Company: SLNH
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001641172-25-010886
Chunk: 194

Company: Soluna Holdings, Inc
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 8
Chunk 194
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 periods related to grants
    that fully vested during 2024 and in January of 2025, as well as reductions in expense related to the modification accounting of
    grants that occurred in the second quarter of  2024.

    ●
    Professional fees increased approximately $832 thousand in relation to legal fees associated with registration of the SEPA and other SEC regulatory and compliance matters, in addition to higher fees associated with consulting matters.

    ●
    
    Other changes in general and administrative expenses
    were not material.

Depreciation and Amortization associated with
general and administrative expenses: Depreciation and amortization expense was comparable for the three months ended March 31,
2025 and three months ended March 31, 2024 in which the balances totaled approximately $2.4 million, respectively. The balances mainly
related to amortization expense related to the strategic pipeline contract that was acquired in October 2021.

45

Interest expense: Interest expense for
the three months ended March 31, 2025 was approximately $837 thousand compared to the $424 thousand for the three months ended March 31,
2024. See table below noting the difference mainly relates to the new loans entered into in fiscal year 2024 and 2025 (June and July SPA,
Galaxy Loan, and equipment loan), which includes amortization of deferred financing costs.

    (Dollars in thousands) 
    Three months ended March 31, 

    2025  
    2024 

    NYDIG interest expense 
    $357  
    $361 
  
    Navitas interest expense 
     2  
     63 
  
    June SPA interest expense 
     389  
     - 
  
    July SPA interest expense 
     33  
     - 
  
    Galaxy loan interest expense 
     42  
     - 
  
    Equipment loan interest expense 
     15  
     - 
  
    Interest expense 
    $838  
    $424 

Gain (Loss) on Debt Extinguishment and Revaluation,
net: For the three months ended March 31, 2025, there was a gain on extinguishment of debt of approximately $551 thousand. The
gain was in relation to the fulfillment of the Assignment and Assumption Agreement for the Additional Notes on March 14, 2025.

For the three months ended March 31, 2024, the Company
inc