UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF

THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended ~~June~~September 30, 2025

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF

THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from _________ to _________

Commission File Number: 001-32644

BK Technologies Corporation

(Exact name of registrant as specified in its charter)

Nevada		83-4064262
(State or other jurisdiction of		(I.R.S. Employer
incorporation or organization)		Identification No.)

7100 Technology Drive

West Melbourne, Florida 32904

(Address of principal executive offices and Zip Code)

Registrant’s telephone number, including area code: (321) 984-1414

Not Applicable

(Former name, former address and former fiscal year, if changed since last report)

Securities registered pursuant to Section 12(b) of the Act:

Title of Each Class		Trading Symbol(s)		Name of Each Exchange on Which Registered
Common Stock, par value $0.60 per share		BKTI		NYSE American

Indicate by check mark whether the registrant: (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer	☐	Accelerated filer	☐
Non-accelerated filer	☒	Smaller reporting company	☒
		Emerging growth company	☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☒

There were 3,~~733~~732,~~664~~ 241 shares of common stock, $0.60 par value, of the registrant outstanding as of ~~August~~October 731, 2025.

Table of Contents

TABLE OF CONTENTS

PART I - FINANCIAL INFORMATION		3
Item 1.	FINANCIAL STATEMENTS (UNAUDITED)	3
Item 2.	MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS	17
Item 3.	QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK	25
Item 4.	CONTROLS AND PROCEDURES	26
PART II - OTHER INFORMATION		28
Item 1.	LEGAL PROCEEDINGS	28
Item 1A.	RISK FACTORS	28
Item 2.	UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS	29
Item 5.	OTHER INFORMATION	29
Item 6.	EXHIBITS	30
SIGNATURES		31

Table of Contents

PART I - FINANCIAL INFORMATION

Item 1. FINANCIAL STATEMENTS (UNAUDITED)

BK TECHNOLOGIES CORPORATION

Condensed Consolidated Balance Sheets

(In thousands, except share data)

	June 30,			December 31,
	September 30,			December 31,
	2025			2024
		(Unaudited)
ASSETS
Current assets:
Cash and cash equivalents	$	1121,~~853~~471		$	7,075
Trade accounts receivable, net		117,~~542~~579			7,349
Inventories, net		1718,~~167~~575			17,636
Prepaid expenses and other current assets		4,~~271~~123			4,881
Total current assets		4451,~~833~~748			36,941
Property, plant and equipment, net		4,~~563~~464			4,911
Operating lease right-of-use (ROU) assets		~~886~~764			1,128
Deferred tax assets, net		76,~~443~~620			6,788
Capitalized product development cost		2,~~267~~837			1,321
Other assets		~~434~~431			410
Total assets	$	6066,~~426~~864		$	51,499
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable	$	910,835		$	6,327
Accrued compensation and related taxes		12,~~702~~492			2,289
Accrued warranty expense		~~921~~850			1,008
Accrued other expenses and other current liabilities		~~550~~635			1,894
Short-term operating lease liabilities		~~515~~489			571
Deferred revenue		2,~~397~~604			1,885
Total current liabilities		1517,~~920~~905			13,974
Long-term operating lease liabilities		~~490~~372			714
Long-term uncertain tax position liability		1,419			—
Deferred revenue		56,~~834~~218			6,980
Total liabilities		2325,~~663~~914			21,668
Commitments and contingencies
Stockholders’ equity:
Preferred stock; $1.00 par value; 1,000,000 authorized shares; none issued or outstanding		—			—
Common stock; $0.60 par value; 10,000,000 authorized shares; 4,035,256 and 3,913,959 issued, and 3,693,176 and 3,571,879 outstanding shares as of June 30, 2025 and December 31, 2024, respectively		2,421			2,348
Common stock; $0.60 par value; 10,000,000 authorized shares; 4,084,386 and 3,913,959 issued, and 3,742,306 and 3,571,879 outstanding shares as of September 30, 2025 and December 31, 2024, respectively		2,451			2,348
Additional paid-in capital		5051,~~372~~093			49,386
Accumulated deficit		(96,~~977~~541	)		(15,850	)
Treasury stock, at cost, 342,080 shares as of June 30, 2025, and December 31, 2024		(6,053	)		(6,053	)
Treasury stock, at cost, 342,080 shares as of September 30, 2025, and December 31, 2024		(6,053	)		(6,053	)
Total stockholders’ equity		3640,~~763~~950			29,831
Total liabilities and stockholders’ equity	$	6066,~~426~~864		$	51,499

See Accompanying Notes to Condensed Consolidated Financial Statements.

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BK TECHNOLOGIES CORPORATION

Condensed Consolidated Statements of Operations

(In thousands, except share and per share data) (Unaudited)

	Three Months Ended						~~Six~~Nine Months Ended
	June 30,			June 30,			June 30,			June 30,
	September 30,			September 30,			September 30,			September 30,
	2025			2024			2025			2024
Sales, net	$	2124,~~165~~411		$	20,~~254~~179		$	4064,~~219~~630		$	3858,~~485~~664
Expenses:
Cost of products		1112,~~130~~222			12,~~707~~343			2133,~~234~~453			2436,~~650~~993
Gross margin		1012,~~035~~189			7,~~547~~836			1831,~~985~~177			1321,~~835~~671
Selling, general and administrative expenses
Selling, general and administrative expenses:
Engineering and product development		2,~~306~~771			1,~~984~~861			57,~~033~~805			45,~~061~~922
Marketing and selling		12,~~941~~130			1,~~706~~459			35,~~781~~910			34,~~230~~617
General and administrative		12,~~791~~443			1,~~832~~905			35,~~258~~704			35,~~536~~513
Total selling, general and administrative expenses		67,~~038~~344			5,~~522~~225			1219,~~072~~419			1016,~~827~~052
Operating income		34,~~997~~845			2,~~025~~611			611,~~913~~758			35,~~008~~619
Other (expense) income:
Other income (expense):
Net interest income (expense)		3994			(~~106~~1	)		42136			(~~280~~281	)
Gain on disposal of property, plant and equipment		—			—			—			2
Loss on investments		—			—			—			(91	)
Other expense		(2051	)		(356	)		(~~137~~188	)		(5359	)
Total other income (expense), net		1943			(~~141~~7	)		(9552	)		(~~422~~429	)
Income before income taxes		4,~~016~~888			12,~~884~~604			611,~~818~~706			25,~~586~~190
Provision for income tax (expense)		(275	)		(220	)		(945	)		(241	)
Provision for income tax expense		(1,452	)		(247	)		(2,397	)		(488	)
Net income		3,~~741~~436			12,~~664~~357			59,~~873~~309			24,~~345~~702
Net income per share-basic:	$	1.03		$	0.47		$	1.63		$	0.66
Earnings per share-basic:	$	0.93		$	0.67		$	2.56		$	1.33
Net income per share-diluted:	$	0.96		$	0.47		$	1.51		$	0.66
Earnings per share-diluted:	$	0.87		$	0.63		$	2.38		$	1.30
Weighted average shares outstanding-basic		3,~~646~~708,~~503~~717			3,~~529~~539,~~910~~841			3,~~609~~643,~~744~~097			3,~~534~~536,~~209~~100
Weighted average shares outstanding-diluted		3,~~893~~951,~~373~~433			3,~~564~~751,~~170~~073			3,~~893~~913,~~462~~148			3,~~559~~623,~~305~~241

See Accompanying Notes to Condensed Consolidated Financial Statements.

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BK Technologies Corporation

Condensed Consolidated Statements of Changes in Equity

(In thousands, except share and per share data) (Unaudited)

	Common		Common		Additional
	Stock		Stock		Paid-In			Accumulated			Treasury
	Shares		Amount		Capital			Deficit			Stock			Total
Balance at December 31, 2024		3,913,959	$	2,348	$	49,386		$	(15,850	)	$	(6,053	)	$	29,831
Common stock issued under restricted stock units		13,764		7		(7	)		—			—			—
Common stock issued-stock options		1,148		1		12			—			—			13
Share-based compensation expense-stock options		—		—		118			—			—			118
Share-based compensation expense-restricted stock units		—		—		275			—			—			275
Net income		—		—		—			2,132			—			2,132
Balance at March 31, 2025		3,928,871		2,356		49,784			(13,718	)		(6,053	)		32,369
Common stock issued under restricted stock units		2,156		1		(1	)		—			—			—
Common stock issued-stock options		14,465		10		218			—			—			228
Common stock issued-warrants exercised		89,764		54		(54	)		—			—			—
Common stock issued - exercised warrants		89,764		54		(54	)		—			—			—
Share-based compensation expense-stock options		—		—		126			—			—			126
Share-based compensation expense-restricted stock units		—		—		299			—			—			299
Net income		—		—		—			3,741			—			3,741
Balance at June 30, 2025		4,035,256		2,421		50,372			(9,977	)		(6,053	)		36,763
Common stock issued under restricted stock units		41,540		25		(25	)		—			—			—
Common stock issued-stock options		7,171		4		110			—			—			114
Common stock issued - exercised warrants		419		1		(1	)		—			—			—
Share-based compensation expense-stock options		—		—		380			—			—			380
Share-based compensation expense-restricted stock units		—		—		257			—			—			257
Net income		—		—		—			3,436			—			3,436
Balance at September 30, 2025		4,084,386	$	2,451	$	51,093		$	(6,541	)	$	(6,053	)	$	40,950

	Common		Common		Additional
	Stock		Stock		Paid-In			Accumulated			Treasury
	Shares		Amount		Capital			Deficit			Stock			Total
Balance at December 31, 2023		3,867,082	$	2,320	$	48,602		$	(24,209	)	$	(5,402	)	$	21,311
Common stock issued under restricted stock units		4,710		3		(3	)		—			—			—
Share-based compensation expense-stock options		—		—		55			—			—			55
Share-based compensation expense-restricted stock units		—		—		121			—			—			121
Treasury shares		—		—		—			—			(651	)		(651	)
Net income		—		—		—			681			—			681
Balance at March 31, 2024		3,871,792		2,323		48,775			(23,528	)		(6,053	)		21,517
Common stock issued under restricted stock units		6,006		4		(4	)		—			—			—
Share-based compensation expense-stock options		—		—		77			—			—			77
Share-based compensation expense-restricted stock units		—		—		148			—			—			148
Net income		—		—		—			1,664			—			1,664
Balance at June 30, 2024		3,877,798		2,327		48,996			(21,864	)		(6,053	)		23,406
Common stock issued under restricted stock units		21,327		12		(12	)		—			—			—
Common stock issued - exercised warrants		6,018		4		(4	)		—			—			—
Share-based compensation expense-stock options		—		—		78			—			—			78
Share-based compensation expense-restricted stock units		—		—		146			—			—			146
Net income		—		—		—			2,357			—			2,357
Balance at September 30, 2024		3,905,143	$	2,343	$	49,204		$	(19,507	)	$	(6,053	)	$	25,987

See Accompanying Notes to Condensed Consolidated Financial Statements.

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BK TECHNOLOGIES CORPORATION

Condensed Consolidated Statements of Cash Flows

(In thousands) (Unaudited)

	Six Months Ended
	Nine Months Ended
	June 30,			June 30,
	September 30,			September 30,
	2025			2024
Operating activities
Net income	$	59,~~873~~309		$	24,~~345~~702
Adjustments to reconcile net income to net cash provided by operating activities:
Inventories allowances		~~150~~871			627
Allowance for credit losses		—			122
Amortization of deferred finance and other assets		—			5075
Deferred tax benefit		(655	)		—
Deferred taxes		168			—
Depreciation and amortization		867			821
Non-cash lease adjustments		(60	)		(49	)
Share-based compensation expense-stock options		244			132
Depreciation and amortization		1,325			1,251
Share-based compensation expense-restricted stock units		574			269
Share-based compensation expense-stock options		624			210
Share-based compensation expense-restricted stock units		831			415
Gain on sale of equipment		—			(2	)
Loss on investments		—			91
Changes in operating assets and liabilities:
Trade accounts receivable		(4,193	)		(3,748	)
Trade accounts receivable, net		(230	)		(1,565	)
Inventories		~~319~~(1,810	)		25,~~355~~251
Prepaid expenses and other current assets		~~610~~757			~~364~~(832	)
Other assets		(2421	)		3435
ROU assets and lease liabilities		(38	)		(30	)
Accounts payable		4,509			(3,931	)
Accounts payable		3,508			(1,037	)
Long-term uncertain tax position liability		1,419			—
Accrued compensation and related taxes		~~(587~~203	)		~~327~~782
Accrued warranty expense		(87158	)		85184
Deferred revenue		(~~634~~43	)		~~944~~1,430
Accrued other expenses and other current liabilities		(1,~~344~~259	)		~~181~~765
Net cash provided by operating activities		616,~~002~~435			38,~~311~~961
Investing activities
Purchases of property, plant, and equipment		(~~519~~878	)		(~~418~~871	)
Capitalized product development cost		(~~946~~1,516	)		(~~430~~751	)
Net cash used in investing activities		(12,~~465~~394	)		(~~848~~1,622	)
Financing activities
Proceeds from common stock issuance		~~241~~355			—
Proceeds from the credit facility and notes payable		—			2846,~~971~~359
Repayment of the credit facility and notes payable		—			(3152,~~909~~981	)
Net cash provided by (used in) financing activities		~~241~~355			(26,~~938~~622	)
Net change in cash and cash equivalents		414,~~778~~396			~~(475~~717	)
Cash and cash equivalents, beginning of period		7,075			3,456
Cash and cash equivalents, end of period	$	1121,~~853~~471		$	24,~~981~~173
Supplemental disclosure
Cash paid for interest	$	—		$	~~339~~357
Non-cash financing activity
Common stock issued under restricted stock units	$	~~148~~732		$	~~108~~376
Cashless exercise of stock options, warrants and related conversion of net shares to stockholders' equity	$	~~138~~146		$	—

See Accompanying Notes to Condensed Consolidated Financial Statements.

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BK TECHNOLOGIES CORPORATION

Notes to Condensed Consolidated Financial Statements

Three and ~~Six~~Nine Months Ended ~~June~~September 30, 2025 and 2024

Unaudited

(In thousands, except share and per share data and percentages or as otherwise noted)

Note 1. Condensed Consolidated Financial Statements

Basis of Presentation

The condensed consolidated balance sheet as of ~~June~~September 30, 2025, the condensed consolidated statements of operations for the three and ~~six~~nine months ended ~~June~~September 30, 2025, and 2024, the condensed consolidated statement of changes in equity for the three and ~~six~~nine months ended ~~June~~September 30, 2025, and 2024, and the condensed consolidated statements of cash flows for the ~~six~~nine months ended ~~June~~September 30, 2025, and 2024, have been prepared by BK Technologies Corporation (the “Company,” “we,” “us,” “our”), and are unaudited but include all adjustments, including normal recurring adjustments, which, in the opinion of management, are necessary to present fairly the Company’s financial position, results of operations, and cash flows for the interim periods presented. The condensed consolidated balance sheet as of December 31, 2024, has been derived from the Company’s audited consolidated financial statements at that date.

These condensed consolidated financial statements have been prepared in accordance with the requirements of Article 8 of Regulation S-X and the instructions to Form 10-Q. Accordingly, certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America have been condensed or omitted. These condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2024, as filed with the Securities and Exchange Commission (“SEC”) on March 27, 2025. The results of operations for the three and ~~six~~nine months ended ~~June~~September 30, 2025, and 2024, are not necessarily indicative of the operating results for a full year.

Principles of Consolidation

The accounts of the Company have been included in the accompanying condensed consolidated financial statements. All significant intercompany balances and transactions have been eliminated in consolidation.

The Company consolidates entities in which it has a controlling financial interest. When the Company does not have a controlling financial interest in an entity but exerts significant influence over the entity’s operating and financial policies (generally defined as owning a voting or economic interest of between 20% to 50%), the Company’s investment is accounted for under the equity method of accounting. If the Company does not have a controlling financial interest in, or exert significant influence over, an entity, the Company accounts for its investment at fair value, if the fair value option was elected or at cost.

Fair Value of Financial Instruments

The Company’s financial instruments consist of cash and cash equivalents, trade accounts receivable, accounts payable, accrued expenses, notes payable, credit facilities, and other liabilities. As of ~~June~~September 30, 2025, and December 31, 2024, the carrying amount of cash and cash equivalents, trade accounts receivable, accounts payable, accrued expenses, notes payable, credit facilities, and other liabilities approximated their respective fair value due to the short-term nature and maturity of these instruments.

Effective September 14, 2022, the Company had an investment in Series B common membership interests of FG Financial Holdings, LLC (“FG Holdings LLC”). The Company recorded the investment according to guidance provided by ASC 820 “Fair Value Measurement,” as the Company did not have a controlling financial interest in, nor exerted significant influence over the activities of FG Holdings LLC. The investment in Series B common membership interests of FG Holdings LLC was reported using the net asset value (“NAV”) of interests held by the Company at period-end. The NAV was calculated using the observable fair value of the underlying stock of Fundamental Global Inc. (Nasdaq: FGF) held by FG Holdings LLC, plus uninvested cash, less liabilities, further adjusted through allocations based on distribution preferences, as defined in the operating agreement of FG Holdings LLC. The NAV was used as a practical expedient and has not been classified within the fair value hierarchy. 7

~~On January~~ Table 25, 2024, the Company redeemed its Series B common membership interests (the “Interests”) in FG Holdings LLC and withdrew from FG Holdings LLC. In exchange for the Interests, the Company received 52,000 shares of the Company’s Common Stock, with an approximate fair value of $650 on the date of the transaction and recorded a realized loss of $91 on the investment during the first quarter of 2024. The shares received by the Company are held as treasury stock, increasing the total number of treasury shares held by the Company to 342,080.Contents

7 Recent Accounting Pronouncements

~~Table~~The Company does not discuss recent pronouncements that are not anticipated to have a material impact on or are unrelated to its financial condition, results of ~~Contents~~ operations, cash flows or disclosures.

~~Recent~~In December 2023, the Financial Accounting ~~Pronouncements~~Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures, which expands the disclosures required for income taxes. This ASU is effective for fiscal years beginning after December 15, 2024, with early adoption permitted. The amendment should be applied on a prospective basis while retrospective application is permitted. The Company will adopt the ASU and will make the applicable disclosure, as required, on its Annual Report Form 10-K for the year ended December 31, 2025. The Company does not expect the adoption of ASU 2023-09 to have a material effect on its consolidated financial statements.

~~The~~In November ~~Company~~2024, the ~~does~~FASB ~~not~~issued ~~discuss~~ASU ~~recent~~2024-03, ~~pronouncements~~Income ~~that~~Statement ~~are~~- ~~not~~Reporting ~~anticipated~~Comprehensive Income - Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses, an accounting standard update to ~~have~~improve aincome ~~material~~statement ~~impact~~expenses ondisclosures. orThe ~~are~~standard ~~unrelated~~requires more detailed information related to ~~its~~the ~~financial~~types ~~condition~~of expenses, including ~~results~~(among other items) the amounts of ~~operations~~purchases of inventory, ~~cash~~employee ~~flows~~compensation, depreciation and intangible asset amortization included within each interim and annual income statement’s expense caption, as applicable. This authoritative guidance can be applied prospectively or ~~disclosures~~retrospectively and will be effective for fiscal years beginning after December 15, 2026, with early adoption permitted. The Company does not expect the adoption of ASU 2024-03 to have a material effect on its consolidated financial statements.

~~In December~~Segment ~~2023, the~~Reporting ~~FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax~~ Disclosures, which expands the disclosures required for income taxes. This ASU is effective for fiscal years beginning after December 15, 2024, with early adoption permitted. The amendment should be applied on a prospective basis while retrospective application is permitted. The Company will adopt the ASU and will make the applicable disclosure, as required, on its Annual Report Form 10-K for the year ended December 31, 2025. The Company does not expect the adoption of ASU 2023-09 to have a material effect on its consolidated financial statements.

~~In November~~The ~~2024, the~~Company ~~FASB~~has ~~issued~~one ~~ASU~~reportable ~~2024-03,~~segment ~~Income Statement~~ - ~~Reporting Comprehensive Income - Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income~~ ~~Statement~~Land ~~Expenses,~~Mobile anRadio ~~accounting standard update to improve income statement expenses disclosures. The standard requires more detailed information related to the types of expenses, including~~ (~~among other items~~LMR) ~~the~~Products ~~amounts of purchases of inventory, employee compensation, depreciation~~ and ~~intangible asset amortization included within each interim and annual income statement’s expense caption, as applicable~~Solutions. This authoritative guidance can be applied prospectively or retrospectively and will be effective for fiscal years beginning after December 15, 2026, with early adoption permitted. The Company is currently evaluating the effect of this pronouncement on its disclosures.

~~Segment~~The ~~Reporting~~LMR ~~Disclosures~~segment provides radio devices that are hand-held (portable) or installed in vehicles (mobile) and operate on private radio systems that are Project 25 ("P25") compliant. The Company derives revenue primarily in North America and manages the business activities on a consolidated basis.

The ~~Company~~LMR ~~has~~radio ~~one~~products ~~reportable~~are ~~segment~~used ~~- Land~~by ~~Mobile~~public ~~Radio~~safety agencies of the federal government, state and local municipality agencies on their P25 compliant radio systems. The radio systems operate on frequencies managed by the Federal Communications Commission (~~LMR~~FCC). ~~Products~~The Company’s chief operating decision maker is the senior executive committee that includes the chief executive officer, chief financial officer, and ~~Solutions~~the chief technology officer.

The ~~LMR~~accounting ~~segment~~policies ~~provides radio~~of ~~devices~~the ~~that~~LMR segment are ~~hand-held~~the ~~(portable)~~same oras ~~installed~~those described in ~~vehicles~~the ~~(mobile)~~summary ~~and~~of significant accounting policies. The chief operating decision maker assesses performance for the LMR ~~operate~~segment onand ~~private~~decides ~~radio~~how ~~systems~~to allocate resources based on net income that ~~are~~also ~~Project~~is 25reported ~~("P25")~~on ~~compliant~~the income statement as consolidated net income. The ~~Company derives~~measure ~~revenue~~of ~~primarily~~segment inassets ~~North~~is ~~America~~reported ~~and~~on ~~manages~~ the ~~business~~balance ~~activities~~sheet onas atotal consolidated ~~basis~~assets.

The ~~LMR~~chief ~~radio~~operating ~~products~~decision ~~are~~maker ~~used~~uses byoperating ~~public~~income ~~safety~~and ~~agencies~~net ofincome to evaluate income generated from segment assets (return on assets) in deciding whether to reinvest profits into the ~~federal~~LMR segment ~~government~~or into other parts of the entity, ~~state~~the ~~and~~development ~~local~~of ~~municipality~~public ~~P25~~safety ~~compliant~~applications ~~radio~~utilizing cellular ~~systems. The~~technology ~~radio~~or ~~systems~~for ~~operate~~acquisitions. onNet ~~frequencies~~income ~~managed~~is byused ~~the~~to ~~Federal~~monitor ~~Communications~~budget ~~Commission~~versus ~~(FCC)~~actual results. The ~~Company’s~~ chief operating decision maker isalso uses net income in competitive analysis by benchmarking to the Company’s ~~senior~~competitors. ~~executive~~The ~~committee~~competitive ~~that~~analysis ~~includes~~along with the ~~chief~~monitoring ~~technology officer,~~of ~~chief~~budgeted ~~financial~~versus ~~officer,~~actual ~~and~~results are used in assessing performance of the ~~chief~~segment ~~executive~~and ~~officer~~in establishing management’s compensation.

The accounting policies of the LMR segment are the same as those described in the summary of significant accounting policies. The chief operating decision maker assesses performance for the LMR segment and decides how to allocate resources based on net income that also is reported on the income statement as consolidated net income. The measure of segment assets is reported on the balance sheet as total consolidated assets. 8

~~The~~ Table chief operating decision maker uses operating income and net income to evaluate income generated from segment assets (return on assets) in deciding whether to reinvest profits into the LMR segment or into other parts of the entity, the development of public safety applications utilizing cellular technology or for acquisitions. Net income is used to monitor budget versus actual results. The chief operating decision maker also uses net income in competitive analysis by benchmarking to the Company’s competitors. The competitive analysis along with the monitoring of budgeted versus actual results are used in assessing performance of the segment and in establishing management’s compensation.Contents

8 The table below summarizes the significant categories regularly reviewed by the chief operating decision maker for the three and nine months ended September 30, 2025, and 2024, respectively:

Table of Contents

	*Three Months Ended*						*Nine Months Ended*
	*September 30, 2025*			*September 30, 2024*			*September 30, 2025*			*September 30, 2024*
Sales, net	$	24,411		$	20,179		$	64,630		$	58,664
Cost of products		12,222			12,343			33,453			36,993
Gross margin		12,189			7,836			31,177			21,671

Engineering and product development		2,771			1,861			7,805			5,922
Marketing and selling		2,130			1,459			5,910			4,617
General and administrative		2,443			1,905			5,704			5,513
Selling, general and administrative expenses		7,344			5,225			19,419			16,052
Operating income		4,845			2,611			11,758			5,619

Other income (expense) (a)		43			(7	)		(52	)		(338	)
Segment net income	$	4,888		$	2,604		$	11,706		$	5,281

Reconciliation of profit
Adjustments and reconciling item
Loss on investments		-			-			-			(91	)
Income tax expense		(1,452	)		(247	)		(2,397	)		(488	)
Consolidated net income	$	3,436		$	2,357		$	9,309		$	4,702

~~The~~(a) ~~table~~Other ~~below~~segment ~~summarizes~~items ~~the~~include ~~significant~~interest ~~categories~~income ~~regularly~~(expense) ~~reviewed by the chief operating decision maker for the three~~ and ~~six~~foreign ~~months ended June 30,~~currency ~~2025,~~exchange ~~and 2024, respectively:~~gains/losses

	Three Months Ended						Six Months Ended
	06/30/2025			06/30/2024			06/30/2025			06/30/2024
Sales, net	$	21,165		$	20,254		$	40,219		$	38,485
Cost of products		11,130			12,707			21,234			24,650
Gross margin		10,035			7,547			18,985			13,835
Engineering and product development		2,306			1,984			5,033			4,061
Marketing and selling		1,941			1,706			3,781			3,230
General and administrative		1,791			1,832			3,258			3,536
Selling, general and administrative expenses		6,038			5,522			12,072			10,827
Operating income		3,997			2,025			6,913			3,008
Other (expense) income (a)		19			(141	)		(95	)		(331	)
Income tax (expense) benefit		(275	)		(220	)		(945	)		(241	)
Segment net income	$	3,741		$	1,664		$	5,873		$	2,436
Reconciliation of profit
Adjustments and reconciling item
Loss on investments		-			-			-			(91	)
Consolidated net income	$	3,741		$	1,664		$	5,873		$	2,345

Note 2. Significant Events and Transactions

~~Note~~As 2we continue through 2025 the Solutions product group will continue to expand to include public safety solutions that provide for improved interoperability which will make the first responder safer and more efficient when operating in the field. The ~~Significant~~new ~~Events~~Solutions product group will also continue to build a portfolio of solutions under a new brand, BK ONE. BK ONE includes SaaS solutions such as InteropONE as well as future software and ~~Transactions~~hardware applications.

AsOn October we30, ~~continue~~2024, toa ~~move~~wholly ~~forward~~owned ~~into~~subsidiary ~~2025~~of the ~~Solutions~~Company ~~business~~entered ~~unit~~into ~~will~~a ~~continue~~new tocredit ~~expand~~facility towith ~~include~~Fifth ~~public~~Third ~~safety~~Bank, ~~solutions~~National ~~that~~Association, ~~provide~~which provides for ~~improved~~a ~~interoperability~~one-year ~~which~~revolving ~~will~~line ~~make~~of ~~the~~credit ~~first~~with ~~responder~~a ~~safer~~maximum ~~and more~~commitment ~~efficient~~of ~~when~~$6,000, ~~operating~~with inan ~~the~~accordion ~~field. The~~feature, ~~new~~if ~~Solutions~~certain ~~business~~conditions ~~will~~are ~~also~~met, ~~continue~~for up to ~~build~~ a ~~portfolio~~maximum commitment of ~~solutions under a new brand~~$10, ~~BK ONE~~000. BK ~~ONE~~For ~~includes~~additional ~~SaaS~~information, ~~solutions~~see ~~such~~Note as10 of ~~InteropONE~~the ascondensed ~~well~~consolidated asfinancial ~~future software and hardware applications~~statements.

On October 30, 2024, a wholly owned subsidiary of the Company entered into a new credit facility with Fifth Third Bank, National Association, which provides for a one-year revolving line of credit with a maximum commitment of $6 million, with an accordion feature, if certain conditions are met, for up to a maximum commitment of $10 million. For additional information, see Note 10 of the consolidated financial statements. 9

. Table of Contents

9 Note 3. Allowance for Credit Losses

~~Table~~The allowance for credit losses on trade receivables was approximately $50 on gross trade receivables of ~~Contents~~ $7,629 and $7,399 as of September 30, 2025, and December 31, 2024, respectively. The measurement and recognition of credit losses involves the use of judgment and represents management’s estimate of expected lifetime credit losses based on historical experience and trends, current conditions, and forecasts. The Company’s assessment of expected credit losses includes consideration of historical credit loss experience, the aging of account balances, customer concentrations, customer creditworthiness, and current and expected economic, market and industry factors affecting the Company’s customers, including their financial condition. The Company evaluates its experience with historical losses and then applies this historical loss ratio to financial assets with similar characteristics. The Company may also establish an allowance for credit losses for specific receivables when it is probable that the receivable will not be collected and the loss can be reasonably estimated. If the Company’s actual collections experience changes, revisions to the allowance may be required. Amounts are written off against the allowance when all attempts to collect a receivable have failed, and reversals of previously reserved amounts are recognized if a specifically reserved item is settled for an amount exceeding the previous estimate. Based on information available, management believes the allowance for credit losses as of September 30, 2025 and December 31, 2024 is adequate.

Note 34. ~~Allowance~~Inventories, ~~for Credit Losses~~Net

~~The allowance for credit losses on trade receivables was approximately $50 on gross trade receivables of $11~~Inventories,~~592~~ ~~and~~which ~~$7,399 as~~are ~~of June~~presented ~~30,~~net ~~2025, and December 31, 2024, respectively. The measurement and recognition~~ of credit losses involves the use of judgment and represents management’s estimate of expected lifetime credit losses based on historical experience and trends, current conditions, and forecasts. The Company’s assessment of expected credit losses includes consideration of historical credit loss experience, the aging of account balances, customer concentrations, customer creditworthiness, and current and expected economic, market and industry factors affecting the Company’s customers, including their financial condition. The Company evaluates its experience with historical losses and then applies this historical loss ratio to financial assets with similar characteristics. The Company may also establish an allowance for ~~credit~~slow ~~losses for specific receivables when it is probable that the receivable will not be collected and the loss can be reasonably estimated. If the Company’s actual collections experience changes~~moving, ~~revisions to the allowance may be required. Amounts are written off against the allowance when all attempts to collect a receivable have failed~~excess, and ~~reversals~~obsolete ~~of previously reserved amounts are recognized if a specifically reserved item is settled for an amount exceeding the previous estimate. Based on information available~~inventory, ~~management~~consisted ~~believes~~of the ~~allowance for credit losses as of June 30, 2025 and December 31, 2024 is adequate.~~following:

Note 4. Inventories, Net

	*September 30, 2025*			December 31, 2024
Finished goods	$	7,771		$	3,428
Work in process		3,177			4,610
Raw materials		8,942			11,292
		19,890			19,330
Inventory reserve		(1,315	)		(1,694	)
	$	18,575		$	17,636

~~Inventories~~Allowances for slow-moving, ~~which~~excess, or obsolete inventory are ~~presented~~used ~~net~~to state the Company’s inventories at the lower of ~~allowance~~cost ~~for~~or ~~slow~~net ~~moving,~~realizable ~~excess~~value. The allowances were approximately $1,315 and ~~obsolete inventory~~$1,694 ~~consisted~~as of September ~~the~~30, ~~following:~~2025 and December 31, 2024.

	June 30, 2025			December 31, 2024
Finished goods	$	5,635		$	3,428
Work in process		3,587			4,610
Raw materials		9,639			11,292
		18,861			19,330
Inventory reserve		(1,694	)		(1,694	)
	$	17,167		$	17,636

Note 5. Income Taxes

~~Allowances~~ For ~~for~~the ~~slow-moving~~three and nine months ended September 30, ~~excess~~2025, orthe ~~obsolete~~Company ~~inventory~~recorded ~~are~~an ~~used~~income totax ~~state~~expense ~~the~~of $1,452 and $2,397, respectively, resulting in an effective tax rate of 20.47%. The Company’'s ~~inventories~~taxable atincome is generated in the ~~lower~~United ofStates ~~cost~~and ortaxed ~~net~~at ~~realizable~~a ~~value~~federal and state statutory rate of 26.72%. ~~The~~Relative ~~allowances~~to ~~were~~the ~~approximately~~federal $1and state statutory rate,~~694~~ asthe ofeffective tax rate for the nine months ended ~~June~~September 30, 2025, was reduced by the tax impact of research and ~~December~~ ~~31,~~development ~~2024~~tax credits and carryforwards.

~~Note~~ For 5the three and nine months ended September 30, 2024, the Company recorded an income tax expense of $247 and $488, respectively. The ~~Income~~effective ~~Taxes~~tax rate for the nine months ended September 30, 2024, was 9.32%. Relative to the federal and state statutory rate, the effective tax rate for the nine months ended September 30, 2024, was primarily impacted by the tax benefit for research and development tax credits for 2024 as compared to projected income before tax.

For the three and six months ended June 30, 2025, the Company recorded an income tax expense of $275 and $945, respectively, resulting in an effective tax rate of 13.86%. The Company's taxable income is generated in the United Sates and taxed at a federal and state statutory rate of 26.72%. Relative to the federal and state statutory rate, the effective tax rate for the six months ended June 30, 2025, was reduced by the tax impact of research and development tax credits. 10

~~For~~ Table ~~the three and six months ended June 30, 2024, the Company recorded an income tax expense~~ of $220 and $241, respectively. The effective tax rate for the six months ended June 30, 2024, was 9.32%. Relative to the federal and state statutory rate, the effective tax rate for the six months ended June 30, 2024, was primarily impacted by the tax benefit for research and development tax credits for 2024 as compared to projected income before tax.Contents

10 Note 5. Income Taxes (continued)

~~Table~~ Based on our analysis of ~~Contents~~ all available evidence, both positive and negative, we have concluded that, except for the capital loss carryforward of approximately $0.8 million, we will have the ability to generate sufficient taxable income in the necessary period to utilize the entire benefit for the deferred tax assets. Accordingly, we recorded a decrease in the valuation allowance of approximately $1.4 million as of September 30, 2025. We cannot presently estimate what, if any, changes to the valuation of our deferred tax assets may be deemed appropriate in the future. If we incur future losses, it may be necessary to record additional valuation allowance related to the deferred tax assets recognized as of September 30, 2025.

~~Note~~Should 5the factors underlying management’s analysis change, future valuation adjustments to the Company’s net deferred tax assets may be necessary. ~~Income~~If ~~Taxes~~future ~~(continued)~~losses are incurred, it may be necessary to record an additional valuation allowance related to the Company’s net deferred tax assets recorded as of September 30, 2025. The Company cannot presently estimate what, if any, changes to the valuation of its deferred tax assets may be deemed appropriate in the future.

~~Based~~The onCompany ~~our~~performed ~~analysis~~a ofcomprehensive ~~all~~review ~~available~~of ~~evidence,~~its ~~both~~portfolio ~~positive and negative, we have concluded that, except for the capital loss carryforward~~ of ~~approximately~~uncertain ~~$0.8~~tax ~~million, we~~positions ~~will have the ability to generate sufficient taxable income~~ in ~~the~~accordance ~~necessary~~with ~~period~~recognition tostandards ~~utilize~~established ~~the~~by ~~entire~~GAAP. ~~benefit~~In ~~for~~this ~~the deferred tax assets. Accordingly~~regard, wean ~~recorded~~uncertain atax ~~decrease~~position inrepresents the ~~valuation~~Company’s ~~allowance~~expected oftreatment ~~approximately $1.4 million as~~ of ~~June~~ ~~30,~~a ~~2025.~~tax Weposition ~~cannot~~taken ~~presently~~in ~~estimate~~a ~~what,~~filed iftax ~~any,~~return ~~changes~~or planned to ~~the valuation of our deferred tax assets may~~ be ~~deemed~~taken ~~appropriate~~ in ~~the~~a future. Iftax wereturn ~~incur~~that ~~future~~has ~~losses,~~not ~~it may~~been bereflected ~~necessary~~in tomeasuring ~~record~~income ~~additional valuation allowance related to the deferred~~ tax ~~assets~~expense ~~recognized~~for asfinancial ~~of June~~reporting ~~30, 2025~~purposes.

~~Should~~On July 4, 2025, the ~~factors~~U.S. ~~underlying~~government ~~management’s~~enacted ~~analysis~~The ~~change,~~One ~~future~~Beautiful ~~valuation~~Bill ~~adjustments~~Act toof ~~the~~2025, ~~Company’s~~(known ~~net~~as ~~deferred~~the ~~tax~~"One ~~assets may~~Big beBeautiful ~~necessary.~~Bill IfAct ~~future~~or ~~losses~~"OBBBA") ~~are~~which ~~incurred,~~includes ~~it may~~provisions besuch ~~necessary~~as tothe ~~record~~extension anof ~~additional~~certain ~~valuation~~expiring ~~allowance~~tax ~~related~~provisions tofrom the ~~Company’s~~2017 ~~net~~Tax ~~deferred~~Cuts ~~tax~~and ~~assets~~Jobs ~~recorded~~Act, asreinstatement of ~~June~~ ~~30,~~immediate ~~2025.~~expensing ~~The~~of ~~Company cannot~~qualifying ~~presently~~business ~~estimate what~~property, iffull ~~any~~expensing of domestic research and experimental expenditures, and changes to interest expense limitations.. The Company is currently evaluating the ~~valuation~~impact of ~~its~~the ~~deferred~~new ~~tax~~legislation ~~assets may~~but bedoes ~~deemed~~not ~~appropriate~~expect init to have a material impact to the ~~future~~financial statements.

~~The~~Note ~~Company performed a comprehensive review of its portfolio of uncertain tax positions in accordance with recognition standards established by GAAP~~6. InCapitalized ~~this~~Product ~~regard,~~Development an uncertain tax position represents the Company’s expected treatment of a tax position taken in a filed tax return or planned to be taken in a future tax return that has not been reflected in measuring income tax expense for financial reporting purposes.Costs

~~On July~~The 4,Company ~~2025,~~accounts for the ~~U.S.~~costs ~~government~~of ~~enacted~~Land ~~The~~Mobile ~~One~~Radio ~~Beautiful~~(LMR) ~~Bill~~multi-band ~~Act~~development ofwithin ~~2025,~~its ~~(known~~products asin ~~the~~accordance ~~"One~~with ~~Big~~ASC ~~Beautiful~~Topic ~~Bill~~350-30, ~~Act~~“ orIntangibles ~~"OBBBA")~~– Goodwill and Other,” under which ~~makes~~certain ~~permanent~~LMR ~~many~~multi-band ofradio development costs incurred subsequent to the ~~tax~~establishment ~~provisions~~of ~~enacted~~technological infeasibility ~~2017~~are ascapitalized ~~part~~and amortized over the estimated lives of the ~~Tax~~related ~~Cuts~~products. ~~and~~The ~~Jobs~~Company ~~Act~~determined ~~that~~technological ~~were~~feasibility ~~set~~was toestablished ~~expire~~for atmulti-band LMR radio products by the ~~end~~introduction of ~~2025. In~~the ~~addition,~~BKR ~~the~~9000 ~~OBBBA~~multi-band ~~makes~~portable ~~changes~~product to ~~certain~~the Umarket in June 2023, as specified by Topic 350-30.S. ~~corporate~~Upon ~~tax~~the ~~provisions~~general release of the LMR multi-band mobile radio product currently in development to customers, ~~but~~development ~~many~~costs ~~are~~for ~~generally~~that ~~not~~product ~~effective~~will ~~until~~be ~~2026. The~~amortized ~~Company~~over isperiods ~~currently~~not ~~evaluating~~exceeding ~~the~~ten ~~impact~~years, based on future revenue of the ~~new~~product. ~~legislation~~Capitalized ~~but~~product ~~does~~development ~~not~~costs ~~expect~~were it$570 toand ~~have~~$1,516 afor ~~material~~the ~~impact~~three onand nine months ended September 30, 2025 and $321 and $751 for the ~~results~~three ofand ~~operations~~nine months ended September 30, 2024, respectively.

~~Note 6. Capitalized Product Development Costs~~ 11

~~The~~ Table ~~Company accounts for the costs~~ of Land Mobile Radio (LMR) multi-band development within its products in accordance with ASC Topic 350-30, “ Intangibles – Goodwill and Other,” under which certain LMR multi-band radio development costs incurred subsequent to the establishment of technological feasibility are capitalized and amortized over the estimated lives of the related products. The Company determined technological feasibility was established for multi-band LMR radio products by the introduction of the BKR 9000 multi-band portable product to the market in June 2023, as specified by Topic 350-30. Upon the general release of the LMR multi-band mobile radio product currently in development to customers, development costs for that product will be amortized over periods not exceeding ten years, based on future revenue of the product. Capitalized product development costs were $506 and $946 for the three and six months ended June 30, 2025 and $283 and $430 for the three and six months ended June 30, 2024, respectively.Contents

11 Note 7. Earnings Per Share

~~Table~~The following table sets forth the computation of ~~Contents~~ basic and diluted earnings per share:

Note 7. Income Per Share

	*Three Months Ended*				*Nine Months Ended*
	*September 30, 2025*		September 30, 2024		*September 30, 2025*		September 30, 2024
Numerator:
Net income for basic and diluted earnings per share	$	3,436	$	2,357	$	9,309	$	4,702
Denominator for basic earnings per share weighted average shares		3,708,717		3,539,841		3,643,097		3,536,100
Effect of dilutive securities:
Options, restricted stock units, and warrants		242,716		211,232		270,051		87,141
Denominator for diluted earnings per share weighted average shares		3,951,433		3,751,073		3,913,148		3,623,241
Basic earnings per share	$	0.93	$	0.67	$	2.56	$	1.33
Diluted earnings per share	$	0.87	$	0.63	$	2.38	$	1.30

~~The~~Approximately ~~following~~184,627 ~~table~~stock ~~sets~~options ~~forth~~and 54,189 restricted stock units for the ~~computation~~three ofand ~~basic~~nine months ended September 30, 2025, and ~~diluted~~approximately ~~income~~21,700 ~~per~~stock ~~share:~~options and 20,435 restricted stock units for the three months and nine months ended September 30, 2024, were excluded from the calculation because they were anti-dilutive.

	Three Months Ended				Six Months Ended
	June 30, 2025		June 30, 2024		June 30, 2025		June 30, 2024
Numerator:
Net income for basic and diluted earnings per share	$	3,741	$	1,664	$	5,873	$	2,345
Denominator for basic income per share weighted average shares		3,646,503		3,529,910		3,609,744		3,534,209
Effect of dilutive securities:
Options, restricted stock units, and warrants		246,870		34,260		283,718		25,096
Denominator for diluted income per share weighted average shares		3,893,373		3,564,170		3,893,462		3,559,305
Basic income per share	$	1.03	$	0.47	$	1.63	$	0.66
Diluted income per share	$	0.96	$	0.47	$	1.51	$	0.66

~~Approximately~~ Table ~~168,579 stock~~of option and 5,739 restricted stock units for the three and six months ended June 30, 2025, and approximately 137,600 stock options and 35,682 restricted stock units for the three months and six months ended June 30, 2024, were excluded from the calculation because they were anti-dilutive. Contents

12 Note 8. Non-Cash Share-Based Employee Compensation

~~Table~~The Company’s stockholders approved the BK Technologies Corporation 2025 Incentive Compensation Plan (the “2025 Plan”) at the 2025 Annual Meeting of ~~Contents~~ Stockholders of the Company (the “Annual Meeting”) held on June 18, 2025. The 2025 Plan was previously approved by the Company’s Board of Directors (the “Board”). The 2025 Plan replaces the 2017 Incentive Compensation Plan (the “Prior Plan”). No new awards will be granted under the Prior Plan after the date of the Annual Meeting. However, all awards granted under the Prior Plan that were outstanding on the date of the Annual Meeting will remain outstanding in accordance with their terms. The 2025 Plan authorizes the grant of equity-based and cash-based compensation awards to officers, directors, and employees of, and consultants to, the Company and its subsidiaries. Awards under the 2025 Plan may be granted in the form of stock options, stock appreciation rights, restricted shares, restricted share units, other share-based awards, and cash-based awards. There are 500,000 shares of the Company’s common stock reserved for issuance under the 2025 Plan. No awards may be granted under the 2025 Plan after March 11, 2035.

~~Note~~The 8.stockholders ~~Non-Cash~~of ~~Share-Based~~the Company also approved the BK Technologies Corporation Employee ~~Compensation~~Stock Purchase Plan (the “ESPP”) at the Annual Meeting held on June 18, 2025. The ESPP was previously approved by the Board. The objective of the ESPP is to offer eligible employees of the Company and its designated subsidiaries the ability to purchase shares of the Company’s common stock at a discount, subject to various limitations under the ESPP. There are 150,000 shares of the Company’s common stock authorized for issuance under the ESPP.

~~The~~Stock Company’s stockholders approved the BK Technologies Corporation 2025 Incentive Compensation Plan (the “2025 Plan”) at the 2025 Annual Meeting of Stockholders of the Company (the “Annual Meeting”) held on June 18, 2025. The 2025 Plan was previously approved by the Company’s Board of Directors (the “Board”). The 2025 Plan replaces the 2017 Incentive Compensation Plan (the “Prior Plan”). No new awards will be granted under the Prior Plan after the date of the Annual Meeting. However, all awards granted under the Prior Plan that were outstanding on the date of the Annual Meeting will remain outstanding in accordance with their terms. The 2025 Plan authorizes the grant of equity-based and cash-based compensation awards to officers, directors, and employees of, and consultants to, the Company and its subsidiaries. Awards under the 2025 Plan may be granted in the form of stock options, stock appreciation rights, restricted shares, restricted share units, other share-based awards, and cash-based awards. There are 500,000 shares of the Company’s common stock reserved for issuance under the 2025 Plan. No awards may be granted under the 2025 Plan after March 11, 2035.Options

The ~~stockholders~~Company ofhas ~~the~~employee ~~Company~~and ~~also~~non-employee ~~approved~~director ~~the~~share-based BKincentive ~~Technologies~~compensation ~~Corporation~~plans. ~~Employee~~Related ~~Stock~~to ~~Purchase~~these ~~Plan~~programs, (the ~~“ESPP”)~~Company atrecorded ~~the~~non-cash ~~Annual~~share-based ~~Meeting~~employee ~~held~~compensation ~~on June~~expense ~~18,~~of ~~2025.~~$380 ~~The~~and ~~ESPP~~$624 ~~was~~for ~~previously~~the ~~approved~~three byand ~~the~~nine ~~Board.~~months ~~The~~ended September ~~objective~~30, of2025, compared ~~the~~with ~~ESPP~~$78 isand to$210 ~~offer~~for the ~~eligible~~same ~~employees~~periods oflast ~~the~~year, respectively. The Company ~~and~~considers its ~~designated~~non-cash ~~subsidiaries~~share-based ~~the~~employee ~~ability~~compensation toexpenses ~~purchase~~as ~~shares~~a component of ~~the~~cost ~~Company’s~~of ~~common~~products ~~stock~~and ~~at a discount~~selling, ~~subject~~general toand ~~various~~administrative ~~limitations~~expenses. ~~under~~There ~~the~~was ~~ESPP.~~no ~~There~~non-cash ~~are~~share-based ~~150,000~~employee ~~shares~~compensation ofexpense ~~the~~capitalized ~~Company’s~~as ~~common~~part ~~stock~~of ~~authorized~~capital ~~for~~expenditures ~~issuance~~or ~~under~~inventory for the ~~ESPP~~periods presented.

~~Stock~~On July ~~Options~~10, 2025, the Company approved the grant of performance-based stock options for certain executives. The options provide the executives with the option to purchase up to an aggregate of 162,566 shares of the Company's common stock, with an exercise price of $42.81 per share and will vest based on whether certain common share prices are achieved over a five-year period ending on July 10, 2030.

The Company ~~has~~uses ~~employee~~the ~~and non~~Black-~~employee~~Scholes-Merton ~~director~~and ~~share-based~~Monte ~~incentive~~Carlo ~~compensation~~simulation ~~plans.~~option ~~Related~~valuation models to ~~these~~calculate ~~programs,~~ the ~~Company~~fair ~~recorded~~value of stock option grants. The non-cash share-based employee compensation expense ofrecorded ~~$126~~in ~~and $244 for~~ the three and ~~six~~nine months ended ~~June~~September 30, 2025, ~~compared~~ ~~with~~was ~~$77~~calculated ~~and~~using ~~$132~~certain ~~for the~~assumptions. ~~same~~Such ~~periods~~assumptions ~~last~~are ~~year,~~described ~~respectively.~~more ~~The~~comprehensively ~~Company~~in ~~considers~~Note ~~its non~~11 (Share-~~cash~~Based ~~share-based~~Compensation) ~~employee~~of ~~compensation~~the ~~expenses~~Notes asto athe ~~component~~Company’s ofconsolidated ~~cost~~financial ofstatements ~~products~~included ~~and~~in ~~selling,~~its ~~general~~Annual ~~and~~Report ~~administrative~~on ~~expenses.~~Form ~~There was no non~~10-~~cash~~K ~~share-based~~for ~~employee~~the ~~compensation~~fiscal ~~expense~~year ~~capitalized~~ended December as31, ~~part of capital expenditures or inventory for the periods presented~~2024.

~~The~~A ~~Company~~summary ~~uses~~of ~~the~~activity ~~Black-Scholes-Merton~~under ~~option valuation model to calculate~~ the ~~fair~~Company’s ~~value of~~ stock option ~~grants~~plans ~~under~~during ~~this plan. The non-cash share-based employee compensation expense recorded in~~ the ~~three~~nine ~~and six~~ months ended ~~June~~September 30, 2025, ~~was~~is ~~calculated~~presented using certain assumptions. Such assumptions are described more comprehensively in Note 11 (Share-Based Employee Compensation) of the Notes to the Company’s consolidated financial statements included in its Annual Report on Form 10-K for the fiscal year ended December 31, 2024.below:

A summary of activity under the Company’s stock option plans during the six months ended June 30, 2025, is presented below:

				*Wgt. Avg.*		*Wgt. Avg.*		*Wgt. Avg.*
				*Exercise*		*Remaining*		*Grant Date*		*Aggregate*
	*Stock*			*Price ($)*		*Contractual*		*Fair Value*		*Intrinsic*
As of January 1, 2025	*Options*			*Per Share*		*Life (Years)*		*($) Per Share*		*Value (000s)*
Outstanding		285,100			13.65		7.72		6.39		5,885
Vested		109,840			15.23		6.25		5.46		2,094
Nonvested		175,260			12.66		8.63		6.97		3,791

Period activity
Issued		222,944			41.65		9.69		25.11		—
Exercised		(25,281	)		14.08		—		6.30		891
Forfeited		(11,070	)		19.98		—		12.09		261
Expired		(4,380	)		14.72		—		5.97		151

As of September 30, 2025
Outstanding		467,313			26.83		8.27		15.19		26,943
Vested		136,436			18.14		9.03		8.55		9,052
Nonvested		330,877			30.41		9.03		17.93		17,891

			Wgt. Avg.		Wgt. Avg.		Wgt. Avg.
			Exercise		Remaining		Grant Date		Aggregate
	Stock		Price ($)		Contractual		Fair Value		Intrinsic
As of January 1, 2025	Options		Per Share		Life (Years)		($) Per Share		Value (000s)
Outstanding		285,100		13.65		7.72		6.39		5,885
Vested		109,840		15.23		6.25		5.46		2,094
Nonvested		175,260		12.66		8.63		6.97		3,791
Period activity
Issued		53,428		34.62		9.15		26.92		—
Exercised		18,110		13.37		—		6.41		555
Forfeited		7,880		18.17		—		10.66		180
Expired		2,220		15.49		—		5.99		40
As of June 30, 2025
Outstanding		310,318		16.57		7.50		16.57		9,179
Vested		120,090		14.88		6.03		5.75		3,873
Nonvested		190,228		17.69		8.48		12.38		5,625

Restricted Stock Units

On August 6, 2025, the Company issued 39,250 shares of common stock related to Restricted Stock ~~Units~~Unit (RSU) grants issued in 2023. The RSU grants included performance vesting criteria for certain Engineering employees, upon achieving $20 million revenues related to sales of the BKR9000 multi-band portable radio product. The shares were issued at the August 6, 2025, closing price of $38.27, for a total non-cash stock compensation expense of approximately $1.5 million.

The Company recorded non-cash restricted stock unit compensation expense of $~~299~~257 and $~~574~~831 for the three and ~~six~~nine months ended ~~June~~September 30, 2025, compared with $~~148~~146 and $~~269~~415 for the same periods last year, respectively.

A summary of non-vested restricted stock under the Company’s non-employee director share-based incentive compensation plan is as follows:

				Weighted Average
	Number of			Grant Date
	Shares			Price per Share
Unvested as of January 1, 2025		44,546		$	12.99
Granted		4547,~~789~~132			2423.3499
Vested and issued		(1355,~~475~~015	)		1213.2661
Cancelled/forfeited		—			—
Unvested as of June 30, 2025		76,860		$	19.88
Unvested as of September 30, 2025		36,663		$	26.19

Table of Contents

Note 9. Commitments and Contingencies

Legal Matters

From time to time, the Company may be involved in various claims and legal actions arising in the ordinary course of its business. We assess our liabilities and contingencies in connection with outstanding legal proceedings utilizing the latest information available. Where it is probable that we will incur a loss and the amount of the loss can be reasonably estimated, we record a liability in our consolidated financial statements. These legal accruals may be increased or decreased to reflect any relevant developments on a quarterly basis. Where a loss is not probable or the amount of the loss is not estimable, we do not record an accrual, consistent with applicable accounting guidance. In the opinion of management, while the outcome of such claims and disputes cannot be predicted with certainty, our ultimate liability in connection with these matters is not expected to have a material adverse effect on our results of operations, financial position or cash flows, and the amounts accrued for any individual matter are not material. However, legal proceedings are inherently uncertain. As a result, the outcome of a particular matter or a combination of matters may be material to our results of operations for a particular period, depending upon the size of the loss or our income for that particular period.

Purchase Commitments

As of ~~June~~September 30, 2025, the Company had purchase commitments for inventory totaling approximately $125,~~115~~369, which are expected to be satisfied in the ~~third~~fourth quarter of 2025.

Significant Customers

~~Sales~~The tofollowing ~~United~~table ~~States~~summarizes ~~government~~customer ~~agencies~~concentration ~~represented approximately 12.0% and 11.5%~~ of ~~the~~ ~~Company’s~~ net total sales for the three and six months ended June 30, 2025, respectively, compared with approximately 30.4% and 41.5% for the same periods last year, respectively. Accounts receivable from agencies of the United States government were 2% of accounts receivable at of June 30, 2025, compared with approximately 17.4% at the same date last year. In addition, two commercial customers accounted for approximately 24.8% and 26.6% of net sales for the three and six months ended June 30, 2025, respectively. There were no commercial customers accounting for more than 10% of net sales for the same periods last year. Three commercial customers accounted for approximately 45.1% of accounts receivable at June 30, 2025, compared to approximately 39.1% of accounts receivable at June 30, 2024. revenues

Geopolitical Tensions

	Three Months Ended						Nine Months Ended
	September 30, 2025			September 30, 2024			September 30, 2025			September 30, 2024
Revenue as a percent of total revenue
United States government agencies		50.7	%		39.1	%		26.3	%		40.7	%
Customer A		26.2	%		14.1	%		-			-
Customer B		-			-			13.3	%		10.3	%

~~U.S.~~The ~~and global markets are experiencing volatility and disruption~~ following ~~the~~table ~~escalation~~summarizes ofcustomer ~~geopolitical~~concentration ~~tensions and the military conflict between Russia and Ukraine and in the Middle East. Although the length and impact~~ of the ongoing military conflicts is highly unpredictable, the conflict in both of these regions could lead to market disruptions, including significant volatility in commodity prices, credit and capital markets, as well as supply chain interruptions.receivables

Note 10. Debt

	September 30, 2025			September 30, 2024
Receivables as a percent of total receivables
United States government agencies		29.8	%		21.3	%
Customer A		21.2	%		-
Customer B and C		-			30.7	%

~~Credit~~Geopolitical ~~Facilities~~Tensions

~~On October 30, 2024, the Company's~~ ~~subsidiary, BK Technologies, Inc~~U. ~~entered into a Revolving Loan Commitment (“RLC”) with Fifth Third Bank, National Association (“Fifth Third”)~~S. ~~The~~and ~~Fifth~~global ~~Third~~markets ~~RLC provides for a one-year revolving line of credit with a maximum commitment of $6,000, with an accordion feature, if certain conditions~~ are ~~met,~~experiencing ~~for~~volatility upand todisruption anfollowing ~~additional $4,000 of borrowing capacity, totaling a maximum commitment of $10,000. Each advance shall accrue interest on~~ the ~~outstanding~~escalation ~~principal amount thereof at a rate~~ of ~~SOFR~~geopolitical ~~plus~~tensions ~~2.5% per annum. Each advance may be prepaid at any time without penalty~~ and the ~~entire~~military ~~line~~conflict ofbetween ~~credit~~Russia ~~commitment may~~and beUkraine ~~permanently~~and ~~terminated~~in ~~by BK Technologies, Inc. at any time upon 10 days’ prior written notice to~~ the ~~lender~~Middle ~~without penalty~~East. ~~The~~ ~~RLC~~Although ~~has a borrowing base equal to~~ the ~~sum~~length ofand ~~(i) 80%~~impact of ~~eligible~~the ~~commercial~~ongoing ~~accounts~~military ~~receivable,~~conflicts ~~plus~~is ~~(ii) 50%~~highly ~~of federal government accounts receivable~~unpredictable, ~~plus (iii)~~ the ~~lesser~~conflict ofin ~~(a)~~both ~~the sum~~ of ~~(i)~~these ~~and~~regions ~~(ii)~~could ~~and~~lead ~~(b) 50%~~to ofmarket ~~eligible~~disruptions, ~~finished~~including ~~goods~~significant ~~inventory. The~~volatility ~~Company~~in ~~has~~commodity ~~not~~prices, ~~utilized funding~~credit and ~~there~~capital ~~were~~markets, ~~no borrowings under the RLC agreement~~ as ~~of June 30,~~well ~~2025, and~~ as ofsupply ~~the~~chain ~~date of filing this report~~interruptions.

14 Macroeconomic Trends

~~Table~~The Company continues to monitor the impacts of ~~Contents~~ various macroeconomic trends, such as inflationary pressure, changes in monetary policy, decreasing consumer confidence and spending, the introduction of or changes in tariffs or trade barriers, the impact of the ongoing U.S. federal government shutdown and global or local recession. Such changes in domestic and global macroeconomic conditions may lead to increased costs for the business. Additionally, these macroeconomic trends could adversely affect the Company’s customers, which could impact their willingness to spend on the Company’s products and services, or their ability to make payments, which could harm the collection of accounts receivable and financial results. The world’s financial markets remain susceptible to significant stresses, resulting in reductions in available credit and government spending, economic downturn or stagnation, foreign currency fluctuations and volatility in the valuations of securities generally. As a result, the Company’s ability to access capital markets and other funding sources in the future may not be available on commercially reasonable terms, if at all. The rapid development and fluidity of these situations precludes any prediction as to the ultimate impact they will have on the Company’s business, financial condition, results of operation and cash flows, which will depend largely on future developments.

Note 10. Debt ~~(continued)~~

BKCredit Technologies, Inc.'s repayment obligations under the RLC are guaranteed by the Company and Relm Communications, Inc. and secured by a pledge of essentially all of the assets of the Company, BK Technologies, Inc. and Relm Communications, Inc. The loan parties are subject to customary negative covenants, including with respect to their ability to incur additional indebtedness, encumber and dispose of their assets and enter into affiliate transactions. BK Technologies, Inc. must also comply with: (i) a maximum total funded debt ratio of 2.00 to 1.00; and (ii) a fixed charge coverage ratio of 1.2 to 1.0 as measured on a rolling twelve-month basis, each measured at the end of each fiscal quarter.Facilities

~~The~~On October ~~Fifth~~30, ~~Third~~2024, ~~RLC~~the Company's ~~agreement~~subsidiary, ~~provided~~BK ~~for~~Technologies, ~~customary~~Inc. entered ~~events~~into ofa ~~default,~~Revolving ~~including:~~Loan Commitment (1“RLC”) ~~failure~~with toFifth ~~pay~~Third ~~principal~~Bank, ~~interest~~National orAssociation ~~fees~~(“Fifth ~~under~~Third”). ~~the~~The Fifth Third RLC ~~when~~provides ~~due~~for ~~and~~a ~~payable;~~one-year ~~(2)~~revolving ~~failure~~line toof ~~comply~~credit with ~~other~~a ~~covenants~~maximum ~~and~~commitment ~~agreements~~of ~~contained~~$6,000, inwith ~~the~~an ~~Revolving~~accordion ~~Loan~~feature, ~~Commitment~~if certain conditions are met, for up to an additional $4,000 ~~agreement~~of ~~and~~borrowing ~~the~~capacity, ~~other~~totaling ~~documents~~a ~~executed~~maximum incommitment ~~connection~~of ~~therewith;~~$10,000. ~~(3)~~Each advance shall accrue interest on the ~~making~~outstanding principal amount thereof at a rate of ~~false~~SOFR orplus ~~inaccurate~~2.5% ~~representations~~per ~~and~~annum. ~~warranties;~~Each ~~(4)~~advance may ~~defaults~~be ~~under~~prepaid ~~other~~at ~~debt~~any ortime ~~other~~without ~~obligations~~penalty and the entire line of credit commitment may be permanently terminated by BK Technologies, Inc.; ~~(5)~~at ~~money~~any ~~judgments~~time ~~and~~upon ~~material~~10 ~~adverse~~days’ ~~changes;~~prior ~~(6)~~written anotice ~~change~~to inthe ~~control~~lender orwithout ~~ceasing~~penalty. The toRLC ~~operate~~has ~~business~~a borrowing inbase ~~the~~equal ~~ordinary~~to ~~course;~~the ~~and~~sum of (7i) 80% ~~certain events~~ of ~~bankruptcy~~eligible orcommercial ~~insolvency.~~accounts ~~Upon~~receivable, ~~the~~plus ~~occurrence~~(ii) 50% of anfederal ~~event~~government ofaccounts ~~default~~receivable, ~~Fifth~~plus ~~Third may~~(iii) ~~declare~~ the ~~entire~~lesser ~~unpaid~~of ~~balance~~(a) ~~immediately~~the ~~due~~sum of (i) and ~~payable~~(ii) and~~/or~~ ~~exercise~~(b) 50% ~~any~~of ~~and~~eligible ~~all~~finished ~~remedial~~goods inventory. The Company has not utilized funding and ~~other~~there ~~rights~~were no borrowings under the RLC agreement as of September 30, 2025, and as of the date of filing this report.

~~As of June 30, 2025, there were no outstanding borrowings under the Fifth Third RLC.~~ 14

~~Note~~ Table ~~11.~~of ~~Leases~~Contents

~~The~~Note ~~Company accounts for its leasing arrangements in accordance with Topic 842, “Leases~~10.” ~~The~~Debt Company leases manufacturing and office facilities and equipment under operating leases and determines if an arrangement is a lease at inception. ROU assets represent the Company’s right to use an underlying asset for the lease term and lease liabilities represent its obligation to make lease payments arising from the lease. Operating lease ROU assets and liabilities are recognized at the lease commencement date based on the present value of lease payments over the lease term.(continued)

As BK ~~most~~Technologies, ofInc.'s ~~its~~repayment ~~leases~~obligations dounder ~~not~~the RLC are ~~provide~~guaranteed anby ~~implicit rate,~~ the Company ~~uses~~and ~~its~~Relm ~~incremental~~Communications, ~~borrowing~~Inc. ~~rate~~and ~~based~~secured onby ~~the~~a ~~information~~pledge ~~available~~of atessentially ~~commencement~~all ~~date~~of inthe ~~determining~~assets of the ~~present~~Company, ~~value~~BK ofTechnologies, ~~lease payments~~Inc. and Relm Communications, Inc. The ~~Company’s~~loan ~~lease~~parties ~~terms may~~are ~~include~~subject ~~options~~to customary negative covenants, including with respect to ~~extend~~their orability ~~terminate~~to ~~the~~incur ~~lease~~additional ~~when~~indebtedness, itencumber isand ~~reasonably~~dispose ~~certain~~of ~~that~~their ~~the~~assets ~~Company~~and ~~will~~enter ~~exercise~~into ~~that~~affiliate ~~option~~transactions. BK ~~The~~Technologies, ~~Company~~Inc. ~~has~~must ~~lease~~also ~~agreements~~comply with: ~~lease~~(i) a maximum total funded debt ratio of 2.00 to 1.00; and ~~non~~(ii) a fixed charge coverage ratio of 1.2 to 1.0 as measured on a rolling twelve-~~lease~~month ~~components~~basis, ~~which~~each ~~are~~measured ~~accounted~~at ~~for~~the ~~separately~~end of each fiscal quarter.

The ~~Company~~Fifth ~~leases~~Third ~~approximately~~RLC agreement ~~54,000~~provided ~~square~~for ~~feet~~customary ~~(not~~events inof ~~thousands)~~default, ofincluding: ~~industrial~~(1) ~~space~~failure into ~~West~~pay ~~Melbourne~~principal, ~~Florida,~~interest or fees under athe ~~non-cancellable~~RLC ~~operating~~when ~~lease.~~due ~~The~~and ~~lease~~payable; ~~has~~(2) anfailure ~~expiration~~to ~~date~~comply ~~of June~~with other covenants and agreements contained in the Revolving Loan Commitment ~~30,~~agreement ~~2027.~~and ~~The~~the ~~lease~~other ~~terms~~documents ~~include~~executed anin ~~option~~connection totherewith; ~~extend~~(3) the ~~lease~~making ~~agreement~~of ~~for~~false anor ~~additional~~inaccurate ~~five~~representations and warranties; (54) ~~year~~defaults ~~term~~under ~~commencing July~~other 1debt or other obligations of BK Technologies, ~~2027~~Inc.; (5) money judgments and ~~terminating~~material atadverse ~~midnight June~~changes; ~~30,~~(6) ~~2032~~a change in control or ceasing to operate business in the ordinary course; and (7) certain events of bankruptcy or insolvency. ~~Annual~~ ~~rental,~~Upon ~~maintenance~~the occurrence of an event of default, Fifth Third may declare the entire unpaid balance immediately due and ~~tax~~payable ~~expenses~~and/or ~~for~~exercise ~~the~~any ~~facility~~and ~~are~~all ~~approximately~~remedial ~~$610~~and other rights under the RLC agreement.

~~In February~~Note 2020, the Company entered into a lease for 6,857 square feet (not in thousands) of office space at Sawgrass Technology Park, 1619 NW 136th Avenue in Sunrise, Florida, for a period of 64 months commencing July 1, 202011. ~~Annual rental, maintenance, and tax expenses for the facility will be approximately $196 for the first year, increasing by approximately 3% for each subsequent 12-month period.~~Leases

~~Lease~~The ~~costs~~Company ~~consisted~~accounts for its leasing arrangements in accordance with ASU Topic 842, Leases. The Company leases manufacturing and office facilities and equipment under operating leases and determines if an arrangement is a lease at inception. ROU assets represent the Company’s right to use an underlying asset for the lease term and lease liabilities represent its obligation to make lease payments arising from the lease. Operating lease ROU assets and liabilities are recognized at the lease commencement date based on the present value of lease payments over the ~~following:~~lease term.

	Three Months Ended				Six Months Ended
	June 30, 2025		June 30, 2024		June 30, 2025		June 30, 2024
Operating lease cost	$	136	$	135	$	272	$	270
Variable lease cost		33		33		67		66
Total lease cost	$	169	$	168	$	339	$	336

As most of its leases do not provide an implicit rate, the Company uses its incremental borrowing rate based on the information available at commencement date in determining the present value of lease payments. The Company’s lease terms may include options to extend or terminate the lease when it is reasonably certain that the Company will exercise that option. The Company has lease agreements with lease and non-lease components, which are accounted for separately.

15 The Company leases approximately 54,000 square feet (not in thousands) of industrial space in West Melbourne, Florida, under a non-cancellable operating lease. The lease has an expiration date of June 30, 2027. The lease terms include an option to extend the lease agreement for an additional five (5) year term commencing July 1, 2027 and terminating at midnight June 30, 2032. Annual rental, maintenance, and tax expenses for the facility are approximately $610.

~~Table~~In February 2020, the Company entered into a lease for 6,857 square feet (not in thousands) of ~~Contents~~ office space at Sawgrass Technology Park, 1619 NW 136th Avenue in Sunrise, Florida, for a period of 64 months commencing July 1, 2020 (the “Sawgrass Lease”). In September 2025, the Company entered into an amendment to the Sawgrass Lease to lease an additional 1,514 square feet (not in thousands) of office space and to extend the lease term an additional 62 months, commencing on the date construction on the additional leased area is completed (the “Sawgrass Amendment”). Pursuant to the Sawgrass Amendment, the annual rental, maintenance, and tax expenses for the facility will be approximately $180 for the first year of the extended term and will increase approximately 3.0% for each subsequent 12-month period.

~~Note~~Lease ~~11.~~costs ~~Leases~~consisted ~~(continued)~~of the following:

Supplemental cash flow information related to leases was as follows:

	*Three Months Ended*				*Nine Months Ended*
	*September 30, 2025*		September 30, 2024		*September 30, 2025*		September 30, 2024
Operating lease cost	$	134	$	136	$	406	$	406
Variable lease cost		34		33		100		100
Total lease cost	$	168	$	169	$	506	$	506

	Three Months Ended				Six Months Ended
	June 30, 2025		June 30, 2024		June 30, 2025		June 30, 2024
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows (fixed payments)	$	155	$	150	$	310	$	300
Operating cash flows (liability reduction)	$	139	$	129	$	280	$	256
ROU assets obtained in exchange for lease obligations:
Operating leases	$	—	$	24	$	—	$	24

~~Other~~ Table ~~information~~of ~~related to operating leases was as follows:~~Contents

	June 30, 2025
Weighted average remaining lease term (in years)		1.93
Weighted average discount rate		5.50	%

Note 11. Leases (continued)

~~Maturity~~Supplemental ofcash ~~lease~~flow ~~liabilities~~information asrelated ~~of June~~to ~~30,~~leases ~~2025,~~was ~~were~~ as follows:

	June 30, 2025
	Three Months Ended					Nine Months Ended
Remaining six months of 2025	$	314
	September 30, 2025			September 30, 2024		September 30, 2025		September 30, 2024
2026		486
Cash paid for amounts included in the measurement of lease liabilities:
2027		249
Operating cash flows (fixed payments)	$	157		$	155	$	467	$	455
2028		5
Operating cash flows (liability reduction)	$	144		$	135	$	424	$	390
2029		3
ROU assets obtained in exchange for lease obligations:
Total payments		1,057
Operating leases	$	—		$	4	$	—	$	27
Less: imputed interest		(52	)
Total present value of lease liabilities	$	1,005

~~12. Subsequent~~Other ~~Events~~information related to operating leases was as follows:

On July 4, 2025, the President signed into law the One Big Beautiful Bill Act ("OBBBA"). The OBBBA makes permanent key elements of the Tax Cuts and Jobs Act of 2017, including 100% bonus depreciation on qualified property acquired and placed in service after January 19, 2025. ASC 740, "Income Taxes," requires the effects of changes in tax rates and laws on deferred tax balances to be recognized in the period in which the legislation is enacted. The Company is assessing these impacts on its consolidated financial statements.

	*September 30, 2025*
Weighted average remaining lease term (in years)		1.73
Weighted average discount rate		5.50	%

~~On July~~Maturity ~~10, 2025, the Company approved the grant~~ of ~~performance-based~~lease ~~stock~~liabilities ~~options for~~as ~~certain executives. The options provide the executives with the option to purchase up to an aggregate~~ of September ~~162~~30,~~566 shares~~ of2025, ~~Common~~were ~~Stock~~as ~~of the Company's common stock on the grant date of $42.81 per share and will vest based on whether certain common share prices are achieved over a five-year period ending on July 10, 2030.~~ follows:

On August 6, 2025, the Company issued 39,250 shares of common stock related to Restricted Stock Unit (RSU) grants issued in 2023. The RSU grants included performance vesting criteria for certain Engineering employees, upon achieving $20 million revenues related to sales of the BKR9000 multi-band portable radio product. The shares were issued at the August 6, 2025, closing price of $38.27, for a total non-cash stock compensation expense of approximately $1.5 million.

	*September 30, 2025*
Remaining three months of 2025	$	158
2026		486
2027		249
2028		5
2029		3
Total payments		901
Less: imputed interest		(40	)
Total present value of lease liabilities	$	861

16 12. Subsequent Events

~~Table~~On October 30, 2025, BK Technologies, Inc., a wholly owned subsidiary of ~~Contents~~ the Company, as the borrower, entered into an amendment to the RLC with Fifth Third Bank (the “Amendment”). Among other things, the Amendment revised the availability under the $6.0 million RLC to remove the borrowing base requirement, and to increase the accordion feature, if certain conditions are met, for up to an additional $8.0 million of borrowing capacity, totaling a maximum commitment of $14.0 million; extended the maturity date to October 30, 2028; added a new financial covenant providing that the borrower will cause the outstanding principal balance under the RLC to be $0 for at least 30 consecutive days during each annual period ending on October 30; and amended the applicable interest rate margin, such that each advance under the RLC accrues interest on the outstanding principal amount thereof at a rate of the SOFR, plus a range of 1.75% to 2.25% per annum, based on certain total debt coverage ratios.

~~Item~~Since October 2.1, ~~MANAGEMENT~~2025, the Company has purchased 10,205 shares of it’Ss ~~DISCUSSION~~common ~~AND~~shares ~~ANALYSIS~~utilizing OFa ~~FINANCIAL~~Rule ~~CONDITION~~10b5-1 ~~AND~~Qualified ~~RESULTS~~Plan, OFwhich ~~OPERATIONS~~plan was established pursuant to, and as a part of, the Company’s share repurchase program. The common shares were purchased at an average price of $67.22 per share for a total cost of $685,972 (not in 000’s).

~~CAUTIONARY NOTE CONCERNING~~.

~~FORWARD-LOOKING STATEMENTS~~ 16

We Table believe that it is important to communicate our future expectations to our security holders and to the public. This report, including any information incorporated by reference in this report, therefore, contains statements about future events and expectations which are “forward-looking statements” within the meaning of Sections 27A of the Securities Act of 1933, as amended, and 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), including the statements about our plans, objectives, expectations and prospects under the heading “Management’s Discussion and Analysis of Financial Condition and Results of Operations.” You can expect to identify these statements by forward-looking words such as “may,” “might,” “could,” “would,” “should,” “will,” “anticipate,” “believe,” “plan,” “estimate,” “project,” “expect,” “intend,” “seek,” “are encouraged,” and other similar expressions. Any statement contained in this report that is not a statement of historical fact may be deemed to be a forward-looking statement. We also may make forward-looking statements in other documents that are filed or furnished with the U.S. Securities and Exchange Commission ("the SEC"). In addition, we may make forward-looking statements orally or in writing to investors, analysts, members of the media, or others. Forward-looking statements include, but are not limited to, the following: changes or advances in technology; the success of our Solutions and Radio business lines and the products offered thereunder; successful introduction of new products and technologies, including our ability to successfully develop and sell our current and anticipated Solutions products, and our new multiband radio product and other related products in the BKR Series product line; competition in the land mobile radio ("LMR") industry; general economic and business conditions, including the impacts of high inflation, fluctuating interest rates, tariffs and other trade barriers and restrictions, labor and supply shortages and disruptions, federal, state, and local government budget deficits and spending limitations, any impact from a prolonged shutdown of the U.S. Government, the effects of natural disasters, changes in climate, severe weather events, geopolitical events, acts of war or terrorism, global health crises and other catastrophic events, as well as the broader impacts to financial markets and the global macroeconomic and geopolitical environments, including a potential U.S. or global downturn or recession; the availability, terms and deployment of capital; reliance on contract manufacturers and suppliers; risks associated with fixed-price contracts; heavy reliance on sales to agencies of the U.S. Government and our ability to comply with the requirements of contracts, laws, and regulations related to such sales; allocations by government agencies among multiple approved suppliers under existing agreements; our ability to comply with U.S. tax laws and utilize deferred tax assets; our ability to attract and retain executive officers, skilled workers, and key personnel; our ability to manage our growth; our ability to identify potential candidates for, and consummate, acquisition, disposition or investment transactions; impact of our capital allocation strategy; risks related to maintaining our brand and reputation; impact of government regulation; impact of rising health care costs; our business with manufacturers located in other countries, including the effects of changes in the U.S. Government and foreign governments’ trade and tariff policies, such as recent increases in tariffs by the U.S. and the imposition of increased tariffs and other trade barriers and retaliatory measures by foreign governments; our inventory and debt levels; our ability to comply with the terms, including financial covenants, of our outstanding debt, including fluctuating interest rates; protection of our intellectual property rights; fluctuation in our operating results and stock price; any infringement claims; data security breaches, cyber-attacks and other factors impacting our technology systems or third-party information technology systems upon which we rely; widespread outages, interruptions or other failures of operational, communication or other systems; availability of adequate insurance coverage; environmental, social and governance matters; maintenance of our NYSE American listing; risks related to being a holding company; our ability to remediate the material weakness in our internal control over financial reporting; and the effect on our stock price and ability to raise capital through future sales of shares of our common stock.Contents

17 Item 2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

~~Table~~CAUTIONARY ofNOTE ~~Contents~~ CONCERNING

~~Although we believe that the plans, objectives, expectations, and prospects reflected in or suggested by our forward~~FORWARD-~~looking~~LOOKING statements are reasonable, those statements involve risks, uncertainties, and other factors, many of which are outside of our control, that may cause our actual results, performance, or achievements to be materially different from any future results, performance, or achievements expressed or implied by these forward-looking statements, and we can give no assurance that our plans, objectives, expectations, and prospects will be achieved. Any forward-looking statement made by us or on our behalf speaks only as of the date that it was made. We do not undertake to update any forward-looking statement to reflect the impact of events, circumstances, or results that arise after the date that the statement was made, except as required by applicable securities laws. You, however, should consult further disclosures (including disclosures of a forward-looking nature) that we may make in any subsequent Annual Report on Form 10-K, Quarterly Report on Form 10-Q, or Current Report on Form 8-K.STATEMENTS

~~Important~~We ~~factors~~believe that ~~might~~it ~~cause~~is important to communicate our ~~actual~~future ~~results~~expectations to ~~differ~~our ~~materially~~security ~~from~~holders and to the ~~results~~public. ~~contemplated~~This report, including any information incorporated by ~~the~~reference in this report, therefore, contains statements about future events and expectations which are “forward-looking statements” ~~are~~within ~~contained~~the inmeaning ~~“Part~~of ~~I—Item~~Sections ~~1A.~~27A ~~Risk~~of ~~Factors”~~the Securities Act of 1933, as amended, and ~~elsewhere~~21E inof the Securities Exchange Act of 1934, as amended (the "Exchange Act"), including the statements about our ~~Annual~~plans, ~~Report~~objectives, onexpectations ~~Form~~and ~~10-K~~prospects ~~for~~under the ~~fiscal~~heading ~~year~~“Management’s ~~ended~~Discussion ~~December~~and 31Analysis of Financial Condition and Results of Operations.” You can expect to identify these statements by forward-looking words such as “may,” ~~2024~~ “might,” “could,” “would,” “should,” “will,” “anticipate,” “believe,” “plan,” “estimate,” “project,” “expect,” “intend,” “seek,” “are encouraged,” and other similar expressions. Any statement contained in this report ~~and~~that is not a statement of historical fact may be deemed to be a forward-looking statement. We also may make forward-looking statements in ~~our~~other ~~subsequent~~documents ~~filings~~that are filed or furnished with the U.S. Securities and Exchange Commission (the "SEC"). WeIn ~~assume~~addition, nowe ~~obligation~~may tomake ~~publicly~~forward-looking ~~update~~statements orally or ~~revise~~in ~~any~~writing ~~forward~~to investors, analysts, members of the media, or others. Forward-looking statements ~~made~~include, but are not limited to, the following: changes or advances in ~~this~~technology; ~~report~~the success of our Solutions and Radio business lines and the products offered thereunder; successful introduction of new products and technologies, ~~whether~~including asour ability to successfully develop and sell our current and anticipated Solutions products, and our new multiband radio product and other related products in the BKR Series product line; competition in the land mobile radio ("LMR") industry; general economic and business conditions, including the impacts of high inflation, fluctuating interest rates, tariffs and other trade barriers and restrictions, labor and supply shortages and disruptions, federal, state, and local government budget deficits and spending limitations, any impact from a ~~result~~prolonged shutdown of ~~new~~the ~~information~~U.S. Government, the ~~future~~effects ~~events~~of natural disasters, changes in ~~assumptions~~climate, severe weather events, geopolitical events, acts of war or ~~otherwise~~terrorism, ~~after~~global health crises and other catastrophic events, as well as the ~~date~~broader ofimpacts ~~this~~to ~~report~~financial markets and the global macroeconomic and geopolitical environments, including a potential U.S. ~~Readers~~or ~~are~~global ~~cautioned~~downturn ~~not~~or torecession; the ~~place~~availability, ~~undue~~terms and deployment of capital; reliance on ~~these~~contract ~~forward~~manufacturers and suppliers; risks associated with fixed-~~looking~~price ~~statements~~contracts; heavy reliance on sales to agencies of the U.S. Government and our ability to comply with the requirements of contracts, laws, and regulations related to such sales; allocations by government agencies among multiple approved suppliers under existing agreements; our ability to comply with U.S. tax laws and utilize deferred tax assets; our ability to attract and retain executive officers, skilled workers, and key personnel; our ability to manage our growth; our ability to identify potential candidates for, and consummate, acquisition, disposition or investment transactions; impact of our capital allocation strategy; risks related to maintaining our brand and reputation; impact of government regulation; impact of rising health care costs; our business with manufacturers located in other countries, including the effects of changes in the U.S. Government and foreign governments’ trade and tariff policies, such as recent increases in tariffs by the U.S. and the imposition of increased tariffs and other trade barriers and retaliatory measures by foreign governments; our inventory and debt levels; our ability to comply with the terms, including financial covenants, of our outstanding debt, including fluctuating interest rates; protection of our intellectual property rights; fluctuation in our operating results and stock price; any infringement claims; data security breaches, cyber-attacks and other factors impacting our technology systems or third-party information technology systems upon which we rely; widespread outages, interruptions or other failures of operational, communication or other systems; availability of adequate insurance coverage; environmental, social and governance matters; maintenance of our NYSE American listing; risks related to being a holding company; our ability to remediate the material weakness in our internal control over financial reporting; and the effect on our stock price and ability to raise capital through future sales of shares of our common stock.

~~Reported dollar amounts in the management’s discussion and analysis (“MD&A”) section of this report are disclosed in millions or as whole dollar amounts.~~ 17

~~The~~ Table ~~following~~of discussion and analysis should be read in conjunction with our condensed consolidated financial statements and notes thereto appearing elsewhere in this report and the MD&A, consolidated financial statements, and notes thereto appearing in our Annual Report on Form 10-K for the fiscal year ended December 31, 2024, filed with the SEC on March 27, 2025.Contents

~~Executive~~Although ~~Summary~~we believe that the plans, objectives, expectations, and prospects reflected in or suggested by our forward-looking statements are reasonable, those statements involve risks, uncertainties, and other factors, many of which are outside of our control, that may cause our actual results, performance, or achievements to be materially different from any future results, performance, or achievements expressed or implied by these forward-looking statements, and we can give no assurance that our plans, objectives, expectations, and prospects will be achieved. Any forward-looking statement made by us or on our behalf speaks only as of the date that it was made. We do not undertake to update any forward-looking statement to reflect the impact of events, circumstances, or results that arise after the date that the statement was made, except as required by applicable securities laws. You, however, should consult further disclosures (including disclosures of a forward-looking nature) that we may make in any subsequent Annual Report on Form 10-K, Quarterly Report on Form 10-Q, or Current Report on Form 8-K.

BKImportant ~~Technologies~~factors ~~Corporation~~that ~~(NYSE~~might ~~American:~~cause ~~BKTI)~~our ~~(together~~actual ~~with~~results ~~its~~to ~~wholly~~differ ~~owned~~materially ~~subsidiaries,~~from the results contemplated by the forward-looking statements are contained in “~~BK,~~Part I—Item 1A. Risk Factors” ~~"BK~~and ~~Technologies,"~~elsewhere in our Annual Report on Form 10-K for the ~~“Company~~fiscal year ended December 31,” ~~“we~~2024 ,” or"Part ~~“us”)~~II is- aItem ~~holding~~1A. ~~company~~Risk ~~that,~~Factors" in ~~through~~this BKQuarterly ~~Technologies~~Report on Form 10-Q, and ~~Inc~~in our subsequent filings with the SEC., ~~its~~We ~~operating~~assume ~~subsidiary,~~no ~~provides~~obligation ~~public~~to ~~safety~~publicly update or revise any forward-~~grade~~looking ~~communications~~statements ~~products~~made ~~and~~in ~~services~~this ~~designed~~report, ~~to make~~whether ~~first~~as ~~responders~~a ~~safer~~result ~~and~~of ~~more~~new ~~efficient.~~information, ~~All~~future ~~operating~~events, ~~activities~~changes ~~described~~in ~~herein~~assumptions or otherwise, after the date of this report. Readers are ~~undertaken~~cautioned bynot ~~our~~to ~~operating~~place ~~subsidiary~~undue reliance on these forward-looking statements.

InReported ~~business~~dollar ~~for~~amounts ~~over~~in 70the ~~years,~~management’s BKdiscussion ~~operates~~and ~~two~~analysis ~~business~~(“MD&A”) ~~units~~section ~~through~~of ~~its~~this ~~operating~~report ~~subsidiary,~~are BKdisclosed ~~Technologies,~~in ~~Inc.:~~millions ~~Radio~~or ~~and~~as ~~Solutions~~whole dollar amounts.

The ~~Radio~~following ~~business~~discussion ~~unit~~and ~~designs~~analysis should be read in conjunction with our condensed consolidated financial statements and notes thereto appearing elsewhere in this report and the MD&A, ~~manufactures~~consolidated financial statements, and ~~markets~~notes ~~wireless~~thereto ~~communications~~appearing ~~products~~in ~~consisting~~our ofAnnual ~~two-way~~Report ~~LMRs.~~on ~~Two~~Form 10-~~way~~K ~~LMRs~~for ~~can~~the befiscal ~~radios~~year ~~that~~ended ~~are~~December ~~hand-held~~31, ~~(portable)~~2024, orfiled ~~installed~~with inthe ~~vehicles~~SEC ~~(mobile)~~on March 27, 2025.

~~Generally,~~Executive BK Technologies-branded products serve the government markets, including, but not limited to, emergency response, public safety, homeland security, and military customers of federal, state, and municipal government agencies, as well as various industrial and commercial enterprises. We believe that our products and solutions provide superior value by offering a high specification, ruggedized, durable, reliable, feature-rich, Project 25 ("P25") compliant radio at a lower cost relative to comparable offerings.Summary

18 BK Technologies Corporation (NYSE American: BKTI) (together with its wholly owned subsidiaries, “BK,” "BK Technologies," the “Company,” “we,” or “us”) is a holding company that, through BK Technologies, Inc., its operating subsidiary, provides public safety-grade communications products and services designed to make first responders safer and more efficient. All operating activities described herein are undertaken by our operating subsidiary.

~~Table~~In ofbusiness ~~Contents~~ for over 70 years, BK operates one business segment through its operating subsidiary, BK Technologies, Inc. BK has two product groups within the segment: LMR Radio and Solutions.

The ~~Solutions business~~LMR ~~unit~~Radio ~~focuses~~product ~~on delivering innovative, public safety smartphone applications that operate ubiquitously over public cellular networks. We presently have one~~group ~~U.S. patent in force and two pending U.S. patent applications. Going forward~~designs, ~~we plan to continue to expand the Solutions business unit to include public safety solutions that provide for improved interoperability~~manufactures, ~~intended to make the first responder safer~~ and ~~more~~ ~~efficient when~~markets ~~operating~~wireless incommunications ~~the~~products ~~field. We~~consisting ~~intend for the Solutions business to build a portfolio~~ of ~~solutions~~two-way ~~under a new brand, BK ONE~~LMRs. BK ~~ONE~~Two-way ~~includes SaaS~~LMRs ~~solutions~~can asbe ~~well as other future software and hardware applications. When tethered to our~~ radios, ~~the~~that ~~combined~~are ~~solution will offer a unique capability which increases the sales reach of our radios. We previously introduced InteropONE in October 2022, a Push~~hand-~~to-talk-Over-Cellular~~held ~~SaaS~~(portable) ~~service,~~or ~~and~~installed in ~~March 2025,~~vehicles ~~we launched RelayONE, a rapidly deployed portable repeater kit designed to extend range and facilitate interoperability among different types of public safety and military radios~~(mobile).

~~Customer~~Generally, ~~demand~~BK ~~and~~Technologies-branded ~~orders~~products ~~for~~serve ~~our~~the ~~products~~government ~~were~~markets, ~~strong~~including, ~~during~~but ~~fiscal~~not ~~year 2024~~limited ~~and~~to, ~~continued~~emergency ~~during~~response, ~~the~~public ~~first~~safety, ~~six~~homeland ~~months~~security, ~~of 2025.~~and ~~Our~~military ~~backlog~~customers of ~~unshipped~~federal, ~~customer~~state, ~~orders~~and ~~was~~municipal ~~approximately~~government ~~$16.0 million~~agencies, as well as various industrial and ~~$21~~commercial enterprises.~~8 million~~ asWe ofbelieve ~~June~~that ~~30,~~our ~~2025,~~products and ~~December~~solutions ~~31,~~provide ~~2024,~~superior ~~respectively.~~value ~~Changes~~by inoffering ~~the~~high ~~backlog~~specification, ~~were~~ruggedized, ~~attributed~~durable, ~~primarily~~reliable, tofeature-rich, ~~the~~Project ~~timing~~25 of("P25") ~~orders~~compliant radios at ~~and~~a ~~their~~lower ~~fulfillment~~cost relative to comparable offerings.

For the three months ended June 30, 2025, sales increased approximately 4.5% to approximately $21.2 million, compared with $20.3 million for the same period of 2024. The increase was attributed primarily to the shipments of BKR series radio product and accessories sales. Gross profit margins as a percentage of sales for the three months ended June 30, 2025, were 47.4%, compared with 37.3% for the comparative fiscal year 2024 quarter, generally reflecting radio product and accessories sales mix and material cost improvements related to cost reduction initiatives. Selling, general, and administrative (“SG&A”) expenses for the three months ended June 30, 2025, totaled approximately $6.0 million (28.5% of sales), compared with $5.5 million (27.3% of sales) in the same period of fiscal year 2024. We recognized operating income for the three months ended June 30, 2025, of approximately $4.0 million, compared with operating income of approximately $2.0 million for the same period of fiscal year 2024. 18

~~For~~ Table ~~the three months ended June 30, 2025, we recognized other income, net totaling approximately $19,000. This compares with other expenses, net totaling $141,000 for the same period~~ of ~~fiscal year 2024, which primarily included interest expense on the Alterna IPSA Line of Credit.~~Contents

~~For~~The ~~the~~Solutions ~~three~~product ~~months~~group focuses ~~ended~~on ~~June~~delivering 30innovative, ~~2025~~public safety smartphone applications that operate ubiquitously over public cellular networks. We presently have one U.S. patent in force and two pending U.S. patent applications. Going forward, we plan to continue to expand the ~~pretax~~Solutions ~~income~~product ~~totaled~~group to ~~approximately~~include $4public safety solutions that provide for improved interoperability, intended to make the first responder safer and more efficient when operating in the field.0 We intend for the Solutions product group ~~million~~to build a portfolio of solutions under a new brand, ~~compared~~BK ~~with~~ONE. BK ~~pretax~~ONE ~~income~~includes SaaS solutions as well as other future software and hardware applications. When tethered to our radios, the combined solution will offer a unique capability which increases the sales reach of ~~approximately~~our $1radios.9 We previously introduced InteropONE ~~million~~in ~~for~~October ~~same~~2022, ~~period~~a Push-to-talk-Over-Cellular SaaS service, and in March 2025, we launched RelayONE, a rapidly deployed portable repeater kit designed to extend range and facilitate interoperability among different types of ~~fiscal~~public ~~year~~safety ~~2024~~and military radios.

WeThe ~~recognized~~Company ~~tax~~continues ~~expense~~to monitor the impacts of ~~$275~~various macroeconomic trends,~~000~~ such as inflationary pressure, changes in monetary policy, decreasing consumer confidence and spending, the introduction of or changes in tariffs or trade barriers, the impact of the ongoing U.S. federal government shutdown, and global or local recession. Such changes in domestic and global macroeconomic conditions may lead to increased costs for the ~~three-month~~business. ~~period~~Additionally, ~~ended~~these ~~June~~macroeconomic 30trends could adversely affect the Company’s customers, ~~2025~~which could impact their willingness to spend on the Company’s products and services, or their ability to make payments, which could harm the collection of accounts receivable and ~~approximately~~financial ~~$220~~results. The world’s financial markets remain susceptible to significant stresses,~~000~~ ~~for~~resulting in reductions in available credit and government spending, economic downturn or stagnation, foreign currency fluctuations and volatility in the ~~same~~valuations ~~period~~of securities generally. As a result, the Company’s ability to access capital markets and other funding sources in the future may not be available on commercially reasonable terms, if at all. The rapid development and fluidity of ~~fiscal~~these ~~year~~situations ~~2024~~precludes any prediction as to the ultimate impact they will have on the Company’s business, financial condition, results of operation and cash flows, which will depend largely on future developments.

~~Net~~ Customer ~~income~~demand ~~for~~and ~~the~~orders ~~three~~for ~~months~~our ~~ended~~products ~~June~~were ~~30,~~strong ~~2025,~~during ~~totaled~~fiscal ~~approximately $3.7~~year ~~million ($1.03~~ 2024 ~~per~~and ~~basic~~continued ~~and~~during ~~$0.96~~the first ~~per~~ nine ~~diluted~~months ~~share),~~of 2025. ~~compared~~Our ~~with~~backlog aof ~~net~~unshipped ~~income of~~customer orders was approximately $124.75 million (and $021.478 ~~per~~million ~~basic~~as ~~and~~of September ~~diluted~~30, ~~share)~~2025, ~~for~~and December ~~the~~31, ~~same~~2024, ~~period last year~~respectively. ~~The~~Changes ~~primary~~in ~~factors for~~ the ~~improvement~~backlog ~~for~~were ~~the~~attributed ~~three~~primarily ~~months ended June 30, 2025, compared~~ to the ~~same~~timing ~~period~~ of ~~fiscal year~~orders ~~2024, were radio product~~ and ~~accessories~~their ~~sales mix and lower raw material costs related to cost reduction efforts~~fulfillment.

AsFor ofthe ~~June~~three months ended September 30, 2025, ~~working~~sales ~~capital~~increased ~~totaled~~approximately 21.0% to approximately $2824.94 million, ofcompared ~~which~~with $2320.42 million for the same period of fiscal year 2024. The increase was ~~comprised~~attributed primarily to the shipments of ~~cash~~BKR series radio product and accessories sales. Gross profit margins as a percentage of sales for the three months ended September 30, ~~cash~~2025, ~~equivalents~~were 49.9%, compared with 38.8% for the comparative fiscal year 2024 quarter, generally reflecting price increases related to tariffs, radio product and ~~trade~~accessories ~~receivables~~sales mix and material cost improvements related to cost reduction initiatives. ~~This~~Selling, ~~compares~~general, ~~with~~and ~~working~~administrative ~~capital~~(“SG&A”) ~~totaling~~expenses for the three months ended September 30, 2025, totaled approximately $237.03 million at(30.1% ~~2024~~of ~~year-end~~sales), ~~which~~compared ~~included~~with $~~14.~~5.2 million (25.9% of ~~cash~~sales) in the same period of fiscal year 2024. We recognized operating income for the three months ended September 30, ~~cash~~2025, ~~equivalents~~of approximately $4.8 million, ~~and~~compared ~~trade~~with ~~receivables~~operating income of approximately $2.6 million for the same period of fiscal year 2024.

WeFor ~~may~~the ~~experience~~three ~~fluctuations~~months inended ~~our~~September ~~quarterly results~~30, ~~in part~~2025, ~~due~~we torecognized ~~governmental~~other ~~customer spending patterns that are influenced by government fiscal year-end budgets and appropriations. We may also experience fluctuations in our quarterly results~~income, innet ~~part,~~totaling ~~due~~approximately ~~to our sales to federal and state agencies that participate in wildland fire-suppression efforts~~$43,000. ~~which~~This ~~may~~compares bewith ~~greater~~other ~~during the summer season when forest fire activity is heightened. In some years~~expenses, ~~these~~net ~~factors~~totaling ~~may cause an increase in sales~~ $7,000 for the ~~second~~same ~~and~~period ~~third quarters, compared with the first and fourth quarters~~ of ~~the same~~ fiscal year~~. Such~~ ~~increases in sales may cause quarterly variances in our cash flow from operations and overall financial condition~~2024. The Company’s guidance reflects our current understanding of the potential impact of tariffs and the current administration's efforts to reduce federal expenditures, and to the extent it can be calculated, the estimated amount of the impacts are included in current guidance.

19 For the three months ended September 30, 2025, the pretax income totaled approximately $4.9 million, compared with pretax income of approximately $2.6 million for same period of fiscal year 2024.

~~Table~~We recognized tax expense of ~~Contents~~ $1.5 million for the three-month period ended September 30, 2025, and approximately $247,000 for the same period of fiscal year 2024.

~~Available~~Net ~~Information~~income for the three months ended September 30, 2025, totaled approximately $3.4 million ($0.93 per basic and $0.87 per diluted share), compared with a net income of approximately $2.4 million ($0.67 per basic and $0.63 per diluted share) for the same period last year. The primary factors for the improvement for the three months ended September 30, 2025, compared to the same period of fiscal year 2024, were radio product and accessories sales mix and lower raw material costs related to cost reduction efforts.

~~Our~~As Internet website address is www.bktechnologies.com. The information contained on or accessible from our website is not incorporated by reference in this report. Any reference to our website is intended to be an inactive textual reference only. We make available on our Internet website, free of ~~charge,~~September ~~our Annual Reports on Form 10-K~~30, ~~Quarterly Reports on Form 10-Q~~2025, ~~Current~~working ~~Reports~~capital ontotaled ~~Form~~approximately $33.8~~-K, proxy statements, and amendments to these reports as soon as practicable after we file such material with, or furnish it to, the~~ ~~SEC. In addition~~million, ~~our Code~~ of ~~Business~~which ~~Conduct~~$29.1 million ~~and~~was ~~Ethics,~~comprised ~~Code~~ of ~~Ethics for the CEO and Senior Financial Officers~~cash, ~~Audit~~cash ~~Committee Charter~~equivalents, ~~Compensation Committee Charter, Nominating~~ and ~~Governance~~trade ~~Committee~~receivables. ~~Charter,~~This ~~and~~compares ~~other~~with ~~corporate~~working ~~governance~~capital ~~policies~~totaling ~~are~~approximately ~~available on our website under “Investor Relations~~$23.~~” A~~0 million ~~copy~~at of2024 ~~any of these materials may be obtained~~year-end, ~~free~~which ofincluded ~~charge, upon request from our investor relations department~~$14.4 ~~The~~million ~~SEC~~of ~~maintains~~cash, ancash ~~internet site that contains reports~~equivalents, ~~proxy~~ and ~~information~~trade ~~statements, and other information filed by the Company at http://www~~receivables.~~sec.gov. All reports that the Company files with or furnishes to the SEC also are available free of charge via the SEC’s website.~~

~~Second~~ We ~~Quarter~~may experience fluctuations in our quarterly results, in part, due to governmental customer spending patterns that are influenced by government fiscal year-end budgets and ~~Six~~appropriations. We ~~Months~~may ~~Summary~~also experience fluctuations in our quarterly results, in part, due to our sales to federal and state agencies that participate in wildland fire-suppression efforts, which may be greater during the summer season when forest fire activity is heightened. In some years, these factors may cause an increase in sales for the second and third quarters, compared with the first and fourth quarters of the same fiscal year. Such increases in sales may cause quarterly variances in our cash flow from operations and overall financial condition. The Company’s guidance reflects our current understanding of the potential impact of tariffs and the current administration's efforts to reduce federal expenditures, and to the extent it can be calculated, the estimated amount of the impacts are included in current guidance.

Customer demand and new orders for our products of $18.3 million were impacted by delays in federal government contracts during the three months ended June 30, 2025, compared to $28.2 million for the same period of fiscal year 2024. Customer demand and new orders for our products of $35.1 million were recorded during the six months ended June 30, 2025, compared to $50.5 million for the same period of fiscal year 2024. The decrease in new orders for the six months ended June 30, 2025, compared to the same period last year was primarily due to timing of the release of federal government orders delayed until July 2025. 19

~~For~~ Table ~~the second quarter~~ of 2025, sales increased 4.5% to approximately $21.2 million, compared with approximately $20.3 million of sales for the second quarter of fiscal year 2024. Sales for the six months ended June 30, 2025, totaled approximately $40.2 million, compared with approximately $38.5 million for the six-month period last year. Gross profit margin as a percentage of sales for the second quarter of 2025 was approximately 47.4%, compared with 37.3% for the same period of fiscal year 2024, generally reflecting radio product and accessories sales mix and the full impact of material cost improvements related to the transition of manufacturing production to East West Manufacturing, LLC compared to the second quarter of fiscal year 2024. Selling, general, and administrative (“SG&A”) expenses for the second quarter of 2025 totaled approximately $6.0 million, which was 9.3% higher than the SG&A expenses of approximately $5.5 million for the second quarter of fiscal year 2024. The increase in SG&A expenses is attributed primarily due to new product introduction costs, and an accrual of Engineering fiscal year 2023 restricted stock units ('RSU") issuance expenses. These factors yielded operating income of approximately $4.0 million for the three-month period ended June 30, 2025, compared with operating income of approximately $2.0 million for the same period of fiscal year 2024.Contents

~~For~~Available the second quarter of 2025, we recognized other net income of approximately $19,000 on interest income on our cash investments, compared to approximately $141,000 other expense, primarily related to interest expense for the same period of fiscal year 2024.Information

~~Net~~Our ~~income~~Internet ~~for~~website ~~the~~address ~~three~~is ~~months~~www.bktechnologies.com. The ~~ended~~information ~~June~~contained ~~30,~~on ~~2025,~~or ~~was~~accessible ~~approximately~~from ~~$3.7 million~~our ~~($1~~website is not incorporated by reference in this report.~~03 per~~ ~~basic~~Any ~~and~~reference $0to our website is intended to be an inactive textual reference only.~~96 per~~ We ~~diluted~~make ~~share),~~available ~~compared~~on ~~with~~our ~~net~~Internet ~~income~~ website, free of ~~approximately~~charge, ~~$1.7 million~~our ~~($0.47 per~~Annual ~~basic~~Reports on Form 10-K, Quarterly Reports on Form 10-Q, Current Reports on Form 8-K, proxy statements, and ~~diluted~~amendments ~~share)~~to ~~for~~these ~~the~~reports ~~same~~as ~~quarter~~soon ~~last~~as ~~year. The~~practicable ~~primary~~after ~~factors~~we ~~for~~file ~~the~~such ~~improvement~~material ~~for~~with, ~~the three~~or ~~month~~furnish ~~period~~it ~~ended~~to, the ~~June 30~~SEC. In addition, ~~2025~~our Code of Business Conduct and Ethics, ~~compared~~Code toof Ethics for the ~~same~~CEO ~~period~~and ofSenior ~~fiscal~~Financial ~~year~~Officers, ~~2024~~Audit Committee Charter, ~~were radio~~Compensation ~~product~~Committee Charter, Nominating and ~~accessories~~Governance ~~sales~~Committee ~~mix~~Charter, and ~~the~~other ~~full~~corporate ~~impact~~governance policies are available on our website under “Investor Relations.” A copy of ~~material~~any ~~cost~~of ~~improvements~~these ~~related~~materials tomay ~~the~~be ~~transition~~obtained, free of ~~manufacturing~~charge, ~~production~~upon torequest ~~East~~from ~~West~~our ~~Manufacturing~~investor relations department. The SEC maintains an internet site that contains reports, ~~LLC~~proxy and information statements, and other information filed by the Company at http://www.sec.gov. All ~~during~~reports ~~fiscal~~that ~~year~~the ~~2024~~Company files with or furnishes to the SEC also are available free of charge via the SEC’s website.

AsThird ofQuarter ~~June 30, 2025, working capital totaled approximately $28.9 million, of which approximately $23.4 million was comprised of cash, cash equivalents~~ and ~~trade~~Nine ~~receivables.~~Months ~~As of December 31, 2024, working capital totaled approximately $23.0 million, of which approximately $14.4 million was comprised of cash, cash equivalents and trade receivables.~~Summary

~~Results~~Customer demand and new orders for our products was $34.3 million during the three months ended September 30, 2025, compared to $21.8 million for the same period of ~~Operations~~fiscal year 2024. Customer demand and new orders for our products of $69.3 million were recorded during the nine months ended September 30, 2025, compared to $72.4 million for the same period of fiscal year 2024. The decrease in new orders for the nine months ended September 30, 2025, compared to the same period last year was primarily due to higher state agency orders in the first nine months of 2024.

AsFor anthe ~~aid~~third quarter of 2025, sales increased 21.0% to ~~understanding~~approximately ~~our~~$24.4 million, ~~operating~~compared ~~results~~with approximately $20.2 million of sales for the ~~periods~~third ~~covered~~quarter byof ~~this~~fiscal year ~~report,~~2024. Sales for the ~~following~~nine months ~~table~~ended ~~shows~~September 30, ~~selected~~2025, ~~items~~totaled ~~from~~approximately ~~our~~$64.6 million, ~~condensed~~an increase ~~consolidated~~of ~~statements~~10.2% compared ofwith ~~operations~~approximately ~~expressed~~$58.7 million for the nine-month period last year. Gross profit margin as a percentage of sales: for the third quarter of 2025 was approximately 49.9%, compared with 38.8% for the same period of fiscal year 2024, generally reflecting price increases related to tariffs, radio product and accessories sales mix and the full impact of material cost improvements related to the transition of manufacturing production to East West Manufacturing, LLC compared to the third quarter of fiscal year 2024. Selling, general, and administrative (“SG&A”) expenses for the third quarter of 2025 totaled approximately $7.3 million, which was 40.6% higher than the SG&A expenses of approximately $5.2 million for the third quarter of fiscal year 2024. The increase in SG&A expenses was attributed primarily due to new product development costs, and accrual of fiscal year 2025 incentive bonus expenses. These factors yielded operating income of approximately $4.8 million for the three-month period ended September 30, 2025, compared with operating income of approximately $2.6 million for the same period of fiscal year 2024.

	Percentage of Sales						Percentage of Sales
	Three Months Ended						Six Months Ended
	June 30,			June 30,			June 30,			June 30,
	2025			2024			2025			2024
Sales		100.0	%		100.0	%		100.0	%		100.0	%
Cost of products		(52.6	)		(62.7	)		(52.8	)		(64.1	)
Gross margin		47.4			37.3			47.2			35.9
Selling, general and administrative expenses		(28.5	)		(27.3	)		(30.0	)		(28.1	)
Other income (expense)		0.1			(0.7	)		(0.2	)		(1.1	)
Income before income taxes		19.0			9.3			17.0			6.7
Income tax (expense)		(1.3	)		(1.1	)		(2.3	)		(0.6	)
Net income		17.7	%		8.2	%		14.6	%		6.1	%

For the third quarter of 2025, we recognized other net income of approximately $43,000 on interest income on our cash investments and other expenses, compared to approximately $7,000 other expense, primarily related to other expenses for the same period of fiscal year 2024.

Net income for the three months ended September 30, 2025, was approximately $3.4 million (1$0.93 per basic and $0.87 per diluted share), ~~Amounts~~compared ~~may~~with ~~not~~net ~~foot~~income of ~~due~~approximately $2.4 million ($0.67 per basic and $0.63 per diluted share) for the same quarter last year. The primary factors for the improvement for the three-month period ended September 30, 2025, compared to ~~rounding~~the same period of fiscal year 2024, were radio product and accessories sales mix and the full impact of material cost improvements related to the transition of manufacturing production to East West Manufacturing, LLC. during fiscal year 2024.

20 As of September 30, 2025, working capital totaled approximately $33.8 million, of which approximately $29.1 million was comprised of cash, cash equivalents and trade receivables. As of December 31, 2024, working capital totaled approximately $23.0 million, of which approximately $14.4 million was comprised of cash, cash equivalents and trade receivables.

~~Table~~Results of ~~Contents~~ Operations

~~Net~~As ~~Sales~~an aid to understanding our operating results for the periods covered by this report, the following table shows selected items from our condensed consolidated statements of operations expressed as a percentage of sales:

For the second quarter ended June 30, 2025, net sales increased 4.5% to approximately $21.2 million, compared with approximately $20.3 million for the same quarter of fiscal year 2024. Sales for the six months ended June 30, 2025, totaled approximately $40.2 million, compared with approximately $38.5 million for the six-month period last year. Customer demand and orders for our products continued to be strong, but were impacted by delays in the release of certain federal government agency contracts, until the early third quarter of 2025.

	Percentage of Sales						Percentage of Sales
	Three Months Ended						Nine Months Ended
	September 30,			September 30,			September 30,			September 30,
	2025			2024			2025			2024
Sales		100.0	%		100.0	%		100.0	%		100.0	%
Cost of products		(50.1	)		(61.2	)		(51.8	)		(63.1	)
Gross margin		49.9			38.8			48.2			36.9
Selling, general and administrative expenses		(30.1	)		(25.9	)		(30.0	)		(27.4	)
Other income (expense)		0.2			(0.0	)		(0.1	)		(0.7	)
Income before income taxes		20.0			12.9			18.1			8.8
Income tax (expense)		(5.9	)		(1.2	)		(3.7	)		(0.8	)
Net income		14.1	%		11.7	%		14.4	%		8.0	%

~~Sales~~(1) ~~for~~Amounts ~~the~~may ~~second~~not ~~quarter~~foot ~~and~~due ~~six months ended June 30, 2025, were attributed primarily~~ to state and local public safety opportunities. From a product perspective, the primary contributor to orders and shipments during the second quarter and six months ended June 30, 2025, was our BKR series radios and related accessories. The BKR Series is envisioned as a comprehensive line of new products, which includes new models such as the BKR 9000, which achieved first sales in the second quarter of 2023.rounding

We believe that the BKR Series products should increase our addressable market by expanding the number of Federal, state and local public safety customers that may purchase our products. However, the timing and size of orders from agencies at all levels can be unpredictable and subject to budgets, priorities, and other factors. 20

~~While~~ Table ~~the potential impacts~~ of the current administration's tariff policies, material shortages, lead-times, high inflation and ongoing geopolitical conflicts in Ukraine and the Middle East and other geopolitical events remain uncertain in coming months and quarters, such effects have the potential to adversely impact our customers and our supply chain. Such negative effects on our customers and suppliers could adversely affect our future sales, gross profit margins, operations and financial results.Contents

~~Cost~~Net ~~of Products and Gross Profit Margin~~Sales

~~Gross~~For ~~profit margins as a percentage of sales for~~ the ~~second~~third quarter ended ~~June~~September 30, 2025, ~~were~~net sales increased 21.0% to approximately 47$24.4% million, compared with 37approximately $20.3%2 million for the same quarter of fiscal year 2024. ~~Gross~~ Sales ~~profit margins as a percentage of sales~~ for the ~~six~~ nine months ended ~~June~~ September 30, 2025, ~~were~~totaled approximately 47$64.2%6 million, compared with ~~35.9% for~~approximately ~~the same period of fiscal year 2024~~$58. ~~Our cost of products and gross profit margins are primarily derived from material, labor, and overhead costs, product mix, manufacturing volumes~~7 ~~and~~million ~~pricing. The increase in gross profit margins~~ for the ~~three~~nine-month ~~and six-months ended June 30, 2025, compared to the same~~ period ~~of fiscal~~ ~~year~~last 2024, generally reflected radio product and accessories sales mix and the full impact of material cost improvements related to the transition of manufacturing production to East West Manufacturing, LLC., during fiscal year ~~2024~~.

WeSales ~~utilize~~for athe ~~combination~~third ofquarter ~~internal manufacturing capabilities~~ and ~~contract~~nine months ~~manufacturing~~ended ~~relationships~~September ~~for~~30, ~~production~~2025, ~~efficiencies~~were ~~and~~attributed primarily to ~~manage~~Federal, ~~material~~state and ~~labor~~local ~~costs.~~public ~~During~~safety ~~the~~opportunities. ~~year~~From ~~ended~~a ~~December~~product 31perspective, ~~2024,~~the weprimary ~~completed~~contributor ~~the~~to ~~transfer~~orders ofand ~~manufacturing~~shipments ~~most~~during ofthe ~~our~~third ~~products~~quarter and ~~accessories~~nine months toended ~~East~~September 30, ~~West Manufacturing~~2025, ~~LLC. We~~was ~~believe that~~ our ~~current~~BKR ~~manufacturing~~series radios ~~capabilities~~ and ~~contract~~related ~~relationships~~accessories. orThe ~~comparable~~BKR ~~alternatives~~Series ~~will~~is ~~continue~~envisioned toas bea ~~available~~comprehensive toline ~~us.~~of ~~However~~new products, wewhich ~~may~~includes ~~encounter~~ new ~~product~~models ~~costs~~such ~~and~~as ~~competitive~~the ~~pricing~~BKR ~~pressures~~9000, inwhich ~~the~~achieved ~~future~~first ~~and~~sales in the ~~extent~~second quarter of ~~their impact on gross margins, if any, is uncertain~~2023.

21 We believe that the BKR Series products should increase our addressable market by expanding the number of Federal, state and local public safety customers that may purchase our products. However, the timing and size of orders from agencies at all levels can be unpredictable and subject to budgets, priorities, and other factors.

~~Table~~While the potential impacts of ~~Contents~~ the current administration's tariff policies, the ongoing government shutdown, material shortages, lead-times, high inflation and ongoing geopolitical conflicts in Ukraine and the Middle East and other geopolitical events remain uncertain in the coming months and quarters, such effects have the potential to adversely impact our customers and our supply chain. Such negative effects on our customers and suppliers could adversely affect our future sales, gross profit margins, operations and financial results.

~~Selling,~~Cost ~~General~~of Products and ~~Administrative~~Gross ~~Expenses~~Profit Margin

~~SG&A~~Gross ~~expenses~~profit ~~consist~~margins as a percentage of ~~marketing~~sales for the third quarter ended September 30, 2025, were approximately 49.9% compared with 38.8% for the same quarter of fiscal year 2024. Gross profit margins as a percentage of sales for the nine months ended September 30, ~~commissions~~2025, ~~engineering~~were approximately 48.2% compared with 36.9% for the same period of fiscal year 2024. Our cost of products and gross profit margins are primarily derived from material, labor, and overhead costs, product ~~development~~mix, ~~management~~manufacturing ~~information~~volumes and ~~systems~~pricing. The increase in gross profit margins for the three- and nine-months ended September 30, ~~accounting~~2025, ~~headquarters~~compared to the same periods of fiscal year 2024, generally reflect price increases related to tariffs, radio product and ~~non-cash~~accessories ~~share-based~~sales ~~employee~~mix ~~compensation~~and ~~expenses~~the full impact of material cost improvements related to the transition of manufacturing production to East West Manufacturing, LLC., during fiscal year 2024.

~~SG&A~~We ~~expenses~~utilize ~~for~~a ~~the~~combination ~~quarter~~of ~~ended~~internal ~~June~~manufacturing ~~30,~~capabilities ~~2025,~~and ~~totaled~~contract ~~approximately~~manufacturing ~~$6.0 million~~relationships ~~(28.5%~~for ofproduction ~~sales),~~efficiencies ~~compared~~and ~~with~~to ~~approximately~~manage ~~$5.5 million~~material ~~(27.3%~~and oflabor ~~sales)~~costs. ~~for~~During the ~~same~~year ~~quarter~~ended ofDecember ~~fiscal year~~31, 2024~~. For~~, we completed the ~~six~~transfer ~~months~~of ~~ended~~manufacturing ~~June~~most ~~30,~~of ~~2025,~~our ~~SG&A~~products ~~expenses~~and ~~increased~~accessories byto $1East West Manufacturing, LLC.2 ~~million,~~We believe that our current manufacturing capabilities and contract relationships or ~~11.5%,~~comparable alternatives will continue to ~~approximately~~be ~~$12.1 million~~available ~~(30~~to us.0% ~~of sales)~~However, ~~compared~~we ~~with~~may ~~approximately~~encounter ~~$10.8 million~~new ~~(28.1%~~product ofcosts ~~sales),~~and ~~for~~competitive pricing pressures in the ~~six-month~~future ~~period~~and ~~last~~the ~~year~~extent of their impact on gross margins, if any, is uncertain.

Engineering and product development expenses for the second quarter of 2025 totaled approximately $2.3 million (10.9% of sales), compared with approximately $2.0 million (9.8% of sales) for the same quarter of fiscal year 2024. For the six months ended June 30, 2025, engineering and product development expenses totaled approximately $5.0 million (12.5% of sales), compared with approximately $4.1 million (10.6% of sales) for the six-month period last year. The increase in engineering expenses was attributed primarily to non-capitalizable development costs for the BKR multi-band mobile radio product and RSU issuance costs described above and in Note 8 (Non-Cash Share-Based Employee Compensation) to the condensed consolidated financial statements included in this report. Most of these activities were being performed by our internal engineering team and were their primary focus, combined with sustaining engineering support for our existing products. The precise date for developing and introducing new products is uncertain and can be impacted by, among other things, supply chain shortages, including the impact of tariffs and certain component lead times in coming months and quarters. 21

~~Marketing~~ Table ~~and selling expenses for the second quarter~~ of 2025 totaled approximately $1.9 million (9.2% of sales), compared with approximately $1.7 million (8.4% of sales) for the second quarter of fiscal year 2024. For the six months ended June 30, 2025, marketing and selling expenses increased approximately $0.6 million, or 17.1%, to approximately $3.8 million (9.4% of sales), compared with approximately $3.2 million (8.4% of sales) for the same period last year. The increase in marketing and selling expenses for the three and six months ended June 30, 2025 was attributed primarily to additional salespeople and increased trade show participation.Contents

~~Other general and administrative expenses for the second quarter of 2025 totaled approximately $1.8 million (8.5% of sales)~~Selling, ~~compared~~General ~~with approximately $1.8 million (9.0% of sales) for the same period of fiscal year 2024. For the six months ended June 30, 2025, other general~~ and ~~administrative~~Administrative expenses totaled approximately $3.3 million (8.1% of sales), compared with approximately $3.5 million (9.2% of sales) for the six-month period last year. The decrease in other general and administrative expenses for the three and six months ended June 30, 2025, was attributed primarily to the non-recurring nature of certain corporate consulting expenses during the six months ended June 30, 2024.Expenses

~~Operating~~SG&A ~~Income~~ expenses consist of marketing, sales, commissions, engineering, product development, management information systems, accounting, headquarters, and non-cash share-based employee compensation expenses.

~~Operating~~SG&A ~~income~~expenses for the quarter ended ~~June~~September 30, 2025, totaled approximately $47.03 million (1830.91% of sales), compared with ~~operating income of~~ approximately $25.02 million (1025.09% of sales) for the same ~~period~~quarter of fiscal year 2024. For the ~~six~~ nine months ended ~~June~~ September 30, 2025, ~~our~~SG&A ~~operating~~expenses ~~income~~increased ~~totaled~~by $3.4 million, or 21.0%, to approximately $619.9 4 million (1730.20% of sales), compared with ~~operating income of~~ approximately $316.01 million (727.84% of sales), for the ~~six~~nine-month period last year. The operating income improvement for the three and six months ended June 30, 2025, compared to the same periods last year, was attributed to higher gross profit margins related to improved product sales mix and the full impact of material cost improvements related to the transition of manufacturing production to East West Manufacturing, LLC., during fiscal year 2024.

~~Other~~Engineering and product development expenses for the third quarter of 2025 totaled approximately $2.8 million (~~Expense~~11.4% of sales), ~~Income~~compared with approximately $1.9 million (9.2% of sales) for the same quarter of fiscal year 2024. For the nine months ended September 30, 2025, engineering and product development expenses totaled approximately $7.8 million (12.1% of sales), compared with approximately $5.9 million (10.1% of sales) for the nine-month period last year. The increase in engineering expenses was attributed primarily to non-capitalizable development costs for the BKR multi-band mobile radio product and restricted stock unit issuance costs described in Note 8 (Non-Cash Share-Based Employee Compensation) to the condensed consolidated financial statements included in this report. Most of these activities were being performed by our internal engineering team and were their primary focus, combined with sustaining engineering support for our existing products. The precise date for developing and introducing new products is uncertain and can be impacted by, among other things, supply chain shortages, including the impact of tariffs and certain component lead times in coming months and quarters.

WeMarketing ~~recorded~~and ~~net~~selling ~~interest~~expenses ~~income of approximately $39,000~~ for the third quarter ~~ended~~of ~~June~~2025 ~~30,~~totaled ~~2025~~approximately $2.1 million (8.7% of sales), compared with approximately $~~106,000~~1.5 million ~~net~~(7.2% ~~interest~~of ~~expense~~sales) for the ~~second~~third quarter of fiscal year 2024. For the ~~six~~ nine months ended ~~June~~ September 30, 2025, ~~net~~marketing ~~interest~~and ~~income totaled~~selling expenses increased approximately $421.3 million,~~000~~ or 28.0%, ~~compared~~to ~~with~~approximately ~~net~~$5.9 million ~~interest~~(9.1% ~~expense~~ of sales), compared with approximately $04.3 6 million (7.9% of sales) for the ~~six-month~~same period last year. ~~Net~~The ~~interest~~increase ~~expense~~in ~~was~~marketing ~~primarily~~and ~~the~~selling ~~result~~expenses offor ~~our~~the ~~Alterna~~three ~~IPSA~~and ~~Line~~nine months ofended ~~Credit,~~September ~~which~~30, 2025 was ~~paid~~attributed inprimarily ~~full~~to inadditional ~~September~~salespeople ~~2024~~ and ~~terminated~~increased intrade ~~October~~show ~~2024~~participation.

22 Other general and administrative expenses for the third quarter of 2025 totaled approximately $2.4 million (10.0% of sales), compared with approximately $1.9 million (9.4% of sales) for the same period of fiscal year 2024. For the nine months ended September 30, 2025, other general and administrative expenses totaled approximately $5.7 million (8.8% of sales), compared with approximately $5.5 million (9.4% of sales) for the nine-month period last year. The increase in other general and administrative expenses for the three and nine months ended September 30, 2025, was attributed primarily to non-cash stock compensation and the non-recurring nature of certain corporate consulting expenses compared to the nine months ended September 30, 2024.

~~Table~~Operating ~~of Contents~~ Income

OnOperating ~~January~~income ~~25,~~for ~~2024,~~ the ~~Company~~quarter ~~redeemed~~ended ~~its~~September ~~Series~~30, B2025, ~~common~~totaled ~~membership~~approximately ~~interests~~$4.8 million (~~the~~19.8% ~~“Interests”~~of sales), compared with operating income of FGapproximately ~~Holdings~~$2.6 million ~~LLC~~(12.9% ~~and~~of ~~withdrew~~sales) ~~from~~for FGthe ~~Holdings~~same ~~LLC~~period of fiscal year 2024. For Inthe ~~exchange~~nine months ~~for~~ended ~~its~~September 30, ~~Interests~~2025, ~~the~~our ~~Company~~operating ~~received~~income ~~52,000~~totaled ~~shares~~approximately of$11.8 million ~~our~~(18.2% ~~Common~~of ~~Stock~~sales), compared with anoperating ~~approximate~~income of ~~fair~~approximately ~~value~~$5.6 million (9.6% of ~~$0.7~~sales) ~~million on~~for the ~~date~~nine-month ofperiod last year. The operating income improvement for the ~~transaction~~three and ~~recorded~~nine amonths ~~realized~~ended ~~loss~~September of30, ~~approximately~~2025, ~~$0.1~~compared ~~million~~to on the ~~investment~~same ~~during~~periods ~~the~~last ~~first~~year, ~~quarter~~was ofattributed ~~2024. The shares~~to ~~received~~higher bygross ~~the~~profit ~~Company~~margins ~~are~~related ~~held~~to asimproved ~~treasury~~product ~~stock,~~sales ~~increasing~~mix and the ~~total~~full ~~number~~impact of ~~treasury~~material ~~shares~~cost ~~held~~improvements byrelated to the ~~Company~~transition of manufacturing production to ~~342~~East West Manufacturing,~~080~~ LLC., during fiscal year 2024.

Other Income ~~Taxes~~(Expense)

We recorded ~~approximately~~net ~~$275,000~~interest ~~and~~income of approximately $~~220~~94,000 ~~tax expense~~ for the ~~three~~quarter ~~months~~ ended ~~June~~September 30, 2025, ~~and~~compared ~~2024~~with approximately $1,000 ~~respectively~~net interest expense for the third quarter of fiscal year 2024. For the ~~six~~ nine months ended ~~June~~ September 30, 2025, ~~and~~net ~~2024,~~interest weincome totaled ~~recorded~~approximately $~~945~~136,000, compared ~~and~~with net interest expense of approximately $~~241~~281,000 for ~~tax~~the nine-month period last year. Net interest expense for the nine months of 2024 was primarily the result of our Alterna IPSA Line of Credit, which ~~respectively~~was paid in full in September 2024 and terminated in October 2024.

Our income tax provision is based on the effective tax rate for the year. The tax expense in any period may be affected by, among other things, permanent, as well as temporary, differences in the deductibility of certain items, in addition to changes in tax legislation. As a result, we may experience fluctuations in the effective book tax rate (that is, tax expense divided by pre-tax book income) from period to period. 22

As Table of ~~June 30, 2025, our net deferred tax assets totaled approximately $7.4 million and were primarily derived from capitalized research and development expenses and deferred revenue.~~Contents

InOn ~~order~~January to25, ~~fully~~2024, ~~utilize~~ the ~~net~~Company ~~deferred~~redeemed ~~tax~~its ~~assets,~~Series weB ~~will~~common ~~need~~membership tointerests ~~generate~~(the ~~sufficient~~“Interests”) ~~taxable~~of ~~income~~FG inHoldings ~~future~~LLC ~~years.~~and Wewithdrew ~~analyze~~from ~~all~~FG ~~positive~~Holdings ~~and~~LLC. ~~negative~~In ~~evidence~~exchange tofor ~~determine~~its ifInterests, ~~based on~~ the ~~weight~~Company ofreceived ~~available evidence~~52,000 weshares ~~are~~of ~~more~~our ~~likely~~Common ~~than~~Stock, ~~not~~with toan ~~realize~~approximate ~~the~~fair ~~benefit~~value of ~~the net deferred tax assets~~$0.7 ~~The~~million on ~~recognition~~the date of the ~~net~~transaction ~~deferred~~and ~~tax~~recorded ~~assets~~a ~~and~~realized ~~related~~loss ~~tax~~of ~~benefits~~approximately is$0.1 ~~based~~million ~~upon~~on ~~our~~the ~~conclusions~~investment ~~regarding,~~during ~~among~~the ~~other~~first ~~considerations,~~quarter ~~estimates~~ of ~~future~~2024. The shares ~~earnings~~received ~~based~~by onthe ~~information~~Company ~~currently~~are ~~available~~held ~~and~~as ~~current~~treasury ~~and anticipated customers~~stock, ~~contracts,~~increasing ~~and~~the ~~product~~total ~~introductions,~~number asof ~~well~~treasury asshares ~~historical~~held ~~operating~~by ~~results~~the ~~and~~Company ~~certain~~to ~~tax planning strategies~~342,080.

~~Based~~Income on our analysis of all available evidence, both positive and negative, we have concluded that, except for the capital loss carryforward of approximately $802,000, we will have the ability to generate sufficient taxable income in the necessary period to utilize the entire benefit for the deferred tax assets. We cannot presently estimate what, if any, changes to the valuation of our deferred tax assets may be deemed appropriate in the future. If we incur future losses, it may be necessary to record additional valuation allowance related to the deferred tax assets recognized as of June 30, 2025.Taxes

OnWe ~~July~~recorded 4,approximately ~~2025, new U~~$1.S5 million and $247,000 tax ~~legislation~~expense for ~~(referred to as~~ the ~~“One~~three ~~Big~~months ~~Beautiful~~ended ~~Bill~~September 30, ~~Act”~~2025, orand ~~“OBBBA”)~~2024, ~~was enacted in the U~~respectively.S. For ~~The OBBBA makes permanent~~ the ~~extension~~nine months ofended ~~certain~~September 30, ~~provisions~~2025, ~~of the Tax Cuts~~ and ~~Jobs~~2024, ~~Act~~we ~~that~~recorded ~~were set to expire at the end of 2025~~$2.4 million and ~~Additionally, the OBBBA makes changes to certain U~~$0.S.5 ~~corporate~~ million tax ~~provisions. The legislation has multiple effective dates~~expense, ~~with certain provisions effective in 2025 and others implemented through 2027. The Company is currently assessing the impact of the OBBBA on its consolidated financial statements.~~respectively

~~Liquidity~~Our ~~and~~income ~~Capital~~tax ~~Resources~~provision is based on the effective tax rate for the year. The tax expense in any period may be affected by, among other things, permanent, as well as temporary, differences in the deductibility of certain items, in addition to changes in tax legislation. As a result, we may experience fluctuations in the effective book tax rate (that is, tax expense divided by pre-tax book income) from period to period.

~~For~~As ~~the~~of ~~six months ended June~~ September 30, 2025, our net ~~cash~~deferred ~~provided~~tax byassets ~~operating activities~~ totaled approximately $65.05 million~~, compared with cash provided by operating activities of approximately $3.3~~ ~~million~~and ~~for~~were ~~the same fiscal year period of 2024. Cash provided by operating activities for the six months ended June 30, 2025, was~~ primarily ~~related~~derived tofrom ~~net~~capitalized ~~income~~research and andevelopment ~~increase~~expenses ~~in accounts payable, partially offset by an increase in accounts receivable. Cash provided by operating activities for the six months ended June 30, 2024, was primarily related to net income~~ and ~~a decrease~~deferred ~~in inventories, partially offset by an increase in accounts receivable and a decrease in accounts payable~~revenue.

23 In order to fully utilize the net deferred tax assets, we will need to generate sufficient taxable income in future years. We analyze all positive and negative evidence to determine if, based on the weight of available evidence, we are more likely than not to realize the benefit of the net deferred tax assets. The recognition of the net deferred tax assets and related tax benefits is based upon our conclusions regarding, among other considerations, estimates of future earnings based on information currently available and current and anticipated customers, contracts, and product introductions, as well as historical operating results and certain tax planning strategies.

~~Table~~Based on our analysis of ~~Contents~~ all available evidence, both positive and negative, we have concluded that, except for the capital loss carryforward of approximately $802,000, we will have the ability to generate sufficient taxable income in the necessary period to utilize the entire benefit for the deferred tax assets. We cannot presently estimate what, if any, changes to the valuation of our deferred tax assets may be deemed appropriate in the future. If we incur future losses, it may be necessary to record additional valuation allowance related to the deferred tax assets recognized as of September 30, 2025.

~~For~~On ~~the~~July first six months of 2025, we had net income of approximately $5.9 million, compared with a net income of approximately $2.3 million for the same period of fiscal year 2024. Accounts receivable increased approximately $4~~.2 million during the six months ended June 30~~, 2025, ~~compared~~new ~~with an increase of approximately $3~~U.~~7 million~~S ~~for~~tax ~~the~~legislation ~~same~~(referred ~~period of fiscal year 2024, primarily due~~ to ~~the~~as ~~timing of customer collections in~~ the ~~first~~“One ~~six~~Big ~~months~~Beautiful ofBill ~~fiscal~~Act” ~~year 2025 and~~or ~~2024.~~“OBBBA”) ~~Inventories~~was ~~decreased~~enacted ~~during~~in the ~~six months ended June 30, 2025, by approximately $0~~U.~~3 million compared to a decrease of approximately $2~~S.~~4 million~~ ~~for the same period of fiscal year 2024.~~ The ~~decreases~~OBBBA inmakes ~~inventories~~permanent ~~were primarily attributed to~~ the ~~transition~~extension of ~~manufacturing~~certain ~~production~~provisions of ~~our products to East West Manufacturing LLC, in fiscal year 2024. Accounts payable for~~ the ~~six months ended~~Tax ~~June 30,~~Cuts 2025, increased approximately $3.5 million, compared with a decrease of approximately $1.0 million for the same period of fiscal year 2024, primarily due to the increased contract manufacturing production and ~~reduction~~Jobs inAct ~~raw~~that ~~material~~were ~~purchases~~set ~~in 2024 related~~ to ~~the~~expire ~~transition~~at ~~of manufacturing production of our products to East West Manufacturing LLC, during~~ the ~~second~~end ~~quarter~~ of ~~2024~~2025. ~~Accrued~~ ~~compensation~~Additionally, ~~and related expenses decreased during~~ the ~~first~~OBBBA ~~six~~makes ~~months~~changes ofto ~~2025~~certain ~~by approximately $0~~U.~~6 million compared with an increase of $0~~S.~~3 million~~ ~~for~~corporate ~~the~~tax ~~same period of fiscal year 2024~~provisions. ~~Depreciation~~The ~~and~~legislation ~~amortization~~has ~~totaled~~multiple ~~approximately~~effective ~~$0.9 million for the six months ended June 30~~dates, ~~2025, compared~~ with ~~approximately~~certain ~~$0.8 million~~provisions ~~for~~effective ~~the~~in ~~same~~2025 ~~period of fiscal year 2024. Depreciation~~ and ~~amortization~~others ~~are~~implemented ~~primarily~~through ~~related to manufacturing and engineering equipment~~2027. ~~There~~The ~~were~~Company ~~no realized~~is orcurrently ~~unrealized~~assessing ~~losses on investments for~~ the ~~six~~impact ~~months~~of ~~ended June 30, 2025, compared to approximately $0.1 million for~~ the ~~same~~OBBBA ~~period~~on ofits ~~fiscal~~consolidated ~~year~~financial ~~2024~~statements. ~~For additional information pertaining to our investments, refer to Note 1 (Condensed Consolidated Financial Statement) included in this report.~~

~~Cash~~Liquidity used in investing activities for the six months ended June 30, 2025, totaled approximately $1.5 million, compared with approximately $0.8 million for the same period of fiscal year 2024. The cash used for the six-month period ended June 30, 2025, was attributed primarily to capitalized product development costs and ~~purchases~~Capital of engineering equipment and tooling, compared to cash used for the six-month period ended June 30, 2024, which was also primarily attributed to capitalized development costs and the purchase of engineering and manufacturing related equipment.Resources

For the ~~six~~nine months ended ~~June~~September 30, 2025, ~~approximately~~net ~~$0.2~~cash ~~million was~~ provided by ~~financing~~ operating activities totaled approximately $16.4 million, compared with cash ~~used~~provided ~~in financing~~by operating activities of approximately $2.9.0 million for the same ~~period of~~ fiscal year period of 2024. ~~During~~Cash ~~the~~provided ~~first~~by ~~six~~operating activities for the nine months ofended ~~2024~~September 30, we ~~received~~2025, ~~cash~~was ofprimarily ~~approximately~~related to net income of $299.03 million ~~from~~and ~~our~~an ~~Alterna~~increase ~~Capital~~of ~~Solutions~~$4.5 million in accounts payable, partially offset ~~LLC~~by ~~revolving~~an ~~credit~~increase ~~facility~~of $1.8 million in inventories. Cash provided by operating activities for the nine months ended September 30, 2024, was primarily related to net income of ~~repayments~~$4.7 million ~~totaling~~and ~~approximately~~a $315.9 3 million reduction in inventory, somewhat offset by a $1.6 million increase in accounts receivable and a $3.9 million decrease in accounts payable.

Our cash and cash equivalents balance on June 30, 2025, was approximately $11.9 million. We believe these funds, combined with anticipated cash generated from operations and borrowing availability under our Fifth Third RLC (as defined below), are sufficient to meet our working capital requirements for the foreseeable future. We may, depending on a variety of factors, including market conditions for capital raises, the trading price of our common stock and opportunities for uses of any proceeds, engage in public or private offerings of equity or debt securities to increase our capital resources. However, financial and economic conditions, including those resulting from supply chain delays or interruptions, labor shortages, wage pressures, rising inflation, geopolitical events, the impacts of tariffs, and other force majeure events, could result in volatility in the financial and capital markets and could limit our access to credit and impair our ability to raise capital, if needed, on acceptable terms or at all. We also face other risks that could impact our business, liquidity, and financial condition. 23

On Table October 30, 2024, the Company's subsidiary, BK Technologies, Inc. entered into a Revolving Loan Commitment (“RLC”) with Fifth Third Bank, National Association (“Fifth Third”). The Fifth Third RLC provides for a one-year revolving line of credit with a maximum commitment of $6 million, with an accordion feature, if certain conditions are met, for up to an additional $4 million of borrowing capacity, totaling a maximum commitment of $10 million. Each advance shall accrue interest on the outstanding principal amount thereof at a rate of SOFR plus 2.5% per annum. Each advance may be prepaid at any time without penalty and the entire line of credit commitment may be permanently terminated by BK Technologies, Inc. at any time upon 10 days’ prior written notice to the lender without penalty. The RLC has a borrowing base equal to the sum of (i) 80% of eligible commercial accounts receivable, plus (ii) 50% of federal government accounts receivable, plus (iii) the lesser of (a) the sum of (i) and (ii) and (b) 50% of eligible finished goods inventory. The Company has not utilized funding and there were no borrowings under the RLC agreement as of June 30, 2025, and as of the date of filing this report.Contents

BKFor ~~Technologies~~the first nine months of 2025, ~~Inc~~we had net income of approximately $9.'s3 million, ~~repayment~~compared ~~obligations~~with ~~under~~a ~~the~~net income ~~RLC~~of approximately $4.7 ~~are~~million ~~guaranteed~~for bythe same period of fiscal year 2024. Accounts receivable increased approximately $0.2 million during the ~~Company~~nine ~~and~~months ~~Relm~~ended ~~Communications~~September 30, ~~Inc.~~2025, ~~and~~compared ~~secured~~with byan aincrease ~~pledge~~of approximately $1.6 million for the same period of ~~essentially~~fiscal ~~all~~year 2024, primarily due to the timing of customer collections in the ~~assets~~first nine months of fiscal year 2025 and 2024. Inventories increased during the ~~Company,~~nine BKmonths ~~Technologies~~ended September 30, ~~Inc~~2025, by approximately $1.8 million ~~and~~compared ~~Relm~~to a ~~Communications,~~decrease ~~Inc~~of approximately $5.3 million for the same period of fiscal year 2024. The ~~loan~~increase in ~~parties~~inventories ~~are~~during ~~subject~~the tonine ~~customary~~months ~~negative~~ended ~~covenants~~September 30, ~~including~~2025 ~~with~~was primarily ~~respect~~attributed to ~~their~~an ~~ability~~increase toin ~~incur~~finished ~~additional~~goods ~~indebtedness~~in 2025 somewhat offset by a decrease in raw materials. Accounts payable for the nine months ended September 30, ~~encumber~~2025, ~~and~~increased ~~dispose~~approximately $4.5 million, compared with a decrease of ~~their~~approximately ~~assets~~$3.9 million ~~and~~for ~~enter~~the ~~into~~same ~~affiliate~~period ~~transactions. BK~~of ~~Technologies~~fiscal year 2024, ~~Inc~~primarily due to the increased contract manufacturing production to East West Manufacturing LLC, during of 2024. Accrued ~~must~~other ~~also~~expenses ~~comply~~decreased during the first nine months of 2025 by approximately $1.3 million compared with: ~~(i)~~an aincrease ~~maximum~~of ~~total~~$0.8 million ~~funded~~for ~~debt~~the ~~ratio~~same period of 2fiscal year 2024.00 toDepreciation and amortization totaled approximately $1.~~00;~~3 million ~~and~~for ~~(ii)~~the anine ~~fixed~~months ~~charge~~ended ~~coverage~~September ~~ratio~~30, of2025, compared with approximately $1.23 million for the same period of fiscal year 2024. Depreciation and amortization are primarily related to 1manufacturing and engineering equipment.0 asThere ~~measured~~were no realized or unrealized losses on ainvestments ~~rolling~~for ~~twelve-month~~the ~~basis~~nine months ended September 30, ~~each~~2025, ~~measured~~compared atto approximately $0.1 million for the ~~end~~same period of ~~each~~ fiscal ~~quarter~~year 2024. For additional information pertaining to our investments, refer to Note 1 (Condensed Consolidated Financial Statement) included in this report.

24 Cash used in investing activities for the nine months ended September 30, 2025, totaled approximately $2.4 million, compared with approximately $1.6 million for the same period of fiscal year 2024. The cash used for the nine-month period ended September 30, 2025, was attributed primarily to capitalized product development costs and purchases of engineering equipment and tooling, compared to cash used for the nine-month period ended September 30, 2024, which was also primarily attributed to capitalized development costs and the purchase of engineering and manufacturing related equipment.

~~Table~~For the nine months ended September 30, 2025, approximately $0.4 million was provided by financing activities, compared with cash used in financing activities of ~~Contents~~ approximately $6.6 million for the same period of fiscal year 2024. During the first nine months of 2024, we received cash of approximately $46.4 million from our Alterna Capital Solutions, LLC revolving credit facility, net of repayments totaling approximately $53.0 million.

~~The~~Our ~~Fifth~~cash ~~Third~~and ~~RLC agreement~~cash ~~provided~~equivalents ~~for~~balance ~~customary~~on ~~events~~September of30, ~~default~~2025, ~~including:~~was ~~(1)~~approximately ~~failure~~$21.5 million. toWe ~~pay~~believe ~~principal~~these funds, ~~interest~~combined orwith ~~fees~~anticipated ~~under~~cash ~~the~~generated ~~RLC~~from ~~when~~operations ~~due~~ and ~~payable;~~borrowing ~~(2)~~availability ~~failure~~under toour ~~comply~~Fifth ~~with~~Third ~~other~~credit ~~covenants~~agreement, ~~and~~are ~~agreements~~sufficient ~~contained~~to inmeet ~~the~~our ~~Revolving~~working ~~Loan~~capital ~~Commitment agreement~~requirements ~~and~~for the ~~other~~foreseeable ~~documents~~future. ~~executed~~We inmay, ~~connection~~depending ~~therewith;~~on ~~(3)~~a variety of factors, including market conditions for capital raises, the ~~making~~trading price of ~~false~~our orcommon ~~inaccurate~~stock ~~representations~~ and ~~warranties;~~opportunities ~~(4)~~for ~~defaults~~uses ~~under~~of ~~other~~any ~~debt~~proceeds, engage in public or ~~other~~private ~~obligations~~offerings of BKequity ~~Technologies,~~or ~~Inc.;~~debt ~~(5)~~securities ~~money~~to ~~judgments~~increase ~~and~~our ~~material~~capital ~~adverse~~resources. ~~changes;~~However, ~~(6)~~financial aand ~~change~~economic inconditions, ~~control~~including orthose ~~ceasing~~resulting tofrom ~~operate~~supply ~~business~~chain indelays ~~the~~or ~~ordinary~~interruptions, ~~course;~~labor ~~and~~shortages, ~~(7)~~wage ~~certain~~pressures, ~~events~~rising ofinflation, ~~bankruptcy~~geopolitical orevents, ~~insolvency~~a prolonged U.S. ~~Upon~~federal government shutdown, the ~~occurrence~~impacts of antariffs, ~~event~~and ofother ~~default~~force majeure events, ~~Fifth~~could result ~~Third~~in ~~may~~volatility ~~declare~~in the ~~entire~~financial ~~unpaid~~and ~~balance~~capital markets ~~immediately~~and ~~due~~could limit ~~and~~our ~~payable~~access to credit and~~/or~~ ~~exercise~~impair ~~any~~our ~~and~~ability to raise capital, if needed, on acceptable terms or at all. ~~remedial~~We ~~and~~also face other ~~rights~~risks ~~under~~that ~~the~~could ~~RLC~~impact ~~agreement~~our business, liquidity, and financial condition.

~~Critical~~On ~~Accounting~~October ~~Policies~~30, 2024, the Company's subsidiary, BK Technologies, Inc. entered into a Revolving Loan Commitment with Fifth Third Bank, National Association (“Fifth Third”) which was amended on October 30, 2025 (as amended, the “RLC”). The Fifth Third RLC provides for a revolving line of credit with a maximum commitment of $6 million, with an accordion feature, if certain conditions are met, for up to an additional $8 million of borrowing capacity, totaling a maximum commitment of $14 million. The RLC will mature on October 30, 2028. Each advance shall accrue interest on the outstanding principal amount thereof at a range of SOFR plus 1.75% to 2.25% per annum, based on certain total debt coverage ratios. Each advance may be prepaid at any time without penalty and the entire line of credit commitment may be permanently terminated by BK Technologies, Inc. at any time upon 10 days’ prior written notice to the lender without penalty. The Company has not utilized funding and there were no borrowings under the RLC agreement as of September 30, 2025, and as of the date of filing this report.

~~Our~~ BK ~~critical~~Technologies, ~~accounting~~Inc.'s ~~policies~~repayment ~~include~~obligations under the ~~our~~RLC are ~~revenue~~guaranteed ~~recognition~~by ~~process~~the Company and ~~our~~secured ~~accounting~~by ~~processes~~a ~~involving~~pledge ~~significant~~of ~~judgments~~essentially all of the assets of the Company, ~~estimates~~BK ~~and~~Technologies, ~~assumptions~~Inc. The ~~These~~Company ~~processes~~is subject ~~affect~~to ~~our~~customary ~~reported~~negative ~~revenues~~covenants, ~~and~~including ~~current~~with ~~assets~~respect ~~and~~to ~~are,~~our ~~therefore~~ability to incur additional indebtedness, ~~critical~~encumber inand ~~assessing~~dispose ~~our~~of ~~financial~~their assets and ~~operating~~enter ~~status~~into affiliate transactions. BK WeTechnologies, ~~regularly~~Inc. ~~evaluate~~must ~~these~~also ~~processes~~comply inwith: ~~preparing~~(i) ~~our~~a ~~financial~~maximum ~~statements~~total funded debt ratio of 2.00 ~~The~~to ~~processes~~1.00; ~~for~~(ii) ~~revenue~~a ~~recognition,~~fixed ~~allowance~~charge ~~for~~coverage ~~collection~~ratio of ~~trade~~1.2 ~~receivables,~~to ~~allowance~~1.0 ~~for~~as ~~excess~~measured oron ~~obsolete~~a ~~inventory~~rolling ~~and~~twelve-month ~~income~~basis, ~~taxes~~each ~~involve~~measured ~~certain~~at ~~assumptions~~the end of each fiscal quarter and ~~estimates~~(iii) ~~that~~a werequirement ~~believe~~that tothe beoutstanding ~~reasonable~~principal balance under ~~present~~the ~~facts~~RLC ~~and~~will ~~circumstances.~~be ~~These~~$0 ~~estimates~~for ~~and~~at ~~assumptions,~~least if30 ~~incorrect,~~consecutive ~~could~~days ~~adversely~~during ~~impact~~each ~~our~~annual ~~operations~~period ~~and~~ending ~~financial~~on ~~position~~October 30.

~~There were no other changes to our critical accounting policies during the six months ended June 30, 2025.~~ 24

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The Fifth Third RLC agreement provided for customary events of default, including: (1) failure to pay principal, interest or fees under the RLC when due and payable; (2) failure to comply with other covenants and agreements contained in the Revolving Loan Commitment agreement and the other documents executed in connection therewith; (3) the making of false or inaccurate representations and warranties; (4) defaults under other debt or other obligations of BK Technologies, Inc.; (5) money judgments and material adverse changes; (6) a change in control or ceasing to operate business in the ordinary course; and (7) certain events of bankruptcy or insolvency. Upon the occurrence of an event of default, Fifth Third may declare the entire unpaid balance immediately due and payable and/or exercise any and all remedial and other rights under the RLC agreement.

Critical Accounting Policies

Our critical accounting policies include our revenue recognition process and our accounting processes involving significant judgments, estimates and assumptions. These processes affect our reported revenues and current assets and are, therefore, critical in assessing our financial and operating status. We regularly evaluate these processes in preparing our financial statements. The processes for revenue recognition, allowance for collection of trade receivables, allowance for excess or obsolete inventory and income taxes involve certain assumptions and estimates that we believe to be reasonable under present facts and circumstances. These estimates and assumptions, if incorrect, could adversely impact our operations and financial position.

There were no other changes to our critical accounting policies during the nine months ended September 30, 2025.

Item 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK.

As a “smaller reporting company,” the Company is not required to include the disclosure under this Item.

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Item 4. CONTROLS AND PROCEDURES

Evaluation of Disclosure Controls and Procedures

We maintain disclosure controls and procedures (as defined in Rule 13a-15(e) under the Exchange Act) that are designed to ensure that information required to be disclosed in our reports under the Exchange Act, is recorded, processed, summarized and reported within the time periods specified in the SEC’s rules and forms, and that such information is accumulated and communicated to our management, including our Chief Executive Officer (who serves as our principal executive officer) and Chief Financial Officer (who serves as our principal financial and accounting officer), as appropriate, to allow timely decisions regarding required disclosure.

Our management, with the participation of our Chief Executive Officer and Chief Financial Officer, have evaluated the effectiveness of our disclosure controls and procedures. Based on that evaluation, our Chief Executive Officer and Chief Financial Officer concluded that, as of the end of the period covered by this Quarterly Report, our disclosure controls and procedures were not effective due to the material weakness related to the proper design and implementation of certain controls over income tax provisions and management’s review of the income tax provision described below.

Material Weakness in Internal Control Over Financial Reporting

A material weakness is a significant deficiency, or combination of significant deficiencies, in internal control over financial reporting, such that there is a reasonable possibility that a material misstatement of a company’s annual and interim financial statements will not be detected or prevented on a timely basis. During our assessment of the effectiveness of our internal control and as a result of the external audit of our financial results for the year ended December 31, 2024, we identified a material weakness in internal control related to the proper design and implementation of certain controls over financial reporting related to the income tax provision and management’s review of the income tax provision.

While we are working to implement controls and procedures to remediate the deficiency, such deficiency continues to result in an elevated risk that a material misstatement of our annual or interim financial statements would not be prevented or detected by other compensating controls. Notwithstanding the identified material weakness, we believe the consolidated financial statements included in this Quarterly Report fairly present, in all material respects, our financial condition, results of operations, and cash flows for the periods presented in conformity with U.S. generally accepted accounting principles.

Plan of Remediation of Material Weakness in Internal Control Over Financial Reporting

Following the identification and communication of the material weakness described above, management has actively engaged in implementing remediation plans to address the material weakness, including the following:

● Management, with the assistance of a third party, ~~will~~has started to perform an evaluation of the processes and procedures around our internal control design gaps, and recommend process enhancements, specifically related to income tax provisions.

●	We have and will continue enhancing our review processes for complex accounting transactions by enhancing access to accounting literature and identification of third-party professionals with whom to consult regarding complex accounting applications to supplement existing accounting professionals.

● We will utilize additional services of external consultants for non-routine and\/or technical accounting issues for income tax provisions as they arise.

The income tax provision material weakness identified above will not be considered fully remediated until these additional controls and procedures have operated effectively for a sufficient period of time and management has concluded, through testing, that these controls are effective. Our management will monitor the effectiveness of our remediation plans and will make changes management determines to be appropriate. No assurance can be made that our remediation efforts will be completed in a timely manner or that the updated controls and procedures associated with such efforts will be deemed adequate after being subjected to testing. If not remediated, this income tax provision material weakness could result in material misstatements to our annual or interim consolidated financial statements that may not be prevented or detected on a timely basis or result in a delayed filing of required periodic reports. If we are unable to assert that our internal control over financial reporting is effective, investors may lose confidence in the accuracy and completeness of our financial reports, the market price of our common stock could be adversely affected, and we could become subject to litigation or investigations by the NYSE American, the SEC, or other regulatory authorities, which could require additional financial and management resources.

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Changes in Internal Control over Financial Reporting

During the three months ended ~~June~~September 30, 2025, other than the changes discussed above, there were no changes in our internal control over financial reporting (as defined in Rule 13a-15(f) under the Exchange Act) that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

Inherent Limitation on the Effectiveness of Internal Control

The effectiveness of any system of internal control over financial reporting, including ours, is subject to inherent limitations, including the exercise of judgment in designing, implementing, operating, and evaluating the controls and procedures, and the inability to eliminate misconduct completely. Accordingly, any system of internal control over financial reporting, including ours, no matter how well designed and operated, can only provide reasonable, not absolute assurances. In addition, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate. We intend to continue to monitor and upgrade our internal controls as necessary or appropriate for our business but cannot assure you that such improvements will be sufficient to provide us with effective internal control over financial reporting.

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PART II - OTHER INFORMATION

Item 1. LEGAL PROCEEDINGS

From time to time, we may be involved in various claims and legal actions arising in the ordinary course of our business. We assess our liabilities and contingencies in connection with outstanding legal proceedings utilizing the latest information available. Where it is probable that we will incur a loss and the amount of the loss can be reasonably estimated, we record a liability in our consolidated financial statements. These legal accruals may be increased or decreased to reflect any relevant developments on a quarterly basis. Where a loss is not probable or the amount of the loss is not estimable, we do not record an accrual, consistent with applicable accounting guidance. In the opinion of management, while the outcome of such claims and disputes cannot be predicted with certainty, our ultimate liability in connection with these matters is not expected to have a material effect on our results of operations, financial position or cash flows, and the amounts accrued for any individual matter are not material. However, legal proceedings are inherently uncertain. As a result, the outcome of a particular matter or a combination of matters may be material to our results of operations for a particular period, depending on the size of loss or our income in that particular period.

During the quarter ended September 30, 2025, we had a cyber incident that impacted certain portions of our information technology (IT) systems. We have completed an investigation into the cybersecurity incident and remediated and mitigated cybersecurity concerns related thereto. For the avoidance of doubt, all critical IT systems have been restored and are operational at this time. We believe that we maintain a sufficient level of insurance coverage related to such events, and the related incremental costs incurred to date are immaterial. In October 2025, a class action lawsuit was filed against us related to the cyber incident. The suit is currently pending in the circuit court of Brevard County, Florida. We intend to vigorously defend this matter. We do not believe that any potential losses arising from the lawsuit are reasonably estimable at this time. It is reasonably possible that the Company may incur additional costs related to the matter, but we are unable to predict with certainty the ultimate amount or range of potential loss

Item 1A. RISK FACTORS

As of the date of this filing, except as set forth herein, there have been no material changes to the Risk Factors included in our Annual Report on Form 10-K for the fiscal year ended December 31, 2024, filed with the SEC on March 27, 2025. The Risk Factors set forth in the 2024 Form 10-K and in this Form 10-Q should be read carefully in connection with evaluating our business and in connection with the forward-looking statements contained in this Quarterly Report on Form 10-Q. Any of the risks described in the 2024 Form 10-K and this Form 10-Q could materially adversely affect our business, financial condition, or future results and the actual outcome of matters as to which forward-looking statements are made. These are not the only risks we face. Additional risks and uncertainties not currently known to us or that we currently deem to be immaterial also may materially adversely affect our business, financial condition, and/or operating results.

Continuing changes in U.S. trade policy, including the imposition of new or additional tariffs on imported goods, may have a material adverse effect on us

The U.S.’s trade policy, including the imposition of new or additional tariffs, remains in flux. Changes in U.S. trade policy have resulted in significant increases in tariffs for certain imported goods, as well as retaliatory tariffs and other trade barriers and restrictions by trading partners, and there could be further increases in tariffs and/or new or more stringent retaliatory measures imposed in the future. The current presidential administration has imposed new or increased tariffs on products from China and a number of other countries, including steel and aluminum. The imposition of these tariffs has strained international relations and resulted in the implementation of retaliatory tariffs and other measures on goods imported from the U.S., which could become more severe. We derive a majority of our revenues from products comprised of electronic components from foreign sources, which makes us especially vulnerable to increased tariffs. Ongoing or new trade wars and other governmental action related to tariffs imposed by the U.S. and other countries and changes to international trade agreements and policies could result in increased costs, and any action we take or may take as a result including increased prices to our customers, may not be sufficient to fully offset the impact of tariffs and could result in reduced profitability; could adversely impact our supply chain; and could reduce demand for our products and services, all of which could have a material adverse effect on our business and results of operations. Further, the volatility and unpredictability of international trade policies and conditions add further complexity to our operations, making it challenging to forecast and plan effectively. We are not able to predict future trade policy of the U.S. or of any foreign countries, or the terms of any trade agreements or their impact on our business. The adoption and expansion of trade restrictions and tariffs, quotas, embargoes and other related actions, the occurrence or threat of a trade war or other governmental action related to tariffs or trade agreements or policies, could also adversely impact our customers, our suppliers and the world and U.S. economies, including instability in the financial and capital markets, including bond markets, and the potential for a recession in the U.S. or globally, which in turn could have a material adverse effect on our business, operating results and financial condition.

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Item 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS

OnDuring ~~May~~the 2,third quarter of 2025, the Company issued ~~89,248~~ 419 shares of common stock upon the cashless exercise of aan outstanding warrant to purchase up to ~~135,300~~591 shares of common stock. The ~~issuances~~ issuance of ~~the~~ such shares was deemed to be exempt from registration pursuant to Section 3(a)(9) and Section 4(a)(2) of the Securities Act of 1933, as amended.

Share Repurchase Program

On December 21, 2021, the Company announced that the Board authorized a share repurchase program which permits the Company to purchase up to an aggregate of $5 million of its common shares. Repurchases may be made through a variety of methods, which could include open market purchases, accelerated share repurchase transactions, negotiated block transactions, Rule 10b5-1 plans, other transactions that may be structured through investment banking institutions or privately negotiated, or a combination of the foregoing. The program does not have an expiration date. Any repurchases would be funded using cash on hand and cash from operations. The actual timing, manner, and number of shares repurchased under the program will be determined by management and the Board at their discretion and will depend on several factors, including the market price of the Company’s common shares, general market and economic conditions, alternative investment opportunities, and other business considerations in accordance with applicable securities laws and exchange rules. The authorization of the share repurchase program does not require BK Technologies to acquire any particular number of shares and repurchases may be suspended or terminated at any time at the Company’s discretion. The following table provides information about purchases made by us of our common stock for each month included in the ~~second~~third quarter of 2025:

ISSUER PURCHASES OF EQUITY SECURITIES
					Total Number of Shares		Approximate Dollar Value
					Purchased as Part of		of Shares that May Still be
	Total Number of		Average Price		Publicly Announced		Purchased Under the
Period	Shares Purchased		Paid Per Share		Plans or Programs		Plans or Programs
April 1–30, 2025		—		—		—	$	5,000,000
July 1–31, 2025		—		—		—	$	5,000,000
May 1–31, 2025		—		—		—	$	5,000,000
August 1–31, 2025		—		—		—	$	5,000,000
June 1–30, 2025		—		—		—	$	5,000,000
September 1–30, 2025		—		—		—	$	5,000,000
Quarter Ended June 30, 2025		—	$	—		—	$	5,000,000
Quarter Ended September 30, 2025		—	$	—		—	$	5,000,000

Item 5. OTHER INFORMATION

During the quarter ended ~~June~~September 30, 2025, none of the Company’s directors or executive officers adopted, modified or terminated any “Rule 10b5-1 trading arrangement” or “non-Rule 10b5-1 trading arrangement” (each as defined in Item 408 of Regulation S-K).

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Item 6. EXHIBITS

Exhibits required to be filed by Item 601 of Regulation S-K are listed in the Exhibit Index below.

Exhibit Index

Exhibit Number		Description
Exhibit 3.1		Articles of Incorporation (incorporated by reference from Exhibit 3.1 to the Company’s Annual Report on Form 10-K filed March 17, 2022)
Exhibit 3.1.1		Certificate of Amendment to Articles of Incorporation (incorporated by reference from Exhibit 3.1.1 to the Company’s Annual Report on Form 10-K filed March 17, 2022)
Exhibit 3.1.2		Certificate of Change to Articles of Incorporation (incorporated by reference from Exhibit 3.1 to the Company’s Current Report on Form 8-K filed March 28, 2023)
Exhibit 3.2		Bylaws (incorporated by reference from Exhibit 3.3 to the Company’s Current Report on Form 8-K12B filed March 28, 2019)
Exhibit 10.1+		BKCEO ~~Technologies~~Performance ~~Corporation~~Stock ~~2025~~Option ~~Incentive~~Agreement ~~Compensation~~(July 10, 2025) (2025 Plan) (incorporated by reference from Exhibit 10.1 to the Company’s Current Report on Form 8-K filed ~~June~~July 1814, 2025)
Exhibit 10.2+		~~Form~~CFO ofPerformance Stock Option Agreement (July 10, 2025) (2025 Plan) (incorporated by reference from Exhibit 10.2 to the Company’s Current Report on Form 8-K filed ~~June~~July 1814, 2025)
Exhibit 10.3+		~~Form~~Second ofAmendment ~~Restricted~~to ~~Share~~CEO Employment Agreement (dated July 10, 2025, ~~Plan)~~by and between BK Technologies Corporation and John M. Suzuki (incorporated by reference from Exhibit 10.3 to the Company’s Current Report on Form 8-K filed ~~June~~July 1814, 2025)
Exhibit 10.4+		~~Form~~First ofAmendment ~~Restricted~~to ~~Share~~CFO ~~Unit~~Employment Agreement, (dated July 10, 2025, ~~Plan)~~by and between BK Technologies Corporation and Scott A. Malmanger (incorporated by reference from Exhibit 10.4 to the Company’s Current Report on Form 8-K filed ~~June~~July 1814, 2025)
Exhibit 10.5+		Form of Non-Employee Director Restricted Share Unit Agreement (2025 Plan) (incorporated by reference from Exhibit 10.5 to the Company’s Current Report on Form 8-K filed June 18, 2025)
Exhibit 10.5#		First Amendment Agreement, dated October 30, 2025, by and between BK Technologies, Inc. and Fifth Third Bank, National Association (incorporated by reference from Exhibit 10.1 to the Company’s Current Report on Form 8-K filed October 30, 2025)
Exhibit 10.6+		Form of Non-Employee Director Stock Option Agreement (2025 Plan) (incorporated by reference from Exhibit 10.6 to the Company’s Current Report on Form 8-K filed June 18, 2025)
Exhibit 10.7+		BK Technologies Corporation Employee Stock Purchase Plan (incorporated by reference from Exhibit 10.7 to the Company’s Current Report on Form 8-K filed June 18, 2025)
Exhibit 10.8+		CEO Performance Stock Option Agreement (July 10, 2025) (2025 Plan) (incorporated by reference from Exhibit 10.1 to the Company’s Current Report on Form 8-K filed July 14, 2025)
Exhibit 10.9+		CFO Performance Stock Option Agreement (July 10, 2025) (2025 Plan) (incorporated by reference from Exhibit 10.2 to the Company’s Current Report on Form 8-K filed July 14, 2025)
Exhibit 10.10+		Second Amendment to CEO Employment Agreement dated July 10, 2025, by and between BK Technologies Corporation and John M. Suzuki (incorporated by reference from Exhibit 10.3 to the Company’s Current Report on Form 8-K filed July 14, 2025)
Exhibit 10.11+		First Amendment to CFO Employment Agreement, dated July 10, 2025, by and between BK Technologies Corporation and Scott A. Malmanger (incorporated by reference from Exhibit 10.4 to the Company’s Current Report on Form 8-K filed July 14, 2025)
Exhibit 31.1		Certification of Principal Executive Officer Pursuant to Item 601(b)(31) of Regulation S-K, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
Exhibit 31.2		Certification of Principal Financial Officer Pursuant to Item 601(b)(31) of Regulation S-K, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
Exhibit 32.1		Certification of Principal Executive Officer Pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 (furnished pursuant to Item 601(b)(32) of Regulation S‑K)
Exhibit 32.2		Certification of Principal Financial Officer Pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 (furnished pursuant to Item 601(b)(32) of Regulation S‑K)
Exhibit 101.INS		Inline XBRL Instance Document
Exhibit 101.SCH		Inline XBRL Taxonomy Extension Schema Document
Exhibit 101.CAL		Inline XBRL Taxonomy Extension Calculation Linkbase Document
Exhibit 101.LAB		Inline XBRL Taxonomy Extension Label Linkbase Document
Exhibit 101.PRE		Inline XBRL Taxonomy Extension Presentation Linkbase Document
Exhibit 101.DEF		Inline XBRL Taxonomy Definition Linkbase Document
Exhibit 104		Cover Page Interactive Data File (embedded within the Inline XBRL document)
+ Management contract or compensatory plan or arrangement.
# Certain exhibits and schedules to this exhibit have been omitted pursuant to Regulation S-K Item 601(a)(5). The Company agrees to furnish supplementally a copy of any omitted schedule or exhibit to the SEC upon request.

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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

	BK TECHNOLOGIES CORPORATION
	(The “Registrant”)
Date: August 14, 2025	By:	/s/ John M. Suzuki
Date: November 6, 2025	By:	/s/ John M. Suzuki
		John M. Suzuki Chief Executive Officer (Principal executive officer and duly authorized officer)
Date: August 14, 2025	By:	/s/ Scott A. Malmanger
Date: November 6, 2025	By:	/s/ Scott A. Malmanger
		Scott A. Malmanger Chief Financial Officer (Principal financial and accounting officer and duly authorized officer)

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