Stran & Company, Inc. Revenue Disclosure
| J. | REVENUE: |
Revenue disaggregated according to the timing of transfer of goods or services (e.g., at a point in time) was as follows:
| Years Ended December 31, | ||||||||
| Revenue generated per major product category | 2025 | 2024 | ||||||
| Promotional products - dropshipping | $ | 41,956 | $ | 34,531 | ||||
| Promotional products – bulk dropshipping | 15,894 | 15,939 | ||||||
| Promotional products – Company owned inventory | 15,150 | 14,420 | ||||||
| Casino continuity program | 32,849 | 8,619 | ||||||
| Redemption code program | 1,856 | |||||||
| Promotional products – third-party distributor | 8,344 | 5,540 | ||||||
| Rewards program | 1,106 | 1,199 | ||||||
| Additional services | 892 | 550 | ||||||
| $ | 116,191 | $ | 82,654 | |||||
Unearned revenue includes customer deposits and deferred revenue which represent prepayments from customers. The Company had unearned revenue as follows:
| December
31, 2025 | December
31, 2024 | |||||||
| Balance at January 1, | $ | 4,423 | $ | 1,116 | ||||
| Revenue recognized | (11,783 | ) | (3,121 | ) | ||||
| Amounts collected or invoiced | 10,561 | 6,428 | ||||||
| Balance at December 31, | $ | 3,201 | $ | 4,423 | ||||
For the years ended December 31, 2025 and 2024, the Company recognized $3,818 and $1,108 associated with unearned revenue balances outstanding at December 31, 2024 and 2023, respectively.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Mar 25, 2026 | Showing above |
| 2024 | Apr 14, 2025 | |
| 2023 | Mar 28, 2024 | |
| 2022 | Mar 30, 2023 | |
| 2021 | Mar 28, 2022 | |
About Revenue Disclosures
Revenue disclosures under ASC 606 explain how a company identifies performance obligations, allocates transaction prices, and determines when revenue is recognized. This section is essential for understanding whether reported revenue reflects genuine economic activity or aggressive accounting choices. Analysts examine the mix of point-in-time versus over-time recognition, which directly affects revenue timing and comparability.
Key signals: rising contract liabilities (deferred revenue) suggest strong future revenue visibility, while declining contract assets may indicate slowing project milestones. Watch for variable consideration estimates — rebates, returns, and performance bonuses that require management judgment. Significant changes in disaggregated revenue by geography or product line can reveal shifting business mix before it appears in headline numbers. Compare revenue growth against contract liability growth to assess sustainability, and scrutinize any changes in the timing of recognition that coincide with earnings pressure.