v3.26.1
Note 6 - Concentrations
 6 Months Ended
Jun. 30, 2026
Notes to Financial Statements  
Concentration Risk Disclosure [Text Block]

NOTE 6 – CONCENTRATIONS

 

Vendors

 

The Company’s concentration of inventory purchases is as follows:

 

   

For the three months ended June 30,

    

For the six months ended June 30,

  
                                 
   

2026

    

2025

    

2026

    

2025

  
                                 

Vendor A

     60 %     50 %     58 %     44 %

Vendor B

     -       14 %             14 %

Vendor C

     10 %     13 %     10 %     13 %

Vendor D

     12 %     -       12 %     -  

Vendor E

     11 %             10 %        
      93 %     77 %     90 %     71 %

 

During the three months ended June 30, 2026 and 2025, purchases from four vendors represented 93% and 77%, respectively, of total inventory purchases. During the six months ended June 30, 2026 and 2025, purchases from four vendors represented 90% and 71%, respectively, of total inventory purchases.

 

As of June 30, 2026, and December 31, 2025, amounts owed to these vendors totaled $2,758,000 and $673,000 respectively, which are included in accounts payable and accrued expenses in the accompanying condensed consolidated balance sheets.

 

Accounts Receivable

 

The Company’s concentration of accounts receivable is as follows:

 

   

June 30, 2026

    

December 31, 2025

  
   

Amount

    

Percentage

    

Amount

    

Percentage

  

Customer A

   $ -       -     $ 100,000       17 %

Customer B

   $ -       -     $ 89,000       14 %

Customer C

   $ -       -     $ 100,000       16 %

Customer D

   $ -       -     $ 65,000       10 %

Customer E

   $ 71,000       12 %   $ -       -  

Customer F

   $ 69,000       11 %     -       -  

Customer G

   $ 63,000       10 %     -       -  

 

Three customers made up more than 33% of net accounts receivable at June 30, 2026. Four customers made up more than 57% of net accounts receivable at December 31, 2025.

 

For the three months ended June 30, 2026, one customer individually accounted for more than 10% of the Company's net revenues, which represented approximately 10% of net revenues. For the six months ended June 30, 2026, two customers individually accounted for more than 10% of the Company's net revenues, which represented approximately 23% of net revenues. No customer exceeded 10% of total net sales for the three and six month periods ended June 30, 2025.