Anixa Biosciences Inc Leases Disclosure
5. LEASES
We lease approximately 2,000 square feet of office space at 3150 Almaden Expressway, San Jose, California 95118 (our principal executive offices) from an unrelated party pursuant to an operating lease that, as amended, will expire on September 30, 2027, with an option to extend the lease an additional two years. The base rent is approximately $5,000 per month and the lease provides for annual increases of approximately 3% and an escalation clause for increases in certain operating costs. The lease, as amended, resulted in a right-of-use asset and lease liability of approximately $250,000 with a discount rate of 12%. Rent expense was approximately $63,000 and $61,000 for the years ended October 31, 2025 and 2024, respectively.
For operating leases, the lease liability is initially and subsequently measured at the present value of the unpaid lease payments. The remaining 47-month lease term as of October 31, 2025 for the Company’s lease includes the noncancelable period of the lease and the additional two-year option period that the Company is reasonably certain to exercise. All right-of-use assets are reviewed for impairment when indications of impairment are present.
As of October 31, 2025, the annual minimum lease payments of our operating lease liability were as follows (in thousands):
| For Years Ending October 31, | Operating Leases | |||
| 2026 | $ | 63 | ||
| 2027 | 64 | |||
| 2028 | 66 | |||
| 2029 | 63 | |||
| Total future minimum lease payments, undiscounted | 256 | |||
| Less: Imputed interest | (52 | ) | ||
| Present value of future minimum lease payments | $ | 204 | ||
| Balance as of October 31, 2025 | ||||
| Operating lease liability | $ | 41 | ||
| Operating lease liability, non-current | 163 | |||
| Total | $ | 204 | ||
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Jan 12, 2026 | Showing above |
| 2024 | Jan 10, 2025 | |
| 2023 | Jan 16, 2024 | |
| 2022 | Jan 4, 2023 | |
| 2021 | Jan 4, 2022 | |
| 2020 | Jan 7, 2021 | |
About Leases Disclosures
Lease disclosures under ASC 842 provide a comprehensive view of a company's leased asset portfolio, including the split between operating and finance leases, discount rates used to present-value future payments, and the maturity schedule of lease obligations. This section reveals a significant source of off-balance-sheet commitments that were largely hidden before the current standard.
Key signals: the weighted-average discount rate affects the size of recorded lease liabilities — a higher rate reduces the reported obligation, so compare the chosen rate against the company's incremental borrowing rate. The operating versus finance lease mix affects both EBITDA and operating income presentation. Watch the maturity table for concentration risk: large payment cliffs in specific years may create cash flow pressure. Variable lease payments excluded from the liability measurement represent real obligations that do not appear on the balance sheet. Compare total lease costs against prior-year operating lease expense to assess the true economic burden.