Company: GAUZ
Filing Date: 2025-03-11
Form Type: 20-F
Source: 0001213900-25-022437
Chunk: 52

Company: Gauzy Ltd.
Filing Date: 2025-03-11
Form: 20-F
Item: Item 5
Chunk 52
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7%,
to $17.6 million for the year ended December 31, 2024, compared to $16.0 million for the year ended December 31, 2023. The increase
resulted mainly from an increase in payroll and related expenses, including share-based compensation, in the amount of $2.2 million,
primarily due to an increase in the number of research and developmentemployees, offset by a decrease in subcontractor
expenses in the amount of $0.2 million and a decrease in material costs in the amount of $0.3 million.

General and administrative expenses

General and administrative expenses increased by
approximately $6.0 million or 37.1%, to $22.2 million for the year ended December 31, 2024, compared to approximately $16.2 million for
the year ended December 31, 2023. The increase resulted mainly from an increase in payroll and related expenses, including share-based
compensation, in the amount of $5.1 million and an increase in directors’ insurance and compensation expenses in the amount of
$0.9 million.

Sales and marketing expenses

Sale and marketing expenses increased by approximately
$0.8 million, or 5.4%, to $16.1 million for the year ended December 31, 2024, compared to $15.3 million for the year ended December 31,
2023. The increase resulted mainly from an increase in payroll and related expenses, including share-based compensation, in the amount
of $2.1 million, offset by a decrease of $0.9 million in subcontractors services costs.

Other expenses

Other expenses totaled $0.02 million for the year
ended December 31, 2024, compared to $0.7 million for the year ended December 31, 2023, and reflects changes in fair value of contingent
consideration, resulting from the Vision Lite acquisition.

Financial expenses, net

Financial expenses, net decreased by approximately
$24.8 million, or (52.6)%, to $22.3 million for the year ended December 31, 2024, compared to $47.1 million for the year ended December
31, 2023. This decrease was mainly due to a decrease of $22.0 million in the fair value of warrants and financial liabilities measured
at fair value, a decrease of $2.9 million in valuation of investments related to RFI shares, and a