(8) Segment Information

9 Months Ended

Sep. 30, 2025

Notes

(8) Segment Information

(8) Segment Information.  The Company operates as one operating segment.  The Company’s chief operating decision maker (“CODM”) is its chief executive officer, who reviews financial information presented on a consolidated basis.  The CODM uses consolidated gross profit margin, operating margin, and net income to assess financial performance and allocate resources.  These financial metrics are used by the CODM to make key operating decisions such as the allocation of budget between cost of sales, sales and marketing, research and development, and general and administrative expenses.

The following table presents selected financial information with respect to the Company’s single operating segment for the quarters ended September 30, 2025 and September 30, 2024:

	Quarter Ended September 30,
	2025	2024
Revenues	9,812	10,005
Less:
Standard cost of sales	3,359	3,456
Other cost of sales	849	747
Gross Profit	5,604	5,802
Gross Profit Margin	57.1%	58.0%
Sales & Marketing	516	437
Research & Development	167	171
Litigation Fees	384	426
Amortization	544	525
Other General & Administrative	1,382	900
Operating Income	2,611	3,343
Operating Income Margin	26.6%	33.4%
Other Income
Interest income	719	872
Other income (expense)	(21)	(36)
Income before income taxes	3,309	4,179
Provision for income taxes	678	615
Net Income	2,631	3,564