Company: BWAY
Filing Date: 2025-04-22
Form Type: 20-F
Source: 0001171843-25-002347
Chunk: 163

Company: Brainsway Ltd.
Filing Date: 2025-04-22
Form: 20-F
Item: Item 5
Chunk 163
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, we plan on investing additional resources including certain added roles to align with
our strategic and growth initiatives.

General and administrative expenses

General and administrative expenses consist primarily
of personnel expenses, including salaries and related benefits, share-based compensation, and travel expenses for employees in executive,
finance, information technology, legal, and human resource functions. General and administrative expenses also include the cost of insurance,
allowance for doubtful accounts, professional services, including legal and accounting fees, as well as administrative costs, including
corporate facility costs.

General and administrative costs also include, but are
not limited to, accounting, legal, human resources, consulting, investor relations, listing fees on The Nasdaq Global Market, costs associated
with reporting and compliance in the United States, as well as director and officer insurance premiums, as a result of becoming a public
company in the United States. We anticipate that our general and administrative expenses will decrease as we realign our corporate activities.

Finance income

Our finance income consists primarily
of interest earned on our bank deposits, and remeasurement of warrants.

Finance expenses

Our finance expenses consist primarily
of financing costs related to our outstanding liability to the IIA on account of grants received for financing our research and development
activity, as well as expenses related to bank charges and foreign currency exchange transactions.

Income Taxes Expense

Our income taxes expense is derived primarily from income
generated from the sales and lease of our Deep TMS systems from our U. S. subsidiary. During the year ended December 31, 2024, we recorded
deferred tax assets in respect of temporary differences in the U. S. subsidiary.

  95  

Critical Accounting
Policies and Estimates

The preparation of financial statements, in conformity
with IFRS, requires companies to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and
expenses, and disclosure of contingent assets and liabilities at and as of the date of the financial statements and the reported amounts
of revenues and expenses during the reporting period. These estimates and judgments are subject to an inherent degree of uncertainty,
and actual results may differ. Our significant accounting policies are more fully described in Note 2 to our financial statements included
elsewhere in this Annual Report. Critical accounting estimates and judgments are continually evaluated and are based on historical experience
and other factors, including expectations of future events that are believed to be reasonable under the circumstances, and are particularly
important to the portrayal of our financial position and results of operations. Our estimates are primarily guided