Company: MYSZ
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001641172-25-024073
Chunk: 13

Company: My Size, Inc.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 1
Chunk 13
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 goods and services. The Company generates
    the majority of its revenue from its marketplaces, which allows its buyers to browse and purchase resale items for apparel, shoes
    and accessories on behalf of sellers. The Company recognizes revenue through the following steps: (1) identification of the contract,
    or contracts, with the customer; (2) identification of the performance obligations in the contract; (3) determination of the transaction
    price; (4) allocation of the transaction price to the performance obligations in the contract; and (5) recognition of revenue when,
    or as, it satisfies a performance obligation.

    Both
    buyers and sellers may be customers in the Company’s revenue arrangements. Sellers are the primary customer in a consignment
    arrangement while the buyer is the primary customer in a sale of Company-owned inventory, referred to as product sales. A contract
    with a customer exists in both cases when the end-customer purchases the goods obligating the Company to deliver the identified performance
    obligation(s). The Company requires authorization from a credit card or other payment method,or verification of receipt of payment,
    before the products are shipped to buyers.

    9

MY SIZE, INC. AND ITS SUBSIDIARIES

Notes to Condensed Consolidated Interim Financial
Statements (Unaudited)

U.S. dollars in thousands (except share data and
per share data)

    The Company generally receives payments from buyers before payments to the sellers are due.

    Consignment Revenue

    The Company generates
    consignment revenue primarily from the sale of secondhand apparel on behalf of sellers. The Company retains a percentage of the
    proceeds received as payment for its consignment service. The Company reports consignment revenue on net. Title to the
    consigned goods remain with the seller until transferred to the buyer, which occurs 90 days subsequent to purchase of the consigned
    goods and upon expiration of the allotted return period. The Company does not take title of consigned goods at any time except in
    certain cases where the consignment window of 90 days expires or returned goods become Company owned inventory and becomes product revenue. Consignment revenue
    is generally recognized upon purchase of the consigned good by the buyer as its performance obligation of providing consignment
    services to the consignor is satisfied at that point. Consignment revenue is also recognized upon purchase of the consigned good for
    which the consignment window has already expired and the Company has taken title to the