Company: HCTI
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001213900-25-076686
Chunk: 96

Company: Healthcare Triangle, Inc.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 8
Chunk 96
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 as of
the date of these financial statements.

22

HEALTHCARE TRIANGLE, INC.

Notes To Condensed Consolidated Financial Statements

(Unaudited)

(In thousands except share and per share data)

The components of the Company’s net deferred
tax assets as of June 30, 2025, and December 31, 2024, were as follows (in thousands):

    June 30,  2025  
    December 31,  2024 

    Deferred tax assets: 

    Net operating loss carry-forward 
    $859  
    $1,667 
  
    Add back: 

    Stock-based compensation 
     (10) 
     (24)
  
    Depreciation and amortization 
     3  
     (249)
  
    Bad debt 
     —  
     (48)
  
    Other income 
     35  
     2 
  
    Total deferred tax asset 
     887  
     1,348 
  
    Less: valuation allowance 
    $(887) 
    $(1,348)
  
    Deferred tax asset, net of valuation allowance 
     —  
     — 
  
    Deferred tax liabilities 
     —  
     — 
  
    Net deferred tax asset 
     —  
     — 

The Company’s current tax expense is nil.

The Company’s federal and state income tax
returns are generally subject to possible examination by the taxing authorities until the expiration of the related statute of limitations
on those tax returns which is generally three years from the original filing deadline. The Company regularly reviews its deferred tax
assets for recoverability based on historical taxable income, projected future taxable income, the expected timing of the reversals of
existing taxable temporary differences and tax planning strategies. The Company’s judgment regarding future profitability may change
due to many factors, including future market conditions and the ability to successfully execute the business plans and/or tax planning
strategies. Should there be a change in the ability to recover deferred tax assets, the Company’s income tax provision would increase
or decrease in the period in which the assessment is changed.

13) Segment Information

Expenses included in determining the segment operating
results consist principally of direct selling, delivery costs and research and development expenses. Certain sales and marketing expenses,
general and administrative expenses, depreciation, and amortization are not allocated to individual segments in internal management reports
used by the Chief