NOTE 4 – INVENTORIES

Inventory is stated at the lower of cost or net realizable value, using the weighted average cost method. When an indicator suggests that the carrying amount of inventories may not be recoverable, the Company reviews such carrying amount and estimates the net realizable value based on the most reliable evidence available at that time. A write-down is recorded if the net realizable value is less than the carrying value. Write-down indicators considered for these purposes are, among others, obsolescence, a decrease in market prices, damage, and a firm commitment to sell. The Company did not record any inventory write-downs during the six months ended June 30, 2026 or the fiscal year ended December 31, 2025. The following table summarizes the Company's inventories as of June 30, 2026 and December 31, 2025: