Company: OSRH
Filing Date: 2025-06-23
Form Type: 424B3
Source: 0001213900-25-056351
Chunk: 61

Company: OSR Holdings, Inc.
Filing Date: 2025-06-23
Form: 424B3
Chunk 61
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accrued) lease payments, less the unamortized balance of lease incentives received. Lease expense for lease payments is recognized
on a straight-line basis over the lease term.

ROU assets are periodically reduced
by impairment losses. The Group uses the long-lived assets impairment guidance in ASC Subtopic 360-10, Property, Plant, and Equipment – Overall, to determine whether an ROU asset is impaired, and if so, the amount of the impairment loss to recognize.

The Group monitors for events or changes
in circumstances that require a reassessment of one of its leases. When a reassessment results in the remeasurement of a lease liability,
a corresponding adjustment is made to the carrying amount of the corresponding ROU asset unless doing so would reduce the carrying amount
of the ROU asset to an amount less than zero. In that case, the amount of the adjustment that would result in a negative ROU asset balance
is recorded in profit or loss.

Operating lease ROU assets are presented
as operating lease right of use assets on the condensed consolidated balance sheets. The current portion of operating lease liabilities
are presented separately on the condensed consolidated balance sheets.

The Group has elected not to recognize
ROU assets and lease liabilities for short-term leases that have a lease term of 12 months or less. The Group recognizes the
lease payments associated with its short-term leases as an expense on a straight-line basis over the lease term.

| l. | Foreign              
 currency translation |

The Group has operations in South Korea, Switzerland, and
Germany. Accounting records in foreign operations are maintained in local currencies and remeasured to the Korean won during the consolidation.
Nonmonetary assets and liabilities are translated at historical rates, and monetary assets and liabilities are translated at exchange
rates in effect at the end of the year. Income statement accounts are translated at average rates for the year. Gains or losses from remeasurement
of foreign currency financial statements into the Korean won are included in current results of comprehensive income.

| m. | Revenue     
 recognition |

The Group only has revenue from customers.
The Group recognizes revenue when it satisfies performance obligations under the terms of its contracts, and control of its products is
transferred to its customers in an amount that reflects the consideration the Group expects to receive from its customers in exchange
for those products. This process involves identifying the customer contract, determining the performance obligations in the contract,
determining the transaction price, allocating the transaction price to the distinct performance obligations in the contract, and