Company: HCTI
Filing Date: 2025-05-20
Form Type: 10-Q
Source: 0001213900-25-045994
Chunk: 89

Company: Healthcare Triangle, Inc.
Filing Date: 2025-05-20
Form: 10-Q
Item: Part I, Item 8
Chunk 89
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 illustrates how to apply the scope guidance to determine whether profits
interests and similar awards should be accounted for as share-based payment arrangements under Topic 718 or under other U.S. GAAP. ASU
2024-01 is effective for annual periods beginning after December 15, 2025, although early adoption is permitted. Upon adoption, ASU 2024-01
is not expected to have an impact on the Company’s consolidated financial statements.

In November 2024, the FASB issued ASU No. 2024-03,
“Income Statement - Reporting Comprehensive Income - Expense Disaggregation Disclosures (Subtopic 220-40).” This standard
requires disclosure of specific information about costs and expenses and becomes effective January 1, 2027. The Company is currently evaluating
the impact of this standard on our consolidated financial statements and related disclosures.

In November 2024, the FASB issued ASU 2024-04,
“Debt - Debt with Conversions and Other Options (Subtopic 470-20): Induced Conversions of Convertible Debt Instruments” (“ASU
2024-04”). ASU 2024-04 clarifies the requirements for determining whether certain settlements of convertible debt instruments, including
convertible debt instruments with cash conversion features or convertible debt instruments that are not currently convertible, should
be accounted for as an induced conversion. The requirements of ASU 2024-04 are effective for the Company for fiscal years beginning after
December 15, 2025, and interim periods within those periods. The Company is currently evaluating the impact of this standard on our consolidated
financial statements and related disclosures.

22

HEALTHCARE TRIANGLE, INC.

Notes To Condensed Consolidated Financial Statements

(Unaudited)

(In thousands except share and per share data)

13) Legal Matters

The Company is not involved in any action, arbitration
and/or other legal proceedings that it expects to have a material adverse effect on the business, financial condition, results of operations
or liquidity of the Company. All legal cost is expensed as incurred.

14) Share Based Compensation

We estimate the fair value of our stock options
using the Black-Scholes option pricing model. This requires the input of subjective assumptions, including the fair value of our underlying
common stock, the expected term of stock options, the expected volatility of the price of our common stock, risk-free interest rates,
and the expected dividend yield of our common stock, the