Where Food Comes From corrected its Lease accounting after identifying a material weakness affecting internal controls as of December 31, 2025. For investors, the disclosure means management judged its controls ineffective at year-end, although it says the financial statements fairly present the company’s financial condition, results and cash flows.

Key Highlights

  • The lease with The Move, LLC now runs through December 31, 2027, replacing an anticipated July 31, 2031 end date that included renewal options.
  • Where Food Comes From said it remediated the weakness and performed additional analyses to support U.S. GAAP compliance.
  • The improper application of FASB ASC 842 resulted in material overstatements of right-of-use Assets and other income for 2025.

Where Food Comes, Inc. (NASDAQ: WFCF) determined that its disclosure controls were ineffective as of December 31, 2025, after identifying a material weakness in lease accounting. Management said the weakness involved the improper application of FASB ASC 842 and resulted in material overstatements of right-of-use assets and other income.

Lease Amendment and Accounting Weakness

The filing states that Where Food Comes From amended its lease with The Move, LLC on November 21, 2025.

Remediation and Control Assessment

Where Food Comes From also said it will consider using additional experts when interpreting accounting standards for rare, unusual and non-routine transactions. Additional analyses and procedures were performed while preparing the consolidated financial statements, and the company said no material misstatements resulted from the deficiencies.