CINXE.COM
Form 10-Q
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style="font: 14pt Times New Roman, Times, Serif; margin: 0; text-align: center"><b>FORM <span id="xdx_90D_edei--DocumentType_c20240101__20240930_ztnaW9GlYKg"><ix:nonNumeric contextRef="From2024-01-01to2024-09-30" id="Fact000014" name="dei:DocumentType">10-Q</ix:nonNumeric></span></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">(Mark One)</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><b><span id="xdx_909_edei--DocumentQuarterlyReport_c20240101__20240930_zPIvHw6CNDvb"><ix:nonNumeric contextRef="From2024-01-01to2024-09-30" format="ixt:booleantrue" id="Fact000015" name="dei:DocumentQuarterlyReport">[X]</ix:nonNumeric></span></b>  QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><b>For the Quarterly Period Ended <span style="text-decoration: underline"><span id="xdx_900_edei--DocumentPeriodEndDate_dd_c20240101__20240930_zqqCrqGuuEz1"><ix:nonNumeric contextRef="From2024-01-01to2024-09-30" format="ixt:datemonthdayyearen" id="Fact000016" name="dei:DocumentPeriodEndDate">September 30, 2024</ix:nonNumeric></span></span></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center">or</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><span id="xdx_90F_edei--DocumentTransitionReport_c20240101__20240930_zKSgH7Z08T6g"><ix:nonNumeric contextRef="From2024-01-01to2024-09-30" format="ixt:booleanfalse" id="Fact000017" name="dei:DocumentTransitionReport">[_]</ix:nonNumeric></span>  TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center">For the transition period from ________ to ________.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center">Commission File Number: <b><span style="text-decoration: underline"><span id="xdx_901_edei--EntityFileNumber_c20240101__20240930_z9xPtD7597tg"><ix:nonNumeric contextRef="From2024-01-01to2024-09-30" id="Fact000018" name="dei:EntityFileNumber">0-12305</ix:nonNumeric></span></span></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 14pt Times New Roman, Times, Serif; margin: 0; text-align: center"><b><span style="text-decoration: underline"><span id="xdx_904_edei--EntityRegistrantName_c20240101__20240930_zz7Z3W2bLHI3"><ix:nonNumeric contextRef="From2024-01-01to2024-09-30" id="Fact000019" name="dei:EntityRegistrantName">KORU MEDICAL SYSTEMS, INC.</ix:nonNumeric></span></span></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center">(Exact name of registrant as specified in its charter)</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 7.5in; border-collapse: collapse"> <tr style="vertical-align: top"> <td style="width: 3.75in; text-align: center"><b><span style="text-decoration: underline"><span id="xdx_906_edei--EntityIncorporationStateCountryCode_c20240101__20240930_zVVRZ96tqmLi"><ix:nonNumeric contextRef="From2024-01-01to2024-09-30" format="ixt-sec:stateprovnameen" id="Fact000020" name="dei:EntityIncorporationStateCountryCode">Delaware</ix:nonNumeric></span></span></b></td> <td style="width: 3.75in; text-align: center"><b><span style="text-decoration: underline"><span id="xdx_908_edei--EntityTaxIdentificationNumber_c20240101__20240930_zjiBEtISBFWe"><ix:nonNumeric contextRef="From2024-01-01to2024-09-30" id="Fact000021" name="dei:EntityTaxIdentificationNumber">13-3044880</ix:nonNumeric></span></span></b></td></tr> <tr style="vertical-align: top"> <td style="text-align: center">(State or other jurisdiction of incorporation or organization)</td> <td style="text-align: center">(I.R.S. Employer Identification No.)</td></tr> <tr style="vertical-align: top"> <td> </td> <td> </td></tr> <tr style="vertical-align: top"> <td style="text-align: center"><b><span style="text-decoration: underline"><span id="xdx_906_edei--EntityAddressAddressLine1_c20240101__20240930_zzSycXEITKRl"><ix:nonNumeric contextRef="From2024-01-01to2024-09-30" id="Fact000022" name="dei:EntityAddressAddressLine1">100 Corporate Drive</ix:nonNumeric></span>, <span id="xdx_90A_edei--EntityAddressCityOrTown_c20240101__20240930_zr8Yc4ymRc94"><ix:nonNumeric contextRef="From2024-01-01to2024-09-30" id="Fact000023" name="dei:EntityAddressCityOrTown">Mahwah</ix:nonNumeric></span>, <span id="xdx_902_edei--EntityAddressStateOrProvince_c20240101__20240930_zWzZYrV2MWCl"><ix:nonNumeric contextRef="From2024-01-01to2024-09-30" format="ixt-sec:stateprovnameen" id="Fact000024" name="dei:EntityAddressStateOrProvince">New Jersey</ix:nonNumeric></span></span></b></td> <td style="text-align: center"><b><span style="text-decoration: underline"><span id="xdx_90C_edei--EntityAddressPostalZipCode_c20240101__20240930_zNvTB7O3pRQe"><ix:nonNumeric contextRef="From2024-01-01to2024-09-30" id="Fact000025" name="dei:EntityAddressPostalZipCode">07430</ix:nonNumeric></span></span></b></td></tr> <tr style="vertical-align: top"> <td style="text-align: center">(Address of principal executive offices)</td> <td style="text-align: center">(Zip Code)</td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><b><span style="text-decoration: underline">(<span id="xdx_90D_edei--CityAreaCode_c20240101__20240930_zpD79yI1ac4k"><ix:nonNumeric contextRef="From2024-01-01to2024-09-30" id="Fact000026" name="dei:CityAreaCode">845</ix:nonNumeric></span>) <span id="xdx_90D_edei--LocalPhoneNumber_c20240101__20240930_zi0b9339vOVk"><ix:nonNumeric contextRef="From2024-01-01to2024-09-30" id="Fact000027" name="dei:LocalPhoneNumber">469-2042</ix:nonNumeric></span></span></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center">(Registrant’s telephone number, including area code)</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Securities registered pursuant to Section 12(b) of the Act:</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 7.5in; border-collapse: collapse"> <tr style="vertical-align: bottom"> <td style="width: 2.5in; text-align: center"><span style="text-decoration: underline">Title of each class</span></td> <td style="width: 1.5in; text-align: center"><span style="text-decoration: underline">Trading Symbol(s)</span></td> <td style="width: 3.5in; text-align: center"><span style="text-decoration: underline">Name of each exchange on which registered</span></td></tr> <tr style="vertical-align: bottom"> <td style="text-align: center"><b><span id="xdx_90A_edei--Security12bTitle_c20240101__20240930_zfwzH95IBCgk"><ix:nonNumeric contextRef="From2024-01-01to2024-09-30" id="Fact000028" name="dei:Security12bTitle">Common stock, $0.01 par value</ix:nonNumeric></span></b></td> <td style="text-align: center"><b><span id="xdx_90B_edei--TradingSymbol_c20240101__20240930_zLBT6VBCVV3c"><ix:nonNumeric contextRef="From2024-01-01to2024-09-30" id="Fact000029" name="dei:TradingSymbol">KRMD</ix:nonNumeric></span></b></td> <td style="text-align: center"><b><span id="xdx_900_edei--SecurityExchangeName_c20240101__20240930_z1BYKUxZFkQ"><ix:nonNumeric contextRef="From2024-01-01to2024-09-30" format="ixt-sec:exchnameen" id="Fact000030" name="dei:SecurityExchangeName">The Nasdaq Stock Market</ix:nonNumeric></span></b></td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.  <b>[X]</b> <span id="xdx_902_edei--EntityCurrentReportingStatus_c20240101__20240930_zQIEu1fi5F29"><ix:nonNumeric contextRef="From2024-01-01to2024-09-30" id="Fact000031" name="dei:EntityCurrentReportingStatus">Yes</ix:nonNumeric></span>  [_] No</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).  <b>[X]</b> <span id="xdx_901_edei--EntityInteractiveDataCurrent_c20240101__20240930_zra70GnzdMw7"><ix:nonNumeric contextRef="From2024-01-01to2024-09-30" id="Fact000032" name="dei:EntityInteractiveDataCurrent">Yes</ix:nonNumeric></span>  [_] No</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 7.5in; border-collapse: collapse"> <tr style="vertical-align: top"> <td style="width: 1in"> </td> <td style="width: 3.5in">Large accelerated filer [_]</td> <td style="width: 3in">Accelerated filer [_]</td></tr> <tr style="vertical-align: top"> <td> </td> <td><span id="xdx_908_edei--EntityFilerCategory_c20240101__20240930_zcsCk0G7TN15"><ix:nonNumeric contextRef="From2024-01-01to2024-09-30" format="ixt-sec:entityfilercategoryen" id="Fact000033" name="dei:EntityFilerCategory">Non-accelerated filer</ix:nonNumeric></span>   <b>[X]</b></td> <td>Smaller reporting company <b><span id="xdx_90B_edei--EntitySmallBusiness_c20240101__20240930_zviMQhzN1X82"><ix:nonNumeric contextRef="From2024-01-01to2024-09-30" format="ixt:booleantrue" id="Fact000034" name="dei:EntitySmallBusiness">[X]</ix:nonNumeric></span></b></td></tr> <tr style="vertical-align: top"> <td> </td> <td> </td> <td>Emerging growth company <span id="xdx_902_edei--EntityEmergingGrowthCompany_c20240101__20240930_zUIppZd8SuP1"><ix:nonNumeric contextRef="From2024-01-01to2024-09-30" format="ixt:booleanfalse" id="Fact000035" name="dei:EntityEmergingGrowthCompany">[_]</ix:nonNumeric></span></td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. [_]</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).  [_] Yes  <b>[X]</b> <span id="xdx_904_edei--EntityShellCompany_c20240101__20240930_zvzVIKRvvmBi"><ix:nonNumeric contextRef="From2024-01-01to2024-09-30" format="ixt:booleanfalse" id="Fact000036" name="dei:EntityShellCompany">No</ix:nonNumeric></span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">As of November 13, 2024, <span id="xdx_90F_edei--EntityCommonStockSharesOutstanding_iI_pid_uShares_c20241113_z6N5W1Dnun0e"><ix:nonFraction name="dei:EntityCommonStockSharesOutstanding" contextRef="AsOf2024-11-13" id="Fact000037" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">45,837,304</ix:nonFraction></span> shares of common stock, $<span id="xdx_906_edei--EntityListingParValuePerShare_pid_uUSDPShares_c20240101__20240930_zbWhWZJdcwq5" title="Entity Listing, Par Value Per Share"><ix:nonFraction name="dei:EntityListingParValuePerShare" contextRef="From2024-01-01to2024-09-30" id="Fact000039" format="ixt:numdotdecimal" decimals="INF" unitRef="USDPShares">0.01</ix:nonFraction></span> par value per share, were outstanding, which excludes <span id="xdx_903_eus-gaap--TreasuryStockCommonShares_iI_pid_uShares_c20241113_zHbBgfioC3vb" title="Treasury Stock, Common, Shares"><ix:nonFraction name="us-gaap:TreasuryStockCommonShares" contextRef="AsOf2024-11-13" id="Fact000041" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">3,438,526</ix:nonFraction></span> shares of treasury stock.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <hr style="border-width: 0; color: Gray; background-color: Gray; height: 2px; width: 100%"/><p style="break-before: always"></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><span id="toc"></span><b>KORU MEDICAL SYSTEMS, INC.</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><b>FORM 10-Q</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><b>FOR THE QUARTERLY PERIOD ENDED SEPTEMBER 30, 2024</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><b>TABLE OF CONTENTS</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 7.5in; border-collapse: collapse"> <tr style="vertical-align: top"> <td style="width: 0.75in"> </td> <td style="width: 6.25in"> </td> <td style="width: 0.5in; text-align: center"><span style="text-decoration: underline">PAGE</span></td></tr> <tr style="vertical-align: top"> <td> </td> <td> </td> <td style="text-align: center"> </td></tr> <tr style="vertical-align: top"> <td colspan="3" style="text-align: center">PART I. FINANCIAL INFORMATION</td></tr> <tr style="vertical-align: top"> <td> </td> <td> </td> <td style="text-align: center"> </td></tr> <tr style="vertical-align: top; background-color: #E6E6E6"> <td>ITEM 1.</td> <td><a href="#Part_I_Item_1">Financial Statements (Unaudited)</a></td> <td style="text-align: center">3</td></tr> <tr style="vertical-align: top"> <td> </td> <td> </td> <td style="text-align: center"> </td></tr> <tr style="vertical-align: top; background-color: #E6E6E6"> <td> </td> <td><a href="#bs">Balance Sheets as of September 30, 2024 (Unaudited) and December 31, 2023</a></td> <td style="text-align: center">3</td></tr> <tr style="vertical-align: top"> <td> </td> <td> </td> <td style="text-align: center"> </td></tr> <tr style="vertical-align: top; background-color: #E6E6E6"> <td> </td> <td><a href="#so">Statements of Operations (Unaudited) for the three and nine months ended September 30, 2024 and 2023</a></td> <td style="text-align: center">4</td></tr> <tr style="vertical-align: top"> <td> </td> <td> </td> <td style="text-align: center"> </td></tr> <tr style="vertical-align: top; background-color: #E6E6E6"> <td> </td> <td><a href="#scf">Statements of Cash Flows (Unaudited) for the nine months ended September 30, 2024 and 2023</a></td> <td style="text-align: center">5</td></tr> <tr style="vertical-align: top"> <td> </td> <td> </td> <td style="text-align: center"> </td></tr> <tr style="vertical-align: top; background-color: #E6E6E6"> <td> </td> <td><a href="#se">Statements of Stockholders' Equity (Unaudited) for the three and nine months ended September 30, 2024 and 2023</a></td> <td style="text-align: center">6-7</td></tr> <tr style="vertical-align: top"> <td> </td> <td> </td> <td style="text-align: center"> </td></tr> <tr style="vertical-align: top; background-color: #E6E6E6"> <td> </td> <td><a href="#notes">Notes to Financial Statements</a></td> <td style="text-align: center">8</td></tr> <tr style="vertical-align: top"> <td> </td> <td> </td> <td style="text-align: center"> </td></tr> <tr style="vertical-align: top; background-color: #E6E6E6"> <td>ITEM 2.</td> <td><a href="#Part_I_Item_2">Management’s Discussion and Analysis of Financial Condition and Results of Operations</a></td> <td style="text-align: center">17</td></tr> <tr style="vertical-align: top"> <td> </td> <td> </td> <td style="text-align: center"> </td></tr> <tr style="vertical-align: top; background-color: #E6E6E6"> <td>ITEM 3.</td> <td><a href="#Part_I_Item_3">Quantitative and Qualitative Disclosures About Market Risk</a></td> <td style="text-align: center">21</td></tr> <tr style="vertical-align: top"> <td> </td> <td> </td> <td style="text-align: center"> </td></tr> <tr style="vertical-align: top; background-color: #E6E6E6"> <td>ITEM 4.</td> <td><a href="#Part_I_Item_4">Controls and Procedures</a></td> <td style="text-align: center">22</td></tr> <tr style="vertical-align: top"> <td> </td> <td> </td> <td style="text-align: center"> </td></tr> <tr style="vertical-align: top"> <td colspan="3" style="text-align: center">PART II. OTHER INFORMATION</td></tr> <tr style="vertical-align: top"> <td> </td> <td> </td> <td style="text-align: center"> </td></tr> <tr style="vertical-align: top; background-color: #E6E6E6"> <td>ITEM 1A.</td> <td><a href="#Part_II_Item_1A">Risk Factors</a></td> <td style="text-align: center">22</td></tr> <tr style="vertical-align: top"> <td> </td> <td> </td> <td style="text-align: center"> </td></tr> <tr style="vertical-align: top; background-color: #E6E6E6"> <td>ITEM 6.</td> <td><a href="#Part_II_Item_6">Exhibits</a></td> <td style="text-align: center">22</td></tr> <tr style="vertical-align: top"> <td> </td> <td> </td> <td style="text-align: center"> </td></tr> <tr style="vertical-align: top; background-color: #E6E6E6"> <td> </td> <td><a href="#signatures">Signatures</a></td> <td style="text-align: center">23</td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt TIMES NEW ROMAN, TIMES, SERIF; margin: 0; text-align: center">- 2 -</p> <hr style="border-width: 0; color: Gray; background-color: Gray; height: 2px; width: 100%"/><p style="break-before: always"></p> <p style="font: 8pt Times New Roman, Times, Serif; margin: 0"><i><a href="#toc"><span style="color: Blue">Table of Contents</span></a></i></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>PART I — FINANCIAL INFORMATION</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><span id="Part_I_Item_1"></span><b>Item 1.  Financial Statements (Unaudited)</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><span id="bs"></span><b>KORU MEDICAL SYSTEMS, INC.</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><b>BALANCE SHEETS</b></p> <table cellspacing="0" cellpadding="0" id="xdx_30E_111_zHXiB3yR5dqe" summary="xdx: Statement - BALANCE SHEETS (UNAUDITED)" style="font: 10pt Times New Roman, Times, Serif; width: 7.5in; border-collapse: collapse"> <tr style="vertical-align: bottom"> <td> </td> <td> </td> <td colspan="2" id="xdx_492_20240930_zPwrIJdAv3s2" style="text-align: center"> </td> <td> </td> <td colspan="2" id="xdx_49A_20231231_zy0mPI40hJvf" style="text-align: center"> </td> <td> </td></tr> <tr style="vertical-align: bottom"> <td> </td> <td> </td> <td colspan="2" style="text-align: center"><b>September 30,</b></td> <td> </td> <td colspan="2" style="text-align: center"><b>December 31,</b></td> <td> </td></tr> <tr style="vertical-align: bottom"> <td> </td> <td> </td> <td colspan="2" style="text-align: center"><b>2024</b></td> <td> </td> <td colspan="2" style="text-align: center"><b>2023</b></td> <td> </td></tr> <tr style="vertical-align: bottom"> <td> </td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 8pt"><b>(UNAUDITED)</b></span></td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><b> </b></td> <td> </td></tr> <tr style="vertical-align: bottom"> <td style="width: 70%"> </td> <td style="width: 1%"> </td> <td style="width: 1%"> </td> <td style="width: 12%; text-align: right"> </td> <td style="width: 2%"> </td> <td style="width: 1%"> </td> <td style="width: 12%; text-align: right"> </td> <td style="width: 1%"> </td></tr> <tr id="xdx_40E_eus-gaap--AssetsAbstract_iB_zbvY2JrK4YP6" style="vertical-align: bottom; background-color: #E6E6E6"> <td><b>ASSETS</b></td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td></tr> <tr style="vertical-align: bottom"> <td> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td></tr> <tr id="xdx_402_eus-gaap--AssetsCurrentAbstract_i01B_zMDWobimNMZd" style="vertical-align: bottom; background-color: #E6E6E6"> <td>CURRENT ASSETS</td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td></tr> <tr id="xdx_40E_eus-gaap--CashAndCashEquivalentsAtCarryingValue_i02I_maACzL7R_zNUIUE0g0ruk" style="vertical-align: bottom"> <td style="padding-left: 0.2in; text-indent: -0.1in">Cash and cash equivalents</td> <td> </td> <td>$</td> <td style="text-align: right"><ix:nonFraction name="us-gaap:CashAndCashEquivalentsAtCarryingValue" contextRef="AsOf2024-09-30" id="Fact000049" format="ixt:numdotdecimal" decimals="0" unitRef="USD">8,806,310</ix:nonFraction></td> <td> </td> <td>$</td> <td style="text-align: right"><ix:nonFraction name="us-gaap:CashAndCashEquivalentsAtCarryingValue" contextRef="AsOf2023-12-31" id="Fact000050" format="ixt:numdotdecimal" decimals="0" unitRef="USD">11,482,240</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_403_eus-gaap--AccountsReceivableNetCurrent_i02I_maACzL7R_zfLEhdHx6Lp3" style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 0.2in; text-indent: -0.1in">Accounts receivable less allowance for credit losses of $<span id="xdx_904_eus-gaap--AllowanceForDoubtfulAccountsReceivableCurrent_iI_c20240930_zdia3RgrPRYh" title="Accounts receivable, allowance for credit loss, current"><ix:nonFraction name="us-gaap:AllowanceForDoubtfulAccountsReceivableCurrent" contextRef="AsOf2024-09-30" id="Fact000055" format="ixt:numdotdecimal" decimals="0" unitRef="USD">0</ix:nonFraction></span> as of September 30, 2024 and $<span id="xdx_90D_eus-gaap--AllowanceForDoubtfulAccountsReceivableCurrent_iI_c20231231_zbyXRxEhlaaa" title="Accounts receivable, allowance for credit loss, current"><ix:nonFraction name="us-gaap:AllowanceForDoubtfulAccountsReceivableCurrent" contextRef="AsOf2023-12-31" id="Fact000057" format="ixt:numdotdecimal" decimals="0" unitRef="USD">24,777</ix:nonFraction></span> as of December 31, 2023</td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:AccountsReceivableNetCurrent" contextRef="AsOf2024-09-30" id="Fact000052" format="ixt:numdotdecimal" decimals="0" unitRef="USD">5,164,700</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:AccountsReceivableNetCurrent" contextRef="AsOf2023-12-31" id="Fact000053" format="ixt:numdotdecimal" decimals="0" unitRef="USD">4,045,211</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_40F_eus-gaap--InventoryNet_i02I_maACzL7R_zWZG3cAij3s1" style="vertical-align: bottom"> <td style="padding-left: 0.2in; text-indent: -0.1in">Inventory</td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:InventoryNet" contextRef="AsOf2024-09-30" id="Fact000059" format="ixt:numdotdecimal" decimals="0" unitRef="USD">3,928,318</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:InventoryNet" contextRef="AsOf2023-12-31" id="Fact000060" format="ixt:numdotdecimal" decimals="0" unitRef="USD">3,481,301</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_400_eus-gaap--OtherReceivables_i02I_maACzL7R_zIBQo3e8Krm3" style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 0.2in; text-indent: -0.1in">Other receivables</td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:OtherReceivables" contextRef="AsOf2024-09-30" id="Fact000062" format="ixt:numdotdecimal" decimals="0" unitRef="USD">74,312</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:OtherReceivables" contextRef="AsOf2023-12-31" id="Fact000063" format="ixt:numdotdecimal" decimals="0" unitRef="USD">28,889</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_403_eus-gaap--PrepaidExpenseCurrent_i02I_maACzL7R_zlN3kLilvCya" style="vertical-align: bottom"> <td style="padding-left: 0.2in; text-indent: -0.1in">Prepaid expenses</td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><ix:nonFraction name="us-gaap:PrepaidExpenseCurrent" contextRef="AsOf2024-09-30" id="Fact000065" format="ixt:numdotdecimal" decimals="0" unitRef="USD">955,213</ix:nonFraction></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><ix:nonFraction name="us-gaap:PrepaidExpenseCurrent" contextRef="AsOf2023-12-31" id="Fact000066" format="ixt:numdotdecimal" decimals="0" unitRef="USD">1,218,288</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_40F_eus-gaap--AssetsCurrent_i02TI_mtACzL7R_maAzzVs_z4RzveDW0D35" style="vertical-align: bottom; background-color: #E6E6E6"> <td>TOTAL CURRENT ASSETS</td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><ix:nonFraction name="us-gaap:AssetsCurrent" contextRef="AsOf2024-09-30" id="Fact000068" format="ixt:numdotdecimal" decimals="0" unitRef="USD">18,928,853</ix:nonFraction></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><ix:nonFraction name="us-gaap:AssetsCurrent" contextRef="AsOf2023-12-31" id="Fact000069" format="ixt:numdotdecimal" decimals="0" unitRef="USD">20,255,929</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_40F_eus-gaap--PropertyPlantAndEquipmentNet_i01I_maAzzVs_zCir8RcX4Mx6" style="vertical-align: bottom"> <td style="padding-left: 0.1in; text-indent: -0.1in">Property and equipment, net</td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:PropertyPlantAndEquipmentNet" contextRef="AsOf2024-09-30" id="Fact000071" format="ixt:numdotdecimal" decimals="0" unitRef="USD">4,552,176</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:PropertyPlantAndEquipmentNet" contextRef="AsOf2023-12-31" id="Fact000072" format="ixt:numdotdecimal" decimals="0" unitRef="USD">3,837,657</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_402_eus-gaap--FiniteLivedIntangibleAssetsNet_i01I_maAzzVs_z5ZgOMNBBOJl" style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 0.1in; text-indent: -0.1in">Intangible assets, net of accumulated amortization of $<span id="xdx_901_eus-gaap--FiniteLivedIntangibleAssetsAccumulatedAmortization_iI_c20240930_zFgSNs9mOfv4" title="Finite-lived intangible assets, accumulated amortization"><ix:nonFraction name="us-gaap:FiniteLivedIntangibleAssetsAccumulatedAmortization" contextRef="AsOf2024-09-30" id="Fact000077" format="ixt:numdotdecimal" decimals="0" unitRef="USD">441,186</ix:nonFraction></span> and $<span id="xdx_90E_eus-gaap--FiniteLivedIntangibleAssetsAccumulatedAmortization_iI_c20231231_z2yIe7UcpGdh" title="Finite-lived intangible assets, accumulated amortization"><ix:nonFraction name="us-gaap:FiniteLivedIntangibleAssetsAccumulatedAmortization" contextRef="AsOf2023-12-31" id="Fact000079" format="ixt:numdotdecimal" decimals="0" unitRef="USD">390,341</ix:nonFraction></span> as of September 30, 2024 and December 31, 2023, respectively</td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:FiniteLivedIntangibleAssetsNet" contextRef="AsOf2024-09-30" id="Fact000074" format="ixt:numdotdecimal" decimals="0" unitRef="USD">746,302</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:FiniteLivedIntangibleAssetsNet" contextRef="AsOf2023-12-31" id="Fact000075" format="ixt:numdotdecimal" decimals="0" unitRef="USD">754,361</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_408_eus-gaap--OperatingLeaseRightOfUseAsset_i01I_maAzzVs_z5sPOOwr3EZg" style="vertical-align: bottom"> <td style="padding-left: 0.1in; text-indent: -0.1in">Operating lease right-of-use assets</td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:OperatingLeaseRightOfUseAsset" contextRef="AsOf2024-09-30" id="Fact000081" format="ixt:numdotdecimal" decimals="0" unitRef="USD">3,063,731</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:OperatingLeaseRightOfUseAsset" contextRef="AsOf2023-12-31" id="Fact000082" format="ixt:numdotdecimal" decimals="0" unitRef="USD">3,514,055</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_407_eus-gaap--OtherAssetsNoncurrent_i01I_maAzzVs_zQvlIrrrycI3" style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 0.1in; text-indent: -0.1in">Other assets</td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><ix:nonFraction name="us-gaap:OtherAssetsNoncurrent" contextRef="AsOf2024-09-30" id="Fact000084" format="ixt:numdotdecimal" decimals="0" unitRef="USD">98,970</ix:nonFraction></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><ix:nonFraction name="us-gaap:OtherAssetsNoncurrent" contextRef="AsOf2023-12-31" id="Fact000085" format="ixt:numdotdecimal" decimals="0" unitRef="USD">98,970</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_40F_eus-gaap--Assets_i01TI_mtAzzVs_zxtFIlC2pkHe" style="vertical-align: bottom"> <td>TOTAL ASSETS</td> <td> </td> <td style="border-bottom: black 2.25pt double">$</td> <td style="border-bottom: black 2.25pt double; text-align: right"><ix:nonFraction name="us-gaap:Assets" contextRef="AsOf2024-09-30" id="Fact000087" format="ixt:numdotdecimal" decimals="0" unitRef="USD">27,390,032</ix:nonFraction></td> <td> </td> <td style="border-bottom: black 2.25pt double">$</td> <td style="border-bottom: black 2.25pt double; text-align: right"><ix:nonFraction name="us-gaap:Assets" contextRef="AsOf2023-12-31" id="Fact000088" format="ixt:numdotdecimal" decimals="0" unitRef="USD">28,460,972</ix:nonFraction></td> <td> </td></tr> <tr style="vertical-align: bottom"> <td> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td></tr> <tr id="xdx_407_eus-gaap--LiabilitiesAndStockholdersEquityAbstract_iB_zae6kxS3kMX7" style="vertical-align: bottom; background-color: #E6E6E6"> <td><b>LIABILITIES AND STOCKHOLDERS’ EQUITY</b></td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td></tr> <tr style="vertical-align: bottom"> <td> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td></tr> <tr id="xdx_403_eus-gaap--LiabilitiesCurrentAbstract_i01B_ztEx5Ea0bsvf" style="vertical-align: bottom; background-color: #E6E6E6"> <td>CURRENT LIABILITIES</td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td></tr> <tr id="xdx_40E_eus-gaap--AccountsPayableCurrent_i02I_maLCzFb4_zZUETQMXn25c" style="vertical-align: bottom"> <td style="padding-left: 0.2in; text-indent: -0.1in">Accounts payable</td> <td> </td> <td>$</td> <td style="text-align: right"><ix:nonFraction name="us-gaap:AccountsPayableCurrent" contextRef="AsOf2024-09-30" id="Fact000096" format="ixt:numdotdecimal" decimals="0" unitRef="USD">1,670,300</ix:nonFraction></td> <td> </td> <td>$</td> <td style="text-align: right"><ix:nonFraction name="us-gaap:AccountsPayableCurrent" contextRef="AsOf2023-12-31" id="Fact000097" format="ixt:numdotdecimal" decimals="0" unitRef="USD">975,193</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_401_eus-gaap--AccruedLiabilitiesCurrent_i02I_maLCzFb4_zuKaIRJFBo28" style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 0.2in; text-indent: -0.1in">Accrued expenses</td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:AccruedLiabilitiesCurrent" contextRef="AsOf2024-09-30" id="Fact000099" format="ixt:numdotdecimal" decimals="0" unitRef="USD">2,792,967</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:AccruedLiabilitiesCurrent" contextRef="AsOf2023-12-31" id="Fact000100" format="ixt:numdotdecimal" decimals="0" unitRef="USD">1,711,427</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_405_eus-gaap--NotesPayableCurrent_i02I_maLCzFb4_zyGh8Zy7PQl2" style="vertical-align: bottom"> <td style="padding-left: 0.2in; text-indent: -0.1in">Note payable</td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:NotesPayableCurrent" contextRef="AsOf2024-09-30" id="Fact000102" format="ixt:numdotdecimal" decimals="0" unitRef="USD">401,993</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:NotesPayableCurrent" contextRef="AsOf2023-12-31" id="Fact000103" format="ixt:numdotdecimal" decimals="0" unitRef="USD">314,344</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_406_eus-gaap--OtherLiabilitiesCurrent_i02I_maLCzFb4_zi9tEXu4sJh3" style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 0.2in; text-indent: -0.1in">Other liabilities</td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:OtherLiabilitiesCurrent" contextRef="AsOf2024-09-30" id="Fact000105" format="ixt:numdotdecimal" decimals="0" unitRef="USD">181,745</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:OtherLiabilitiesCurrent" contextRef="AsOf2023-12-31" id="Fact000106" format="ixt:numdotdecimal" decimals="0" unitRef="USD">512,520</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_407_eus-gaap--EmployeeRelatedLiabilitiesCurrent_i02I_maLCzFb4_zrWuJvX8hnNi" style="vertical-align: bottom"> <td style="padding-left: 0.2in; text-indent: -0.1in">Accrued payroll and related taxes</td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:EmployeeRelatedLiabilitiesCurrent" contextRef="AsOf2024-09-30" id="Fact000108" format="ixt:numdotdecimal" decimals="0" unitRef="USD">766,867</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:EmployeeRelatedLiabilitiesCurrent" contextRef="AsOf2023-12-31" id="Fact000109" format="ixt:numdotdecimal" decimals="0" unitRef="USD">462,941</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_407_eus-gaap--FinanceLeaseLiabilityCurrent_i02I_maLCzFb4_zvZG7FMAu6rb" style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 0.2in; text-indent: -0.1in">Financing lease liability – current</td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:FinanceLeaseLiabilityCurrent" contextRef="AsOf2024-09-30" id="Fact000111" format="ixt:numdotdecimal" decimals="0" unitRef="USD">114,297</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:FinanceLeaseLiabilityCurrent" contextRef="AsOf2023-12-31" id="Fact000112" format="ixt:numdotdecimal" decimals="0" unitRef="USD">109,540</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_404_eus-gaap--OperatingLeaseLiabilityCurrent_i02I_maLCzFb4_ztYXxrrFM7bl" style="vertical-align: bottom"> <td style="padding-left: 0.2in; text-indent: -0.1in">Operating lease liability – current</td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><ix:nonFraction name="us-gaap:OperatingLeaseLiabilityCurrent" contextRef="AsOf2024-09-30" id="Fact000114" format="ixt:numdotdecimal" decimals="0" unitRef="USD">395,954</ix:nonFraction></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><ix:nonFraction name="us-gaap:OperatingLeaseLiabilityCurrent" contextRef="AsOf2023-12-31" id="Fact000115" format="ixt:numdotdecimal" decimals="0" unitRef="USD">368,313</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_408_eus-gaap--LiabilitiesCurrent_i02TI_mtLCzFb4_maLzvSk_zWs28UEiTqNb" style="vertical-align: bottom; background-color: #E6E6E6"> <td>TOTAL CURRENT LIABILITIES</td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><ix:nonFraction name="us-gaap:LiabilitiesCurrent" contextRef="AsOf2024-09-30" id="Fact000117" format="ixt:numdotdecimal" decimals="0" unitRef="USD">6,324,123</ix:nonFraction></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><ix:nonFraction name="us-gaap:LiabilitiesCurrent" contextRef="AsOf2023-12-31" id="Fact000118" format="ixt:numdotdecimal" decimals="0" unitRef="USD">4,454,278</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_40F_eus-gaap--FinanceLeaseLiabilityNoncurrent_i02I_maLzvSk_zwDEC7uDMFUk" style="vertical-align: bottom"> <td>Financing lease liability, net of current portion</td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:FinanceLeaseLiabilityNoncurrent" contextRef="AsOf2024-09-30" id="Fact000120" format="ixt:numdotdecimal" decimals="0" unitRef="USD">230,332</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:FinanceLeaseLiabilityNoncurrent" contextRef="AsOf2023-12-31" id="Fact000121" format="ixt:numdotdecimal" decimals="0" unitRef="USD">316,623</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_40F_eus-gaap--OperatingLeaseLiabilityNoncurrent_i01I_maLzvSk_zngWJW5wZVZ2" style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 45.5pt; text-indent: -45.5pt">Operating lease liability, net of current portion</td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><ix:nonFraction name="us-gaap:OperatingLeaseLiabilityNoncurrent" contextRef="AsOf2024-09-30" id="Fact000123" format="ixt:numdotdecimal" decimals="0" unitRef="USD">3,102,097</ix:nonFraction></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><ix:nonFraction name="us-gaap:OperatingLeaseLiabilityNoncurrent" contextRef="AsOf2023-12-31" id="Fact000124" format="ixt:numdotdecimal" decimals="0" unitRef="USD">3,336,300</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_406_eus-gaap--Liabilities_i01TI_mtLzvSk_maLASEzytn_zjkjfuhsVefh" style="vertical-align: bottom"> <td>TOTAL LIABILITIES</td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><ix:nonFraction name="us-gaap:Liabilities" contextRef="AsOf2024-09-30" id="Fact000126" format="ixt:numdotdecimal" decimals="0" unitRef="USD">9,656,552</ix:nonFraction></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><ix:nonFraction name="us-gaap:Liabilities" contextRef="AsOf2023-12-31" id="Fact000127" format="ixt:numdotdecimal" decimals="0" unitRef="USD">8,107,201</ix:nonFraction></td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: #E6E6E6"> <td> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td></tr> <tr id="xdx_40F_eus-gaap--StockholdersEquityAbstract_i01B_zYOH98VOHsvi" style="vertical-align: bottom"> <td>STOCKHOLDERS’ EQUITY</td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td></tr> <tr id="xdx_404_eus-gaap--CommonStockValue_i02I_maSEzqKe_zlBDKgmvh8rd" style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 0.2in; text-indent: -0.1in"><p style="margin-top: 0; margin-bottom: 0">Common stock, $<span id="xdx_900_eus-gaap--CommonStockParOrStatedValuePerShare_iI_pid_uUSDPShares_c20231231_zWgjtMsLv9Kg"><span id="xdx_904_eus-gaap--CommonStockParOrStatedValuePerShare_iI_pid_uUSDPShares_c20240930_zB1nUMKGcUDb"><ix:nonFraction name="us-gaap:CommonStockParOrStatedValuePerShare" contextRef="AsOf2023-12-31" id="Fact000134" format="ixt:numdotdecimal" decimals="INF" unitRef="USDPShares"><ix:nonFraction name="us-gaap:CommonStockParOrStatedValuePerShare" contextRef="AsOf2024-09-30" id="Fact000135" format="ixt:numdotdecimal" decimals="INF" unitRef="USDPShares">0.01</ix:nonFraction></ix:nonFraction></span> </span>par value, <span id="xdx_902_eus-gaap--CommonStockSharesAuthorized_iI_pid_uShares_c20231231_zznz9ZgXlNJ8"><span id="xdx_90A_eus-gaap--CommonStockSharesAuthorized_iI_pid_uShares_c20240930_zzEQhFZf3BC7"><ix:nonFraction name="us-gaap:CommonStockSharesAuthorized" contextRef="AsOf2023-12-31" id="Fact000136" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares"><ix:nonFraction name="us-gaap:CommonStockSharesAuthorized" contextRef="AsOf2024-09-30" id="Fact000137" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">75,000,000</ix:nonFraction></ix:nonFraction></span></span> shares authorized, <span id="xdx_908_eus-gaap--CommonStockSharesIssued_iI_pid_uShares_c20240930_zD24ybJw2cqj" title="Common stock, shares, issued"><ix:nonFraction name="us-gaap:CommonStockSharesIssued" contextRef="AsOf2024-09-30" id="Fact000139" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">49,275,830</ix:nonFraction></span> and <span id="xdx_903_eus-gaap--CommonStockSharesIssued_iI_pid_uShares_c20231231_zuK0CiX6WeIe"><ix:nonFraction name="us-gaap:CommonStockSharesIssued" contextRef="AsOf2023-12-31" id="Fact000140" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">49,059,583</ix:nonFraction></span> shares issued <span id="xdx_903_eus-gaap--CommonStockSharesOutstanding_iI_pid_uShares_c20240930_zmtmtBMYIpW8"><ix:nonFraction name="us-gaap:CommonStockSharesOutstanding" contextRef="AsOf2024-09-30" id="Fact000141" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">45,837,304</ix:nonFraction></span> and <span id="xdx_90D_eus-gaap--CommonStockSharesOutstanding_iI_pid_uShares_c20231231_zWryoQXFGazh"><ix:nonFraction name="us-gaap:CommonStockSharesOutstanding" contextRef="AsOf2023-12-31" id="Fact000142" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">45,639,081</ix:nonFraction> </span>shares outstanding as of September 30, 2024, and December 31, 2023, respectively</p></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:CommonStockValue" contextRef="AsOf2024-09-30" id="Fact000132" format="ixt:numdotdecimal" decimals="0" unitRef="USD">492,758</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:CommonStockValue" contextRef="AsOf2023-12-31" id="Fact000133" format="ixt:numdotdecimal" decimals="0" unitRef="USD">490,899</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_405_eus-gaap--AdditionalPaidInCapitalCommonStock_i02I_maSEzqKe_zVUxef7YA81i" style="vertical-align: bottom"> <td style="padding-left: 0.2in; text-indent: -0.1in">Additional paid-in capital</td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:AdditionalPaidInCapitalCommonStock" contextRef="AsOf2024-09-30" id="Fact000144" format="ixt:numdotdecimal" decimals="0" unitRef="USD">48,940,978</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:AdditionalPaidInCapitalCommonStock" contextRef="AsOf2023-12-31" id="Fact000145" format="ixt:numdotdecimal" decimals="0" unitRef="USD">47,018,707</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_402_eus-gaap--TreasuryStockValue_i02NI_di_msSEzqKe_zD0MufXXKDv9" style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 0.2in; text-indent: -0.1in">Treasury stock, <span id="xdx_901_eus-gaap--TreasuryStockPreferredShares_iI_pid_uShares_c20240930_zhg6WU3RxbFj" title="Treasury stock, shares"><ix:nonFraction name="us-gaap:TreasuryStockPreferredShares" contextRef="AsOf2024-09-30" id="Fact000150" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">3,438,526</ix:nonFraction></span> and <span id="xdx_906_eus-gaap--TreasuryStockPreferredShares_iI_pid_uShares_c20231231_zEMek3sVtV2k" title="Treasury stock, shares"><ix:nonFraction name="us-gaap:TreasuryStockPreferredShares" contextRef="AsOf2023-12-31" id="Fact000152" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">3,420,502</ix:nonFraction></span> shares as of September 30, 2024 and December 31, 2023, respectively, at cost</td> <td> </td> <td> </td> <td style="text-align: right">(<ix:nonFraction name="us-gaap:TreasuryStockValue" contextRef="AsOf2024-09-30" id="Fact000147" format="ixt:numdotdecimal" decimals="0" unitRef="USD">3,882,493</ix:nonFraction></td> <td>)</td> <td> </td> <td style="text-align: right">(<ix:nonFraction name="us-gaap:TreasuryStockValue" contextRef="AsOf2023-12-31" id="Fact000148" format="ixt:numdotdecimal" decimals="0" unitRef="USD">3,843,562</ix:nonFraction></td> <td>)</td></tr> <tr id="xdx_402_eus-gaap--RetainedEarningsAccumulatedDeficit_i02I_maSEzqKe_zGfXPxaMm9Lk" style="vertical-align: bottom"> <td style="padding-left: 0.2in; text-indent: -0.1in">Accumulated deficit</td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right">(<ix:nonFraction name="us-gaap:RetainedEarningsAccumulatedDeficit" contextRef="AsOf2024-09-30" id="Fact000154" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">27,817,763</ix:nonFraction></td> <td>)</td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right">(<ix:nonFraction name="us-gaap:RetainedEarningsAccumulatedDeficit" contextRef="AsOf2023-12-31" id="Fact000155" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">23,312,273</ix:nonFraction></td> <td>)</td></tr> <tr id="xdx_40E_eus-gaap--StockholdersEquity_i02TI_mtSEzqKe_maLASEzytn_z0gwEYIox6Ua" style="vertical-align: bottom; background-color: #E6E6E6"> <td>TOTAL STOCKHOLDERS’ EQUITY</td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><ix:nonFraction name="us-gaap:StockholdersEquity" contextRef="AsOf2024-09-30" id="Fact000157" format="ixt:numdotdecimal" decimals="0" unitRef="USD">17,733,480</ix:nonFraction></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><ix:nonFraction name="us-gaap:StockholdersEquity" contextRef="AsOf2023-12-31" id="Fact000158" format="ixt:numdotdecimal" decimals="0" unitRef="USD">20,353,771</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_400_eus-gaap--LiabilitiesAndStockholdersEquity_i01TI_mtLASEzytn_z72Gb3MngP12" style="vertical-align: bottom"> <td>TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY</td> <td> </td> <td style="border-bottom: black 2.25pt double">$</td> <td style="border-bottom: black 2.25pt double; text-align: right"><ix:nonFraction name="us-gaap:LiabilitiesAndStockholdersEquity" contextRef="AsOf2024-09-30" id="Fact000160" format="ixt:numdotdecimal" decimals="0" unitRef="USD">27,390,032</ix:nonFraction></td> <td> </td> <td style="border-bottom: black 2.25pt double">$</td> <td style="border-bottom: black 2.25pt double; text-align: right"><ix:nonFraction name="us-gaap:LiabilitiesAndStockholdersEquity" contextRef="AsOf2023-12-31" id="Fact000161" format="ixt:numdotdecimal" decimals="0" unitRef="USD">28,460,972</ix:nonFraction></td> <td> </td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center">The accompanying notes are an integral part of these financial statements.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0"> </p> <p style="font: 10pt TIMES NEW ROMAN, TIMES, SERIF; margin: 0; text-align: center">- 3 -</p> <hr style="border-width: 0; color: Gray; background-color: Gray; height: 2px; width: 100%"/><p style="break-before: always"></p> <p style="font: 8pt Times New Roman, Times, Serif; margin: 0"><i><a href="#toc"><span style="color: Blue">Table of Contents</span></a></i></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><span id="so"></span><b>KORU MEDICAL SYSTEMS, INC.</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><b>STATEMENTS OF OPERATIONS</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><b>(UNAUDITED)</b></p> <table cellspacing="0" cellpadding="0" id="xdx_306_113_z4WNolE0lym2" summary="xdx: Statement - STATEMENTS OF OPERATIONS (UNAUDITED)" style="font: 10pt Times New Roman, Times, Serif; width: 7.5in; border-collapse: collapse"> <tr style="vertical-align: bottom"> <td style="width: 40%"> </td> <td style="width: 1%"> </td> <td style="width: 1%"> </td> <td id="xdx_49C_20240701__20240930_zqpzT7UlrLTi" style="width: 12%; text-align: right"> </td> <td style="width: 2%"> </td> <td style="width: 1%"> </td> <td id="xdx_492_20230701__20230930_zV3WWg7QlV92" style="width: 12%; text-align: right"> </td> <td style="width: 2%"> </td> <td style="width: 1%"> </td> <td id="xdx_494_20240101__20240930_zceT3JRP6ZWh" style="width: 12%; text-align: right"> </td> <td style="width: 2%"> </td> <td style="width: 1%"> </td> <td id="xdx_49F_20230101__20230930_zE9SgZgZ6UPb" style="width: 12%; text-align: right"> </td> <td style="width: 1%"> </td></tr> <tr style="vertical-align: bottom"> <td> </td> <td> </td> <td colspan="5" style="text-align: center"><span style="font-size: 10pt"><b>Three Months Ended</b></span></td> <td> </td> <td colspan="5" style="text-align: center"><span style="font-size: 10pt"><b>Nine Months Ended</b></span></td> <td> </td></tr> <tr style="vertical-align: bottom"> <td> </td> <td> </td> <td colspan="5" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>September 30,</b></span></td> <td> </td> <td colspan="5" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>September 30,</b></span></td> <td> </td></tr> <tr style="vertical-align: bottom"> <td> </td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>2024</b></span></td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>2023</b></span></td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>2024</b></span></td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>2023</b></span></td> <td> </td></tr> <tr style="vertical-align: bottom"> <td> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td></tr> <tr id="xdx_40C_eus-gaap--Revenues_maGPzlZh_z1NOgxpHUFz9" style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 7.95pt; text-indent: -7.95pt"><span style="font-size: 10pt">NET REVENUES</span></td> <td> </td> <td><span style="font-size: 10pt">$</span></td> <td style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:Revenues" contextRef="From2024-07-012024-09-30" id="Fact000163" format="ixt:numdotdecimal" decimals="0" unitRef="USD">8,179,977</ix:nonFraction></span></td> <td> </td> <td><span style="font-size: 10pt">$</span></td> <td style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:Revenues" contextRef="From2023-07-012023-09-30" id="Fact000164" format="ixt:numdotdecimal" decimals="0" unitRef="USD">7,003,198</ix:nonFraction></span></td> <td> </td> <td><span style="font-size: 10pt">$</span></td> <td style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:Revenues" contextRef="From2024-01-01to2024-09-30" id="Fact000165" format="ixt:numdotdecimal" decimals="0" unitRef="USD">24,807,864</ix:nonFraction></span></td> <td> </td> <td><span style="font-size: 10pt">$</span></td> <td style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:Revenues" contextRef="From2023-01-012023-09-30" id="Fact000166" format="ixt:numdotdecimal" decimals="0" unitRef="USD">21,331,734</ix:nonFraction></span></td> <td> </td></tr> <tr id="xdx_40E_eus-gaap--CostOfGoodsAndServicesSold_msGPzlZh_zZpQo8Du9pok" style="vertical-align: bottom"> <td style="padding-left: 0.3in; text-indent: -0.1in"><span style="font-size: 10pt">Cost of goods sold</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:CostOfGoodsAndServicesSold" contextRef="From2024-07-012024-09-30" id="Fact000168" format="ixt:numdotdecimal" decimals="0" unitRef="USD">2,993,986</ix:nonFraction></span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:CostOfGoodsAndServicesSold" contextRef="From2023-07-012023-09-30" id="Fact000169" format="ixt:numdotdecimal" decimals="0" unitRef="USD">2,661,021</ix:nonFraction></span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:CostOfGoodsAndServicesSold" contextRef="From2024-01-01to2024-09-30" id="Fact000170" format="ixt:numdotdecimal" decimals="0" unitRef="USD">9,038,825</ix:nonFraction></span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:CostOfGoodsAndServicesSold" contextRef="From2023-01-012023-09-30" id="Fact000171" format="ixt:numdotdecimal" decimals="0" unitRef="USD">8,954,398</ix:nonFraction></span></td> <td> </td></tr> <tr id="xdx_403_eus-gaap--GrossProfit_iT_mtGPzlZh_maOILzzgr_zh5gPDsggjI9" style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 7.95pt; text-indent: -7.95pt"><span style="font-size: 10pt">Gross Profit</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:GrossProfit" contextRef="From2024-07-012024-09-30" id="Fact000173" format="ixt:numdotdecimal" decimals="0" unitRef="USD">5,185,991</ix:nonFraction></span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:GrossProfit" contextRef="From2023-07-012023-09-30" id="Fact000174" format="ixt:numdotdecimal" decimals="0" unitRef="USD">4,342,177</ix:nonFraction></span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:GrossProfit" contextRef="From2024-01-01to2024-09-30" id="Fact000175" format="ixt:numdotdecimal" decimals="0" unitRef="USD">15,769,038</ix:nonFraction></span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:GrossProfit" contextRef="From2023-01-012023-09-30" id="Fact000176" format="ixt:numdotdecimal" decimals="0" unitRef="USD">12,377,336</ix:nonFraction></span></td> <td> </td></tr> <tr style="vertical-align: bottom"> <td style="padding-left: 7.95pt; text-indent: -7.95pt"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td></tr> <tr id="xdx_40F_eus-gaap--OperatingExpensesAbstract_iB_zRkVmh50TIab" style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 7.95pt; text-indent: -7.95pt"><span style="font-size: 10pt">OPERATING EXPENSES</span></td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td></tr> <tr id="xdx_408_eus-gaap--SellingGeneralAndAdministrativeExpense_i01_maOEzn8P_zZ1MLbfzULi1" style="vertical-align: bottom"> <td style="padding-left: 0.3in; text-indent: -0.1in"><span style="font-size: 10pt">Selling, general and administrative</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:SellingGeneralAndAdministrativeExpense" contextRef="From2024-07-012024-09-30" id="Fact000183" format="ixt:numdotdecimal" decimals="0" unitRef="USD">5,127,658</ix:nonFraction></span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:SellingGeneralAndAdministrativeExpense" contextRef="From2023-07-012023-09-30" id="Fact000184" format="ixt:numdotdecimal" decimals="0" unitRef="USD">4,623,928</ix:nonFraction></span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:SellingGeneralAndAdministrativeExpense" contextRef="From2024-01-01to2024-09-30" id="Fact000185" format="ixt:numdotdecimal" decimals="0" unitRef="USD">15,804,966</ix:nonFraction></span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:SellingGeneralAndAdministrativeExpense" contextRef="From2023-01-012023-09-30" id="Fact000186" format="ixt:numdotdecimal" decimals="0" unitRef="USD">15,352,972</ix:nonFraction></span></td> <td> </td></tr> <tr id="xdx_40F_eus-gaap--ResearchAndDevelopmentExpense_i01_maOEzn8P_zUc9n6odwiN6" style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 0.3in; text-indent: -0.1in"><span style="font-size: 10pt">Research and development</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:ResearchAndDevelopmentExpense" contextRef="From2024-07-012024-09-30" id="Fact000188" format="ixt:numdotdecimal" decimals="0" unitRef="USD">1,533,845</ix:nonFraction></span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:ResearchAndDevelopmentExpense" contextRef="From2023-07-012023-09-30" id="Fact000189" format="ixt:numdotdecimal" decimals="0" unitRef="USD">1,293,256</ix:nonFraction></span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:ResearchAndDevelopmentExpense" contextRef="From2024-01-01to2024-09-30" id="Fact000190" format="ixt:numdotdecimal" decimals="0" unitRef="USD">4,143,751</ix:nonFraction></span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:ResearchAndDevelopmentExpense" contextRef="From2023-01-012023-09-30" id="Fact000191" format="ixt:numdotdecimal" decimals="0" unitRef="USD">4,454,739</ix:nonFraction></span></td> <td> </td></tr> <tr id="xdx_401_eus-gaap--DepreciationDepletionAndAmortization_i01_maOEzn8P_zBmZAzU4efqb" style="vertical-align: bottom"> <td style="padding-left: 0.3in; text-indent: -0.1in"><span style="font-size: 10pt">Depreciation and amortization</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:DepreciationDepletionAndAmortization" contextRef="From2024-07-012024-09-30" id="Fact000193" format="ixt:numdotdecimal" decimals="0" unitRef="USD">227,785</ix:nonFraction></span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:DepreciationDepletionAndAmortization" contextRef="From2023-07-012023-09-30" id="Fact000194" format="ixt:numdotdecimal" decimals="0" unitRef="USD">216,014</ix:nonFraction></span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:DepreciationDepletionAndAmortization" contextRef="From2024-01-01to2024-09-30" id="Fact000195" format="ixt:numdotdecimal" decimals="0" unitRef="USD">677,019</ix:nonFraction></span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:DepreciationDepletionAndAmortization" contextRef="From2023-01-012023-09-30" id="Fact000196" format="ixt:numdotdecimal" decimals="0" unitRef="USD">642,050</ix:nonFraction></span></td> <td> </td></tr> <tr id="xdx_408_eus-gaap--OperatingExpenses_i01T_mtOEzn8P_msOILzzgr_zKOTPt5u7Sxl" style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 7.95pt; text-indent: -7.95pt"><span style="font-size: 10pt">Total Operating Expenses</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:OperatingExpenses" contextRef="From2024-07-012024-09-30" id="Fact000198" format="ixt:numdotdecimal" decimals="0" unitRef="USD">6,889,288</ix:nonFraction></span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:OperatingExpenses" contextRef="From2023-07-012023-09-30" id="Fact000199" format="ixt:numdotdecimal" decimals="0" unitRef="USD">6,133,198</ix:nonFraction></span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:OperatingExpenses" contextRef="From2024-01-01to2024-09-30" id="Fact000200" format="ixt:numdotdecimal" decimals="0" unitRef="USD">20,625,736</ix:nonFraction></span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:OperatingExpenses" contextRef="From2023-01-012023-09-30" id="Fact000201" format="ixt:numdotdecimal" decimals="0" unitRef="USD">20,449,761</ix:nonFraction></span></td> <td> </td></tr> <tr style="vertical-align: bottom"> <td> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td></tr> <tr id="xdx_402_eus-gaap--OperatingIncomeLoss_iT_mtOILzzgr_maILFCOzgUC_zpvVM1zFma75" style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 7.95pt; text-indent: -7.95pt"><span style="font-size: 10pt">Net Operating Loss</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="us-gaap:OperatingIncomeLoss" contextRef="From2024-07-012024-09-30" id="Fact000203" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">1,703,297</ix:nonFraction></span></td> <td><span style="font-size: 10pt">)</span></td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="us-gaap:OperatingIncomeLoss" contextRef="From2023-07-012023-09-30" id="Fact000204" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">1,791,021</ix:nonFraction></span></td> <td><span style="font-size: 10pt">)</span></td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="us-gaap:OperatingIncomeLoss" contextRef="From2024-01-01to2024-09-30" id="Fact000205" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">4,856,698</ix:nonFraction></span></td> <td><span style="font-size: 10pt">)</span></td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="us-gaap:OperatingIncomeLoss" contextRef="From2023-01-012023-09-30" id="Fact000206" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">8,072,425</ix:nonFraction></span></td> <td><span style="font-size: 10pt">)</span></td></tr> <tr style="vertical-align: bottom"> <td style="padding-left: 7.95pt; text-indent: -7.95pt"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td></tr> <tr id="xdx_403_eus-gaap--NonoperatingIncomeExpenseAbstract_iB_zVY15gYb2mr3" style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 7.95pt; text-indent: -7.95pt"><span style="font-size: 10pt">Non-Operating Income/(Expense)</span></td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td></tr> <tr id="xdx_40B_eus-gaap--ForeignCurrencyTransactionGainLossBeforeTax_i01_maNIEzQ9q_zsIzxUkQfng6" style="vertical-align: bottom"> <td style="padding-left: 0.3in; text-indent: -0.1in"><span style="font-size: 10pt">Gain/(Loss) on currency exchange</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:ForeignCurrencyTransactionGainLossBeforeTax" contextRef="From2024-07-012024-09-30" id="Fact000213" format="ixt:numdotdecimal" decimals="0" unitRef="USD">9,485</ix:nonFraction></span></td> <td><span style="font-size: 10pt"> </span></td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="us-gaap:ForeignCurrencyTransactionGainLossBeforeTax" contextRef="From2023-07-012023-09-30" id="Fact000214" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">9,390</ix:nonFraction></span></td> <td><span style="font-size: 10pt">)</span></td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="us-gaap:ForeignCurrencyTransactionGainLossBeforeTax" contextRef="From2024-01-01to2024-09-30" id="Fact000215" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">12,674</ix:nonFraction></span></td> <td><span style="font-size: 10pt">)</span></td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="us-gaap:ForeignCurrencyTransactionGainLossBeforeTax" contextRef="From2023-01-012023-09-30" id="Fact000216" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">12,542</ix:nonFraction></span></td> <td><span style="font-size: 10pt">)</span></td></tr> <tr id="xdx_40C_eus-gaap--GainLossOnSaleOfPropertyPlantEquipment_i01_maNIEzQ9q_zYG77BVEIllk" style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 0.3in; text-indent: -0.1in"><span style="font-size: 10pt">Loss on disposal of fixed assets, net</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt"><span style="-sec-ix-hidden: xdx2ixbrl0218">—</span></span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="us-gaap:GainLossOnSaleOfPropertyPlantEquipment" contextRef="From2023-07-012023-09-30" id="Fact000219" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">3,527</ix:nonFraction></span></td> <td>)</td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="us-gaap:GainLossOnSaleOfPropertyPlantEquipment" contextRef="From2024-01-01to2024-09-30" id="Fact000220" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">300</ix:nonFraction></span></td> <td><span style="font-size: 10pt">)</span></td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="us-gaap:GainLossOnSaleOfPropertyPlantEquipment" contextRef="From2023-01-012023-09-30" id="Fact000221" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">59,806</ix:nonFraction></span></td> <td><span style="font-size: 10pt">)</span></td></tr> <tr id="xdx_400_eus-gaap--OtherNonoperatingIncomeExpense_i01_maNIEzQ9q_zDddXqRiWP2d" style="vertical-align: bottom"> <td style="padding-left: 0.3in; text-indent: -0.1in"><span style="font-size: 10pt">Interest income, net</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:OtherNonoperatingIncomeExpense" contextRef="From2024-07-012024-09-30" id="Fact000223" format="ixt:numdotdecimal" decimals="0" unitRef="USD">112,995</ix:nonFraction></span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:OtherNonoperatingIncomeExpense" contextRef="From2023-07-012023-09-30" id="Fact000224" format="ixt:numdotdecimal" decimals="0" unitRef="USD">135,429</ix:nonFraction></span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:OtherNonoperatingIncomeExpense" contextRef="From2024-01-01to2024-09-30" id="Fact000225" format="ixt:numdotdecimal" decimals="0" unitRef="USD">364,183</ix:nonFraction></span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:OtherNonoperatingIncomeExpense" contextRef="From2023-01-012023-09-30" id="Fact000226" format="ixt:numdotdecimal" decimals="0" unitRef="USD">392,098</ix:nonFraction></span></td> <td> </td></tr> <tr id="xdx_402_eus-gaap--NonoperatingIncomeExpense_i01T_mtNIEzQ9q_maILFCOzgUC_z0wuyCvgmZCf" style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 7.95pt; text-indent: -7.95pt"><span style="font-size: 10pt">TOTAL OTHER INCOME</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:NonoperatingIncomeExpense" contextRef="From2024-07-012024-09-30" id="Fact000228" format="ixt:numdotdecimal" decimals="0" unitRef="USD">122,480</ix:nonFraction></span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:NonoperatingIncomeExpense" contextRef="From2023-07-012023-09-30" id="Fact000229" format="ixt:numdotdecimal" decimals="0" unitRef="USD">122,512</ix:nonFraction></span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:NonoperatingIncomeExpense" contextRef="From2024-01-01to2024-09-30" id="Fact000230" format="ixt:numdotdecimal" decimals="0" unitRef="USD">351,208</ix:nonFraction></span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:NonoperatingIncomeExpense" contextRef="From2023-01-012023-09-30" id="Fact000231" format="ixt:numdotdecimal" decimals="0" unitRef="USD">319,750</ix:nonFraction></span></td> <td> </td></tr> <tr style="vertical-align: bottom"> <td style="padding-left: 7.95pt; text-indent: -7.95pt"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td></tr> <tr id="xdx_40C_eus-gaap--IncomeLossFromContinuingOperationsBeforeIncomeTaxesMinorityInterestAndIncomeLossFromEquityMethodInvestments_iT_mtILFCOzgUC_maNILz45S_ztYplvbQ6oQg" style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 7.95pt; text-indent: -7.95pt"><span style="font-size: 10pt">LOSS BEFORE INCOME TAXES</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="us-gaap:IncomeLossFromContinuingOperationsBeforeIncomeTaxesMinorityInterestAndIncomeLossFromEquityMethodInvestments" contextRef="From2024-07-012024-09-30" id="Fact000233" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">1,580,817</ix:nonFraction></span></td> <td><span style="font-size: 10pt">)</span></td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="us-gaap:IncomeLossFromContinuingOperationsBeforeIncomeTaxesMinorityInterestAndIncomeLossFromEquityMethodInvestments" contextRef="From2023-07-012023-09-30" id="Fact000234" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">1,668,509</ix:nonFraction></span></td> <td><span style="font-size: 10pt">)</span></td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="us-gaap:IncomeLossFromContinuingOperationsBeforeIncomeTaxesMinorityInterestAndIncomeLossFromEquityMethodInvestments" contextRef="From2024-01-01to2024-09-30" id="Fact000235" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">4,505,490</ix:nonFraction></span></td> <td><span style="font-size: 10pt">)</span></td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="us-gaap:IncomeLossFromContinuingOperationsBeforeIncomeTaxesMinorityInterestAndIncomeLossFromEquityMethodInvestments" contextRef="From2023-01-012023-09-30" id="Fact000236" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">7,752,675</ix:nonFraction></span></td> <td><span style="font-size: 10pt">)</span></td></tr> <tr style="vertical-align: bottom"> <td style="padding-left: 7.95pt; text-indent: -7.95pt"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td></tr> <tr id="xdx_404_eus-gaap--IncomeTaxExpenseBenefit_iN_di_msNILz45S_zLFAvNFtkxAk" style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 0.3in; text-indent: -0.1in"><span style="font-size: 10pt">Income Tax Benefit</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt"><span style="-sec-ix-hidden: xdx2ixbrl0238">—</span></span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:IncomeTaxExpenseBenefit" contextRef="From2023-07-012023-09-30" id="Fact000239" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">300,247</ix:nonFraction></span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt"><span style="-sec-ix-hidden: xdx2ixbrl0240">—</span></span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:IncomeTaxExpenseBenefit" contextRef="From2023-01-012023-09-30" id="Fact000241" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">1,477,642</ix:nonFraction></span></td> <td> </td></tr> <tr style="vertical-align: bottom"> <td style="padding-left: 7.95pt; text-indent: -7.95pt"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td></tr> <tr id="xdx_409_eus-gaap--NetIncomeLoss_iT_mtNILz45S_zbghyWWjjEGi" style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 7.95pt; text-indent: -7.95pt"><span style="font-size: 10pt">NET LOSS</span></td> <td> </td> <td style="border-bottom: black 2.25pt double"><span style="font-size: 10pt">$</span></td> <td style="border-bottom: black 2.25pt double; text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="us-gaap:NetIncomeLoss" contextRef="From2024-07-012024-09-30" id="Fact000243" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">1,580,817</ix:nonFraction></span></td> <td style="border-bottom: white 2.25pt double"><span style="font-size: 10pt">)</span></td> <td style="border-bottom: black 2.25pt double"><span style="font-size: 10pt">$</span></td> <td style="border-bottom: black 2.25pt double; text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="us-gaap:NetIncomeLoss" contextRef="From2023-07-012023-09-30" id="Fact000244" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">1,368,262</ix:nonFraction></span></td> <td style="border-bottom: white 2.25pt double"><span style="font-size: 10pt">)</span></td> <td style="border-bottom: black 2.25pt double"><span style="font-size: 10pt">$</span></td> <td style="border-bottom: black 2.25pt double; text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="us-gaap:NetIncomeLoss" contextRef="From2024-01-01to2024-09-30" id="Fact000245" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">4,505,490</ix:nonFraction></span></td> <td style="border-bottom: white 2.25pt double"><span style="font-size: 10pt">)</span></td> <td style="border-bottom: black 2.25pt double"><span style="font-size: 10pt">$</span></td> <td style="border-bottom: black 2.25pt double; text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="us-gaap:NetIncomeLoss" contextRef="From2023-01-012023-09-30" id="Fact000246" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">6,275,033</ix:nonFraction></span></td> <td style="border-bottom: white 2.25pt double"><span style="font-size: 10pt">)</span></td></tr> <tr style="vertical-align: bottom"> <td style="padding-left: 7.95pt; text-indent: -7.95pt"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td></tr> <tr id="xdx_40D_eus-gaap--EarningsPerShareAbstract_iB_zKSuQ1vMVIIf" style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 7.95pt; text-indent: -7.95pt"><span style="font-size: 10pt">NET LOSS PER SHARE</span></td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td></tr> <tr style="vertical-align: bottom"> <td style="padding-left: 7.95pt; text-indent: -7.95pt"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 0.2in"><span style="font-size: 10pt">Basic & Diluted</span></td> <td> </td> <td style="border-bottom: black 2.25pt double"><span style="font-size: 10pt">$</span></td> <td style="border-bottom: black 2.25pt double; text-align: right"><span style="font-size: 10pt"><span id="xdx_909_eus-gaap--EarningsPerShareBasic_c20240701__20240930_zw9f5LXNQAB3" class="xdx_phnt_U3RhdGVtZW50IC0gU1RBVEVNRU5UUyBPRiBPUEVSQVRJT05TIChVTkFVRElURUQpAA__"><span id="xdx_900_eus-gaap--EarningsPerShareDiluted_c20240701__20240930_z5cAgo1DVIx5" class="xdx_phnt_U3RhdGVtZW50IC0gU1RBVEVNRU5UUyBPRiBPUEVSQVRJT05TIChVTkFVRElURUQpAA__">(<ix:nonFraction name="us-gaap:EarningsPerShareBasic" contextRef="From2024-07-012024-09-30" id="Fact000252" format="ixt:numdotdecimal" decimals="INF" sign="-" unitRef="USDPShares"><ix:nonFraction name="us-gaap:EarningsPerShareDiluted" contextRef="From2024-07-012024-09-30" id="Fact000253" format="ixt:numdotdecimal" decimals="INF" sign="-" unitRef="USDPShares">0.03</ix:nonFraction></ix:nonFraction></span></span></span></td> <td style="border-bottom: white 2.25pt double"><span style="font-size: 10pt">)</span></td> <td style="border-bottom: black 2.25pt double"><span style="font-size: 10pt">$</span></td> <td style="border-bottom: black 2.25pt double; text-align: right"><span style="font-size: 10pt"><span id="xdx_905_eus-gaap--EarningsPerShareBasic_c20230701__20230930_zwcvownE9WM2" class="xdx_phnt_U3RhdGVtZW50IC0gU1RBVEVNRU5UUyBPRiBPUEVSQVRJT05TIChVTkFVRElURUQpAA__"><span id="xdx_900_eus-gaap--EarningsPerShareDiluted_c20230701__20230930_zYmH8kkATg93" class="xdx_phnt_U3RhdGVtZW50IC0gU1RBVEVNRU5UUyBPRiBPUEVSQVRJT05TIChVTkFVRElURUQpAA__">(<ix:nonFraction name="us-gaap:EarningsPerShareBasic" contextRef="From2023-07-012023-09-30" id="Fact000254" format="ixt:numdotdecimal" decimals="INF" sign="-" unitRef="USDPShares"><ix:nonFraction name="us-gaap:EarningsPerShareDiluted" contextRef="From2023-07-012023-09-30" id="Fact000255" format="ixt:numdotdecimal" decimals="INF" sign="-" unitRef="USDPShares">0.03</ix:nonFraction></ix:nonFraction></span></span></span></td> <td style="border-bottom: white 2.25pt double"><span style="font-size: 10pt">)</span></td> <td style="border-bottom: black 2.25pt double"><span style="font-size: 10pt">$</span></td> <td style="border-bottom: black 2.25pt double; text-align: right"><span style="font-size: 10pt"><span id="xdx_90A_eus-gaap--EarningsPerShareBasic_c20240101__20240930_zXs98Tw4Ietd" class="xdx_phnt_U3RhdGVtZW50IC0gU1RBVEVNRU5UUyBPRiBPUEVSQVRJT05TIChVTkFVRElURUQpAA__"><span id="xdx_908_eus-gaap--EarningsPerShareDiluted_c20240101__20240930_zB55ROfdlaU" class="xdx_phnt_U3RhdGVtZW50IC0gU1RBVEVNRU5UUyBPRiBPUEVSQVRJT05TIChVTkFVRElURUQpAA__">(<ix:nonFraction name="us-gaap:EarningsPerShareBasic" contextRef="From2024-01-01to2024-09-30" id="Fact000256" format="ixt:numdotdecimal" decimals="INF" sign="-" unitRef="USDPShares"><ix:nonFraction name="us-gaap:EarningsPerShareDiluted" contextRef="From2024-01-01to2024-09-30" id="Fact000257" format="ixt:numdotdecimal" decimals="INF" sign="-" unitRef="USDPShares">0.10</ix:nonFraction></ix:nonFraction></span></span></span></td> <td style="border-bottom: white 2.25pt double"><span style="font-size: 10pt">)</span></td> <td style="border-bottom: black 2.25pt double"><span style="font-size: 10pt">$</span></td> <td style="border-bottom: black 2.25pt double; text-align: right"><span style="font-size: 10pt"><span id="xdx_907_eus-gaap--EarningsPerShareBasic_c20230101__20230930_zGmw8vnfBdrj" class="xdx_phnt_U3RhdGVtZW50IC0gU1RBVEVNRU5UUyBPRiBPUEVSQVRJT05TIChVTkFVRElURUQpAA__"><span id="xdx_900_eus-gaap--EarningsPerShareDiluted_c20230101__20230930_zB66Ot7DoLkf" class="xdx_phnt_U3RhdGVtZW50IC0gU1RBVEVNRU5UUyBPRiBPUEVSQVRJT05TIChVTkFVRElURUQpAA__">(<ix:nonFraction name="us-gaap:EarningsPerShareBasic" contextRef="From2023-01-012023-09-30" id="Fact000258" format="ixt:numdotdecimal" decimals="INF" sign="-" unitRef="USDPShares"><ix:nonFraction name="us-gaap:EarningsPerShareDiluted" contextRef="From2023-01-012023-09-30" id="Fact000259" format="ixt:numdotdecimal" decimals="INF" sign="-" unitRef="USDPShares">0.14</ix:nonFraction></ix:nonFraction></span></span></span></td> <td style="border-bottom: white 2.25pt double"><span style="font-size: 10pt">)</span></td></tr> <tr style="vertical-align: bottom"> <td style="padding-left: 7.95pt; text-indent: -7.95pt"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td></tr> <tr id="xdx_40A_eus-gaap--WeightedAverageNumberOfSharesOutstandingAbstract_iB_zmptiBdkd063" style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 7.95pt; text-indent: -7.95pt"><span style="font-size: 10pt">WEIGHTED AVERAGE NUMBER OF COMMON SHARES OUTSTANDING</span></td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td></tr> <tr style="vertical-align: bottom"> <td style="padding-left: 7.95pt; text-indent: -7.95pt"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 0.2in"><span style="font-size: 10pt">Basic & Diluted</span></td> <td> </td> <td style="border-bottom: Black 2.25pt double"> </td> <td style="border-bottom: Black 2.25pt double; text-align: right"><span style="font-size: 10pt"><span id="xdx_901_eus-gaap--WeightedAverageNumberOfSharesOutstandingBasic_c20240701__20240930_zUfBSRzRDsdk" class="xdx_phnt_U3RhdGVtZW50IC0gU1RBVEVNRU5UUyBPRiBPUEVSQVRJT05TIChVTkFVRElURUQpAA__"><span id="xdx_90A_eus-gaap--WeightedAverageNumberOfDilutedSharesOutstanding_c20240701__20240930_z9SlvdIiG4H3" class="xdx_phnt_U3RhdGVtZW50IC0gU1RBVEVNRU5UUyBPRiBPUEVSQVRJT05TIChVTkFVRElURUQpAA__"><ix:nonFraction name="us-gaap:WeightedAverageNumberOfSharesOutstandingBasic" contextRef="From2024-07-012024-09-30" id="Fact000265" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares"><ix:nonFraction name="us-gaap:WeightedAverageNumberOfDilutedSharesOutstanding" contextRef="From2024-07-012024-09-30" id="Fact000266" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">45,851,019</ix:nonFraction></ix:nonFraction></span></span></span></td> <td> </td> <td style="border-bottom: Black 2.25pt double"> </td> <td style="border-bottom: Black 2.25pt double; text-align: right"><span style="font-size: 10pt"><span id="xdx_90F_eus-gaap--WeightedAverageNumberOfSharesOutstandingBasic_c20230701__20230930_zOTLT2sSYdEj" class="xdx_phnt_U3RhdGVtZW50IC0gU1RBVEVNRU5UUyBPRiBPUEVSQVRJT05TIChVTkFVRElURUQpAA__"><span id="xdx_908_eus-gaap--WeightedAverageNumberOfDilutedSharesOutstanding_c20230701__20230930_zgFCfhlFuZ01" class="xdx_phnt_U3RhdGVtZW50IC0gU1RBVEVNRU5UUyBPRiBPUEVSQVRJT05TIChVTkFVRElURUQpAA__"><ix:nonFraction name="us-gaap:WeightedAverageNumberOfSharesOutstandingBasic" contextRef="From2023-07-012023-09-30" id="Fact000267" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares"><ix:nonFraction name="us-gaap:WeightedAverageNumberOfDilutedSharesOutstanding" contextRef="From2023-07-012023-09-30" id="Fact000268" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">45,639,081</ix:nonFraction></ix:nonFraction></span></span></span></td> <td> </td> <td style="border-bottom: Black 2.25pt double"> </td> <td style="border-bottom: Black 2.25pt double; text-align: right"><span style="font-size: 10pt"><span id="xdx_907_eus-gaap--WeightedAverageNumberOfSharesOutstandingBasic_c20240101__20240930_zBOeCtxKS39c" class="xdx_phnt_U3RhdGVtZW50IC0gU1RBVEVNRU5UUyBPRiBPUEVSQVRJT05TIChVTkFVRElURUQpAA__"><span id="xdx_903_eus-gaap--WeightedAverageNumberOfDilutedSharesOutstanding_c20240101__20240930_zMpWkaWxKZC5" class="xdx_phnt_U3RhdGVtZW50IC0gU1RBVEVNRU5UUyBPRiBPUEVSQVRJT05TIChVTkFVRElURUQpAA__"><ix:nonFraction name="us-gaap:WeightedAverageNumberOfSharesOutstandingBasic" contextRef="From2024-01-01to2024-09-30" id="Fact000269" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares"><ix:nonFraction name="us-gaap:WeightedAverageNumberOfDilutedSharesOutstanding" contextRef="From2024-01-01to2024-09-30" id="Fact000270" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">45,791,756</ix:nonFraction></ix:nonFraction></span></span></span></td> <td> </td> <td style="border-bottom: Black 2.25pt double"> </td> <td style="border-bottom: Black 2.25pt double; text-align: right"><span style="font-size: 10pt"><span id="xdx_906_eus-gaap--WeightedAverageNumberOfSharesOutstandingBasic_c20230101__20230930_zQttLFdGJ0C7" class="xdx_phnt_U3RhdGVtZW50IC0gU1RBVEVNRU5UUyBPRiBPUEVSQVRJT05TIChVTkFVRElURUQpAA__"><span id="xdx_909_eus-gaap--WeightedAverageNumberOfDilutedSharesOutstanding_c20230101__20230930_zwvg6sw2tDYh" class="xdx_phnt_U3RhdGVtZW50IC0gU1RBVEVNRU5UUyBPRiBPUEVSQVRJT05TIChVTkFVRElURUQpAA__"><ix:nonFraction name="us-gaap:WeightedAverageNumberOfSharesOutstandingBasic" contextRef="From2023-01-012023-09-30" id="Fact000271" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares"><ix:nonFraction name="us-gaap:WeightedAverageNumberOfDilutedSharesOutstanding" contextRef="From2023-01-012023-09-30" id="Fact000272" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">45,578,314</ix:nonFraction></ix:nonFraction></span></span></span></td> <td> </td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center">The accompanying notes are an integral part of these financial statements.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt TIMES NEW ROMAN, TIMES, SERIF; margin: 0; text-align: center">- 4 -</p> <hr style="border-width: 0; color: Gray; background-color: Gray; height: 2px; width: 100%"/><p style="break-before: always"></p> <p style="font: 8pt Times New Roman, Times, Serif; margin: 0"><i><a href="#toc"><span style="color: Blue">Table of Contents</span></a></i></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><span id="scf"></span><b>KORU MEDICAL SYSTEMS, INC.</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><b>STATEMENTS OF CASH FLOWS</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><b>(UNAUDITED)</b></p> <table cellspacing="0" cellpadding="0" id="xdx_303_112_zl7GGQIVcX01" summary="xdx: Statement - STATEMENTS OF CASH FLOWS (UNAUDITED)" style="font: 10pt Times New Roman, Times, Serif; width: 7.5in; border-collapse: collapse"> <tr style="vertical-align: bottom"> <td> </td> <td> </td> <td style="text-align: center"> </td> <td id="xdx_490_20240101__20240930_zjVrazMY2eAd" style="text-align: center"> </td> <td style="text-align: center"> </td> <td colspan="2" id="xdx_491_20230101__20230930_zdgIFT5YUmje" style="text-align: center"> </td> <td> </td></tr> <tr style="vertical-align: bottom"> <td> </td> <td> </td> <td colspan="5" style="text-align: center"><span style="font-size: 10pt"><b>For the<br/> Nine Months Ended</b></span></td> <td> </td></tr> <tr style="vertical-align: bottom"> <td> </td> <td> </td> <td colspan="5" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>September 30,</b></span></td> <td> </td></tr> <tr style="vertical-align: bottom"> <td> </td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>2024</b></span></td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>2023</b></span></td> <td> </td></tr> <tr style="vertical-align: bottom"> <td style="width: 70%"> </td> <td style="width: 1%"> </td> <td style="width: 1%"> </td> <td style="width: 12%; text-align: right"> </td> <td style="width: 2%"> </td> <td style="width: 1%"> </td> <td style="width: 12%; text-align: right"> </td> <td style="width: 1%"> </td></tr> <tr id="xdx_40C_eus-gaap--NetCashProvidedByUsedInOperatingActivitiesAbstract_iB_z52vqA1CGlY9" style="vertical-align: bottom"> <td><span style="font-size: 10pt">CASH FLOWS FROM OPERATING ACTIVITIES</span></td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td></tr> <tr id="xdx_40E_eus-gaap--NetIncomeLoss_i01_maCzO1Q_maNCPBUzqPg_zEnAmOXOGp6h" style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 0.2in"><span style="font-size: 10pt">Net Loss</span></td> <td> </td> <td><span style="font-size: 10pt">$</span></td> <td style="text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="us-gaap:NetIncomeLoss" contextRef="From2024-01-01to2024-09-30" id="Fact000277" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">4,505,490</ix:nonFraction></span></td> <td><span style="font-size: 10pt">)</span></td> <td><span style="font-size: 10pt">$</span></td> <td style="text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="us-gaap:NetIncomeLoss" contextRef="From2023-01-012023-09-30" id="Fact000278" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">6,275,033</ix:nonFraction></span></td> <td><span style="font-size: 10pt">)</span></td></tr> <tr id="xdx_401_eus-gaap--AdjustmentsNoncashItemsToReconcileNetIncomeLossToCashProvidedByUsedInOperatingActivitiesAbstract_i01B_zhEZIXB4bI3" style="vertical-align: bottom"> <td style="padding-left: 0.3in; text-indent: -0.1in"><span style="font-size: 10pt">Adjustments to reconcile net loss to net cash used in operating activities:</span></td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td></tr> <tr id="xdx_40F_eus-gaap--ShareBasedCompensation_i02_maCzA0C_maNCPBUzcMq_maNCPBUzqPg_zow2PPkdws4h" style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 0.4in"><span style="font-size: 10pt">Stock-based compensation expense and warrant expense</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:ShareBasedCompensation" contextRef="From2024-01-01to2024-09-30" id="Fact000283" format="ixt:numdotdecimal" decimals="0" unitRef="USD">1,924,131</ix:nonFraction></span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:ShareBasedCompensation" contextRef="From2023-01-012023-09-30" id="Fact000284" format="ixt:numdotdecimal" decimals="0" unitRef="USD">2,379,613</ix:nonFraction></span></td> <td> </td></tr> <tr id="xdx_407_eus-gaap--DepreciationDepletionAndAmortization_i02_maCzO1Q_maNCPBUzqPg_zww3eLOPDk" style="vertical-align: bottom"> <td style="padding-left: 0.4in"><span style="font-size: 10pt">Depreciation and amortization</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:DepreciationDepletionAndAmortization" contextRef="From2024-01-01to2024-09-30" id="Fact000286" format="ixt:numdotdecimal" decimals="0" unitRef="USD">677,019</ix:nonFraction></span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:DepreciationDepletionAndAmortization" contextRef="From2023-01-012023-09-30" id="Fact000287" format="ixt:numdotdecimal" decimals="0" unitRef="USD">642,050</ix:nonFraction></span></td> <td> </td></tr> <tr id="xdx_409_eus-gaap--DeferredIncomeTaxesAndTaxCredits_i02_maNCPBUzqPg_zPVAIRd3XFWf" style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 0.4in"><span style="font-size: 10pt">Deferred income taxes</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt"><span style="-sec-ix-hidden: xdx2ixbrl0289">—</span></span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="us-gaap:DeferredIncomeTaxesAndTaxCredits" contextRef="From2023-01-012023-09-30" id="Fact000290" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">1,477,643</ix:nonFraction></span></td> <td><span style="font-size: 10pt">)</span></td></tr> <tr id="xdx_402_eus-gaap--GainLossOnSaleOfOtherAssets_i02N_di_msNCPBUzqPg_zzoxyPihW1t6" style="vertical-align: bottom"> <td style="padding-left: 0.4in"><span style="font-size: 10pt">Loss on disposal of fixed assets</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:GainLossOnSaleOfOtherAssets" contextRef="From2024-01-01to2024-09-30" id="Fact000292" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">300</ix:nonFraction></span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:GainLossOnSaleOfOtherAssets" contextRef="From2023-01-012023-09-30" id="Fact000293" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">59,806</ix:nonFraction></span></td> <td> </td></tr> <tr id="xdx_40C_ecustom--NoncashLeaseAdjustments_i02_maNCPBUzqPg_zIHCGVYtmdri" style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 0.4in"><span style="font-size: 10pt">Non-cash lease adjustments</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="krmd:NoncashLeaseAdjustments" contextRef="From2024-01-01to2024-09-30" id="Fact000295" format="ixt:numdotdecimal" decimals="0" unitRef="USD">243,762</ix:nonFraction></span></td> <td><span style="font-size: 10pt"> </span></td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="krmd:NoncashLeaseAdjustments" contextRef="From2023-01-012023-09-30" id="Fact000296" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">16,489</ix:nonFraction></span></td> <td><span style="font-size: 10pt">)</span></td></tr> <tr id="xdx_402_eus-gaap--IncreaseDecreaseInOperatingCapitalAbstract_i01B_zJhyXOTONevb" style="vertical-align: bottom"> <td style="padding-left: 0.2in"><span style="font-size: 10pt">Changes in operating assets and liabilities:</span></td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td></tr> <tr id="xdx_406_eus-gaap--IncreaseDecreaseInAccountsReceivable_i02N_di_msNCPBUzqPg_zfPGgQ5GGtr3" style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 0.4in"><span style="font-size: 10pt">Accounts receivable</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="us-gaap:IncreaseDecreaseInAccountsReceivable" contextRef="From2024-01-01to2024-09-30" id="Fact000301" format="ixt:numdotdecimal" decimals="0" unitRef="USD">1,119,490</ix:nonFraction></span></td> <td><span style="font-size: 10pt">)</span></td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="us-gaap:IncreaseDecreaseInAccountsReceivable" contextRef="From2023-01-012023-09-30" id="Fact000302" format="ixt:numdotdecimal" decimals="0" unitRef="USD">332,975</ix:nonFraction></span></td> <td><span style="font-size: 10pt">)</span></td></tr> <tr id="xdx_40C_eus-gaap--IncreaseDecreaseInInventories_i02N_di_msNCPBUzqPg_z0eF9D5ks008" style="vertical-align: bottom; background-color: white"> <td style="padding-left: 0.4in"><span style="font-size: 10pt">Inventory</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="us-gaap:IncreaseDecreaseInInventories" contextRef="From2024-01-01to2024-09-30" id="Fact000304" format="ixt:numdotdecimal" decimals="0" unitRef="USD">447,017</ix:nonFraction></span></td> <td>)</td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:IncreaseDecreaseInInventories" contextRef="From2023-01-012023-09-30" id="Fact000305" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">1,727,954</ix:nonFraction></span></td> <td> </td></tr> <tr id="xdx_40D_eus-gaap--IncreaseDecreaseInPrepaidDeferredExpenseAndOtherAssets_i02N_di_msNCPBUzqPg_zMJUCliTFSfj" style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 0.4in"><span style="font-size: 10pt">Prepaid expenses and other assets</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:IncreaseDecreaseInPrepaidDeferredExpenseAndOtherAssets" contextRef="From2024-01-01to2024-09-30" id="Fact000307" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">217,652</ix:nonFraction></span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:IncreaseDecreaseInPrepaidDeferredExpenseAndOtherAssets" contextRef="From2023-01-012023-09-30" id="Fact000308" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">87,540</ix:nonFraction></span></td> <td> </td></tr> <tr id="xdx_408_eus-gaap--IncreaseDecreaseInOtherCurrentLiabilities_i02_maNCPBUzqPg_z9ssp7GMfLtl" style="vertical-align: bottom; background-color: white"> <td style="padding-left: 0.4in"><span style="font-size: 10pt">Other liabilities</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="us-gaap:IncreaseDecreaseInOtherCurrentLiabilities" contextRef="From2024-01-01to2024-09-30" id="Fact000310" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">330,773</ix:nonFraction></span></td> <td><span style="font-size: 10pt">)</span></td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:IncreaseDecreaseInOtherCurrentLiabilities" contextRef="From2023-01-012023-09-30" id="Fact000311" format="ixt:numdotdecimal" decimals="0" unitRef="USD">243,283</ix:nonFraction></span></td> <td> </td></tr> <tr id="xdx_406_eus-gaap--IncreaseDecreaseInAccountsPayable_i02_maNCPBUzqPg_zu8xDcO6Ubo1" style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 0.4in"><span style="font-size: 10pt">Accounts payable</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:IncreaseDecreaseInAccountsPayable" contextRef="From2024-01-01to2024-09-30" id="Fact000313" format="ixt:numdotdecimal" decimals="0" unitRef="USD">695,107</ix:nonFraction></span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="us-gaap:IncreaseDecreaseInAccountsPayable" contextRef="From2023-01-012023-09-30" id="Fact000314" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">1,446,180</ix:nonFraction></span></td> <td><span style="font-size: 10pt">)</span></td></tr> <tr id="xdx_40D_eus-gaap--IncreaseDecreaseInEmployeeRelatedLiabilities_i02_maNCPBUzqPg_z4wN3aAEiqlf" style="vertical-align: bottom; background-color: white"> <td style="padding-left: 0.4in"><span style="font-size: 10pt">Accrued payroll and related taxes</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:IncreaseDecreaseInEmployeeRelatedLiabilities" contextRef="From2024-01-01to2024-09-30" id="Fact000316" format="ixt:numdotdecimal" decimals="0" unitRef="USD">303,927</ix:nonFraction></span></td> <td><span style="font-size: 10pt"> </span></td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="us-gaap:IncreaseDecreaseInEmployeeRelatedLiabilities" contextRef="From2023-01-012023-09-30" id="Fact000317" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">149,872</ix:nonFraction></span></td> <td><span style="font-size: 10pt">)</span></td></tr> <tr id="xdx_40A_eus-gaap--IncreaseDecreaseInAccruedLiabilitiesAndOtherOperatingLiabilities_i02_maNCPBUzqPg_zMDAL9MDiGf2" style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 0.4in"><span style="font-size: 10pt">Accrued expenses</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:IncreaseDecreaseInAccruedLiabilitiesAndOtherOperatingLiabilities" contextRef="From2024-01-01to2024-09-30" id="Fact000319" format="ixt:numdotdecimal" decimals="0" unitRef="USD">1,081,539</ix:nonFraction></span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="us-gaap:IncreaseDecreaseInAccruedLiabilitiesAndOtherOperatingLiabilities" contextRef="From2023-01-012023-09-30" id="Fact000320" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">1,431,412</ix:nonFraction></span></td> <td><span style="font-size: 10pt">)</span></td></tr> <tr id="xdx_407_eus-gaap--NetCashProvidedByUsedInOperatingActivities_i01T_mtNCPBUzqPg_maCCERCzxmM_zRTNNJJ3rCCf" style="vertical-align: bottom"> <td><span style="font-size: 10pt">NET CASH USED IN OPERATING ACTIVITIES</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="us-gaap:NetCashProvidedByUsedInOperatingActivities" contextRef="From2024-01-01to2024-09-30" id="Fact000322" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">1,259,333</ix:nonFraction></span></td> <td><span style="font-size: 10pt">)</span></td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="us-gaap:NetCashProvidedByUsedInOperatingActivities" contextRef="From2023-01-012023-09-30" id="Fact000323" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">5,989,358</ix:nonFraction></span></td> <td><span style="font-size: 10pt">)</span></td></tr> <tr style="vertical-align: bottom; background-color: #E6E6E6"> <td> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td></tr> <tr id="xdx_400_eus-gaap--NetCashProvidedByUsedInInvestingActivitiesAbstract_iB_zvrPpAAkrQ7g" style="vertical-align: bottom"> <td><span style="font-size: 10pt">CASH FLOWS FROM INVESTING ACTIVITIES</span></td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td></tr> <tr id="xdx_403_eus-gaap--PaymentsToAcquireProductiveAssets_i01N_di_msNCPBUz9SP_ztzSnlnHTh29" style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 0.2in"><span style="font-size: 10pt">Purchases of property and equipment</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="us-gaap:PaymentsToAcquireProductiveAssets" contextRef="From2024-01-01to2024-09-30" id="Fact000328" format="ixt:numdotdecimal" decimals="0" unitRef="USD">1,340,994</ix:nonFraction></span></td> <td><span style="font-size: 10pt">)</span></td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="us-gaap:PaymentsToAcquireProductiveAssets" contextRef="From2023-01-012023-09-30" id="Fact000329" format="ixt:numdotdecimal" decimals="0" unitRef="USD">586,897</ix:nonFraction></span></td> <td><span style="font-size: 10pt">)</span></td></tr> <tr id="xdx_40D_eus-gaap--PaymentsToAcquireIntangibleAssets_i01N_di_msNCPBUz9SP_z0dYxPWw9n7d" style="vertical-align: bottom"> <td style="padding-left: 0.2in"><span style="font-size: 10pt">Purchases of intangible assets</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="us-gaap:PaymentsToAcquireIntangibleAssets" contextRef="From2024-01-01to2024-09-30" id="Fact000331" format="ixt:numdotdecimal" decimals="0" unitRef="USD">42,786</ix:nonFraction></span></td> <td><span style="font-size: 10pt">)</span></td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="us-gaap:PaymentsToAcquireIntangibleAssets" contextRef="From2023-01-012023-09-30" id="Fact000332" format="ixt:numdotdecimal" decimals="0" unitRef="USD">19,312</ix:nonFraction></span></td> <td><span style="font-size: 10pt">)</span></td></tr> <tr id="xdx_40E_eus-gaap--NetCashProvidedByUsedInInvestingActivities_i01T_mtNCPBUz9SP_maCCERCzxmM_zZxJtzNG3dh3" style="vertical-align: bottom; background-color: #E6E6E6"> <td><span style="font-size: 10pt">NET CASH USED IN INVESTING ACTIVITIES</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="us-gaap:NetCashProvidedByUsedInInvestingActivities" contextRef="From2024-01-01to2024-09-30" id="Fact000334" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">1,383,780</ix:nonFraction></span></td> <td><span style="font-size: 10pt">)</span></td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="us-gaap:NetCashProvidedByUsedInInvestingActivities" contextRef="From2023-01-012023-09-30" id="Fact000335" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">606,209</ix:nonFraction></span></td> <td><span style="font-size: 10pt">)</span></td></tr> <tr style="vertical-align: bottom"> <td> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td></tr> <tr id="xdx_405_eus-gaap--NetCashProvidedByUsedInFinancingActivitiesAbstract_iB_z2qdF41RwhFi" style="vertical-align: bottom"> <td><span style="font-size: 10pt">CASH FLOWS FROM FINANCING ACTIVITIES</span></td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td></tr> <tr id="xdx_405_ecustom--BorrowingsFromIndebtedness_i01_maNCPBUzLOp_zHQFBHAqbB93" style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 0.2in"><span style="font-size: 10pt">Borrowings from insurance finance indebtedness</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="krmd:BorrowingsFromIndebtedness" contextRef="From2024-01-01to2024-09-30" id="Fact000340" format="ixt:numdotdecimal" decimals="0" unitRef="USD">487,516</ix:nonFraction></span></td> <td><span style="font-size: 10pt"> </span></td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="krmd:BorrowingsFromIndebtedness" contextRef="From2023-01-012023-09-30" id="Fact000341" format="ixt:numdotdecimal" decimals="0" unitRef="USD">565,172</ix:nonFraction></span></td> <td><span style="font-size: 10pt"> </span></td></tr> <tr id="xdx_406_ecustom--PaymentsOnIndebtedness_i01N_di_msNCPBUzLOp_zZaqmd2JBb6h" style="vertical-align: bottom"> <td style="padding-left: 0.2in"><span style="font-size: 10pt">Payments on insurance finance indebtedness</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="krmd:PaymentsOnIndebtedness" contextRef="From2024-01-01to2024-09-30" id="Fact000343" format="ixt:numdotdecimal" decimals="0" unitRef="USD">399,867</ix:nonFraction></span></td> <td><span style="font-size: 10pt">)</span></td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="krmd:PaymentsOnIndebtedness" contextRef="From2023-01-012023-09-30" id="Fact000344" format="ixt:numdotdecimal" decimals="0" unitRef="USD">532,441</ix:nonFraction></span></td> <td><span style="font-size: 10pt">)</span></td></tr> <tr id="xdx_402_eus-gaap--FinanceLeasePrincipalPayments_i01N_di_msNCPBUzLOp_z6yCxZBXJpJ1" style="background-color: #E6E6E6"> <td style="vertical-align: bottom; padding-left: 0.2in"><span style="font-size: 10pt">Payments on finance lease liability</span></td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: top; text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="us-gaap:FinanceLeasePrincipalPayments" contextRef="From2024-01-01to2024-09-30" id="Fact000346" format="ixt:numdotdecimal" decimals="0" unitRef="USD">81,534</ix:nonFraction></span></td> <td style="vertical-align: top"><span style="font-size: 10pt">)</span></td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: top; text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="us-gaap:FinanceLeasePrincipalPayments" contextRef="From2023-01-012023-09-30" id="Fact000347" format="ixt:numdotdecimal" decimals="0" unitRef="USD">73,243</ix:nonFraction></span></td> <td style="vertical-align: top"><span style="font-size: 10pt">)</span></td></tr> <tr id="xdx_40D_eus-gaap--PaymentsForOtherTaxes_i01N_di_msNCPBUzLOp_zRNEXorTFCQ3" style="vertical-align: bottom"> <td style="padding-left: 0.2in"><span style="font-size: 10pt">Payments for taxes related to net share settlement of equity awards</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="us-gaap:PaymentsForOtherTaxes" contextRef="From2024-01-01to2024-09-30" id="Fact000349" format="ixt:numdotdecimal" decimals="0" unitRef="USD">38,932</ix:nonFraction></span></td> <td><span style="font-size: 10pt">)</span></td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt"><span style="-sec-ix-hidden: xdx2ixbrl0350">—</span></span></td> <td> </td></tr> <tr id="xdx_400_eus-gaap--NetCashProvidedByUsedInFinancingActivities_mtNCPBUzLOp_maCCERCzxmM_zCLT18fWAzw8" style="vertical-align: bottom; background-color: #E6E6E6"> <td><span style="font-size: 10pt">NET CASH USED IN FINANCING ACTIVITIES</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="us-gaap:NetCashProvidedByUsedInFinancingActivities" contextRef="From2024-01-01to2024-09-30" id="Fact000352" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">32,817</ix:nonFraction></span></td> <td><span style="font-size: 10pt">)</span></td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="us-gaap:NetCashProvidedByUsedInFinancingActivities" contextRef="From2023-01-012023-09-30" id="Fact000353" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">40,512</ix:nonFraction></span></td> <td><span style="font-size: 10pt">)</span></td></tr> <tr style="vertical-align: bottom"> <td> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td></tr> <tr id="xdx_407_eus-gaap--CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalentsPeriodIncreaseDecreaseIncludingExchangeRateEffect_iT_mtCCERCzxmM_zIRiuC6DXTO" style="vertical-align: bottom; background-color: #E6E6E6"> <td><span style="font-size: 10pt">NET DECREASE IN CASH AND CASH EQUIVALENTS</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="us-gaap:CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalentsPeriodIncreaseDecreaseIncludingExchangeRateEffect" contextRef="From2024-01-01to2024-09-30" id="Fact000355" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">2,675,930</ix:nonFraction></span></td> <td><span style="font-size: 10pt">)</span></td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="us-gaap:CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalentsPeriodIncreaseDecreaseIncludingExchangeRateEffect" contextRef="From2023-01-012023-09-30" id="Fact000356" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">6,636,079</ix:nonFraction></span></td> <td><span style="font-size: 10pt">)</span></td></tr> <tr id="xdx_402_eus-gaap--CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalentsIncludingDisposalGroupAndDiscontinuedOperations_iS_zqEVz0xcr7Ih" style="vertical-align: bottom"> <td><span style="font-size: 10pt">CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalentsIncludingDisposalGroupAndDiscontinuedOperations" contextRef="AsOf2023-12-31" id="Fact000358" format="ixt:numdotdecimal" decimals="0" unitRef="USD">11,482,240</ix:nonFraction></span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalentsIncludingDisposalGroupAndDiscontinuedOperations" contextRef="AsOf2022-12-31" id="Fact000359" format="ixt:numdotdecimal" decimals="0" unitRef="USD">17,408,257</ix:nonFraction></span></td> <td> </td></tr> <tr id="xdx_406_eus-gaap--CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalentsIncludingDisposalGroupAndDiscontinuedOperations_iE_zSd67HhPG6F" style="vertical-align: bottom; background-color: #E6E6E6"> <td><span style="font-size: 10pt">CASH AND CASH EQUIVALENTS, END OF PERIOD</span></td> <td> </td> <td style="border-bottom: black 2.25pt double"><span style="font-size: 10pt">$</span></td> <td style="border-bottom: black 2.25pt double; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalentsIncludingDisposalGroupAndDiscontinuedOperations" contextRef="AsOf2024-09-30" id="Fact000361" format="ixt:numdotdecimal" decimals="0" unitRef="USD">8,806,310</ix:nonFraction></span></td> <td> </td> <td style="border-bottom: black 2.25pt double"><span style="font-size: 10pt">$</span></td> <td style="border-bottom: black 2.25pt double; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalentsIncludingDisposalGroupAndDiscontinuedOperations" contextRef="AsOf2023-09-30" id="Fact000362" format="ixt:numdotdecimal" decimals="0" unitRef="USD">10,772,178</ix:nonFraction></span></td> <td> </td></tr> <tr style="vertical-align: bottom"> <td> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td></tr> <tr id="xdx_404_eus-gaap--SupplementalCashFlowInformationAbstract_iB_z07ko9AbThsg" style="vertical-align: bottom; background-color: #E6E6E6"> <td><span style="font-size: 10pt">Supplemental Information</span></td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td></tr> <tr id="xdx_400_ecustom--CashPaidDuringPeriodsForAbstract_iB_zgaaGDo1MOTc" style="vertical-align: bottom"> <td><span style="font-size: 10pt">Cash paid during the periods for:</span></td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td></tr> <tr id="xdx_409_eus-gaap--InterestPaidNet_i01_z8emHlQln1gb" style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 0.2in"><span style="font-size: 10pt">Interest</span></td> <td> </td> <td style="border-bottom: black 2.25pt double"><span style="font-size: 10pt">$</span></td> <td style="border-bottom: black 2.25pt double; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:InterestPaidNet" contextRef="From2024-01-01to2024-09-30" id="Fact000370" format="ixt:numdotdecimal" decimals="0" unitRef="USD">46,014</ix:nonFraction></span></td> <td> </td> <td style="border-bottom: black 2.25pt double"><span style="font-size: 10pt">$</span></td> <td style="border-bottom: black 2.25pt double; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:InterestPaidNet" contextRef="From2023-01-012023-09-30" id="Fact000371" format="ixt:numdotdecimal" decimals="0" unitRef="USD">34,773</ix:nonFraction></span></td> <td> </td></tr> <tr id="xdx_407_eus-gaap--IncomeTaxesPaidNet_i01_ztRAakqAl369" style="vertical-align: bottom"> <td style="padding-left: 0.2in"><span style="font-size: 10pt">Income taxes</span></td> <td> </td> <td style="border-bottom: black 2.25pt double"><span style="font-size: 10pt">$</span></td> <td style="border-bottom: black 2.25pt double; text-align: right"><span style="font-size: 10pt"><span style="-sec-ix-hidden: xdx2ixbrl0373">—</span></span></td> <td> </td> <td style="border-bottom: black 2.25pt double"><span style="font-size: 10pt">$</span></td> <td style="border-bottom: black 2.25pt double; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:IncomeTaxesPaidNet" contextRef="From2023-01-012023-09-30" id="Fact000374" format="ixt:numdotdecimal" decimals="0" unitRef="USD">3,160</ix:nonFraction></span></td> <td> </td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center">The accompanying notes are an integral part of these financial statements.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt TIMES NEW ROMAN, TIMES, SERIF; margin: 0; text-align: center">- 5 -</p> <hr style="border-width: 0; color: Gray; background-color: Gray; height: 2px; width: 100%"/><p style="break-before: always"></p> <p style="font: 8pt Times New Roman, Times, Serif; margin: 0"><i><a href="#toc"><span style="color: Blue">Table of Contents</span></a></i></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><span id="se"></span><b>KORU MEDICAL SYSTEMS, INC.</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><b>STATEMENTS OF STOCKHOLDERS’ EQUITY</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><b>(UNAUDITED)</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><b>Three and Nine Months Ended September 30, 2024</b></p> <table cellspacing="0" cellpadding="0" id="xdx_305_114_zmpU31CHLDT4" summary="xdx: Statement - STATEMENTS OF STOCKHOLDERS' EQUITY (UNAUDITED)" style="font: 10pt Times New Roman, Times, Serif; width: 7.5in; border-collapse: collapse"> <tr style="vertical-align: bottom"> <td style="width: 28%"> </td> <td style="width: 1%"> </td> <td style="width: 9%"> </td> <td style="width: 2%"> </td> <td style="width: 1%"> </td> <td id="xdx_4BB_us-gaap--StatementEquityComponentsAxis_us-gaap--CommonStockMember_zGFFCrZFNGE" style="width: 7%"> </td> <td style="width: 2%"> </td> <td style="width: 1%"> </td> <td id="xdx_4BF_us-gaap--StatementEquityComponentsAxis_us-gaap--AdditionalPaidInCapitalMember_z7pz95bFCzM1" style="width: 9%"> </td> <td style="width: 2%"> </td> <td style="width: 1%"> </td> <td id="xdx_4BB_us-gaap--StatementEquityComponentsAxis_us-gaap--RetainedEarningsMember_zAgiM4vIk7Oa" style="width: 10%"> </td> <td style="width: 2%"> </td> <td style="width: 1%"> </td> <td id="xdx_4B9_us-gaap--StatementEquityComponentsAxis_us-gaap--TreasuryStockCommonMember_zdPabM4U3srk" style="width: 9%"> </td> <td style="width: 2%"> </td> <td style="width: 1%"> </td> <td id="xdx_4B2_zCEKbDEV30El" style="width: 11%"> </td> <td style="width: 1%"> </td></tr> <tr style="vertical-align: bottom"> <td> </td> <td> </td> <td colspan="4"> </td> <td> </td> <td colspan="2" style="text-align: center"><b>Additional</b></td> <td> </td> <td colspan="2"> </td> <td> </td> <td colspan="2"> </td> <td> </td> <td colspan="2" style="text-align: center"><b>Total</b></td> <td> </td></tr> <tr style="vertical-align: bottom"> <td> </td> <td> </td> <td colspan="4" style="border-bottom: black 1pt solid; text-align: center"><b>Common Stock</b></td> <td> </td> <td colspan="2" style="text-align: center"><b>Paid-in</b></td> <td> </td> <td colspan="2" style="text-align: center"><b>Retained</b></td> <td> </td> <td colspan="2" style="text-align: center"><b>Treasury</b></td> <td> </td> <td colspan="2" style="text-align: center"><b>Stockholders’</b></td> <td> </td></tr> <tr style="vertical-align: bottom"> <td> </td> <td> </td> <td style="border-bottom: black 1pt solid; text-align: center"><b>Shares</b></td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><b>Amount</b></td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><b>Capital</b></td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><b>Deficit</b></td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><b>Stock</b></td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><b>Equity</b></td> <td> </td></tr> <tr style="vertical-align: bottom"> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td></tr> <tr id="xdx_43A_c20240101__20240331_eus-gaap--StockholdersEquity_iS_z4WDEJupKlZf" style="vertical-align: bottom; background-color: #E7E6E6"> <td style="padding-left: 8.25pt; text-indent: -8.25pt">BALANCE, DECEMBER 31, 2023</td> <td> </td> <td id="xdx_98B_eus-gaap--SharesOutstanding_iS_pid_uShares_c20240101__20240331__us-gaap--StatementEquityComponentsAxis__us-gaap--CommonStockMember_zfXX6lKQoa2c" title="Beginning balance (in shares)" style="text-align: right"><ix:nonFraction name="us-gaap:SharesOutstanding" contextRef="AsOf2023-12-31_us-gaap_CommonStockMember" id="Fact000382" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">49,089,864</ix:nonFraction></td> <td> </td> <td>$</td> <td style="text-align: right"><ix:nonFraction name="us-gaap:StockholdersEquity" contextRef="AsOf2023-12-31_us-gaap_CommonStockMember" id="Fact000376" format="ixt:numdotdecimal" decimals="0" unitRef="USD">490,899</ix:nonFraction></td> <td> </td> <td>$</td> <td style="text-align: right"><ix:nonFraction name="us-gaap:StockholdersEquity" contextRef="AsOf2023-12-31_us-gaap_AdditionalPaidInCapitalMember" id="Fact000377" format="ixt:numdotdecimal" decimals="0" unitRef="USD">47,018,707</ix:nonFraction></td> <td> </td> <td>$</td> <td style="text-align: right">(<ix:nonFraction name="us-gaap:StockholdersEquity" contextRef="AsOf2023-12-31_us-gaap_RetainedEarningsMember" id="Fact000378" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">23,312,273</ix:nonFraction></td> <td>)</td> <td>$</td> <td style="text-align: right">(<ix:nonFraction name="us-gaap:StockholdersEquity" contextRef="AsOf2023-12-31_us-gaap_TreasuryStockCommonMember" id="Fact000379" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">3,843,562</ix:nonFraction></td> <td>)</td> <td>$</td> <td style="text-align: right"><ix:nonFraction name="us-gaap:StockholdersEquity" contextRef="AsOf2023-12-31" id="Fact000380" format="ixt:numdotdecimal" decimals="0" unitRef="USD">20,353,771</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_433_c20240101__20240331_eus-gaap--StockIssuedDuringPeriodValueShareBasedCompensation_zMlW5QLdixmh" style="vertical-align: bottom"> <td style="padding-left: 8.25pt; text-indent: -8.25pt">Issuance of stock-based compensation</td> <td> </td> <td id="xdx_985_eus-gaap--StockIssuedDuringPeriodSharesShareBasedCompensation_pid_uShares_c20240101__20240331__us-gaap--StatementEquityComponentsAxis__us-gaap--CommonStockMember_zzV5A8ECYe" title="Issuance of stock-based compensation (in shares)" style="text-align: right"><ix:nonFraction name="us-gaap:StockIssuedDuringPeriodSharesShareBasedCompensation" contextRef="From2024-01-012024-03-31_us-gaap_CommonStockMember" id="Fact000390" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">53,725</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:StockIssuedDuringPeriodValueShareBasedCompensation" contextRef="From2024-01-012024-03-31_us-gaap_CommonStockMember" id="Fact000384" format="ixt:numdotdecimal" decimals="0" unitRef="USD">537</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:StockIssuedDuringPeriodValueShareBasedCompensation" contextRef="From2024-01-012024-03-31_us-gaap_AdditionalPaidInCapitalMember" id="Fact000385" format="ixt:numdotdecimal" decimals="0" unitRef="USD">123,267</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0386">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0387">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:StockIssuedDuringPeriodValueShareBasedCompensation" contextRef="From2024-01-012024-03-31" id="Fact000388" format="ixt:numdotdecimal" decimals="0" unitRef="USD">123,804</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_437_c20240101__20240331_eus-gaap--AdjustmentsToAdditionalPaidInCapitalShareBasedCompensationStockOptionsRequisiteServicePeriodRecognition_zv3MMXAiUVZ4" style="vertical-align: bottom; background-color: #E7E6E6"> <td style="padding-left: 8.25pt; text-indent: -8.25pt">Compensation expense related to stock options </td> <td> </td> <td style="text-align: right">—</td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0392">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:AdjustmentsToAdditionalPaidInCapitalShareBasedCompensationStockOptionsRequisiteServicePeriodRecognition" contextRef="From2024-01-012024-03-31_us-gaap_AdditionalPaidInCapitalMember" id="Fact000393" format="ixt:numdotdecimal" decimals="0" unitRef="USD">393,113</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0394">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0395">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:AdjustmentsToAdditionalPaidInCapitalShareBasedCompensationStockOptionsRequisiteServicePeriodRecognition" contextRef="From2024-01-012024-03-31" id="Fact000396" format="ixt:numdotdecimal" decimals="0" unitRef="USD">393,113</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_436_c20240101__20240331_eus-gaap--AdjustmentsToAdditionalPaidInCapitalStockIssuedIssuanceCosts_za3DHuCJHrfc" style="vertical-align: bottom"> <td style="padding-left: 8.25pt; text-indent: -8.25pt">Compensation related to restricted stock</td> <td> </td> <td style="text-align: right">—</td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0398">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:AdjustmentsToAdditionalPaidInCapitalStockIssuedIssuanceCosts" contextRef="From2024-01-012024-03-31_us-gaap_AdditionalPaidInCapitalMember" id="Fact000399" format="ixt:numdotdecimal" decimals="0" unitRef="USD">130,676</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0400">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0401">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:AdjustmentsToAdditionalPaidInCapitalStockIssuedIssuanceCosts" contextRef="From2024-01-012024-03-31" id="Fact000402" format="ixt:numdotdecimal" decimals="0" unitRef="USD">130,676</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_43F_c20240101__20240331_eus-gaap--IssuanceOfStockAndWarrantsForServicesOrClaims_ztpJDbuPnwc" style="vertical-align: bottom; background-color: #E7E6E6"> <td style="padding-left: 8.25pt; text-indent: -8.25pt">Issuance of warrants</td> <td> </td> <td style="text-align: right">—</td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0404">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:IssuanceOfStockAndWarrantsForServicesOrClaims" contextRef="From2024-01-012024-03-31_us-gaap_AdditionalPaidInCapitalMember" id="Fact000405" format="ixt:numdotdecimal" decimals="0" unitRef="USD">52,125</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0406">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0407">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:IssuanceOfStockAndWarrantsForServicesOrClaims" contextRef="From2024-01-012024-03-31" id="Fact000408" format="ixt:numdotdecimal" decimals="0" unitRef="USD">52,125</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_432_c20240101__20240331_eus-gaap--NetIncomeLoss_z292pLA4GMKa" style="vertical-align: bottom"> <td style="padding-left: 8.25pt; text-indent: -8.25pt">Net loss</td> <td> </td> <td style="border-bottom: black 1pt solid; text-align: right">—</td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0410">—</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0411">—</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right">(<ix:nonFraction name="us-gaap:NetIncomeLoss" contextRef="From2024-01-012024-03-31_us-gaap_RetainedEarningsMember" id="Fact000412" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">1,935,958</ix:nonFraction></td> <td>)</td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0413">—</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right">(<ix:nonFraction name="us-gaap:NetIncomeLoss" contextRef="From2024-01-012024-03-31" id="Fact000414" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">1,935,958</ix:nonFraction></td> <td>)</td></tr> <tr id="xdx_433_c20240401__20240630_eus-gaap--StockholdersEquity_iS_zDf39l6dQiag" style="vertical-align: bottom; background-color: #E7E6E6"> <td style="padding-left: 8.25pt; text-indent: -8.25pt">BALANCE, MARCH 31, 2024</td> <td> </td> <td id="xdx_982_eus-gaap--SharesOutstanding_iS_pid_uShares_c20240401__20240630__us-gaap--StatementEquityComponentsAxis__us-gaap--CommonStockMember_zkjqVvsJFEP1" title="Ending balance (in shares)" style="border-bottom: black 2.25pt double; text-align: right"><ix:nonFraction name="us-gaap:SharesOutstanding" contextRef="AsOf2024-03-31_us-gaap_CommonStockMember" id="Fact000422" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">49,143,589</ix:nonFraction></td> <td> </td> <td style="border-bottom: black 2.25pt double">$</td> <td style="border-bottom: black 2.25pt double; text-align: right"><ix:nonFraction name="us-gaap:StockholdersEquity" contextRef="AsOf2024-03-31_us-gaap_CommonStockMember" id="Fact000416" format="ixt:numdotdecimal" decimals="0" unitRef="USD">491,436</ix:nonFraction></td> <td> </td> <td style="border-bottom: black 2.25pt double">$</td> <td style="border-bottom: black 2.25pt double; text-align: right"><ix:nonFraction name="us-gaap:StockholdersEquity" contextRef="AsOf2024-03-31_us-gaap_AdditionalPaidInCapitalMember" id="Fact000417" format="ixt:numdotdecimal" decimals="0" unitRef="USD">47,717,888</ix:nonFraction></td> <td> </td> <td style="border-bottom: black 2.25pt double">$</td> <td style="border-bottom: black 2.25pt double; text-align: right">(<ix:nonFraction name="us-gaap:StockholdersEquity" contextRef="AsOf2024-03-31_us-gaap_RetainedEarningsMember" id="Fact000418" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">25,248,231</ix:nonFraction></td> <td style="border-bottom: white 1.5pt double">)</td> <td style="border-bottom: black 2.25pt double">$</td> <td style="border-bottom: black 2.25pt double; text-align: right">(<ix:nonFraction name="us-gaap:StockholdersEquity" contextRef="AsOf2024-03-31_us-gaap_TreasuryStockCommonMember" id="Fact000419" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">3,843,562</ix:nonFraction></td> <td style="border-bottom: white 1.5pt double">)</td> <td style="border-bottom: black 2.25pt double">$</td> <td style="border-bottom: black 2.25pt double; text-align: right"><ix:nonFraction name="us-gaap:StockholdersEquity" contextRef="AsOf2024-03-31" id="Fact000420" format="ixt:numdotdecimal" decimals="0" unitRef="USD">19,117,531</ix:nonFraction></td> <td> </td></tr> <tr style="vertical-align: bottom"> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td></tr> <tr id="xdx_43F_c20240401__20240630_eus-gaap--StockIssuedDuringPeriodValueShareBasedCompensation_zr1vhAv5YoD6" style="vertical-align: bottom"> <td style="padding-left: 8.25pt; text-indent: -8.25pt">Issuance of stock-based compensation</td> <td> </td> <td id="xdx_985_eus-gaap--StockIssuedDuringPeriodSharesShareBasedCompensation_pid_uShares_c20240401__20240630__us-gaap--StatementEquityComponentsAxis__us-gaap--CommonStockMember_zvHwMB7Z8ukb" title="Issuance of stock-based compensation (in shares)" style="text-align: right"><ix:nonFraction name="us-gaap:StockIssuedDuringPeriodSharesShareBasedCompensation" contextRef="From2024-04-012024-06-30_us-gaap_CommonStockMember" id="Fact000430" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">41,138</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:StockIssuedDuringPeriodValueShareBasedCompensation" contextRef="From2024-04-012024-06-30_us-gaap_CommonStockMember" id="Fact000424" format="ixt:numdotdecimal" decimals="0" unitRef="USD">411</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:StockIssuedDuringPeriodValueShareBasedCompensation" contextRef="From2024-04-012024-06-30_us-gaap_AdditionalPaidInCapitalMember" id="Fact000425" format="ixt:numdotdecimal" decimals="0" unitRef="USD">136,020</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0426">—</span></td> <td> </td> <td> </td> <td style="text-align: right">(<ix:nonFraction name="us-gaap:StockIssuedDuringPeriodValueShareBasedCompensation" contextRef="From2024-04-012024-06-30_us-gaap_TreasuryStockCommonMember" id="Fact000427" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">38,932</ix:nonFraction></td> <td>)</td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:StockIssuedDuringPeriodValueShareBasedCompensation" contextRef="From2024-04-012024-06-30" id="Fact000428" format="ixt:numdotdecimal" decimals="0" unitRef="USD">97,500</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_438_c20240401__20240630_eus-gaap--AdjustmentsToAdditionalPaidInCapitalShareBasedCompensationStockOptionsRequisiteServicePeriodRecognition_zoGMT2HhL648" style="vertical-align: bottom; background-color: #E7E6E6"> <td style="padding-left: 8.25pt; text-indent: -8.25pt">Compensation expense related to stock options </td> <td> </td> <td style="text-align: right">—</td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0432">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:AdjustmentsToAdditionalPaidInCapitalShareBasedCompensationStockOptionsRequisiteServicePeriodRecognition" contextRef="From2024-04-012024-06-30_us-gaap_AdditionalPaidInCapitalMember" id="Fact000433" format="ixt:numdotdecimal" decimals="0" unitRef="USD">401,218</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0434">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0435">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:AdjustmentsToAdditionalPaidInCapitalShareBasedCompensationStockOptionsRequisiteServicePeriodRecognition" contextRef="From2024-04-012024-06-30" id="Fact000436" format="ixt:numdotdecimal" decimals="0" unitRef="USD">401,218</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_43E_c20240401__20240630_eus-gaap--AdjustmentsToAdditionalPaidInCapitalStockIssuedIssuanceCosts_zif06TFyxGsb" style="vertical-align: bottom"> <td style="padding-left: 8.25pt; text-indent: -8.25pt">Compensation related to restricted stock</td> <td> </td> <td id="xdx_98D_ecustom--CompensationeExpenseRelatedToRestrictedStockAwards_iP3us-gaap--AdjustmentsToAdditionalPaidInCapitalStockIssuedIssuanceCosts_pid_uShares_c20240401__20240630__us-gaap--StatementEquityComponentsAxis__us-gaap--CommonStockMember_zbaG78lu6bhe" title="Compensation expense related to restricted stock (in shares)" style="text-align: right"><ix:nonFraction name="krmd:CompensationeExpenseRelatedToRestrictedStockAwards" contextRef="From2024-04-012024-06-30_us-gaap_CommonStockMember" id="Fact000444" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">55,061</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:AdjustmentsToAdditionalPaidInCapitalStockIssuedIssuanceCosts" contextRef="From2024-04-012024-06-30_us-gaap_CommonStockMember" id="Fact000438" format="ixt:numdotdecimal" decimals="0" unitRef="USD">551</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:AdjustmentsToAdditionalPaidInCapitalStockIssuedIssuanceCosts" contextRef="From2024-04-012024-06-30_us-gaap_AdditionalPaidInCapitalMember" id="Fact000439" format="ixt:numdotdecimal" decimals="0" unitRef="USD">63,434</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0440">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0441">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:AdjustmentsToAdditionalPaidInCapitalStockIssuedIssuanceCosts" contextRef="From2024-04-012024-06-30" id="Fact000442" format="ixt:numdotdecimal" decimals="0" unitRef="USD">63,984</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_439_c20240401__20240630_eus-gaap--IssuanceOfStockAndWarrantsForServicesOrClaims_zHVZ5igYs47a" style="vertical-align: bottom; background-color: #E7E6E6"> <td style="padding-left: 8.25pt; text-indent: -8.25pt">Issuance of warrants</td> <td> </td> <td style="text-align: right">—</td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0446">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:IssuanceOfStockAndWarrantsForServicesOrClaims" contextRef="From2024-04-012024-06-30_us-gaap_AdditionalPaidInCapitalMember" id="Fact000447" format="ixt:numdotdecimal" decimals="0" unitRef="USD">13,032</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0448">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0449">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:IssuanceOfStockAndWarrantsForServicesOrClaims" contextRef="From2024-04-012024-06-30" id="Fact000450" format="ixt:numdotdecimal" decimals="0" unitRef="USD">13,032</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_432_c20240401__20240630_eus-gaap--NetIncomeLoss_zeVWF3Zvlxgb" style="vertical-align: bottom"> <td style="padding-left: 8.25pt; text-indent: -8.25pt">Net loss</td> <td> </td> <td style="border-bottom: black 1pt solid; text-align: right">—</td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0452">—</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0453">—</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right">(<ix:nonFraction name="us-gaap:NetIncomeLoss" contextRef="From2024-04-012024-06-30_us-gaap_RetainedEarningsMember" id="Fact000454" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">988,715</ix:nonFraction></td> <td>)</td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0455">—</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right">(<ix:nonFraction name="us-gaap:NetIncomeLoss" contextRef="From2024-04-012024-06-30" id="Fact000456" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">988,715</ix:nonFraction></td> <td>)</td></tr> <tr id="xdx_43D_c20240701__20240930_eus-gaap--StockholdersEquity_iS_zTIwOk5Sbjwh" style="vertical-align: bottom; background-color: #E7E6E6"> <td style="padding-left: 8.25pt; text-indent: -8.25pt">BALANCE, JUNE 30, 2024</td> <td> </td> <td id="xdx_981_eus-gaap--SharesOutstanding_iS_pid_uShares_c20240701__20240930__us-gaap--StatementEquityComponentsAxis__us-gaap--CommonStockMember_zCziXQquVhpl" title="Ending balance (in shares)" style="border-bottom: black 2.25pt double; text-align: right"><ix:nonFraction name="us-gaap:SharesOutstanding" contextRef="AsOf2024-06-30_us-gaap_CommonStockMember" id="Fact000464" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">49,239,788</ix:nonFraction></td> <td> </td> <td style="border-bottom: black 2.25pt double">$</td> <td style="border-bottom: black 2.25pt double; text-align: right"><ix:nonFraction name="us-gaap:StockholdersEquity" contextRef="AsOf2024-06-30_us-gaap_CommonStockMember" id="Fact000458" format="ixt:numdotdecimal" decimals="0" unitRef="USD">492,398</ix:nonFraction></td> <td> </td> <td style="border-bottom: black 2.25pt double">$</td> <td style="border-bottom: black 2.25pt double; text-align: right"><ix:nonFraction name="us-gaap:StockholdersEquity" contextRef="AsOf2024-06-30_us-gaap_AdditionalPaidInCapitalMember" id="Fact000459" format="ixt:numdotdecimal" decimals="0" unitRef="USD">48,331,591</ix:nonFraction></td> <td> </td> <td style="border-bottom: black 2.25pt double">$</td> <td style="border-bottom: black 2.25pt double; text-align: right">(<ix:nonFraction name="us-gaap:StockholdersEquity" contextRef="AsOf2024-06-30_us-gaap_RetainedEarningsMember" id="Fact000460" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">26,236,946</ix:nonFraction></td> <td style="border-bottom: white 1.5pt double">)</td> <td style="border-bottom: black 2.25pt double">$</td> <td style="border-bottom: black 2.25pt double; text-align: right">(<ix:nonFraction name="us-gaap:StockholdersEquity" contextRef="AsOf2024-06-30_us-gaap_TreasuryStockCommonMember" id="Fact000461" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">3,882,493</ix:nonFraction></td> <td style="border-bottom: white 1.5pt double">)</td> <td style="border-bottom: black 2.25pt double">$</td> <td style="border-bottom: black 2.25pt double; text-align: right"><ix:nonFraction name="us-gaap:StockholdersEquity" contextRef="AsOf2024-06-30" id="Fact000462" format="ixt:numdotdecimal" decimals="0" unitRef="USD">18,704,550</ix:nonFraction></td> <td> </td></tr> <tr style="vertical-align: bottom"> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td></tr> <tr id="xdx_432_c20240701__20240930_eus-gaap--StockIssuedDuringPeriodValueShareBasedCompensation_zlRl8zJc533d" style="vertical-align: bottom"> <td style="padding-left: 8.25pt; text-indent: -8.25pt">Issuance of stock-based compensation</td> <td> </td> <td id="xdx_985_eus-gaap--StockIssuedDuringPeriodSharesShareBasedCompensation_pid_uShares_c20240701__20240930__us-gaap--StatementEquityComponentsAxis__us-gaap--CommonStockMember_zZAjxf5jJWA6" title="Issuance of stock-based compensation (in shares)" style="text-align: right"><ix:nonFraction name="us-gaap:StockIssuedDuringPeriodSharesShareBasedCompensation" contextRef="From2024-07-012024-09-30_us-gaap_CommonStockMember" id="Fact000472" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">36,042</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:StockIssuedDuringPeriodValueShareBasedCompensation" contextRef="From2024-07-012024-09-30_us-gaap_CommonStockMember" id="Fact000466" format="ixt:numdotdecimal" decimals="0" unitRef="USD">360</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:StockIssuedDuringPeriodValueShareBasedCompensation" contextRef="From2024-07-012024-09-30_us-gaap_AdditionalPaidInCapitalMember" id="Fact000467" format="ixt:numdotdecimal" decimals="0" unitRef="USD">97,140</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0468">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0469">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:StockIssuedDuringPeriodValueShareBasedCompensation" contextRef="From2024-07-012024-09-30" id="Fact000470" format="ixt:numdotdecimal" decimals="0" unitRef="USD">97,500</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_439_c20240701__20240930_eus-gaap--AdjustmentsToAdditionalPaidInCapitalShareBasedCompensationStockOptionsRequisiteServicePeriodRecognition_zoO9Wr4SKh37" style="vertical-align: bottom; background-color: #E7E6E6"> <td style="padding-left: 8.25pt; text-indent: -8.25pt">Compensation expense related to stock options </td> <td> </td> <td style="text-align: right">—</td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0474">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:AdjustmentsToAdditionalPaidInCapitalShareBasedCompensationStockOptionsRequisiteServicePeriodRecognition" contextRef="From2024-07-012024-09-30_us-gaap_AdditionalPaidInCapitalMember" id="Fact000475" format="ixt:numdotdecimal" decimals="0" unitRef="USD">305,376</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0476">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0477">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:AdjustmentsToAdditionalPaidInCapitalShareBasedCompensationStockOptionsRequisiteServicePeriodRecognition" contextRef="From2024-07-012024-09-30" id="Fact000478" format="ixt:numdotdecimal" decimals="0" unitRef="USD">305,376</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_435_c20240701__20240930_eus-gaap--AdjustmentsToAdditionalPaidInCapitalStockIssuedIssuanceCosts_zZToTdxxJOSc" style="vertical-align: bottom"> <td style="padding-left: 8.25pt; text-indent: -8.25pt">Compensation related to restricted stock</td> <td> </td> <td style="text-align: right">—</td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0480">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:AdjustmentsToAdditionalPaidInCapitalStockIssuedIssuanceCosts" contextRef="From2024-07-012024-09-30_us-gaap_AdditionalPaidInCapitalMember" id="Fact000481" format="ixt:numdotdecimal" decimals="0" unitRef="USD">193,839</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0482">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0483">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:AdjustmentsToAdditionalPaidInCapitalStockIssuedIssuanceCosts" contextRef="From2024-07-012024-09-30" id="Fact000484" format="ixt:numdotdecimal" decimals="0" unitRef="USD">193,839</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_437_c20240701__20240930_eus-gaap--IssuanceOfStockAndWarrantsForServicesOrClaims_zSdiiLTqUOW8" style="vertical-align: bottom; background-color: #E7E6E6"> <td style="padding-left: 8.25pt; text-indent: -8.25pt">Issuance of warrants</td> <td> </td> <td style="text-align: right">—</td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0486">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:IssuanceOfStockAndWarrantsForServicesOrClaims" contextRef="From2024-07-012024-09-30_us-gaap_AdditionalPaidInCapitalMember" id="Fact000487" format="ixt:numdotdecimal" decimals="0" unitRef="USD">13,032</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0488">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0489">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:IssuanceOfStockAndWarrantsForServicesOrClaims" contextRef="From2024-07-012024-09-30" id="Fact000490" format="ixt:numdotdecimal" decimals="0" unitRef="USD">13,032</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_436_c20240701__20240930_eus-gaap--NetIncomeLoss_zimTAXLRwdtl" style="vertical-align: bottom"> <td style="padding-left: 8.25pt; text-indent: -8.25pt">Net loss</td> <td> </td> <td style="border-bottom: black 1pt solid; text-align: right">—</td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0492">—</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0493">—</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right">(<ix:nonFraction name="us-gaap:NetIncomeLoss" contextRef="From2024-07-012024-09-30_us-gaap_RetainedEarningsMember" id="Fact000494" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">1,580,817</ix:nonFraction></td> <td>)</td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0495">—</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right">(<ix:nonFraction name="us-gaap:NetIncomeLoss" contextRef="From2024-07-012024-09-30" id="Fact000496" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">1,580,817</ix:nonFraction></td> <td>)</td></tr> <tr id="xdx_43E_c20240701__20240930_eus-gaap--StockholdersEquity_iE_zWT0N0F9g7ec" style="vertical-align: bottom; background-color: #E7E6E6"> <td style="padding-left: 8.25pt; text-indent: -8.25pt">BALANCE, SEPTEMBER 30, 2024</td> <td> </td> <td id="xdx_98B_eus-gaap--SharesOutstanding_iE_pid_uShares_c20240701__20240930__us-gaap--StatementEquityComponentsAxis__us-gaap--CommonStockMember_z1gySwf2pJGf" title="Ending balance (in shares)" style="border-bottom: black 2.25pt double; text-align: right"><ix:nonFraction name="us-gaap:SharesOutstanding" contextRef="AsOf2024-09-30_us-gaap_CommonStockMember" id="Fact000504" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">49,275,830</ix:nonFraction></td> <td> </td> <td style="border-bottom: black 2.25pt double">$</td> <td style="border-bottom: black 2.25pt double; text-align: right"><ix:nonFraction name="us-gaap:StockholdersEquity" contextRef="AsOf2024-09-30_us-gaap_CommonStockMember" id="Fact000498" format="ixt:numdotdecimal" decimals="0" unitRef="USD">492,758</ix:nonFraction></td> <td> </td> <td style="border-bottom: black 2.25pt double">$</td> <td style="border-bottom: black 2.25pt double; text-align: right"><ix:nonFraction name="us-gaap:StockholdersEquity" contextRef="AsOf2024-09-30_us-gaap_AdditionalPaidInCapitalMember" id="Fact000499" format="ixt:numdotdecimal" decimals="0" unitRef="USD">48,940,978</ix:nonFraction></td> <td> </td> <td style="border-bottom: black 2.25pt double">$</td> <td style="border-bottom: black 2.25pt double; text-align: right">(<ix:nonFraction name="us-gaap:StockholdersEquity" contextRef="AsOf2024-09-30_us-gaap_RetainedEarningsMember" id="Fact000500" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">27,817,763</ix:nonFraction></td> <td style="border-bottom: white 1.5pt double">)</td> <td style="border-bottom: black 2.25pt double">$</td> <td style="border-bottom: black 2.25pt double; text-align: right">(<ix:nonFraction name="us-gaap:StockholdersEquity" contextRef="AsOf2024-09-30_us-gaap_TreasuryStockCommonMember" id="Fact000501" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">3,882,493</ix:nonFraction></td> <td style="border-bottom: white 1.5pt double">)</td> <td style="border-bottom: black 2.25pt double">$</td> <td style="border-bottom: black 2.25pt double; text-align: right"><ix:nonFraction name="us-gaap:StockholdersEquity" contextRef="AsOf2024-09-30" id="Fact000502" format="ixt:numdotdecimal" decimals="0" unitRef="USD">17,733,480</ix:nonFraction></td> <td> </td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0"> </p> <p style="font: 10pt TIMES NEW ROMAN, TIMES, SERIF; margin: 0; text-align: center">- 6 -</p> <hr style="border-width: 0; color: Gray; background-color: Gray; height: 2px; width: 100%"/><p style="break-before: always"></p> <p style="font: 8pt Times New Roman, Times, Serif; margin: 0"><i><a href="#toc"><span style="color: Blue">Table of Contents</span></a></i></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><b>Three and Nine Months Ended September 30, 2023</b></p> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 7.5in; border-collapse: collapse"> <tr style="vertical-align: bottom"> <td style="width: 28%"> </td> <td style="width: 1%"> </td> <td style="width: 9%"> </td> <td style="width: 2%"> </td> <td style="width: 1%"> </td> <td id="xdx_4BB_us-gaap--StatementEquityComponentsAxis_us-gaap--CommonStockMember_zvqI34O8Bjb2" style="width: 7%"> </td> <td style="width: 2%"> </td> <td style="width: 1%"> </td> <td id="xdx_4BF_us-gaap--StatementEquityComponentsAxis_us-gaap--AdditionalPaidInCapitalMember_zLxwpBZIngEg" style="width: 9%"> </td> <td style="width: 2%"> </td> <td style="width: 1%"> </td> <td id="xdx_4BB_us-gaap--StatementEquityComponentsAxis_us-gaap--RetainedEarningsMember_zX7ZTAc15KKd" style="width: 10%"> </td> <td style="width: 2%"> </td> <td style="width: 1%"> </td> <td id="xdx_4B9_us-gaap--StatementEquityComponentsAxis_us-gaap--TreasuryStockCommonMember_zmoR3NU2sbCa" style="width: 9%"> </td> <td style="width: 2%"> </td> <td style="width: 1%"> </td> <td id="xdx_4B2_z3Mml6iPO7nk" style="width: 11%"> </td> <td style="width: 1%"> </td></tr> <tr> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom"> </td> <td colspan="4" style="vertical-align: bottom"> </td> <td style="vertical-align: bottom"> </td> <td colspan="2" style="vertical-align: bottom; text-align: center"><b>Additional</b></td> <td style="vertical-align: bottom"> </td> <td colspan="2" style="vertical-align: bottom"> </td> <td style="vertical-align: bottom"> </td> <td colspan="2" style="vertical-align: bottom"> </td> <td style="vertical-align: bottom"> </td> <td colspan="2" style="vertical-align: bottom; text-align: center"><b>Total</b></td> <td style="vertical-align: top"> </td></tr> <tr> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom"> </td> <td colspan="4" style="border-bottom: black 1pt solid; vertical-align: bottom; text-align: center"><b>Common Stock</b></td> <td style="vertical-align: bottom"> </td> <td colspan="2" style="vertical-align: bottom; text-align: center"><b>Paid-in</b></td> <td style="vertical-align: bottom"> </td> <td colspan="2" style="vertical-align: bottom; text-align: center"><b>Retained</b></td> <td style="vertical-align: bottom"> </td> <td colspan="2" style="vertical-align: bottom; text-align: center"><b>Treasury</b></td> <td style="vertical-align: bottom"> </td> <td colspan="2" style="vertical-align: bottom; text-align: center"><b>Stockholders’</b></td> <td style="vertical-align: top"> </td></tr> <tr> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom"> </td> <td style="border-bottom: black 1pt solid; vertical-align: bottom; text-align: center"><b>Shares</b></td> <td style="vertical-align: bottom"> </td> <td colspan="2" style="border-bottom: black 1pt solid; vertical-align: bottom; text-align: center"><b>Amount</b></td> <td style="vertical-align: bottom"> </td> <td colspan="2" style="border-bottom: black 1pt solid; vertical-align: bottom; text-align: center"><b>Capital</b></td> <td style="vertical-align: bottom"> </td> <td colspan="2" style="border-bottom: black 1pt solid; vertical-align: bottom; text-align: center"><b>Deficit</b></td> <td style="vertical-align: bottom"> </td> <td colspan="2" style="border-bottom: black 1pt solid; vertical-align: bottom; text-align: center"><b>Stock</b></td> <td style="vertical-align: bottom"> </td> <td colspan="2" style="border-bottom: black 1pt solid; vertical-align: bottom; text-align: center"><b>Equity</b></td> <td style="vertical-align: top"> </td></tr> <tr style="vertical-align: bottom"> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td></tr> <tr id="xdx_431_c20230101__20230331_eus-gaap--StockholdersEquity_iS_zyEp521TQRSe" style="vertical-align: bottom; background-color: #E7E6E6"> <td style="padding-left: 8.25pt; text-indent: -8.25pt">BALANCE, DECEMBER 31, 2022</td> <td> </td> <td id="xdx_989_eus-gaap--SharesOutstanding_iS_pid_uShares_c20230101__20230331__us-gaap--StatementEquityComponentsAxis__us-gaap--CommonStockMember_zwiunWnoBGGa" title="Beginning balance (in shares)" style="text-align: right"><ix:nonFraction name="us-gaap:SharesOutstanding" contextRef="AsOf2022-12-31_us-gaap_CommonStockMember" id="Fact000512" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">48,861,891</ix:nonFraction></td> <td> </td> <td>$</td> <td style="text-align: right"><ix:nonFraction name="us-gaap:StockholdersEquity" contextRef="AsOf2022-12-31_us-gaap_CommonStockMember" id="Fact000506" format="ixt:numdotdecimal" decimals="0" unitRef="USD">488,619</ix:nonFraction></td> <td> </td> <td>$</td> <td style="text-align: right"><ix:nonFraction name="us-gaap:StockholdersEquity" contextRef="AsOf2022-12-31_us-gaap_AdditionalPaidInCapitalMember" id="Fact000507" format="ixt:numdotdecimal" decimals="0" unitRef="USD">44,252,117</ix:nonFraction></td> <td> </td> <td>$</td> <td style="text-align: right">(<ix:nonFraction name="us-gaap:StockholdersEquity" contextRef="AsOf2022-12-31_us-gaap_RetainedEarningsMember" id="Fact000508" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">9,571,211</ix:nonFraction></td> <td>)</td> <td>$</td> <td style="text-align: right">(<ix:nonFraction name="us-gaap:StockholdersEquity" contextRef="AsOf2022-12-31_us-gaap_TreasuryStockCommonMember" id="Fact000509" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">3,843,562</ix:nonFraction></td> <td>)</td> <td>$</td> <td style="text-align: right"><ix:nonFraction name="us-gaap:StockholdersEquity" contextRef="AsOf2022-12-31" id="Fact000510" format="ixt:numdotdecimal" decimals="0" unitRef="USD">31,325,963</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_431_c20230101__20230331_eus-gaap--StockIssuedDuringPeriodValueShareBasedCompensation_zWB8CI3hFXe5" style="vertical-align: bottom"> <td style="padding-left: 8.25pt; text-indent: -8.25pt">Accrued compensation paid in shares</td> <td> </td> <td id="xdx_988_eus-gaap--StockIssuedDuringPeriodSharesShareBasedCompensation_pid_uShares_c20230101__20230331__us-gaap--StatementEquityComponentsAxis__us-gaap--CommonStockMember_zBSuEHG6Kyj6" title="Issuance of stock-based compensation (in shares)" style="text-align: right"><ix:nonFraction name="us-gaap:StockIssuedDuringPeriodSharesShareBasedCompensation" contextRef="From2023-01-012023-03-31_us-gaap_CommonStockMember" id="Fact000520" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">48,875</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:StockIssuedDuringPeriodValueShareBasedCompensation" contextRef="From2023-01-012023-03-31_us-gaap_CommonStockMember" id="Fact000514" format="ixt:numdotdecimal" decimals="0" unitRef="USD">489</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:StockIssuedDuringPeriodValueShareBasedCompensation" contextRef="From2023-01-012023-03-31_us-gaap_AdditionalPaidInCapitalMember" id="Fact000515" format="ixt:numdotdecimal" decimals="0" unitRef="USD">175,287</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0516">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0517">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:StockIssuedDuringPeriodValueShareBasedCompensation" contextRef="From2023-01-012023-03-31" id="Fact000518" format="ixt:numdotdecimal" decimals="0" unitRef="USD">175,776</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_43F_c20230101__20230331_eus-gaap--AdjustmentsToAdditionalPaidInCapitalShareBasedCompensationStockOptionsRequisiteServicePeriodRecognition_zzMVlGJ8IHu9" style="vertical-align: bottom; background-color: #E7E6E6"> <td style="padding-left: 8.25pt; text-indent: -8.25pt">Compensation expense related to stock options</td> <td> </td> <td style="text-align: right">—</td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0522">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:AdjustmentsToAdditionalPaidInCapitalShareBasedCompensationStockOptionsRequisiteServicePeriodRecognition" contextRef="From2023-01-012023-03-31_us-gaap_AdditionalPaidInCapitalMember" id="Fact000523" format="ixt:numdotdecimal" decimals="0" unitRef="USD">535,059</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0524">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0525">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:AdjustmentsToAdditionalPaidInCapitalShareBasedCompensationStockOptionsRequisiteServicePeriodRecognition" contextRef="From2023-01-012023-03-31" id="Fact000526" format="ixt:numdotdecimal" decimals="0" unitRef="USD">535,059</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_43C_c20230101__20230331_eus-gaap--AdjustmentsToAdditionalPaidInCapitalStockIssuedIssuanceCosts_zAsoE1w2ark4" style="vertical-align: bottom"> <td style="padding-left: 8.25pt; text-indent: -8.25pt">Compensation expense related to restricted stock awards</td> <td> </td> <td id="xdx_98E_ecustom--CompensationeExpenseRelatedToRestrictedStockAwards_iP3us-gaap--AdjustmentsToAdditionalPaidInCapitalStockIssuedIssuanceCosts_pid_uShares_c20230101__20230331__us-gaap--StatementEquityComponentsAxis__us-gaap--CommonStockMember_zVuhfRDkBry" title="Compensation expense related to restricted stock awards (in shares)" style="text-align: right"><ix:nonFraction name="krmd:CompensationeExpenseRelatedToRestrictedStockAwards" contextRef="From2023-01-012023-03-31_us-gaap_CommonStockMember" id="Fact000534" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">50,000</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:AdjustmentsToAdditionalPaidInCapitalStockIssuedIssuanceCosts" contextRef="From2023-01-012023-03-31_us-gaap_CommonStockMember" id="Fact000528" format="ixt:numdotdecimal" decimals="0" unitRef="USD">500</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:AdjustmentsToAdditionalPaidInCapitalStockIssuedIssuanceCosts" contextRef="From2023-01-012023-03-31_us-gaap_AdditionalPaidInCapitalMember" id="Fact000529" format="ixt:numdotdecimal" decimals="0" unitRef="USD">169,887</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0530">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0531">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:AdjustmentsToAdditionalPaidInCapitalStockIssuedIssuanceCosts" contextRef="From2023-01-012023-03-31" id="Fact000532" format="ixt:numdotdecimal" decimals="0" unitRef="USD">170,387</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_43F_c20230101__20230331_eus-gaap--NetIncomeLoss_zSxBReWJogt1" style="vertical-align: bottom; background-color: #E7E6E6"> <td style="padding-left: 8.25pt; text-indent: -8.25pt">Net loss</td> <td> </td> <td style="border-bottom: black 1pt solid; text-align: right">—</td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0536">—</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0537">—</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right">(<ix:nonFraction name="us-gaap:NetIncomeLoss" contextRef="From2023-01-012023-03-31_us-gaap_RetainedEarningsMember" id="Fact000538" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">2,410,885</ix:nonFraction></td> <td>)</td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0539">—</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right">(<ix:nonFraction name="us-gaap:NetIncomeLoss" contextRef="From2023-01-012023-03-31" id="Fact000540" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">2,410,885</ix:nonFraction></td> <td>)</td></tr> <tr id="xdx_43A_c20230401__20230630_eus-gaap--StockholdersEquity_iS_zHiB0oSbJwta" style="vertical-align: bottom"> <td style="padding-left: 8.25pt; text-indent: -8.25pt">BALANCE, MARCH 31, 2023</td> <td> </td> <td id="xdx_98B_eus-gaap--SharesOutstanding_iS_pid_uShares_c20230401__20230630__us-gaap--StatementEquityComponentsAxis__us-gaap--CommonStockMember_z1COXA0kbfW9" title="Ending balance (in shares)" style="border-bottom: black 2.25pt double; text-align: right"><ix:nonFraction name="us-gaap:SharesOutstanding" contextRef="AsOf2023-03-31_us-gaap_CommonStockMember" id="Fact000548" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">48,960,766</ix:nonFraction></td> <td> </td> <td style="border-bottom: black 2.25pt double">$</td> <td style="border-bottom: black 2.25pt double; text-align: right"><ix:nonFraction name="us-gaap:StockholdersEquity" contextRef="AsOf2023-03-31_us-gaap_CommonStockMember" id="Fact000542" format="ixt:numdotdecimal" decimals="0" unitRef="USD">489,608</ix:nonFraction></td> <td> </td> <td style="border-bottom: black 2.25pt double">$</td> <td style="border-bottom: black 2.25pt double; text-align: right"><ix:nonFraction name="us-gaap:StockholdersEquity" contextRef="AsOf2023-03-31_us-gaap_AdditionalPaidInCapitalMember" id="Fact000543" format="ixt:numdotdecimal" decimals="0" unitRef="USD">45,132,350</ix:nonFraction></td> <td> </td> <td style="border-bottom: black 2.25pt double">$</td> <td style="border-bottom: black 2.25pt double; text-align: right">(<ix:nonFraction name="us-gaap:StockholdersEquity" contextRef="AsOf2023-03-31_us-gaap_RetainedEarningsMember" id="Fact000544" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">11,982,096</ix:nonFraction></td> <td style="border-bottom: white 1.5pt double">)</td> <td style="border-bottom: black 2.25pt double">$</td> <td style="border-bottom: black 2.25pt double; text-align: right">(<ix:nonFraction name="us-gaap:StockholdersEquity" contextRef="AsOf2023-03-31_us-gaap_TreasuryStockCommonMember" id="Fact000545" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">3,843,562</ix:nonFraction></td> <td style="border-bottom: white 1.5pt double">)</td> <td style="border-bottom: black 2.25pt double">$</td> <td style="border-bottom: black 2.25pt double; text-align: right"><ix:nonFraction name="us-gaap:StockholdersEquity" contextRef="AsOf2023-03-31" id="Fact000546" format="ixt:numdotdecimal" decimals="0" unitRef="USD">29,796,300</ix:nonFraction></td> <td> </td></tr> <tr style="vertical-align: bottom"> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td></tr> <tr id="xdx_437_c20230401__20230630_eus-gaap--StockIssuedDuringPeriodValueShareBasedCompensation_zuI3dDbLV7F5" style="vertical-align: bottom; background-color: #E7E6E6"> <td style="padding-left: 8.25pt; text-indent: -8.25pt">Accrued compensation paid in shares</td> <td> </td> <td id="xdx_98E_eus-gaap--StockIssuedDuringPeriodSharesShareBasedCompensation_pid_uShares_c20230401__20230630__us-gaap--StatementEquityComponentsAxis__us-gaap--CommonStockMember_zQK7a13kN4Ka" title="Issuance of stock-based compensation (in shares)" style="text-align: right"><ix:nonFraction name="us-gaap:StockIssuedDuringPeriodSharesShareBasedCompensation" contextRef="From2023-04-012023-06-30_us-gaap_CommonStockMember" id="Fact000556" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">22,886</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:StockIssuedDuringPeriodValueShareBasedCompensation" contextRef="From2023-04-012023-06-30_us-gaap_CommonStockMember" id="Fact000550" format="ixt:numdotdecimal" decimals="0" unitRef="USD">229</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:StockIssuedDuringPeriodValueShareBasedCompensation" contextRef="From2023-04-012023-06-30_us-gaap_AdditionalPaidInCapitalMember" id="Fact000551" format="ixt:numdotdecimal" decimals="0" unitRef="USD">90,018</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0552">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0553">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:StockIssuedDuringPeriodValueShareBasedCompensation" contextRef="From2023-04-012023-06-30" id="Fact000554" format="ixt:numdotdecimal" decimals="0" unitRef="USD">90,247</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_436_c20230401__20230630_eus-gaap--AdjustmentsToAdditionalPaidInCapitalShareBasedCompensationStockOptionsRequisiteServicePeriodRecognition_zna0perJNn37" style="vertical-align: bottom"> <td style="padding-left: 8.25pt; text-indent: -8.25pt">Compensation expense related to stock options</td> <td> </td> <td style="text-align: right">—</td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0558">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:AdjustmentsToAdditionalPaidInCapitalShareBasedCompensationStockOptionsRequisiteServicePeriodRecognition" contextRef="From2023-04-012023-06-30_us-gaap_AdditionalPaidInCapitalMember" id="Fact000559" format="ixt:numdotdecimal" decimals="0" unitRef="USD">540,099</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0560">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0561">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:AdjustmentsToAdditionalPaidInCapitalShareBasedCompensationStockOptionsRequisiteServicePeriodRecognition" contextRef="From2023-04-012023-06-30" id="Fact000562" format="ixt:numdotdecimal" decimals="0" unitRef="USD">540,099</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_43B_c20230401__20230630_eus-gaap--AdjustmentsToAdditionalPaidInCapitalStockIssuedIssuanceCosts_zzn5RGMzEkqc" style="vertical-align: bottom; background-color: #E7E6E6"> <td style="padding-left: 8.25pt; text-indent: -8.25pt">Compensation expense related to restricted stock awards</td> <td> </td> <td id="xdx_98C_ecustom--CompensationeExpenseRelatedToRestrictedStockAwards_iP3us-gaap--AdjustmentsToAdditionalPaidInCapitalStockIssuedIssuanceCosts_pid_uShares_c20230401__20230630__us-gaap--StatementEquityComponentsAxis__us-gaap--CommonStockMember_zdITMwNmvoEc" title="Compensation expense related to restricted stock awards (in shares)" style="text-align: right"><ix:nonFraction name="krmd:CompensationeExpenseRelatedToRestrictedStockAwards" contextRef="From2023-04-012023-06-30_us-gaap_CommonStockMember" id="Fact000570" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">50,000</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:AdjustmentsToAdditionalPaidInCapitalStockIssuedIssuanceCosts" contextRef="From2023-04-012023-06-30_us-gaap_CommonStockMember" id="Fact000564" format="ixt:numdotdecimal" decimals="0" unitRef="USD">500</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:AdjustmentsToAdditionalPaidInCapitalStockIssuedIssuanceCosts" contextRef="From2023-04-012023-06-30_us-gaap_AdditionalPaidInCapitalMember" id="Fact000565" format="ixt:numdotdecimal" decimals="0" unitRef="USD">169,887</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0566">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0567">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:AdjustmentsToAdditionalPaidInCapitalStockIssuedIssuanceCosts" contextRef="From2023-04-012023-06-30" id="Fact000568" format="ixt:numdotdecimal" decimals="0" unitRef="USD">170,387</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_43D_c20230401__20230630_eus-gaap--NetIncomeLoss_zwkKKwG972Dg" style="vertical-align: bottom"> <td style="padding-left: 8.25pt; text-indent: -8.25pt">Net loss</td> <td> </td> <td style="border-bottom: black 1pt solid; text-align: right">—</td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0572">—</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0573">—</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right">(<ix:nonFraction name="us-gaap:NetIncomeLoss" contextRef="From2023-04-012023-06-30_us-gaap_RetainedEarningsMember" id="Fact000574" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">2,495,886</ix:nonFraction></td> <td>)</td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0575">—</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right">(<ix:nonFraction name="us-gaap:NetIncomeLoss" contextRef="From2023-04-012023-06-30" id="Fact000576" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">2,495,886</ix:nonFraction></td> <td>)</td></tr> <tr id="xdx_436_c20230701__20230930_eus-gaap--StockholdersEquity_iS_zYvGAURcfZha" style="vertical-align: bottom; background-color: #E7E6E6"> <td style="padding-left: 8.25pt; text-indent: -8.25pt">BALANCE, JUNE 30, 2023</td> <td> </td> <td id="xdx_988_eus-gaap--SharesOutstanding_iS_pid_uShares_c20230701__20230930__us-gaap--StatementEquityComponentsAxis__us-gaap--CommonStockMember_zrE0BVIdrYUc" title="Ending balance (in shares)" style="border-bottom: black 2.25pt double; text-align: right"><ix:nonFraction name="us-gaap:SharesOutstanding" contextRef="AsOf2023-06-30_us-gaap_CommonStockMember" id="Fact000584" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">49,033,652</ix:nonFraction></td> <td> </td> <td style="border-bottom: black 2.25pt double">$</td> <td style="border-bottom: black 2.25pt double; text-align: right"><ix:nonFraction name="us-gaap:StockholdersEquity" contextRef="AsOf2023-06-30_us-gaap_CommonStockMember" id="Fact000578" format="ixt:numdotdecimal" decimals="0" unitRef="USD">490,337</ix:nonFraction></td> <td> </td> <td style="border-bottom: black 2.25pt double">$</td> <td style="border-bottom: black 2.25pt double; text-align: right"><ix:nonFraction name="us-gaap:StockholdersEquity" contextRef="AsOf2023-06-30_us-gaap_AdditionalPaidInCapitalMember" id="Fact000579" format="ixt:numdotdecimal" decimals="0" unitRef="USD">45,932,354</ix:nonFraction></td> <td> </td> <td style="border-bottom: black 2.25pt double">$</td> <td style="border-bottom: black 2.25pt double; text-align: right">(<ix:nonFraction name="us-gaap:StockholdersEquity" contextRef="AsOf2023-06-30_us-gaap_RetainedEarningsMember" id="Fact000580" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">14,477,982</ix:nonFraction></td> <td style="border-bottom: white 1.5pt double">)</td> <td style="border-bottom: black 2.25pt double">$</td> <td style="border-bottom: black 2.25pt double; text-align: right">(<ix:nonFraction name="us-gaap:StockholdersEquity" contextRef="AsOf2023-06-30_us-gaap_TreasuryStockCommonMember" id="Fact000581" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">3,843,562</ix:nonFraction></td> <td style="border-bottom: white 1.5pt double">)</td> <td style="border-bottom: black 2.25pt double">$</td> <td style="border-bottom: black 2.25pt double; text-align: right"><ix:nonFraction name="us-gaap:StockholdersEquity" contextRef="AsOf2023-06-30" id="Fact000582" format="ixt:numdotdecimal" decimals="0" unitRef="USD">28,101,147</ix:nonFraction></td> <td> </td></tr> <tr style="vertical-align: bottom"> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td></tr> <tr id="xdx_434_c20230701__20230930_eus-gaap--StockIssuedDuringPeriodValueShareBasedCompensation_zD3pRESCDJ4c" style="vertical-align: bottom; background-color: #E7E6E6"> <td style="padding-left: 8.25pt; text-indent: -8.25pt">Accrued compensation paid in shares</td> <td> </td> <td id="xdx_985_eus-gaap--StockIssuedDuringPeriodSharesShareBasedCompensation_pid_uShares_c20230701__20230930__us-gaap--StatementEquityComponentsAxis__us-gaap--CommonStockMember_zI4gF4IzXN67" title="Issuance of stock-based compensation (in shares)" style="text-align: right"><ix:nonFraction name="us-gaap:StockIssuedDuringPeriodSharesShareBasedCompensation" contextRef="From2023-07-012023-09-30_us-gaap_CommonStockMember" id="Fact000592" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">25,931</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:StockIssuedDuringPeriodValueShareBasedCompensation" contextRef="From2023-07-012023-09-30_us-gaap_CommonStockMember" id="Fact000586" format="ixt:numdotdecimal" decimals="0" unitRef="USD">259</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:StockIssuedDuringPeriodValueShareBasedCompensation" contextRef="From2023-07-012023-09-30_us-gaap_AdditionalPaidInCapitalMember" id="Fact000587" format="ixt:numdotdecimal" decimals="0" unitRef="USD">82,567</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0588">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0589">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:StockIssuedDuringPeriodValueShareBasedCompensation" contextRef="From2023-07-012023-09-30" id="Fact000590" format="ixt:numdotdecimal" decimals="0" unitRef="USD">82,826</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_43F_c20230701__20230930_eus-gaap--AdjustmentsToAdditionalPaidInCapitalShareBasedCompensationStockOptionsRequisiteServicePeriodRecognition_zhmt5dfY3Zhi" style="vertical-align: bottom"> <td style="padding-left: 8.25pt; text-indent: -8.25pt">Compensation expense related to stock options</td> <td> </td> <td style="text-align: right">—</td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0594">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:AdjustmentsToAdditionalPaidInCapitalShareBasedCompensationStockOptionsRequisiteServicePeriodRecognition" contextRef="From2023-07-012023-09-30_us-gaap_AdditionalPaidInCapitalMember" id="Fact000595" format="ixt:numdotdecimal" decimals="0" unitRef="USD">551,250</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0596">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0597">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:AdjustmentsToAdditionalPaidInCapitalShareBasedCompensationStockOptionsRequisiteServicePeriodRecognition" contextRef="From2023-07-012023-09-30" id="Fact000598" format="ixt:numdotdecimal" decimals="0" unitRef="USD">551,250</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_43F_c20230701__20230930_eus-gaap--AdjustmentsToAdditionalPaidInCapitalStockIssuedIssuanceCosts_zgH8omh0Egg7" style="vertical-align: bottom; background-color: #E7E6E6"> <td style="padding-left: 8.25pt; text-indent: -8.25pt">Compensation expense related to restricted stock awards</td> <td> </td> <td style="text-align: right">—</td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0600">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:AdjustmentsToAdditionalPaidInCapitalStockIssuedIssuanceCosts" contextRef="From2023-07-012023-09-30_us-gaap_AdditionalPaidInCapitalMember" id="Fact000601" format="ixt:numdotdecimal" decimals="0" unitRef="USD">63,582</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0602">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0603">—</span></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:AdjustmentsToAdditionalPaidInCapitalStockIssuedIssuanceCosts" contextRef="From2023-07-012023-09-30" id="Fact000604" format="ixt:numdotdecimal" decimals="0" unitRef="USD">63,582</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_430_c20230701__20230930_eus-gaap--NetIncomeLoss_zZabQUSQCkOc" style="vertical-align: bottom"> <td style="padding-left: 8.25pt; text-indent: -8.25pt">Net loss</td> <td> </td> <td style="border-bottom: black 1pt solid; text-align: right">—</td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0606">—</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0607">—</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right">(<ix:nonFraction name="us-gaap:NetIncomeLoss" contextRef="From2023-07-012023-09-30_us-gaap_RetainedEarningsMember" id="Fact000608" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">1,368,262</ix:nonFraction></td> <td>)</td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl0609">—</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right">(<ix:nonFraction name="us-gaap:NetIncomeLoss" contextRef="From2023-07-012023-09-30" id="Fact000610" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">1,368,262</ix:nonFraction></td> <td>)</td></tr> <tr id="xdx_43A_c20230701__20230930_eus-gaap--StockholdersEquity_iE_zHEBW93Qvlqk" style="vertical-align: bottom; background-color: #E7E6E6"> <td style="padding-left: 8.25pt; text-indent: -8.25pt">BALANCE, SEPTEMBER 30, 2023</td> <td> </td> <td id="xdx_98F_eus-gaap--SharesOutstanding_iE_pid_uShares_c20230701__20230930__us-gaap--StatementEquityComponentsAxis__us-gaap--CommonStockMember_zXhdajezpM3g" title="Ending balance (in shares)" style="border-bottom: black 2.25pt double; text-align: right"><ix:nonFraction name="us-gaap:SharesOutstanding" contextRef="AsOf2023-09-30_us-gaap_CommonStockMember" id="Fact000618" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">49,059,583</ix:nonFraction></td> <td> </td> <td style="border-bottom: black 2.25pt double">$</td> <td style="border-bottom: black 2.25pt double; text-align: right"><ix:nonFraction name="us-gaap:StockholdersEquity" contextRef="AsOf2023-09-30_us-gaap_CommonStockMember" id="Fact000612" format="ixt:numdotdecimal" decimals="0" unitRef="USD">490,596</ix:nonFraction></td> <td> </td> <td style="border-bottom: black 2.25pt double">$</td> <td style="border-bottom: black 2.25pt double; text-align: right"><ix:nonFraction name="us-gaap:StockholdersEquity" contextRef="AsOf2023-09-30_us-gaap_AdditionalPaidInCapitalMember" id="Fact000613" format="ixt:numdotdecimal" decimals="0" unitRef="USD">46,629,753</ix:nonFraction></td> <td> </td> <td style="border-bottom: black 2.25pt double">$</td> <td style="border-bottom: black 2.25pt double; text-align: right">(<ix:nonFraction name="us-gaap:StockholdersEquity" contextRef="AsOf2023-09-30_us-gaap_RetainedEarningsMember" id="Fact000614" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">15,846,244</ix:nonFraction></td> <td style="border-bottom: white 1.5pt double">)</td> <td style="border-bottom: black 2.25pt double">$</td> <td style="border-bottom: black 2.25pt double; text-align: right">(<ix:nonFraction name="us-gaap:StockholdersEquity" contextRef="AsOf2023-09-30_us-gaap_TreasuryStockCommonMember" id="Fact000615" format="ixt:numdotdecimal" decimals="0" sign="-" unitRef="USD">3,843,562</ix:nonFraction></td> <td style="border-bottom: white 1.5pt double">)</td> <td style="border-bottom: black 2.25pt double">$</td> <td style="border-bottom: black 2.25pt double; text-align: right"><ix:nonFraction name="us-gaap:StockholdersEquity" contextRef="AsOf2023-09-30" id="Fact000616" format="ixt:numdotdecimal" decimals="0" unitRef="USD">27,430,543</ix:nonFraction></td> <td> </td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0"> </p> <p style="font: 10pt TIMES NEW ROMAN, TIMES, SERIF; margin: 0; text-align: center">- 7 -</p> <hr style="border-width: 0; color: Gray; background-color: Gray; height: 2px; width: 100%"/><p style="break-before: always"></p> <p style="font: 8pt Times New Roman, Times, Serif; margin: 0"><i><a href="#toc"><span style="color: Blue">Table of Contents</span></a></i></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><span id="notes"></span><b>KORU MEDICAL SYSTEMS, INC.</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><b>NOTES TO THE UNAUDITED FINANCIAL STATEMENTS</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <ix:nonNumeric contextRef="From2024-01-01to2024-09-30" escape="true" id="Fact000620" name="us-gaap:OrganizationConsolidationBasisOfPresentationBusinessDescriptionAndAccountingPoliciesTextBlock"><p id="xdx_808_eus-gaap--OrganizationConsolidationBasisOfPresentationBusinessDescriptionAndAccountingPoliciesTextBlock_zHbZTY15EU52" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>NOTE 1 — <span id="xdx_825_zps1R66qG5Q4">NATURE OF OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES</span></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <ix:nonNumeric contextRef="From2024-01-01to2024-09-30" escape="true" id="Fact000622" name="us-gaap:NatureOfOperations"><p id="xdx_84C_eus-gaap--NatureOfOperations_zuNRR9X8WuT5" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><span id="xdx_860_zL58AmV7DqSg">NATURE OF OPERATIONS</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">KORU MEDICAL SYSTEMS, INC. (the “Company,” “KORU Medical,” “we,” “us” or “our”) designs, manufactures and markets proprietary portable and innovative medical devices primarily for the subcutaneous drug delivery market as governed by the United States Food and Drug Administration (the “FDA”) quality and regulatory system and international regulations and standards for quality system management. The Company operates as <span id="xdx_904_eus-gaap--NumberOfReportableSegments_dxH_uN_c20240101__20240930_zrWOQ5rJdevg" title="Number of segment::XDX::1">one</span> segment.</p> </ix:nonNumeric><p id="xdx_85A_zlKzyNhotq45" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <ix:nonNumeric contextRef="From2024-01-01to2024-09-30" escape="true" id="Fact000626" name="us-gaap:BasisOfAccountingPolicyPolicyTextBlock"><p id="xdx_845_eus-gaap--BasisOfAccountingPolicyPolicyTextBlock_zxTa5f2NTFU5" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><span id="xdx_863_z3u1ztSDWWPc">BASIS OF PRESENTATION</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">The accompanying financial statements should be read in conjunction with the Company’s annual report on Form 10-K for the year ended December 31, 2023 (“Annual Report”).  In accordance with the rules and regulations of the U.S. Securities and Exchange Commission (“SEC”), the Company has omitted footnote disclosures that would substantially duplicate the disclosures contained in the audited financial statements of the Company. The accompanying interim financial statements are unaudited and reflect all adjustments which are in the opinion of management necessary for a fair statement of the Company’s financial position, results of operations, and cash flows for the periods presented.  All such adjustments are of a normal, recurring nature.  The Company’s results of operations and cash flows for the interim periods are not necessarily indicative of the results of operations and cash flows that it may achieve in future periods.</p> </ix:nonNumeric><p id="xdx_858_zjxYcOOJfiPk" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <ix:nonNumeric contextRef="From2024-01-01to2024-09-30" escape="true" id="Fact000628" name="us-gaap:CashAndCashEquivalentsPolicyTextBlock"><p id="xdx_84D_eus-gaap--CashAndCashEquivalentsPolicyTextBlock_zZ86aZl4CBLi" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><span id="xdx_86B_zxJfOor2QNue">CASH AND CASH EQUIVALENTS</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">For purposes of the statements of cash flows, the Company considers all short-term investments with an original maturity of three months or less to be cash equivalents.  As of September 30, 2024 the Company held cash and cash-equivalents of $<span id="xdx_90B_eus-gaap--InterestIncomeSecuritiesUSTreasury_dm_c20240101__20240930_zRZ8kgSh6uhg"><ix:nonFraction name="us-gaap:InterestIncomeSecuritiesUSTreasury" contextRef="From2024-01-01to2024-09-30" id="Fact000629" format="ixt:numdotdecimal" decimals="0" scale="6" unitRef="USD">8.8</ix:nonFraction> million</span>, the majority of which was held in a secured US-treasury money market mutual fund.</p> </ix:nonNumeric><p id="xdx_853_zwcCH9ltGUkf" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <ix:nonNumeric contextRef="From2024-01-01to2024-09-30" escape="true" id="Fact000631" name="us-gaap:IntangibleAssetsFiniteLivedPolicy"><p id="xdx_842_eus-gaap--IntangibleAssetsFiniteLivedPolicy_zpHXUHJP89Z8" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><span id="xdx_868_zfJNXKfqZn1b">PATENTS</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Costs incurred in obtaining patents have been capitalized and are being amortized over the legal life of the patents.</p> </ix:nonNumeric><p id="xdx_852_zT8HRlDMNaOc" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <ix:nonNumeric contextRef="From2024-01-01to2024-09-30" escape="true" id="Fact000633" name="us-gaap:ShareBasedCompensationOptionAndIncentivePlansPolicy"><p id="xdx_84B_eus-gaap--ShareBasedCompensationOptionAndIncentivePlansPolicy_zqiFo0vrTd6d" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><span id="xdx_864_zLIdpY0GWn3i">STOCK-BASED COMPENSATION</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">The Company maintains an omnibus equity incentive plan under which it grants options and other equity incentive awards to certain executives, key employees and consultants, as well as shares of common stock to non-employee directors.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">The fair value of each stock option grant is estimated on the date of the grant using the Black-Scholes option-pricing model.  All options are charged against income at their fair value.  The entire compensation expense of the award is recognized over the vesting period.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Shares of stock granted for director fees are recorded at the fair value of the shares at the grant date.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Restricted stock awards are equity classified and measured at the fair market value of the underlying stock at the grant date. The fair value of restricted stock awards vesting at certain market capitalization thresholds were estimated on the date of grant using the Brownian Motion Monte Carlo lattice model. The fair value of restricted stock awards with time-based vesting were estimated on the date of grant at the current stock price. The fair value of restricted stock awards vesting at certain annual sales growth thresholds were estimated as of the date of Board acknowledgement of the achievement, at the current stock price. We recognize restricted stock expense using the straight-line attribution method over the requisite service period and account for forfeitures as they occur.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Performance share units (“PSUs”) are equity classified and measured at the fair market value of the underlying stock at the grant date.</p> </ix:nonNumeric><p id="xdx_858_zPuK4iHPQXOj" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <ix:exclude><div id="xdx_230_zhmmPnEyVeW1"> <p style="font: 10pt TIMES NEW ROMAN, TIMES, SERIF; margin: 0; text-align: center">- 8 -</p> <hr style="border-width: 0; color: Gray; background-color: Gray; height: 2px; width: 100%"/><p style="break-before: always"></p> <p style="font: 8pt Times New Roman, Times, Serif; margin: 0"><i><a href="#toc"><span style="color: Blue">Table of Contents</span></a></i></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p></div></ix:exclude> <ix:nonNumeric contextRef="From2024-01-01to2024-09-30" escape="true" id="Fact000636" name="us-gaap:EarningsPerSharePolicyTextBlock"><p id="xdx_841_eus-gaap--EarningsPerSharePolicyTextBlock_zEjvUKTCnSuj" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><span id="xdx_86B_zzX85zWjkZU3">NET LOSS PER SHARE</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">The Company computes net loss per share using the weighted-average number of common shares outstanding during the period. Basic and diluted net loss per share are the same because the conversion, exercise or issuance of all potential common stock equivalents, which comprise the Company’s outstanding common stock options, unvested restricted stock units, performance stock units and warrants, would be anti-dilutive, due to the reporting of a net loss for each of the periods in the accompanying statements of operations.</p> </ix:nonNumeric><p id="xdx_850_zWUC8JD5Vj4h" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <ix:nonNumeric contextRef="From2024-01-01to2024-09-30" escape="true" id="Fact000638" name="us-gaap:UseOfEstimates"><p id="xdx_848_eus-gaap--UseOfEstimates_zwBJwuyIaRwk" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><span id="xdx_867_zXdhu3aGikK9">USE OF ESTIMATES IN THE FINANCIAL STATEMENTS</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">The preparation of financial statements in conformity with United States generally accepted accounting principles (“GAAP”) requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates. Important estimates include but are not limited to asset lives, deferred tax valuation allowances, inventory valuation, expected credit losses, and customer rebate and incentive accruals. The results of operations for the three and nine months ended September 30, 2024 are not necessarily indicative of the results that may be expected for the entire 2024 fiscal year.</p> </ix:nonNumeric><p id="xdx_853_zDMfURqrRNTe" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <ix:nonNumeric contextRef="From2024-01-01to2024-09-30" escape="true" id="Fact000640" name="us-gaap:RevenueFromContractWithCustomerPolicyTextBlock"><p id="xdx_848_eus-gaap--RevenueFromContractWithCustomerPolicyTextBlock_zBnku6HMugG2" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><span id="xdx_861_zAVc8rBfNITh">REVENUE RECOGNITION</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Our revenues are derived from three business sources: (i) domestic core (which consists of US and Canada), (ii) international core, and (iii) novel therapies.  Our domestic and international core revenues consist of sales of our syringe drivers, tubing and needles (“Product Revenue”) for the delivery of subcutaneous drugs that are FDA cleared for use with the KORU Medical infusion system, with the primary delivery for immunoglobulin to treat Primary Immunodeficiency Diseases (“PIDD”) and Chronic Inflammatory Demyelinating Polyneuropathy (“CIDP”). Novel therapies consist of Product Revenue for feasibility/clinical trials (pre-clinical studies, Phase I, Phase II, Phase III) of biopharmaceutical companies in the drug development process as well as non-recurring engineering services (“NRE”) revenues (including testing and registration services) received from biopharmaceutical companies to ready or customize the FREEDOM<sup>TM</sup> System for clinical and commercial use across multiple drug categories.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">For Product Revenue, we recognize revenues when shipment occurs, and at which point the customer obtains control and ownership of the goods.  Shipping costs generally are billed to customers and are included in Product Revenue.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">The Company generally does not accept return of goods shipped unless it is a Company error.  The only credits provided to customers are for defective merchandise.  The Company warrants the syringe driver from defects in materials and workmanship under normal use and the warranty does not include a performance obligation.  The costs under the warranty are expensed as incurred.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Rebates are provided to distributors for the difference in selling price to distributor and pricing specified to select customers.  In addition, rebates are provided to customers for meeting growth targets.  Provisions for both distributor pricing and customer growth rebates are variable consideration and are recorded as a reduction of revenue in the same period the related sales are recorded or when it is probable the growth target will be achieved.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">We recognize NRE revenue under an input method, which recognizes revenue on the basis of our efforts or inputs (for example, resources consumed, labor hours expended, costs incurred, or time elapsed) to the satisfaction of a performance obligation relative to the total expected inputs to the satisfaction of that performance obligation (i.e. completion milestone). The input method that we use is based on costs incurred.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Contracts are often modified to account for changes in contract specifications and requirements. Contract modifications exist when the modification either creates new, or changes existing, enforceable rights and obligations. Generally, when contract modifications create new performance obligations, the modification is considered to be a separate contract and revenue is recognized prospectively. When contract modifications change existing performance obligations, the impact on the existing transaction price and measure of progress for the performance obligation to which it relates is generally recognized as an adjustment to revenue (either as an increase in or a reduction of revenue) on a cumulative catch-up basis. Contract assets primarily represent revenue earnings over time that are not yet billable based on the terms of the contracts. Contract liabilities (i.e., deferred revenue) consist of fees invoiced or paid by the Company’s customers for which the associated performance obligations have not been satisfied and revenue has not been recognized based on the Company’s revenue recognition criteria described above. As of September 30, 2024, the Company has recognized a contract asset of $<span id="xdx_90D_eus-gaap--ContractWithCustomerAssetReclassifiedToReceivable_c20240701__20240930_zs270hcliNI7" title="Recognition of contract asset"><ix:nonFraction name="us-gaap:ContractWithCustomerAssetReclassifiedToReceivable" contextRef="From2024-07-012024-09-30" id="Fact000642" format="ixt:numdotdecimal" decimals="0" unitRef="USD">74,312</ix:nonFraction></span> which is included in other receivables and does not have a contract liability in the accompanying balance sheet.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <ix:exclude><div id="xdx_23E_ztXGkI6Udi27"> <p style="font: 10pt TIMES NEW ROMAN, TIMES, SERIF; margin: 0; text-align: center">- 9 -</p> <hr style="border-width: 0; color: Gray; background-color: Gray; height: 2px; width: 100%"/><p style="break-before: always"></p> <p style="font: 8pt Times New Roman, Times, Serif; margin: 0"><i><a href="#toc"><span style="color: Blue">Table of Contents</span></a></i></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p></div></ix:exclude> <ix:nonNumeric contextRef="From2024-01-01to2024-09-30" escape="true" id="Fact000645" name="krmd:ScheduleOfNetSalesByGeography"><p id="xdx_89B_ecustom--ScheduleOfNetSalesByGeography_zDNyTfMVxHZc" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><span id="xdx_8BB_zofRxwMyRalc">The following table summarizes net revenues by geography for the three and nine months ended September 30, 2024, and 2023.</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 6.5in; border-collapse: collapse"> <tr style="vertical-align: bottom"> <td> </td> <td> </td> <td colspan="5" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>Three Months Ended September 30,</b></span></td> <td style="text-align: center"> </td> <td colspan="5" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>Nine Months Ended September 30,</b></span></td> <td> </td></tr> <tr style="vertical-align: bottom"> <td> </td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>2024</b></span></td> <td style="text-align: center"> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>2023</b></span></td> <td style="text-align: center"> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>2024</b></span></td> <td style="text-align: center"> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>2023</b></span></td> <td> </td></tr> <tr style="vertical-align: bottom"> <td style="width: 26%"><span style="font-size: 10pt"><b>Revenues</b></span></td> <td style="width: 1%"> </td> <td style="width: 1%"> </td> <td style="width: 14%; text-align: right"> </td> <td style="width: 4%"> </td> <td style="width: 1%"> </td> <td style="width: 14%; text-align: right"> </td> <td style="width: 4%"> </td> <td style="width: 1%"> </td> <td style="width: 14%; text-align: right"> </td> <td style="width: 4%"> </td> <td style="width: 1%"> </td> <td style="width: 14%; text-align: right"> </td> <td style="width: 1%"> </td></tr> <tr style="vertical-align: bottom; background-color: #E6E6E6"> <td><span style="font-size: 10pt">Domestic</span></td> <td> </td> <td><span style="font-size: 10pt">$</span></td> <td id="xdx_984_eus-gaap--Revenues_c20240701__20240930__srt--StatementGeographicalAxis__country--US_zRuXbqz4tKjc" title="Net Revenue" style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:Revenues" contextRef="From2024-07-012024-09-30_country_US" id="Fact000647" format="ixt:numdotdecimal" decimals="0" unitRef="USD">7,022,811</ix:nonFraction></span></td> <td> </td> <td><span style="font-size: 10pt">$</span></td> <td id="xdx_981_eus-gaap--Revenues_c20230701__20230930__srt--StatementGeographicalAxis__country--US_zMekrIgTsuzi" title="Net Revenue" style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:Revenues" contextRef="From2023-07-012023-09-30_country_US" id="Fact000649" format="ixt:numdotdecimal" decimals="0" unitRef="USD">5,929,071</ix:nonFraction></span></td> <td> </td> <td><span style="font-size: 10pt">$</span></td> <td id="xdx_987_eus-gaap--Revenues_c20240101__20240930__srt--StatementGeographicalAxis__country--US_z9QksLy0eUS2" title="Net Revenue" style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:Revenues" contextRef="From2024-01-012024-09-30_country_US" id="Fact000651" format="ixt:numdotdecimal" decimals="0" unitRef="USD">20,186,191</ix:nonFraction></span></td> <td> </td> <td><span style="font-size: 10pt">$</span></td> <td id="xdx_981_eus-gaap--Revenues_c20230101__20230930__srt--StatementGeographicalAxis__country--US_ziWxlRknndi" title="Net Revenue" style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:Revenues" contextRef="From2023-01-012023-09-30_country_US" id="Fact000653" format="ixt:numdotdecimal" decimals="0" unitRef="USD">17,899,463</ix:nonFraction></span></td> <td> </td></tr> <tr style="vertical-align: bottom"> <td><span style="font-size: 10pt">International</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td id="xdx_98B_eus-gaap--Revenues_c20240701__20240930__srt--StatementGeographicalAxis__us-gaap--NonUsMember_zh00rkXq3YM9" title="Net Revenues" style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:Revenues" contextRef="From2024-07-012024-09-30_us-gaap_NonUsMember" id="Fact000655" format="ixt:numdotdecimal" decimals="0" unitRef="USD">1,157,166</ix:nonFraction></span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td id="xdx_98C_eus-gaap--Revenues_c20230701__20230930__srt--StatementGeographicalAxis__us-gaap--NonUsMember_z1alqReUEMCi" title="Net Revenues" style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:Revenues" contextRef="From2023-07-012023-09-30_us-gaap_NonUsMember" id="Fact000657" format="ixt:numdotdecimal" decimals="0" unitRef="USD">1,074,127</ix:nonFraction></span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td id="xdx_989_eus-gaap--Revenues_c20240101__20240930__srt--StatementGeographicalAxis__us-gaap--NonUsMember_zDSvDXS4FgLl" title="Net Revenues" style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:Revenues" contextRef="From2024-01-012024-09-30_us-gaap_NonUsMember" id="Fact000659" format="ixt:numdotdecimal" decimals="0" unitRef="USD">4,621,672</ix:nonFraction></span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td id="xdx_989_eus-gaap--Revenues_c20230101__20230930__srt--StatementGeographicalAxis__us-gaap--NonUsMember_zJMPnwjrdGgf" title="Net Revenues" style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:Revenues" contextRef="From2023-01-012023-09-30_us-gaap_NonUsMember" id="Fact000661" format="ixt:numdotdecimal" decimals="0" unitRef="USD">3,432,271</ix:nonFraction></span></td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: #E6E6E6"> <td><span style="font-size: 10pt"><b>Total</b></span></td> <td> </td> <td style="border-bottom: black 2.25pt double"><span style="font-size: 10pt">$</span></td> <td id="xdx_98E_eus-gaap--Revenues_c20240701__20240930_zhwKQdr7U3Df" title="Revenues" style="border-bottom: black 2.25pt double; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:Revenues" contextRef="From2024-07-012024-09-30" id="Fact000663" format="ixt:numdotdecimal" decimals="0" unitRef="USD">8,179,977</ix:nonFraction></span></td> <td> </td> <td style="border-bottom: black 2.25pt double"><span style="font-size: 10pt">$</span></td> <td id="xdx_98A_eus-gaap--Revenues_c20230701__20230930_zIATyb0IfRp" title="Revenues" style="border-bottom: black 2.25pt double; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:Revenues" contextRef="From2023-07-012023-09-30" id="Fact000665" format="ixt:numdotdecimal" decimals="0" unitRef="USD">7,003,198</ix:nonFraction></span></td> <td> </td> <td style="border-bottom: black 2.25pt double"><span style="font-size: 10pt">$</span></td> <td id="xdx_983_eus-gaap--Revenues_c20240101__20240930_zoulqL0YDl6b" title="Revenues" style="border-bottom: black 2.25pt double; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:Revenues" contextRef="From2024-01-01to2024-09-30" id="Fact000667" format="ixt:numdotdecimal" decimals="0" unitRef="USD">24,807,864</ix:nonFraction></span></td> <td style="border-bottom: white 2.25pt double"> </td> <td style="border-bottom: black 2.25pt double"><span style="font-size: 10pt">$</span></td> <td id="xdx_980_eus-gaap--Revenues_c20230101__20230930_zIzb0Vd3pMy6" title="Revenues" style="border-bottom: black 2.25pt double; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:Revenues" contextRef="From2023-01-012023-09-30" id="Fact000669" format="ixt:numdotdecimal" decimals="0" unitRef="USD">21,331,734</ix:nonFraction></span></td> <td> </td></tr> </table> </ix:nonNumeric><p id="xdx_8A2_z4HPq9rP1jhi" style="margin-top: 0; margin-bottom: 0"> </p> </ix:nonNumeric><p id="xdx_857_z8UF6jlgSFE2" style="font: 10pt Times New Roman, Times, Serif; margin: 0"></p> <ix:nonNumeric contextRef="From2024-01-01to2024-09-30" escape="true" id="Fact000671" name="us-gaap:NewAccountingPronouncementsPolicyPolicyTextBlock"><p id="xdx_84D_eus-gaap--NewAccountingPronouncementsPolicyPolicyTextBlock_zJbmPfiRquv2" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><span id="xdx_86F_zQB5mnbGtWH1">ACCOUNTING PRONOUNCEMENTS RECENTLY ADOPTED</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">The Company considers the applicability and impact of all recently issued accounting pronouncements.  Recent accounting pronouncements not specifically identified in our disclosures are either not applicable to the Company or are not expected to have a material effect on our financial condition or results of operations.</p> </ix:nonNumeric><p id="xdx_85A_z4NSgm49D4Wd" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <ix:nonNumeric contextRef="From2024-01-01to2024-09-30" escape="true" id="Fact000673" name="us-gaap:ImpairmentOrDisposalOfLongLivedAssetsPolicyTextBlock"><p id="xdx_84A_eus-gaap--ImpairmentOrDisposalOfLongLivedAssetsPolicyTextBlock_zI5LBVzkfG0d" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><span id="xdx_86B_zEgjNVcrMTh8">IMPAIRMENT OF LONG-LIVED ASSETS</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">The Company reviews long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of the assets may not be fully recoverable.  An impairment loss would be recognized when estimated undiscounted future cash flows expected to result from the use of the asset and its eventual disposition are less than the carrying amount.  The impairment loss, if recognized, would be based on the excess of the carrying value of the impaired asset over its respective fair value.  The Company did not record any impairment losses through September 30, 2024.</p> </ix:nonNumeric><p id="xdx_85F_z5G37SYemi95" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <ix:nonNumeric contextRef="From2024-01-01to2024-09-30" escape="true" id="Fact000675" name="us-gaap:PriorPeriodReclassificationAdjustmentDescription"><p id="xdx_847_eus-gaap--PriorPeriodReclassificationAdjustmentDescription_zZm3ysdCI1jk" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><span id="xdx_860_zYrpO5MLmIDj">RECLASSIFICATION</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Certain liability balances within the accompanying December 31, 2023 balance sheet have been reclassified to conform to current period presentation. There were no changes to the Company’s results of operations as a result of the reclassification.</p> </ix:nonNumeric><p id="xdx_851_zfUC0Texp6H4" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> </ix:nonNumeric><p id="xdx_810_zIl8krWJa3U2" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"></p> <ix:nonNumeric contextRef="From2024-01-01to2024-09-30" escape="true" id="Fact000677" name="us-gaap:PropertyPlantAndEquipmentDisclosureTextBlock"><p id="xdx_80F_eus-gaap--PropertyPlantAndEquipmentDisclosureTextBlock_zJchNRUsOyHk" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>NOTE 2 — <span id="xdx_82F_zmPySt8BEpfh">PROPERTY AND EQUIPMENT</span></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <ix:nonNumeric contextRef="From2024-01-01to2024-09-30" escape="true" id="Fact000679" name="us-gaap:PropertyPlantAndEquipmentTextBlock"><p id="xdx_891_eus-gaap--PropertyPlantAndEquipmentTextBlock_zYohctDB84N3" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><span id="xdx_8BC_zZFzrzgyaOqi">Property and equipment consists of the following at:</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 6in; border-collapse: collapse"> <tr style="vertical-align: bottom; background-color: white"> <td> </td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><b>September 30, 2024</b></td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><b>December 31, 2023</b></td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: white"> <td style="width: 55%"> </td> <td style="width: 1%"> </td> <td style="width: 1%"> </td> <td style="width: 19%"> </td> <td style="width: 3%"> </td> <td style="width: 1%"> </td> <td style="width: 19%"> </td> <td style="width: 1%"> </td></tr> <tr style="vertical-align: bottom; background-color: #E6E6E6"> <td>Furniture and office equipment</td> <td> </td> <td>$</td> <td id="xdx_98C_eus-gaap--PropertyPlantAndEquipmentGross_iI_c20240930__us-gaap--PropertyPlantAndEquipmentByTypeAxis__custom--FurnitureAndOfficeEquipmentMember_zkUO3AKVLmI5" style="text-align: right"><ix:nonFraction name="us-gaap:PropertyPlantAndEquipmentGross" contextRef="AsOf2024-09-30_custom_FurnitureAndOfficeEquipmentMember" id="Fact000680" format="ixt:numdotdecimal" decimals="0" unitRef="USD">1,433,622</ix:nonFraction></td> <td> </td> <td>$</td> <td id="xdx_986_eus-gaap--PropertyPlantAndEquipmentGross_iI_c20231231__us-gaap--PropertyPlantAndEquipmentByTypeAxis__custom--FurnitureAndOfficeEquipmentMember_zWUXpZxHSpy7" style="text-align: right"><ix:nonFraction name="us-gaap:PropertyPlantAndEquipmentGross" contextRef="AsOf2023-12-31_custom_FurnitureAndOfficeEquipmentMember" id="Fact000681" format="ixt:numdotdecimal" decimals="0" unitRef="USD">1,412,164</ix:nonFraction></td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: white"> <td>Leasehold improvements</td> <td> </td> <td> </td> <td id="xdx_98A_eus-gaap--PropertyPlantAndEquipmentGross_iI_c20240930__us-gaap--PropertyPlantAndEquipmentByTypeAxis__us-gaap--LeaseholdImprovementsMember_zK3XvMUoNCu" style="text-align: right"><ix:nonFraction name="us-gaap:PropertyPlantAndEquipmentGross" contextRef="AsOf2024-09-30_us-gaap_LeaseholdImprovementsMember" id="Fact000682" format="ixt:numdotdecimal" decimals="0" unitRef="USD">1,953,653</ix:nonFraction></td> <td> </td> <td> </td> <td id="xdx_984_eus-gaap--PropertyPlantAndEquipmentGross_iI_c20231231__us-gaap--PropertyPlantAndEquipmentByTypeAxis__us-gaap--LeaseholdImprovementsMember_zO7mQR53vrZ" style="text-align: right"><ix:nonFraction name="us-gaap:PropertyPlantAndEquipmentGross" contextRef="AsOf2023-12-31_us-gaap_LeaseholdImprovementsMember" id="Fact000683" format="ixt:numdotdecimal" decimals="0" unitRef="USD">1,953,653</ix:nonFraction></td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: #E6E6E6"> <td>Manufacturing equipment and tooling</td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td id="xdx_98C_eus-gaap--PropertyPlantAndEquipmentGross_iI_c20240930__us-gaap--PropertyPlantAndEquipmentByTypeAxis__custom--ManufacturingEquipmentAndToolingMember_zGiMBxxXiLDc" style="border-bottom: black 1pt solid; text-align: right"><ix:nonFraction name="us-gaap:PropertyPlantAndEquipmentGross" contextRef="AsOf2024-09-30_custom_ManufacturingEquipmentAndToolingMember" id="Fact000684" format="ixt:numdotdecimal" decimals="0" unitRef="USD">4,504,610</ix:nonFraction></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td id="xdx_987_eus-gaap--PropertyPlantAndEquipmentGross_iI_c20231231__us-gaap--PropertyPlantAndEquipmentByTypeAxis__custom--ManufacturingEquipmentAndToolingMember_zUgaSnHXixM9" style="border-bottom: black 1pt solid; text-align: right"><ix:nonFraction name="us-gaap:PropertyPlantAndEquipmentGross" contextRef="AsOf2023-12-31_custom_ManufacturingEquipmentAndToolingMember" id="Fact000685" format="ixt:numdotdecimal" decimals="0" unitRef="USD">3,193,113</ix:nonFraction></td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: white"> <td style="padding-left: 0.2in">Total property and equipment</td> <td> </td> <td> </td> <td id="xdx_98F_eus-gaap--PropertyPlantAndEquipmentGross_iI_c20240930_zYFhRzcso6za" title="Total property and equipment" style="text-align: right"><ix:nonFraction name="us-gaap:PropertyPlantAndEquipmentGross" contextRef="AsOf2024-09-30" id="Fact000687" format="ixt:numdotdecimal" decimals="0" unitRef="USD">7,891,885</ix:nonFraction></td> <td> </td> <td> </td> <td id="xdx_98D_eus-gaap--PropertyPlantAndEquipmentGross_iI_c20231231_zsEKGEvpY8Zi" title="Total property and equipment" style="text-align: right"><ix:nonFraction name="us-gaap:PropertyPlantAndEquipmentGross" contextRef="AsOf2023-12-31" id="Fact000689" format="ixt:numdotdecimal" decimals="0" unitRef="USD">6,558,930</ix:nonFraction></td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: #E6E6E6"> <td>Less: accumulated depreciation and amortization</td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td id="xdx_989_eus-gaap--AccumulatedDepreciationDepletionAndAmortizationPropertyPlantAndEquipment_iNI_di_c20240930_z9lw5u3FjaIe" title="Less: accumulated depreciation and amortization" style="border-bottom: black 1pt solid; text-align: right">(<ix:nonFraction name="us-gaap:AccumulatedDepreciationDepletionAndAmortizationPropertyPlantAndEquipment" contextRef="AsOf2024-09-30" id="Fact000691" format="ixt:numdotdecimal" decimals="0" unitRef="USD">3,339,709</ix:nonFraction></td> <td>)</td> <td style="border-bottom: black 1pt solid"> </td> <td id="xdx_988_eus-gaap--AccumulatedDepreciationDepletionAndAmortizationPropertyPlantAndEquipment_iNI_di_c20231231_zJITZYSBPNy5" title="Less: accumulated depreciation and amortization" style="border-bottom: black 1pt solid; text-align: right">(<ix:nonFraction name="us-gaap:AccumulatedDepreciationDepletionAndAmortizationPropertyPlantAndEquipment" contextRef="AsOf2023-12-31" id="Fact000693" format="ixt:numdotdecimal" decimals="0" unitRef="USD">2,721,273</ix:nonFraction></td> <td>)</td></tr> <tr style="vertical-align: bottom; background-color: white"> <td>Property and equipment, net</td> <td> </td> <td style="border-bottom: black 2.25pt double">$</td> <td id="xdx_98E_eus-gaap--PropertyPlantAndEquipmentNet_iI_c20240930_zKjuUL8jlBFe" title="Property and equipment, net" style="border-bottom: black 2.25pt double; text-align: right"><ix:nonFraction name="us-gaap:PropertyPlantAndEquipmentNet" contextRef="AsOf2024-09-30" id="Fact000695" format="ixt:numdotdecimal" decimals="0" unitRef="USD">4,552,176</ix:nonFraction></td> <td> </td> <td style="border-bottom: black 2.25pt double">$</td> <td id="xdx_98C_eus-gaap--PropertyPlantAndEquipmentNet_iI_c20231231_zlbjEsW8Rbb3" title="Property and equipment, net" style="border-bottom: black 2.25pt double; text-align: right"><ix:nonFraction name="us-gaap:PropertyPlantAndEquipmentNet" contextRef="AsOf2023-12-31" id="Fact000697" format="ixt:numdotdecimal" decimals="0" unitRef="USD">3,837,657</ix:nonFraction></td> <td> </td></tr> </table> </ix:nonNumeric><p id="xdx_8AB_zo8Dra3pFcp1" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Depreciation and amortization expense was $<span id="xdx_90A_eus-gaap--Depreciation_c20240701__20240930_zdXqT1VuF2V7" title="Depreciation and amortization expense"><ix:nonFraction name="us-gaap:Depreciation" contextRef="From2024-07-012024-09-30" id="Fact000699" format="ixt:numdotdecimal" decimals="0" unitRef="USD">227,785</ix:nonFraction></span> and $<span id="xdx_901_eus-gaap--Depreciation_c20230701__20230930_z99kOHZy7Hlg" title="Depreciation and amortization expense"><ix:nonFraction name="us-gaap:Depreciation" contextRef="From2023-07-012023-09-30" id="Fact000701" format="ixt:numdotdecimal" decimals="0" unitRef="USD">199,880</ix:nonFraction></span> for the three months ended September 30, 2024 and 2023, respectively, and $<span id="xdx_90D_eus-gaap--Depreciation_c20240101__20240930_zvpXBCiQZ7G2" title="Depreciation and amortization expense"><ix:nonFraction name="us-gaap:Depreciation" contextRef="From2024-01-01to2024-09-30" id="Fact000703" format="ixt:numdotdecimal" decimals="0" unitRef="USD">677,019</ix:nonFraction></span> and $<span id="xdx_902_eus-gaap--Depreciation_c20230101__20230930_zgWddfA1RlR2" title="Depreciation and amortization expense"><ix:nonFraction name="us-gaap:Depreciation" contextRef="From2023-01-012023-09-30" id="Fact000705" format="ixt:numdotdecimal" decimals="0" unitRef="USD">593,979</ix:nonFraction></span> for the nine months ended September 30, 2024 and 2023, respectively.</p> </ix:nonNumeric><p id="xdx_819_zkctCoz9Y5ui" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt TIMES NEW ROMAN, TIMES, SERIF; margin: 0; text-align: center">- 10 -</p> <hr style="border-width: 0; color: Gray; background-color: Gray; height: 2px; width: 100%"/><p style="break-before: always"></p> <p style="font: 8pt Times New Roman, Times, Serif; margin: 0"><i><a href="#toc"><span style="color: Blue">Table of Contents</span></a></i></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <ix:nonNumeric contextRef="From2024-01-01to2024-09-30" escape="true" id="Fact000707" name="us-gaap:DisclosureOfCompensationRelatedCostsShareBasedPaymentsTextBlock"><p id="xdx_805_eus-gaap--DisclosureOfCompensationRelatedCostsShareBasedPaymentsTextBlock_zo3NqYgGZ74e" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>NOTE 3 — <span id="xdx_82F_z2ZimLmWL1qg">STOCK-BASED COMPENSATION</span></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Prior to May 9, 2024, the Company maintained a stock option plan and an omnibus equity incentive plan under which it granted options and other equity incentive awards to certain executives, key employees and consultants, as well as a non-employee director compensation plan under which it granted shares of common stock to non-employee directors. As of May 9, 2024, a new omnibus equity incentive plan replaced these plans with respect to awards made after that date to employees, consultants and non-employee directors. The Company has also made inducement awards of equity-based compensation outside of the plans. The Company issued warrants to purchase common stock in connection with our loan financing agreement with our lender.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">The fair value of each option and warrant grant is estimated on the date of the grant using the Black-Scholes option-pricing model. All options and warrants are charged against income at their fair value.  The entire compensation expense of the grant is recognized over the vesting period.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Restricted stock units (“RSUs”) and performance share units (“PSUs”) are equity classified and measured at the fair value of the underlying stock at the grant date.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Shares of stock granted for non-employee director fees are recorded at the fair value of the shares at the grant date.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Restricted stock awards are equity classified and measured at the fair value of the underlying stock at the grant date. The fair value of restricted stock awards vesting at certain market capitalization thresholds were estimated on the date of grant using the Brownian Motion Monte Carlo lattice model. The fair value of other restricted stock awards were estimated on the date of grant at the current stock price. We recognize restricted stock expense using the straight-line attribution method over the requisite service period and account for forfeitures as they occur.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">The Company has three equity incentive plans: the 2015 Stock Option Plan, as amended (the “2015 Plan”), the 2021 Omnibus Equity Incentive Plan (the “2021 Plan”), the 2024 Omnibus Equity Incentive Plan (the “2024 Plan”), and had the Non-Employee Director Compensation Plan (the “Director Plan”) prior to May 9, 2024. No new awards have been or will be issued pursuant to the 2015 Plan, the 2021 Plan or the Director Plan from and after May 9, 2024. The Company has also issued employment inducement awards to certain key executives.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">The 2015 Plan provides for the grant of incentive stock options and nonqualified stock options. As of September 30, 2024, there were <span id="xdx_90D_ecustom--SharesReservedForOutstandingAwards_pid_uShares_c20240101__20240930__us-gaap--PlanNameAxis__custom--StockOptionPlan2015Member_zZeLSbjS2zL7" title="Shares reserved for outstanding awards"><ix:nonFraction name="krmd:SharesReservedForOutstandingAwards" contextRef="From2024-01-012024-09-30_custom_StockOptionPlan2015Member" id="Fact000709" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">2,237,500</ix:nonFraction></span> shares reserved for outstanding awards under the 2015 Plan.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">The 2021 Plan provides for the grant of incentive stock options, nonqualified stock options, stock awards, restricted stock awards, restricted stock units and/or stock appreciation rights to employees, consultants and directors. As of September 30, 2024, there were <span id="xdx_905_ecustom--SharesReservedForOutstandingAwards_pid_uShares_c20240101__20240930__us-gaap--PlanNameAxis__custom--OmnibusEquityIncentivePlan2021Member_z8GU41H1r5Me" title="Shares reserved for outstanding awards"><ix:nonFraction name="krmd:SharesReservedForOutstandingAwards" contextRef="From2024-01-012024-09-30_custom_OmnibusEquityIncentivePlan2021Member" id="Fact000711" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">419,244</ix:nonFraction></span> shares reserved for outstanding awards under the 2021 Plan.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">The 2024 Plan provides for the grant of incentive stock options, nonqualified stock options, stock awards, restricted stock awards, restricted stock units and/or stock appreciation rights to employees, consultants and directors. As of September 30, 2024, there were <span id="xdx_908_ecustom--SharesReservedForOutstandingAwards_pid_uShares_c20240101__20240930__us-gaap--PlanNameAxis__custom--OmnibusEquityIncentivePlan2024Member_zCyDzIaH8jU1" title="Shares reserved for outstanding awards"><ix:nonFraction name="krmd:SharesReservedForOutstandingAwards" contextRef="From2024-01-012024-09-30_custom_OmnibusEquityIncentivePlan2024Member" id="Fact000713" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">769,257</ix:nonFraction></span> shares reserved for outstanding awards and <span id="xdx_90E_ecustom--SharesAvailableForIssuanceShareBasedCompensation_iI_pid_uShares_c20240930__us-gaap--PlanNameAxis__custom--OmnibusEquityIncentivePlan2024Member_znXbpDRrbetf" title="Shares available for issuance"><ix:nonFraction name="krmd:SharesAvailableForIssuanceShareBasedCompensation" contextRef="AsOf2024-09-30_custom_OmnibusEquityIncentivePlan2024Member" id="Fact000715" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">2,407,804</ix:nonFraction></span> shares available for issuance under the 2024 Plan. In addition, awards previously made under the 2015 Plan and the 2021 Plan that are forfeited or cancelled after May 9, 2024 will be available for issuance under the 2024 Plan.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Each non-employee director of the Company (other than the Chairman of the Board) is eligible to receive $<span id="xdx_902_ecustom--NonemployeeServicesTransactionCost_pid_uShares_c20240101__20240930__srt--TitleOfIndividualAxis__custom--NonEmployeeDirectorAndBoardAdvisorMember_zgTH13Ae7i65" title="Nonemployee services transaction cost"><ix:nonFraction name="krmd:NonemployeeServicesTransactionCost" contextRef="From2024-01-012024-09-30_custom_NonEmployeeDirectorAndBoardAdvisorMember" id="Fact000717" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">110,000</ix:nonFraction></span> annually, <span id="xdx_90D_eus-gaap--DeferredCompensationArrangementsOverallDescription_c20240101__20240930__srt--TitleOfIndividualAxis__custom--NonEmployeeDirectorAndBoardAdvisorMember_zGJCh41nzzQk" title="Share-based goods and non-employee services transaction"><ix:nonNumeric contextRef="From2024-01-012024-09-30_custom_NonEmployeeDirectorAndBoardAdvisorMember" id="Fact000719" name="us-gaap:DeferredCompensationArrangementsOverallDescription">to be paid quarterly $12,500 in cash and $15,000 in common stock.</ix:nonNumeric></span>  The Chairman of the Board is eligible to receive $<span id="xdx_90F_ecustom--NonemployeeServicesTransactionCost_pid_uShares_c20240101__20240930__srt--TitleOfIndividualAxis__srt--BoardOfDirectorsChairmanMember_zwIOG6AKfHgl" title="Nonemployee services transaction cost"><ix:nonFraction name="krmd:NonemployeeServicesTransactionCost" contextRef="From2024-01-012024-09-30_srt_BoardOfDirectorsChairmanMember" id="Fact000721" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">140,000</ix:nonFraction></span> annually, <span id="xdx_903_eus-gaap--DeferredCompensationArrangementsOverallDescription_c20240101__20240930__srt--TitleOfIndividualAxis__srt--BoardOfDirectorsChairmanMember_zOB5C0HWtQN1" title="Share-based goods and non-employee services transaction"><ix:nonNumeric contextRef="From2024-01-012024-09-30_srt_BoardOfDirectorsChairmanMember" id="Fact000723" name="us-gaap:DeferredCompensationArrangementsOverallDescription">to be paid quarterly $12,500 in cash and $22,500 in common stock.</ix:nonNumeric> </span>Prior to May 9, 2024 in the periods presented in this report, non-employee director compensation was paid pursuant to the Non-Employee Director Compensation Plan. From and after May 9, 2024 non-employee director compensation is paid pursuant to the 2024 Plan. All payments were and are pro-rated for partial service.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <ix:exclude><div id="xdx_234_zTcBoaBqxsk3"> <p style="font: 10pt TIMES NEW ROMAN, TIMES, SERIF; margin: 0; text-align: center">- 11 -</p> <hr style="border-width: 0; color: Gray; background-color: Gray; height: 2px; width: 100%"/><p style="break-before: always"></p> <p style="font: 8pt Times New Roman, Times, Serif; margin: 0"><i><a href="#toc"><span style="color: Blue">Table of Contents</span></a></i></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p></div></ix:exclude> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>Time-Vesting Stock Options</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <ix:nonNumeric contextRef="From2024-01-01to2024-09-30" escape="true" id="Fact000726" name="us-gaap:ScheduleOfShareBasedPaymentAwardStockOptionsValuationAssumptionsTableTextBlock"><p id="xdx_898_eus-gaap--ScheduleOfShareBasedPaymentAwardStockOptionsValuationAssumptionsTableTextBlock_zlWrq3Mfyb6b" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><span id="xdx_8BD_zvPKrWKfE2Hk">The following table summarizes the inputs into the Black-Scholes model for all time-vesting stock options granted during the nine months ended September 30, 2024:</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 3.25in; border-collapse: collapse"> <tr style="background-color: white"> <td> </td> <td> </td> <td colspan="3" style="border-bottom: Black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>September 30, 2024</b></span></td></tr> <tr style="vertical-align: bottom; background-color: white"> <td style="width: 61%"> </td> <td style="width: 2%"> </td> <td style="width: 2%"> </td> <td style="width: 30%"> </td> <td style="width: 5%"> </td></tr> <tr style="vertical-align: bottom; background-color: #E6E6E6"> <td><span style="font-size: 10pt">Dividend yield</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt"><span id="xdx_90B_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedDividendRate_pid_dp_uPure_c20240101__20240930__us-gaap--AwardTypeAxis__custom--TimeVestingStockOptionsMember_zxcPcNUderW7" title="Dividend yield"><ix:nonFraction name="us-gaap:ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedDividendRate" contextRef="From2024-01-012024-09-30_custom_TimeVestingStockOptionsMember" id="Fact000728" format="ixt:numdotdecimal" decimals="INF" scale="-2" unitRef="Pure">0.00</ix:nonFraction></span></span></td> <td><span style="font-size: 10pt">%</span></td></tr> <tr style="vertical-align: bottom; background-color: white"> <td><span style="font-size: 10pt">Expected Volatility</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt"><span id="xdx_904_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedVolatilityRate_pid_dp_uPure_c20240101__20240930__us-gaap--AwardTypeAxis__custom--TimeVestingStockOptionsMember__srt--RangeAxis__srt--MinimumMember_zo22Yj8MaoN8" title="Expected volatility"><ix:nonFraction name="us-gaap:ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedVolatilityRate" contextRef="From2024-01-012024-09-30_custom_TimeVestingStockOptionsMember_srt_MinimumMember" id="Fact000730" format="ixt:numdotdecimal" decimals="INF" scale="-2" unitRef="Pure">46.18</ix:nonFraction></span> - <span id="xdx_90B_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedVolatilityRate_pid_dp_uPure_c20240101__20240930__us-gaap--AwardTypeAxis__custom--TimeVestingStockOptionsMember__srt--RangeAxis__srt--MaximumMember_zag6qBedOMB" title="Expected volatility"><ix:nonFraction name="us-gaap:ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedVolatilityRate" contextRef="From2024-01-012024-09-30_custom_TimeVestingStockOptionsMember_srt_MaximumMember" id="Fact000732" format="ixt:numdotdecimal" decimals="INF" scale="-2" unitRef="Pure">59.97</ix:nonFraction></span></span></td> <td><span style="font-size: 10pt">%</span></td></tr> <tr style="vertical-align: bottom; background-color: #E6E6E6"> <td><span style="font-size: 10pt">Expected dividends</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt"><span id="xdx_906_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedDividendPayments_d0_c20240101__20240930__us-gaap--AwardTypeAxis__custom--TimeVestingStockOptionsMember_z97wWdABQmca" title="Expected dividends"><ix:nonFraction name="us-gaap:ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsExpectedDividendPayments" contextRef="From2024-01-012024-09-30_custom_TimeVestingStockOptionsMember" id="Fact000734" format="ixt:zerodash" decimals="0" unitRef="USD">—</ix:nonFraction></span></span></td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: white"> <td><span style="font-size: 10pt">Expected term (in years)</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt"><span id="xdx_902_eus-gaap--SharebasedCompensationArrangementBySharebasedPaymentAwardFairValueAssumptionsExpectedTerm1_dxL_c20240101__20240930__us-gaap--AwardTypeAxis__custom--TimeVestingStockOptionsMember_zReglpAhvDHk" title="Expected term (in years)::XDX::P6Y2M30D"><span style="-sec-ix-hidden: xdx2ixbrl0736">6.25</span></span></span></td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: #E6E6E6"> <td><span style="font-size: 10pt">Risk-free rate</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt"><span id="xdx_905_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsRiskFreeInterestRate_pid_dp_uPure_c20240101__20240930__us-gaap--AwardTypeAxis__custom--TimeVestingStockOptionsMember__srt--RangeAxis__srt--MinimumMember_zQXSeAVIPcCi" title="Risk-free rate"><ix:nonFraction name="us-gaap:ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsRiskFreeInterestRate" contextRef="From2024-01-012024-09-30_custom_TimeVestingStockOptionsMember_srt_MinimumMember" id="Fact000738" format="ixt:numdotdecimal" decimals="INF" scale="-2" unitRef="Pure">3.78</ix:nonFraction></span>% - <span id="xdx_906_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsRiskFreeInterestRate_pid_dp_uPure_c20240101__20240930__us-gaap--AwardTypeAxis__custom--TimeVestingStockOptionsMember__srt--RangeAxis__srt--MaximumMember_z6xM4YkH9Vx8" title="Risk-free rate"><ix:nonFraction name="us-gaap:ShareBasedCompensationArrangementByShareBasedPaymentAwardFairValueAssumptionsRiskFreeInterestRate" contextRef="From2024-01-012024-09-30_custom_TimeVestingStockOptionsMember_srt_MaximumMember" id="Fact000740" format="ixt:numdotdecimal" decimals="INF" scale="-2" unitRef="Pure">4.63</ix:nonFraction></span></span></td> <td><span style="font-size: 10pt">%</span></td></tr> </table> </ix:nonNumeric><p id="xdx_8A0_z2l7PKyaBFtk" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <ix:nonNumeric contextRef="From2024-01-01to2024-09-30" escape="true" id="Fact000742" name="us-gaap:ScheduleOfShareBasedCompensationStockOptionsActivityTableTextBlock"><p id="xdx_897_eus-gaap--ScheduleOfShareBasedCompensationStockOptionsActivityTableTextBlock_z9u1GmXy9bRd" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><span id="xdx_8B2_zJ8DmKTKjUPd">The following table summarizes the status of the stock options outstanding at September 30, 2024:</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 5.7in; border-collapse: collapse"> <tr style="vertical-align: bottom"> <td> </td> <td> </td> <td style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>Shares</b></span></td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>Weighted<br/> Average<br/> Exercise<br/> Price</b></span></td></tr> <tr style="vertical-align: bottom"> <td> </td> <td> </td> <td> </td> <td> </td> <td colspan="2"> </td></tr> <tr style="vertical-align: bottom; background-color: #E6E6E6"> <td style="width: 71%"><span style="font-size: 10pt">Outstanding at January 1</span></td> <td style="width: 1%"> </td> <td id="xdx_988_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingNumber_iS_pid_uShares_c20240101__20240930__us-gaap--AwardTypeAxis__custom--TimeVestingStockOptionsMember_zCyyOU6bWCab" style="width: 12%; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingNumber" contextRef="AsOf2023-12-31_custom_TimeVestingStockOptionsMember" id="Fact000743" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">3,256,250</ix:nonFraction></span></td> <td style="width: 3%"> </td> <td style="width: 1%"><span style="font-size: 10pt">$</span></td> <td id="xdx_985_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingWeightedAverageExercisePrice_iS_pid_uUSDPShares_c20240101__20240930__us-gaap--AwardTypeAxis__custom--TimeVestingStockOptionsMember_zQnueAP360sa" title="Outstanding at beginning, price" style="width: 12%; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingWeightedAverageExercisePrice" contextRef="AsOf2023-12-31_custom_TimeVestingStockOptionsMember" id="Fact000745" format="ixt:numdotdecimal" decimals="INF" unitRef="USDPShares">3.66</ix:nonFraction></span></td></tr> <tr style="vertical-align: bottom"> <td><span style="font-size: 10pt">Granted</span></td> <td> </td> <td id="xdx_984_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsGrantsInPeriodGross_pid_uShares_c20240101__20240930__us-gaap--AwardTypeAxis__custom--TimeVestingStockOptionsMember_zsJE9xfoifDf" style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsGrantsInPeriodGross" contextRef="From2024-01-012024-09-30_custom_TimeVestingStockOptionsMember" id="Fact000746" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">537,025</ix:nonFraction></span></td> <td> </td> <td><span style="font-size: 10pt">$</span></td> <td id="xdx_98D_eus-gaap--ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsGrantsInPeriodWeightedAverageExercisePrice_pid_uUSDPShares_c20240101__20240930__us-gaap--AwardTypeAxis__custom--TimeVestingStockOptionsMember_zBQ8b7X5N7P1" title="Outstanding at beginning, price" style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsGrantsInPeriodWeightedAverageExercisePrice" contextRef="From2024-01-012024-09-30_custom_TimeVestingStockOptionsMember" id="Fact000748" format="ixt:numdotdecimal" decimals="INF" unitRef="USDPShares">1.67</ix:nonFraction></span></td></tr> <tr style="vertical-align: bottom; background-color: #E6E6E6"> <td><span style="font-size: 10pt">Exercised</span></td> <td> </td> <td id="xdx_98E_eus-gaap--StockIssuedDuringPeriodSharesStockOptionsExercised_pid_uShares_c20240101__20240930__us-gaap--AwardTypeAxis__custom--TimeVestingStockOptionsMember_zsuFXh0OGWTc" style="text-align: right"><span style="font-size: 10pt"><span style="-sec-ix-hidden: xdx2ixbrl0749">—</span></span></td> <td> </td> <td><span style="font-size: 10pt">$</span></td> <td id="xdx_980_eus-gaap--ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsExercisesInPeriodWeightedAverageExercisePrice_pid_uUSDPShares_c20240101__20240930__us-gaap--AwardTypeAxis__custom--TimeVestingStockOptionsMember_zpwSUQ3Q4EAl" title="Outstanding at beginning, price" style="text-align: right"><span style="font-size: 10pt"><span style="-sec-ix-hidden: xdx2ixbrl0751">—</span></span></td></tr> <tr style="vertical-align: bottom"> <td><span style="font-size: 10pt">Forfeited/canceled</span></td> <td> </td> <td id="xdx_984_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsForfeituresInPeriod_pid_dxL_uShares_c20240101__20240930__us-gaap--AwardTypeAxis__custom--TimeVestingStockOptionsMember_zH3NL62NGqQa" title="::XDX::898750" style="text-align: right"><span style="font-size: 10pt"><span style="-sec-ix-hidden: xdx2ixbrl0752">(898,750</span></span></td> <td><span style="font-size: 10pt">) </span></td> <td><span style="font-size: 10pt">$</span></td> <td id="xdx_981_eus-gaap--ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsForfeituresInPeriodWeightedAverageExercisePrice_pid_uUSDPShares_c20240101__20240930__us-gaap--AwardTypeAxis__custom--TimeVestingStockOptionsMember_zm0hl208Ib4a" title="Outstanding at beginning, price" style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsForfeituresInPeriodWeightedAverageExercisePrice" contextRef="From2024-01-012024-09-30_custom_TimeVestingStockOptionsMember" id="Fact000754" format="ixt:numdotdecimal" decimals="INF" unitRef="USDPShares">4.96</ix:nonFraction></span></td></tr> <tr style="vertical-align: bottom; background-color: #E6E6E6"> <td><span style="font-size: 10pt">Outstanding at September 30</span></td> <td> </td> <td id="xdx_982_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingNumber_iE_pid_uShares_c20240101__20240930__us-gaap--AwardTypeAxis__custom--TimeVestingStockOptionsMember_zrDLXNezteK4" style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingNumber" contextRef="AsOf2024-09-30_custom_TimeVestingStockOptionsMember" id="Fact000755" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">2,894,525</ix:nonFraction></span></td> <td> </td> <td><span style="font-size: 10pt">$</span></td> <td id="xdx_98C_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingWeightedAverageExercisePrice_iE_pid_uUSDPShares_c20240101__20240930__us-gaap--AwardTypeAxis__custom--TimeVestingStockOptionsMember_zDgoJiyAptZ4" title="Outstanding at beginning, price" style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingWeightedAverageExercisePrice" contextRef="AsOf2024-09-30_custom_TimeVestingStockOptionsMember" id="Fact000757" format="ixt:numdotdecimal" decimals="INF" unitRef="USDPShares">3.03</ix:nonFraction></span></td></tr> <tr style="vertical-align: bottom"> <td><span style="font-size: 10pt">Options exercisable at September 30</span></td> <td> </td> <td id="xdx_98D_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsExercisableNumber_iI_pid_uShares_c20240930__us-gaap--AwardTypeAxis__custom--TimeVestingStockOptionsMember_zFLwBZfXKDB1" style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsExercisableNumber" contextRef="AsOf2024-09-30_custom_TimeVestingStockOptionsMember" id="Fact000758" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">1,446,250</ix:nonFraction></span></td> <td> </td> <td><span style="font-size: 10pt">$</span></td> <td id="xdx_98C_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsExercisableWeightedAverageExercisePrice_iI_pid_uUSDPShares_c20240930__us-gaap--AwardTypeAxis__custom--TimeVestingStockOptionsMember_z8BDjzihD32a" title="Outstanding at beginning, price" style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsExercisableWeightedAverageExercisePrice" contextRef="AsOf2024-09-30_custom_TimeVestingStockOptionsMember" id="Fact000760" format="ixt:numdotdecimal" decimals="INF" unitRef="USDPShares">3.37</ix:nonFraction></span></td></tr> <tr style="vertical-align: bottom; background-color: #E6E6E6"> <td><span style="font-size: 10pt">Weighted average fair value of options granted during the period</span></td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">—</span></td> <td> </td> <td><span style="font-size: 10pt">$</span></td> <td id="xdx_98F_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsGrantsInPeriodWeightedAverageGrantDateFairValue_pid_uUSDPShares_c20240101__20240930__us-gaap--AwardTypeAxis__custom--TimeVestingStockOptionsMember_zaZGfdenZ9Uj" title="Outstanding at beginning, price" style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsGrantsInPeriodWeightedAverageGrantDateFairValue" contextRef="From2024-01-012024-09-30_custom_TimeVestingStockOptionsMember" id="Fact000762" format="ixt:numdotdecimal" decimals="INF" unitRef="USDPShares">1.37</ix:nonFraction></span></td></tr> <tr style="vertical-align: bottom"> <td><span style="font-size: 10pt">Stock-based compensation expense</span></td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">—</span></td> <td> </td> <td><span style="font-size: 10pt">$</span></td> <td id="xdx_98D_eus-gaap--AllocatedShareBasedCompensationExpense_c20240101__20240930__us-gaap--AwardTypeAxis__custom--TimeVestingStockOptionsMember_zEN3OCjmEpvl" title="Outstanding at beginning, price" style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:AllocatedShareBasedCompensationExpense" contextRef="From2024-01-012024-09-30_custom_TimeVestingStockOptionsMember" id="Fact000764" format="ixt:numdotdecimal" decimals="0" unitRef="USD">1,122,128</ix:nonFraction></span></td></tr> </table> </ix:nonNumeric><p id="xdx_8AF_zRbcbz427Ulg" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Total stock-based compensation expense for time-vested stock options was $<span id="xdx_90A_ecustom--StockBasedCompensationStockOptions_c20240101__20240930__us-gaap--AwardTypeAxis__custom--TimeVestingStockOptionsMember_zjtcKs92NFa9" title="Stock-based compensation expense"><ix:nonFraction name="krmd:StockBasedCompensationStockOptions" contextRef="From2024-01-012024-09-30_custom_TimeVestingStockOptionsMember" id="Fact000766" format="ixt:numdotdecimal" decimals="0" unitRef="USD">1,122,128</ix:nonFraction></span> for the nine months ended September 30, 2024. <span id="xdx_908_ecustom--StockBasedCompensationStockOptions_do_c20230101__20230930__us-gaap--AwardTypeAxis__custom--TimeVestingStockOptionsMember_zoWNGIla94q2" title="Stock-based compensation expense"><ix:nonFraction name="krmd:StockBasedCompensationStockOptions" contextRef="From2023-01-012023-09-30_custom_TimeVestingStockOptionsMember" id="Fact000768" format="ixt-sec:numwordsen" decimals="0" unitRef="USD">No</ix:nonFraction></span> cash was received from option exercises for the nine months ended September 30, 2024.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <ix:nonNumeric contextRef="From2024-01-01to2024-09-30" escape="true" id="Fact000770" name="krmd:ScheduleOfShareBasedCompensationStockOptionsActivityAmendedTableTextBlock"><p id="xdx_89E_ecustom--ScheduleOfShareBasedCompensationStockOptionsActivityAmendedTableTextBlock_zPvoFlRomfAk" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">The following table presents information pertaining to options outstanding at September 30, 2024:</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 7.5in; border-collapse: collapse"> <tr style="vertical-align: bottom; background-color: white"> <td style="border-bottom: black 1pt solid"><b>Range of Exercise Price</b></td> <td> </td> <td style="border-bottom: black 1pt solid; text-align: center"><b>Number<br/> Outstanding</b></td> <td> </td> <td style="border-bottom: black 1pt solid; text-align: center"><b>Weighted<br/> Average<br/> Remaining<br/> Contractual<br/> Life</b></td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><b>Weighted<br/> Average<br/> Exercise<br/> Price</b></td> <td> </td> <td style="border-bottom: black 1pt solid; text-align: center"><b>Number<br/> Exercisable</b></td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><b>Weighted<br/> Average<br/> Exercise<br/> Price</b></td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: white"> <td style="width: 29%"> </td> <td style="width: 2%"> </td> <td style="width: 12%"> </td> <td style="width: 2%"> </td> <td style="width: 12%"> </td> <td style="width: 2%"> </td> <td style="width: 1%"> </td> <td style="width: 11%"> </td> <td style="width: 2%"> </td> <td style="width: 12%"> </td> <td style="width: 2%"> </td> <td style="width: 1%"> </td> <td style="width: 11%"> </td> <td style="width: 1%"> </td></tr> <tr style="vertical-align: bottom; background-color: #E6E6E6"> <td>$2.08 - $3.88</td> <td> </td> <td id="xdx_989_eus-gaap--ShareBasedCompensationSharesAuthorizedUnderStockOptionPlansExercisePriceRangeNumberOfOutstandingOptions_iI_pid_uShares_c20240930__us-gaap--AwardTypeAxis__custom--TimeVestingStockOptionsMember__us-gaap--ShareBasedCompensationSharesAuthorizedUnderStockOptionPlansByExercisePriceRangeAxis__custom--ExercisePrice1Member_zcZ8rVikNIpd" title="Number outstanding" style="text-align: right"><ix:nonFraction name="us-gaap:ShareBasedCompensationSharesAuthorizedUnderStockOptionPlansExercisePriceRangeNumberOfOutstandingOptions" contextRef="AsOf2024-09-30_custom_TimeVestingStockOptionsMember_custom_ExercisePrice1Member" id="Fact000772" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">2,894,525</ix:nonFraction></td> <td> </td> <td style="text-align: center"><span id="xdx_905_eus-gaap--SharebasedCompensationSharesAuthorizedUnderStockOptionPlansExercisePriceRangeOutstandingOptionsWeightedAverageRemainingContractualTerm2_dxL_c20240101__20240930__us-gaap--AwardTypeAxis__custom--TimeVestingStockOptionsMember__us-gaap--ShareBasedCompensationSharesAuthorizedUnderStockOptionPlansByExercisePriceRangeAxis__custom--ExercisePrice1Member_zn8U4fKRrXLb" title="Weighted average remaining contractual life::XDX::P7Y4M24D"><span style="-sec-ix-hidden: xdx2ixbrl0774">7.40</span></span> years</td> <td> </td> <td>$</td> <td id="xdx_98C_eus-gaap--SharebasedCompensationSharesAuthorizedUnderStockOptionPlansExercisePriceRangeOutstandingOptionsWeightedAverageExercisePriceBeginningBalance1_iI_pid_uUSDPShares_c20240930__us-gaap--AwardTypeAxis__custom--TimeVestingStockOptionsMember__us-gaap--ShareBasedCompensationSharesAuthorizedUnderStockOptionPlansByExercisePriceRangeAxis__custom--ExercisePrice1Member_zFIEdFL0GOT4" title="Weighted average exercise price" style="text-align: right"><ix:nonFraction name="us-gaap:SharebasedCompensationSharesAuthorizedUnderStockOptionPlansExercisePriceRangeOutstandingOptionsWeightedAverageExercisePriceBeginningBalance1" contextRef="AsOf2024-09-30_custom_TimeVestingStockOptionsMember_custom_ExercisePrice1Member" id="Fact000776" format="ixt:numdotdecimal" decimals="INF" unitRef="USDPShares">3.03</ix:nonFraction></td> <td> </td> <td id="xdx_987_eus-gaap--ShareBasedCompensationSharesAuthorizedUnderStockOptionPlansExercisePriceRangeNumberOfExercisableOptions_iI_pid_uShares_c20240930__us-gaap--AwardTypeAxis__custom--TimeVestingStockOptionsMember__us-gaap--ShareBasedCompensationSharesAuthorizedUnderStockOptionPlansByExercisePriceRangeAxis__custom--ExercisePrice1Member_zRNyxyC2TTeh" title="Number exercisable" style="text-align: right"><ix:nonFraction name="us-gaap:ShareBasedCompensationSharesAuthorizedUnderStockOptionPlansExercisePriceRangeNumberOfExercisableOptions" contextRef="AsOf2024-09-30_custom_TimeVestingStockOptionsMember_custom_ExercisePrice1Member" id="Fact000778" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">1,446,250</ix:nonFraction></td> <td> </td> <td>$</td> <td id="xdx_98E_eus-gaap--SharebasedCompensationSharesAuthorizedUnderStockOptionPlansExercisePriceRangeExercisableOptionsWeightedAverageExercisePrice1_iI_pid_uUSDPShares_c20240930__us-gaap--AwardTypeAxis__custom--TimeVestingStockOptionsMember__us-gaap--ShareBasedCompensationSharesAuthorizedUnderStockOptionPlansByExercisePriceRangeAxis__custom--ExercisePrice1Member_zhFMF4tVag8e" title="Weighted average exercise price" style="text-align: right"><ix:nonFraction name="us-gaap:SharebasedCompensationSharesAuthorizedUnderStockOptionPlansExercisePriceRangeExercisableOptionsWeightedAverageExercisePrice1" contextRef="AsOf2024-09-30_custom_TimeVestingStockOptionsMember_custom_ExercisePrice1Member" id="Fact000780" format="ixt:numdotdecimal" decimals="INF" unitRef="USDPShares">3.37</ix:nonFraction></td> <td> </td></tr> </table> </ix:nonNumeric><p id="xdx_8A3_z7lVE1Cfr7Xh" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">As of September 30, 2024, there was $<span id="xdx_90C_eus-gaap--EmployeeServiceShareBasedCompensationNonvestedAwardsTotalCompensationCostNotYetRecognized_iI_c20240930__us-gaap--AwardTypeAxis__custom--TimeVestingStockOptionsMember_zbg9t2szMGm1" title="Total unrecognized compensation cost"><ix:nonFraction name="us-gaap:EmployeeServiceShareBasedCompensationNonvestedAwardsTotalCompensationCostNotYetRecognized" contextRef="AsOf2024-09-30_custom_TimeVestingStockOptionsMember" id="Fact000782" format="ixt:numdotdecimal" decimals="0" unitRef="USD">1,958,795</ix:nonFraction></span> of total unrecognized compensation cost related to non-vested share-based compensation arrangements granted under the Plans.  That cost is expected to be recognized over a weighted-average period of 42 months.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <ix:exclude><div id="xdx_235_zrZVBeJ1vi28"> <p style="font: 10pt TIMES NEW ROMAN, TIMES, SERIF; margin: 0; text-align: center">- 12 -</p> <hr style="border-width: 0; color: Gray; background-color: Gray; height: 2px; width: 100%"/><p style="break-before: always"></p> <p style="font: 8pt Times New Roman, Times, Serif; margin: 0"><i><a href="#toc"><span style="color: Blue">Table of Contents</span></a></i></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p></div></ix:exclude> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>Performance-Vesting Stock Options</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <ix:nonNumeric contextRef="From2024-01-01to2024-09-30" escape="true" id="Fact000785" name="us-gaap:ShareBasedCompensationPerformanceSharesAwardOutstandingActivityTableTextBlock"><p id="xdx_89D_eus-gaap--ShareBasedCompensationPerformanceSharesAwardOutstandingActivityTableTextBlock_zfdU1nleHWD3" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> <span id="xdx_8B8_zXaeFjqp7yzf">The following table summarizes the activities for our unvested performance-vesting stock option awards for the nine months ended September 30, 2024:</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 4in; border-collapse: collapse"> <tr style="vertical-align: bottom"> <td> </td> <td> </td> <td style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>Shares</b></span></td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>Weighted<br/> Average<br/> Grant-Date<br/> Fair Value</b></span></td> <td> </td></tr> <tr style="vertical-align: bottom"> <td> </td> <td> </td> <td> </td> <td> </td> <td colspan="2"> </td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: #E6E6E6"> <td style="width: 62%"><span style="font-size: 10pt">Unvested at January 1</span></td> <td style="width: 1%"> </td> <td id="xdx_982_ecustom--ShareBasedCompensationArrangementByUnvestedAwardOptions_iS_pid_uShares_c20240101__20240930__us-gaap--AwardTypeAxis__custom--PerformanceVestingStockOptionsMember_zwmBahDjWia8" title="Unvested at beginning, shares" style="width: 16%; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="krmd:ShareBasedCompensationArrangementByUnvestedAwardOptions" contextRef="AsOf2023-12-31_custom_PerformanceVestingStockOptionsMember" id="Fact000787" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">200,000</ix:nonFraction></span></td> <td style="width: 4%"> </td> <td style="width: 1%"><span style="font-size: 10pt">$</span></td> <td id="xdx_986_ecustom--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsUnvestedWeightedAverageExercisePrice_iS_pid_uUSDPShares_c20240101__20240930__us-gaap--AwardTypeAxis__custom--PerformanceVestingStockOptionsMember_z6QU9AC49854" title="Unvested at beginning, price" style="width: 15%; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="krmd:ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsUnvestedWeightedAverageExercisePrice" contextRef="AsOf2023-12-31_custom_PerformanceVestingStockOptionsMember" id="Fact000789" format="ixt:numdotdecimal" decimals="INF" unitRef="USDPShares">1.48</ix:nonFraction></span></td> <td style="width: 1%"> </td></tr> <tr style="vertical-align: bottom"> <td><span style="font-size: 10pt">Granted</span></td> <td> </td> <td id="xdx_98B_ecustom--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsGrants_pid_d0_uShares_c20240101__20240930__us-gaap--AwardTypeAxis__custom--PerformanceVestingStockOptionsMember_znQHVXJJTex2" title="Granted, shares" style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="krmd:ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsGrants" contextRef="From2024-01-012024-09-30_custom_PerformanceVestingStockOptionsMember" id="Fact000791" format="ixt:zerodash" decimals="INF" unitRef="Shares">—</ix:nonFraction></span></td> <td> </td> <td><span style="font-size: 10pt">$</span></td> <td id="xdx_983_ecustom--ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsGrantsInPeriodWeightedAverageExercisePrice1_pid_d0_uUSDPShares_c20240101__20240930__us-gaap--AwardTypeAxis__custom--PerformanceVestingStockOptionsMember_z5y3HybSuvqg" title="Granted, price" style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="krmd:ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsGrantsInPeriodWeightedAverageExercisePrice1" contextRef="From2024-01-012024-09-30_custom_PerformanceVestingStockOptionsMember" id="Fact000793" format="ixt:zerodash" decimals="INF" unitRef="USDPShares">—</ix:nonFraction></span></td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: #E6E6E6"> <td><span style="font-size: 10pt">Vested</span></td> <td> </td> <td id="xdx_98E_ecustom--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsVested_pid_d0_uShares_c20240101__20240930__us-gaap--AwardTypeAxis__custom--PerformanceVestingStockOptionsMember_znHDFxLa07Me" title="Vested, shares" style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="krmd:ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsVested" contextRef="From2024-01-012024-09-30_custom_PerformanceVestingStockOptionsMember" id="Fact000795" format="ixt:zerodash" decimals="INF" unitRef="Shares">—</ix:nonFraction></span></td> <td> </td> <td><span style="font-size: 10pt">$</span></td> <td id="xdx_984_ecustom--ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsVestedInPeriodWeightedAverageExercisePrice1_pid_d0_uUSDPShares_c20240101__20240930__us-gaap--AwardTypeAxis__custom--PerformanceVestingStockOptionsMember_z2kQTXHEFoNh" title="Vested, price" style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="krmd:ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsVestedInPeriodWeightedAverageExercisePrice1" contextRef="From2024-01-012024-09-30_custom_PerformanceVestingStockOptionsMember" id="Fact000797" format="ixt:zerodash" decimals="INF" unitRef="USDPShares">—</ix:nonFraction></span></td> <td> </td></tr> <tr style="vertical-align: bottom"> <td><span style="font-size: 10pt">Forfeited/canceled</span></td> <td> </td> <td id="xdx_983_ecustom--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsForfeitures_pid_d0_uShares_c20240101__20240930__us-gaap--AwardTypeAxis__custom--PerformanceVestingStockOptionsMember_zXpdjZMSUBD2" title="Forfeited/canceled, shares" style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="krmd:ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsForfeitures" contextRef="From2024-01-012024-09-30_custom_PerformanceVestingStockOptionsMember" id="Fact000799" format="ixt:zerodash" decimals="INF" unitRef="Shares">—</ix:nonFraction></span></td> <td> </td> <td><span style="font-size: 10pt">$</span></td> <td id="xdx_982_ecustom--ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsForfeituresInPeriodWeightedAverageExercisePrice1_pid_d0_uUSDPShares_c20240101__20240930__us-gaap--AwardTypeAxis__custom--PerformanceVestingStockOptionsMember_zzu6kCcOuhzj" title="Forfeited/canceled, price" style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="krmd:ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsForfeituresInPeriodWeightedAverageExercisePrice1" contextRef="From2024-01-012024-09-30_custom_PerformanceVestingStockOptionsMember" id="Fact000801" format="ixt:zerodash" decimals="INF" unitRef="USDPShares">—</ix:nonFraction></span></td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: #E6E6E6"> <td><span style="font-size: 10pt">Unvested/outstanding at September 30</span></td> <td> </td> <td id="xdx_980_ecustom--ShareBasedCompensationArrangementByUnvestedAwardOptions_iE_pid_uShares_c20240101__20240930__us-gaap--AwardTypeAxis__custom--PerformanceVestingStockOptionsMember_zhdcIITLMEd9" title="Unvested at ending, shares" style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="krmd:ShareBasedCompensationArrangementByUnvestedAwardOptions" contextRef="AsOf2024-09-30_custom_PerformanceVestingStockOptionsMember" id="Fact000803" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">200,000</ix:nonFraction></span></td> <td> </td> <td><span style="font-size: 10pt">$</span></td> <td id="xdx_989_ecustom--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsUnvestedWeightedAverageExercisePrice_iE_pid_uUSDPShares_c20240101__20240930__us-gaap--AwardTypeAxis__custom--PerformanceVestingStockOptionsMember_zyfSV1ZMOivi" title="Unvested at ending, price" style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="krmd:ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsUnvestedWeightedAverageExercisePrice" contextRef="AsOf2024-09-30_custom_PerformanceVestingStockOptionsMember" id="Fact000805" format="ixt:numdotdecimal" decimals="INF" unitRef="USDPShares">1.48</ix:nonFraction></span></td> <td> </td></tr> </table> </ix:nonNumeric><p id="xdx_8A6_zfCIxTX6T4ci" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Total stock-based compensation expense for performance-vesting stock options was $<span id="xdx_907_eus-gaap--EmployeeBenefitsAndShareBasedCompensation_c20240101__20240930__us-gaap--AwardTypeAxis__custom--PerformanceVestingStockOptionsMember_zT1pUyhudtB6" title="Total stock-based compensation expense"><ix:nonFraction name="us-gaap:EmployeeBenefitsAndShareBasedCompensation" contextRef="From2024-01-012024-09-30_custom_PerformanceVestingStockOptionsMember" id="Fact000807" format="ixt:numdotdecimal" decimals="0" unitRef="USD">24,366</ix:nonFraction></span> for the nine months ended September 30, 2024.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">As of September 30, 2024, there was $<span id="xdx_901_ecustom--UnrecognizedCompensationCost_c20240101__20240930__us-gaap--AwardTypeAxis__custom--PerformanceVestingStockOptionsMember_zAgsyE2lhHN8" title="Unrecognized compensation cost"><ix:nonFraction name="krmd:UnrecognizedCompensationCost" contextRef="From2024-01-012024-09-30_custom_PerformanceVestingStockOptionsMember" id="Fact000809" format="ixt:numdotdecimal" decimals="0" unitRef="USD">151,979</ix:nonFraction></span> of unrecognized compensation cost related to unvested employee performance-vesting options. This amount is expected to be recognized over a weighted-average period of 26 months.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>Restricted Stock Awards, RSUs, and PSUs</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <ix:nonNumeric contextRef="From2024-01-01to2024-09-30" escape="true" id="Fact000811" name="us-gaap:ScheduleOfUnvestedRestrictedStockUnitsRollForwardTableTextBlock"><p id="xdx_892_eus-gaap--ScheduleOfUnvestedRestrictedStockUnitsRollForwardTableTextBlock_z9ygRDHDD4y4" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><span id="xdx_8B1_zutCAf93qVe5">The following table summarizes the activities for our restricted stock awards, RSUs, and PSUs for the nine months ended September 30, 2024:</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 4in; border-collapse: collapse"> <tr style="vertical-align: bottom"> <td> </td> <td> </td> <td style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>Shares</b></span></td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>Weighted<br/> Average<br/> Grant-Date Fair Value</b></span></td> <td> </td></tr> <tr style="vertical-align: bottom"> <td> </td> <td> </td> <td> </td> <td> </td> <td colspan="2"> </td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: #E6E6E6"> <td style="width: 62%"><span style="font-size: 10pt">Unvested at January 1</span></td> <td style="width: 1%"> </td> <td id="xdx_989_ecustom--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingNumberUnvested_iS_pid_uShares_c20240101__20240930__us-gaap--AwardTypeAxis__custom--RestrictedStockAwardsMember_zH7U4cohV3Ql" title="Outstanding at beginning, shares" style="width: 16%; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="krmd:ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingNumberUnvested" contextRef="AsOf2023-12-31_custom_RestrictedStockAwardsMember" id="Fact000813" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">904,496</ix:nonFraction></span></td> <td style="width: 4%"> </td> <td style="width: 1%"><span style="font-size: 10pt">$</span></td> <td id="xdx_98D_ecustom--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingWeightedAverageExercisePriceUnvested_iS_pid_uUSDPShares_c20240101__20240930__us-gaap--AwardTypeAxis__custom--RestrictedStockAwardsMember_z2pf0sbEnB56" title="Outstanding at beginning, price" style="width: 15%; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="krmd:ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingWeightedAverageExercisePriceUnvested" contextRef="AsOf2023-12-31_custom_RestrictedStockAwardsMember" id="Fact000815" format="ixt:numdotdecimal" decimals="INF" unitRef="USDPShares">1.80</ix:nonFraction></span></td> <td style="width: 1%"> </td></tr> <tr style="vertical-align: bottom"> <td><span style="font-size: 10pt">Granted</span></td> <td> </td> <td id="xdx_98A_ecustom--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsGrantsInPeriodGrossUnvested_pid_uShares_c20240101__20240930__us-gaap--AwardTypeAxis__custom--RestrictedStockAwardsMember_zLDDDbSLRvqb" title="Granted, shares" style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="krmd:ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsGrantsInPeriodGrossUnvested" contextRef="From2024-01-012024-09-30_custom_RestrictedStockAwardsMember" id="Fact000817" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">458,975</ix:nonFraction></span></td> <td> </td> <td><span style="font-size: 10pt">$</span></td> <td id="xdx_98C_ecustom--ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsGrantsInPeriodWeightedAverageExercisePriceUnvested_pid_uUSDPShares_c20240101__20240930__us-gaap--AwardTypeAxis__custom--RestrictedStockAwardsMember_zp0B7UoXe2D1" title="Granted, price" style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="krmd:ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsGrantsInPeriodWeightedAverageExercisePriceUnvested" contextRef="From2024-01-012024-09-30_custom_RestrictedStockAwardsMember" id="Fact000819" format="ixt:numdotdecimal" decimals="INF" unitRef="USDPShares">2.30</ix:nonFraction></span></td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: #E6E6E6"> <td><span style="font-size: 10pt">Vested</span></td> <td> </td> <td id="xdx_989_ecustom--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsVestedInPeriodGross_pid_uShares_c20240101__20240930__us-gaap--AwardTypeAxis__custom--RestrictedStockAwardsMember_zg9w9Z43V2j2" title="Vested, shares" style="text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="krmd:ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsVestedInPeriodGross" contextRef="From2024-01-012024-09-30_custom_RestrictedStockAwardsMember" id="Fact000821" format="ixt:numdotdecimal" decimals="INF" sign="-" unitRef="Shares">81,789</ix:nonFraction></span></td> <td><span style="font-size: 10pt">)</span></td> <td><span style="font-size: 10pt">$</span></td> <td id="xdx_98C_ecustom--ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsVestedInPeriodWeightedAverageExercisePrice_pid_uUSDPShares_c20240101__20240930__us-gaap--AwardTypeAxis__custom--RestrictedStockAwardsMember_zI4Y9pX9xj0k" title="Vested, price" style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="krmd:ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsVestedInPeriodWeightedAverageExercisePrice" contextRef="From2024-01-012024-09-30_custom_RestrictedStockAwardsMember" id="Fact000823" format="ixt:numdotdecimal" decimals="INF" unitRef="USDPShares">3.38</ix:nonFraction></span></td> <td> </td></tr> <tr style="vertical-align: bottom"> <td><span style="font-size: 10pt">Forfeited/canceled</span></td> <td> </td> <td id="xdx_98C_ecustom--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsForfeituresInPeriodUnvested_pid_uShares_c20240101__20240930__us-gaap--AwardTypeAxis__custom--RestrictedStockAwardsMember_zaoTWXWit4ed" title="Forfeited/canceled, shares" style="text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="krmd:ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsForfeituresInPeriodUnvested" contextRef="From2024-01-012024-09-30_custom_RestrictedStockAwardsMember" id="Fact000825" format="ixt:numdotdecimal" decimals="INF" sign="-" unitRef="Shares">11,745</ix:nonFraction></span></td> <td><span style="font-size: 10pt">)</span></td> <td><span style="font-size: 10pt">$</span></td> <td id="xdx_983_ecustom--ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsForfeituresInPeriodWeightedAverageExercisePriceUnvested_pid_uUSDPShares_c20240101__20240930__us-gaap--AwardTypeAxis__custom--RestrictedStockAwardsMember_zXbGDeVV22Tk" title="Forfeited/canceled, price" style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="krmd:ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsForfeituresInPeriodWeightedAverageExercisePriceUnvested" contextRef="From2024-01-012024-09-30_custom_RestrictedStockAwardsMember" id="Fact000827" format="ixt:numdotdecimal" decimals="INF" unitRef="USDPShares">2.30</ix:nonFraction></span></td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: #E6E6E6"> <td><span style="font-size: 10pt">Unvested at September 30</span></td> <td> </td> <td id="xdx_98D_ecustom--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingNumberUnvested_iE_pid_uShares_c20240101__20240930__us-gaap--AwardTypeAxis__custom--RestrictedStockAwardsMember_znMz4VGg1QF4" title="Outstanding at ending, shares" style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="krmd:ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingNumberUnvested" contextRef="AsOf2024-09-30_custom_RestrictedStockAwardsMember" id="Fact000829" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">1,269,937</ix:nonFraction></span></td> <td> </td> <td><span style="font-size: 10pt">$</span></td> <td id="xdx_984_ecustom--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingWeightedAverageExercisePriceUnvested_iE_pid_uUSDPShares_c20240101__20240930__us-gaap--AwardTypeAxis__custom--RestrictedStockAwardsMember_zezOXz7X8wuh" title="Outstanding at ending, price" style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="krmd:ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingWeightedAverageExercisePriceUnvested" contextRef="AsOf2024-09-30_custom_RestrictedStockAwardsMember" id="Fact000831" format="ixt:numdotdecimal" decimals="INF" unitRef="USDPShares">2.74</ix:nonFraction></span></td> <td> </td></tr> </table> </ix:nonNumeric><p id="xdx_8A1_zKkyMje4eMt8" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Total stock-based compensation expense for restricted stock awards, RSUs, and PSUs was $<span id="xdx_90E_eus-gaap--EmployeeBenefitsAndShareBasedCompensation_c20240101__20240930__us-gaap--AwardTypeAxis__custom--RestrictedStockAwardsMember_zZfdWwhmJuGa" title="Total stock-based compensation expense"><ix:nonFraction name="us-gaap:EmployeeBenefitsAndShareBasedCompensation" contextRef="From2024-01-012024-09-30_custom_RestrictedStockAwardsMember" id="Fact000833" format="ixt:numdotdecimal" decimals="0" unitRef="USD">399,082</ix:nonFraction></span> for the nine months ended September 30, 2024.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">As of September 30, 2024, there was $<span id="xdx_90A_ecustom--UnrecognizedCompensationCost_c20240101__20240930__us-gaap--AwardTypeAxis__custom--RestrictedStockAwardsMember_zmCdG8zMImWf" title="Unrecognized compensation cost"><ix:nonFraction name="krmd:UnrecognizedCompensationCost" contextRef="From2024-01-012024-09-30_custom_RestrictedStockAwardsMember" id="Fact000835" format="ixt:numdotdecimal" decimals="0" unitRef="USD">1,175,828</ix:nonFraction></span> of unrecognized compensation cost related to unvested employee restricted stock awards, RSUs, and PSUs. This amount is expected to be recognized over a weighted-average period of 23 months.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <ix:exclude><div id="xdx_239_zVDsfHt93191"> <p style="font: 10pt TIMES NEW ROMAN, TIMES, SERIF; margin: 0; text-align: center">- 13 -</p> <hr style="border-width: 0; color: Gray; background-color: Gray; height: 2px; width: 100%"/><p style="break-before: always"></p> <p style="font: 8pt Times New Roman, Times, Serif; margin: 0"><i><a href="#toc"><span style="color: Blue">Table of Contents</span></a></i></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p></div></ix:exclude> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>Common Stock Warrants</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <ix:nonNumeric contextRef="From2024-01-01to2024-09-30" escape="true" id="Fact000838" name="us-gaap:ScheduleOfCommonStockOutstandingRollForwardTableTextBlock"><p id="xdx_898_eus-gaap--ScheduleOfCommonStockOutstandingRollForwardTableTextBlock_zIKqcXIf9dk" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><span id="xdx_8B4_zELoc4sie5I8">The following table summarizes the activities for our common stock warrants issued in connection with our loan financing agreement with our lender for the nine months ended September 30, 2024:</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 4in; border-collapse: collapse"> <tr style="vertical-align: bottom"> <td> </td> <td> </td> <td style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>Shares</b></span></td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>Weighted<br/> Average<br/> Grant-Date Fair Value</b></span></td> <td> </td></tr> <tr style="vertical-align: bottom"> <td> </td> <td> </td> <td> </td> <td> </td> <td colspan="2"> </td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: #E6E6E6"> <td style="width: 62%"><span style="font-size: 10pt">Unvested at January 1</span></td> <td style="width: 1%"> </td> <td id="xdx_989_ecustom--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingNumberUnvested_iS_pid_uShares_c20240101__20240930__us-gaap--AwardTypeAxis__custom--CommonStockWarrantsMember_zhD62iUY0xLa" title="Outstanding at beginning, shares" style="width: 16%; text-align: right"><span style="font-size: 10pt"><span style="-sec-ix-hidden: xdx2ixbrl0840">—</span></span></td> <td style="width: 4%"> </td> <td style="width: 1%"><span style="font-size: 10pt">$</span></td> <td id="xdx_989_ecustom--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingWeightedAverageExercisePriceUnvested_iS_pid_uUSDPShares_c20240101__20240930__us-gaap--AwardTypeAxis__custom--CommonStockWarrantsMember_zXa78RQMmhl9" title="Outstanding at beginning, price" style="width: 15%; text-align: right"><span style="font-size: 10pt"><span style="-sec-ix-hidden: xdx2ixbrl0842">—</span></span></td> <td style="width: 1%"> </td></tr> <tr style="vertical-align: bottom"> <td><span style="font-size: 10pt">Granted</span></td> <td> </td> <td id="xdx_98A_ecustom--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsGrantsInPeriodGrossUnvested_pid_uShares_c20240101__20240930__us-gaap--AwardTypeAxis__custom--CommonStockWarrantsMember_zr5AnM1VtR55" title="Granted, shares" style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="krmd:ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsGrantsInPeriodGrossUnvested" contextRef="From2024-01-012024-09-30_custom_CommonStockWarrantsMember" id="Fact000844" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">76,104</ix:nonFraction></span></td> <td> </td> <td><span style="font-size: 10pt">$</span></td> <td id="xdx_988_ecustom--ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsGrantsInPeriodWeightedAverageExercisePriceUnvested_pid_uUSDPShares_c20240101__20240930__us-gaap--AwardTypeAxis__custom--CommonStockWarrantsMember_zKt0R9wcZF3l" title="Granted, price" style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="krmd:ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsGrantsInPeriodWeightedAverageExercisePriceUnvested" contextRef="From2024-01-012024-09-30_custom_CommonStockWarrantsMember" id="Fact000846" format="ixt:numdotdecimal" decimals="INF" unitRef="USDPShares">1.37</ix:nonFraction></span></td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: #E6E6E6"> <td><span style="font-size: 10pt">Vested</span></td> <td> </td> <td id="xdx_983_ecustom--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsVestedInPeriodGross_pid_uShares_c20240101__20240930__us-gaap--AwardTypeAxis__custom--CommonStockWarrantsMember_zjZGU0s4COj8" title="Vested, shares" style="text-align: right"><span style="font-size: 10pt">(<ix:nonFraction name="krmd:ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsVestedInPeriodGross" contextRef="From2024-01-012024-09-30_custom_CommonStockWarrantsMember" id="Fact000848" format="ixt:numdotdecimal" decimals="INF" sign="-" unitRef="Shares">38,052</ix:nonFraction></span></td> <td><span style="font-size: 10pt">)</span></td> <td><span style="font-size: 10pt">$</span></td> <td id="xdx_98E_ecustom--ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsVestedInPeriodWeightedAverageExercisePrice_pid_uUSDPShares_c20240101__20240930__us-gaap--AwardTypeAxis__custom--CommonStockWarrantsMember_zNkhPBYvInbd" title="Vested, price" style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="krmd:ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsVestedInPeriodWeightedAverageExercisePrice" contextRef="From2024-01-012024-09-30_custom_CommonStockWarrantsMember" id="Fact000850" format="ixt:numdotdecimal" decimals="INF" unitRef="USDPShares">1.37</ix:nonFraction></span></td> <td> </td></tr> <tr style="vertical-align: bottom"> <td><span style="font-size: 10pt">Forfeited/canceled</span></td> <td> </td> <td id="xdx_987_ecustom--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsForfeituresInPeriodUnvested_pid_uShares_c20240101__20240930__us-gaap--AwardTypeAxis__custom--CommonStockWarrantsMember_zT9eyY5P3lV1" title="Forfeited/canceled, shares" style="text-align: right"><span style="font-size: 10pt"><span style="-sec-ix-hidden: xdx2ixbrl0852">—</span></span></td> <td> </td> <td><span style="font-size: 10pt">$</span></td> <td id="xdx_98A_ecustom--ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsForfeituresInPeriodWeightedAverageExercisePriceUnvested_pid_uUSDPShares_c20240101__20240930__us-gaap--AwardTypeAxis__custom--CommonStockWarrantsMember_zkRP8GQqAPv5" title="Forfeited/canceled, price" style="text-align: right"><span style="font-size: 10pt"><span style="-sec-ix-hidden: xdx2ixbrl0854">—</span></span></td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: #E6E6E6"> <td><span style="font-size: 10pt">Unvested at September 30</span></td> <td> </td> <td id="xdx_981_ecustom--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingNumberUnvested_iE_pid_uShares_c20240101__20240930__us-gaap--AwardTypeAxis__custom--CommonStockWarrantsMember_zXharMIXLCr5" title="Outstanding at ending, shares" style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="krmd:ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingNumberUnvested" contextRef="AsOf2024-09-30_custom_CommonStockWarrantsMember" id="Fact000856" format="ixt:numdotdecimal" decimals="INF" unitRef="Shares">38,052</ix:nonFraction></span></td> <td> </td> <td><span style="font-size: 10pt">$</span></td> <td id="xdx_986_ecustom--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingWeightedAverageExercisePriceUnvested_iE_pid_uUSDPShares_c20240101__20240930__us-gaap--AwardTypeAxis__custom--CommonStockWarrantsMember_zSsqc9n2ojf3" title="Outstanding at ending, price" style="text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="krmd:ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingWeightedAverageExercisePriceUnvested" contextRef="AsOf2024-09-30_custom_CommonStockWarrantsMember" id="Fact000858" format="ixt:numdotdecimal" decimals="INF" unitRef="USDPShares">1.37</ix:nonFraction></span></td> <td> </td></tr> </table> </ix:nonNumeric><p id="xdx_8AF_zVLUdOWcsDWh" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">As of September 30, 2024, there was $<span id="xdx_900_ecustom--UnrecognizedCompensationCost_c20240101__20240930__us-gaap--AwardTypeAxis__custom--CommonStockWarrantsMember_zoJV4shbLNsi"><ix:nonFraction name="krmd:UnrecognizedCompensationCost" contextRef="From2024-01-012024-09-30_custom_CommonStockWarrantsMember" id="Fact000859" format="ixt:numdotdecimal" decimals="0" unitRef="USD">26,064</ix:nonFraction></span> of unrecognized cost related to unvested warrants.</p> </ix:nonNumeric><p id="xdx_810_zrWojanbFFe9" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <ix:nonNumeric contextRef="From2024-01-01to2024-09-30" escape="true" id="Fact000861" name="us-gaap:DebtDisclosureTextBlock"><p id="xdx_807_eus-gaap--DebtDisclosureTextBlock_z3cf6wwfzpNb" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>NOTE 4 — <span id="xdx_824_zkyWV8c7dytc">DEBT OBLIGATIONS</span></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On March 8, 2024, the Company entered into a loan and security agreement with a large domestic banking institution, as lender, providing for a $<span id="xdx_903_eus-gaap--LinesOfCreditCurrent_iI_c20240308__dei--LegalEntityAxis__custom--DomesticBankLenderMember__us-gaap--CreditFacilityAxis__us-gaap--RevolvingCreditFacilityMember_zcVSlpRqf0Na" title="Revolving credit facility"><ix:nonFraction name="us-gaap:LinesOfCreditCurrent" contextRef="AsOf2024-03-08_custom_DomesticBankLenderMember_us-gaap_RevolvingCreditFacilityMember" id="Fact000863" format="ixt:numdotdecimal" decimals="0" unitRef="USD">5,000,000</ix:nonFraction></span> revolving credit facility and a $<span id="xdx_900_ecustom--LinesOfCreditCurrent1_iI_c20240308__dei--LegalEntityAxis__custom--DomesticBankLenderMember__us-gaap--CreditFacilityAxis__custom--TermLoanFacilityMember_ztnW9p3JJHfg" title="Term loan facility"><ix:nonFraction name="krmd:LinesOfCreditCurrent1" contextRef="AsOf2024-03-08_custom_DomesticBankLenderMember_custom_TermLoanFacilityMember" id="Fact000865" format="ixt:numdotdecimal" decimals="0" unitRef="USD">5,000,000</ix:nonFraction></span> term loan facility. Borrowings are secured by a first-priority lien on substantially all of the assets of the Company, subject to customary exceptions. The revolving credit facility matures on December 31, 2025 and the term loan matures on December 1, 2028. As of September 30, 2024, there were no outstanding borrowings under the term loan nor the revolving credit facility.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">On August 1, 2024, the Company renewed its commercial insurance premium finance and security agreement with its insurance provider for the insurance period covering July 1, 2024 through June 30, 2025. As of September 30, 2024, the aggregate principal amount of the note was $<span id="xdx_909_eus-gaap--DebtInstrumentIssuedPrincipal_c20240101__20240930__us-gaap--TypeOfArrangementAxis__custom--SecurityAgreementMember_zVovQc77Fq04" title="Aggregate principal amount of note"><ix:nonFraction name="us-gaap:DebtInstrumentIssuedPrincipal" contextRef="From2024-01-012024-09-30_custom_SecurityAgreementMember" id="Fact000867" format="ixt:numdotdecimal" decimals="0" unitRef="USD">401,993</ix:nonFraction></span>. The note bears an annual interest rate of <span id="xdx_90F_eus-gaap--DebtInstrumentInterestRateStatedPercentage_iI_c20240930__us-gaap--TypeOfArrangementAxis__custom--SecurityAgreementMember_zdOD487PI7i8"><ix:nonFraction name="us-gaap:DebtInstrumentInterestRateStatedPercentage" contextRef="AsOf2024-09-30_custom_SecurityAgreementMember" id="Fact000868" format="ixt:numdotdecimal" decimals="INF" unitRef="Pure">9.5</ix:nonFraction></span>%. The Company retains the right to terminate the agreement at any time and pay the remaining balance in full along with a minimal penalty.</p> </ix:nonNumeric><p id="xdx_811_zDp2G4skj2h3" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <ix:nonNumeric contextRef="From2024-01-01to2024-09-30" escape="true" id="Fact000870" name="us-gaap:LeasesOfLesseeDisclosureTextBlock"><p id="xdx_801_eus-gaap--LeasesOfLesseeDisclosureTextBlock_zk5BZxcXN6ff" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>NOTE 5 — <span id="xdx_82B_zpMVH4UhthY9">LEASES</span></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">We have finance and operating leases for our corporate office, vehicles, and certain office and computer equipment. Our three operating leases have remaining lease terms of <span id="xdx_90E_ecustom--LesseeOperatingLeaseRemainingTerm_dxL_c20240101__20240930__us-gaap--LeaseContractualTermAxis__custom--LeaseOneMember_zp38kZ61mBh1" title="Operating lease remaining term::XDX::P7Y11M1D"><span style="-sec-ix-hidden: xdx2ixbrl0872">7.92</span></span> years, <span id="xdx_901_ecustom--LesseeOperatingLeaseRemainingTerm_dxL_c20240101__20240930__us-gaap--LeaseContractualTermAxis__custom--LeaseTwoMember_zhnc0DSntApc" title="Operating lease remaining term::XDX::P4Y3M29D"><span style="-sec-ix-hidden: xdx2ixbrl0874">4.33</span></span> years, and <span id="xdx_902_ecustom--LesseeOperatingLeaseRemainingTerm_dxL_c20240101__20240930__us-gaap--LeaseContractualTermAxis__custom--LeaseThreeMember_z1bIbSNhss2l" title="Operating lease remaining term::XDX::P3Y8M2D"><span style="-sec-ix-hidden: xdx2ixbrl0876">3.67</span></span> years, respectively. Our three finance leases have remaining lease terms of <span id="xdx_901_ecustom--LesseeFinanceLeaseRemainingTerm_dxL_c20240101__20240930__us-gaap--LeaseContractualTermAxis__custom--LeaseOneMember_zwtjpwFsxyIi" title="Finance lease remaining term::XDX::P2Y8M2D"><span style="-sec-ix-hidden: xdx2ixbrl0878">2.67</span></span> years, <span id="xdx_906_ecustom--LesseeFinanceLeaseRemainingTerm_dxL_c20240101__20240930__us-gaap--LeaseContractualTermAxis__custom--LeaseTwoMember_zzOWTQ5kBykh" title="Finance lease remaining term::XDX::P2Y2M30D"><span style="-sec-ix-hidden: xdx2ixbrl0880">2.25</span></span> years, and <span id="xdx_900_ecustom--LesseeFinanceLeaseRemainingTerm_dxL_c20240101__20240930__us-gaap--LeaseContractualTermAxis__custom--LeaseThreeMember_znsmUlyzSqdj" title="Finance lease remaining term::XDX::P4Y0M0D"><span style="-sec-ix-hidden: xdx2ixbrl0882">4.00</span></span> years, respectively, as of September 30, 2024.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <ix:nonNumeric contextRef="From2024-01-01to2024-09-30" escape="true" id="Fact000884" name="us-gaap:LeaseCostTableTextBlock"><p id="xdx_89E_eus-gaap--LeaseCostTableTextBlock_zauTH8fo6kWa" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><span id="xdx_8BE_z1UUuMP6ctD5">The components of lease expense were as follows:</span></p> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 7.5in; border-collapse: collapse"> <tr> <td style="vertical-align: bottom; width: 37%"> </td> <td style="vertical-align: bottom; width: 1%"> </td> <td style="vertical-align: bottom; width: 1%"> </td> <td id="xdx_492_20240701__20240930_zkcaUG2OuZYd" style="text-align: center; vertical-align: bottom; width: 12%"> </td> <td style="vertical-align: bottom; width: 3%"> </td> <td style="vertical-align: bottom; width: 1%"> </td> <td id="xdx_497_20230701__20230930_zX83YHwQ5VYh" style="text-align: center; vertical-align: bottom; width: 12%"> </td> <td style="vertical-align: bottom; width: 3%"> </td> <td style="vertical-align: bottom; width: 1%"> </td> <td id="xdx_491_20240101__20240930_zc4f6kxXp9Rg" style="text-align: center; vertical-align: bottom; width: 12%"> </td> <td style="vertical-align: bottom; width: 3%"> </td> <td style="vertical-align: bottom; width: 1%"> </td> <td id="xdx_490_20230101__20230930_zQJI7eTk6Ssd" style="text-align: center; vertical-align: bottom; width: 12%"> </td> <td style="vertical-align: top; width: 1%"> </td></tr> <tr> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom"> </td> <td colspan="5" style="vertical-align: bottom; text-align: center"><span style="font-size: 10pt"><b>Three Months Ended</b></span></td> <td style="vertical-align: bottom; text-align: center"> </td> <td colspan="5" style="vertical-align: bottom; text-align: center"><span style="font-size: 10pt"><b>Nine Months Ended</b></span></td> <td style="vertical-align: top"> </td></tr> <tr> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom"> </td> <td colspan="5" style="border-bottom: Black 1pt solid; vertical-align: bottom; text-align: center"><span style="font-size: 10pt"><b>September 30,</b></span></td> <td style="vertical-align: bottom; text-align: center"> </td> <td colspan="5" style="border-bottom: Black 1pt solid; vertical-align: bottom; text-align: center"><span style="font-size: 10pt"><b>September 30,</b></span></td> <td style="vertical-align: top"> </td></tr> <tr> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; vertical-align: bottom; text-align: center"><span style="font-size: 10pt"><b>2024</b></span></td> <td style="vertical-align: bottom; text-align: center"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; vertical-align: bottom; text-align: center"><span style="font-size: 10pt"><b>2023</b></span></td> <td style="vertical-align: bottom; text-align: center"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; vertical-align: bottom; text-align: center"><span style="font-size: 10pt"><b>2024</b></span></td> <td style="vertical-align: bottom; text-align: center"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; vertical-align: bottom; text-align: center"><span style="font-size: 10pt"><b>2023</b></span></td> <td style="vertical-align: top"> </td></tr> <tr> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom; text-align: right"> </td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom; text-align: right"> </td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom; text-align: right"> </td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom; text-align: right"> </td> <td style="vertical-align: top"> </td></tr> <tr id="xdx_40B_eus-gaap--OperatingLeaseCost_maLCzGTc_z1FjSeCKghDh" style="background-color: #E6E6E6"> <td style="vertical-align: bottom"><span style="font-size: 10pt">Operating lease cost</span></td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom"><span style="font-size: 10pt">$</span></td> <td style="vertical-align: bottom; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:OperatingLeaseCost" contextRef="From2024-07-012024-09-30" id="Fact000886" format="ixt:numdotdecimal" decimals="0" unitRef="USD">116,772</ix:nonFraction></span></td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom"><span style="font-size: 10pt">$</span></td> <td style="vertical-align: bottom; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:OperatingLeaseCost" contextRef="From2023-07-012023-09-30" id="Fact000887" format="ixt:numdotdecimal" decimals="0" unitRef="USD">112,279</ix:nonFraction></span></td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom"><span style="font-size: 10pt">$</span></td> <td style="vertical-align: bottom; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:OperatingLeaseCost" contextRef="From2024-01-01to2024-09-30" id="Fact000888" format="ixt:numdotdecimal" decimals="0" unitRef="USD">341,126</ix:nonFraction></span></td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom"><span style="font-size: 10pt">$</span></td> <td style="vertical-align: bottom; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:OperatingLeaseCost" contextRef="From2023-01-012023-09-30" id="Fact000889" format="ixt:numdotdecimal" decimals="0" unitRef="USD">224,801</ix:nonFraction></span></td> <td style="vertical-align: top"> </td></tr> <tr id="xdx_40D_eus-gaap--ShortTermLeaseCost_maLCzGTc_zR3MWvnKxOtf"> <td style="vertical-align: bottom"><span style="font-size: 10pt">Short-term lease cost</span></td> <td style="vertical-align: bottom"> </td> <td style="border-bottom: black 1pt solid; vertical-align: bottom"> </td> <td style="border-bottom: black 1pt solid; vertical-align: bottom; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:ShortTermLeaseCost" contextRef="From2024-07-012024-09-30" id="Fact000891" format="ixt:numdotdecimal" decimals="0" unitRef="USD">556</ix:nonFraction></span></td> <td style="vertical-align: bottom"> </td> <td style="border-bottom: black 1pt solid; vertical-align: bottom"> </td> <td style="border-bottom: black 1pt solid; vertical-align: bottom; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:ShortTermLeaseCost" contextRef="From2023-07-012023-09-30" id="Fact000892" format="ixt:numdotdecimal" decimals="0" unitRef="USD">25,143</ix:nonFraction></span></td> <td style="vertical-align: bottom"> </td> <td style="border-bottom: black 1pt solid; vertical-align: bottom"> </td> <td style="border-bottom: black 1pt solid; vertical-align: bottom; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:ShortTermLeaseCost" contextRef="From2024-01-01to2024-09-30" id="Fact000893" format="ixt:numdotdecimal" decimals="0" unitRef="USD">4,572</ix:nonFraction></span></td> <td style="vertical-align: bottom"> </td> <td style="border-bottom: black 1pt solid; vertical-align: bottom"> </td> <td style="border-bottom: black 1pt solid; vertical-align: bottom; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:ShortTermLeaseCost" contextRef="From2023-01-012023-09-30" id="Fact000894" format="ixt:numdotdecimal" decimals="0" unitRef="USD">78,037</ix:nonFraction></span></td> <td style="vertical-align: top"> </td></tr> <tr id="xdx_40A_eus-gaap--LeaseCost_zh3HN24uvebj" style="background-color: #E6E6E6"> <td style="vertical-align: bottom"><span style="font-size: 10pt">Total lease cost</span></td> <td style="vertical-align: bottom"> </td> <td style="border-bottom: black 2.25pt double; vertical-align: bottom"><span style="font-size: 10pt">$</span></td> <td style="border-bottom: black 2.25pt double; vertical-align: bottom; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:LeaseCost" contextRef="From2024-07-012024-09-30" id="Fact000896" format="ixt:numdotdecimal" decimals="0" unitRef="USD">117,328</ix:nonFraction></span></td> <td style="vertical-align: bottom"> </td> <td style="border-bottom: black 2.25pt double; vertical-align: bottom"><span style="font-size: 10pt">$</span></td> <td style="border-bottom: black 2.25pt double; vertical-align: bottom; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:LeaseCost" contextRef="From2023-07-012023-09-30" id="Fact000897" format="ixt:numdotdecimal" decimals="0" unitRef="USD">137,422</ix:nonFraction></span></td> <td style="vertical-align: bottom"> </td> <td style="border-bottom: black 2.25pt double; vertical-align: bottom"><span style="font-size: 10pt">$</span></td> <td style="border-bottom: black 2.25pt double; vertical-align: bottom; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:LeaseCost" contextRef="From2024-01-01to2024-09-30" id="Fact000898" format="ixt:numdotdecimal" decimals="0" unitRef="USD">345,698</ix:nonFraction></span></td> <td style="vertical-align: bottom"> </td> <td style="border-bottom: black 2.25pt double; vertical-align: bottom"><span style="font-size: 10pt">$</span></td> <td style="border-bottom: black 2.25pt double; vertical-align: bottom; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:LeaseCost" contextRef="From2023-01-012023-09-30" id="Fact000899" format="ixt:numdotdecimal" decimals="0" unitRef="USD">302,838</ix:nonFraction></span></td> <td style="vertical-align: top"> </td></tr> <tr> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom; text-align: right"> </td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom; text-align: right"> </td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom; text-align: right"> </td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom; text-align: right"> </td> <td style="vertical-align: top"> </td></tr> <tr id="xdx_40F_ecustom--FinanceLeaseCost1Abstract_iB_zXrFxYaBSuV1"> <td style="vertical-align: bottom"><span style="font-size: 10pt">Finance lease cost:</span></td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom; text-align: right"> </td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom; text-align: right"> </td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom; text-align: right"> </td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom; text-align: right"> </td> <td style="vertical-align: top"> </td></tr> <tr id="xdx_404_eus-gaap--FinanceLeaseRightOfUseAssetAmortization_i01_maFLCzAT2_zjDZsfNw2Huc" style="background-color: #E6E6E6"> <td style="vertical-align: bottom; padding-left: 0.2in"><span style="font-size: 10pt">Amortization of right-of-use assets</span></td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom"><span style="font-size: 10pt">$</span></td> <td style="vertical-align: bottom; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:FinanceLeaseRightOfUseAssetAmortization" contextRef="From2024-07-012024-09-30" id="Fact000906" format="ixt:numdotdecimal" decimals="0" unitRef="USD">28,896</ix:nonFraction></span></td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom"><span style="font-size: 10pt">$</span></td> <td style="vertical-align: bottom; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:FinanceLeaseRightOfUseAssetAmortization" contextRef="From2023-07-012023-09-30" id="Fact000907" format="ixt:numdotdecimal" decimals="0" unitRef="USD">27,224</ix:nonFraction></span></td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom"><span style="font-size: 10pt">$</span></td> <td style="vertical-align: bottom; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:FinanceLeaseRightOfUseAssetAmortization" contextRef="From2024-01-01to2024-09-30" id="Fact000908" format="ixt:numdotdecimal" decimals="0" unitRef="USD">86,689</ix:nonFraction></span></td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom"><span style="font-size: 10pt">$</span></td> <td style="vertical-align: bottom; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:FinanceLeaseRightOfUseAssetAmortization" contextRef="From2023-01-012023-09-30" id="Fact000909" format="ixt:numdotdecimal" decimals="0" unitRef="USD">54,447</ix:nonFraction></span></td> <td style="vertical-align: top"> </td></tr> <tr id="xdx_40A_eus-gaap--FinanceLeaseInterestExpense_i01_maFLCzAT2_zDY8dfsjjWu3"> <td style="vertical-align: bottom; padding-left: 0.2in"><span style="font-size: 10pt">Interest on lease liabilities</span></td> <td style="vertical-align: bottom"> </td> <td style="border-bottom: black 1pt solid; vertical-align: bottom"> </td> <td style="border-bottom: black 1pt solid; vertical-align: bottom; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:FinanceLeaseInterestExpense" contextRef="From2024-07-012024-09-30" id="Fact000911" format="ixt:numdotdecimal" decimals="0" unitRef="USD">5,283</ix:nonFraction></span></td> <td style="vertical-align: bottom"> </td> <td style="border-bottom: black 1pt solid; vertical-align: bottom"> </td> <td style="border-bottom: black 1pt solid; vertical-align: bottom; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:FinanceLeaseInterestExpense" contextRef="From2023-07-012023-09-30" id="Fact000912" format="ixt:numdotdecimal" decimals="0" unitRef="USD">6,387</ix:nonFraction></span></td> <td style="vertical-align: bottom"> </td> <td style="border-bottom: black 1pt solid; vertical-align: bottom"> </td> <td style="border-bottom: black 1pt solid; vertical-align: bottom; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:FinanceLeaseInterestExpense" contextRef="From2024-01-01to2024-09-30" id="Fact000913" format="ixt:numdotdecimal" decimals="0" unitRef="USD">17,007</ix:nonFraction></span></td> <td style="vertical-align: bottom"> </td> <td style="border-bottom: black 1pt solid; vertical-align: bottom"> </td> <td style="border-bottom: black 1pt solid; vertical-align: bottom; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="us-gaap:FinanceLeaseInterestExpense" contextRef="From2023-01-012023-09-30" id="Fact000914" format="ixt:numdotdecimal" decimals="0" unitRef="USD">13,107</ix:nonFraction></span></td> <td style="vertical-align: top"> </td></tr> <tr id="xdx_40A_ecustom--FinanceLeaseCost_i01_zhi7mdV8Sgcb" style="background-color: #E6E6E6"> <td style="vertical-align: bottom"><span style="font-size: 10pt">Total finance lease cost</span></td> <td style="vertical-align: bottom"> </td> <td style="border-bottom: black 2.25pt double; vertical-align: bottom"><span style="font-size: 10pt">$</span></td> <td style="border-bottom: black 2.25pt double; vertical-align: bottom; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="krmd:FinanceLeaseCost" contextRef="From2024-07-012024-09-30" id="Fact000916" format="ixt:numdotdecimal" decimals="0" unitRef="USD">34,179</ix:nonFraction></span></td> <td style="vertical-align: bottom"> </td> <td style="border-bottom: black 2.25pt double; vertical-align: bottom"><span style="font-size: 10pt">$</span></td> <td style="border-bottom: black 2.25pt double; vertical-align: bottom; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="krmd:FinanceLeaseCost" contextRef="From2023-07-012023-09-30" id="Fact000917" format="ixt:numdotdecimal" decimals="0" unitRef="USD">33,611</ix:nonFraction></span></td> <td style="vertical-align: bottom"> </td> <td style="border-bottom: black 2.25pt double; vertical-align: bottom"><span style="font-size: 10pt">$</span></td> <td style="border-bottom: black 2.25pt double; vertical-align: bottom; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="krmd:FinanceLeaseCost" contextRef="From2024-01-01to2024-09-30" id="Fact000918" format="ixt:numdotdecimal" decimals="0" unitRef="USD">103,696</ix:nonFraction></span></td> <td style="vertical-align: bottom"> </td> <td style="border-bottom: black 2.25pt double; vertical-align: bottom"><span style="font-size: 10pt">$</span></td> <td style="border-bottom: black 2.25pt double; vertical-align: bottom; text-align: right"><span style="font-size: 10pt"><ix:nonFraction name="krmd:FinanceLeaseCost" contextRef="From2023-01-012023-09-30" id="Fact000919" format="ixt:numdotdecimal" decimals="0" unitRef="USD">67,554</ix:nonFraction></span></td> <td style="vertical-align: top"> </td></tr> </table> </ix:nonNumeric><p id="xdx_8A3_zfUOYrNp5RPd" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <ix:exclude><div id="xdx_232_zPU6a2GdD9Wc"> <p style="font: 10pt TIMES NEW ROMAN, TIMES, SERIF; margin: 0; text-align: center">- 14 -</p> <hr style="border-width: 0; color: Gray; background-color: Gray; height: 2px; width: 100%"/><p style="break-before: always"></p> <p style="font: 8pt Times New Roman, Times, Serif; margin: 0"><i><a href="#toc"><span style="color: Blue">Table of Contents</span></a></i></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p></div></ix:exclude> <ix:nonNumeric contextRef="From2024-01-01to2024-09-30" escape="true" id="Fact000922" name="us-gaap:OperatingLeaseLeaseIncomeTableTextBlock"><p id="xdx_89F_eus-gaap--OperatingLeaseLeaseIncomeTableTextBlock_zKNpO7m0QyU3" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><span id="xdx_8B8_zC6gKwzRWUK5">Supplemental cash flow information related to leases was as follows:</span></p> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 6.5in; border-collapse: collapse"> <tr style="vertical-align: bottom"> <td> </td> <td> </td> <td style="text-align: center"> </td> <td id="xdx_49B_20240101__20240930_z9zFWvkbbZbi" style="text-align: center"> </td> <td style="text-align: center"> </td> <td colspan="2" id="xdx_49C_20230101__20230930_z3TBJni6YQbg" style="text-align: center"> </td> <td> </td></tr> <tr style="vertical-align: bottom"> <td> </td> <td> </td> <td colspan="5" style="text-align: center"><b>Nine Months Ended</b></td> <td> </td></tr> <tr style="vertical-align: bottom"> <td> </td> <td> </td> <td colspan="5" style="border-bottom: black 1pt solid; text-align: center"><b>September 30,</b></td> <td> </td></tr> <tr style="vertical-align: bottom"> <td> </td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><b>2024</b></td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><b>2023</b></td> <td> </td></tr> <tr id="xdx_40E_eus-gaap--CashFlowOperatingActivitiesLesseeAbstract_iB" style="vertical-align: bottom; background-color: #E6E6E6"> <td style="width: 70%; padding-left: 8.25pt; text-indent: -8.25pt">Cash paid for amounts included in the measurement of lease liabilities:</td> <td style="width: 1%"> </td> <td style="width: 1%"> </td> <td style="width: 12%"> </td> <td style="width: 2%"> </td> <td style="width: 1%"> </td> <td style="width: 12%"> </td> <td style="width: 1%"> </td></tr> <tr id="xdx_403_eus-gaap--OperatingLeasePayments_i01_zsEqvrMPSCH6" style="vertical-align: bottom"> <td>Operating cash flows from operating leases</td> <td> </td> <td>$</td> <td style="text-align: right"><ix:nonFraction name="us-gaap:OperatingLeasePayments" contextRef="From2024-01-01to2024-09-30" id="Fact000927" format="ixt:numdotdecimal" decimals="0" unitRef="USD">373,046</ix:nonFraction></td> <td> </td> <td>$</td> <td style="text-align: right"><ix:nonFraction name="us-gaap:OperatingLeasePayments" contextRef="From2023-01-012023-09-30" id="Fact000928" format="ixt:numdotdecimal" decimals="0" unitRef="USD">229,879</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_402_eus-gaap--FinanceLeaseInterestPaymentOnLiability_i01_zc6FMQiffytl" style="vertical-align: bottom; background-color: #E6E6E6"> <td>Financing cash flows from finance leases</td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:FinanceLeaseInterestPaymentOnLiability" contextRef="From2024-01-01to2024-09-30" id="Fact000930" format="ixt:numdotdecimal" decimals="0" unitRef="USD">98,578</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:FinanceLeaseInterestPaymentOnLiability" contextRef="From2023-01-012023-09-30" id="Fact000931" format="ixt:numdotdecimal" decimals="0" unitRef="USD">61,600</ix:nonFraction></td> <td> </td></tr> </table> </ix:nonNumeric><p id="xdx_8A2_znLkcIgBIoLb" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <ix:nonNumeric contextRef="From2024-01-01to2024-09-30" escape="true" id="Fact000933" name="us-gaap:OperatingLeasesOfLesseeDisclosureTextBlock"><p id="xdx_899_eus-gaap--OperatingLeasesOfLesseeDisclosureTextBlock_zvPao6Y57qB7" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><span id="xdx_8B2_zHobzA7gJrza">Supplemental balance sheet information related to leases was as follows:</span></p> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 5in; border-collapse: collapse"> <tr style="vertical-align: bottom; background-color: white"> <td> </td> <td> </td> <td colspan="2" id="xdx_49D_20240930_zkGNDxEy5nyb" style="text-align: center"> </td> <td> </td> <td colspan="2" id="xdx_492_20231231_zfj7QKjQoz3f" style="text-align: center"> </td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: white"> <td> </td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><b>September 30,<br/> 2024</b></td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><b>December 31,<br/> 2023</b></td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: white"> <td style="width: 55%"> </td> <td style="width: 2%"> </td> <td style="width: 2%"> </td> <td style="width: 17%"> </td> <td style="width: 3%"> </td> <td style="width: 2%"> </td> <td style="width: 17%"> </td> <td style="width: 2%"> </td></tr> <tr id="xdx_402_ecustom--AssetsAndLiabilitiesOperatingLesseeAbstract_iB_zUKGoupTq6x7" style="vertical-align: bottom; background-color: white"> <td style="padding-left: 7.95pt; text-indent: -7.95pt"><b>Operating Leases</b></td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td></tr> <tr id="xdx_40D_eus-gaap--OperatingLeaseRightOfUseAsset_i01I_z7iI4XVnolG1" style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 24.7pt; text-indent: -8.25pt">Operating lease right-of-use assets</td> <td> </td> <td style="border-bottom: black 2.25pt double">$</td> <td style="border-bottom: black 2.25pt double; text-align: right"><ix:nonFraction name="us-gaap:OperatingLeaseRightOfUseAsset" contextRef="AsOf2024-09-30" id="Fact000938" format="ixt:numdotdecimal" decimals="0" unitRef="USD">3,063,731</ix:nonFraction></td> <td> </td> <td style="border-bottom: black 2.25pt double">$</td> <td style="border-bottom: black 2.25pt double; text-align: right"><ix:nonFraction name="us-gaap:OperatingLeaseRightOfUseAsset" contextRef="AsOf2023-12-31" id="Fact000939" format="ixt:numdotdecimal" decimals="0" unitRef="USD">3,514,055</ix:nonFraction></td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: white"> <td style="padding-left: 24.7pt; text-indent: -8.25pt"> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td></tr> <tr id="xdx_402_eus-gaap--OperatingLeaseLiabilityCurrent_i01I_z2Bc90rfh79b" style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 24.7pt; text-indent: -8.25pt">Operating lease current liabilities</td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:OperatingLeaseLiabilityCurrent" contextRef="AsOf2024-09-30" id="Fact000941" format="ixt:numdotdecimal" decimals="0" unitRef="USD">395,954</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:OperatingLeaseLiabilityCurrent" contextRef="AsOf2023-12-31" id="Fact000942" format="ixt:numdotdecimal" decimals="0" unitRef="USD">368,313</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_400_eus-gaap--OperatingLeaseLiabilityNoncurrent_i01I_zpCmZ4XeYpzd" style="vertical-align: bottom; background-color: white"> <td style="padding-left: 24.7pt; text-indent: -8.25pt">Operating lease long term liabilities</td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><ix:nonFraction name="us-gaap:OperatingLeaseLiabilityNoncurrent" contextRef="AsOf2024-09-30" id="Fact000944" format="ixt:numdotdecimal" decimals="0" unitRef="USD">3,102,097</ix:nonFraction></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><ix:nonFraction name="us-gaap:OperatingLeaseLiabilityNoncurrent" contextRef="AsOf2023-12-31" id="Fact000945" format="ixt:numdotdecimal" decimals="0" unitRef="USD">3,336,300</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_404_eus-gaap--OperatingLeaseLiability_i01I_zloCrfDY96a4" style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 7.95pt; text-indent: -7.95pt">Total operating lease liabilities</td> <td> </td> <td style="border-bottom: black 2.25pt double">$</td> <td style="border-bottom: black 2.25pt double; text-align: right"><ix:nonFraction name="us-gaap:OperatingLeaseLiability" contextRef="AsOf2024-09-30" id="Fact000947" format="ixt:numdotdecimal" decimals="0" unitRef="USD">3,498,051</ix:nonFraction></td> <td> </td> <td style="border-bottom: black 2.25pt double">$</td> <td style="border-bottom: black 2.25pt double; text-align: right"><ix:nonFraction name="us-gaap:OperatingLeaseLiability" contextRef="AsOf2023-12-31" id="Fact000948" format="ixt:numdotdecimal" decimals="0" unitRef="USD">3,704,613</ix:nonFraction></td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: white"> <td style="padding-left: 7.95pt; text-indent: -7.95pt"> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td></tr> <tr id="xdx_40F_ecustom--AssetsAndLiabilitiesLesseeFinanceAbstract_iB_zYpNM6sUPA98" style="vertical-align: bottom; background-color: white"> <td style="padding-left: 7.95pt; text-indent: -7.95pt"><b>Finance Leases</b></td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td></tr> <tr id="xdx_40E_eus-gaap--PropertyPlantAndEquipmentOther_i01I_z2bIO0JnclQ6" style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 24.7pt; text-indent: -8.25pt">Property and equipment, at cost</td> <td> </td> <td>$</td> <td style="text-align: right"><ix:nonFraction name="us-gaap:PropertyPlantAndEquipmentOther" contextRef="AsOf2024-09-30" id="Fact000953" format="ixt:numdotdecimal" decimals="0" unitRef="USD">577,929</ix:nonFraction></td> <td> </td> <td>$</td> <td style="text-align: right"><ix:nonFraction name="us-gaap:PropertyPlantAndEquipmentOther" contextRef="AsOf2023-12-31" id="Fact000954" format="ixt:numdotdecimal" decimals="0" unitRef="USD">577,929</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_406_eus-gaap--PropertyPlantAndEquipmentOtherAccumulatedDepreciation_i01NI_di_z1PbQqb7pPHk" style="vertical-align: bottom; background-color: white"> <td style="padding-left: 24.7pt; text-indent: -8.25pt">Accumulated depreciation</td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right">(<ix:nonFraction name="us-gaap:PropertyPlantAndEquipmentOtherAccumulatedDepreciation" contextRef="AsOf2024-09-30" id="Fact000956" format="ixt:numdotdecimal" decimals="0" unitRef="USD">248,150</ix:nonFraction></td> <td>)</td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right">(<ix:nonFraction name="us-gaap:PropertyPlantAndEquipmentOtherAccumulatedDepreciation" contextRef="AsOf2023-12-31" id="Fact000957" format="ixt:numdotdecimal" decimals="0" unitRef="USD">161,461</ix:nonFraction></td> <td>)</td></tr> <tr id="xdx_407_eus-gaap--PropertyPlantAndEquipmentOtherNet_i01I_zohKRMyBndKd" style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 24.7pt; text-indent: -8.25pt">Property and equipment, net</td> <td> </td> <td style="border-bottom: black 2.25pt double">$</td> <td style="border-bottom: black 2.25pt double; text-align: right"><ix:nonFraction name="us-gaap:PropertyPlantAndEquipmentOtherNet" contextRef="AsOf2024-09-30" id="Fact000959" format="ixt:numdotdecimal" decimals="0" unitRef="USD">329,779</ix:nonFraction></td> <td> </td> <td style="border-bottom: black 2.25pt double">$</td> <td style="border-bottom: black 2.25pt double; text-align: right"><ix:nonFraction name="us-gaap:PropertyPlantAndEquipmentOtherNet" contextRef="AsOf2023-12-31" id="Fact000960" format="ixt:numdotdecimal" decimals="0" unitRef="USD">416,468</ix:nonFraction></td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: white"> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td> <td> </td></tr> <tr id="xdx_408_eus-gaap--FinanceLeaseLiabilityCurrent_iI_zQQS7vFSwB8i" style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 24.7pt; text-indent: -8.25pt">Finance lease current liabilities</td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:FinanceLeaseLiabilityCurrent" contextRef="AsOf2024-09-30" id="Fact000962" format="ixt:numdotdecimal" decimals="0" unitRef="USD">114,297</ix:nonFraction></td> <td> </td> <td> </td> <td style="text-align: right"><ix:nonFraction name="us-gaap:FinanceLeaseLiabilityCurrent" contextRef="AsOf2023-12-31" id="Fact000963" format="ixt:numdotdecimal" decimals="0" unitRef="USD">109,540</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_401_eus-gaap--FinanceLeaseLiabilityNoncurrent_iI_zumSjJzwUjP6" style="vertical-align: bottom; background-color: white"> <td style="padding-left: 24.7pt; text-indent: -8.25pt">Finance lease long term liabilities</td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><ix:nonFraction name="us-gaap:FinanceLeaseLiabilityNoncurrent" contextRef="AsOf2024-09-30" id="Fact000965" format="ixt:numdotdecimal" decimals="0" unitRef="USD">230,332</ix:nonFraction></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><ix:nonFraction name="us-gaap:FinanceLeaseLiabilityNoncurrent" contextRef="AsOf2023-12-31" id="Fact000966" format="ixt:numdotdecimal" decimals="0" unitRef="USD">316,623</ix:nonFraction></td> <td> </td></tr> <tr id="xdx_406_eus-gaap--FinanceLeaseLiability_iI_zYz94yTFuF22" style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 7.95pt; text-indent: -7.95pt">Total finance lease liabilities</td> <td> </td> <td style="border-bottom: black 2.25pt double">$</td> <td style="border-bottom: black 2.25pt double; text-align: right"><ix:nonFraction name="us-gaap:FinanceLeaseLiability" contextRef="AsOf2024-09-30" id="Fact000968" format="ixt:numdotdecimal" decimals="0" unitRef="USD">344,629</ix:nonFraction></td> <td> </td> <td style="border-bottom: black 2.25pt double">$</td> <td style="border-bottom: black 2.25pt double; text-align: right"><ix:nonFraction name="us-gaap:FinanceLeaseLiability" contextRef="AsOf2023-12-31" id="Fact000969" format="ixt:numdotdecimal" decimals="0" unitRef="USD">426,163</ix:nonFraction></td> <td> </td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 5in; border-collapse: collapse"> <tr> <td style="vertical-align: bottom; width: 55%"> </td> <td style="vertical-align: bottom; width: 2%"> </td> <td style="border-bottom: black 1pt solid; vertical-align: bottom; width: 19%; text-align: center"><b>September 30,<br/> 2024</b></td> <td style="vertical-align: bottom; width: 3%"> </td> <td style="border-bottom: black 1pt solid; vertical-align: top; width: 19%; text-align: center"><b>December 31,<br/> 2023</b></td> <td style="vertical-align: top; width: 2%"> </td></tr> <tr> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: top"> </td> <td style="vertical-align: top"> </td></tr> <tr style="background-color: #E6E6E6"> <td style="vertical-align: bottom"><b>Weighted Average Remaining Lease Term</b></td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom; text-align: right"> </td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: top"> </td> <td style="vertical-align: top"> </td></tr> <tr> <td style="vertical-align: bottom; padding-left: 0.2in">Operating leases</td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom; text-align: right"><span id="xdx_90D_eus-gaap--LesseeOperatingLeaseRenewalTerm_iI_dxL_c20240930_zFRgPxAG3Ka4" title="Operating leases term::XDX::P5Y3M22D"><span style="-sec-ix-hidden: xdx2ixbrl0971">5.31</span></span> Years</td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: top; text-align: right"><span id="xdx_908_eus-gaap--LesseeOperatingLeaseRenewalTerm_iI_dxL_c20231231_zdokCEYWuLR7" title="::XDX::P6Y10M17D"><span style="-sec-ix-hidden: xdx2ixbrl0972">6.88</span></span> Years</td> <td style="vertical-align: top"> </td></tr> <tr style="background-color: #E6E6E6"> <td style="vertical-align: bottom; padding-left: 0.2in">Finance leases</td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom; text-align: right"><span id="xdx_901_eus-gaap--LesseeFinanceLeaseRenewalTerm1_iI_dxL_c20240930_z3OyiybQvduj" title="Finance leases term::XDX::P2Y11M19D"><span style="-sec-ix-hidden: xdx2ixbrl0974">2.97</span></span> Years</td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: top; text-align: right"><span id="xdx_900_eus-gaap--LesseeFinanceLeaseRenewalTerm1_iI_dxL_c20231231_zzqMJYkJYt71" title="::XDX::P3Y8M19D"><span style="-sec-ix-hidden: xdx2ixbrl0975">3.72</span></span> Years</td> <td style="vertical-align: top"> </td></tr> <tr> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom; text-align: right"> </td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: top"> </td> <td style="vertical-align: top"> </td></tr> <tr style="background-color: #E6E6E6"> <td style="vertical-align: bottom"><b>Weighted Average Discount Rate</b></td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom; text-align: right"> </td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: top"> </td> <td style="vertical-align: top"> </td></tr> <tr> <td style="vertical-align: bottom; padding-left: 0.2in">Operating leases</td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom; text-align: right"><span id="xdx_909_eus-gaap--LesseeOperatingLeaseDiscountRate_iI_pid_dp_uPure_c20240930_z778HRP9LA0j" title="Operating leases discount rate"><ix:nonFraction name="us-gaap:LesseeOperatingLeaseDiscountRate" contextRef="AsOf2024-09-30" id="Fact000977" format="ixt:numdotdecimal" decimals="INF" scale="-2" unitRef="Pure">6.56</ix:nonFraction></span>%</td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: top; text-align: right"><span id="xdx_907_eus-gaap--LesseeOperatingLeaseDiscountRate_iI_pid_dp_uPure_c20231231_zWAR3Jqmunb1"><ix:nonFraction name="us-gaap:LesseeOperatingLeaseDiscountRate" contextRef="AsOf2023-12-31" id="Fact000978" format="ixt:numdotdecimal" decimals="INF" scale="-2" unitRef="Pure">5.76</ix:nonFraction></span>%</td> <td style="vertical-align: top"> </td></tr> <tr style="background-color: #E6E6E6"> <td style="vertical-align: bottom; padding-left: 0.2in">Finance leases</td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom; text-align: right"><span id="xdx_90F_eus-gaap--LesseeFinanceLeaseDiscountRate_iI_pid_dp_uPure_c20240930_zj5QFeSUA6H" title="Finance leases discount rate"><ix:nonFraction name="us-gaap:LesseeFinanceLeaseDiscountRate" contextRef="AsOf2024-09-30" id="Fact000980" format="ixt:numdotdecimal" decimals="INF" scale="-2" unitRef="Pure">6.30</ix:nonFraction></span>%</td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: top; text-align: right"><span id="xdx_90A_eus-gaap--LesseeFinanceLeaseDiscountRate_iI_pid_dp_uPure_c20231231_z9i6Vxe0410h"><ix:nonFraction name="us-gaap:LesseeFinanceLeaseDiscountRate" contextRef="AsOf2023-12-31" id="Fact000981" format="ixt:numdotdecimal" decimals="INF" scale="-2" unitRef="Pure">6.19</ix:nonFraction></span>%</td> <td style="vertical-align: top"> </td></tr> </table> </ix:nonNumeric><p id="xdx_8AD_zvGn0RGtdUqh" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <ix:nonNumeric contextRef="From2024-01-01to2024-09-30" escape="true" id="Fact000983" name="us-gaap:LesseeOperatingLeaseLiabilityMaturityTableTextBlock"><p id="xdx_892_eus-gaap--LesseeOperatingLeaseLiabilityMaturityTableTextBlock_zZh9W77sRRAa" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><span id="xdx_8B6_zQqUwkv5Smyl">Maturities of lease liabilities are as follows:</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 5.5in; border-collapse: collapse"> <tr> <td style="border-bottom: black 1pt solid; vertical-align: bottom"><b>Year Ending December 31,</b></td> <td style="vertical-align: top"> </td> <td colspan="2" style="border-bottom: black 1pt solid; vertical-align: bottom; text-align: center"><b>Operating Leases</b></td> <td style="vertical-align: bottom"> </td> <td colspan="2" style="border-bottom: black 1pt solid; vertical-align: bottom; text-align: center"><b>Finance Leases</b></td> <td style="vertical-align: bottom"> </td></tr> <tr style="background-color: #E6E6E6"> <td style="vertical-align: bottom; width: 52%">Remainder of 2024</td> <td style="vertical-align: top; width: 3%"> </td> <td style="vertical-align: bottom; width: 2%">$</td> <td id="xdx_984_eus-gaap--LesseeOperatingLeaseLiabilityPaymentsDueNextTwelveMonths_iI_c20240930_zd30vpCiHMul" title="2024 - Operating Leases" style="vertical-align: bottom; width: 18%; text-align: right"><ix:nonFraction name="us-gaap:LesseeOperatingLeaseLiabilityPaymentsDueNextTwelveMonths" contextRef="AsOf2024-09-30" id="Fact000985" format="ixt:numdotdecimal" decimals="0" unitRef="USD">133,495</ix:nonFraction></td> <td style="vertical-align: bottom; width: 3%"> </td> <td style="vertical-align: bottom; width: 2%"> </td> <td id="xdx_98E_eus-gaap--FinanceLeaseLiabilityPaymentsDueNextTwelveMonths_iI_c20240930_zYY5AdlZOqWk" title="2024 - Finance Leases" style="vertical-align: bottom; width: 18%; text-align: right"><ix:nonFraction name="us-gaap:FinanceLeaseLiabilityPaymentsDueNextTwelveMonths" contextRef="AsOf2024-09-30" id="Fact000987" format="ixt:numdotdecimal" decimals="0" unitRef="USD">32,897</ix:nonFraction></td> <td style="vertical-align: bottom; width: 2%"> </td></tr> <tr style="vertical-align: bottom"> <td>2025</td> <td> </td> <td> </td> <td id="xdx_98E_eus-gaap--LesseeOperatingLeaseLiabilityPaymentsDueYearTwo_iI_c20240930_zC5JfJ1lFkq2" title="2025 - Operating Leases" style="text-align: right"><ix:nonFraction name="us-gaap:LesseeOperatingLeaseLiabilityPaymentsDueYearTwo" contextRef="AsOf2024-09-30" id="Fact000989" format="ixt:numdotdecimal" decimals="0" unitRef="USD">533,979</ix:nonFraction></td> <td> </td> <td> </td> <td id="xdx_988_eus-gaap--FinanceLeaseLiabilityPaymentsDueYearTwo_iI_c20240930_zyU5M9M75YE7" title="2025 - Finance Leases" style="text-align: right"><ix:nonFraction name="us-gaap:FinanceLeaseLiabilityPaymentsDueYearTwo" contextRef="AsOf2024-09-30" id="Fact000991" format="ixt:numdotdecimal" decimals="0" unitRef="USD">131,437</ix:nonFraction></td> <td> </td></tr> <tr style="background-color: #E6E6E6"> <td style="vertical-align: bottom">2026</td> <td style="vertical-align: top"> </td> <td style="vertical-align: bottom"> </td> <td id="xdx_98C_eus-gaap--LesseeOperatingLeaseLiabilityPaymentsDueYearThree_iI_c20240930_zYi1lKqrMzbf" title="2026 - Operating Leases" style="vertical-align: bottom; text-align: right"><ix:nonFraction name="us-gaap:LesseeOperatingLeaseLiabilityPaymentsDueYearThree" contextRef="AsOf2024-09-30" id="Fact000993" format="ixt:numdotdecimal" decimals="0" unitRef="USD">533,979</ix:nonFraction></td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom"> </td> <td id="xdx_981_eus-gaap--FinanceLeaseLiabilityPaymentsDueYearThree_iI_c20240930_zB9la6CQda9d" title="2026 - Finance Leases" style="vertical-align: bottom; text-align: right"><ix:nonFraction name="us-gaap:FinanceLeaseLiabilityPaymentsDueYearThree" contextRef="AsOf2024-09-30" id="Fact000995" format="ixt:numdotdecimal" decimals="0" unitRef="USD">131,437</ix:nonFraction></td> <td style="vertical-align: bottom"> </td></tr> <tr> <td style="vertical-align: bottom">2027</td> <td style="vertical-align: top"> </td> <td style="vertical-align: bottom"> </td> <td id="xdx_98F_eus-gaap--LesseeOperatingLeaseLiabilityPaymentsDueYearFour_iI_c20240930_zj6ohuQBEcm1" title="2027 - Operating Leases" style="vertical-align: bottom; text-align: right"><ix:nonFraction name="us-gaap:LesseeOperatingLeaseLiabilityPaymentsDueYearFour" contextRef="AsOf2024-09-30" id="Fact000997" format="ixt:numdotdecimal" decimals="0" unitRef="USD">533,979</ix:nonFraction></td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom"> </td> <td id="xdx_987_eus-gaap--FinanceLeaseLiabilityPaymentsDueYearFour_iI_c20240930_z7KFxrdd2vX6" title="2027 - Finance Leases" style="vertical-align: bottom; text-align: right"><ix:nonFraction name="us-gaap:FinanceLeaseLiabilityPaymentsDueYearFour" contextRef="AsOf2024-09-30" id="Fact000999" format="ixt:numdotdecimal" decimals="0" unitRef="USD">74,194</ix:nonFraction></td> <td style="vertical-align: bottom"> </td></tr> <tr style="background-color: #E6E6E6"> <td style="vertical-align: bottom">2028</td> <td style="vertical-align: top"> </td> <td style="vertical-align: bottom"> </td> <td id="xdx_982_eus-gaap--LesseeOperatingLeaseLiabilityPaymentsDueYearFive_iI_c20240930_z1AvXijsVCt6" title="2028 - Operating Leases" style="vertical-align: bottom; text-align: right"><ix:nonFraction name="us-gaap:LesseeOperatingLeaseLiabilityPaymentsDueYearFive" contextRef="AsOf2024-09-30" id="Fact001001" format="ixt:numdotdecimal" decimals="0" unitRef="USD">520,985</ix:nonFraction></td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom"> </td> <td id="xdx_987_eus-gaap--FinanceLeaseLiabilityPaymentsDueYearFive_iI_c20240930_z79GrfaX7ZN6" title="2028 - Finance Leases" style="vertical-align: bottom; text-align: right"><ix:nonFraction name="us-gaap:FinanceLeaseLiabilityPaymentsDueYearFive" contextRef="AsOf2024-09-30" id="Fact001003" format="ixt:numdotdecimal" decimals="0" unitRef="USD">6,180</ix:nonFraction></td> <td style="vertical-align: bottom"> </td></tr> <tr> <td style="vertical-align: bottom">Thereafter</td> <td style="vertical-align: top"> </td> <td style="border-bottom: black 1pt solid; vertical-align: bottom"> </td> <td id="xdx_98F_eus-gaap--LesseeOperatingLeaseLiabilityPaymentsDueAfterYearFive_iI_c20240930_zVdKXuk8Khff" title="Thereafter - Operating Leases" style="border-bottom: black 1pt solid; vertical-align: bottom; text-align: right"><ix:nonFraction name="us-gaap:LesseeOperatingLeaseLiabilityPaymentsDueAfterYearFive" contextRef="AsOf2024-09-30" id="Fact001005" format="ixt:numdotdecimal" decimals="0" unitRef="USD">1,833,603</ix:nonFraction></td> <td style="vertical-align: bottom"> </td> <td style="border-bottom: black 1pt solid; vertical-align: bottom"> </td> <td id="xdx_987_eus-gaap--FinanceLeaseLiabilityPaymentsDueAfterYearFive_iI_c20240930_z5gKtBFh5L75" title="Thereafter - Finance Leases" style="border-bottom: black 1pt solid; vertical-align: bottom; text-align: right"><span style="-sec-ix-hidden: xdx2ixbrl1007">—</span></td> <td style="vertical-align: bottom"> </td></tr> <tr style="background-color: #E6E6E6"> <td style="vertical-align: bottom">Total undiscounted lease payments</td> <td style="vertical-align: top"> </td> <td style="vertical-align: bottom"> </td> <td id="xdx_986_ecustom--LesseeOperatingLeaseLiabilityPaymentsDueTotal_iI_c20240930_zbchQm39jY61" title="Total undiscounted lease payments - Operating Leases" style="vertical-align: bottom; text-align: right"><ix:nonFraction name="krmd:LesseeOperatingLeaseLiabilityPaymentsDueTotal" contextRef="AsOf2024-09-30" id="Fact001009" format="ixt:numdotdecimal" decimals="0" unitRef="USD">4,090,020</ix:nonFraction></td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom"> </td> <td id="xdx_98D_ecustom--LesseeFinancingLeaseLeaseLiabilityPaymentsDueTotal_iI_c20240930_zpUPKFvzjzWc" title="Total undiscounted lease payments - Finance Leases" style="vertical-align: bottom; text-align: right"><ix:nonFraction name="krmd:LesseeFinancingLeaseLeaseLiabilityPaymentsDueTotal" contextRef="AsOf2024-09-30" id="Fact001011" format="ixt:numdotdecimal" decimals="0" unitRef="USD">376,145</ix:nonFraction></td> <td style="vertical-align: bottom"> </td></tr> <tr> <td style="vertical-align: bottom; padding-left: 16.45pt">Less: imputed interest</td> <td style="vertical-align: top"> </td> <td style="border-bottom: black 1pt solid; vertical-align: bottom"> </td> <td id="xdx_98D_ecustom--LesseeOperatingLeaseImputedInterest_iNI_di_c20240930_z9GjRohU64e2" title="Less: imputed interest - Operating Leases" style="border-bottom: black 1pt solid; vertical-align: bottom; text-align: right">(<ix:nonFraction name="krmd:LesseeOperatingLeaseImputedInterest" contextRef="AsOf2024-09-30" id="Fact001013" format="ixt:numdotdecimal" decimals="0" unitRef="USD">591,969</ix:nonFraction></td> <td style="vertical-align: bottom">)</td> <td style="border-bottom: black 1pt solid; vertical-align: bottom"> </td> <td id="xdx_98E_ecustom--LesseeFinancingLeaseImputedInterest_iNI_di_c20240930_z57TUA4bzJp1" title="Less: imputed interest - Finance Leases" style="border-bottom: black 1pt solid; vertical-align: bottom; text-align: right">(<ix:nonFraction name="krmd:LesseeFinancingLeaseImputedInterest" contextRef="AsOf2024-09-30" id="Fact001015" format="ixt:numdotdecimal" decimals="0" unitRef="USD">31,516</ix:nonFraction></td> <td style="vertical-align: bottom">)</td></tr> <tr style="background-color: #E6E6E6"> <td style="vertical-align: bottom">Total lease liabilities</td> <td style="vertical-align: top"> </td> <td style="border-bottom: black 2.25pt double; vertical-align: bottom">$</td> <td id="xdx_986_eus-gaap--OperatingLeaseLiability_iI_c20240930_z9LqknY3lBw5" title="Total lease liabilities - Operating Leases" style="border-bottom: black 2.25pt double; vertical-align: bottom; text-align: right"><ix:nonFraction name="us-gaap:OperatingLeaseLiability" contextRef="AsOf2024-09-30" id="Fact001017" format="ixt:numdotdecimal" decimals="0" unitRef="USD">3,498,051</ix:nonFraction></td> <td style="vertical-align: bottom"> </td> <td style="border-bottom: black 2.25pt double; vertical-align: bottom">$</td> <td id="xdx_98F_eus-gaap--FinanceLeaseLiability_iI_c20240930_zkbqLeZcxSad" title="Total lease liabilities - Finance Leases" style="border-bottom: black 2.25pt double; vertical-align: bottom; text-align: right"><ix:nonFraction name="us-gaap:FinanceLeaseLiability" contextRef="AsOf2024-09-30" id="Fact001019" format="ixt:numdotdecimal" decimals="0" unitRef="USD">344,629</ix:nonFraction></td> <td style="vertical-align: bottom"> </td></tr> </table> </ix:nonNumeric><p id="xdx_8A1_zuNGCSXdVu49" style="margin-top: 0; margin-bottom: 0"> </p> </ix:nonNumeric><p id="xdx_819_z1Di6Ez70RA8" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"></p> <p style="font: 10pt TIMES NEW ROMAN, TIMES, SERIF; margin: 0; text-align: center">- 15 -</p> <hr style="border-width: 0; color: Gray; background-color: Gray; height: 2px; width: 100%"/><p style="break-before: always"></p> <p style="font: 8pt Times New Roman, Times, Serif; margin: 0"><i><a href="#toc"><span style="color: Blue">Table of Contents</span></a></i></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <ix:nonNumeric contextRef="From2024-01-01to2024-09-30" escape="true" id="Fact001021" name="us-gaap:IncomeTaxDisclosureTextBlock"><p id="xdx_803_eus-gaap--IncomeTaxDisclosureTextBlock_z0BD5KGS1Mw2" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>NOTE 6 — <span id="xdx_822_zJwD9oNZlMie">INCOME TAXES</span></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">For interim income tax reporting, the Company estimates its annual effective tax rate and applies it to fiscal year-to-date pretax loss, excluding unusual or infrequently occurring discrete items. Tax jurisdictions with losses for which tax benefits cannot be realized are excluded. The Company reported an income tax expense of <span id="xdx_90D_eus-gaap--DeferredIncomeTaxExpenseBenefit_dmxL_c20240701__20240930_z5LSg8NzPpS5" title="Income tax expense::XDX::0"><span style="-sec-ix-hidden: xdx2ixbrl1023">zero</span></span> and income tax benefit of $<span id="xdx_907_eus-gaap--DeferredIncomeTaxExpenseBenefit_c20230701__20230930_zN3U0HhBS0Dk" title="Income tax benefit"><ix:nonFraction name="us-gaap:DeferredIncomeTaxExpenseBenefit" contextRef="From2023-07-012023-09-30" id="Fact001025" format="ixt:numdotdecimal" decimals="0" unitRef="USD">300,247</ix:nonFraction></span> for the three months ended September 30, 2024 and 2023, respectively. For the nine months ended September 30, 2024 and 2023, the Company reported income tax expense of <span id="xdx_90A_eus-gaap--DeferredIncomeTaxExpenseBenefit_dmxL_c20240101__20240930_zBTmhgRKg3zg" title="Income tax expense::XDX::0"><span style="-sec-ix-hidden: xdx2ixbrl1027">zero</span></span> and income tax benefit of $<span id="xdx_902_eus-gaap--DeferredIncomeTaxExpenseBenefit_c20230101__20230930_z3h01ATwwaAh" title="Income tax benefit"><ix:nonFraction name="us-gaap:DeferredIncomeTaxExpenseBenefit" contextRef="From2023-01-012023-09-30" id="Fact001029" format="ixt:numdotdecimal" decimals="0" unitRef="USD">1,477,642</ix:nonFraction></span>, respectively.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">We evaluate our deferred tax assets to determine if they are more likely than not to be realized by assessing both positive and negative evidence in accordance with ASC Topic 740, Income Taxes.  After considering our cumulative pretax loss (the three-year period ending with the current year), as well as analyzing all available evidence, we recorded a valuation allowance of $<span id="xdx_909_eus-gaap--DeferredTaxAssetsValuationAllowance_iI_c20231231_zbc4UmalXtB3" title="Valuation Allowance"><ix:nonFraction name="us-gaap:DeferredTaxAssetsValuationAllowance" contextRef="AsOf2023-12-31" id="Fact001031" format="ixt:numdotdecimal" decimals="0" unitRef="USD">6,002,777</ix:nonFraction></span> against our net deferred tax assets during the year ended December 31, 2023.  As of September 30, 2024, the valuation allowance is $<span id="xdx_903_eus-gaap--DeferredTaxAssetsValuationAllowance_iI_c20240930_zmDEqluak3Ui" title="Valuation Allowance"><ix:nonFraction name="us-gaap:DeferredTaxAssetsValuationAllowance" contextRef="AsOf2024-09-30" id="Fact001033" format="ixt:numdotdecimal" decimals="0" unitRef="USD">6,895,301</ix:nonFraction></span>. As we continue to assess the realizability of our deferred tax assets, reported pretax income and new evidence may result in a partial or full reduction of the valuation allowance in future periods.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Recurring items cause our effective tax rate to differ from the U.S. federal statutory rate of <span id="xdx_90F_eus-gaap--EffectiveIncomeTaxRateReconciliationAtFederalStatutoryIncomeTaxRate_pid_dp_uPure_c20240101__20240930_zzA7UkjDT1Ke" title="Statutory rate"><ix:nonFraction name="us-gaap:EffectiveIncomeTaxRateReconciliationAtFederalStatutoryIncomeTaxRate" contextRef="From2024-01-01to2024-09-30" id="Fact001035" format="ixt:numdotdecimal" decimals="INF" scale="-2" unitRef="Pure">21</ix:nonFraction></span>%, including U.S. federal R&D credits, U.S. state tax rates, and stock-based compensation.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">The Company files income tax returns in the U.S. federal jurisdiction and in various state jurisdictions. Income tax returns for years prior to fiscal 2020 are no longer subject to examination by tax authorities.</p> </ix:nonNumeric><p id="xdx_816_zPCFa6l1PEsf" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <ix:nonNumeric contextRef="From2024-01-01to2024-09-30" escape="true" id="Fact001037" name="us-gaap:CommitmentsAndContingenciesDisclosureTextBlock"><p id="xdx_80B_eus-gaap--CommitmentsAndContingenciesDisclosureTextBlock_zLsfjh654rbc" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>NOTE 7 — <span id="xdx_823_z9rHQQEUoJdf">COMMITMENTS AND CONTINGENCIES</span></b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>LEGAL PROCEEDINGS</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">The Company has been and may again become involved in legal proceedings, claims and litigation arising in the ordinary course of business.  The Company is not presently a party to any litigation or other legal proceeding that is believed to be material to its financial condition.</p> </ix:nonNumeric><p id="xdx_810_zvpjvdXXHtd1" style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt TIMES NEW ROMAN, TIMES, SERIF; margin: 0; text-align: center">- 16 -</p> <hr style="border-width: 0; color: Gray; background-color: Gray; height: 2px; width: 100%"/><p style="break-before: always"></p> <p style="font: 8pt Times New Roman, Times, Serif; margin: 0"><i><a href="#toc"><span style="color: Blue">Table of Contents</span></a></i></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><span id="Part_I_Item_2"></span><b>PART I — ITEM 2.  MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">This Quarterly Report on Form 10-Q contains, and our officers and representatives may from time to time make, certain “forward-looking” statements (as such term is defined in the Private Securities Litigation Reform Act of 1995) and information relating to us that are based on the beliefs of the management, as well as assumptions made and information currently available. Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on our current beliefs, expectations and assumptions regarding the future of our business, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of our control.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Our actual results may vary materially from the forward-looking statements made in this report due to important factors such as uncertainties associated with global health crises, inflation, war and other geopolitical conflicts, customer ordering patterns, availability and costs of raw materials and labor and our ability to recover such costs, future operating results, growth of new patient starts and the Ig market, our compliance with Food and Drug Administration and foreign authority regulations and the outcome of regulatory audits, introduction of competitive products, acceptance of and demand for new and existing products, ability to penetrate new markets, success in enforcing and obtaining patents, reimbursement related risks, government regulation of the home health care industry, success of our research and development effort, expanding the market of FREEDOM<sup>TM</sup> System demand in the SCIg market, availability of sufficient capital if or when needed, dependence on key personnel, and the impact of recent accounting pronouncements, as well as those risks and uncertainties described in our Annual Report on Form 10-K for the year ended December 31, 2023. When used in this report, the words “estimate,” “project,” “believe,” “may,” “will,” “anticipate,” “intend,” “expect” and similar expressions are intended to identify forward-looking statements, which include, without limitation, statements regarding need for additional financing.  Such statements reflect current views with respect to future events based on currently available information and are subject to risks and uncertainties that could cause actual results to differ materially from those contemplated in such forward-looking statements.  Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof.  The Company does not undertake any obligation to release publicly any revision to these forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Throughout this report, the “Company,” “KORU Medical,” “we,” “us” or “our” refers to KORU Medical Systems, Inc.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>OVERVIEW</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">The Company develops, manufactures and markets proprietary portable and innovative medical devices primarily for the subcutaneous drug delivery market as governed by the United States Food and Drug Administration (the “FDA”) quality and regulatory system and international regulations and standards for quality system management.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Our revenues derive from three business sources: (i) domestic core (which consists of US and Canada), (ii) international core, and (iii) novel therapies.  Our domestic core and international core revenues consist of sales of our products for the delivery of subcutaneous drugs that are FDA cleared for use with the FREEDOM<sup>TM</sup> System, with the primary delivery for immunoglobulin to treat Primary Immunodeficiency Diseases (“PIDD”) and Chronic Inflammatory Demyelinating Polyneuropathy (“CIDP”). Novel therapies revenues consist of product revenues from our infusion system (syringe drivers, tubing and needles) for feasibility/clinical trials (pre-clinical studies, Phase I, Phase II, Phase III) of biopharmaceutical companies in the drug development process as well as non-recurring engineering services revenues (“NRE”) received from biopharmaceutical companies to ready or customize the FREEDOM<sup>TM</sup> System for clinical and commercial use.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">The Company ended the third quarter of 2024 with $8.2 million in net revenues, a 16.8% increase compared to $7.0 million in the same period last year. Revenues were driven by growth in our core domestic and international business of 11.7% and 5.1%, respectively, and 275.6% in our novel therapies business.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Gross profit for the third quarter of 2024 was $5.2 million, a 19.4% increase compared to $4.3 million in the same period last year, primarily driven by additional revenue from volume growth in each of our core and novel therapies businesses. Gross margin was 63.4% for the three months ended September 30, 2024, an increase from 62.0% in the prior year period. We define gross margin as gross profit stated as a percentage of net revenues.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Operating expenses for the third quarter of 2024 were $6.9 million, compared to $6.1 million for the same period last year, driven by an increase of $0.5 million in selling, general, and administrative expenses and an increase of $0.2 million in research and development expenses.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt TIMES NEW ROMAN, TIMES, SERIF; margin: 0; text-align: center">- 17 -</p> <hr style="border-width: 0; color: Gray; background-color: Gray; height: 2px; width: 100%"/><p style="break-before: always"></p> <p style="font: 8pt Times New Roman, Times, Serif; margin: 0"><i><a href="#toc"><span style="color: Blue">Table of Contents</span></a></i></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>RESULTS OF OPERATIONS</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>Three months ended September 30, 2024, compared to September 30, 2023</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><span style="text-decoration: underline">Net Revenues</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">The following table summarizes our net revenues for the three months ended September 30, 2024, and 2023:</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 7.5in; border-collapse: collapse"> <tr style="vertical-align: bottom; background-color: white"> <td> </td> <td> </td> <td colspan="5" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>Three Months Ended September 30,</b></span></td> <td> </td> <td colspan="4" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>Change from Prior Year</b></span></td> <td> </td> <td colspan="3" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>% of Net Revenues</b></span></td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: white"> <td> </td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>2024</b></span></td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>2023</b></span></td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>$</b></span></td> <td> </td> <td style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>%</b></span></td> <td> </td> <td style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>2024</b></span></td> <td> </td> <td style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>2023</b></span></td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: white"> <td style="width: 24%"><span style="font-size: 10pt"><b>Net Revenues</b></span></td> <td style="width: 2%"> </td> <td style="width: 1%"> </td> <td style="width: 12%; text-align: right"> </td> <td style="width: 3%"> </td> <td style="width: 1%"> </td> <td style="width: 12%; text-align: right"> </td> <td style="width: 3%"> </td> <td style="width: 1%"> </td> <td style="width: 10%; text-align: right"> </td> <td style="width: 3%"> </td> <td style="width: 7%; text-align: right"> </td> <td style="width: 3%"> </td> <td style="width: 7%; text-align: right"> </td> <td style="width: 3%"> </td> <td style="width: 7%; text-align: right"> </td> <td style="width: 1%"> </td></tr> <tr style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 0.1in"><span style="font-size: 10pt">Domestic Core</span></td> <td> </td> <td><span style="font-size: 10pt">$</span></td> <td style="text-align: right"><span style="font-size: 10pt">6,447,469</span></td> <td> </td> <td><span style="font-size: 10pt">$</span></td> <td style="text-align: right"><span style="font-size: 10pt">5,773,863</span></td> <td> </td> <td><span style="font-size: 10pt">$</span></td> <td style="text-align: right"><span style="font-size: 10pt">673,606</span></td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">11.7%</span></td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">78.8%</span></td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">82.4%</span></td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: white"> <td style="padding-left: 0.1in"><span style="font-size: 10pt">International Core</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt">1,121,196</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt">1,066,567</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt">54,629</span></td> <td> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt">5.1%</span></td> <td> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt">13.7%</span></td> <td> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt">15.2%</span></td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 0.1in"><span style="font-size: 10pt">Total Core</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">7,568,665</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">6,840,430</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">728,235</span></td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">10.6%</span></td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">92.5%</span></td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">97.7%</span></td> <td> </td></tr> <tr style="vertical-align: bottom"> <td style="padding-left: 0.1in"><span style="font-size: 10pt">Novel Therapies</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt">611,312</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt">162,768</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt">448,544</span></td> <td> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt">275.6%</span></td> <td> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt">7.5%</span></td> <td> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt">2.3%</span></td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: #E8E8E8"> <td><span style="font-size: 10pt"><b>Total</b></span></td> <td> </td> <td style="border-bottom: black 2.25pt double"><span style="font-size: 10pt">$</span></td> <td style="border-bottom: black 2.25pt double; text-align: right"><span style="font-size: 10pt">8,179,977</span></td> <td> </td> <td style="border-bottom: black 2.25pt double"><span style="font-size: 10pt">$</span></td> <td style="border-bottom: black 2.25pt double; text-align: right"><span style="font-size: 10pt">7,003,198</span></td> <td> </td> <td style="border-bottom: black 2.25pt double"><span style="font-size: 10pt">$</span></td> <td style="border-bottom: black 2.25pt double; text-align: right"><span style="font-size: 10pt">1,176,778</span></td> <td style="border-bottom: white 2.25pt double"> </td> <td style="border-bottom: black 2.25pt double; text-align: right"><span style="font-size: 10pt">16.8%</span></td> <td> </td> <td style="border-bottom: black 2.25pt double; text-align: right"><span style="font-size: 10pt">100%</span></td> <td> </td> <td style="border-bottom: black 2.25pt double; text-align: right"><span style="font-size: 10pt">100%</span></td> <td> </td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Total net revenues increased $1.2 million, or 16.8%, to $8.2 million for the three months ended September 30, 2024, as compared to $7 million in the same period in 2023. Domestic core revenues increased by 11.7% to $6.4 million over the prior year period, primarily due to higher consumable and pump volumes driven by new patients starts and market share gains. International core revenues increased by 5.1% to $1.1 million over the prior year period, primarily due to higher consumable volumes driven largely by increased Ig supply, increased penetration within certain approved indications, and geographic expansion. Partially offsetting the growth were lower orders from a distribution partner that expedited $0.3 million orders in the second quarter of 2024 related to the BSI regulatory review which has since been successfully appealed. Novel therapies net revenues increased by 275.6% to $0.6 million over the prior year period, primarily driven by clinical trial orders and progress on NRE milestones completed for multiple collaboration agreements.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><span style="text-decoration: underline">Gross Profit</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Our gross profit for the three months ended September 30, 2024 and 2023 is as follows:</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 7.5in; border-collapse: collapse"> <tr style="vertical-align: bottom; background-color: white"> <td> </td> <td> </td> <td colspan="5" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>Three Months Ended September 30,</b></span></td> <td> </td> <td colspan="4" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>Change from Prior Year</b></span></td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: white"> <td> </td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>2024</b></span></td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>2023</b></span></td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>$</b></span></td> <td> </td> <td style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>%</b></span></td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: #E6E6E6"> <td style="width: 42%"><span style="font-size: 10pt">Gross Profit </span></td> <td style="width: 1%"> </td> <td style="width: 1%"><span style="font-size: 10pt">$</span></td> <td style="width: 12%; text-align: right"><span style="font-size: 10pt">5,185,991</span></td> <td style="width: 4%"> </td> <td style="width: 1%"><span style="font-size: 10pt">$</span></td> <td style="width: 12%; text-align: right"><span style="font-size: 10pt">4,342,177</span></td> <td style="width: 4%"> </td> <td style="width: 1%"><span style="font-size: 10pt">$</span></td> <td style="width: 10%; text-align: right"><span style="font-size: 10pt">843,813</span></td> <td style="width: 4%"> </td> <td style="width: 7%; text-align: right"><span style="font-size: 10pt">19.4%</span></td> <td style="width: 1%"> </td></tr> <tr style="vertical-align: bottom; background-color: white"> <td style="padding-left: 0.1in"><span style="font-size: 10pt">Gross Margin</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">63.4%</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">62.0%</span></td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td style="text-align: right"> </td> <td> </td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Gross profit increased $0.8 million, or 19.4%, to $5.2 million in the three months ended September 30, 2024, as compared to $4.3 million in the same period in 2023. Gross margin increased to 63.4% in the three months ended September 30, 2024, as compared to 62.0% in the prior year period.  The increase in gross margin was primarily driven by a favorable sales mix of clinical trial orders, an improved NRE mix of more profitable services, and increased average selling prices when compared to the prior year period.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><span style="text-decoration: underline">Operating Expenses</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Our selling, general and administrative, research and development and depreciation and amortization expenses for the three months ended September 30, 2024 and 2023 are as follows:</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 7.5in; border-collapse: collapse"> <tr style="vertical-align: bottom; background-color: white"> <td> </td> <td> </td> <td colspan="5" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>Three Months Ended September 30,</b></span></td> <td> </td> <td colspan="4" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>Change from Prior Year</b></span></td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: white"> <td> </td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>2024</b></span></td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>2023</b></span></td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>$</b></span></td> <td> </td> <td style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>%</b></span></td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: #E6E6E6"> <td style="width: 42%"><span style="font-size: 10pt">Selling, general and administrative</span></td> <td style="width: 1%"> </td> <td style="width: 1%"><span style="font-size: 10pt">$</span></td> <td style="width: 12%; text-align: right"><span style="font-size: 10pt">5,127,658</span></td> <td style="width: 4%"> </td> <td style="width: 1%"><span style="font-size: 10pt">$</span></td> <td style="width: 12%; text-align: right"><span style="font-size: 10pt">4,623,928</span></td> <td style="width: 4%"> </td> <td style="width: 1%"><span style="font-size: 10pt">$</span></td> <td style="width: 10%; text-align: right"><span style="font-size: 10pt">503,730</span></td> <td style="width: 4%"> </td> <td style="width: 7%; text-align: right"><span style="font-size: 10pt">10.9%</span></td> <td style="width: 1%"> </td></tr> <tr style="vertical-align: bottom; background-color: white"> <td><span style="font-size: 10pt">Research and development</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">1,533,845</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">1,293,256</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">240,589</span></td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">18.6%</span></td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: #E6E6E6"> <td><span style="font-size: 10pt">Depreciation and amortization</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt">227,785</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt">216,014</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt">11,771</span></td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">5.4%</span></td> <td> </td></tr> <tr style="vertical-align: bottom"> <td><span style="font-size: 10pt">Total Operating Expenses </span></td> <td> </td> <td style="border-bottom: black 2.25pt double"><span style="font-size: 10pt">$</span></td> <td style="border-bottom: black 2.25pt double; text-align: right"><span style="font-size: 10pt">6,889,288</span></td> <td> </td> <td style="border-bottom: black 2.25pt double"><span style="font-size: 10pt">$</span></td> <td style="border-bottom: black 2.25pt double; text-align: right"><span style="font-size: 10pt">6,133,198</span></td> <td> </td> <td style="border-bottom: black 2.25pt double"><span style="font-size: 10pt">$</span></td> <td style="border-bottom: black 2.25pt double; text-align: right"><span style="font-size: 10pt">756,091</span></td> <td style="border-bottom: white 2.25pt double"> </td> <td style="text-align: right"><span style="font-size: 10pt">12.3%</span></td> <td style="border-bottom: white 1.5pt double"> </td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Selling, general and administrative expenses increased $0.5 million, or 10.9%, to $5.1 million during the three months ended September 30, 2024, as compared to $4.6 million in the same period in 2023. The increase in selling, general and administrative expenses was primarily driven by compensation related to new hires and bonus accruals.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt TIMES NEW ROMAN, TIMES, SERIF; margin: 0; text-align: center">- 18 -</p> <hr style="border-width: 0; color: Gray; background-color: Gray; height: 2px; width: 100%"/><p style="break-before: always"></p> <p style="font: 8pt Times New Roman, Times, Serif; margin: 0"><i><a href="#toc"><span style="color: Blue">Table of Contents</span></a></i></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Research and development expenses increased $0.2 million, or 18.6%, to $1.5 million during the three months ended September 30, 2024, as compared to $1.3 million in the same period in 2023, primarily due to executive severance related to the elimination of the CTO role.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Depreciation and amortization expense remained flat at $0.2 million during the three months ended September 30, 2024, as compared to $0.2 million during the same period in 2023, primarily driven by timing of projects and related capital spending.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><span style="text-decoration: underline">Net Loss</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 7.5in; border-collapse: collapse"> <tr style="vertical-align: bottom; background-color: white"> <td> </td> <td> </td> <td colspan="5" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>Three Months Ended September 30,</b></span></td> <td> </td> <td colspan="4" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>Change from Prior Year</b></span></td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: white"> <td> </td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>2024</b></span></td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>2023</b></span></td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>$</b></span></td> <td> </td> <td style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>%</b></span></td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: #E6E6E6"> <td style="width: 42%"><span style="font-size: 10pt">Net Loss</span></td> <td style="width: 1%"> </td> <td style="width: 1%"><span style="font-size: 10pt">$</span></td> <td style="width: 12%; text-align: right"><span style="font-size: 10pt">(1,580,817</span></td> <td style="width: 4%"><span style="font-size: 10pt">)</span></td> <td style="width: 1%"><span style="font-size: 10pt">$</span></td> <td style="width: 12%; text-align: right"><span style="font-size: 10pt">(1,368,262</span></td> <td style="width: 4%"><span style="font-size: 10pt">)</span></td> <td style="width: 1%"><span style="font-size: 10pt">$</span></td> <td style="width: 10%; text-align: right"><span style="font-size: 10pt">(212,555</span></td> <td style="width: 4%"><span style="font-size: 10pt">)</span></td> <td style="width: 7%; text-align: right"><span style="font-size: 10pt">(15.5%</span></td> <td style="width: 1%"><span style="font-size: 10pt">)</span></td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Our net loss increased $0.2 million in the three months ended September 30, 2024, as compared to the same period last year, primarily driven by an increase in operating expenses of $0.8 million, and a prior year tax benefit of $0.2 million offset by an increase in gross profit of $0.8 million.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>Nine months ended September 30, 2024, compared to September 30, 2023</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><span style="text-decoration: underline">Net Revenues</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">The following table summarizes our net revenues for the nine months ended September 30, 2024, and 2023:</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 7.5in; border-collapse: collapse"> <tr style="vertical-align: bottom; background-color: white"> <td> </td> <td> </td> <td colspan="5" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>Nine Months Ended September 30,</b></span></td> <td> </td> <td colspan="4" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>Change from Prior Year</b></span></td> <td> </td> <td colspan="3" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>% of Net Revenues</b></span></td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: white"> <td> </td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>2024</b></span></td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>2023</b></span></td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>$</b></span></td> <td> </td> <td style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>%</b></span></td> <td> </td> <td style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>2024</b></span></td> <td> </td> <td style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>2023</b></span></td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: white"> <td style="width: 24%"><span style="font-size: 10pt"><b>Net Revenues</b></span></td> <td style="width: 2%"> </td> <td style="width: 1%"> </td> <td style="width: 12%; text-align: right"> </td> <td style="width: 3%"> </td> <td style="width: 1%"> </td> <td style="width: 12%; text-align: right"> </td> <td style="width: 3%"> </td> <td style="width: 1%"> </td> <td style="width: 10%; text-align: right"> </td> <td style="width: 3%"> </td> <td style="width: 7%; text-align: right"> </td> <td style="width: 3%"> </td> <td style="width: 7%; text-align: right"> </td> <td style="width: 3%"> </td> <td style="width: 7%; text-align: right"> </td> <td style="width: 1%"> </td></tr> <tr style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 0.1in"><span style="font-size: 10pt">Domestic Core</span></td> <td> </td> <td><span style="font-size: 10pt">$</span></td> <td style="text-align: right"><span style="font-size: 10pt">18,557,431</span></td> <td> </td> <td><span style="font-size: 10pt">$</span></td> <td style="text-align: right"><span style="font-size: 10pt">16,881,170</span></td> <td> </td> <td><span style="font-size: 10pt">$</span></td> <td style="text-align: right"><span style="font-size: 10pt">1,676,261</span></td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">9.9%</span></td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">74.8%</span></td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">79.1%</span></td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: white"> <td style="padding-left: 0.1in"><span style="font-size: 10pt">International Core</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt">4,539,871</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt">3,281,061</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt">1,258,809</span></td> <td> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt">38.4%</span></td> <td> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt">18.3%</span></td> <td> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt">15.4%</span></td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: #E6E6E6"> <td style="padding-left: 0.1in"><span style="font-size: 10pt">Total Core</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">23,097,302</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">20,162,231</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">2,935,071</span></td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">14.6%</span></td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">93.1%</span></td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">94.5%</span></td> <td> </td></tr> <tr style="vertical-align: bottom"> <td style="padding-left: 0.1in"><span style="font-size: 10pt">Novel Therapies</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt">1,710,562</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt">1,169,503</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt">541,059</span></td> <td> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt">46.3%</span></td> <td> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt">6.9%</span></td> <td> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt">5.5%</span></td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: #E8E8E8"> <td><span style="font-size: 10pt"><b>Total</b></span></td> <td> </td> <td style="border-bottom: black 2.25pt double"><span style="font-size: 10pt">$</span></td> <td style="border-bottom: black 2.25pt double; text-align: right"><span style="font-size: 10pt">24,807,864</span></td> <td> </td> <td style="border-bottom: black 2.25pt double"><span style="font-size: 10pt">$</span></td> <td style="border-bottom: black 2.25pt double; text-align: right"><span style="font-size: 10pt">21,331,734</span></td> <td> </td> <td style="border-bottom: black 2.25pt double"><span style="font-size: 10pt">$</span></td> <td style="border-bottom: black 2.25pt double; text-align: right"><span style="font-size: 10pt">3,476,130</span></td> <td style="border-bottom: white 2.25pt double"> </td> <td style="border-bottom: black 2.25pt double; text-align: right"><span style="font-size: 10pt">16.3%</span></td> <td> </td> <td style="border-bottom: black 2.25pt double; text-align: right"><span style="font-size: 10pt">100%</span></td> <td> </td> <td style="border-bottom: black 2.25pt double; text-align: right"><span style="font-size: 10pt">100%</span></td> <td> </td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Total net revenues increased $3.5 million, or 16.3% to $24.8 million, for the nine months ended September 30, 2024, as compared to $21.3 million in the same period in 2023. Domestic core revenues increased by 9.9% to $18.6 million over the prior year period, primarily due to volume growth in consumables driven by new patients starts and share gains. International core revenues increased by 38.4% to $4.5 million over the prior year period, primarily due to higher consumable and pump volumes driven largely by increased Ig supply, increased penetration within certain approved indications, and geographic expansion. Novel therapies net revenues increased by 46.3% to $1.7 million over the prior year period, driven by Phase III clinical trial orders and milestone completion from our collaboration agreements in the current period.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><span style="text-decoration: underline">Gross Profit</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Our gross profit for the nine months ended September 30, 2024 and 2023 is as follows:</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 7.5in; border-collapse: collapse"> <tr style="vertical-align: bottom; background-color: white"> <td> </td> <td> </td> <td colspan="5" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>Nine Months Ended September 30,</b></span></td> <td> </td> <td colspan="4" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>Change from Prior Year</b></span></td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: white"> <td> </td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>2024</b></span></td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>2023</b></span></td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>$</b></span></td> <td> </td> <td style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>%</b></span></td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: #E6E6E6"> <td style="width: 42%"><span style="font-size: 10pt">Gross Profit </span></td> <td style="width: 1%"> </td> <td style="width: 1%"><span style="font-size: 10pt">$</span></td> <td style="width: 12%; text-align: right"><span style="font-size: 10pt">15,769,038</span></td> <td style="width: 4%"> </td> <td style="width: 1%"><span style="font-size: 10pt">$</span></td> <td style="width: 12%; text-align: right"><span style="font-size: 10pt">12,377,336</span></td> <td style="width: 4%"> </td> <td style="width: 1%"><span style="font-size: 10pt">$</span></td> <td style="width: 10%; text-align: right"><span style="font-size: 10pt">3,391,702</span></td> <td style="width: 4%"> </td> <td style="width: 7%; text-align: right"><span style="font-size: 10pt">27.4%</span></td> <td style="width: 1%"> </td></tr> <tr style="vertical-align: bottom; background-color: white"> <td style="padding-left: 0.1in"><span style="font-size: 10pt">Gross Margin</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">63.6%</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">58.0%</span></td> <td> </td> <td> </td> <td style="text-align: right"> </td> <td> </td> <td style="text-align: right"> </td> <td> </td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Gross profit increased $3.4 million, or 27.4% to $15.8 million, for the nine months ended September 30, 2024, as compared to $12.4 million in the same period in 2023. The increase in gross profit was driven by the increase in net revenues of $3.5 million as described above and improvements in manufacturing efficiency. Gross margin increased to 63.6% in the first nine months of 2024 as compared to 58.0% in the same prior year period. The increase in gross margin was primarily driven by increased manufacturing efficiencies versus the prior year. Additionally, we realized improved NRE margin compared with the prior year period driven by a more profitable mix of services performed.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt TIMES NEW ROMAN, TIMES, SERIF; margin: 0; text-align: center">- 19 -</p> <hr style="border-width: 0; color: Gray; background-color: Gray; height: 2px; width: 100%"/><p style="break-before: always"></p> <p style="font: 8pt Times New Roman, Times, Serif; margin: 0"><i><a href="#toc"><span style="color: Blue">Table of Contents</span></a></i></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><span style="text-decoration: underline">Operating Expenses</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Our selling, general and administrative, research and development and depreciation and amortization expenses for the nine months ended September 30, 2024 and 2023 are as follows:</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 7.5in; border-collapse: collapse"> <tr style="vertical-align: bottom; background-color: white"> <td> </td> <td> </td> <td colspan="5" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>Nine Months Ended September 30,</b></span></td> <td> </td> <td colspan="4" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>Change from Prior Year</b></span></td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: white"> <td> </td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>2024</b></span></td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>2023</b></span></td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>$</b></span></td> <td> </td> <td style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>%</b></span></td> <td> </td></tr> <tr style="vertical-align: bottom; background-color: #E6E6E6"> <td style="width: 42%"><span style="font-size: 10pt">Selling, general and administrative</span></td> <td style="width: 1%"> </td> <td style="width: 1%"><span style="font-size: 10pt">$</span></td> <td style="width: 12%; text-align: right"><span style="font-size: 10pt">15,804,866</span></td> <td style="width: 4%"> </td> <td style="width: 1%"><span style="font-size: 10pt">$</span></td> <td style="width: 12%; text-align: right"><span style="font-size: 10pt">15,352,972</span></td> <td style="width: 4%"> </td> <td style="width: 1%"><span style="font-size: 10pt">$</span></td> <td style="width: 10%; text-align: right"><span style="font-size: 10pt">451,894</span></td> <td style="width: 4%"> </td> <td style="width: 7%; text-align: right"><span style="font-size: 10pt">2.9%</span></td> <td style="width: 1%"> </td></tr> <tr style="vertical-align: bottom; background-color: white"> <td><span style="font-size: 10pt">Research and development</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">4,143,752</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">4,454,739</span></td> <td> </td> <td> </td> <td style="text-align: right"><span style="font-size: 10pt">(310,987</span></td> <td><span style="font-size: 10pt">)</span></td> <td style="text-align: right"><span style="font-size: 10pt">(7.0%</span></td> <td><span style="font-size: 10pt">)</span></td></tr> <tr style="vertical-align: bottom; background-color: #E6E6E6"> <td><span style="font-size: 10pt">Depreciation and amortization</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt">677,019</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt">642,050</span></td> <td> </td> <td style="border-bottom: black 1pt solid"> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt">34,969</span></td> <td> </td> <td style="border-bottom: black 1pt solid; text-align: right"><span style="font-size: 10pt">5.5%</span></td> <td> </td></tr> <tr style="vertical-align: bottom"> <td><span style="font-size: 10pt">Total Operating Expenses </span></td> <td> </td> <td style="border-bottom: black 2.25pt double"><span style="font-size: 10pt">$</span></td> <td style="border-bottom: black 2.25pt double; text-align: right"><span style="font-size: 10pt">20,625,637</span></td> <td> </td> <td style="border-bottom: black 2.25pt double"><span style="font-size: 10pt">$</span></td> <td style="border-bottom: black 2.25pt double; text-align: right"><span style="font-size: 10pt">20,449,761</span></td> <td> </td> <td style="border-bottom: black 2.25pt double"><span style="font-size: 10pt">$</span></td> <td style="border-bottom: black 2.25pt double; text-align: right"><span style="font-size: 10pt">175,876</span></td> <td style="border-bottom: white 2.25pt double"> </td> <td style="text-align: right"><span style="font-size: 10pt">0.9%</span></td> <td style="border-bottom: white 1.5pt double"> </td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Selling, general and administrative expenses increased $0.5 million, or 2.9% to $15.8 million, for the nine months ended September 30, 2024, as compared to $15.3 million in the same period in 2023, primarily due to increases in compensation and benefits expense.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Research and development expenses decreased $0.3 million, or 7.0% to $4.1 million, for the nine months ended September 30, 2024, as compared to $4.5 million in the same period in 2023, primarily due to a $1.1 million decrease in consulting expense due to less outsourcing activities and timing of project spend, partially offset by a $0.4 million increase in severance expense due to the elimination of the CTO role, and a $0.4 million increase in compensation and benefits.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Depreciation and amortization expense remained flat at $0.7 million for the nine months ended September 30, 2024, compared to $0.6 million in the same period in 2023, resulting from minimal purchases of new PP&E being commissioned during the period.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><span style="text-decoration: underline">Net Loss</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 7.5in; border-collapse: collapse"> <tr style="vertical-align: bottom; background-color: white"> <td style="text-align: justify"> </td> <td style="text-align: justify"> </td> <td colspan="5" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>Nine Months Ended September 30,</b></span></td> <td style="text-align: center"> </td> <td colspan="4" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>Change from Prior Year</b></span></td> <td style="text-align: justify"> </td></tr> <tr style="vertical-align: bottom; background-color: white"> <td style="text-align: justify"> </td> <td style="text-align: justify"> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>2024</b></span></td> <td style="text-align: center"> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>2023</b></span></td> <td style="text-align: center"> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>$</b></span></td> <td style="text-align: center"> </td> <td style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>%</b></span></td> <td style="text-align: justify"> </td></tr> <tr style="vertical-align: bottom; background-color: #E6E6E6"> <td style="width: 42%; text-align: justify"><span style="font-size: 10pt">Net Loss</span></td> <td style="width: 1%; text-align: justify"> </td> <td style="width: 1%; text-align: justify"><span style="font-size: 10pt">$</span></td> <td style="width: 12%; text-align: right"><span style="font-size: 10pt">(4,505,490</span></td> <td style="width: 4%; text-align: justify"><span style="font-size: 10pt">)</span></td> <td style="width: 1%; text-align: justify"><span style="font-size: 10pt">$</span></td> <td style="width: 12%; text-align: right"><span style="font-size: 10pt">(6,275,032</span></td> <td style="width: 4%; text-align: justify"><span style="font-size: 10pt">)</span></td> <td style="width: 1%; text-align: justify"><span style="font-size: 10pt">$</span></td> <td style="width: 10%; text-align: right"><span style="font-size: 10pt">1,769,543</span></td> <td style="width: 4%; text-align: justify"> </td> <td style="width: 7%; text-align: right"><span style="font-size: 10pt">28.2%</span></td> <td style="width: 1%; text-align: justify"> </td></tr> <tr style="vertical-align: bottom; background-color: white"> <td style="text-align: justify"><span style="font-size: 10pt">Stated as a Percentage of Net Revenues</span></td> <td style="text-align: justify"> </td> <td style="text-align: justify"> </td> <td style="text-align: right"><span style="font-size: 10pt">(18.2%</span></td> <td style="text-align: justify"><span style="font-size: 10pt">)</span></td> <td style="text-align: justify"> </td> <td style="text-align: right"><span style="font-size: 10pt">(29.4%</span></td> <td style="text-align: justify"><span style="font-size: 10pt">)</span></td> <td style="text-align: justify"> </td> <td style="text-align: right"> </td> <td style="text-align: justify"> </td> <td style="text-align: right"> </td> <td style="text-align: justify"> </td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Our net loss decreased $1.8 million in the nine months ended September 30, 2024, as compared to the same period in 2023, mostly driven by an increase in gross profit of $3.4 million, partially offset by an increase in operating expense of $0.2 million and a prior year tax benefit of $1.4 million.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>LIQUIDITY AND CAPITAL RESOURCES</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Our principal source of liquidity is our cash on hand of $8.8 million as of September 30, 2024.  Our principal source of operating cash inflows is from sales of our products and NRE. Our principal cash outflows relate to the purchase and production of inventory, funding of research and development, and selling, general and administrative expenses. To develop new products, support future growth, achieve operating efficiencies, and maintain product quality, we are continuing to invest in research and development and manufacturing equipment.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Our inventory position was $3.9 million at September 30, 2024, which reflects an increase of $0.4 million from December 31, 2023.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">We expect that our cash on hand and cash flows from operations will be sufficient to meet our requirements at least through the next twelve months. Continued execution on our longer-term strategic plan may require the Company to draw on our credit facility, take on additional debt, raise capital through issuance of equity, or a combination of both. Our future capital requirements may vary from those currently planned and will depend on many factors, including our rate of sales growth, the timing and extent of spending on various strategic initiatives including research and development, our international expansion, the timing of new product introductions, market acceptance of our solutions, and overall economic conditions including inflation and the potential impact of global supply imbalances on the global financial markets. To the extent that current and anticipated future sources of liquidity are or are expected to be insufficient to fund our future business activities and requirements, we may be required to draw on our new credit facility or seek additional equity or debt financing sooner. There can be no assurance the Company will be able to obtain the financing or raise the capital required to fund its operations or planned expansion.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt TIMES NEW ROMAN, TIMES, SERIF; margin: 0; text-align: center">- 20 -</p> <hr style="border-width: 0; color: Gray; background-color: Gray; height: 2px; width: 100%"/><p style="break-before: always"></p> <p style="font: 8pt Times New Roman, Times, Serif; margin: 0"><i><a href="#toc"><span style="color: Blue">Table of Contents</span></a></i></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><span style="text-decoration: underline">Cash Flows</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">The following table summarizes our cash flows:</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 6.5in; border-collapse: collapse"> <tr style="vertical-align: bottom"> <td> </td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>Nine Months Ended<br/> September 30, 2024</b></span></td> <td> </td> <td colspan="2" style="border-bottom: black 1pt solid; text-align: center"><span style="font-size: 10pt"><b>Nine Months Ended<br/> September 30, 2023</b></span></td> <td> </td></tr> <tr style="background-color: #E6E6E6"> <td style="vertical-align: top; width: 53%"><span style="font-size: 10pt">Net cash used in operating activities</span></td> <td style="vertical-align: bottom; width: 2%"> </td> <td style="vertical-align: bottom; width: 2%"><span style="font-size: 10pt">$</span></td> <td style="vertical-align: top; width: 17%; text-align: right"><span style="font-size: 10pt">(1,259,333</span></td> <td style="vertical-align: top; width: 4%"><span style="font-size: 10pt">)</span></td> <td style="vertical-align: bottom; width: 2%"><span style="font-size: 10pt">$</span></td> <td style="vertical-align: top; width: 18%; text-align: right"><span style="font-size: 10pt">(5,989,358</span></td> <td style="vertical-align: bottom; width: 2%"><span style="font-size: 10pt">)</span></td></tr> <tr> <td style="vertical-align: top"><span style="font-size: 10pt">Net cash used in investing activities</span></td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom"><span style="font-size: 10pt">$</span></td> <td style="vertical-align: top; text-align: right"><span style="font-size: 10pt">(1,383,780</span></td> <td style="vertical-align: top"><span style="font-size: 10pt">)</span></td> <td style="vertical-align: bottom"><span style="font-size: 10pt">$</span></td> <td style="vertical-align: top; text-align: right"><span style="font-size: 10pt">(606,209</span></td> <td style="vertical-align: bottom"><span style="font-size: 10pt">)</span></td></tr> <tr style="background-color: #E6E6E6"> <td style="vertical-align: top"><span style="font-size: 10pt">Net cash used in financing activities</span></td> <td style="vertical-align: bottom"> </td> <td style="vertical-align: bottom"><span style="font-size: 10pt">$</span></td> <td style="vertical-align: top; text-align: right"><span style="font-size: 10pt">(32,817</span></td> <td style="vertical-align: top"><span style="font-size: 10pt">)</span></td> <td style="vertical-align: bottom"><span style="font-size: 10pt">$</span></td> <td style="vertical-align: top; text-align: right"><span style="font-size: 10pt">(40,512</span></td> <td style="vertical-align: bottom"><span style="font-size: 10pt">)</span></td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><span style="text-decoration: underline">Operating Activities</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Net cash used in operating activities was $1.3 million for the nine months ended September 30, 2024, as compared to $6.0 million in the same period in 2023. This net cash usage of $1.3 million was primarily due to the net loss of $4.5 million, an increase in accounts receivable of $1.2 million, and increases in inventory of $0.4 million, partially offset by increases in accounts payable and payroll bonus accruals of $1.9 million, and decreases in pre-paid expenses of $0.3 million. Additional offsets to the net loss were non-cash items including stock-based compensation expense of $1.9 million, and depreciation and amortization expense of $0.7 million.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Net cash used in operating activities was $6.0 million for the nine months ended September 30, 2023. This net cash usage was primarily due to the net loss of $6.3 million, plus cash flows used to reduce accrued expenses of $1.4 million, primarily from the payment of 2023 bonuses, and a decrease in accounts payable of $1.4 million, offset by cash flows generated from a decrease in inventory of $1.7 million, and an increase in accounts receivable of $0.3 million. Further contributing to this change were non-cash items including an increase in deferred tax assets of $1.5 million offset by stock-based compensation expense of $2.4 million, depreciation and amortization expense of $0.6 million and a loss on disposal of fixed assets of $0.1 million.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><span style="text-decoration: underline">Investing Activities</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Net cash used in investing activities of $1.4 million for the nine months ending September 30, 2024, was for capital expenditures for manufacturing equipment related to our new consumables production lines.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Net cash used in investing activities of $0.6 million for the nine months ending September 30, 2023, was for capital expenditures for research and development and office equipment.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><span style="text-decoration: underline">Financing Activities</span></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Net cash used in financing activities of $0.03 million for the nine months ended September 30, 2024 was due to payments on our note payable for insurance premium financing, partially offset by new borrowings for a subsequent insurance premium financing agreement.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Net cash used in financing activities of $0.04 million for the nine months ended September 30, 2023, was due to payments on our note payable for insurance premium financing as well as for payments on our finance leases.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>ACCOUNTING PRONOUNCEMENTS NOT YET ADOPTED</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Refer to “NOTE 1 — NATURE OF OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES” in the accompanying financial statements, which is incorporated herein by reference.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><span id="Part_I_Item_3"></span><b>ITEM 3.  QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Not applicable.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt TIMES NEW ROMAN, TIMES, SERIF; margin: 0; text-align: center">- 21 -</p> <hr style="border-width: 0; color: Gray; background-color: Gray; height: 2px; width: 100%"/><p style="break-before: always"></p> <p style="font: 8pt Times New Roman, Times, Serif; margin: 0"><i><a href="#toc"><span style="color: Blue">Table of Contents</span></a></i></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><span id="Part_I_Item_4"></span><b>ITEM 4.  CONTROLS AND PROCEDURES</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">The Company’s management, including the Company’s Principal Executive Officer and Principal Financial Officer, has evaluated the effectiveness of the Company’s disclosure controls and procedures as such is defined in Rule 13a-15(e) promulgated under the Securities Exchange Act of 1934, as amended (the “Exchange Act”).  Based upon their evaluations, the Principal Executive Officer and Principal Financial Officer concluded that, as of the end of the period covered by this report, the Company’s disclosure controls and procedures were effective for the purpose of ensuring that the information required to be disclosed in the reports that the Company files or submits under the Exchange Act with the Securities and Exchange Commission (the “SEC”) (1) is recorded, processed, summarized and reported within the time periods specified in the SEC’s rules and forms and (2) is accumulated and communicated to the Company’s management, including its Principal Executive Officer and Principal Financial Officer, as appropriate to allow timely decisions regarding required disclosure.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">There have been no changes in the Company’s internal control over financial reporting during the nine months ended September 30, 2024, that have materially affected, or are reasonably likely to materially affect, the Company’s internal control over financial reporting.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><b>PART II – OTHER INFORMATION</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><span id="Part_II_Item_1A"></span><b>ITEM 1A.  RISK FACTORS</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Our operations and financial results are subject to various risks and uncertainties, including those described in “PART 1, ITEM 1A. RISK FACTORS” in our Annual Report on Form 10-K for the year ended December 31, 2023, which could adversely affect our business, financial condition, results of operations, cash flows, and the trading price of our common stock.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><span id="Part_II_Item_6"></span><b>PART II – ITEM 6.  EXHIBITS.</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 7.5in; border-collapse: collapse"> <tr style="vertical-align: top"> <td style="border-bottom: black 1pt solid; width: 0.75in"><b>Exhibit No.</b></td> <td style="border-bottom: black 1pt solid; text-align: justify; width: 6.75in"><b>Description</b></td></tr> <tr style="vertical-align: top"> <td> </td> <td style="text-align: justify"> </td></tr> <tr style="vertical-align: top"> <td>31.1</td> <td style="text-align: justify"><a href="ex_31-1.htm">Certification of Principal Executive Officer Pursuant to Section 302 of Sarbanes-Oxley Act 2002</a></td></tr> <tr style="vertical-align: top"> <td> </td> <td style="text-align: justify"> </td></tr> <tr style="vertical-align: top"> <td>31.2</td> <td style="text-align: justify"><a href="ex_31-2.htm">Certification of Principal Financial Officer Pursuant to Section 302 of Sarbanes-Oxley Act 2002</a></td></tr> <tr style="vertical-align: top"> <td> </td> <td style="text-align: justify"> </td></tr> <tr style="vertical-align: top"> <td>32.1</td> <td style="text-align: justify"><a href="ex_32-1.htm">Certification of Principal Executive Officer Pursuant to Section 906 of the Sarbanes-Oxley Act 2002</a></td></tr> <tr style="vertical-align: top"> <td> </td> <td style="text-align: justify"> </td></tr> <tr style="vertical-align: top"> <td>32.2</td> <td style="text-align: justify"><a href="ex_32-2.htm">Certification of Principal Financial Officer Pursuant to Section 906 of the Sarbanes-Oxley Act 2002</a></td></tr> <tr style="vertical-align: top"> <td> </td> <td style="text-align: justify"> </td></tr> <tr style="vertical-align: top"> <td>101.INS</td> <td style="text-align: justify">Inline XBRL Instance Document - the XBRL Instance Document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document.</td></tr> <tr style="vertical-align: top"> <td> </td> <td style="text-align: justify"> </td></tr> <tr style="vertical-align: top"> <td>101.SCH</td> <td style="text-align: justify">Inline XBRL Taxonomy Extension Schema Document</td></tr> <tr style="vertical-align: top"> <td> </td> <td style="text-align: justify"> </td></tr> <tr style="vertical-align: top"> <td>101.CAL</td> <td style="text-align: justify">Inline XBRL Taxonomy Extension Calculation Linkbase Document</td></tr> <tr style="vertical-align: top"> <td> </td> <td style="text-align: justify"> </td></tr> <tr style="vertical-align: top"> <td>101.DEF</td> <td style="text-align: justify">Inline XBRL Taxonomy Definition Linkbase Document</td></tr> <tr style="vertical-align: top"> <td> </td> <td style="text-align: justify"> </td></tr> <tr style="vertical-align: top"> <td>101.LAB</td> <td style="text-align: justify">Inline XBRL Taxonomy Extension Label Linkbase Document</td></tr> <tr style="vertical-align: top"> <td> </td> <td style="text-align: justify"> </td></tr> <tr style="vertical-align: top"> <td>101.PRE</td> <td style="text-align: justify">Inline XBRL Taxonomy Extension Presentation Linkbase Document</td></tr> <tr style="vertical-align: top"> <td> </td> <td style="text-align: justify"> </td></tr> <tr style="vertical-align: top"> <td>104</td> <td style="text-align: justify">Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101)</td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt TIMES NEW ROMAN, TIMES, SERIF; margin: 0; text-align: center">- 22 -</p> <hr style="border-width: 0; color: Gray; background-color: Gray; height: 2px; width: 100%"/><p style="break-before: always"></p> <p style="font: 8pt Times New Roman, Times, Serif; margin: 0"><i><a href="#toc"><span style="color: Blue">Table of Contents</span></a></i></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><span id="signatures"></span><b>SIGNATURES</b></p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.</p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <table cellspacing="0" cellpadding="0" style="font: 10pt Times New Roman, Times, Serif; width: 7.5in; border-collapse: collapse"> <tr style="vertical-align: top"> <td style="width: 3.75in"> </td> <td style="width: 3.75in">KORU MEDICAL SYSTEMS, INC.</td></tr> <tr style="vertical-align: top"> <td> </td> <td> </td></tr> <tr style="vertical-align: top"> <td>November 13, 2024</td> <td><span style="text-decoration: underline">/s/ Linda Tharby</span></td></tr> <tr style="vertical-align: top"> <td> </td> <td>Linda Tharby, President and Chief Executive Officer<br/> (Principal Executive Officer)</td></tr> <tr style="vertical-align: top"> <td> </td> <td> </td></tr> <tr style="vertical-align: top"> <td>November 13, 2024</td> <td><span style="text-decoration: underline">/s/ Thomas Adams</span></td></tr> <tr style="vertical-align: top"> <td> </td> <td>Thomas Adams, Chief Financial Officer and Treasurer<br/> (Principal Financial Officer)</td></tr> </table> <p style="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"> </p> <p style="font: 10pt TIMES NEW ROMAN, TIMES, SERIF; margin: 0; text-align: center">- 23 -</p> <hr style="border-width: 0; color: Gray; background-color: Gray; height: 2px; width: 100%"/> </div> </body> </html>