Company: OMQS
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001493152-25-023481
Chunk: 14

Company: OMNIQ Corp.
Filing Date: 2025-11-14
Form: 10-Q
Item: Part I, Item 8
Chunk 14
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 should be read with other cautionary statements in this Quarterly Report on Form 10-Q and our other public filings. For more information
about us and the announcements we make from time to time, visit our website at www.omniq.com.

Introduction

We
use patented and proprietary artificial intelligence (AI) technology to deliver machine vision image processing solutions including data
collection, real-time surveillance and monitoring for supply chain management, homeland security, public safety, traffic & parking
management, and access control applications.

The
technology and services we provide help our clients move people, assets, and data safely and securely through airports, warehouses, schools,
national borders, and many other applications and environments.

Our
principal solutions include hardware, software, communications, and automated management services, technical service and support. Our
highly tenured team of professionals has the knowledge and expertise to simplify the integration process for our customers. We deliver
practical problem-solving solutions backed by numerous customer references.

Our
customers include government agencies, healthcare, universities, airports, municipalities and more. We currently engage with several
billion-dollar markets with double-digit growth, including the Global Safe City market and the Ticketless Safe Parking market.

The
following is a discussion of our financial condition, results of operations, financial resources, and working capital. This discussion
and analysis should be read in conjunction with our unaudited condensed consolidated financial statements contained in this Form 10-Q.

3

OVERVIEW

Pursuant
to the asset sale described in the Notes to the Financial Statements, the assets of one division was sold during the second quarter
of 2025. Accordingly, the financial statements have reclassified the related revenues and expenses from both prior periods and the current
period into a single line item for “Discontinued Operations” on the face of the financial statements, with further detail
provided in the accompanying Notes.

The Company’s sales from operations for the nine months ended September
30, 2025, were $24 million, a decrease of approximately $2.8 million, or 10%, over the nine months ended September 30, 2024.

The
loss from operations for the nine months ended September 30, 2025, was $1.3 million, a decrease of $1.8 million compared with the loss
in the nine months ended September 30, 2024, of $3.1 million. Basic loss per share from continuing operations for the nine months ended
September 30, 2025,