v3.26.3
Segment Information
 9 Months Ended
Sep. 30, 2026
Segment Reporting [Abstract]  
Segment Information

Note 10 – Segment Information

 

The Company operates in one operating segment, and therefore one reportable segment, focused on the development and sale of high-performance water solutions to the medical and commercial markets. The Company manages business activities on a basis primarily through the development and commercialization of water filtration products, which are sold to U.S. and international customers.

 

The accounting policies for the Company’s single operating segment are the same as those described in the summary of significant accounting policies. The Company’s Chief Executive Officer is the Chief Operating Decision Maker (“CODM”). The CODM manages the Company’s business activities as a single operating and reportable segment. Accordingly, our CODM uses net income (loss) to measure segment profit or loss, allocate resources, and assess performance. The measure of segment assets is reported on the balance sheet as total assets.

 

The following is a summary of the significant revenue and expense categories, and net income (loss) provided to the CODM (in thousands):

  

                 
   Three Months Ended
September 30,		   Nine Months Ended
September 30,		 
   2026   2025   2026   2025 
Net revenue:                    
Product revenues  $5,431   $4,596   $16,172   $13,613 
Service, royalty, and other revenues   191    168    679    447 
Total net revenues   5,622    4,764    16,851    14,060 
Cost of goods sold (1)   2,336    1,849    6,546    5,196 
Gross Margin   3,286    2,915    10,305    8,864 
Operating expenses:                    
Research and development   331    338    1,043    944 
Selling, general and administrative   2,425    2,229    7,364    6,684 
Other operating expenses (2)   29    34    87    108 
Total operating expenses   2,785    2,601    8,494    7,736 
Operating income   501    314    1,811    1,128 
Other income   11    26    51    16 
Income before income taxes   512    340    1,862    1,144 
Income tax expense   -    (3)   (13)   (12)
Net income  $512   $337   $1,849   $1,132 

 

(1) Cost of goods sold includes a tariff refund benefit of approximately $636,000 and $12,000 for the nine and three months ended September 30, 2026, respectively.
(2) Other operating expenses is comprised of depreciation and amortization.