Company: SYRA
Filing Date: 2025-03-11
Form Type: 10-K
Source: 0001493152-25-009873
Chunk: 424

Company: Syra Health Corp
Filing Date: 2025-03-11
Form: 10-K
Item: Item 1C
Chunk 424
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 of such advances. The Company pays for payroll
and related costs for its employees that provide services to STLogics customers. During the year ended December 31, 2023, the Company
applied $200,010 of such costs to reduce the balance of the advance to $0. During the year ended December 31, 2024, the Company paid
$101,411 of payroll and related costs for these employees and had a receivable from STLogics of $0 and $50,614 for additional costs incurred
as of December 31, 2024 and December 31, 2023, respectively.

Note
4 – Basic and Diluted Earnings per Share

During
the years ended December 31, 2024 and 2023, the Company used the two-class method to compute net loss per common share because it had
issued securities, other than a single class of common stock, that contractually entitled the holders to participate in dividends and
earnings. These participating securities included the Company’s Class A common stock, which was authorized pursuant to the Company’s
amendment to its Certificate of Incorporation on May 2, 2022, and convertible Class B common stock which are entitled to share equally,
on a per share basis, in all assets of the Company of whatever kind available for distribution to the holders of common stock. The two-class
method requires earnings for the period to be allocated between common stock and participating securities based upon their respective
rights to receive distributed and undistributed earnings.

Under
the two-class method, for periods with net income, basic net income per common share is computed by dividing the net income attributable
to common stockholders by the weighted average number of shares of common stock outstanding during the period. Net income attributable
to common stockholders is computed by subtracting from net income the portion of current period earnings that the participating securities
would have been entitled to receive pursuant to their dividend rights had all of the period’s earnings been distributed. No such
adjustment to earnings is made during periods with a net loss, as the holders of the participating securities have no obligation to fund
losses.

The
Company reports the more dilutive of the approaches (two-class or “if-converted”) as its diluted net income per share during
the period. For the periods presented, potential dilutive securities had an anti-dilutive effect and were not included in the calculation
of diluted net loss per common share.

    F-12

Common