Company: SWAGW
Filing Date: 2025-02-11
Form Type: 10-Q
Source: 0001213900-25-011872
Chunk: 237

Company: Stran & Company, Inc.
Filing Date: 2025-02-11
Form: 10-Q
Item: Part II, Item 8
Chunk 237
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purchase price allocations relating to the T R Miller Acquisition:

    Accounts receivable 
    $1,622 
  
    Prepaid expense 
     5 
  
    Inventory 
     882 
  
    Customer relationships 
     1,170 
  
    Goodwill 
     720 
  
    Right of use asset - office leases 
     837 
  
    Accounts payable and accrued expenses 
     (591)
  
    Unearned revenue 
     (285)
  
    Lease liability 
     (819)
  
    Total consideration 
    $3,541 

The T R Miller Acquired Assets were
valued using a combination of a multi-period excess earnings methodology, a discounted cash flow approach and present value of cash flows
approach. The goodwill represents the excess fair value after the allocation of intangibles, of which approximately $420 is expected
to be deductible for tax purposes.

The Company incurred approximately
$39 of acquisition related transaction costs in conjunction with the T R Miller Acquisition.

Pro forma disclosure for the T R Miller Acquisition

The following unaudited pro forma
financial information reflects the consolidated results of operations of the Company for the three months ended March 31, 2023, as if
the T R Miller Acquisition had taken place on January 1, 2023. The financial results of the T R Miller Acquisition are included in the
Company’s statements of operation for the three months ended March 31, 2024. The pro forma financial information is not necessarily
indicative of the results of operations as they would have been had the transactions been effected on the assumed date:

    March 31,  2023 
  
    Sales 
    $18,952 
  
    Costs of sales 
     12,765 
  
    Gross profit 
     6,187 
  
    Operating expenses 
     6,881 
  
    Loss from operations 
     (694)
  
    Other income (expense) 

    Other income 
     1 
  
    Interest income (expense), net 
     142 
  
    Realized gain (loss) on investments 
     12 

     155 
  
    Loss before taxes 
     (539)
  
    Provision for income taxes 
     (364)
  
    Net loss 
     (175)

    Net loss per share - basic & diluted 
    $(0.01)
  
    Weighted average shares outstanding - basic & diluted 
     18