Company: OMQS
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001641172-25-001813
Chunk: 445

Company: OMNIQ Corp.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 7
Chunk 445
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The
following discussion summarizes the financial position of OMNIQ, Corp. and its consolidated subsidiaries as of December 31, 2024, and
its consolidated results of operations for the year ended December 31, 2024, and should be read in conjunction with our consolidated
financial statements and the accompanying notes thereto included elsewhere in this Annual Report on Form 10-K. The following discussion
contains, in addition to historical information, forward-looking statements that include risks and uncertainties (see discussion of “Forward-Looking
Statements” included elsewhere in this Annual Report on Form 10-K). Our actual results may differ materially from those anticipated
in these forward-looking statements as a result of certain factors.

11

The Company’s consolidated revenue for the year ended December 31, 2024 were $73.6 million, representing a decrease of $7.6 million
from the year ended December 31, 2023 of $81.2 million. Revenues in 2024 and 2023 are presented in accordance with Accounting Standards
Codification Topic 606, Revenue from Contracts with Customers (“Topic 606”).

Net loss attributable to common stockholders’ of OMNIQ Corp was $10 million in 2024, a decrease of $19.5 million from the 2023 loss
of $29.5 million. Basic loss per share attributable to common stockholders was $0.94 for the year 2024 compared to $3.50 loss per share
for the year 2023.

On
April 1, 2022, the Company closed on its acquisition of Dangot and exercised the remaining portion of its option to purchase 23.0% of
the capital stock, thereby making Dangot a fully owned subsidiary of the Company. The Company paid $3,518,000 to purchase the additional
shares. The Company utilized its working capital and a combination of short- and long-term loans.

GOING
CONCERN

The
accompanying consolidated financial statements have been prepared assuming that we will continue as a going concern. The following are
the principal conditions or events which potentially raise substantial doubt about the company’s ability to continue as a going
concern:

    ●
    Balancing
    the need for operational cash with the need to add additional products.
  
    ●
    Timely
    and cost-effective development of products
  
    ●
    Working
    capital deficit of $54 million as of December 31,