Company: XTIA
Filing Date: 2025-05-19
Form Type: 10-Q
Source: 0001213900-25-045396
Chunk: 51

Company: XTI Aerospace, Inc.
Filing Date: 2025-05-19
Form: 10-Q
Item: Part I, Item 1
Chunk 51
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uted 
     3,384,736  
     21,467 

The basic earnings per share calculation for the
three months ended March 31, 2025 and 2024 included 1,876,000 shares of common stock issuable upon exercise of Pre-funded Warrants issued
in the March Offering and 2,197 penny warrant shares, respectively, since the exercise price was either at or below $0.01 per share. Additionally,
the basic earnings per share calculation for the three months ended March 31, 2024 included 944 shares of common stock that were issuable
to Xeriant related to the joint venture arrangement that expired by its term on May 31, 2023. The shares were issued to Xeriant for no
additional consideration immediately prior to the XTI Merger.

The following potentially dilutive shares were excluded from the computation
of diluted net loss per share attributable to common stockholders for the periods presented, because including them would have been anti-dilutive
(on an as-converted basis):

    For the Three Months
Ended March 31, 

    2025  
    2024 
  
    Options 
     51,185  
     4,563 
  
    Warrants 
     65,774  
     1,773 
  
    Convertible preferred stock 
     2  
     2 
  
    Convertible notes 
     —  
     3,916 
  
    Total 
     116,961  
     10,254 

Note 20 - Subsequent Events

Pre-funded Warrant Exercises

Subsequent to March 31, 2025, 1,500,000 Pre-funded
Warrants issued in connection with the March Offering were exercised at an exercise price per share of $0.001, resulting in the issuance
of 1,500,000 shares of common stock. As of the date of this filing, there are 376,000 Pre-funded Warrants outstanding.

Advisory Agreement

On May 13, 2025, the Company entered into an advisory
agreement with a third-party advisor, pursuant to which the Company agreed to pay $85,000 in cash and issue 125,000 shares of restricted
common stock, subject to certain registration rights, to the advisor in consideration for financial advisory services agreed to be rendered
to the Company pursuant to the advisory agreement. Fifty percent of the cash