Company: OPGN
Filing Date: 2025-10-31
Form Type: 10-Q
Source: 0001829126-25-008771
Chunk: 41

Company: OPGEN INC
Filing Date: 2025-10-31
Form: 10-Q
Item: Part I, Item 1
Chunk 41
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30, 2024 consisted of proceeds from the issuance of preferred
stock in connection with the March 2024 Purchase Agreement with Mr. Lazar in addition to proceeds, net of payments, related to our
short-term insurance financing.

Contractual
Commitments 

Other
than the continuing liability under our former headquarters’ office lease, which lease was assigned to a third party in April 2024,
the Company has no other material contractual commitments as of June 30, 2025.

Funding
requirements

Going
forward, our primary use of cash is to fund the Company’s revenue growth and operating expenses, including those costs for general
administrative, digital investment banking platform development and maintenance, and corporate purposes. Our future funding requirements
will depend on the costs associated with repositioning our business and complying with our obligations as a public company. We cannot
provide any assurances that additional financing will not be required in the future to support our operations, but we intend to use financing
opportunities strategically to continue strengthening our financial position and we anticipate funding our operations primarily through
financing arrangements with AEI Capital Ltd., our controlling shareholder.

29

Critical
accounting policies and use of estimates

This
Management’s Discussion and Analysis of Financial Condition and Results of Operations is based on our unaudited condensed consolidated
financial statements, which have been prepared in accordance with GAAP. The preparation of financial statements in conformity with GAAP
requires us to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent
assets and liabilities at the date of the financial statements and the reported amount of revenues and expenses during the reporting period.
In our unaudited condensed consolidated financial statements, estimates are used for, but not limited to, liquidity assumptions, revenue
recognition, stock-based compensation, allowances for credit losses and inventory obsolescence, discount rates used to discount unpaid
lease payments to present values, valuation of derivative financial instruments measured at fair value on a recurring basis, deferred
tax assets and liabilities and related valuation allowance, the estimated useful lives of long-lived assets, and the recoverability of
long-lived assets. Actual results could differ from those estimates.

A
summary of our significant accounting policies is included in Note 3 “Summary of significant accounting policies” to the accompanying
unaudited condensed consolidated financial statements. Certain of our accounting policies are considered critical, as these policies require
significant, difficult or complex judgments by management, often requiring the use of estimates about the effects of matters that