Company: SVREW
Filing Date: 2025-03-21
Form Type: 20-F
Source: 0001013762-25-001028
Chunk: 77

Company: SaverOne 2014 Ltd.
Filing Date: 2025-03-21
Form: 20-F
Item: Item 5
Chunk 77
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 the year ended December 31,
2024, compared to NIS 33,835 thousand (~ $9,277 thousand) for the year ended December 31, 2023. The increase resulted primarily
from expenses associated with capital raises conducted by the company during the year, as well as higher international
marketing expenses. The increase was partly offset by our efforts to streamline and optimize our operational expenses.

Off-Balance
Sheet Arrangements

We
have not entered into any off-balance sheet arrangements that have had or are reasonably likely to have a current or future effect on
our financial condition, changes in financial condition, revenues or expenses, results of operations, liquidity, capital expenditures
or capital resources that are material to investors.

Internal
Control Over Financial Reporting

In
connection with the audit of our financial statements as of December 31, 2024, 2023 and 2022, we identified control deficiencies
in our financial reporting process that constitute a material weakness for the years ended December 31, 2024, 2023 and 2022 (which were
primarily due to the fact that we were a private company prior to June 2, 2022). In 2024, the material weakness was related to lack of
sufficient internal accounting personal and segregation of duties. For additional information see “ Item 15 - Controls And
Procedures”.

As
defined in the standards established by the Public Company Accounting Oversight Board of the United States, a “material weakness”
is a deficiency, or a combination of deficiencies, in internal control over financial reporting such that there is a reasonable possibility
that a material misstatement of the company’s annual or interim financial statements will not be prevented or detected on a timely
basis.

Although
we have taken certain measures to address the identified material weakness such as appointing in 2024 a SOX consultant to assist us with
assessment of Sarbanes-Oxley compliance requirements and improvement of overall internal controls, implementing internal policies and
procedures related to internal control over financial reporting and hiring additional internal accounting and financial staff with appropriate
public company experience and technical accounting knowledge, we will need to retain additional qualified personal in order to fully
address our material weakness. However, we cannot assure you that these measures may fully address the material weakness in our internal
control over financial reporting or that we may conclude that they have been fully remediated. For additional information, see “ Item
3. D. Risk Factors - General Risk Factors - We