What changed in this filing

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Item 8. Financial Statements and Supplementary Data

2025-08-12 compared with 2024-07-31 · 281 added, 256 removed, 544 unchanged (50% of the section changed)

Financial Statements and Supplementary Data

Statements and Supplementary Data

to Financial Statements

7 unchanged sentences

Notes to Financial Statements

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

the Board of Directors and

of George Risk Industries, Inc.

OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

the Board of Directors and Stockholders of George Risk Industries, Inc.

on the Financial Statements

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

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

Those standards require that we plan and perform the audits 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 – Inventory Valuation

Critical Audit Matter Description

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 judgements.

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

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.

the Critical Audit Matter was Addressed in the Audit

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.

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.

Audit Matter – Valuation of Investments

Critical Audit Matter Description

Audit Matter Description

company has investments in publicly traded equity securities, state and municipal debt securities, REITS, and money markets and they

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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

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 Company’s reported earnings

if they should prove to be significantly inaccurate.

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

Company’s reported earnings if they should prove to be significantly inaccurate.

the Critical Audit Matter was Addressed in the Audit

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:

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

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

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.

have served as the Company’s auditor since 1992.

Salt Lake City, UT

Haynie & Company

Lake City, UT

July 31, 2025

We have served as the Company’s auditor since

Risk Industries, Inc.

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Current Assets:

cash equivalents

Cash and cash equivalents

Investments and securities

Accounts receivable:

Trade, net of allowance

for credit losses of $ 34,256 and $ 17,922 for 2024 and 2023, respectively

Income tax overpayment

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

Federal solar tax credit receivable

Inventories, net

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Property and Equipment, at cost, net

Investment in Limited

Land Partnership, at cost

Investment in Limited Land Partnership, at cost

Projects in process

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Current Liabilities

payable, trade

Accounts payable, trade

Dividends payable

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Stockholders’ Equity

Convertible preferred

stock, 1,000,000 shares authorized, Series 1—noncumulative, $ 20 stated value, 25,000 shares authorized, 4,100 issued and outstanding

Common stock, Class

10 par value, 10,000,000 shares authorized, 8,502,881 shares 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

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

Additional paid-in capital

Accumulated other comprehensive

income (loss)

Accumulated other comprehensive income (loss)

Retained earnings

treasury stock,

3,606,151 and 3,572,338 shares, at cost

treasury stock, 3,610,451 and 3,606,151 shares, at cost

( 5,016,000 )

1 unchanged sentence

Total Stockholders’ Equity

TOTAL LIABILITES AND 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, 2025 and 2024

April 30, 2025

April 30, 2024

April 30, 2025

April 30, 2024

Cost of Goods Sold

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Other Income (Expense)

Impairment on Investment

in Limited Land Partnership

Dividend and Interest

Unrealized Gain (Loss)

on Equity Securities

Gain (Loss) on Sale

of Investment

Gain on Sale of Assets

Interest (Expense)

Impairment on Investment in Limited Land Partnership

Dividend and Interest Income

Unrealized Gain (Loss) on Equity Securities

Gain on Sale of Investments

Gain on Solar Tax Credit

(Loss) on Sale of Assets

Total Other Income (Expense)

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Current Expense

Deferred tax expense

Deferred tax expense (benefit)

Total 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, 2025 and 2024

Other Comprehensive Income (Loss), Net of

Unrealized gain (loss)

on debt securities:

Unrealized holding gains

(losses) arising during period

tax benefit (expense) related to other comprehensive income

Comprehensive Income (Loss)

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

Comprehensive Income

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the Years Ended April 30, 2025 and 2024

Stock Class A

April 30, 2022

Prior period adjustment for provisions related

to depreciation

Preferred Stock

Balances, April 30, 2023

Purchases of common stock

Dividend declared at $ 0.60 per common share

Dividend declared at $ 0.65 per common share outstanding

Unrealized gain (loss), net of tax effect

Balances, April 30, 2024

Additional shares of preferred stock found during an audit

Purchases of common stock

Dividend declared at $ 0.65 per common share

Dividend declared at $ 1.00 per common share outstanding

Unrealized gain (loss), net of tax effect

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Comprehensive

Income (Loss)

Treasury Stock

(Common Class A)

Comprehensive

Income (Loss)

Balances, April 30, 2023

Prior period adjustment

for provisions related to depreciation

$ ( 4,554,000 )

$ ( 161,000 )

Purchases of common stock

Dividend declared at $0.65 per common share outstanding

( 3,203,000 )

Unrealized gain (loss), net of tax effect

April 30, 2023

Balance, April 30, 2024

( 4,945,000 )

Additional shares of preferred stock found during an audit

Purchases of common stock

Dividend declared at $1.00 per common share outstanding

Dividend declared per common share

( 4,897,000 )

Unrealized gain (loss), net of tax effect

Balance, April 30, 2025

$ ( 5,016,000 )

accompanying notes are an integral part of these financial statements.

1 unchanged sentence

of Cash Flows

Cash Flows From Operating

Adjustments to reconcile

net income to net cash provided by operating activities:

April 30, 2025

April 30, 2024

April 30, 2025

April 30, 2024

Cash Flows From Operating Activities:

Adjustments to reconcile net income to net cash provided by operating activities:

Depreciation and amortization

Realized (gain) loss

on sale of investments

Realized (gain) on sale of investments

Impairment on investments

Unrealized (gain) loss

on equity securities

Unrealized (gain) loss on equity securities

( 2,771,000 )

Impairment on investment

in limited land partnership

Provision for credit

losses on accounts receivable

Reserve for obsolete

(Gain) on sale of assets

Impairment on investment in limited land partnership

Provision for credit losses on accounts receivable

Reserve for obsolete inventory

Loss on sale of assets

Deferred income taxes

Changes in assets and

(Increase) decrease

Changes in assets and liabilities:

(Increase) decrease in:

Accounts receivable

( 3,604,000 )

Prepaid expenses

Other receivables

Income tax overpayment

Increase (decrease)

Federal solar tax receivable

( 2,154,000 )

Increase (decrease) in:

Accounts payable

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Income tax payable

Net cash from operating

Cash Flows From Investing

Proceeds from sale of

(Purchase) of property

and equipment

Proceeds from sale of

marketable securities

(Purchase) of marketable

Net cash from operating activities

Cash Flows From Investing Activities:

Proceeds from sale of assets

(Purchase) of property and equipment

Proceeds from sale of marketable securities

(Purchase) of marketable securities

Distribution from investment in limited land partnership

Net cash from investing

( 1,275,000 )

Cash Flows From Financing

(Purchase) of treasury

Net cash from investing activities

Cash Flows From Financing Activities:

(Purchase) of treasury stock

Dividends paid

1 unchanged sentence

( 2,915,000 )

Net cash from financing

( 3,306,000 )

Net cash from financing activities

( 4,519,000 )

Net Change in Cash and

Cash Equivalents

( 3,306,000 )

Cash and Cash Equivalents,

beginning of year

Cash and Cash Equivalents,

Supplemental Disclosure

for Cash Flow Information:

Net Change in Cash and Cash Equivalents

Cash and Cash Equivalents, beginning of year

Cash and Cash Equivalents, end of year

Supplemental Disclosure for Cash Flow Information:

Cash payments for:

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to Financial Statements

Nature of Business and Summary of Significant Accounting Policies , continued

of Business and Summary of Significant Accounting Policies

Risk Industries, Inc.

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For the year ended April 30, 2025, the provision

for credit losses on accounts receivable was an expense of $ 16,334 compared to a provision of $ 17,171 for the year ended April 30, 2023.

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.

Concentrations

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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.

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The Company uses actual costs to price its manufactured inventories, approximating average costs.

Nature of Business and Summary of Significant Accounting Policies, continued

and Equipment — Property and equipment are recorded at cost.

Depreciation is calculated based on the following estimated useful

lives using the straight-line method:

plant and Equipment — Property and equipment are recorded at cost.

Depreciation is calculated based on the following estimated

useful lives using the straight-line method:

of Property and Equipment

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( 5,347,000 )

Property and equipment,

expense of $ 366,000 and $ 323,000 was charged to operations for the years ended April 30, 2024 and 2023, respectively.

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

When assets are retired or otherwise

disposed of, the property accounts are relieved of costs and accumulated depreciation and any resulting gain or loss is credited or charged

to operations.

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

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

When assets are retired or

otherwise disposed of, the property accounts are relieved of costs and accumulated depreciation, and any resulting gain or loss is credited

or charged to operations.

in Limited Land Partnership (LLP) — In November 2002, the Company purchased 6.67% of a prime 22-acre land parcel for development

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Disbursement of the sale proceeds are contingent

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

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

Subsequently,

an additional distribution of the net proceeds from the sale of the LLP in the amount of $ 255,000 was paid to GRI in July 2024.

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.

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

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As of April 30, 2025, the Company had $ 907,000 of net intangible assets, compared to net intangible assets of $ 1,028,000 as of April

Amortization expense was $ 121,000 and $ 122,000 for the years ended April 30, 2024 and 2023, respectively.

Nature of Business and Summary of Significant Accounting Policies, continued

Amortization expense was $ 121,000 for each of the years ended April 30, 2025 and 2024, respectively.

of April 30, 2025, future amortization of intangible assets is expected as follows:

of Future Amortization of Intangible Assets

of Future Amortization of Intangible Asset s

Fiscal year end

Amortization amount

and Diluted Earnings per Share — The Company computes earnings per share in accordance with Accounting Standards Codification

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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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as income tax expense.

Nature of Business and Summary of Significant Accounting Policies, continued

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.

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

2022, the Company executed an agreement to purchase a tax credit of $ 3,431,000 created by solar energy projects qualifying under Internal

Revenue Code Section 48 (the “Solar Tax Credit”) in exchange for consideration of $ 2,917,000 , resulting in a total gain on

federal Solar Tax Credit of $ 515,000 .

This tax credit is available to offset income tax payments for the Company’s 2025 fiscal

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.

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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five-step approach requires (1) identifying the contract with the customer, (2) identifying the performance obligations in the contract,

(3) determining the transaction price, (4) allocating the transaction price to the performance

obligations in the contract and (5) recognizing revenue when performance obligations are satisfied.

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.

Payments received from customers

in advance of product shipment or revenue recognition are treated as deferred revenues and recognized when the product is shipped.

Nature of Business and Summary of Significant Accounting Policies, continued

(3) determining the transaction price, (4) allocating the transaction price to the performance obligations in the contract and (5) recognizing

revenue when performance obligations are satisfied.

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.

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

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

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

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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

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in equity during a period except those resulting from fiscal investments by and distributions to stockholders.

Reporting and Related Information — The Company designates the internal organization that is used by management for allocating

resources and assessing performance as the source of the Company’s reportable segments.

US GAAP also requires disclosures about

products and services, geographic area and major customers.

At April 30, 2024, the Company operated in three segments organized by security

line products, cable and wiring tools (Labor Saving Devices - LSDI) products, and all other products.

See Note 9 for further segment

information disclosures.

Issued Accounting Pronouncements — In November 2023, the FASB issued ASU No.

2023-07, Segment Reporting (Topic280):

to Reportable Segment Disclosures .

The new guidance is intended to improve reportable segment disclosure requirements primarily through

enhanced disclosures about significant segment expenses.

The amendments are effective retrospectively for fiscal years beginning after

December 15, 2023 and interim periods within fiscal years beginning after December 15, 2024.

The Company is in the process of evaluating

the impact that the adoption of this ASU will have to the financial statements and related disclosures, which is not expected to be material.

December 2023, the FASB issued ASU No.

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.

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.

Nature of Business and Summary of Significant Accounting Policies, continued

Events – Other than those discussed at the Investment in Limited Land Partnership section of this note, Management

has evaluated all events or transactions that occurred after April 30, 2024 through the date of the filing.

Reporting and Related Information — In fiscal year 2025, we adopted Accounting Standards Update (ASU) No.

2023-07, Segment

Reporting (Topic 280):

Improvements to Reportable Segment Disclosures (ASU 2023-07) that was issued by the Financial Accounting Standards

Board (FASB).

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

Segments and Related Disclosures

manage our company as one reportable operating segment.

The segment information aligns with how the Company’s Chief Operating Decision

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 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

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

The accounting policies

of our one reportable segment are the same as those described in the summary of significant accounting policies herein.

single reportable segment-level financial information, total assets, and significant non-cash transactions, see Financial Statements.

Issued Accounting Pronouncements — In December 2023, the FASB issued ASU No.

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.

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.

November 2024, the FASB issued ASU No.

2024-03, Income Statement - Reporting Comprehensive Income - Expense Disaggregation Disclosures

(Subtopic 220-40) Disaggregation of Income Statement Expenses, which requires public business entities to disclose additional information

about certain expenses in the notes to the financial statements.

This guidance is effective for annual reporting periods beginning after

December 15, 2026, and interim reporting periods beginning after December 15, 2027, with early adoption permitted.

The Company is evaluating

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

Events – Management has evaluated all events or transactions that occurred after April 30, 2025 through the date of the filing.

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

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are recorded at fair value.

The investments in debt securities, which include municipal bonds and bond funds, mature between July 2024

and July 2041.

The Company uses the average cost method to determine the cost of equity securities sold with any unrealized gains or

losses reported in the respective period’s earnings.

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

and December 2050.

The Company uses the average cost method to determine the cost of equity securities sold with any unrealized gains

or losses reported in the respective period’s earnings.

Dividend and interest income are reported as earned.

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

As a result of this standard, management recorded impairment losses of $ 22,000 and $ 67,000 for the years ended April 30, 2024 and 2023,

respectively.

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.

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

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realized gains of $ 1,222,000 and gross realized losses of $ 264,000 .

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 $ 28,000 .

Comparatively, the Company recorded gross

realized gains on equity securities of $ 512,000 and gross realized losses of $ 740,000 for the fiscal year ending April 30, 2023.

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

losses of $ 63,000 for the fiscal year ending April 30, 2023.

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

previous paragraph.

Additionally, proceeds from sales of securities available for sale were $ 527,000 and $ 25,000 for the years ended

April 30, 2024 and 2023 respectively.

Investments, continued

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 .

Comparatively, the Company recorded

gross realized gains on equity securities of $ 789,000 and gross realized losses of $ 613,000 for the fiscal year ending April 30, 2024.

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

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of Unrealized Loss Breakdown by Investment Type

Loss Breakdown by Investment Type as of April 30, 2024

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

Schedule of Unrealized Loss Breakdown by Investment Type

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$ ( 307,000 )

$ ( 153,000 )

$ ( 296,000 )

$ ( 449,000 )

Loss Breakdown by Investment Type as of April 30, 2024

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$ ( 317,000 )

$ ( 155,000 )

$ ( 598,000 )

$ ( 753,000 )

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

Company has the ability to hold these investments until a recovery of fair value occurs, which may be maturity, the Company does not

consider these investments to be other-than-temporarily impaired as of April 30, 2024 and 2023.

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

not consider these investments to be other-than-temporarily impaired as of April 30, 2025 and 2024.

Equity Securities and REITs

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these investments to be other-than-temporarily impaired as of April 30, 2025 and 2024.

Retirement Benefit Plan

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

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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.

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.

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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

Commitments, Contingencies, and Related Party Transactions

Contingencies, and Related Party Transactions

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

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Taxable income

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

of Statutory Rate to Income Before Taxes

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

8 unchanged sentences

Blended statutory rate

tax assets (liabilities) consist of the following components as of April 30, 2024 and 2023:

Summary of Deferred Tax Assets (Liabilities)

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

of Deferred Tax Assets (Liabilities)

Deferred tax assets (liabilities):

11 unchanged sentences

$ ( 2,388,000 )

Business Segments

following is financial information relating to industry segments:

of Financial Information Relating to Industry Segments

Quarter ended

Security alarm products

Cable & wiring tools

Other products

Total net revenue

Income from operations:

Security alarm products

Cable & wiring tools

Other products

Total income from operations

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

April 30, 2024

April 30, 2023

Identifiable assets:

Security alarm products

Cable & wiring tools

Other products

Corporate general

Concentrations

9 unchanged sentences

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

Company has sales to a security alarm distributor representing 37 % of total sales for the year ended April 30, 2024 and 36 % of total

sales for the year ended April 30, 2023.

This distributor accounted for 56 % and 44 % of accounts receivable at April 30, 2024 and 2023,

respectively.

Company has sales to a security alarm distributor representing 37 % of total sales for the years ended April 30, 2025 and 2024, 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

Fair Value Measurements

Value Measurements

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

12 unchanged sentences

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

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

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.

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.

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

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

and Marketable Securities

19 unchanged sentences

Total fair value of assets measured on a recurring basis

Assets Measured at Fair Value on a Recurring

Basis as of April 30, 2023

Assets Measured at Fair Value on a Recurring Basis as of April 30, 2024

Municipal Bonds

2 unchanged sentences

Total fair value of assets measured on a recurring basis

in and Disagreements with Accountants on Accounting and Financial Disclosures

Changes 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