Company: BKTI
Filing Date: 2025-11-06
Form Type: 10-Q
Source: 0001437749-25-033457
Chunk: 24

Company: BK Technologies Corp
Filing Date: 2025-11-06
Form: 10-Q
Item: Part I, Item 1
Chunk 24
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 in a future tax return that has not been reflected in measuring income tax expense for financial reporting purposes.
    
   On  July 4, 2025, the U.S. government enacted The One Beautiful Bill Act of 2025, (known as the "One Big Beautiful Bill Act or "OBBBA") which includes provisions such as the extension of certain expiring tax provisions from the 2017 Tax Cuts and Jobs Act, reinstatement of immediate expensing of qualifying business property, full expensing of domestic research and experimental expenditures, and changes to interest expense limitations..  The Company is currently evaluating the impact of the new legislation but does not expect it to have a material impact to the financial statements. 

   Note 6. Capitalized Product Development Costs
    
   The Company accounts for the costs of Land Mobile Radio (LMR) multi-band development within its products in accordance with ASC Topic 350-30, “ Intangibles – Goodwill and Other,” under which certain LMR multi-band radio development costs incurred subsequent to the establishment of technological feasibility are capitalized and amortized over the estimated lives of the related products. The Company determined technological feasibility was established for multi-band LMR radio products by the introduction of the BKR 9000 multi-band portable product to the market in  June 2023, as specified by Topic 350-30. Upon the general release of the LMR multi-band mobile radio product currently in development to customers, development costs for that product will be amortized over periods not exceeding ten years, based on future revenue of the product. Capitalized product development costs were $570 and $1,516 for the three and nine months ended  September 30, 2025 and $321 and $751 for the three and nine months ended  September 30, 2024, respectively.

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   Note 7. Earnings Per Share
    
   The following table sets forth the computation of basic and diluted earnings per share:

       Three Months Ended    Nine Months Ended  
   September 30, 2025    September 30, 2024    September 30, 2025    September 30, 2024  
 Numerator:                 
 Net income for basic and diluted earnings per share  $3,436  $2,357  $9,309  $4,702 
 Denominator for basic earnings per share weighted average shares