What changed in this filing

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Item 8. Financial Statements and Supplementary Data

2026-08-07 compared with 2025-08-12 · 305 added, 303 removed, 522 unchanged (54% of the section changed)

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Income Statements For the Years Ended April 30, 2026 and 2025

Statements of Comprehensive Income For the Years Ended April 30, 2025 and 2024

Statements of Comprehensive

Income For the Years Ended April 30, 2026 and 2025

Statements of Stockholders’ Equity For the Years Ended April 30, 2026 and 2025

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have audited the accompanying balance sheets of George Risk Industries, Inc.

(the Company) as of April 30, 2025 and 2024 and the related

statements of income, comprehensive income, stockholders’ equity, and cash flows for each of the years in the two-year period ended

April 30, 2025 and the related notes (collectively referred to as the financial statements).

In our opinion, the financial statements

present fairly, in all material respects, the financial position of the Company as of April 30, 2025 and 2024, and the results of its

operations and its cash flows for each of the years in the two-year period ended April 30, 2025 in conformity with accounting principles

generally accepted in the United States of America.

(the Company) as of April 30, 2026 and 2025, and the

related income statements, comprehensive income, stockholders’ equity, and cash flows for each of the years in the

two-year period ended April 30, 2026, and the related notes (collectively referred to as the financial statements).

In our opinion,

the financial statements present fairly, in all material respects, the financial position of the Company as of April 30, 2026 and

2025, and the results of its operations and its cash flows for each of the years in the two-year period ended April 30, 2026, in

conformity with accounting principles generally accepted in the United States of America.

financial statements are the responsibility of the Company’s management.

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conducted our audits in accordance with the standards of the PCAOB.

Those standards require that we plan and perform the audits to obtain

Those standards require that we plan and perform the audit to obtain

reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud.

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Audit Matter Description

The Company manufactures its inventory, which involves the capture of direct labor and manufacturing overhead costs

to inventory instead of as an expense when valuing work-in-process and finished goods inventory.

This process involves complex calculations

based on employee hours worked on manufacturing inventory, and

the amount of overhead that will be captured is based on management’s subjective judgments.

These judgments can have a significant

impact on the Company’s reported assets and earnings if they should prove to be significantly inaccurate.

Company manufactures its inventory, which involves the capture of direct labor and manufacturing overhead costs to inventory instead

of as an expense when valuing work-in-process and finished goods inventory.

This process involves complex calculations based on employee

hours worked on manufacturing inventory, and the amount of overhead that will be captured is based on management’s subjective judgments.

These judgments can have a significant impact on the Company’s reported assets and earnings if they should prove to be significantly

the Critical Audit Matter was Addressed in the Audit

Our principal procedures related to the Company’s valuation of work-in-process

and finished goods inventory included the following:

We evaluated management’s significant accounting policies related to the valuation of manufactured inventory,

including the methodology of how manufactured overhead is applied to inventory.

We tested the direct labor applied to a sample of work-in-process and finished goods inventory items by agreeing

employees’ applied costs to their pay rates per their human resources file maintained by the company.

We tested the application of manufacturing overhead to a sample of work-in-process and finished goods inventory by

recalculating the overhead we would expect to be applied based on the company’s standard overhead rate and the number of direct

labor hours applied to the inventory.

principal procedures related to the Company’s valuation of work-in-process and finished goods inventory included the following:

evaluated management’s significant accounting policies related to the valuation of manufactured inventory, including the methodology

of how manufactured overhead is applied to inventory.

tested the direct labor applied to a sample of work-in-process and finished goods inventory items by agreeing employees’ applied

costs to their pay rates per their human resources file maintained by the company.

tested the application of manufacturing overhead to a sample of work-in-process and finished goods inventory by recalculating the

overhead we would expect to be applied based on the company’s standard overhead rate and the number of direct labor hours applied

to the inventory.

Audit Matter – Valuation of Investments

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are recorded at fair value.

Some of these investments are Level 2 investments and can be hard to value.

In addition, as the

securities are held at fair value, management must assess securities that are in a significant unrealized loss position for other

than temporary impairment.

For these securities, management must make difficult and subjective judgments about the ability of the

issuer to be able to meet its obligations under terms of the security.

Some of these investments are Level 2 investments and do not have an observable value.

In addition, as

the securities are held at fair value, management must assess securities that are in a significant unrealized loss position for

other than temporary impairment.

For these securities, management must make difficult and subjective judgments about the ability of

the issuer to be able to meet its obligations under terms of the security.

These judgments can have a significant impact on the

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the Critical Audit Matter was Addressed in the Audit

Our principal procedures related to the Company’s process for debt

securities valuations as well as the process for equity securities other than temporary impairment evaluation included are the following:

We evaluated management’s significant accounting policies related to the identification of other than temporary

principal procedures related to the Company’s process for debt securities valuations as well as the process for equity securities

other than temporary impairment evaluation included the following:

evaluated management’s significant accounting policies related to the identification of other than temporary impairment.

specialists, with specialized skills and knowledge, were involved in the assessment of the fair values for a sample of Level 2 investments.

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were appropriate.

Haynie & Company

Lake City, UT

July 31, 2025

We have served as the Company’s auditor since

August 7, 2026

have served as the Company’s auditor since 1992.

Risk Industries, Inc.

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Current Assets:

Cash and cash equivalents

cash equivalents

Investments and securities

Accounts receivable:

Trade, net of allowance for credit losses of $ 12,414 and $ 34,256 for 2025 and 2024, respectively

Federal solar tax credit receivable

Trade, net of allowance

for credit losses of $ 55,259 and $ 12,414 for 2026 and 2025, respectively

Income tax refund receivable

Federal solar tax credit

Inventories, net

Prepaid expenses

Total Current Assets

Property and Equipment, at cost, net

Investment in Limited Land Partnership, at cost

Investment in Limited

Land Partnership, at cost

Projects in process

Total Other Assets

Intangible Assets, net

Intangible Assets,

accompanying notes are an integral part of these financial statements.

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Current Liabilities

Accounts payable, trade

payable, trade

Dividends payable

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Accrued expenses

Income tax payable

Total Current Liabilities

Long-Term Liabilities

Deferred income taxes

Total Long-Term Liabilities

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Commitments and Contingencies

Stockholders’ Equity

Convertible preferred stock, 1,000,000 shares authorized,

Series 1—noncumulative, $ 20 stated value, 25,000 shares

authorized, 4,239 and 4,100 issued and outstanding

Convertible preferred stock, 1,000,000 shares authorized, Series 1—noncumulative,

$20 stated value, 25,000 shares authorized, 4,239 and 4,100 issued and outstanding

Common stock, Class A, $ .10 par value, 10,000,000 shares

authorized, 8,502,881 shares issued and outstanding

Common stock, Class A, $.10 par value, 10,000,000 shares authorized, 8,502,881 shares issued and outstanding

Stockholders’

Convertible preferred

stock, 1,000,000 shares authorized, Series 1—noncumulative, $ 20 stated value, 25,000 shares authorized, 4,239 issued and outstanding

Common stock,

Class A, $ .10 par value, 10,000,000 shares authorized, 8,502,881 shares issued and outstanding

Additional paid-in capital

Accumulated other comprehensive income (loss)

Accumulated other comprehensive

income (loss)

Retained earnings

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( 5,016,000 )

Total Stockholders’ Equity

TOTAL LIABILITES AND STOCKHOLDERS’ EQUITY

Total Stockholders’

TOTAL LIABILITES

AND STOCKHOLDERS’ EQUITY

accompanying notes are an integral part of these financial statements.

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the years ended April 30, 2026 and 2025

April 30, 2025

April 30, 2024

April 30, 2025

April 30, 2024

Cost of Goods Sold

Cost of Goods

( 12,902,000 )

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Interest (Expense)

Impairment on Investment in Limited Land Partnership

Dividend and Interest Income

Unrealized Gain (Loss) on Equity Securities

Dividend and Interest

Unrealized Gain (Loss)

on Equity Securities

Gain on Sale of Investments

Gain on Solar Tax Credit

(Loss) on Sale of Assets

on Sale of Assets

Total Other Income (Expense)

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Current Expense

Deferred tax expense (benefit)

Total Income Tax Expense

tax expense (benefit)

Income Tax Expense

Earnings Per Share of Common Stock

Weighted Average Number of Common Shares Outstanding (Basic)

Weighted Average Number of Common Shares Outstanding (Diluted)

Weighted Average Number of Common Shares

Outstanding (Basic)

Weighted Average Number of Common Shares

Outstanding (Diluted)

accompanying notes are an integral part of these financial statements.

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the years ended April 30, 2026 and 2025

April 30, 2025

April 30, 2024

April 30, 2025

April 30, 2024

Other Comprehensive Income (Loss), Net of Tax

Unrealized gain on debt securities:

Unrealized holding gains arising during period

Income tax (expense) related to other comprehensive income

Other Comprehensive Income

Other Comprehensive Income, Net of Tax

Unrealized gain on debt

Unrealized holding

gains arising during period

Income tax (expense)

related to other comprehensive

Other Comprehensive

Comprehensive Income

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Preferred Stock

Common Stock Class A

Balances, April 30, 2024

Additional shares of preferred stock found during an audit

Purchases of common stock

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Balances, April 30, 2025

Additional shares of preferred stock found during an audit

Purchases of common stock

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Comprehensive

Income (Loss)

Treasury Stock

(Common Class A)

Comprehensive

Income (Loss)

Balances, April 30, 2024

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$ ( 137,000 )

Additional shares of preferred stock found during an audit

Purchases of common stock

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Unrealized gain (loss), net of tax effect

Balance, April 30, 2024

Balances, April 30, 2025

( 5,016,000 )

Additional shares of preferred stock found during an audit

Purchases of common stock

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April 30, 2025

April 30, 2024

Cash Flows From Operating Activities:

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Realized (gain) on sale of investments

Impairment on investments

Unrealized (gain) loss on equity securities

( 4,517,000 )

Impairment on investment in limited land partnership

Provision for credit losses on accounts receivable

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Accounts receivable

( 1,051,000 )

Prepaid expenses

Other receivables

Income tax refund receivable

Federal solar tax receivable

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Cash Flows From Investing Activities:

Proceeds from sale of assets

(Purchase) of property and equipment

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(Purchase) of marketable securities

( 1,137,000 )

Distribution from investment in limited land partnership

Net cash from investing activities

( 1,470,000 )

Cash Flows From Financing Activities:

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Net Change in Cash and Cash Equivalents

( 1,315,000 )

Cash and Cash Equivalents, beginning of year

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to Financial Statements

of Business and Summary of Significant Accounting Policies

Nature of Business and Summary of Significant

Accounting Policies

Risk Industries, Inc.

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of Business — The Company is engaged in the design, manufacture, and marketing of custom computer keyboards, proximity sensors,

security alarm components, pool access alarms, liquid detection sensors, raceway wire covers, wire and cable installation tools and various

other sensors and devices.

security alarm components, pool access alarms, liquid detection sensors, raceway wire covers, wire and cable installation tools, and

various other sensors and devices.

and Cash Equivalents — The Company considers all investments with a maturity of three months or less to be cash equivalents.

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The Company sells its products to security alarm distributors, alarm installers, and original equipment manufacturers.

extends credit to its customers based on their credit worthiness and performs continuing credit evaluations of its customers’ financial

If the Company believes the extension of credit is not advisable, other payment methods such as prepayments are required.

Balances deemed uncollectible by the Company are written off against our allowance for credit loss accounts.

extends credit to its customers based on their creditworthiness and performs continuing credit evaluations of its customers’ financial

If the Company believes extending credit is not advisable, other payment methods, such as prepayments, are required.

deemed uncollectible by the Company are written off against our allowance for credit loss accounts.

Company maintains an allowance for estimated credit losses related to accounts receivable for future expected credit losses resulting

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We estimate our allowance for credit losses based on

relevant information such as historical experience, current conditions, and future expectation of specifically identified customer balances.

relevant information such as historical experience, current conditions, and future expectations of specifically identified customer balances.

This allowance is adjusted as appropriate to reflect current conditions.

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For the year ended April 30, 2026, the provision

for credit losses on accounts receivable was a credit of $ 21,842 compared to an expense of $ 16,334 for the year ended April 30, 2024.

for credit losses on accounts receivable was an expense of $ 42,845 compared to a credit of $ 21,842 for the year ended April 30, 2025.

Concentrations

of Credit Risk — The Company has a limited number of customers with individually substantial amounts due at any given date.

Any unanticipated change in any one of these customers’ credit worthiness or other matters affecting the collectability of amounts

Any unanticipated change in any one of these customers’ creditworthiness or other matters affecting the collectability of amounts

due from such customers could have a material effect on the results of operations in the period in which such changes or events occur.

of Business and Summary of Significant Accounting Policies, continued

— Inventories are stated at the lower of cost or net realized value.

— Inventories are stated at the lower of cost or net realizable value.

Cost is determined using the average cost-pricing method.

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Property and equipment, net

expense of $ 366,000 was charged to operations for each of the years ended April 30, 2025 and 2024, respectively.

following tables summarize key property, plant, and equipment components, by product line and corporate, for the years ended April 30,

2025 and 2024:

of Property, Plant, and Equipment Components, by Product Line and Corporate

April 30, 2025

April 30, 2024

Identifiable assets:

Security alarm products

Cable & wiring tools

Other products

Corporate general

Depreciation and amortization:

Security alarm products

Cable & wiring tools

Other products

Corporate general

Total depreciation and amortization

Capital expenditures:

Security alarm products

Cable & wiring tools

Other products

Corporate general

Total capital expenditures

of Business and Summary of Significant Accounting Policies, continued

expense of $ 229,000 and $ 366,000 was charged to operations for each of the years ended April 30, 2026 and 2025, respectively.

and repairs are charged to expenses as incurred, and expenditures for major improvements are capitalized.

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in Winter Park-Grand County, CO for investment purposes for a total of $ 200,000 .

Over the years, there has been a total of $ 144,000 of

additional contributions to aid in improvements and recurring expenses such as debt service, utilities, taxes, maintenance, insurance,

Over the years, there have been a total of $ 144,000

in additional contributions to support improvements and recurring expenses such as debt service, utilities, taxes, maintenance, insurance,

and professional fees.

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Fortunately, the sale finally happened on June 30, 2023.

Disbursement of the sale proceeds are contingent

on finishing wetland restoration of the land, but the LLP made distributions of the net proceeds in January 2024 in the amount of $ 12,000

and in July 2024 in the amount of $ 255,000 .

Upon receiving information from the LLP management team, additional details about the contingent

ongoing expenses were given to GRI and it has been determined that there is a $ 38,000 impairment on this investment, which has been accounted

for during the year ended April 30, 2024.

Disbursement of the sale proceeds was contingent

on completing wetland restoration of the land, and we have received net proceeds totaling $ 292,000 over the last two fiscal years.

Assets — Intangible assets are amortized on a straight-line basis over their estimated useful lives, unless it is determined

their lives to be indefinite.

that their lives are indefinite.

The intangible asset currently being amortized is intellectual property with a useful life of 15 years.

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of April 30, 2026, future amortization of intangible assets is expected as follows:

of Future Amortization of Intangible Asset s

of Future Amortization of Intangible Assets

Fiscal year end

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Dilutive earnings per share exclude all potential common shares if their effect is anti-dilutive.

Nature of Business and Summary of Significant Accounting Policies, continued

— Advertising costs are expensed as incurred and are included in selling expenses.

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Measurement of the deferred tax items is based on enacted tax laws.

the future consequences of differences between financial reporting bases and tax bases of the Company’s assets or liabilities result

in a deferred tax asset, we evaluate the probability of realizing the future benefits comprising that asset and record a valuation allowance

if considered necessary.

standards prescribe a recognition threshold and a measurement attribute for the financial statement recognition and measurement of the

positions taken or expected to be taken in a tax return.

For those benefits to be recognized, a tax position must be more likely than

not to be sustained upon examination by taxing authorities.

A “more likely than not” tax position is measured as the largest

amount of benefit that is greater than a fifty percent likelihood of being realized upon ultimate settlement, or else a full reserve

is established against the tax asset or a liability is recorded.

The Internal Revenue Service (“IRS”) may generally access

additional income tax records for the most recent three years.

This would generally prevent the IRS from opening an examination for years

ending on or before April 30, 2021.

However, there are exceptions that can extend the statute of limitations to six years, and in some

cases, prevent the statute of limitations from ever expiring.

Interest and penalties accrued on uncertain tax positions are recorded

as income tax expense.

has been determined that the Company does not have uncertain tax positions on its tax returns for the years 2024, 2023, and prior.

on evaluation of the 2025 transactions and events, the Company does not have any material uncertain tax positions that require measurement.

that the future consequences of differences between the financial reporting and tax bases of the Company’s assets or liabilities

result in a deferred tax asset, we evaluate the probability of realizing the future benefits comprising that asset and record a valuation

allowance if considered necessary.

standards prescribe a recognition threshold and a measurement attribute for the recognition and measurement of positions taken or expected

to be taken in a tax return.

For a tax benefit to be recognized, a tax position must be more likely than not to be sustained upon examination

by taxing authorities.

A “more likely than not” tax position is measured as the largest amount of benefit that is greater

than a fifty percent likelihood of being realized upon ultimate settlement, or else a full reserve is established against the tax asset

or a liability is recorded.

The Internal Revenue Service (“IRS”) may generally access additional income tax records for the

most recent three years.

This would generally prevent the IRS from opening an examination for years ending on or before April 30, 2021.

However, there are exceptions that can extend the statute of limitations to six years, and in some cases, prevent the statute of limitations

from ever expiring.

Interest and penalties accrued on uncertain tax positions are recorded as income tax expense.

has determined that it has no uncertain tax positions on its tax returns for the years 2025, 2024, and prior.

the evaluation of the 2026 transactions and events, the Company has no material uncertain tax positions that require measurement.

of Transferrable Tax Credits – In September 2024, pursuant to transferability provisions of the Inflation Reduction Act of

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year and for up to the prior four fiscal years.

Once the amount of the current federal income tax due is known, amendments will be made

to the prior fiscal years until the total credit has been used.

As of April 30, 2025, this is shown as a receivable of $ 2,154,000 .

the year ended April 30, 2025, a gain on Solar Tax Credit of $ 515,000 has been recognized in our condensed statements of operations.

In January 2026, the Company purchased an additional

Solar Tax Credit of $ 960,000 in exchange for consideration of $ 826,000 , resulting in a gain of $ 134,000 for fiscal year 2026.

amount of current federal income tax due for fiscal year 2026 is finalized, amendments will be made to prior fiscal years' returns until

the credit has been fully utilized.

As of April 30, 2026, $ 2,300,000 of purchased credits remained unapplied and is reflected as a receivable

on the Company's balance sheet.

Gains on the Solar Tax Credit of $ 134,000 and $ 515,000 for fiscal years 2026 and 2025, respectively, are

recognized within the Company's income statements.

These purchased credits are accounted for outside the scope of ASC 740 and, accordingly,

are not reflected as a component of income tax expense or within the effective tax rate reconciliation above;

amounts applied against

the Company's federal income tax liability do, however, reduce the cash income taxes paid disclosed above.

Estimates — The preparation of these financial statements requires the use of estimates and assumptions, including the carrying

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are disclosed in Note 10.

Nature of Business and Summary of Significant Accounting Policies, continued

— The accounting policies for the Company’s principal investments are as follows:

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Effective May 1, 2018, the Company adopted Accounting Standards Update 2016-01, “Financial Instruments-Overall (ASC Subtopic 825-10):

Recognition and Measurement of Financial Assets and Financial Liabilities”.

As a result, the Company measures its equity securities

Recognition and Measurement of Financial Assets and Financial Liabilities.” As a result, the Company measures its equity securities

at fair value and recognizes any changes in fair value in net income.

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and losses on sales of securities are generally determined on a first-in-first-out (“FIFO”) basis.

Company evaluates all marketable securities for other-than temporary declines in fair value, which are defined as when the cost basis

exceeds the fair value for approximately one year.

The Company also evaluates the nature of the investment, cause of impairment and number

of investments that are in an unrealized position.

When an “other-than-temporary” decline is identified, the Company will

decrease the cost of the marketable security to the new fair value and recognize a real loss.

The investments are periodically evaluated

to determine if impairment changes are required.

Recognition —The Company accounts for revenue using the guidance provided by ASC 606, “Revenue from Contracts with Customers.”

Company evaluates all marketable securities for other-than-temporary declines in fair value, defined as when the cost basis exceeds fair

value for approximately one year.

The Company also evaluates the nature of the investment, cause of impairment, and number of investments

that are in an unrealized position.

When an “other-than-temporary” decline is identified, the Company will reduce the cost

of the marketable security to its new fair value and recognize a realized loss.

The investments are periodically evaluated to determine

if impairment changes are required.

Recognition — The Company accounts for revenue in accordance with ASC 606, “Revenue from Contracts with Customers.”

The Company recognizes product revenue using a five-step approach to determine the amount and timing of revenue to be recognized.

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The Company recognizes revenue for product sales upon transfer of title to the customer.

Customer purchase orders and/or contracts are generally used to determine the existence of an arrangement.

Shipping documents and the

completion of any customer acceptance requirements, when applicable, are used to verify product delivery or that services have been rendered.

The Company assesses whether a price is fixed or determinable based upon the payment terms associated with the transaction and whether

the sales price is subject to refund or adjustment.

Customer purchase orders and/or contracts are generally used to determine whether an arrangement exists.

Shipping documents and the completion

of any customer acceptance requirements, when applicable, are used to verify product delivery or that services have been rendered.

Company assesses whether a price is fixed or determinable based upon the payment terms associated with the transaction and whether the

sales price is subject to refund or adjustment.

Payments received from customers in advance of product shipment or revenue recognition

are treated as deferred revenues and recognized when the product is shipped.

following table presents the changes in the Company’s deferred income balance for the fiscal years ended April 30, 2026 and April

of Deferred Income Recognized

April 30, 2026

April 30, 2025

Deferred income, beginning of year

Additions – considerations received from customers

Income recognized during the period

Deferred income, end of year

Revenue recognized that was included in the deferred income at the beginning of year

Consideration — The Company measures revenue as the amount of consideration for which it expects to be entitled in exchange

for transferring goods.

Certain customers may receive cash and/or non-cash incentives such as cash rebates, customer discounts (such

Certain customers may receive cash and/or non-cash incentives, such as cash rebates and customer discounts (such

as volume or trade discounts), which are accounted for as variable consideration.

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contractual rates and historical payment trends, when estimating variable consideration.

Returns — In the normal course of business, the Company may allow customers to return products per the provisions in a sale

Estimated product returns are recorded as a reduction in reported revenues with offsetting entries recorded in the balance

sheet quarterly based upon historical product return experience, adjusted for known trends, to arrive at the amount of consideration

expected to receive.

Returns — In the normal course of business, the Company may allow customers to return products in accordance with the provisions

of a sale agreement.

Estimated product returns are recorded as a reduction in reported revenues with offsetting entries recorded in the

balance sheet quarterly based upon historical product return experience, adjusted for known trends, to arrive at the amount of consideration

expected to be received.

Warranties — In the normal course of business, the Company offers warranties for a variety of its products.

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Shipping and handling costs are recorded as cost of sales.

Nature of Business and Summary of Significant Accounting Policies, continued

and Development Costs — Generally, costs related to the research, design, and development of products are charged to engineering

expense as incurred.

Certain research and development costs are recognized under assets in the balance sheet.

Certain research and development costs are recognized as assets on the balance sheet.

Comprehensive

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Board (FASB).

This new standard requires an enhanced disclosure of significant segment expenses on an annual basis.

This new standard requires enhanced disclosure of significant segment expenses annually.

Segments and Related Disclosures

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Maker (“CODM”) reviews and manages our business.

The Company’s CODM is Stephanie Risk-McElroy, President and Chief

Executive and Financial Officer.

information and annual operating plans and forecasts are prepared and reviewed by the CODM at an entity level.

The Company’s CODM is Stephanie Risk-McElroy, President, Chief Executive,

and Financial Officer.

information, annual operating plans, and forecasts are prepared and reviewed by the CODM at the entity level.

The CODM assesses performance

for the segment and decides how to better allocate resources based on net income that is reported on the Statements of Income and Comprehensive

for the segment and decides how to allocate resources more effectively based on net income reported in the Statements of Income and Comprehensive

The Company’s objective in making resource allocation decisions is to optimize the financial results.

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2023-09, Improvements to Tax Disclosures (Topic

740) , to enhance the transparency and decision usefulness of income tax disclosures through changes to the rate reconciliation and

income taxes paid information.

740) , to enhance the transparency and decision usefulness of income tax disclosures by changing the rate reconciliation and income

taxes paid information.

This guidance is effective for fiscal years beginning after December 15, 2024, with early adoption permitted.

The Company is evaluating the impact of adopting this new accounting guidance on its Consolidated Financial Statements.

The Company has adopted this standard, which has had minimal impact on its Financial Statements

November 2024, the FASB issued ASU No.

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the impact of adopting this new accounting guidance on its Consolidated Financial Statements.

July 2025, the FASB issued ASU No.

2025-05, Financial Instruments - Credit Losses (Topic 326):

Measurement of Credit Losses for Accounts

Receivable and Contract Assets , which provides that in developing supportable forecasts as part of estimating expected credit losses,

all entities may elect a practical expedient that assumes that current conditions as of the balance sheet date do not change for the

remaining life of the asset.

This guidance is effective for annual reporting periods beginning after December 15, 2025, and interim reporting

periods within those annual reporting periods.

Early adoption is permitted in both interim and annual reporting periods in which financial

statements have not yet been issued or made available for issuance.

An entity that elects the practical expedient should apply the amendment

prospectively.

The Company does not expect the adoption of this new accounting guidance to have a material effect on its Consolidated

Financial Statements.

Events – Management has evaluated all events or transactions that occurred after April 30, 2026 through the date of the filing.

During this period, the Company did not have any material recognizable subsequent events.

at April 30, 2025 and 2024, consisted of the following:

During this period, the Company had no material recognizable subsequent events.

as of April 30, 2026 and 2025 consisted of the following:

of Inventories

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are recorded at fair value.

The investments in debt securities, which include municipal bonds and bond funds, mature between August 2025

The investments in debt securities, which include municipal bonds and bond funds, mature between June 2026

and December 2050.

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Municipal bonds

$ ( 135,000 )

Equity securities

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Upon the disposition of a marketable security,

the Company records a realized gain or (loss) on the Company’s statements of income.

the Company records a realized gain or (loss) on the Company’s income statement.

Company evaluates all investments for other-than-temporary declines in fair value, which are defined as when the cost basis exceeds the

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The investments are periodically evaluated to determine if impairment changes are required.

As a result of this standard, there were no impairment losses recorded for the year ended April 30, 2025, while management recorded an

impairment loss of $ 22,000 for the year ended April 30, 2024.

As a result of this standard, there were no impairment losses recorded for the years ended April 30, 2026 and 2025.

Company’s investments are actively traded in the stock and bond markets.

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realized gains of $ 1,199,000 and gross realized losses of $ 312,000 .

For the same period, there were not any sales of debt securities

for gross realized gains, but sales of debt securities yielded gross realized losses of $ 21,000 .

For the same period, there were sales of debt securities that yielded

$ 25,000 of gross realized gains, and sales of debt securities yielded gross realized losses of $ 14,000 .

Comparatively, the Company recorded

gross realized gains on equity securities of $ 1,222,000 and gross realized losses of $ 264,000 for the fiscal year ending April 30, 2025.

As for debt securities, there were not any sales of debt securities for gross realized gains, but sales of debt securities yielded gross

realized losses of $ 28,000 for the fiscal year ending April 30, 2024.

The gross realized loss numbers include the impaired figures listed

in the previous paragraph.

Additionally, proceeds from sales of securities available for sale were $ 678,000 and $ 527,000 for the years

ended April 30, 2025 and 2024 respectively.

following table shows the investments with unrealized losses that are not deemed to be other-than-temporarily impaired, aggregated by

investment category and length of time that individual securities have been in a continuous unrealized loss position, as of April 30,

2025 and 2024.

As for debt securities, there were no sales of debt securities for gross realized gains, but sales of debt securities yielded gross realized

losses of $ 21,000 for the fiscal year ending April 30, 2025.

The gross realized loss numbers include the impaired figures listed in the

previous paragraph.

Additionally, proceeds from sales of securities available for sale were $ 25,000 and $ 678,000 for the years ended

April 30, 2026 and 2025, respectively.

following table shows investments with unrealized losses that are not deemed other-than-temporarily impaired, aggregated by investment

category and the length of time individual securities have been in a continuous unrealized loss position, as of April 30, 2026 and 2025.

of Unrealized Loss Breakdown by Investment Type

Unrealized Loss Breakdown by Investment Type as of April 30, 2025

Schedule of Unrealized Loss Breakdown by Investment Type

Unrealized Loss

Loss Breakdown by Investment Type as of April 30, 2026

Less than 12 months

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Municipal bonds

$ ( 114,000 )

$ ( 135,000 )

$ ( 132,000 )

$ ( 175,000 )

$ ( 307,000 )

Equity securities

$ ( 124,000 )

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Loss Breakdown by Investment Type as of April 30, 2025

Unrealized Loss

Less than 12 months

6 unchanged sentences

$ ( 135,000 )

Equity securities

$ ( 132,000 )

1 unchanged sentence

$ ( 307,000 )

unrealized losses on the Company’s investments in municipal bonds were caused by interest rate increases.

$ ( 153,000 )

$ ( 296,000 )

$ ( 449,000 )

unrealized losses on the Company’s investments in municipal bonds resulted from interest rate increases.

The contractual terms

of these investments do not permit the issuer to settle the securities at a price less than the amortized cost of the investment.

the Company has the ability to hold these investments until a recovery of fair value occurs, which may be maturity, the Company does

the Company has the ability to hold these investments until a recovery of fair value occurs, which may be at maturity, the Company does

not consider these investments to be other-than-temporarily impaired as of April 30, 2026 and 2025.

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these investments to be other-than-temporarily impaired as of April 30, 2026 and 2025.

Retirement Benefit Plan

January 1, 1998, the Company adopted the George Risk Industries, Inc.

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Stockholders’

Stock — Each share of the Series #1 preferred stock is convertible at the option of the holder into five shares of Class A common

stock and is also redeemable at the option of the board of directors at $ 20 per share.

The holders of the convertible preferred stock

shall be entitled to a dividend at a rate up to $ 1 per share annually, payable quarterly as declared by the board of directors.

were declared or paid during the two years ended April 30, 2025 and 2024.

Stock — Each share of the Series #1 preferred stock is convertible, at the option of the holder, into five shares of Class A

common stock and is also redeemable, at the option of the board of directors, at $ 20 per share.

The holders of the convertible preferred

stock shall be entitled to a dividend at a rate up to $ 1 per share annually, payable quarterly as declared by the board of directors.

No dividends were declared or paid during the two years ended April 30, 2026 and 2025.

preferred stock without par value may be issued from time to time as determined by the board of directors.

1 unchanged sentence

shall be of equal rank but may vary as to terms and conditions.

an audit conducted in May 2025, it was discovered that an additional 139 preferred stock shares were issued but not accounted for on

the balance sheet.

an audit conducted in May 2025, it was discovered that an additional 139 preferred stock shares had been issued but were not accounted

for on the balance sheet.

A journal entry has been made to remedy this error.

A Common Stock —The holders of the Class A common stock are entitled to receive dividends as declared by the board of directors,

A dividend for the four prior quarters and provision has been made for the full dividend in the current fiscal year.

usually on an annual basis.

the fiscal year ended April 30, 2026, the Company purchased 3,376 shares of Class A common stock.

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The Company maintains all stock records.

Earnings Per Share

and diluted earnings per share, assuming convertible preferred stock was converted for each period presented, are:

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Effect of dilutive Convertible Preferred Stock

Contingencies, and Related Party Transactions

of the directors of the board, Joel Wiens, is the principal shareholder of FirsTier Bank.

FirsTier Bank is the financial institution

the Company uses for its day-to-day banking operations.

Year end balances of accounts held at this bank are $ 5,433,000 and $ 6,712,000

for the years ended April 30, 2025 and 2024, respectively.

The Company also received interest income from FirsTier Bank in the amount

of approximately $ 215,000 for the year ended April 30, 2025 and $ 170,000 for the year ended April 30, 2024.

Commitments, Contingencies, and Related Party Transactions

of the directors of the board, Joel Wiens, was the principal shareholder of FirsTier Bank.

After his death on March 8, 2026, this ownership

transferred to his two sons, Tim and Tom Wiens.

FirsTier Bank is the financial institution the Company uses for its day-to-day banking

Year-end balances of accounts held at this bank are $ 4,249,000 and $ 5,433,000 for the years ended April 30, 2026 and 2025,

respectively.

The Company also received interest income from FirsTier Bank in the amount of approximately $ 154,000 for the year ended

April 30, 2026 and $ 215,000 for the year ended April 30, 2025.

time to time, the Company may be involved in litigation in the ordinary course of business.

4 unchanged sentences

future income and deductions implicit in the Balance Sheets.

The income tax provision for the fiscal year ended April 30, 2025 and 2024

The income tax provision for the fiscal years ended April 30, 2026 and 2025

consisted of the following:

of Income Tax Provision

Year Ended April 30,

of Components of Income Tax Provision

Total income tax provision

Reconciliation

of income taxes with Federal and State taxable income:

of Reconciliation of Income Taxes with Federal and State Taxable Income

for the fiscal year ended April 30, 2026, the Company adopted Accounting Standards Update (ASU) 2023-09, Income Taxes (Topic 740):

Improvements to Income Tax Disclosures , which is effective for public business entities for annual periods beginning after December

ASU 2023-09 expands the required disclosures related to the Company's effective tax rate reconciliation, income taxes paid,

and the disaggregation of income before income taxes and income tax expense between domestic and foreign jurisdictions.

The Company has

applied these requirements prospectively and, for comparability, has presented the fiscal 2025 information below on the same basis to

the extent the underlying detail was available.

Before Income Taxes and Income Tax Expense by Jurisdiction

of Income Before Income Taxes and Income Tax Expense by Jurisdiction

Income before income taxes:

State income tax deduction

Interest and dividend income

Nondeductible expenses and timing differences

( 2,379,000 )

Taxable income

The following schedule reconciles the provision for income taxes to the amount computed by applying the statutory rate to income before

income taxes:

Schedule of Statutory Rate to

Income Before Taxes

Income tax provision at statutory rate

Increase (decrease) income taxes resulting from:

State income taxes

Interest and dividend income

Deferred taxes

Other temporary and permanent differences

Income tax expense (benefit):

Company is domiciled in, and conducts substantially all of its business operations in, the United States.

The Company has no foreign

subsidiaries, branches, or operations;

accordingly, all income before income taxes is classified as domestic.

Foreign income tax expense

represents withholding taxes assessed by foreign jurisdictions on dividend income earned on the Company's portfolio of foreign equity

Tax Rate Reconciliation

of Effective Tax Rate Reconciliation

federal statutory income tax rate

State and local income tax, net of federal income tax effect

Foreign tax effects

Effect of cross-border tax laws

Effect of changes in tax laws or rates enacted in the current period

Non-taxable or non-deductible items

Tax credits (primarily foreign tax credit)

Changes in valuation allowances

Changes in unrecognized tax benefits

Other adjustments, net *

Income tax expense

Federal tax rate

State tax rate

Blended statutory rate

Deferred tax assets (liabilities) consist of the following components as of April 30, 2025 and 2024:

* Other adjustments,

net primarily reflect true-ups of the prior year's federal and state income tax provisions to amounts reported on the related income

tax returns as filed, together with other federal tax credits not separately disaggregated above.

reconciliation above begins with the U.S.

federal statutory income tax rate of 21 %, the statutory rate of the jurisdiction in which the

Company is domiciled.

Substantially all of the state and local income tax category relates to Nebraska, the state in which the Company

is domiciled and conducts substantially all of its operations.

No individual foreign jurisdiction, and no individual reconciling item

within a foreign jurisdiction, met the 5% disaggregation threshold under ASC 740-10-50-12A(b) in either year presented;

foreign tax effects

and related foreign tax credits relate to withholding taxes on the Company's portfolio of foreign dividend-paying securities.

or non-deductible items consist primarily of the dividends-received deduction and tax-exempt interest income.

The Company had no valuation

allowance against its deferred tax assets and no unrecognized tax benefits as of April 30, 2026 or 2025.

of Income Taxes Paid

Total income taxes paid, net of refunds received

presented reflect cash income taxes paid, net of refunds received, during each fiscal year.

Substantially all state income taxes paid

relate to Nebraska.

No individual foreign jurisdiction represented 5% or more of total income taxes paid, net of refunds received, in

either year presented.

Federal income taxes paid, net of refunds, do not include amounts paid to acquire purchased Solar Tax Credits

(see Purchase of Transferable Tax Credits below);

amounts applied to satisfy the Company's federal income tax liability using such credits

reduce cash otherwise remitted to the IRS and are reflected in the amounts above.

Tax Assets (Liabilities)

tax assets (liabilities) consist of the following components as of April 30, 2026 and 2025:

of Deferred tax assets (liabilities)

Deferred tax assets (liabilities):

$ ( 256,000 )

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Accrued vacation

Accumulated unrealized (gain)/loss on investments

Accumulated unrealized gain on investments

( 3,567,000 )

( 2,549,000 )

Net deferred tax assets (liabilities)

Net deferred tax liabilities

$ ( 3,318,000 )

6 unchanged sentences

uninsured balances of $ 3,999,000 and $ 5,183,000 , respectively.

Management believes that this financial institution is financially sound

and the risk of loss is minimal.

Management believes this financial institution is sound and that the risk

of loss is minimal.

also has cash funds with Wells Fargo Bank with uninsured balances of $ 712,000 and $ 881,000 for the years ending April 30, 2026 and 2025,

respectively.

Management believes that this financial institution is financially sound and the risk of loss is minimal.

Management believes this financial institution is sound and that the risk of loss is minimal.

Company has sales to a security alarm distributor representing 37 % of total sales for the years ended April 30, 2026 and 2025, respectively.

This distributor accounted for 56 % of accounts receivable at both years ended April 30, 2025 and 2024, respectively.

switch sales made up 89 % of total sales for the fiscal year ending April 30, 2025 and 90 % of total sales for the fiscal year ending April

Value Measurements

carrying value of the Company’s cash and cash equivalents, accounts receivable and accounts payable approximate their fair value

This distributor accounted for 49 % and 56 % of accounts receivable at the years ended April 30, 2026 and 2025, respectively.

switch sales accounted for 96 % of total sales for the fiscal year ending April 30, 2026, and 89 % for the fiscal year ending April 30,

Fair Value Measurements

carrying amounts of the Company’s cash and cash equivalents, accounts receivable, and accounts payable approximate their fair values

due to their short-term nature.

6 unchanged sentences

assumptions that market participants would use in pricing the asset or liability, such as inherent risk, transfer restrictions, and credit

GAAP establishes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value.

GAAP establishes a fair value hierarchy that prioritizes the inputs used in valuation techniques to measure fair value.

The hierarchy

2 unchanged sentences

The levels of the fair value hierarchy under US GAAP are described

Valuation is based upon quoted

prices for identical instruments traded in active markets.

Valuation is based upon quoted

prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active,

and model-based valuation techniques for which all significant assumptions are observable in the market.

Valuation is generated from

model-based techniques that use significant assumptions not observable in the market.

These unobservable assumptions reflect our own

estimates of assumptions that market participants would use in pricing the asset or liability.

Valuation techniques include the use

of option pricing models, discounted cash flow models and similar techniques.

Value Measurements, continued

Valuation is based on quoted prices for identical instruments traded in active markets.

Valuation is based on quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active, and model-based valuation techniques for which all significant assumptions are observable in the market.

Valuation is generated using model-based techniques that use significant assumptions not observable in the market.

These unobservable assumptions reflect our own estimates of assumptions that market participants would use in pricing the asset or liability.

Valuation techniques include the use of option pricing models, discounted cash flow models, and similar techniques.

and Marketable Securities

2 unchanged sentences

Marketable securities are valued using third-party broker statements.

The value of the majority

of securities is derived from quoted market information.

The inputs to the valuation are classified as Level 1 given the active market

for these securities;

however, if an active market does not exist, which is the case for municipal bonds and REITs;

the inputs are recorded

The value of most securities

is derived from quoted market information.

The inputs to the valuation are classified as Level 1 given the active market for these securities;

however, if an active market does not exist, which is the case for municipal bonds and REITs, the inputs are recorded as Level 2.

Value Hierarchy

following tables set forth our assets and liabilities measured at fair value on a recurring basis and a non-recurring basis by level

within the fair value hierarchy.

As required by US GAAP, assets and liabilities are classified in their entirety based on the lowest

level of input that is significant to the fair value measurement.

following tables set forth our assets and liabilities measured at fair value on a recurring and non-recurring basis, by level within

the fair value hierarchy.

As required by US GAAP, assets and liabilities are classified in their entirety based on the lowest level of

input that is significant to the fair value measurement.

of Assets Measured at Fair Value on Recurring Basis

9 unchanged sentences

Total fair value of assets measured on a recurring basis

Changes in and Disagreements with Accountants on Accounting

and Financial Disclosures

in and Disagreements with Accountants on Accounting and Financial Disclosures

were no disagreements with accountants on accounting and financial disclosure.

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 8. Financial Statements and Supplementary Data