Note 8 - Concentration Risk

3 Months Ended

Jun. 30, 2026

Notes to Financial Statements

Concentration Risk Disclosure [Text Block]

NOTE 8 — CONCENTRATION RISK

Customer Concentration

For the three month period ended June 30, 2026, the Company’s two largest customers accounted for approximately 57% of the Company’s net revenues, of which Amazon accounted for approximately 47% and Walmart accounted for approximately 10%. No other customer accounted for greater than 10% of the Company's net revenues during the period. 

For the three months ended June 30, 2025, the Company’s three largest customers accounted for approximately 65% of the Company’s net revenues, of which Variety Wholesalers Inc. ("Variety") accounted for approximately 27%, Fred Meyer accounted for approximately 26% and Amazon accounted for approximately 12%. No other customer accounted for greater than 10% of the Company's net revenues during the period.

A significant decline in net sales to any of the Company’s key customers would have a material adverse effect on the Company’s business, financial condition and results of operation.             

Product Concentration

For the three month period ended June 30, 2026, the Company’s gross product sales included microwave ovens, which generated approximately 55% of the Company’s gross product sales and audio products, which generated approximately 28% of the Company’s gross product sales. No other products accounted for greater than 10% of the Company's gross product sales during the period.

For the three month period ended June 30, 2025, the Company’s gross product sales included microwave ovens, which generated approximately 87% of the Company’s gross product sales and audio products, which generated approximately 10% of the Company’s gross product sales. No other products accounted for greater than 10% of the Company's gross product sales during the period.    

Concentrations of Credit Risk

As of June 30, 2026, the Company’s top two customers accounted for approximately 46% and 40%, respectively, of the Company's total trade accounts receivable, net of specific reserves. No other customers accounted for greater than 10% of the Company's total trade accounts receivable, net of specific reserves, as of such date. As of March 31, 2026, the Company's top two customer's accounted for approximately 64% and 20%, respectively, of the Company's total trade accounts receivable, net of specific reserves. No other customers accounted for greater than 10% of the Company's total trade accounts receivable, net of specific reserves, as of such date. The Company periodically performs credit evaluations of its customers but generally does not require collateral, and the Company provides for any anticipated credit losses in the financial statements based upon management’s estimates and ongoing reviews of recorded allowances. The allowance for credit losses on the Company's total trade accounts receivable balances was approximately $3,000 as of  June 30, 2026 and approximately $7,000 as of  March 31, 2026. Due to the high concentration of the Company’s net trade accounts receivables among just two customers, any significant failure by one of these customers to pay the Company the amounts owing against these receivables would result in a material adverse effect on the Company’s business, financial condition and results of operations.

The Company maintains its cash accounts with major U.S. and foreign financial institutions. The Company’s cash balances on deposit in the U.S. as of June 30, 2026 and March 31, 2026 were insured by the Federal Deposit Insurance Corporation (“FDIC”) up to $250,000 per qualifying bank account in accordance with FDIC rules. The Company’s cash and cash equivalents balances in excess of these FDIC-insured limits were approximately $5.1 million and approximately $9.1 million at June 30, 2026 and March 31, 2026, respectively. The Company also has short term deposits in foreign financial institutions which are not FDIC insured of approximately $6.2 million and approximately $3.1 million as of June 30, 2026 and March 31, 2026, respectively.

Supplier Concentration

During the three month period ended June 30, 2026, the Company procured 94% of its products for resale from its three largest factory suppliers, of which approximately 43% was supplied by its largest supplier and approximately 35% and 16%, respectively, was supplied by the other two suppliers. During the three month period ended June 30, 2025, the Company procured approximately 100% of its products for resale from its three largest factory suppliers, of which approximately 40% was supplied by its largest supplier and approximately 40% and 20%, respectively, was supplied by the other two suppliers. No other suppliers accounted for greater than 10% for either the three month period ended June 30, 2026 or  June 30, 2025.