Company: BWAY
Filing Date: 2025-04-22
Form Type: 20-F
Source: 0001171843-25-002347
Chunk: 30

Company: Brainsway Ltd.
Filing Date: 2025-04-22
Form: 20-F
Item: Item 5
Chunk 30
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 civil and/or criminal penalties and curtailment of operations in certain
jurisdictions, and might harm our business, financial condition, or results of operations.

Our operations
could be affected in the event of further geopolitical instability, war, supply chain disruptions, unfavorable market or political conditions,
global pandemic or other outbreaks or other negative global trends or disruptions.

In recent years, we experienced and continue to experience
supply chain and shipping delays, shortages and challenges due to geopolitical instability and military threats on global shipping routes,
forcing us to adapt our production line, forecasting and other logistical processes to address these challenges. Further global and regional
geopolitical instability could exacerbate disruptions to production, cause additional delays in the supply and delivery of products used
in our operations, negatively impact the planned pace of clinical trials, R& D and business initiatives, disrupt the marketplace in
which we operate, and may have material adverse effects on our operations, sales, revenues, collection from accounts and ability to raise
funds. Our third-party suppliers source certain components and materials of our Deep TMS systems from various countries, and any continued
geopolitical instability may adversely impact their development, manufacture, and supply processes. For example, the recent disruptions
to traditional trade routes by the Houthis have necessitated reliance on more expensive shipping alternatives which increased our lead
times and costs of production. Additionally, we have seen a significate rise in the price of many of the electronic components needed
for our system. The extent to which the geopolitical instability impacts our results will depend on future developments, which are highly
uncertain and cannot be predicted.

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In addition, we have experienced, and may continue
to experience, disruptions to the transportation channels used in our supply chain and distribution operations, including increased airport
and shipping port congestion, a lack of transportation capacity, increased fuel expenses, import or export controls or delays, and labor
disputes or shortages. Transport operators are exposed to various risks, such as extreme weather conditions, natural disasters, work
stoppages, personnel shortages, and operating hazards, as well as interstate and international transportation requirements. If we experience
transportation problems, or if there are other significant changes in the cost of these services, we may not be able to arrange efficient
alternatives and timely means to obtain raw materials or ship products to our customers. Disruptions in our container shipments may result
in increased costs, including the additional use of air freight to meet demand. Congestion in ports can affect previously