v3.26.3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)
12 Months Ended
Jun. 30, 2026
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES  
Schedule of revision on the consolidated statement of operations

(in thousands)

 

As Previously Reported

 

 

Adjustment

 

 

As Revised

 

Net sales

 

$24,691

 

 

$1,164

 

 

$25,855

 

Cost of goods sold

 

 

18,221

 

 

 

—

 

 

 

18,221

 

Gross profit

 

 

6,470

 

 

 

1,164

 

 

 

7,634

 

Other selling and marketing

 

 

1,644

 

 

 

1,164

 

 

 

2,808

 

Total operating expenses

 

 

6,539

 

 

 

1,164

 

 

 

7,703

 

Operating loss

 

 

(69)

 

 

—

 

 

 

(69)

Net loss

 

$(448)

 

$—

 

 

$(448)
Schedule of accounts receivable

 

 

June 30,

2026

 

 

June 30,

2025

 

 

 

(in thousands)

 

Accounts receivable

 

$1,872

 

 

$1,634

 

Allowance for credit losses

 

 

(18)

 

 

(34)

Allowance for discounts and returns

 

 

—

 

 

 

—

 

Total accounts receivable, net

 

$1,854

 

 

$1,600

 

Schedule of segment information

 

 

Twelve Months Ended

 

 

Twelve Months Ended

 

 

 

June 30, 2026

 

 

June 30, 2025

 

(in thousands)

 

Direct to Consumer

 

 

Wholesale

 

 

Total

 

 

Direct to Consumer

 

 

Wholesale

 

 

Total

 

Revenues

 

$8,304

 

 

$19,060

 

 

$27,364

 

 

$8,155

 

 

$17,700

 

 

$25,855

 

Cost of Goods Sold

 

 

4,720

 

 

 

14,030

 

 

 

18,750

 

 

 

5,739

 

 

 

12,482

 

 

 

18,221

 

Other direct operating expenses (a)

 

 

1,251

 

 

 

2,706

 

 

 

3,957

 

 

 

1,203

 

 

 

2,569

 

 

 

3,772

 

Overhead expenses(b)

 

 

 

 

 

 

 

 

 

 

3,432

 

 

 

 

 

 

 

 

 

 

 

3,503

 

Operating income before depreciation

 

 

2,333

 

 

 

2,324

 

 

 

1,225

 

 

 

1,213

 

 

 

2,649

 

 

 

359

 

Interest income

 

 

 

 

 

 

 

 

 

 

(7)

 

 

 

 

 

 

 

 

 

 

(5)

Interest expense

 

 

 

 

 

 

 

 

 

 

451

 

 

 

 

 

 

 

 

 

 

 

377

 

Depreciation and amortization

 

 

 

 

 

 

 

 

 

 

352

 

 

 

 

 

 

 

 

 

 

 

428

 

Other expense, net

 

 

 

 

 

 

 

 

 

 

-

 

 

 

 

 

 

 

 

 

 

 

7

 

Income/(loss) from operations before income taxes

 

 

2,333

 

 

 

2,324

 

 

 

429

 

 

 

1,213

 

 

 

2,649

 

 

 

(448)

Reconciliation of operating income to adjusted operating income:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operating income

 

 

2,333

 

 

 

2,324

 

 

 

1,225

 

 

 

1,213

 

 

 

2,649

 

 

 

359

 

Adjustments:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Share-based compensation expense

 

 

 

 

 

 

 

 

 

 

28

 

 

 

 

 

 

 

 

 

 

 

37

 

Adjusted operating income

 

$2,333

 

 

$2,324

 

 

$1,253

 

 

$1,213

 

 

$2,649

 

 

$396

 

Potential dilutive securities

 

 

2026

 

 

2025

 

Convertible Preferred Stock

 

 

4,300,000

 

 

 

4,300,000

 

Stock options – 2015 Plan

 

 

1,100,000

 

 

 

1,200,000

 

Total

 

 

5,400,000

 

 

 

5,500,000