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Income taxes | 3 Months Ended
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Mar. 31, 2026
Income Tax Disclosure [Abstract] |
Income taxes | Income taxes The source of pre-tax income and the components of income tax expense are as follows:
|  |  | For the Three Months Ended March 31,
|  |  |  |  | 2026 |  | 2025
|  |  |  |  | USD |  | USD
Income components |  |  |  |  |  |  |
United States |  |  |  |  | $ | (847,719) |  |  | $ | (1,818,919) |
Outside United States |  |  |  |  | (270,768) |  |  | 263,832 |
Total pre-tax loss |  |  |  |  | $ | (1,118,487) |  |  | $ | (1,555,087) |
Provision for (benefit of) income taxes |  |  |  |  |  |  |
Current |  |  |  |  |  |  |
Federal |  |  |  |  | $ | — |  |  | $ | — |
State |  |  |  |  | — |  |  | 2,088 |
Foreign |  |  |  |  | 24,857 |  |  | 17,080 |
|  |  |  |  | 24,857 |  |  | 19,168 |
Deferred |  |  |  |  |  |  |
Federal |  |  |  |  | — |  |  | (608,145) |
State |  |  |  |  | — |  |  | (150,553) |
Foreign |  |  |  |  | (179) |  |  | — |
|  |  |  |  | (179) |  |  | (758,698) |
Total provision for (benefit of) income taxes |  |  |  |  | $ | 24,678 |  |  | $ | (739,530) |
Reconciliations between taxes at the U.S. federal income tax rate and taxes at the Company’s effective income tax rate on earnings before income taxes are as follows:
| For the Three Months Ended March 31,
| 2026 |  | 2025
| USD |  | % |  | USD |  | %
Income tax expense at Federal statutory tax rate | $ | (234,882) |  |  | 21.0 |  |  | $ | (326,568) |  |  | 21.0 |
Increase (decrease) in tax rate resulting from: |  |  |  |  |  |  |
State and local income taxes, net of federal benefit(1) | 22,213 |  |  | (2.0) |  |  | (117,287) |  |  | 7.5 |
Foreign tax effects (statutory rate differential) |  |  |  |  |  |  |
Hong Kong | 58,062 |  |  | (5.2) |  |  | 19,622 |  |  | (1.3) |
Canada | 27,390 |  |  | (2.4) |  |  | 3,320 |  |  | (0.2) |
Cayman Islands | (17,059) |  |  | 1.5 |  |  | 55,003 |  |  | (3.5) |
Cambodia | (13,335) |  |  | 1.2 |  |  | (72,348) |  |  | 4.7 |
Other | 26,481 |  |  | (2.4) |  |  | (42,798) |  |  | 2.8 |
Nontaxable or nondeductible items | 12,425 |  |  | (1.1) |  |  | 7,959 |  |  | (0.5) |
Valuation allowance | 143,277 |  |  | (12.8) |  |  | — |  |  | — |
Other adjustments(2) | 106 |  |  | — |  |  | (266,433) |  |  | 17.2 |
Income tax expense | $ | 24,678 |  |  | (2.2) |  |  | $ | (739,530) |  |  | 47.7 |
(1) The states that contribute to the majority (greater than 50%) of the tax effect in this category include California and New Jersey for the three months ended March 31, 2026 and 2025. (2) For the three months ended March 31, 2025, other adjustments included right-of-use asset movements. Income taxes paid by jurisdiction were as follows:
| For the Three Months Ended March 31,
| 2026 |  | 2025
| USD |  | USD
Federal | $ | — |  |  | $ | — |
State | 375 |  |  | 625 |
Foreign |  |  |
Cambodia | 11,667 |  |  | — |
Germany | (7,725) |  |  | — |
Other | 452 |  |  | 225 |
Total cash paid for income taxes, net of refunds received | $ | 4,769 |  |  | $ | 850 |
The following is a summary of the components of the net deferred tax assets and liabilities recognized in the consolidated balance sheets:
| As of March 31, 2026 |  | As of December 31, 2025
| USD |  | USD
Deferred tax assets |  |  |
Allowance for credit losses | $ | 48,066 |  |  | $ | 46,824 |
Other reserve | 138,103 |  |  | 157,620 |
Accrued expenses | 157,068 |  |  | 149,705 |
Lease liability | 1,063,602 |  |  | 1,131,158 |
Charitable contributions | 923 |  |  | 923 |
Business interest limitation | 927,785 |  |  | 927,728 |
Net operating loss – federal | 2,475,315 |  |  | 2,257,513 |
Net operating loss – state | 648,418 |  |  | 573,279 |
Other | 211,330 |  |  | 211,125 |
Total deferred tax assets | 5,670,610 |  |  | 5,455,875 |
Less: valuation allowance | (4,294,339) |  |  | (4,013,288) |
Net deferred tax assets | 1,376,271 |  |  | 1,442,587 |
Deferred tax liabilities |  |  |
Fixed assets | 1,050,766 |  |  | 1,140,919 |
Intangibles | 113,745 |  |  | 90,087 |
Total deferred tax liabilities | 1,164,511 |  |  | 1,231,006 |
Deferred tax assets, net of deferred tax liabilities | $ | 211,760 |  |  | $ | 211,581 |
The deferred tax assets related to the Company’s net operating losses of $22,126,619 (federal $11,787,208 and states $10,339,411) and $21,770,284 (federal $12,171,811 and states $9,598,473) as of March 31, 2026 and December 31, 2025, respectively. The federal net operating losses have no expiration date. The states net operating losses have either 20 years or no expiration date. The Company had no material unrecognized tax benefits at March 31, 2026 or December 31, 2025. The Company has not taken any tax positions for which it is reasonably possible that unrecognized tax benefits will significantly increase within the next 12 months. On July 4, 2025, President Trump signed into law the legislation commonly referred to as the One Big Beautiful Bill Act (“OBBBA”). The OBBBA includes various provisions, such as the permanent extension of certain expiring provisions of the Tax Cuts and Jobs Act, modifications to the international tax framework and the restoration of favorable tax treatment for certain business provisions. The OBBBA legislation did not have a material impact on our effective tax rate, deferred tax position, or results of operations in 2025.

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