Company: ALTX
Filing Date: 2025-11-28
Form Type: 10-K
Source: 0001096906-25-001949
Chunk: 2

Company: ALTEX INDUSTRIES INC
Filing Date: 2025-11-28
Form: 10-K
Item: Item 7
Chunk 2
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,000 in FY25 because during FY25 the Company recognized bonus expense and related payroll tax liability of $94,000 pursuant to the president’s employment agreement. In FY24 the Company realized a net gain of $525,000 from the sale of certain oil, gas, and mineral interests in Utah. Interest income decreased from $128,000 in FY24 to $115,000 in FY25 because of lower realized interest rates on cash balances.

At the current levels of net oil and gas production, cash balances, interest rates, and oil and gas prices, the Company’s revenue is unlikely to exceed its expenses. Unless the Company invests a substantial portion of its cash balances in interests in producing oil and gas wells or in one or more other ventures that produce revenue and net income, the Company is likely to experience net losses. With the exception of unanticipated ARO, unanticipated environmental expense, and possible changes in interest rates and oil and gas prices, the Company is not aware of any trends or uncertainties that have had or that are reasonably likely to have a material favorable or unfavorable impact on net sales or revenues or income from continuing operations.

Critical Accounting Estimates

Critical accounting estimates are those estimates made in accordance with generally accepted accounting principles that involve a significant level of estimation uncertainty and have had or are reasonably likely to have a material impact on the financial condition or results of operations of the Company. The Company does not believe that the Company utilizes any accounting estimates that have had or are reasonably likely to have a material impact on financial condition or results of operations.

Climate Change

The company does not believe that climate change or regulations adopted to mitigate the consequences of climate change will have a material impact on the Company’s financial condition or results of operations.

Item 7A. Quantitative and Qualitative Disclosures About Market Risk.