2023 Q2 Form 10-Q Financial Statement

#000165495423007911 Filed on June 12, 2023

View on sec.gov

Income Statement

Concept 2023 Q2 2023 Q1 2022 Q1

Balance Sheet

Concept 2023 Q2 2023 Q1 2022 Q1
SHORT-TERM ASSETS
Cash & Short-Term Investments $68.00K $17.00K
YoY Change 300.0% -73.02%
Cash & Equivalents $68.00K $17.00K
Short-Term Investments
Other Short-Term Assets $0.00 $64.00K
YoY Change -100.0% -54.61%
Inventory $0.00 $419.0K
Prepaid Expenses
Receivables $89.00K $138.0K
Other Receivables $502.0K $400.0K
Total Short-Term Assets $659.0K $1.038M
YoY Change -36.51% -0.95%
LONG-TERM ASSETS
Property, Plant & Equipment $0.00 $504.0K
YoY Change -100.0% -14.86%
Goodwill
YoY Change
Intangibles
YoY Change
Long-Term Investments
YoY Change
Other Assets $0.00 $21.00K
YoY Change -100.0% 0.0%
Total Long-Term Assets $0.00 $527.0K
YoY Change -100.0% -26.7%
TOTAL ASSETS
Total Short-Term Assets $659.0K $1.038M
Total Long-Term Assets $0.00 $527.0K
Total Assets $659.0K $1.565M
YoY Change -57.89% -11.43%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $572.0K $843.0K
YoY Change -32.15% 34.02%
Accrued Expenses $338.0K $570.0K
YoY Change -40.7% -15.05%
Deferred Revenue
YoY Change
Short-Term Debt $0.00 $1.333M
YoY Change -100.0% 131.02%
Long-Term Debt Due $175.0K $1.458M
YoY Change -88.0% 13.02%
Total Short-Term Liabilities $1.117M $2.871M
YoY Change -61.09% -9.35%
LONG-TERM LIABILITIES
Long-Term Debt $0.00 $0.00
YoY Change
Other Long-Term Liabilities $0.00 $2.000K
YoY Change -100.0% -93.55%
Total Long-Term Liabilities $0.00 $2.000K
YoY Change -100.0% -93.55%
TOTAL LIABILITIES
Total Short-Term Liabilities $1.117M $2.871M
Total Long-Term Liabilities $0.00 $2.000K
Total Liabilities $1.117M $2.873M
YoY Change -61.12% -10.16%
SHAREHOLDERS EQUITY
Retained Earnings -$23.34M -$24.19M
YoY Change -3.51%
Common Stock $481.0K $481.0K
YoY Change 0.0%
Preferred Stock
YoY Change
Treasury Stock (at cost)
YoY Change
Treasury Stock Shares
Shareholders Equity -$458.0K -$1.308M
YoY Change
Total Liabilities & Shareholders Equity $659.0K $1.565M
YoY Change -57.89% -11.43%

Cashflow Statement

Concept 2023 Q2 2023 Q1 2022 Q1

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<p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;"><strong>Note A - Basis of Reporting</strong></p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;"> </p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; TEXT-INDENT: 45px; text-align:justify;">The accompanying unaudited interim condensed financial statements of American Bio Medica Corporation (the “Company”) have been prepared in accordance with generally accepted accounting principles in the United States of America (“U.S. GAAP”) for interim financial information and in accordance with the instructions to Form 10-Q and Regulation S-X. Accordingly, these unaudited interim condensed financial statements do not include all information and footnotes required by U.S. GAAP for complete financial statement presentation. These unaudited interim condensed financial statements should be read in conjunction with audited financial statements and related notes contained in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022. In the opinion of management, the interim condensed financial statements include all normal, recurring adjustments which are considered necessary for a fair presentation of the financial position of the Company at March 31, 2023, and the results of operations and cash flows for the three month periods ended March 31, 2023 (the “First Quarter 2023”) and March 31, 2022 (the “First Quarter 2022”).</p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;"> </p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; TEXT-INDENT: 45px; text-align:justify;">Operating results for the First Quarter 2023 are not indicative of results that will be reported for the year ending December 31, 2023 as the Company sold substantially all of its assets on February 28, 2023 to Healgen Scientific, LLC (“Healgen”). Amounts at December 31, 2022 are derived from audited financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022.</p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;"> </p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; TEXT-INDENT: 45px; text-align:justify;">During the First Quarter 2023, there were no significant changes to the Company’s critical accounting policies, which are included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022.</p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;"> </p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; TEXT-INDENT: 45px; text-align:justify;">The preparation of these interim condensed financial statements requires the Company to make estimates and judgments that affect the reported amounts of liabilities, expenses, and related disclosure of contingent liabilities. On an on-going basis, the Company evaluates estimates, including those related to bad debts, income taxes, warranty obligations, contingencies and litigation. The Company bases estimates on historical experience and on various other assumptions that are believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying value of liabilities that are not readily apparent from other sources. Actual results may differ from these estimates under different assumptions or conditions.</p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;"> </p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; TEXT-INDENT: 45px; text-align:justify;">These unaudited interim condensed financial statements have been prepared assuming that the Company will continue as a going concern and, accordingly, do not include any adjustments that might result from the outcome of this uncertainty. The independent registered public accounting firm’s report on the financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022, contained an explanatory paragraph regarding the Company’s ability to continue as a going concern. As of the date of this report, the Company’s current cash balances and amounts expected from its receivables (including the Employee retention Credit receivable and the retention (escrow) proceeds from the asset sale) may not be sufficient to fund the Company through May 2024.</p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;"> </p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; TEXT-INDENT: 45px; text-align:justify;">The Company’s credit facilities with Cherokee Financial, LLC (“Cherokee”) were paid in full with proceeds from the asset sale on February 28, 2023.</p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;"> </p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; TEXT-INDENT: 45px; text-align:justify;"><strong>Recently Adopted Accounting Standards</strong></p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;"> </p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; TEXT-INDENT: 45px; text-align:justify;"><span style="text-decoration:underline">ASU 2022-04, Liabilities – Supplier Finance Programs (Subtopic 405-50): Disclosure of Supplier Finance Program Obligations,</span> issued in September 2022, requires entities that use supplier finance programs in connection with the purchase of goods and services to disclose the key terms of the programs and information about obligations outstanding at the end of the reporting period, including a rollforward of those obligations. The guidance does not affect the recognition, measurement or financial statement presentation of supplier finance program obligations. ASU 2022-04 became effective on January 1, 2023. The Company adopted ASU 2022-04 on January 1, 2023 and the adoption did not have an impact on the Company’s financial condition or results of operations as the Company does not (and has not historically) utilized supplier finance programs in connection with the purchase of goods and services.</p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; TEXT-INDENT: 45px; text-align:justify;"><span style="text-decoration:underline">ASU 2016-13, Financial Instruments—Credit Losses (Topic 326)</span>; <span style="text-decoration:underline">Measurement of Credit Losses on Financial Instruments</span>, issued in June 2016, requires companies to measure all expected credit losses for financial instruments held at the reporting date based on historical experience, current conditions, and reasonable and supportable forecasts. The Company adopted ASU 2016-13 on January 1, 2023 and the adoption did not have a material impact on the Company’s financial condition or results of operations.</p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;"> </p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; TEXT-INDENT: 45px; text-align:justify;"><strong>Accounting Standards Issued; Not Yet Adopted</strong></p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; text-align:justify;"> </p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; TEXT-INDENT: 45px; text-align:justify;"><span style="text-decoration:underline">ASU 2022-03, Fair Value Measurement (Topic 820), Fair Value Measurement of Equity Securities Subject to Contractual Sale Restrictions</span>, issued in June 2022, clarifies that a contractual restriction on the sale of an equity security is not considered in measuring the security's fair value. The standard also requires certain disclosures for equity securities that are subject to contractual restrictions. ASU 2022-03 becomes effective on January 1, 2024. Early adoption is permitted. The Company is evaluating the impact of ASU 2022-03.</p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; TEXT-INDENT: 45px; text-align:justify;"> </p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; TEXT-INDENT: 45px; text-align:justify;">Any other new accounting pronouncements recently issued, but not yet effective, have been reviewed and determined to be not applicable or were related to technical amendments or codification. As a result, the adoption of such new accounting pronouncements, when effective, is not expected to have a material effect on the Company’s financial position or results of operations.</p>
CY2023Q1 abmc Accounting Standards Issued Not Yet Adopted
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<p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; TEXT-INDENT: 45px; text-align:justify;"><span style="text-decoration:underline">ASU 2022-03, Fair Value Measurement (Topic 820), Fair Value Measurement of Equity Securities Subject to Contractual Sale Restrictions</span>, issued in June 2022, clarifies that a contractual restriction on the sale of an equity security is not considered in measuring the security's fair value. The standard also requires certain disclosures for equity securities that are subject to contractual restrictions. ASU 2022-03 becomes effective on January 1, 2024. Early adoption is permitted. The Company is evaluating the impact of ASU 2022-03.</p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; TEXT-INDENT: 45px; text-align:justify;"> </p><p style="FONT-SIZE: 10pt; FONT-FAMILY: times new roman; MARGIN: 0px; TEXT-INDENT: 45px; text-align:justify;">Any other new accounting pronouncements recently issued, but not yet effective, have been reviewed and determined to be not applicable or were related to technical amendments or codification. As a result, the adoption of such new accounting pronouncements, when effective, is not expected to have a material effect on the Company’s financial position or results of operations.</p>
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CY2022Q4 us-gaap Inventory Raw Materials
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CY2022Q4 us-gaap Inventory Valuation Reserves
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CY2022Q4 us-gaap Buildings And Improvements Gross
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CY2022Q4 us-gaap Machinery And Equipment Gross
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CY2022Q4 us-gaap Furniture And Fixtures Gross
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CY2022Q4 us-gaap Accumulated Depreciation Depletion And Amortization Property Plant And Equipment
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CY2023Q1 us-gaap Property Plant And Equipment Net
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CY2022Q4 us-gaap Property Plant And Equipment Net
PropertyPlantAndEquipmentNet
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CY2023Q1 us-gaap Operating Loss Carryforwards
OperatingLossCarryforwards
11427000 usd
CY2023Q1 us-gaap Other Research And Development Expense
OtherResearchAndDevelopmentExpense
26000 usd
CY2023Q1 us-gaap Accrued Professional Fees Current
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16000 usd
CY2022Q4 us-gaap Accrued Professional Fees Current
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87000 usd
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InterestPayableCurrent
20000 usd
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InterestPayableCurrent
39000 usd
CY2023Q1 abmc Accounts Receivable Credit Balances Current
AccountsReceivableCreditBalancesCurrent
0 usd
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AccountsReceivableCreditBalancesCurrent
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CY2023Q1 us-gaap Deferred Compensation Liability Current
DeferredCompensationLiabilityCurrent
114000 usd
CY2022Q4 us-gaap Deferred Compensation Liability Current
DeferredCompensationLiabilityCurrent
109000 usd
CY2023Q1 us-gaap Other Liabilities Current
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0 usd
CY2022Q4 us-gaap Other Liabilities Current
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90000 usd
CY2023Q1 us-gaap Accrued Liabilities Current
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338000 usd
CY2022Q4 us-gaap Accrued Liabilities Current
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514000 usd
CY2023Q1 us-gaap Antidilutive Securities Excluded From Computation Of Earnings Per Share Amount
AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareAmount
1690000 shares
CY2022Q1 us-gaap Antidilutive Securities Excluded From Computation Of Earnings Per Share Amount
AntidilutiveSecuritiesExcludedFromComputationOfEarningsPerShareAmount
1937000 shares
CY2023Q1 abmc Opearting Loss Carry Forward Exipry Notes
OpeartingLossCarryForwardExipryNotes
expire in 2022 and continue to expire through 2038
CY2023Q1 us-gaap Long Term Debt
LongTermDebt
175000 usd
CY2022Q4 us-gaap Long Term Debt
LongTermDebt
2230000 usd
CY2023Q1 us-gaap Long Term Debt Current
LongTermDebtCurrent
175000 usd
CY2022Q4 us-gaap Long Term Debt Current
LongTermDebtCurrent
2230000 usd
CY2021Q1 abmc Refund Of Wages
RefundOfWages
202000 usd
abmc Refund Of Wages
RefundOfWages
198000 usd
CY2023Q1 abmc Refund Total Expected
RefundTotalExpected
202000 usd
CY2022Q2 abmc Refund Of Wages
RefundOfWages
199000 usd
CY2022Q2 abmc Claimed As A Refund Amount
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198000 usd
CY2022Q2 abmc Refund As Interest Amount
RefundAsInterestAmount
1000 usd
CY2023Q1 us-gaap Stock Issued During Period Shares Other
StockIssuedDuringPeriodSharesOther
27863899 shares
CY2023Q1 us-gaap Common Stock Other Shares Outstanding
CommonStockOtherSharesOutstanding
47098476 shares
CY2023Q1 abmc Stock Issued During Period Shares Other31
StockIssuedDuringPeriodSharesOther31
the Asset Sale to Healgen required the affirmative vote of the holders of a majority of the outstanding shares of the Company’s common stock (par value $0.01). 26,381,832, or 54.84% of the total outstanding shares of the Company, voted in favor of the Asset Sale to Healgen. 1,476,077, or 3.06% of the total outstanding shares, voted against the Asset Sale to Healgen. 5,990, or 0.01% of the total shares outstanding, withheld voting on the Asset Sale to Healgen.
CY2023Q1 us-gaap Gain Loss On Sale Of Other Assets
GainLossOnSaleOfOtherAssets
3000000 usd
CY2023Q1 us-gaap Lessor Operating Lease Indemnification Payment Received
LessorOperatingLeaseIndemnificationPaymentReceived
300000 usd
CY2023Q1 us-gaap Proceeds From Other Debt
ProceedsFromOtherDebt
247000 usd
CY2023Q1 us-gaap Proceeds From Loans
ProceedsFromLoans
965000 usd
CY2023Q1 abmc Property Related Taxes Non Current
PropertyRelatedTaxesNonCurrent
193000 usd
CY2023Q1 us-gaap Taxes Other
TaxesOther
12000 usd
CY2023Q1 us-gaap Deferred Tax Assets Valuation Allowance
DeferredTaxAssetsValuationAllowance
2677000 usd
CY2022Q4 us-gaap Deferred Tax Assets Valuation Allowance
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CY2023Q1 us-gaap Deferred Tax Assets Liabilities Net
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CY2022Q4 us-gaap Deferred Tax Assets Liabilities Net
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CY2023Q1 us-gaap Deferred Tax Assets Valuation Allowance
DeferredTaxAssetsValuationAllowance
2677000 usd
CY2022Q4 us-gaap Deferred Tax Assets Valuation Allowance
DeferredTaxAssetsValuationAllowance
3209000 usd
CY2023Q1 abmc Carry Overs Operating Losses
CarryOversOperatingLosses
1 pure
CY2023Q1 abmc Carry Overs Operating Losses Taxable Income Percentage
CarryOversOperatingLossesTaxableIncomePercentage
0.80 pure
CY2023Q1 us-gaap Effective Income Tax Rate Reconciliation At Federal Statutory Income Tax Rate
EffectiveIncomeTaxRateReconciliationAtFederalStatutoryIncomeTaxRate
0.21 pure
CY2022Q1 us-gaap Effective Income Tax Rate Reconciliation At Federal Statutory Income Tax Rate
EffectiveIncomeTaxRateReconciliationAtFederalStatutoryIncomeTaxRate
0.21 pure
CY2023Q1 us-gaap Effective Income Tax Rate Reconciliation State And Local Income Taxes
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0 pure
CY2023Q1 us-gaap Effective Income Tax Rate Reconciliation Change In Deferred Tax Assets Valuation Allowance
EffectiveIncomeTaxRateReconciliationChangeInDeferredTaxAssetsValuationAllowance
0.21 pure
CY2022Q1 us-gaap Effective Income Tax Rate Reconciliation Change In Deferred Tax Assets Valuation Allowance
EffectiveIncomeTaxRateReconciliationChangeInDeferredTaxAssetsValuationAllowance
0.21 pure
CY2023Q1 us-gaap Effective Income Tax Rate Continuing Operations
EffectiveIncomeTaxRateContinuingOperations
0 pure
CY2022Q1 us-gaap Effective Income Tax Rate Continuing Operations
EffectiveIncomeTaxRateContinuingOperations
0 pure
CY2023Q1 abmc Deferred Tax Assets Inventory Allowance
DeferredTaxAssetsInventoryAllowance
0 usd
CY2022Q4 abmc Deferred Tax Assets Inventory Allowance
DeferredTaxAssetsInventoryAllowance
61000 usd
CY2023Q1 us-gaap Deferred Tax Assets Tax Deferred Expense Reserves And Accruals Allowance For Doubtful Accounts
DeferredTaxAssetsTaxDeferredExpenseReservesAndAccrualsAllowanceForDoubtfulAccounts
1000 usd
CY2022Q4 us-gaap Deferred Tax Assets Tax Deferred Expense Reserves And Accruals Allowance For Doubtful Accounts
DeferredTaxAssetsTaxDeferredExpenseReservesAndAccrualsAllowanceForDoubtfulAccounts
1000 usd
CY2023Q1 us-gaap Deferred Tax Assets Tax Deferred Expense Compensation And Benefits Share Based Compensation Cost
DeferredTaxAssetsTaxDeferredExpenseCompensationAndBenefitsShareBasedCompensationCost
138000 usd
CY2022Q4 us-gaap Deferred Tax Assets Tax Deferred Expense Compensation And Benefits Share Based Compensation Cost
DeferredTaxAssetsTaxDeferredExpenseCompensationAndBenefitsShareBasedCompensationCost
149000 usd
CY2023Q1 us-gaap Deferred Tax Assets Tax Deferred Expense Compensation And Benefits Employee Compensation
DeferredTaxAssetsTaxDeferredExpenseCompensationAndBenefitsEmployeeCompensation
30000 usd
CY2022Q4 us-gaap Deferred Tax Assets Tax Deferred Expense Compensation And Benefits Employee Compensation
DeferredTaxAssetsTaxDeferredExpenseCompensationAndBenefitsEmployeeCompensation
21000 usd
CY2023Q1 us-gaap Deferred Tax Liabilities Property Plant And Equipment
DeferredTaxLiabilitiesPropertyPlantAndEquipment
0 usd
CY2022Q4 us-gaap Deferred Tax Liabilities Property Plant And Equipment
DeferredTaxLiabilitiesPropertyPlantAndEquipment
19000 usd
CY2023Q1 us-gaap Deferred Tax Assets In Process Research And Development
DeferredTaxAssetsInProcessResearchAndDevelopment
26000 usd
CY2022Q4 us-gaap Deferred Tax Assets In Process Research And Development
DeferredTaxAssetsInProcessResearchAndDevelopment
24000 usd
CY2023Q1 us-gaap Deferred Tax Assets Operating Loss Carryforwards
DeferredTaxAssetsOperatingLossCarryforwards
2482000 usd
CY2022Q4 us-gaap Deferred Tax Assets Operating Loss Carryforwards
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2972000 usd
CY2023Q1 us-gaap Deferred Tax Assets Gross
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2677000 usd
CY2022Q4 us-gaap Deferred Tax Assets Gross
DeferredTaxAssetsGross
3209000 usd
CY2023Q1 us-gaap Increase Decrease In Deferred Compensation
IncreaseDecreaseInDeferredCompensation
92000 usd
CY2023Q1 abmc Contractually Specified Servicing Fees Amount1
ContractuallySpecifiedServicingFeesAmount1
12000 usd

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