Quarterly report [Sections 13 or 15(d)]

FIXED AND INTANGIBLE ASSETS, NET

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FIXED AND INTANGIBLE ASSETS, NET
 3 Months Ended
Sep. 30, 2026
Property, Plant, and Equipment [Abstract]  
FIXED AND INTANGIBLE ASSETS, NET

NOTE 5 – FIXED AND INTANGIBLE ASSETS, NET

 

Fixed assets, net, consist of the following:

 

    September 30, 2026     June 30, 2026  
Machinery and equipment   $ 1,640,000     $ 1,611,000  
Office equipment     457,000       457,000  
Furniture and equipment     274,000       274,000  
Leasehold improvements     168,000       168,000  
Property, plant and equipment     2,539,000       2,510,000  
Less: accumulated depreciation     (2,100,000 )     (2,034,000 )
Total fixed assets, net   $ 439,000     $ 476,000  

 

Depreciation expense on property, plant and equipment was approximately $66,000 and $87,000 for the three months ended September 30, 2026 and 2025, respectively, and is included in sales, general and administrative expenses in the accompanying condensed consolidated statements of operations. Depreciation expense is computed on a straight-line basis with useful lives between three and five years. Leasehold improvements are amortized over the expected term of the lease.

 

Intangible Assets, net, consist of the following:

  

    September 30, 2026     June 30, 2026  
Software   $ 3,315,000     $ 3,222,000  
Less: accumulated amortization     (2,574,000 )     (2,459,000 )
Total intangible assets, net   $ 741,000     $ 763,000  

 

Software, consisting primarily of internally developed software for resale, is amortized over three years. Software amortization expense is approximately $115,000 and $125,000 for the three months ended September 30, 2026 and 2025, respectively.