Commitments and Contingencies	12 Months Ended
Jun. 30, 2026
Commitments and Contingencies
Commitments and Contingencies	15. Commitments and Contingencies. Litigation. Liabilities for loss contingencies arising from claims, assessments, litigation, fines, and penalties and other sources are recorded when it is probable that a liability has been incurred and the amount can be reasonably estimated. Legal costs incurred in connection with loss contingencies are expensed as incurred. In the ordinary course of the business, the Company is subject to periodic legal or administrative proceedings. As of June 30, 2026, the Company was not involved in any material claims or legal actions which, in the opinion of management, the ultimate disposition would have a material adverse effect on the Company’s consolidated financial position, results of operations, or liquidity. Purchase Obligation. On July 1, 2023, the Company entered into an obligation with a third-party to purchase 25% of their annual production of tulip bulbs through 2028 for $1,650,000 annually, totaling $8,000,000 over the duration of the agreement. In addition, the Company entered into a separate agreement with the same party to supply tulips to that party over a three-year period for a total of $360,000. The Company will be paid in three sums of $120,000 beginning on March 1, 2026, with the final payment to be received on March 1, 2028. The Company commits to purchase the majority of its tulip bulbs from July to September each year with the majority of the payment due in September. As of June 30, 2026, the Company had committed to purchase $1,359,000 of tulips bulbs. As of August 2026, the Company had committed to purchasing approximately $14 million of tulip bulbs to be paid for between September 2026 and February 2027. Forward Currency Contracts. The Company enters into foreign currency forward contracts to manage exposure to changes in the Euro exchange rate on forecasted transactions denominated in Euro. The contracts are not designated as hedging instruments under ASC 815 Derivatives and Hedging, and the changes in fair value are recognized in earnings. Between January 2026 and June 2026, the Company entered into foreign currency contracts to purchase €4,000,000 for $4,745,000 between September 1, 2026 and September 30, 2026. The purpose of these contracts is to manage exposure to changes in the Euro exchange rate on forecasted bulb purchases and import stem purchases denominated in Euro. For the year ended June 30, 2026, a loss of $159,000 was recognized in foreign exchange difference, net, in the consolidated statements of operations as a result of forward currency contracts. As of June 30, 2026, the Company had a liability of $147,000 related to these foreign currency contracts included in accrued expenses and other current liabilities on the consolidated balance sheets.

Commitments and Contingencies

12 Months Ended

Jun. 30, 2026

15. Commitments and Contingencies.

Litigation. Liabilities for loss contingencies arising from claims, assessments, litigation, fines, and penalties and other sources are recorded when it is probable that a liability has been incurred and the amount can be reasonably estimated. Legal costs incurred in connection with loss contingencies are expensed as incurred.

In the ordinary course of the business, the Company is subject to periodic legal or administrative proceedings. As of June 30, 2026, the Company was not involved in any material claims or legal actions which, in the opinion of management, the ultimate disposition would have a material adverse effect on the Company’s consolidated financial position, results of operations, or liquidity.

Purchase Obligation. On July 1, 2023, the Company entered into an obligation with a third-party to purchase 25% of their annual production of tulip bulbs through 2028 for $1,650,000 annually, totaling $8,000,000 over the duration of the agreement. In addition, the Company entered into a separate agreement with the same party to supply tulips to that party over a three-year period for a total of $360,000. The Company will be paid in three sums of $120,000 beginning on March 1, 2026, with the final payment to be received on March 1, 2028.

The Company commits to purchase the majority of its tulip bulbs from July to September each year with the majority of the payment due in September. As of June 30, 2026, the Company had committed to purchase $1,359,000 of tulips bulbs. As of August 2026, the Company had committed to purchasing approximately $14 million of tulip bulbs to be paid for between September 2026 and February 2027.

Forward Currency Contracts. The Company enters into foreign currency forward contracts to manage exposure to changes in the Euro exchange rate on forecasted transactions denominated in Euro. The contracts are not designated as hedging instruments under ASC 815 Derivatives and Hedging, and the changes in fair value are recognized in earnings. Between January 2026 and June 2026, the Company entered into foreign currency contracts to purchase €4,000,000 for $4,745,000 between September 1, 2026 and September 30, 2026. The purpose of these contracts is to manage exposure to changes in the Euro exchange rate on forecasted bulb purchases and import stem purchases denominated in Euro. For the year ended June 30, 2026, a loss of $159,000 was recognized in foreign exchange difference, net, in the consolidated statements of operations as a result of forward currency contracts. As of June 30, 2026, the Company had a liability of $147,000 related to these foreign currency contracts included in accrued expenses and other current liabilities on the consolidated balance sheets.