Company: BKTI
Filing Date: 2025-05-13
Form Type: 10-Q
Source: 0001437749-25-016253
Chunk: 17

Company: BK Technologies Corp
Filing Date: 2025-05-13
Form: 10-Q
Item: Part I, Item 1
Chunk 17
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 and net income to evaluate income generated from segment assets (return on assets) in deciding whether to reinvest profits into the LMR segment or into other parts of the entity, the development of public safety applications utilizing cellular technology or for acquisitions. Net income is used to monitor budget versus actual results. The chief operating decision maker also uses net income in competitive analysis by benchmarking to the Company’s competitors. The competitive analysis along with the monitoring of budgeted versus actual results are used in assessing performance of the segment and in establishing management’s compensation.

       8

   The table below summarizes the significant categories regularly reviewed by the CODM for the three months ended  March 31, 2025, and 2024, respectively:

       03/31/2025    03/31/2024  
 Sales, net  $19,054  $18,231 
 Cost of products   10,104   11,943 
 Gross margin   8,950   6,288 
         
 Engineering and product development   2,537   2,076 
 Marketing and selling   1,723   1,524 
 General and administrative   1,774   1,705 
 Selling, general and administrative expenses   6,034   5,305 
 Operating income   2,916   983 
         
 Other (expense) income (a)   (114)  (190)
 Income tax (expense) benefit   (670)  (21)
 Segment net income  $2,132  $772 
         
 Reconciliation of profit         
 Adjustments and reconciling item         
 Loss on investments   -   (91)
 Consolidated net income  $2,132  $681 
         
 (a) Other segment items included interest expense and foreign currency exchange gains/losses  

   Note 2. Significant Events and Transactions
    
   As we move forward into 2025 the SaaS business unit will expand to include public safety solutions that provide for improved interoperability which will make the first responder safer and more efficient when operating in the field.  The new Solutions business will build a portfolio of solutions under a new brand, BK ONE.  BK ONE will include SaaS solutions such as InteropONE as well as future software and hardware applications.
    
   On  October 30, 202