Quarterly report pursuant to Section 13 or 15(d)

Fair Value Measurements (Tables)

Fair Value Measurements (Tables)

6 Months Ended

Jun. 30, 2024

Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis

The following tables present the asset reported in "other assets" in the consolidated balance sheet measured at its fair value on a recurring basis as of June 30, 2024 and 2023 by level within the fair value hierarchy.


			Quoted prices in active markets for identical assets		Significant other observable inputs		Significant unobservable inputs
	Total		Level 1		Level 2		Level 3		Gains (losses)
June 30, 2024
Recurring fair value measurements
Marketable equity securities
EuroSite Power Inc.	$	74,995	$	—	$	74,995	$	—	$	(18,749)
Total recurring fair value measurements	$	74,995	$	—	$	74,995	$	—	$	(18,749)

June 30, 2023
Recurring fair value measurements
Marketable equity securities
EuroSite Power Inc.	$	131,241	$	—	$	131,241	$	—	$	37,497
Total recurring fair value measurements	$	131,241	$	—	$	131,241	$	—	$	37,497

Schedule of Fair Value, Measured on Recurring Basis, Gain (Loss) Included in Earnings

The following table summarizes changes in Level 2 assets which are comprised of marketable equity securities for the six months ended June 30, 2024 and 2023:


Fair value at December 31, 2023	$	93,744
Unrealized losses	(18,749)
Fair value at June 30, 2024	$	74,995

Fair value at December 31, 2022	$	93,744
Unrealized gains	37,497
Fair value at June 30, 2023	$	131,241

Contingent Contract Consideration

We utilize a Level 3 category fair value measurement to value the contingent contract consideration liability at period end since there are no quoted prices for this liability in non-active markets, there are no quoted prices for similar liabilities in active markets and there are no inputs that are observable for substantially the full term of the the liability. The contingent contract consideration calculation requires management to make estimates and assumptions that affect the reported amount of the liability. The contingent contract consideration is payable each calendar quarter through the earlier of the expiration or termination of the relevant maintenance agreements, or the seventh (7th) anniversary of the acquisition date. The consideration is equal to the product of the revenues collected in a calendar quarter multiplied by an applicable percentage. The agreement stipulates quarterly aggregate revenue targets and an applicable percentage, and provides for a higher applicable percentage if revenues exceed the target revenues. The applicable percentage ranges from 5% to 10% over the agreement term. On the date of acquisition, the fair value of the contingent consideration was calculated using a weighted average cost of capital of 15%, discounting the future cash flows to present value.


			Quoted prices in active markets for identical assets		Significant other observable inputs		Significant unobservable inputs
	Total		Level 1		Level 2		Level 3		Total gains (losses)
June 30, 2024
Recurring fair value measurements
Contingent contract consideration
Current	$	269,368	$	—	$	—	$	269,368	$	—
Long-term	1,129,172		—		—		1,129,172		—
Total recurring fair value measurements	$	1,398,540	$	—	$	—	$	1,398,540	$	—

June 30, 2023
Recurring fair value measurements
Contingent contract consideration
Current	$	164,357	$	—	$	—	$	164,357	$	—
Long-term	1,278,105		—		—		1,278,105		—
Total recurring fair value measurements	$	1,442,462	$	—	$	—	$	1,442,462	$	—