XML 23 R12.htm IDEA: XBRL DOCUMENT

INVENTORIES

9 Months Ended

Sep. 30, 2025

NOTE 4 — INVENTORIES

Inventories consist of the following:

SCHEDULE OF INVENTORIES

	September 30, 2025			December 31, 2024 (Restated)
Products	$	16,552,757		$	18,001,768
Parts and accessories		1,597,917			1,113,872
Inventories in transit		2,884,738			4,861,016
Freight and duty		4,526,970			3,751,884
Inventory, gross		25,562,382			27,728,540
Less: inventory allowance		(469,900	)		(469,900	)
Inventories, net	$	25,092,482		$	27,258,640

Impairment provision of inventories recorded for lower of cost or net realizable value adjustments were nil, nil, $110,000 and $110,000 for the three and nine months ended September 30, 2025 and 2024, respectively.

The inventory allowance movement is as follows:

SCHEDULE OF INVENTORY ALLOWANCE

	September 30, 2025		December 31, 2024 (Restated)
Beginning balance	$	469,900	$	439,900
Addition of provision		-		30,000
Ending balance	$	469,900	$	469,900

Impairment provision of inventories were nil and nil for the three and nine months ended September, 2025 and a reversal of impairment provision of inventories recorded were $110,000 and $110,000 for the three and nine months ended September 30, 2024, respectively, and is included in cost of revenues in the condensed consolidated statement of operations and comprehensive income.

Partial inventories of $20,073,986 and $21,606,371 as of September 30, 2025 and December 31, 2024, respectively were pledged for the Company’s line of credit facility at Cathay Bank.

MASSIMO GROUP AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)