The company outsources the manufacturing of its PCWL series to third-party manufacturers, recognizing these manufacturers and cloud digital service providers as suppliers. Manufacturers procure raw materials specified by the company and provide assembly services, while cloud service providers deliver cloud infrastructure and platform services for PicoManager. The company oversees the manufacturing and assembly processes, conducts product inspections, and ensures compliance with specifications. Manufacturing prices are agreed upon prior to production, with raw material price fluctuations absorbed by the manufacturers. Manufacturing agreements generally renew automatically on an annual basis. To mitigate concentration risks, the company diversifies its suppliers and employs competitive bidding for new models. For the fiscal year ended September 30, 2025, Compex was a major supplier, accounting for 60.4% of payments. Compex purchased raw materials specified by the company, manufactured products, and delivered completed products under a contract effective from June 17, 2022, to June 16, 2024, with automatic annual renewal unless notice is given.
Picocela Inc's Comment on Supply Chain
The company outsources the manufacturing of its PCWL series to third-party manufacturers, recognizing these manufacturers and cloud digital service providers as suppliers. Manufacturers procure raw materials specified by the company and provide assembly services, while cloud service providers deliver cloud infrastructure and platform services for PicoManager. The company oversees the manufacturing and assembly processes, conducts product inspections, and ensures compliance with specifications. Manufacturing prices are agreed upon prior to production, with raw material price fluctuations absorbed by the manufacturers. Manufacturing agreements generally renew automatically on an annual basis. To mitigate concentration risks, the company diversifies its suppliers and employs competitive bidding for new models. For the fiscal year ended September 30, 2025, Compex was a major supplier, accounting for 60.4% of payments. Compex purchased raw materials specified by the company, manufactured products, and delivered completed products under a contract effective from June 17, 2022, to June 16, 2024, with automatic annual renewal unless notice is given.
Sources:
Picocela Inc 's official press releases and regulatory filings; CSIMarket.com's supply-chain research; and the financial filings and press releases of other companies cited in this report.
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