BK technologies Corp 2025年季度报告

Commission File Number:001-32644 (Former name, former address and former fiscal year, if changed since last report) Securities registered pursuant to Section12(b) of the Act: MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONSQUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK CONTROLS AND PROCEDURESPART II - OTHER INFORMATION UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDSEXHIBITS 2 8,3321,761411 adjustments, which, in the opinion of management, are necessary to present fairly the Company’s financial position, results of operations, and cash flowsfor the interim periods presented. The condensed consolidated balance sheet as ofDecember 31, 2024, has been derived from the Company’s audited consolidated financial statements at that date.These condensed consolidated financial statements have been prepared in accordance with the requirements of Article8of Regulation S-Xand theinstructions to Form10-Q. Accordingly, certain information and footnote disclosures normally included in financial statements prepared in accordance with Principles of Consolidation The accounts of the Company have been included in the accompanying condensed consolidated financial statements. All significant intercompanybalances and transactions have been eliminated in consolidation. The Company consolidates entities in which it has a controlling financial interest. When the Company doesnothave a controlling financial interestin an entity but exerts significant influence over the entity’s operating and financial policies (generally defined as owning a voting or economic interest ofbetween20%to50%), the Company’s investment is accounted for under the equity method of accounting. If the Company doesnothave a controllingfinancial interest in, or exert significant influence over, an entity, the Company accounts for its investment at fair value, if the fair value option was elected equivalents, trade accounts receivable, accounts payable, accrued expenses, notes payable, credit facilities, and other liabilities approximated theirrespective fair value due to the short-term nature and maturity of these instruments.EffectiveSeptember 14, 2022,the Company had an investment in Series B common membership interests of FG Financial Holdings, LLC (“FGHoldings LLC”). As further discussed in Note7,the Company recorded the investment according to guidance provided by ASC820“Fair ValueMeasurement,” as the Company didnothave a controlling financial interest in, nor exerted significant influence over the activities of FG Holdings LLC.The investment in Series B common membership interests of FG Holdings LLC was reported using the net asset value (“NAV”) of interests held by the OnOctober 30, 2024,the Company'ssubsidiary, BK Technologies, Inc.entered into a Revolving Loan Commitment (“RLC”) with Fifth Third of $10million. Each advance shall accrue interest on the outstanding principal amount thereof at a rate ofSOFRplus2.5% per annum. Each advancemaybe prepaid at any time without penalty and the entire line of credit commitmentmaybe permanently terminated by BK Technologies, Inc. at any time upon10days’ prior written notice to the lender without penalty.The RLC has aborrowing base equal to the sum of (i)80% of eligible commercial accountsreceivable, plus (ii)50% of federal government accounts receivable, plus (iii) the lesser of (a) the sum of (i) and (ii) and (b)50% of eligible finished goodsinventory.The Company hasnotutilizedfunding and there werenoborrowings under the RLC agreementas ofMarch31,2025,and as of the date of filingBK Technologies, Inc.'s repayment obligations under theRLCare guaranteed by the Company and Relm Communications, Inc. and secured by a obligations of BK Technologies, Inc.; (5) money judgments and material adverse changes; (6) a change in control or ceasing to operate business in theordinary course; and (7) certain events of bankruptcy or insolvency. Upon the occurrence of an event of default, Fifth Third Bankmaydeclare the entire unpaid balance immediately due and payable and/or exercise any and all remedial and other rights under the RLC agreement.Management believes that cash and cash equivalents currently available, combined with anticipated cash to be generated from operations, andborrowing ability are sufficient to meet the Company’s working capital requirements in the foreseeable future. The Company generally relies on cash fromoperations, commercial debt, and equity offerings to the extent available, to satisfy its liquidity needs and to meet its payment obligations. The Company Reverse Stock Split OnMarch 23, 2023,the board of directors (the “Board”) of the Company approved aone(1)-for-five(5) reverse stock split (the “Reverse StockSplit”) of the Company’s issued and outstanding shares of common stock, par value $0.60per share (the “Common Stock”), and onApril 4, 2023,theCompany filed with the Secretary of State of the State of Nevada a Certificate of Chan