v3.26.1
Segment Reporting
 6 Months Ended
Jun. 30, 2026
Segment Reporting [Abstract]  
Segment Reporting

Note 11 – Segment Reporting

 

The Company currently has two operating and reportable segments. In accordance with ASC 280, Segment Reporting (“ASC 280”), the Company considers operating segments to be components of the Company’s business for which separate financial information is available and evaluated regularly by Management in deciding how to allocate resources and to assess performance. Management reviews financial information presented on a consolidated basis for purposes of allocating resources and evaluating financial performance. Accordingly, the Company has determined that it has three operating and reportable segments. The Company consists of three types of operations. (1) AVX and Smart AVX (inclusive of the smart IoT Products sales under Smart AVX) cooperatively run our “LED and IoT Installation Services” segment, which handles our LED and IoT installation and management business specializing in high performance and easy to use LED and display systems, audio/video systems, home theaters, lighting control, automation, and integration. This includes the Focus and Focus Shenzhen collectively operate our “Corporate and R&D” segment focused on R&D development for the IoT, which involves the non-specific financing, executive expense, operations and investor relations of our public entity, and the general shared management and costs across the Company’s subsidiaries that spread across all functional categories and research and development of these IoT technology products and of our smart products into the commercial and home automation sectors. (2) Perfecular and Lusher jointly operate the SEC Financial Software segment, which involves the development, marketing, and production of our SEC Financial Reporting AI-Driven Automation Software package and also includes our universal smart instruments and devices in the hydroponic and controlled agriculture segments. (3) Lusher Holding LLC provide commercial real estate property management services.

 

Asset information by operating segment is not presented as the Chief Executive Officer does not review this information by segment. The reporting segments follow the same accounting policies used in the preparation of the Company’s consolidated financial statements. The management team reviews financial information on a consolidated level and allocates resources based on net loss, which also serves as the key metric for evaluating financial performance.

 

The following tables summarize the financial information of each operating segment of the Company for the three months ended June 30, 2026:

Schedule of segment reporting

                 
   For the Three Months ended June 30, 2026 
   Perfecular & Lusher   Corporate &
IoT		   Lusher Holding LLC   Total 
Revenue  $–   $23,220   $651,950   $675,170 
                     
Cost and operating expenses                    
Property operating expenses   –    –    259,663    259,663 
Cost of other revenue   –    17,227    –    17,227 
Depreciation and amortization   –    16,084    184,940    201,024 
Selling expense   –    691    –    691 
Compensation – officers and directors   –    117,638    –    117,638 
Research and development   218,424    143,741    –    362,165 
Professional fees   –    751,144    –    751,144 
General and administrative   848    503,827    10,518    515,193 
Total cost and operating expense   219,272    1,550,352    455,121    2,224,745 
                     
Income (loss) from operations   (219,272)   (1,527,132)   196,829    (1,549,575)
                     
Total other income (expense)   –    116,698    (86,081)   30,617 
                     
Net loss  $(219,272)  $(1,410,434)  $110,748   $(1,518,958)

 

The following tables summarize the financial information of each operating segment of the Company for the three months ended June 30, 2025:

                 
   For the Three Months ended June 30, 2025 
   Perfecular & Lusher   Corporate &
IoT		   Lusher Holding LLC   Total 
Revenue  $19,375   $15,955   $–   $35,330 
                     
Cost and operating expenses                    
Property operating expenses   –    –    –    – 
Cost of other revenue   16,462    31,280    –    47,742 
Depreciation and amortization   –    5,506    –    5,506 
Selling expense   –    7,420    –    7,420 
Compensation – officers and directors   –    125,357    –    125,357 
Research and development   155,572    311,725    –    467,297 
Professional fees   –    429,155    –    429,155 
General and administrative   2,043    493,570    –    495,613 
Total cost and operating expense   174,077    1,404,013    –    1,578,090 
                     
Income (loss) from operations   (154,702)   (1,388,078)   –    (1,542,760)
                     
Total other income   –    37,112    –    37,112 
                     
Net loss  $(154,702)  $(1,350,946)  $–   $(1,505,648)

 

The following tables summarize the financial information of each operating segment of the Company for the six months ended June 30, 2026:

                 
   For the Six Months ended June 30, 2026 
   Perfecular & Lusher   Corporate &
IoT		   Lusher Holding LLC   Total 
Revenue  $–   $71,193   $651,950   $723,143 
                     
Cost and operating expenses                    
Property operating expenses   –    –    259,663    259,663 
Cost of other revenue   –    49,956    –    49,956 
Depreciation and amortization   7,083    15,723    184,940    207,746 
Selling expense   –    33,539    –    33,539 
Compensation – officers and directors   –    235,189    –    235,189 
Research and development   283,224    343,738    –    626,962 
Professional fees   –    1,136,349    –    1,136,349 
General and administrative   890    983,617    10,518    995,025 
Total cost and operating expense   291,197    2,798,111    455,121    3,544,429 
                     
Income (loss) from operations   (291,197)   (2,726,918)   196,829    (2,821,286)
                     
Total other income (expense)   –    142,331    (86,081)   56,250 
                     
Net loss  $(291,197)  $(2,584,587)  $110,748   $(2,765,036)

 

The following tables summarize the financial information of each operating segment of the Company for the six months ended June 30, 2025:

                 
   For the Six Months ended June 30, 2025 
   Perfecular & Lusher   Corporate &
IoT		   Lusher Holding LLC   Total 
Revenue  $26,019   $199,566   $–   $225,585 
                     
Cost and operating expenses                    
Property operating expenses   –    –    –    – 
Cost of other revenue   21,835    185,618    –    207,453 
Depreciation and amortization   –    10,959    –    10,959 
Selling expense   1,165    55,235    –    56,400 
Compensation – officers and directors   –    250,744    –    250,744 
Research and development   271,462    568,093    –    839,555 
Professional fees   –    902,146    –    902,146 
General and administrative   2,512    770,103    –    772,615 
Total cost and operating expense   296,974    2,742,898    –    3,039,872 
                     
Income (loss) from operations   (270,955)   (2,543,332)   –    (2,814,287)
                     
Total other income   1    57,260    –    57,261 
                     
Net loss  $(270,954)  $(2,486,072)  $–   $(2,757,026)