Cover
Cover - $ / shares | 6 Months Ended | |
Jun. 30, 2024 | Aug. 13, 2024 | |
Document Type | 10-Q | |
Amendment Flag | false | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Document Period End Date | Jun. 30, 2024 | |
Document Fiscal Period Focus | Q2 | |
Document Fiscal Year Focus | 2024 | |
Current Fiscal Year End Date | --12-31 | |
Entity File Number | 001-41034 | |
Entity Registrant Name | SYNTEC OPTICS HOLDINGS, INC. | |
Entity Central Index Key | 0001866816 | |
Entity Tax Identification Number | 87-0816957 | |
Entity Incorporation, State or Country Code | DE | |
Entity Address, Address Line One | 515 Lee Rd. | |
Entity Address, City or Town | Rochester | |
Entity Address, State or Province | NY | |
Entity Address, Postal Zip Code | 14606 | |
City Area Code | (585) | |
Local Phone Number | 464-9336 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | true | |
Elected Not To Use the Extended Transition Period | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 36,688,266 | |
Entity Listing, Par Value Per Share | $ 0.0001 | |
Common stock, par value $0.0001 per share | ||
Title of 12(b) Security | Common stock, par value $0.0001 per share | |
Trading Symbol | OPTX | |
Security Exchange Name | NASDAQ | |
Redeemable warrants, exercisable for shares of common stock at an exercise price of $11.50 per share | ||
Title of 12(b) Security | Redeemable warrants, exercisable for shares of common stock at an exercise price of $11.50 per share | |
Trading Symbol | OPTXW | |
Security Exchange Name | NASDAQ |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) | Jun. 30, 2024 | Dec. 31, 2023 |
Current Assets | ||
Cash | $ 830,479 | $ 2,158,245 |
Accounts Receivable, Net | 5,939,091 | 6,800,064 |
Inventory | 7,501,090 | 5,834,109 |
Prepaid Expenses and Other Assets | 302,134 | 359,443 |
Total Current Assets | 14,572,794 | 15,151,861 |
Property and Equipment, Net | 10,651,951 | 11,101,052 |
Deferred Income Taxes | 283,104 | |
Intangible Assets, Net | 265,000 | 295,000 |
Total Assets | 25,772,849 | 26,547,913 |
Current Liabilities | ||
Accounts Payable | 2,574,836 | 3,042,315 |
Accrued Expenses | 1,197,066 | 1,071,257 |
Federal Income Tax Payable | 51,966 | 370,206 |
Deferred Revenue | 280,763 | |
Line of Credit | 6,263,863 | 6,537,592 |
Current Maturities of Debt Obligations | 454,522 | 362,972 |
Total Current Liabilities | 10,823,016 | 11,384,342 |
Long-Term Liabilities | ||
Long-Term Debt Obligations | 2,813,391 | 2,024,939 |
Deferred Income Taxes | 74,890 | |
Total Long-Term Liabilities | 2,813,391 | 2,099,829 |
Total Liabilities | 13,636,407 | 13,484,171 |
Commitments and Contingencies (Note 15) | ||
Stockholder’s Equity | ||
Additional Paid-In Capital | 1,927,204 | 1,927,204 |
Retained Earnings | 10,205,569 | 11,132,869 |
Total Stockholder’s Equity | 12,136,442 | 13,063,742 |
Total Liabilities and Stockholder’s Equity | 25,772,849 | 26,547,913 |
Common Class A [Member] | ||
Stockholder’s Equity | ||
Common Stock Value | $ 3,669 | $ 3,669 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares | Jun. 30, 2024 | Dec. 31, 2023 |
Common stock, shares outstanding | 36,688,266 | 36,688,266 |
Common Class A [Member] | ||
Common stock, par value | $ 0.0001 | $ 0.0001 |
Common stock, shares authorized | 121,000,000 | 121,000,000 |
Common stock, shares issued | 36,688,266 | 36,688,266 |
Common stock, shares outstanding | 36,688,266 | 36,688,266 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations (Unaudited) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Income Statement [Abstract] | ||||
Net Sales | $ 7,006,000 | $ 7,692,296 | $ 13,261,908 | $ 14,576,732 |
Cost of Goods Sold | 4,831,673 | 5,315,662 | 10,380,138 | 10,488,396 |
Gross Profit | 2,174,327 | 2,376,634 | 2,881,770 | 4,088,336 |
General and Administrative Expenses | 2,015,783 | 1,609,270 | 4,130,326 | 3,127,232 |
Income (Loss) from Operations | 158,544 | 767,364 | (1,248,556) | 961,104 |
Other Income (Expense) | ||||
Interest Expense, Including Amortization of Debt Issuance Costs | (167,242) | (131,562) | (327,109) | (261,583) |
Other Income | 319,623 | 49,056 | 338,972 | 49,807 |
Total Other Income (Expense), Net | 152,381 | (82,506) | 11,863 | (211,776) |
Income (Loss) Before Provision for (Benefit) Income Taxes | 310,925 | 684,858 | (1,236,693) | 749,328 |
Provision (Benefit) for Income Taxes | 29,082 | 117,093 | (309,393) | 128,541 |
Net Income (Loss) | $ 281,843 | $ 567,765 | $ (927,300) | $ 620,787 |
Basic net income (loss) per share | $ 0.01 | $ 0.02 | $ (0.03) | $ 0.02 |
Diluted net income (loss) per share | $ 0.01 | $ 0.02 | $ (0.03) | $ 0.02 |
Weighted Average number of common shares outstanding - Basic | 36,688,266 | 31,600,000 | 36,688,266 | 31,600,000 |
Weighted Average number of common shares outstanding - Diluted | 36,688,266 | 31,600,000 | 36,688,266 | 31,600,000 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Changes in Stockholder's Equity (Unaudited) - USD ($) | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Total |
Balances at Dec. 31, 2022 | $ 3,160 | $ 237,692 | $ 9,218,501 | $ 9,459,353 |
Balance, shares at Dec. 31, 2022 | 31,600,000 | |||
Net Income (Loss) | 620,787 | 620,787 | ||
Distributions | (62,065) | (62,065) | ||
Balances at Jun. 30, 2023 | $ 3,160 | 237,692 | 9,777,223 | 10,018,075 |
Balance, shares at Jun. 30, 2023 | 31,600,000 | |||
Balances at Mar. 31, 2023 | $ 3,160 | 237,692 | 9,225,417 | 9,466,269 |
Balance, shares at Mar. 31, 2023 | 31,600,000 | |||
Net Income (Loss) | 567,765 | 567,765 | ||
Distributions | (15,959) | (15,959) | ||
Balances at Jun. 30, 2023 | $ 3,160 | 237,692 | 9,777,223 | 10,018,075 |
Balance, shares at Jun. 30, 2023 | 31,600,000 | |||
Balances at Dec. 31, 2023 | $ 3,669 | 1,927,204 | 11,132,869 | 13,063,742 |
Balance, shares at Dec. 31, 2023 | 36,688,266 | |||
Net Income (Loss) | (927,300) | (927,300) | ||
Balances at Jun. 30, 2024 | $ 3,669 | 1,927,204 | 10,205,569 | 12,136,442 |
Balance, shares at Jun. 30, 2024 | 36,688,266 | |||
Balances at Mar. 31, 2024 | $ 3,669 | 1,927,204 | 9,923,726 | 11,854,599 |
Balance, shares at Mar. 31, 2024 | 36,688,266 | |||
Net Income (Loss) | 281,843 | 281,843 | ||
Balances at Jun. 30, 2024 | $ 3,669 | $ 1,927,204 | $ 10,205,569 | $ 12,136,442 |
Balance, shares at Jun. 30, 2024 | 36,688,266 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($) | 6 Months Ended | |
Jun. 30, 2024 | Jun. 30, 2023 | |
Cash Flows From Operating Activities | ||
Net (Loss) Income | $ (927,300) | $ 620,787 |
Adjustments to Reconcile (Loss) Income to Net Cash (Used In) Provided By Operating Activities: | ||
Depreciation and Amortization | 1,385,606 | 1,404,552 |
Amortization of Debt Issuance Costs | 4,387 | 4,825 |
Gain on Disposal of Property and Equipment | (309,000) | |
Change in Allowance for Expected Credit Losses | (24,395) | 48,080 |
Change in Reserve for Obsolescence | 291,576 | (8,032) |
Deferred Income Taxes | (357,994) | (461,514) |
(Increase) Decrease in: | ||
Accounts Receivable | 885,368 | (1,177,615) |
Inventory | (1,958,557) | (942,781) |
Prepaid Expenses and Other Assets | 57,309 | 159,125 |
Increase (Decrease) in: | ||
Accounts Payables and Accrued Expenses | (993,406) | 773,821 |
Federal Income Tax Payable | (318,240) | 449,245 |
Deferred Revenue | 280,763 | (282,845) |
Net Cash (Used In) Provided By Operating Activities | (1,983,883) | 587,648 |
Cash Flows From Investing Activities | ||
Purchases of Property and Equipment | (254,767) | (828,299) |
Proceeds from Disposal of Property and Equipment | 309,000 | |
Net Cash Provided By (Used in) Investing Activities | 54,233 | (828,299) |
Cash Flows From Financing Activities | ||
(Repayments) Borrowing on Line of Credit, Net | (273,729) | 324,114 |
Borrowing on Debt Obligations | 1,100,388 | |
Repayments on Debt Obligations | (224,775) | (486,402) |
Distributions | (62,065) | |
Net Cash Provided By (Used in) Financing Activities | 601,884 | (224,353) |
Net Decrease in Cash | (1,327,766) | (465,004) |
Cash - Beginning | 2,158,245 | 526,182 |
Cash - Ending | 830,479 | 61,178 |
Supplemental Cash Flow Disclosures: | ||
Cash Paid for Interest | 276,809 | 267,220 |
Cash Paid for Taxes | 537,510 | 140,810 |
Supplemental Disclosures of Non-Cash Investing Activities: | ||
Assets Acquired and Included in Accounts Payable and Accrued Expenses | $ 651,736 | $ 22,364 |
Description of Organization and
Description of Organization and Business Operations | 6 Months Ended |
Jun. 30, 2024 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Description of Organization and Business Operations | Note 1 — Description of Organization and Business Operations Nature of Business Syntec Optics Holdings, Inc. (the “Company” or “Syntec Optics”) is a vertically integrated manufacturer of optics and photonics components and sub-systems – from opto-mechanicals to optical elements of various geometries, diamond turned optics – both prototype and production, and optical systems including optics assembly, electro-optics assembly, design, and coating. Sales are made to customers in the United States and Europe in defense, medical, and consumer end-markets. The Company has one reporting segment as its operating segments meet the requirements for aggregation. On November 7, 2023, a merger transaction between OmniLit Acquisition Corporation (“OLIT”), Syntec Optics, Inc. (“Legacy Syntec”), and Optics Merger Sub, Inc. (“Merger Sub”) was completed pursuant to which Merger Sub was merged with and into Legacy Syntec, with Legacy Syntec surviving the merger. As a result of the merger, Legacy Syntec became a wholly owned subsidiary of New Syntec. Although New Syntec was the legal acquirer of Legacy Syntec in the merger, Legacy Syntec is deemed to be the accounting acquirer, and the historical financial statements of Legacy Syntec became the basis for the historical financial statements of New Syntec upon the closing of the merger. New Syntec together with its wholly owned subsidiary, Syntec Optics, Inc., is referred to hereinafter as the “Company.” Furthermore, the historical financial statements of Legacy Syntec became the historical financial statements of the Company upon the consummation of the merger. As a result, the financial statements included in this Quarterly Report reflect (i) the historical operating results of Legacy Syntec prior to the merger; (ii) the combined results of OLIT and Legacy Syntec following the close of the merger; (iii) the assets and liabilities of Legacy Syntec at their historical cost and (iv) the Legacy Syntec’s equity structure for all periods presented, as affected by the recapitalization presentation after completion of the merger. SYNTEC OPTICS HOLDINGS, INC. NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 6 Months Ended |
Jun. 30, 2024 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Note 2 — Summary of Significant Accounting Policies The Company has provided a discussion of significant accounting policies, estimates and judgements in its 2023 Annual Report. There have been no changes to the Company’s significant accounting policies since December 31, 2023. Basis of Presentation The accompanying interim unaudited condensed consolidated financial statements have been prepared by the Company in United States (“U.S.”) dollars and pursuant to the rules and regulations of the United States Securities and Exchange Commission (“SEC”), the instructions to Form 10-Q and the provisions of Regulation S-X pertaining to interim financial statements. Accordingly, certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the U.S. have been condensed or omitted. The interim unaudited condensed consolidated financial statements and notes included in this report should be read in conjunction with the consolidated financial statements and notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2023. In the opinion of management, these interim unaudited condensed consolidated financial statements include all adjustments and accruals of a normal and recurring nature necessary to fairly state the results of the interim periods presented. The results for interim periods are not necessarily indicative of results to be expected for the full year or for any future periods. Principles of Consolidation The accompanying interim unaudited condensed consolidated financial statements include the accounts of Syntec Optics Holdings, Inc. and its wholly owned subsidiary, Syntec Optics. The interim unaudited condensed consolidated financial statements also include the accounts of ELR Associates, LLC (“ELR”), a variable interest entity wherein the Company is the primary beneficiary. Syntec Optic’s variable interest in ELR is the result of providing a guaranty of payment for ELR’s mortgage on the manufacturing facility used exclusively by Syntec Optics. All significant intercompany accounts and transactions have been eliminated in consolidation. Recently Adopted Accounting Pronouncements In June 2016, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (“ASU”) 2016-13 – Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”). This update requires financial assets measured at amortized cost basis to be presented at the net amount expected to be collected. The measurement of expected credit losses is based on relevant information about past events, including historical experience, current conditions, and reasonable and supportable forecasts that affect the collectability of the reported amount. Since June 2016, the FASB issued clarifying updates to the new standard including changing the effective date for smaller reporting companies. The guidance is effective for fiscal years beginning after December 15, 2022, and interim periods within those fiscal years, with early adoption permitted. The Company adopted ASU 2016-13 on January 1, 2023. The adoption of ASU 2016-13 did not have a material impact on its interim unaudited condensed consolidated financial statements. Recent Accounting Pronouncements In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures, which requires disaggregated information about a reporting entity’s effective tax rate reconciliation, as well as information related to income taxes paid to enhance the transparency and decision usefulness of income tax disclosures. This ASU will be effective for the annual period ending December 31, 2025. The Company is currently evaluating the timing and impacts of adoption of this ASU. SYNTEC OPTICS HOLDINGS, INC. NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS |
Revenue Recognition
Revenue Recognition | 6 Months Ended |
Jun. 30, 2024 | |
Revenue from Contract with Customer [Abstract] | |
Revenue Recognition | Note 3 — Revenue Recognition The Company recognizes revenue in accordance with Accounting Standard Codification 606, Revenue from Contracts with Customers (ASC 606), which provides a five-step model for recognizing revenue from contracts with customers as follows: ● Identify the contract with a customer ● Identify the performance obligations in the contract ● Determine the transaction price ● Allocate the transaction price to the performance obligations in the contract ● Recognize revenue when or as performance obligations are satisfied The Company’s revenue is primarily derived from three categories of products and services, (i) the production and assembly of molded plastic optics parts including polymer and glass parts, opto-mechanicals, thin film coating, diamond turned optics and optical systems including electro-optics assembly, (“Products”) (ii) the manufacture of custom tooling used to manufacture molded products, and (“Custom Tooling”) (iii) non-recurring engineering services (“Non-Recurring Engineering’). The Company’s products are marketed and sold primarily to end-user commercial customers throughout the United States and Europe. Sales of products and services are subject to economic conditions and may fluctuate based on changes in the industry, trade policies and financial markets. The Company assesses the contract term as the period in which the parties to the contract have presently enforceable rights and obligations. Certain customer contracts may provide for either party to terminate the contract upon written notice. Nature of Products and Services Revenue from the sale of molded plastic, polymer and glass parts, opto-mechanicals, thin film coating, diamond turned optic and optical systems is recognized upon transfer of control to the customer, which is typically upon shipment. These sales do not meet the criteria for revenue to be recognized over time. The Company has elected to treat shipping and handling activities related to contracts with customers as costs to fulfill the promise to transfer the associated equipment and parts and not as a separate performance obligation. In general, the Company recognizes revenue from tooling contracts upon delivery and acceptance by the customer, which signifies successful completion of the contract. Revenue from non-recurring engineering services is recognized upon completion of the negotiated services. These sales do not meet the criteria for revenue to be recognized over time. Non-recurring engineering services are one-off items that are unique to programs such as expedite fees or set-up fees which are billed upon completion of the task with payment terms of 30 - 60 days from date of invoice. SYNTEC OPTICS HOLDINGS, INC. NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS Note 3 — Revenue Recognition (Continued) Transaction Price The transaction price is the amount of consideration to which the Company expects to be entitled in exchange for transferring goods and services to the customer. Revenue is recorded based on the transaction price, which includes fixed consideration. The Company’s contracts do not include variable consideration. Contract Balances The timing of revenue recognition generally aligns with the right to invoice the customer. The Company records accounts receivable when it has the unconditional right to issue an invoice and receive payment, regardless of whether revenue has been recognized. The balance in accounts receivable at January 1, 2024 and 2023 was $ 6,800,064 5,925,724 0 348,095 0 200,615 0 442,115 Costs to Obtain a Contract The Company did not incur costs of obtaining contracts expected to benefit longer than one year. As a result, there are no Warranties The buyer shall have thirty (30) days from the date of shipment to inspect and either accept or reject. If goods are rejected, written notice of rejection and the specific reasons therefore must be sent to the Company within such thirty (30) day period after receipt. Failure to reject goods or to notify the Company of errors, shortages, or other non-compliance with the agreement within such thirty (30) day period shall constitute irrevocable acceptance of goods and admission that they fully comply with the agreement. Disaggregated Revenues The following table disaggregates revenue by revenue recognition methodologies as outlined above for the three and six months ended June 30: Schedule of Disaggregated Revenues June 30, 2024 June 30, 2023 June 30, 2024 June 30, 2023 Three Months Ended Six Months Ended June 30, 2024 June 30, 2023 June 30, 2024 June 30, 2023 Products $ 6,947,620 $ 5,795,534 $ 13,198,323 $ 12,272,586 Custom Tooling 15,443 776,681 19,648 1,114,061 Non-Recurring Engineering 42,937 1,120,081 43,937 1,190,085 Total $ 7,006,000 $ 7,692,296 $ 13,261,908 $ 14,576,732 Syntec Optics’ management periodically reviews its revenues by its consumer, communication, medical, and defense end-markets. The purpose of this analysis is to determine its end market mix and identify trends. The following table disaggregates revenue as outlined above for the three and six months ended June 30: June 30, 2024 June 30, 2023 June 30, 2024 June 30, 2023 Three Months Ended Six Months Ended June 30, 2024 June 30, 2023 June 30, 2024 June 30, 2023 Consumer $ 1,445,826 $ 1,727,287 $ 2,683,811 $ 3,410,520 Communication 1,705,843 1,084,669 3,763,105 1,458,387 Defense 1,227,483 2,128,498 2,420,798 4,506,390 Medical 2,626,848 2,751,842 4,394,194 5,201,435 Total $ 7,006,000 $ 7,692,296 $ 13,261,908 $ 14,576,732 SYNTEC OPTICS HOLDINGS, INC. NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS |
Inventory
Inventory | 6 Months Ended |
Jun. 30, 2024 | |
Inventory Disclosure [Abstract] | |
Inventory | Note 4 — Inventory Inventory consists of the following at June 30, 2024 and December 31, 2023: Schedule of Inventory 2024 2023 Raw Materials $ 544,830 $ 1,144,322 Work-in-Process 7,322,492 4,818,156 Finished Goods 241,964 188,251 Inventory gross 8,109,286 6,150,729 Less: Reserve for Obsolescence 608,196 316,620 Inventory $ 7,501,090 $ 5,834,109 |
Property and Equipment
Property and Equipment | 6 Months Ended |
Jun. 30, 2024 | |
Property, Plant and Equipment [Abstract] | |
Property and Equipment | Note 5 — Property and Equipment Property and equipment consists of the following at June 30, 2024 and December 31, 2023: Schedule of Property and Equipment 2024 2023 Machinery and Equipment $ 32,037,918 $ 32,466,641 Building and Leasehold Improvements 5,109,467 5,096,436 Land 130,000 130,000 Office Furniture and Equipment 2,295,749 2,292,995 Tooling 103,310 103,310 Vehicles 24,059 24,059 Assets Not Placed in Service 394,841 260,000 Property and Equipment, Gross 40,095,344 40,373,441 Less: Accumulated Depreciation 29,443,393 29,272,389 Property and Equipment, Net $ 10,651,951 $ 11,101,052 Depreciation expenses were approximately $ 675,200 681,100 1,356,000 1,405,000 |
Intangible Assets
Intangible Assets | 6 Months Ended |
Jun. 30, 2024 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible Assets | Note 6 — Intangible Assets Intangible assets consist of the following at June 30, 2024 and December 31, 2023: Schedule of Intangible Assets 2024 2023 Licenses $ 300,000 $ 300,000 Total identifiable intangible assets 300,000 300,000 Less: Accumulated Amortization 35,000 5,000 Intangible Assets, Net $ 265,000 $ 295,000 Amortization expense for acquired finite-lived intangibles was $ 15,000 0 30,000 0 Schedule of Expected Future Amortization Expenses of Acquired Finite-Lived Intangible Assets December 31, 2024 $ 30,000 2025 60,000 2026 60,000 2027 60,000 2028 55,000 Total $ 265,000 SYNTEC OPTICS HOLDINGS, INC. NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS |
Line of Credit
Line of Credit | 6 Months Ended |
Jun. 30, 2024 | |
Line of Credit Facility [Abstract] | |
Line of Credit | Note 7 — Line of Credit The Company has a line of credit available in the amount of $ 10,000,000 7.63 6,263,863 6,537,592 The Credit Agreement contains customary covenants and restrictions on the Company’s ability to engage in certain activities and financial covenants requiring the Company to maintain certain financial ratios. At June 30, 2024, the Company was not in compliance with the minimum fixed charge coverage ratio and limitation of additional capital lease indebtedness as defined in the Credit Agreement. On August 9, 2024, the Company obtained a waiver with respect to the Credit Agreement, pursuant to which the sections of the agreement mentioned above are waived for the period ending June 30, 2024. |
Long-Term Debt
Long-Term Debt | 6 Months Ended |
Jun. 30, 2024 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | Note 8 — Long-Term Debt Long-term debt consists of the following at June 30, 2024 and December 31, 2023: Schedule of Long Term Debt Maturities 2024 2023 The Company entered into a $ 863,607 7,389 6.13 $ 854,765 $ - The Company entered into a $ 236,781 3,385 6.05 226,612 - The Company entered into a $ 1,775,000 34,886 6.59 1,568,599 1,722,626 The Company entered into a $ 1,064,000 6,652 2.22 693,363 718,441 Total Long-Term Debt 3,343,339 2,441,067 Less: Unamortized Debt Issuance Costs 75,426 53,156 Long-Term Debt, Less Unamortized Debt Issuance Costs 3,267,913 2,387,911 Less: Current Maturities 454,522 362,972 Long-Term Debt $ 2,813,391 $ 2,024,939 At June 30, 2024, the future debt maturities are as follows: Schedule of Long Term Future Debt Maturities December 31, 2024 (remainder of year) $ 223,419 2025 468,611 2026 497,991 2027 529,310 2028 490,302 Thereafter 1,133,706 Total $ 3,343,339 SYNTEC OPTICS HOLDINGS, INC. NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS |
Retirement Plan
Retirement Plan | 6 Months Ended |
Jun. 30, 2024 | |
Retirement Benefits [Abstract] | |
Retirement Plan | Note 9 — Retirement Plan The Company maintains a 401(k) retirement plan covering eligible employees of the Company and its affiliate. Under the plan, participants may defer a percentage of their annual compensation, with Syntec Optics matching 50% of employee contributions not to exceed 6% of annual compensation. 50,000 47,000 95,000 94,000 |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2024 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Note 10 — Income Taxes The income tax provision for interim periods is determined using an estimate of the annual effective tax rate, adjusted for discrete items, if any, that are taken into account in the relevant period. Each quarter, the estimate of the annual effective tax rate is updated, and if the estimated effective tax rate changes, a cumulative adjustment is made. The effective income tax rate was 25.0 17.2 |
Warrants
Warrants | 6 Months Ended |
Jun. 30, 2024 | |
Warrants | |
Warrants | Note 11 — Warrants Each warrant entitles the holder to the right to purchase one 11.50 0.01 18.00 14,107,989 The measurements of the warrants after the detachment of the warrants from the Units are classified as Level 1 due to the use of an observable market quote in an active market under the ticker OPTXW. For periods subsequent to the detachment of the warrants from the Units, the close price of the warrant price was used as the fair value of the warrants as of each relevant date. The following tables presents a roll-forward of the Company’s warrants from January 1, 2024 to June 30, 2024: Schedule of Warrant Common Stock Warrants Warrants outstanding, January 1, 2024 14,107,989 Warrants exercised - Assumed in merger 14,107,989 Exercised subsequent to merger - Warrants outstanding, June 30, 2024 14,107,989 The following tables presents a roll-forward of the Company’s warrants from January 1, 2023 to June 30, 2023: Common Stock Warrants **Warrants outstanding, January 1, 2023 - Assumed in merger 14,107,989 Exercised subsequent to merger - Warrants outstanding, June 30, 2023 14,107,989 SYNTEC OPTICS HOLDINGS, INC. NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS |
Common Stock
Common Stock | 6 Months Ended |
Jun. 30, 2024 | |
Equity [Abstract] | |
Common Stock | Note 12 — Common Stock The Company is authorized to issue up to 121,000,000 0.0001 36,688,266 As of June 30, 2024 and December 31, 2023, the Company had reserved shares of common stock for issuance as follows: Schedule of Reserved shares of common stock 2024 2023 Common stock outstanding 36,688,266 36,688,266 Warrants outstanding 14,107,989 14,107,989 Contingent earnout shares 26,000,000 26,000,000 Shares available for future issuance (1) 4,773,971 4,773,971 Total 81,570,226 81,570,226 (1) Refer to Stock Incentive Plan amendment at Note 13 |
Stock-based Compensation
Stock-based Compensation | 6 Months Ended |
Jun. 30, 2024 | |
Share-Based Payment Arrangement [Abstract] | |
Stock-based Compensation | Note 13 — Stock-based Compensation In connection with the merger, shareholders and board members approved the 2023 Equity Incentive Plan (the “2023 Incentive Plan”). Up to 2,773,972 Common Stock The Company will issue up to 2,000,000 Performance-based-Earnout As of June 30, 2024, there were 4,773,971 |
Income (Loss) Per Share
Income (Loss) Per Share | 6 Months Ended |
Jun. 30, 2024 | |
Earnings Per Share [Abstract] | |
Income (Loss) Per Share | Note 14 — Income (Loss) Per Share The following table sets forth the information needed to compute basic and diluted (loss) earnings per share for the three and six months ended June 30, 2024 and 2023: Schedule of Basic And Diluted (loss) Earnings Per Share Three Months Ended Six Months Ended June 30, 2024 June 30, 2023 June 30, 2024 June 30, 2023 Basic and diluted net income (loss) per share Numerator: Net income (loss) $ 281,843 $ 567,765 $ (927,300 ) $ 620,787 Denominator Weighted-average shares outstanding 36,688,266 31,600,000 36,688,266 31,600,000 Basic and diluted net income (loss) per share $ 0.01 $ 0.02 $ (0.03 ) $ 0.02 |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2024 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Note 15 — Commitments and Contingencies The Company may be involved in legal proceedings, claims and assessments arising in the ordinary course of business. Such matters are subject to many uncertainties, and outcomes are not predictable with assurance. In the opinion of management, the ultimate disposition of these matters will not have a material adverse effect on the Company’s financial position or results of operations. |
Significant Customers
Significant Customers | 6 Months Ended |
Jun. 30, 2024 | |
Risks and Uncertainties [Abstract] | |
Significant Customers | Note 16 — Significant Customers For the three months ended June 30, 2024, the Company generated 53% 3,497,000 For the three months ended June 30, 2023, the Company generated 53% 4,750,000 For the six months ended June 30, 2024, the Company generated 53% 3,497,000 For the six months ended June 30, 2023, the Company generated 51% 4,750,000 |
Subsequent Events
Subsequent Events | 6 Months Ended |
Jun. 30, 2024 | |
Subsequent Events [Abstract] | |
Subsequent Events | Note 17 — Subsequent Events The Company evaluated subsequent events and transactions that occurred after the interim balance sheet date up to the date that the accompanying interim unaudited condensed consolidated financial statements were issued. Based upon the review, other than as described below, the Company did not identify any subsequent events that would have required adjustment or disclosure in the interim unaudited condensed consolidated financial statements. On July 16, 2024, the Company entered into four separate capital lease agreements for machinery and equipment with a total financed amount of $ 2,034,742 |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2024 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying interim unaudited condensed consolidated financial statements have been prepared by the Company in United States (“U.S.”) dollars and pursuant to the rules and regulations of the United States Securities and Exchange Commission (“SEC”), the instructions to Form 10-Q and the provisions of Regulation S-X pertaining to interim financial statements. Accordingly, certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the U.S. have been condensed or omitted. The interim unaudited condensed consolidated financial statements and notes included in this report should be read in conjunction with the consolidated financial statements and notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2023. In the opinion of management, these interim unaudited condensed consolidated financial statements include all adjustments and accruals of a normal and recurring nature necessary to fairly state the results of the interim periods presented. The results for interim periods are not necessarily indicative of results to be expected for the full year or for any future periods. |
Principles of Consolidation | Principles of Consolidation The accompanying interim unaudited condensed consolidated financial statements include the accounts of Syntec Optics Holdings, Inc. and its wholly owned subsidiary, Syntec Optics. The interim unaudited condensed consolidated financial statements also include the accounts of ELR Associates, LLC (“ELR”), a variable interest entity wherein the Company is the primary beneficiary. Syntec Optic’s variable interest in ELR is the result of providing a guaranty of payment for ELR’s mortgage on the manufacturing facility used exclusively by Syntec Optics. All significant intercompany accounts and transactions have been eliminated in consolidation. |
Recently Adopted Accounting Pronouncements | Recently Adopted Accounting Pronouncements In June 2016, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (“ASU”) 2016-13 – Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”). This update requires financial assets measured at amortized cost basis to be presented at the net amount expected to be collected. The measurement of expected credit losses is based on relevant information about past events, including historical experience, current conditions, and reasonable and supportable forecasts that affect the collectability of the reported amount. Since June 2016, the FASB issued clarifying updates to the new standard including changing the effective date for smaller reporting companies. The guidance is effective for fiscal years beginning after December 15, 2022, and interim periods within those fiscal years, with early adoption permitted. The Company adopted ASU 2016-13 on January 1, 2023. The adoption of ASU 2016-13 did not have a material impact on its interim unaudited condensed consolidated financial statements. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures, which requires disaggregated information about a reporting entity’s effective tax rate reconciliation, as well as information related to income taxes paid to enhance the transparency and decision usefulness of income tax disclosures. This ASU will be effective for the annual period ending December 31, 2025. The Company is currently evaluating the timing and impacts of adoption of this ASU. SYNTEC OPTICS HOLDINGS, INC. NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of Disaggregated Revenues | The following table disaggregates revenue by revenue recognition methodologies as outlined above for the three and six months ended June 30: Schedule of Disaggregated Revenues June 30, 2024 June 30, 2023 June 30, 2024 June 30, 2023 Three Months Ended Six Months Ended June 30, 2024 June 30, 2023 June 30, 2024 June 30, 2023 Products $ 6,947,620 $ 5,795,534 $ 13,198,323 $ 12,272,586 Custom Tooling 15,443 776,681 19,648 1,114,061 Non-Recurring Engineering 42,937 1,120,081 43,937 1,190,085 Total $ 7,006,000 $ 7,692,296 $ 13,261,908 $ 14,576,732 Syntec Optics’ management periodically reviews its revenues by its consumer, communication, medical, and defense end-markets. The purpose of this analysis is to determine its end market mix and identify trends. The following table disaggregates revenue as outlined above for the three and six months ended June 30: June 30, 2024 June 30, 2023 June 30, 2024 June 30, 2023 Three Months Ended Six Months Ended June 30, 2024 June 30, 2023 June 30, 2024 June 30, 2023 Consumer $ 1,445,826 $ 1,727,287 $ 2,683,811 $ 3,410,520 Communication 1,705,843 1,084,669 3,763,105 1,458,387 Defense 1,227,483 2,128,498 2,420,798 4,506,390 Medical 2,626,848 2,751,842 4,394,194 5,201,435 Total $ 7,006,000 $ 7,692,296 $ 13,261,908 $ 14,576,732 |
Inventory (Tables)
Inventory (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventory | Inventory consists of the following at June 30, 2024 and December 31, 2023: Schedule of Inventory 2024 2023 Raw Materials $ 544,830 $ 1,144,322 Work-in-Process 7,322,492 4,818,156 Finished Goods 241,964 188,251 Inventory gross 8,109,286 6,150,729 Less: Reserve for Obsolescence 608,196 316,620 Inventory $ 7,501,090 $ 5,834,109 |
Property and Equipment (Tables)
Property and Equipment (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Property, Plant and Equipment [Abstract] | |
Schedule of Property and Equipment | Property and equipment consists of the following at June 30, 2024 and December 31, 2023: Schedule of Property and Equipment 2024 2023 Machinery and Equipment $ 32,037,918 $ 32,466,641 Building and Leasehold Improvements 5,109,467 5,096,436 Land 130,000 130,000 Office Furniture and Equipment 2,295,749 2,292,995 Tooling 103,310 103,310 Vehicles 24,059 24,059 Assets Not Placed in Service 394,841 260,000 Property and Equipment, Gross 40,095,344 40,373,441 Less: Accumulated Depreciation 29,443,393 29,272,389 Property and Equipment, Net $ 10,651,951 $ 11,101,052 |
Intangible Assets (Tables)
Intangible Assets (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Intangible Assets | Intangible assets consist of the following at June 30, 2024 and December 31, 2023: Schedule of Intangible Assets 2024 2023 Licenses $ 300,000 $ 300,000 Total identifiable intangible assets 300,000 300,000 Less: Accumulated Amortization 35,000 5,000 Intangible Assets, Net $ 265,000 $ 295,000 |
Schedule of Expected Future Amortization Expenses of Acquired Finite-Lived Intangible Assets | Schedule of Expected Future Amortization Expenses of Acquired Finite-Lived Intangible Assets December 31, 2024 $ 30,000 2025 60,000 2026 60,000 2027 60,000 2028 55,000 Total $ 265,000 |
Long-Term Debt (Tables)
Long-Term Debt (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Debt Disclosure [Abstract] | |
Schedule of Long Term Debt Maturities | Long-term debt consists of the following at June 30, 2024 and December 31, 2023: Schedule of Long Term Debt Maturities 2024 2023 The Company entered into a $ 863,607 7,389 6.13 $ 854,765 $ - The Company entered into a $ 236,781 3,385 6.05 226,612 - The Company entered into a $ 1,775,000 34,886 6.59 1,568,599 1,722,626 The Company entered into a $ 1,064,000 6,652 2.22 693,363 718,441 Total Long-Term Debt 3,343,339 2,441,067 Less: Unamortized Debt Issuance Costs 75,426 53,156 Long-Term Debt, Less Unamortized Debt Issuance Costs 3,267,913 2,387,911 Less: Current Maturities 454,522 362,972 Long-Term Debt $ 2,813,391 $ 2,024,939 |
Schedule of Long Term Future Debt Maturities | At June 30, 2024, the future debt maturities are as follows: Schedule of Long Term Future Debt Maturities December 31, 2024 (remainder of year) $ 223,419 2025 468,611 2026 497,991 2027 529,310 2028 490,302 Thereafter 1,133,706 Total $ 3,343,339 |
Warrants (Tables)
Warrants (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Warrants | |
Schedule of Warrant | The following tables presents a roll-forward of the Company’s warrants from January 1, 2024 to June 30, 2024: Schedule of Warrant Common Stock Warrants Warrants outstanding, January 1, 2024 14,107,989 Warrants exercised - Assumed in merger 14,107,989 Exercised subsequent to merger - Warrants outstanding, June 30, 2024 14,107,989 The following tables presents a roll-forward of the Company’s warrants from January 1, 2023 to June 30, 2023: Common Stock Warrants **Warrants outstanding, January 1, 2023 - Assumed in merger 14,107,989 Exercised subsequent to merger - Warrants outstanding, June 30, 2023 14,107,989 |
Common Stock (Tables)
Common Stock (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Equity [Abstract] | |
Schedule of Reserved shares of common stock | As of June 30, 2024 and December 31, 2023, the Company had reserved shares of common stock for issuance as follows: Schedule of Reserved shares of common stock 2024 2023 Common stock outstanding 36,688,266 36,688,266 Warrants outstanding 14,107,989 14,107,989 Contingent earnout shares 26,000,000 26,000,000 Shares available for future issuance (1) 4,773,971 4,773,971 Total 81,570,226 81,570,226 (1) Refer to Stock Incentive Plan amendment at Note 13 |
Income (Loss) Per Share (Tables
Income (Loss) Per Share (Tables) | 6 Months Ended |
Jun. 30, 2024 | |
Earnings Per Share [Abstract] | |
Schedule of Basic And Diluted (loss) Earnings Per Share | The following table sets forth the information needed to compute basic and diluted (loss) earnings per share for the three and six months ended June 30, 2024 and 2023: Schedule of Basic And Diluted (loss) Earnings Per Share Three Months Ended Six Months Ended June 30, 2024 June 30, 2023 June 30, 2024 June 30, 2023 Basic and diluted net income (loss) per share Numerator: Net income (loss) $ 281,843 $ 567,765 $ (927,300 ) $ 620,787 Denominator Weighted-average shares outstanding 36,688,266 31,600,000 36,688,266 31,600,000 Basic and diluted net income (loss) per share $ 0.01 $ 0.02 $ (0.03 ) $ 0.02 |
Schedule of Disaggregated Reven
Schedule of Disaggregated Revenues (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Disaggregation of Revenue [Line Items] | ||||
Total | $ 7,006,000 | $ 7,692,296 | $ 13,261,908 | $ 14,576,732 |
Consumer [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 1,445,826 | 1,727,287 | 2,683,811 | 3,410,520 |
Communication [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 1,705,843 | 1,084,669 | 3,763,105 | 1,458,387 |
Defense [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 1,227,483 | 2,128,498 | 2,420,798 | 4,506,390 |
Medical [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 2,626,848 | 2,751,842 | 4,394,194 | 5,201,435 |
Products [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 6,947,620 | 5,795,534 | 13,198,323 | 12,272,586 |
Custom Tooling [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | 15,443 | 776,681 | 19,648 | 1,114,061 |
Non-Recurring Engineering [Member] | ||||
Disaggregation of Revenue [Line Items] | ||||
Total | $ 42,937 | $ 1,120,081 | $ 43,937 | $ 1,190,085 |
Revenue Recognition (Details Na
Revenue Recognition (Details Narrative) - USD ($) | 3 Months Ended | 6 Months Ended | |||||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | Jan. 01, 2024 | Dec. 31, 2023 | Jan. 01, 2023 | |
Revenue from Contract with Customer [Abstract] | |||||||
Accounts receivable net | $ 5,939,091 | $ 5,939,091 | $ 6,800,064 | $ 6,800,064 | $ 5,925,724 | ||
Deferred revenue | $ 0 | $ 348,095 | |||||
Deferred revenue | 0 | $ 200,615 | 0 | $ 442,115 | |||
Capitalized contract cost | $ 0 | $ 0 | $ 0 |
Schedule of Inventory (Details)
Schedule of Inventory (Details) - USD ($) | Jun. 30, 2024 | Dec. 31, 2023 |
Inventory Disclosure [Abstract] | ||
Raw Materials | $ 544,830 | $ 1,144,322 |
Work-in-Process | 7,322,492 | 4,818,156 |
Finished Goods | 241,964 | 188,251 |
Inventory gross | 8,109,286 | 6,150,729 |
Less: Reserve for Obsolescence | 608,196 | 316,620 |
Inventory | $ 7,501,090 | $ 5,834,109 |
Schedule of Property and Equipm
Schedule of Property and Equipment (Details) - USD ($) | Jun. 30, 2024 | Dec. 31, 2023 |
Property, Plant and Equipment [Line Items] | ||
Property and Equipment, Gross | $ 40,095,344 | $ 40,373,441 |
Less: Accumulated Depreciation | 29,443,393 | 29,272,389 |
Property and Equipment, Net | 10,651,951 | 11,101,052 |
Machinery and Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and Equipment, Gross | 32,037,918 | 32,466,641 |
Land, Buildings and Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and Equipment, Gross | 5,109,467 | 5,096,436 |
Land [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and Equipment, Gross | 130,000 | 130,000 |
Office Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and Equipment, Gross | 2,295,749 | 2,292,995 |
Tooling [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and Equipment, Gross | 103,310 | 103,310 |
Vehicles [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and Equipment, Gross | 24,059 | 24,059 |
Assets Not Placed In Service [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and Equipment, Gross | $ 394,841 | $ 260,000 |
Property and Equipment (Details
Property and Equipment (Details Narrative) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Property, Plant and Equipment [Abstract] | ||||
Depreciation and Amortization | $ 675,200 | $ 681,100 | $ 1,356,000 | $ 1,405,000 |
Schedule of Intangible Assets (
Schedule of Intangible Assets (Details) - USD ($) | Jun. 30, 2024 | Dec. 31, 2023 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Licenses | $ 300,000 | $ 300,000 |
Total identifiable intangible assets | 300,000 | 300,000 |
Less: Accumulated Amortization | 35,000 | 5,000 |
Intangible Assets, Net | $ 265,000 | $ 295,000 |
Schedule of Expected Future Amo
Schedule of Expected Future Amortization Expenses of Acquired Finite-Lived Intangible Assets (Details) - USD ($) | Jun. 30, 2024 | Dec. 31, 2023 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
December 31, 2024 | $ 30,000 | |
2025 | 60,000 | |
2026 | 60,000 | |
2027 | 60,000 | |
2028 | 55,000 | |
Intangible Assets, Net | $ 265,000 | $ 295,000 |
Intangible Assets (Details Narr
Intangible Assets (Details Narrative) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||||
Amortization expense of intangible assets | $ 15,000 | $ 0 | $ 30,000 | $ 0 |
Line of Credit (Details Narrati
Line of Credit (Details Narrative) - USD ($) | 6 Months Ended | |
Jun. 30, 2024 | Dec. 31, 2023 | |
Line of Credit Facility [Line Items] | ||
Outstanding line of credit | $ 6,263,863 | $ 6,537,592 |
Credit Agreement [Member] | ||
Line of Credit Facility [Line Items] | ||
Outstanding line of credit | 6,263,863 | $ 6,537,592 |
M&T Bank [Member] | Credit Agreement [Member] | ||
Line of Credit Facility [Line Items] | ||
Line of credit available amount | $ 10,000,000 | |
Line of credit interest rate | 7.63% |
Schedule of Long Term Debt Matu
Schedule of Long Term Debt Maturities (Details) - USD ($) | Jun. 30, 2024 | Dec. 31, 2023 |
Short-Term Debt [Line Items] | ||
Total Long-Term Debt | $ 3,343,339 | $ 2,441,067 |
Less: Unamortized Debt Issuance Costs | 75,426 | 53,156 |
Long-Term Debt, Less Unamortized Debt Issuance Costs | 3,267,913 | 2,387,911 |
Less: Current Maturities | 454,522 | 362,972 |
Long-Term Debt | 2,813,391 | 2,024,939 |
M&T Bank Term Note Payable [Member] | Notes Payable 1 [Member] | ||
Short-Term Debt [Line Items] | ||
Total Long-Term Debt | 854,765 | |
M&T Bank Term Note Payable [Member] | Notes Payable 2 [Member] | ||
Short-Term Debt [Line Items] | ||
Total Long-Term Debt | 226,612 | |
M&T Bank Term Note Payable [Member] | Notes Payable 3 [Member] | ||
Short-Term Debt [Line Items] | ||
Total Long-Term Debt | 1,568,599 | 1,722,626 |
US Small Business Administration Term Note Payable [Member] | Notes Payable 4 [Member] | ||
Short-Term Debt [Line Items] | ||
Total Long-Term Debt | $ 693,363 | $ 718,441 |
Schedule of Long Term Debt Ma_2
Schedule of Long Term Debt Maturities (Details) (Parenthetical) | 6 Months Ended |
Jun. 30, 2024 USD ($) | |
M&T Bank Term Note Payable [Member] | Notes Payable 1 [Member] | |
Short-Term Debt [Line Items] | |
Debt instrument face value | $ 863,607 |
Principal installments | $ 7,389 |
Interest rate percentage | 6.13% |
M&T Bank Term Note Payable [Member] | Notes Payable 2 [Member] | |
Short-Term Debt [Line Items] | |
Debt instrument face value | $ 236,781 |
Principal installments | $ 3,385 |
Interest rate percentage | 6.05% |
M&T Bank Term Note Payable [Member] | Notes Payable 3 [Member] | |
Short-Term Debt [Line Items] | |
Debt instrument face value | $ 1,775,000 |
Principal installments | $ 34,886 |
Interest rate percentage | 6.59% |
US Small Business Administration Term Note Payable [Member] | Notes Payable 4 [Member] | |
Short-Term Debt [Line Items] | |
Debt instrument face value | $ 1,064,000 |
Principal installments | $ 6,652 |
Interest rate percentage | 2.22% |
Schedule of Long Term Future De
Schedule of Long Term Future Debt Maturities (Details) - USD ($) | Jun. 30, 2024 | Dec. 31, 2023 |
Debt Disclosure [Abstract] | ||
December 31, 2024 (remainder of year) | $ 223,419 | |
2025 | 468,611 | |
2026 | 497,991 | |
2027 | 529,310 | |
2028 | 490,302 | |
Thereafter | 1,133,706 | |
Total | $ 3,343,339 | $ 2,441,067 |
Retirement Plan (Details Narrat
Retirement Plan (Details Narrative) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Retirement Benefits [Abstract] | ||||
Retirement contribution, description | Under the plan, participants may defer a percentage of their annual compensation, with Syntec Optics matching 50% of employee contributions not to exceed 6% of annual compensation. | |||
Retirement contribution amount | $ 50,000 | $ 47,000 | $ 95,000 | $ 94,000 |
Income Taxes (Details Narrative
Income Taxes (Details Narrative) | 6 Months Ended | |
Jun. 30, 2024 | Jun. 30, 2023 | |
Income Tax Disclosure [Abstract] | ||
Effective income tax rate | 25% | 17.20% |
Schedule of Warrant (Details)
Schedule of Warrant (Details) - shares | 6 Months Ended | |
Jun. 30, 2024 | Jun. 30, 2023 | |
Warrants outstanding, beginning balance | 14,107,989 | |
Warrants outstanding, ending balance | 14,107,989 | |
Common Stock [Member] | ||
Warrants outstanding, beginning balance | 14,107,989 | |
Warrant exercised | ||
Assumed in merger | 14,107,989 | |
Warrant exercised subsequent to merger | ||
Warrants outstanding, ending balance | 14,107,989 | 14,107,989 |
Warrants (Details Narrative)
Warrants (Details Narrative) - $ / shares | Jun. 30, 2024 | Dec. 31, 2023 | Jun. 30, 2023 | Dec. 31, 2022 |
Class of warrant or right outstanding | 14,107,989 | 14,107,989 | ||
Common Stock [Member] | ||||
Warrant to purchase share | 1 | |||
Warrant exercise price | $ 11.50 | |||
Share price | $ 18 | |||
Class of warrant or right outstanding | 14,107,989 | 14,107,989 | 14,107,989 | |
Warrant [Member] | ||||
Warrant exercise price | $ 0.01 | |||
Class of warrant or right outstanding | 14,107,989 |
Schedule of Reserved shares of
Schedule of Reserved shares of common stock (Details) - shares | Jun. 30, 2024 | Dec. 31, 2023 | |
Equity [Abstract] | |||
Common stock outstanding | 36,688,266 | 36,688,266 | |
Warrants outstanding | 14,107,989 | 14,107,989 | |
Contingent earnout shares | 26,000,000 | 26,000,000 | |
Shares available for future issuance | [1] | 4,773,971 | 4,773,971 |
Total | 81,570,226 | 81,570,226 | |
[1]Refer to Stock Incentive Plan amendment at Note 13 |
Common Stock (Details Narrative
Common Stock (Details Narrative) - $ / shares | Jun. 30, 2024 | Dec. 31, 2023 |
Class of Stock [Line Items] | ||
Common stock, shares outstanding | 36,688,266 | 36,688,266 |
Common Class A [Member] | ||
Class of Stock [Line Items] | ||
CommonStock, shares authorized | 121,000,000 | 121,000,000 |
Common stock, par value | $ 0.0001 | $ 0.0001 |
Common stock, shares issued | 36,688,266 | 36,688,266 |
Common stock, shares outstanding | 36,688,266 | 36,688,266 |
Stock-based Compensation (Detai
Stock-based Compensation (Details Narrative) - shares | 6 Months Ended | ||
Jun. 30, 2024 | Dec. 31, 2023 | ||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |||
Issuance of stock option exercised | 2,000,000 | ||
Unissued authorized | [1] | 4,773,971 | 4,773,971 |
2023 Equity Incentive Plan [Member] | Maximum [Member] | |||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |||
Shares reserved for issuance | 2,773,972 | ||
[1]Refer to Stock Incentive Plan amendment at Note 13 |
Schedule of Basic And Diluted (
Schedule of Basic And Diluted (loss) Earnings Per Share (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Earnings Per Share [Abstract] | ||||
Net income (loss) | $ 281,843 | $ 567,765 | $ (927,300) | $ 620,787 |
Weighted-average shares outstanding | 36,688,266 | 31,600,000 | 36,688,266 | 31,600,000 |
Basic net income (loss) per share | $ 0.01 | $ 0.02 | $ (0.03) | $ 0.02 |
Diluted net income (loss) per share | $ 0.01 | $ 0.02 | $ (0.03) | $ 0.02 |
Significant Customers (Details
Significant Customers (Details Narrative) - Revenue Benchmark [Member] - Customer Concentration Risk [Member] - Three Customers [Member] - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2024 | Jun. 30, 2023 | Jun. 30, 2024 | Jun. 30, 2023 | |
Concentration Risk [Line Items] | ||||
Revenue percentage | 53% | 53% | 53% | 51% |
Accounts receivable | $ 3,497,000 | $ 4,750,000 | $ 3,497,000 | $ 4,750,000 |
Subsequent Events (Details Narr
Subsequent Events (Details Narrative) | Jul. 16, 2024 USD ($) |
Capital Lease Agreements [Member] | Subsequent Event [Member] | |
Subsequent Event [Line Items] | |
Lease cost | $ 2,034,742 |