Company: CXAI
Filing Date: 2025-08-13
Form Type: 10-Q
Source: 0001829126-25-006141
Chunk: 42

Company: CXApp Inc.
Filing Date: 2025-08-13
Form: 10-Q
Item: Part I, Item 1
Chunk 42
---
712

    $
    175

    $
    46

    $
    -

    $
    15,933

    Goodwill by geographic area
     
    $
    8,737

    $
    -

    $
    -

    $
    -

    $
    8,737

    31

NOTE 17 – Leases

The Company has operating leases for administrative offices in Canada, the Philippines, and the United States. The Manila, Philippines office lease expires in May 2025, the Canada lease expires in May 2026, and the United States office lease expires in April 2026. The Company has no other operating or financing leases with terms greater than 12 months.

Lease expense for operating leases recorded on the condensed consolidated balance sheet is based on the future minimum lease payments recognized on a straight-line basis over the term of the lease plus any variable lease costs. Operating lease expenses, inclusive of short-term and variable lease expenses, recognized in the Company’s unaudited condensed consolidated statement of operations and comprehensive loss for the three and six months ended June 30, 2025 and June 30, 2024 was approximately $106 thousand and $213 thousand, $109 thousand, and $222 thousand, respectively.

Operating lease liabilities are based on the net present value of the remaining lease payments over the remaining lease term. In determining the present value of lease payments, the Company used its incremental borrowing rate based on the information available at the date of adoption of ASC 842 “Leases” (“ASC 842”). As of June 30, 2025, the weighted average remaining lease term is 1.2 years, and the weighted average discount rate used to determine the operating lease liabilities was 8.0%. As of December 31, 2024, the weighted average remaining lease term is 1.1 years, and the weighted average discount rate used to determine the operating lease liabilities was 8.0%.

    Schedule of operating leases

    (in thousands)
     
    Operating Leases

    Year 2025
     
    $
    208

    Year 2026

    208

    Year 2027

    33 

    Total lease payments

    449

    Less: Imputed interest

    (27
    )
  
    Present value of lease liabilities
     
    $
    422

NOTE 18 – Commitments and Contingencies

Risks and Uncertainties

Various social