Company: OSRH
Filing Date: 2025-05-20
Form Type: 10-Q
Source: 0001213900-25-045947
Chunk: 296

Company: OSR Holdings, Inc.
Filing Date: 2025-05-20
Form: 10-Q
Item: Part I, Item 8
Chunk 296
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 financial risks such as market risk (exchange risk, interest rate risk), credit risk and liquidity risk due
to various activities. The Group’s overall risk management policy focuses on volatility in the financial markets and focuses on minimizing
any negative impact on financial performance. Risk management is conducted under the supervision of the finance department according
to the policy approved by the Board of Directors. The finance department identifies, evaluates and manages financial risks in close cooperation
with the sales departments. The Board of Directors provides written policies on overall risk management principles and specific areas
such as foreign exchange risk, interest rate risk, credit risk, use of derivative and non-derivative financial instruments, and investments
in excess of liquidity.

12

Market
risk management

Market
risk is the risk of possible losses which arise from the changes of market factors, such as interest rate, stock price, foreign exchange
rate, commodity value and other market factors related to the fair value or future cash flows of the financial instruments, such as securities,
derivatives and others.

aCurrency
risk

The
following table sets forth the result of foreign currency translation into Korean won for financial assets and liabilities denominated
in foreign currency of the Group as of March 31, 2025 and December 31, 2024:

    March 31, 2025 

    USD  
    EUR  
    CHF 
  
    Assets in foreign currency 
    $1,272,464  
    $305,601  
    $591,247 
  
    Liabilities in foreign currency 
     11,334,006  
     (172,887) 
     (208,705)

    December 31, 2024 

    USD  
    EUR  
    CHF 
  
    Assets in foreign currency 
    $37,902  
    $278,766  
    $582,222 
  
    Liabilities in foreign currency 
     1,929,368  
     139,672  
     160,875 

The
following table sets forth the impact of strengthening (or weakening) of the Korean won by a hypothetical 10% against each foreign currency
on the Group’s after-tax profit (or loss), assuming all other variables remain constant.

    March 31, 2025  
    December 31, 2024 

    Rise  
    Fall  
    Rise  
    Fall 
  
    USD 
    $(1