XML 24 R12.htm IDEA: XBRL DOCUMENT
v3.25.3

Note 6 - Variable Interest Entities | 9 Months Ended
--- | ---
Sep. 30, 2025
Notes to Financial Statements |
Variable Interest Entity Disclosure [Text Block] | 6. Variable Interest Entities The Company holds variable interests in certain entities in the form of equity investments. The Company consolidates an entity under the variable interest entity ("VIE") guidance when it is determined the Company is the primary beneficiary. The Company has no right to the benefits from, nor does it bear the risk associated with, VIEs beyond the Company's direct equity investments in these entities. If the Company were to liquidate, the assets held by VIEs would not be available to the general creditors of the Company as a result of the liquidation. During June 2023, the Company was appointed as sole managing member of LGL Systems Nevada Management Partners, LLC ("LGL Nevada") and invested approximately $4 into LGL Nevada, representing the Company's 1.0% general partnership interest. Concurrently, Lynch Capital, a wholly owned subsidiary of the Company, invested $1,000 into LGL Systems Acquisition Holding Company, LLC ("LGL Systems"), representing 34.8% of the memberships in LGL Systems, which is controlled by LGL Nevada. As a result, the Company determined it was the primary beneficiary of LGL Systems and was therefore required to consolidate LGL Systems. Consolidated VIEs The Company's only consolidated VIE is LGL Systems. The following table summarizes the assets and liabilities of LGL Systems included in the Condensed Consolidated Balance Sheets:
|  | September 30, 2025 |  | December 31, 2024
Assets: |  |  |  |  |  |  |  |
Current assets: |  |  |  |  |  |  |  |
Cash and cash equivalents |  | $ | 3,138 |  |  | $ | 3,066 |
Accounts receivable |  |  | 17 |  |  |  | 17 |
Total current assets |  |  | 3,155 |  |  |  | 3,083 |
Total assets |  | $ | 3,155 |  |  | $ | 3,083 |
Total liabilities |  | $ | — |  |  | $ | — |
As of September 30, 2025 and December 31, 2024, the non-controlling interests in LGL Systems was $2,057 and $2,010, respectively. Unconsolidated VIEs The Company's only unconsolidated VIE is LGL Nevada. We calculate our maximum exposure to loss to be (i) the amount invested in the debt or equity of the VIE and (ii) other commitments and guarantees to the VIE.
|  | September 30, 2025 |  | December 31, 2024
Total assets |  | $ | 612 |  |  | $ | 603 |
Maximum exposure to loss: |  |  |  |  |  |  |  |
On-balance sheet (a) |  |  | 4 |  |  |  | 4 |
Off-balance sheet |  |  | — |  |  |  | — |
Total |  | $ | 4 |  |  | $ | 4 |
(a) | As of September 30, 2025 and December 31, 2024, our investment in LGL Nevada was recorded in Other assets in the Condensed Consolidated Balance Sheets.
LGL Systems Nevada Management Partners LLC LGL Nevada was formed in October 2019 for the purpose of performing key management and controls decisions of LGL Systems. The remaining 99.0% of ownership interests are held by four individuals, one of which is a member of Company management. In the event LGL Nevada resigns as manager of LGL Systems, it has the sole right to appoint a new manager.

X
- References No definition available. + Details
Name: | us-gaap_DisclosureTextBlockAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for a variable interest entity (VIE), including but not limited to, judgments and assumptions in determining whether to consolidate and in identifying the primary beneficiary, gain (loss) recognized on the initial consolidation of the VIE, terms of arrangements, amounts and classification of the VIE's assets and liabilities, and the entity's maximum exposure to loss. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 810 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/810/tableOfContent + Details
Name: | us-gaap_VariableInterestEntityDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration