Quarterly report [Sections 13 or 15(d)]

FAIR VALUE MEASUREMENT

v3.25.1
FAIR VALUE MEASUREMENT
 3 Months Ended
Mar. 31, 2025
Fair Value Disclosures [Abstract]  
FAIR VALUE MEASUREMENT

7. FAIR VALUE MEASUREMENT

 

Assets and liabilities measured at fair value on a recurring basis are as follows:

 

    Level 1     Level 2     Level 3     Total  
    March 31, 2025  
    Level 1     Level 2     Level 3     Total  
Assets:                                
Money market funds   $ 32,932     $ -     $ -     $ 32,932  
Alternative fuel credits     -       47       -       47  
Total assets   $ 32,932     $ 47     $ -     $ 32,979  
                                 
Liabilities:                                
Warrant liability   $ -     $ -     $ 24     $ 24  
Common stock consideration payable     -       -       21,707       21,707  
Total liabilities   $ -     $ -     $ 21,731     $ 21,731  

 

    Level 1     Level 2     Level 3     Total  
    December 31, 2024  
    Level 1     Level 2     Level 3     Total  
Assets:                                
Marketable securities   $ 13,630     $ -     $ -     $ 13,630  
Money market funds     27,347       -       -       27,347  
Alternative fuel credits     -       51       -       51  
Total assets   $ 40,977     $ 51     $ -     $ 41,028  
                                 
Liabilities:                                
Warrant liability   $ -     $ -     $ 22     $ 22  
Common stock consideration payable     -       -       21,028       21,028  
Total liabilities   $ -     $ -     $ 21,050     $ 21,050  

 

In addition to assets and liabilities that are measured at fair value on a recurring basis, we also measure certain assets and liabilities at fair value on a nonrecurring basis. Our non-financial assets, including goodwill, intangible assets, operating lease right of use assets, and property, plant and equipment, are measured at fair value when there is an indication of impairment and the carrying amount exceeds the asset’s projected undiscounted cash flows. These assets are recorded at fair value only when an impairment charge is recognized.

 

Assumptions utilized in the valuation of warrant liabilities are described as follows:

 

    2025     2024  
    For the Three Months Ended  
    March 31,  
    2025     2024  
Risk-free interest rate     4.03 %     5.03 %
Contractual term (years)     1.00       1.00  
Expected volatility     74.00 %     88.00 %
Expected dividend yield     0.00 %     0.00 %

 

The following table sets forth a summary of the changes in the fair value of Level 3 warrant liabilities that are measured at fair value on a recurring basis:

 

    2025  
       
Common Stock Consideration Payable        
Beginning balance as of January 1   $ 21,028  
Change in fair value of consideration payable     679  
Ending balance as of March 31,   $ 21,707  
         
Warrant Liability        
Beginning balance as of January 1   $ 22  
Change in fair value of warrant liability     2  
Ending balance as of March 31,   $ 24  

 

The common stock consideration payable is recorded at fair value of $21,707 and $21,028 as of March 31, 2025 and December 31, 2024, respectively, and is included within consideration payable on the condensed consolidated balance sheets. The Company uses a probability-weighted discounted cash flow approach as a valuation technique to determine the fair value of the common stock consideration payable on the acquisition date and at each reporting period. The significant unobservable inputs used in the fair value measurements are the probability outcome percentages that are assigned to each scenario. Significant increases or decreases to either of these inputs in isolation could result in a significantly higher or lower liability with a higher liability capped by the contractual maximum of the common stock consideration liability.

 

 

BLINK CHARGING CO.

 

NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(in thousands, except for share and per share amounts)