Company: ARAI
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001641172-25-023999
Chunk: 6

Company: Arrive AI Inc.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 2
Chunk 6
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,089 and no federal R&D tax refunds.
Interest expense for the prior-year period was $1,053.

Comparison
of the Six Months Ended June 30, 2025, and June 30, 2024

Revenues:

During
the six months ended June 30, 2025, we recognized total revenues of $90,725. Of this, $89,000 was for design and consulting services,
$1,500 for installation fees, and $725 for monthly subscriptions.

As
a development stage company, during the six months ended June 30, 2024, we had no revenues.

Operating
Expenses:

    Six Months Ended June 30,  
    $  
    % 

    2025  
    2024  
    Change  
    Change 

    General and administrative 
    $6,181,537  
    $1,604,242  
    $4,577,295  
     285%
  
    Research and development 
     384,731  
     540,939  
     (156,208) 
     (29)
  
    Sales and marketing 
     57,263  
     252,746  
     (195,483) 
     (77)

    $6,623,531  
    $2,397,927  
    $4,225,604  
     176%

Our
first half results reflect continued investment in product development and marketing activities. General and administrative expenses
include one-time costs related to the direct listing and financing transaction.

General
and administrative expenses increased by $4,577,295 for the three months ended June 30, 2025, as compared to the three months ended June
30, 2024. Primary components of general and administrative expenses were:

●Salaries
                                            and benefits in total increased by $4,020,908 from the prior year period. This was driven
                                            by $1,866,531 one-time success bonuses paid upon completion of the public listing in May
                                            2025.

- 27 -

●Excluding
                                            the one-time bonus costs, base salaries for the period were $399,186, a reduction of $96,817
                                            from the same period in the prior year due to vacancies.

●Stock-based
                                            compensation for the period was $2,845,223, an increase of $2,239