Company: FOXX
Filing Date: 2025-02-14
Form Type: 10-Q
Source: 0001213900-25-014221
Chunk: 114

Company: Foxx Development Holdings Inc.
Filing Date: 2025-02-14
Form: 10-Q
Item: Item 8
Chunk 114
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 2022, the FASB
issued ASU 2022-02, Financial Instruments — Credit Losses (Topic 326), which eliminates the accounting
guidance on troubled debt restructurings for creditors in ASC 310 and amends the guidance on vintage disclosures to require disclosure
of current-period gross write-offs by year of origination. The ASU also updates the requirements related to the accounting for
credit losses under ASC 326 and adds enhanced disclosures for creditors with respect to loan refinancing and restructurings for borrowers
experiencing financial difficulty. The Company adopted this guidance on July 1, 2023, which did not have an impact on the Company’s
unaudited condensed consolidated financial statements.

Except as mentioned above,
the Company does not believe other recently issued but not yet effective accounting standards, if currently adopted, would have a material
effect on the Company’s balance sheets, statements of operations and statements of cash flows.

Recently issued accounting pronouncements not
yet adopted

In November 2023, the FASB
issued ASU No. 2023-07, “Segment Reporting (Topic 280)” (“ASU 2023-07” or “Topic 280). The amendments
in ASU 2023-07 improve financial reporting by requiring disclosure of incremental segment information on an annual and interim basis for
all public entities to enable investors to develop more decision useful financial analyses. Topic 280 requires a public entity to report
a measure of segment profit or loss that the chief operating decision maker (CODM) uses to assess segment performance and make decisions
about allocating resources. Topic 280 also requires other specified segment items and amounts, such as depreciation, amortization, and
depletion expense, to be disclosed under certain circumstances. The amendments in ASU 2023-07 also do not change how a public entity identifies
its operating segments, aggregates those operating segments, or applies the quantitative thresholds to determine its reportable segments.
The amendments in ASU 2023-07 are effective for years beginning after December 15, 2023 and interim periods within fiscal years beginning
after December 15, 2024, adopted retrospectively. Management considers that the guidance will not have a significant impact on the disclosures
set out in these unaudited condensed consolidated financial statements.

In December 2023, the
FASB issued ASU No. 2023-09, “Income Taxes (Topic