Company: LTRYW
Filing Date: 2025-08-19
Form Type: 10-Q
Source: 0001641172-25-024882
Chunk: 259

Company: Lottery.com Inc.
Filing Date: 2025-08-19
Form: 10-Q
Item: Part II, Item 8
Chunk 259
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2024 resulting in a decrease
of approximately $225,000 for the six months ended June 30, 2025, a decrease of approximately $139,000 because Tinbu intangibles became
fully amortized in the summer of 2024, and a decrease of approximately $146,000 related to other intangible assets becoming fully amortized
at the end of 2024.

Other
(Income) Expense, Net.

    For the six months Ended June 30,  

    2025  
    2024  
    $ Change  
    % Change 

    Other expenses 

    Interest expense 
     (60,119) 
     224,031  
     (284,150) 
     -127%
  
    Other expense 
     (88,605) 
     8,684  
     (97,289) 
     -1,120%
  
    Total other expenses, net 
     (148,724) 
     232,715  
     (381,439) 
     -164%

Interest Expense (Income).
Interest income for the six months ended June 30, 2025 was $60,000 vs interest expense of $224,000 for the six months ended June 30, 2024,
a decrease of $284,000 or 127%. Interest accrual for convertible debt was lower for the six months ended June 30, 2025 due to lower balances
for convertible debt as a result of conversions to equity. Additionally, an accrual for $196,000 was recorded in the three months ended
March 31, 2025 for accrued interest income on a note receivable.

Other
Expense. Other income was $89,000 for the six months ended June 30, 2025 vs. $9,000 of other expense for the six months ended June
30, 2024.

Liquidity
and Capital Resources

Prior
to the Operational Cessation, our primary need for liquidity was to fund working capital requirements of our business, growth, capital
expenditures and for general corporate purposes. Our primary source of liquidity had historically been funds generated by financing activities.
Upon the Closing of the business combination on October 29, 2021, we received net proceeds of approximately $42.8 million in cash.

Following
the Operational Cessation, our primary need for liquidity has been to fund the restart