Company: OSRH
Filing Date: 2025-05-20
Form Type: 10-Q
Source: 0001213900-25-045947
Chunk: 291

Company: OSR Holdings, Inc.
Filing Date: 2025-05-20
Form: 10-Q
Item: Part I, Item 8
Chunk 291
---
 the carrying amount of the corresponding ROU asset unless
doing so would reduce the carrying amount of the ROU asset to an amount less than zero. In that case, the amount of the adjustment that
would result in a negative ROU asset balance is recorded in profit or loss.

Operating
lease ROU assets are presented as operating lease right of use assets on the condensed consolidated balance sheets. The current portion
of operating lease liabilities are presented separately on the condensed consolidated balance sheets.

The
Group has elected not to recognize ROU assets and lease liabilities for short-term leases that have a lease term of 12 months or less.
The Group recognizes the lease payments associated with its short-term leases as an expense on a straight-line basis over the lease term.

l.Foreign
currency translation

The
Group has operations in South Korea, Switzerland, and Germany. Accounting records in foreign operations are maintained in local currencies
and remeasured to the Korean won during the consolidation. Nonmonetary assets and liabilities are translated at historical rates, and
monetary assets and liabilities are translated at exchange rates in effect at the end of the year. Income statement accounts are translated
at average rates for the year. Gains or losses from remeasurement of foreign currency financial statements into the Korean won are included
in current results of comprehensive income.

9

m.Revenue
recognition

The
Group only has revenue from customers. The Group recognizes revenue when it satisfies performance obligations under the terms of its
contracts, and control of its products is transferred to its customers in an amount that reflects the consideration the Group expects
to receive from its customers in exchange for those products. This process involves identifying the customer contract, determining the
performance obligations in the contract, determining the transaction price, allocating the transaction price to the distinct performance
obligations in the contract, and recognizing revenue when the performance obligations have been satisfied. A performance obligation is
considered distinct from other obligations in a contract when it (a) provides a benefit to the customer either on its own or together
with other resources that are readily available to the customer and (b) is separately identified in the contract. The Group considers
a performance obligation satisfied once it has transferred control of a good or product to a customer, meaning the customer has the ability
to direct the use and obtain the benefit of the good or product.

n.Income
taxes

Income
taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future