Company: TNRSF
Filing Date: 2025-02-21
Form Type: 6-K
Source: 0001171843-25-000987
Chunk: 34

Company: TENARIS SA
Filing Date: 2025-02-21
Form: 6-K
Chunk 34
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. Accruals for loss
contingencies reflect a reasonable estimate of the losses to be incurred based on information available to management as of the date of
preparation of the financial statements, and take into consideration Tenaris’s litigation and settlement strategies. These estimates
are primarily constructed with the assistance of legal counsel. As the scope of liabilities become better defined, there may be changes
in the estimates of future costs which could have a material adverse effect on its results of operations, financial condition and cash
flows.

| - 24 - |

| Consolidated Financial Statements                                                                           |
| For the years ended 2024, 2023 and 2022 - all amounts in thousands of U.S. dollars, unless otherwise stated |

If Tenaris expects to be reimbursed for an accrued expense, as would be
the case for an expense or loss covered under an insurance contract, and reimbursement is considered virtually certain, the expected reimbursement
is recognized as a receivable.

This note should be read in conjunction with note 27
to these Consolidated Financial Statements.

#### RTrade and other payables
Trade and other payables are recognized initially at fair value, generally
the nominal invoice amount and subsequently measured at amortized cost. They are presented as current liabilities unless payment is not
due within twelve months after the reporting period. Due to their short-term nature their carrying amounts are considered to be the same
as their fair value.

#### SRevenue recognition
Revenue comprises the fair value of the consideration received or receivable
for the sale of goods and rendering of services in the ordinary course of Tenaris’s activities. The revenue recognized by the Company
is measured at the transaction price of the consideration received or receivable to which the Company is entitled to, reduced by estimated
returns and other customer credits, such as discounts and volume rebates, based on the expected value to be realized and after eliminating
sales within the group.

Revenue is recognized at a point in time or over time from sales when control
has been transferred and there is no unfulfilled performance obligation that could affect the acceptance of the product by the customer.
The control is transferred upon delivery. Delivery occurs when the products have been shipped to the specific location, the risks of obsolescence
and loss have been transferred and either the customer has accepted the product in accordance with the sales contract, the acceptance
provisions have lapsed or the Company has objective evidence that all criteria for acceptance have been satisfied, including all performance
obligations. These conditions are