v3.26.1
Segment Reporting
 12 Months Ended
Mar. 31, 2026
Segment Reporting [Abstract]  
SEGMENT REPORTING

NOTE 15 – SEGMENT REPORTING

 

ASC 280, “Segment Reporting,” establishes standards for reporting information about operating segments on a basis consistent with the Company’s internal organizational structure as well as information about geographical areas, business segments, and major customers in financial statements for details on the Company’s business segments. The amendment of ASC 280 requires incremental disclosures in annual and interim periods to reportable segments and clarifies entities with a single reportable segment are also required to provide new disclosures in significant segment expenses, profit and loss, assets, and other segment items for better understanding company business activities and overall financial performance and assess potential future cash flow for the business. The Company uses the “management approach” in determining reportable operating segments. The management approach considers the internal organization and reporting used by the CODM for making operating decisions and assessing performance as the source for determining the Company’s reportable segments. CODM, including Chief Executive Officer and Chief Financial Officer, reviews operation results on the consolidated revenue, gross profit, selling, general, and administrative expenses, and net income or loss. In selling, general, and administration expenses, CODM reviews staff payroll and other related expenses, inventory export and related costs, depreciation, and other major items. Based on CODM’s assessment, the Company has determined that it has only one operating segment as defined by amended ASC 280. The following table summarizes the operating results reviewed by CODM.

 

    For the Fiscal Years Ended
March 31,		  
    2026     2025  
             
Revenue   $ 166,263,870     $ 145,812,006  
Less: Cost of goods sold     139,480,501       123,492,561  
Gross profit     26,783,369       22,319,445  
                 
Other income, net     45,416       424,108  
                 
Expenses                
Staff payroll and other related cost     9,300,872       7,958,548  
Inventory export and related cost     2,783,046       2,991,097  
Depreciation     460,867       465,022  
Other selling, general, and administrative expenses     7,006,996       7,699,789  
Total selling, general, and administrative expenses     19,551,781       19,114,456  
Stock-based compensation expenses     904,171       1,758,146  
Interest expenses     1,625,387       1,719,760  
Total expenses     22,081,339       22,592,362  
                 
Net income before provision for income taxes   $ 4,747,446     $ 151,191  

 

Other selling, general, and administrative expenses include consultancy fees and director remunerations, audit and professional fees, staff travelling and transportation expenses, rental, and general office expenses.

 

The Company’s major product is outerwear. For the fiscal years ended March 31, 2026 and 2025, outerwear accounted for approximately 88.0% and 90.2% of the total revenue, respectively.

 

The following table summarizes sales by geographic areas for the fiscal years ended March 31, 2026 and 2025, respectively.

 

   For the Fiscal Years Ended
March 31,		 
   2026   2025 
United States  $138,158,216   $128,576,537 
China, including Hong Kong   16,851,268    8,941,127 
Korea   6,951,768    
-
 
Jordan   2,198,380    3,081,278 
Others   2,104,238    5,213,064 
Total  $166,263,870   $145,812,006 

 

As of March 31, 2026 and 2025, there were 78.9% and 20.3%, and 75.7% and 23.7%, of long-lived assets were located in Jordan and Hong Kong, respectively.