Company: GAUZ
Filing Date: 2025-03-11
Form Type: 20-F
Source: 0001213900-25-022437
Chunk: 3

Company: Gauzy Ltd.
Filing Date: 2025-03-11
Form: 20-F
Item: Item 3
Chunk 3
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’ products. If we are unable to devote adequate resources to
develop new products or cannot otherwise successfully develop new products or enhancements that meet customer requirements on a timely
basis, our products may no longer be as marketable as compared to competitors and we could lose a substantial portion of our market share
in those products, resulting in a potential decline in our revenue and greater operating losses.

In addition, research and
development activities are inherently uncertain, and as such, we might encounter practical difficulties in commercializing our research
and development results, which could result in excessive research and development expenses or delays. If we are unable
to keep up with technological developments in the industry and anticipate market trends, or if new technologies render our technologies
or solutions obsolete, customers may no longer be attracted to our products. As a result, our business, results of operations and financial
condition would be materially and adversely affected.

We are an early growth stage company with
a history of losses and we expect to incur significant expenses and losses for at least the near and medium term.

We have incurred net losses
since our inception in 2009. We have incurred an accumulated deficit of approximately $225.0 million as of December 31, 2024. For the
years ended December 31, 2024 and 2023, we had net losses of $53.2 million and $79.3 million, respectively.

We have devoted substantially
all of our financial resources to develop our light and vision control technologies. We have financed our operations primarily through
the issuance of equity and debt securities as well as loans. We may not be profitable for at least the near and medium term as we invest
in our business, build capacity and ramp up operations, and we cannot assure you that we will ever achieve or be able to maintain profitability
in the future. Failure to become profitable could materially and adversely affect the value of your investment. The amount of our future
net losses will depend, in part, on the rate of penetration in the markets we are targeting, the rate of our future expenditures and
our continued ability to obtain funding through the issuance of our securities, strategic collaborations or grants. We anticipate that
our expenses will increase substantially if and as we:

  continue                                                            

  establish                                                                                  

  seek                                                                                               

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  create                                                                                                

Our operating results and financial condition
have fluctuated in the past and may fluctuate in the future.

Even
if we are successful in expanding the adoption