| Segment information |
Note 20 — Segment
information (restated)
The Company conducts
business as a single operating segment for indoor agriculture technology that provides products to indoor growers which is
based upon the Company’s organizational and management structure, as well as information used by the Chief Executive Officer (“CODM”)
to allocate resources and other factors. The accounting policies of the segment are the same as those described in Note 4.
The key measure of segment
profitability that the CODM uses to allocate resources and assess performance is segment profit or loss, as reported on the statements
of operations. The following table presents the significant revenue and expense categories of the Company’s single operating segment:
| | |
For the Three Months Ended | | |
For the Nine Months Ended | |
| | |
September 30,
2025 | | |
September 30,
2024 | | |
September 30,
2025 | | |
September 30,
2024 | |
| | |
(Unaudited) | | |
(Unaudited) | | |
(Unaudited) | | |
(Unaudited) | |
| Revenues | |
$ | 72,377 | | |
$ | 3,052,727 | | |
$ | 1,663,205 | | |
$ | 8,662,414 | |
| Less: | |
| | | |
| | | |
| | | |
| | |
| Cost of revenues | |
| 71,951 | | |
| 2,824,614 | | |
| 1,458,521 | | |
| 7,669,764 | |
| Operating expenses: | |
| | | |
| | | |
| | | |
| | |
| Salary and benefits expenses | |
| 257,347 | | |
| 473,629 | | |
| 928,898 | | |
| 1,449,580 | |
| Professional fees | |
| 459,614 | | |
| 552,696 | | |
| 1,219,820 | | |
| 1,484,835 | |
| Stock-based compensation | |
| 84,146 | | |
| 848,075 | | |
| 230,039 | | |
| 1,215,880 | |
| Other selling, general and administrative | |
| 404,043 | | |
| 312,553 | | |
| 1,165,129 | | |
| 1,064,192 | |
| Provision for credit losses | |
| 126,824 | | |
| 36,597 | | |
| 306,091 | | |
| 60,988 | |
| Other expenses (income): | |
| | | |
| | | |
| | | |
| | |
| Interest expense, net | |
| 595,156 | | |
| 738,468 | | |
| 2,098,499 | | |
| 1,527,443 | |
| Non cash finance expense | |
| 200,000 | | |
| - | | |
| 200,000 | | |
| 1,000,000 | |
| Loss on loan extinguishment | |
| 90,062 | | |
| 15,131 | | |
| 50,062 | | |
| 15,131 | |
| Other segment (income) expense | |
| (9,936 | ) | |
| 1,300 | | |
| 2,024 | | |
| (2,438 | ) |
| Income taxes | |
| - | | |
| - | | |
| 1,700 | | |
| 2,500 | |
| Net loss | |
$ | (2,206,830 | ) | |
$ | (2,750,336 | ) | |
$ | (5,997,578 | ) | |
$ | (6,825,461 | ) |
|