Company: FWDI
Filing Date: 2025-12-11
Form Type: 10-K
Source: 0001683168-25-009068
Chunk: 526

Company: Forward Industries, Inc.
Filing Date: 2025-12-11
Form: 10-K
Item: Item 3
Chunk 526
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, most notably the tax rate reconciliation and income taxes paid. This ASU is effective for fiscal years beginning
after December 15, 2024 on a prospective basis and retrospective application is permitted. The Company is currently evaluating the effects
of this pronouncement on its consolidated financial statements.

In November 2023, the FASB issued
ASU 2023-07, “Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures,” which requires expanded segment
reporting and disclosure and is effective for the Company for fiscal years beginning after December 15, 2023, and interim periods within
fiscal years beginning after December 15, 2024. The Company adopted this standard in Fiscal 2025 with no material impact to its consolidated
financial statements.

RESULTS OF OPERATIONS FOR FISCAL 2025 COMPARED
TO FISCAL 2024

The table below summarizes our consolidated results
from continuing operations for Fiscal 2025 as compared to Fiscal 2024:

    Fiscal 2025  
    Fiscal 2024  
    Change ($)  
    Change (%) 
  
    Net revenues 
    $18,188,000  
    $19,991,000  
    $(1,803,000) 
     (9.0%)
  
    Cost of sales 
     12,997,000  
     14,807,000  
     (1,810,000) 
     (12.2%)
  
    Gross profit 
     5,191,000  
     5,184,000  
     7,000  
     0.1% 
  
    Sales and marketing expenses 
     1,029,000  
     769,000  
     260,000  
     33.8% 
  
    General and administrative expenses 
     10,528,000  
     6,366,000  
     4,162,000  
     65.4% 
  
    Goodwill impairment 
     2,026,000  
     200,000  
     1,826,000  
     n/m 
  
    Operating loss 
     (8,392,000) 
     (2,151,000) 
     (6,241,000) 
     n/m 
  
    Other expense/(income), net