Company: SXI
Filing Date: 2025-08-04
Form Type: 10-K
Source: 0001437749-25-024450
Chunk: 357

Company: STANDEX INTERNATIONAL CORP/DE/
Filing Date: 2025-08-04
Form: 10-K
Item: Item 8
Chunk 357
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 Addressed in the Audit
 
Our audit procedures related to the forecasts of future cash flows and the selection of the discount rate for the customer relationships intangible asset included the following, among others:
 
  ●  We assessed the reasonableness of management’s forecasts of future cash flows by comparing the projections to historical results and certain external market information. 

  ●  With the assistance of our fair value specialists, we evaluated the reasonableness of the (1) valuation methodology and (2) discount rate by: 

  o  Testing the source information underlying the determination of the discount rate and testing the mathematical accuracy of the calculation. 

  o  Developing a range of independent estimates and comparing those to the discount rate selected by management. 

  o  Comparing the weighted average cost of capital utilized to the internal rate of return applied to determine the enterprise value for the business acquired. 

  ●  We evaluated whether the estimated future cash flows were consistent with evidence obtained in other areas of the audit. 

  ●  We tested the effectiveness of controls over the valuation of the customer relationships intangible asset, including management’s controls over forecasts of future cash flows and selection of the discount rate. 

/s/ Deloitte & Touche LLP
 
Boston, Massachusetts
August 1, 2025
 
We have served as the Company’s auditor since 2020.

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Item 9. Changes In and Disagreements with Accountants on Accounting and Financial Disclosure

Not Applicable

Item 9A. Controls and Procedures

The management of the Company including its Chief Executive Officer, and Chief Financial Officer, have conducted an evaluation of the effectiveness of the Company’s disclosure controls and procedures (as such term is defined in Rules 13a-15(e) and 15(d)-15(e) under the Securities Exchange Act of 1934, as amended, (the “Exchange Act”) as of the end of the period covered by this report. Based on that evaluation, the Chief Executive Officer and Chief Financial Officer concluded as of June 30, 2025, that the disclosure controls and procedures are effective in ensuring that the information required to be disclosed by the Company in reports that it files or submits under the Exchange Act is (i) recorded, processed, summarized and reported within the time periods specified in the Commission's rules and forms and (ii) that such information is accumulated and communicated to the Company’s management, including its Chief Executive Officer and Chief Financial Officer as appropriate to allow timely decisions regarding required