Financial Analysis

NOTE F CONTINGENCIES In the ordinary course of business, the Company may be a party to legal proceedings incidental to the business. These proceedings are not expected to have a material adverse effect on the Companys business or financial condition. …

CommitmentsAndContingenciesDisclosureTextBlock · excerpt; the full note is in the filing

NOTE I - STOCK OPTIONS AND STOCK BASED COMPENSATION The Company has an incentive plan that covers 2,300,000 shares of the Companys common stock, that provide for the grant of incentive and non-qualified options, stock grants, stock appreciation rights and other equity-based incentives to employees, including officers, consultants and directors (the 2014 Long-Term Incentive Plan also known as the 2014 Plan). On March 6, 2024, the Company's board of directors adopted, and on May 2, 2024, the Companys stockholders approved, extending the 2014 Plan for an additional ten years from March 31, 2024 to March 31, 2034. The 2014 Plan is to be administered by a committee of independent directors. In the absence of a committee, the plan is administered by the Board of Directors. Options intended to be incentive stock options must be granted at an exercise price per share which is not less than the fair market value of the common stock on the date of grant and may have a term which is not longer than ten years. If the option holder holds at least 10% of the Companys common stock, the exercise price must be at least 110% of the fair market value on the date of the grant and the term of the option cannot exceed five years. Stock-based compensation cost is measured at the grant date based on the fair value of the award and is recognized as expense over the requisite service period, which generally represents the vesting period, and includes an estimate of awards that will be forfeited. The f …

DisclosureOfCompensationRelatedCostsShareBasedPaymentsTextBlock · excerpt; the full note is in the filing

NOTE D - INCOME TAXES On December 22, 2017, Public Law 115-97, commonly known as the Tax Cuts and Jobs Act of 2017 (the TCJA), was enacted. TCJA imposed a mandatory one-time transition tax (the Transition Tax) over foreign subsidiaries undistributed earnings and profits (E&Ps) earned prior to a date set by the statute. Based on the Companys E&Ps, the Transition Tax was determined to be approximately $2.7 million. The Transition Tax liability must be paid over a period of eight years, which started with the Companys second quarter of fiscal year 2019. Previously, most of these E&Ps were not repatriated since such E&Ps were considered to be reinvested indefinitely in the foreign location, therefore no US tax liability was incurred unless the E&Ps were repatriated as a dividend. After December 31, 2017, the TCJA established a 100% tax exemption on the foreign-source portion of dividends received attributable to E&Ps, with certain limitations. On July 4, 2025, Public Law 119-21, OBBBA was enacted and changed the GILTI provisions that were part of the TCJA for taxing foreign subsidiaries earnings. OBBBA renames the GILTI provision to net CFC tested income and increases the effective tax rate on net CFC tested income from 10.5% to approximately 12.6%. Also, OBBBA includes some limitations on foreign tax credits, if any, to be used against net CFC tested income. The Company will be subject to the above named OBBBA provisions effective with our fiscal year end …

IncomeTaxDisclosureTextBlock · excerpt; the full note is in the filing

NOTE E LEASES Operating facilities The Company conducted its headquarters administrative operations in office facilities located in Dorado, Puerto Rico (the Office Facilities). The Office Facilities were leased from an affiliate of our past Chairman of the Board (the Landlord). The lease agreement was for an initial five-year term which commenced January 1, 2016, with a renewal option for five additional years which was exercised and became effective January 1, 2021, and expired on December 31, 2025. The lease agreement, as amended, had monthly rental payments of $14,561 through the end of the renewal option term. The lease agreement also required the payment of utilities, property taxes, insurance and expenses incurred by the affiliate in connection with the maintenance of common areas. For fiscal year 2026 the remaining monthly rental payments to the lease expiration date on December 31, 2025 were $29,122. Upon lease termination, the Company decided to embrace available technologies and move its headquarters administrative operations to a virtual landscape. The Company maintains an office facility in Madrid, Spain. The facility is under a month-to-month lease with monthly payments of approximately $500. Lease expense for the years ended October 31, 2025 and 2024, was approximately $180,900 and $181,400, respectively. …

LeasesOfLesseeDisclosureTextBlock · excerpt; the full note is in the filing

The Financial Accounting Standards Board (FASB) establishes the FASB Accounting Standards Codification (ASC) as the single source of authoritative U.S. GAAP. New standards are communicated through an Accounting Standards Update (ASU). The Company considers the applicability and impact of all ASUs. However, the Company has evaluated the possible impact of standards still not implemented and does not foresee that the implementation of those standards in the future may have any significant effect on the consolidated financial statements.

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NOTE M RELATED PARTY TRANSACTIONS On August 19, 2024 the Company entered into an agreement with a company (the AI Company), which is an affiliate to one of the members of our Board of Directors, for (i) the development of a dashboard tool based on artificial intelligence (ii) a 2.44% membership interest (the Membership Interest) in the AI Company, and (iii) a two year term grant of option (the Option) to obtain an aggregate 16.67% interest in the AI Company at an exercise price of $1,750,000. Based on FASB ASC 820 an independent valuation firm valued (i) the dashboard tool at $150,000, (ii) the Membership Interest at $86,200, and (iii) the Option at $13,800. The dashboard tool is included within the Property and Equipment caption on the consolidated financial statements (see Note C) amortized through its useful life, while the Membership Interest and Option were recorded as investments at cost within the Other Assets caption on the consolidated financial statements. As more fully disclosed in Note E to the consolidated financial statements, the Company leased its headquarters facilities in Dorado, Puerto Rico, from an affiliate of our past Chairman of the Board of Directors. The lease expired on December 31, 2025. …

RelatedPartyTransactionsDisclosureTextBlock · excerpt; the full note is in the filing

NOTE J - SEGMENT DISCLOSURES The Companys segments are based on the organizational structure for which financial results are regularly evaluated by the Companys Chief Executive Officer, which is our chief operating decision maker (the CODM), to determine resource allocation and assess performance. Each reportable segment is managed by its own management team and reports to executive management. The Company has three reportable segments: (i) Puerto Rico consulting, (ii) United States consulting, and (iii) Europe consulting. The reportable segments provide services primarily to the pharmaceutical, chemical, medical device and biotechnology industries in their respective markets. The services vary between customers and projects based on the nature of the project and the technical skills necessary to accomplish the project tasks. Therefore, the allocation of consultancy resources is mostly based on the segments ability to provide the best consultant in the most profitable cost-effective manner. Accordingly, the CODM evaluates segment performance based on the segments (i) revenue volume, (ii) gross profit ratio to revenue, and (iii) income (loss) from operations. The following table presents information about the reported segments revenue from services, gross profit ratio to revenue and income (loss) from operations of the Company for the years ended October 31, 2025 and 2024. There is no intersegment revenue for the mentioned periods. Corporate expenses that support the operating …

SegmentReportingDisclosureTextBlock · excerpt; the full note is in the filing

NOTE G EQUITY TRANSACTIONS On June 13, 2014, the Board of Directors of the Company authorized the Company to repurchase up to two million shares of its outstanding common stock under the Company Stock Repurchase Program (the Repurchase Program). The timing, manner, price and amount of any repurchases under the Repurchase Program will be at the discretion of the Company, subject to the requirements of the Securities Exchange Act of 1934, as amended, and related rules. The Repurchase Program does not oblige the Company to repurchase any shares, and it may be modified, suspended or terminated at any time and for any reason. No shares will be repurchased under the Repurchase Program directly from directors or officers of the Company. As of October 31, 2025 and 2024, a total of 550,708 and 498,557 shares of the Companys common stock were purchased under the Repurchase Program for an aggregate amount of $516,314 and $484,871, respectively. On January 28, 2025, the Board of Directors of the Company declared a cash dividend of $0.075 per common share for shareholders of record as of the close of business on February 28, 2025. Accordingly, an aggregate dividend payment of $1,719,918 was paid on March 20, 2025. …

StockholdersEquityNoteDisclosureTextBlock · excerpt; the full note is in the filing

NOTE N SUBSEQUENT EVENTS On January 28, 2026, the Board of Directors of the Company declared a cash dividend of $0.075 per common share. The dividend is payable on or about March 20, 2026, to shareholders of record as of the close of business on February 27, 2026. …

SubsequentEventsTextBlock · excerpt; the full note is in the filing

NOTE C - INCOME TAXES On December 22, 2017, Public Law 115-97, commonly known as the Tax Cuts and Jobs Act of 2017 (the TCJA), was enacted. TCJA imposed a mandatory one-time transition tax (the Transition Tax) over foreign subsidiaries undistributed earnings and profits (E&Ps) earned prior to a date set by the statute. Based on the Companys E&Ps, the Transition Tax was determined to be approximately $2.7 million. The Transition Tax liability was paid over a period of eight years, which started with the Companys second quarter of fiscal year 2019 and ended in the second quarter of fiscal year 2026. Previously, most of these E&Ps were not repatriated since such E&Ps were considered to be reinvested indefinitely in the foreign location, therefore no US tax liability was incurred unless the E&Ps were repatriated as a dividend. After December 31, 2017, the TCJA established a 100% tax exemption on the foreign-source portion of dividends received attributable to E&Ps, with certain limitations. On July 4, 2025, Public Law 119-21, One, Big, Beautiful, Bill Act (OBBBA) was enacted and changed the GILTI provisions that were part of the TCJA for taxing foreign subsidiaries earnings. OBBBA renames the GILTI provision to net Controlled Foreign Corporation ( CFC ) tested income and increases the effective tax rate on net CFC tested income from 10.5% to approximately 12.6%. Also, OBBBA includes some limitations on foreign tax credits, if any, to be used against net CF …

IncomeTaxDisclosureTextBlock · excerpt; the full note is in the filing

The Financial Accounting Standards Board (FASB) establishes the FASB Accounting Standards Codification (ASC) as the single source of authoritative U.S. GAAP. New standards are communicated through an Accounting Standards Update (ASU). The Company considers the applicability and impact of all ASUs. However, the Company has evaluated the possible impact of standards still not implemented and does not foresee that the implementation of those standards in the future may have any significant effect on the condensed consolidated financial statements.

NewAccountingPronouncementsPolicyPolicyTextBlock

NOTE F - SEGMENT DISCLOSURES The Companys segments are based on the organizational structure for which financial results are regularly evaluated by the Companys Chief Executive Officer, which is our chief operating decision maker (the CODM) to determine resource allocation and assess performance. Each reportable segment is managed by its own management team and reports to executive management. The Company has three reportable segments: (i) Puerto Rico consulting, (ii) United States consulting, and (iii) Europe consulting. The reportable segments provide services primarily to the pharmaceutical, chemical, medical device and biotechnology industries in their respective markets. The services vary between customers and projects based on the nature of the project and the technical skills necessary to accomplish the project tasks. Therefore, the allocation of consultancy resources is mostly based on the segments ability to provide the best consultant in the most profitable and cost-effective manner. Accordingly, the CODM evaluates segment performance based on the segments (i) revenue volume, (ii) gross profit ratio to revenue, and (iii) income (loss) from operations. The following table presents information about the reported segments revenue from services, gross profit ratio to revenue and income (loss) from operations of the Company for the three-month and six-month periods ended April 30, 2026 and 2025. There is no intersegment revenue for the mentioned periods. Corporate expens …

SegmentReportingDisclosureTextBlock · excerpt; the full note is in the filing

NOTE G EQUITY TRANSACTIONS On June 13, 2014, the Board of Directors of the Company authorized the Company to repurchase up to two million shares of its outstanding common stock under the Company Stock Repurchase Program (the Repurchase Program). The timing, manner, price and amount of any repurchases under the Repurchase Program will be at the discretion of the Company, subject to the requirements of the Securities Exchange Act of 1934, as amended, and related rules. The Repurchase Program does not oblige the Company to repurchase any shares, and it may be modified, suspended or terminated at any time and for any reason. No shares will be repurchased under the Repurchase Program directly from directors or officers of the Company. As of April 30, 2026 and October 31, 2025, a total of 555,008 and 550,708 shares of the Companys common stock were purchased under the Repurchase Program for an aggregate amount of $518,704 and $516,314, respectively. As of April 30, 2026, the Company has 1,444,992 shares of common stock available for future repurchases under the Repurchase Program. On January 28, 2026, the Board of Directors of the Company declared a cash dividend of $0.075 per common share for shareholders of record as of the close of business on February 27, 2026. Accordingly, an aggregate dividend payment of $1,717,627 was paid on March 20, 2026. …

StockholdersEquityNoteDisclosureTextBlock · excerpt; the full note is in the filing