Quarterly report pursuant to Section 13 or 15(d)

Revenues

v3.20.2
Revenues
9 Months Ended
May 31, 2020
Revenues [Abstract]  
Revenues

14.        Revenues

 

 

 

May 31

2020

$

 

 

May 31

2019

$

 

Product sales

 

 

119,709

 

 

 

7,284

 

Licensing revenue

 

 

130,509

 

 

 

90,000

 

Freight revenue

 

 

586

 

 

 

205

 

 

 

 

250,804

 

 

 

97,489

 

 

During the nine months ended May 31, 2020, the Company recognized $73,759 of Intellectual Property Licensing fees and $56,750 of Usage Fees (May 2019 -$40,000 and $50,000). Licensing revenues are significantly concentrated on a single customer.

 

There was an increase in product sales in the current year compared to the previous years as the Company was able to solve some payment processing issues late in fiscal 2019, allowing for improved ability to conduct online retail transactions. Intermediate products sales began during the second quarter, which typically is a DehydraTECH enabled powder that companies can purchase to include in their products. Intermediate product sales constituted the majority of our product sales segment revenue and is a new form of revenue for the current fiscal year. The Licensing fees consist of IP licensing fees for transfer of the Technology with the signing of definitive agreements for the DehydraTECH technology and usage fees. The Licensing fees include payments due upon transfer of the Technology and installment payments that are receivable within 12 months (Note 7).