Company: CXAI
Filing Date: 2025-11-12
Form Type: 424B3
Source: 0001829126-25-009079
Chunk: 6

Company: CXApp Inc.
Filing Date: 2025-11-12
Form: 424B3
Chunk 6
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 financial statements.

5

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

NOTE 1 – Organization, Nature of Business and Basis of Presentation

CXApp Inc. and its subsidiaries (“CXApp” or the “Company”) is in the business of delivering intelligent enterprise workplace experiences. The CXApp SaaS platform is anchored on the intersection of customer experience (CX) and artificial intelligence (AI) providing digital transformation for the physical workplace for enhanced experiences across people, places and things.

The CXApp SaaS platform offers a suite of leading-edge technology workplace experience solutions including an enterprise employee application, indoor mapping, on-device positioning, augmented reality technologies, generative AI applications and an AI-based analytics platform, targeting the emerging hybrid workplace market. CXApp creates a connected workplace by reducing app overload, data fragmentation, and complex workflows and streamlines all capabilities through The Workplace SuperApp. All features, services and integrations are housed in one easy-to-access platform allowing businesses to deliver a more holistic employee experience in a hybrid workplace.

NOTE 2 – Summary of Significant Accounting Policies

Liquidity

As of September 30, 2025, the Company had a working capital deficiency of approximately $711 thousand and cash and cash equivalents of approximately $5,088 thousand. For the three and nine months ended September 30, 2025, the Company incurred net losses of approximately $3,157 thousand and $7,912 thousand, respectively. During the nine months ended September 30, 2025, the Company used approximately $6,750 thousand of cash for operating activities.

The Company cannot assure that it will ever earn revenues sufficient to support their operations, or that it will ever achieve profitable operations. The Company’s recurring losses and cash utilization raise doubt about its ability to continue as a going concern. However, management
believes these conditions have been mitigated for at least twelve months from the issuance date of these condensed consolidated financial
statements, due to the Company’s recent financing arrangements and expense reduction initiatives. Based on current operating plans and
available liquidity, management estimates available cash and committed funding will sustain operations through Q4 2026.

On March 26, 2025, the Company entered into a Securities Purchase Agreement (“SPA”) with Avondale Capital, LLC, under which the Company may
issue and sell one or more Pre-Paid Purchase Agreements for up to an aggregate of $20,000 thousand in exchange