Company: PFSA
Filing Date: 2025-11-19
Form Type: 10-Q
Source: 0001213900-25-112723
Chunk: 275

Company: Profusa, Inc.
Filing Date: 2025-11-19
Form: 10-Q
Item: Part I, Item 2
Chunk 275
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6 
  
    Tasly Convertible Debt - Related Party 
    $2,207  
    $2,207  
    $— 
  
    Convertible promissory note - related party 
     1,920  
     1,920  

    Loans payable - related party 
     14,359  
     —  
     14,359 
  
    Senior notes 
     154  
     154  
     — 
  
    Promissory notes 
     1,045  
     1,045  
     — 
  
    PPP loan 
     1,386  
     1,386  
     — 
  
    Total contractual obligations 
    $21,071  
    $6,712  
    $14,359 

Critical Accounting Estimates

Management’s discussion and analysis of our financial condition and
results of operations is based on our unaudited condensed consolidated financial statements, which have been prepared in accordance with
U.S. GAAP. The preparation of these unaudited condensed consolidated financial statements requires us to make estimates and assumptions
for the reported amounts of assets, liabilities, revenue, expenses and related disclosures. Our estimates are based on our historical
experience and on various other factors that we believe are reasonable under the circumstances, the results of which form the basis for
making judgments about the carrying value of assets and liabilities that are not readily apparent from other sources. Actual results may
differ from these estimates under different assumptions or conditions and any such differences may be material.

We consider an accounting estimate to be critical if: (1) the accounting
estimate requires us to make assumptions about matters that were highly uncertain at the time the accounting estimate was made, and (2)
changes in the estimate that are reasonably likely to occur from period to period, or use of different estimates that we reasonably could
have used in the current period, would have a material impact on our financial condition or results of operations.

47

Management has discussed several significant accounting estimates and
believes that the fair value of the related party Ascent PIPE Convertible note is the only accounting estimate that rises to the level
of a critical accounting estimate.

The related party convertible loan is carried at fair value based on
unobservable market inputs. The fair value of financial instrument is determined using various valuation techniques, including the market
approach. Where observable market prices are not available, we use models that incorporate assumptions about