| Segment reporting |
Note 12 – Segment reporting
The Company consists of three types of operations.
(1) Focus and Focus Shenzhen (“Corporate”) involve operations related to research and development of technology products,
non-specific financing, executive expense, operations and investor relations of the public entity, and general shared management and costs
across subsidiary units which spread across all functional categories. (2) Perfecular and Lusher (“IoT Products”) involve
wholesale, marketing, and production of universal smart instruments and devices in the hydroponic and controlled agricultural segments.
(3) AVX (“IoT Installation Services”) is an IoT installation and management company specializing in high performance and easy
to use audio/video, home theater, lighting control, automation, and integration. The table below discloses income statement information
by segment.
| Segment Reporting
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|
Year Ended December 31, 2022 |
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|
Corporate |
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|
IoT Products |
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|
IoT Installation Services |
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Total |
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| Revenue |
|
$ |
– |
|
|
$ |
51,302 |
|
|
$ |
252,535 |
|
|
$ |
303,837 |
|
| Revenue - related party |
|
|
– |
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|
|
41,536 |
|
|
|
8,246 |
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|
49,782 |
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| Total revenue |
|
|
– |
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|
92,838 |
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|
|
260,781 |
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|
|
353,619 |
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| |
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|
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| Cost of revenue |
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|
– |
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84,296 |
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|
246,603 |
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|
330,899 |
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| |
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| Gross Profit |
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|
– |
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|
|
8,542 |
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|
14,178 |
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|
|
22,720 |
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| |
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| Operating Expenses |
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| Selling expense |
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– |
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|
132,443 |
|
|
|
9,929 |
|
|
|
142,372 |
|
| Compensation - officers and directors |
|
|
1,055,133 |
|
|
|
– |
|
|
|
– |
|
|
|
1,055,133 |
|
| Research and development |
|
|
1,060,385 |
|
|
|
– |
|
|
|
– |
|
|
|
1,060,385 |
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| Professional fees |
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|
883,213 |
|
|
|
– |
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|
13,172 |
|
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|
896,385 |
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| General and administrative |
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|
1,465,121 |
|
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|
316,617 |
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|
292,353 |
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|
2,074,091 |
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| Total Cost and Operating Expenses |
|
|
4,463,852 |
|
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|
449,060 |
|
|
|
315,454 |
|
|
|
5,228,366 |
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| |
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| Loss from Operations |
|
|
(4,463,852 |
) |
|
|
(440,518 |
) |
|
|
(301,276 |
) |
|
|
(5,205,646 |
) |
| |
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| Other Income (Expense): |
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| Interest income (expense), net |
|
|
4,109 |
|
|
|
(288 |
) |
|
|
66 |
|
|
|
3,887 |
|
| Gain on extinguishment of debt |
|
|
– |
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|
158,547 |
|
|
|
– |
|
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|
158,547 |
|
| Unrealized loss on marketable equity securities |
|
|
(42,395 |
) |
|
|
– |
|
|
|
– |
|
|
|
(42,395 |
) |
| Realized loss on marketable equity securities |
|
|
(21,205 |
) |
|
|
– |
|
|
|
– |
|
|
|
(21,205 |
) |
| Rental income |
|
|
166,288 |
|
|
|
– |
|
|
|
– |
|
|
|
166,288 |
|
| Other income (expense), net |
|
|
20,368 |
|
|
|
– |
|
|
|
(6,781 |
) |
|
|
13,587 |
|
| Total other income (expense) |
|
|
127,165 |
|
|
|
158,259 |
|
|
|
(6,715 |
) |
|
|
278,709 |
|
| |
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| |
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| Tax expense |
|
|
– |
|
|
|
– |
|
|
|
– |
|
|
|
– |
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| |
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| Net Loss |
|
$ |
(4,336,687 |
) |
|
$ |
(282,259 |
) |
|
$ |
(307,991 |
) |
|
$ |
(4,926,937 |
) |
|