Company: SCAG
Filing Date: 2025-01-06
Form Type: 424B3
Source: 0001213900-25-001215
Chunk: 918

Company: Scage Future
Filing Date: 2025-01-06
Form: 424B3
Chunk 918
---
 financial statements were prepared in US dollars. Historical Income Statements Scage reported revenue of $102 thousand in FY2021, growing to $2.1 million in FY2023. Scage reported cost of goods sold of $68 thousand in FY2021, growing to $2.5 million in FY2023. Scage reported a gross profit of -$307 thousand in FY2023. Scage’s operating expenses grew from $1.4 million in FY2021 to $6.3 million in FY2023. Scage’s FY2023 operating expenses consisted of $1.1 million in sales costs, $3.5 million in general & administrative costs, and $1.7 million in research & development. Operating income was -$6.7 million in FY2023. Historical Balance Sheet As of June 30, 2023, Scage reported $8.3 million in total assets, $8.2 million in total liabilities, and $0.1 million in total equity. Scage’s current assets exceeded its current liabilities, excluding cash and debt, by $481 thousand as of June 30, 2023. Scage’s total debt was $3.6 million as of that date. Annex D-1-13 Appendix D: Valuation Methodology There are three conceptually distinct methodologies that can be applied to determine the fair market value of a business or asset: (a) the income approach, (b) the market approach and (c) the cost approach. Each of these generally accepted valuation methodologies is considered in the appraisal process and are more or less relevant given the nature of the business and the observable data used to apply the method. Valuation Approaches Income Approach The income approach quantifies the present value of anticipated future income generated by a business or an asset. Forecasts of future income require analyses of variables that influence income, such as revenues, expenses, and taxes. One form of the income approach, the discounted cash flow (DCF) analysis, defines future economic income as net cash flow and takes into account not only the profit-generating abilities of a business but also the investment in capital equipment and working capital required to sustain the projected net cash flow. The forecasted net cash flow is then discounted to present value using an appropriate rate of return or discount rate. The income approach is unique in its ability to account for the specific contribution to the overall value of various factors of production. Market Approach The market approach considers the implied pricing in third-party transactions of comparable businesses or assets. Transactions