Company: BKTI
Filing Date: 2025-03-27
Form Type: 10-K
Source: 0001437749-25-009464
Chunk: 553

Company: BK Technologies Corp
Filing Date: 2025-03-27
Form: 10-K
Item: Item 7A
Chunk 553
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.  For year ended 2023, all of the shares underlying the Warrant had not been included in the weighted-average number of shares of common stock used to calculate net loss per share, basic and diluted, attributable to common stockholders because the shares would have been anti-dilutive.
    
   The Company used the Black-Scholes-Merton option valuation model to calculate the fair value of a stock warrant grant, using the assumptions noted in the following table. Expected volatilities are based on the historical volatility of the Company’s common stock over the period of time, commensurate with the expected life of the stock warrant. The dividend yield assumption is based on the Company’s expectations of no dividend payouts at the grant date. The stock price was the closing price of the common stock on the date of the warrant agreement and the strike price and the expected term was defined in the warrant agreement. The risk-free interest rate is derived from the 90 day U.S. Treasury rate at the date of the stock warrant grant.

       FY 2024  
 Expected Volatility   67.2%
 Expected Dividends   0%
 Stock price  $34.29 
 Strike price  $15.00 
 Expected Term (in years)   3.8 
 Risk-Free Rate   4.34%

   13. Significant Customers
    
   Sales to the U.S. Government represented approximately 38% and 49% of the Company’s total sales for the years ended  December 31, 2024 and 2023 respectively. These sales were primarily to the various government agencies, including those within the United States Department of Defense, the United States Forest Service, the United States Department of Interior, and the United States Department of Homeland Security. In addition, one commercial customer accounted for approximately 13% of net sales for the year ended  December 31, 2024 and approximately 24% of accounts receivable at  December 31, 2024. Another commercial customer accounted for approximately 15% of accounts receivable at  December 31, 2024. There were no commercial customers accounting for more than 10% of net sales for the year ended  December 31, 2023. One commercial customer accounted for approximately 16% of accounts receivable at  December 31, 2023.

   14. Retirement Plan
    
   The Company sponsors a participant contributory retirement 401(k) plan, which is