SGRP — what changed in the latest 10-Q

Text added vs the prior filing · source: 10-Q · 2026-05-12

• As of March 31, 2026, the Company operated in the U.S. and Canada.

• Net revenues for three months ended March 31, 2026 were $30.5 million, compared to $34.0 million for the three months ended March 31, 2025, a decrease of $3.5 million, or 10.3%. Net revenues decreased during the quarter primarily due to lower volume in the remodel business.

• U.S. net revenues totaled $27.2 million and $30.8 million for the three months ended March 31, 2026 and 2025, respectively. The decrease of $3.4 million or 11.7% is driven by a soft quarter in our remodel business.

• Canada net revenues totaled $3.3 million and $3.2 million for the three months ended March 31, 2026 and 2025, respectively.

• The Company's cost of revenues consists of its in-store labor and field management wages, related benefits, travel and other direct labor-related expenses and was 77.7% of net revenue for the three months ended March 31, 2026 compared to 78.6% of net revenues for the three months ended March 31, 202…

Text removed vs the prior filing · source: 10-Q · 2025-11-14

• As of September 30, 2025, the Company operated in the United States and Canada. During 2024, the Company strategically exited joint ventures in Mexico, Brazil, South Africa, China, Japan and India.

• (1) Other one time expenses for the three months ended September 30, 2025 include legal expenses of $314K, restatement costs of $230K, and costs related to the strategic review of $415K. For the nine months ended September 30, 2025 other one time expenses include legal expenses of $328K, restatement…

• Net revenues for three months ended September 30, 2025 were $ 41.4 million, compared to $ 37.8 million for the three months ended September 30, 2024, an increase of $ 3.6 million, or 9.5%. Net revenues increased in the quarter, despite the sale of Mexico, Japan, and India. This increase in revenues …

• The Company's cost of revenues consists of its in-store labor and field management wages, related benefits, travel and other direct labor-related expenses and was 81.4% of net revenue for the three months ended September 30, 2025 compared to 77.7% of net revenues for the three months ended September…

• Cost of revenues for the three months ended September 30, 2025 were $ 33.7 million, compared to $ 29.3 million for the three months ended September 30, 2024, an increase of $ 4.4 million, or 15.0%. The increase is primarily due to the growth in revenues compared to last year.

Text added vs the prior filing · source: 10-Q · 2026-05-12

• There were no changes in the Company's internal controls over financial reporting that occurred during the three months ended March 31, 2026, that materially affected, or are reasonably likely to materially affect, the Company's internal controls over financial reporting.

Text removed vs the prior filing · source: 10-Q · 2025-11-14

• Material Weaknesses in Internal Control Over Financial Reporting

• Management did not maintain effective controls related to the financial statement close process to ensure the completeness and accuracy of certain amounts and disclosures, specifically related to the preparation and review of balance sheet account reconciliations and presentation of segment disclosu…

• Management did not design and implement effective controls used in the financial close process over non-recurring transactions, including accounting for the deconsolidation and sale of the international components. This material weakness resulted in errors in the calculation and presentation of the …

• The Company has begun the process of, and is focused on, designing and implementing effective internal control measures to improve its internal control over financial reporting and remediate the material weakness identified above. The Company's internal control remediation efforts include the follow…

• 1. Implemented a modern and more efficient ERP system which went live January 1, 2025 with a parallel run in Q4 2024, and which includes modern and inherent controls and reduces the need for manual adjustments and likelihood of errors;