Company: FWDI
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001683168-25-006141
Chunk: 47

Company: Forward Industries, Inc.
Filing Date: 2025-08-14
Form: 10-Q
Item: Item 1
Chunk 47
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 decrease in accrued expenses and other current liabilities
of $261,000, partially offset by non-cash expenses of $589,000 related to depreciation, amortization, share-based compensation, credit
loss expense and goodwill impairment charges, a decrease in accounts receivable and contract assets of $1,634,000, the net change in other
operating assets and liabilities of $19,000 and the net cash provided by discontinued operations of $396,000.

During the 2024 Period, cash
provided by operating activities of $53,000 resulted from a net loss of $1,307,000, decreases in accrued expenses and other current liabilities
of $707,000, a decrease in accounts payable of $373,000 and the net change in other operating assets and liabilities of $165,000, partially
offset by net cash provided by discontinued operations of $1,462,000, non-cash expenses of $333,000 related to depreciation, amortization,
share-based compensation and credit loss expense and a decrease in accounts receivable and contract assets of $810,000.

Investing Activities

Cash used in investing activities
in the 2025 Period resulted from payments for the sale of the OEM segment of $200,000 and purchases of property and equipment of $26,000.
Cash used in investing activities in the 2024 Period resulted from purchases of property and equipment of $50,000.

Financing
Activities

Cash provided by financing
activities in the 2025 Period consisted of $971,000 net proceeds from the issuance of preferred stock and warrants, partially offset by
deferred financing costs of $60,000 related to the equity line of credit. Cash used in financing activities in the 2024 Period consisted
of principal payments on the promissory note held by Forward China of $500,000.

Related Party Transactions

For information on related
party transactions and their financial impact, see Note 8 to the unaudited condensed consolidated financial statements contained herein.

ITEM 3.QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

Not applicable.

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ITEM 4.CONTROLS AND PROCEDURES

Evaluation of Disclosure
Controls and Procedures. Our management carried out an evaluation, with the participation of our Principal Executive Officer and Principal
Financial Officer, required by Rule 13a-15 and Rule 15d-15 of the Securities Exchange Act of 1934 (the “Exchange Act”)
of the effectiveness of