Company: OMQS
Filing Date: 2025-08-19
Form Type: 10-Q
Source: 0001641172-25-024877
Chunk: 48

Company: OMNIQ Corp.
Filing Date: 2025-08-19
Form: 10-Q
Item: Part I, Item 1
Chunk 48
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 Accounts receivable, net 
    $10,608 
  
    Inventory, net 
     4,197 
  
    Prepaid expenses 
     482 
  
    Other current assets 
     61 
  
    Total current assets 
     15,348 

    Property and equipment, net of accumulated depreciation 
     8 
  
    Right of use lease asset 
     471 
  
    Total Assets 
    $15,827 

    LIABILITIES AND STOCKHOLDERS’ EQUITY 

    Current liabilities 

    Accounts payable and accrued liabilities 
    $56,863 
  
    Accrued  payroll and sales tax 
     1,490 
  
    Lease liability – current portion 
     309 
  
    Other current liabilities 
     58,662 

    Lease liability 
     178 
  
    Total liabilities 
    $64,731 

Cash flows related to the discontinued business have not been segregated
and are included in the condensed consolidated statements of cash flows. The following table provides supplemental cash-flow information
for the discontinued operations (in thousands):

SCHEDULE OF SUPPLEMENTAL CASH-FLOW INFORMATION FOR DISCONTINUED OPERATIONS

    Six months ended June 30, 2025  
    Six months ended June 30, 2024 
  
    Depreciation and amortization 
     (2,304) 
     (9)
  
    Capital expenditures 
     (771) 
     128 
  
    Other significant non-cash items 

    Cancelation of lease 
     471  
     -

The assets sold include, among other things, accounts
receivable, inventory, tangible personal property, intellectual property, contract rights, books and records, and other assets used or
held for use in connection with the Transferred Business. Certain assets were excluded from the Transaction, including the Company’s
cash and cash equivalents and all assets not related to the Transferred Business. Buyer assumed only those liabilities specified in the
Purchase Agreement, and the Company retained all other liabilities, including those unrelated to the Transferred Business or expressly
excluded.

The Purchase Agreement contains customary representations,
warranties, and covenants, including pre-closing operating covenants, post-closing indemnification provisions, and certain limitations
on liability. The Transaction and Purchase Agreement were approved by the Company’s Board of Directors effective June 30, 2025 following
completion of