Company: MVIS
Filing Date: 2025-08-08
Form Type: 10-Q
Source: 0001641172-25-022632
Chunk: 10

Company: MICROVISION, INC.
Filing Date: 2025-08-08
Form: 10-Q
Item: Part I, Item 1
Chunk 10
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 transactions. The accompanying unaudited condensed consolidated financial
statements have been prepared in accordance with accounting principles generally accepted in the United States (“US GAAP”)
and the requirements of the U.S. Securities and Exchange Commission (the “SEC”) for interim financial information. Certain
information and disclosures normally included in consolidated financial statements prepared in accordance with GAAP have been condensed
or omitted. Accordingly, these unaudited condensed consolidated financial statements should be read in conjunction with the audited financial
statements and notes thereto for the year ended December 31, 2024. The information as of December 31, 2024 included in the condensed
consolidated balance sheets was derived from those audited financial statements.

The
unaudited condensed consolidated financial statements have been prepared on the same basis as the annual consolidated financial statements
and, in the opinion of management, reflect all adjustments, which include only normal recurring adjustments, necessary for the fair statement
of the Company’s financial information for the interim periods presented. The unaudited condensed consolidated results of operations
for the interim period are not necessarily indicative of the results to be expected for the year ending December 31, 2025 or for any
other future annual or interim period.

    8

Use
of Estimates

The
preparation of financial statements in conformity with U.S. GAAP requires the Company to make estimates and assumptions that affect the
reported amounts therein. The most significant estimates and assumptions relate to valuations of intangibles, derivatives, and warrants,
revenue recognition, inventory valuation, valuation of share-based payments, income taxes, depreciable lives assessment and related disclosure
of contingent assets and liabilities. Due to the inherent uncertainty involved, actual results reported in future periods could differ
from those estimates.

Foreign
Currency Translation

Foreign
currency transaction gains and losses are a result of the effect of exchange rate changes on transactions denominated in currencies
other than the functional currency. Realized gains and losses on those foreign currency transactions are included in determining net
loss for the period of exchange and are recorded in other (expense) income in the condensed consolidated statements of
operations.

Segment
Information 

The
Company determines operating segments based on how the chief operating decision maker (“CODM”) manages the business, makes
operating decisions around the allocation of resources, and evaluates operating performance. The CODM is the Executive Management team.
The Company has determined that it operates in one operating segment and one reportable segment, relating to the sale and servicing