred became entitled\nto receive dividends on the stated value at the rate of two percent (2%) per annum, payable in shares of the Company’s common stock\nat the conversion price. Such dividends were to continue to accrue until paid. Such dividends would not be paid in shares of the Company’s\ncommon stock unless and until the Company’s stockholders approved the issuance of common stock upon conversion of the Series C-1\nConvertible Preferred Stock. The holders of Series C-1 Preferred were also entitled to receive a pro-rata portion, on an as-if convertible\nbasis, of any dividends payable on common stock.\n\n \n\nThe\nSeries C-1 Preferred ranked senior to the Company’s common stock and junior to the Series C-2 Preferred (as defined below). Subject\nto the rights of the holders of any senior securities, in the event of any voluntary or involuntary liquidation, dissolution, or winding\nup, or sale of the Company, each holder of Series C-1 Preferred was entitled to receive its pro rata portion of an aggregate payment\nequal to the amount as would be paid on the Company’s common stock issuable upon conversion of the Series C-1 Preferred, determined\non an as-converted basis, without regard to any beneficial ownership limitation.\n\n \n\nOther\nthan those rights provided by law, the Series C-1 Preferred had no voting rights. Prior to the filing of the certificate of amendment\nto the Series C-1 Certificate of Designation (described below), the Series C-1 Preferred were not redeemable.\n\n \n\nOn January 14, 2025, the Company consummated the Jan 2025 Offering (as defined below). Upon completion of this offering,\nthe Company no longer had sufficient authorized but unissued common stock available to cover all of its outstanding Series C-1 Preferred.\nUnder the Company’s sequencing policy, authorized but unissued common stock is allocated first to currently exercisable equity instruments\nand then to instruments requiring shareholder approval. Because the Series C-1 Preferred required shareholder approval, it did not have\nsufficient authorized but unissued common stock available and therefore was classified as mezzanine (temporary) equity as of January 14,\n2025.\n\n \n\nOn\nMay 28, 2025, the Company filed with the Nevada Secretary of State a certificate of amendment to the Series C-1 Certificate of Designation\npursuant to which, the Company was entitled to redeem the Series C-1 Preferred, at the Company’s option, at any time or from time\nto time upon not less than 2 calendar days written notice to the holders prior to the date fixed for redemption thereof, at a redemption\nprice of 113.8558 shares of Class A Common Stock of NTI for each share of Series C-1 Preferred being redeemed.\n\n \n\nOn\nMay 28, 2025, the Company gave notice to the holders of the Series C-1 Preferred that the Company elected to redeem, and would redeem,\non May 31, 2025, all of the issued and outstanding shares of its Series C-1 Preferred (including any accrued but unpaid dividends) at\na redemption price of 113.8558 shares of Class A Common Stock of NTI for each share of C-1 Preferred being redeemed. The redemption\nbecame effective on the following business day, June 2, 2025.\n\n \n\n*Series\nC-2 Preferred Stock*\n\n \n\nOn\nOctober 14, 2024, the Company filed with the Nevada Secretary of State a Certificate of Designation (the “Series C-2 Certificate\nof Designation”) of Series C-2 Convertible Preferred Stock (the “Series C-2 Preferred”) which sets forth the rights,\npreferences, and privileges of the Series C-2 Preferred. 8,576 shares of Series C-2 Preferred with a stated value of $1,000.00 per share\nwere authorized under the Series C-2 Certificate of Designation.\n\n \n\nEach\nshare of Series C-2 Preferred has a stated value of $1,000.00, which, along with any additional amounts accrued thereon pursuant to the\nterms of the Series C-2 Certificate of Designation (collectively, the “Conversion Amount”) is convertible into shares of\nthe Company’s common stock at a an initial conversion price equal to $992.60 per share, subject to adjustment as set forth in\nthe C-2 Certificate of Designation. Following the Company’s stockholders approval of the issuance of common stock upon conversion\nof the Series C-2 Convertible Preferred Stock, each share of Series C-2 Preferred became convertible into the Company’s common\nstock at the option of the holder of such Series C-2 Preferred shares, except that the Company may not effect such conversion if, after\ngiving effect to the conversion or issuance, the holder, together with its affiliates, would beneficially own in excess of 9.99% of the\nCompany’s outstanding common stock.\n\n \n\nCommencing\non the ninety-first (91st) day after the first issuance of any Series C-2 Preferred, the holders of Series C-2 Preferred were entitled\nto receive dividends on the stated value at the rate of ten percent (10%) per annum, payable in shares of the Company’s common\nstock, with each payment of a dividend payable in shares of the Company’s common stock at a conversion price of eighty-five percent\n(85%) of the average of the volume weighted average price of the Company’s common stock for the five (5) trading days before the\napplicable dividend date. Such dividends continued to accrue until paid. Such dividends would not be paid in shares of the Company’s\ncommon stock unless and until the Company’s stockholders approve the issuance of common stock upon conversion of the Series C-2\nPreferred. The holders of Series C-2 Preferred were also be entitled to receive a pro-rata portion, on an as-if convertible basis, of\nany dividends payable on common stock.\n\n \n\nThe\nSeries C-2 Preferred ranks senior to the Company’s common stock and to the Series C-1 Preferred. Subject to the rights of the holders\nof any senior securities, in the event of any voluntary or involuntary liquidation, dissolution, or winding up, or sale of the Company,\neach holder of Series C-2 Preferred shall be entitled to receive its pro rata portion of an aggregate payment equal to the greater of\n(a) 125% of the Conversion Amount with respect to such shares, and (b) the amount as would be paid on the Company’s common stock\nissuable upon conversion of the Series C-2 Preferred, determined on an as-converted basis, without regard to any beneficial ownership\nlimitation.\n\n \n\nOther\nthan those rights provided by law, the Series C-2 Preferred has no voting rights. The Series C-2 Preferred was only redeemable upon a\n“Bankruptcy Triggering Event” or a “Change of Control” that may have occurred after May 9, 2025. Due to the Series\nC-2 Preferred being redeemable under these triggering events it was classified as mezzanine equity until it was amended on June 27, 2025,\nto remove the triggering event redemption (as noted below). As the Company did not have sufficient authorized but unissued common stock, the Series C-2 Preferred remained classified\nas mezzanine equity. Following shareholder ratification of the increase in authorized shares on July 23, 2025, the Series C-2 Preferred\nwas reclassified as permanent equity.\n\n \n\n F-28 \n\n \n\n \n\nOn\nMay 23, 2025, the Company filed with the Nevada Secretary of State the Certificate of Amendment to the Series C-2 Certificate of Designation\npursuant to which, among other things, holders of Series C-2 Preferred are entitled to receive dividends payable in Series C-2 Preferred,\nsubject to meeting certain conditions (the “Equity Conditions”).\n\n \n\nIn\naddition, upon issuance of AIR Preferred Shares (as defined below), the conversion price of the Series C-2 Preferred shall be deemed\nto be the lowest of (i) the conversion price as in effect on the date that the Holder exercises its Additional Investment Right (as defined\nabove), and (ii) the greater of (x) the Floor Price (as defined in the Certificate of Amendment to the Series C-2 Certificate of Designations)\nand (y) 85% of the arithmetic average of the three (3) lowest VWAPs during the ten (10) trading days prior to the date of the exercise\nof the Additional Investment Right.\n\n \n\nOn\nJune 27, 2025, the Company filed with the Nevada Secretary of State a Certificate of Amendment to Certificate of Designation of the Series\nC-2 Non-Voting Convertible Preferred Stock of the Company (the “2nd Certificate of Amendment”), which amends and\nrestates the rights, preferences, and privileges of the Series C-2 Preferred. Twenty thousand (20,000) shares of Series C-2 Preferred\nwith a stated value of $1,000.00 per share were authorized under the 2nd Certificate of Amendment.\n\n \n\nThe\n2nd Certificate of Amendment removed the “Bankruptcy Triggering Event” and “Change of Control” redemption\nrights.\n\n \n\n*Additional\nInvestment Right*\n\n \n\nEffective\nas of May 23, 2025, the Company and FNL entered into an agreement to amend that certain Securities Purchase Agreement, dated as of January\n3, 2024, between FNL and NTI (the “Securities Purchase Agreement”) to provide that, for so long as the Amended and Restated\nDebenture or shares of Series C-2 Preferred are outstanding, FNL shall have the right (the “Additional Investment Right”),\nexercisable at any time and from time to time, beginning on or after May 23, 2025, to purchase up to $10,000,000 of aggregate stated\nvalue of additional shares of Series C-2 Preferred (the “AIR Preferred Shares”), provided that any Additional Investment\nRight may only be exercised in a minimum amount of $500,000 of AIR Preferred Shares. The AIR Preferred Shares shall have the same terms\nas the Series C-2 Preferred then outstanding, provided that, upon issuance of AIR Preferred Shares, the conversion price in the AIR Preferred\nShares and Series C-2 Preferred shall be deemed to be the lowest of (i) the conversion price as in effect on the date that the Holder\nexercises such Additional Investment Right, and (ii) the greater of (x) the Floor Price (as defined in the Certificate of Amendment to\nthe Series C-2 Certificate of Designation) and (y) 85% of the arithmetic average of the three (3) lowest VWAPs during the ten (10) trading\ndays prior to the date FNL Purchaser exercises its Additional Investment Right. In consideration of the foregoing, the Company agreed\nto issue an additional 1,029 shares of Series C-2 Preferred to FNL.\n\n \n\nOn\nJune 26, 2025, FNL exercised its Additional Investment Right to acquire 500\nshares of Series C-2 Preferred, with an aggregate stated value of $500,000,\nfor $500,000\nin cash. No gain or loss was recognized on this transaction. As a result of the exercise, the conversion price on the Series C-2\nPreferred adjusted to $22.80.\nThe Series C-2 Preferred issued pursuant to this exercise were sold and issued, and the shares of common stock issuable thereunder\nwill be sold and issued, without registration under the Securities Act, in reliance on the exemptions provided by Section 4(a)(2) of\nthe Securities Act and/or Rule 506 promulgated thereunder as transactions not involving a public offering.\n\n \n\nOn\nJune 30, 2025, the Company and FNL entered to an Amendment to Securities Purchase Agreement (the “Amendment”) to allow FNL\nto elect, under the Additional Investment Right, to purchase the AIR Preferred Shares for cash (an “AIR Purchase”) or to\nexchange the AIR Preferred Shares for all or a portion of the Amended and Restated Debenture, with the aggregate stated value of such\nAIR Preferred Shares received in such exchange equal to the principal amount of the Amended and Restated Debenture so exchanged, plus\nany accrued and unpaid interest thereon (an “AIR Exchange”). Any Additional Investment Right may only be exercised in a minimum\namount of $200,000 of AIR Preferred Shares.\n\n \n\nOn\nJune 30, 2025, the Company entered into an inducement letter agreement (the “AIR Exercise and Reload Agreement”) with\nFNL, pursuant to which FNL agreed to exercise its Additional Investment Right to acquire 1,800\nshares of Series C-2 Preferred, with an aggregate stated value of $1,800,000,\nin exchange for $1,800,000\nin principal amount, plus accrued and unpaid interest thereon of the Amended and Restated Debenture. Pursuant to the AIR Exercise\nand Reload Agreement, FNL agreed to exercise its Additional Investment Right in consideration for the Company’s agreement to\nissue 630\nshares of new unregistered Series C-2 Preferred to FNL. The Company recognized a $692,270 extinguishment loss associated with this transaction. See Note 11 – Notes\nPayable for additional information on the extinguishment of the Amended and Restated Debenture.\n\n \n\nDuring\nthe third quarter of 2025 FNL exercised its Additional Investment Right to acquire 1,650\nshares of Series C-2 Preferred, with an aggregate stated value of $1,650,000,\nfor $1,650,000\nin cash. No gain or loss was recognized on these transactions. As a result of these exercises, the conversion price on the right to\nadditionally acquire Series C-2 Preferred adjusted to $28.564.\nThe Series C-2 Preferred issued pursuant to these exercises were sold and issued, and the shares of common stock issuable thereunder\nwill be sold and issued, without registration under the Securities Act, in reliance on the exemptions provided by Section 4(a)(2) of\nthe Securities Act and/or Rule 506 promulgated thereunder as transactions not involving a public offering.\n\n \n\nOn\nAugust 21, 2025, the Company and FNL agreed to reduce the outstanding principal amount of the Second Amended and Restated Debenture by\n$1,300,000 in exchange for receipt of shares of the Company’s Series C-2 Preferred pursuant to an additional investment right previously\ngranted to FNL with aggregated stated value of $1,300,000. In consideration thereof, the Company agreed to issue 325 shares of additional\nC-2 Preferred to FNL.\n\n \n\nOn\nSeptember 29, 2025, the Company and FNL entered into an exchange agreement pursuant to which FNL agreed to exchange the Second\nAmended and Restated Debenture held by FNL for receipt of shares of Series C-2 Preferred with an aggregated stated value of $1,334,000.\nIn consideration thereof, the Company agreed to issue 467\nadditional shares of Series C-2 Preferred to FNL. The Company recognized an $876,165 extinguishment loss associated with this transaction. See Note 11 – Notes\nPayable for additional information on the extinguishment of the Second Amended and Restated Debenture.\n\n \n\nDuring the fourth quarter of 2025 FNL exercised\nits Additional Investment Right to acquire 700\nshares of Series C-2 Preferred, with an aggregate stated value of $700,000,\nfor $700,000\nin cash. No gain or loss was recognized on these transactions. As a result of these exercises, the conversion price on the right to\nadditionally acquire Series C-2 Preferred adjusted to $25.14.\nThe Series C-2 Preferred issued pursuant to these exercises were sold and issued, and the shares of common stock issuable thereunder\nwill be sold and issued, without registration under the Securities Act, in reliance on the exemptions provided by Section 4(a)(2) of\nthe Securities Act and/or Rule 506 promulgated thereunder as transactions not involving a public offering.\n\n \n\nAs of December 31, 2025, the Company recognized $718,616 in dividends for\nthe Series C-2 Preferred, of which $594,616 was issued as additional Series C-2 Preferred and $124,000 was accrued.\n\n \n\n*Jan\n2025 Public Offering*\n\n \n\nOn\nJanuary 14, 2025, the Company, consummated a public offering (the “Jan 2025 Offering”) of 9,455 units, each consisting\nof either one share of common stock, or one pre-funded warrant to purchase one share of common stock (“Jan 2025 PFW”) in\nlieu thereof, and one warrant to purchase one share of common stock at an offering price of $1,008.00 per unit. The warrants are exercisable\nfrom and after the date of their issuance and expire on the five-year anniversary of such date, at an exercise price of $1,008.00 per share\nof common stock. Each January 2025 PFW was immediately exercisable at an exercise price of $0.144 per share and have been exercised\nin full as of the date hereof.\n\n \n\n F-29 \n\n \n\n \n\nAlso\nin connection with the Jan 2025 Offering, on January 13, 2025, the Company entered into a placement agency agreement with Maxim Group\nLLC (“Maxim”), pursuant to which (i)\nthe Maxim agreed to act as lead placement agent on a “best efforts” basis in connection with the Jan 2025 Offering, and (ii)\nthe Company agreed to pay the Maxim an aggregate fee equal to 6.5% of the gross proceeds raised in the Jan 2025 Offering (or 5.0% in\nthe case of certain investors) and warrants to purchase up to 519\nshares\nof common stock at an exercise price of $1,260.00\nper\nshare (the “Jan 2025 Placement Agent Warrants”).\nThe Jan 2025 Placement Agent Warrants are exercisable at any time after the six-month anniversary of the closing date, from time to time,\nin whole or in part, until five (5) years from the commencement of sales of the securities in the Jan 2025 Offering.\n\n \n\nThe\nCompany received net proceeds of $8,747,880 from the Jan 2025 Offering.\n\n \n\nIn\nconnection with the Jan 2025 Offering, the Company entered into a Preferred Stock Redemption Agreement with a holder of the Company’s\nSeries C-2 Convertible Preferred Stock pursuant to which the Company agreed to purchase and acquire from the holder 4,000 shares of C-2\nPreferred Stock for $4,000,000.\n\n \n\n*December\n2025 Private Placement*\n\n \n\nOn\nDecember 2, 2025, the Company, entered into a securities purchase agreement (the “Dec 2025 Securities Purchase Agreement”)\nwith an institutional investor (the “Purchaser”), pursuant to which the Company agreed to issue and sell securities of the\nCompany, in the aggregate amount of approximately $4,000,000, comprised of 47,000 shares of common stock, pre-funded common stock purchase\nwarrants to purchase 426,373 shares of common stock (the “Pre-Funded Warrants”), and common stock purchase warrants to\npurchase 946,746 shares of common stock (the “Common Warrants”), to the Purchaser in a private placement (the “Dec\n2025 Private Placement”). The Common Warrants are exercisable from and after the Stockholder Approval Date (as defined in the Common\nWarrants) and expire on the five-year anniversary of such date, at an exercise price of $8.45 per share of Common Stock, subject to adjustment\ntherein. Each Pre-Funded Warrant is immediately exercisable at an exercise price of $0.0005 per share and may be exercised at any time\nuntil all of the Pre-Funded Warrants are exercised in full.\n\n \n\nThe\ngross proceeds from the Dec 2025 Private Placement before deducting expenses were approximately $4,000,000, excluding placement agent\nfees and other offering expenses.\n\n \n\nAlso\nin connection with the Dec 2025 Private Placement, on December 2, 2025, the Company entered into a placement agency agreement (the “Dec\n2025 Placement Agency Agreement”) with Maxim, pursuant to which (i) Maxim agreed to act as exclusive placement agent on a “reasonable\nbest efforts” basis in connection with the Dec 2025 Private Placement, and (ii) the Company agreed to pay Maxim an aggregate fee\nequal to 8.0% of the gross proceeds raised in the Dec 2025 Private Placement and warrants to purchase up to 23,669 shares of common\nstock at an exercise price of $10.5625 per share (the “Dec 2025 Placement Agent Warrants”). The Dec 2025 Placement Agent Warrants\nare exercisable at any time on or after the Filing Date (as defined in the Common Warrant) (the “Initial Exercise Date”),\nfrom time to time, in whole or in part, until five (5) years from the Initial Exercise Date. Additionally, the Company reimbursed Maxim\nfor certain expenses and legal fees up to $50,000.\n\n \n\nYear\nEnded December 31, 2025\n\n \n\nIn\nJanuary 2025, the Company issued 1,814 shares of common stock pursuant to the Jan 2025 Offering. The securities issued were offered\npursuant to the Company’s registration statement on Form S-1, initially filed by the Company with the SEC under the Securities\nAct on December 17, 2024, and declared effective on January 13, 2025.\n\n \n\nIn\nJanuary 2025, the Company issued 73\nshares of common stock upon the cashless exercise of the FirstFire Warrants. The Company did not receive any cash proceeds from this issuance.\n\n \n\nDuring\nthe first nine months of 2025, the Company issued 7,888\nshares of common stock upon the exercise of the January 2025\nPFWs. These shares were issued pursuant to the Company’s registration statement on Form S-1, as amended (File No. 333-283872) initially\nfiled by the Company with the SEC on December 17, 2024, and declared effective on January 13, 2025.\n\n \n\nIn\nMay 2025, the Company issued 7,888 shares of common stock upon the exercise of the FNL warrants.\n\n \n\nIn\nMay 2025, the Company issued 319\nshares of common stock upon the cashless exercise of the NAYA Acquisition Pre-funded Warrants. These shares were issued pursuant to\nthe exemption from registration provided by Section 4(a)(2) of the Securities Act of 1933, as amended. The Company did not receive\nany cash proceeds from this issuance.\n\n \n\nIn\nJune 2025, the Company issued 2,193 shares of common stock upon conversion of $250,000 of the Amended and Restated Debenture.\n\n \n\nIn\nJuly 2025, the Company issued 3,375 shares of common stock upon conversion of $312,101 of the Amended and Restated Debenture.\n\n \n\nIn\nAugust and September 2025, the Company issued 68,750 shares of common stock upon conversion of $427,860 of the Second Amended and Restated\nDebenture.\n\n \n\nIn December 2025, the Company issued 47,000 shares of common stock pursuant to the Dec 2025 Securities Purchase Agreement.\n\n \n\nDuring\n2025, the Company issued 376,743 shares of common stock upon the conversion of shares of Series C-2 Preferred.\n\n \n\nDuring\n2025, the Company issued 630 shares of common stock to consultants in consideration of services rendered. The\nshares were issued under the Company’s 2019 Stock Incentive Plan (the “2019 Plan”).\n\n \n\nDuring\n2025, the Company issued 12,495 shares of common stock to consultants in consideration of services rendered. These\nshares were issued pursuant to the exemption from registration provided by Section 4(a)(2) of the Securities Act of 1933, as amended.\n\n \n\n**Note\n14 – Equity-Based Compensation**\n\n \n\nEquity\nIncentive Plans\n\n \n\nIn\nOctober 2019, the Company adopted the 2019 Plan. Under the 2019 Plan, the Company’s board of directors is authorized to grant stock\noptions to purchase common stock, restricted stock units, and restricted shares of common stock to its employees, directors, and consultants.\nA\nprovision in the 2019 Plan provides for an automatic annual increase equal to 6% of the total number of shares of common stock outstanding\non December 31 of the preceding calendar year. On\nJune 25, 2025, stockholders approved a third amendment and restatement of the Company’s 2019 Stock Incentive Plan to increase the\nnumber of shares of common stock available for issuance thereunder to a total amount of 50,000.\n\n \n\nOptions to Purchase Common Stock\n\n \n\nOptions\ngranted under the 2019 Plan generally have a life of 5\nto 10\nyears and exercise prices equal to or greater than the fair\nmarket value of the common stock as determined by the Company’s board of directors. Vesting typically occurs over a one to three-year\nperiod.\n\n \n\n F-30 \n\n \n\n \n\nThe\nfollowing table sets forth the activity of the options to purchase common stock under the 2019 Plan.\n\n Schedule of Stock Options Activity\n\n  \n\n**Number of**\n\n**Shares**\n  \n\n**Weighted**\n\n**Average**\n\n**Exercise**\n\n**Price**\n \n\n**Outstanding as of December 31, 2024** \n 93  \n$50,646.00 \n\nGranted \n 9,050  \n 44.80 \n\nExercised \n -  \n - \n\nExpired \n - \n - \n\nCanceled \n (20) \n 100,098.03 \n\n**Balance as of December 31, 2025** \n 9,123  \n 582.89 \n\n**Exercisable as of December 31, 2025** \n 2,358  \n$578.91 \n\n \n\nThe\nfair value of each option granted is estimated as of the grant date using the Black-Scholes option pricing model with the following assumptions:\n\n Schedule of Share-Based Payment Award, Stock Options, Valuation Assumptions\n\n  \nYears ended December 31, \n\n  \n2025  \n2024 \n\nExpected term (in years) \n 5.50  \n 5.50 \n\nExpected stock price volatility \n 150.67% \n 150%\n\nExpected dividend yield \n -% \n -%\n\nRisk-free interest rate range \n 3.80% \n 3.95%\n\n \n\nThe expected term of options granted under the 2019 Plan represents the midpoint between the vesting date and the end of the contractual\nterm as permitted under the “simplified method.” The Company elected the simplified method as it does not have enough historical\nexercise experience to provide a reasonable basis on which to estimate the expected term. Expected volatility is based upon the average\nhistorical volatility of the Company’s common stock over the period commensurate with the expected term of the related instrument.\nThe Company does not currently pay dividends on its common stock, nor does it expect to do so in the foreseeable future.\n\n Schedule of Share Based Payments Arrangements Options Exercised and Options Vested\n\n  \n\n**Total Intrinsic**\n\n**Value of Options**\n\n**Exercised**\n  \n\n**Total Fair**\n\n**Value of Options**\n\n**Vested**\n \n\nYear ended December 31, 2024 \n$-  \n$278,406 \n\nYear ended December 31, 2025 \n$-  \n$40,090 \n\n \n\nStock-based compensation expense related to options recognized during the year ending December 31, 2025 was $162,920 and the unrecognized\nstock-based compensation for options as of December 31, 2025 was $33,948. For all stock options granted through December\n31, 2025, the weighted average remaining service period is 1.01 years.\n\n \n\nOn August 25, 2025, the Company granted options to purchase 9,050 shares of the Company’s common stock, having an exercise price\nof $41.70 per share, exercisable over a 10-year term, to existing employees. The options vest quarterly over one year. The aggregate estimated\nvalue using the plain vanilla Black-Scholes Pricing Model, based on a volatility rate of 150.67% and a call option value of $0.9397, and\nan expected term of 5.5 years, was $377,244.\n\n \n\nCommon\nStock Issued for Services\n\n \n\nThe\nfair value of the Company’s common stock issued as compensation is determined to be the market price on the date of the grant.\n\n \n\nDuring\nthe year ended December 31, 2025, the Company issued 3,146 shares of common stock with a fair value of $76,695 to consultants under the\n2019 Plan. The shares of common stock vested immediately.\n\n \n\nDuring\n2025, the Company issued 12,495 shares of common stock with a fair value of $140,247 to consultants in consideration of services rendered.\nThese shares were issued pursuant to the exemption from\nregistration provided by Section 4(a)(2) of the Securities Act of 1933, as amended.\n\n \n\nThere\nwere no unvested shares of restricted stock or restricted stock units as of December 31, 2025.\n\n \n\n F-31 \n\n \n\n \n\n**Note\n15 – Unit Purchase Options and Warrants**\n\n \n\nThe\nfollowing table sets forth the activity of unit purchase options:\n\n Schedule of Unit Purchase Option Activity\n\n  \n\n**Number of**\n\n**Unit Purchase**\n\n**Options**\n  \n\n**Weighted**\n\n**Average**\n\n**Exercise**\n\n**Price**\n \n\n**Outstanding as of December 31, 2024** \n 9  \n$92,160 \n\nIssued \n -  \n - \n\nExercised \n -  \n - \n\nExpired \n (9) \n (92,160)\n\n**Balance as of December 31, 2025** \n -  \n$- \n\n \n\nThe\nfollowing table sets forth the activity of warrants:\n\n Schedule of Warrants Activity\n\n  \n\n**Number of**\n\n**Warrants**\n  \n\n**Weighted**\n\n**Average**\n\n**Exercise**\n\n**Price**\n\n \n\n**Outstanding as of December 31, 2024** \n 2,909  \n$3,302.35\n \n\nIssued \n 966,294  \n 12.32\n \n\nExercised \n (8,341) \n 222.48\n \n\nExpired \n (15) \n 141,312\n \n\n**Balance as of December 31, 2025** \n 960,847  \n$20.23\n \n\n \n\nThe following table sets forth the activity of pre-funded\nwarrants:\n\n \n\nSchedule of Pre-funded Warrants Activity\n\n  \n\n**Number of**\n\n**Pre-funded Warrants**\n  \n\n**Weighted**\n\n**Average**\n\n**Exercise**\n\n**Price**\n \n\nOutstanding as of December 31, 2024 \n 320  \n$0.15 \n\nIssued \n 434,015  \n 0.003 \n\nExercised \n (7,962) \n 0.144 \n\nExpired \n -  \n - \n\nBalance as of December 31, 2025 \n 426,373  \n$0.0005 \n\n \n\n*Jan\n2025 Offering Warrants*\n\n \n\nOn\nJanuary 14, 2025, the Company consummated the Jan 2025 Offering, consisting of 9,455 units\nat an offering price of $1,008.00 per\nunit. The warrants are exercisable from and after the date of their issuance and expire on the five-year anniversary of such date,\nat an exercise price of $1,008.00 per\nshare of common stock. Each January 2025 PFW was immediately exercisable at an exercise price of $0.144 per\nshare and have been exercised in full as of the date hereof.\n\n \n\nAlso\nin connection with the Jan 2025 Offering, on January 13, 2025, the Company entered into a placement agency agreement with the Placement\nAgent, pursuant to which (i) the Placement Agent agreed to act as lead placement agent on a “best efforts” basis in connection with the Jan 2025 Offering, and (ii) the Company agreed to pay the Placement Agent an aggregate fee equal to 6.5% of the gross proceeds raised in the Jan 2025 Offering (or 5.0% in the case of certain investors) and the Jan 2025 Placement Agent Warrants to purchase up to 519 shares of common stock at an exercise price of $1,260.00 per share.\n\n \n\n*Warrant\nInducement*\n\n \n\nOn\nApril 30, 2025, the Company entered into an inducement letter agreement (the “Inducement Letter Agreement”) with an\ninstitutional investor and existing holder (the “Holder”) of certain existing warrants (the “Existing\nWarrants”) to purchase up to 19,410 shares\nof the Company’s common stock. The Existing Warrants were originally issued on January 14, 2025, with an exercise price of\n$1,008.00 per\nshare.\n\n \n\nThe\nissuance of the shares of common stock upon exercise of the Existing Warrants was registered pursuant to a registration statement on\nForm S-1 (File No. 333-283872), which was declared effective by the SEC on January 13, 2025.\n\n \n\nPursuant\nto the Inducement Letter Agreement, the Holder agreed to exercise the Existing Warrants for cash at the exercise price of $193.20 per share\nin consideration for the Company’s agreement to issue new unregistered warrants (the “New Warrants”) to purchase up\nto an aggregate of 5,823 shares of common stock at an exercise price of $193.20 per share. Following the approval by the Company’s\nstockholders of the issuance of common stock upon the exercise of the New Warrants on June 25, 2025 (such date, the “Stockholder\nApproval Date”). The New Warrants have a term of five years from the Stockholder Approval Date.\n\n \n\nThe New Warrants include a Share\nCombination Event Adjustment provision, which provides that if the lowest volume-weighted average price (“VWAP”) during the\nfive consecutive trading days following a Share Combination Event (as defined in the New Warrants) is below the then-current exercise\nprice, the exercise price will be reduced and the number of warrants will be proportionately increased.\n\n \n\nDue to this provision, the New Warrants were classified as a derivative\ninstrument. The Company determined the fair value of the warrants at issuance to be $736,896 using a Black-Scholes option pricing\nmodel. The fair value was subsequently remeasured at each reporting period, and as of December 31, 2025, was $70,453. The Company recognized\na gain of $666,443 related to the change in fair value of the warrants for the year ended December 31, 2025.\n\n \n\nOn\nMay 1, 2025, the Company issued 11,646 shares\nupon the exercise of the Existing Warrants. On May 5, 2025, the Company issued an additional 2,750\nshares of common stock upon the exercise of additional Existing Warrants. The aggregate gross proceeds to the Company from the\nexercise of the Existing Warrants was approximately $927,102,\nbefore deducting offering expenses payable by the Company.\n\n \n\n*JAG\nWarrant*\n\n* *\n\nOn\nAugust 13, 2025, pursuant to the JAG August Letter, the Company issued JAG a warrant to purchase up to 3,750 shares of the Company’s\ncommon stock at an exercise price of $80.00 per share, exercisable for five years from the date of issuance. On November 13, 2025, the\nCompany reduced the exercise price on the JAG warrant from $80.00 per share to $30.00 per share pursuant to the JAG Nov Letter. See *Note\n11 – Notes Payable* for additional information on the JAG August Letter and JAG Nov Letter.\n\n* *\n\n*December\n2025 Private Placement Warrants*\n\n \n\nOn\nDecember 2, 2025, the Company issued pre-funded warrants to purchase 426,373\nshares of common stock at an exercise price of $0.0005\nper share and warrants to purchase 946,746\nshares of common stock at an exercise price of $8.45\nper share (the “Dec 25 Warrants”) pursuant to the Dec 2025 Securities Purchase Agreement.\n\n \n\nThe December 2025 Warrants included\na provision that prohibited the holder from exercising the warrants until the Company obtained stockholder approval to increase its authorized\nshares to a level sufficient to cover the underlying shares issuable upon exercise. Because the Company did not have sufficient authorized\nshares available at issuance, the December 2025 Warrants were classified as a liability.\n\n \n\nThe Company determined the fair\nvalue of the December 2025 Warrants at issuance to be $4,943,862 using a Black-Scholes option pricing model. Because the fair value of\nthe warrants exceeded the $4,000,000 in net proceeds received from the December 2025 private placement, the Company recognized a loss\non issuance of $943,862.\n\n \n\nThe fair value of the warrants was subsequently remeasured at each reporting period. As of December 31, 2025, the\nfair value was $1,810,625, and the Company recognized a gain of $3,133,236 related to the change in fair value of the warrants for the\nyear ended December 31, 2025.\n\n \n\nOn\nDecember 2, 2025, the Company issued warrants to purchase up to 23,669 shares of common stock at an exercise price of $10.5625 per share\npursuant to the Dec 2025 Placement Agency Agreement.\n\n \n\nSee\n*Note 13 – Stockholders’ Equity* for additional information on the Dec 2025 Private Placement.\n\n \n\n F-32 \n\n \n\n \n\n**Note\n16 – Segment Reporting**\n\n \n\nThe\nCompany’s Chief Operating Decision Maker (“CODM”) as defined under GAAP is the Company’s Chief Executive Officer.\n\n \n\nThe\nCompany defines its segments on the basis of the way in which internally reported financial information is regularly reviewed by the\nCODM to analyze financial performance, make decisions, and allocate resources. The Company has analyzed its operations per ASC 280 and\nidentified three operating segments: Clinic Services, INVOcell Device and Therapeutics. The three segments align with the Company’s\ndistinct product and service lines. For the year ending December 31, 2025 the Company did not have any sales or operations outside of\nthe United States.\n\n \n\nThe\nClinics Services operating segment consists of financial information for WFI and the Atlanta Clinic. The INVOcell Device operating segment\nconsists of financial information relating to the Company’s manufacture and sales of the INVOcell. The Therapeutics segment consists\nof financial information relating to the Company’s recently acquired subsidiary, NTI. The Company divested 80.1% of NTI during\nthe second quarter of 2025 and as such the Therapeutics segment consists of the results of NTI through June 2, 2025.\n\n \n\nThe\ntables below provide information about the Company’s segments and include a reconciliation to income before taxes:\n\n Schedule of Company’s Segments Including a Reconciliation to Income Before Taxes\n\nFiscal Year Ended December 31, 2025 \n\nFertility Clinic\n\nServices\n  \n\nINVOcell\n\nDevice\n  \nTherapeutics  \nTotal \n\nRevenue from external customers \n\n$\n6,721,057  \n$120,193  \n$-  \n$6,841,250 \n\nIntersegment revenues \n -  \n 27,000  \n -  \n 27,000 \n\nTotal revenue \n 6,721,057  \n 147,193  \n -  \n 6,868,250 \n\nReconciliation of revenue \n    \n    \n    \n   \n\nElimination of intersegment revenue \n    \n    \n    \n (27,000)\n\nTotal consolidated revenue \n    \n    \n    \n 6,841,250 \n\nLess: \n    \n    \n    \n   \n\nCost of revenue \n 4,359,547  \n 30,571  \n -  \n 4,390,118 \n\nSales and marketing \n 113,417  \n -  \n -  \n 113,417 \n\nGeneral and administrative \n 1,297,157  \n -  \n 1,414,023  \n 2,711,180 \n\nResearch and development \n -  \n -  \n 393,470  \n 393,470 \n\nImpairment loss \n 1,397,353  \n    \n 14,645,069  \n 16,042,422 \n\nDepreciation and amortization \n 585,897  \n 9,725  \n -  \n 595,622 \n\nSegment profit (loss) \n (1,032,314) \n 106,897  \n (16,452,562) \n (17,404,979)\n\nReconciliation of net loss \n    \n    \n    \n   \n\nOther income (loss) \n    \n    \n    \n (1,068,353)\n\nInterest expense \n    \n    \n    \n (910,644)\n\nLoss on disposition \n    \n    \n (1,534,517) \n (1,534,517)\n\nUnallocated amounts: \n    \n    \n    \n   \n\nOther corporate expenses \n    \n    \n    \n (6,369,612)\n\nLoss before taxes \n    \n    \n    \n (27,288,105)\n\n  \n    \n    \n    \n   \n\nAssets \n 6,811,259  \n 32,240  \n -  \n   \n\n \n\nFiscal Year Ended December 31, 2024 \n\n**Fertility Clinic**\n\n**Services**\n  \n\n**INVOcell**\n\n**Device**\n  \nTherapeutics  \nTotal \n\nRevenue from external customers \n$6,450,431  \n$81,569  \n -  \n$6,532,000 \n\nIntersegment revenues \n -  \n 29,000  \n -  \n 29,000 \n\nTotal revenue \n 6,450,431  \n 110,569  \n -  \n 6,561,000 \n\nReconciliation of revenue \n    \n    \n    \n   \n\nElimination of intersegment revenue \n    \n    \n    \n (29,000)\n\nTotal consolidated revenue \n    \n    \n    \n 6,532,000 \n\nLess: \n    \n    \n    \n   \n\nCost of revenue \n 3,705,510  \n 11,735  \n -  \n 3,717,245 \n\nSales and marketing \n 37,459  \n -  \n -  \n 37,459 \n\nGeneral and administrative \n 1,269,465  \n -  \n 1,130,470  \n 2,399,935 \n\nResearch and development \n -  \n -  \n 388,530  \n 388,530 \n\nDepreciation and amortization \n 849,700  \n 9,725  \n -  \n 859,425 \n\nSegment profit (loss) \n 588,297  \n 89,109  \n (1,519,000) \n (870,594)\n\nReconciliation of net loss \n    \n    \n    \n   \n\nOther income (loss) \n    \n    \n    \n 63,105 \n\nInterest expense \n    \n    \n    \n (1,035,143)\n\nUnallocated amounts: \n    \n    \n    \n   \n\nOther corporate expenses \n    \n    \n    \n (7,254,902)\n\nLoss before taxes \n    \n    \n    \n (9,118,751)\n\n  \n    \n    \n    \n   \n\nAssets \n 11,263,408  \n 41,965  \n 34,991,743  \n   \n\n \n\nNo\nsingle customer comprised 10% or more of the Company’s consolidated revenues from transactions in 2025 or 2024. In addition, the\nreceivables balance attributable to any single customer did not comprise 10% or more of the Company’s total trade accounts receivable\nas of December 31, 2025, or December 31, 2024.\n\n \n\n F-33 \n\n \n\n \n\n**Note\n17 – Income Taxes**\n\n \n\nThe\nprovision for income taxes consists of the following for the years ended December 31, 2025, and 2024:\n\n Schedule\nof Provision for Income Taxes\n\n  \n2025  \n2024 \n\n  \nDecember 31 \n\n  \n2025  \n2024 \n\nFederal income taxes: \n    \n   \n\nCurrent \n$445,808  \n$- \n\nDeferred \n (163,115) \n 131,747 \n\nTotal federal income taxes \n 282,693  \n 131,747 \n\n  \n    \n   \n\nState income taxes: \n    \n   \n\nCurrent \n 164,498 \n (22,913)\n\nDeferred \n -  \n 31,368 \n\nTotal state income taxes \n 164,498 \n 8,455 \n\n  \n    \n   \n\nDiscontinued operations: \n    \n   \n\nCurrent Federal \n (445,808) \n - \n\nCurrent State \n (151,754) \n - \n\nTotal discontinued operations \n (597,562) \n \n-\n \n\n  \n    \n   \n\nTotal income taxes \n$(150,371) \n$140,202 \n\n \n\nThe\neffective income tax rate is lower than the U.S. federal and state statutory rates primarily because of the valuation allowance and\npermanent items. In 2025, the permanent expense is related primarily to the impairment in the investment for NTI. A reconciliation\nof the 2025 and 2024 federal statutory rate as compared to the effective income tax rate is as follows:\n\n Schedule of Effective Income Tax Rate Reconciliation\n\n  \n    \n    \n    \n   \n\n  \nDecember 31 \n\n  \n2025  \n2024 \n\nPre-Tax Book Income at Statutory Rate \n$(5,251,208) \n 21.00% \n$(1,769,693) \n 21.00%\n\nState Tax Expense (Benefit), net \n 10,067  \n -0.04% \n 8,112  \n -0.10%\n\nPermanent Items \n 3,879,792  \n -15.52% \n 207  \n 0.00%\n\nTrue-Ups \n 116,157 \n -0.46% \n 95,878  \n -1.14%\n\nChange in Federal Valuation Allowance \n 1,094,821  \n -4.38% \n (970,066) \n 11.51%\n\nTrue up of Basis in Intangible \n -  \n -% \n 2,775,764  \n -32.94%\n\nTotal Expense (Benefit) \n$(150,371) \n 0.60% \n$140,202  \n -1.66%\n\n \n\nDeferred\nincome taxes reflect the net effect of temporary differences between the carrying amounts of assets and liabilities for financial reporting\npurposes and the amounts used for income tax. Significant components of the deferred tax assets and liabilities as of December 31, 2025\nand 2024, are as follows:\n\n Schedule of Deferred Tax Assets and Liabilities\n\n  \n2025  \n2024 \n\n  \nDecember 31 \n\n  \n2025  \n2024 \n\n  \n   \n  \n\nDeferred tax assets: \n    \n   \n\nDeferred Compensation \n$-  \n$105,500 \n\nStock Comp Expense - NQSO \n 215,317  \n 226,819 \n\nCharitable Contribution \n -  \n 2,628 \n\nGoodwill and Intangibles\n \n 347,114  \n - \n\nRight of Use Liability \n 571,460  \n 638,395 \n\nRestricted Stock Unit \n 76,805  \n 60,408 \n\nInvestment in HRCFG  \n 162,851  \n 127,365 \n\nInvestment in Bloom Partnership \n 109,388  \n 127,780 \n\nInvestment in NAYA Therapeutics \n 648,427  \n - \n\nIRC Sec. 174 Capitalization \n -  \n 103,191 \n\nFederal NOL Carryforwards \n 9,129,631  \n 10,023,354 \n\nState NOL DTA, net of Fed Ben \n 1,599,258  \n 1,597,307 \n\nDeferred Revenue \n 189,758  \n 158,334 \n\nGross deferred tax assets \n 12,401,582  \n 13,171,081 \n\n  \n    \n   \n\nDeferred tax liabilities: \n    \n   \n\nFixed Assets \n (35,751) \n (38,163)\n\nGoodwill and Intangibles \n -  \n (3,826,456)\n\nInvestment in NAYA Therapeutics \n \n(648,427\n) \n \n-\n \n\nUnrealized Gain/Loss on Fair Value \n \n(546,625\n) \n \n-\n \n\nRight of Use Asset \n (530,379) \n (600,308)\n\nGross deferred tax liability \n (1,761,182) \n (4,464,927)\n\nLess: valuation allowance \n (10,640,400) \n (8,869,269)\n\nNet deferred tax liability \n$-  \n$(163,115)\n\n \n\n F-34 \n\n \n\n \n\nThe\nCompany recorded a valuation allowance against its net deferred tax asset at December 31, 2025 and 2024 totaling $10.6\nmillion and $8.9\nmillion, respectively. For 2024, the Company was in a net position DTL of $0.2M, due primarily to indefinite lived intangibles acquired\nfrom NTI for In-Process-R&D. In 2025, as part of the NTI divestiture, the IIR&D was sold and, therefore, no DTL is recorded at\nDecember 31, 2025 and a full valuation allowance has been applied to the net DTA.\n\n \n\nAs\nof December 31, 2025, the Company has federal net operating loss carryforwards of approximately $43.5 million. Of that amount, $9.0 million\nwill expire, if not utilized, in various years beginning in 2029 and which are also subject to the limitations of IRC §382. The\nremaining carryforward amount of $34.5 million has no expiration period and can be applied to 80% of taxable income per year in future\nperiods.\n\n \n\nThe Company evaluates all tax positions under the\nguidance of ASC 740 (Income Taxes), which prescribes a recognition threshold and measurement criteria for uncertain tax positions (“UTP”).\nAs of December 31, 2025 and 2024, the Company has not identified any UTPs that meet the more likely than not threshold for recognition.\nAccordingly, the Company has not recorded a UTP and no liability for a UTP is reflected in the consolidated financial statements for any\nperiods presented. The Company also has not recorded any interest or penalties related to UTP, as none were required to be accrued during\nthe periods ended December 31, 2025 or 2024. The Company’s federal and state income tax returns for the years 2022 – 2025\nremain open for examination. There are no current taxing authority examinations underway, and we are not aware of any pending or future\nexaminations. Additionally, no cash tax payments have been made or have been required to be made to the U.S. Internal Revenue Service.\n\n \n\nOn July 4, 2025, the One Big Beautiful Bill Act (“OBBA”)\nwas enacted into law. The OBBA contains several key tax law changes, including extensions and modifications of the Tax Cuts and Jobs Act.\nIn accordance with ASC 740, Income Taxes, the Company is required to recognize the effect of the tax law changes in the period of enactment.\nThe Company will elect under the OBBBA to deduct IRC § 174 (Research & Experimental) costs in the period those occur starting\nin 2025. Additionally, the Company will elect under IRC § 174A to deduct 100% of the 2022 – 2024 IRC § 174 R&E capitalized\ncosts in 2025. Both elections are considered automatic changes in a tax accounting method under the OBBA. The Company anticipates making\nthe elections to change its tax method of accounting for both items as part of its 2025 tax return filings, due October 15, 2026, and\nhave included the expected impacts from these elections as part of the December 31, 2025 is in the process of assessing the impacts from\nthe tax law changes in the OBBA but does not expect a material impact to the Company’s Consolidated Financial Statements.\n\n \n\n**Note\n18 – Commitments and Contingencies**\n\n \n\n*Insurance*\n\n \n\nThe\nCompany’s insurance coverage is carried with third-party insurers and includes: (i) general liability insurance covering third-party\nexposures; (ii) statutory workers’ compensation insurance; (iv) excess liability insurance above the established primary limits\nfor general liability and automobile liability insurance; (v) property insurance, which covers the replacement value of real and personal\nproperty and includes business interruption; and (vi) insurance covering our directors and officers for acts related to our business\nactivities. All coverage is subject to certain limits and deductibles, the terms and conditions of which are common for companies with\nsimilar types of operations.\n\n \n\n*Legal\nMatters*\n\n \n\nThe\nCompany is not currently subject to any material legal proceedings other than as described below; however, it could be subject to legal\nproceedings and claims from time to time in the ordinary course of its business, or legal proceedings it considered immaterial may in\nthe future become material. Regardless of the outcome, litigation can, among other things, be time consuming and expensive to resolve,\nand can divert management resources.\n\n \n\nWFI\nSettlement\n\n \n\nIn\nJune 2024, Wood Violet, pursuant to its rights under the WFI acquisition transaction documents (the “WFI Documents”), transferred\nownership of Wisconsin Fertility and Reproductive Surgery Associates, S.C. (“WFRSA”) from Dr. Elizabeth Pritts MD (“Dr.\nPritts”) to a new medical doctor. Upon completion of such transfer, WFRSA terminated Dr. Pritts’ employment. Since then,\nvarious disputes among the parties have arisen under the WFI Documents, including, without limitation, Wood Violet’s non-payment\nof the second installment of the purchase consideration of $2.5 million. The parties entered into negotiations to resolve these disputes\nand restructure the terms of the WFI acquisition and engaged an independent mediator to facilitate these negotiations.\n\n \n\nOn\nMay 7, 2025, Dr. Pritts and the Pritts Trust filed a complaint in the Circuit Court of the State of Wisconsin, Dane County, against the\nCompany and its subsidiaries INVO CTR, WFRSA, and Wood Violet. Dr. Pritts and the Pritts Trust have asserted causes of action arising\nout of the WFI Documents for breach of contract, breach of the implied covenant of good faith and fair dealing, tortious interference\nwith contract (or, in the alternative, veil piercing), and unjust enrichment.\n\n \n\nOn\nMay 14, 2025, the Company, Dr. Pritts, the Pritts Trust, and certain of their respective affiliates entered into a binding term sheet\n(the “Term Sheet”) to settle all disputes between the parties pursuant to the terms set forth in the Term Sheet (the “Terms”).\nThe parties agreed to cooperate in good faith to prepare and enter into a final settlement agreement (the “Settlement Agreement”)\nbased on the terms set forth in the Term Sheet; provided, however, that unless and until the Settlement Agreement is executed, the Terms\nare binding on the parties. Under the Terms, Wood Violet agreed to pay Dr. Pritts $6,000,000 in full and final settlement and\nsatisfaction of all obligations to Dr. Pritts and her affiliates under the WFI Documents, of which $525,000\nwas paid concurrently with the execution of the Term Sheet, and the remainder of which is payable as follows: $475,000\ndue June 30, 2025, $750,000 due September 30, 2025,\n$750,000 due December 31, 2025, $1,000,000\ndue March 31, 2026, $2,000,000\ndue June 30, 2026, and $500,000\ndue December 31, 2026. The Company shall provide Wood Violet with use of 25%\nof all gross funding proceeds above $2,000,000\nraised within any six-month period to accelerate the payment of scheduled settlement payments in chronological order. The parties will\nenter into a consent judgment to resolve the complaint that would come into effect upon any breach of the Settlement Agreement. The parties\nagreed to settle all disputes, including those related to employment, acquisition, tax, and related matters, the termination of all employment,\nconsulting, and similar agreements with Dr. Pritts, and other customary terms, including, without limitation, indemnification and release\nof claims. On September 30, 2025 the Company executed the Settlement Agreement.\n\n \n\nThe\nCompany recognized a gain on settlement of $929,500 related to the Settlement Agreement and an impairment loss of $1,397,353 after agreeing\nto release Dr. Pritts from her non-compete agreement as part of the Settlement Agreement.\n\n \n\n**Note\n19 – Subsequent Events**\n\n \n\nOn\nJanuary 22, 2026, the Company increased its authorized common stock to 250,000,000 shares.\n\n \n\nOn January 28, 2026, the Company\nentered into a warrant inducement agreement pursuant to which an existing holder exercised certain outstanding warrants for gross proceeds\nof approximately $7.5 million, and the Company issued new unregistered warrants subject to stockholder approval.\n\n \n\nOn February 18, 2026, the Company\nconsummated its acquisition of Family Beginnings P.C. for a purchase price of $760,000, of which $400,000 consisted of 400 shares of the\nCompany’s Series D Preferred issued on the closing date and $210,000 was paid in cash (net of a $150,000 holdback) on the closing\ndate.\n\n \n\nOn March 27, 2026, the Company effected a 1-for-5\nreverse stock split of its common stock resulting in proportionate adjustments to its authorized shares and outstanding equity awards.\n\n \n\nOn May 27, 2025, the Company and JAG entered into a letter agreement (the “JAG May 2026 Letter”) pursuant to which (i) the\nmaturity date of the JAG Notes was extended until December 31, 2026, (ii) the Company agreed to repay the JAG Notes in monthly installments\nof $50,000 starting in April 2026 with a balloon payment at the end of December 2026, (iii) confirmation that if the Company raises more\nthan $3,000,000 after the date of the JAG May 2026 Letter, the Company shall pay ten percent (10%) of any proceeds in excess of $3,000,000\nto accelerate repayment of the JAG Notes, (iv) the conversion price of the JAG Notes was set to $1.60, (v) the Company agreed to issue\nto JAG a new warrant (the “JAG May 2026 Warrant”) to purchase up to 150,000 shares of the Company’s common stock at\nan exercise price of $1.60 per share, exercisable for five years from the date of issuance, and (vi) the Company agreed to the reset of\nthe conversion and exercise prices of the JAG Notes and JAG May 2026 Warrant, respectively, to equal the price of any future financing\nbased on a share price that is lower than the conversion and exercise prices then in effect.\n\n \n\n F-35"}