Company: OMQS
Filing Date: 2025-08-19
Form Type: 10-Q
Source: 0001641172-25-024877
Chunk: 76

Company: OMNIQ Corp.
Filing Date: 2025-08-19
Form: 10-Q
Item: Part I, Item 8
Chunk 76
---
 
     (701) 
     (68.46)%
  
    Net income (loss) 
     (34) 
     (5,142) 
     5,108  
     (99.34)%
  
    Net Loss per common Share from continuing operations 
    $(0.00) 
    $(0.20) 
    $0.00  
     (100.00)%

Revenues

For
the six months ended June 30, 2025, and 2024, the Company generated net revenues in the amount of $15.8 million and $17.6 million, respectively.
The decrease between the six-month periods was attributable to deceleration of projects by customers.

Cost
of Goods Sold

For
the six months ended June 30, 2025, and 2024, the Company recognized a total of $11.6 million and $13.5 million, respectively, of cost
of goods sold. For the six months ended June 30, 2025, and 2024, cost of goods sold were 74% and 77% of net revenues, respectively.

Operating
expenses

Total
operating expenses for the six months ended June 30, 2025, and 2024 recognized was $4.8 million and $6.4 million, respectively, representing
a 24% decrease. The decrease in operating expenses was due primarily to management’s cost savings plan and the elimination of
expenses associated wit the legacy business sold in the second quarter of 2025.

Research
and Development – Research and development expenses for the six months ended June 30, 2025, and 2024 totaled $969 thousand
and $856 thousand, respectively.

Selling,
general and Administrative – Selling, general and administrative expenses for the six months ended June 30, 2025, and 2024
totaled $3.4 million and $4.9 million, respectively, representing a 31% decrease. The decrease was due primarily to management’s
cost savings initiatives, including headcount reductions and lower professional-services fees, and the removal of expense associated
with the legacy business.

Depreciation
– Depreciation expenses for the six months ended June 30, 2025, and 2024 totaled $36 thousand and $199 thousand, respectively,
representing an 82% decrease. The decrease is directly related to the reduction in fixed assets following