Company: HFFG
Filing Date: 2025-11-10
Form Type: 10-Q
Source: 0001680873-25-000074
Chunk: 76

Company: HF Foods Group Inc.
Filing Date: 2025-11-10
Form: 10-Q
Item: Item 8
Chunk 76
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 - Inputs are unobservable inputs which reflect the reporting entity’s own assumptions about what assumptions market participants would use in pricing the asset or liability based on the best available information.Any transfers of assets or liabilities between Level 1, Level 2, and Level 3 of the fair value hierarchy will be recognized at the end of the reporting period in which the transfer occurs. There were no transfers between fair value levels in any of the periods presented herein.The carrying amounts reported in the condensed consolidated balance sheets for cash, accounts receivable, other current assets, accounts payable, checks issued not presented for payment and accrued expenses and other liabilities approximate their fair value based on the short-term maturity of these instruments.See Note 7 - Derivative Financial Instruments for additional information regarding the Company’s interest rate swaps. 

9

Carrying Value and Estimated Fair Value of Outstanding Debt - The following table presents the carrying value and estimated fair value of the Company’s outstanding debt as described in Note 8 - Long-Term Debt, including the current portion, as of the dates indicated:Fair Value Measurements(In thousands)Level 1Level 2Level 3Carrying ValueSeptember 30, 2025 Fixed rate debt:Bank of America$— $— $66 $70 Other financial  institutions— 2,433 — 2,587 Variable rate debt:JPMorgan Chase$— $97,277 $— $97,277 Bank of America$— $1,953 $— $1,953 East West Bank$— $5,377 $— $5,377 December 31, 2024Fixed rate debt:Bank of America$— $— $104 $113 Variable rate debt:JPMorgan Chase$— $101,040 $— $101,040 Bank of America$— $2,063 $— $2,063 East West Bank$— $5,518 $— $5,518 The carrying value of the variable rate debt approximates its fair value because of the variability of interest rates associated with these instruments. For the Company’s fixed rate debt, the fair values were estimated using discounted cash flow analyses, based on the current incremental borrowing rates for similar types of borrowing arrangements.See Note 8 - Long-Term Debt for additional information regarding the Company’s debt.Nonrecurring Fair ValuesThe Company measures fair value of certain assets on