Company: OSRH
Filing Date: 2025-11-12
Form Type: 10-Q
Source: 0001213900-25-109054
Chunk: 14

Company: OSR Holdings, Inc.
Filing Date: 2025-11-12
Form: 10-Q
Item: Part I, Item 1
Chunk 14
---
i.Goodwill and intangible assets

Goodwill represents the excess purchase
price over the estimated fair value of net assets acquired in a business combination.

The Group accounts for intangible assets
in accordance with Accounting Standards Codification (ASC) Topic 350, Intangibles – Goodwill and Other (ASC 350). ASC 350
requires that intangible assets with estimable useful lives be amortized over their respective estimated useful lives and reviewed for
impairment in accordance with accounting standards.

8

When impairment indicators are identified,
the Group compares the reporting unit’s fair value to its carrying amount, including goodwill. An impairment loss is recognized
as the difference, if any, between the reporting unit’s carrying amount and its fair value, to the extent the difference does not
exceed the total amount of goodwill allocated to the reporting unit.

Indefinite-lived intangible assets are
tested for impairment annually, and more frequently when there is a triggering event. Annually, or when there is a triggering event, the
Group first performs a qualitative assessment by evaluating all relevant events and circumstances to determine if it is more likely than
not that the indefinite-lived intangible assets are impaired; this includes considering any potential effect on significant inputs to
determining the fair value of the indefinite-lived intangible assets. When it is more likely than not that an indefinite-lived intangible
asset is impaired, then the Group calculates the fair value of the intangible asset and performs a quantitative impairment test.

j.Impairment of long--lived assets

Long-lived assets, such as equipment,
vehicles and intangible assets subject to amortization, are reviewed for impairment whenever events or changes in circumstances indicate
that the carrying amount of an asset may not be recoverable. If circumstances require a long-lived asset or asset group to be tested for
possible impairment, the Group first compares undiscounted cash flows expected to be generated by that asset or asset group to its carrying
amount. If the carrying amount of the long-lived asset or asset group is not recoverable on an undiscounted cash flow basis, an impairment
loss is recognized to the extent that the carrying amount exceeds its fair value. Fair value is determined through various valuation techniques
including discounted cash flow models, quoted market values and third-party independent appraisals, as considered necessary.

k.Leases

The Group is a lessee in several noncancellable
operating leases, primarily for plants and main offices. The Group does not have a finance lease.

The