Company: IWSH
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001214659-25-016507
Chunk: 20

Company: Wright Investors Service Holdings, Inc.
Filing Date: 2025-11-14
Form: 10-Q
Item: Item 8
Chunk 20
---
 ended
September 30, 2025 and 2024, the Company recorded no income tax expense from operations. No tax benefit has been recorded in relation
to the pre-tax loss for the nine months ended September 30, 2025 and 2024, due to a full valuation allowance to offset any deferred tax
asset related to net operating loss carry forwards attributable to the losses. 

 11 

Financial condition

Liquidity and Capital Resources

At September 30, 2025, the Company had cash and
cash equivalents totaling $137,000 and investments in mutual funds totaling $1,478,000 which it
intends to use to acquire interests in one or more operating businesses and to fund the Company’s general and administrative expenses.
The directors will also consider alternatives for distributing some or all of its cash and cash equivalents and investments to stockholders.
The Company believes that its working capital is sufficient to support its operating requirements through November 30, 2026.

Cash equivalents represent short-term, highly
liquid investments, which are readily convertible to cash and have maturities of three months or less at time of purchase. Please refer
to note 5 of the Notes to Condensed Consolidated Financial Statements for classification of Investments.

The decrease in cash and cash equivalents of $1,303,000
for the nine months ended September 30, 2025 was primarily the result of $739,000 used in operating activities, $588,000 used in the purchase
of mutual funds, offset by the sale and the redemption of investments of $24,000.

 12 

Item 3.Quantitative and Qualitative Disclosures About Market Risk

Not required.

Item 4.Controls and Procedures

The Company’s principal executive officer
and principal financial officer, with the assistance of other members of the Company’s management, have evaluated the effectiveness
of the design and operation of the Company’s disclosure controls and procedures (as such term is defined in Rules 13a-15(e) and
15d-15(e) under the Exchange Act) as of the end of the period covered by this quarterly report. Based upon such evaluation, the Company’s
principal executive officer and principal financial officer have concluded that the Company’s disclosure controls and procedures
are effective as of the end of the period covered by this quarterly report.

The Company’s principal executive officer
and principal financial officer have also concluded that there was no change in the Company’s internal control over financial reporting
(as such term