Company: QTIWW
Filing Date: 2025-01-16
Form Type: S-1
Source: 0001628280-25-001723
Chunk: 364

Company: QT IMAGING HOLDINGS, INC.
Filing Date: 2025-01-16
Form: S-1
Chunk 364
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,168 |     | $    | 35,404 |

The Company had nocontract assets as of September 30, 2024 and December 31, 2023. The Company had contract liabilities of $ 19,841as of September 30, 2024, which are expected to be fully recognized as revenue in 2024. The Company had contract liabilities of $ 347,619as of December 31, 2023. Revenue recognized during the three and nine months ended September 30, 2024 that was previously included in contract liabilities as of December 31, 2023 was $ 11,905and $ 27,778, respectively, while a $ 300,000customer deposit previously deferred was refunded due to an order cancellation during the nine months ended September 30, 2024.

Shipping and Handling Costs

Shipping and handling activities are typically performed before the customer obtains control of the goods, and the related costs are therefore expensed as incurred. Shipping and handling costs are included in cost of revenue in the accompanying condensed consolidated statements of operations and comprehensive loss. Shipping and handling costs incurred for inventory purchases are expensed in cost of revenue when sold.

Product Warranty

The Company’s products sold to customers are generally subject to warranties up to twelve months, which provides for the repair or replacement of products, at the Company’s option, that fail to perform with stated specifications. The Company estimates future warranty obligations related to those products. To date, product warranty claims have not been significant.

Research and Development Costs

Research and development costs incurred by the Company include salaries, purchased services, operating materials and supplies, depreciation, and amortization, and are expensed as incurred.These costs amounted to $ 925,214and $ 311,829for the three months ended September 30, 2024 and 2023, respectively, and $ 2,492,842and $ 1,083,373for the nine months ended September 30, 2024 and 2023, respectively.

Advertising

Advertising and promotion costs are expensed as incurred.Advertising expenses were not significant for the three and nine months ended September 30, 2024 and 2023.

<div align='center'>F-39</div>

#### QT IMAGING HOLDINGS, INC.

### Notes to Condensed Consolidated Financial Statements
<div align='center'>(Unaudited)</div>

Grant Income

Periodically, the Company is awarded grants on a cost reimbursement basis. Costs are