Company: PFSA
Filing Date: 2025-11-19
Form Type: 10-Q
Source: 0001213900-25-112723
Chunk: 171

Company: Profusa, Inc.
Filing Date: 2025-11-19
Form: 10-Q
Item: Part I, Item 8
Chunk 171
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    Total 
    $1,386 

26

Convertible Promissory Note – Related Party at Fair value

The Company now holds the convertible working capital promissory note
which was previously held by Northview Acquisition Corporation with the Sponsor for up to $2.5 million. The Note is non-interest bearing
and became convertible on the Closing Date, July 11, 2025. The Sponsor may elect to convert all or any portion of the unpaid principal
balance of this Note into warrants, at a price of $1.00 per warrant. The note also allows for the conversion of the outstanding principal
balance to be repaid in shares of Company Common Stock at a price of $2.22 per share at the election of the sponsor. As of September 30,
2025 and December 31, 2024, the Company had principal outstanding of $1,919,796 and is presenting the Note at fair value on its balance
sheet at September 30, 2025 in the amount of $1,919,796. The Company has deferred the repayment of the note to six months after the Closing
and has classified this as a current asset due to the repayment being in default.

Note 7 — Commitments and Contingencies

Operating Lease Obligations

Beginning in October 2024, the Company entered into a lease agreement
whereby the Company agreed to rent its office and lab facilities under month-to-month tenancy. The monthly rent payable under the lease
is $25 thousand. This month-to-month lease automatically renews every four months, unless written termination is provided.

Operating costs for short-term leases include variable lease costs
of $0.1 million and less than $0.1 million during the three months ended September 30, 2025 and 2024, compared to $0.2 million and $0.1
million during the nine months ended September 30, 2025 and 2024. Starting from August 2022, the Company recognized lease expense in the
amount of monthly rent as incurred. The Company recognized operating lease costs for monthly rent of $75 thousand and $150 thousand for
each of the three and nine month periods ending September 30, 2025 and 2024. Total operating lease costs with common area maintenance
variable costs were $0.3 million and $0.2 million for the nine months ended September 30, 2025 and 2024.

Contingencies and Indemnifications