Company: INTG
Filing Date: 2025-11-12
Form Type: 10-Q
Source: 0001493152-25-021858
Chunk: 41

Company: INTERGROUP CORP
Filing Date: 2025-11-12
Form: 10-Q
Item: Part I, Item 1
Chunk 41
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 are received or due in advance of guests staying at our hotel, which are presented within
Accounts payable and other liabilities-Hotel on our consolidated balance sheets had an opening balance of $505,000 at July 1, 2025. Contract
liabilities were $637,000 as of September 30, 2025. The increase as of September 30, 2025, was primarily driven by an increase in advance
deposits received from customers for services to be performed after September 30, 2025. During the three months ended September 30, 2025,
we recognized $336,000 of revenue that was included in the contract liability balance at July 1, 2025.

    -10-

Contract
liabilities were $370,000 as of July 1, 2024 and decreased to $337,000 as of September 30, 2024. During the three months ended September
30, 2024, we recognized $319,000 of revenue that was included in the contract liability balance at July 1, 2024.

Contract
Costs

We
consider sales commissions earned to be incremental costs of obtaining a contract with our customers. As a practical expedient, we expense
these costs as incurred as our contracts with customers are generally less than one year.

NOTE
4 – INVESTMENT IN HOTEL, NET

Investment
in Hotel consisted of the following as of the dates presented:

SCHEDULE OF INVESTMENT IN HOTEL 

    Accumulated  
    Net Book 
  
    September
    30, 2025 
    Cost  
    Depreciation  
    Value 

    Land 
    $2,738,000  
    $-  
    $2,738,000 
  
    Finance lease ROU assets 
     1,805,000  
     (1,694,000) 
     111,000 
  
    Furniture and equipment 
     42,168,000  
     (33,707,000) 
     8,461,000 
  
    Building and improvements 
     68,527,000  
     (40,243,000) 
     28,284,000 
  
    Investment in Hotel,
    net 
    $115,238,000  
    $(75,644,000) 
    $39,594,000 

    Accumulated  
    Net