Company: SYRA
Filing Date: 2025-11-12
Form Type: 10-Q
Source: 0001493152-25-022023
Chunk: 49

Company: Syra Health Corp
Filing Date: 2025-11-12
Form: 10-Q
Item: Item 8
Chunk 49
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 and related disclosures about its products, services, geographic areas and major customers. An operating segment is defined
as a component of an enterprise that engages in business activities from which it may earn revenues and expenses, and about which
separate financial information is regularly evaluated by the chief operating decision maker in deciding how to allocate resources.
In November 2023, the FASB issued ASU No. 2023-07, “Segment Reporting (Topic 280): Improvements to Reportable Segment
Disclosure.” The ASU updates reportable segment disclosure requirements, primarily through requiring enhanced disclosures
about significant segment expenses and information used to assess segment performance. The amendments do not change how segments are
determined, aggregated, or how thresholds are applied to determine reportable segments. The Company adopted ASU No. 2023-07 during
the year ended December 31, 2024.

Segment
information is prepared on the same basis that our CEO, who is our Chief Operating Decision Maker (“CODM”), manages our
segments, evaluates financial results, and makes key operating decisions. We have one reportable operating segment, Healthcare services.
The reportable segment derives its revenue from a variety of services primarily to state and federal health authorities. Our CODM uses
net income to evaluate and make key operating decisions. The Company operates as a single segment and will evaluate additional segment
disclosure requirements as it expands its operations.

Revenue
Recognition

The
Company recognizes revenue in accordance with ASC 606, the core principle of which is that an entity should recognize revenue to depict
the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be
entitled to receive in exchange for those goods or services. To achieve this core principle, five basic criteria must be met before revenue
can be recognized: (1) identify the contract with a customer; (2) identify the performance obligations in the contract; (3) determine
the transaction price; (4) allocate the transaction price to performance obligations in the contract; and (5) recognize revenue when
or as the Company satisfies a performance obligation.

The
Company accounts for revenues when both parties to the contract have approved the contract, the rights and obligations of the parties
are identified, payment terms are identified, and collectability of consideration is probable. Payment terms vary by client and the services
offered.

The
Company has the following main forms of revenue:

    –
    Healthcare
    Workforce

    –