Company: OTSA
Filing Date: 2025-03-26
Form Type: DRS/A
Source: 0001013762-25-002776
Chunk: 42

Company: OTSAW Ltd
Filing Date: 2025-03-26
Form: DRS/A
Chunk 42
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 high inflation environment, and geopolitical events. We have experienced and continue to experience supply chain constraints resulting from the lingering effects of the COVID -19pandemic, a high interest rate environment, and geopolitical events. These supply chain disruptions have increased the costs of components and logistics and have led to extended lead times in delivering our products to our customers. These supply constraints include, but are not limited to, semiconductor shortages as well as shortages of certain parts. Extended lead times on certain parts as well as a lack of immediate availability may delay our ability to deploy our products and AMRs, and consequently, may delay our ability to recognize revenue. In addition, current or future governmental policies may increase the risk of inflation, which could further increase the costs of raw materials and components for our business. Similarly, if costs of goods continue to increase, our suppliers may seek price increases from us or demand for cash upfront to mitigate their own increased costs. If we are unable to mitigate the impact of supply chain constraints and inflationary pressure through price increases or other measures, our results of operations and financial condition could be negatively impacted. Even if we are able to raise the prices of our products, consumers might react negatively to such price increases, which could have a material adverse effect on, among other things, our brand, reputation, and sales. If our competitors substantially lower their prices, we may lose customers and mark down prices. Our profitability may be impacted by lower prices, which may negatively impact gross margins. Even though we are working to alleviate supply chain constraints through various measures, we are unable to predict the impact of these constraints on the timing of revenue and operating costs of our business in the near future. Raw material supply shortages and supply chain constraints, including cost inflation, have impacted and could continue to negatively impact our ability to meet increased demand, which in turn could impact our net sales revenues and market share. In relation to the Russia -Ukrainewar and the Israel -Palestinewar, the extent and duration of the military actions, resulting sanctions, and future market disruptions — including stock market volatility, disruptions to the global supply chain, and worsening global inflation — are impossible to predict but could be significant. Any such disruptions or resulting actual and threatened responses to such activity, including purchasing and financing restrictions, boycotts or changes in consumer or purchaser preferences, sanctions, tariffs or cyberattacks, may have significant collateral impact on global economy and our business model and revenue stream. As of the date of this prospectus, (i) we principally operate in Singapore and