Company: FGMCU
Filing Date: 2025-09-18
Form Type: S-4
Source: 0001104659-25-091249
Chunk: 564

Company: FG Merger II Corp.
Filing Date: 2025-09-18
Form: S-4
Chunk 564
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4, inventory consists of the following:

| ​                    | ​ |             ​ |      ​ | ​ |            ​ |      ​ |
| ​                    | ​ | Balance as of |        |   |              |        |
| ​                    | ​ |      June 30, |        | ​ | December 31, |        |
| (In Thousands)       |   |          2025 |        |   |         2024 |        |
| Raw material         | ​ |             $ |  2,813 | ​ |            $ |  3,606 |
| Inventory in-transit |   |             ​ |      — |   |            ​ |    110 |
| Work-in progress     |   |             ​ |  7,212 |   |            ​ |    119 |
| Consignment          |   |             ​ |     29 |   |            ​ |      — |
| Finished goods       |   |             ​ |  6,467 |   |            ​ | 20,426 |
| Total inventory      | ​ |             $ | 16,521 | ​ |            $ | 24,261 |

F- 71

Inventories are written down for any obsolescence or when the net realizable value considering future events and conditions is less than the carrying value. During the three months ended June 30, 2025, following an inventory slow movement analysis, the Company determined to write down 68 units that had been held in inventory for an extended time period and for which the Company determined that it was not cost effective to rework. Accordingly, for the six months ended June 30, 2025 and 2024, the Company recorded $8,430 thousand and $198 thousand, respectively, related to obsolete and damaged inventory in cost of goods sold on the consolidated statements of comprehensive loss. In addition, during the six months ended June 30, 2025 and 2024, the Company recognized $3,364 thousand and $0, respectively, in inventory valuation adjustments within cost of goods sold related to adjusting the carrying value of finished goods inventory to its net realizable value. For the three months ended June 30, 2025 and 2024, the Company recorded $8,346 thousand and $182 thousand, respectively, related to obsolete and damaged inventory in cost of goods sold on the consolidated statements of comprehensive loss. In addition, during the three months ended June 30, 202