Company: OMQS
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001641172-25-001813
Chunk: 305

Company: OMNIQ Corp.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 5
Chunk 305
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620) 
     (9.39)%
  
    Cost of Goods sold 
    $58,217  
    $65,485  
    $(7,268) 
     (11.10)%
  
    Gross Profit 
    $15,356  
    $15,708  
    $(352) 
     (2.24)%
  
    Operating Expenses 
    $22,267  
    $41,904  
    $(19,637) 
     (46.86)%
  
    Loss from operations 
    $(6,911) 
    $(26,196) 
    $19,285  
     (73.62)%
  
    Net loss 
    $(10,002) 
    $(29,431) 
    $19,429  
     (66.02)%
  
    Net Loss per common Share
    from continuing operations 
    $(0.94) 
    $(3.50) 
    $2.56  
     (73.14)%

Revenues

Revenue
for the years ended December 31, 2024 and 2023 were generated from the
sales of hardware, service contracts, software, labels and ribbons, and related services provided by the Company to its customers. For
the years ended December 31, 2024 and 2023, the Company recognized $73.6 million and $81.2 million in net revenues, respectively. This
represents a decrease of 9%. The decrease was due to two main factors: (1) The decrease in deliverables, and (2) a delay in the timing
of a significant customer project.

Cost
of Goods Sold

For
the years ended December 31, 2024 and 2023, the Company recognized a total
of $58 million and $65 million, respectively, of cost of goods sold. Cost of goods sold was 79% of revenues for 2024 and 81% of revenue
for 2023. Our gross margin percentage has remained relatively stable in an industry that is experiencing gross-margin pressure.

Operating
Expenses

For
the years ended December 31, 2024 and 2023, operating expenses were $22.3
million and $41.9 million, respectively. This represents a decrease of $19.6 million, or 47%, which is due to impairment expense of $14.7