Company: NEOV
Filing Date: 2025-09-29
Form Type: 10-K
Source: 0001683168-25-007304
Chunk: 381

Company: NeoVolta Inc.
Filing Date: 2025-09-29
Form: 10-K
Item: Item 6
Chunk 381
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 its proprietary ESS units through wholesale customers, initially in California,
and in an expanding number of other states. In August 2022, the Company completed an underwritten public offering of its equity securities
resulting in its common stock and warrants becoming listed on a national exchange (see Note 3).

Basis of Presentation
– The accompanying financial statements and related notes have been prepared in accordance with accounting principles generally
accepted in the United States of America (“U.S. GAAP”) and in accordance with the rules and regulations of the United States
Securities and Exchange Commission (the “SEC”).

Cash and Cash Equivalents
– The Company considers all highly liquid accounts with original maturities of three months or less at the date of acquisition to
be cash equivalents.  Periodically, the Company may carry cash balances at financial institutions in excess of the federally insured
limit of $250,000. As of June 30, 2025, the Company maintained all of its accounts at one bank and the combined balances of all accounts
at this bank were in excess of the FDIC insurance limit by $544,836.

Inventory
– Inventory consists of batteries and inverters purchased from Asian suppliers and delivered to a location near the Company’s
offices, for assembly into ESS units. Inventory is stated at the lower of cost or net realizable value, cost being determined using the
first-in, first out (FIFO) method. The Company periodically reviews the value of items in inventory and records an allowance to reduce
the carrying value of inventory to the lower of cost or net realizable value based on its assessment of market conditions, inventory
turnover and current stock levels. Inventory write-downs are charged to cost of goods sold. The following table presents the components
of inventory (net of reserve for obsolescence on assembly parts of zero and $90,000, respectively) as of June 30, 2025 and 2024:

     Schedule of inventory 

    June 30, 

    2025  
    2024 

    Raw materials, consisting of assembly parts, batteries and inverters 
    $2,014,252  
    $1,076,479 
  
    Work in process 
     –  
     89,386 
  
    Finished goods 
     123,660  
     621,443 

    Total 
    $2,137,912  
    $1,787,