Company: BCHT
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001477932-25-002237
Chunk: 1479

Company: Birchtech Corp.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 8
Chunk 1479
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 entered into a license agreement for which it should have recognized the entire proceeds receivable pursuant to the agreement as revenue during the year ended December 31, 2022.  The Company should also have recognized the financing component of the licensing agreement during the fiscal years ended December 31, 2023 and 2024. As a result, the consolidated financial statements reflect the recognition of this additional revenue during the year ended December 31, 2022, removes the revenue recognized and records the financing component of the arrangement during annual and interim periods in the fiscal year ending December 31, 2023 and the interim periods in the fiscal year ending December 31, 2024. The following tables reflect the impact of the restatement to the specific line items presented in the Company’s previously reported consolidated financial statements as of December 31, 2022 and for the year ended December 31, 2023. The accompanying applicable notes to consolidated financial statements have been updated to reflect the effects of the restatement.  The impact of the restatement to the consolidated statements of stockholders’ equity (deficit) includes a decrease of $843,251 in accumulated deficit as of December 31, 2023 and a $1,078,950 decrease to the accumulated deficit as of January 1, 2023. The amounts in the “As previously reported” columns are amounts derived from the Company's previously filed consolidated financial statements. The amounts in the “Restatement adjustments” columns present the impact of the following adjustments: ·The recognition of the licensing revenue during the year ended December 31, 2022.·The removal of the licensing revenue recorded during the year ended December 31, 2023.·The recording of the financing component during the year ended December 31, 2023.    The amounts in the “As restated” columns are the updated amounts including the impacts from the restatement. 

 F-7Table of Contents

Audited Financial Statements The following table presents the impact of the financial statement adjustments on the Company’s previous reported consolidated Balance Sheet as of December 31, 2023: CONSOLIDATED BALANCE SHEETS           DECEMBER 31, 2023   As previously reported  Adjustment  As restated ASSETS AND STOCKHOLDERS’ EQUITY (DEFICIT)           Accounts receivable $2,233,211  $843,251