Company: BWAY
Filing Date: 2025-04-22
Form Type: 20-F
Source: 0001171843-25-002347
Chunk: 6

Company: Brainsway Ltd.
Filing Date: 2025-04-22
Form: 20-F
Item: Item 5
Chunk 6
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 your ability to influence corporate  
  matters.                                                                                                                          
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Risks Related
to our Financial Condition and Capital Requirements

We have a history of operating losses. Although
during the year ended December 31, 2024 we achieved an operating profit, we may incur losses in the future and no longer be profitable
and we cannot ensure that our existing capital will be sufficient to meet our capital requirements.

We have incurred net losses since our inception until
and including the year ended December 31, 2023, largely reflecting research and development, general and administrative expenses, and
sales and marketing expenses. We have reached a net income of $2.9 million for the year ended December 31, 2024 but experienced net losses
of $4.2 million and $13.3 million for the years ended December 31, 2023 and 2022, respectively. As a result of ongoing losses since our
inception, as of December 31, 2024, we had an accumulated deficit of $98.3 million. While we have sold and leased Deep TMS systems and/or
installed Deep TMS Systems under revenue generating pay-per-use models in various markets over the last few years, we may continue to
incur significant sales and marketing, research and development, product development, regulatory and other expenses as we continue to
pursue our commercialization efforts to increase adoption of Deep TMS and expand existing relationships with our customers, to obtain
regulatory clearances or approvals for Deep TMS in additional countries and for additional or broader indications, and to develop new
enhancements or features to our existing Deep TMS systems. These expenses, along with potential declines in our revenues, may cause us
to once again incur operating losses in the future. The net losses we may incur may fluctuate significantly from period to period. We
will need to continue to generate additional revenues and to carefully manage our expenses to sustain profitability on an annual basis,
and even if we continue to achieve profitability for a certain period, we cannot be sure that we will remain profitable for any substantial
period of time. A failure to maintain profitability on an annual basis, or achieve profitability should we incur operating losses in the
future, could negatively impact the value of our shares.

   5  

We believe that our existing capital and other sources
of liquidity will be sufficient to meet our capital requirements. To date