Koil Energy Solutions Inc. (KLNG)

[spec machine]

Since the PR did not specify, the BS latchers may have been sold in either of two different pricing strategies.

If the customer contracted DDI to engineer, design, fabricate, and test the latchers, the price would include all of the above costs.

If the customer put out a "request for bids" on a specification, the latchers may have been engineered and designed on DDI's R&D expense and sold using the fabrication and testing costs plus a portion of the R&D costs as the basis.

I think the second scenario is more likely but all this is JMO