Document And Entity Information
Document And Entity Information - USD ($) | 12 Months Ended | |
Sep. 30, 2023 | Jan. 11, 2024 | |
Document Information Line Items | ||
Entity Registrant Name | RICHTECH ROBOTICS INC. | |
Trading Symbol | RR | |
Document Type | 10-K | |
Current Fiscal Year End Date | --09-30 | |
Entity Public Float | $ 0 | |
Amendment Flag | false | |
Entity Central Index Key | 0001963685 | |
Entity Current Reporting Status | No | |
Entity Voluntary Filers | No | |
Entity Filer Category | Non-accelerated Filer | |
Entity Well-known Seasoned Issuer | No | |
Document Period End Date | Sep. 30, 2023 | |
Document Fiscal Year Focus | 2023 | |
Document Fiscal Period Focus | FY | |
Entity Small Business | true | |
Entity Emerging Growth Company | true | |
Entity Shell Company | false | |
Entity Ex Transition Period | false | |
ICFR Auditor Attestation Flag | false | |
Document Annual Report | true | |
Document Transition Report | false | |
Entity File Number | 001-41866 | |
Entity Incorporation, State or Country Code | NV | |
Entity Tax Identification Number | 88-2870106 | |
Entity Address, Address Line One | 4175 Cameron St Ste 1 | |
Entity Address, City or Town | Las Vegas | |
Entity Address, State or Province | NV | |
Entity Address, Postal Zip Code | 89103 | |
City Area Code | (866) | |
Local Phone Number | 236-3835 | |
Title of 12(b) Security | Class B Common Stock, par value $0.00001 per share | |
Security Exchange Name | NASDAQ | |
Entity Interactive Data Current | Yes | |
Document Financial Statement Error Correction [Flag] | false | |
Auditor Firm ID | 6797 | |
Auditor Name | Bush & Associates CPA LLC | |
Auditor Location | Henderson, Nevada | |
Class A Common Stock | ||
Document Information Line Items | ||
Entity Common Stock, Shares Outstanding | 44,353,846 | |
Class B Common Stock | ||
Document Information Line Items | ||
Entity Common Stock, Shares Outstanding | 20,888,410 |
Balance Sheets
Balance Sheets - USD ($) $ in Thousands | Sep. 30, 2023 | Sep. 30, 2022 |
Current assets: | ||
Cash and cash equivalents | $ 433 | $ 327 |
Accounts receivable, (net of allowance for doubtful accounts of $333 and $86 as of September 30, 2023 and 2022, respectively) | 5,576 | 1,656 |
Inventory | 822 | 1,373 |
Prepaid expenses and other current assets | 17 | 41 |
Total current assets | 6,982 | 3,505 |
Property and equipment, net | 28 | 41 |
Deferred tax assets, net | 518 | |
Operating lease right-of-use-assets | 315 | 382 |
Other assets, non-current | 10 | 10 |
Total assets | 7,853 | 3,938 |
Current liabilities: | ||
Accounts payable | 1,126 | 175 |
Accrued expenses | 59 | 57 |
Short-term loan | 845 | |
Tax Payable | 461 | 117 |
Operating lease liabilities, current | 161 | 108 |
Total current liabilities | 2,890 | 741 |
Operating lease liabilities, non-current | 154 | 279 |
Total liabilities | 3,044 | 1,020 |
Commitments and contingencies | ||
Stockholders’ equity: | ||
Additional paid-in capital | 4,608 | 2,378 |
Retained earnings | 201 | 540 |
Total controlling stockholders’ equity | 4,809 | 2,918 |
Total stockholders’ equity | 4,809 | 2,918 |
Total liabilities, preferred stock and stockholders’ equity | 7,853 | 3,938 |
Class A Common Stock | ||
Stockholders’ equity: | ||
Common stock, value | ||
Class B Common Stock | ||
Stockholders’ equity: | ||
Common stock, value | ||
Related Party | ||
Current assets: | ||
Amount due from related parties, current | 134 | 108 |
Current liabilities: | ||
Amount due to related parties, current | $ 238 | $ 284 |
Balance Sheets (Parentheticals)
Balance Sheets (Parentheticals) - USD ($) $ in Thousands | Sep. 30, 2023 | Sep. 30, 2022 |
Accounts receivable, net of allowance for doubtful accounts (in Dollars) | $ 333 | $ 86 |
Class A Common Stock | ||
Common stock, par value (in Dollars per share) | $ 0.00001 | $ 0.00001 |
Common stock, shares authorized | 47,400,000 | 47,400,000 |
Common stock, shares issued | 44,353,846 | 39,400,000 |
Common stock, shares outstanding | 44,353,846 | 39,400,000 |
Class B Common Stock | ||
Common stock, par value (in Dollars per share) | $ 0.00001 | $ 0.00001 |
Common stock, shares authorized | 60,600,000 | 60,600,000 |
Common stock, shares issued | 17,813,000 | 600,000 |
Common stock, shares outstanding | 17,813,000 | 600,000 |
Statements of Operations
Statements of Operations - USD ($) $ in Thousands | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Income Statement [Abstract] | ||
Revenue, net | $ 8,759 | $ 6,049 |
Cost of revenue, net | 2,744 | 2,098 |
Gross profit | 6,015 | 3,951 |
Operating expenses: | ||
Research and development | 1,979 | 1,772 |
Sales and marketing | 238 | 297 |
General and administrative | 3,509 | 2,258 |
Total operating expenses | 5,726 | 4,327 |
Gain/(Loss) from operations | 289 | (376) |
Other income (expense): | ||
Interest expense, net | (734) | (18) |
Total other expense | (734) | (18) |
Loss before income tax expense | (445) | (394) |
Income tax benefit/(expense) | 106 | (113) |
Net loss | (339) | (507) |
Net loss attributable to common stockholders | $ (339) | $ (507) |
Basic net loss per share of common stock (in Dollars per share) | $ (0.01) | $ (0.01) |
Weighted average shares used to compute basic net loss per share (in Shares) | 62,166,846 | 40,000,000 |
Statements of Operations (Paren
Statements of Operations (Parentheticals) - $ / shares | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Income Statement [Abstract] | ||
Diluted net loss per share of common stock | $ (0.01) | $ (0.01) |
Weighted average shares used to compute diluted net loss per share | 62,166,846 | 40,000,000 |
Statements of Stockholders_ Equ
Statements of Stockholders’ Equity - USD ($) $ in Thousands | Class A Common Stock | Class B Common Stock | Paid-in capital | Additional paid-in capital | Retained earnings | Non- controlling Interest | Total | |||
Balances at Sep. 30, 2021 | [1] | [1] | $ 878 | $ 1,047 | $ (57) | $ 1,868 | ||||
Balances (in Shares) at Sep. 30, 2021 | [1] | |||||||||
Shareholder capital injection | [1] | [1] | 1,500 | 1,500 | ||||||
Conversion of member units to common stock | [1] | [1] | (2,378) | 2,378 | ||||||
Conversion of member units to common stock (in Shares) | [1] | 39,400,000 | 600,000 | |||||||
Non-controlling interest | [1] | [1] | 57 | 57 | ||||||
Net loss | [1] | [1] | (507) | (507) | ||||||
Balances at Sep. 30, 2022 | [1] | [1] | 2,378 | 540 | 2,918 | |||||
Balances (in Shares) at Sep. 30, 2022 | [1] | 39,400,000 | 600,000 | |||||||
Common stock issued for cash | [1] | [1] | 2,230 | 2,230 | ||||||
Common stock issued for cash (in Shares) | [1] | 9,397,000 | ||||||||
Common stock issued for services | [1] | [1] | 38,318 | 38,318 | ||||||
Common stock issued for services (in Shares) | [1] | 6,153,846 | 6,616,000 | |||||||
Provision of common stock issued for future services | [1] | [1] | (38,318) | (38,318) | ||||||
Conversion from class A to Class B common stock | [1] | [1] | ||||||||
Conversion from class A to Class B common stock (in Shares) | [1] | (1,200,000) | 1,200,000 | |||||||
Non-controlling interest | ||||||||||
Net loss | [1] | [1] | (339) | (339) | ||||||
Balances at Sep. 30, 2023 | [1] | [1] | $ 4,608 | $ 201 | $ 4,809 | |||||
Balances (in Shares) at Sep. 30, 2023 | [1] | 44,353,846 | 17,813,000 | |||||||
[1]Par value per share and the number of shares has been retrospectively restated for the related period in connection with our 4-for-1 forward stock split and concurrent re-designation of our common stock into Class A and Class B common stock in October 2022. |
Statements of Cash Flows
Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Cash Flows From Operating Activities | ||
Net loss | $ (339) | $ (507) |
Non-controlling interests | 57 | |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Accounts receivable | (3,919) | (1,612) |
Inventory | 551 | (389) |
Prepaid expenses and other current assets | 23 | (31) |
Right-of-use asset | 67 | (382) |
Deferred tax assets | (518) | |
Accounts payable | 951 | (305) |
Tax payable | 344 | 108 |
Accrued expenses | 3 | 28 |
Operating lease liabilities, current | (108) | 108 |
Operating lease liabilities, non-current | 36 | 279 |
Net cash used in operating activities | (2,909) | (2,646) |
Cash Flows From Investing Activities | ||
Sale of property and equipment | 13 | 64 |
Cash used for lending to related parties | (30) | (108) |
Cash collection from loan to related parties | 4 | |
Net cash received (used) in investing activities | (13) | (44) |
Cash Flows From Financing Activities | ||
Proceeds from the issuance of related party debt | 200 | 190 |
Payment of related party debt | (247) | |
Payment of long-term loans | (26) | |
Proceeds from short-term loans | 845 | |
Proceeds from stockholder capital injection | 2,230 | 1,500 |
Net cash provided by financing activities | 3,028 | 1,664 |
Net change in cash and cash equivalents | 106 | (1,026) |
Cash, cash equivalents and restricted cash at beginning of year | 327 | 1,353 |
Cash, cash equivalents and restricted cash at end of year | 433 | 327 |
Supplemental Disclosure of Non-cash Transactions: | ||
Disposition of subsidiaries | $ (17) |
Nature of Business
Nature of Business | 12 Months Ended |
Sep. 30, 2023 | |
Nature of Business [Abstract] | |
Nature of Business | NOTE 1: Nature of Business Description of Business Richtech Robotics Inc. (“we”, “us”, “our” or “Richtech”), is a Nevada C-Corporation registered in Nevada. Richtech was converted from Richtech Creative Displays, LLC on June 22, 2022, which is the predecessor of Richtech and established on July 19, 2016 in Nevada. We are a leading provider of service robotic solutions by developing, manufacturing, and deploying novel products that address the growing need for automation in the service industry. We develop and provide service automation solutions that directly address the labor shortage problem affecting the US service industry. Our solutions include delivery, commercial cleaning, food & beverage service, and customization and development service, which have been implemented more than 80 cities across the United States in restaurants, hotels, casinos, senior living homes, factories and retail centers. Our solutions automate repetitive and time-consuming tasks which allows clients to reallocate labor hours to more value-creating roles. Many of our clients see our robotic solutions as crucial to expanding and scaling their businesses. Our goal is to be a long-term partner to our clients, providing them with a range of robotic solutions to remedy their problems. Risk and Uncertainties The Company’s business and operations are sensitive to general business and economic conditions worldwide. These conditions include short-term and long-term interest rates, inflation, fluctuations in debt and equity capital markets and the general condition of the world economy. A host of factors beyond the Company’s control could cause fluctuations in these conditions. Adverse developments in these general business and economic conditions could have a material adverse effect on the Company’s financial condition and the results of its operations. In addition, the Company will compete with many companies that currently have extensive and well-funded projects, marketing and sales operations. The Company may be unable to compete successfully against these companies. The Company’s industry is characterized by rapid changes in technology and market demands. As a result, the Company’s products, services, or expertise may become obsolete or unmarketable. The Company’s future success will depend on its ability to adapt to technological advances, anticipate customer and market demands, and enhance its current technology under development. Emerging Growth Company Status We are an emerging growth company, as defined in the Jumpstart Our Business Startups Act of 2012 (the “JOBS Act”). Under the JOBS Act, emerging growth companies can delay adopting new or revised accounting standards issued subsequent to the enactment of the JOBS Act, until such time as those standards apply to private companies. We have elected to use this extended transition period for complying with new or revised accounting standards that have different effective dates for public and private companies until the earlier of the date that we are (1) no longer an emerging growth company or (2) affirmatively and irrevocably opt out of the extended transition period provided in the JOBS Act. As a result, our financial statements may not be comparable to companies that comply with the new or revised accounting pronouncements as of public company effective dates. We will remain an emerging growth company until the earliest of (1) the last day of the first fiscal year (A) following the fifth anniversary of the completion of this offering, (B) in which our total annual gross revenue is at least $1.235 billion or (C) when we are deemed to be a large accelerated filer, which means the market value of our common stock that is held by non-affiliates exceeds $700.0 million as of our most recently completed second fiscal quarter and (2) the date on which we have issued more than $1.0 billion in non-convertible debt securities during the prior three-year period. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Sep. 30, 2023 | |
Summary of Significant Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | NOTE 2: Summary of Significant Accounting Policies Basis of Presentation These financial statements and accompanying notes have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”), pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). All intercompany accounts and transactions have been eliminated in consolidation. Use of Estimates The preparation of the financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the dates of the financial statements and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates. Segment Reporting Operating segments are identified as components of an enterprise about which separate financial information is available for evaluation by the chief operating decision-maker in making decisions regarding resource allocation and assessing performance. We view our operations and manage our business as one operating segment. Cash and Cash Equivalents We consider all highly liquid investments purchased with an original maturity of three Accounts Receivable Accounts receivables are primarily comprised of trade receivables presented net of rebates, price protection and an allowance for credit loss. Accounts receivable also include unbilled receivables, which primarily represent work completed on development services recognized as revenue but not yet invoiced to customers and semi-custom products under non-cancellable purchase orders that have no alternative use to the Company at contract inception, for which revenue has been recognized but not yet invoiced to customers. All unbilled accounts receivables are expected to be billed and collected within twelve months. We manage our exposure to customer credit risk through credit limits, credit lines, ongoing monitoring procedures and credit approvals. Furthermore, we perform in-depth credit evaluations of all new customers and, at intervals, for existing customers. From this, we may require letters of credit, bank or corporate guarantees or advance payments if deemed necessary. We maintain an allowance for credit loss, consisting of known specific troubled accounts as well as an amount based on overall estimated potential uncollectible accounts receivable based on historical experience and review of their current credit quality. The amount of allowance for doubtful accounts were $333 and $86 as of September 30, 2023 and 2022, respectively. We do not believe the receivable balance from its customers represents a significant credit risk. Inventories We value inventory at standard cost, adjusted to approximate the lower of actual cost or estimated net realizable value using assumptions about future demand and market conditions. In determining excess or obsolescence reserves for its products, we consider assumptions such as changes in business and economic conditions, other-than-temporary decreases in demand for its products, and changes in technology or customer requirements. In determining the lower of cost or net realizable value reserves, we consider assumptions such as recent historical sales activity and selling prices, as well as estimates of future selling prices. We fully reserve for inventories and non-cancellable purchase orders for inventory deemed obsolete. We perform periodic reviews of inventory items to identify excess inventories on hand by comparing on-hand balances and non-cancellable purchase orders to anticipated usage using recent historical activity as well as anticipated or forecasted demand. If estimates of customer demand diminish further or market conditions become less favorable than those projected by us, additional inventory carrying value adjustments may be required. Inventory as of September 30, 2023 and 2022 are as follows: September 30, 2023 2022 Raw materials $ 164 $ 286 Finished goods 658 1,087 Total inventories $ 822 $ 1,373 Property, and Equipment, net Property and equipment, net is stated at cost less accumulated depreciation and amortization and is depreciated using the straight-line method over the estimated useful lives of the assets. Estimated useful lives of equipment is two six Property and equipment, as of September 30, 2023 and 2022 are as follows: September 30 2023 2022 Furniture, fixtures & equipment $ 63 $ 63 Leasehold improvements 4 4 67 67 Accumulated depreciation (39 ) (26 ) Property and equipment, net $ 28 $ 41 Depreciation expense for 2022 and 2021 was $13 and $7, respectively. Stockholders’ Equity According to ASC 505-10-S99-4, changes in the capital structure of a reporting entity due to a stock dividend, stock split or reverse split occurring after the date of the latest reported balance sheet but before the release of the financial statements (or the effective date of the registration statement, whichever is later) should be given retroactive effect in the balance sheet. In such cases, appropriate disclosure should be made of the retrospective treatment and the date the change became effective. For our Statements of Stockholders’ Equity, par value per share and the number of shares has been retrospectively restated for the related period in connection with our 4-for-1 forward stock split and concurrent re-designation of our common stock into Class A and Class B common stock in October 2022. In accounting for the conversion of member units into common stock, we followed the relevant accounting guidance provided by the Financial Accounting Standards Board (“FASB”) in accordance with GAAP. According to ASC 805-50-15-6, an entity charters a newly formed entity and then transfers some or all of its net assets to that newly chartered entity is an example of common-control transactions. ASC 805-50-15-6 provides guidance on common control transactions, stating that such transactions involve transfers between entities under common control, where the control is not transitory. In the case of the conversion of member units into common stock, the entities involved are under common control by the same parent entity. This relationship satisfies the criteria for a common control transaction, as control is not transitory and the parent entity exercises significant influence over the entities involved. Financial statements reflect the members’ equity and that the reclassification of members’ equity during fiscal 2022 to paid-in-capital is properly accounted for, in accordance with ASC 805-50-45-4 and SAB Topic 4.B by analogy. Revenue Recognition Revenue is recognized when we transfer promised goods or services to our customers, in amounts that reflect the consideration that we expect to receive in exchange for those goods or services. In determining the appropriate amount of revenue to be recognized as we fulfill our obligations under each agreement, we perform the following steps: (i) identification of the promised goods or services in the contract; (ii) determination of whether the promised goods or services are performance obligations, including whether they are distinct in the context of the contract; (iii) measurement of the transaction price, including the constraint on variable consideration; (iv) allocation of the transaction price to the performance obligations; and (v) recognition of revenue when (or as) we satisfy each performance obligation. We only apply the five-step model to contracts when it is probable that we will collect the consideration we are entitled to in exchange for the goods or services we transfer to the customer. Product Revenue We generate revenue through the sale of our branded robotic products directly to customers. We consider customer purchase orders, which in some cases are governed by master sales agreements, to be the contracts with our customers. There is a single performance obligation in all our contracts, which is our promise to transfer our product to customers based on specific payment and shipping terms in the arrangement. The entire transaction price is allocated to this single performance obligation. Product revenue is recognized when a customer obtains control of our product, which occurs at a point in time and may be upon shipment or delivery, based on the terms of the contract. Other Revenue Policies Sales, value add, and other taxes collected on behalf of third parties are excluded from revenue. We do not assess whether a contract has a significant financing component if the expectation at contract inception is such that the period between payment by the customer and the transfer of the promised products to the customer will be one year or less, which is the case with substantially all customers. We recognize the incremental costs of obtaining contracts as an expense when incurred if the amortization period of the assets that we otherwise would have recognized is one year or less. These costs are included in selling expenses. We account for shipping and handling activities related to contracts with customers as costs to fulfill the promise to transfer the associated products. We record the related costs within cost of goods sold. Disaggregation of Revenue The following table sets forth revenue by product for the years ended September 30: September 30 Notes 2023 2022 Robotics Product revenue $ 5,665 $ 2,981 Service revenue 2,602 1,876 Leasing revenue 197 441 Total Robotics revenue 8,464 5,298 Smart hardware 7 562 Interactive system 198 189 Cloutea* 90 — Total revenue, net $ 8,759 $ 6,049 Notes: * Cloutea is the revenue generated from our boba tea store open in May 2023, in order to further develop our business model. This is our model store of interactive robot barista by utilizing our ADAM robot. Research and Development Costs Research and development costs primarily consist of employee-related expenses, including salaries and benefits, facilities costs, depreciation, and other allocated expenses. Research and development costs are expensed as incurred. Income Taxes The Company accounts for income taxes in accordance with income tax accounting guidance (Financial Accounting Standards Board (FASB) Accounting Standards Codification (ASC) 740, Income Taxes). The income tax accounting guidance results in two components of income tax expense: current and deferred. Current income tax expense reflects taxes to be paid or refunded for the current period by applying the provisions of the enacted tax law to the taxable income or excess of deductions over revenues. The Company determines deferred income taxes using the liability (or balance sheet) method. Under this method, the net deferred tax asset or liability is based on the tax effects of the differences between the book and tax bases of assets and liabilities, and enacted changes in tax rates and laws are recognized in the period in which they occur. Deferred income tax expense results from changes in deferred tax assets and liabilities between periods. Deferred tax assets are reduced by a valuation allowance if, based on the weight of evidence available, it is more likely than not some portion or all of a deferred tax asset will not be realized. Tax positions are recognized if it is more likely than not, based on the technical merits, the tax position will be realized or sustained upon examination. The term “more likely than not” means a likelihood of more than 50 percent; the terms examined and upon examination also include resolution of the related appeals or litigation processes, if any. A tax position that meets the more-likely-than-not recognition threshold is initially and subsequently measured as the largest amount of tax benefit that has a greater than 50 percent likelihood of being realized upon settlement with a taxing authority that has full knowledge of all relevant information. The determination of whether or not a tax position has met the more-likely-than-not recognition threshold considers the facts, circumstances and information available at the reporting date and is subject to management’s judgment. The Company recognizes interest and penalties on income taxes as a component of income tax expense. Recent Accounting Pronouncements In February 2016, the FASB issued Accounting Standards Update (“ASU”) 2016-02, Leases Leases In December 2019, the FASB issued ASU 2019-12, Income Taxes (Topic 740), Simplifying the Accounting for Income Taxes In May 2020, the FASB issued ASU 2021-04, Earnings Per Share (Topic 260), Debt-Modifications and Extinguishments (Subtopic 470-50), Compensation-Stock Compensation (Topic 718), and Derivatives and Hedging-Contracts in Entity’s Own Equity (Subtopic 815- 40): Issuer’s Accounting for Certain Modifications or Exchanges of Freestanding Equity-Classified Written Call Options (“ASU 2021-04”). ASU 2021-04 provides guidance for a modification or an exchange of a freestanding equity-classified written call option that is not within the scope of another topic. ASU 2021-04 is effective for fiscal years beginning after December 15, 2021. The Company has determined the adoption of ASU 2021-04 did not have a material impact on our financial statements and disclosures. COVID-19 In March 2020, the World Health Organization declared the outbreak of a novel coronavirus (COVID-19) as a pandemic, which continues to spread throughout the United States. The COVID-19 pandemic has adversely impacted global commercial activity, disrupted supply chains and contributed to significant volatility in financial markets. Starting in 2020, and continuing through the date hereof, the COVID-19 pandemic continued to adversely impact many different industries. The ongoing COVID-19 pandemic could have a continued material impact on economic and market conditions and trigger a period of global economic slowdown. The rapid development and fluidity of this situation precludes any prediction as to the extent and the duration of the impact of COVID-19. The COVID-19 pandemic therefore presents material uncertainty and risk with respect to the Company and its performance and could affect its financial results in a materially adverse way. The Company has considered information available to it as of the date of issuance of these consolidated financial statements and is not aware of any specific events or circumstances that would require an update to its estimates or judgements, or an adjustment to the carrying value of its assets or liabilities. The accounting estimates and other matters assessed include, but were not limited to, long-lived assets and accrued expenses. These estimates may change as new events occur and additional information becomes available. Actual results could differ materially from these estimates. In response to the changing dynamics of the COVID-19 pandemic and endemic, the Company closely monitors the Centers for Disease Control and Prevention recommendations in order to react quickly with appropriate safety protocols. Management is continuing to monitor the effect of COVID-19 and intends to adjust its operational protocols as may be necessary. |
Earnings Per Share
Earnings Per Share | 12 Months Ended |
Sep. 30, 2023 | |
Earnings Per Share [Abstract] | |
Earnings per Share | NOTE 3: Earnings per Share Because we reported a net loss for all periods presented, no potentially dilutive securities have been included in the computation of diluted net loss per share. In addition, we have no outstanding stock options, warrants, convertible notes, and any other forms of convertible deferred compensation that could dilute basic earnings per share in the future as of September 30, 2023 and 2022. Year Ended 2023 2022 Numerator: Net loss attributable to common stockholders $ (339 ) $ (507 ) Denominator: Weighted average ordinary shares used in computing 62,166,846 40,000,000 Basic and diluted net loss per share (in each dollar) $ (0.01 ) $ (0.01 ) |
Income Taxes
Income Taxes | 12 Months Ended |
Sep. 30, 2023 | |
Income Taxes [Abstract] | |
Income Taxes | NOTE 4: Income Taxes We are subject to taxation in the United States and various states jurisdictions in which we conduct our business. Our tax provision for interim periods is determined using an estimate of our annual effective tax rate, adjusted for discrete items arising in that quarter. On a quarterly basis, we update our estimate of the annual effective tax rate, and if the estimated annual tax rate changes, we make a cumulative adjustment in that quarter. The tax expenses recorded for both of the year ended September 30, 2023 and 2022 differ from the U.S. federal statutory tax rate of 21% due primarily to the tax impact of state income taxes, non-deductible officers’ compensation, and transportation fringe benefits. For the year ended September 30, 2023 and 2022, we recorded income tax benefit of expense of $106 and income tax expense of $113, respectively, and the effective tax rate is not applicable due to there were losses from continuing operations before income tax expense for both years presented. We have no material uncertain tax positions as of September 30, 2023 and 2022. It is our policy to recognize interest and penalties related to income tax matters in interest expense and other income (expense), net, respectively, in our audited condensed consolidated statements of operations and comprehensive income. There was no accrued interest or penalties associated with uncertain tax positions as of September 30, 2023 and 2022. |
Short-Term Loan
Short-Term Loan | 12 Months Ended |
Sep. 30, 2023 | |
Short-Term Loan [Abstract] | |
Short-term Loan | NOTE 5: Short-term Loan During 2023, we entered into ten short-term loan agreements with different financial entities for the total principal amount of $1,853. As of September 30, 2023, the short-term loan balance was $845. The majority of these loans have been paid off, and the remaining balance was $55 as of the reporting date. |
Related Parties and Related-Par
Related Parties and Related-Party Transactions | 12 Months Ended |
Sep. 30, 2023 | |
Related Parties and Related Party Transactions [Abstract] | |
Related parties and related-party transactions | NOTE 6: Related parties and related-party transactions The group had the following related parties: a. Companies controlled by the same controlling stockholders; and b. Executive officers, stockholders and companies controlled by executive officers. Balances We had the following related party balances: Relationship Notes As of As of Amounts due from related parties: Uplus Academy LLC a (i) 118 92 Uplus Academy NLV LLC a (i) 16 16 134 108 Relationship Notes As of September 30, As of September 30, Amounts due to related parties: Bison Systems LLC a (ii) 85 70 Zhenwu Huang b (iii) 113 214 Phil Zheng b (iv) 40 — 238 284 Notes: (i) Uplus Academy LLC and Uplus Academy NLV LLC were both subsidiaries of Richtech, and were disposed on December 31, 2021. Richtech has been making interest-free and non-maturity loans to both companies since their inceptions. On December 31, 2021, Uplus Academy LLC and Uplus Academy NLV LLC, subsidiaries of Richtech have been disposed to Zhenwu Huang, CEO and controlling stockholder of Richtech, to pay off part of Zhenwu Huang’s earlier loans to Richtech. The transaction price for Uplus Academy LLC and Uplus Academy NLV LLC were $120 and $7, respectively. (ii) Bison Systems LLC was 100% owned by Zhenwu Huang, CEO and controlling stockholder of Richtech and Zhenqiang Huang, CFO and major stockholder of Richtech. In 2022 and 2023, Bison Systems LLC made several interest-free and non-maturity loans to Richtech to support its daily operation. (iii) Zhenwu Huang, CEO and controlling stockholder of Richtech, made multiple interest-free and non-maturity loans to Richtech since the inception of the business to support Richtech’s operation. As of September 30, 2023 and September 30, 2022, the remaining balance of these loans were $113 and $214, respectively. (iv) Phil Zheng has served as Richtech’s COO since February 2020. Phil made an interest-free and non-maturity loans to Richtech in May 2023. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Sep. 30, 2023 | |
Commitments and contingencies [Abstract] | |
Commitments and Contingencies | NOTE 7: Commitments and contingencies Leases We lease office facilities under noncancelable operating lease agreements. We lease space for its corporate headquarters in Las Vegas, Nevada through August 2027, and a second office space in Austin, Taxes through April 2024. We lease space for our ClouTea store in Las Vegas, Nevada through January 2024. After ClouTea store lease term ends in January 2024, the new lease term will change to month-to-month, and landlord can choose to terminate the lease by sending a notice two month in advance. The components of leases and lease costs are as follows: Operating leases September 30, 2023 September 30, 2022 Operating lease right-of-use assets $ 315 $ 382 Operating lease liabilities, current portion $ 161 $ 108 Operating lease liabilities, non-current portion 154 279 Total operating lease liabilities $ 315 $ 387 Operating leases Year Ended Year Ended September 30, Operating lease cost $ 227 $ 151 Future minimum lease payments under these leases as of September 30, 2023, are approximately as follows: Year ending September 30, Amount 2024 $ 174 2025 116 2026 50 Total future minimum lease payments $ 340 Legal Proceedings From time to time, in the ordinary course of business, we are subject to litigation and regulatory examinations as well as information gathering requests, inquiries and investigations. As of September 30, 2023, there were no matters which would have a material impact on our financial results. |
Subsequent Events
Subsequent Events | 12 Months Ended |
Sep. 30, 2023 | |
Subsequent Events [Abstract] | |
Subsequent Events | NOTE 8: Subsequent Events On November 21, 2023, Richtech consummated its initial public offering of 2,100,000 shares of its Class B common stock at a price of $5.00 per share. The aggregate gross proceeds from the Offering amounted to $10.5 million, prior to deducting underwriting discounts, commissions, and Offering-related expenses. The shares began trading on the Nasdaq Capital Market under the ticker symbol “RR” on November 17, 2023. On December 22, 2023, the underwriters purchased an additional 42,563 shares of Class B common stock at a price of $5.00 per share pursuant to the partial exercise of the underwriters’ over-allotment option., generating additional gross proceeds of $212,815. |
Accounting Policies, by Policy
Accounting Policies, by Policy (Policies) | 12 Months Ended |
Sep. 30, 2023 | |
Summary of Significant Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation These financial statements and accompanying notes have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”), pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). All intercompany accounts and transactions have been eliminated in consolidation. |
Use of Estimates | Use of Estimates The preparation of the financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the dates of the financial statements and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates. |
Segment Reporting | Segment Reporting Operating segments are identified as components of an enterprise about which separate financial information is available for evaluation by the chief operating decision-maker in making decisions regarding resource allocation and assessing performance. We view our operations and manage our business as one operating segment. |
Cash and Cash Equivalents | Cash and Cash Equivalents We consider all highly liquid investments purchased with an original maturity of three |
Accounts Receivable | Accounts Receivable Accounts receivables are primarily comprised of trade receivables presented net of rebates, price protection and an allowance for credit loss. Accounts receivable also include unbilled receivables, which primarily represent work completed on development services recognized as revenue but not yet invoiced to customers and semi-custom products under non-cancellable purchase orders that have no alternative use to the Company at contract inception, for which revenue has been recognized but not yet invoiced to customers. All unbilled accounts receivables are expected to be billed and collected within twelve months. We manage our exposure to customer credit risk through credit limits, credit lines, ongoing monitoring procedures and credit approvals. Furthermore, we perform in-depth credit evaluations of all new customers and, at intervals, for existing customers. From this, we may require letters of credit, bank or corporate guarantees or advance payments if deemed necessary. We maintain an allowance for credit loss, consisting of known specific troubled accounts as well as an amount based on overall estimated potential uncollectible accounts receivable based on historical experience and review of their current credit quality. The amount of allowance for doubtful accounts were $333 and $86 as of September 30, 2023 and 2022, respectively. We do not believe the receivable balance from its customers represents a significant credit risk. |
Inventories | Inventories We value inventory at standard cost, adjusted to approximate the lower of actual cost or estimated net realizable value using assumptions about future demand and market conditions. In determining excess or obsolescence reserves for its products, we consider assumptions such as changes in business and economic conditions, other-than-temporary decreases in demand for its products, and changes in technology or customer requirements. In determining the lower of cost or net realizable value reserves, we consider assumptions such as recent historical sales activity and selling prices, as well as estimates of future selling prices. We fully reserve for inventories and non-cancellable purchase orders for inventory deemed obsolete. We perform periodic reviews of inventory items to identify excess inventories on hand by comparing on-hand balances and non-cancellable purchase orders to anticipated usage using recent historical activity as well as anticipated or forecasted demand. If estimates of customer demand diminish further or market conditions become less favorable than those projected by us, additional inventory carrying value adjustments may be required. Inventory as of September 30, 2023 and 2022 are as follows: September 30, 2023 2022 Raw materials $ 164 $ 286 Finished goods 658 1,087 Total inventories $ 822 $ 1,373 |
Property, and Equipment, net | Property, and Equipment, net Property and equipment, net is stated at cost less accumulated depreciation and amortization and is depreciated using the straight-line method over the estimated useful lives of the assets. Estimated useful lives of equipment is two six Property and equipment, as of September 30, 2023 and 2022 are as follows: September 30 2023 2022 Furniture, fixtures & equipment $ 63 $ 63 Leasehold improvements 4 4 67 67 Accumulated depreciation (39 ) (26 ) Property and equipment, net $ 28 $ 41 Depreciation expense for 2022 and 2021 was $13 and $7, respectively. |
Stockholders’ Equity | Stockholders’ Equity According to ASC 505-10-S99-4, changes in the capital structure of a reporting entity due to a stock dividend, stock split or reverse split occurring after the date of the latest reported balance sheet but before the release of the financial statements (or the effective date of the registration statement, whichever is later) should be given retroactive effect in the balance sheet. In such cases, appropriate disclosure should be made of the retrospective treatment and the date the change became effective. For our Statements of Stockholders’ Equity, par value per share and the number of shares has been retrospectively restated for the related period in connection with our 4-for-1 forward stock split and concurrent re-designation of our common stock into Class A and Class B common stock in October 2022. In accounting for the conversion of member units into common stock, we followed the relevant accounting guidance provided by the Financial Accounting Standards Board (“FASB”) in accordance with GAAP. According to ASC 805-50-15-6, an entity charters a newly formed entity and then transfers some or all of its net assets to that newly chartered entity is an example of common-control transactions. ASC 805-50-15-6 provides guidance on common control transactions, stating that such transactions involve transfers between entities under common control, where the control is not transitory. In the case of the conversion of member units into common stock, the entities involved are under common control by the same parent entity. This relationship satisfies the criteria for a common control transaction, as control is not transitory and the parent entity exercises significant influence over the entities involved. Financial statements reflect the members’ equity and that the reclassification of members’ equity during fiscal 2022 to paid-in-capital is properly accounted for, in accordance with ASC 805-50-45-4 and SAB Topic 4.B by analogy. |
Revenue Recognition | Revenue Recognition Revenue is recognized when we transfer promised goods or services to our customers, in amounts that reflect the consideration that we expect to receive in exchange for those goods or services. In determining the appropriate amount of revenue to be recognized as we fulfill our obligations under each agreement, we perform the following steps: (i) identification of the promised goods or services in the contract; (ii) determination of whether the promised goods or services are performance obligations, including whether they are distinct in the context of the contract; (iii) measurement of the transaction price, including the constraint on variable consideration; (iv) allocation of the transaction price to the performance obligations; and (v) recognition of revenue when (or as) we satisfy each performance obligation. We only apply the five-step model to contracts when it is probable that we will collect the consideration we are entitled to in exchange for the goods or services we transfer to the customer. Product Revenue We generate revenue through the sale of our branded robotic products directly to customers. We consider customer purchase orders, which in some cases are governed by master sales agreements, to be the contracts with our customers. There is a single performance obligation in all our contracts, which is our promise to transfer our product to customers based on specific payment and shipping terms in the arrangement. The entire transaction price is allocated to this single performance obligation. Product revenue is recognized when a customer obtains control of our product, which occurs at a point in time and may be upon shipment or delivery, based on the terms of the contract. Other Revenue Policies Sales, value add, and other taxes collected on behalf of third parties are excluded from revenue. We do not assess whether a contract has a significant financing component if the expectation at contract inception is such that the period between payment by the customer and the transfer of the promised products to the customer will be one year or less, which is the case with substantially all customers. We recognize the incremental costs of obtaining contracts as an expense when incurred if the amortization period of the assets that we otherwise would have recognized is one year or less. These costs are included in selling expenses. We account for shipping and handling activities related to contracts with customers as costs to fulfill the promise to transfer the associated products. We record the related costs within cost of goods sold. Disaggregation of Revenue The following table sets forth revenue by product for the years ended September 30: September 30 Notes 2023 2022 Robotics Product revenue $ 5,665 $ 2,981 Service revenue 2,602 1,876 Leasing revenue 197 441 Total Robotics revenue 8,464 5,298 Smart hardware 7 562 Interactive system 198 189 Cloutea* 90 — Total revenue, net $ 8,759 $ 6,049 Notes: * Cloutea is the revenue generated from our boba tea store open in May 2023, in order to further develop our business model. This is our model store of interactive robot barista by utilizing our ADAM robot. |
Research and Development Costs | Research and Development Costs Research and development costs primarily consist of employee-related expenses, including salaries and benefits, facilities costs, depreciation, and other allocated expenses. Research and development costs are expensed as incurred. |
Income Taxes | Income Taxes The Company accounts for income taxes in accordance with income tax accounting guidance (Financial Accounting Standards Board (FASB) Accounting Standards Codification (ASC) 740, Income Taxes). The income tax accounting guidance results in two components of income tax expense: current and deferred. Current income tax expense reflects taxes to be paid or refunded for the current period by applying the provisions of the enacted tax law to the taxable income or excess of deductions over revenues. The Company determines deferred income taxes using the liability (or balance sheet) method. Under this method, the net deferred tax asset or liability is based on the tax effects of the differences between the book and tax bases of assets and liabilities, and enacted changes in tax rates and laws are recognized in the period in which they occur. Deferred income tax expense results from changes in deferred tax assets and liabilities between periods. Deferred tax assets are reduced by a valuation allowance if, based on the weight of evidence available, it is more likely than not some portion or all of a deferred tax asset will not be realized. Tax positions are recognized if it is more likely than not, based on the technical merits, the tax position will be realized or sustained upon examination. The term “more likely than not” means a likelihood of more than 50 percent; the terms examined and upon examination also include resolution of the related appeals or litigation processes, if any. A tax position that meets the more-likely-than-not recognition threshold is initially and subsequently measured as the largest amount of tax benefit that has a greater than 50 percent likelihood of being realized upon settlement with a taxing authority that has full knowledge of all relevant information. The determination of whether or not a tax position has met the more-likely-than-not recognition threshold considers the facts, circumstances and information available at the reporting date and is subject to management’s judgment. The Company recognizes interest and penalties on income taxes as a component of income tax expense. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements In February 2016, the FASB issued Accounting Standards Update (“ASU”) 2016-02, Leases Leases In December 2019, the FASB issued ASU 2019-12, Income Taxes (Topic 740), Simplifying the Accounting for Income Taxes In May 2020, the FASB issued ASU 2021-04, Earnings Per Share (Topic 260), Debt-Modifications and Extinguishments (Subtopic 470-50), Compensation-Stock Compensation (Topic 718), and Derivatives and Hedging-Contracts in Entity’s Own Equity (Subtopic 815- 40): Issuer’s Accounting for Certain Modifications or Exchanges of Freestanding Equity-Classified Written Call Options (“ASU 2021-04”). ASU 2021-04 provides guidance for a modification or an exchange of a freestanding equity-classified written call option that is not within the scope of another topic. ASU 2021-04 is effective for fiscal years beginning after December 15, 2021. The Company has determined the adoption of ASU 2021-04 did not have a material impact on our financial statements and disclosures. |
COVID-19 | COVID-19 In March 2020, the World Health Organization declared the outbreak of a novel coronavirus (COVID-19) as a pandemic, which continues to spread throughout the United States. The COVID-19 pandemic has adversely impacted global commercial activity, disrupted supply chains and contributed to significant volatility in financial markets. Starting in 2020, and continuing through the date hereof, the COVID-19 pandemic continued to adversely impact many different industries. The ongoing COVID-19 pandemic could have a continued material impact on economic and market conditions and trigger a period of global economic slowdown. The rapid development and fluidity of this situation precludes any prediction as to the extent and the duration of the impact of COVID-19. The COVID-19 pandemic therefore presents material uncertainty and risk with respect to the Company and its performance and could affect its financial results in a materially adverse way. The Company has considered information available to it as of the date of issuance of these consolidated financial statements and is not aware of any specific events or circumstances that would require an update to its estimates or judgements, or an adjustment to the carrying value of its assets or liabilities. The accounting estimates and other matters assessed include, but were not limited to, long-lived assets and accrued expenses. These estimates may change as new events occur and additional information becomes available. Actual results could differ materially from these estimates. In response to the changing dynamics of the COVID-19 pandemic and endemic, the Company closely monitors the Centers for Disease Control and Prevention recommendations in order to react quickly with appropriate safety protocols. Management is continuing to monitor the effect of COVID-19 and intends to adjust its operational protocols as may be necessary. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Sep. 30, 2023 | |
Summary of Significant Accounting Policies [Abstract] | |
Schedule of Inventory | Inventory as of September 30, 2023 and 2022 are as follows: September 30, 2023 2022 Raw materials $ 164 $ 286 Finished goods 658 1,087 Total inventories $ 822 $ 1,373 |
Schedule of Property and Equipment | Property and equipment, as of September 30, 2023 and 2022 are as follows: September 30 2023 2022 Furniture, fixtures & equipment $ 63 $ 63 Leasehold improvements 4 4 67 67 Accumulated depreciation (39 ) (26 ) Property and equipment, net $ 28 $ 41 |
Schedule of Sets Forth Revenue | The following table sets forth revenue by product for the years ended September 30: September 30 Notes 2023 2022 Robotics Product revenue $ 5,665 $ 2,981 Service revenue 2,602 1,876 Leasing revenue 197 441 Total Robotics revenue 8,464 5,298 Smart hardware 7 562 Interactive system 198 189 Cloutea* 90 — Total revenue, net $ 8,759 $ 6,049 * Cloutea is the revenue generated from our boba tea store open in May 2023, in order to further develop our business model. This is our model store of interactive robot barista by utilizing our ADAM robot. |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 12 Months Ended |
Sep. 30, 2023 | |
Earnings Per Share [Abstract] | |
Schedule of Basic and Diluted Net Loss Per Share | In addition, we have no outstanding stock options, warrants, convertible notes, and any other forms of convertible deferred compensation that could dilute basic earnings per share in the future as of September 30, 2023 and 2022. Year Ended 2023 2022 Numerator: Net loss attributable to common stockholders $ (339 ) $ (507 ) Denominator: Weighted average ordinary shares used in computing 62,166,846 40,000,000 Basic and diluted net loss per share (in each dollar) $ (0.01 ) $ (0.01 ) |
Related Parties and Related-P_2
Related Parties and Related-Party Transactions (Tables) | 12 Months Ended |
Sep. 30, 2023 | |
Related Parties and Related Party Transactions [Abstract] | |
Schedule of Related Party Balances | We had the following related party balances: Relationship Notes As of As of Amounts due from related parties: Uplus Academy LLC a (i) 118 92 Uplus Academy NLV LLC a (i) 16 16 134 108 Relationship Notes As of September 30, As of September 30, Amounts due to related parties: Bison Systems LLC a (ii) 85 70 Zhenwu Huang b (iii) 113 214 Phil Zheng b (iv) 40 — 238 284 (i) Uplus Academy LLC and Uplus Academy NLV LLC were both subsidiaries of Richtech, and were disposed on December 31, 2021. Richtech has been making interest-free and non-maturity loans to both companies since their inceptions. On December 31, 2021, Uplus Academy LLC and Uplus Academy NLV LLC, subsidiaries of Richtech have been disposed to Zhenwu Huang, CEO and controlling stockholder of Richtech, to pay off part of Zhenwu Huang’s earlier loans to Richtech. The transaction price for Uplus Academy LLC and Uplus Academy NLV LLC were $120 and $7, respectively. (ii) Bison Systems LLC was 100% owned by Zhenwu Huang, CEO and controlling stockholder of Richtech and Zhenqiang Huang, CFO and major stockholder of Richtech. In 2022 and 2023, Bison Systems LLC made several interest-free and non-maturity loans to Richtech to support its daily operation. (iii) Zhenwu Huang, CEO and controlling stockholder of Richtech, made multiple interest-free and non-maturity loans to Richtech since the inception of the business to support Richtech’s operation. As of September 30, 2023 and September 30, 2022, the remaining balance of these loans were $113 and $214, respectively. (iv) Phil Zheng has served as Richtech’s COO since February 2020. Phil made an interest-free and non-maturity loans to Richtech in May 2023. |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Sep. 30, 2023 | |
Commitments and contingencies [Abstract] | |
Schedule of Operating Lease | The components of leases and lease costs are as follows: Operating leases September 30, 2023 September 30, 2022 Operating lease right-of-use assets $ 315 $ 382 Operating lease liabilities, current portion $ 161 $ 108 Operating lease liabilities, non-current portion 154 279 Total operating lease liabilities $ 315 $ 387 |
Schedule of Operating Lease Cost | Operating leases Year Ended Year Ended September 30, Operating lease cost $ 227 $ 151 |
Schedule of Future Minimum Lease Payments | Future minimum lease payments under these leases as of September 30, 2023, are approximately as follows: Year ending September 30, Amount 2024 $ 174 2025 116 2026 50 Total future minimum lease payments $ 340 |
Nature of Business (Details)
Nature of Business (Details) $ in Millions | Sep. 30, 2023 USD ($) |
Nature of Business [Abstract] | |
Gross revenue | $ 1,235 |
Non affiliates exceeds | 700 |
Non convertible debt securities | $ 1,000 |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Details) - USD ($) | 12 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2021 | |
Summary of Significant Accounting Policies (Details) [Line Items] | |||
Maturity days | 3 months | ||
Allowance for doubtful accounts | $ 333 | $ 86 | |
Depreciation expense | $ 13 | $ 7 | |
Percentage of tax positions | 50% | ||
Percentage of tax benefit | 50% | ||
Leases terms | 12 months | ||
Minimum [Member] | |||
Summary of Significant Accounting Policies (Details) [Line Items] | |||
Estimated useful lives of equipment, term | 2 years | ||
Maximum [Member] | |||
Summary of Significant Accounting Policies (Details) [Line Items] | |||
Estimated useful lives of equipment, term | 6 years |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies (Details) - Schedule of Inventory - USD ($) $ in Thousands | Sep. 30, 2023 | Sep. 30, 2022 |
Schedule of Inventory [Abstract] | ||
Raw materials | $ 164 | $ 286 |
Finished goods | 658 | 1,087 |
Total inventories | $ 822 | $ 1,373 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies (Details) - Schedule of Property and Equipment - USD ($) $ in Thousands | Sep. 30, 2023 | Sep. 30, 2022 |
Schedule of Property and Equipment [Abstract] | ||
Furniture, fixtures & equipment | $ 63 | $ 63 |
Leasehold improvements | 4 | 4 |
Property and equipment, gross | 67 | 67 |
Accumulated depreciation | (39) | (26) |
Property and equipment, net | $ 28 | $ 41 |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies (Details) - Schedule of Sets Forth Revenue - USD ($) $ in Thousands | 12 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | ||
Disaggregation of Revenue [Line Items] | |||
Total revenue, net | $ 8,759 | $ 6,049 | |
Product Revenue [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Total revenue, net | 5,665 | 2,981 | |
Service Revenue [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Total revenue, net | 2,602 | 1,876 | |
Leasing Revenue [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Total revenue, net | 197 | 441 | |
Total Robotics Revenue [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Total revenue, net | 8,464 | 5,298 | |
Smart Hardware [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Total revenue, net | 7 | 562 | |
Interactive System [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Total revenue, net | 198 | 189 | |
Cloutea [Member] | |||
Disaggregation of Revenue [Line Items] | |||
Total revenue, net | [1] | $ 90 | |
[1] Cloutea is the revenue generated from our boba tea store open in May 2023, in order to further develop our business model. This is our model store of interactive robot barista by utilizing our ADAM robot. |
Earnings Per Share (Details) -
Earnings Per Share (Details) - Schedule of Basic and Diluted Net Loss Per Share - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Numerator: | ||
Net loss attributable to common stockholders | $ (339) | $ (507) |
Denominator: | ||
Weighted average ordinary shares used in computing | 62,166,846 | 40,000,000 |
Basic and diluted net loss per share (in each dollar) | $ (0.01) | $ (0.01) |
Earnings Per Share (Details) _2
Earnings Per Share (Details) - Schedule of Basic and Diluted Net Loss Per Share (Parentheticals) - $ / shares | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Schedule of Basic and Diluted Net Loss Per Share [Abstract] | ||
Diluted net loss per share (in each dollar) | $ (0.01) | $ (0.01) |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Income Taxes [Abstract] | ||
U.S. federal statutory tax rate | 21% | 21% |
Income tax benefit of expense | $ (106) | $ 113 |
Short-Term Loan (Details)
Short-Term Loan (Details) $ in Thousands | Sep. 30, 2023 USD ($) |
Short-Term Loan (Details) [Line Items] | |
Short-term loan | $ 845 |
Remaining loan balance | 55 |
Short-Term Loan [Member] | |
Short-Term Loan (Details) [Line Items] | |
Total principal amount | $ 1,853 |
Related Parties and Related-P_3
Related Parties and Related-Party Transactions (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Related Parties and Related-Party Transactions (Details) [Line Items] | ||
Remaining balance loans | $ 113 | $ 214 |
Uplus Academy LLC [Member] | ||
Related Parties and Related-Party Transactions (Details) [Line Items] | ||
Transaction price cost | 120 | |
Uplus Academy NLV LLC [Member] | ||
Related Parties and Related-Party Transactions (Details) [Line Items] | ||
Transaction price cost | $ 7 | |
Related Parties and Related-Party Transactions [Member] | Zhenwu Huang [Member] | ||
Related Parties and Related-Party Transactions (Details) [Line Items] | ||
Ownership percentage | 100% |
Related Parties and Related-P_4
Related Parties and Related-Party Transactions (Details) - Schedule of Related Party Balances - USD ($) $ in Thousands | Sep. 30, 2023 | Sep. 30, 2022 | |
Amounts due from related parties: | |||
Amounts due from related parties | $ 134 | $ 108 | |
Amounts due to related parties: | |||
Amounts due to related parties | 238 | 284 | |
Uplus Academy LLC [Member] | |||
Amounts due from related parties: | |||
Amounts due from related parties | [1] | 118 | 92 |
Uplus Academy NLV LLC [Member] | |||
Amounts due from related parties: | |||
Amounts due from related parties | [1] | 16 | 16 |
Bison Systems LLC [Member] | |||
Amounts due to related parties: | |||
Amounts due to related parties | [2] | 85 | 70 |
Zhenwu Huang [Member] | |||
Amounts due to related parties: | |||
Amounts due to related parties | [3] | 113 | 214 |
Phil Zheng [Member] | |||
Amounts due to related parties: | |||
Amounts due to related parties | [4] | $ 40 | |
[1] Uplus Academy LLC and Uplus Academy NLV LLC were both subsidiaries of Richtech, and were disposed on December 31, 2021. Richtech has been making interest-free and non-maturity loans to both companies since their inceptions. On December 31, 2021, Uplus Academy LLC and Uplus Academy NLV LLC, subsidiaries of Richtech have been disposed to Zhenwu Huang, CEO and controlling stockholder of Richtech, to pay off part of Zhenwu Huang’s earlier loans to Richtech. The transaction price for Uplus Academy LLC and Uplus Academy NLV LLC were $120 and $7, respectively. Bison Systems LLC was 100% owned by Zhenwu Huang, CEO and controlling stockholder of Richtech and Zhenqiang Huang, CFO and major stockholder of Richtech. In 2022 and 2023, Bison Systems LLC made several interest-free and non-maturity loans to Richtech to support its daily operation. Zhenwu Huang, CEO and controlling stockholder of Richtech, made multiple interest-free and non-maturity loans to Richtech since the inception of the business to support Richtech’s operation. As of September 30, 2023 and September 30, 2022, the remaining balance of these loans were $113 and $214, respectively. Phil Zheng has served as Richtech’s COO since February 2020. Phil made an interest-free and non-maturity loans to Richtech in May 2023. |
Commitments and Contingencies_2
Commitments and Contingencies (Details) - Schedule of Operating Lease - USD ($) $ in Thousands | Sep. 30, 2023 | Sep. 30, 2022 |
Schedule of Operating Lease [Abstract] | ||
Operating lease right-of-use assets | $ 315 | $ 382 |
Operating lease liabilities, current portion | 161 | 108 |
Operating lease liabilities, non-current portion | 154 | 279 |
Total operating lease liabilities | $ 315 | $ 387 |
Commitments and Contingencies_3
Commitments and Contingencies (Details) - Schedule of Operating Lease Cost - USD ($) $ in Thousands | 12 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
Schedule of Operating Lease Cost [Abstract] | ||
Operating lease cost | $ 227 | $ 151 |
Commitments and Contingencies_4
Commitments and Contingencies (Details) - Schedule of Future Minimum Lease Payments $ in Thousands | Sep. 30, 2023 USD ($) |
Schedule of Future Minimum Lease Payments [Abstract] | |
2024 | $ 174 |
2025 | 116 |
2026 | 50 |
Total future minimum lease payments | $ 340 |
Subsequent Events (Details)
Subsequent Events (Details) - USD ($) $ / shares in Units, $ in Thousands | Dec. 22, 2023 | Nov. 21, 2023 |
IPO [Member] | ||
Subsequent Events (Details) [Line Items] | ||
Initial public offering shares issued | 2,100,000 | |
Aggregate gross proceeds | $ 10,500 | |
Over-Allotment Option [Member] | ||
Subsequent Events (Details) [Line Items] | ||
Generating additional gross proceeds | $ 212,815 | |
Class B Common Stock [Member] | IPO [Member] | ||
Subsequent Events (Details) [Line Items] | ||
Price per share | $ 5 | |
Class B Common Stock [Member] | Over-Allotment Option [Member] | ||
Subsequent Events (Details) [Line Items] | ||
Underwriters purchased an additional | 42,563 | |
Per share | $ 5 |