CONCENTRATION OF CREDIT RISK AND MAJOR CUSTOMERS

12 Months Ended

Dec. 31, 2025

Risks and Uncertainties [Abstract]

CONCENTRATION OF CREDIT RISK AND MAJOR CUSTOMERS

NOTE 2. CONCENTRATION OF CREDIT RISK AND MAJOR CUSTOMERS

Financial instruments that potentially subject us to concentrations of credit risk consist principally of cash, accounts receivable, and contract assets. We maintain our excess cash balances in checking accounts primarily at two financial institutions, one in the United States and one in China. The account in the United States may at times exceed federally insured limits. The Company’s $1,655 cash balance as of December 31, 2025, included approximately $517 and $137 that was held at banks located in China and Mexico, respectively. We grant credit to customers in the normal course of business and generally do not require collateral on our accounts receivable.

We have certain customers whose revenue individually represented 10% or more of net sales, or whose accounts receivable balances or contract asset balances individually represented 10% or more of gross accounts receivable.

Customers who represent 10% or more of net sales for years ended December 31, 2025 and 2024 are as follows:

	Year Ended December 31,
	2025			2024
Customer A		32	%		28	%
Customer B		10	%		-
Total		42	%		28	%

Customers who represent 10% or more of accounts receivable and contract assets as of December 31, 2025 and 2024 are as follows:

	Accounts Receivable as of December 31,
	2025			2024
Customer A		20	%		23	%
Customer C		-	%		13	%
Total		20	%		36	%

	Contract Assets as of December 31,
	2025			2024
Customer A		36	%		33	%
Customer D		13	%		12	%
Total		49	%		45	%

Export sales from the U.S. represented approximately 3% of net sales for both the years ended December 31, 2025 and 2024.