Company: XTIA
Filing Date: 2025-11-19
Form Type: 10-Q
Source: 0001213900-25-112615
Chunk: 80

Company: XTI Aerospace, Inc.
Filing Date: 2025-11-19
Form: 10-Q
Item: Part I, Item 1
Chunk 80
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 the development of the TriFan 600 airplane.

    ●
    Sales and marketing expenses, which increased by $1.7 million, as the Company invested more in brand development and awareness, trade show participation, and business development initiatives.

    ●
    General and administrative expenses, which increased by $8.7 million, due primarily to an increase of approximately $8.2 million in stock-based compensation and an increase in administrative headcount to support operational growth.

Other (Expense) Income

Other (expense) income for
the three months ended September 30, 2025 was income of $1.4 million compared to a loss of $0.2 million for the comparable period in
the prior year.

The income for the three months
ended September 30, 2025 was primarily attributable to the recognition of a $2.2 million gain related to the change in fair value of a
warrant liability which was partially offset by $0.8 million of financing costs incurred relating to the issuance of warrants in connection
with the September Offering.

Income Tax Benefit (Provision)

The income tax benefit (provision)
for the three months ended September 30, 2025 and 2024 was immaterial.

Nine Months Ended September 30, 2025 compared
to the Nine Months Ended September 30, 2024

The following table sets
forth selected consolidated financial data and as a percentage of period-over-period change:

    Nine Months Ended September 30,  

    2025  
    2024  
    $  
    % 
  
    (in thousands, except percentages) 
    Amount  
    Amount  
    Change*  
    Change* 
  
    Revenues 
    $3,568  
    $2,169  
    $1,399  
     64%
  
    Cost of revenues 
    $1,673  
    $846  
    $827  
     98%
  
    Gross profit 
    $1,895  
    $1,323  
    $572  
     43%
  
    Operating expenses 
    $38,236  
    $28,343  
    $9,893  
     35%
  
    Loss from operations 
    $(36,341) 
    $(27,020) 
    $(9,321) 
     34%
  
    Other (expense) income 
    $(10,840)