Company: HNIT
Filing Date: 2025-01-23
Form Type: 10-K
Source: 0001493152-25-003324
Chunk: 198

Company: Huineng Technology Corp
Filing Date: 2025-01-23
Form: 10-K
Item: Item 6
Chunk 198
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The
Company’s Chief Operating Decision Maker, its Chief Executive Officer (CEO), reviews the financial information presented for purposes
of allocating resources and evaluating its financial performance. Accordingly, the Company has determined that it operates in a single
reportable segment. All of the Company’s long-lived assets are located in the United States. Since the Company operates in one operating
segment, all required financial segment information can be found in the condensed financial statements.

The Company follows ASC 280, Segment Reporting. The Company’s chief
operating decision maker, the Chief Executive Officer, reviews the consolidated results of operations when making decisions about allocating
resources and assessing the performance of the Company as a whole and, hence, the Company has only one reportable segment. The Company
does not distinguish between markets or segments for the purpose of internal reporting. For the three months ended September 30, 2024
and 2023, sales through Amazon to Canada and other foreign countries were approximately 13.4% and 8.2% of the Company’s
total sales. During the three months ended September 30, 2024, sales of hydroponic products, including ventilation and grow light systems,
was approximately 17.2% of the Company’s total sales and the remaining 82.8% consisted of general gardening, home goods,
and other products and accessories. During the three months ended September 30, 2023, sales of hydroponic products, including ventilation
and grow light systems, were approximately 16.8% of the Company’s total sales and the remaining 83.2% consisted of general
gardening, home goods and other products and accessories. As of September 30, 2024 and June 30, 2024, the Company had approximately $1.6 million
and $1.9 million of inventory stored in China. The Company’s majority of long-lived assets are located in California, United
States, majority of the deferred tax assets are US related, and a majority of the Company’s revenues are derived from within the
United States.

In
accordance with the “Segment Reporting” Topic of the ASC, the Company’s chief operating decision maker has been identified
as the Chief Executive Officer and President, who reviews operating results to make decisions about allocating resources and assessing
performance for the entire Company. Existing guidance, which is based on a management approach to segment reporting, establishes requirements
to report selected segment information quarterly and to report annually entity