What changed in this filing

/stocks — the workspaceLOADING

Item 1. Business

2022-09-28 compared with 2021-09-29 · 154 added, 383 removed, 37 unchanged (94% of the section changed)

Corporate Overview

The Company was incorporated in June 2020 initially named MiT

Acquisition Corporation, which was changed to Moving iMage Technologies, Inc.

The Company was incorporated in June 2020 initially named MiT Acquisition Corporation, which was changed to Moving iMage Technologies, Inc.

in September 2020.

In connection with our initial

public offering, in July 2021, the holders of Moving iMage Technologies, LLC exchanged their interests for shares of the Company

resulting in Moving iMage Technologies, LLC to become the Company’s wholly-owned subsidiary.

Moving iMage Technologies, LLC, commenced

operations in September 2003, and its wholly-owned subsidiary, MiT Acquisition Co., LLC, acquired all of the assets of Caddy Products

in July 2019.

The Company's Annual Report on Form 10-K, quarterly reports on

Form 10-Q and current reports on Form 8-K, and amendments thereto, are filed electronically with the Securities and Exchange

Commission (“

SEC ”).

In connection with our initial public offering, in July 2021, the holders of Moving iMage Technologies, LLC exchanged their interests for shares of the Company resulting in Moving iMage Technologies, LLC to become the Company’s wholly-owned subsidiary.

Moving iMage Technologies, LLC, commenced operations in September 2003, and its wholly-owned subsidiary, MiT Acquisition Co., LLC, acquired all of the assets of Caddy Products in July 2019.

The Company’s Annual Report on Form 10-K, quarterly reports on Form 10-Q and current reports on Form 8-K, and amendments thereto, are filed electronically with the Securities and Exchange Commission (“ SEC ”).

The SEC maintains an internet site that contains these reports at:

You can also access

these reports through links from our website at:

You can also access these reports through links from our website at:

www.movingimagetech.com.

1 unchanged sentence

The information contained on our website is not incorporated by reference into this Report.

Copies of these reports are also available,

without charge, by contacting Moving iMage Technologies, Inc.

Copies of these reports are also available, without charge, by contacting Moving iMage Technologies, Inc.

located at 17760 Newhope Street, Fountain Valley, CA 92708.

Our telephone

number is (714) 751-7998.

Our telephone number is (714) 751-7998.

Description of Business

We are a digital cinema company who designs, manufactures,

integrates, installs and distributes a full suite of proprietary and custom designed equipment as well as other off the shelf cinema products

needed for contemporary cinema requirements.

We also offer single source solutions for cinema design, procurement, installation and service

to the creative and production communities for screening, digital intermediate and other critical viewing rooms.

We offer a wide range

of technical, design and consulting services such as custom engineering, systems design, integration and installation, and digital technology,

as well as software solutions for operations enhancement and theater management.

We also provide turnkey furniture, fixture and equipment

services, or FF&E, to commercial cinema exhibitors for new construction and remodels, including design, consulting, installation and

project management as well as procurement of seats, lighting, acoustical treatments, screens, projection and sound.

MiT’s products and services focus on the

integration needs associated with the building, modernization and equipping of high quality motion picture exhibition theaters.

purpose-built products for digital cinema, 3D, pre-show/alternative content and a variety of entertainment and educational applications.

As a hybrid manufacturer and reseller, MiT offers turnkey custom solutions for a variety of applications.

Our staff of mechanical and

electrical engineers work closely with end users as well as OEM manufacturers, and can participate in every phase of the process from

conceptual design and development to production on mostly any scale.

MiT personnel have designed, specified and installed thousands of

commercial cinemas, post production, screening and high-end residential rooms.

Through its wholly-owned subsidiary, Moving

iMage Acquisition Co.

(DBA “Caddy Products”), the Company designs, develops and manufactures innovative products for the

entertainment, cinema, grocery, worship, restaurant, sports and restroom industries.

We are a leading provider of technology, products, and services to movie theater operators and sports and entertainment venues.

1) We provide a set of valuable services to movie theater operators and other critical screening and viewing rooms.

These services include overall project management, which can encompass a wide range of design, integration, installation, and procurement services for new auditorium builds, refurbishments, or upgrades to existing facilities.

2) We design and manufacture a set of proprietary products that are sold either as part of our project management services or a la carte.

Examples of these products include our ADA-compliant accessibility products and our Caddy brand, a leading provider of proprietary cup holders, trays, and other products sold into our strategic markets of motion picture exhibition, entertainment, and sports venues as well as other non-strategic markets.

We also resell third-party technologies, including but not limited to items such as screens, projectors, and servers.

3) We resell third-party products as part of our project management services or a la carte.

These include technology products such as screens, projectors, servers, and FF&E (furniture, fixtures, and equipment).

4) Finally, we have a set of recently introduced products that we believe have the potential to be disruptive to the movie theater, entertainment and sports venue industries.

For example, our operations enhancement and theater management solution includes a software-as-a-service (SaaS) platform combined with other technologies that allow theater operators to improve their quality control.

We have also developed a translator product and service that will enable moviegoers to watch a movie in any language that the film is available in, all in the same auditorium through a set of augmented reality glasses.

Another example is a proprietary mobile cart we’ve developed to enable eSports and gaming in movie-theater auditoriums.

Industry and Revenue Drivers

the movie industry continues to face pressure from digital streaming, prestige TV and video games competing for people’s

attention, 2019 reported the second highest box office ever at $11.4 billion.

2022/2023 is set up to offer a broader and more

diverse slate;

more tentpoles from wider range of distributors.

The National Association of Theatre Owners (NATO) reported that

despite the focus on the share of the top 10 movies in 2019, movies grossing over $100 million actually accounted for the same share

of the total box office in 2019 as in 2018 (63.8% v 63.9%).

More significantly, titles grossing under $100 million accounted for

essentially the same revenue at the box office in 2019 as in 2018 ($4.41 billion vs $4.43 billion).

These are the exact type of

movies that streaming is said to be harming the industry.

(source www.natoonline.org ) There has also been significant push

back from the creative communities in 2020/2021 to have their movies released to cinemas first, resulting in 30-45 day exclusive

windows for new releases in late 2021.

Convenient and Affordable Form of Out-Of-Home

Entertainment .

Movie going continues to be one of the most affordable forms of out-of-home entertainment, with an

estimated average ticket price in the U.S.

In 2019, the movie industry reported the second highest domestic box office ever at $11.4 billion.

In 2020, the domestic box office declined to $2.3 billion due to pandemic-related shutdowns, while 2021 was a tale of two halves.

The first half maintained the slow level of domestic box office sales, with movie studios unsuccessfully experimenting with direct-to-streaming movies through their proprietary streaming services.

In contrast, the second half began to see a recovery in the market with the easing of pandemic-related restrictions.

This return to a more normalized environment led to a broader and more diverse slate of movie releases, more tentpoles (blockbusters) from a wider range of distributors, and movie studios cutting back on or abandoning the direct-to-streaming model.

The domestic box office was $4.4 billion with significant momentum going into 2022.

Through July 31, 2022, the domestic box office has continued to expand, estimating $7.0 billion with several tentpoles due to be released during the second half of the year.

Convenient and Affordable Form of Out-Of-Home Entertainment .

Movie-going continues to be one of the most affordable forms of out-of-home entertainment, with an estimated average ticket price in the U.S.

of $9.57 in 2021.

Movie theaters continue to draw more people than all theme parks and major

Movie theaters continue to draw more people than all theme parks and major U.S.

sports combined according to the Motion Picture Association of America.

Increased Importance and Growth of International

International markets continue to be an increasingly important component of the overall box office revenues

generated by Hollywood films, accounting for approximately 71% of 2016 total worldwide box office revenues according to the Motion Picture

Association of America.

of New Platforms and Product Offerings that Enhance the Movie-Going Experience .

The motion picture exhibition

industry continues to develop new movie theater platforms and concepts to respond to varying and changing consumer preferences and to

continue to differentiate the movie-going experience from watching a movie at home.

In addition to changing the overall style of, and

amenities offered in, some theaters, concession product offerings have continued to expand to more than just traditional popcorn and candy

Many locations now offer hot foods, alcohol offerings and/or healthier snack options for guests.

Luxury seats are offered in many

locations, further enhancing the movie viewing experience.

New technologies like motion seats, immersive sound and virtual reality are

also being offered for in-theater enjoyment in some locations.

Theater Construction .

Increased Importance and Growth of International Markets .

According to the Motion Picture Association of America, international markets continue to be an increasingly important component of the overall box office revenues generated by Hollywood films, accounting for approximately 73% of 2019 total worldwide box office revenues.

Introduction of New Platforms and Product Offerings that Enhance the Movie-Going Experience .

The motion picture exhibition industry continues to develop new movie theater platforms and concepts to respond to varying and changing consumer preferences.

In addition to changing the overall style of, and amenities offered in, some theaters, concession product offerings have continued to expand beyond more than just traditional popcorn and candy items.

Many locations now offer a full dining and entertainment experience that includes appetizers, entrees, desserts, alcohol beverages and/or healthier snack options for guests.

In addition, luxury seats are offered in many locations, further enhancing the movie viewing experience.

New technologies like motion seats, immersive sound and virtual reality are also offered for in-theater enjoyment at some locations.

New Theater Construction .

According to the National Association of Theatre Owners, the number of U.S.

screens increased from 40,827 in 2018 to 41,172 in 2019.

MiT is providing turnkey Furniture, Fixtures and Equipment

(“FF&E”) services to under construction movie theaters in the United States opening 140 of such new screens in the

United States, or 23.7% of the net increase.

These services consist of design, consulting, installation and project management as

well as procurement of all items necessary to bring a new or remodel project to completion, including audio, projection, servers,

operations software, screens, masking, curtains, drapes, acoustical wall treatments, seating and concession equipment.

Theaters — Upgrades and Refurbishing .

Upgrade and refurbishing opportunities consist of

three segments:

movie screens remained relatively consistent at 41,172 in 2019 and 40,998 in 2020.

MiT is providing turnkey Furniture, Fixtures and Equipment (“FF&E”) services to under-construction movie theaters in the United States opening 140 such new screens in the United States.

Existing Theaters — Upgrades and Refurbishing .

Upgrade and refurbishing opportunities consist of three segments:

Seating, equipment and operations upgrades.

theaters have a long history of offering amenities to lure people out of their homes and into the cinemas.

Demand for our FF&E services

and product offerings are driven in part by exhibitors investing in innovation.

There is demand for our FF&E and product offerings

for refurbishing and upgrading locations with recliner seats, immersive audio and operations enhancements.

An example of serving this

market is our distribution agreement for sales of the Digital Cinema Implementation Partners’

(DCIP) enterprise suite of easy-to-use

software tools that help a cinema owner track, monitor, and efficiently manage equipment, theaters and presentation quality in one centralized

DCIP is jointly owned by AMC, Regal (Cineworld), and Cinemark.

According to the Motion Picture Association of America, at the end of 2017 there were 43,216 screens

in the United States and Canada and more than 120,000 elsewhere around the globe, and 96% of the world’s cinema screens are

Movie theaters have a long history of offering amenities to lure people out of their homes and into the cinemas.

Demand for our FF&E services and product offerings are driven in part by exhibitors investing in innovation.

There is demand for our FF&E and product offerings for refurbishing and upgrading locations with recliner seats, immersive audio and operations enhancements.

Projection replacements and upgrades.

According to the Motion Picture Association of America, at the end of 2019 there were 41,172 screens in the United States and more than 168,000 elsewhere around the globe, and 96% of the world’s cinema screens are digitized;

the conversion to digital cinema began in 2006.

According to Film Journal International, (i) the first machines into

the market were Series 1 projectors for Digital Light Processing (“DLP”) licensees, (ii) some 20,000 projectors of all brands

were installed before Series 2 machines came on the market in mid-2010 and (iii) the assumption for a projector’s

life span is 10 years.

We estimate that approximately 3,100 Series 1 projectors will need to be replaced in the next

four years as obsolescence sets in and upgrades become the new normal to stay competitive.

According to Film Journal International, (i) the first machines into the market were Series 1 projectors for Digital Light Processing (“DLP”) licensees, (ii) some 20,000 projectors of all brands were installed before Series 2 machines came on the market in mid-2010 and (iii) the assumption for a projector’s life span is 10 years.

We estimate that approximately 3,100 Series 1 projectors will need replacement over the next four years as obsolescence sets in and upgrades become the new normal to stay competitive.

Laser projectors.

projectors are a significant upgrade over existing lamp-based digital projectors, offering a wider color gamut, which provides substantially

more vivid colors, plus substantially brighter images.

These projectors are a significant upgrade over existing lamp-based digital projectors, offering a wider color gamut, which provides substantially more vivid colors, plus substantially brighter images.

We believe that 3D movies have largely fallen out of favor in the U.S.

because of dim images, but the higher brightness of lasers, especially RGB laser projectors, makes 3D images bright and alive, giving

3D movies a welcome boost, especially overseas where 3D remains very popular.

While lasers are quite a bit more expensive, they last as

much as 20 times longer than lamps, paying for themselves in lamp cost savings.

By eliminating the lamp, there are significant power savings

and less maintenance costs.

The Stadium and Arena industry has begun the regain momentum with reopening of the facilities to fans across the

In addition, the influx of government grant funds are being received by cinemas resulting in additional MiT sales.

largely because of dim images, but the higher brightness of lasers, especially RGB laser projectors, makes 3D images bright and alive, giving 3D movies a welcome boost, especially overseas where 3D remains very popular.

While lasers are quite a bit more expensive, they last as much as 20 times longer than lamps, paying for themselves in lamp cost savings.

By eliminating the lamp, there are significant power savings and less maintenance costs.

Approximately 99% of the new projectors we sell have laser light sources.

Caddy Product.

Live viewing of sports has recovered to pre-pandemic levels with stadiums and arenas selling out regularly.

However, new builds, upgrades, and refurbishments of new stadiums and arenas have not recovered as quickly as the movie theater industry.

In addition, an influx of government grant funds is being utilized by cinemas resulting in additional MiT sales.

Products, Enterprise Software Solutions and Technical Services

We offer a wide spectrum of premier audio-visual

products, in-house designed and assembled sub-systems, and accessories which, when coupled with the cinema projector and server, can

fully outfit and automate a cinema.

We also offer solutions to enhance operations, including enterprise and operations software solutions

and technical services and related equipment for maintenance and monitoring of existing systems.

We offer the theater exhibition industry

a single source for the design and installation of the complete new theater.

Projectors  — Through

distribution agreements with NEC and Barco, MiT offers a full range of DCI compliant digital cinema projectors to accommodate any screen

size or application.

We are a Master Reseller of NEC digital cinema products as well as a reseller of Barco digital cinema products, in

the Americas.

NEC and Barco are two of the largest manufacturers of high-end digital cinema projectors, allowing us to meet our customer’s

business needs.

Servers — 

formal distribution agreement with GDC Technology (USA), LLC, we distribute GDC’s line of digital cinema servers in North and South

We also distribute their servers in certain other areas of the world, although we do not have a distribution agreement outside

of North and South America.

In addition, we distribute servers for other server manufacturers, including those manufactured by Dolby.

Servers are used by our customers for the storage and playback of digital movie content.

Automations  — We manufacture

a suite of automation systems for digital cinema applications.

MiT-automations interface with the latest generation of digital projectors,

servers, audio processors, and also support pre-feature entertainment systems and 3-D systems.

Pedestals — 

a family of proprietary rack mount pedestals specifically designed by MiT engineers to maximize equipment rack space in a limited amount

These pedestals can accommodate multiple projection systems and offer ample storage and access to all necessary projection

equipment and cables.

Boothless  — More

and more theater owners are considering boothless construction options to save construction and operating costs.

MiT offers an in-house

designed and assembled suite of products to support boothless theater designs and alternative auditorium configurations, including projector

lifts, projector enclosures, and hushed sound racks.

Lighting Fixtures and Dimmers  — We

offer a series of in-house designed and assembled lighting products and dimmers designed to reduce a cinema’s energy consumption.

LED-based lighting in theaters has rapidly become an important aspect of MiT’s product line, offering advantages in efficiency

and reduced maintenance, which translate into lower operating cost for the exhibitor.

We believe our Architectural LED Fixture is the

first LED-based 8”

downlight luminaire designed specifically for cinema auditoriums.

Our lighting platform is part of our suite

of products to support green initiatives, in this case for theater lighting applications.

MiT’s M-Series lighting dimmers

are designed specifically for commercial cinemas with emphasis on energy savings, reliability and value.

Sound Systems  — We offer

a full selection of premium sound systems and enclosures which complete the immersive movie-going experience.

MiT offers sound processors,

amps and speaker options from manufacturers such as QSC, Trinnov, Dolby, JBL, Meyer Sound, and Ultra-Stereo Systems.

We integrate these

components along with our in-house solutions to improve onsite installation time and reliability.

“Green”

Products and other Accessories  — In

addition to our LED and dimmer products, MiT offers a number of other “green”

products designed for energy efficiency.

offer the DCE-10/20 Demand Controlled Ventilation system which automatically shuts down projector exhaust fans when not needed, reducing

energy costs.

This closed-loop controller is designed to efficiently control projector exhaust, on demand, by managing airflow to prevent

the wasting of conditioned air through a projector when cooling is not needed, saving energy by decreasing conditioned air demand of a

projection booth.

And our IS-20 & IS-20d Power Managers power theatrical systems up and down on a controlled schedule, affording

savings on wasteful energy consumption during system idle time.

We also offer a full complement of accessories

for theaters and other public venues including reclining seats and armrests, concession tables and trays, tablet arms, cup holders and

step and aisle lighting.

We offer a wide range of premium audio-video brands that compliment MiT in-house designed, manufactured and assembled products and sub-systems, and accessories which, when coupled with the cinema projectors, servers, and audio systems that include signal processing, amplifiers and loudspeaker systems to complete fully automated cinema experiences to cinema chains, studios, post production facilities and ultra-high-end home cinemas.

MiT’s manufactured offerings include green energy LED-lighting for cinemas, performance and meeting spaces with MiT’s dimmer and power management products.

Additionally, MiT unites the product offerings with best-in-class operational solutions, including enterprise software for equipment monitoring and control.

We offer the cinematic exhibition industry a single source for design, procurement, integration, logistics, project management and installation single screens to multinational rollouts.

Projectors and Media Servers — MiT has distribution and Master Reseller agreements for the Americas with world class manufacturers Sharp-NEC, Barco, Dolby, GDC and Christie.

We provide a complete range of DCI compliant cinema projectors and media servers to accommodate any screen size or application.

The afore-mentioned brands are the largest manufacturers of high-end DCI compliant digital cinema projectors and media servers in the world.

All manufacturers provide MiT with an accommodation to resell and distribute in defined projects in other areas of the world.

MiT in-house designed, manufactured and assembled sub-systems – MiT designs and manufactures automation, pedestal, projection pod (for booth less operations), and power management systems.

These mission critical components tie projectors, media servers, lighting and sound systems together to ensure a robust cinematic experience.

Audio Systems — MiT has distribution and Master Reseller agreements for the Americas with world class manufacturers of signal processing, amplification and loudspeakers by Dolby, QSC, Samsung (Harman, JBL, Crown), Trinnov, LEA Professional, Krixx and Meyer Sound.

This wide-ranging selection allows MiT to offer premium sound systems to complete the immersive movie-going experience.

We integrate these components along with our in-house energy efficient solutions to improve onsite installation time, reliability and operational performance.

“Green energy efficient” Products, Lighting Fixtures and Dimmers — We offer a series of in-house designed and assembled lighting products and dimmers designed to reduce energy consumption in cinemas, theaters, and performance venues.

LED-based lighting has rapidly become an important aspect of MiT’s product line, offering advantages in efficiency and reduced maintenance, which translate into lower operating cost.

We believe our green initiative Architectural LED Fixture (ALF) is the first LED-based 8” downlight luminaire and companion MiT’s M-Series lighting dimmers are specifically designed for commercial cinemas, screening rooms, post production facilities, museums, performance venues and meeting spaces.

In addition to our LED and dimmer products, MiT offers a number of other “green” products designed for energy efficiency.

We offer the DCE-10/20 Demand Controlled Ventilation system which automatically shuts down exhaust fans when not needed.

This closed-loop controller is designed to efficiently control projector exhaust, on demand, by managing airflow to prevent the wasting of HVAC conditioned air.

MiT’s IS-20 & IS-20d Power Managers power audio and video systems up and down on a controlled schedule, offering savings on wasteful energy consumption during system idle time.

This suite of products support MiT’s green initiatives with an emphasis on energy savings, reliability and value.

Enterprise and Operations Software Solutions

CineQC — Cinema Presence

Management & Remote Control System .

CineQC is MiT’s quality assurance and remote access software solution meant to

enhance in-theater operations.

CineQC allows a check of movie presentations before or during features, making sure customers receive

a premium moving-going experience.

With CineQC, cinema operations staff can change auditorium conditions, such as lights, volume, masking,

air conditioning temperatures, projection and audio settings, on a real-time basis.

Not only does this reduce problem-resolving time,

but also ensures the guest a better movie watching experience.

CineQC provides real-time and after action reporting,

not only in the auditoriums but also throughout the building, maintaining high standards of customer comfort and efficiency.

CineQC benefits

allow (i) an immediate response to solve minor auditorium problems (volume, lights, masking, audio and video channels as well as

air condition temperature), (ii) tasks to be redistributed, lowering operational costs and increasing productivity in different areas

while improving presentation and supervision, (iii) staff the ability to turn off the projector lamp if no guests are in the auditorium,

generating substantial savings on energy and lamp life, and (iv) a system for management to monitor, in real time, that staff is

performing necessary checks on theater operations.

CineQC — Cinema Presence Management & Remote Control System .

CineQC is MiT’s quality assurance and remote access software solution meant to enhance cinema operations.

CineQC allows a check of movie presentations before or during features, making sure customers receive a premium movie-going experience.

With CineQC, cinema operations staff can change auditorium conditions, such as lights, volume, masking, air conditioning temperatures, projection and audio settings, on a real-time basis.

Not only does this reduce problem-resolving time, but also ensures the guest a better movie watching experience.

CineQC provides real-time and after action reporting, not only in the auditoriums but also throughout the building, maintaining high standards of customer comfort and efficiency.

CineQC benefits allow (i) an immediate response to solve minor auditorium problems (volume, lights, masking, audio and video channels as well as air condition temperature), (ii) tasks to be redistributed, lowering operational costs and increasing productivity in different areas while improving presentation and supervision, (iii) staff the ability to turn off the projector lamp if no guests are in the auditorium, generating substantial savings on energy and lamp life, and (iv) a system for management to monitor, in real time, that staff is performing necessary checks on theater operations.

Technical Services

Newly deployed technology across the board requires

up to date specification, training, service, and consulting to maintain mission critical equipment.

We offer a suite of pre and post deployment

services from on-site repair and warranty service, to proactive remote monitoring of networked equipment.

Project Management, System Design and FF&E  — We

offer a wide range of technical, design and consulting services such as custom engineering, systems design, integration and installation,

and digital technology, as well as software solutions for 3D, digital cinema, and audio visual integration.

We provide sophisticated

project management and systems design for theater upgrades and new theater builds.

We also provide turnkey FF&E services to commercial

cinema exhibitors for new construction and remodels, including design, consulting, installation and project management as well as procurement

of seats, lighting, acoustical treatments, screens, projection and sound.

From consulting with architects through to final fixturing

and calibration, our staff of mechanical and electrical engineers work closely with end users as well as OEM manufacturers, and can participate

in every phase of the process from conceptual design and development to production on most any scale.

MiT personnel have designed, specified

and installed thousands of commercial cinemas, post production, screening and high-end residential rooms and have been involved in the

digital cinema conversion rollouts of clients such as Cinemark, Cinepolis, Cinemex, Reading, Metropolitan, Hollywood, Syufy, Harkins,

and other smaller circuits.

Service and Maintenance  — We

provide digital cinema equipment installations and after-sale maintenance services.

Our technicians work closely with our NOC staff to

resolve systems issues that cannot be fixed remotely;

they are certified to install and service a wide array of digital and audio equipment

from a number of manufacturers.

We offer cabling, wiring, installation and maintenance services for digital equipment on ad hoc, as-needed

We also offer long-term contractual service packages for maintenance and repairs to a wide range of installed digital equipment

for customers.

These long-term contractual service packages provide our company with recurring revenue.

Newly deployed technology across the board requires up to date specification, training, service, and consulting to maintain mission critical equipment.

We offer a suite of pre and post deployment services from on-site repair and warranty service, to proactive remote monitoring of networked equipment.

Project Management, System Design and FF&E — We offer a wide range of technical, design and consulting services such as custom engineering, audio visual integration, systems design, and installation, as well as software solutions.

To compliment the aforementioned services MiT provides turnkey Project Management & Furniture Fixture & Equipment (FF&E) services to commercial cinema exhibitors for new construction and remodels, including design, consulting, and procurement of seats, screen systems, lighting, acoustical treatments, screens, projection and sound equipment for upgrades and new professional cinema, screening room, postproduction facilities and ultra-high-end cinema builds.

Our Project Management includes consulting with architects through to final fixturing and calibration.

Our staff of mechanical and electrical engineers work closely with end users as well as OEM manufacturers, and can participate in every phase of the process from conceptual design and development to production on most any scale.

MiT personnel have designed, specified and

installed thousands of commercial cinemas, post production, screening and high-end residential rooms and have been involved in the digital cinema conversion rollouts of clients such as AMC, Cinemark, Cinepolis, Cinemex, Reading, Metropolitan, Hollywood, Regal, Syufy, Harkins, and other smaller circuits.

New Business Initiatives

We continue to explore new lines of business complimentary

with our core business, with a focus on entertainment technologies and complimentary products and services.

Multi-language ADA — 

Americans with Disabilities Act (ADA) requires theaters to have provisions for seeing- and hearing-impaired patrons.

Even before the

2016 requirement date, these devices have been available;

however, in partnership with Hana Media and Epson America, we have recently

productized and begun marketing a new system which combines full ADA compliance with a multi-language capability.

This unique system

uses AR (Augmented Reality) glasses to allow any language captioning to be displayed on the glasses, permitting non-native English speaking

patrons the ability to fully enjoy the cinematic experience.

This system also allows cinemas to reach out to what we believe is an underserved

audience base in their communities.

We continue to explore new lines of business complimentary with our core business, with a focus on entertainment technologies and complimentary products and services.

Multi-language ADA — The Americans with Disabilities Act (ADA) requires theaters to have provisions for seeing- and hearing-impaired patrons.

Even before the 2016 requirement date, these devices have been available;

however, in partnership with Hana Media and Epson America, we have recently productized and begun marketing a new system which combines full ADA compliance with a multi-language capability.

This unique system uses AR (Augmented Reality) glasses to allow any language captioning to be displayed on the glasses, permitting non-native English -speaking patrons the ability to fully enjoy the cinematic experience.

This system also allows cinemas to reach out to what we believe is an underserved audience base in their communities.

Sign language will also be supported through the same system.

Direct View LED screens .

We believe that

direct view LED is disruptive to the current front projection paradigm and offers several benefits to exhibitors and filmmakers which

we believe will drive demand for these replacement systems.

We have signed a strategic agreement with Samsung and their subsidiary Harman

to become an integrator and reseller of Samsung’s “ONYX Cinema LED”

system, which is designed to replace traditional

cinema projectors and screens and combines JBL/Harmon’s Sculpted Surround sound from Harman’s JBL Professional brand.

In April 2018,

we partnered with Samsung to open the first LED cinema screen in North America at Pacific Theatres Winnetka in Chatsworth, California;

MiT was the integrator for this theater.

In addition, in April 2019, we received an $800,000 purchase order to install the first

commercial Direct View LED Screen in the United States in the Houston area and completed the installation in June 2019.

While LED displays have been around for years

(e.g., the giant displays in virtually every sports arena), the constant miniaturization of the technology has now made cinema exhibition

Direct-view LED screens utilize a technology that is an alternative to the century-old streaming of projector light thrown onto

MiT is the only company that has installed and commissioned the three leading DCI Directview LED cinema systems (“Samsung ONYX Cinema”, “LG DVLED Cinema” & “SONY Crystal LED”).

Additionally, MiT utilizing our inhouse design fabrication and manufacturing has designed and installed custom DirectView LED Screen frames for two of those installations.

We believe that direct view LED is disruptive to the current front projection paradigm and offers several benefits to exhibitors and filmmakers which we believe will drive demand for these systems.

While LED displays have been around for years (e.g., the giant displays in virtually every sports arena), the constant miniaturization of the technology has now made cinema exhibition possible.

Direct-view LED screens utilize a technology that is an alternative to the century-old streaming of projector light thrown onto screens;

the LED screen is more akin to a giant television screen, and its use renders the projection booth unnecessary.

These emissive

displays can deliver dramatically improved contrast for a dynamic image range substantially in excess of projection capabilities.

cinema projector tends to lose color quality when its brightness is increased and/or when it ages, but a direct-view LED screen maintains

perfect color accuracy, at peak or half brightness.

With conventional projector systems, picture quality can vary from screen to screen

and venue to venue, whereas a direct-view LED screen provides consistent picture quality across all venues.

Also, the LED is ideal for

displaying High Dynamic Range (HDR) which we believe at present is the main video aesthetic enhancement being used to boost audience experience

This system results in a true boothless theater

design, offering up front construction savings.

Direct view eliminates the projector booth and projection screen, immediately freeing

space in cinemas for more seats and potentially reducing build costs.

Since the LED consumes no power when they are switched

off to ‘illuminate’

black, this saves on electricity versus the always-on energy of laser projection or xenon lamps.

will last up to 100,000 hours or 15 years, whereas projectors have a lifespan of barely half that.

LED screens can be so bright without losing picture

quality that they do not require perfectly pitch-black rooms, which could open new doors when it comes to event cinema, gaming or dine-in

theaters, further diversifying the cinema-going experience.

The technology also changes the operating proposition for cinema chains who

want to optimize the day-to-day usage of their real estate, renting out the screening rooms during the time periods when no movies are

Strategic acquisitions of complementary products

and technologies.

Our first acquisition was the acquisition of Caddy

Products LLC (“Caddy”) which closed effective January 1, 2019.

Caddy products are utilized in over 270,000 facilities

throughout more than 91 countries worldwide.

These emissive displays can deliver dramatically improved contrast for a dynamic image range substantially in excess of projection capabilities.

Also, the LED is ideal for displaying High Dynamic Range (HDR) which we believe at present is the main video aesthetic enhancement being used to boost audience experience in cinemas.

Since the LED consumes no power when they are switched off to ‘illuminate’ black, this saves on electricity versus the always-on energy of laser projection or xenon lamps.

LED panels will last up to 100,000 hours or 15 years, whereas projectors have a lifespan of barely half that.

Strategic acquisitions of complementary products and technologies.

Our first acquisition was the acquisition of Caddy Products LLC (“Caddy”) which closed effective January 1, 2019.

Caddy products are utilized in over 270,000 facilities throughout more than 91 countries worldwide.

Their markets include cinema, sports, grocery, performing arts, worship and retail industries.

Products include patented cup holders and trays built into luxury cinema seats, cinema step and aisle lighting, and cups, trays, and advertising

displays used in large sports arenas.

Products include patented cup holders and trays built into luxury cinema seats, cinema step and aisle lighting, and cups, trays, and advertising displays used in large sports arenas.

Caddy products are protected by 21 active and 6 pending patents.

We will continue to evaluate our targeted acquisition

strategy based on several factors, including profitability, enhancement of the overall customer experience, pricing models, throughput,

types of content featured and differences in geographic areas.

We will continue to evaluate our targeted acquisition strategy based on several factors, including profitability, enhancement of the overall customer experience, pricing models, throughput, types of content featured and differences in geographic areas.

Sales and Marketing

We market and sell directly to theater exhibitors,

as well as through certain domestic and international value added resellers.

We have developed ongoing customer relationships with a

large portion of the theater owners in the United States and a number of the major theater owners internationally.

Our sales and marketing

staff principally develop business by maintaining regular personal contact with our established customer relationships, including conducting

In our sales and marketing efforts, we emphasize our value proposition of providing the broadest range of products and services

delivered by our experienced technical service teams, which provides a significant resource to our clients in managing the complexities

of digital technology in the cinema exhibition industry.

Our sales and marketing professionals have extensive experience with our product

and service offerings and have long-term relationships throughout the industry.

Our top ten customers accounted for approximately

55% and 46% of net revenues for the years ended June 30, 2021 and 2020, respectively.

Trade accounts receivable from these customers

represented approximately 18% and 39% of net receivables at June 30, 2021 and 2020, respectively.

One customer accounted for approximately

23% of the Company’s sales for the year ended June 30, 2021.

At June 30, 2021, there was no amount of outstanding receivables

related to this customer.

There were no customers in fiscal 2020 that exceeded 10% of our net revenue from operations.

Specifically, as

a result of the effects of the COVID-19 pandemic, a significant number of our customers have temporarily ceased operations and others

have cancelled or pushed back the delivery of pending product orders and/or delayed the start of scheduled theater refurbishing and construction

In addition, we have experienced increased challenges in or cost of acquiring new customers.

As a result of the aforementioned

factors, our financial and operating results for the year ended June 30, 2021 and our projected financial and operating results for

each of the first two fiscal quarters of fiscal 2022 will be materially adversely affected.

A continued significant decrease or interruption

in business from our significant customers will continue to have a material adverse effect on our business, financial condition and results

of operations.

We market and sell directly to theater exhibitors, as well as through certain domestic and international value-added resellers.

We have developed ongoing customer relationships with a large portion of the theater owners in the United States and a number of the major theater owners internationally.

Our sales and marketing staff principally develop business by maintaining regular personal contact with our established customer relationships, including conducting site visits.

In our sales and marketing efforts, we emphasize our value proposition of providing the broadest range of products and services delivered by our experienced technical service teams, which provides a significant resource to our clients in managing the complexities of digital technology in the cinema exhibition industry.

Our sales and marketing professionals have extensive experience with our product and service offerings and have long-term relationships throughout the industry.

Our top ten customers accounted for approximately 48% and 55% of net revenues for the years ended June 30, 2022 and 2021, respectively.

Trade accounts receivable from these customers represented approximately 48% and 18% of net receivables at June 30, 2022 and 2021, respectively.

No customer accounted for more than 10% of the Company’s revenue for the year ended June 30, 2022.

One customer accounted for 23% of the Company’s revenue for the year ended June 30, 2021.

While we believe our relationships with such customers are stable, most arrangements are made by purchase order and are terminable at will by either party.

We could also be adversely affected by such factors as changes in foreign currency rates and weak economic and political conditions in each of the countries in which we sell our products.

Manufacturing and Assembly

MiT has 28,000 square feet of office, warehouse

and in-house manufacturing/assembly space in Southern California, which is home to our corporate offices, engineering, distribution, integration

as well as service and support divisions.

MiT has 28,000 square feet of office, warehouse and in-house manufacturing/assembly space in Southern California, which is home to our corporate offices, engineering, distribution, integration as well as service and support divisions.

Our primary location is augmented by a global network of service partners and OEM manufacturers.

We develop, manufacture, design and assemble the

key elements of the theatrical systems we offer.

Proprietary components are either manufactured in house or provided under original equipment

manufacturers agreements with outside vendors.

These proprietary parts include custom pedestals, enclosures, racks and specialized lighting

and control equipment.

We develop, manufacture, design and assemble the key elements of the theatrical systems we offer.

Proprietary components are either manufactured in house or provided under original equipment manufacturers agreements with outside vendors.

These proprietary parts include custom pedestals, enclosures, racks and specialized lighting and control equipment.

Fabrication of a majority of other parts and sub-assemblies is subcontracted to a group of third-party suppliers.

We believe our significant suppliers will continue to supply quality products in quantities sufficient to satisfy our needs.

all parts and sub-assemblies, complete the final assembly and then subject the system to comprehensive testing individually prior to shipment.

We believe that our quality control procedures

and the quality standards for the products that we distribute or service have contributed significantly to our reputation for high performance

and reliability.

The inspection of incoming materials and components as well as the testing of all of our products during various stages

of the sales and service cycle are key elements of this program.

We own or otherwise have rights to various trademarks

and trade names used in conjunction with the sale of our products.

We believe our success will not be dependent upon trademark protection,

but rather upon our engineering capabilities and research and production techniques.

Our sales backlog at June 30, 2021 was approximately

$9.44 million, which represented orders currently planned to be shipped substantially in the next six months.

Backlog at June 30,

2020 was $10.9 million.

Sales backlog typically represents the fixed contracted

revenue under signed theater system installation or upgrade agreements that we believe will be recognized as revenue upon installation/upgrade

and acceptance of the associated theater.

The dollar value fluctuates depending on the number of new and upgraded theater system arrangements

signed from year to year, which adds to backlog and the installation and acceptance of theater systems and the settlement of contracts,

both of which reduce backlog.

Sales backlog includes initial fees along with the estimated value of contractual ongoing fees due over

however, it excludes amounts allocated to maintenance and extended warranty revenues as well as fees (contingent fees) in excess

of contractual ongoing fees that may be received in the future.

We believe that the contractual obligations for theater system installations

that are listed in sales backlog are valid and binding commitments.

From time to time, in the normal course of its

business, we will have customers who are unable to proceed with a theater system installation or upgrade for a variety of reasons, including

the inability to obtain certain consents, approvals or financing.

Once the determination is made that the customer will not proceed with

installation or upgrade, the agreement with the customer is terminated or amended.

If the agreement is terminated, once MiT and the customer

are released from all their future obligations under the agreement, all or a portion of the initial fees that the customer previously

made to us are recognized as revenue.

Specifically, as a result of the effects of the COVID-19 pandemic, a significant number of our

customers have temporarily ceased operations and others have cancelled or pushed back the delivery of pending product orders and/or delayed

the start of scheduled theater refurbishing and construction projects.

We inspect all parts and sub-assemblies, complete the final assembly and then subject the system to comprehensive testing individually prior to shipment.

We believe that our quality control procedures and the quality standards for the products that we distribute or service have contributed significantly to our reputation for high performance and reliability.

The inspection of incoming materials and components as well as the testing of all of our products during various stages of the sales and service cycle are key elements of this program.

We own or otherwise have rights to various trademarks and trade names used in conjunction with the sale of our products.

We believe our success will not be dependent upon trademark protection, but rather upon our engineering capabilities and research and production techniques.

Our sales backlog at June 30, 2022 was approximately $10.03 million, which represented orders currently planned to be shipped substantially by December 31, 2022.

Backlog at June 30, 2021 was $9.44 million.

All open orders at June 30, 2021, except one for approximately $0.2 million due to customer deferral, were fulfilled in year ended June 30, 2022.

Sales backlog typically represents the fixed contracted revenue under signed theater system installation or upgrade agreements that we believe will be recognized as revenue upon installation/upgrade and acceptance of the associated theater.

The dollar value fluctuates depending on the number of new and upgraded theater system arrangements signed from year to year, which adds to backlog and the installation and acceptance of theater systems and the settlement of contracts, both of which reduce backlog.

Sales backlog includes initial fees along with the estimated value of contractual ongoing fees due over the term;

however, it excludes amounts allocated to maintenance and extended warranty revenues as well as fees (contingent fees) in excess of contractual ongoing fees that may be received in the future.

We believe that the contractual obligations for theater system installations that are listed in sales backlog are valid and binding commitments.

From time to time, in the normal course of its business, we will have customers who are unable to proceed with a theater system installation or upgrade for a variety of reasons, including the inability to obtain certain consents, approvals or financing.

Once the determination is made that the customer will not proceed with installation or upgrade, the agreement with the customer is terminated or amended.

If the agreement is terminated, once MiT and the customer are released from all their future obligations under the agreement, all or a portion of the initial fees that the customer previously made to us are recognized as revenue.

Specifically, as a result of the effects of the COVID-19 pandemic, a significant number of our customers have temporarily ceased operations and others have cancelled or pushed back the delivery of pending product orders and/or delayed the start of scheduled theater refurbishing and construction projects.

The markets for our products are highly competitive.

The primary competitive factors are price, product quality, features and customer support.

We compete with a few large, and many small,

cinema equipment dealers.

We are subject to complex laws, rules and

regulations affecting our domestic and international operations relating to, for example, environmental, safety and health requirements;

We compete with a few large, and many small, cinema equipment dealers.

We are subject to complex laws, rules and regulations affecting our domestic and international operations relating to, for example, environmental, safety and health requirements;

exports and imports;

2 unchanged sentences

labor and employment;

and intellectual property ownership

and infringement.

Compliance with these laws, rules and regulations may be onerous and expensive, and if we fail to comply or if

we become subject to enforcement activity, our ability to manufacture our products and operate our business could be restricted and we

could be subject to fines, penalties or other legal liability.

Furthermore, should these laws, rules and regulations be amended or

expanded, or new ones enacted, we could incur materially greater compliance costs or restrictions on our ability to manufacture our products

and operate our business.

Some of these complex laws, rules and regulations — for

example, those related to environmental, safety and health requirements — may particularly affect us in the jurisdictions

in which we manufacture products, especially if such laws and regulations require the use of abatement equipment beyond what we currently

employ, require the addition or elimination of a material or process to or from our current manufacturing processes, or impose costs,

fees or reporting requirements on the direct or indirect use of energy, or of materials or gases used or emitted into the environment,

in connection with the manufacture of our products.

There can be no assurance that in all instances a substitute for a prohibited raw

material or process would be available, or be available at reasonable cost.

We employed 18 full-time personnel of June 30,

and intellectual property ownership and infringement.

Compliance with these laws, rules and regulations may be onerous and expensive, and if we fail to comply or if we become subject to enforcement activity, our ability to manufacture our products and operate our business could be restricted and we could be subject to fines, penalties or other legal liability.

Furthermore, should these laws, rules and regulations be amended or expanded, or new ones enacted, we could incur materially greater compliance costs or restrictions on our ability to manufacture our products and operate our business.

Some of these complex laws, rules and regulations — for example, those related to environmental, safety and health requirements — may particularly affect us in the jurisdictions in which we manufacture products, especially if such laws and regulations require the use of abatement equipment beyond what we currently employ, require the addition or elimination of a material or process to or from our current manufacturing processes, or impose costs, fees or reporting requirements on the direct or indirect use of energy, or of materials or gases used or emitted into the environment, in connection with the manufacture of our products.

There can be no assurance that in all instances a substitute for a prohibited raw material or process would be available, or be available at reasonable cost.

We employed 31 full-time personnel as of June 30, 2022.

We are not a party to any collective bargaining agreement.

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-K

Item 1. Business