SEGMENT INFORMATION AND DISAGGREGATION OF REVENUES

3 Months Ended

Mar. 31, 2026

Segment Information And Disaggregation Of Revenues

SEGMENT INFORMATION AND DISAGGREGATION OF REVENUES

NOTE 7. SEGMENT INFORMATION AND DISAGGREGATION OF REVENUES

The Company operates in two operating segments: Grocery and Wellness. In accordance with ASC 280, these segments have been aggregated into a single1 reportable segment because they share similar economic characteristics and meet all aggregation criteria, including similar nature of products sold, product acquisition process, customer base, distribution methods, and regulatory environment.

The Company’s CODM reviews financial results and allocates resources at the consolidated level, as the aggregated segments operate as one integrated business unit. No segment-specific financial metrics are used by the CODM to assess performance.

The Company adopted ASU 2023-07 effective January 1, 2024, on a retrospective basis. As the Company operates as a single reportable segment, the adoption did not have an impact on the Company’s condensed consolidated financial statements. However, it did result in enhanced disclosures related to segment expenses and reconciliations to consolidated totals. Specifically, the Company has begun disclosing segment-specific expenses that are regularly reviewed by the CODM, Jeffrey Holman, the Company’s Chief Executive Officer, in accordance with the new standard. This adoption did not have an impact on the Company’s condensed consolidated financial statements.

The following table summarizes the significant segment expenses:

	2026		2025
	Three Months Ended March 31,
	2026		2025
Advertising	$	58,128	$	157,872
Payroll and Benefits		3,580,872		3,896,602
Occupancy		1,864,500		1,823,446
Depreciation and Amortization		380,133		429,910
Bank Service Charges and Merchant Account Fees		322,784		400,269
Other selling, general and administrative expenses		454,922		461,918
Total significant reporting segment expenses		6,661,339		7,170,017
Unallocated amount		1,888,045		1,091,568
Total consolidated operating expenses	$	8,549,384	$	8,261,585

The following tables summarize the reconciliations of reportable segment profit or loss and assets to the Company’s consolidated totals:

	2026			2025
	Three Months Ended March 31,
	2026			2025
Segment net operating income	$	272,505		$	681,893
Unallocated amount		(1,888,044	)		(1,091,568	)
Consolidated loss from operations	$	(1,615,539	)	$	(409,675	)

	March 31, 2026		December 31, 2025
Total reporting segment assets	$	28,796,998	$	29,796,419
Unallocated amount		906,164		3,701,300
Consolidated total assets	$	29,703,162	$	33,497,719

When the Company prepares its internal management reporting to evaluate business performance, we disaggregate revenue into the following categories that depict how the nature, amount, timing and uncertainty of revenue and cash flows are affected by economic factors, including the nature of products sold, product acquisition processes, customer types, distribution methods, and regulatory environments.

SCHEDULE DISAGGREGATED REVENUES

	2026		2025
	Three Months Ended March 31,
	2026		2025
Retail Grocery	$	16,684,920	$	18,452,867
Food service		1,560,118		1,786,799
Online/eCommerce		-		19,940
Total revenue	$	18,245,038	$	20,259,606

The Company does not have significant revenue recognized over time due to the nature of retail store operations. The Company recognizes revenue at a point in time when control of goods or services transfers to the customer. Revenue is recognized as follows:

	●	Retail Sales: At the point of sale when payment is received, products are physically transferred, and title passes.
	●	Advertising Services (CO-OP Revenue): When promotional materials are distributed to end-user customers.