Company: SATT
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001683168-25-002119
Chunk: 319

Company: SATIVUS TECH CORP.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 3
Chunk 319
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be reflected in income tax expense.

     F-13 

SATIVUS TECH CORP.

NOTES TO FINANCIAL STATEMENTS

U.S. dollars in thousands, except per share
data

    NOTE 2:-
    SIGNIFICANT ACCOUNTING POLICIES (Cont.)

    n.
    Basic and diluted net loss per share

Basic net loss per share is computed
by dividing the net loss by the weighted-average number of shares of Ordinary shares outstanding during the period.

Diluted net loss per share is computed
by giving effect to all potential shares of Ordinary shares, to the extent dilutive, all in accordance with ASC No. 260, “Earning
Per Share”.

For the years ended December 31, 2024,
and 2023, all outstanding shares warrants have been excluded from the calculation of the diluted net loss per share as all such securities
are anti-dilutive for all years presented.

    o.
    Contingencies:

The Company records accruals for loss
contingencies arising from claims, litigation and other sources when it is probable that a liability has been incurred and the amount
can be reasonably estimated. These accruals are adjusted periodically as assessments change or additional information becomes available.
Legal costs incurred in connection with loss contingencies are expensed as incurred.

    p.
    Stock-based payments:

The Company measures and recognizes
the compensation expense for all equity-based payments to employees based on their estimated fair values in accordance with ASC 718, “Compensation-Stock
Compensation”. Share-based payments including grants of stock options are recognized in the statement of comprehensive loss as an
operating expense based on the fair value of the award at the date of grant. The fair value of stock options granted is estimated using
the Black-Scholes option-pricing model. The Company has expensed compensation costs, net of estimated forfeitures, applying the accelerated
vesting method, over the requisite service period or over the implicit service period when a performance condition affects the vesting,
and it is considered probable that the performance condition will be achieved.

Share-based payments awarded to consultants
(non-employees) are accounted for in accordance with ASC Topic 505-50, “Equity-Based Payments to Non-Employees”.

For the years ended December 31, 2024,
December 31, 2023, the Company recorded $19, and $156 in share-based compensation, respectively.

     F-14 

SATIVUS TECH