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SEGMENT INFORMATION
 6 Months Ended
Jun. 30, 2026
Segment Reporting [Abstract]  
SEGMENT INFORMATION

NOTE 16. SEGMENT INFORMATION

 

The Company operates primarily in two distinct business segments: Dealerships and Financial Services.

 

Dealerships: Specializing in the buying, selling, servicing and wholesaling of yachts and boats.

 

Financial Services: A recreational loan broker and lender providing financing solutions for individuals, dealerships, and brokerages.

 

The Company’s segments are evaluated based on operating income (loss), which is the primary measure used by the chief operating decision maker (“CODM”) to assess performance and allocate resources. The CODM is the Company’s President and Founder.

 

Gross profit, defined as revenue less direct costs, is also reviewed for operational purposes.

 

 

Segment information is as follows:

 

   Dealerships   Financial Services   Consolidated 
   For the Six Months Ended June 30, 2026 
   Dealerships   Financial Services   Consolidated 
Revenues  $87,621,078   $1,285,865   $88,906,943 
Cost of revenues   74,523,876    485,665    75,009,541 
Gross profit   13,097,202    800,200    13,897,402 
Operating Expenses               
Depreciation and amortization   321,724    114    321,838 
Selling, general and administrative   2,675,583    56,886    2,732,469 
Advertising and marketing   879,246    61,057    940,303 
Professional services   2,004,749    3,625    2,008,374 
Salaries and wages   10,257,329    535,613    10,792,942 
Rent expenses   1,001,759    1,659    1,003,418 
Total operating expenses   17,140,390    658,954    17,799,344 
Other Income (Expenses)               
Interest expense, net   (1,728,562)   2,331    (1,726,231)
Other income   92,126    -    92,126 
Total Other (Expense) Income   (1,636,436)   2,331    (1,634,105)
Income tax benefit   1,136   14   1,150
Net Loss  $(5,680,760)  $143,563   $(5,537,197)

 

   Dealerships   Financial Services   Consolidated 
   For the Six Months Ended June 30, 2025 
   Dealerships   Financial Services   Consolidated 
Revenues  $57,341,339   $1,245,504   $58,586,843 
Cost of revenues   49,783,655    512,743    50,296,398 
Gross profit   7,557,684    732,761    8,290,445 
Operating Expenses               
Depreciation and amortization   123,096    114    123,210 
Selling, general and administrative   763,590    60,262    823,852 
Advertising and marketing   327,767    48,888    376,655 
Professional services   85,972    15,508    101,480 
Salaries and wages   4,074,508    473,089    4,547,597 
Rent expenses   342,875    41,686    384,561 
Total Operating Expenses   5,717,808    639,547    6,357,355 
Other income (expenses)               
Interest expense, net   (1,112,527)   (3,985)   (1,116,512)
Other income   23,185    3,852    27,037 
Total Other Expenses   (1,089,342)   (133)   (1,089,475)
Net Income  $750,534   $93,081   $843,615 

 

The total assets for each segment are presented in accordance with segment reporting requirements of ASC 280-10, which requires the disclosure of total assets for each reportable segment.

 

   Dealerships   Financial Services   Consolidated 
   As of June 30, 2026 
   Dealerships   Financial Services   Consolidated 
Assets            
Cash and cash equivalents  $7,305,173   $432,428   $7,737,601 
Accounts receivable, net   1,191,663    141,739    1,333,402 
Inventory   60,367,819    26,050    60,393,869 
Prepaid expense   1,305,903    91,702    1,397,605 
Other current assets   569,048    -    569,048 
Property, plant and equipment, net   3,996,559    1,709    3,998,268 
Other receivable   -    -    - 
Due from related party   69,912    -    69,912 
Intangible assets, net   572,829    -    572,829 
Right-of-use assets   18,920,775    -    18,920,775 
Goodwill   5,499,795    -    5,499,795 
Total Assets  $99,799,476   $693,628   $100,493,104 

 

   Dealerships   Financial Services   Consolidated 
   As of December 31, 2025 
   Dealerships   Financial Services   Consolidated 
Assets            
Cash and cash equivalents  $12,051,377   $377,397   $12,428,774 
Accounts receivable, net   177,122    92,816    269,938 
Inventory   26,009,794    26,050    26,035,844 
Prepaid expense   664,287    41,969    706,256 
Other current assets   263,811    170,773    434,584 
Property, plant and equipment, net   821,408    1,823    823,231 
Other receivable   27,486    -    27,486 
Due from related party   44,623    -    44,623 
Intangible assets, net   560,406    -    560,406 
Right-of-use assets   6,516,415    -    6,516,415 
Goodwill   570,000    -    570,000 
Total Assets  $47,706,729   $710,828   $48,417,557