Company: FGMCU
Filing Date: 2025-12-30
Form Type: S-4/A
Source: 0001104659-25-124947
Chunk: 588

Company: FG Merger II Corp.
Filing Date: 2025-12-30
Form: S-4/A
Chunk 588
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466 | ​     |            $ | 24,261 |

Inventories are written down for any obsolescence or when the net realizable value considering future events and conditions is less than the carrying value. During the three months ended June 30, 2025, following an inventory slow movement analysis, the Company determined to write down 68 units that had been held in inventory for an extended time period and for which the Company determined that it was not cost effective to rework. Accordingly, for the nine months ended September 30, 2025 and 2024, the Company recorded $8,430 thousand and $198 thousand, respectively, related to obsolete and damaged inventory in cost of goods sold on the consolidated statements of comprehensive loss. In addition, during the nine months ended September 30, 2025 and 2024, the Company recognized $5,109 thousand and $0, respectively, in inventory valuation adjustments within cost of goods sold related to adjusting the carrying value of finished goods inventory to its net realizable value. For the three months ended September 30, 2025 and 2024, the Company recorded $0 thousand and $0 thousand, respectively, related to obsolete and damaged inventory in cost of goods sold on the consolidated statements of comprehensive loss. In addition, during the three months ended September 30, 2025 and 2024, the Company recognized $1,745 thousand and $0, respectively, in inventory valuation adjustments within cost of goods sold related to adjusting the carrying value of finished goods inventory to its net realizable value. NOTE 6 — LOAN RECEIVABLES, NET The Company has originated 5 loan receivables comprised of formal credit sales in transactions with its customers. Based on the loan terms, $877 thousand and $850 thousand of the Company’s gross loan receivables have been classified as Loan receivable, non-current and $492 thousand and $270 thousand of the Company’s gross loan receivables have been classified as Loan receivable, current, as of September 30, 2025 and December 31, 2024, respectively. For the nine months ended September 30, 2025, the Company has estimated a portion of its receivables to have doubts about collectability, which is recorded as a credit loss provision of $1,310 thousand, comprised of $784 thousand applied as a credit loss allowance to the Loan receivable, non-current, $432 thousand applied as a credit loss allowance to the Loan rece