Leases

12 Months Ended

Jun. 30, 2025

Leases [Abstract]

Leases

7. Leases

The Company has operating leases for its office spaces and finance leases for its equipment trailer.

The lease liability in connection with operating and finance leases are included in non-current lease liabilities and current portion of lease liabilities on the consolidated balance sheets as follows:

Operating leases:	June 30, 2025		June 30, 2024
Operating lease right-of-use assets	$	475,739	$	689,165
Current portion of operating lease liabilities	$	294,475	$	443,519
Long-term portion of operating lease liabilities		136,654		235,492
Total operating lease liabilities	$	431,129	$	679,011

Finance leases:	June 30, 2025		June 30, 2024
Property, plant and equipment, net	$	51,934	$	92,463
Current portion of finance lease liabilities	$	178,447	$	7,141
Long-term portion of finance lease liabilities		-		177,403
Total finance lease liabilities	$	178,447	$	184,544

The following lease costs are included in the consolidated statements of operations:

	Year ended June 30, 2025			Year ended June 30, 2024
Operating lease expense:
Operating lease expense	$	706,714		$	587,677
Short-term lease expense		3,539			-
Total operating lease expense		710,253			587,677
Finance lease expense:
Amortization of leased assets		40,530			46,447
Interest on lease liabilities		8,615			9,499
Total finance lease expense		49,145			55,946
Sublet income		(98,970	)		(152,729	)
Total lease costs	$	660,428		$	490,894

The Company has calculated the weighted-average remaining lease term, presented in years below, and the weighted-average discount rate for the operating and finance leases population. The Company uses the incremental borrowing rate as the lease discount rate, unless the lessor’s rate implicit in the lease is readily determinable, in which case it is used.

	June 30, 2025
Weighted-average remaining lease term (in years)
Operating leases		1.77
Finance leases		0.98
Did you disclose the
Weighted-average discount rate:
Operating leases		12	%
Finance leases		4.89	%

As of June 30, 2025, the maturities of our operating lease liabilities (excluding short-term leases) are as follows:

	Operating leases		Finance leases
2026	$	325,886	$	186,247
2027		79,372		-
2028		72,757		-
Total minimum lease payments		478,015		186,247
Less: interest		46,886		7,800
Present value of lease obligations		431,129		178,447
Less: Current portion		294,475		178,447
Long-term portion of lease obligations	$	136,654	$	-