Company: MYSZ
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001641172-25-024073
Chunk: 20

Company: My Size, Inc.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 1
Chunk 20
---
U.S.
dollars in thousands (except share data and per share data)

Note
6 – Business Combination (Cont.)

The
following table summarizes the preliminary fair value of assets acquired and liabilities assumed as of the acquisition date:

Schedule of Preliminary Fair Value of Assets
Acquired and Liabilities 

    Thousands USD 
  
    Inventory 
     96 
  
    Fixed assets 
     14 
  
    Technology** 
     440 
  
    Goodwill 
     134 
  
    Other payables 
     (50)
  
    Sellers payables 
     (401)
  
    Long-term payables 
     (188)
  
    Total consideration paid 
     45 

*The
                                            estimated useful life of the technology is 2 years. 

**The
                                    technology was calculated using MEEM replacement cost and is ranked as Level 3 assets as there is
                                    no active market.

    (c)
    Acquisition-related
    costs

The
Company did not incur any direct transaction costs during the six month period ended June 30, 2025 which were included in general
and administrative expenses in the consolidated statements of income (loss).

Note
7 – Goodwill

As
of June 30, 2025 the Company has experienced a triggering event in the reporting period due to sustained decreases in the Company’s
share price and a decline in actual and forecasted operating results, prompting impairment assessments of goodwill and long-lived assets
including definite-lived intangibles.

The
table below indicates changes in the most significant inputs to the Company’s impairment analysis on each testing date since its
last annual test for the Fashion and equipment e-commerce platform segment.

Schedule of Impairment Analysis 

    Discount
    rate  
    Terminal
                                             growth
                                            rate  
    Revenue
                                             growth
                                            rate 
  
    Testing
    dates 

    December
    31, 2024 
     22.5% 
     3% 
     7.5%-65.6%
  
    June
    30, 2025 
     22.5% 
     3% 
     7.5%-31.6%

In
June 2025, the Company updated the forecasted future cash flows used in the impairment assessment, including revenues and margin to reflect
current conditions. Other changes in valuation assumptions included selection of lower revenue growth rates based upon an assessment
of current market conditions. As a