What changed in this filing

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Item 1. Financial Statements

2026-02-17 compared with 2025-11-13 · 217 added, 160 removed, 278 unchanged (58% of the section changed)

2 unchanged sentences

BALANCE SHEETS

September 30,

Current Assets:

Cash and cash equivalents

Accounts receivable, net of allowance for credit losses of $ 63,804 at September 30, 2025 and $ 80,192 at June 30, 2025

Accounts receivable, net of allowance for credit losses of $ 99,258 at December 31, 2025 and $ 80,192 at June 30, 2025

Inventories, net

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50,000,000 shares authorized;

issued and outstanding – 7,714,701 shares at September 30, 2025 and June 30, 2025

issued and outstanding – 7,720,229 shares at December 31, 2025 and 7,714,701 at June 30, 2025

Additional paid-in capital

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TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY

The accompanying notes are an integral part

of these interim financial statements.

The accompanying notes are an integral part of these

interim financial statements.

PRECISION OPTICS CORPORATION, INC.

STATEMENTS OF OPERATIONS

FOR THE THREE MONTHS ENDED

SEPTEMBER 30, 2025 AND 2024

Ended September 30,

FOR THE THREE AND SIX MONTHS ENDED

DECEMBER 31, 2025 AND 2024

Ended December 31,

Cost of Goods Sold

2 unchanged sentences

Total Operating Expenses

Operating Loss

Operating Income (Loss)

( 1,742,329 )

( 3,337,584 )

( 2,156,962 )

Interest Expense

Net Income (Loss)

$ ( 1,780,791 )

$ ( 969,681 )

Loss Per Share:

Basic & Fully Diluted

$ ( 3,417,821 )

$ ( 2,280,928 )

Income (Loss) Per Share:

Basic and Fully Diluted

Weighted Average Common Shares Outstanding:

Basic & Fully Diluted

The accompanying notes are an integral part

of these interim financial statements.

Basic and Fully Diluted

The accompanying notes are an integral part of these

interim financial statements.

PRECISION OPTICS CORPORATION, INC.

STATEMENTS OF STOCKHOLDERS’ EQUITY

FOR THE THREE MONTHS ENDED

FOR THE THREE AND SIX MONTHS ENDED

31, 2025 AND 2024

Three Month Period Ended September 30, 2025

Six Month Period Ended December 31, 2025

Stockholders’

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( 58,607,660 )

Three Month Period Ended September 30, 2024

Stock-based compensation

Issuance of common stock for employee services

( 1,780,791 )

Balance, December 31, 2025

$ ( 60,388,451 )

Six Month Period Ended December 31, 2024

Stockholders’

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( 52,501,631 )

The accompanying notes are an integral part

of these interim financial statements.

Stock-based compensation

Issuance of common stock for consulting services

Balance, December 31, 2024

$ ( 53,471,312 )

The accompanying notes are an integral part of these

interim financial statements.

PRECISION OPTICS CORPORATION, INC.

STATEMENTS OF CASH FLOWS

FOR THE THREE MONTHS ENDED

FOR THE SIX MONTHS ENDED

31, 2025 AND 2024

Ended September 30,

Ended December 31,

Cash Flows from Operating Activities:

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Accrued compensation and other

Net cash provided by (used in) operating activities

Net cash used in operating activities

( 1,105,431 )

Cash Flows from Investing Activities:

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Net cash provided by (used in) financing activities

Net increase(decrease) in cash and cash equivalents

Net decrease in cash and cash equivalents

Cash and cash equivalents, beginning of period

3 unchanged sentences

Lease improvements financed by landlord

The accompanying notes are an integral part

of these interim financial statements.

Issuance of common stock for employee services

The accompanying notes are an integral part of these

interim financial statements.

PRECISION OPTICS CORPORATION, INC.

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Principles of Consolidation and Operations

These financial statements have been prepared

by the Company, without audit, and reflect normal recurring adjustments which, in the opinion of management, are necessary for a fair

statement of the results of the first three months of the Company’s fiscal year 2026.

These financial statements do not include

all disclosures associated with annual financial statements and, accordingly, should be read in conjunction with footnotes contained in

the Company’s financial statements for the year ended June 30, 2025, together with the Report of Independent Registered Public

Accounting Firm filed under cover of the Company’s 2025 Annual Report on Form 10-K, filed with the Securities and Exchange

Commission on September 29, 2025, as amended by Amendment No.

1 on Form 10-K/A filed with the Securities and Exchange Commission on

October 28, 2025 .

These financial statements have been prepared by the

Company, without audit, and reflect normal recurring adjustments which, in the opinion of management, are necessary for a fair statement

of the results of the first six months of the Company’s fiscal year 2026.

These financial statements do not include all disclosures

associated with annual financial statements and, accordingly, should be read in conjunction with footnotes contained in the Company’s

financial statements for the fiscal year ended June 30, 2025, together with the Report of Independent Registered Public Accounting

Firm filed under cover of the Company’s 2025 Annual Report on Form 10-K, filed with the Securities and Exchange Commission

on September 29, 2025 , as amended by Amendment No.

1 on Form 10-K/A filed with the Securities and Exchange Commission on October 28,

Going Concern and Liquidity

These financial statements have been prepared on a going concern

basis, which assumes the Company will continue to realize its assets and discharge its liabilities in the normal course of business.

continuation of the Company as a going concern is dependent upon the ability of the Company to obtain necessary equity financing to continue

operations and the attainment of profitable operations.

Management anticipates that its cash on hand of $ 0.9 million as of December 31,

2025 is insufficient to fund its planned operations for a period of at least one year from when these consolidated financial statements

These factors raise substantial doubt regarding the Company's ability to continue as a going concern.

These unaudited financial

statements do not include any adjustments to the recoverability and classification of recorded asset amounts and classification of liabilities

that might be necessary should the Company be unable to continue as a going concern.

During fiscal 2026 through the issuance date, the Company has taken

the following actions, and implemented the following plans, to improve its operational and financial performance and enhance its liquidity

and financial condition:

· Through new leadership and improved accountability and process disciplines

implemented throughout the organization, improve manufacturing yields and increase production throughput;

· Renegotiated pricing and added tariff reimbursement with some of its major

manufacturing customers

· Improved the quality and depth of its product development pipeline;

· Planned increased utilization of engineering resources and the capabilities

of its MicroOptics Laboratory;

· Planned launch of several maturing development projects into manufacturing

in the coming twelve months;

· Planned reductions in its cost structure to better align operating expenses

with revenue expectations, including headcount rationalization and optimization.

The Company’s ability to meet future anticipated liquidity

needs over the next year beyond the issuance date will largely depend on its ability to execute its operational strategy, generate positive

cash inflows from operations, maximize its borrowing capacity and secure additional capital.

The Company intends to seek additional funding through

one or more of the following:

equity offerings, debt financings, government funding, and delay of planned cash outlays.

However, the Company’s

ability to do so, and on favorable terms, may be affected by general economic, financial and other factors which are beyond its control.

There can be no assurance that such events or a combination thereof can be achieved or achieved on favorable terms.

Use of Estimates

The preparation of these financial statements

requires the Company to make estimates and judgments that affect the reported amounts of assets, liabilities, revenues and expenses.

Company bases its estimates on historical experience and on various other assumptions that are believed to be reasonable under the circumstances,

The preparation of these financial statements requires

the Company to make estimates and judgments that affect the reported amounts of assets, liabilities, revenues and expenses.

bases its estimates on historical experience and on various other assumptions that are believed to be reasonable under the circumstances,

the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent

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plus the number of potentially dilutive securities outstanding during the period such as stock options.

For the three months ended September

30, 2025 and 2024, potentially dilutive securities outstanding have been excluded from the computations of weighted-average shares outstanding

because such securities have an antidilutive impact due to the net loss reported during those periods.

The number of shares issuable upon

the exercise of outstanding stock options that were excluded from the computation of fully dilutive weighted average shares outstanding

was approximately 1,623,576 for the three months ended September 30, 2025 and 1,329,236 for the three months ended September 30, 2024.

The following is the calculation of income (loss) per share for the

three months ended September 30, 2025 and 2024:

For the three months and six months

ended December 31, 2025, potentially dilutive securities outstanding have been excluded from the computations of weighted-average shares

outstanding because such securities have an antidilutive impact due to the net loss reported during those periods.

The number of shares

issuable upon the exercise of outstanding stock options that were excluded from the computation of fully dilutive weighted average shares

outstanding was approximately 1,727,069 for the three and six months ended December 31, 2025.

The following is the calculation of income (loss) per share for the three

months and six months ended December 31, 2025 and 2024:

Schedule of income (loss) per share

Ended September 30,

Ended December 31,

Net Income (Loss) Basic and Fully Diluted

1 unchanged sentence

$ ( 969,681 )

$ ( 3,417,821 )

$ ( 2,280,928 )

Weighted Average Shares Outstanding

Basic & Fully Diluted

Loss Per Share – Basic & Fully Diluted

Basic and Fully Diluted

Income (Loss) Per Share – Basic and Fully Diluted

Significant Customers and Concentration of Credit Risk

Financial instruments that subject the Company

to credit risk consist primarily of cash equivalents and trade accounts receivable.

Financial instruments that subject the Company to

credit risk consist primarily of cash equivalents and trade accounts receivable.

The Company places its investments with highly rated

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The Company has not experienced any losses on these investments to date.

The allowance for credit losses was $ 63,804 at

September 30, 2025, and $ 103,224 at September 30, 2024.

The allowance for credit losses was $ 99,258 at December

31, 2025, and $ 121,901 at December 31, 2024.

Schedule of allowance for credit losses

Three Months Ended September 30,

Six Months Ended December 31,

Allowance for credit losses, beginning of period

Change in the provision for expected credit losses

Writeoffs charged against the allowance

Allowance for credit losses, end of period

During the three months ended September 30, 2025,

the Company decreased the credit loss reserve.

Management believes the allowance for credit losses, which is established based upon review

of specific account balances and historical experience, is adequate at September 30, 2025.

Income taxes are accounted for under the asset

and liability method.

During the six months ended December 31, 2025, the

Company increased the credit loss reserve by approximately $ 19,000 .

Management believes the allowance for credit losses, which is established

based upon review of specific account balances and historical experience, is adequate at December 31, 2025.

Income taxes are accounted for under the asset and

liability method.

Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between

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of a change in tax rates is recognized in income in the period that includes the enactment date.

In assessing the likelihood of utilization of

existing deferred tax assets, management has considered the historical results of operations and the current operating environment.

on this evaluation, a full valuation reserve has been provided for the deferred tax assets.

In assessing the likelihood of utilization of existing

deferred tax assets, management has considered the historical results of operations and the current operating environment.

Based on this

evaluation, a full valuation reserve has been provided for the deferred tax assets.

Segment Reporting

Operating segments are identified as components of an enterprise about

which separate discrete financial information is available for evaluation by the chief operating decision maker, or decision-making group,

in making decisions about how to allocate resources and assess performance.

The Company’s chief decision-maker is its Chief Executive

Operating segments are identified as components of

an enterprise about which separate discrete financial information is available for evaluation by the chief operating decision maker, or

decision-making group, in making decisions about how to allocate resources and assess performance.

The Company’s chief decision-maker

is its Chief Executive Officer.

To date, the Company has viewed its operations and manages its business as principally one segment.

The chief operating decision

maker assesses performance for the single reporting segment and decides how to allocate resources based on revenues, gross profit, and

net income (loss) that also is reported on the income statement as revenues, gross profit, and net income (loss).

The measure of segment

assets is reported on the balance sheet as total assets.

chief operating decision maker assesses performance for the single reporting segment and decides how to allocate resources based on revenues,

gross profit, and net income (loss) that also is reported on the income statement as revenues, gross profit, and net income (loss).

measure of segment assets is reported on the balance sheet as total assets.

Goodwill and Patents

Long-lived assets such as goodwill and patents

are capitalized when acquired and reviewed for impairment whenever events or changes in circumstances indicate that the book value of

the asset may not be recoverable.

Impairment of the carrying value of long-lived assets such as goodwill and patents would be indicated

if the best estimate of future undiscounted cash flows expected to be generated by the asset grouping is less than its carrying value.

If an impairment is indicated, any loss is measured as the difference between estimated fair value and carrying value and is recognized

in operating income or loss.

Long-lived assets such as goodwill and patents are

capitalized when acquired and reviewed for impairment whenever events or changes in circumstances indicate that the book value of the

asset may not be recoverable.

Impairment of the carrying value of long-lived assets such as goodwill and patents would be indicated if

the best estimate of future undiscounted cash flows expected to be generated by the asset grouping is less than its carrying value.

an impairment is indicated, any loss is measured as the difference between estimated fair value and carrying value and is recognized in

operating income or loss.

Assets to be disposed of are reported at the lower of the carrying amount or fair value less costs to sell.

No such impairments of goodwill or patents have been estimated by management as of September 30, 2025.

Amortization expense for the three

months ended September 30, 2025 and 2024 was $ 6,292 and $ 0 , respectively.

No such impairments of goodwill or patents have been estimated by management as of December 31, 2025.

Amortization expense for the six

months ended December 31, 2025 and 2024 was $ 12,584 and $ 0 , respectively.

Inventories are stated at the lower of cost (first-in,

first-out) or market and consisted of the following:

first-out) or market and consist of the following:

Schedule of inventories

September 30,

Raw Materials

1 unchanged sentence

Finished Goods

Total Inventories

Total Inventories (Net)

The inventory reserve was $ 311,781 and $ 272,894 at December 31, 2025 and

June 2025, respectively.

BANK FINANCING ACTIVITIES

Bank Line of Credit

On October 4, 2021, the Company entered into a

Loan Agreement with Main Street Bank of Marlborough, Massachusetts (the “Lender”), which provided for a $2,600,000 Term Loan

and a $250,000 Revolving Line of Credit Loan Facility (the “Revolver”), which was increased to $500,000 effective May 17,

On October 4, 2021, the Company entered into a Loan

Agreement with Main Street Bank of Marlborough, Massachusetts (the “Lender”), which provided for a $ 2,600,000 Term Loan and

a $ 250,000 Revolving Line of Credit Loan Facility (the “Revolver”), which was increased to $ 500,000 effective May 17, 2022,

and $ 1,250,000 effective June 2, 2023.

Borrowings under the Revolver are limited by the borrowing base comprised of a percentage

of accounts receivable and inventory and secured by all assets of the Company.

Borrowings under the Revolver bear interest payable monthly

at the prime lending rate plus 1.5% per annum and shall not be less than 4.75% per annum.

Borrowings under the Revolver are limited by the borrowing base comprised of a percentage of accounts

receivable and inventory and secured by all assets of the Company.

Borrowings under the Revolver bear interest payable monthly at the

prime lending rate plus 1.5% per annum and shall not be less than 4.75% per annum.

Borrowings under the Revolver are due upon demand.

There were no borrowings under the Revolver at September 30, 2025.

There were no borrowings under the Revolver at December 31, 2025.

The Company’s Loan Agreement with the Lender

2 unchanged sentences

for the fiscal year ended June 30, 2024.

The Company’s Lender has agreed to waive compliance with such debt service ratio covenant

for the period ending June 30, 2024.

In addition to such waiver, the Lender and the Company have entered into an amendment dated September

30, 2024 to that certain Term Loan dated October 4, 2021, as amended and that certain Promissory Note dated June 2, 2023 (collectively,

the “Notes”) which amendments provide for a six-month period of interest only payments from October 15, 2024 through March

The Company’s Lender agreed to waive compliance with such debt service ratio covenant for

the period ending June 30, 2024.

In addition to such waiver, the Lender and the Company entered into an amendment dated September 30,

2024 to that certain Term Loan dated October 4, 2021, as amended and that certain Promissory Note dated June 2, 2023 (collectively, the

“Notes”) which amendments provided for a six-month period of interest only payments from October 15, 2024 through March 15,

2025 for the Notes.

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Any future advances are contingent on the Company achieving a minimum Debt Service Coverage ratio of 1.20x based

on quarterly testing, which the Company was not in compliance with as of September 30, 2025.

There were no other changes to or modifications

to the Loan Agreement or the Notes.

on quarterly testing, which the Company was not in compliance with as of December 31, 2025.

There were no other changes to or modifications to

the Loan Agreement or the Notes.

Long-Term Debt

Long-term debt consists of the following at September

Long-term debt consists of the following at December

Schedule of long-term debt

8 unchanged sentences

Long-term debt, net of current maturities and debt issuance costs

At September 30, 2025 principal payments due on the Term Loan Note

payable are as follows:

At December 31, 2025 principal payments due on the Term Loan Notes payable

are as follows:

Schedule of principal payments due on term loan note payable

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manufacturing equipment.

The net book value of fixed assets under capital lease obligations as of September 30, 2025 is $ 18,383 .

The net book value of fixed assets under capital lease obligations as of December 31, 2025 is $ 9,268 .

On July 1, 2019 the Company entered into a three-year

3 unchanged sentences

Remaining minimum

lease payments at September 30, 2025 total $ 135,724 .

lease payments at December 31, 2025 total $ 123,419 .

Total lease costs including base rent and common area expenses was $ 39,329 and $ 33,281

during the three months ending September 30, 2025 and 2024, respectively.

Included in the accompanying balance sheet at September 30,

during the six months ending December 31, 2025 and 2024, respectively.

Included in the accompanying balance sheet at December 31, 2025

is a right-of-use asset of $ 110,371 and current and long-term operating lease liabilities of $ 42,138 and $ 69,103 , respectively.

1 unchanged sentence

lease in South Portland, Maine with two five-year extension options.

Remaining minimum lease payments at September 30, 2025 total $ 1,112,387 .

Total lease costs including base rent and common area expenses was $ 32,661 during the three months ending September 30, 2025.

Remaining minimum lease payments at December 31, 2025 total $ 1,112,388 .

Total lease costs including base rent and common area expenses was $ 81,653 during the six months ending December 31, 2025.

of variable lease payments is immaterial.

Included in the accompanying balance sheet at September 30, 2025 is a right-of-use asset of

Included in the accompanying balance sheet at December 31, 2025 is a right-of-use asset of $ 544,254

and current and long-term operating lease liabilities of $ 66,374 and $ 743,173 , respectively.

The applicable discount rate utilized

for this lease at commencement was 9.0 %.

The applicable discount rate utilized for

this lease at commencement was 9.0 %.

On June 2, 2025 the Company entered into a seven-year

operating lease in Littleton, Massachusetts with two five-year extension options.

Remaining minimum lease payments at September

Remaining minimum lease payments at December 31, 2025

total $ 2,588,721 .

Total lease costs including base rent and common area expenses was $ 30,456 during the three months ending September

Total lease costs including base rent and common area expenses was $ 121,823 during the six months ending December 31,

The amount of variable lease payments is immaterial.

Included in the accompanying balance sheet at September 30, 2025 is a right-of-use

Included in the accompanying balance sheet at December 31, 2025 is a right-of-use

asset of $ 1,785,927 and current and long-term operating lease liabilities of $ 105,222 and $ 1,802,528 , respectively.

1 unchanged sentence

rate utilized for this lease at commencement was 9.0 %.

At September 30, 2025 future minimum lease payments

At December 31, 2025 future minimum lease payments

under the capital lease and operating lease obligations are as follows:

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Future minimum long-term lease liability

The Company’s four facilities in Gardner,

Massachusetts which are used for offices, production and storage spaces are leased primarily on a tenant-at-will basis.

Rent expense on

these operating leases was $ 57,884 and $ 51,797 for the three months ended September 30, 2025 and 2024, respectively.

The Company’s four facilities in Gardner, Massachusetts,

which are used for offices, production and storage spaces are leased primarily on a tenant-at-will basis.

Rent expense on these operating

leases was $ 101,918 and $ 102,540 for the six months ended December 31, 2025, and 2024, respectively.

STOCK-BASED COMPENSATION

1 unchanged sentence

The following table summarizes stock-based compensation

expense for the three months ended September 30, 2025 and 2024.

expense for the three and six months ended December 31, 2025 and 2024:

Schedule of stock-based compensation expense

Ended September 30,

Ended December 31,

Cost of Goods Sold

3 unchanged sentences

amounts would have been immaterial.

There was $ 25,000 in common stock issued for employee services in the quarter ended December 31, 2025.

The following tables summarize stock option activity

for the three months ended September 30, 2025:

for the six months ended December 31, 2025:

Schedule of stock option activity

6 unchanged sentences

Cancelled, forfeited, or expired

Outstanding at September 30, 2025

Outstanding at December 31, 2025

The aggregate intrinsic value of the Company’s

in-the-money outstanding and exercisable options as of September 30, 2025 were $ 544,793 and $ 544,793 , respectively.

in-the-money outstanding and exercisable options as of December 31, 2025 were both $ 485,181 .

REVENUE RECOGNITION

The Company determines revenue recognition for

arrangements that we determine are within the scope of Accounting Standards Codification Topic 606, “Revenue from Contracts with

Customers,” or ASC 606, by performing the following five steps:

The Company determines revenue recognition for arrangements

that we determine are within the scope of Accounting Standards Codification Topic 606, “Revenue from Contracts with Customers,”

or ASC 606, by performing the following five steps:

(i) identify the contract with a customer;

(ii) identify the performance

obligations in the contract;

(iii) determine the transaction price;

(iv) allocate the transaction price to the performance obligations

(ii) identify the performance obligations

in the contract;

(iii) determine the transaction price;

(iv) allocate the transaction price to the performance obligations in the contract;

and (v) recognize revenue when, or as, the Company satisfies the performance obligations.

At contract inception, once

the contract is determined to be within the scope of ASC 606, the Company assesses the goods or services promised within the contract

and determine those that are performance obligations and assesses whether each promised good or service is distinct based on the contract.

The Company disaggregates revenues by product

and service types as it believes best depicts how the nature, amount, timing and uncertainty of revenues and cash flows are affected by

economic factors.

Revenues are comprised of the following for the three months ended September 30, 2025 and 2024:

At contract inception, once the contract is

determined to be within the scope of ASC 606, the Company assesses the goods or services promised within the contract and determine those

that are performance obligations and assesses whether each promised good or service is distinct based on the contract.

The Company disaggregates revenues by product and service types as it believes

best depicts how the nature, amount, timing and uncertainty of revenues and cash flows are affected by economic factors.

comprised of the following for the three and six months ended December 31, 2025 and 2024:

Schedule of disaggregation of revenues

Ended September 30,

Ended December 31,

Engineering Design Services

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Ross Optical Industries

The Company provides fixed

price quotations to its customers and requires purchase orders for items manufactured and distributed through the Systems Manufacturing,

Micro Optics Laboratory and Ross Optical Industries business units.

Revenue is recognized at the time title passes to the customer based

on the Company’s review of the customer contract, generally at the time of shipment from the Company’s facilities.

The Company provides fixed price

quotations to its customers and requires purchase orders for items manufactured and distributed through the Systems Manufacturing, Micro

Optics Laboratory and Ross Optical Industries business units.

Revenue is recognized at the time title passes to the customer based on

the Company’s review of the customer contract, generally at the time of shipment from the Company’s facilities.

the Company may enter into “bill and hold” contractual arrangements where title is held by its customers while goods are stored

1 unchanged sentence

Contract Assets and Liabilities

The nature of the Company’s products and

services does not generally give rise to contract assets as it typically does not incur costs to fulfill a contract before a product or

service is provided to a customer.

The Company’s costs to obtain contracts are typically in the form of sales commissions paid to

The Company has elected to expense sales commissions associated with obtaining a contract as incurred as the amortization period

is generally less than one year.

The nature of the Company’s products and services

does not generally give rise to contract assets as it typically does not incur costs to fulfill a contract before a product or service

is provided to a customer.

The Company’s costs to obtain contracts are typically in the form of sales commissions paid to employees.

The Company has elected to expense sales commissions associated with obtaining a contract as incurred as the amortization period is generally

less than one year.

These costs have been recorded in selling, general and administrative expenses.

As of September

30, 2025, there were no contract assets recorded in the Company’s Balance Sheets.

The Company’s contract liabilities arise

from unearned revenue received from customers at inception of contracts or where the timing of billing for services precedes satisfaction

of our performance obligations.

As of December 31, 2025, there

were no contract assets recorded in the Company’s Balance Sheets.

The Company’s contract liabilities arise from

unearned revenue received from customers at inception of contracts or where the timing of billing for services precedes satisfaction of

our performance obligations.

The Company generally satisfies performance obligations within one year from the contract’s inception

Contract liabilities, which are recorded in the

Company’s Balance Sheets, and unearned revenue are comprised of the following:

Contract liabilities, which are recorded in the Company’s Balance

Sheets, and unearned revenue are comprised of the following:

Schedule of contract liabilities

Ended September 30,

Ended December 31,

Contract liabilities, beginning of period

1 unchanged sentence

Revenue recognized

( 1,245,361 )

Contract liabilities, end of period

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-Q

Item 1. Financial Statements