Company: SWAGW
Filing Date: 2025-04-14
Form Type: 10-K
Source: 0001213900-25-031596
Chunk: 1220

Company: Stran & Company, Inc.
Filing Date: 2025-04-14
Form: 10-K
Item: Item 5
Chunk 1220
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-quality, branded merchandise for casinos, sourced through various third-party manufacturers,
focusing on promotional products that enhance customer loyalty and engagement. It partners with nationally recognized brands to create
high-quality, custom products that resonate with casino patrons, helping casinos drive redemption rates and ROI through tailored merchandise
and marketing solutions to build recurring revenues for SLS customers and the segment itself.

The accounting policies of our reportable
segments are the same as those described in the “Organization and Summary of Significant Accounting Policies” in the notes
to the consolidated financial statements for the Company.

For each of the two segments, the CODM
uses segment gross margin and segment operating profits or losses in the annual budgeting and forecasting process. The CODM considers
budget-to-actual variances on a monthly basis for revenue as well as profit measures when making decisions about allocating capital and
personnel to the segments. The CODM uses segment gross margin and segment operating income in determining the compensation of certain
employees, primarily for its recently acquired Gander business, which is consolidated as part of the SLS subsidiary and also comprises
the segment SLS.

F-31

STRAN & COMPANY, INC.

NOTES TO THE CONSOLIDATED
FINANCIAL STATEMENTS

(in thousands, except share and per share amounts)

As of December 31, 2024, Stran and
SLS had total assets of $45,206 and $9,944, respectively. As of December 31, 2023, Stran and SLS had total assets of $49,036 and $0, respectively.
The entire goodwill balance of $2,321 as of December 31, 2024 was allocated to the SLS segment. No goodwill was recorded as of December
31, 2023 for either segment.

Revenue and costs are directly attributed
to our segments, and the revenues recognized as well as the costs incurred in generating those revenues within each segment are distinguishable
based on the information systems in which each segment’s financial information gets recorded. There are no intersegment revenues
or other transactions between the two segments that are eliminated in consolidation by the Company for external reporting.

The table below presents information
about reported segments for the year ended December 31, 2024 and 2023

    December 31, 2024  
    December 31, 2023 

    Stran  
    SLS  
    Total  
    Stran  
    SLS  
    Total