Fundamental Global Inc 2025年季度报告

For the Quarterly Period EndedMarch 31,2025Or (Address of principal executive offices and zip code) ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS ITEM 4. CONTROLS AND PROCEDURESPART II. OTHER INFORMATION ITEM 1A. RISK FACTORS ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDSITEM 3. DEFAULTS UPON SENIOR SECURITIES ITEM 5. OTHER INFORMATION SIGNATURES managed service offerings including remote network operating center support, on-site field service, content delivery, installation and otherservices designed to support cinema and entertainment operators. The Company owned and operated its Digital Ignition technology incubator and co-working facility in Alpharetta, Georgia. During the firstquarter of 2024, the Company’s board authorized the sale of Digital Ignition and, on April 16, 2024, the Company completed the sale of theDigital Ignition building and wholly owned subsidiary for proceeds of $6.5million. In April 2024, the Company received approximately $1.3million in cash, after payment of closing costs and repayment of debt at closing. In connection with the sale of the land and building, the Discontinued OperationsThe Company operates a reinsurance business, which has been classified as assets held for sale as of December 31, 2024. The Company enteredinto an agreement for the sale of a portion of its reinsurance business for $5.6million, which it expects to close in the first half of 2025. TheCompany also intends to sell the remaining portion of the reinsurance business in 2025. These discontinued business units are more fully described in Note 4.Note 2.Significant Accounting PoliciesBasis of PresentationThe condensed consolidated financial statements include the accounts of the Company and all majority-owned and controlled domestic and America (also referred to as “GAAP”) for annual reporting purposes or those made in the Company’s Annual Report on Form 10-K. Thesecondensed consolidated financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2024. As a result of the reverse merger of FGF and FGH, the condensed consolidated financial statements for the periods prior to the merger representthe results of FGH, as the accounting acquirer. For periods subsequent to the merger, the condensed consolidated financial statements represent the combined results of FGH and FGF. See Note 3 for additional information regarding the Merger of FGF and FGH and the resultingaccounting for the reverse acquisition.In addition, the current and historical financial results of Strong Studios and Strong/MDI are presented as discontinued operations and areexcluded from results from continuing operations in the accompanying condensed consolidated financial statements. results for interim periods are not necessarily indicative of trends or results expected for a full year.Unless otherwise indicated, all references to “dollars” and “$” in this Form 10-Q are to, and amounts are presented in, U.S. dollars. affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financialstatements and the reported amounts of revenues and expenses during the reporting period. Actual results and changes in facts and circumstances may alter such estimates and affect results of operations and financial position in future periods. Estimates and their underlyingassumptions are reviewed on an ongoing basis. Changes in estimates are recorded in the accounting period in which they are determined.Our business and the businesses of our equity holdings are subject to general political and economic risks, including the adverse impact ofchanges to international trade and tariff policies, which we are closely monitoring. The uncertainty as to the extent and duration of additional Consolidation Policies intercompany balances and transactions have been eliminated upon consolidation.The condensed consolidated financial statements include the accounts of the Company and entities in which it is required to consolidate undereither the Variable Interest Entity (“VIE”) or Voting Interest Entity (“VOE”) models. Both models require the reporting entity to identify reporting entity with ownership of a majority of the voting interest of a legal entity is generally considered to have a controlling financialinterest. The VIE model was established for situations in which control may be demonstrated other than by the possession of voting rights in alegal entity and instead focuses on the power to direct the activities that most significantly impact the legal entity’s economic performance, as well as the rights to receive benefits and obligations to absorb losses that could potentially be significant to the legal entity. The determination of whether a legal entity is conso