Company: SWAGW
Filing Date: 2025-04-14
Form Type: 10-K
Source: 0001213900-25-031596
Chunk: 2580

Company: Stran & Company, Inc.
Filing Date: 2025-04-14
Form: 10-K
Item: Item 13
Chunk 2580
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 solutions and promotional products provider for a variety of customers and industries, working
closely with customers to develop sophisticated marketing programs that leverage Stran’s promotional products and loyalty incentive
expertise. Stran purchases products and branding through various third-party manufacturers and decorators and resells the finished goods
to customers. The segment earns the majority of its revenue from the sale of unique, quality promotional products for a wide variety of
industries primarily to support marketing efforts.

The SLS segment’s business is
focused on the casino, gaming, and entertainment industries as an extension of the Company’s newly formed Casino Continuity and
Loyalty group. The group specializes in creating high-quality, branded merchandise for casinos, sourced through various third-party manufacturers,
focusing on promotional products that enhance customer loyalty and engagement. It partners with nationally recognized brands to create
high-quality, custom products that resonate with casino patrons, helping casinos drive redemption rates and ROI through tailored merchandise
and marketing solutions to build recurring revenues for SLS customers and the segment itself.

The accounting policies of our reportable
segments are the same as those described in the “Organization and Summary of Significant Accounting Policies” in the notes
to the consolidated financial statements for the Company.

For each of the two segments, the CODM
uses segment gross margin and segment operating profits or losses in the annual budgeting and forecasting process. The CODM considers
budget-to-actual variances on a monthly basis for revenue as well as profit measures when making decisions about allocating capital and
personnel to the segments. The CODM uses segment gross margin and segment operating income in determining the compensation of certain
employees, primarily for its recently acquired Gander business, which is consolidated as part of the SLS subsidiary and also comprises
the segment SLS.

F-31

STRAN & COMPANY, INC.

NOTES TO THE CONSOLIDATED
FINANCIAL STATEMENTS

(in thousands, except share and per share amounts)

As of December 31, 2024, Stran and
SLS had total assets of $45,206 and $9,944, respectively. As of December 31, 2023, Stran and SLS had total assets of $49,036 and $0, respectively.
The entire goodwill balance of $2,321 as of December 31, 2024 was allocated to the SLS segment. No goodwill was recorded as of December
31, 2023 for either segment.

Revenue and costs are directly attributed
to our segments