ECOR — what changed in the latest 10-Q

Text added vs the prior filing · source: 10-Q · 2026-05-06

• You should read the following discussion and analysis of our financial condition and results of operations together with our condensed consolidated financial statements and related notes appearing elsewhere in this Quarterly Report. In addition to historical information, this discussion and analysis…

• We believe that our proprietary nVNS technology, which works through a variety of mechanistic pathways including the modulation of neurotransmitters, and Quell for chronic pain are designed to address many of the limitations of traditional non-invasive approaches.

• Our business generates revenues from the sale of prescription medical devices and non-prescription wellness products in the United States and select overseas markets. We have two principal product categories:

• ● Personal use prescription medical devices for the management and treatment of certain medical conditions such as primary headache and fibromyalgia; and

• ● Personal use consumer products that promote general wellness and human performance.

Text removed vs the prior filing · source: 10-Q · 2025-11-05

• You should read this section in conjunction with our unaudited interim condensed consolidated financial statements and related notes included in this Quarterly Report and our Quarterly Report for the period ended March 31, 2025,and our audited consolidated financial statements and related notes ther…

• nVNS, a form of bioelectronic technology, modulates neurotransmitters through its effects on both the peripheral and central nervous systems. Our nVNS treatment is delivered through a proprietary high-frequency burst waveform that safely and comfortably passes through the skin and stimulates therape…

• Historically, vagus nerve stimulation or VNS, required an invasive surgical procedure to implant a costly medical device. This has generally limited VNS from being used by anyone other than the most severe patients. Our non-invasive bioelectronic nVNS technologies are self-administered and intended …

• Our capabilities include product development, regulatory affairs and compliance, sales and marketing, product testing, electromechanical assembly, fulfillment, and customer support. We derive revenues from the sale of products in the United States and select overseas markets. We have two principal p…

• ● Handheld, personal use bioelectronic therapies for the management and treatment of certain medical conditions; and

Text added vs the prior filing · source: 10-Q · 2026-05-06

• In our Annual Report on Form 10-K for the year ended December 31, 2025, management identified a deficiency in its internal control over financial reporting related to the accuracy of its lease accounting. The Company previously recorded a lease modification in conjunction with the lease expansion of…

• Management has initiated remediation measures designed to address the material weakness identified above. These measures include the implementation of an enhanced review control over the accounting for leases and any other significant non-routine transactions, including enhanced management review an…

• The material weakness will be considered remediated once the applicable controls have been fully implemented, have operated for a sufficient period of time, and have been tested for operating effectiveness which we believe will occur by the end of our second quarter of 2026.

• Except for the changes described above, there was no change in our internal control over financial reporting as such term is defined in Rules 13a-15(f) and 15d-15(f) under the Exchange Act, that occurred during the three months ended March 31, 2026 that has materially affected or is reasonably likel…

Text removed vs the prior filing · source: 10-Q · 2025-11-05

• There was no change in our internal control over financial reporting as such term is defined in Rules 13a-15(f) and 15d-15(f) under the Exchange Act, that occurred during the nine months ended September 30, 2025 that has materially affected or is reasonably likely to materially affect our internal c…

Text added vs the prior filing · source: 10-Q · 2026-05-06

• The information set forth in “Note 15. Commitments and Contingencies” of the condensed consolidated financial statements included in this Quarterly Report is incorporated here by reference to this Part II Item 1. For additional information regarding the risks associated with the regulation of our FD…

Text removed vs the prior filing · source: 10-Q · 2025-11-05

• The information set forth in Note 19. Legal Proceedings of the condensed consolidated financial statements included in this Quarterly Report is incorporated here by reference to this Part II Item 1.

Text added vs the prior filing · source: 10-Q · 2026-05-06

• We recently began selling Truvaga in the United Kingdom and consumers may be slow to adopt the product or its pricing which could adversely impact our business and financial results.

• In January 2026, we began selling Truvaga 350 direct-to-consumer in the United Kingdom via a direct-to-consumer model. Early adoption rates in the United Kingdom and consumers’ willingness to pay our intended price points are uncertain. Although we intend to expand our direct-to-consumer sales of Tr…

• This will require investment and expansion of our sales and marketing capabilities, including potential investment in market-specific advertising, localized digital marketing, and consumer education initiatives. Given the established nature of our competitors, our relative lack of commercialization …

Text removed vs the prior filing · source: 10-Q · 2025-11-05

• Our failure to meet Nasdaq’s continued listing standards could result in a delisting of our common stock, which could negatively impact the market price and liquidity of our common stock and our ability to access the capital markets.

• Pursuant to Nasdaq Listing Rule 5550(b), in order to maintain our listing on Nasdaq, we are required to continue to meet one of the following continued listing standards: (i) net income from continuing operations (in the most recently completed fiscal year or in two of the three most recently comple…

• As of September 30, 2025, our stockholders’ equity was less than $2.5 million and therefore less than the Equity Standard. As a result, if Nasdaq determines that we do not meet either the Net Income Standard or the Market Value Standard, we may receive a deficiency letter from Nasdaq. Upon receipt o…

• There can be no assurance that Nasdaq will accept our plan to regain compliance or that we will meet the Equity Standard during any compliance period, if one is provided to us. If our common stock is de-listed from Nasdaq, it will have material negative impact on the actual and potential liquidity o…

• If, for any reason, Nasdaq should delist our common stock from trading on its exchange and we are unable to obtain listing on another national securities exchange or take action to restore our compliance with the Nasdaq continued listing requirements, a reduction in some or all of the following may …

Text added vs the prior filing · source: 10-Q · 2026-05-06

• On May 5, 2026, Thomas M. Patton resigned as a member of the Company’s Board, and as chair of the Audit Committee, effective May 16, 2026.

• In connection with Mr. Patton’s resignation, the size of the Board was decreased by resolution of the Board from seven to six members, effective on the effective date of Mr. Patton’s resignation.

• Mr. Patton has confirmed that his resignation was not the result of any disagreement with the Company, the Board, or management regarding any matter relating to the Company’s operations, policies, or practices.

• In connection with Mr. Patton’s resignation, the Compensation Committee and the Board approved the accelerated vesting of 6,337 deferred stock units previously granted to Mr. Patton, effective as of the date of his resignation.

• The Board and the Company are deeply grateful for Mr. Patton’s service, dedication, and contributions to the Company.

Text removed vs the prior filing · source: 10-Q · 2025-11-05

• During the quarter ended September 30, 2025, no director or Section 16 officer adopted or terminated any Rule 10b5-1 trading arrangements or non-Rule 10b5-1 trading arrangements (in each case, as defined in Item 408(a) of Regulation S-K promulgated by the SEC).