Note 11 - Segment, Customer Concentration and Geographical Information

3 Months Ended

Mar. 31, 2026

Notes to Financial Statements

Segment Reporting [Text Block]

11. Segment, Customer Concentration and Geographical Information

Segment Information

Public companies are required to report financial and descriptive information about their reportable operating segments as required by FASB ASC Topic No. 280, Segment Reporting (“Topic 280”). The Company has one primary business unit based on how management internally evaluates separate financial information, business activities and management responsibility: Wireless. The Wireless segment includes the Family Safety (which includes SafePath), CommSuite, and ViewSpot families of products (prior to the divestiture of ViewSpot in 2025).

The Company's chief operating decision maker (“CODM”) as such term is defined in Topic 280, is its Chief Executive Officer. As infrastructure and resources are shared across the Company’s operations, the CODM manages the Company's operations based on consolidated financial information for purposes of evaluating financial performance, investment, cash flow metrics and allocating resources.

The accounting policies of the Company's single operating segment are the same as those described in the summary of significant accounting policies appearing in Note 1. Although the CODM uses other measures of operating performance, the Company concluded that consolidated net loss is the measure required to be disclosed as the segment measure of profit or loss. Adjusted operating loss and net loss are used to evaluate the effectiveness of the Company's performance and to monitor budget versus actual results. The measure of segment assets is reflected as "total assets" in the accompanying consolidated balance sheet.

Revenue and expenses regularly provided to the CODM are included in the following reconciliation of the Company's net adjusted operating loss and net loss. It includes the significant expense categories computed under US GAAP, reconciled to the Company's total net loss as presented in the consolidated statement of operations (unaudited, in thousands).

	For the Three Months Ended March 31,
	2026			2025
Revenues	$	4,221		$	4,621
Less:
Adjusted cost of revenues¹		911			1,257
Adjusted selling and marketing²		1,162			1,408
Adjusted research and development²		1,768			2,642
Adjusted general and administrative²		1,794			2,086
Adjusted operating loss		(1,414	)		(2,772	)
Other segment expenses³		(127	)		—
Stock-based compensation expense		(586	)		(1,088	)
Depreciation		(69	)		(74	)
Amortization		(1,177	)		(1,276	)
Total other (expenses) income, net		(524	)		33
Loss before provision for income taxes		(3,897	)		(5,177	)
Provision for income tax expense		—			1
Net loss	$	(3,897	)	$	(5,178	)

¹ Adjusted amounts exclude depreciation expense.

² Adjusted amounts exclude stock-based compensation expense and other adjustments as further described in footnote 3 to this table.

³ Other segment expenses include personnel severance and reorganization activities and other corporate non-recurring expenditures.

The following table presents the disaggregation of Wireless revenues by product line (unaudited, in thousands):

	For the Three Months Ended March 31,
	2026		2025
Family Safety	$	3,421	$	3,788
CommSuite		800		734
ViewSpot		—		99
Total Wireless revenues	$	4,221	$	4,621

Customer Concentration Information

The Company has certain customers whose revenues individually represented greater than 10% of the Company’s total revenues, or whose accounts receivable balances individually represented greater than 10% of the Company’s total accounts receivable, for the three months ended March 31, 2026 and 2025.

During the three months ended  March 31, 2026, three customers made up 59%, 21% and 19% of revenues. For the three months ended  March 31, 2025, three customers made up 62%, 20% and 16% of revenues.

As of  March 31, 2026, two customers accounted for 55% and 28% of accounts receivable. As of  March 31, 2025, two customers accounted for 47% and 33% of accounts receivable.

Geographical Information

During the three months ended March 31, 2026 and 2025, the Company operated in two geographic locations: the Americas and Europe, Middle East and Africa ("EMEA"). Revenues attributed to the geographic location of the customers’ bill-to address were as follows (unaudited, in thousands):

	For the Three Months Ended March 31,
	2026		2025
Americas	$	4,196	$	4,615
EMEA		25		6
Total revenues	$	4,221	$	4,621

The Company does not separately allocate specific assets to these geographic locations.