Company: ARAI
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001493152-25-023457
Chunk: 79

Company: Arrive AI Inc.
Filing Date: 2025-11-14
Form: 10-Q
Item: Part I, Item 8
Chunk 79
---
 2025, an increase of $171,914 as compared to the same
period in the prior year. This is primarily due to higher independent contractor spend ($42,911) and a one-time vendor credit in the
prior year period of $129,351.

Marketing
expenses were $107,530 for the three months ended September 30, 2025, an increase of $79,116 from the same period in the prior year.
The increase is due to higher travel expenses ($58,821) and advertising expenses ($20,295) in the current quarter.

Other
Income/Expenses:

    Three Months Ended
                                                                                September 30,  
    $  
    % 

    2025  
    2024  
    Change  
    Change 

    Other income 
    $23,388  
    $5,434  
    $17,954  
     330%
  
    Interest expense and bank charges 
     (580,021) 
     (1,192) 
     (578,829) 
     48,559 
  
    Realized gain (loss) on investments 
     46,491  
     -  
     46,491  
     NM 
  
    Unrealized gain (loss) on investments 
     (76,120) 
     -  
     (76,120) 
     NM 

    $(586,262) 
    $4,242  
    $(590,504) 
     (13,920)%

Other
income for the three months ended September 30, 2025, was $23,388. Income was recognized from payroll tax refunds earned under the federal
R&D tax credit program of $18,780, and interest income of $4,608.

Interest
expense of $580,021 was comprised primarily of investment banking charges resulting from the issuance of the convertible note ($240,000),
the amortization of the original issue discount ($165,333), and accrued interest on the note ($165,832). Interest accrued on a right
to use asset was $4,405, and other miscellaneous interest and bank fees was $4,451 in the period.

Realized
gains on investments were $46,491, and unrealized losses were $76,120 for the quarter ended September 30, 2025. During the quarter, the
Company engaged in