Company: OSRH
Filing Date: 2025-11-12
Form Type: 10-Q
Source: 0001213900-25-109054
Chunk: 24

Company: OSR Holdings, Inc.
Filing Date: 2025-11-12
Form: 10-Q
Item: Part I, Item 1
Chunk 24
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     44,558  
     - 
  
    Total 
    $3,916,903  
    $4,055,188  
    $3,428,028  
    $79,605  
    $547,555 

Capital risk management

Capital includes issued capital, share
premium and all other equity reserves attributable to the equity holders of the Group. The primary objective of the Group’s capital
management is to maximize the shareholder value.

The Group manages its capital structure
and makes adjustments in light of changes in economic conditions and the requirements of the financial covenants. To maintain or adjust
the capital structure, the Group may adjust the dividend payment to shareholders, return capital to shareholders or issue new shares.
The Group uses the debt ratio as a capital management indicator. This ratio is calculated by dividing total liabilities by total equity,
and total liabilities and total equity are calculated based on the amounts in the Group’s consolidated financial statements.

The group's debt ratio as of September 30, 2025 and December
31, 2024 are as follows:

    September 30, 2025  
    December 31, 2024 
  
    Net borrowings (A) 

    Borrowings 
    $5,030,633  
    $2,297,411 
  
    Lease liabilities 
     50,371  
     78,113 
  
    Less: cash and cash equivalents 
     (2,177,309) 
     (341,543)

     2,903,694  
     2,033,981 
  
    Total equity (B) 
     134,157,845  
     143,208,215 
  
    Debt ratio (A / B) 
     2.2% 
     1.4%

16

(5)Fair value measurements

Book value and fair value of financial instruments

The difference between the carrying amount and fair value
of the Group's financial assets and liabilities as of September 30, 2025 and December 31, 2024 are insignificant.

Fair value hierarchy

All financial assets and liabilities
for which fair value is measured or disclosed in the financial statements are categorized within the fair value hierarchy, described as
follows, based on the lowest level input that is significant to the fair value measurement as a whole:

●Level 1 - Quoted (unadjusted) market prices in active markets
for