Company: OMQS
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001493152-25-023481
Chunk: 7

Company: OMNIQ Corp.
Filing Date: 2025-11-14
Form: 10-Q
Item: Part I, Item 8
Chunk 7
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 For the nine months
ending September 30, 2024, employees purchased 37,128 shares or $12 thousand of common stock.

April
8, 2024, Stockholders approved the amendment of the Company’s Certificate of Incorporation to increase the amount of authorized
common stock to 35,000,000 shares.

During
June of 2025, the Company issued stock options or warrants to 47 employees and consultants for the purchase of an aggregate 1,035,000
shares of stock at between $0.06 and $0.07 per share. The Company’s CEO was issued options for 50,000 shares at $0.07 and warrants
were issued to a company he is affiliated with for 100,000 shares at exercise price of $0.07 per share, which was above the market price
at the time of issuance. The options have a 5 year expiration period and vested immediately. The Black Scholes calculation used approximately 109.7% volatility
for the stock and approximately $63,000 was booked as a compensation
expense related to these options and warrants.

In
July 2025, the Company settled approximately $62,500 of debt owed on the books for 900,000 shares. As noted in the Company’s 8-K
filing, 450,000 of those shares were issued to the Company CEO, Shai Lustgarten to settle $31,500 owed to him.

NOTE
10 – BUSINESS SEGMENT

The
Company operates in a single reportable segment, referred to as providing solutions including software, communications, and automated
management service. The business is managed by the chief executive officer who is the Chief Operating Decision Maker (CODM). The CODM
evaluates segment performance based on operating income (loss) for purposes of allocating resources and evaluating financial performance.
The accounting policies of our single reportable segment are the same as those for the Company as a whole.

    F-9

NOTE
11 – DISCONTINUED OPERATIONS

As
discussed in the prior Form 10Q and the relevant Form 8-K, on July 11, 2025, OmniQ Corp., a Delaware corporation (the “Company”),
together with its subsidiaries, Quest Marketing, Inc., HTS Image Processing, Inc., OmniQ Vision Inc., HTS Image Ltd., OmniQ Technologies
Ltd., and Dangot Computers, Ltd. (collectively, the “Sellers”), entered into an Asset