Company: OMQS
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001641172-25-010783
Chunk: 16

Company: OMNIQ Corp.
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 1
Chunk 16
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 our unaudited
condensed consolidated financial statements contained in this Form 10-Q.

OVERVIEW

The Company’s sales from operations for the
three months ended March 31, 2025, were $19.9 million, an increase of approximately $1.6 million or 8.7%, over the three months ended March
31, 2024.

The loss from operations for
the three months ended March 31, 2025, was $690 thousand, a decrease of $569 thousand compared with the loss in the three months ended
March 31, 2024, of $1.3 million. Basic loss per share from continuing operations for the three months ended March 31, 2025, was ($0.20)
versus ($0.20) per share for the same period in 2024. Comprehensive loss for the three months ended March 31, 2025 and 2024 was $1.6
million and $1.9 million respectively, the only component to comprehensive loss besides net loss is foreign currency translation.

LIQUIDITY AND CAPITAL RESOURCES

As
of March 31, 2025, the Company had cash in the amount of $2.7 million and a working capital deficit of $55 million, compared to cash
in the amount of $2.3 million, and a working capital deficit of $54.4 million as of December 31, 2024. The Company had stockholders’
deficit attributable to OmniQ stockholders of $45.5 million and $43.8 million as of March 31, 2025, and December 31, 2024, respectively.
This increase in our stockholders’ deficit was primarily attributable to net losses.

The
Company’s accumulated deficit was $126 million and $124 million as of March 31, 2025, and December 31, 2024.

The
Company’s operations provided net cash of $1 million and used $623 thousand in the three months ended March 31, 2025, and 2024,
respectively. The increase in cash provided in operations of $1.6 million is due to the increase in revenue.

The
Company’s cash used in investing activities was $31 thousand for the three months ended March 31, 2025, compared to cash used in
investing activities of $48 thousand for the three months ended March 31, 2024.

The
Company’s financing activities