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NOTE 1: BUSINESS DESCRIPTION Sono-Tek Corporation (the “Company”, “Sono-Tek”, “We” or “Our”) was incorporated in New York on March 21, 1975. We are the world leader in the design and manufacture of ultrasonic coating systems for applying precise, thin film coatings to add functional properties, protect or strengthen surfaces on parts and components for the microelectronics/electronics, alternative energy, medical, industrial and emerging research & development/other markets. We design and manufacture custom-engineered ultrasonic coating systems incorporating our patented technology, in combination with strong applications engineering knowledge, to assist our customers in achieving their desired coating solutions. The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) for interim financial information with the instructions for Form 10-Q and Article 8 of Regulation S-X. Accordingly, the unaudited condensed consolidated financial statements do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of the Company’s management, all adjustments considered necessary for a fair presentation (consisting of normal recurring adjustments) have been included. The results for the interim periods are not necessarily indicative of what the results will be for the fiscal year. The accompanying unaudited condensed consolidated financial statements should be read in conjunction with the audited Consolidated Financial Statements as of and for the fiscal year ended February 28, 2026 (“fiscal year 2026”) contained in the Company’s 2026 Annual Report on Form 10-K filed with the SEC on May 28, 2026. The Company’s current fiscal year ends on February 28, 2027 (“fiscal year 2027”).

NOTE 2: SIGNIFICANT ACCOUNTING POLICIES Cash and Cash Equivalents - Cash and cash equivalents consist of money market mutual funds, short term commercial paper and short-term certificates of deposit with original maturities of 90 days or less. At May 31, 2026, $6,626,383 of the Company's bank deposits exceeded the insured limit provided by the Federal Deposit Insurance Corporation. Consolidation - The accompanying unaudited condensed consolidated financial statements of the Company include the accounts of the Company and its wholly owned subsidiary, Sono-Tek Industrial Park, LLC (“SIP”) in conformity with generally accepted accounting principles in the United States (“GAAP”). SIP operates as a real estate holding company for the Company’s real estate operations. All intercompany accounts and transactions have been eliminated in consolidation. Fair Value of Financial Instruments - The Company applies Accounting Standards Codification (“ASC”) 820, Fair Value Measurement (“ASC 820”), which establishes a framework for measuring fair value and clarifies the definition of fair value within that framework. ASC 820 defines fair value as an exit price, which is the price that would be received for an asset or paid to transfer a liability in the Company’s principal or most advantageous market in an orderly transaction between market participants on the measurement date. The fair value hierarchy established in ASC 820 generally requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. Observable inputs reflect the assumptions that market participants would use in pricing the asset or liability and are developed based on market data obtained from sources independent of the reporting entity. Unobservable inputs reflect the entity’s own assumptions based on market data and the entity’s judgments about the assumptions that market participants would use in pricing the asset or liability and are to be developed based on the best information available in the circumstances. The carrying amounts of financial instruments reported in the accompanying unaudited condensed consolidated financial statements for current assets and current liabilities approximate the fair value because of the immediate or short-term maturities of the financial instruments. The valuation hierarchy is composed of three levels. The classification within the valuation hierarchy is based on the lowest level of input that is significant to the fair value measurement. The levels within the valuation hierarchy are described below: Level 1 — Assets and liabilities with unadjusted, quoted prices listed on active market exchanges. Inputs to the fair value measurement are observable inputs, such as quoted prices in active markets for identical assets or liabilities. Level 2 — Inputs to the fair value measurement are determined using prices for recently traded assets and liabilities with similar underlying terms, as well as direct or indirect observable inputs, such as interest rates and yield curves that are observable at commonly quoted intervals. Level 3 — Inputs to the fair value measurement are unobservable inputs, such as estimates, assumptions, and valuation techniques when little or no market data exists for the assets or liabilities. The fair values of financial assets of the Company were determined using the following categories at May 31, 2026 and February 28, 2026, respectively: Schedule of significant accounting policies - fair values of financial assets of the company <table cellpadding="0" cellspacing="0" style="font: 10pt Cambria, Times, Serif; border-collapse: collapse; width: 100%"> <tr style="vertical-align: bottom"> <td> </td><td style="font-size: 9pt; font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; font-size: 9pt; font-weight: bold; text-align: center">Level 1</td><td style="padding-bottom: 1pt; font-size: 9pt; font-weight: bold"> </td><td style="font-size: 9pt; font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; font-size: 9pt; font-weight: bold; text-align: center">Level 2</td><td style="padding-bottom: 1pt; font-size: 9pt; font-weight: bold"> </td><td style="font-size: 9pt; font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; font-size: 9pt; font-weight: bold; text-align: center">Level 3</td><td style="padding-bottom: 1pt; font-size: 9pt; font-weight: bold"> </td><td style="font-size: 9pt; font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; font-size: 9pt; font-weight: bold; text-align: center">Total</td><td style="padding-bottom: 1pt; font-size: 9pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td> </td> <td colspan="2"> </td><td> </td><td> </td> <td colspan="2"> </td><td> </td><td> </td> <td colspan="2"> </td><td> </td><td> </td> <td colspan="2"> </td><td> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(230,239,255)"> <td style="width: 48%; font-size: 11pt; padding-bottom: 2.5pt">Marketable Securities – May 31, 2026</td><td style="width: 2%; font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; width: 1%; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; width: 9%; font-size: 11pt; text-align: right">7,639,860</td><td style="width: 1%; padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td><td style="width: 2%; font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; width: 1%; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; width: 9%; font-size: 11pt; text-align: right">30,012</td><td style="width: 1%; padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td><td style="width: 2%; font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; width: 1%; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; width: 9%; font-size: 11pt; text-align: right">—</td><td style="width: 1%; padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td><td style="width: 2%; font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; width: 1%; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; width: 9%; font-size: 11pt; text-align: right">7,669,872</td><td style="width: 1%; padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(230,239,255)"> <td style="font-size: 11pt; padding-bottom: 2.5pt">Marketable Securities – February 28, 2026</td><td style="font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: right">7,359,354</td><td style="padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: right">110,295</td><td style="padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: right">—</td><td style="padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: right">7,469,649</td><td style="padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td></tr> </table> Marketable Securities include certificates of deposit and US Treasury securities that are considered to be highly liquid and easily tradeable totaling $7,669,872 and $7,469,649 as of May 31, 2026 and February 28, 2026, respectively. US Treasury securities are valued using inputs observable in active markets for identical securities and are therefore classified as Level 1 and certificates of deposit are classified as Level 2 within the Company’s fair value hierarchy. The Company’s marketable securities are considered to be trading securities as defined under ASC 320 “Investments – Debt and Equity Securities.” Income Taxes - The Company accounts for income taxes under the asset and liability method. Under this method, deferred income taxes are recognized for the tax consequences of "temporary differences" by applying enacted statutory tax rates applicable to future years to differences between the financial statement carrying amounts and the tax basis of existing assets and liabilities. If it is more likely than not that some portion or all of a deferred tax asset will not be realized, a valuation allowance is recognized. The Company uses a recognition threshold and a measurement attribute for financial statement recognition and measurement of tax positions taken or expected to be taken in a return. For those benefits to be recognized, a tax position must be more likely than not to be sustained upon examination by taxing authorities. As of May 31, 2026 and February 28, 2026, there were no uncertain tax positions. Inventories - Inventories are stated at the lower of cost or net realizable value. Cost is determined using the first-in, first-out (FIFO) method for raw materials, subassemblies and work-in-progress and the specific identification method for finished goods. Management compares the cost of inventory with the net realizable value and, if applicable, an allowance is made for writing down the inventory to its net realizable value, if lower than cost. On an ongoing basis, inventory is reviewed for potential write-down for estimated obsolescence or unmarketable inventory based upon forecasts for future demand and market conditions. Land and Buildings - Land and buildings are stated at cost. Buildings are being depreciated by use of the straight-line method based on an estimated useful life of forty years. At May 31, 2026 and February 28, 2026, the Company had land, stated at cost of $250,000. At May 31, 2026 and February 28, 2026, the Company had buildings, equipment, furnishings and leasehold improvements totaling, $2,138,226 and $2,173,443 respectively, net of accumulated depreciation. Management Estimates - The preparation of the unaudited condensed consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the unaudited condensed consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Recent Accounting Pronouncements Not Yet Adopted - In November 2024, the FASB issued ASU 2024-03 – Income Statement – Reporting Comprehensive Income – Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses, which is intended to provide more detailed information about specified categories of expenses (purchases of inventory, employee compensation, depreciation and amortization) included in certain expense captions presented on the consolidated statement of income. The guidance in this ASU is effective for fiscal years beginning after December 15, 2026, and interim periods within fiscal years beginning after December 15, 2027. Early adoption is permitted. The Company is currently evaluating the impact the adoption of this ASU will have on its consolidated financial statements and related disclosures. In March 2025, the FASB issued ASU 2025-05 - Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses for Accounts Receivable and Contract Assets, which clarifies the measurement of expected credit losses for accounts receivable and contract assets arising from revenue transactions within the scope of Topic 606. The amendments require entities to measure expected credit losses for these financial assets using a methodology consistent with the current expected credit loss model while clarifying the interaction between the guidance in Topic 326 and Topic 606. The guidance in this ASU is effective for fiscal years beginning after December 15, 2025, including interim periods within those fiscal years. Early adoption is permitted. The amendments should be applied using a modified retrospective approach through a cumulative-effect adjustment to retained earnings as of the beginning of the fiscal years of adoption. The Company is currently evaluating the impact that the adoption of ASU 2025-05 will have on its consolidated financial statements and disclosures. In December 2025, the FASB issued ASU 2025-11 - Interim Reporting (Topic 270): Improvements to Interim Reporting Guidance, which is intended to improve the clarity and organization of the interim reporting guidance in Topic 270. The amendments clarify the scope and presentation requirements for interim financial statements and introduce a general disclosure principle requiring entities to disclose events or transactions occurring since the end of the last annual reporting period that have a material impact on the entity. The guidance also incorporates certain interim disclosure requirements from other Topics into Topic 270 to improve accessibility of the interim reporting guidance. The amendments in this ASU are effective for interim reporting periods within fiscal years beginning after December 15, 2027. Early adoption is permitted. The Company is currently evaluating the impact that the adoption of ASU 2025-11 will have on its consolidated financial statements and disclosures. Product Warranty - Expected future product warranty expense is recorded when revenue is recognized for product sales. Revenue Recognition - The Company recognizes revenue in accordance with ASC 606, Revenue from Contracts with Customers, the core principle of which is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled to receive in exchange for those goods or services. To determine revenue recognition for arrangements that the Company determines are within the scope of ASC 606, the Company performs the following five steps: <table cellpadding="0" cellspacing="0" style="width: 100%; font-size: 10pt"> <tr style="vertical-align: top"> <td style="width: 24px; font-family: Cambria,serif"> </td> <td style="width: 24px; padding-bottom: 8pt; font-family: Cambria,serif">•</td> <td style="padding-bottom: 8pt; font-family: Cambria,serif">Identification of the contract, or contracts, with a customer</td></tr> <tr style="vertical-align: top"> <td style="font-family: Cambria,serif"> </td> <td style="padding-bottom: 8pt; font-family: Cambria,serif">•</td> <td style="padding-bottom: 8pt; font-family: Cambria,serif">Identification of the performance obligations in the contract</td></tr> <tr style="vertical-align: top"> <td style="font-family: Cambria,serif"> </td> <td style="padding-bottom: 8pt; font-family: Cambria,serif">•</td> <td style="padding-bottom: 8pt; font-family: Cambria,serif">Determination of the transaction price</td></tr> <tr style="vertical-align: top"> <td style="font-family: Cambria,serif"> </td> <td style="padding-bottom: 8pt; font-family: Cambria,serif">•</td> <td style="padding-bottom: 8pt; font-family: Cambria,serif">Allocation of the transaction price to the performance obligations in the contract</td></tr> <tr style="vertical-align: top"> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif">•</td> <td style="font-family: Cambria,serif">Recognition of revenue when, or as, performance obligations are satisfied</td></tr> </table> <p id="xdx_84A_eus-gaap--ShareBasedCompensationForfeituresPolicyTextBlock_zxCaoTF39wz" style="font: 11pt Cambria,serif; margin-top: 0; margin-bottom: 0; margin-left: 0in; text-indent: 0in; text-align: left">Stock-Based Compensation - The Company currently uses a Black-Scholes option pricing model to calculate the fair value of its stock options. The fair value of each option is estimated on the date of grant based on the Black-Scholes options-pricing model utilizing certain assumptions for a risk-free interest rate; volatility; and expected lives of the awards. The Company primarily uses historical data to determine the assumptions to be used in the Black-Scholes model. The assumptions used in calculating the fair value of share-based payment awards represent management’s best estimates, but these estimates involve inherent uncertainties and the application of management judgment. ASC 718 requires the recognition of the fair value of stock compensation expense to be recognized over the vesting term of such award. The Company accounts for forfeitures as they occur.

Cash and Cash Equivalents - Cash and cash equivalents consist of money market mutual funds, short term commercial paper and short-term certificates of deposit with original maturities of 90 days or less. At May 31, 2026, $6,626,383 of the Company's bank deposits exceeded the insured limit provided by the Federal Deposit Insurance Corporation.

6626383

Consolidation - The accompanying unaudited condensed consolidated financial statements of the Company include the accounts of the Company and its wholly owned subsidiary, Sono-Tek Industrial Park, LLC (“SIP”) in conformity with generally accepted accounting principles in the United States (“GAAP”). SIP operates as a real estate holding company for the Company’s real estate operations. All intercompany accounts and transactions have been eliminated in consolidation.

Fair Value of Financial Instruments - The Company applies Accounting Standards Codification (“ASC”) 820, Fair Value Measurement (“ASC 820”), which establishes a framework for measuring fair value and clarifies the definition of fair value within that framework. ASC 820 defines fair value as an exit price, which is the price that would be received for an asset or paid to transfer a liability in the Company’s principal or most advantageous market in an orderly transaction between market participants on the measurement date. The fair value hierarchy established in ASC 820 generally requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. Observable inputs reflect the assumptions that market participants would use in pricing the asset or liability and are developed based on market data obtained from sources independent of the reporting entity. Unobservable inputs reflect the entity’s own assumptions based on market data and the entity’s judgments about the assumptions that market participants would use in pricing the asset or liability and are to be developed based on the best information available in the circumstances. The carrying amounts of financial instruments reported in the accompanying unaudited condensed consolidated financial statements for current assets and current liabilities approximate the fair value because of the immediate or short-term maturities of the financial instruments. The valuation hierarchy is composed of three levels. The classification within the valuation hierarchy is based on the lowest level of input that is significant to the fair value measurement. The levels within the valuation hierarchy are described below: Level 1 — Assets and liabilities with unadjusted, quoted prices listed on active market exchanges. Inputs to the fair value measurement are observable inputs, such as quoted prices in active markets for identical assets or liabilities. Level 2 — Inputs to the fair value measurement are determined using prices for recently traded assets and liabilities with similar underlying terms, as well as direct or indirect observable inputs, such as interest rates and yield curves that are observable at commonly quoted intervals. Level 3 — Inputs to the fair value measurement are unobservable inputs, such as estimates, assumptions, and valuation techniques when little or no market data exists for the assets or liabilities. The fair values of financial assets of the Company were determined using the following categories at May 31, 2026 and February 28, 2026, respectively: Schedule of significant accounting policies - fair values of financial assets of the company <table cellpadding="0" cellspacing="0" style="font: 10pt Cambria, Times, Serif; border-collapse: collapse; width: 100%"> <tr style="vertical-align: bottom"> <td> </td><td style="font-size: 9pt; font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; font-size: 9pt; font-weight: bold; text-align: center">Level 1</td><td style="padding-bottom: 1pt; font-size: 9pt; font-weight: bold"> </td><td style="font-size: 9pt; font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; font-size: 9pt; font-weight: bold; text-align: center">Level 2</td><td style="padding-bottom: 1pt; font-size: 9pt; font-weight: bold"> </td><td style="font-size: 9pt; font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; font-size: 9pt; font-weight: bold; text-align: center">Level 3</td><td style="padding-bottom: 1pt; font-size: 9pt; font-weight: bold"> </td><td style="font-size: 9pt; font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; font-size: 9pt; font-weight: bold; text-align: center">Total</td><td style="padding-bottom: 1pt; font-size: 9pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td> </td> <td colspan="2"> </td><td> </td><td> </td> <td colspan="2"> </td><td> </td><td> </td> <td colspan="2"> </td><td> </td><td> </td> <td colspan="2"> </td><td> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(230,239,255)"> <td style="width: 48%; font-size: 11pt; padding-bottom: 2.5pt">Marketable Securities – May 31, 2026</td><td style="width: 2%; font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; width: 1%; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; width: 9%; font-size: 11pt; text-align: right">7,639,860</td><td style="width: 1%; padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td><td style="width: 2%; font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; width: 1%; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; width: 9%; font-size: 11pt; text-align: right">30,012</td><td style="width: 1%; padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td><td style="width: 2%; font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; width: 1%; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; width: 9%; font-size: 11pt; text-align: right">—</td><td style="width: 1%; padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td><td style="width: 2%; font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; width: 1%; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; width: 9%; font-size: 11pt; text-align: right">7,669,872</td><td style="width: 1%; padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(230,239,255)"> <td style="font-size: 11pt; padding-bottom: 2.5pt">Marketable Securities – February 28, 2026</td><td style="font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: right">7,359,354</td><td style="padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: right">110,295</td><td style="padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: right">—</td><td style="padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: right">7,469,649</td><td style="padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td></tr> </table> Marketable Securities include certificates of deposit and US Treasury securities that are considered to be highly liquid and easily tradeable totaling $7,669,872 and $7,469,649 as of May 31, 2026 and February 28, 2026, respectively. US Treasury securities are valued using inputs observable in active markets for identical securities and are therefore classified as Level 1 and certificates of deposit are classified as Level 2 within the Company’s fair value hierarchy. The Company’s marketable securities are considered to be trading securities as defined under ASC 320 “Investments – Debt and Equity Securities.”

The fair values of financial assets of the Company were determined using the following categories at May 31, 2026 and February 28, 2026, respectively: Schedule of significant accounting policies - fair values of financial assets of the company <table cellpadding="0" cellspacing="0" style="font: 10pt Cambria, Times, Serif; border-collapse: collapse; width: 100%"> <tr style="vertical-align: bottom"> <td> </td><td style="font-size: 9pt; font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; font-size: 9pt; font-weight: bold; text-align: center">Level 1</td><td style="padding-bottom: 1pt; font-size: 9pt; font-weight: bold"> </td><td style="font-size: 9pt; font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; font-size: 9pt; font-weight: bold; text-align: center">Level 2</td><td style="padding-bottom: 1pt; font-size: 9pt; font-weight: bold"> </td><td style="font-size: 9pt; font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; font-size: 9pt; font-weight: bold; text-align: center">Level 3</td><td style="padding-bottom: 1pt; font-size: 9pt; font-weight: bold"> </td><td style="font-size: 9pt; font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; font-size: 9pt; font-weight: bold; text-align: center">Total</td><td style="padding-bottom: 1pt; font-size: 9pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td> </td> <td colspan="2"> </td><td> </td><td> </td> <td colspan="2"> </td><td> </td><td> </td> <td colspan="2"> </td><td> </td><td> </td> <td colspan="2"> </td><td> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(230,239,255)"> <td style="width: 48%; font-size: 11pt; padding-bottom: 2.5pt">Marketable Securities – May 31, 2026</td><td style="width: 2%; font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; width: 1%; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; width: 9%; font-size: 11pt; text-align: right">7,639,860</td><td style="width: 1%; padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td><td style="width: 2%; font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; width: 1%; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; width: 9%; font-size: 11pt; text-align: right">30,012</td><td style="width: 1%; padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td><td style="width: 2%; font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; width: 1%; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; width: 9%; font-size: 11pt; text-align: right">—</td><td style="width: 1%; padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td><td style="width: 2%; font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; width: 1%; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; width: 9%; font-size: 11pt; text-align: right">7,669,872</td><td style="width: 1%; padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(230,239,255)"> <td style="font-size: 11pt; padding-bottom: 2.5pt">Marketable Securities – February 28, 2026</td><td style="font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: right">7,359,354</td><td style="padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: right">110,295</td><td style="padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: right">—</td><td style="padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: right">7,469,649</td><td style="padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td></tr> </table>

7639860

30012

7669872

7359354

110295

7469649

7669872

7469649

Income Taxes - The Company accounts for income taxes under the asset and liability method. Under this method, deferred income taxes are recognized for the tax consequences of "temporary differences" by applying enacted statutory tax rates applicable to future years to differences between the financial statement carrying amounts and the tax basis of existing assets and liabilities. If it is more likely than not that some portion or all of a deferred tax asset will not be realized, a valuation allowance is recognized. The Company uses a recognition threshold and a measurement attribute for financial statement recognition and measurement of tax positions taken or expected to be taken in a return. For those benefits to be recognized, a tax position must be more likely than not to be sustained upon examination by taxing authorities. As of May 31, 2026 and February 28, 2026, there were no uncertain tax positions.

0 0

Inventories - Inventories are stated at the lower of cost or net realizable value. Cost is determined using the first-in, first-out (FIFO) method for raw materials, subassemblies and work-in-progress and the specific identification method for finished goods. Management compares the cost of inventory with the net realizable value and, if applicable, an allowance is made for writing down the inventory to its net realizable value, if lower than cost. On an ongoing basis, inventory is reviewed for potential write-down for estimated obsolescence or unmarketable inventory based upon forecasts for future demand and market conditions.

Land and Buildings - Land and buildings are stated at cost. Buildings are being depreciated by use of the straight-line method based on an estimated useful life of forty years. At May 31, 2026 and February 28, 2026, the Company had land, stated at cost of $250,000. At May 31, 2026 and February 28, 2026, the Company had buildings, equipment, furnishings and leasehold improvements totaling, $2,138,226 and $2,173,443 respectively, net of accumulated depreciation.

250000

2138226 2173443

Management Estimates - The preparation of the unaudited condensed consolidated financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the unaudited condensed consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Recent Accounting Pronouncements Not Yet Adopted - In November 2024, the FASB issued ASU 2024-03 – Income Statement – Reporting Comprehensive Income – Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses, which is intended to provide more detailed information about specified categories of expenses (purchases of inventory, employee compensation, depreciation and amortization) included in certain expense captions presented on the consolidated statement of income. The guidance in this ASU is effective for fiscal years beginning after December 15, 2026, and interim periods within fiscal years beginning after December 15, 2027. Early adoption is permitted. The Company is currently evaluating the impact the adoption of this ASU will have on its consolidated financial statements and related disclosures. In March 2025, the FASB issued ASU 2025-05 - Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses for Accounts Receivable and Contract Assets, which clarifies the measurement of expected credit losses for accounts receivable and contract assets arising from revenue transactions within the scope of Topic 606. The amendments require entities to measure expected credit losses for these financial assets using a methodology consistent with the current expected credit loss model while clarifying the interaction between the guidance in Topic 326 and Topic 606. The guidance in this ASU is effective for fiscal years beginning after December 15, 2025, including interim periods within those fiscal years. Early adoption is permitted. The amendments should be applied using a modified retrospective approach through a cumulative-effect adjustment to retained earnings as of the beginning of the fiscal years of adoption. The Company is currently evaluating the impact that the adoption of ASU 2025-05 will have on its consolidated financial statements and disclosures. In December 2025, the FASB issued ASU 2025-11 - Interim Reporting (Topic 270): Improvements to Interim Reporting Guidance, which is intended to improve the clarity and organization of the interim reporting guidance in Topic 270. The amendments clarify the scope and presentation requirements for interim financial statements and introduce a general disclosure principle requiring entities to disclose events or transactions occurring since the end of the last annual reporting period that have a material impact on the entity. The guidance also incorporates certain interim disclosure requirements from other Topics into Topic 270 to improve accessibility of the interim reporting guidance. The amendments in this ASU are effective for interim reporting periods within fiscal years beginning after December 15, 2027. Early adoption is permitted. The Company is currently evaluating the impact that the adoption of ASU 2025-11 will have on its consolidated financial statements and disclosures.

Product Warranty - Expected future product warranty expense is recorded when revenue is recognized for product sales.

Revenue Recognition - The Company recognizes revenue in accordance with ASC 606, Revenue from Contracts with Customers, the core principle of which is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled to receive in exchange for those goods or services. To determine revenue recognition for arrangements that the Company determines are within the scope of ASC 606, the Company performs the following five steps: <table cellpadding="0" cellspacing="0" style="width: 100%; font-size: 10pt"> <tr style="vertical-align: top"> <td style="width: 24px; font-family: Cambria,serif"> </td> <td style="width: 24px; padding-bottom: 8pt; font-family: Cambria,serif">•</td> <td style="padding-bottom: 8pt; font-family: Cambria,serif">Identification of the contract, or contracts, with a customer</td></tr> <tr style="vertical-align: top"> <td style="font-family: Cambria,serif"> </td> <td style="padding-bottom: 8pt; font-family: Cambria,serif">•</td> <td style="padding-bottom: 8pt; font-family: Cambria,serif">Identification of the performance obligations in the contract</td></tr> <tr style="vertical-align: top"> <td style="font-family: Cambria,serif"> </td> <td style="padding-bottom: 8pt; font-family: Cambria,serif">•</td> <td style="padding-bottom: 8pt; font-family: Cambria,serif">Determination of the transaction price</td></tr> <tr style="vertical-align: top"> <td style="font-family: Cambria,serif"> </td> <td style="padding-bottom: 8pt; font-family: Cambria,serif">•</td> <td style="padding-bottom: 8pt; font-family: Cambria,serif">Allocation of the transaction price to the performance obligations in the contract</td></tr> <tr style="vertical-align: top"> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif">•</td> <td style="font-family: Cambria,serif">Recognition of revenue when, or as, performance obligations are satisfied</td></tr> </table>

<p id="xdx_84A_eus-gaap--ShareBasedCompensationForfeituresPolicyTextBlock_zxCaoTF39wz" style="font: 11pt Cambria,serif; margin-top: 0; margin-bottom: 0; margin-left: 0in; text-indent: 0in; text-align: left">Stock-Based Compensation - The Company currently uses a Black-Scholes option pricing model to calculate the fair value of its stock options. The fair value of each option is estimated on the date of grant based on the Black-Scholes options-pricing model utilizing certain assumptions for a risk-free interest rate; volatility; and expected lives of the awards. The Company primarily uses historical data to determine the assumptions to be used in the Black-Scholes model. The assumptions used in calculating the fair value of share-based payment awards represent management’s best estimates, but these estimates involve inherent uncertainties and the application of management judgment. ASC 718 requires the recognition of the fair value of stock compensation expense to be recognized over the vesting term of such award. The Company accounts for forfeitures as they occur.

NOTE 3: REVENUE RECOGNITION The Company’s sales revenue is derived primarily from short term contracts with customers, which are generally in effect for less than twelve months. Sales revenue from manufactured equipment transferred at a single point in time accounts for a majority of the Company’s revenue. Sales revenue is recognized when control of the Company’s manufactured equipment is transferred to its customers, in an amount that reflects the consideration the Company expects to receive based upon the agreed transaction price. The Company’s performance obligations are satisfied when its customers take control of the purchased equipment, which is based on the contract terms. Based on prior experience, the Company reasonably estimates its sales returns and warranty reserves. Sales are presented net of discounts and allowances. Discounts and allowances are determined when a sale is negotiated. The Company does not grant its customers or independent representatives, the ability to return equipment nor does it grant price adjustments after a sale is complete. The Company does not capitalize any sales commission costs related to the acquisition of a contract. All commissions related to a performance obligation that are satisfied at a point in time are expensed when the customer takes control of the purchased equipment. The Company applies the practical expedient in paragraph ASC 606-10-50-14 and does not disclose information about remaining performance obligations that have original expected durations of one-year or less. The Company requires cash deposits when an order is placed and subsequent cash deposits before a customer’s equipment is shipped. At the time of shipment, the Company will extend credit terms to its customers. The credit terms do not contain a significant financing component (credit terms over more than one year). At May 31, 2026, the Company had received approximately $2,007,000 in customer deposits, representing contract liabilities. At February 28, 2026, the Company had received approximately $3,070,000 in customer deposits, representing contract liabilities. During the three months ended May 31, 2026, the Company recognized $2,379,000 of these deposits as revenue. The Company’s sales revenue, by product line is as follows: Schedule of revenue recognition - sales revenue by product line <table cellpadding="0" cellspacing="0" style="font: 10pt Cambria, Times, Serif; border-collapse: collapse; width: 100%"> <tr style="vertical-align: bottom"> <td> </td><td style="font-size: 9pt; font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="8" style="border-bottom: Black 1pt solid; font-size: 9pt; font-weight: bold; text-align: center">Three Months Ended May 31,</td><td style="padding-bottom: 1pt; font-size: 9pt; font-weight: bold"> </td><td style="padding-bottom: 1pt"> </td> <td> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td style="font-size: 9pt; font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; font-size: 9pt; font-weight: bold; text-align: center">2026</td><td style="padding-bottom: 1pt; font-size: 9pt; font-weight: bold"> </td><td style="font-size: 9pt; font-weight: bold; padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; font-size: 9pt; font-weight: bold; text-align: center">% of total</td><td style="font-size: 9pt; font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; font-size: 9pt; font-weight: bold; text-align: center">2025</td><td style="padding-bottom: 1pt; font-size: 9pt; font-weight: bold"> </td><td style="font-size: 9pt; font-weight: bold; padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; font-size: 9pt; font-weight: bold; text-align: center">% of total</td></tr> <tr style="vertical-align: bottom; background-color: rgb(230,239,255)"> <td style="width: 52%; font-size: 11pt; text-align: left">Fluxing Systems</td><td style="width: 2%; font-size: 11pt"> </td> <td style="width: 1%; font-size: 11pt; text-align: left">$</td><td style="width: 9%; font-size: 11pt; text-align: right">92,000</td><td style="width: 1%; font-size: 11pt; text-align: left"> </td><td style="width: 2%; font-size: 11pt"> </td> <td style="width: 9%; font-size: 11pt; text-align: right">2%</td><td style="width: 2%; font-size: 11pt"> </td> <td style="width: 1%; font-size: 11pt; text-align: left">$</td><td style="width: 9%; font-size: 11pt; text-align: right">152,000</td><td style="width: 1%; font-size: 11pt; text-align: left"> </td><td style="width: 2%; font-size: 11pt"> </td> <td style="width: 9%; font-size: 11pt; text-align: right">3%</td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="font-size: 11pt; text-align: left">In-Line Coating Systems</td><td style="font-size: 11pt"> </td> <td style="font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; text-align: right">2,159,000</td><td style="font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt"> </td> <td style="font-size: 11pt; text-align: right">38%</td><td style="font-size: 11pt"> </td> <td style="font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; text-align: right">3,054,000</td><td style="font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt"> </td> <td style="font-size: 11pt; text-align: right">59%</td></tr> <tr style="vertical-align: bottom; background-color: rgb(230,239,255)"> <td style="font-size: 11pt; text-align: left">Multi-Axis Coating Systems</td><td style="font-size: 11pt"> </td> <td style="font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; text-align: right">2,075,000</td><td style="font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt"> </td> <td style="font-size: 11pt; text-align: right">37%</td><td style="font-size: 11pt"> </td> <td style="font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; text-align: right">677,000</td><td style="font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt"> </td> <td style="font-size: 11pt; text-align: right">13%</td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="font-size: 11pt; text-align: left">OEM Systems</td><td style="font-size: 11pt"> </td> <td style="font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; text-align: right">231,000</td><td style="font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt"> </td> <td style="font-size: 11pt; text-align: right">4%</td><td style="font-size: 11pt"> </td> <td style="font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; text-align: right">130,000</td><td style="font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt"> </td> <td style="font-size: 11pt; text-align: right">3%</td></tr> <tr style="vertical-align: bottom; background-color: rgb(230,239,255)"> <td style="font-size: 11pt; text-align: left; padding-bottom: 1pt">Spare Parts, Services and Other</td><td style="font-size: 11pt; padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; font-size: 11pt; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-size: 11pt; text-align: right">1,104,000</td><td style="padding-bottom: 1pt; font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; padding-bottom: 1pt"> </td> <td style="font-size: 11pt; text-align: right; padding-bottom: 1pt">20%</td><td style="font-size: 11pt; padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; font-size: 11pt; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-size: 11pt; text-align: right">1,120,000</td><td style="padding-bottom: 1pt; font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; padding-bottom: 1pt"> </td> <td style="font-size: 11pt; text-align: right; padding-bottom: 1pt">22%</td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="font-size: 11pt; padding-bottom: 2.5pt; padding-left: 0.2in">TOTAL</td><td style="font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: right">5,661,000</td><td style="padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="text-align: right; padding-bottom: 2.5pt"> </td><td style="font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: right">5,133,000</td><td style="padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="text-align: right; padding-bottom: 2.5pt"> </td></tr> </table>

2007000 3070000

2379000

The Company’s sales revenue, by product line is as follows: Schedule of revenue recognition - sales revenue by product line <table cellpadding="0" cellspacing="0" style="font: 10pt Cambria, Times, Serif; border-collapse: collapse; width: 100%"> <tr style="vertical-align: bottom"> <td> </td><td style="font-size: 9pt; font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="8" style="border-bottom: Black 1pt solid; font-size: 9pt; font-weight: bold; text-align: center">Three Months Ended May 31,</td><td style="padding-bottom: 1pt; font-size: 9pt; font-weight: bold"> </td><td style="padding-bottom: 1pt"> </td> <td> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td style="font-size: 9pt; font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; font-size: 9pt; font-weight: bold; text-align: center">2026</td><td style="padding-bottom: 1pt; font-size: 9pt; font-weight: bold"> </td><td style="font-size: 9pt; font-weight: bold; padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; font-size: 9pt; font-weight: bold; text-align: center">% of total</td><td style="font-size: 9pt; font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; font-size: 9pt; font-weight: bold; text-align: center">2025</td><td style="padding-bottom: 1pt; font-size: 9pt; font-weight: bold"> </td><td style="font-size: 9pt; font-weight: bold; padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; font-size: 9pt; font-weight: bold; text-align: center">% of total</td></tr> <tr style="vertical-align: bottom; background-color: rgb(230,239,255)"> <td style="width: 52%; font-size: 11pt; text-align: left">Fluxing Systems</td><td style="width: 2%; font-size: 11pt"> </td> <td style="width: 1%; font-size: 11pt; text-align: left">$</td><td style="width: 9%; font-size: 11pt; text-align: right">92,000</td><td style="width: 1%; font-size: 11pt; text-align: left"> </td><td style="width: 2%; font-size: 11pt"> </td> <td style="width: 9%; font-size: 11pt; text-align: right">2%</td><td style="width: 2%; font-size: 11pt"> </td> <td style="width: 1%; font-size: 11pt; text-align: left">$</td><td style="width: 9%; font-size: 11pt; text-align: right">152,000</td><td style="width: 1%; font-size: 11pt; text-align: left"> </td><td style="width: 2%; font-size: 11pt"> </td> <td style="width: 9%; font-size: 11pt; text-align: right">3%</td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="font-size: 11pt; text-align: left">In-Line Coating Systems</td><td style="font-size: 11pt"> </td> <td style="font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; text-align: right">2,159,000</td><td style="font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt"> </td> <td style="font-size: 11pt; text-align: right">38%</td><td style="font-size: 11pt"> </td> <td style="font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; text-align: right">3,054,000</td><td style="font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt"> </td> <td style="font-size: 11pt; text-align: right">59%</td></tr> <tr style="vertical-align: bottom; background-color: rgb(230,239,255)"> <td style="font-size: 11pt; text-align: left">Multi-Axis Coating Systems</td><td style="font-size: 11pt"> </td> <td style="font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; text-align: right">2,075,000</td><td style="font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt"> </td> <td style="font-size: 11pt; text-align: right">37%</td><td style="font-size: 11pt"> </td> <td style="font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; text-align: right">677,000</td><td style="font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt"> </td> <td style="font-size: 11pt; text-align: right">13%</td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="font-size: 11pt; text-align: left">OEM Systems</td><td style="font-size: 11pt"> </td> <td style="font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; text-align: right">231,000</td><td style="font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt"> </td> <td style="font-size: 11pt; text-align: right">4%</td><td style="font-size: 11pt"> </td> <td style="font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; text-align: right">130,000</td><td style="font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt"> </td> <td style="font-size: 11pt; text-align: right">3%</td></tr> <tr style="vertical-align: bottom; background-color: rgb(230,239,255)"> <td style="font-size: 11pt; text-align: left; padding-bottom: 1pt">Spare Parts, Services and Other</td><td style="font-size: 11pt; padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; font-size: 11pt; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-size: 11pt; text-align: right">1,104,000</td><td style="padding-bottom: 1pt; font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; padding-bottom: 1pt"> </td> <td style="font-size: 11pt; text-align: right; padding-bottom: 1pt">20%</td><td style="font-size: 11pt; padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; font-size: 11pt; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-size: 11pt; text-align: right">1,120,000</td><td style="padding-bottom: 1pt; font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; padding-bottom: 1pt"> </td> <td style="font-size: 11pt; text-align: right; padding-bottom: 1pt">22%</td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="font-size: 11pt; padding-bottom: 2.5pt; padding-left: 0.2in">TOTAL</td><td style="font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: right">5,661,000</td><td style="padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="text-align: right; padding-bottom: 2.5pt"> </td><td style="font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: right">5,133,000</td><td style="padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td><td style="padding-bottom: 2.5pt"> </td> <td style="text-align: right; padding-bottom: 2.5pt"> </td></tr> </table>

92000

0.02

152000

0.03

2159000

0.38

3054000

0.59

2075000

0.37

677000

0.13

231000

0.04

130000

0.03

1104000

0.20

1120000

0.22

5661000

5133000

NOTE 4: INVENTORIES Inventories consist of the following: Schedule of inventory, current <table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%"> <tr style="vertical-align: bottom"> <td style="font-size: 10pt"> </td><td style="font: bold 9pt Cambria,serif"> </td> <td colspan="2" id="xdx_491_20260531_zLbv66rbmD5f" style="font: bold 9pt Cambria,serif; text-align: center">May 31,</td><td style="font: bold 9pt Cambria,serif"> </td><td style="font: bold 9pt Cambria,serif"> </td> <td colspan="2" id="xdx_491_20260228_zJHfaIAsjrhh" style="font: bold 9pt Cambria,serif; text-align: center">February 28,</td><td style="font: bold 9pt Cambria,serif"> </td></tr> <tr style="vertical-align: bottom"> <td style="font: 10pt Cambria,serif"> </td><td style="font: bold 9pt Cambria,serif; padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; font: bold 9pt Cambria,serif; text-align: center">2026</td><td style="font: bold 9pt Cambria,serif; padding-bottom: 1pt"> </td><td style="font: bold 9pt Cambria,serif; padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; font: bold 9pt Cambria,serif; text-align: center">2026</td><td style="font: bold 9pt Cambria,serif; padding-bottom: 1pt"> </td></tr> <tr id="xdx_403_eus-gaap--InventoryRawMaterials_iI_pp0d_maINzCgg_zpFQDqLgzo53" style="vertical-align: bottom; background-color: rgb(230,239,255)"> <td style="font: 11pt Cambria,serif; width: 72%; text-align: left">Raw materials and subassemblies</td><td style="font: 11pt Cambria,serif; width: 2%"> </td> <td style="font: 11pt Cambria,serif; width: 1%; text-align: left">$</td><td style="font: 11pt Cambria,serif; width: 10%; text-align: right">1,698,898</td><td style="font: 11pt Cambria,serif; width: 1%; text-align: left"> </td><td style="font: 11pt Cambria,serif; width: 2%"> </td> <td style="font: 11pt Cambria,serif; width: 1%; text-align: left">$</td><td style="font: 11pt Cambria,serif; width: 10%; text-align: right">1,931,294</td><td style="font: 11pt Cambria,serif; width: 1%; text-align: left"> </td></tr> <tr id="xdx_408_eus-gaap--InventoryFinishedGoods_iI_pp0d_maINzCgg_ztoI4kqjtLt9" style="vertical-align: bottom; background-color: White"> <td style="font: 11pt Cambria,serif; text-align: left">Finished goods</td><td style="font: 11pt Cambria,serif"> </td> <td style="font: 11pt Cambria,serif; text-align: left"> </td><td style="font: 11pt Cambria,serif; text-align: right">1,191,500</td><td style="font: 11pt Cambria,serif; text-align: left"> </td><td style="font: 11pt Cambria,serif"> </td> <td style="font: 11pt Cambria,serif; text-align: left"> </td><td style="font: 11pt Cambria,serif; text-align: right">932,866</td><td style="font: 11pt Cambria,serif; text-align: left"> </td></tr> <tr id="xdx_40C_eus-gaap--InventoryWorkInProcess_iI_pp0d_maINzCgg_zDQYT94X61X9" style="vertical-align: bottom; background-color: rgb(230,239,255)"> <td style="font: 11pt Cambria,serif; text-align: left; padding-bottom: 1pt">Work in process</td><td style="font: 11pt Cambria,serif; padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; font: 11pt Cambria,serif; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font: 11pt Cambria,serif; text-align: right">1,172,734</td><td style="font: 11pt Cambria,serif; padding-bottom: 1pt; text-align: left"> </td><td style="font: 11pt Cambria,serif; padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; font: 11pt Cambria,serif; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font: 11pt Cambria,serif; text-align: right">1,059,190</td><td style="font: 11pt Cambria,serif; padding-bottom: 1pt; text-align: left"> </td></tr> <tr id="xdx_40C_eus-gaap--InventoryNet_iTI_pp0d_mtINzCgg_z05qcnbSotie" style="vertical-align: bottom; background-color: White"> <td style="font: 11pt Cambria,serif; padding-bottom: 2.5pt">Total</td><td style="font: 11pt Cambria,serif; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; font: 11pt Cambria,serif; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font: 11pt Cambria,serif; text-align: right">4,063,132</td><td style="font: 11pt Cambria,serif; padding-bottom: 2.5pt; text-align: left"> </td><td style="font: 11pt Cambria,serif; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; font: 11pt Cambria,serif; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font: 11pt Cambria,serif; text-align: right">3,923,350</td><td style="font: 11pt Cambria,serif; padding-bottom: 2.5pt; text-align: left"> </td></tr> </table> The Company maintains a valuation allowance for slow moving inventory for raw materials and finished goods. The valuation allowance creates a new cost basis for the inventory, and it is not subsequently marked up through a reduction in the valuation allowance based on any changes in the underlying facts and circumstances. When the valuation allowance is initially recorded, the increase to the allowance is recognized as an increase in cost of sales. The valuation allowance is only reduced if or when the underlying inventory is sold or destroyed, at which time cost of sales recognized would include the previous adjusted cost basis. During the three months ended May 31, 2026 and May 31, 2025, the Company recorded approximately $57,000 and $99,000, respectively in additional allowances for slow moving inventory.

Inventories consist of the following: Schedule of inventory, current <table cellpadding="0" cellspacing="0" style="border-collapse: collapse; width: 100%"> <tr style="vertical-align: bottom"> <td style="font-size: 10pt"> </td><td style="font: bold 9pt Cambria,serif"> </td> <td colspan="2" id="xdx_491_20260531_zLbv66rbmD5f" style="font: bold 9pt Cambria,serif; text-align: center">May 31,</td><td style="font: bold 9pt Cambria,serif"> </td><td style="font: bold 9pt Cambria,serif"> </td> <td colspan="2" id="xdx_491_20260228_zJHfaIAsjrhh" style="font: bold 9pt Cambria,serif; text-align: center">February 28,</td><td style="font: bold 9pt Cambria,serif"> </td></tr> <tr style="vertical-align: bottom"> <td style="font: 10pt Cambria,serif"> </td><td style="font: bold 9pt Cambria,serif; padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; font: bold 9pt Cambria,serif; text-align: center">2026</td><td style="font: bold 9pt Cambria,serif; padding-bottom: 1pt"> </td><td style="font: bold 9pt Cambria,serif; padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; font: bold 9pt Cambria,serif; text-align: center">2026</td><td style="font: bold 9pt Cambria,serif; padding-bottom: 1pt"> </td></tr> <tr id="xdx_403_eus-gaap--InventoryRawMaterials_iI_pp0d_maINzCgg_zpFQDqLgzo53" style="vertical-align: bottom; background-color: rgb(230,239,255)"> <td style="font: 11pt Cambria,serif; width: 72%; text-align: left">Raw materials and subassemblies</td><td style="font: 11pt Cambria,serif; width: 2%"> </td> <td style="font: 11pt Cambria,serif; width: 1%; text-align: left">$</td><td style="font: 11pt Cambria,serif; width: 10%; text-align: right">1,698,898</td><td style="font: 11pt Cambria,serif; width: 1%; text-align: left"> </td><td style="font: 11pt Cambria,serif; width: 2%"> </td> <td style="font: 11pt Cambria,serif; width: 1%; text-align: left">$</td><td style="font: 11pt Cambria,serif; width: 10%; text-align: right">1,931,294</td><td style="font: 11pt Cambria,serif; width: 1%; text-align: left"> </td></tr> <tr id="xdx_408_eus-gaap--InventoryFinishedGoods_iI_pp0d_maINzCgg_ztoI4kqjtLt9" style="vertical-align: bottom; background-color: White"> <td style="font: 11pt Cambria,serif; text-align: left">Finished goods</td><td style="font: 11pt Cambria,serif"> </td> <td style="font: 11pt Cambria,serif; text-align: left"> </td><td style="font: 11pt Cambria,serif; text-align: right">1,191,500</td><td style="font: 11pt Cambria,serif; text-align: left"> </td><td style="font: 11pt Cambria,serif"> </td> <td style="font: 11pt Cambria,serif; text-align: left"> </td><td style="font: 11pt Cambria,serif; text-align: right">932,866</td><td style="font: 11pt Cambria,serif; text-align: left"> </td></tr> <tr id="xdx_40C_eus-gaap--InventoryWorkInProcess_iI_pp0d_maINzCgg_zDQYT94X61X9" style="vertical-align: bottom; background-color: rgb(230,239,255)"> <td style="font: 11pt Cambria,serif; text-align: left; padding-bottom: 1pt">Work in process</td><td style="font: 11pt Cambria,serif; padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; font: 11pt Cambria,serif; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font: 11pt Cambria,serif; text-align: right">1,172,734</td><td style="font: 11pt Cambria,serif; padding-bottom: 1pt; text-align: left"> </td><td style="font: 11pt Cambria,serif; padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; font: 11pt Cambria,serif; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font: 11pt Cambria,serif; text-align: right">1,059,190</td><td style="font: 11pt Cambria,serif; padding-bottom: 1pt; text-align: left"> </td></tr> <tr id="xdx_40C_eus-gaap--InventoryNet_iTI_pp0d_mtINzCgg_z05qcnbSotie" style="vertical-align: bottom; background-color: White"> <td style="font: 11pt Cambria,serif; padding-bottom: 2.5pt">Total</td><td style="font: 11pt Cambria,serif; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; font: 11pt Cambria,serif; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font: 11pt Cambria,serif; text-align: right">4,063,132</td><td style="font: 11pt Cambria,serif; padding-bottom: 2.5pt; text-align: left"> </td><td style="font: 11pt Cambria,serif; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; font: 11pt Cambria,serif; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font: 11pt Cambria,serif; text-align: right">3,923,350</td><td style="font: 11pt Cambria,serif; padding-bottom: 2.5pt; text-align: left"> </td></tr> </table>

1698898

1931294

1191500

932866

1172734

1059190

4063132

3923350

57000

99000

NOTE 5: STOCK BASED COMPENSATION Stock Options – In May 2023, the Company’s Board of Directors authorized the creation of the 2023 Stock Incentive Plan (the “2023 Plan”) pursuant to which the Company may grant up to <span id="xdx_909_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardNumberOfSharesAvailableForGrant_iI_c20230531__us-gaap--PlanNameAxis__custom--StockIncentivePlan2023Member_zf0TcKfTptpj" title="Stock options shares available for grants">2,500,000 options or shares to officers, directors, employees and consultants of the Company and its subsidiaries. The Company’s shareholders approved the adoption of the 2023 Plan in August 2023. The 2023 Plan replaced the 2013 Stock Incentive Plan (the “2013 Plan”) under which no additional options or shares could be granted after June 2023. At May 31, 2026, <span id="xdx_902_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingNumber_c20260531__us-gaap--PlanNameAxis__custom--StockIncentivePlan2023Member_pd" title="Stock options, outstanding">393,183 and <span id="xdx_905_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingNumber_c20260531__us-gaap--PlanNameAxis__custom--StockIncentivePlan2013Member_pd" title="Stock options, outstanding">186,660 options were outstanding, respectively, under the 2023 Plan and the 2013 Plan. The Company accounts for stock based compensation under ASC 718, “Share Based Payments”, which requires companies to expense the value of employee stock options and similar awards. The Company accounts for forfeitures as they occur. During the three months ended May 31, 2026, the Company granted options to acquire <span id="xdx_90F_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsGrantsInPeriodGross_c20260301__20260531__us-gaap--AwardTypeAxis__us-gaap--EmployeeStockOptionMember_pd" title="Options granted">2,988 shares to an employee at an exercise price of $<span id="xdx_909_eus-gaap--ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsGrantsInPeriodWeightedAverageExercisePrice_c20260301__20260531__us-gaap--AwardTypeAxis__custom--NonEmployeeMember_pd" title="Options, exercisable price">3.99. Options granted to employees vest over three years and expire ten years from the date of issuance. The options granted during the three months ended May 31, 2026 had a grant date fair value of $<span id="xdx_90B_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsGrantsInPeriodWeightedAverageGrantDateFairValue_c20260301__20260531_pd" title="Average grant date fair value, per share">2.51 per share. The weighted-average fair value of options is estimated on the date of grant using the Black-Scholes options-pricing model. The weighted-average Black-Scholes assumptions are as follows: Schedule of weighted-average black-scholes assumptions <table cellpadding="0" cellspacing="0" style="width: 100%; border-collapse: collapse; font-size: 10pt"> <tr style="vertical-align: top"> <td style="width: 75%; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; width: 25%; font-family: Cambria,serif; text-align: center">Three Months Ended May 31, 2026</td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="font-family: Cambria,serif">Expected Life</td> <td style="font-family: Cambria,serif; text-align: center">8 years</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="font-family: Cambria,serif">Risk free interest rate</td> <td style="font-family: Cambria,serif; text-align: center">3.92%</td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="font-family: Cambria,serif">Expected volatility</td> <td style="font-family: Cambria,serif; text-align: center">54.85%</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="font-family: Cambria,serif">Expected dividend yield</td> <td style="font-family: Cambria,serif; text-align: center">0%</td></tr> </table> For the three months ended May 31, 2026 and 2025 the Company recognized $85,825 and $75,163 in stock based compensation expense, respectively. Such amounts are included in general and administrative expenses on the unaudited condensed consolidated statements of income. Total compensation expense related to non-vested options not yet recognized as of May 31, 2026 was $370,000 and will be recognized over the next three years based on vesting date. The amount of future stock option compensation expense could be affected by any future option grants or by any forfeitures. The aggregate intrinsic value of the Company’s vested and exercisable options at May 31, 2026 was approximately $<span id="xdx_90F_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsVestedAndExpectedToVestExercisableAggregateIntrinsicValue_c20260531_pp0p" title="Options vested and exercisable aggregate intrinsic value">183,839.

2500000

393183

186660

2988

3.99

2.51

The weighted-average fair value of options is estimated on the date of grant using the Black-Scholes options-pricing model. The weighted-average Black-Scholes assumptions are as follows: Schedule of weighted-average black-scholes assumptions <table cellpadding="0" cellspacing="0" style="width: 100%; border-collapse: collapse; font-size: 10pt"> <tr style="vertical-align: top"> <td style="width: 75%; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; width: 25%; font-family: Cambria,serif; text-align: center">Three Months Ended May 31, 2026</td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="font-family: Cambria,serif">Expected Life</td> <td style="font-family: Cambria,serif; text-align: center">8 years</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="font-family: Cambria,serif">Risk free interest rate</td> <td style="font-family: Cambria,serif; text-align: center">3.92%</td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="font-family: Cambria,serif">Expected volatility</td> <td style="font-family: Cambria,serif; text-align: center">54.85%</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="font-family: Cambria,serif">Expected dividend yield</td> <td style="font-family: Cambria,serif; text-align: center">0%</td></tr> </table>

P8Y

0.0392

0.5485

85825

75163

370000

183839

NOTE 6: EARNINGS PER SHARE The following table sets forth the computation of basic and diluted earnings per share: Schedule of computation of basic and diluted earnings per share <table cellpadding="0" cellspacing="0" style="font: 10pt Cambria, Times, Serif; border-collapse: collapse; width: 100%"> <tr style="vertical-align: bottom; background-color: White"> <td> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_49E_20260301__20260531_zi1AtVuMv9pa" style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_493_20250301__20250531_zB1r2EWqgcsk" style="text-align: right"> </td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td style="font-size: 9pt; font-weight: bold"> </td> <td colspan="6" style="font-size: 9pt; font-weight: bold; text-align: center">Three Months Ended May 31,</td><td style="font-size: 9pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td style="font-size: 9pt; font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; font-size: 9pt; font-weight: bold; text-align: center">2026</td><td style="padding-bottom: 1pt; font-size: 9pt; font-weight: bold"> </td><td style="font-size: 9pt; font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; font-size: 9pt; font-weight: bold; text-align: center">2025</td><td style="padding-bottom: 1pt; font-size: 9pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td> </td> <td colspan="2" style="text-align: right"> </td><td> </td><td> </td> <td colspan="2" style="text-align: right"> </td><td> </td></tr> <tr id="xdx_400_eus-gaap--NetIncomeLoss_i_pp0p" style="vertical-align: bottom; background-color: rgb(230,239,255)"> <td style="width: 72%; font-size: 11pt; text-align: left; padding-bottom: 2.5pt">Numerator for basic and diluted earnings per share</td><td style="width: 2%; font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; width: 1%; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; width: 10%; font-size: 11pt; text-align: right">741,168</td><td style="width: 1%; padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td><td style="width: 2%; font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; width: 1%; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; width: 10%; font-size: 11pt; text-align: right">484,985</td><td style="width: 1%; padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr> <tr id="xdx_403_eus-gaap--WeightedAverageNumberOfSharesOutstandingBasic_i_pd" style="vertical-align: bottom; background-color: rgb(230,239,255)"> <td style="font-size: 11pt">Denominator for basic earnings per share - weighted average</td><td style="font-size: 11pt"> </td> <td style="font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; text-align: right">15,713,185</td><td style="font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt"> </td> <td style="font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; text-align: right">15,733,955</td><td style="font-size: 11pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr> <tr id="xdx_40B_eus-gaap--DilutiveSecuritiesAbstract_iB_z9EJyTFoX8X8" style="vertical-align: bottom; background-color: rgb(230,239,255)"> <td style="font-size: 11pt; text-align: left">Effects of dilutive securities:</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr> <tr id="xdx_40F_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsGrantsInPeriodGross_i01_pd" style="vertical-align: bottom; background-color: White"> <td style="font-size: 11pt; text-align: left; padding-bottom: 1pt; text-indent: 10pt">Stock options for employees and directors</td><td style="font-size: 11pt; padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; font-size: 11pt; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-size: 11pt; text-align: right">24,091</td><td style="padding-bottom: 1pt; font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; font-size: 11pt; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-size: 11pt; text-align: right">14,601</td><td style="padding-bottom: 1pt; font-size: 11pt; text-align: left"> </td></tr> <tr id="xdx_408_eus-gaap--WeightedAverageNumberOfDilutedSharesOutstanding_i01_pd" style="vertical-align: bottom; background-color: rgb(230,239,255)"> <td style="font-size: 11pt; text-align: left; padding-bottom: 2.5pt">Denominator for diluted earnings per share</td><td style="font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: left"> </td><td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: right">15,737,276</td><td style="padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: left"> </td><td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: right">15,748,556</td><td style="padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr> <tr id="xdx_401_eus-gaap--EarningsPerShareBasic_i01_pd" style="vertical-align: bottom; background-color: rgb(230,239,255)"> <td style="font-size: 11pt; padding-bottom: 2.5pt">Basic Earnings Per Share</td><td style="font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: right">0.05</td><td style="padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: right">0.03</td><td style="padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr> <tr id="xdx_40D_eus-gaap--EarningsPerShareDiluted_i01_pd" style="vertical-align: bottom; background-color: rgb(230,239,255)"> <td style="font-size: 11pt; padding-bottom: 2.5pt">Diluted Earnings Per Share</td><td style="font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: right">0.05</td><td style="padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: right">0.03</td><td style="padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td></tr> </table> In the first quarter of fiscal year 2027, 149,425 stock options were excluded from the computation of diluted income per share because the effect of inclusion would have been anti-dilutive.

The following table sets forth the computation of basic and diluted earnings per share: Schedule of computation of basic and diluted earnings per share <table cellpadding="0" cellspacing="0" style="font: 10pt Cambria, Times, Serif; border-collapse: collapse; width: 100%"> <tr style="vertical-align: bottom; background-color: White"> <td> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_49E_20260301__20260531_zi1AtVuMv9pa" style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td id="xdx_493_20250301__20250531_zB1r2EWqgcsk" style="text-align: right"> </td><td style="text-align: left"> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td style="font-size: 9pt; font-weight: bold"> </td> <td colspan="6" style="font-size: 9pt; font-weight: bold; text-align: center">Three Months Ended May 31,</td><td style="font-size: 9pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td style="font-size: 9pt; font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; font-size: 9pt; font-weight: bold; text-align: center">2026</td><td style="padding-bottom: 1pt; font-size: 9pt; font-weight: bold"> </td><td style="font-size: 9pt; font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; font-size: 9pt; font-weight: bold; text-align: center">2025</td><td style="padding-bottom: 1pt; font-size: 9pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom"> <td> </td><td> </td> <td colspan="2" style="text-align: right"> </td><td> </td><td> </td> <td colspan="2" style="text-align: right"> </td><td> </td></tr> <tr id="xdx_400_eus-gaap--NetIncomeLoss_i_pp0p" style="vertical-align: bottom; background-color: rgb(230,239,255)"> <td style="width: 72%; font-size: 11pt; text-align: left; padding-bottom: 2.5pt">Numerator for basic and diluted earnings per share</td><td style="width: 2%; font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; width: 1%; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; width: 10%; font-size: 11pt; text-align: right">741,168</td><td style="width: 1%; padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td><td style="width: 2%; font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; width: 1%; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; width: 10%; font-size: 11pt; text-align: right">484,985</td><td style="width: 1%; padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr> <tr id="xdx_403_eus-gaap--WeightedAverageNumberOfSharesOutstandingBasic_i_pd" style="vertical-align: bottom; background-color: rgb(230,239,255)"> <td style="font-size: 11pt">Denominator for basic earnings per share - weighted average</td><td style="font-size: 11pt"> </td> <td style="font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; text-align: right">15,713,185</td><td style="font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt"> </td> <td style="font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; text-align: right">15,733,955</td><td style="font-size: 11pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr> <tr id="xdx_40B_eus-gaap--DilutiveSecuritiesAbstract_iB_z9EJyTFoX8X8" style="vertical-align: bottom; background-color: rgb(230,239,255)"> <td style="font-size: 11pt; text-align: left">Effects of dilutive securities:</td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr> <tr id="xdx_40F_eus-gaap--ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsGrantsInPeriodGross_i01_pd" style="vertical-align: bottom; background-color: White"> <td style="font-size: 11pt; text-align: left; padding-bottom: 1pt; text-indent: 10pt">Stock options for employees and directors</td><td style="font-size: 11pt; padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; font-size: 11pt; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-size: 11pt; text-align: right">24,091</td><td style="padding-bottom: 1pt; font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; font-size: 11pt; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-size: 11pt; text-align: right">14,601</td><td style="padding-bottom: 1pt; font-size: 11pt; text-align: left"> </td></tr> <tr id="xdx_408_eus-gaap--WeightedAverageNumberOfDilutedSharesOutstanding_i01_pd" style="vertical-align: bottom; background-color: rgb(230,239,255)"> <td style="font-size: 11pt; text-align: left; padding-bottom: 2.5pt">Denominator for diluted earnings per share</td><td style="font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: left"> </td><td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: right">15,737,276</td><td style="padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: left"> </td><td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: right">15,748,556</td><td style="padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr> <tr id="xdx_401_eus-gaap--EarningsPerShareBasic_i01_pd" style="vertical-align: bottom; background-color: rgb(230,239,255)"> <td style="font-size: 11pt; padding-bottom: 2.5pt">Basic Earnings Per Share</td><td style="font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: right">0.05</td><td style="padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: right">0.03</td><td style="padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td><td> </td> <td style="text-align: left"> </td><td style="text-align: right"> </td><td style="text-align: left"> </td></tr> <tr id="xdx_40D_eus-gaap--EarningsPerShareDiluted_i01_pd" style="vertical-align: bottom; background-color: rgb(230,239,255)"> <td style="font-size: 11pt; padding-bottom: 2.5pt">Diluted Earnings Per Share</td><td style="font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: right">0.05</td><td style="padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: right">0.03</td><td style="padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td></tr> </table>

741168

484985

15713185

15733955

24091

14601

15737276

15748556

0.05

0.03

0.05

0.03

149425

NOTE 7: REVOLVING LINE OF CREDIT The Company has a $1,500,000 revolving line of credit at prime which was 6.75% at May 31, 2026 and February 28, 2026. The revolving credit line is collateralized by the Company’s accounts receivable and inventory. The revolving credit line is payable on demand and must be retired for a 30-day period, once annually. If the Company fails to perform the 30-day annual pay down or if the bank elects to terminate the credit line, the bank may, at its option, convert the outstanding balance to a 36-month term note with payments including interest in 36 equal installments. At May 31, 2026, there were no outstanding borrowings under the revolving line of credit. The Company has a $750,000 equipment line of credit at prime plus 0.50%, which was 7.25% at May 31, 2026. At May 31, 2026, there were no outstanding borrowings under the equipment line of credit.

1500000

0.0675

The revolving credit line is collateralized by the Company’s accounts receivable and inventory. The revolving credit line is payable on demand and must be retired for a 30-day period, once annually. If the Company fails to perform the 30-day annual pay down or if the bank elects to terminate the credit line, the bank may, at its option, convert the outstanding balance to a 36-month term note with payments including interest in 36 equal installments.

750000

0.0050

0.0725

NOTE 8: CUSTOMER CONCENTRATIONS AND FOREIGN SALES Export sales to customers located outside the United States and Canada were approximately as follows: Schedule of customer concentrations and foreign sales <table cellpadding="0" cellspacing="0" style="font: 10pt Cambria, Times, Serif; border-collapse: collapse; width: 100%"> <tr style="vertical-align: bottom"> <td> </td><td style="font-size: 9pt; font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; font-size: 9pt; font-weight: bold; text-align: center">May 31, 2026</td><td style="padding-bottom: 1pt; font-size: 9pt; font-weight: bold"> </td><td style="font-size: 9pt; font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; font-size: 9pt; font-weight: bold; text-align: center">May 31, 2025</td><td style="padding-bottom: 1pt; font-size: 9pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(230,239,255)"> <td style="width: 72%; font-size: 11pt; text-align: left">Asia Pacific (APAC)</td><td style="width: 2%; font-size: 11pt"> </td> <td style="width: 1%; font-size: 11pt; text-align: left"> </td><td style="width: 10%; font-size: 11pt; text-align: right">738,000</td><td style="width: 1%; font-size: 11pt; text-align: left"> </td><td style="width: 2%; font-size: 11pt"> </td> <td style="width: 1%; font-size: 11pt; text-align: left"> </td><td style="width: 10%; font-size: 11pt; text-align: right">597,000</td><td style="width: 1%; font-size: 11pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="font-size: 11pt; text-align: left">Europe, Middle East, Africa (EMEA)</td><td style="font-size: 11pt"> </td> <td style="font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; text-align: right">930,000</td><td style="font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt"> </td> <td style="font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; text-align: right">897,000</td><td style="font-size: 11pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(230,239,255)"> <td style="font-size: 11pt; text-align: left; padding-bottom: 1pt">Latin America</td><td style="font-size: 11pt; padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; font-size: 11pt; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-size: 11pt; text-align: right">463,000</td><td style="padding-bottom: 1pt; font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; font-size: 11pt; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-size: 11pt; text-align: right">96,000</td><td style="padding-bottom: 1pt; font-size: 11pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="padding-bottom: 2.5pt"> </td><td style="font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: right">2,131,000</td><td style="padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: right">1,590,000</td><td style="padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td></tr> </table> During the three months ended May 31, 2026 and 2025, sales to foreign customers accounted for approximately $<span id="xdx_905_eus-gaap--Revenues_c20260301__20260531__us-gaap--ConcentrationRiskByTypeAxis__custom--ForeignCustomersMember__us-gaap--ConcentrationRiskByBenchmarkAxis__us-gaap--SalesRevenueNetMember_pp0p" title="Sales revenue">2,131,000 and $<span id="xdx_903_eus-gaap--Revenues_c20250301__20250531__us-gaap--ConcentrationRiskByTypeAxis__custom--ForeignCustomersMember__us-gaap--ConcentrationRiskByBenchmarkAxis__us-gaap--SalesRevenueNetMember_pp0p" title="Sales revenue">1,590,000, or <span id="xdx_901_ecustom--SalesRevenuePercent_c20260301__20260531__us-gaap--ConcentrationRiskByTypeAxis__custom--ForeignCustomersMember__us-gaap--ConcentrationRiskByBenchmarkAxis__us-gaap--SalesRevenueNetMember_pd" title="Sales revenue, percent">38% and <span id="xdx_90F_ecustom--SalesRevenuePercent_c20250301__20250531__us-gaap--ConcentrationRiskByTypeAxis__custom--ForeignCustomersMember__us-gaap--ConcentrationRiskByBenchmarkAxis__us-gaap--SalesRevenueNetMember_pd" title="Sales revenue, percent">31%, respectively, of total revenues. The Company had two customers which accounted for <span id="xdx_90D_ecustom--ConcentrationPercentage_c20260301__20260531__us-gaap--ConcentrationRiskByTypeAxis__us-gaap--CustomerConcentrationRiskMember__srt--MajorCustomersAxis__custom--TwoCustomerMember__us-gaap--ConcentrationRiskByBenchmarkAxis__us-gaap--SalesRevenueNetMember_zOQBvVhL3p4i" title="Concentration percentage">53% of sales during the first quarter of fiscal 2027. Two customers accounted for <span id="xdx_90B_ecustom--ConcentrationPercentage_c20260301__20260531__us-gaap--ConcentrationRiskByTypeAxis__us-gaap--CustomerConcentrationRiskMember__srt--MajorCustomersAxis__custom--TwoCustomerMember__us-gaap--ConcentrationRiskByBenchmarkAxis__us-gaap--AccountsReceivableMember_zbkbR8xa9Rui" title="Concentration percentage">43% of the outstanding accounts receivables at May 31, 2026. The Company had one customer which accounted for <span id="xdx_90F_ecustom--ConcentrationPercentage_c20250301__20250531__us-gaap--ConcentrationRiskByTypeAxis__us-gaap--CustomerConcentrationRiskMember__srt--MajorCustomersAxis__custom--OneCustomerMember__us-gaap--ConcentrationRiskByBenchmarkAxis__us-gaap--SalesRevenueNetMember_pd">57% of sales during the first quarter of fiscal 2026. Three customers accounted for <span id="xdx_905_ecustom--ConcentrationPercentage_c20250301__20260228__us-gaap--ConcentrationRiskByTypeAxis__us-gaap--CustomerConcentrationRiskMember__srt--MajorCustomersAxis__custom--ThreeCustomerMember__us-gaap--ConcentrationRiskByBenchmarkAxis__us-gaap--AccountsReceivableMember_zVX5dTEqIHA8">61% of the outstanding accounts receivables February 28, 2026.

Export sales to customers located outside the United States and Canada were approximately as follows: Schedule of customer concentrations and foreign sales <table cellpadding="0" cellspacing="0" style="font: 10pt Cambria, Times, Serif; border-collapse: collapse; width: 100%"> <tr style="vertical-align: bottom"> <td> </td><td style="font-size: 9pt; font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; font-size: 9pt; font-weight: bold; text-align: center">May 31, 2026</td><td style="padding-bottom: 1pt; font-size: 9pt; font-weight: bold"> </td><td style="font-size: 9pt; font-weight: bold; padding-bottom: 1pt"> </td> <td colspan="2" style="border-bottom: Black 1pt solid; font-size: 9pt; font-weight: bold; text-align: center">May 31, 2025</td><td style="padding-bottom: 1pt; font-size: 9pt; font-weight: bold"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(230,239,255)"> <td style="width: 72%; font-size: 11pt; text-align: left">Asia Pacific (APAC)</td><td style="width: 2%; font-size: 11pt"> </td> <td style="width: 1%; font-size: 11pt; text-align: left"> </td><td style="width: 10%; font-size: 11pt; text-align: right">738,000</td><td style="width: 1%; font-size: 11pt; text-align: left"> </td><td style="width: 2%; font-size: 11pt"> </td> <td style="width: 1%; font-size: 11pt; text-align: left"> </td><td style="width: 10%; font-size: 11pt; text-align: right">597,000</td><td style="width: 1%; font-size: 11pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="font-size: 11pt; text-align: left">Europe, Middle East, Africa (EMEA)</td><td style="font-size: 11pt"> </td> <td style="font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; text-align: right">930,000</td><td style="font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt"> </td> <td style="font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; text-align: right">897,000</td><td style="font-size: 11pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: rgb(230,239,255)"> <td style="font-size: 11pt; text-align: left; padding-bottom: 1pt">Latin America</td><td style="font-size: 11pt; padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; font-size: 11pt; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-size: 11pt; text-align: right">463,000</td><td style="padding-bottom: 1pt; font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; padding-bottom: 1pt"> </td> <td style="border-bottom: Black 1pt solid; font-size: 11pt; text-align: left"> </td><td style="border-bottom: Black 1pt solid; font-size: 11pt; text-align: right">96,000</td><td style="padding-bottom: 1pt; font-size: 11pt; text-align: left"> </td></tr> <tr style="vertical-align: bottom; background-color: White"> <td style="padding-bottom: 2.5pt"> </td><td style="font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: right">2,131,000</td><td style="padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td><td style="font-size: 11pt; padding-bottom: 2.5pt"> </td> <td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; font-size: 11pt; text-align: right">1,590,000</td><td style="padding-bottom: 2.5pt; font-size: 11pt; text-align: left"> </td></tr> </table>

738000

597000

930000

897000

463000

96000

2131000

1590000

2131000

1590000

0.38 0.31 0.53 0.43 0.57 0.61

NOTE 9: SEGMENT DATA The Company operates in one segment. The chief operating decision maker, who is responsible for allocating resources and assessing performance, has been identified as the Chief Executive Officer (the “CODM”). The CODM assesses the financial performance of the Company and decides how to allocate resources based on Operating income. The following table presents the Company’s segment data (rounded to the nearest thousand): Schedule of segment data <table cellpadding="0" cellspacing="0" style="width: 100%; border-collapse: collapse; font-size: 10pt"> <tr style="vertical-align: top"> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td colspan="5" style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: center">Three Months Ended May 31,</td></tr> <tr style="vertical-align: top"> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td colspan="2" style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: center">2026</td> <td style="font-family: Cambria,serif"> </td> <td colspan="2" style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: center">2025</td></tr> <tr style="vertical-align: top"> <td style="border-bottom: black 1pt solid; width: 68%; padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif">Net Sales</td> <td style="width: 8%; padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; width: 1%; font-family: Cambria,serif">$</td> <td style="border-bottom: black 1pt solid; width: 10%; font-family: Cambria,serif; text-align: right">5,661,000</td> <td style="width: 2%; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; width: 1%; font-family: Cambria,serif">$</td> <td style="border-bottom: black 1pt solid; width: 10%; font-family: Cambria,serif; text-align: right">5,133,000</td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif">Direct Cost of Goods Sold</td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Materials & Freight</td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">1,887,000</td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">1,872,000</td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Production Labor</td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">111,000</td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">76,000</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Depreciation</td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">34,000</td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">50,000</td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Other </td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">133,000</td> <td style="font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">119,000</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">2,165,000</td> <td style="font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">2,117,000</td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif">Service Department</td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"> </td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Salaries </td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">146,000</td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">138,000</td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Travel </td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">51,000</td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">37,000</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Outside Installations</td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">-</td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">11,000</td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Warranty Costs </td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">35,000</td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">98,000</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Other </td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">50,000</td> <td style="font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">67,000</td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">282,000</td> <td style="font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">351,000</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif">Total Cost of Goods & Service </td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif">$</td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">2,447,000</td> <td style="font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif">$</td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">2,468,000</td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif">Gross Profit </td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">3,214,000</td> <td style="font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">2,665,000</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif">Research & Product Development</td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"> </td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Salaries </td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">458,000</td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">474,000</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Insurance</td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">35,000</td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">35,000</td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Depreciation </td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_90D_ecustom--ResearchAndDevelopmentDepreciation_pp0d_c20260301__20260531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_zFp3IdBOpVda" title="Research & product development depreciation">32,000</td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_90A_ecustom--ResearchAndDevelopmentDepreciation_pp0d_c20250301__20250531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_z8Y8ShX138Ck" title="Research & product development depreciation">45,000</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">R & D Materials </td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_90E_ecustom--ResearchAndDevelopmentRDMaterials_pp0d_c20260301__20260531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_znu7bVlc2vyl" title="Research & product development r & d materials">39,000</td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_903_ecustom--ResearchAndDevelopmentRDMaterials_pp0d_c20250301__20250531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_z5KaifVzSD2k" title="Research & product development r & d materials">66,000</td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Other </td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">53,000</td> <td style="font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">48,000</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">617,000</td> <td style="font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">668,000</td></tr> </table> <table cellpadding="0" cellspacing="0" style="width: 100%; border-collapse: collapse; font-size: 10pt"> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif">Marketing and Selling</td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"> </td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Salaries </td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">500,000</td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">437,000</td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Insurance</td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">61,000</td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">47,000</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Commissions </td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">227,000 </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">152,000 </td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Travel & Entertainment </td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_90F_ecustom--MarketingAndSellingTravelEntertainment_pp0d_c20260301__20260531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_zdsePUJafR24" title="Marketing and selling travel & entertainment">29,000</td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_90D_ecustom--MarketingAndSellingTravelEntertainment_pp0d_c20250301__20250531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_zdkTNHkhrsYg" title="Marketing and selling travel & entertainment">29,000</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Advertising / Trade Show </td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_904_ecustom--MarketingAndSellingAdvertisingTradeShow_pp0d_c20260301__20260531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_zlBis35KHqhb" title="Marketing and selling salaries advertising trade show">117,000</td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_907_ecustom--MarketingAndSellingAdvertisingTradeShow_pp0d_c20250301__20250531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_zTunv2eZGb9g" title="Marketing and selling salaries advertising trade show">108,000</td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Depreciation</td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_90B_ecustom--MarketingAndSellingDepreciation_pp0d_c20260301__20260531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_zAFdpOWg78O5" title="Marketing and selling salaries depreciation">22,000</td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_90E_ecustom--MarketingAndSellingDepreciation_pp0d_c20250301__20250531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_z3mLyMUa7msd" title="Marketing and selling salaries depreciation">25,000</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Other </td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">69,000</td> <td style="font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">60,000</td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">1,025,000</td> <td style="font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">858,000</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif">General and Administrative</td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"> </td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"> </td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Salaries </td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_90B_ecustom--GeneralAndAdministrativeSalariesAndWages_pp0d_c20260301__20260531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_z5hWcFzUwTad" title="General and administrative salaries">294,000</td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_903_ecustom--GeneralAndAdministrativeSalariesAndWages_pp0d_c20250301__20250531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_zRuC3JpcqBci" title="General and administrative salaries">272,000</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Insurance</td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">56,000</td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: center"> 45,000</td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Professional Fees </td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_901_ecustom--GeneralAndAdministrativeProfessionalFees_pp0d_c20260301__20260531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_z6XQAgCXu3yg" title="General and administrative professional fees">105,000</td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_906_ecustom--GeneralAndAdministrativeProfessionalFees_pp0d_c20250301__20250531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_zr63kcaACCP7" title="General and administrative professional fees">84,000</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Corporate Expenses </td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_90A_ecustom--GeneralAndAdministrativeCorporateExpenses_pp0d_c20260301__20260531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_zTm09ITg07U7" title="General and administrative corporate expenses">90,000</td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_901_ecustom--GeneralAndAdministrativeCorporateExpenses_pp0d_c20250301__20250531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_zw9zueZSy4M8" title="General and administrative corporate expenses">132,000</td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Stock Based Compensation </td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_90B_ecustom--GeneralAndAdministrativeStockBasedCompensation_pp0d_c20260301__20260531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_zA5QhJUtXsc6" title="General and administrative stock based compensation">86,000</td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_908_ecustom--GeneralAndAdministrativeStockBasedCompensation_pp0d_c20250301__20250531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_ziOiggFj4Cn6" title="General and administrative stock based compensation">75,000</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Depreciation</td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_900_ecustom--GeneralAndAdministrativeDepreciation_pp0d_c20260301__20260531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_zaRHjw9eyjc4" title="General and administrative depreciation">15,000</td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_906_ecustom--GeneralAndAdministrativeDepreciation_pp0d_c20250301__20250531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_zVIog81cTVi3" title="General and administrative depreciation">17,000</td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Misc Other </td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right"><span id="xdx_905_ecustom--GeneralAndAdministrativeMiscOther_pp0d_c20260301__20260531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_zQY3V0Y4GsT1" title="General and administrative depreciation misc other">29,000</td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right"><span id="xdx_909_ecustom--GeneralAndAdministrativeMiscOther_pp0d_c20250301__20250531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_z3f1eAXpFtJ5" title="General and administrative depreciation misc other">30,000</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">675,000</td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">655,000</td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif; width: 68%">Total Operating Expenses</td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif; width: 8%"> </td> <td style="border-bottom: Black 1pt solid; font-family: Cambria,serif; width: 1%"> </td> <td style="border-bottom: Black 1pt solid; font-family: Cambria,serif; text-align: right; width: 10%">2,317,000</td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif; width: 2%"> </td> <td style="border-bottom: Black 1pt solid; width: 1%; font-family: Cambria,serif"> </td> <td style="border-bottom: Black 1pt solid; width: 10%; font-family: Cambria,serif; text-align: right">2,181,000</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"> </td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"> </td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif">Operating Income </td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">897,000</td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">484,000</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"> </td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"> </td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Interest Income & Unrealized (Loss)/Gain </td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">88,000</td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">120,000</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif">Income Before Taxes </td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_902_eus-gaap--IncomeLossFromContinuingOperationsBeforeIncomeTaxesDomestic_pp0d_c20260301__20260531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_zEidSoyVPxP6" title="Income Before Taxes">985,000</td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_906_eus-gaap--IncomeLossFromContinuingOperationsBeforeIncomeTaxesDomestic_pp0d_c20250301__20250531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_zQY73kXNJch4" title="Income Before Taxes">604,000</td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Income Tax Expense </td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">244,000</td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">119,000</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif">Net Income </td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1.5pt double; font-family: Cambria,serif">$</td> <td style="border-bottom: black 1.5pt double; font-family: Cambria,serif; text-align: right">741,000</td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1.5pt double; font-family: Cambria,serif">$</td> <td style="border-bottom: black 1.5pt double; font-family: Cambria,serif; text-align: right">485,000</td></tr> </table>

The following table presents the Company’s segment data (rounded to the nearest thousand): Schedule of segment data <table cellpadding="0" cellspacing="0" style="width: 100%; border-collapse: collapse; font-size: 10pt"> <tr style="vertical-align: top"> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td colspan="5" style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: center">Three Months Ended May 31,</td></tr> <tr style="vertical-align: top"> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td colspan="2" style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: center">2026</td> <td style="font-family: Cambria,serif"> </td> <td colspan="2" style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: center">2025</td></tr> <tr style="vertical-align: top"> <td style="border-bottom: black 1pt solid; width: 68%; padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif">Net Sales</td> <td style="width: 8%; padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; width: 1%; font-family: Cambria,serif">$</td> <td style="border-bottom: black 1pt solid; width: 10%; font-family: Cambria,serif; text-align: right">5,661,000</td> <td style="width: 2%; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; width: 1%; font-family: Cambria,serif">$</td> <td style="border-bottom: black 1pt solid; width: 10%; font-family: Cambria,serif; text-align: right">5,133,000</td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif">Direct Cost of Goods Sold</td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Materials & Freight</td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">1,887,000</td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">1,872,000</td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Production Labor</td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">111,000</td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">76,000</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Depreciation</td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">34,000</td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">50,000</td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Other </td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">133,000</td> <td style="font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">119,000</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">2,165,000</td> <td style="font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">2,117,000</td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif">Service Department</td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"> </td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Salaries </td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">146,000</td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">138,000</td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Travel </td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">51,000</td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">37,000</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Outside Installations</td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">-</td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">11,000</td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Warranty Costs </td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">35,000</td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">98,000</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Other </td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">50,000</td> <td style="font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">67,000</td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">282,000</td> <td style="font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">351,000</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif">Total Cost of Goods & Service </td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif">$</td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">2,447,000</td> <td style="font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif">$</td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">2,468,000</td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif">Gross Profit </td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">3,214,000</td> <td style="font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">2,665,000</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif">Research & Product Development</td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"> </td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Salaries </td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">458,000</td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">474,000</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Insurance</td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">35,000</td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">35,000</td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Depreciation </td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_90D_ecustom--ResearchAndDevelopmentDepreciation_pp0d_c20260301__20260531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_zFp3IdBOpVda" title="Research & product development depreciation">32,000</td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_90A_ecustom--ResearchAndDevelopmentDepreciation_pp0d_c20250301__20250531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_z8Y8ShX138Ck" title="Research & product development depreciation">45,000</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">R & D Materials </td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_90E_ecustom--ResearchAndDevelopmentRDMaterials_pp0d_c20260301__20260531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_znu7bVlc2vyl" title="Research & product development r & d materials">39,000</td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_903_ecustom--ResearchAndDevelopmentRDMaterials_pp0d_c20250301__20250531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_z5KaifVzSD2k" title="Research & product development r & d materials">66,000</td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Other </td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">53,000</td> <td style="font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">48,000</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">617,000</td> <td style="font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">668,000</td></tr> </table> <table cellpadding="0" cellspacing="0" style="width: 100%; border-collapse: collapse; font-size: 10pt"> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif">Marketing and Selling</td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"> </td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Salaries </td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">500,000</td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">437,000</td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Insurance</td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">61,000</td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">47,000</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Commissions </td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">227,000 </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">152,000 </td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Travel & Entertainment </td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_90F_ecustom--MarketingAndSellingTravelEntertainment_pp0d_c20260301__20260531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_zdsePUJafR24" title="Marketing and selling travel & entertainment">29,000</td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_90D_ecustom--MarketingAndSellingTravelEntertainment_pp0d_c20250301__20250531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_zdkTNHkhrsYg" title="Marketing and selling travel & entertainment">29,000</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Advertising / Trade Show </td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_904_ecustom--MarketingAndSellingAdvertisingTradeShow_pp0d_c20260301__20260531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_zlBis35KHqhb" title="Marketing and selling salaries advertising trade show">117,000</td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_907_ecustom--MarketingAndSellingAdvertisingTradeShow_pp0d_c20250301__20250531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_zTunv2eZGb9g" title="Marketing and selling salaries advertising trade show">108,000</td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Depreciation</td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_90B_ecustom--MarketingAndSellingDepreciation_pp0d_c20260301__20260531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_zAFdpOWg78O5" title="Marketing and selling salaries depreciation">22,000</td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_90E_ecustom--MarketingAndSellingDepreciation_pp0d_c20250301__20250531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_z3mLyMUa7msd" title="Marketing and selling salaries depreciation">25,000</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Other </td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">69,000</td> <td style="font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">60,000</td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">1,025,000</td> <td style="font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">858,000</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif">General and Administrative</td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"> </td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"> </td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Salaries </td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_90B_ecustom--GeneralAndAdministrativeSalariesAndWages_pp0d_c20260301__20260531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_z5hWcFzUwTad" title="General and administrative salaries">294,000</td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_903_ecustom--GeneralAndAdministrativeSalariesAndWages_pp0d_c20250301__20250531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_zRuC3JpcqBci" title="General and administrative salaries">272,000</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Insurance</td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">56,000</td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: center"> 45,000</td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Professional Fees </td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_901_ecustom--GeneralAndAdministrativeProfessionalFees_pp0d_c20260301__20260531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_z6XQAgCXu3yg" title="General and administrative professional fees">105,000</td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_906_ecustom--GeneralAndAdministrativeProfessionalFees_pp0d_c20250301__20250531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_zr63kcaACCP7" title="General and administrative professional fees">84,000</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Corporate Expenses </td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_90A_ecustom--GeneralAndAdministrativeCorporateExpenses_pp0d_c20260301__20260531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_zTm09ITg07U7" title="General and administrative corporate expenses">90,000</td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_901_ecustom--GeneralAndAdministrativeCorporateExpenses_pp0d_c20250301__20250531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_zw9zueZSy4M8" title="General and administrative corporate expenses">132,000</td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Stock Based Compensation </td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_90B_ecustom--GeneralAndAdministrativeStockBasedCompensation_pp0d_c20260301__20260531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_zA5QhJUtXsc6" title="General and administrative stock based compensation">86,000</td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_908_ecustom--GeneralAndAdministrativeStockBasedCompensation_pp0d_c20250301__20250531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_ziOiggFj4Cn6" title="General and administrative stock based compensation">75,000</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Depreciation</td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_900_ecustom--GeneralAndAdministrativeDepreciation_pp0d_c20260301__20260531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_zaRHjw9eyjc4" title="General and administrative depreciation">15,000</td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_906_ecustom--GeneralAndAdministrativeDepreciation_pp0d_c20250301__20250531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_zVIog81cTVi3" title="General and administrative depreciation">17,000</td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Misc Other </td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right"><span id="xdx_905_ecustom--GeneralAndAdministrativeMiscOther_pp0d_c20260301__20260531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_zQY3V0Y4GsT1" title="General and administrative depreciation misc other">29,000</td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right"><span id="xdx_909_ecustom--GeneralAndAdministrativeMiscOther_pp0d_c20250301__20250531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_z3f1eAXpFtJ5" title="General and administrative depreciation misc other">30,000</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">675,000</td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">655,000</td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif; width: 68%">Total Operating Expenses</td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif; width: 8%"> </td> <td style="border-bottom: Black 1pt solid; font-family: Cambria,serif; width: 1%"> </td> <td style="border-bottom: Black 1pt solid; font-family: Cambria,serif; text-align: right; width: 10%">2,317,000</td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif; width: 2%"> </td> <td style="border-bottom: Black 1pt solid; width: 1%; font-family: Cambria,serif"> </td> <td style="border-bottom: Black 1pt solid; width: 10%; font-family: Cambria,serif; text-align: right">2,181,000</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"> </td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"> </td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif">Operating Income </td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">897,000</td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right">484,000</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"> </td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"> </td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Interest Income & Unrealized (Loss)/Gain </td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">88,000</td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">120,000</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif">Income Before Taxes </td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_902_eus-gaap--IncomeLossFromContinuingOperationsBeforeIncomeTaxesDomestic_pp0d_c20260301__20260531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_zEidSoyVPxP6" title="Income Before Taxes">985,000</td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif"> </td> <td style="font-family: Cambria,serif; text-align: right"><span id="xdx_906_eus-gaap--IncomeLossFromContinuingOperationsBeforeIncomeTaxesDomestic_pp0d_c20250301__20250531__us-gaap--SubsegmentsAxis__custom--OperatingSegmentMember_zQY73kXNJch4" title="Income Before Taxes">604,000</td></tr> <tr style="vertical-align: top; background-color: rgb(230,239,255)"> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif">Income Tax Expense </td> <td style="padding-right: 5.4pt; padding-left: 0.5in; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">244,000</td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1pt solid; font-family: Cambria,serif; text-align: right">119,000</td></tr> <tr style="vertical-align: top; background-color: White"> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif">Net Income </td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1.5pt double; font-family: Cambria,serif">$</td> <td style="border-bottom: black 1.5pt double; font-family: Cambria,serif; text-align: right">741,000</td> <td style="padding-right: 5.4pt; padding-left: 5.4pt; font-family: Cambria,serif"> </td> <td style="border-bottom: black 1.5pt double; font-family: Cambria,serif">$</td> <td style="border-bottom: black 1.5pt double; font-family: Cambria,serif; text-align: right">485,000</td></tr> </table>

5661000

5133000

1887000

1872000

111000

76000

34000 50000

133000

119000

2165000 2117000

146000

138000

51000

37000

11000 35000 98000 50000 67000 282000 351000

2447000

2468000

3214000

2665000

458000 474000 35000 35000 32000 45000 39000 66000 53000 48000

617000

668000

500000 437000 61000 47000 227000 152000 29000 29000 117000 108000 22000 25000 69000 60000

1025000

858000

294000 272000 56000 45000 105000 84000 90000 132000 86000 75000 15000 17000 29000 30000

675000

655000

2317000

2181000

897000

484000

88000 120000

985000

604000

244000

119000

741000

485000

NOTE 10: COMMITMENTS AND CONTINGENCIES The Company did not have any material commitments or contingencies as of May 31, 2026. The Company is subject, from time to time, to claims by third parties under various legal disputes. The defense of such claims, or any adverse outcome relating to any such claims, could have a material adverse effect on the Company’s liquidity, financial condition, and cash flows. As of May 31, 2026, the Company did not have any pending legal actions.

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