Company: PDEX
Filing Date: 2025-05-01
Form Type: 10-Q
Source: 0001079973-25-000729
Chunk: 34

Company: PRO DEX INC
Filing Date: 2025-05-01
Form: 10-Q
Item: Item 8
Chunk 34
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 operating procedures, provide adequate
training to stockroom personnel, and continue our cycle count procedures.

 Internal
Control Over Financial Reporting

During
the three months ended March 31, 2025, there were no changes in our internal controls over financial reporting (as defined in Rule 13a-15(f)
and 15d-15(f) under the Exchange Act) that have materially affected, or are reasonably likely to materially affect, our internal controls
over financial reporting.

Inherent Limitations
on the Effectiveness of Controls

In designing and evaluating
our disclosure controls and procedures, our management recognized that any system of controls and procedures, no matter how well designed
and operated, can provide only reasonable assurance of achieving the desired control objectives, as ours are designed to do, and management
necessarily was required to apply its judgment in evaluating the cost-benefit relationship of possible controls and procedures.

Because
of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Also, projections of any
evaluation of effectiveness to future periods are subject to the risks that controls may become inadequate because of changes in conditions,
or that the degree of compliance with the policies or procedures may deteriorate.

25 

PART II —
OTHER INFORMATION

ITEM 1.LEGAL PROCEEDINGS

See
Note 14 to condensed consolidated financial statements contained elsewhere in this report.

ITEM 1A.RISK FACTORS

Our business, future financial
condition, and results of operations are subject to a number of factors, risks and uncertainties, which are disclosed in Item 1A, entitled
“Risk Factors” in Part I of our Annual Report on Form 10-K for our fiscal year ended June 30, 2024, as well as any amendments
thereto or additions and changes thereto contained in this quarterly report on Form 10-Q for the quarter ended March 31, 2025. Additional
information regarding some of those risks and uncertainties is contained in the notes to the condensed consolidated financial statements
included elsewhere in this report and in Part I, Item 2, entitled “Management’s Discussion and Analysis of Financial Condition
and Results of Operations.” The risks and uncertainties disclosed in our Form 10-K, our quarterly reports on Form 10-Q and other
reports filed with the SEC are not necessarily all of the risks and uncertainties that may affect our business, financial condition and
results of operations in the future. There have been no material changes to the risk factors as disclosed in our