Cover
Cover - shares | 3 Months Ended | |
Nov. 30, 2023 | Jan. 16, 2024 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Document Period End Date | Nov. 30, 2023 | |
Document Fiscal Period Focus | Q1 | |
Document Fiscal Year Focus | 2024 | |
Current Fiscal Year End Date | --08-31 | |
Entity File Number | 000-19954 | |
Entity Registrant Name | JEWETT-CAMERON TRADING COMPANY LTD | |
Entity Central Index Key | 0000885307 | |
Entity Tax Identification Number | 00-0000000 | |
Entity Incorporation, State or Country Code | A1 | |
Entity Address, Address Line One | 32275 N.W. Hillcrest | |
Entity Address, City or Town | North Plains | |
Entity Address, State or Province | OR | |
Entity Address, Postal Zip Code | 97133 | |
City Area Code | (503) | |
Local Phone Number | 647-0110 | |
Title of 12(b) Security | Common Stock, no par value | |
Trading Symbol | JCTCF | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 3,504,802 |
CONSOLIDATED BALANCE SHEETS (Un
CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) | Nov. 30, 2023 | Aug. 31, 2023 |
Current assets | ||
Cash and cash equivalents | $ 3,558,168 | $ 83,696 |
Accounts receivable, net of allowance of $0 (August 31, 2023 - $0) | 3,365,430 | 5,634,924 |
Inventory, net of allowance of $410,325 (August 31, 2023 - $497,884) (note 3) | 17,513,417 | 18,339,048 |
Prepaid expenses | 613,358 | 630,788 |
Total current assets | 25,050,373 | 24,688,456 |
Property, plant and equipment, net (note 4) | 4,545,687 | 4,655,427 |
Intangible assets, net (note 5) | 112,847 | 134,845 |
Deferred tax assets (Note 6) | 229,062 | 319,875 |
Total assets | 29,937,969 | 29,798,603 |
Current liabilities | ||
Accounts payable | 2,802,837 | 2,181,194 |
Bank indebtedness (note 7) | 1,259,259 | |
Income taxes payable (note 6) | 349,745 | 147,629 |
Accrued liabilities | 1,396,519 | 2,113,194 |
Total liabilities | 4,549,101 | 5,701,276 |
Stockholders’ equity | ||
Capital stock (notes 8, 9) Authorized 21,567,564 common shares, no par value 10,000,000 preferred shares, no par value Issued 3,498,899 common shares (August 31, 2023 – 3,498,899) | 825,468 | 825,468 |
Additional paid-in capital | 765,055 | 765,055 |
Retained earnings | 23,798,345 | 22,506,804 |
Total stockholders’ equity | 25,388,868 | 24,097,327 |
Total liabilities and stockholders’ equity | $ 29,937,969 | $ 29,798,603 |
CONSOLIDATED BALANCE SHEETS (_2
CONSOLIDATED BALANCE SHEETS (Unaudited) (Parenthetical) - USD ($) | Nov. 30, 2023 | Aug. 31, 2023 |
Statement of Financial Position [Abstract] | ||
Accounts receivable, allowance for credit loss | $ 0 | $ 0 |
Inventory, net of allowances | $ 410,325 | $ 497,884 |
Common stock, shares authorized | 21,567,564 | 21,567,564 |
Common stock, no par value | $ 0 | $ 0 |
Preferred stock, shares authorized | 10,000,000 | 10,000,000 |
Preferred stock, no par value | $ 0 | $ 0 |
Common stock, shares, issued | 3,498,899 | 3,498,899 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) - USD ($) | 3 Months Ended | |
Nov. 30, 2023 | Nov. 30, 2022 | |
Income Statement [Abstract] | ||
SALES | $ 9,805,841 | $ 12,577,500 |
COST OF SALES | 7,849,760 | 9,717,800 |
GROSS PROFIT | 1,956,081 | 2,859,700 |
OPERATING EXPENSES | ||
Selling, general and administrative expenses | 948,481 | 826,807 |
Depreciation and amortization (notes 4, 5) | 97,903 | 111,536 |
Wages and employee benefits | 1,698,920 | 1,928,155 |
Total operating expenses | 2,745,305 | 2,866,498 |
Loss from operations | (789,224) | (6,798) |
OTHER ITEMS | ||
Gain on sale of property, plant and equipment | 89,655 | |
Other income (note 14) | 2,450,000 | |
Interest expense | (6,855) | (86,552) |
Total other items | 2,532,800 | (86,552) |
Income (loss) before income taxes | 1,743,576 | (93,350) |
Income tax (expense) recovery | (452,035) | 19,590 |
Net income (loss) | $ 1,291,541 | $ (73,760) |
Basic income (loss) per common share | $ 0.37 | $ (0.02) |
Diluted income (loss) per common share | $ 0.37 | $ (0.02) |
Weighted average number of common shares outstanding: | ||
Basic | 3,498,899 | 3,496,202 |
Diluted | 3,498,899 | 3,496,202 |
CONSOLIDATED STATEMENTS OF STOC
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (Unaudited) - USD ($) | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Total |
Beginning balance, value at Aug. 31, 2022 | $ 824,629 | $ 742,591 | $ 22,527,430 | $ 24,094,650 |
Beginning balance, shares at Aug. 31, 2022 | 3,495,342 | |||
Shares issued pursuant to compensation plans (note 9) | $ 839 | 22,464 | 23,303 | |
Shares issued pursuant to compensation plans (note 9) , shares | 3,557 | |||
Net income | (73,760) | (73,760) | ||
Ending balance, value at Nov. 30, 2022 | $ 825,468 | 765,055 | 22,453,670 | 24,044,193 |
Ending balance, shares at Nov. 30, 2022 | 3,498,899 | |||
Net income | 53,134 | 53,134 | ||
Ending balance, value at Aug. 31, 2023 | $ 825,468 | 765,055 | 22,506,804 | 24,097,327 |
Ending balance, shares at Aug. 31, 2023 | 3,498,899 | |||
Net income | 1,291,541 | 1,291,541 | ||
Ending balance, value at Nov. 30, 2023 | $ 825,468 | $ 765,055 | $ 23,798,345 | $ 25,388,868 |
Ending balance, shares at Nov. 30, 2023 | 3,498,899 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) | 3 Months Ended | |
Nov. 30, 2023 | Nov. 30, 2022 | |
CASH FLOWS FROM OPERATING ACTIVITIES | ||
Net income (loss) | $ 1,291,541 | $ (73,760) |
Items not involving an outlay of cash: | ||
Depreciation and amortization | 97,903 | 111,536 |
Stock-based compensation expense | 23,303 | |
Gain on sale of property, plant and equipment | (89,655) | |
Write-down of intangible assets | 21,790 | |
Deferred income taxes | 90,813 | (20,002) |
Changes in non-cash working capital items: | ||
Decrease in accounts receivable | 2,269,494 | 1,954,249 |
Decrease (increase) in inventory | 825,631 | (1,370,146) |
Decrease in prepaid expenses | 17,430 | 488,461 |
Decrease in prepaid income taxes | 412 | |
(Decrease) in accounts payable and accrued liabilities | (95,032) | (419,811) |
Increase in income taxes payable | 202,116 | |
Net cash provided by (used by) operating activities | 4,632,031 | 694,242 |
CASH FLOWS FROM INVESTING ACTIVITIES | ||
Proceeds on sale of property, plant and equipment | 101,700 | |
Purchase of property, plant and equipment | (36,223) | |
Net cash provided by (used in) investing activities | 101,700 | (36,223) |
CASH FLOWS FROM FINANCING ACTIVITIES | ||
(Repayment of) proceeds from bank indebtedness | (1,259,259) | 600,000 |
Net cash (used) provided by financing activities | (1,259,259) | 600,000 |
Net increase in cash | 3,474,472 | 1,258,019 |
Cash, beginning of period | 83,696 | 484,463 |
Cash, end of period | $ 3,558,168 | $ 1,742,482 |
NATURE OF OPERATIONS
NATURE OF OPERATIONS | 3 Months Ended |
Nov. 30, 2023 | |
Accounting Policies [Abstract] | |
NATURE OF OPERATIONS | 1. NATURE OF OPERATIONS Jewett-Cameron Trading Company Ltd. was incorporated in British Columbia on July 8, 1987 as a holding company for Jewett-Cameron Lumber Corporation (“JCLC”), incorporated September 1953. Jewett-Cameron Trading Company, Ltd. acquired all the shares of JCLC through a stock-for-stock exchange on July 13, 1987, and at that time JCLC became a wholly owned subsidiary. Effective September 1, 2013, the Company reorganized certain of its subsidiaries. JCLC’s name was changed to JC USA Inc. (“JC USA”), and a new subsidiary, Jewett-Cameron Company (“JCC”), was incorporated. JC USA has the following wholly owned subsidiaries incorporated under the laws of the State of Oregon: Jewett-Cameron Seed Company, (“JCSC”), incorporated October 2000, Greenwood Products, Inc. (“Greenwood”), incorporated February 2002, and JCC, incorporated September 2013. Jewett-Cameron Trading Company Ltd. and its subsidiaries (the “Company”) have no significant assets in Canada. The Company, through its subsidiaries, operates out of facilities located in North Plains, Oregon. JCC’s business consists of the manufacturing and distribution of pet, fencing and other products, wholesale distribution to home centers, other retailers, on-line as well as direct to end consumers located primarily in the United States. Greenwood is a processor and distributor of industrial wood and other specialty building products principally to customers in the marine and transportation industries in the United States. JCSC is a processor and distributor of agricultural seeds in the United States. JC USA provides professional and administrative services, including accounting and credit services, to its subsidiary companies. During the year ended August 31, 2023, the Company announced that it will end seed cleaning operations at its JCSC subsidiary effective August 31, 2023. JCSC is currently in the process of selling its remaining equipment and preparing to end its seed storage services in preparation of being wound-up. A number of external factors can adversely affect general workforces, economies and financial markets globally. Examples include, but are not limited to, the COVID-19 global pandemic and political conflict in other regions. It is not possible for the Company to predict the duration or magnitude of adverse results of such external factors and their effect on the Company’s business, financial condition, or ability to raise funds. |
SIGNIFICANT ACCOUNTING POLICIES
SIGNIFICANT ACCOUNTING POLICIES | 3 Months Ended |
Nov. 30, 2023 | |
Accounting Policies [Abstract] | |
SIGNIFICANT ACCOUNTING POLICIES | 2. SIGNIFICANT ACCOUNTING POLICIES Basis of presentation These unaudited consolidated interim financial statements have been prepared in conformity with generally accepted accounting principles of the United States of America (“US GAAP”) for interim financial information and the rules and regulations of the Securities and Exchange Commission (“SEC"). Principles of consolidation These consolidated financial statements include the accounts of the Company and its current wholly owned subsidiaries, JC USA, JCC, JCSC, and Greenwood, all of which are incorporated under the laws of Oregon, U.S.A. All inter-company balances and transactions have been eliminated upon consolidation. Estimates The preparation of consolidated financial statements in conformity with generally accepted accounting principles in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Significant estimates incorporated into the Company’s consolidated financial statements include the estimated useful lives for depreciable and amortizable assets, the estimated allowances for doubtful accounts receivable and inventory obsolescence, possible product liability and possible product returns, and litigation contingencies and claims. Actual results could differ from those estimates. Cash and cash equivalents The Company considers all highly liquid instruments with a maturity of three months or less at the time of issuance to be cash equivalents. At November 30, 2023, cash and cash equivalents were $ 3,558,168 83,696 Accounts receivable Trade and other accounts receivable are reported at face value less any provisions for uncollectible accounts considered necessary. Accounts receivable primarily includes trade receivables from customers. The Company estimates doubtful accounts on an item-by-item basis and includes over aged accounts as part of allowance for doubtful accounts, which are generally ones that are ninety days or greater overdue. The Company extends credit to domestic customers and offers discounts for early payment. When extension of credit is not advisable, the Company relies on either prepayment or a letter of credit. Inventory Inventory, which consists primarily of finished goods, is recorded at the lower of cost, based on the average cost method, and market. Market is defined as net realizable value. An allowance for potential non-saleable inventory due to excess stock or obsolescence is based upon a review of inventory components. Property, plant and equipment Property, plant and equipment are recorded at cost less accumulated depreciation. The Company provides for depreciation over the estimated life of each asset on a straight-line basis over the following periods: Schedule of property plant and equipment useful life Office equipment 3 7 Warehouse equipment 2 10 Buildings 5 30 Intangibles The Company’s intangible assets have a finite life and are recorded at cost. Amortization is calculated using the straight-line method over the remaining life of the asset. The intangible assets are reviewed annually for impairment. Asset retirement obligations The Company records the fair value of an asset retirement obligation as a liability in the period in which it incurs a legal obligation associated with the retirement of tangible long-lived assets that result from the acquisition, construction, development, and normal use of the long-lived assets. The Company also records a corresponding asset which is amortized over the life of the asset. Subsequent to the initial measurement of the asset retirement obligation, the obligation is adjusted at the end of each period to reflect the passage of time (accretion expense) and changes in the estimated future cash flows underlying the obligation (asset retirement cost). The Company does not have any significant asset retirement obligations. Impairment of long-lived assets and long-lived assets to be disposed of Long-lived assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to future net cash flows expected to be generated by the asset. If such assets are considered to be impaired, the impairment to be recognized is measured by the amount by which the carrying amount of the assets exceeds the fair value of the assets. Assets to be disposed of are reported at the lower of the carrying amount and the fair value less costs to sell. Currency and foreign exchange These financial statements are expressed in U.S. dollars which is also the functional currency of the Company and its subsidiaries as the Company's operations are primarily based in the United States. The Company does not have non-monetary or monetary assets and liabilities that are in a currency other than the U.S. dollar. Any statement of operations transactions in a foreign currency are translated at rates that approximate those in effect at the time of translation. Gains and losses from translation of foreign currency transactions into U.S. dollars are included in current results of operations. Earnings (loss) per share Basic earnings (loss) per common share is computed by dividing net income (loss) available to common shareholders by the weighted average number of common shares outstanding in the period. Diluted earnings (loss) per common share takes into consideration common shares outstanding (computed under basic earnings per share) and potentially dilutive common shares. Earnings (loss) per share The earnings (loss) for the three month periods ended November 30, 2023 and 2022 are as follows: Schedule of earnings loss per share, basic and diluted Three Month Periods ended November 30, 2023 2022 Net income (loss) $ 1,291,541 $ (73,760 ) Basic weighted average number of common shares outstanding 3,498,899 3,496,202 Effect of dilutive securities Stock options — — Diluted weighted average number of common shares outstanding 3,498,899 3,496,202 The Company has no items of other comprehensive income or loss in any period presented. Therefore, net income or loss presented in the consolidated statements of operations equals comprehensive income or loss. Stock-based compensation The Company accounts for stock-based compensation in accordance with ASC 718, “Compensation - Stock Compensation” (“ASC 718”). Equity awards are accounted for at their “fair value” which is measured on the grant date for stock-settled awards. For “full-value” awards, fair value is equal to the underlying value of the stock that have time vesting conditions. Stock-based compensation to employees are recognized as compensation expense in the financial statements based on their fair values. That expense is recognized over the period during which an employee is required to provide services in exchange for the award. Stock-based compensation expense recognized during the period is based on the value of the portion of share-based payment awards that is ultimately expected to vest during the period, or in the period of grant for awards that vest immediately without any future service condition. For awards that vest over time, previously recognized compensation cost is reversed if the service or performance conditions are not satisfied and the award is forfeited. The Company also grants employees and non-employees restricted stock awards (“RSAs”). The fair value of the RSAs is determined using the fair value of the common shares on the date of the grant. Forfeitures are accounted for as they occur. The Company has not adopted a stock option plan and has not granted any stock options. Financial instruments The Company uses the following methods and assumptions to estimate the fair value of each class of financial instruments for which it is practicable to estimate such values: Cash and cash equivalents Accounts receivable Bank indebtedness Accounts payable and accrued liabilities The estimated fair values of the Company's financial instruments as of November 30, 2023 and August 31, 2023 follows: Schedule of estimated fair value of financial instruments November 30, 2023 August 31, 2023 Carrying Fair Carrying Fair Amount Value Amount Value Cash and cash equivalents $ 3,558,168 $ 3,558,168 $ 83,696 $ 83,696 Accounts receivable, net of allowance 3,365,430 3,365,430 5,634,924 5,634,924 Accounts payable and accrued liabilities 4,199,356 4,199,356 4,294,388 4,294,388 Bank indebtedness — — 1,259,259 1,259,259 The following table presents information about the assets that are measured at fair value on a recurring basis as of November 30, 2023 and indicates the fair value hierarchy of the valuation techniques the Company utilized to determine such fair value. In general, fair values determined by Level 1 inputs utilize quoted prices (unadjusted) in active markets for identical assets. Fair values determined by Level 2 inputs utilize data points that are observable such as quoted prices, interest rates and yield curves. Fair values determined by Level 3 inputs are unobservable data points for the asset or liability, and included situations where there is little, if any, market activity for the asset: Schedule of fair value, assets measured on recurring basis November 30, 2023 Quoted Prices Significant Significant Assets: Cash and cash equivalents $ 3,558,168 $ 3,558,168 $ — $ — The fair values of cash are determined through market, observable and corroborated sources. Income taxes A deferred tax asset or liability is recorded for all temporary differences between financial and tax reporting and net operating loss carry forwards. Deferred tax expense (benefit) results from the net change during the year of deferred tax assets and liabilities. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or all of the deferred tax assets will not be realized. Deferred tax assets and liabilities are adjusted for the effects of changes in tax laws and rates on the date of enactment. Shipping and handling costs The Company incurs certain expenses related to preparing, packaging and shipping its products to its customers, mainly third-party transportation fees. All costs related to these activities are included as a component of cost of sales in the consolidated statements of operations. All costs billed to the customer are included as sales in the consolidated statements of operations. Revenue recognition The Company recognizes revenue from the sales of lumber, building supply products, industrial wood products, specialty metal products, and other specialty products and tools, when the products are shipped, title passes, and the ultimate collection is reasonably assured. Revenue from the Company's seed operations is generated from seed processing, handling and storage services provided to seed growers, and by the sales of seed products. Revenue from the provision of these services and products is recognized when the services have been performed, products sold and collection of the amounts is reasonably assured. Recent Accounting Pronouncements The Company has evaluated all recently issued, but not yet effective, accounting pronouncements and determined that it does not believe that any, if currently adopted, would have a material effect on the Company’s financial statements. |
INTANGIBLE ASSETS
INTANGIBLE ASSETS | 3 Months Ended |
Nov. 30, 2023 | |
Inventory Disclosure [Abstract] | |
INTANGIBLE ASSETS | 3. INVENTORY A summary of inventory is as follows: Schedule of inventory November 30, 2023 August 30, 2023 Pet, fencing, and other products $ 16,878,064 $ 17,741,254 Industrial wood products 635,353 584,989 Agricultural seed products — 12,805 Inventory net $ 17,513,417 $ 18,339,048 4. PROPERTY, PLANT AND EQUIPMENT A summary of property, plant, and equipment is as follows: Schedule of property, plant, and equipment November 30, 2023 August 31 2023 Office equipment $ 668,260 $ 668,260 Warehouse equipment 1,390,774 1,556,424 Buildings 6,209,162 6,209,162 Land 559,065 559,065 Property plant and equipment gross 8,827,261 8,992,911 Accumulated depreciation (4,281,574 ) (4,337,484 ) Net book value $ 4,545,687 $ 4,655,427 In the event that facts and circumstances indicate that the carrying amount of an asset may not be recoverable and an estimate of future discounted cash flows is less than the carrying amount of the asset, an impairment loss will be recognized. Management's estimates of revenues, operating expenses, and operating capital are subject to certain risks and uncertainties which may affect the recoverability of the Company's investments in its assets. Although management has made its best estimate of these factors based on current conditions, it is possible that changes could occur which could adversely affect management's estimate of the net cash flow expected to be generated from its operations. 5. INTANGIBLE ASSETS A summary of intangible assets is as follows: Schedule of intangible assets November 30, 2023 August 31, 2023 Intangible assets 131,405 153,195 Accumulated amortization (18,558 ) (18,350 ) Net book value $ 112,847 $ 134,845 |
BANK INDEBTEDNESS
BANK INDEBTEDNESS | 3 Months Ended |
Nov. 30, 2023 | |
Income Tax Disclosure [Abstract] | |
BANK INDEBTEDNESS | 6. DEFERRED INCOME TAXES Deferred income tax asset as of November 30, 2023 of $ 229,062 319,875 7. BANK INDEBTEDNESS Bank indebtedness under the Company’s $ 10,000,000 0 1,259,259 Bank indebtedness, when it exists, is secured by an assignment of accounts receivable and inventory. Interest was previously calculated solely on the one-month LIBOR rate plus 175 basis points. Beginning with the monthly interest payment due March 31, 2022, the Company’s Bank Line of Credit agreement was revised to change the calculation of the interest rate from the one-month LIBOR rate to the one-month Secured Overnight Financing Rate (SOFR). Interest is now calculated based on the one-month SOFR plus 157 basis points, which as of November 30, 2023 was 6.90 |
CAPITAL STOCK
CAPITAL STOCK | 3 Months Ended |
Nov. 30, 2023 | |
Equity [Abstract] | |
CAPITAL STOCK | 8. CAPITAL STOCK Common Stock Holders of common stock are entitled to one vote for each share held. There are no restrictions that limit the Company's ability to pay dividends on its common stock. The Company has not declared any dividends since incorporation. |
RESTRICTED SHARE PLAN
RESTRICTED SHARE PLAN | 3 Months Ended |
Nov. 30, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
RESTRICTED SHARE PLAN | 9. RESTRICTED SHARE PLAN The Company has a Restricted Share Plan (the “Plan”) as approved by shareholders on February 8, 2019. The Plan allows the Company to grant, from time to time, restricted shares as compensation to directors, officers, employees and consultants of the Company. The Restricted Shares are subject to restrictions, including the period under which the shares will be restricted (the “Restricted Period”) and subject to forfeiture which is determined by the Board at the time of the grant. The recipient of Restricted Shares is entitled to all of the rights of a shareholder, including the right to vote such shares and the right to receive any dividends, except that the shares granted under the Plan are nontransferable during the Restricted Period. The maximum number of Common Shares reserved for issuance under the Plan will not exceed 1% of the then issued and outstanding number of Common Shares at the time of the grant. As of November 30, 2023, the maximum number of shares available to be issued under the Plan was 17,251 . During the second quarter of fiscal 2021 ended February 28, 2021, the Board of Directors set the compensation for members of the Board under the Plan. Non-executive directors will be granted 25 common shares for each quarter of service, with the cumulative amount of shares earned each fiscal year to be granted shortly after the close of that fiscal year. Non-executive Directors also received a one-time initial grant of 225 common shares which were issued in December 2020. During the three-month period ended November 30, 2023, the Company issued no 3,557 0 23,303 |
SEGMENT INFORMATION
SEGMENT INFORMATION | 3 Months Ended |
Nov. 30, 2023 | |
Retirement Benefits [Abstract] | |
SEGMENT INFORMATION | 10. PENSION AND PROFIT-SHARING PLANS The Company has a deferred compensation 401(k) plan for all employees with at least 6 months of service pending a monthly enrollment time. The plan allows for a non-elective discretionary contribution plus matching employee contributions up to a specific limit. The percentages of contribution remain the discretion of the Board and are reviewed with management annually. For the three-month periods ended November 30, 2023 and 2022 the 401(k) compensation expense were $ 96,470 126,938 11. SEGMENT INFORMATION The Company has three principal reportable segments. These reportable segments were determined based on the nature of the products offered. Reportable segments are defined as components of an enterprise about which separate financial information is available that is evaluated regularly by the chief operating decision maker in deciding how to allocate resources and in assessing performance. The Company evaluates performance based on several factors, of which the primary financial measure is business segment income before taxes. The following tables show the operations of the Company's reportable segments. The following is a summary of segmented information for the three-month periods ended November 30, 2023 and 2022. Schedule of segmented information 2023 2022 Sales to unaffiliated customers: Industrial wood products $ 1,134,351 $ 606,909 Lawn, garden, pet and other 8,622,972 11,619,082 Seed processing and sales 48,518 351,509 $ 9,805,841 $ 12,577,500 Income (loss) before income taxes: Industrial wood products $ 61,617 $ (44,246 ) Lawn, garden, pet and other 1,385,659 (156,651 ) Seed processing and sales 33,043 (27,818 ) Corporate and administrative 263,257 135,365 $ 1,743,576 $ (93,350 ) Identifiable assets: Industrial wood products $ 985,386 $ 863,237 Lawn, garden, pet and other 20,359,711 26,325,793 Seed processing and sales 37,629 550,426 Corporate and administrative 8,555,243 6,907,012 $ 29,937,969 $ 34,646,468 Depreciation and amortization: Industrial wood products $ — $ — Lawn, garden, pet and other 17,452 15,641 Seed processing and sales 870 1,587 Corporate and administrative 79,581 94,308 $ 97,903 $ 111,536 The following table lists sales made by the Company to customers which were in excess of 10% of total sales for the three months ended November 30, 2023 and 2022: Schedule of table lists sales made by the Company 2023 2022 Sales $ 6,125,113 $ 7,795,215 The Company conducts business primarily in the United States, but also has limited amounts of sales in foreign countries. The following table lists sales by country for the three months ended November 30, 2023 and 2022: Schedule of sales by country 2023 2022 United States $ 9,132,072 $ 12,023,282 Canada 673,769 265,425 Europe — 40,525 Mexico/Latin America/Caribbean — 148,512 Asia/Pacific — 99,756 All of the Company’s significant identifiable assets were located in the United States as of November 30, 2023 and 2022. |
RISKS
RISKS | 3 Months Ended |
Nov. 30, 2023 | |
Risks and Uncertainties [Abstract] | |
RISKS | 12. RISKS Credit risk Financial instruments that potentially subject the Company to concentrations of credit risk consist primarily of cash and accounts receivable. The Company places its cash with a high quality financial institution. The Company has concentrations of credit risk with respect to accounts receivable as large amounts of its accounts receivable are concentrated geographically in the United States amongst a small number of customers. At November 30, 2023, two customers accounted for accounts receivable greater than 10% of total accounts receivable at 65% 56% Volume of business The Company has concentrations in the volume of purchases it conducts with its suppliers. For the three months ended November 30, 2023, there were three suppliers that each accounted for 10% or greater of total purchases, and the aggregate purchases amounted to $ 4,879,797 6,671,072 |
CONTINGENCIES
CONTINGENCIES | 3 Months Ended |
Nov. 30, 2023 | |
Supplemental Cash Flow Elements [Abstract] | |
CONTINGENCIES | 13. SUPPLEMENTAL DISCLOSURE WITH RESPECT TO CASH FLOWS Certain cash payments for the three months ended November 30, 2023 and 2022 are summarized as follows: Schedule of cash flow supplemental disclosures 2023 2022 Cash paid during the periods for: Interest $ 29,671 $ 86,552 Income taxes $ 173,717 $ — There were no non-cash investing or financing activities during the periods presented. 14. CONTINGENCIES In fiscal 2021, the Company initiated arbitration against a former distributor asserting a breach of the distribution agreement and seeking damages. The liability arbitration hearing was held in December 2022. In February 2023, the arbitrator issued its decision and ruled in favor of the Company on the majority of its claims. In September 2023, the Company settled the arbitration for a cash payment of $ 2,450,000 |
SUBSEQUENT EVENT
SUBSEQUENT EVENT | 3 Months Ended |
Nov. 30, 2023 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENT | 15. SUBSEQUENT EVENT In December 2023, the Company issued 5,903 The value of these shares was $ 32,064 |
SIGNIFICANT ACCOUNTING POLICI_2
SIGNIFICANT ACCOUNTING POLICIES (Policies) | 3 Months Ended |
Nov. 30, 2023 | |
Accounting Policies [Abstract] | |
Basis of presentation | Basis of presentation These unaudited consolidated interim financial statements have been prepared in conformity with generally accepted accounting principles of the United States of America (“US GAAP”) for interim financial information and the rules and regulations of the Securities and Exchange Commission (“SEC"). |
Principles of consolidation | Principles of consolidation These consolidated financial statements include the accounts of the Company and its current wholly owned subsidiaries, JC USA, JCC, JCSC, and Greenwood, all of which are incorporated under the laws of Oregon, U.S.A. All inter-company balances and transactions have been eliminated upon consolidation. |
Estimates | Estimates The preparation of consolidated financial statements in conformity with generally accepted accounting principles in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Significant estimates incorporated into the Company’s consolidated financial statements include the estimated useful lives for depreciable and amortizable assets, the estimated allowances for doubtful accounts receivable and inventory obsolescence, possible product liability and possible product returns, and litigation contingencies and claims. Actual results could differ from those estimates. |
Cash and cash equivalents | Cash and cash equivalents The Company considers all highly liquid instruments with a maturity of three months or less at the time of issuance to be cash equivalents. At November 30, 2023, cash and cash equivalents were $ 3,558,168 83,696 |
Accounts receivable | Accounts receivable Trade and other accounts receivable are reported at face value less any provisions for uncollectible accounts considered necessary. Accounts receivable primarily includes trade receivables from customers. The Company estimates doubtful accounts on an item-by-item basis and includes over aged accounts as part of allowance for doubtful accounts, which are generally ones that are ninety days or greater overdue. The Company extends credit to domestic customers and offers discounts for early payment. When extension of credit is not advisable, the Company relies on either prepayment or a letter of credit. |
Inventory | Inventory Inventory, which consists primarily of finished goods, is recorded at the lower of cost, based on the average cost method, and market. Market is defined as net realizable value. An allowance for potential non-saleable inventory due to excess stock or obsolescence is based upon a review of inventory components. |
Property, plant and equipment | Property, plant and equipment Property, plant and equipment are recorded at cost less accumulated depreciation. The Company provides for depreciation over the estimated life of each asset on a straight-line basis over the following periods: Schedule of property plant and equipment useful life Office equipment 3 7 Warehouse equipment 2 10 Buildings 5 30 |
Intangibles | Intangibles The Company’s intangible assets have a finite life and are recorded at cost. Amortization is calculated using the straight-line method over the remaining life of the asset. The intangible assets are reviewed annually for impairment. |
Asset retirement obligations | Asset retirement obligations The Company records the fair value of an asset retirement obligation as a liability in the period in which it incurs a legal obligation associated with the retirement of tangible long-lived assets that result from the acquisition, construction, development, and normal use of the long-lived assets. The Company also records a corresponding asset which is amortized over the life of the asset. Subsequent to the initial measurement of the asset retirement obligation, the obligation is adjusted at the end of each period to reflect the passage of time (accretion expense) and changes in the estimated future cash flows underlying the obligation (asset retirement cost). The Company does not have any significant asset retirement obligations. |
Impairment of long-lived assets and long-lived assets to be disposed of | Impairment of long-lived assets and long-lived assets to be disposed of Long-lived assets are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to future net cash flows expected to be generated by the asset. If such assets are considered to be impaired, the impairment to be recognized is measured by the amount by which the carrying amount of the assets exceeds the fair value of the assets. Assets to be disposed of are reported at the lower of the carrying amount and the fair value less costs to sell. |
Currency and foreign exchange | Currency and foreign exchange These financial statements are expressed in U.S. dollars which is also the functional currency of the Company and its subsidiaries as the Company's operations are primarily based in the United States. The Company does not have non-monetary or monetary assets and liabilities that are in a currency other than the U.S. dollar. Any statement of operations transactions in a foreign currency are translated at rates that approximate those in effect at the time of translation. Gains and losses from translation of foreign currency transactions into U.S. dollars are included in current results of operations. |
Earnings (loss) per share | Earnings (loss) per share Basic earnings (loss) per common share is computed by dividing net income (loss) available to common shareholders by the weighted average number of common shares outstanding in the period. Diluted earnings (loss) per common share takes into consideration common shares outstanding (computed under basic earnings per share) and potentially dilutive common shares. Earnings (loss) per share The earnings (loss) for the three month periods ended November 30, 2023 and 2022 are as follows: Schedule of earnings loss per share, basic and diluted Three Month Periods ended November 30, 2023 2022 Net income (loss) $ 1,291,541 $ (73,760 ) Basic weighted average number of common shares outstanding 3,498,899 3,496,202 Effect of dilutive securities Stock options — — Diluted weighted average number of common shares outstanding 3,498,899 3,496,202 The Company has no items of other comprehensive income or loss in any period presented. Therefore, net income or loss presented in the consolidated statements of operations equals comprehensive income or loss. |
Stock-based compensation | Stock-based compensation The Company accounts for stock-based compensation in accordance with ASC 718, “Compensation - Stock Compensation” (“ASC 718”). Equity awards are accounted for at their “fair value” which is measured on the grant date for stock-settled awards. For “full-value” awards, fair value is equal to the underlying value of the stock that have time vesting conditions. Stock-based compensation to employees are recognized as compensation expense in the financial statements based on their fair values. That expense is recognized over the period during which an employee is required to provide services in exchange for the award. Stock-based compensation expense recognized during the period is based on the value of the portion of share-based payment awards that is ultimately expected to vest during the period, or in the period of grant for awards that vest immediately without any future service condition. For awards that vest over time, previously recognized compensation cost is reversed if the service or performance conditions are not satisfied and the award is forfeited. The Company also grants employees and non-employees restricted stock awards (“RSAs”). The fair value of the RSAs is determined using the fair value of the common shares on the date of the grant. Forfeitures are accounted for as they occur. The Company has not adopted a stock option plan and has not granted any stock options. |
Financial instruments | Financial instruments The Company uses the following methods and assumptions to estimate the fair value of each class of financial instruments for which it is practicable to estimate such values: Cash and cash equivalents Accounts receivable Bank indebtedness Accounts payable and accrued liabilities The estimated fair values of the Company's financial instruments as of November 30, 2023 and August 31, 2023 follows: Schedule of estimated fair value of financial instruments November 30, 2023 August 31, 2023 Carrying Fair Carrying Fair Amount Value Amount Value Cash and cash equivalents $ 3,558,168 $ 3,558,168 $ 83,696 $ 83,696 Accounts receivable, net of allowance 3,365,430 3,365,430 5,634,924 5,634,924 Accounts payable and accrued liabilities 4,199,356 4,199,356 4,294,388 4,294,388 Bank indebtedness — — 1,259,259 1,259,259 The following table presents information about the assets that are measured at fair value on a recurring basis as of November 30, 2023 and indicates the fair value hierarchy of the valuation techniques the Company utilized to determine such fair value. In general, fair values determined by Level 1 inputs utilize quoted prices (unadjusted) in active markets for identical assets. Fair values determined by Level 2 inputs utilize data points that are observable such as quoted prices, interest rates and yield curves. Fair values determined by Level 3 inputs are unobservable data points for the asset or liability, and included situations where there is little, if any, market activity for the asset: Schedule of fair value, assets measured on recurring basis November 30, 2023 Quoted Prices Significant Significant Assets: Cash and cash equivalents $ 3,558,168 $ 3,558,168 $ — $ — |
Income taxes | Income taxes A deferred tax asset or liability is recorded for all temporary differences between financial and tax reporting and net operating loss carry forwards. Deferred tax expense (benefit) results from the net change during the year of deferred tax assets and liabilities. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion or all of the deferred tax assets will not be realized. Deferred tax assets and liabilities are adjusted for the effects of changes in tax laws and rates on the date of enactment. |
Shipping and handling costs | Shipping and handling costs The Company incurs certain expenses related to preparing, packaging and shipping its products to its customers, mainly third-party transportation fees. All costs related to these activities are included as a component of cost of sales in the consolidated statements of operations. All costs billed to the customer are included as sales in the consolidated statements of operations. |
Revenue recognition | Revenue recognition The Company recognizes revenue from the sales of lumber, building supply products, industrial wood products, specialty metal products, and other specialty products and tools, when the products are shipped, title passes, and the ultimate collection is reasonably assured. Revenue from the Company's seed operations is generated from seed processing, handling and storage services provided to seed growers, and by the sales of seed products. Revenue from the provision of these services and products is recognized when the services have been performed, products sold and collection of the amounts is reasonably assured. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements The Company has evaluated all recently issued, but not yet effective, accounting pronouncements and determined that it does not believe that any, if currently adopted, would have a material effect on the Company’s financial statements. |
SIGNIFICANT ACCOUNTING POLICI_3
SIGNIFICANT ACCOUNTING POLICIES (Tables) | 3 Months Ended |
Nov. 30, 2023 | |
Accounting Policies [Abstract] | |
Schedule of property plant and equipment useful life | Schedule of property plant and equipment useful life Office equipment 3 7 Warehouse equipment 2 10 Buildings 5 30 |
Schedule of earnings loss per share, basic and diluted | Schedule of earnings loss per share, basic and diluted Three Month Periods ended November 30, 2023 2022 Net income (loss) $ 1,291,541 $ (73,760 ) Basic weighted average number of common shares outstanding 3,498,899 3,496,202 Effect of dilutive securities Stock options — — Diluted weighted average number of common shares outstanding 3,498,899 3,496,202 |
Schedule of fair value, assets measured on recurring basis | Schedule of estimated fair value of financial instruments November 30, 2023 August 31, 2023 Carrying Fair Carrying Fair Amount Value Amount Value Cash and cash equivalents $ 3,558,168 $ 3,558,168 $ 83,696 $ 83,696 Accounts receivable, net of allowance 3,365,430 3,365,430 5,634,924 5,634,924 Accounts payable and accrued liabilities 4,199,356 4,199,356 4,294,388 4,294,388 Bank indebtedness — — 1,259,259 1,259,259 |
Schedule of fair value, assets measured on recurring basis | Schedule of fair value, assets measured on recurring basis November 30, 2023 Quoted Prices Significant Significant Assets: Cash and cash equivalents $ 3,558,168 $ 3,558,168 $ — $ — |
INTANGIBLE ASSETS (Tables)
INTANGIBLE ASSETS (Tables) | 3 Months Ended |
Nov. 30, 2023 | |
Inventory Disclosure [Abstract] | |
Schedule of inventory | Schedule of inventory November 30, 2023 August 30, 2023 Pet, fencing, and other products $ 16,878,064 $ 17,741,254 Industrial wood products 635,353 584,989 Agricultural seed products — 12,805 Inventory net $ 17,513,417 $ 18,339,048 |
Schedule of property, plant, and equipment | Schedule of property, plant, and equipment November 30, 2023 August 31 2023 Office equipment $ 668,260 $ 668,260 Warehouse equipment 1,390,774 1,556,424 Buildings 6,209,162 6,209,162 Land 559,065 559,065 Property plant and equipment gross 8,827,261 8,992,911 Accumulated depreciation (4,281,574 ) (4,337,484 ) Net book value $ 4,545,687 $ 4,655,427 |
Schedule of intangible assets | Schedule of intangible assets November 30, 2023 August 31, 2023 Intangible assets 131,405 153,195 Accumulated amortization (18,558 ) (18,350 ) Net book value $ 112,847 $ 134,845 |
SEGMENT INFORMATION (Tables)
SEGMENT INFORMATION (Tables) | 3 Months Ended |
Nov. 30, 2023 | |
Retirement Benefits [Abstract] | |
Schedule of segmented information | Schedule of segmented information 2023 2022 Sales to unaffiliated customers: Industrial wood products $ 1,134,351 $ 606,909 Lawn, garden, pet and other 8,622,972 11,619,082 Seed processing and sales 48,518 351,509 $ 9,805,841 $ 12,577,500 Income (loss) before income taxes: Industrial wood products $ 61,617 $ (44,246 ) Lawn, garden, pet and other 1,385,659 (156,651 ) Seed processing and sales 33,043 (27,818 ) Corporate and administrative 263,257 135,365 $ 1,743,576 $ (93,350 ) Identifiable assets: Industrial wood products $ 985,386 $ 863,237 Lawn, garden, pet and other 20,359,711 26,325,793 Seed processing and sales 37,629 550,426 Corporate and administrative 8,555,243 6,907,012 $ 29,937,969 $ 34,646,468 Depreciation and amortization: Industrial wood products $ — $ — Lawn, garden, pet and other 17,452 15,641 Seed processing and sales 870 1,587 Corporate and administrative 79,581 94,308 $ 97,903 $ 111,536 |
Schedule of table lists sales made by the Company | Schedule of table lists sales made by the Company 2023 2022 Sales $ 6,125,113 $ 7,795,215 |
Schedule of sales by country | Schedule of sales by country 2023 2022 United States $ 9,132,072 $ 12,023,282 Canada 673,769 265,425 Europe — 40,525 Mexico/Latin America/Caribbean — 148,512 Asia/Pacific — 99,756 |
CONTINGENCIES (Tables)
CONTINGENCIES (Tables) | 3 Months Ended |
Nov. 30, 2023 | |
Supplemental Cash Flow Elements [Abstract] | |
Schedule of cash flow supplemental disclosures | Schedule of cash flow supplemental disclosures 2023 2022 Cash paid during the periods for: Interest $ 29,671 $ 86,552 Income taxes $ 173,717 $ — |
SIGNIFICANT ACCOUNTING POLICI_4
SIGNIFICANT ACCOUNTING POLICIES (Details) | Nov. 30, 2023 |
Minimum [Member] | Office Equipment [Member] | |
Property, Plant and Equipment [Line Items] | |
Property and equipment useful life | 3 years |
Minimum [Member] | Equipment [Member] | |
Property, Plant and Equipment [Line Items] | |
Property and equipment useful life | 2 years |
Minimum [Member] | Buildings [Member] | |
Property, Plant and Equipment [Line Items] | |
Property and equipment useful life | 5 years |
Maximum [Member] | Office Equipment [Member] | |
Property, Plant and Equipment [Line Items] | |
Property and equipment useful life | 7 years |
Maximum [Member] | Equipment [Member] | |
Property, Plant and Equipment [Line Items] | |
Property and equipment useful life | 10 years |
Maximum [Member] | Buildings [Member] | |
Property, Plant and Equipment [Line Items] | |
Property and equipment useful life | 30 years |
SIGNIFICANT ACCOUNTING POLICI_5
SIGNIFICANT ACCOUNTING POLICIES (Details 1) - USD ($) | 3 Months Ended | |
Nov. 30, 2023 | Nov. 30, 2022 | |
Accounting Policies [Abstract] | ||
Net income (loss) | $ 1,291,541 | $ (73,760) |
Basic weighted average number of common shares outstanding | 3,498,899 | 3,496,202 |
Effect of dilutive securities Stock options | ||
Diluted weighted average number of common shares outstanding | 3,498,899 | 3,496,202 |
SIGNIFICANT ACCOUNTING POLICI_6
SIGNIFICANT ACCOUNTING POLICIES (Details 2) - USD ($) | Nov. 30, 2023 | Aug. 31, 2023 |
Defined Benefit Plan Disclosure [Line Items] | ||
Cash and cash equivalents | $ 3,558,168 | $ 83,696 |
Accounts receivable, net of allowance | 0 | 0 |
Bank indebtedness | 1,259,259 | |
Carrying Amount [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Cash and cash equivalents | 3,558,168 | 83,696 |
Accounts receivable, net of allowance | 3,365,430 | 5,634,924 |
Accounts payable and accrued liabilities | 4,199,356 | 4,294,388 |
Bank indebtedness | 1,259,259 | |
Fair Value [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Cash and cash equivalents | 3,558,168 | 83,696 |
Accounts receivable, net of allowance | 3,365,430 | 5,634,924 |
Accounts payable and accrued liabilities | 4,199,356 | 4,294,388 |
Bank indebtedness | $ 1,259,259 |
SIGNIFICANT ACCOUNTING POLICI_7
SIGNIFICANT ACCOUNTING POLICIES (Details 3) - USD ($) | Nov. 30, 2023 | Aug. 31, 2023 |
Platform Operator, Crypto-Asset [Line Items] | ||
Cash and Cash Equivalents, at Carrying Value | $ 3,558,168 | $ 83,696 |
Fair Value, Inputs, Level 1 [Member] | ||
Platform Operator, Crypto-Asset [Line Items] | ||
Cash and Cash Equivalents, at Carrying Value | 3,558,168 | |
Fair Value, Inputs, Level 2 [Member] | ||
Platform Operator, Crypto-Asset [Line Items] | ||
Cash and Cash Equivalents, at Carrying Value | ||
Fair Value, Inputs, Level 3 [Member] | ||
Platform Operator, Crypto-Asset [Line Items] | ||
Cash and Cash Equivalents, at Carrying Value |
SIGNIFICANT ACCOUNTING POLICI_8
SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) - USD ($) | Nov. 30, 2023 | Aug. 31, 2023 |
Accounting Policies [Abstract] | ||
Cash and cash equivalents | $ 3,558,168 | $ 83,696 |
INVENTORY (Details)
INVENTORY (Details) - USD ($) | Nov. 30, 2023 | Aug. 31, 2023 |
Inventory Disclosure [Abstract] | ||
Pet, fencing, and other products | $ 16,878,064 | $ 17,741,254 |
Industrial wood products | 635,353 | 584,989 |
Agricultural seed products | 12,805 | |
Inventory net | $ 17,513,417 | $ 18,339,048 |
PROPERTY, PLANT AND EQUIPMENT (
PROPERTY, PLANT AND EQUIPMENT (Details) - USD ($) | Nov. 30, 2023 | Aug. 31, 2023 |
Inventory Disclosure [Abstract] | ||
Office equipment | $ 668,260 | $ 668,260 |
Warehouse equipment | 1,390,774 | 1,556,424 |
Buildings | 6,209,162 | 6,209,162 |
Land | 559,065 | 559,065 |
Property plant and equipment gross | 8,827,261 | 8,992,911 |
Accumulated depreciation | (4,281,574) | (4,337,484) |
Net book value | $ 4,545,687 | $ 4,655,427 |
INTANGIBLE ASSETS (Details)
INTANGIBLE ASSETS (Details) - USD ($) | Nov. 30, 2023 | Aug. 31, 2023 |
Inventory Disclosure [Abstract] | ||
Intangible assets | $ 131,405 | $ 153,195 |
Accumulated amortization | (18,558) | (18,350) |
Net book value | $ 112,847 | $ 134,845 |
BANK INDEBTEDNESS (Details Narr
BANK INDEBTEDNESS (Details Narrative) - USD ($) | 3 Months Ended | 12 Months Ended | |
Nov. 30, 2023 | Aug. 31, 2022 | Aug. 31, 2023 | |
Income Tax Disclosure [Abstract] | |||
Deferred tax liability | $ 229,062 | $ 319,875 | |
Line of credit, maximum borrowing capacity | 10,000,000 | ||
Balance owed on bank line of credit | $ 0 | $ 1,259,259 | |
Interest rate | 6.90% |
RESTRICTED SHARE PLAN (Details
RESTRICTED SHARE PLAN (Details Narrative) - Restricted Share Plan [Member] - USD ($) | 3 Months Ended | |
Nov. 30, 2023 | Nov. 30, 2022 | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||
Available to be issued | 17,251 | |
Number of common stock, shares issued | 0 | 3,557 |
Value of common stock, shares issued | $ 0 | $ 23,303 |
SEGMENT INFORMATION (Details)
SEGMENT INFORMATION (Details) - USD ($) | 3 Months Ended | |
Nov. 30, 2023 | Nov. 30, 2022 | |
Sales | $ 9,805,841 | $ 12,577,500 |
(Loss) income before income taxes | (1,743,576) | 93,350 |
(Loss) income before income taxes | 1,743,576 | (93,350) |
Identifiable assets | 29,937,969 | 34,646,468 |
Depreciation and amortization | 97,903 | 111,536 |
Industrial Wood Products [Member] | ||
Sales | 1,134,351 | 606,909 |
(Loss) income before income taxes | 61,617 | 44,246 |
(Loss) income before income taxes | (61,617) | (44,246) |
Identifiable assets | 985,386 | 863,237 |
Depreciation and amortization | ||
Law Garden Pet And Other [Member] | ||
Sales | 8,622,972 | 11,619,082 |
(Loss) income before income taxes | 1,385,659 | 156,651 |
(Loss) income before income taxes | (1,385,659) | (156,651) |
Identifiable assets | 20,359,711 | 26,325,793 |
Depreciation and amortization | 17,452 | 15,641 |
Seed Processing And Sales [Member] | ||
Sales | 48,518 | 351,509 |
(Loss) income before income taxes | 33,043 | (27,818) |
(Loss) income before income taxes | (33,043) | 27,818 |
Identifiable assets | 37,629 | 550,426 |
Depreciation and amortization | 870 | 1,587 |
Corporate And Administrative [Member] | ||
(Loss) income before income taxes | (263,257) | (135,365) |
(Loss) income before income taxes | 263,257 | 135,365 |
Identifiable assets | 8,555,243 | 6,907,012 |
Depreciation and amortization | $ 79,581 | $ 94,308 |
SEGMENT INFORMATION (Details 1)
SEGMENT INFORMATION (Details 1) - USD ($) | 3 Months Ended | |
Nov. 30, 2023 | Nov. 30, 2022 | |
Retirement Benefits [Abstract] | ||
Sales | $ 6,125,113 | $ 7,795,215 |
SEGMENT INFORMATION (Details 2)
SEGMENT INFORMATION (Details 2) - USD ($) | 3 Months Ended | |
Nov. 30, 2023 | Nov. 30, 2022 | |
Revenues | $ 9,805,841 | $ 12,577,500 |
UNITED STATES | ||
Revenues | 9,132,072 | 12,023,282 |
CANADA | ||
Revenues | 673,769 | 265,425 |
Europe [Member] | ||
Revenues | 40,525 | |
Mexico Latin America Caribbean [Member] | ||
Revenues | 148,512 | |
Asia Pacific [Member] | ||
Revenues | $ 99,756 |
SEGMENT INFORMATION (Details Na
SEGMENT INFORMATION (Details Narrative) - USD ($) | 3 Months Ended | |
Nov. 30, 2023 | Nov. 30, 2022 | |
Retirement Benefits [Abstract] | ||
Compensation expense | $ 96,470 | $ 126,938 |
RISKS (Details Narrative)
RISKS (Details Narrative) - USD ($) | 3 Months Ended | |
Nov. 30, 2023 | Nov. 30, 2022 | |
Risks and Uncertainties [Abstract] | ||
Concentration risk, customer | 65% | 56% |
Concentration, volume of purchases | $ 4,879,797 | $ 6,671,072 |
SUPPLEMENTAL DISCLOSURE WITH RE
SUPPLEMENTAL DISCLOSURE WITH RESPECT TO CASH FLOWS (Details) - USD ($) | 3 Months Ended | |
Nov. 30, 2023 | Nov. 30, 2022 | |
Supplemental Cash Flow Elements [Abstract] | ||
Interest | $ 29,671 | $ 86,552 |
Income taxes | $ 173,717 |
CONTINGENCIES (Details Narrativ
CONTINGENCIES (Details Narrative) | 1 Months Ended |
Sep. 30, 2023 USD ($) | |
Supplemental Cash Flow Elements [Abstract] | |
Arbitration payment | $ 2,450,000 |
SUBSEQUENT EVENT (Details Narra
SUBSEQUENT EVENT (Details Narrative) - Restricted Share Plan [Member] - USD ($) | 1 Months Ended | 3 Months Ended | |
Dec. 31, 2023 | Nov. 30, 2023 | Nov. 30, 2022 | |
Subsequent Event [Line Items] | |||
Common stock, shares issued | 0 | 3,557 | |
Common shares value | $ 0 | $ 23,303 | |
Subsequent Event [Member] | Officers Directors And Employees [Member] | |||
Subsequent Event [Line Items] | |||
Common stock, shares issued | 5,903 | ||
Common shares value | $ 32,064 |