GENC

New in FY2025

• The Company has evaluated its internal control over financial reporting and determined that it was not effective as of September 30, 2025 and that material weaknesses existed as of that date, and the Company has also concluded that its disclosure controls and procedures were not effective as of September 30, 2025 due to material weaknesses in its internal control over financial reporting.
• As described in Item 9A—Controls and Procedures– Management’s Annual Report on Internal Control over Financial Reporting, the Company has begun, and will continue the process of remediating its identified material weaknesses.
• The Company can give no assurances that the remediation measures it has implemented and will begin implementing, or any future measures it may take, will remediate the material weaknesses identified or that any additional material weaknesses will not arise or be identified in the future due to the Company’s failure to implement and maintain effective internal control over financial reporting.
• Adverse economic and political conditions may cause customers to forego or delay new purchases and rely more on repairing existing equipment, thus negatively impacting the Company’s sales and profits.
• During the year ended September 30, 2025, no customer accounted for more than 10% of net revenue.
• The loss of a relationship with a large customer, or a significant reduction in sales to any such customer, could adversely affect the Company’s revenues and, consequently, its business.
• The Company’s marketable securities are comprised of cash and money funds, corporate bonds, exchange-traded funds, mutual funds, equities and government securities invested through a professional investment management firm and are subject to various risks, such as interest rates, markets, and credit .
• The Company’s marketable securities are comprised of cash and money funds, corporate bonds, exchange-traded funds, mutual funds, equities and government securities invested through professional investment management firms and are subject to various risks, such as interest rate risk, market risk, and credit risk.
• The Company holds patents covering technology and applications related to various products, equipment and systems, and trademarks and trade names registered with the U.S.
• The Company believes that it meets existing professional specification standards recognized or required in the industries in which it operates, and there are no known material product liability claims pending against the Company as of the date hereof.
• As tariffs are implemented, or if additional or increased tariffs or other restrictions are placed on foreign imports or any related counter-measures are taken by other countries, our business, financial condition, results of operations and cash flow could be harmed.
• The Company faces competition in product performance, price and service.
• Some of the Company’s competitors have greater financial and marketing resources than the Company.
• The reasons the Company’s quarterly results may fluctuate include: • General competitive and economic conditions; • Delays in, or uneven timing in, delivery of customer orders; • The seasonal nature of the industry; • The fluctuations in the market value of its securities portfolio; • The introduction of new products by the Company or its competitors; • Product supply shortages; • Reduced demand due to adverse weather conditions; • Expiration or renewal of federal highway programs; • Changes to federal, state or Canadian provincial programs; and • Tariffs.
• The market price of the Company’s common stock may be significantly affected by various factors, such as: • Quarterly variations in operating results; • Changes in revenue growth rates as a whole or for specific geographic areas or products; • Changes in earnings estimates by market analysts; • The announcement of new products or product enhancements by the Company or its competitors; • Speculation in the press or analyst community of potential acquisitions by the Company; • Significant deficiencies or material weaknesses identified during the audit; and • General market conditions or market conditions specific to particular industries.
• Concerns over inflation, geopolitical issues and global financial markets have led to increased economic instability and expectations of slower economic growth.
• Sanctions and disruptions to the global economy may lead to additional inflation and may disrupt the global supply chain and could have a material adverse effect on our ability to secure supplies.
• Prolonged periods of inflation would likely increase our costs in the form of higher wages, and increased cost of supplies and equipment necessary to operate our business.
• As reflected on the Company’s balance sheet at September 30, 2025, the Company owns a significant amount of marketable securities, which include cash, cash equivalents, government and corporate bonds, mutual funds, equities and exchange-traded funds.
• The value of the Company’s investment securities is below 40% of the value of its total assets (excluding government securities and cash items) at September 30, 2025.
• We have been, and expect to continue to be, subject to cybersecurity attacks and other cybersecurity risks related to our business.

Gone since FY2024

• The Company faces risks related to being delinquent in its SEC reporting obligations.
• Due to the circumstances discussed in the Explanatory Note in this Annual Report, the Company’s recent SEC filings, including this Annual Report, its Quarterly Reports on Form 10-Q for the quarterly periods ended December 31, 2024 and March 31, 2025 (the “Delinquent Reports”) were delinquent.
• NYSE Regulation (“NYSE”) informed the Company that, under the rules of the NYSE American, LLC (“NYSE American”), it is subject to the procedures set forth in Section 1007 of the NYSE American Company Guide, and that the Company has an initial six-month period from the Form 10-K filing due date of December 31, 2024 to regain compliance with the NYSE American listing standards, allowing the Company to file the Delinquent Reports by June 30, 2025.
• On June 10, 2025, the Company submitted an extension request to NYSE Regulation, requesting additional time to regain compliance with the NYSE American continued listing standards.
• While the Company is filing this 2024 Annual Report within the initial six-month period granted by the initial delinquency notification, the Company requested an extension to allow it additional time to coordinate the completion of the Quarterly Reports on Form 10-Q for the quarterly periods ended December 31, 2024 and March 31, 2025.
• On June 24, 2025, the NYSE informed the Company that it accepted the extension request, allowing the Company to submit the Delinquent Reports by August 19, 2025.
• The Company faces the following risks and challenges related to being delinquent in its SEC reporting obligations, including: • The Company may fail to file all Delinquent Reports by August 19, 2025, and there can be no assurance that the NYSE will grant an additional discretionary extension for the Company to regain compliance; • The NYSE may commence delisting proceedings at any time if it deems that the circumstances warrant; • The Company may fail to remediate material weaknesses in its internal control over financial reporting and other material weaknesses may be identified in the future, which could adversely affect the accuracy and timing of the Company’s financial reporting; and • Failure to timely file its SEC reports and make the Company’s current financial information available has placed, and may continue to place, downward pressure on the Company’s stock price.
• If the Company is unable to file all Delinquent Reports by August 19, 2025 and the NYSE does not grant an additional discretionary extension for the Company to regain compliance, or if the NYSE otherwise determines circumstances so warrant, our Common Stock may be subject to delisting.
• If the NYSE American delists the Company’s Common Stock from trading on its exchange, the Company could face a limited availability of market quotations for its Common Stock and reduced liquidity for its Common Stock.
• The Company has evaluated its internal control over financial reporting and determined that it was not effective as of September 30, 2024 and that material weaknesses existed as of that date, and the Company has also concluded that its disclosure controls and procedures were not effective as of September 30, 2024 due to material weaknesses in its internal control over financial reporting.
• As described in Item 9A—Controls and Procedures– Management’s Annual Report on Internal Control over Financial Reporting, the Company will begin the process of remediating its identified material weaknesses.
• The Company can give no assurances that the remediation measures it will begin implementing, or any future measures it may take, will remediate the material weaknesses identified or that any additional material weaknesses will not arise or be identified in the future due to the Company’s failure to implement and maintain effective internal control over financial reporting.
• Adverse economic conditions may cause customers to forego or delay new purchases and rely more on repairing existing equipment, thus negatively impacting the Company’s sales and profits.
• During the year ended September 30, 2023, a different customer accounted for 14.8% of net revenue.
• The loss of any relationship with a large customer, or a significant reduction in sales to any such customer, could adversely affect the Company’s revenues and, consequently, its business.
• The Company’s marketable securities are comprised of cash and money funds, corporate bonds, exchange-traded funds, and government securities invested through a professional investment management firm and are subject to various risks, such as interest rates, markets, and credit .
• The Company’s marketable securities are comprised of cash and money funds, corporate bonds, exchange-traded funds, and government securities invested through professional investment management firms and are subject to various risks, such as interest rate risk, market risk, and credit risk.
• The Company holds numerous patents covering technology and applications related to various products, equipment and systems, and numerous trademarks and trade names registered with the U.S.
• The Company believes that it meets existing professional specification standards recognized or required in the industries in which it operates, and there are no material product liability claims pending against the Company as of the date hereof.
• The Company is subject to extensive environmental laws and regulations, and the costs related to compliance with, or the Company’s failure to comply with, existing or future laws and regulations, could adversely affect the business and results of operations .
• The Company’s operations are subject to federal, state, local and foreign laws and regulations relating to the protection of the environment.
• Sanctions for noncompliance may include revocation of permits, corrective action orders, significant administrative or civil penalties and criminal prosecution.
• The Company’s business involves environmental management and issues typically associated with historical manufacturing operations.
• To date, the Company’s cost of complying with environmental laws and regulations has not been material, but the fact that such laws or regulations are changed frequently makes predicting the cost or impact of such laws and regulations on the Company’s future operations uncertain.
• As current tariffs are implemented, or if additional or increased tariffs or other restrictions are placed on foreign imports or any related counter-measures are taken by other countries, our business, financial condition, results of operations and cash flow could be harmed.
• Increasing scrutiny and changing expectations from stakeholders with respect to the Company’s ESG practices may expose us to new or additional risks.
• The Company is committed to responsible environmental, social and governance (“ESG”) practices.
• The Company strives to be recognized as a company that achieves customer expectations safely and in a manner that rewards both its customers and its employees.
• The Company strives to achieve these goals through an organizational structure that provides excellent service and a reputation of integrity with the communities where it operates while providing its employees with growth opportunities in an injury-free environment.
• Companies are facing scrutiny from stakeholders related to their ESG practices.
• Investor advocacy groups, certain institutional investors, investment funds and other influential investors are also increasingly focused on ESG practices and in recent years have placed increasing importance on the implications and social cost of their investments.
• Regardless of the industry, investors’ and stakeholders’ increased focus related to stakeholder ESG expectations and standards, which are evolving, may cause the Company to suffer from reputational damage and its business or financial condition could be adversely affected.
• The Company currently faces competition in product performance, price and service.
• Some of the Company’s competitors have greater financial, product development and marketing resources than the Company.
• The reasons the Company’s quarterly results may fluctuate include: • General competitive and economic conditions; • Delays in, or uneven timing in, delivery of customer orders; • The seasonal nature of the industry; • The fluctuations in the market value of its securities portfolio; • The introduction of new products by the Company or its competitors; • Product supply shortages; • Reduced demand due to adverse weather conditions; • Expiration or renewal of federal highway programs; • Changes to federal, state or Canadian provincial programs; and • Recently enacted tariffs.
• The market price of the Company’s common stock may be significantly affected by various factors, such as: • Quarterly variations in operating results; • Changes in revenue growth rates as a whole or for specific geographic areas or products; • Changes in earnings estimates by market analysts; • The announcement of new products or product enhancements by the Company or its competitors; • Speculation in the press or analyst community of potential acquisitions by the Company; and • General market conditions or market conditions specific to particular industries.
• Concerns over inflation, geopolitical issues and global financial markets have led to increased economic instability and expectations of slower global economic growth.
• Russia’s invasion of Ukraine and related sanctions has led to increased energy prices.
• Such sanctions and disruptions to the global economy may lead to additional inflation and may disrupt the global supply chain and could have a material adverse effect on our ability to secure supplies.
• The increased cost of oil, along with increased or prolonged periods of inflation, would likely increase our costs in the form of higher wages, further inflation on supplies and equipment necessary to operate our business.

and 3 more.