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CONCENTRATIONS OF CREDIT RISK AND REVENUE
6 Months Ended
Sep. 30, 2023
Risks and Uncertainties [Abstract]  
CONCENTRATIONS OF CREDIT RISK AND REVENUE

NOTE 11 – CONCENTRATIONS OF CREDIT RISK AND REVENUE

 

The Company derives a majority of its revenues from retailers of products in the United States. The Company’s allowance for doubtful accounts is based upon management’s estimates and historical experience and reflects the fact that accounts receivable is concentrated with several large customers. At September 30, 2023, there were two customers in North America that individually owed over 10% of total accounts receivable. Amounts due from these customers were approximately 44% and 28%, respectively, of total accounts receivable as of September 30, 2023. At March 31, 2023, there were three customers in North America that individually owed over 10% of total accounts receivable. Amounts due from these customers were approximately 47%, 18% and 14%, respectively, of total accounts receivable as of March 31, 2023.

 

The Company generates most of its revenue from retailers of products in the United States with a significant amount of sales concentrated with several large customers, the loss of which could have an adverse impact on the financial position of the Company. For the three months ended September 30, 2023, there were three customers who individually accounted for 10% or more of the Company’s net sales. Revenue derived from these customers as a percentage of net sales were 28%, 22% and 21%, respectively. For the three months ended September 30, 2022, there were three customers who individually accounted for 10% or more of the Company’s net sales. Revenue derived from these customers as a percentage of net sales were 43%, 29% and 10%, respectively.

 

For the six months ended September 30, 2023, there were three customers who individually accounted for 10% or more of the Company’s net sales. Revenue derived from these customers as a percentage of net sales were 38%, 20% and 18%, respectively. For the six months ended September 30, 2022, there were two customers who individually accounted for 10% or more of the Company’s net sales. Revenue derived from these customers as a percentage of net sales were 46%, and 32%, respectively.