Company: SYRA
Filing Date: 2025-11-12
Form Type: 10-Q
Source: 0001493152-25-022023
Chunk: 78

Company: Syra Health Corp
Filing Date: 2025-11-12
Form: 10-Q
Item: Item 8
Chunk 78
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 right to payment in an amount that corresponds directly
with the value of performance completed to date. We may also be subject to penalties for violations of certain ethical standards and
non-performance measures within these state contracts. We recognize revenue net of penalties.

10

Significant
Concentrations

The
majority of accounts receivable and revenue contracts are between the Company and different divisions within the Indiana Family and Social
Services Administration (“FSSA”). Most contracts require monthly payments as the projects progress. The Company generally
does not require collateral or advance payments. For the nine months ended September 30, 2025 and 2024, FSSA accounted for approximately
59% and 61% of revenues, respectively, which was derived through a combination of divisions within the State of Indiana, including the
FSSA-NeuroDiagnostic Institute, representing $837,703 and $3,398,761 of the Company’s Healthcare Workforce revenue for nine months
ended September 30, 2025 and 2024, respectively, and the FSSA-Division of Mental Health and Addiction and FSSA-HSCP, representing $1,211,568
and $248,000 of the Company’s Population Health revenues for the nine months ended September 30, 2025 and 2024, respectively. Additionally,
for the nine months ended September 30, 2025, Humana, Inc accounted for approximately 24% of the Company’s Population Health revenue.
In addition, the combined divisions of the FSSA, Coordinated Care Corporation (doing business as Managed Health Services, owed 30% of
the Company’s accounts receivable, respectively, at September 30, 2025, and FSSA represented 11% of outstanding accounts receivable
as of December 31, 2024. Two other customers owed 43% and 10% of the Company’s accounts receivable at September 30, 2025.

JOBS
Act

On
April 5, 2012, the Jumpstart Our Business Startups Act (the “JOBS Act”) was enacted. Section 107 of the JOBS Act provides
that an “ emerging growth company” can take advantage of the extended transition period provided in Section 7(a)(2)(B) of
the Securities Act for complying with new or revised accounting standards. In other words, an “ emerging growth company”
can delay the adoption of certain accounting standards until those standards would otherwise apply to