Company: PFSA
Filing Date: 2025-06-13
Form Type: 10-Q
Source: 0001213900-25-054386
Chunk: 43

Company: Profusa, Inc.
Filing Date: 2025-06-13
Form: 10-Q
Item: Part I, Item 1
Chunk 43
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 date of issuance, and each balance sheet date thereafter. Changes in the estimated fair value of the conversion feature are
recognized as non-cash gains or losses in the accompanying condensed consolidated statements of operations.

The key assumptions in the model relate to expected
share-price volatility, risk-free interest rate, exercise price, expected term and the probability of occurrence of the transaction. The
expected volatility was based on the average volatility of special purpose acquisition companies that are searching for an acquisition
target. The risk-free interest rate is based on the U.S. Treasury zero-coupon yield curve on the grant date for a maturity similar to
the expected remaining life of the note. The expected life of the note is assumed to be equivalent to their remaining contractual term.

23

Note 9 – Segment Information

ASC Topic 280, “Segment Reporting,”
establishes standards for companies to report in their financial statement information about operating segments, products, services,
geographic areas, and major customers. Operating segments are defined as components of an enterprise that engage in business activities
from which it may recognize revenues and incur expenses, and for which separate financial information is available that is regularly
evaluated by the Company’s chief operating decision maker, or group, in deciding how to allocate resources and assess performance.

The Company’s chief operating decision
maker (“CODM”) has been identified as its Chief Financial Officer, who reviews the assets, operating results, and financial
metrics for the Company as a whole to make decisions about allocating resources and assessing financial performance. Accordingly, management
has determined that there is only one reportable segment.

The CODM assesses performance for the single
segment and decides how to allocate resources based on net loss that also is reported on the statement of operations as net loss. The
measure of segment assets is reported on the balance sheet as total assets. When evaluating the Company’s performance and making
key decisions regarding resource allocation, the CODM reviews several key metrics included in net loss and total assets, which
include the following:

    As of March 31, 2025 
    As of December 31, 2024
  
    Trust Account 
    $1,920,401  
    $8,330,835 
  
    Cash 
    $—  
    $16,204 
  
    Restricted Cash 
    $18,450  
    $— 

    For the Three Months Ended March 31, 2025  
    For the Three Months Ended March 31,