Company: SONM
Filing Date: 2025-05-12
Form Type: 10-Q
Source: 0001641172-25-009749
Chunk: 7

Company: SONIM TECHNOLOGIES INC
Filing Date: 2025-05-12
Form: 10-Q
Item: Item 8
Chunk 7
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 the Company’s accounts receivable, net:

 Schedule of Accounts Receivable

    March 31,
                                                                                2025  
    December 31, 2024 
  
    Trade receivables 
    $7,555  
    $6,906 
  
    Allowance for credit losses 
     (2,706) 
     (2,567)
  
    Total accounts receivable 
    $4,849  
    $4,339 

As
of January 1, 2024, accounts receivable, net, was $25,304 and non-trade receivables was $961.

The
Company has non-trade receivables from manufacturing vendors resulting from the sale of components to the vendors who manufacture and
assemble final products for the Company.

The
Company determines the probability of default for each pool of receivables with similar risk characteristics. The probability of loss
is applied to the value of the receivables and an allowance for potential credit losses is recorded with the offset to credit loss expense.

One
customer accounts for 23% and 33%, respectively, of accounts receivable, net, at March 31, 2025, and December 31, 2024. Four additional
customers account for 17%, 14%, 12%, and 11% of accounts receivable, net, at March 31, 2025. Two additional customers account for 24%
and 12% of accounts receivable, net, at December 31, 2024.

In
October 2023, the Company stopped sales of the white label products to its customer as the product reached the end of its life cycle.
In February 2024, an agreement was executed that transferred $11,308 of the receivables to the manufacturer of the white label products
in exchange for relieving the Company of a $11,308 accounts payable liability.

    8

The
following table presents the components of the Company’s inventory:

 Schedule of Inventory

    March 31,
                                                                                2025  
    December 31,
                                                                                2024 
  
    Devices – for resale 
    $3,904  
    $4,633 
  
    Raw materials 
     4,305  
     5,598 
  
    Accessories 
     411  
     390 
  
    Inventory, net 
    $8,620  
    $10,621 

For
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