Company: OMQS
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001641172-25-010783
Chunk: 7

Company: OMNIQ Corp.
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 1
Chunk 7
---
 10,688,340, respectively. Diluted net loss per share of common stock is the same as
basic net loss per share of common stock because the effects of potentially dilutive securities are antidilutive.

The following table sets forth the potentially dilutive
securities excluded from the computation of diluted net loss per share because such securities have an anti-dilutive impact due to losses
reported as of:

 SCHEDULE OF ANTI DILUTIVE SECURITIES EXCLUDES FROM COMPUTATION OF EARNING PER SHARE

    March 31, 2025  
    March 31, 2024 
  
    Options to purchase common stock 
     1,342,833  
     1,372,333 
  
    Warrants to purchase common stock 
     759,235  
     1,606,734 
  
    Potential shares excluded from diluted net loss per share 
     2,102,068  
     2,979,067 

    F-5

NOTE 2 – GOING CONCERN

The accompanying condensed consolidated financial
statements have been prepared assuming that we will continue as a going concern. The following are the principal conditions or events
which potentially raise substantial doubt about the company’s ability to continue as a going concern:

    ●
    Balancing the need for operational cash with the need to add additional products.

    ●
    Timely and cost-effective development of products

    ●
    Working capital deficit of $55.1 million as of March 31, 2025

    ●
    Accumulated deficit of $126 million as of March 31, 2025

    ●
    Multiple years of losses from operations

Management Evaluation

Management considers the conditions outlined above
as the most significant factors in raising substantial doubt about the Company’s ability to continue as a going concern within one
year after the date the financial statements are issued.

Management’s Plans to Mitigate and Alleviate
Conditions or Events

    ●
    Management is evaluating operating expenses and is developing a plan to reduce expenditures without negatively impacting current operations.

    ●
    Management has placed a strategic focus on increasing sales with prime customers.

    ●
    Sales efforts are focused on the most profitable product lines.

    ●
    Blue Star - The Company’s total accounts payable due to Blue Star as of March 31, 2025, was approximately $56.6 million. Blue Star is an unsecured creditor, financing