Company: SOBR
Filing Date: 2025-05-16
Form Type: 10-Q/A
Source: 0001477932-25-003898
Chunk: 37

Company: SOBR Safe, Inc.
Filing Date: 2025-05-16
Form: 10-Q/A
Chunk 37
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 following developments occurred and are reflective of the reverse stock split completed on April 2, 2025 as detailed below:

| ➢ | On April 4, 2025, we effected a 1-for-10 reverse stock split, a Share Combination Event, of the Company’s common stock. Fractional shares as a result of the reverse stock split were rounded up to one full share of common stock. Following the reverse stock split, the exercise price of the Series A Warrants issued in conjunction with the 2024 PIPE Financing was reduced to the Floor Price of $7.60 per common share and resulted in an additional 110,273 warrants issued to the remaining warrant holders. Further, the Share Combination Event resulted in the calculation of a True-up Payment due to the remaining holders limited to a ceiling of $1,640,000. We have evaluated the impact of the True-up Payment liability and determined that the amount will not have an impact on our ability to continue and fund operations going forward. |

| 27 |

Results of Operations for Three Months Ended March 31, 2025 Compared to Three Months Ended March 31, 2024

Summary of Results of Operations

|                                    |     | Three Months Ended March 31, |       2025 |     |   |       2024 |
|:-----------------------------------|:----|:-----------------------------|-----------:|:----|:--|-----------:|
| Revenue                            |     | $                            |     86,617 |     | $ |     47,990 |
| Cost of goods and services         |     |                              |     35,653 |     |   |     24,781 |
| Gross profit                       |     |                              |     50,964 |     |   |     23,209 |
| Operating expenses:                |     |                              |            |     |   |            |
| General and administrative         |     |                              |  1,823,469 |     |   |  1,415,562 |
| Stock-based compensation expense   |     |                              |    139,678 |     |   |    214,398 |
| Research and development           |     |                              |     40,924 |     |   |    102,034 |
| Total operating expenses           |     |                              |  2,004,071 |     |   |  1,731,994 |
| Operating loss                     |     |                              | -1