XML 52 R36.htm IDEA: XBRL DOCUMENT v3.24.4

QUARTERLY FINANCIAL SUMMARY (Tables)

12 Months Ended

Jun. 30, 2024

Quarterly Financial Information Disclosure [Abstract]

SCHEDULE OF QUARTERLY FINANCIAL SUMMARY

The following tables set forth summarized quarterly financial information of the Restated Quarters, including the effects of the restatement on our previously reported consolidated statements of operations, and the quarter ended June 30, 2024.

SCHEDULE OF SUMMARIZED FINANCIAL ITEMS

		June 30, 2024				March 31, 2024				December 31, 2023				September 30, 2023
		Fiscal year 2024
		June 30, 2024				March 31, 2024				December 31, 2023				September 30, 2023
						Restated				Restated				Restated
Revenues		$	13,377,000			$	14,457,000			$	18,203,000			$	14,787,000
Gross profit			3,592,000				4,025,000				5,381,000				4,235,000
Operating loss			(1,811,000	)			(2,572,000	)			(447,000	)			(1,785,000	)
Net loss			(2,244,000	)			(3,005,000	)			(896,000	)			(2,188,000	)
Net loss per share – basic and diluted		$	(0.13	)		$	(0.18	)		$	(0.06	)		$	(0.13	)

		June 30, 2023				March 31, 2023				December 31, 2022				September 30, 2022
		Fiscal year 2023
		June 30, 2023				March 31, 2023				December 31, 2022				September 30, 2022
		Restated				Restated				Restated				Restated
Revenues		$	16,403,000			$	15,087,000			$	17,158,000			$	17,840,000
Gross profit			3,601,000				4,677,000				3,993,000				3,619,000
Operating loss			(1,832,000	)			(1,229,000	)			(1,419,000	)			(1,932,000	)
Net loss			(2,200,000	)			(1,487,000	)			(1,796,000	)			(2,260,000	)
Net loss per share – basic and diluted		$	(0.13	)		$	(0.10	)		$	(0.11	)		$	(0.14	)

		June 30, 2022				March 31, 2022				December 31, 2021				September 30, 2021
		Fiscal year 2022
		June 30, 2022				March 31, 2022				December 31, 2021				September 30, 2021
		Restated				Restated				Restated				Restated
Revenues		$	15,195,000			$	13,177,000			$	7,690,000			$	6,271,000
Gross profit			2,714,000				1,601,000				187,000				1,105,000
Operating loss			(2,672,000	)			(3,841,000	)			(5,348,000	)			(4,360,000	)
Net loss			(2,838,000	)			(3,893,000	)			(5,379,000	)			(4,363,000	)
Net loss per share – basic and diluted		$	(0.18	)		$	(0.24	)		$	(0.33	)		$	(0.32	)

Quarterly Financial Summary

The net impact of the restatement on our quarterly and year-to-date unaudited condensed financial statements is as follows:

SCHEDULE OF QUARTERLY FINANCIAL SUMMARY 

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED BALANCE SHEETS

(Unaudited)

		March 31,				December 31,				September 30,
		Fiscal year 2024
		March 31,				December 31,				September 30,
		2024				2023				2023
		Restated				Restated				Restated
ASSETS
Current assets:
Cash		$	1,250,000			$	1,584,000			$	1,139,000
Accounts receivable			10,468,000				12,726,000				10,840,000
Inventories, net			17,362,000				15,554,000				16,591,000
Other current assets			840,000				942,000				1,053,000
Total current assets			29,920,000				30,806,000				29,623,000
Right of use asset			2,291,000				2,482,000				2,670,000
Property, plant and equipment, net			1,705,000				1,680,000				1,747,000
Other assets			118,000				119,000				119,000
Total assets		$	34,034,000			$	35,087,000			$	34,159,000
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable		$	11,394,000			$	10,361,000			$	10,202,000
Accrued expenses			3,900,000				3,350,000				3,782,000
Line of credit			13,645,000				13,575,000				11,986,000
Deferred revenue			343,000				310,000				336,000
Customer deposits			18,000				232,000				17,000
Finance leases payable, current portion			153,000				150,000				147,000
Office leases payable, current portion			712,000				689,000				667,000
Accrued interest			136,000				130,000				102,000
Total current liabilities			30,301,000				28,797,000				27,239,000
Long term liabilities:
Finance leases payable, less current portion			153,000				191,000				229,000
Office leases payable, less current portion			1,511,000				1,698,000				1,880,000
Total liabilities			31,965,000				30,686,000				29,348,000
Stockholders’ equity:
Preferred stock, $0.001 par value; 500,000 shares authorized; none issued and outstanding			-				-				-
Common stock, $0.001 par value; 30,000,000 shares authorized; 16,599,683, 16,532,275 and 16,478,237 shares issued and outstanding at March 31, 2024, December 31, 2023 and September 30, 2023, respectively			17,000				17,000				16,000
Additional paid-in capital			99,520,000				98,847,000				98,362,000
Accumulated deficit			(97,468,000	)			(94,463,000	)			(93,567,000	)
Total stockholders’ equity			2,069,000				4,401,000				4,811,000
Total liabilities and stockholders’ equity		$	34,034,000			$	35,087,000			$	34,159,000

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED BALANCE SHEETS

(Unaudited)

		March 31,				December 31,				September 30,
		Fiscal year 2023
		March 31,				December 31,				September 30,
		2023				2022				2022
		Restated				Restated				Restated
ASSETS
Current assets:
Cash		$	790,000			$	157,000			$	306,000
Accounts receivable			9,881,000				10,507,000				11,596,000
Inventories, net			18,859,000				17,449,000				16,935,000
Other current assets			775,000				884,000				1,308,000
Total current assets			30,305,000				28,997,000				30,145,000
Right of use asset			3,035,000				2,601,000				2,558,000
Property, plant and equipment, net			1,724,000				1,561,000				1,758,000
Other assets			119,000				115,000				42,000
Total assets		$	35,183,000			$	33,274,000			$	34,503,000
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable		$	10,855,000			$	12,837,000			$	13,505,000
Accrued expenses			2,604,000				2,298,000				2,228,000
Line of credit			10,491,000				6,811,000				5,651,000
Deferred revenue			–				81,000				347,000
Customer deposits			135,000				29,000				10,000
Finance leases payable, current portion			140,000				64,000				13,000
Office leases payable, current portion			616,000				542,000				523,000
Accrued interest			3,000				1,000				2,000
Total current liabilities			24,844,000				22,663,000				22,279,000
Long term liabilities:
Finance leases payable, less current portion			311,000				172,000				55,000
Office leases payable, less current portion			2,223,000				2,079,000				2,222,000
Total liabilities			27,378,000				24,914,000				24,556,000
Stockholders’ equity:
Preferred stock, $0.001 par value; 500,000 shares authorized; none issued and outstanding			-				-				-
Common stock, $0.001 par value; 30,000,000 shares authorized; 16,156,432, 16,029,478 and 15,998,336 shares issued and outstanding at March 31, 2023, December 31, 2022 and September 30, 2022, respectively			16,000				16,000				16,000
Additional paid-in capital			96,968,000				96,036,000				95,827,000
Accumulated deficit			(89,179,000	)			(87,692,000	)			(85,896,000	)
Total stockholders’ equity			7,805,000				8,360,000				9,947,000
Total liabilities and stockholders’ equity		$	35,183,000			$	33,274,000			$	34,503,000

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED BALANCE SHEETS

(Unaudited)

		March 31,				December 31,				September 30,
		Fiscal Year 2022
		March 31,				December 31,				September 30,
		2022				2021				2021
		Restated				Restated				Restated
ASSETS
Current assets:
Cash		$	3,804,000			$	7,855,000			$	15,737,000
Accounts receivable			9,508,000				5,184,000				4,511,000
Inventories, net			19,297,000				18,090,000				12,655,000
Other current assets			577,000				868,000				1,026,000
Total current assets			33,186,000				31,997,000				33,929,000
Right of use asset			2,711,000				2,821,000				2,929,000
Property, plant and equipment, net			1,588,000				1,627,000				1,471,000
Other assets			89,000				89,000				89,000
Total assets		$	37,574,000			$	36,534,000			$	38,418,000
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable		$	13,361,000			$	9,239,000			$	9,298,000
Accrued expenses			2,142,000				2,233,000				1,908,000
Line of credit			3,500,000				3,500,000				–
Deferred revenue			313,000				140,000				127,000
Customer deposits			690,000				–				322,000
Office leases payable, current portion			486,000				469,000				452,000
Accrued interest			2,000				3,000				3,000
Total current liabilities			20,494,000				15,584,000				12,110,000
Long term liabilities:
Office leases payable, less current portion			2,493,000				2,621,000				2,745,000
Total liabilities			22,987,000				18,205,000				14,855,000
Stockholders’ equity:
Preferred stock, $0.001 par value; 500,000 shares authorized; none issued and outstanding			-				-				-
Common stock, $0.001 par value; 30,000,000 shares authorized; 15,992,080, 15,987,502 and 15,987,502 shares issued and outstanding at March 31, 2022, December 31, 2021 and September 30, 2021, respectively			16,000				16,000				16,000
Additional paid-in capital			95,369,000				95,217,000				95,073,000
Accumulated deficit			(80,798,000	)			(76,904,000	)			(71,526,000	)
Total stockholders’ equity			14,587,000				18,329,000				23,563,000
Total liabilities and stockholders’ equity		$	37,574,000			$	36,534,000			$	38,418,000

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED BALANCE SHEET

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		March 31, 2024
		As previously reported				Restatement adjustments				Reference		As restated
ASSETS
Current assets:
Cash		$	1,250,000			$	–					$	1,250,000
Accounts receivable (b)			10,404,000				64,000			(b)			10,468,000
Inventories, net (a)(d)			20,174,000				(2,812,000	)		(a) (d)			17,362,000
Other current assets			840,000				-						840,000
Total current assets			32,668,000				(2,748,000	)					29,920,000
Right of use asset			2,291,000				–						2,291,000
Property, plant and equipment, net			1,705,000				–						1,705,000
Other assets			118,000				–						118,000
Total assets		$	36,782,000			$	(2,748,000	)				$	34,034,000
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable (b)(d)(e)		$	11,050,000			$	344,000			(b) (d) (e)		$	11,394,000
Accrued expenses (e)			3,645,000				255,000			(e)			3,900,000
Line of credit			13,645,000				–						13,645,000
Deferred revenue			343,000				–						343,000
Customer deposits			18,000				–						18,000
Finance leases payable, current portion			153,000				–						153,000
Office leases payable, current portion			712,000				–						712,000
Accrued interest			136,000				–						136,000
Total current liabilities			29,702,000				599,000						30,301,000
Long term liabilities:
Finance leases payable, less current portion			153,000				–						153,000
Office leases payable, less current portion			1,511,000				–						1,511,000
Total liabilities			31,366,000				599,000						31,965,000
Stockholders’ equity:
Preferred stock, $0.001 par value; 500,000 shares authorized; none issued and outstanding			-				-						-
Common stock, $0.001 par value; 30,000,000 shares authorized; 16,599,683 shares issued and outstanding			17,000				–						17,000
Additional paid-in capital			99,520,000				–						99,520,000
Accumulated deficit (a)(d)(e)			(94,121,000	)			(3,347,000	)		(a) (d) (e)			(97,468,000	)
Total stockholders’ equity			5,416,000				(3,347,000	)					2,069,000
Total liabilities and stockholders’ equity		$	36,782,000			$	(2,748,000	)				$	34,034,000

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED BALANCE SHEET

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		December 31, 2023
		As previously reported				Restatement adjustments				Reference		As restated
ASSETS
Current assets:
Cash		$	1,584,000			$	–					$	1,584,000
Accounts receivable (b)			12,579,000				147,000			(b)			12,726,000
Inventories, net (a)(d)			18,283,000				(2,729,000	)		(a) (d)			15,554,000
Other current assets			942,000				-						942,000
Total current assets			33,388,000				(2,582,000	)					30,806,000
Right of use asset			2,482,000				–						2,482,000
Property, plant and equipment, net			1,680,000				–						1,680,000
Other assets			119,000				–						119,000
Total assets		$	37,669,000			$	(2,582,000	)				$	35,087,000
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable (b)(d)(e)		$	10,021,000			$	340,000			(b) (d) (e)		$	10,361,000
Accrued expenses (e)			3,290,000				60,000			(e)			3,350,000
Line of credit			13,575,000				–						13,575,000
Deferred revenue			310,000				–						310,000
Customer deposits			232,000				–						232,000
Finance leases payable, current portion			150,000				–						150,000
Office leases payable, current portion			689,000				–						689,000
Accrued interest			130,000				–						130,000
Total current liabilities			28,397,000				400,000						28,797,000
Long term liabilities:
Finance leases payable, less current portion			191,000				–						191,000
Office leases payable, less current portion			1,698,000				–						1,698,000
Total liabilities			30,286,000				400,000						30,686,000
Stockholders’ equity:
Preferred stock, $0.001 par value; 500,000 shares authorized; none issued and outstanding			-				-						-
Common stock, $0.001 par value; 30,000,000 shares authorized; 16,532,275 shares issued and outstanding			17,000				–						17,000
Additional paid-in capital			98,847,000				–						98,847,000
Accumulated deficit (a)(d)(e)			(91,481,000	)			(2,982,000	)		(a) (d) (e)			(94,463,000	)
Total stockholders’ equity			7,383,000				(2,982,000	)					4,401,000
Total liabilities and stockholders’ equity		$	37,669,000			$	(2,582,000	)				$	35,087,000

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED BALANCE SHEET

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		September 30, 2023
		As previously reported				Restatement adjustments				Reference		As restated
ASSETS
Current assets:
Cash		$	1,139,000			$	–					$	1,139,000
Accounts receivable (b)			10,699,000				141,000			(b)			10,840,000
Inventories, net (a)(d)			19,495,000				(2,904,000	)		(a) (d)			16,591,000
Other current assets			1,053,000				-						1,053,000
Total current assets			32,386,000				(2,763,000	)					29,623,000
Right of use asset			2,670,000				–						2,670,000
Property, plant and equipment, net			1,747,000				–						1,747,000
Other assets			119,000				–						119,000
Total assets		$	36,922,000			$	(2,763,000	)				$	34,159,000
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable (d)		$	10,065,000			$	137,000			(d)		$	10,202,000
Accrued expenses			3,782,000				–						3,782,000
Line of credit			11,986,000				–						11,986,000
Deferred revenue			336,000				–						336,000
Customer deposits			17,000				–						17,000
Finance leases payable, current portion			147,000				–						147,000
Office leases payable, current portion			667,000				–						667,000
Accrued interest			102,000				–						102,000
Total current liabilities			27,102,000				137,000						27,239,000
Long term liabilities:
Finance leases payable, less current portion			229,000				–						229,000
Office leases payable, less current portion			1,880,000				–						1,880,000
Total liabilities			29,211,000				137,000						29,348,000
Stockholders’ equity:
Preferred stock, $0.001 par value; 500,000 shares authorized; none issued and outstanding			-				-						-
Common stock, $0.001 par value; 30,000,000 shares authorized; 16,478,237 shares issued and outstanding			16,000				–						16,000
Additional paid-in capital			98,362,000				–						98,362,000
Accumulated deficit (a)(b)(d)			(90,667,000	)			(2,900,000	)		(a) (b) (d)			(93,567,000	)
Total stockholders’ equity			7,711,000				(2,900,000	)					4,811,000
Total liabilities and stockholders’ equity		$	36,922,000			$	(2,763,000	)				$	34,159,000

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED BALANCE SHEET

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		March 31, 2023
		As previously reported				Restatement adjustments				Reference		As restated
ASSETS
Current assets:
Cash		$	790,000			$	–					$	790,000
Accounts receivable (b)			9,853,000				28,000			(b)			9,881,000
Inventories, net (a)(d)			20,959,000				(2,100,000	)		(a) (d)			18,859,000
Other current assets			775,000				-						775,000
Total current assets			32,377,000				(2,072,000	)					30,305,000
Right of use asset			3,035,000				–						3,035,000
Property, plant and equipment, net			1,724,000				–						1,724,000
Other assets			119,000				–						119,000
Total assets		$	37,255,000			$	(2,072,000	)				$	35,183,000
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable (b)		$	10,827,000			$	28,000			(b)		$	10,855,000
Accrued expenses			2,604,000				–						2,604,000
Line of credit			10,491,000				–						10,491,000
Customer deposits			135,000				–						135,000
Finance leases payable, current portion			140,000				–						140,000
Office leases payable, current portion			616,000				–						616,000
Accrued interest			3,000				–						3,000
Total current liabilities			24,816,000				28,000						24,844,000
Long term liabilities:
Finance leases payable, less current portion			311,000				–						311,000
Office leases payable, less current portion			2,223,000				–						2,223,000
Total liabilities			27,350,000				28,000						27,378,000
Stockholders’ equity:
Preferred stock, $0.001 par value; 500,000 shares authorized; none issued and outstanding			-				-						-
Common stock, $0.001 par value; 30,000,000 shares authorized; 16,156,432 shares issued and outstanding			16,000				–						16,000
Additional paid-in capital			96,968,000				–						96,968,000
Accumulated deficit (a)(d)			(87,079,000	)			(2,100,000	)		(a) (d)			(89,179,000	)
Total stockholders’ equity			9,905,000				(2,100,000	)					7,805,000
Total liabilities and stockholders’ equity		$	37,255,000			$	(2,072,000	)				$	35,183,000

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED BALANCE SHEET

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		December 31, 2022
		As previously reported				Restatement adjustments				Reference		As restated
ASSETS
Current assets:
Cash		$	157,000			$	–					$	157,000
Accounts receivable (b)			10,467,000				40,000			(b)			10,507,000
Inventories, net (a)(d)			19,507,000				(2,058,000	)		(a) (d)			17,449,000
Other current assets			884,000				-						884,000
Total current assets			31,015,000				(2,018,000	)					28,997,000
Right of use asset			2,601,000				–						2,601,000
Property, plant and equipment, net			1,561,000				–						1,561,000
Other assets			115,000				–						115,000
Total assets		$	35,292,000			$	(2,018,000	)				$	33,274,000
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable (b)		$	12,797,000			$	40,000			(b)		$	12,837,000
Accrued expenses			2,298,000				–						2,298,000
Line of credit			6,811,000				–						6,811,000
Deferred revenue			81,000				–						81,000
Customer deposits			29,000				–						29,000
Finance leases payable, current portion			64,000				–						64,000
Office leases payable, current portion			542,000				–						542,000
Accrued interest			1,000				–						1,000
Total current liabilities			22,623,000				40,000						22,663,000
Long term liabilities:
Finance leases payable, less current portion			172,000				–						172,000
Office leases payable, less current portion			2,079,000				–						2,079,000
Total liabilities			24,874,000				40,000						24,914,000
Stockholders’ equity:
Preferred stock, $0.001 par value; 500,000 shares authorized; none issued and outstanding			–				–						–
Common stock, $0.001 par value; 30,000,000 shares authorized; 16,029,478 shares issued and outstanding			16,000				–						16,000
Additional paid-in capital			96,036,000				–						96,036,000
Accumulated deficit (a)(d)			(85,634,000	)			(2,058,000	)		(a) (d)			(87,692,000	)
Total stockholders’ equity			10,418,000				(2,058,000	)					8,360,000
Total liabilities and stockholders’ equity		$	35,292,000			$	(2,018,000	)				$	33,274,000

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED BALANCE SHEET

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		September 30, 2022
		As previously reported				Restatement adjustments				Reference		As restated
ASSETS
Current assets:
Cash		$	306,000			$	–					$	306,000
Accounts receivable			11,596,000				-						11,596,000
Inventories, net (a)(d)			18,878,000				(1,943,000	)		(a) (d)			16,935,000
Other current assets			1,308,000				-						1,308,000
Total current assets			32,088,000				(1,943,000	)					30,145,000
Right of use asset			2,558,000				–						2,558,000
Property, plant and equipment, net			1,758,000				–						1,758,000
Other assets			42,000				–						42,000
Total assets		$	36,446,000			$	(1,943,000	)				$	34,503,000
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable		$	13,505,000			$	–					$	13,505,000
Accrued expenses			2,228,000				–						2,228,000
Line of credit			5,651,000				–						5,651,000
Deferred revenue			347,000				–						347,000
Customer deposits			10,000				–						10,000
Finance leases payable, current portion			13,000				–						13,000
Office leases payable, current portion			523,000				–						523,000
Accrued interest			2,000				–						2,000
Total current liabilities			22,279,000				–						22,279,000
Long term liabilities:
Finance leases payable, less current portion			55,000				–						55,000
Office leases payable, less current portion			2,222,000				–						2,222,000
Total liabilities			24,556,000				–						24,556,000
Stockholders’ equity:
Preferred stock, $0.001 par value; 500,000 shares authorized; none issued and outstanding			-				-						-
Common stock, $0.001 par value; 30,000,000 shares authorized; 15,998,336 shares issued and outstanding			16,000				–						16,000
Additional paid-in capital			95,827,000				–						95,827,000
Accumulated deficit (a)(d)			(83,953,000	)			(1,943,000	)		(a) (d)			(85,896,000	)
Total stockholders’ equity			11,890,000				(1,943,000	)					9,947,000
Total liabilities and stockholders’ equity		$	36,446,000			$	(1,943,000	)				$	34,503,000

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED BALANCE SHEET

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		March 31, 2022
		As previously reported				Restatement adjustments				Reference		As restated
ASSETS
Current assets:
Cash		$	3,804,000			$	–					$	3,804,000
Accounts receivable			9,508,000				-						9,508,000
Inventories, net (a) (d)			20,934,000				(1,637,000	)		(a) (d)			19,297,000
Other current assets			577,000				-						577,000
Total current assets			34,823,000				(1,637,000	)					33,186,000
Right of use asset			2,711,000				–						2,711,000
Property, plant and equipment, net			1,588,000				–						1,588,000
Other assets			89,000				–						89,000
Total assets		$	39,211,000			$	(1,637,000	)				$	37,574,000
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable		$	13,361,000			$	–					$	13,361,000
Accrued expenses			2,142,000				–						2,142,000
Line of credit			3,500,000				–						3,500,000
Deferred revenue			313,000				–						313,000
Customer deposits			690,000				–						690,000
Office leases payable, current portion			486,000				–						486,000
Accrued interest			2,000				–						2,000
Total current liabilities			20,494,000				–						20,494,000
Long term liabilities:
Office leases payable, less current portion			2,493,000				–						2,493,000
Total liabilities			22,987,000				–						22,987,000
Stockholders’ equity:
Preferred stock, $0.001 par value; 500,000 shares authorized; none issued and outstanding			-				-						-
Common stock, $0.001 par value; 30,000,000 shares authorized; 15,992,080 shares issued and outstanding			16,000				–						16,000
Additional paid-in capital			95,369,000				–						95,369,000
Accumulated deficit(a) (d)			(79,161,000	)			(1,637,000	)		(a) (d)			(80,798,000	)
Total stockholders’ equity			16,224,000				(1,637,000	)					14,587,000
Total liabilities and stockholders’ equity		$	39,211,000			$	(1,637,000	)				$	37,574,000

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED BALANCE SHEET

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		December 31, 2021
		As previously reported				Restatement adjustments				Reference		As restated
ASSETS
Current assets:
Cash		$	7,855,000			$	–					$	7,855,000
Accounts receivable			5,184,000				-						5,184,000
Inventories, net (a) (d)			19,583,000				(1,493,000	)		(a) (d)			18,090,000
Other current assets			868,000				-						868,000
Total current assets			33,490,000				(1,493,000	)					31,997,000
Right of use asset			2,821,000				–						2,821,000
Property, plant and equipment, net			1,627,000				–						1,627,000
Other assets			89,000				–						89,000
Total assets		$	38,027,000			$	(1,493,000	)				$	36,534,000
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable		$	9,239,000			$	–					$	9,239,000
Accrued expenses			2,233,000				–						2,233,000
Line of credit			3,500,000				–						3,500,000
Deferred revenue			140,000				–						140,000
Office leases payable, current portion			469,000				–						469,000
Accrued interest			3,000				–						3,000
Total current liabilities			15,584,000				–						15,584,000
Long term liabilities:
Office leases payable, less current portion			2,621,000				–						2,621,000
Total liabilities			18,205,000				–						18,205,000
Stockholders’ equity:
Preferred stock, $0.001 par value; 500,000 shares authorized; none issued and outstanding			-				-						-
Common stock, $0.001 par value; 30,000,000 shares authorized; 15,987,502 shares issued and outstanding			16,000				–						16,000
Additional paid-in capital			95,217,000				–						95,217,000
Accumulated deficit (a) (d)			(75,411,000	)			(1,493,000	)		(a) (d)			(76,904,000	)
Total stockholders’ equity			19,822,000				(1,493,000	)					18,329,000
Total liabilities and stockholders’ equity		$	38,027,000			$	(1,493,000	)				$	36,534,000

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED BALANCE SHEET

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		September 30, 2021
		As previously reported				Restatement adjustments				Reference		As restated
ASSETS
Current assets:
Cash		$	15,737,000			$	–					$	15,737,000
Accounts receivable			4,511,000				-						4,511,000
Inventories, net (a)(d)			13,846,000				(1,191,000	)		(a) (d)			12,655,000
Other current assets			1,026,000				-						1,026,000
Total current assets			35,120,000				(1,191,000	)					33,929,000
Right of use asset			2,929,000				–						2,929,000
Property, plant and equipment, net			1,471,000				–						1,471,000
Other assets			89,000				–						89,000
Total assets		$	39,609,000			$	(1,191,000	)				$	38,418,000
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable		$	9,298,000			$	–					$	9,298,000
Accrued expenses			1,908,000				–						1,908,000
Deferred revenue			127,000				–						127,000
Customer deposits			322,000				–						322,000
Office leases payable, current portion			452,000				–						452,000
Accrued interest			3,000				–						3,000
Total current liabilities			12,110,000				–						12,110,000
Long term liabilities:
Office leases payable, less current portion			2,745,000				–						2,745,000
Total liabilities			14,855,000				–						14,855,000
Stockholders’ equity:
Preferred stock, $0.001 par value; 500,000 shares authorized; none issued and outstanding			-				-						-
Preferred stock value			-				-						-
Common stock, $0.001 par value; 30,000,000 shares authorized; 15,987,502 shares issued and outstanding			16,000				–						16,000
Common stock value			16,000				–						16,000
Additional paid-in capital			95,073,000				–						95,073,000
Accumulated deficit			(70,335,000	)			(1,191,000	)		(a) (d)			(71,526,000	)
Total stockholders’ equity			24,754,000				(1,191,000	)					23,563,000
Total liabilities and stockholders’ equity		$	39,609,000			$	(1,191,000	)				$	38,418,000

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited)

		Three months ended				Nine months ended				Three months ended				Six months ended				Three months ended
		Fiscal year 2024
		March 31, 2024								December 31, 2023								September 30, 2023
		Three months ended				Nine months ended				Three months ended				Six months ended				Three months ended
		Restated				Restated				Restated				Restated				Restated
Revenues		$	14,457,000			$	47,447,000			$	18,203,000			$	32,990,000			$	14,787,000
Cost of sales			10,432,000				33,806,000				12,822,000				23,374,000				10,552,000
Gross profit			4,025,000				13,641,000				5,381,000				9,616,000				4,235,000
Operating expenses:
Selling and administrative			5,311,000				14,629,000				4,593,000				9,318,000				4,725,000
Research and development			1,286,000				3,816,000				1,235,000				2,530,000				1,295,000
Total operating expenses			6,597,000				18,445,000				5,828,000				11,848,000				6,020,000
Operating loss			(2,572,000	)			(4,804,000	)			(447,000	)			(2,232,000	)			(1,785,000	)
Other income (expense):
Other income
Interest income (expense), net			(433,000	)			(1,285,000	)			(449,000	)			(852,000	)			(403,000	)
Net loss		$	(3,005,000	)		$	(6,089,000	)		$	(896,000	)		$	(3,084,000	)		$	(2,188,000	)
Net loss per share - basic and diluted		$	(0.18	)		$	(0.37	)		$	(0.06	)		$	(0.19	)		$	(0.13	)
Weighted average number of common shares outstanding - basic and diluted			16,538,998				16,510,046				16,516,700				16,495,727				16,474,754

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited)

		Three months ended				Nine months ended				Three months ended				Six months ended				Three months ended
		Fiscal year 2023
		March 31, 2023								December 31, 2022								September 30, 2022
		Three months ended				Nine months ended				Three months ended				Six months ended				Three months ended
		Restated				Restated				Restated				Restated				Restated
Revenues		$	15,087,000			$	50,085,000			$	17,158,000			$	34,998,000			$	17,840,000
Cost of sales			10,410,000				37,796,000				13,165,000				27,386,000				14,221,000
Gross profit			4,677,000				12,289,000				3,993,000				7,612,000				3,619,000
Operating expenses:
Selling and administrative			4,724,000				13,510,000				4,250,000				8,786,000				4,536,000
Research and development			1,182,000				3,359,000				1,162,000				2,177,000				1,015,000
Total operating expenses			5,906,000				16,869,000				5,412,000				10,963,000				5,551,000
Operating loss			(1,229,000	)			(4,580,000	)			(1,419,000	)			(3,351,000	)			(1,932,000	)
Other income (expense):
Other income			–				8,000				8,000				8,000				–
Interest income (expense), net			(258,000	)			(971,000	)			(385,000	)			(713,000	)			(328,000	)
Net loss		$	(1,487,000	)		$	(5,543,000	)		$	(1,796,000	)		$	(4,056,000	)		$	(2,260,000	)
Net loss per share - basic and diluted		$	(0.10	)		$	(0.35	)		$	(0.11	)		$	(0.25	)		$	(0.14	)
Weighted average number of common shares outstanding - basic and diluted			16,048,054				16,021,653				16,020,183				16,008,740				15,997,296

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited)

		Three months ended				Nine months ended				Three months ended				Six months ended				Three months ended
		Fiscal year 2022
		March 31, 2022								December 31, 2021								September 30, 2021
		Three months ended				Nine months ended				Three months ended				Six months ended				Three months ended
		Restated				Restated				Restated				Restated				Restated
Revenues		$	13,177,000			$	27,138,000			$	7,690,000			$	13,961,000			$	6,271,000
Cost of sales			11,576,000				24,245,000				7,503,000				12,669,000				5,166,000
Gross profit			1,601,000				2,893,000				187,000				1,292,000				1,105,000
Operating expenses:
Selling and administrative			3,904,000				11,402,000				4,000,000				7,498,000				3,498,000
Research and development			1,538,000				5,040,000				1,535,000				3,502,000				1,967,000
Total operating expenses			5,442,000				16,442,000				5,535,000				11,000,000				5,465,000
Operating loss			(3,841,000	)			(13,549,000	)			(5,348,000	)			(9,708,000	)			(4,360,000	)
Other income (expense):
Interest income (expense), net			(52,000	)			(86,000	)			(31,000	)			(34,000	)			(3,000	)
Net loss		$	(3,893,000	)		$	(13,635,000	)		$	(5,379,000	)		$	(9,742,000	)		$	(4,363,000	)
Net loss per share - basic and diluted		$	(0.24	)		$	(0.89	)		$	(0.33	)		$	(0.65	)		$	(0.32	)
Weighted average number of common shares outstanding - basic and diluted			15,988,926				15,254,983				15,987,502				14,895,989				13,804,475

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		Three months ended March 31, 2024
		As previously reported				Restatement adjustments				Reference		As restated
Revenues		$	14,457,000			$	–					$	14,457,000
Cost of sales (a)(e)			10,067,000				365,000			(a) (e)			10,432,000
Gross profit			4,390,000				(365,000	)					4,025,000
Operating expenses:
Selling and administrative			5,311,000				–						5,311,000
Research and development			1,286,000				–						1,286,000
Total operating expenses			6,597,000				–						6,597,000
Operating loss			(2,207,000	)			(365,000	)					(2,572,000	)
Other income (expense):
Interest income (expense), net			(433,000	)			–						(433,000	)
Net loss		$	(2,640,000	)		$	(365,000	)				$	(3,005,000	)
Net loss per share - basic and diluted		$	(0.16	)		$	(0.02	)				$	(0.18	)
Weighted average number of common shares outstanding - basic and diluted			16,538,998				16,538,998						16,538,998

		As previously reported				Restatement adjustments				Reference		As restated
		Three months ended December 31, 2023
		As previously reported				Restatement adjustments				Reference		As restated
Revenues (b)		$	18,344,000			$	(141,000	)		(b)		$	18,203,000
Cost of sales (a)(c)(d)(e)			12,676,000				146,000			(a) (c) (d) (e)			12,822,000
Gross profit			5,668,000				(287,000	)					5,381,000
Operating expenses:
Selling and administrative			4,593,000				–						4,593,000
Research and development (c)			1,440,000				(205,000	)		(c)			1,235,000
Total operating expenses			6,033,000				(205,000	)					5,828,000
Operating loss			(365,000	)			(82,000	)					(447,000	)
Other income (expense):
Interest income (expense), net			(449,000	)			–						(449,000	)
Net loss		$	(814,000	)		$	(82,000	)				$	(896,000	)
Net loss per share - basic and diluted		$	(0.05	)		$	(0.01	)				$	(0.06	)
Weighted average number of common shares outstanding - basic and diluted			16,516,700				16,516,700						16,516,700

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		Three months ended September 30, 2023
		As previously reported				Restatement adjustments				Reference		As restated
Revenues(b)		$	14,797,000			$	(10,000	)		(b)		$	14,787,000
Cost of sales(a)			10,486,000				66,000			(a)			10,552,000
Gross profit			4,311,000				(76,000	)					4,235,000
Operating expenses:
Selling and administrative			4,725,000				–						4,725,000
Research and development			1,295,000				–						1,295,000
Total operating expenses			6,020,000				–						6,020,000
Operating loss			(1,709,000	)			(76,000	)					(1,785,000	)
Other income (expense):
Interest income (expense), net			(403,000	)			–						(403,000	)
Net loss		$	(2,112,000	)		$	(76,000	)				$	(2,188,000	)
Net loss per share - basic and diluted		$	(0.13	)		$	(0.00	)				$	(0.13	)
Weighted average number of common shares outstanding - basic and diluted			16,474,754				16,474,754						16,474,754

		As previously reported				Restatement adjustments				Reference		As restated
		Three months ended March 31, 2023
		As previously reported				Restatement adjustments				Reference		As restated
Revenues		$	15,087,000			$	–					$	15,087,000
Cost of sales(a)(d)			10,368,000				42,000			(a) (d)			10,410,000
Gross profit			4,719,000				(42,000	)					4,677,000
Operating expenses:
Selling and administrative			4,724,000				–						4,724,000
Research and development			1,182,000				–						1,182,000
Total operating expenses			5,906,000				–						5,906,000
Operating loss			(1,187,000	)			(42,000	)					(1,229,000	)
Other income (expense):
Interest income (expense), net			(258,000	)			–						(258,000	)
Net loss		$	(1,445,000	)		$	(42,000	)				$	(1,487,000	)
Net loss per share - basic and diluted		$	(0.09	)		$	(0.01	)				$	(0.10	)
Weighted average number of common shares outstanding - basic and diluted			16,048,054				16,048,054						16,048,054

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		Three months ended December 31, 2022
		As previously reported				Restatement adjustments				Reference		As restated
Revenues		$	17,158,000			$	–					$	17,158,000
Cost of sales (a)(d)			13,050,000				115,000			(a) (d)			13,165,000
Gross profit			4,108,000				(115,000	)					3,993,000
Operating expenses:
Selling and administrative			4,250,000				–						4,250,000
Research and development			1,162,000				–						1,162,000
Total operating expenses			5,412,000				–						5,412,000
Operating loss			(1,304,000	)			(115,000	)					(1,419,000	)
Other income (expense):
Other income			8,000				–						8,000
Interest income (expense), net			(385,000	)			–						(385,000	)
Net loss		$	(1,681,000	)		$	(115,000	)				$	(1,796,000	)
Net loss per share - basic and diluted		$	(0.10	)		$	(0.01	)				$	(0.11	)
Weighted average number of common shares outstanding - basic and diluted			16,020,183				16,020,183						16,020,183

		As previously reported				Restatement adjustments				Reference		As restated
		Three months ended September 30, 2022
		As previously reported				Restatement adjustments				Reference		As restated
Revenues		$	17,840,000			$	–					$	17,840,000
Cost of sales (a)(c)(d)			13,892,000				329,000			(a) (c) (d)			14,221,000
Gross profit			3,948,000				(329,000	)					3,619,000
Operating expenses:
Selling and administrative			4,536,000				–						4,536,000
Research and development (c)			1,223,000				(208,000	)		(c)			1,015,000
Total operating expenses			5,759,000				(208,000	)					5,551,000
Operating loss			(1,811,000	)			(121,000	)					(1,932,000	)
Other income (expense):
Interest income (expense), net			(328,000	)			–						(328,000	)
Net loss		$	(2,139,000	)		$	(121,000	)				$	(2,260,000	)
Net loss per share - basic and diluted		$	(0.13	)		$	(0.01	)				$	(0.14	)
Weighted average number of common shares outstanding - basic and diluted			15,997,296				15,997,296						15,997,296

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		Three months ended March 31, 2022
		As previously reported				Restatement adjustments				Reference		As restated
Revenues		$	13,177,000			$	–					$	13,177,000
Cost of sales (a)(c)(d)			11,257,000				319,000			(a) (c) (d)			11,576,000
Gross profit			1,920,000				(319,000	)					1,601,000
Operating expenses:
Selling and administrative			3,904,000				–						3,904,000
Research and development (c)			1,713,000				(175,000	)		(c)			1,538,000
Total operating expenses			5,617,000				(175,000	)					5,442,000
Operating loss			(3,697,000	)			(144,000	)					(3,841,000	)
Other income (expense):
Interest income (expense), net			(52,000	)			–						(52,000	)
Net loss		$	(3,749,000	)		$	(144,000	)				$	(3,893,000	)
Net loss per share - basic and diluted		$	(0.23	)		$	(0.01	)				$	(0.24	)
Weighted average number of common shares outstanding - basic and diluted			15,988,926				15,988,926						15,988,926

		As previously reported				Restatement adjustments				Reference		As restated
		Three months ended December 31, 2021
		As previously reported				Restatement adjustments				Reference		As restated
Revenues		$	7,690,000			$	–					$	7,690,000
Cost of sales (a)(c)(d)			6,648,000				855,000			(a) (c) (d)			7,503,000
Gross profit			1,042,000				(855,000	)					187,000
Operating expenses:
Selling and administrative			4,000,000				–						4,000,000
Research and development (c)			2,088,000				(553,000	)		(c)			1,535,000
Total operating expenses			6,088,000				(553,000	)					5,535,000
Operating loss			(5,046,000	)			(302,000	)					(5,348,000	)
Other income (expense):
Interest income (expense), net			(31,000	)			–						(31,000	)
Net loss		$	(5,077,000	)		$	(302,000	)				$	(5,379,000	)
Net loss per share - basic and diluted		$	(0.32	)		$	(0.01	)				$	(0.33	)
Weighted average number of common shares outstanding - basic and diluted			15,987,502				15,987,502						15,987,502

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		Three months ended September 30, 2021
		As previously reported				Restatement adjustments				Reference		As restated
Revenues		$	6,271,000			$	–					$	6,271,000
Cost of sales (a)(d)			4,933,000				233,000			(a) (d)			5,166,000
Gross profit			1,338,000				(233,000	)					1,105,000
Operating expenses:
Selling and administrative			3,498,000				–						3,498,000
Research and development			1,967,000				–						1,967,000
Total operating expenses			5,465,000				–						5,465,000
Operating loss			(4,127,000	)			(233,000	)					(4,360,000	)
Other income (expense):
Interest income (expense), net			(3,000	)			–						(3,000	)
Net loss		$	(4,130,000	)		$	(233,000	)				$	(4,363,000	)
Net loss per share - basic and diluted		$	(0.30	)		$	(0.02	)				$	(0.32	)
Weighted average number of common shares outstanding - basic and diluted			13,804,475				13,804,475						13,804,475

		As previously reported				Restatement adjustments				Reference		As restated
		Six months ended December 31, 2023
		As previously reported				Restatement adjustments				Reference		As restated
Revenues (b)		$	33,141,000			$	(151,000	)		(b)		$	32,990,000
Cost of sales (a)(c)(d)(e)			23,162,000				212,000			(a) (c) (d) (e)			23,374,000
Gross profit			9,979,000				(363,000	)					9,616,000
Operating expenses:
Selling and administrative			9,318,000				–						9,318,000
Research and development (c)			2,735,000				(205,000	)		(c)			2,530,000
Total operating expenses			12,053,000				(205,000	)					11,848,000
Operating loss			(2,074,000	)			(158,000	)					(2,232,000	)
Other income (expense):
Interest income (expense), net			(852,000	)			–						(852,000	)
Net loss		$	(2,926,000	)		$	(158,000	)				$	(3,084,000	)
Net loss per share - basic and diluted		$	(0.18	)		$	(0.01	)				$	(0.19	)
Weighted average number of common shares outstanding - basic and diluted			16,495,727				16,495,727						16,495,727

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		Six months ended December 31, 2022
		As previously reported				Restatement adjustments				Reference		As restated
Revenues		$	34,998,000			$	–					$	34,998,000
Cost of sales (a)(c)(d)			26,942,000				444,000			(a) (c) (d)			27,386,000
Gross profit			8,056,000				(444,000	)					7,612,000
Operating expenses:
Selling and administrative			8,786,000				–						8,786,000
Research and development (c)			2,385,000				(208,000	)		(c)			2,177,000
Total operating expenses			11,171,000				(208,000	)					10,963,000
Operating loss			(3,115,000	)			(236,000	)					(3,351,000	)
Other income (expense):
Other income			8,000				–						8,000
Interest income (expense), net			(713,000	)			–						(713,000	)
Net loss		$	(3,820,000	)		$	(236,000	)				$	(4,056,000	)
Net loss per share - basic and diluted		$	(0.24	)		$	(0.01	)				$	(0.25	)
Weighted average number of common shares outstanding - basic and diluted			16,008,740				16,008,740						16,008,740

		As previously reported				Restatement adjustments				Reference		As restated
		Six months ended December 31, 2021
		As previously reported				Restatement adjustments				Reference		As restated
Revenues		$	13,961,000			$	–					$	13,961,000
Cost of sales (a)(c)(d)			11,581,000				1,088,000			(a) (c) (d)			12,669,000
Gross profit			2,380,000				(1,088,000	)					1,292,000
Operating expenses:
Selling and administrative			7,498,000				–						7,498,000
Research and development (c)			4,055,000				(553,000	)		(c)			3,502,000
Total operating expenses			11,553,000				(553,000	)					11,000,000
Operating loss			(9,173,000	)			(535,000	)					(9,708,000	)
Other income (expense):
Interest income (expense), net			(34,000	)			–						(34,000	)
Net loss		$	(9,207,000	)		$	(535,000	)				$	(9,742,000	)
Net loss per share - basic and diluted		$	(0.62	)		$	(0.03	)				$	(0.65	)
Weighted average number of common shares outstanding - basic and diluted			14,895,989				14,895,989						14,895,989

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		Nine months ended March 31, 2024
		As previously reported				Restatement adjustments				Reference		As restated
Revenues (b)		$	47,598,000			$	(151,000	)		(b)		$	47,447,000
Cost of sales (a)(c)(d)(e)			33,229,000				577,000			(a) (c) (d) (e)			33,806,000
Gross profit			14,369,000				(728,000	)					13,641,000
Operating expenses:
Selling and administrative			14,629,000				–						14,629,000
Research and development (c)			4,021,000				(205,000	)		(c)			3,816,000
Total operating expenses			18,650,000				(205,000	)					18,445,000
Operating loss			(4,281,000	)			(523,000	)					(4,804,000	)
Other income (expense):
Interest income (expense), net			(1,285,000	)			–						(1,285,000	)
Net loss		$	(5,566,000	)		$	(523,000	)				$	(6,089,000	)
Net loss per share - basic and diluted		$	(0.34	)		$	(0.03	)				$	(0.37	)
Weighted average number of common shares outstanding - basic and diluted			16,510,046				16,510,046						16,510,046

		As previously reported				Restatement adjustments				Reference		As restated
		Nine months ended March 31, 2023
		As previously reported				Restatement adjustments				Reference		As restated
Revenues		$	50,085,000			$	–					$	50,085,000
Cost of sales (a)(c)(d)			37,310,000				486,000			(a) (c) (d)			37,796,000
Gross profit			12,775,000				(486,000	)					12,289,000
Operating expenses:
Selling and administrative			13,510,000				–						13,510,000
Research and development (c)			3,567,000				(208,000	)		(c)			3,359,000
Total operating expenses			17,077,000				(208,000	)					16,869,000
Operating loss			(4,302,000	)			(278,000	)					(4,580,000	)
Other income (expense):
Other income			8,000				–						8,000
Interest income (expense), net			(971,000	)			–						(971,000	)
Net loss		$	(5,265,000	)		$	(278,000	)				$	(5,543,000	)
Net loss per share - basic and diluted		$	(0.33	)		$	(0.02	)				$	(0.35	)
Weighted average number of common shares outstanding - basic and diluted			16,021,653				16,021,653						16,021,653

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		Nine months ended March 31, 2022
		As previously reported				Restatement adjustments				Reference		As restated
Revenues		$	27,138,000			$	–					$	27,138,000
Cost of sales (a)(c)(d)			22,838,000				1,407,000			(a) (c) (d)			24,245,000
Gross profit			4,300,000				(1,407,000	)					2,893,000
Operating expenses:
Selling and administrative			11,402,000				–						11,402,000
Research and development (c)			5,768,000				(728,000	)		(c)			5,040,000
Total operating expenses			17,170,000				(728,000	)					16,442,000
Operating loss			(12,870,000	)			(679,000	)					(13,549,000	)
Other income (expense):
Interest income (expense), net			(86,000	)			–						(86,000	)
Net loss		$	(12,956,000	)		$	(679,000	)				$	(13,635,000	)
Net loss per share - basic and diluted		$	(0.85	)		$	(0.04	)				$	(0.89	)
Weighted average number of common shares outstanding - basic and diluted			15,254,983				15,254,983						15,254,983

FLUX POWER HOLDING, INC.

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY

(Unaudited)

				Shares				Capital Stock Amount				Additional Paid-in Capital				Accumulated Deficit				Total
				Common Stock
		Reference		Shares				Capital Stock Amount				Additional Paid-in Capital				Accumulated Deficit				Total
Balance, as restated, June 30, 2023					16,462,215			$	16,000			$	98,086,000			$	(91,379,000	)		$	6,723,000
Activity, as reported					16,022				–				276,000				(2,112,000	)			(1,836,000	)
Adjustments (a) (b)		(a) (b)			–				–				–				(76,000	)			(76,000	)
Balance, as restated, September 30, 2023					16,478,237				16,000				98,362,000				(93,567,000	)			4,811,000
Activity, as reported					54,038				1,000				485,000				(814,000	)			(328,000	)
Adjustments (a)(b)(d)(e)		(a) (b) (d) (e)			–				–				–				(82,000	)			(82,000	)
Balance, as restated, December 31, 2023					16,532,275				17,000				98,847,000				(94,463,000	)			4,401,000
Activity, as reported					67,408				–				673,000				(2,640,000	)			(1,967,000	)
Adjustments (a) (e)		(a) (e)			–				–				–				(365,000	)			(365,000	)
Balance, as restated, March 31, 2024					16,599,683			$	17,000			$	99,520,000			$	(97,468,000	)		$	2,069,000

				Common Stock
		Reference		Shares				Capital Stock Amount				Additional Paid-in Capital				Accumulated Deficit				Total
Balance, as restated, June 30, 2022					15,996,658			$	16,000			$	95,732,000			$	(83,636,000	)		$	12,112,000
Activity, as reported					1,678				–				95,000				(2,139,000	)			(2,044,000	)
Adjustments (a) (d)		(a) (d)			–				–				–				(121,000	)			(121,000	)
Balance, as restated, September 30, 2022					15,998,336				16,000				95,827,000				(85,896,000	)			9,947,000
Activity, as reported					31,142				–				209,000				(1,681,000	)			(1,472,000	)
Adjustments (a) (d)		(a) (d)			–				–				–				(115,000	)			(115,000	)
Balance, as restated, December 31, 2022					16,029,478				16,000				96,036,000				(87,692,000	)			8,360,000
Activity, as reported					126,954				–				932,000				(1,445,000	)			(513,000	)
Adjustments (a) (d)		(a) (d)			–				–				–				(42,000	)			(42,000	)
Balance, as restated, March 31, 2023					16,156,432			$	16,000			$	96,968,000			$	(89,179,000	)		$	7,805,000

				Common Stock
		Reference		Shares				Capital Stock Amount				Additional Paid-in Capital				Accumulated Deficit				Total
Balance, as restated, June 30, 2021*					13,652,164			$	14,000			$	79,197,000			$	(67,163,000	)		$	12,048,000
Activity, as reported					2,335,338				2,000				15,876,000				(4,130,000	)			11,748,000
Adjustments (a) (d)		(a) (d)			–				–				–				(233,000	)			(233,000	)
Balance, as restated, September 30, 2021					15,987,502				16,000				95,073,000				(71,526,000	)			23,563,000
Activity, as reported					–				–				144,000				(5,077,000	)			(4,933,000	)
Adjustments (a) (d)		(a) (d)			–				–				–				(302,000	)			(302,000	)
Balance, as restated, December 31, 2021					15,987,502				16,000				95,217,000				(76,905,000	)			18,328,000
Activity, as reported					4,578				–				152,000				(3,749,000	)			(3,597,000	)
Adjustments (a) (d)		(a) (d)			–				–				–				(144,000	)			(144,000	)
Balance, as restated, March 31, 2022					15,992,080			$	16,000			$	95,369,000			$	(80,798,000	)		$	14,587,000

* June 30, 2021 total shareholders’ equity, as restated, reflects the impact of restatement adjustments related to periods prior to the year ended June 30, 2022. The impact of restatement is a decrease of $958,000 to accumulated deficit at June 30, 2021.

FLUX POWER HOLDING, INC.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

		Nine months ended March 31, 2024				Six months ended December 31, 2023				Three months ended September 30, 2023
		Fiscal Year 2024
		Nine months ended March 31, 2024				Six months ended December 31, 2023				Three months ended September 30, 2023
		Restated				Restated				Restated
Cash flows from operating activities:
Net loss		$	(6,089,000	)		$	(3,084,000	)		$	(2,188,000	)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation			787,000				523,000				261,000
Stock-based compensation			1,233,000				670,000				276,000
Amortization of debt issuance costs			161,000				134,000				81,000
Non-cash lease expense			448,000				296,000				146,000
Inventory write downs			358,000				233,000				113,000
Changes in operating assets and liabilities:
Accounts receivable			(1,668,000	)			(3,926,000	)			(2,040,000	)
Inventories			(1,562,000	)			371,000				(546,000	)
Other assets			11,000				(65,000	)			(215,000	)
Accounts payable			1,522,000				489,000				330,000
Accrued expenses			719,000				169,000				601,000
Accrued interest			134,000				128,000				100,000
Office leases payable			(476,000	)			(312,000	)			(152,000	)
Deferred revenue			212,000				179,000				205,000
Customer deposits			(64,000	)			150,000				(65,000	)
Net cash used in operating activities			(4,274,000	)			(4,045,000	)			(3,093,000	)
Cash flows from investing activities:
Purchases of equipment			(588,000	)			(338,000	)			(181,000	)
Proceeds from sale of fixed assets
Net cash used in investing activities			(588,000	)			(338,000	)			(181,000	)
Cash flows from financing activities:
Proceeds from stock option exercises and employee stock purchase plan exercises			110,000				–				–
Proceeds from the issuance of common stock in registered direct offering, net of offering costs
Proceeds from the issuance of common stock in public offering, net of offering costs
Proceeds from revolving line of credit			52,820,000				35,868,000				18,055,000
Payment of revolving line of credit			(49,087,000	)			(32,205,000	)			(15,981,000	)
Payment of finance leases			(110,000	)			(75,000	)			(40,000	)
Net cash provided by financing activities			3,733,000				3,588,000				2,034,000
Net change in cash			(1,129,000	)			(795,000	)			(1,240,000	)
Cash, beginning of period			2,379,000				2,379,000				2,379,000
Cash, end of period		$	1,250,000			$	1,584,000			$	1,139,000
Supplemental Disclosures of Non-Cash Investing and Financing Activities:
Common stock issued for vested RSUs		$	222,000			$	183,000			$	–
Warrants issued in connection with borrowing agreements, recorded as debt issuance cost		$	92,000			$	92,000			$	–
Supplemental cash flow information:
Interest paid		$	1,000,000			$	605,000			$	223,000

FLUX POWER HOLDING, INC.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

		Nine months ended March 31, 2023				Six months ended December 31, 2022				Three months ended September 30, 2022
		Fiscal Year 2023
		Nine months ended March 31, 2023				Six months ended December 31, 2022				Three months ended September 30, 2022
		Restated				Restated				Restated
Cash flows from operating activities:
Net loss		$	(5,543,000	)		$	(4,056,000	)		$	(2,260,000	)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation			647,000				371,000				172,000
Stock-based compensation			539,000				304,000				95,000
Amortization of debt issuance costs			445,000				368,000				229,000
Non-cash lease expense			370,000				236,000				117,000
Inventory write downs			191,000				88,000				43,000
Changes in operating assets and liabilities:
Accounts receivable			(1,272,000	)			(1,898,000	)			(2,987,000	)
Inventories			(4,610,000	)			(3,097,000	)			(2,538,000	)
Other assets			11,000				(17,000	)			(229,000	)
Accounts payable			4,210,000				6,192,000				6,860,000
Accrued expenses			395,000				89,000				9,000
Accrued interest			2,000				–				1,000
Office leases payable			(379,000	)			(244,000	)			(120,000	)
Deferred revenue			(163,000	)			(82,000	)			184,000
Customer deposits			(40,000	)			(146,000	)			(165,000	)
Net cash used in operating activities			(5,197,000	)			(1,892,000	)			(589,000	)
Cash flows from investing activities:
Purchases of equipment			(753,000	)			(344,000	)			(352,000	)
Proceeds from sale of fixed assets			8,000				8,000				–
Net cash used in investing activities			(745,000	)			(336,000	)			(352,000	)
Cash flows from financing activities:
Proceeds from the issuance of common stock in public offering, net of offering costs			697,000				–				–
Proceeds from revolving line of credit			48,800,000				30,550,000				12,900,000
Payment of revolving line of credit			(43,198,000	)			(28,628,000	)			(12,138,000	)
Payment of finance leases			(52,000	)			(22,000	)			–
Net cash provided by financing activities			6,247,000				1,900,000				762,000
Net change in cash			305,000				(328,000	)			(179,000	)
Cash, beginning of period			485,000				485,000				485,000
Cash, end of period		$	790,000			$	157,000			$	306,000
Supplemental Disclosures of Non-Cash Investing and Financing Activities:
Initial right of use asset recognition		$	855,000			$	258,000			$	78,000
Common stock issued for vested RSUs		$	114,000			$	114,000			$	5,000
Supplemental cash flow information:
Interest paid		$	524,000			$	288,000			$	99,000

FLUX POWER HOLDING, INC.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

		Nine months ended March 31, 2022				Six months ended December 31, 2021				Three months ended September 30, 2021
		Fiscal Year 2022
		Nine months ended March 31, 2022				Six months ended December 31, 2021				Three months ended September 30, 2021
		Restated				Restated				Restated
Cash flows from operating activities:
Net loss		$	(13,635,000	)		$	(9,742,000	)		$	(4,363,000	)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation			412,000				259,000				123,000
Stock-based compensation			601,000				449,000				200,000
Noncash lease expense			324,000				214,000				106,000
Inventory write downs			482,000				351,000				110,000
Changes in operating assets and liabilities:
Accounts receivable			(3,411,000	)			913,000				1,586,000
Inventories			(10,224,000	)			(8,886,000	)			(3,210,000	)
Other assets			(118,000	)			(408,000	)			(567,000	)
Accounts payable			6,186,000				2,064,000				2,123,000
Accrued expenses			(441,000	)			(350,000	)			(675,000	)
Accrued interest			–				1,000				1,000
Office leases payable			(322,000	)			(211,000	)			(104,000	)
Deferred revenue			289,000				116,000				103,000
Customer deposits			519,000				(171,000	)			151,000
Net cash used in operating activities			(19,338,000	)			(15,401,000	)			(4,416,000	)
Cash flows from investing activities:
Purchases of equipment			(644,000	)			(530,000	)			(238,000	)
Net cash used in investing activities			(644,000	)			(530,000	)			(238,000	)
Cash flows from financing activities:
Proceeds from the issuance of common stock in registered direct offering, net of offering costs			13,971,000				13,971,000				14,076,000
Proceeds from the issuance of common stock in public offering, net of offering costs			1,602,000				1,602,000				1,602,000
Proceeds from revolving line of credit			3,500,000				3,500,000				–
Net cash provided by financing activities			19,073,000				19,073,000				15,678,000
Net change in cash			(909,000	)			3,142,000				11,024,000
Cash, beginning of period			4,713,000				4,713,000				4,713,000
Cash, end of period		$	3,804,000			$	7,855,000			$	15,737,000
Supplemental Disclosures of Non-Cash Investing and Financing Activities:
Common stock issued for vested RSUs		$	9,700			$	–			$	–
Supplemental cash flow information:
Interest paid		$	86,000			$	33,000			$	2,000

FLUX POWER HOLDING, INC.

CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		Nine months ended March 31, 2024
		As previously reported				Restatement adjustments				Reference		As restated
Cash flows from operating activities:
Net loss (a)(b)(d)(e)		$	(5,566,000	)		$	(523,000	)		(a) (b) (d) (e)		$	(6,089,000	)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation			787,000				–						787,000
Stock-based compensation			1,233,000				–						1,233,000
Fair value of warrants issued as debt discount cost			92,000				(92,000	)		(f)			0
Amortization of debt issuance costs			161,000				–						161,000
Non-cash lease expense			448,000				–						448,000
Inventory write downs(a)			13,000				345,000			(a)			358,000
Changes in operating assets and liabilities:
Accounts receivable (b)			(1,755,000	)			87,000			(b)			(1,668,000	)
Inventories(a)(d)			(1,191,000	)			(371,000	)		(a) (d)			(1,562,000	)
Other assets			(81,000	)			92,000			(f)			11,000
Accounts payable(b)(d)(e)			1,315,000				207,000			(b) (d) (e)			1,522,000
Accrued expenses(e)			464,000				255,000			(e)			719,000
Accrued interest			134,000				–						134,000
Office leases payable			(476,000	)			–						(476,000	)
Deferred revenue			212,000				–						212,000
Customer deposits			(64,000	)			–						(64,000	)
Net cash used in operating activities			(4,274,000	)			–						(4,274,000	)
Cash flows from investing activities:
Purchases of equipment			(588,000	)			–						(588,000	)
Net cash used in investing activities			(588,000	)			–						(588,000	)
Cash flows from financing activities:
Proceeds from stock option exercises and employee stock purchase plan exercises			110,000				–						110,000
Proceeds from revolving line of credit			52,820,000				–						52,820,000
Payment of revolving line of credit			(49,087,000	)			–						(49,087,000	)
Payment of finance leases			(110,000	)			–						(110,000	)
Net cash provided by financing activities			3,733,000				–						3,733,000
Net change in cash			(1,129,000	)			–						(1,129,000	)
Cash, beginning of period			2,379,000				–						2,379,000
Cash, end of period		$	1,250,000			$	–					$	1,250,000
Supplemental Disclosures of Non-Cash Investing and Financing Activities:
Common stock issued for vested RSUs		$	222,000			$	–					$	222,000
Warrants issued in connection with borrowing agreements, recorded as debt issuance cost		$	–			$	92,000			(f)		$	92,000
Supplemental cash flow information:
Interest paid		$	1,000,000			$	–					$	1,000,000

FLUX POWER HOLDING, INC.

CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		Six months ended December 31, 2023
		As previously reported				Restatement adjustments				Reference		As restated
Cash flows from operating activities:
Net loss(a)(b)(d)(e)		$	(2,926,000	)		$	(158,000	)		(a) (b) (d) (e)		$	(3,084,000	)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation			523,000				(92,000	)		(f)			523,000
Stock-based compensation			670,000				–						670,000
Fair value of warrants issued as debt discount cost(f)			92,000				(92,000	)		(f)			–
Amortization of debt issuance costs			134,000				–						134,000
Non-cash lease expense			296,000				–						296,000
Inventory write downs(a)			(2,000	)			235,000			(a)			233,000
Changes in operating assets and liabilities:
Accounts receivable (b)			(3,930,000	)			4,000			(b)			(3,926,000	)
Inventories(a)(d)			715,000				(344,000	)		(a) (d)			371,000
Other assets(f)			(157,000	)			92,000			(f)			(65,000	)
Accounts payable(b)(d)(e)			286,000				203,000			(b) (d) (e)			489,000
Accrued expenses(e)			109,000				60,000			(e)			169,000
Accrued interest			128,000				–						128,000
Office leases payable			(312,000	)			–						(312,000	)
Deferred revenue			179,000				–						179,000
Customer deposits			150,000				–						150,000
Net cash used in operating activities			(4,045,000	)			–						(4,045,000	)
Cash flows from investing activities:
Purchases of equipment			(338,000	)			–						(338,000	)
Net cash used in investing activities			(338,000	)			–						(338,000	)
Cash flows from financing activities:
Proceeds from revolving line of credit			35,868,000				–						35,868,000
Payment of revolving line of credit			(32,205,000	)			–						(32,205,000	)
Payment of finance leases			(75,000	)			–						(75,000	)
Net cash provided by financing activities			3,588,000				–						3,588,000
Net change in cash			(795,000	)			–						(795,000	)
Cash, beginning of period			2,379,000				–						2,379,000
Cash, end of period		$	1,584,000			$	–					$	1,584,000
Supplemental Disclosures of Non-Cash Investing and Financing Activities:
Common stock issued for vested RSUs		$	183,000			$	–					$	183,000
Warrants issued in connection with borrowing agreements, recorded as debt issuance cost (f)		$	-			$	92,000			(f)		$	92,000
Supplemental cash flow information:
Interest paid		$	605,000			$	–					$	605,000

FLUX POWER HOLDING, INC.

CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		Three months ended September 30, 2023
		As previously reported				Restatement adjustments				Reference		As restated
Cash flows from operating activities:
Net loss(a)(b)		$	(2,112,000	)		$	(76,000	)		(a) (b)		$	(2,188,000	)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation			261,000				–						261,000
Stock-based compensation			276,000				–						276,000
Amortization of debt issuance costs			81,000				–						81,000
Non-cash lease expense			146,000				–						146,000
Inventory write downs(a)			(3,000	)			116,000			(a)			113,000
Changes in operating assets and liabilities:
Accounts receivable (b)			(2,050,000	)			10,000			(b)			(2,040,000	)
Inventories(a)			(496,000	)			(50,000	)		(a)			(546,000	)
Other assets			(215,000	)			–						(215,000	)
Accounts payable			330,000				–						330,000
Accrued expenses			601,000				–						601,000
Accrued interest			100,000				–						100,000
Office leases payable			(152,000	)			–						(152,000	)
Deferred revenue			205,000				–						205,000
Customer deposits			(65,000	)			–						(65,000	)
Net cash used in operating activities			(3,093,000	)			–						(3,093,000	)
Cash flows from investing activities:
Purchases of equipment			(181,000	)			–						(181,000	)
Net cash used in investing activities			(181,000	)			–						(181,000	)
Cash flows from financing activities:
Proceeds from the issuance of common stock in registered direct offering, net of offering costs
Proceeds from revolving line of credit			18,055,000				–						18,055,000
Payment of revolving line of credit			(15,981,000	)			–						(15,981,000	)
Payment of finance leases			(40,000	)			–						(40,000	)
Net cash provided by financing activities			2,034,000				–						2,034,000
Net change in cash			(1,240,000	)			–						(1,240,000	)
Cash, beginning of period			2,379,000				–						2,379,000
Cash, end of period		$	1,139,000			$	–					$	1,139,000
Supplemental cash flow information:
Interest paid		$	223,000			$	–					$	223,000

FLUX POWER HOLDING, INC.

CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		Nine months ended March 31, 2023
		As previously reported				Restatement adjustments				Reference		As restated
Cash flows from operating activities:
Net loss(a)(d)		$	(5,265,000	)		$	(278,000	)		(a) (d)		$	(5,543,000	)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation			647,000				–						647,000
Stock-based compensation			539,000				–						539,000
Amortization of debt issuance costs			445,000				–						445,000
Non-cash lease expense			370,000				–						370,000
Inventory write downs(a)			214,000				(23,000	)		(a)			191,000
Changes in operating assets and liabilities:							–
Accounts receivable (b)			(1,244,000	)			(28,000	)		(b)			(1,272,000	)
Inventories(a)(d)			(4,911,000	)			301,000			(a) (d)			(4,610,000	)
Other assets			11,000				–						11,000
Accounts payable (b)			4,182,000				28,000			(b)			4,210,000
Accrued expenses			395,000				–						395,000
Accrued interest			2,000				–						2,000
Office leases payable			(379,000	)			–						(379,000	)
Deferred revenue			(163,000	)			–						(163,000	)
Customer deposits			(40,000	)			–						(40,000	)
Net cash used in operating activities			(5,197,000	)			–						(5,197,000	)
Cash flows from investing activities:
Purchases of equipment			(753,000	)			–						(753,000	)
Proceeds from sale of fixed assets			8,000				–						8,000
Net cash used in investing activities			(745,000	)			–						(745,000	)
Cash flows from financing activities:
Proceeds from the issuance of common stock in public offering, net of offering costs			697,000				–						697,000
Proceeds from revolving line of credit			48,800,000				–						48,800,000
Payment of revolving line of credit			(43,198,000	)			–						(43,198,000	)
Payment of finance leases			(52,000	)			–						(52,000	)
Net cash provided by financing activities			6,247,000				–						6,247,000
Net change in cash			305,000				–						305,000
Cash, beginning of period			485,000				–						485,000
Cash, end of period		$	790,000			$	–					$	790,000
Supplemental Disclosures of Non-Cash Investing and Financing Activities:
Initial right of use asset recognition		$	855,000			$	–					$	855,000
Common stock issued for vested RSUs		$	114,000			$	–					$	114,000
Supplemental cash flow information:
Interest paid		$	524,000			$	–					$	524,000

FLUX POWER HOLDING, INC.

CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		Six months ended December 31, 2022
		As previously reported				Restatement adjustments				Reference		As restated
Cash flows from operating activities:
Net loss(a)(d)		$	(3,820,000	)		$	(236,000	)		(a) (d)		$	(4,056,000	)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation			371,000				–						371,000
Stock-based compensation			304,000				–						304,000
Amortization of debt issuance costs			368,000				–						368,000
Non-cash lease expense			236,000				–						236,000
Inventory write downs(a)			135,000				(47,000	)		(a)			88,000
Changes in operating assets and liabilities:
Accounts receivable (b)			(1,858,000	)			(40,000	)		(b)			(1,898,000	)
Inventories(a)(d)			(3,380,000	)			283,000			(a) (d)			(3,097,000	)
Other assets			(17,000	)			–						(17,000	)
Accounts payable (b)			6,152,000				40,000			(b)			6,192,000
Accrued expenses			89,000				–						89,000
Office leases payable			(244,000	)			–						(244,000	)
Deferred revenue			(82,000	)			–						(82,000	)
Customer deposits			(146,000	)			–						(146,000	)
Net cash used in operating activities			(1,892,000	)			–						(1,892,000	)
Cash flows from investing activities:
Purchases of equipment			(344,000	)			–						(344,000	)
Proceeds from sale of fixed assets			8,000				–						8,000
Net cash used in investing activities			(336,000	)			–						(336,000	)
Cash flows from financing activities:
Proceeds from revolving line of credit			30,550,000				–						30,550,000
Payment of revolving line of credit			(28,628,000	)			–						(28,628,000	)
Payment of finance leases			(22,000	)			–						(22,000	)
Net cash provided by financing activities			1,900,000				–						1,900,000
Net change in cash			(328,000	)			–						(328,000	)
Cash, beginning of period			485,000				–						485,000
Cash, end of period		$	157,000			$	–					$	157,000
Supplemental Disclosures of Non-Cash Investing and Financing Activities:
Initial right of use asset recognition		$	258,000			$	–					$	258,000
Common stock issued for vested RSUs		$	114,000			$	–					$	114,000
Supplemental cash flow information:
Interest paid		$	288,000			$	–					$	288,000

FLUX POWER HOLDING, INC.

CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		Three months ended September 30, 2022
		As previously reported				Restatement adjustments				Reference		As restated
Cash flows from operating activities:
Net loss(a)(d)		$	(2,139,000	)		$	(121,000	)		(a) (d)		$	(2,260,000	)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation			172,000				–						172,000
Stock-based compensation			95,000				–						95,000
Amortization of debt issuance costs			229,000				–						229,000
Non-cash lease expense			117,000				–						117,000
Inventory write downs(a)			25,000				18,000			(a)			43,000
Changes in operating assets and liabilities:
Accounts receivable			(2,987,000	)			–						(2,987,000	)
Inventories(a)(d)			(2,641,000	)			103,000			(a) (d)			(2,538,000	)
Other assets			(229,000	)			–						(229,000	)
Accounts payable			6,860,000				–						6,860,000
Accrued expenses			9,000				–						9,000
Accrued interest			1,000				–						1,000
Office leases payable			(120,000	)			–						(120,000	)
Deferred revenue			184,000				–						184,000
Customer deposits			(165,000	)			–						(165,000	)
Net cash used in operating activities			(589,000	)			–						(589,000	)
Cash flows from investing activities:
Purchases of equipment			(352,000	)			–						(352,000	)
Net cash used in investing activities			(352,000	)			–						(352,000	)
Cash flows from financing activities:
Proceeds from revolving line of credit			12,900,000				–						12,900,000
Payment of revolving line of credit			(12,138,000	)			–						(12,138,000	)
Net cash provided by financing activities			762,000				–						762,000
Net change in cash			(179,000	)			–						(179,000	)
Cash, beginning of period			485,000				–						485,000
Cash, end of period		$	306,000			$	–					$	306,000
Supplemental Disclosures of Non-Cash Investing and Financing Activities:
Initial right of use asset recognition		$	78,000			$	–					$	78,000
Common stock issued for vested RSUs		$	5,000			$	–					$	5,000
Supplemental cash flow information:
Interest paid		$	99,000			$	–					$	99,000

FLUX POWER HOLDING, INC.

CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		Nine months ended March 31, 2022
		As previously reported				Restatement adjustments				Reference		As restated
Cash flows from operating activities:
Net loss(a)(d)		$	(12,956,000	)		$	(679,000	)		(a) (d)		$	(13,635,000	)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation			412,000				–						412,000
Stock-based compensation			601,000				–						601,000
Non-cash lease expense			324,000				–						324,000
Inventory write downs(a)			109,000				373,000			(a)			482,000
Changes in operating assets and liabilities:
Accounts receivable			(3,411,000	)			–						(3,411,000	)
Inventories(a)(d)			(10,530,000	)			306,000			(a) (d)			(10,224,000	)
Other assets			(118,000	)			–						(118,000	)
Accounts payable			6,186,000				–						6,186,000
Accrued expenses			(441,000	)			–						(441,000	)
Office leases payable			(322,000	)			–						(322,000	)
Deferred revenue			289,000				–						289,000
Customer deposits			519,000				–						519,000
Net cash used in operating activities			(19,338,000	)			–						(19,338,000	)
Cash flows from investing activities:
Purchases of equipment			(644,000	)			–						(644,000	)
Net cash used in investing activities			(644,000	)			–						(644,000	)
Cash flows from financing activities:
Proceeds from the issuance of common stock in registered direct offering, net of offering costs			13,971,000				–						13,971,000
Proceeds from the issuance of common stock in public offering, net of offering costs			1,602,000				–						1,602,000
Proceeds from revolving line of credit			3,500,000				–						3,500,000
Net cash provided by financing activities			19,073,000				–						19,073,000
Net change in cash			(909,000	)			–						(909,000	)
Cash, beginning of period			4,713,000				–						4,713,000
Cash, end of period		$	3,804,000			$	–					$	3,804,000
Supplemental Disclosures of Non-Cash Investing and Financing Activities:
Common stock issued for vested RSUs		$	9,700			$	–					$	9,700
Supplemental cash flow information:
Interest paid		$	86,000			$	–					$	86,000

FLUX POWER HOLDING, INC.

CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		Six months ended December 31, 2021
		As previously reported				Restatement adjustments				Reference		As restated
Cash flows from operating activities:
Net loss(a)(d)		$	(9,207,000	)		$	(535,000	)		(a) (d)		$	(9,742,000	)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation			259,000				–						259,000
Stock-based compensation			449,000				–						449,000
Non-cash lease expense			214,000				–						214,000
Inventory write downs(a)			169,000				182,000			(a)			351,000
Changes in operating assets and liabilities:
Accounts receivable			913,000				–						913,000
Inventories(a)(d)			(9,239,000	)			353,000			(a) (d)			(8,886,000	)
Other assets			(408,000	)			–						(408,000	)
Accounts payable			2,064,000				–						2,064,000
Accrued expenses			(350,000	)			–						(350,000	)
Accrued interest			1,000				–						1,000
Office leases payable			(211,000	)			–						(211,000	)
Deferred revenue			116,000				–						116,000
Customer deposits			(171,000	)			–						(171,000	)
Net cash used in operating activities			(15,401,000	)			–						(15,401,000	)
Cash flows from investing activities:
Purchases of equipment			(530,000	)			–						(530,000	)
Net cash used in investing activities			(530,000	)			–						(530,000	)
Cash flows from financing activities:
Proceeds from the issuance of common stock in registered direct offering, net of offering costs			13,971,000										13,971,000
Proceeds from the issuance of common stock in public offering, net of offering costs			1,602,000				–						1,602,000
Proceeds from revolving line of credit			3,500,000				–						3,500,000
Net cash provided by financing activities			19,073,000				–						19,073,000
Net change in cash			3,142,000				–						3,142,000
Cash, beginning of period			4,713,000				–						4,713,000
Cash, end of period		$	7,855,000			$	–					$	7,855,000
Supplemental cash flow information:
Interest paid		$	33,000			$	–					$	33,000

FLUX POWER HOLDING, INC.

CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		Three months ended September 30, 2021
		As previously reported				Restatement adjustments				Reference		As restated
Cash flows from operating activities:
Net loss(a)(d)		$	(4,130,000	)		$	(233,000	)		(a) (d)		$	(4,363,000	)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation			123,000				–						123,000
Stock-based compensation			200,000				–						200,000
Non-cash lease expense			106,000				–						106,000
Inventory write downs(a)			24,000				86,000			(a)			110,000
Changes in operating assets and liabilities:
Accounts receivable			1,586,000				–						1,586,000
Inventories(a)(d)			(3,357,000	)			147,000			(a) (d)			(3,210,000	)
Other assets			(567,000	)			–						(567,000	)
Accounts payable			2,123,000				–						2,123,000
Accrued expenses			(675,000	)			–						(675,000	)
Accrued interest			1,000				–						1,000
Office leases payable			(104,000	)			–						(104,000	)
Deferred revenue			103,000				–						103,000
Customer deposits			151,000				–						151,000
Net cash used in operating activities			(4,416,000	)			–						(4,416,000	)
Cash flows from investing activities:
Purchases of equipment			(238,000	)			–						(238,000	)
Net cash used in investing activities			(238,000	)			–						(238,000	)
Cash flows from financing activities:
Proceeds from the issuance of common stock in registered direct offering, net of offering costs			14,076,000				–						14,076,000
Proceeds from the issuance of common stock in public offering, net of offering costs			1,602,000				–						1,602,000
Net cash provided by financing activities			15,678,000				–						15,678,000
Net change in cash			11,024,000				–						11,024,000
Cash, beginning of period			4,713,000				–						4,713,000
Cash, end of period		$	15,737,000			$	–					$	15,737,000
Supplemental cash flow information:
Interest paid		$	2,000			$	–					$	2,000

(a) Inventories. The Company did not properly evaluate its calculation of its excess and obsolescence reserve on its finished goods and raw materials inventories, resulting in an overstatement of inventories and an understatement of cost of sales. In addition, certain inventory components were not properly recorded at the lower of cost or net realizable value, resulting in an overstatement of inventory and an understatement of cost of sales. Further, certain loaner service packs and consigned inventory were not reconciled timely, resulting in an overstatement of inventory and an understatement of cost of sales. Lastly, the Company also corrected the cash flow presentation related to inventory write downs on the statement of cash flows.

(b) Revenue recognition. The Company improperly recognized revenue during the three months ended September 30, 2023 related to performance obligations satisfied during three months ended June 30, 2023, resulting in an understatement of revenue in the three months ended June 30, 2023 and an overstatement of revenue in the three months ended September 30, 2023.

(c) Expense classification. The Company improperly recorded various inventory write-downs to research and development expenses although such expenses did not meet the classification criteria for research and development under ASC 730, resulting in an overstatement of research and development expenses and an understatement of cost of sales.

(d) Other. The Company had various clearing accounts that were not reconciled timely, resulting in an understatement of accounts payable, overstatement of inventories, and understatement of cost of sales.

(e) Product warranty liability. The Company did not include certain product warranty-related expenses within the proper period in its calculation of its product warranty reserve estimate, resulting in an understatement of accrued expenses and an understatement of cost of sales.

SCHEDULE OF QUARTERLY FINANCIAL SUMMARY

The net impact of the restatement on our quarterly and year-to-date unaudited condensed financial statements is as follows:

SCHEDULE OF QUARTERLY FINANCIAL SUMMARY 

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED BALANCE SHEETS

(Unaudited)

		March 31,				December 31,				September 30,
		Fiscal year 2024
		March 31,				December 31,				September 30,
		2024				2023				2023
		Restated				Restated				Restated
ASSETS
Current assets:
Cash		$	1,250,000			$	1,584,000			$	1,139,000
Accounts receivable			10,468,000				12,726,000				10,840,000
Inventories, net			17,362,000				15,554,000				16,591,000
Other current assets			840,000				942,000				1,053,000
Total current assets			29,920,000				30,806,000				29,623,000
Right of use asset			2,291,000				2,482,000				2,670,000
Property, plant and equipment, net			1,705,000				1,680,000				1,747,000
Other assets			118,000				119,000				119,000
Total assets		$	34,034,000			$	35,087,000			$	34,159,000
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable		$	11,394,000			$	10,361,000			$	10,202,000
Accrued expenses			3,900,000				3,350,000				3,782,000
Line of credit			13,645,000				13,575,000				11,986,000
Deferred revenue			343,000				310,000				336,000
Customer deposits			18,000				232,000				17,000
Finance leases payable, current portion			153,000				150,000				147,000
Office leases payable, current portion			712,000				689,000				667,000
Accrued interest			136,000				130,000				102,000
Total current liabilities			30,301,000				28,797,000				27,239,000
Long term liabilities:
Finance leases payable, less current portion			153,000				191,000				229,000
Office leases payable, less current portion			1,511,000				1,698,000				1,880,000
Total liabilities			31,965,000				30,686,000				29,348,000
Stockholders’ equity:
Preferred stock, $0.001 par value; 500,000 shares authorized; none issued and outstanding			-				-				-
Common stock, $0.001 par value; 30,000,000 shares authorized; 16,599,683, 16,532,275 and 16,478,237 shares issued and outstanding at March 31, 2024, December 31, 2023 and September 30, 2023, respectively			17,000				17,000				16,000
Additional paid-in capital			99,520,000				98,847,000				98,362,000
Accumulated deficit			(97,468,000	)			(94,463,000	)			(93,567,000	)
Total stockholders’ equity			2,069,000				4,401,000				4,811,000
Total liabilities and stockholders’ equity		$	34,034,000			$	35,087,000			$	34,159,000

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED BALANCE SHEETS

(Unaudited)

		March 31,				December 31,				September 30,
		Fiscal year 2023
		March 31,				December 31,				September 30,
		2023				2022				2022
		Restated				Restated				Restated
ASSETS
Current assets:
Cash		$	790,000			$	157,000			$	306,000
Accounts receivable			9,881,000				10,507,000				11,596,000
Inventories, net			18,859,000				17,449,000				16,935,000
Other current assets			775,000				884,000				1,308,000
Total current assets			30,305,000				28,997,000				30,145,000
Right of use asset			3,035,000				2,601,000				2,558,000
Property, plant and equipment, net			1,724,000				1,561,000				1,758,000
Other assets			119,000				115,000				42,000
Total assets		$	35,183,000			$	33,274,000			$	34,503,000
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable		$	10,855,000			$	12,837,000			$	13,505,000
Accrued expenses			2,604,000				2,298,000				2,228,000
Line of credit			10,491,000				6,811,000				5,651,000
Deferred revenue			–				81,000				347,000
Customer deposits			135,000				29,000				10,000
Finance leases payable, current portion			140,000				64,000				13,000
Office leases payable, current portion			616,000				542,000				523,000
Accrued interest			3,000				1,000				2,000
Total current liabilities			24,844,000				22,663,000				22,279,000
Long term liabilities:
Finance leases payable, less current portion			311,000				172,000				55,000
Office leases payable, less current portion			2,223,000				2,079,000				2,222,000
Total liabilities			27,378,000				24,914,000				24,556,000
Stockholders’ equity:
Preferred stock, $0.001 par value; 500,000 shares authorized; none issued and outstanding			-				-				-
Common stock, $0.001 par value; 30,000,000 shares authorized; 16,156,432, 16,029,478 and 15,998,336 shares issued and outstanding at March 31, 2023, December 31, 2022 and September 30, 2022, respectively			16,000				16,000				16,000
Additional paid-in capital			96,968,000				96,036,000				95,827,000
Accumulated deficit			(89,179,000	)			(87,692,000	)			(85,896,000	)
Total stockholders’ equity			7,805,000				8,360,000				9,947,000
Total liabilities and stockholders’ equity		$	35,183,000			$	33,274,000			$	34,503,000

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED BALANCE SHEETS

(Unaudited)

		March 31,				December 31,				September 30,
		Fiscal Year 2022
		March 31,				December 31,				September 30,
		2022				2021				2021
		Restated				Restated				Restated
ASSETS
Current assets:
Cash		$	3,804,000			$	7,855,000			$	15,737,000
Accounts receivable			9,508,000				5,184,000				4,511,000
Inventories, net			19,297,000				18,090,000				12,655,000
Other current assets			577,000				868,000				1,026,000
Total current assets			33,186,000				31,997,000				33,929,000
Right of use asset			2,711,000				2,821,000				2,929,000
Property, plant and equipment, net			1,588,000				1,627,000				1,471,000
Other assets			89,000				89,000				89,000
Total assets		$	37,574,000			$	36,534,000			$	38,418,000
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable		$	13,361,000			$	9,239,000			$	9,298,000
Accrued expenses			2,142,000				2,233,000				1,908,000
Line of credit			3,500,000				3,500,000				–
Deferred revenue			313,000				140,000				127,000
Customer deposits			690,000				–				322,000
Office leases payable, current portion			486,000				469,000				452,000
Accrued interest			2,000				3,000				3,000
Total current liabilities			20,494,000				15,584,000				12,110,000
Long term liabilities:
Office leases payable, less current portion			2,493,000				2,621,000				2,745,000
Total liabilities			22,987,000				18,205,000				14,855,000
Stockholders’ equity:
Preferred stock, $0.001 par value; 500,000 shares authorized; none issued and outstanding			-				-				-
Common stock, $0.001 par value; 30,000,000 shares authorized; 15,992,080, 15,987,502 and 15,987,502 shares issued and outstanding at March 31, 2022, December 31, 2021 and September 30, 2021, respectively			16,000				16,000				16,000
Additional paid-in capital			95,369,000				95,217,000				95,073,000
Accumulated deficit			(80,798,000	)			(76,904,000	)			(71,526,000	)
Total stockholders’ equity			14,587,000				18,329,000				23,563,000
Total liabilities and stockholders’ equity		$	37,574,000			$	36,534,000			$	38,418,000

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED BALANCE SHEET

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		March 31, 2024
		As previously reported				Restatement adjustments				Reference		As restated
ASSETS
Current assets:
Cash		$	1,250,000			$	–					$	1,250,000
Accounts receivable (b)			10,404,000				64,000			(b)			10,468,000
Inventories, net (a)(d)			20,174,000				(2,812,000	)		(a) (d)			17,362,000
Other current assets			840,000				-						840,000
Total current assets			32,668,000				(2,748,000	)					29,920,000
Right of use asset			2,291,000				–						2,291,000
Property, plant and equipment, net			1,705,000				–						1,705,000
Other assets			118,000				–						118,000
Total assets		$	36,782,000			$	(2,748,000	)				$	34,034,000
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable (b)(d)(e)		$	11,050,000			$	344,000			(b) (d) (e)		$	11,394,000
Accrued expenses (e)			3,645,000				255,000			(e)			3,900,000
Line of credit			13,645,000				–						13,645,000
Deferred revenue			343,000				–						343,000
Customer deposits			18,000				–						18,000
Finance leases payable, current portion			153,000				–						153,000
Office leases payable, current portion			712,000				–						712,000
Accrued interest			136,000				–						136,000
Total current liabilities			29,702,000				599,000						30,301,000
Long term liabilities:
Finance leases payable, less current portion			153,000				–						153,000
Office leases payable, less current portion			1,511,000				–						1,511,000
Total liabilities			31,366,000				599,000						31,965,000
Stockholders’ equity:
Preferred stock, $0.001 par value; 500,000 shares authorized; none issued and outstanding			-				-						-
Common stock, $0.001 par value; 30,000,000 shares authorized; 16,599,683 shares issued and outstanding			17,000				–						17,000
Additional paid-in capital			99,520,000				–						99,520,000
Accumulated deficit (a)(d)(e)			(94,121,000	)			(3,347,000	)		(a) (d) (e)			(97,468,000	)
Total stockholders’ equity			5,416,000				(3,347,000	)					2,069,000
Total liabilities and stockholders’ equity		$	36,782,000			$	(2,748,000	)				$	34,034,000

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED BALANCE SHEET

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		December 31, 2023
		As previously reported				Restatement adjustments				Reference		As restated
ASSETS
Current assets:
Cash		$	1,584,000			$	–					$	1,584,000
Accounts receivable (b)			12,579,000				147,000			(b)			12,726,000
Inventories, net (a)(d)			18,283,000				(2,729,000	)		(a) (d)			15,554,000
Other current assets			942,000				-						942,000
Total current assets			33,388,000				(2,582,000	)					30,806,000
Right of use asset			2,482,000				–						2,482,000
Property, plant and equipment, net			1,680,000				–						1,680,000
Other assets			119,000				–						119,000
Total assets		$	37,669,000			$	(2,582,000	)				$	35,087,000
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable (b)(d)(e)		$	10,021,000			$	340,000			(b) (d) (e)		$	10,361,000
Accrued expenses (e)			3,290,000				60,000			(e)			3,350,000
Line of credit			13,575,000				–						13,575,000
Deferred revenue			310,000				–						310,000
Customer deposits			232,000				–						232,000
Finance leases payable, current portion			150,000				–						150,000
Office leases payable, current portion			689,000				–						689,000
Accrued interest			130,000				–						130,000
Total current liabilities			28,397,000				400,000						28,797,000
Long term liabilities:
Finance leases payable, less current portion			191,000				–						191,000
Office leases payable, less current portion			1,698,000				–						1,698,000
Total liabilities			30,286,000				400,000						30,686,000
Stockholders’ equity:
Preferred stock, $0.001 par value; 500,000 shares authorized; none issued and outstanding			-				-						-
Common stock, $0.001 par value; 30,000,000 shares authorized; 16,532,275 shares issued and outstanding			17,000				–						17,000
Additional paid-in capital			98,847,000				–						98,847,000
Accumulated deficit (a)(d)(e)			(91,481,000	)			(2,982,000	)		(a) (d) (e)			(94,463,000	)
Total stockholders’ equity			7,383,000				(2,982,000	)					4,401,000
Total liabilities and stockholders’ equity		$	37,669,000			$	(2,582,000	)				$	35,087,000

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED BALANCE SHEET

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		September 30, 2023
		As previously reported				Restatement adjustments				Reference		As restated
ASSETS
Current assets:
Cash		$	1,139,000			$	–					$	1,139,000
Accounts receivable (b)			10,699,000				141,000			(b)			10,840,000
Inventories, net (a)(d)			19,495,000				(2,904,000	)		(a) (d)			16,591,000
Other current assets			1,053,000				-						1,053,000
Total current assets			32,386,000				(2,763,000	)					29,623,000
Right of use asset			2,670,000				–						2,670,000
Property, plant and equipment, net			1,747,000				–						1,747,000
Other assets			119,000				–						119,000
Total assets		$	36,922,000			$	(2,763,000	)				$	34,159,000
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable (d)		$	10,065,000			$	137,000			(d)		$	10,202,000
Accrued expenses			3,782,000				–						3,782,000
Line of credit			11,986,000				–						11,986,000
Deferred revenue			336,000				–						336,000
Customer deposits			17,000				–						17,000
Finance leases payable, current portion			147,000				–						147,000
Office leases payable, current portion			667,000				–						667,000
Accrued interest			102,000				–						102,000
Total current liabilities			27,102,000				137,000						27,239,000
Long term liabilities:
Finance leases payable, less current portion			229,000				–						229,000
Office leases payable, less current portion			1,880,000				–						1,880,000
Total liabilities			29,211,000				137,000						29,348,000
Stockholders’ equity:
Preferred stock, $0.001 par value; 500,000 shares authorized; none issued and outstanding			-				-						-
Common stock, $0.001 par value; 30,000,000 shares authorized; 16,478,237 shares issued and outstanding			16,000				–						16,000
Additional paid-in capital			98,362,000				–						98,362,000
Accumulated deficit (a)(b)(d)			(90,667,000	)			(2,900,000	)		(a) (b) (d)			(93,567,000	)
Total stockholders’ equity			7,711,000				(2,900,000	)					4,811,000
Total liabilities and stockholders’ equity		$	36,922,000			$	(2,763,000	)				$	34,159,000

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED BALANCE SHEET

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		March 31, 2023
		As previously reported				Restatement adjustments				Reference		As restated
ASSETS
Current assets:
Cash		$	790,000			$	–					$	790,000
Accounts receivable (b)			9,853,000				28,000			(b)			9,881,000
Inventories, net (a)(d)			20,959,000				(2,100,000	)		(a) (d)			18,859,000
Other current assets			775,000				-						775,000
Total current assets			32,377,000				(2,072,000	)					30,305,000
Right of use asset			3,035,000				–						3,035,000
Property, plant and equipment, net			1,724,000				–						1,724,000
Other assets			119,000				–						119,000
Total assets		$	37,255,000			$	(2,072,000	)				$	35,183,000
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable (b)		$	10,827,000			$	28,000			(b)		$	10,855,000
Accrued expenses			2,604,000				–						2,604,000
Line of credit			10,491,000				–						10,491,000
Customer deposits			135,000				–						135,000
Finance leases payable, current portion			140,000				–						140,000
Office leases payable, current portion			616,000				–						616,000
Accrued interest			3,000				–						3,000
Total current liabilities			24,816,000				28,000						24,844,000
Long term liabilities:
Finance leases payable, less current portion			311,000				–						311,000
Office leases payable, less current portion			2,223,000				–						2,223,000
Total liabilities			27,350,000				28,000						27,378,000
Stockholders’ equity:
Preferred stock, $0.001 par value; 500,000 shares authorized; none issued and outstanding			-				-						-
Common stock, $0.001 par value; 30,000,000 shares authorized; 16,156,432 shares issued and outstanding			16,000				–						16,000
Additional paid-in capital			96,968,000				–						96,968,000
Accumulated deficit (a)(d)			(87,079,000	)			(2,100,000	)		(a) (d)			(89,179,000	)
Total stockholders’ equity			9,905,000				(2,100,000	)					7,805,000
Total liabilities and stockholders’ equity		$	37,255,000			$	(2,072,000	)				$	35,183,000

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED BALANCE SHEET

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		December 31, 2022
		As previously reported				Restatement adjustments				Reference		As restated
ASSETS
Current assets:
Cash		$	157,000			$	–					$	157,000
Accounts receivable (b)			10,467,000				40,000			(b)			10,507,000
Inventories, net (a)(d)			19,507,000				(2,058,000	)		(a) (d)			17,449,000
Other current assets			884,000				-						884,000
Total current assets			31,015,000				(2,018,000	)					28,997,000
Right of use asset			2,601,000				–						2,601,000
Property, plant and equipment, net			1,561,000				–						1,561,000
Other assets			115,000				–						115,000
Total assets		$	35,292,000			$	(2,018,000	)				$	33,274,000
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable (b)		$	12,797,000			$	40,000			(b)		$	12,837,000
Accrued expenses			2,298,000				–						2,298,000
Line of credit			6,811,000				–						6,811,000
Deferred revenue			81,000				–						81,000
Customer deposits			29,000				–						29,000
Finance leases payable, current portion			64,000				–						64,000
Office leases payable, current portion			542,000				–						542,000
Accrued interest			1,000				–						1,000
Total current liabilities			22,623,000				40,000						22,663,000
Long term liabilities:
Finance leases payable, less current portion			172,000				–						172,000
Office leases payable, less current portion			2,079,000				–						2,079,000
Total liabilities			24,874,000				40,000						24,914,000
Stockholders’ equity:
Preferred stock, $0.001 par value; 500,000 shares authorized; none issued and outstanding			–				–						–
Common stock, $0.001 par value; 30,000,000 shares authorized; 16,029,478 shares issued and outstanding			16,000				–						16,000
Additional paid-in capital			96,036,000				–						96,036,000
Accumulated deficit (a)(d)			(85,634,000	)			(2,058,000	)		(a) (d)			(87,692,000	)
Total stockholders’ equity			10,418,000				(2,058,000	)					8,360,000
Total liabilities and stockholders’ equity		$	35,292,000			$	(2,018,000	)				$	33,274,000

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED BALANCE SHEET

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		September 30, 2022
		As previously reported				Restatement adjustments				Reference		As restated
ASSETS
Current assets:
Cash		$	306,000			$	–					$	306,000
Accounts receivable			11,596,000				-						11,596,000
Inventories, net (a)(d)			18,878,000				(1,943,000	)		(a) (d)			16,935,000
Other current assets			1,308,000				-						1,308,000
Total current assets			32,088,000				(1,943,000	)					30,145,000
Right of use asset			2,558,000				–						2,558,000
Property, plant and equipment, net			1,758,000				–						1,758,000
Other assets			42,000				–						42,000
Total assets		$	36,446,000			$	(1,943,000	)				$	34,503,000
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable		$	13,505,000			$	–					$	13,505,000
Accrued expenses			2,228,000				–						2,228,000
Line of credit			5,651,000				–						5,651,000
Deferred revenue			347,000				–						347,000
Customer deposits			10,000				–						10,000
Finance leases payable, current portion			13,000				–						13,000
Office leases payable, current portion			523,000				–						523,000
Accrued interest			2,000				–						2,000
Total current liabilities			22,279,000				–						22,279,000
Long term liabilities:
Finance leases payable, less current portion			55,000				–						55,000
Office leases payable, less current portion			2,222,000				–						2,222,000
Total liabilities			24,556,000				–						24,556,000
Stockholders’ equity:
Preferred stock, $0.001 par value; 500,000 shares authorized; none issued and outstanding			-				-						-
Common stock, $0.001 par value; 30,000,000 shares authorized; 15,998,336 shares issued and outstanding			16,000				–						16,000
Additional paid-in capital			95,827,000				–						95,827,000
Accumulated deficit (a)(d)			(83,953,000	)			(1,943,000	)		(a) (d)			(85,896,000	)
Total stockholders’ equity			11,890,000				(1,943,000	)					9,947,000
Total liabilities and stockholders’ equity		$	36,446,000			$	(1,943,000	)				$	34,503,000

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED BALANCE SHEET

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		March 31, 2022
		As previously reported				Restatement adjustments				Reference		As restated
ASSETS
Current assets:
Cash		$	3,804,000			$	–					$	3,804,000
Accounts receivable			9,508,000				-						9,508,000
Inventories, net (a) (d)			20,934,000				(1,637,000	)		(a) (d)			19,297,000
Other current assets			577,000				-						577,000
Total current assets			34,823,000				(1,637,000	)					33,186,000
Right of use asset			2,711,000				–						2,711,000
Property, plant and equipment, net			1,588,000				–						1,588,000
Other assets			89,000				–						89,000
Total assets		$	39,211,000			$	(1,637,000	)				$	37,574,000
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable		$	13,361,000			$	–					$	13,361,000
Accrued expenses			2,142,000				–						2,142,000
Line of credit			3,500,000				–						3,500,000
Deferred revenue			313,000				–						313,000
Customer deposits			690,000				–						690,000
Office leases payable, current portion			486,000				–						486,000
Accrued interest			2,000				–						2,000
Total current liabilities			20,494,000				–						20,494,000
Long term liabilities:
Office leases payable, less current portion			2,493,000				–						2,493,000
Total liabilities			22,987,000				–						22,987,000
Stockholders’ equity:
Preferred stock, $0.001 par value; 500,000 shares authorized; none issued and outstanding			-				-						-
Common stock, $0.001 par value; 30,000,000 shares authorized; 15,992,080 shares issued and outstanding			16,000				–						16,000
Additional paid-in capital			95,369,000				–						95,369,000
Accumulated deficit(a) (d)			(79,161,000	)			(1,637,000	)		(a) (d)			(80,798,000	)
Total stockholders’ equity			16,224,000				(1,637,000	)					14,587,000
Total liabilities and stockholders’ equity		$	39,211,000			$	(1,637,000	)				$	37,574,000

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED BALANCE SHEET

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		December 31, 2021
		As previously reported				Restatement adjustments				Reference		As restated
ASSETS
Current assets:
Cash		$	7,855,000			$	–					$	7,855,000
Accounts receivable			5,184,000				-						5,184,000
Inventories, net (a) (d)			19,583,000				(1,493,000	)		(a) (d)			18,090,000
Other current assets			868,000				-						868,000
Total current assets			33,490,000				(1,493,000	)					31,997,000
Right of use asset			2,821,000				–						2,821,000
Property, plant and equipment, net			1,627,000				–						1,627,000
Other assets			89,000				–						89,000
Total assets		$	38,027,000			$	(1,493,000	)				$	36,534,000
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable		$	9,239,000			$	–					$	9,239,000
Accrued expenses			2,233,000				–						2,233,000
Line of credit			3,500,000				–						3,500,000
Deferred revenue			140,000				–						140,000
Office leases payable, current portion			469,000				–						469,000
Accrued interest			3,000				–						3,000
Total current liabilities			15,584,000				–						15,584,000
Long term liabilities:
Office leases payable, less current portion			2,621,000				–						2,621,000
Total liabilities			18,205,000				–						18,205,000
Stockholders’ equity:
Preferred stock, $0.001 par value; 500,000 shares authorized; none issued and outstanding			-				-						-
Common stock, $0.001 par value; 30,000,000 shares authorized; 15,987,502 shares issued and outstanding			16,000				–						16,000
Additional paid-in capital			95,217,000				–						95,217,000
Accumulated deficit (a) (d)			(75,411,000	)			(1,493,000	)		(a) (d)			(76,904,000	)
Total stockholders’ equity			19,822,000				(1,493,000	)					18,329,000
Total liabilities and stockholders’ equity		$	38,027,000			$	(1,493,000	)				$	36,534,000

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED BALANCE SHEET

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		September 30, 2021
		As previously reported				Restatement adjustments				Reference		As restated
ASSETS
Current assets:
Cash		$	15,737,000			$	–					$	15,737,000
Accounts receivable			4,511,000				-						4,511,000
Inventories, net (a)(d)			13,846,000				(1,191,000	)		(a) (d)			12,655,000
Other current assets			1,026,000				-						1,026,000
Total current assets			35,120,000				(1,191,000	)					33,929,000
Right of use asset			2,929,000				–						2,929,000
Property, plant and equipment, net			1,471,000				–						1,471,000
Other assets			89,000				–						89,000
Total assets		$	39,609,000			$	(1,191,000	)				$	38,418,000
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable		$	9,298,000			$	–					$	9,298,000
Accrued expenses			1,908,000				–						1,908,000
Deferred revenue			127,000				–						127,000
Customer deposits			322,000				–						322,000
Office leases payable, current portion			452,000				–						452,000
Accrued interest			3,000				–						3,000
Total current liabilities			12,110,000				–						12,110,000
Long term liabilities:
Office leases payable, less current portion			2,745,000				–						2,745,000
Total liabilities			14,855,000				–						14,855,000
Stockholders’ equity:
Preferred stock, $0.001 par value; 500,000 shares authorized; none issued and outstanding			-				-						-
Preferred stock value			-				-						-
Common stock, $0.001 par value; 30,000,000 shares authorized; 15,987,502 shares issued and outstanding			16,000				–						16,000
Common stock value			16,000				–						16,000
Additional paid-in capital			95,073,000				–						95,073,000
Accumulated deficit			(70,335,000	)			(1,191,000	)		(a) (d)			(71,526,000	)
Total stockholders’ equity			24,754,000				(1,191,000	)					23,563,000
Total liabilities and stockholders’ equity		$	39,609,000			$	(1,191,000	)				$	38,418,000

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited)

		Three months ended				Nine months ended				Three months ended				Six months ended				Three months ended
		Fiscal year 2024
		March 31, 2024								December 31, 2023								September 30, 2023
		Three months ended				Nine months ended				Three months ended				Six months ended				Three months ended
		Restated				Restated				Restated				Restated				Restated
Revenues		$	14,457,000			$	47,447,000			$	18,203,000			$	32,990,000			$	14,787,000
Cost of sales			10,432,000				33,806,000				12,822,000				23,374,000				10,552,000
Gross profit			4,025,000				13,641,000				5,381,000				9,616,000				4,235,000
Operating expenses:
Selling and administrative			5,311,000				14,629,000				4,593,000				9,318,000				4,725,000
Research and development			1,286,000				3,816,000				1,235,000				2,530,000				1,295,000
Total operating expenses			6,597,000				18,445,000				5,828,000				11,848,000				6,020,000
Operating loss			(2,572,000	)			(4,804,000	)			(447,000	)			(2,232,000	)			(1,785,000	)
Other income (expense):
Other income
Interest income (expense), net			(433,000	)			(1,285,000	)			(449,000	)			(852,000	)			(403,000	)
Net loss		$	(3,005,000	)		$	(6,089,000	)		$	(896,000	)		$	(3,084,000	)		$	(2,188,000	)
Net loss per share - basic and diluted		$	(0.18	)		$	(0.37	)		$	(0.06	)		$	(0.19	)		$	(0.13	)
Weighted average number of common shares outstanding - basic and diluted			16,538,998				16,510,046				16,516,700				16,495,727				16,474,754

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited)

		Three months ended				Nine months ended				Three months ended				Six months ended				Three months ended
		Fiscal year 2023
		March 31, 2023								December 31, 2022								September 30, 2022
		Three months ended				Nine months ended				Three months ended				Six months ended				Three months ended
		Restated				Restated				Restated				Restated				Restated
Revenues		$	15,087,000			$	50,085,000			$	17,158,000			$	34,998,000			$	17,840,000
Cost of sales			10,410,000				37,796,000				13,165,000				27,386,000				14,221,000
Gross profit			4,677,000				12,289,000				3,993,000				7,612,000				3,619,000
Operating expenses:
Selling and administrative			4,724,000				13,510,000				4,250,000				8,786,000				4,536,000
Research and development			1,182,000				3,359,000				1,162,000				2,177,000				1,015,000
Total operating expenses			5,906,000				16,869,000				5,412,000				10,963,000				5,551,000
Operating loss			(1,229,000	)			(4,580,000	)			(1,419,000	)			(3,351,000	)			(1,932,000	)
Other income (expense):
Other income			–				8,000				8,000				8,000				–
Interest income (expense), net			(258,000	)			(971,000	)			(385,000	)			(713,000	)			(328,000	)
Net loss		$	(1,487,000	)		$	(5,543,000	)		$	(1,796,000	)		$	(4,056,000	)		$	(2,260,000	)
Net loss per share - basic and diluted		$	(0.10	)		$	(0.35	)		$	(0.11	)		$	(0.25	)		$	(0.14	)
Weighted average number of common shares outstanding - basic and diluted			16,048,054				16,021,653				16,020,183				16,008,740				15,997,296

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited)

		Three months ended				Nine months ended				Three months ended				Six months ended				Three months ended
		Fiscal year 2022
		March 31, 2022								December 31, 2021								September 30, 2021
		Three months ended				Nine months ended				Three months ended				Six months ended				Three months ended
		Restated				Restated				Restated				Restated				Restated
Revenues		$	13,177,000			$	27,138,000			$	7,690,000			$	13,961,000			$	6,271,000
Cost of sales			11,576,000				24,245,000				7,503,000				12,669,000				5,166,000
Gross profit			1,601,000				2,893,000				187,000				1,292,000				1,105,000
Operating expenses:
Selling and administrative			3,904,000				11,402,000				4,000,000				7,498,000				3,498,000
Research and development			1,538,000				5,040,000				1,535,000				3,502,000				1,967,000
Total operating expenses			5,442,000				16,442,000				5,535,000				11,000,000				5,465,000
Operating loss			(3,841,000	)			(13,549,000	)			(5,348,000	)			(9,708,000	)			(4,360,000	)
Other income (expense):
Interest income (expense), net			(52,000	)			(86,000	)			(31,000	)			(34,000	)			(3,000	)
Net loss		$	(3,893,000	)		$	(13,635,000	)		$	(5,379,000	)		$	(9,742,000	)		$	(4,363,000	)
Net loss per share - basic and diluted		$	(0.24	)		$	(0.89	)		$	(0.33	)		$	(0.65	)		$	(0.32	)
Weighted average number of common shares outstanding - basic and diluted			15,988,926				15,254,983				15,987,502				14,895,989				13,804,475

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		Three months ended March 31, 2024
		As previously reported				Restatement adjustments				Reference		As restated
Revenues		$	14,457,000			$	–					$	14,457,000
Cost of sales (a)(e)			10,067,000				365,000			(a) (e)			10,432,000
Gross profit			4,390,000				(365,000	)					4,025,000
Operating expenses:
Selling and administrative			5,311,000				–						5,311,000
Research and development			1,286,000				–						1,286,000
Total operating expenses			6,597,000				–						6,597,000
Operating loss			(2,207,000	)			(365,000	)					(2,572,000	)
Other income (expense):
Interest income (expense), net			(433,000	)			–						(433,000	)
Net loss		$	(2,640,000	)		$	(365,000	)				$	(3,005,000	)
Net loss per share - basic and diluted		$	(0.16	)		$	(0.02	)				$	(0.18	)
Weighted average number of common shares outstanding - basic and diluted			16,538,998				16,538,998						16,538,998

		As previously reported				Restatement adjustments				Reference		As restated
		Three months ended December 31, 2023
		As previously reported				Restatement adjustments				Reference		As restated
Revenues (b)		$	18,344,000			$	(141,000	)		(b)		$	18,203,000
Cost of sales (a)(c)(d)(e)			12,676,000				146,000			(a) (c) (d) (e)			12,822,000
Gross profit			5,668,000				(287,000	)					5,381,000
Operating expenses:
Selling and administrative			4,593,000				–						4,593,000
Research and development (c)			1,440,000				(205,000	)		(c)			1,235,000
Total operating expenses			6,033,000				(205,000	)					5,828,000
Operating loss			(365,000	)			(82,000	)					(447,000	)
Other income (expense):
Interest income (expense), net			(449,000	)			–						(449,000	)
Net loss		$	(814,000	)		$	(82,000	)				$	(896,000	)
Net loss per share - basic and diluted		$	(0.05	)		$	(0.01	)				$	(0.06	)
Weighted average number of common shares outstanding - basic and diluted			16,516,700				16,516,700						16,516,700

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		Three months ended September 30, 2023
		As previously reported				Restatement adjustments				Reference		As restated
Revenues(b)		$	14,797,000			$	(10,000	)		(b)		$	14,787,000
Cost of sales(a)			10,486,000				66,000			(a)			10,552,000
Gross profit			4,311,000				(76,000	)					4,235,000
Operating expenses:
Selling and administrative			4,725,000				–						4,725,000
Research and development			1,295,000				–						1,295,000
Total operating expenses			6,020,000				–						6,020,000
Operating loss			(1,709,000	)			(76,000	)					(1,785,000	)
Other income (expense):
Interest income (expense), net			(403,000	)			–						(403,000	)
Net loss		$	(2,112,000	)		$	(76,000	)				$	(2,188,000	)
Net loss per share - basic and diluted		$	(0.13	)		$	(0.00	)				$	(0.13	)
Weighted average number of common shares outstanding - basic and diluted			16,474,754				16,474,754						16,474,754

		As previously reported				Restatement adjustments				Reference		As restated
		Three months ended March 31, 2023
		As previously reported				Restatement adjustments				Reference		As restated
Revenues		$	15,087,000			$	–					$	15,087,000
Cost of sales(a)(d)			10,368,000				42,000			(a) (d)			10,410,000
Gross profit			4,719,000				(42,000	)					4,677,000
Operating expenses:
Selling and administrative			4,724,000				–						4,724,000
Research and development			1,182,000				–						1,182,000
Total operating expenses			5,906,000				–						5,906,000
Operating loss			(1,187,000	)			(42,000	)					(1,229,000	)
Other income (expense):
Interest income (expense), net			(258,000	)			–						(258,000	)
Net loss		$	(1,445,000	)		$	(42,000	)				$	(1,487,000	)
Net loss per share - basic and diluted		$	(0.09	)		$	(0.01	)				$	(0.10	)
Weighted average number of common shares outstanding - basic and diluted			16,048,054				16,048,054						16,048,054

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		Three months ended December 31, 2022
		As previously reported				Restatement adjustments				Reference		As restated
Revenues		$	17,158,000			$	–					$	17,158,000
Cost of sales (a)(d)			13,050,000				115,000			(a) (d)			13,165,000
Gross profit			4,108,000				(115,000	)					3,993,000
Operating expenses:
Selling and administrative			4,250,000				–						4,250,000
Research and development			1,162,000				–						1,162,000
Total operating expenses			5,412,000				–						5,412,000
Operating loss			(1,304,000	)			(115,000	)					(1,419,000	)
Other income (expense):
Other income			8,000				–						8,000
Interest income (expense), net			(385,000	)			–						(385,000	)
Net loss		$	(1,681,000	)		$	(115,000	)				$	(1,796,000	)
Net loss per share - basic and diluted		$	(0.10	)		$	(0.01	)				$	(0.11	)
Weighted average number of common shares outstanding - basic and diluted			16,020,183				16,020,183						16,020,183

		As previously reported				Restatement adjustments				Reference		As restated
		Three months ended September 30, 2022
		As previously reported				Restatement adjustments				Reference		As restated
Revenues		$	17,840,000			$	–					$	17,840,000
Cost of sales (a)(c)(d)			13,892,000				329,000			(a) (c) (d)			14,221,000
Gross profit			3,948,000				(329,000	)					3,619,000
Operating expenses:
Selling and administrative			4,536,000				–						4,536,000
Research and development (c)			1,223,000				(208,000	)		(c)			1,015,000
Total operating expenses			5,759,000				(208,000	)					5,551,000
Operating loss			(1,811,000	)			(121,000	)					(1,932,000	)
Other income (expense):
Interest income (expense), net			(328,000	)			–						(328,000	)
Net loss		$	(2,139,000	)		$	(121,000	)				$	(2,260,000	)
Net loss per share - basic and diluted		$	(0.13	)		$	(0.01	)				$	(0.14	)
Weighted average number of common shares outstanding - basic and diluted			15,997,296				15,997,296						15,997,296

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		Three months ended March 31, 2022
		As previously reported				Restatement adjustments				Reference		As restated
Revenues		$	13,177,000			$	–					$	13,177,000
Cost of sales (a)(c)(d)			11,257,000				319,000			(a) (c) (d)			11,576,000
Gross profit			1,920,000				(319,000	)					1,601,000
Operating expenses:
Selling and administrative			3,904,000				–						3,904,000
Research and development (c)			1,713,000				(175,000	)		(c)			1,538,000
Total operating expenses			5,617,000				(175,000	)					5,442,000
Operating loss			(3,697,000	)			(144,000	)					(3,841,000	)
Other income (expense):
Interest income (expense), net			(52,000	)			–						(52,000	)
Net loss		$	(3,749,000	)		$	(144,000	)				$	(3,893,000	)
Net loss per share - basic and diluted		$	(0.23	)		$	(0.01	)				$	(0.24	)
Weighted average number of common shares outstanding - basic and diluted			15,988,926				15,988,926						15,988,926

		As previously reported				Restatement adjustments				Reference		As restated
		Three months ended December 31, 2021
		As previously reported				Restatement adjustments				Reference		As restated
Revenues		$	7,690,000			$	–					$	7,690,000
Cost of sales (a)(c)(d)			6,648,000				855,000			(a) (c) (d)			7,503,000
Gross profit			1,042,000				(855,000	)					187,000
Operating expenses:
Selling and administrative			4,000,000				–						4,000,000
Research and development (c)			2,088,000				(553,000	)		(c)			1,535,000
Total operating expenses			6,088,000				(553,000	)					5,535,000
Operating loss			(5,046,000	)			(302,000	)					(5,348,000	)
Other income (expense):
Interest income (expense), net			(31,000	)			–						(31,000	)
Net loss		$	(5,077,000	)		$	(302,000	)				$	(5,379,000	)
Net loss per share - basic and diluted		$	(0.32	)		$	(0.01	)				$	(0.33	)
Weighted average number of common shares outstanding - basic and diluted			15,987,502				15,987,502						15,987,502

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		Three months ended September 30, 2021
		As previously reported				Restatement adjustments				Reference		As restated
Revenues		$	6,271,000			$	–					$	6,271,000
Cost of sales (a)(d)			4,933,000				233,000			(a) (d)			5,166,000
Gross profit			1,338,000				(233,000	)					1,105,000
Operating expenses:
Selling and administrative			3,498,000				–						3,498,000
Research and development			1,967,000				–						1,967,000
Total operating expenses			5,465,000				–						5,465,000
Operating loss			(4,127,000	)			(233,000	)					(4,360,000	)
Other income (expense):
Interest income (expense), net			(3,000	)			–						(3,000	)
Net loss		$	(4,130,000	)		$	(233,000	)				$	(4,363,000	)
Net loss per share - basic and diluted		$	(0.30	)		$	(0.02	)				$	(0.32	)
Weighted average number of common shares outstanding - basic and diluted			13,804,475				13,804,475						13,804,475

		As previously reported				Restatement adjustments				Reference		As restated
		Six months ended December 31, 2023
		As previously reported				Restatement adjustments				Reference		As restated
Revenues (b)		$	33,141,000			$	(151,000	)		(b)		$	32,990,000
Cost of sales (a)(c)(d)(e)			23,162,000				212,000			(a) (c) (d) (e)			23,374,000
Gross profit			9,979,000				(363,000	)					9,616,000
Operating expenses:
Selling and administrative			9,318,000				–						9,318,000
Research and development (c)			2,735,000				(205,000	)		(c)			2,530,000
Total operating expenses			12,053,000				(205,000	)					11,848,000
Operating loss			(2,074,000	)			(158,000	)					(2,232,000	)
Other income (expense):
Interest income (expense), net			(852,000	)			–						(852,000	)
Net loss		$	(2,926,000	)		$	(158,000	)				$	(3,084,000	)
Net loss per share - basic and diluted		$	(0.18	)		$	(0.01	)				$	(0.19	)
Weighted average number of common shares outstanding - basic and diluted			16,495,727				16,495,727						16,495,727

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		Six months ended December 31, 2022
		As previously reported				Restatement adjustments				Reference		As restated
Revenues		$	34,998,000			$	–					$	34,998,000
Cost of sales (a)(c)(d)			26,942,000				444,000			(a) (c) (d)			27,386,000
Gross profit			8,056,000				(444,000	)					7,612,000
Operating expenses:
Selling and administrative			8,786,000				–						8,786,000
Research and development (c)			2,385,000				(208,000	)		(c)			2,177,000
Total operating expenses			11,171,000				(208,000	)					10,963,000
Operating loss			(3,115,000	)			(236,000	)					(3,351,000	)
Other income (expense):
Other income			8,000				–						8,000
Interest income (expense), net			(713,000	)			–						(713,000	)
Net loss		$	(3,820,000	)		$	(236,000	)				$	(4,056,000	)
Net loss per share - basic and diluted		$	(0.24	)		$	(0.01	)				$	(0.25	)
Weighted average number of common shares outstanding - basic and diluted			16,008,740				16,008,740						16,008,740

		As previously reported				Restatement adjustments				Reference		As restated
		Six months ended December 31, 2021
		As previously reported				Restatement adjustments				Reference		As restated
Revenues		$	13,961,000			$	–					$	13,961,000
Cost of sales (a)(c)(d)			11,581,000				1,088,000			(a) (c) (d)			12,669,000
Gross profit			2,380,000				(1,088,000	)					1,292,000
Operating expenses:
Selling and administrative			7,498,000				–						7,498,000
Research and development (c)			4,055,000				(553,000	)		(c)			3,502,000
Total operating expenses			11,553,000				(553,000	)					11,000,000
Operating loss			(9,173,000	)			(535,000	)					(9,708,000	)
Other income (expense):
Interest income (expense), net			(34,000	)			–						(34,000	)
Net loss		$	(9,207,000	)		$	(535,000	)				$	(9,742,000	)
Net loss per share - basic and diluted		$	(0.62	)		$	(0.03	)				$	(0.65	)
Weighted average number of common shares outstanding - basic and diluted			14,895,989				14,895,989						14,895,989

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		Nine months ended March 31, 2024
		As previously reported				Restatement adjustments				Reference		As restated
Revenues (b)		$	47,598,000			$	(151,000	)		(b)		$	47,447,000
Cost of sales (a)(c)(d)(e)			33,229,000				577,000			(a) (c) (d) (e)			33,806,000
Gross profit			14,369,000				(728,000	)					13,641,000
Operating expenses:
Selling and administrative			14,629,000				–						14,629,000
Research and development (c)			4,021,000				(205,000	)		(c)			3,816,000
Total operating expenses			18,650,000				(205,000	)					18,445,000
Operating loss			(4,281,000	)			(523,000	)					(4,804,000	)
Other income (expense):
Interest income (expense), net			(1,285,000	)			–						(1,285,000	)
Net loss		$	(5,566,000	)		$	(523,000	)				$	(6,089,000	)
Net loss per share - basic and diluted		$	(0.34	)		$	(0.03	)				$	(0.37	)
Weighted average number of common shares outstanding - basic and diluted			16,510,046				16,510,046						16,510,046

		As previously reported				Restatement adjustments				Reference		As restated
		Nine months ended March 31, 2023
		As previously reported				Restatement adjustments				Reference		As restated
Revenues		$	50,085,000			$	–					$	50,085,000
Cost of sales (a)(c)(d)			37,310,000				486,000			(a) (c) (d)			37,796,000
Gross profit			12,775,000				(486,000	)					12,289,000
Operating expenses:
Selling and administrative			13,510,000				–						13,510,000
Research and development (c)			3,567,000				(208,000	)		(c)			3,359,000
Total operating expenses			17,077,000				(208,000	)					16,869,000
Operating loss			(4,302,000	)			(278,000	)					(4,580,000	)
Other income (expense):
Other income			8,000				–						8,000
Interest income (expense), net			(971,000	)			–						(971,000	)
Net loss		$	(5,265,000	)		$	(278,000	)				$	(5,543,000	)
Net loss per share - basic and diluted		$	(0.33	)		$	(0.02	)				$	(0.35	)
Weighted average number of common shares outstanding - basic and diluted			16,021,653				16,021,653						16,021,653

FLUX POWER HOLDINGS, INC.

CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		Nine months ended March 31, 2022
		As previously reported				Restatement adjustments				Reference		As restated
Revenues		$	27,138,000			$	–					$	27,138,000
Cost of sales (a)(c)(d)			22,838,000				1,407,000			(a) (c) (d)			24,245,000
Gross profit			4,300,000				(1,407,000	)					2,893,000
Operating expenses:
Selling and administrative			11,402,000				–						11,402,000
Research and development (c)			5,768,000				(728,000	)		(c)			5,040,000
Total operating expenses			17,170,000				(728,000	)					16,442,000
Operating loss			(12,870,000	)			(679,000	)					(13,549,000	)
Other income (expense):
Interest income (expense), net			(86,000	)			–						(86,000	)
Net loss		$	(12,956,000	)		$	(679,000	)				$	(13,635,000	)
Net loss per share - basic and diluted		$	(0.85	)		$	(0.04	)				$	(0.89	)
Weighted average number of common shares outstanding - basic and diluted			15,254,983				15,254,983						15,254,983

FLUX POWER HOLDING, INC.

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY

(Unaudited)

				Shares				Capital Stock Amount				Additional Paid-in Capital				Accumulated Deficit				Total
				Common Stock
		Reference		Shares				Capital Stock Amount				Additional Paid-in Capital				Accumulated Deficit				Total
Balance, as restated, June 30, 2023					16,462,215			$	16,000			$	98,086,000			$	(91,379,000	)		$	6,723,000
Activity, as reported					16,022				–				276,000				(2,112,000	)			(1,836,000	)
Adjustments (a) (b)		(a) (b)			–				–				–				(76,000	)			(76,000	)
Balance, as restated, September 30, 2023					16,478,237				16,000				98,362,000				(93,567,000	)			4,811,000
Activity, as reported					54,038				1,000				485,000				(814,000	)			(328,000	)
Adjustments (a)(b)(d)(e)		(a) (b) (d) (e)			–				–				–				(82,000	)			(82,000	)
Balance, as restated, December 31, 2023					16,532,275				17,000				98,847,000				(94,463,000	)			4,401,000
Activity, as reported					67,408				–				673,000				(2,640,000	)			(1,967,000	)
Adjustments (a) (e)		(a) (e)			–				–				–				(365,000	)			(365,000	)
Balance, as restated, March 31, 2024					16,599,683			$	17,000			$	99,520,000			$	(97,468,000	)		$	2,069,000

				Common Stock
		Reference		Shares				Capital Stock Amount				Additional Paid-in Capital				Accumulated Deficit				Total
Balance, as restated, June 30, 2022					15,996,658			$	16,000			$	95,732,000			$	(83,636,000	)		$	12,112,000
Activity, as reported					1,678				–				95,000				(2,139,000	)			(2,044,000	)
Adjustments (a) (d)		(a) (d)			–				–				–				(121,000	)			(121,000	)
Balance, as restated, September 30, 2022					15,998,336				16,000				95,827,000				(85,896,000	)			9,947,000
Activity, as reported					31,142				–				209,000				(1,681,000	)			(1,472,000	)
Adjustments (a) (d)		(a) (d)			–				–				–				(115,000	)			(115,000	)
Balance, as restated, December 31, 2022					16,029,478				16,000				96,036,000				(87,692,000	)			8,360,000
Activity, as reported					126,954				–				932,000				(1,445,000	)			(513,000	)
Adjustments (a) (d)		(a) (d)			–				–				–				(42,000	)			(42,000	)
Balance, as restated, March 31, 2023					16,156,432			$	16,000			$	96,968,000			$	(89,179,000	)		$	7,805,000

				Common Stock
		Reference		Shares				Capital Stock Amount				Additional Paid-in Capital				Accumulated Deficit				Total
Balance, as restated, June 30, 2021*					13,652,164			$	14,000			$	79,197,000			$	(67,163,000	)		$	12,048,000
Activity, as reported					2,335,338				2,000				15,876,000				(4,130,000	)			11,748,000
Adjustments (a) (d)		(a) (d)			–				–				–				(233,000	)			(233,000	)
Balance, as restated, September 30, 2021					15,987,502				16,000				95,073,000				(71,526,000	)			23,563,000
Activity, as reported					–				–				144,000				(5,077,000	)			(4,933,000	)
Adjustments (a) (d)		(a) (d)			–				–				–				(302,000	)			(302,000	)
Balance, as restated, December 31, 2021					15,987,502				16,000				95,217,000				(76,905,000	)			18,328,000
Activity, as reported					4,578				–				152,000				(3,749,000	)			(3,597,000	)
Adjustments (a) (d)		(a) (d)			–				–				–				(144,000	)			(144,000	)
Balance, as restated, March 31, 2022					15,992,080			$	16,000			$	95,369,000			$	(80,798,000	)		$	14,587,000

* June 30, 2021 total shareholders’ equity, as restated, reflects the impact of restatement adjustments related to periods prior to the year ended June 30, 2022. The impact of restatement is a decrease of $958,000 to accumulated deficit at June 30, 2021.

FLUX POWER HOLDING, INC.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

		Nine months ended March 31, 2024				Six months ended December 31, 2023				Three months ended September 30, 2023
		Fiscal Year 2024
		Nine months ended March 31, 2024				Six months ended December 31, 2023				Three months ended September 30, 2023
		Restated				Restated				Restated
Cash flows from operating activities:
Net loss		$	(6,089,000	)		$	(3,084,000	)		$	(2,188,000	)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation			787,000				523,000				261,000
Stock-based compensation			1,233,000				670,000				276,000
Amortization of debt issuance costs			161,000				134,000				81,000
Non-cash lease expense			448,000				296,000				146,000
Inventory write downs			358,000				233,000				113,000
Changes in operating assets and liabilities:
Accounts receivable			(1,668,000	)			(3,926,000	)			(2,040,000	)
Inventories			(1,562,000	)			371,000				(546,000	)
Other assets			11,000				(65,000	)			(215,000	)
Accounts payable			1,522,000				489,000				330,000
Accrued expenses			719,000				169,000				601,000
Accrued interest			134,000				128,000				100,000
Office leases payable			(476,000	)			(312,000	)			(152,000	)
Deferred revenue			212,000				179,000				205,000
Customer deposits			(64,000	)			150,000				(65,000	)
Net cash used in operating activities			(4,274,000	)			(4,045,000	)			(3,093,000	)
Cash flows from investing activities:
Purchases of equipment			(588,000	)			(338,000	)			(181,000	)
Proceeds from sale of fixed assets
Net cash used in investing activities			(588,000	)			(338,000	)			(181,000	)
Cash flows from financing activities:
Proceeds from stock option exercises and employee stock purchase plan exercises			110,000				–				–
Proceeds from the issuance of common stock in registered direct offering, net of offering costs
Proceeds from the issuance of common stock in public offering, net of offering costs
Proceeds from revolving line of credit			52,820,000				35,868,000				18,055,000
Payment of revolving line of credit			(49,087,000	)			(32,205,000	)			(15,981,000	)
Payment of finance leases			(110,000	)			(75,000	)			(40,000	)
Net cash provided by financing activities			3,733,000				3,588,000				2,034,000
Net change in cash			(1,129,000	)			(795,000	)			(1,240,000	)
Cash, beginning of period			2,379,000				2,379,000				2,379,000
Cash, end of period		$	1,250,000			$	1,584,000			$	1,139,000
Supplemental Disclosures of Non-Cash Investing and Financing Activities:
Common stock issued for vested RSUs		$	222,000			$	183,000			$	–
Warrants issued in connection with borrowing agreements, recorded as debt issuance cost		$	92,000			$	92,000			$	–
Supplemental cash flow information:
Interest paid		$	1,000,000			$	605,000			$	223,000

FLUX POWER HOLDING, INC.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

		Nine months ended March 31, 2023				Six months ended December 31, 2022				Three months ended September 30, 2022
		Fiscal Year 2023
		Nine months ended March 31, 2023				Six months ended December 31, 2022				Three months ended September 30, 2022
		Restated				Restated				Restated
Cash flows from operating activities:
Net loss		$	(5,543,000	)		$	(4,056,000	)		$	(2,260,000	)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation			647,000				371,000				172,000
Stock-based compensation			539,000				304,000				95,000
Amortization of debt issuance costs			445,000				368,000				229,000
Non-cash lease expense			370,000				236,000				117,000
Inventory write downs			191,000				88,000				43,000
Changes in operating assets and liabilities:
Accounts receivable			(1,272,000	)			(1,898,000	)			(2,987,000	)
Inventories			(4,610,000	)			(3,097,000	)			(2,538,000	)
Other assets			11,000				(17,000	)			(229,000	)
Accounts payable			4,210,000				6,192,000				6,860,000
Accrued expenses			395,000				89,000				9,000
Accrued interest			2,000				–				1,000
Office leases payable			(379,000	)			(244,000	)			(120,000	)
Deferred revenue			(163,000	)			(82,000	)			184,000
Customer deposits			(40,000	)			(146,000	)			(165,000	)
Net cash used in operating activities			(5,197,000	)			(1,892,000	)			(589,000	)
Cash flows from investing activities:
Purchases of equipment			(753,000	)			(344,000	)			(352,000	)
Proceeds from sale of fixed assets			8,000				8,000				–
Net cash used in investing activities			(745,000	)			(336,000	)			(352,000	)
Cash flows from financing activities:
Proceeds from the issuance of common stock in public offering, net of offering costs			697,000				–				–
Proceeds from revolving line of credit			48,800,000				30,550,000				12,900,000
Payment of revolving line of credit			(43,198,000	)			(28,628,000	)			(12,138,000	)
Payment of finance leases			(52,000	)			(22,000	)			–
Net cash provided by financing activities			6,247,000				1,900,000				762,000
Net change in cash			305,000				(328,000	)			(179,000	)
Cash, beginning of period			485,000				485,000				485,000
Cash, end of period		$	790,000			$	157,000			$	306,000
Supplemental Disclosures of Non-Cash Investing and Financing Activities:
Initial right of use asset recognition		$	855,000			$	258,000			$	78,000
Common stock issued for vested RSUs		$	114,000			$	114,000			$	5,000
Supplemental cash flow information:
Interest paid		$	524,000			$	288,000			$	99,000

FLUX POWER HOLDING, INC.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

		Nine months ended March 31, 2022				Six months ended December 31, 2021				Three months ended September 30, 2021
		Fiscal Year 2022
		Nine months ended March 31, 2022				Six months ended December 31, 2021				Three months ended September 30, 2021
		Restated				Restated				Restated
Cash flows from operating activities:
Net loss		$	(13,635,000	)		$	(9,742,000	)		$	(4,363,000	)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation			412,000				259,000				123,000
Stock-based compensation			601,000				449,000				200,000
Noncash lease expense			324,000				214,000				106,000
Inventory write downs			482,000				351,000				110,000
Changes in operating assets and liabilities:
Accounts receivable			(3,411,000	)			913,000				1,586,000
Inventories			(10,224,000	)			(8,886,000	)			(3,210,000	)
Other assets			(118,000	)			(408,000	)			(567,000	)
Accounts payable			6,186,000				2,064,000				2,123,000
Accrued expenses			(441,000	)			(350,000	)			(675,000	)
Accrued interest			–				1,000				1,000
Office leases payable			(322,000	)			(211,000	)			(104,000	)
Deferred revenue			289,000				116,000				103,000
Customer deposits			519,000				(171,000	)			151,000
Net cash used in operating activities			(19,338,000	)			(15,401,000	)			(4,416,000	)
Cash flows from investing activities:
Purchases of equipment			(644,000	)			(530,000	)			(238,000	)
Net cash used in investing activities			(644,000	)			(530,000	)			(238,000	)
Cash flows from financing activities:
Proceeds from the issuance of common stock in registered direct offering, net of offering costs			13,971,000				13,971,000				14,076,000
Proceeds from the issuance of common stock in public offering, net of offering costs			1,602,000				1,602,000				1,602,000
Proceeds from revolving line of credit			3,500,000				3,500,000				–
Net cash provided by financing activities			19,073,000				19,073,000				15,678,000
Net change in cash			(909,000	)			3,142,000				11,024,000
Cash, beginning of period			4,713,000				4,713,000				4,713,000
Cash, end of period		$	3,804,000			$	7,855,000			$	15,737,000
Supplemental Disclosures of Non-Cash Investing and Financing Activities:
Common stock issued for vested RSUs		$	9,700			$	–			$	–
Supplemental cash flow information:
Interest paid		$	86,000			$	33,000			$	2,000

FLUX POWER HOLDING, INC.

CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		Nine months ended March 31, 2024
		As previously reported				Restatement adjustments				Reference		As restated
Cash flows from operating activities:
Net loss (a)(b)(d)(e)		$	(5,566,000	)		$	(523,000	)		(a) (b) (d) (e)		$	(6,089,000	)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation			787,000				–						787,000
Stock-based compensation			1,233,000				–						1,233,000
Fair value of warrants issued as debt discount cost			92,000				(92,000	)		(f)			0
Amortization of debt issuance costs			161,000				–						161,000
Non-cash lease expense			448,000				–						448,000
Inventory write downs(a)			13,000				345,000			(a)			358,000
Changes in operating assets and liabilities:
Accounts receivable (b)			(1,755,000	)			87,000			(b)			(1,668,000	)
Inventories(a)(d)			(1,191,000	)			(371,000	)		(a) (d)			(1,562,000	)
Other assets			(81,000	)			92,000			(f)			11,000
Accounts payable(b)(d)(e)			1,315,000				207,000			(b) (d) (e)			1,522,000
Accrued expenses(e)			464,000				255,000			(e)			719,000
Accrued interest			134,000				–						134,000
Office leases payable			(476,000	)			–						(476,000	)
Deferred revenue			212,000				–						212,000
Customer deposits			(64,000	)			–						(64,000	)
Net cash used in operating activities			(4,274,000	)			–						(4,274,000	)
Cash flows from investing activities:
Purchases of equipment			(588,000	)			–						(588,000	)
Net cash used in investing activities			(588,000	)			–						(588,000	)
Cash flows from financing activities:
Proceeds from stock option exercises and employee stock purchase plan exercises			110,000				–						110,000
Proceeds from revolving line of credit			52,820,000				–						52,820,000
Payment of revolving line of credit			(49,087,000	)			–						(49,087,000	)
Payment of finance leases			(110,000	)			–						(110,000	)
Net cash provided by financing activities			3,733,000				–						3,733,000
Net change in cash			(1,129,000	)			–						(1,129,000	)
Cash, beginning of period			2,379,000				–						2,379,000
Cash, end of period		$	1,250,000			$	–					$	1,250,000
Supplemental Disclosures of Non-Cash Investing and Financing Activities:
Common stock issued for vested RSUs		$	222,000			$	–					$	222,000
Warrants issued in connection with borrowing agreements, recorded as debt issuance cost		$	–			$	92,000			(f)		$	92,000
Supplemental cash flow information:
Interest paid		$	1,000,000			$	–					$	1,000,000

FLUX POWER HOLDING, INC.

CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		Six months ended December 31, 2023
		As previously reported				Restatement adjustments				Reference		As restated
Cash flows from operating activities:
Net loss(a)(b)(d)(e)		$	(2,926,000	)		$	(158,000	)		(a) (b) (d) (e)		$	(3,084,000	)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation			523,000				(92,000	)		(f)			523,000
Stock-based compensation			670,000				–						670,000
Fair value of warrants issued as debt discount cost(f)			92,000				(92,000	)		(f)			–
Amortization of debt issuance costs			134,000				–						134,000
Non-cash lease expense			296,000				–						296,000
Inventory write downs(a)			(2,000	)			235,000			(a)			233,000
Changes in operating assets and liabilities:
Accounts receivable (b)			(3,930,000	)			4,000			(b)			(3,926,000	)
Inventories(a)(d)			715,000				(344,000	)		(a) (d)			371,000
Other assets(f)			(157,000	)			92,000			(f)			(65,000	)
Accounts payable(b)(d)(e)			286,000				203,000			(b) (d) (e)			489,000
Accrued expenses(e)			109,000				60,000			(e)			169,000
Accrued interest			128,000				–						128,000
Office leases payable			(312,000	)			–						(312,000	)
Deferred revenue			179,000				–						179,000
Customer deposits			150,000				–						150,000
Net cash used in operating activities			(4,045,000	)			–						(4,045,000	)
Cash flows from investing activities:
Purchases of equipment			(338,000	)			–						(338,000	)
Net cash used in investing activities			(338,000	)			–						(338,000	)
Cash flows from financing activities:
Proceeds from revolving line of credit			35,868,000				–						35,868,000
Payment of revolving line of credit			(32,205,000	)			–						(32,205,000	)
Payment of finance leases			(75,000	)			–						(75,000	)
Net cash provided by financing activities			3,588,000				–						3,588,000
Net change in cash			(795,000	)			–						(795,000	)
Cash, beginning of period			2,379,000				–						2,379,000
Cash, end of period		$	1,584,000			$	–					$	1,584,000
Supplemental Disclosures of Non-Cash Investing and Financing Activities:
Common stock issued for vested RSUs		$	183,000			$	–					$	183,000
Warrants issued in connection with borrowing agreements, recorded as debt issuance cost (f)		$	-			$	92,000			(f)		$	92,000
Supplemental cash flow information:
Interest paid		$	605,000			$	–					$	605,000

FLUX POWER HOLDING, INC.

CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		Three months ended September 30, 2023
		As previously reported				Restatement adjustments				Reference		As restated
Cash flows from operating activities:
Net loss(a)(b)		$	(2,112,000	)		$	(76,000	)		(a) (b)		$	(2,188,000	)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation			261,000				–						261,000
Stock-based compensation			276,000				–						276,000
Amortization of debt issuance costs			81,000				–						81,000
Non-cash lease expense			146,000				–						146,000
Inventory write downs(a)			(3,000	)			116,000			(a)			113,000
Changes in operating assets and liabilities:
Accounts receivable (b)			(2,050,000	)			10,000			(b)			(2,040,000	)
Inventories(a)			(496,000	)			(50,000	)		(a)			(546,000	)
Other assets			(215,000	)			–						(215,000	)
Accounts payable			330,000				–						330,000
Accrued expenses			601,000				–						601,000
Accrued interest			100,000				–						100,000
Office leases payable			(152,000	)			–						(152,000	)
Deferred revenue			205,000				–						205,000
Customer deposits			(65,000	)			–						(65,000	)
Net cash used in operating activities			(3,093,000	)			–						(3,093,000	)
Cash flows from investing activities:
Purchases of equipment			(181,000	)			–						(181,000	)
Net cash used in investing activities			(181,000	)			–						(181,000	)
Cash flows from financing activities:
Proceeds from the issuance of common stock in registered direct offering, net of offering costs
Proceeds from revolving line of credit			18,055,000				–						18,055,000
Payment of revolving line of credit			(15,981,000	)			–						(15,981,000	)
Payment of finance leases			(40,000	)			–						(40,000	)
Net cash provided by financing activities			2,034,000				–						2,034,000
Net change in cash			(1,240,000	)			–						(1,240,000	)
Cash, beginning of period			2,379,000				–						2,379,000
Cash, end of period		$	1,139,000			$	–					$	1,139,000
Supplemental cash flow information:
Interest paid		$	223,000			$	–					$	223,000

FLUX POWER HOLDING, INC.

CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		Nine months ended March 31, 2023
		As previously reported				Restatement adjustments				Reference		As restated
Cash flows from operating activities:
Net loss(a)(d)		$	(5,265,000	)		$	(278,000	)		(a) (d)		$	(5,543,000	)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation			647,000				–						647,000
Stock-based compensation			539,000				–						539,000
Amortization of debt issuance costs			445,000				–						445,000
Non-cash lease expense			370,000				–						370,000
Inventory write downs(a)			214,000				(23,000	)		(a)			191,000
Changes in operating assets and liabilities:							–
Accounts receivable (b)			(1,244,000	)			(28,000	)		(b)			(1,272,000	)
Inventories(a)(d)			(4,911,000	)			301,000			(a) (d)			(4,610,000	)
Other assets			11,000				–						11,000
Accounts payable (b)			4,182,000				28,000			(b)			4,210,000
Accrued expenses			395,000				–						395,000
Accrued interest			2,000				–						2,000
Office leases payable			(379,000	)			–						(379,000	)
Deferred revenue			(163,000	)			–						(163,000	)
Customer deposits			(40,000	)			–						(40,000	)
Net cash used in operating activities			(5,197,000	)			–						(5,197,000	)
Cash flows from investing activities:
Purchases of equipment			(753,000	)			–						(753,000	)
Proceeds from sale of fixed assets			8,000				–						8,000
Net cash used in investing activities			(745,000	)			–						(745,000	)
Cash flows from financing activities:
Proceeds from the issuance of common stock in public offering, net of offering costs			697,000				–						697,000
Proceeds from revolving line of credit			48,800,000				–						48,800,000
Payment of revolving line of credit			(43,198,000	)			–						(43,198,000	)
Payment of finance leases			(52,000	)			–						(52,000	)
Net cash provided by financing activities			6,247,000				–						6,247,000
Net change in cash			305,000				–						305,000
Cash, beginning of period			485,000				–						485,000
Cash, end of period		$	790,000			$	–					$	790,000
Supplemental Disclosures of Non-Cash Investing and Financing Activities:
Initial right of use asset recognition		$	855,000			$	–					$	855,000
Common stock issued for vested RSUs		$	114,000			$	–					$	114,000
Supplemental cash flow information:
Interest paid		$	524,000			$	–					$	524,000

FLUX POWER HOLDING, INC.

CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		Six months ended December 31, 2022
		As previously reported				Restatement adjustments				Reference		As restated
Cash flows from operating activities:
Net loss(a)(d)		$	(3,820,000	)		$	(236,000	)		(a) (d)		$	(4,056,000	)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation			371,000				–						371,000
Stock-based compensation			304,000				–						304,000
Amortization of debt issuance costs			368,000				–						368,000
Non-cash lease expense			236,000				–						236,000
Inventory write downs(a)			135,000				(47,000	)		(a)			88,000
Changes in operating assets and liabilities:
Accounts receivable (b)			(1,858,000	)			(40,000	)		(b)			(1,898,000	)
Inventories(a)(d)			(3,380,000	)			283,000			(a) (d)			(3,097,000	)
Other assets			(17,000	)			–						(17,000	)
Accounts payable (b)			6,152,000				40,000			(b)			6,192,000
Accrued expenses			89,000				–						89,000
Office leases payable			(244,000	)			–						(244,000	)
Deferred revenue			(82,000	)			–						(82,000	)
Customer deposits			(146,000	)			–						(146,000	)
Net cash used in operating activities			(1,892,000	)			–						(1,892,000	)
Cash flows from investing activities:
Purchases of equipment			(344,000	)			–						(344,000	)
Proceeds from sale of fixed assets			8,000				–						8,000
Net cash used in investing activities			(336,000	)			–						(336,000	)
Cash flows from financing activities:
Proceeds from revolving line of credit			30,550,000				–						30,550,000
Payment of revolving line of credit			(28,628,000	)			–						(28,628,000	)
Payment of finance leases			(22,000	)			–						(22,000	)
Net cash provided by financing activities			1,900,000				–						1,900,000
Net change in cash			(328,000	)			–						(328,000	)
Cash, beginning of period			485,000				–						485,000
Cash, end of period		$	157,000			$	–					$	157,000
Supplemental Disclosures of Non-Cash Investing and Financing Activities:
Initial right of use asset recognition		$	258,000			$	–					$	258,000
Common stock issued for vested RSUs		$	114,000			$	–					$	114,000
Supplemental cash flow information:
Interest paid		$	288,000			$	–					$	288,000

FLUX POWER HOLDING, INC.

CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		Three months ended September 30, 2022
		As previously reported				Restatement adjustments				Reference		As restated
Cash flows from operating activities:
Net loss(a)(d)		$	(2,139,000	)		$	(121,000	)		(a) (d)		$	(2,260,000	)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation			172,000				–						172,000
Stock-based compensation			95,000				–						95,000
Amortization of debt issuance costs			229,000				–						229,000
Non-cash lease expense			117,000				–						117,000
Inventory write downs(a)			25,000				18,000			(a)			43,000
Changes in operating assets and liabilities:
Accounts receivable			(2,987,000	)			–						(2,987,000	)
Inventories(a)(d)			(2,641,000	)			103,000			(a) (d)			(2,538,000	)
Other assets			(229,000	)			–						(229,000	)
Accounts payable			6,860,000				–						6,860,000
Accrued expenses			9,000				–						9,000
Accrued interest			1,000				–						1,000
Office leases payable			(120,000	)			–						(120,000	)
Deferred revenue			184,000				–						184,000
Customer deposits			(165,000	)			–						(165,000	)
Net cash used in operating activities			(589,000	)			–						(589,000	)
Cash flows from investing activities:
Purchases of equipment			(352,000	)			–						(352,000	)
Net cash used in investing activities			(352,000	)			–						(352,000	)
Cash flows from financing activities:
Proceeds from revolving line of credit			12,900,000				–						12,900,000
Payment of revolving line of credit			(12,138,000	)			–						(12,138,000	)
Net cash provided by financing activities			762,000				–						762,000
Net change in cash			(179,000	)			–						(179,000	)
Cash, beginning of period			485,000				–						485,000
Cash, end of period		$	306,000			$	–					$	306,000
Supplemental Disclosures of Non-Cash Investing and Financing Activities:
Initial right of use asset recognition		$	78,000			$	–					$	78,000
Common stock issued for vested RSUs		$	5,000			$	–					$	5,000
Supplemental cash flow information:
Interest paid		$	99,000			$	–					$	99,000

FLUX POWER HOLDING, INC.

CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		Nine months ended March 31, 2022
		As previously reported				Restatement adjustments				Reference		As restated
Cash flows from operating activities:
Net loss(a)(d)		$	(12,956,000	)		$	(679,000	)		(a) (d)		$	(13,635,000	)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation			412,000				–						412,000
Stock-based compensation			601,000				–						601,000
Non-cash lease expense			324,000				–						324,000
Inventory write downs(a)			109,000				373,000			(a)			482,000
Changes in operating assets and liabilities:
Accounts receivable			(3,411,000	)			–						(3,411,000	)
Inventories(a)(d)			(10,530,000	)			306,000			(a) (d)			(10,224,000	)
Other assets			(118,000	)			–						(118,000	)
Accounts payable			6,186,000				–						6,186,000
Accrued expenses			(441,000	)			–						(441,000	)
Office leases payable			(322,000	)			–						(322,000	)
Deferred revenue			289,000				–						289,000
Customer deposits			519,000				–						519,000
Net cash used in operating activities			(19,338,000	)			–						(19,338,000	)
Cash flows from investing activities:
Purchases of equipment			(644,000	)			–						(644,000	)
Net cash used in investing activities			(644,000	)			–						(644,000	)
Cash flows from financing activities:
Proceeds from the issuance of common stock in registered direct offering, net of offering costs			13,971,000				–						13,971,000
Proceeds from the issuance of common stock in public offering, net of offering costs			1,602,000				–						1,602,000
Proceeds from revolving line of credit			3,500,000				–						3,500,000
Net cash provided by financing activities			19,073,000				–						19,073,000
Net change in cash			(909,000	)			–						(909,000	)
Cash, beginning of period			4,713,000				–						4,713,000
Cash, end of period		$	3,804,000			$	–					$	3,804,000
Supplemental Disclosures of Non-Cash Investing and Financing Activities:
Common stock issued for vested RSUs		$	9,700			$	–					$	9,700
Supplemental cash flow information:
Interest paid		$	86,000			$	–					$	86,000

FLUX POWER HOLDING, INC.

CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		Six months ended December 31, 2021
		As previously reported				Restatement adjustments				Reference		As restated
Cash flows from operating activities:
Net loss(a)(d)		$	(9,207,000	)		$	(535,000	)		(a) (d)		$	(9,742,000	)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation			259,000				–						259,000
Stock-based compensation			449,000				–						449,000
Non-cash lease expense			214,000				–						214,000
Inventory write downs(a)			169,000				182,000			(a)			351,000
Changes in operating assets and liabilities:
Accounts receivable			913,000				–						913,000
Inventories(a)(d)			(9,239,000	)			353,000			(a) (d)			(8,886,000	)
Other assets			(408,000	)			–						(408,000	)
Accounts payable			2,064,000				–						2,064,000
Accrued expenses			(350,000	)			–						(350,000	)
Accrued interest			1,000				–						1,000
Office leases payable			(211,000	)			–						(211,000	)
Deferred revenue			116,000				–						116,000
Customer deposits			(171,000	)			–						(171,000	)
Net cash used in operating activities			(15,401,000	)			–						(15,401,000	)
Cash flows from investing activities:
Purchases of equipment			(530,000	)			–						(530,000	)
Net cash used in investing activities			(530,000	)			–						(530,000	)
Cash flows from financing activities:
Proceeds from the issuance of common stock in registered direct offering, net of offering costs			13,971,000										13,971,000
Proceeds from the issuance of common stock in public offering, net of offering costs			1,602,000				–						1,602,000
Proceeds from revolving line of credit			3,500,000				–						3,500,000
Net cash provided by financing activities			19,073,000				–						19,073,000
Net change in cash			3,142,000				–						3,142,000
Cash, beginning of period			4,713,000				–						4,713,000
Cash, end of period		$	7,855,000			$	–					$	7,855,000
Supplemental cash flow information:
Interest paid		$	33,000			$	–					$	33,000

FLUX POWER HOLDING, INC.

CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS

(Unaudited)

		As previously reported				Restatement adjustments				Reference		As restated
		Three months ended September 30, 2021
		As previously reported				Restatement adjustments				Reference		As restated
Cash flows from operating activities:
Net loss(a)(d)		$	(4,130,000	)		$	(233,000	)		(a) (d)		$	(4,363,000	)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation			123,000				–						123,000
Stock-based compensation			200,000				–						200,000
Non-cash lease expense			106,000				–						106,000
Inventory write downs(a)			24,000				86,000			(a)			110,000
Changes in operating assets and liabilities:
Accounts receivable			1,586,000				–						1,586,000
Inventories(a)(d)			(3,357,000	)			147,000			(a) (d)			(3,210,000	)
Other assets			(567,000	)			–						(567,000	)
Accounts payable			2,123,000				–						2,123,000
Accrued expenses			(675,000	)			–						(675,000	)
Accrued interest			1,000				–						1,000
Office leases payable			(104,000	)			–						(104,000	)
Deferred revenue			103,000				–						103,000
Customer deposits			151,000				–						151,000
Net cash used in operating activities			(4,416,000	)			–						(4,416,000	)
Cash flows from investing activities:
Purchases of equipment			(238,000	)			–						(238,000	)
Net cash used in investing activities			(238,000	)			–						(238,000	)
Cash flows from financing activities:
Proceeds from the issuance of common stock in registered direct offering, net of offering costs			14,076,000				–						14,076,000
Proceeds from the issuance of common stock in public offering, net of offering costs			1,602,000				–						1,602,000
Net cash provided by financing activities			15,678,000				–						15,678,000
Net change in cash			11,024,000				–						11,024,000
Cash, beginning of period			4,713,000				–						4,713,000
Cash, end of period		$	15,737,000			$	–					$	15,737,000
Supplemental cash flow information:
Interest paid		$	2,000			$	–					$	2,000

(a) Inventories. The Company did not properly evaluate its calculation of its excess and obsolescence reserve on its finished goods and raw materials inventories, resulting in an overstatement of inventories and an understatement of cost of sales. In addition, certain inventory components were not properly recorded at the lower of cost or net realizable value, resulting in an overstatement of inventory and an understatement of cost of sales. Further, certain loaner service packs and consigned inventory were not reconciled timely, resulting in an overstatement of inventory and an understatement of cost of sales. Lastly, the Company also corrected the cash flow presentation related to inventory write downs on the statement of cash flows.

(b) Revenue recognition. The Company improperly recognized revenue during the three months ended September 30, 2023 related to performance obligations satisfied during three months ended June 30, 2023, resulting in an understatement of revenue in the three months ended June 30, 2023 and an overstatement of revenue in the three months ended September 30, 2023.

(c) Expense classification. The Company improperly recorded various inventory write-downs to research and development expenses although such expenses did not meet the classification criteria for research and development under ASC 730, resulting in an overstatement of research and development expenses and an understatement of cost of sales.

(d) Other. The Company had various clearing accounts that were not reconciled timely, resulting in an understatement of accounts payable, overstatement of inventories, and understatement of cost of sales.

(e) Product warranty liability. The Company did not include certain product warranty-related expenses within the proper period in its calculation of its product warranty reserve estimate, resulting in an understatement of accrued expenses and an understatement of cost of sales.

X

- Definition

Schedule Of Summarized Financial Information [Table Text Block]

+ References

No definition available.

+ Details

Name:	FLUX_ScheduleOfSummarizedFinancialInformationTableTextBlock
Namespace Prefix:	FLUX_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration

X

- References

No definition available.

+ Details

Name:	us-gaap_QuarterlyFinancialInformationDisclosureAbstract
Namespace Prefix:	us-gaap_
Data Type:	xbrli:stringItemType
Balance Type:	na
Period Type:	duration

X

- Definition

Tabular disclosure of quarterly financial data. Includes, but is not limited to, financial information for fiscal quarters, cumulative effect of a change in accounting principle and earnings per share data.

+ References

Reference 1: http://www.xbrl.org/2003/role/disclosureRef
-Name Accounting Standards Codification
-Section 50
-Paragraph 1
-SubTopic 10
-Topic 270
-Publisher FASB
-URI https://asc.fasb.org/1943274/2147482964/270-10-50-1

+ Details

Name:	us-gaap_ScheduleOfQuarterlyFinancialInformationTableTextBlock
Namespace Prefix:	us-gaap_
Data Type:	dtr-types:textBlockItemType
Balance Type:	na
Period Type:	duration