Company: APT
Filing Date: 2025-11-06
Form Type: 10-Q
Source: 0001437749-25-033545
Chunk: 4

Company: ALPHA PRO TECH LTD
Filing Date: 2025-11-06
Form: 10-Q
Item: Part I, Item 1
Chunk 4
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 future. The Company accounts for option forfeitures as they occur.

The following table summarizes option activity for the nine months ended September 30, 2025:

                                                           Weighted Average            
                                                           Exercise Price              
                                                           Per Option                  
  Options outstanding, December 31, 2024       61,100      $                     4.17  
  Exercised                                         -                               -  
  Options outstanding, September 30, 2025      61,100                            4.17  
  Options exercisable, September 30, 2025      45,632                            3.10  

As of September 30, 2025, $45,000of total unrecognized compensation cost related to the stock option grants was expected to be recognized over a weighted average remainder period of0.99years.

  Recent Accounting Pronouncements  
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In December 2023, the FASB issued ASU 2023-09, Income Taxes (“ Topic 740”): Improvements to Income Tax Disclosures. These amendments address investor requests for enhanced transparency regarding income tax information. Specifically, they improve income tax disclosures related to rate reconciliation and income taxes paid. ASU 2023-09 became effective for fiscal years beginning after December 15, 2024, with early adoption permitted.

In November 2024, the FASB issued ASU 2024-03, Income Statement - Reporting Comprehensive Income - Expense Disaggregation Disclosures (“Subtopic 220-40”): Disaggregation of Income Statement Expenses(“ ASU 2024-03”), which requires disclosure about the types of costs and expenses included in certain expense captions presented on the income statement. The new disclosure requirements are effective for the Company’s annual periods beginning after December 15, 2026, and interim periods beginning after December 15, 2027, with early adoption permitted. The Company is currently in the process of evaluating the impact of this pronouncement on its related disclosures.

Management periodically reviews new accounting standards that are issued. Management has not identified any other new standards that it believes merit further discussion at this time.

  Inventory  
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As of September 30, 2025 and December 31, 2024, inventory net of reserves consisted of the following:

                       September 30,                      December 31,                  
                       2025                               2024                          
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  Raw materials