Company: VLDXW
Filing Date: 2025-08-06
Form Type: 10-Q
Source: 0001641172-25-022448
Chunk: 12

Company: Velo3D, Inc.
Filing Date: 2025-08-06
Form: 10-Q
Item: Part I, Item 1
Chunk 12
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2024, the Company commenced the trading of its common stock and warrants on the OTCQX Best Market.

Going
Concern, Financial Condition and Liquidity and Capital Resources

The
unaudited condensed consolidated interim financial statements have been prepared on the basis of continuity of operations, the realization
of assets and satisfaction of liabilities in the ordinary course of business. The Company has incurred losses from operations and negative
cash flows from operations in every year since inception and expects this to continue for the foreseeable future. As of June 30, 2025,
the Company had an accumulated deficit of $(469.5) million and cash and cash equivalents on hand of approximately $0.9 million.

Management
believes that substantial doubt exists about the Company’s ability to continue as a going concern. As of the date of the
issuance of these unaudited condensed consolidated interim financial statements, the Company does not have sufficient liquidity to meet
its operating needs and satisfy its obligations for at least 12 months from the date of issuance of the these unaudited condensed consolidated
interim financial statements.

On April 1, 2024, the Company entered into
a second note amendment (the “Second Note Amendment”) to its Secured Notes with High Trail Investments ON LLC and HB SPV I
Master Sub LLC, (“the Note Holders”). Pursuant to the Second Note Amendment, the Company agreed to make and made a cash payment
of $5.0 million on April 1, 2024, to redeem approximately $4.2 million of aggregate principal amount of the Secured Notes, together with
accrued and unpaid interest, and a cash payment of $5.5 million on April 15, 2024, to repay approximately $4.6 million of principal of
the Secured Notes, together with accrued and unpaid interest. In connection with the Second Note Amendment, the Company issued to the
Note Holders warrants to purchase 41,808 shares of the Company’s common stock that became exercisable 45 days after the original
issuance date at an exercise price of $239.22 per share. The Note Holders may exercise the Warrants by paying the exercise in cash or
by reducing the outstanding principal amount under the Secured Notes by an amount equal to the quotient of (A) the amount of the exercise
price divided by (B) 1.20.

On April 10, 2024, the
Company sold (such sale and issuance