Significant Accounting Policies (Policies)

6 Months Ended

Jun. 30, 2025

Cash and Cash Equivalents, Policy [Policy Text Block]

Cash

The Company places its cash with high credit quality financial institutions. The Company’s accounts at these institutions are insured by the Federal Deposit Insurance Corporation (“FDIC”) up to $250,000. All cash amounts in excess of $250,000, approximately $1.0 million, are unsecured. The Company has a deposit placement agreement for Insured Cash Sweep Service (“ICS”). This service is a secure, and convenient way to access FDIC protection on large deposits, earn a return, and enjoy flexibility. The Company believes that the ICS agreement will mitigate its credit risk as it relates to uninsured FDIC amounts in excess of $250,000.

Foreign Currency Transactions and Translations Policy [Policy Text Block]

Foreign Currency Translation

The Company’s reporting currency is U.S. Dollars. The accounts of one of the Company’s subsidiaries, GTC, is maintained using the appropriate local currency, Great British Pound (“GBP”), as the functional currency. All assets and liabilities are translated into U.S. Dollars at balance sheet date, shareholders’ equity is translated at historical rates and revenue and expense accounts are translated at the average exchange rate for the year or the reporting period. The translation adjustments are reported as a separate component of stockholders’ equity, captioned as accumulated other comprehensive (loss) gain. Transaction gains and losses arising from exchange rate fluctuations on transactions denominated in a currency other than the functional currency are included in the condensed consolidated statements of comprehensive (loss) income.

The relevant translation rates are as follows:

	As of June 30, 2025		As of June 30, 2024		As of December 31, 2024
Closing rate $USD to GBP	$	1.37	$	1.26	$	1.26
Quarterly average rate $USD to GBP	$	1.34	$	1.26	$	1.28
Yearly average rate $USD to GBP	$	1.30	$	1.27	$	1.28

New Accounting Pronouncements, Policy [Policy Text Block]

Recent Accounting Pronouncements

Accounting Pronouncements Recently Adopted

In November 2024, the FASB issued ASU 2024-03, “Income Statement - Reporting Comprehensive Income - Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses”, (“ASU 2024-03”), which is intended to enhance transparency into the nature and function of expenses. The amendments to Subtopic 220-40 require that on an annual and interim basis, entities disclose disaggregated operating expense information about specific categories, including purchases of inventory, employee compensation, depreciation, amortization and selling expense. The Company early adopted this ASU, effective January 1, 2025, on a retrospective basis. The amendments are presentation matter revisions and did not have an impact on the Company’s financial condition, results of operations, or cash flows.

In December 2023, the FASB issued ASU 2023-09, “Income Taxes (Topic 740)—Improvements to Income Tax Disclosure” (“ASU 2023-09”), which establishes new income tax disclosure requirements in addition to modifying and eliminating certain existing requirements primarily relating to the rate reconciliation and income taxes paid. This includes a tabular reconciliation using both percentages and reporting currency amounts, covering various tax and reconciling items, and disaggregated summaries of income taxes paid during the period. ASU 2023-09 is required to be adopted for annual periods beginning after December 15, 2024, with early adoption permitted. The Company adopted this accounting standard update effective January 1, 2025.

Accounting Pronouncements Issued but not yet Adopted

Other accounting standards that have been issued or proposed by FASB that do not require adoption until a future date are not expected to be relevant or have a material impact on the condensed consolidated financial statements upon adoption.

Subsequent Events, Policy [Policy Text Block]

Subsequent Events

On August 11, 2025, the Company terminated the employment agreement between Progressive Care and Dr. Pamela Roberts, Progressive Care’s Chief Operating Officer.

On August 12, 2025, the Board of Directors of the Company (the “Board”) received resignation letters from each of Louis Cusimano and Elizabeth Alcaine. Pursuant to the letters, Mr. Cusimano and Ms. Alcaine resigned from their positions as directors of the Company effective September 1, 2025. The resignations were each for personal reasons and not because of any disagreements with the Company or the Board.

On August 13, 2025, the Board unanimously elected Mrs. Lauren Sturges Fernandez, the wife of our late Chief Executive Officer, Charles M. Fernandez, to fill one of the vacancies to the Board left by the resignations of Mr. Cusimano and Ms. Alcaine, to serve until her successor shall have been duly elected and qualified or until her earlier resignation or removal.

The Company has evaluated subsequent events through the date of this filing, the date the condensed consolidated financial statements were available to be issued.

NextPlat Corp 10-Q