Company: CXAI
Filing Date: 2025-03-07
Form Type: 424B3
Source: 0001829126-25-001566
Chunk: 23

Company: CXApp Inc.
Filing Date: 2025-03-07
Form: 424B3
Chunk 23
---
 be recorded at their initial fair value on the date of issuance as a warrant liability and adjusted to the then fair value
in each balance sheet date thereafter.

Changes in the estimated fair value of the
warrants are recognized as a non-cash gain or loss on the condensed consolidated statements of operations and amounting to $1,052
thousand loss, $3,575
thousand loss, $5,220
thousand gain, $5,134
thousand loss, and $0
thousand for the three months ended September 30, 2024 (Successor), for the nine months ended September 30, 2024
(Successor), for the three months ended September 30, 2023 (Successor), for the period from March 15, 2023 to
September 30, 2023 (Successor), and the period from January 1, 2023 to March 14, 2023 (Predecessor), respectively. The Company
utilized the Public Warrant quoted market price as the fair value of the Warrants as of each relevant date.

Earnings Per Share

The Company computes basic and diluted earnings
per share by dividing net income by the weighted average number of common shares outstanding during the period. Diluted earnings per
share are similarly calculated with the inclusion of dilutive common stock equivalents. For the three and nine months ended September
30, 2024 (Successor), basic and dilutive net loss per common share were the same since the inclusion of common shares issuable pursuant
to the exercise of options, warrants, and vesting of restricted units in the calculation of diluted net loss per common shares would
have been anti-dilutive. For the period from March 15, 2023 to September 30, 2023 (Successor), the common shares issuable were excluded
from the calculation because (i) the warrants were below their exercise price and (ii) the stock options were not vested.

<div align='center'>13

CXAPP INC. AND SUBSIDIARIES
NOTES TO UNAUDITED CONDENSED CONSOLIDATED FINANCIAL STATEMENTS</div>

The following table summarizes the number of common
shares and common share equivalents excluded from the calculation of diluted net loss per common share for the three and nine months ended
September 30, 2024 (Successor), for the three months ended September 30, 2023 (Successor), and for the