XML 26 R16.htm IDEA: XBRL DOCUMENT v3.10.0.1
Note 10 - Major Customer and Vendor
9 Months Ended
Dec. 31, 2018
Notes  
Note 10 - Major Customer and Vendor

NOTE 10 - MAJOR CUSTOMERS AND VENDOR

 

The Company sold products mostly through ten distributors during the three and nine months ended December 31, 2018 and 2017, respectively. Sales to five distributors represented 15%, 14%, 12%, 11%, and 11% of total sales for the three months ended December 31, 2018 and sales to five distributors represented 17%, 14%, 12%, 11%, and 11% of total sales for the three months ended December 31, 2017, respectively. The Company's sales through six distributors represented 16%, 14%, 12%, 11%, 11%, and 10% of total sales for the nine months ended December 31, 2018. Sales to four distributors represented 17%, 16%, 13%, and 12% of total sales for the nine months ended December 31, 2017.

 

The Company sold 12 and 11 products during the three months ended December 31, 2018 and 2017, respectively. Sales of three products represented 37%, 22%, and 11% of total sales for the three months ended December 31, 2018.

Sales of two products represented 38% and 24% of total sales for the three months ended December 31, 2017.

 

The Company sold 12 and 12 products during the nine months ended December 31, 2018 and 2017, respectively. Sales of three products represented 37%, 24%, and 12% of total sales for the nine months ended December 31, 2018. Sales of three products represented 41%, 17% and 10% of total sales for the nine months ended December 31, 2017.

 

The Company purchases certain of its products from Shandong Yongchuntang, a related party, according to the purchase contract signed between the Company and Shandong Yongchuntang. Pursuant to the contract dated February 20, 2017, the Company agreed to purchase nine products from Shandong Yongchuntang at fixed prices. On February 21, 2018, the Company further renewed the purchase contract with Shandong Yongchuntang for a term of one year ending on February 25, 2019.  Pursuant to this most recently renewed one-year contract, the Company continues to purchase the nine products from Shandong Yongchuntang at fixed prices without changes in any terms of the previous contract. Total purchases from Shandong Yongchuntang represented 36% and 33% of our total purchases during the three months ended December 31, 2018 and 2017, respectively.  The purchases from three other vendors represented 31%, 13%, and 10% of the Company's total purchases for the three months ended December 31, 2018. The purchases from three other vendors represented 33%, 13%, and 11% of the Company's total purchases for the three months ended December 31, 2017.

 

Total purchases from Shandong Yongchuntang represented 38% and 42% of our total purchases during the nine months ended December 31, 2018 and 2017, respectively.  The purchases from three other vendors represented 28%, 12%, and 11% of the Company's total purchases for the nine months ended December 31, 2018. The purchases from two other vendors represented 25% and 14% of the Company's total purchases for the nine months ended December 31, 2017.