Company: IPST
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001788230-25-000126
Chunk: 164

Company: Heritage Distilling Holding Company, Inc.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part II, Item 8
Chunk 164
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 of $250,000 at the end of the business day, funds are automatically swept out by the Company’s bank and spread among partner banks in accounts, each totaling less than $250,000. This makes the Company’s funds eligible for FDIC insurance protection each day. The funds are then swept back into the Company’s account at the beginning of the next business day. The aggregate limit that can be protected for the Company under this program is approximately $150 million.The Company considers the concentration of credit risk associated with its accounts receivable to be commercially reasonable and believes that such concentration does not result in the significant risk of near-term severe adverse impacts. As of June 30, 2025 and December 31, 2024, the Company had customers that individually represented 10% or more of the Company’s accounts receivable. There were three and two individual customers that together represented 93% and 77% of total accounts receivable, as of June 30, 2025 and December 31, 2024, respectively. There were four and four individual customer accounts that together represented 91% and 75% of total revenue for the three months ended June 30, 2025 and 2024, respectively. There were five and three individual customer accounts that together represented 89% and 57% of total revenue for the six months ended June 30, 2025 and 2024, respectively. There were two and two individual suppliers that represented 26% and 34% of total accounts payable, as of June 30, 2025 and December 31, 2024, respectively. Concentration of RevenuesThree Months Ended June 30,Six Months Ended June 30,2025202420252024Customer A37 %14 %28 %— %Customer B20 %22 %22 %18 %Customer C13 %29 %14 %23 %Customer D— %— %13 %— %Customer E— %— %— %16 %Customer F— %10 %— %— %Customer G21 %— %12 %— %91 %75 %89 %57 %Accounts receivable — Accounts receivable are reported at net realizable value. Receivables consist of amounts due from distributors. In evaluating the collectability of individual receivable balances, the Company considers several factors, including the age