Company: BKTI
Filing Date: 2025-03-27
Form Type: 10-K
Source: 0001437749-25-009464
Chunk: 181

Company: BK Technologies Corp
Filing Date: 2025-03-27
Form: 10-K
Item: Item 1C
Chunk 181
---
 Risk-Free Rate   4.34%

   13. Significant Customers
    
   Sales to the U.S. Government represented approximately 38% and 49% of the Company’s total sales for the years ended  December 31, 2024 and 2023 respectively. These sales were primarily to the various government agencies, including those within the United States Department of Defense, the United States Forest Service, the United States Department of Interior, and the United States Department of Homeland Security. In addition, one commercial customer accounted for approximately 13% of net sales for the year ended  December 31, 2024 and approximately 24% of accounts receivable at  December 31, 2024. Another commercial customer accounted for approximately 15% of accounts receivable at  December 31, 2024. There were no commercial customers accounting for more than 10% of net sales for the year ended  December 31, 2023. One commercial customer accounted for approximately 16% of accounts receivable at  December 31, 2023.

   14. Retirement Plan
    
   The Company sponsors a participant contributory retirement 401(k) plan, which is available to all employees. The Company’s contribution to the plan is either a percentage of the participant’s contribution (50% of the participant’s contribution up to a maximum of 6%) or a discretionary amount. For the years ended  December 31, 2024 and 2023, total contributions made by the Company were $199 and $220, respectively.

   15. Commitments and Contingencies
    
   Royalty Commitment
    
   In 2003, the Company entered into a technology license related to its development of digital products. Under this agreement, the Company is obligated to pay a royalty for each product sold that utilizes the technology covered by this agreement. The Company paid $181 and $234 for the years ended  December 31, 2024 and 2023, respectively. The agreement has an indefinite term and can be terminated by either party under certain conditions.
    
   In 2022, the Company entered into a technology license related to its development of multi-band products. Under this agreement, the Company is obligated to pay a royalty for each product sold that utilizes the technology covered by this agreement, which started in  June 2023. The Company paid $4 and $0.03 in 2024 and 2023, respectively.