Company: FWDI
Filing Date: 2025-12-11
Form Type: 10-K
Source: 0001683168-25-009068
Chunk: 856

Company: Forward Industries, Inc.
Filing Date: 2025-12-11
Form: 10-K
Item: Item 6
Chunk 856
---
 balances were outstanding
as of September 30, 2025. Due to the OEM plan, Fiscal 2024 revenues are reported as income from discontinued operations and the accounts
receivable as of September 30, 2024 are included in assets held for sale.

NOTE 15        401(k) PLAN 

The Company maintains a 401(k)
benefit plan allowing eligible employees to make pre-tax and/or after-tax contributions of a portion of their salary in amounts subject
to Internal Revenue Service limitations. The Company made immediately vested contributions based on a percentage of the employees’
salary of $355,000 during Fiscal 2025, of which $285,000 was recorded to cost of sales, $9,000 was recorded to sales and marketing expense
and $61,000 was recorded to general and administrative expense on the consolidated statement of operations. The Company made immediately
vested contributions based on a percentage of the employee’s salary of $442,000 during Fiscal 2024, of which $341,000 was recorded
to cost of sales, $24,000 was recorded to sales and marketing expense and $77,000 was recorded to general and administrative expense on
the consolidated statement of operations.

     F-37 

FORWARD INDUSTRIES, INC. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

NOTE 16        SEGMENTS AND CONCENTRATIONS

Segments

As a result of discontinuing
the retail and OEM segments (Note 3) and our new digital asset treasury strategy, the Company now has two reportable segments: design
and digital assets. See Note 2 for more information on the composition and accounting policies of our reportable segments. The results
of the retail and OEM segments were classified as discontinued operations as discussed in Note 3. The prior year segment disclosures have
been reformatted from what was previously disclosed to conform to the current year presentation.

The Company’s Chief Executive
Officer serves as the Chief Operating Decision Maker (“CODM”) and evaluates the financial performance of the business and
makes resource allocation decisions on the basis of revenue, gross profit and net income or loss from continuing operations before income
taxes for each reportable segment.

The tables below represent
the primary measure of segment performance evaluated by the CODM, as well as additional measures that are regularly provided to
the CODM on a segment-level.

    Schedule of segment performance 

    Design Segment 

    Fiscal