Company: SLMT
Filing Date: 2025-05-28
Form Type: 20-F/A
Source: 0001213900-25-048029
Chunk: 21

Company: Brera Holdings PLC
Filing Date: 2025-05-28
Form: 20-F/A
Chunk 21
---
 – See Notes 2 and 11. Significant assumptions for measurement used                                             
 by management in estimating the expected credit loss include weighted-average loss rate or default rate, current and future financial          
 situation of debtors for individual receivables that management is aware will be difficult to collect, and future general economic conditions. |

| - | Share-based compensation – See Notes 2 and 18. Management uses significant assumptions to measure                                     
 the fair value of options and warrants, including the use of the Black-Scholes pricing model. The Black-Scholes model has its own set 
 of assumptions including volatility of the underlying shares.                                                                         |

| - | Leases – See Note 2. Management makes significant assumptions regarding lease terms, exercise options 
 and present value methodologies in determining the value of its right-of-use assets.                  |

| - | Intangible assets – See Note 2. Management makes significant assumptions regarding lease terms, 
 exercise options and present value methodologies.                                               |

ITEM 11. QUANTITATIVE AND QUALITATIVE DISCLOSURE ABOUT MARKET RISK Brera’s activities expose it to a variety of financial risks: market risk (including foreign currency risk and interest rate risk), credit risk and concentration risk. The overall risk management strategy focuses on the unpredictability of the finance markets and seeks to minimize the potential adverse effects on financial performance. Risk management is carried out under the direction of the board of directors. Risk Management Overview Market risk represents the risk of loss that may impact our financial position due to adverse changes in financial market prices and rates. Our market risk exposure is primarily the result of fluctuations in interest rates and foreign exchange rates as well as, to a lesser extent, inflation and credit and concentration risks. This section provides information about our exposure to each of these risks, our objectives, policies and processes for measuring and managing risk. Further quantitative disclosures are included throughout the consolidated financial statements. Interest Rate Risk We are exposed to market risks in the ordinary course of our business. Our primary interest rate relates to interest-bearing long-term borrowings. The effect of rising interest rates on our financial condition is expected to be negligible given that we do not have material debt or accounts receivable. Foreign Currency Exchange Risk The majority of our cash flows, financial assets and liabilities are denominated in euros, which is our functional and reporting currency. We are exposed to financial risk related to the fluctuation of foreign exchange rates and the degree of volatility of those rates. Currency risk is limited to the proportion of our business transactions denominated in currencies