Company: MITQ
Filing Date: 2025-09-29
Form Type: 10-K/A
Source: 0001437749-25-029978
Chunk: 45

Company: MOVING iMAGE TECHNOLOGIES INC.
Filing Date: 2025-09-29
Form: 10-K/A
Chunk 45
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 rates and weak economic and political conditions in each of the countries in which we sell our products.

Financial instruments that potentially expose us to a concentration of credit risk principally consist of accounts receivable and notes receivable. We sell products to a large number of customers in many different geographic regions. To minimize credit concentration risk, we perform ongoing credit evaluations of our customers’ financial condition or use letters of credit.

Off-Balance Sheet Arrangements and Contractual Obligations

Our contractual obligations consist principally of leasing equipment and facilities under operating leases. The future estimated payments under these arrangements are summarized below:

| Operating leases                          
 ($ in Thousands)                          |     | Total    
 Payments |       |   |
|:------------------------------------------|:----|:---------|------:|:--|
| 2026                                      |     | $        |   313 |   |
| 2027                                      |     |          |   326 |   |
| 2028                                      |     |          |   303 |   |
| 2029                                      |     |          |   266 |   |
| 2030                                      |     |          |   159 |   |
| Total future minimum lease payments       |     | $        | 1,367 |   |
| Less imputed interest                     |     |          |  (222 | ) |
| Present value of operating lease payments |     | $        | 1,145 |   |

There were no other material contractual obligations other than inventory, property and production and computer equipment purchases in the ordinary course of business.

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Seasonality

Our operating results can vary from quarter to quarter as a result of seasonality in consumer spending and payment patterns. A large part of our business is concerned with new theater builds, which often see substantial delays due to weather, but also financing timing, permits and governmental delays, and other unpredictable problems often associated with large real estate projects. Specifically, our revenue growth generally is higher during the first and fourth quarters of the fiscal year as the weather improves, the digital cinema market becomes more active and customers begin new theater builds or remodel projects. During these periods, we tend to experience increased transaction volume. Conversely, our revenue growth generally slows during the second quarter of the fiscal year, as spending on new theater construction and theater improvement projects tends to slow leading up to the holiday season and through the winter months. As a result, growth in transaction volume also tends to slow during these periods. We expect this seasonality to