Company: APCXW
Filing Date: 2025-11-13
Form Type: 10-Q
Source: 0001683168-25-008326
Chunk: 8

Company: AppTech Payments Corp.
Filing Date: 2025-11-13
Form: 10-Q
Item: Part I, Item 1
Chunk 8
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 reflect all adjustments, consisting of normal,
recurring adjustments, considered necessary for a fair presentation of the results for the interim periods ended September 30, 2025
and September 30, 2024. Although management believes that the disclosures in these unaudited financial statements are adequate to
make the information presented not misleading, certain information and footnote disclosures normally included in unaudited condensed consolidated
financial statements that have been prepared in accordance with U.S. GAAP have been omitted pursuant to the rules and regulations of the
SEC. These unaudited condensed consolidated financial statements should be read in conjunction with the Company’s financial statements
and notes related thereto and included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2024, filed with
the SEC on March 31, 2025. The interim results for the nine months ended September 30, 2025 are not necessarily indicative of the results
to be expected for the year ending December 31, 2025 or for any future interim periods.

Basis of Consolidation

The consolidated unaudited financial statements
include the accounts of AppTech, and wholly owned subsidiaries of which the Company is the primary beneficiary. All significant inter-company
accounts and transactions are eliminated in consolidation.

Use of Estimates

The preparation of the financial statements in
conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported
amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the
reported amounts of revenues and expenses during the reporting period.

Concentration of Credit Risk

Cash and cash equivalents are maintained at financial
institutions and, at times, balances may exceed federally insured limits of $250,000 per institution that pays Federal Deposit Insurance
Corporation (“FDIC”) insurance premiums. The Company has never experienced any losses related to these balances.

The accounts receivable from merchant services
are paid by the financial institutions on a monthly basis. As of September 30, 2025, 53% of the accounts receivable balance was generated
from two customers. As of December 31, 2024, the top three customers accounted for 88% of total accounts receivable.

For the nine months ended September 30, 2025,
68% of the Company’s revenue was generated from two customers. For the nine months ended September 30, 2024, the top three customers
represented 77% of