| Segment Reporting |
Note 14 – Segment reporting
The Company’s operation consists
of two separate types of operations. Focus Universal, Inc. and Perfecular Inc. (“Focus”) main business operation involves
wholesale, research and development of universal smart instrument and farming devices. AVX Design & Integration, Inc. (“AVX”)
is an IoT installation and management company specializes high performance, easy to use Audio/Video, Home Theater, Lighting Control,
Automation and Integration. Table below discloses income statements segment reporting of the separate business models.
| |
|
Nine Months Ended September 30, 2019 |
|
| |
|
Focus |
|
|
AVX |
|
|
Total |
|
| |
|
|
|
|
|
|
|
|
|
| Revenue |
|
$ |
436,070 |
|
|
$ |
548,875 |
|
|
$ |
984,945 |
|
| Revenue - related party |
|
|
10,300 |
|
|
|
– |
|
|
|
10,300 |
|
| Total revenue |
|
|
446,370 |
|
|
|
548,875 |
|
|
|
995,245 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
| Cost of Revenue |
|
|
341,319 |
|
|
|
411,132 |
|
|
|
752,451 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
| Gross Profit |
|
|
105,051 |
|
|
|
137,743 |
|
|
|
242,794 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
| Operation Expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
| Selling |
|
|
– |
|
|
|
183,570 |
|
|
|
183,570 |
|
| Compensation - officers |
|
|
90,000 |
|
|
|
16,580 |
|
|
|
106,580 |
|
| Research and development |
|
|
193,002 |
|
|
|
– |
|
|
|
193,002 |
|
| Professional fees |
|
|
1,818,807 |
|
|
|
17,482 |
|
|
|
1,836,289 |
|
| General and administrative |
|
|
478,057 |
|
|
|
120,493 |
|
|
|
598,550 |
|
| Total Operating Expenses |
|
|
2,580,666 |
|
|
|
338,125 |
|
|
|
2,918,791 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
| Loss from Operations |
|
|
(2,475,615 |
) |
|
|
(200,382 |
) |
|
|
(2,675,997 |
) |
| |
|
|
|
|
|
|
|
|
|
|
|
|
| Other Income (Expense) |
|
|
|
|
|
|
|
|
|
|
|
|
| Interest income (expense), net |
|
|
836 |
|
|
|
– |
|
|
|
836 |
|
| Other income |
|
|
10.440 |
|
|
|
– |
|
|
|
10,440 |
|
| Total other expense |
|
|
11,276 |
|
|
|
– |
|
|
|
11,276 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
| Loss before income taxes |
|
|
(2,464,339 |
) |
|
|
(200,382 |
) |
|
|
(2,664,721 |
) |
| |
|
|
|
|
|
|
|
|
|
|
|
|
| Tax expense |
|
|
800 |
|
|
|
3,260 |
|
|
|
4,060 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
| Net Loss |
|
$ |
(2,464,939 |
) |
|
$ |
(203,642 |
) |
|
$ |
(2,667,981 |
) |
|