Company: FWDI
Filing Date: 2025-09-16
Form Type: 8-K
Source: 0001683168-25-007036
Chunk: 66

Company: Forward Industries, Inc.
Filing Date: 2025-09-16
Form: 8-K
Item: Item 8
Chunk 66
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 the
Company’s operating leases had a weighted average remaining lease term of 6.5 years and a weighted average discount rate of 5.9%.

At December 31, 2024, future
minimum payments under non-cancellable operating leases were as follows:

    Schedule of future
minimum payments under non-cancellable operating leases 

    Remainder of Fiscal 2025 
    $456,000 
  
    Fiscal 2026 
     587,000 
  
    Fiscal 2027 
     464,000 
  
    Fiscal 2028 
     428,000 
  
    Fiscal 2029 
     440,000 
  
    Thereafter 
     1,111,000 
  
    Total future minimum lease payments 
     3,486,000 
  
    Less imputed interest 
     (605,000)
  
    Present value of lease liabilities 
     2,881,000 
  
    Less current portion of lease liabilities 
     (455,000)
  
    Long-term portion of lease liabilities 
    $2,426,000 

NOTE 11        SUBSEQUENT EVENT

On February 11, 2025, the
Company entered into a third agreement with Forward China to convert $225,000 of amounts due to Forward China into 225 shares of Series
A-1 convertible preferred stock with a stated value of $1,000 per share. This conversion agreement was affected to raise the Company’s
shareholders’ equity to the amount necessary to meet the Stockholders’ Equity Rule. See Notes 6 and 8.

 F-44 

ITEM 2.       
MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS FOR THE THREE MONTHS ENDED
DECEMBER 31, 2024 COMPARED TO THE THREE MONTHS ENDED DECEMBER 31, 2023

As described below, in March 2025, the Company
committed to a plan to sell the OEM segment of its business and completed the sale of this segment in May 2025. The assets and liabilities
of the OEM segment have been classified as assets and liabilities held for sale and the results of operations and cash flows have been
classified as discontinued operations for all periods presented. Upon reclassification, the Company determined that it had only one reportable
segment. Segment disclosures have been recast to reflect this change for all periods presented. This information is