The Singing Machine pany(MICS) - 2022 Q4 - Annual Report

Sales Composition - Karaoke products accounted for approximately 82% of net sales in the fiscal year ended March 31, 2022[18]. - The company entered into a 3-year license agreement with CBS® for the Carpool Karaoke brand, which accounted for approximately 3% of net sales in the fiscal year ended March 31, 2022[19]. - Microphones and accessories contributed approximately 9% of net sales in the fiscal year ended March 31, 2022[20]. - The Singing Machine Kids product line represented approximately 5% of net sales in the fiscal year ended March 31, 2022[21]. - Music subscriptions accounted for approximately 1% of net sales in the fiscal year ended March 31, 2022[22]. - Sales to the top five customers comprised approximately 90% of net sales in both fiscal years ended March 31, 2022, and March 31, 2021[34]. - Approximately 81% of net sales shipped in the second and third quarters of the fiscal year ended March 31, 2022[36]. Financial Activities - The company completed a public offering of 1,000,000 shares for gross proceeds of $4.0 million on May 23, 2022[47]. - The reverse stock split of 1-for-30 was effective on May 23, 2022, to meet Nasdaq's minimum bid price requirement[45]. - The company began trading on the Nasdaq Capital Market under the symbol "MICS" on May 24, 2022[46]. Shareholder Information - As of March 31, 2021, koncepts International Limited and Treasure Green Holdings Ltd. collectively owned approximately 51% of the Company's common stock on a fully diluted basis[48]. - On August 10, 2021, the Company redeemed 654,105 shares of common stock for approximately $7,162,000, retiring the shares and returning them to unissued authorized capital[49]. - Following the redemption, neither koncepts nor Treasure Green remained shareholders, and several related entities are no longer considered related parties[51]. Corporate Information - The Company is incorporated in Delaware and trades on the NASDAQ Capital Market under the symbol "MICS"[52]. - The Company files various reports with the SEC, including annual reports on Form 10-K and quarterly reports on Form 10-Q[53].