Company: XTIA
Filing Date: 2025-11-19
Form Type: 10-Q
Source: 0001213900-25-112615
Chunk: 599

Company: XTI Aerospace, Inc.
Filing Date: 2025-11-19
Form: 10-Q
Item: Part II, Item 1A
Chunk 599
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, cause dilution to our stockholders and harm our business, financial
condition or operating results.

The Drone Nerds and Anzu Robotics acquisitions,
and any future acquisitions that we successfully consummate, could subject us to a number of risks, including, but not limited to:

    ●
    the purchase price we pay and/or unanticipated costs could significantly deplete our cash reserves or result in dilution to our existing stockholders;

    ●
    we may find that the acquired company or technologies do not improve our market position as planned;

    ●
    we may have difficulty integrating the operations and personnel of the acquired company, as the combined operations will place significant demands on the Company’s management, technical, financial and other resources;

    ●
    personnel, vendors, suppliers and customers of the acquired company may terminate their relationships with the acquired company as a result of the acquisition;

    ●
    we may experience additional financial and accounting challenges and complexities in areas such as tax planning and financial reporting;

    ●
    we may assume or be held liable for risks and liabilities (including environmental-related costs) as a result of our acquisitions, some of which we may not be able to discover during our due diligence investigation or adequately adjust for in our acquisition arrangements (for example, even if we secure indemnification protections in connection with these acquisitions from undisclosed liabilities, there may not be adequate resources to cover such indemnity);

    ●
    our ongoing business and management’s attention may be disrupted or diverted by transition or integration issues and the complexity of managing geographically or culturally diverse enterprises;

    ●
    we may incur one-time write-offs or restructuring charges in connection with the acquisition;

    ●
    we may acquire goodwill and other intangible assets that are subject to amortization or impairment tests, which could result in future charges to earnings; and

    ●
    we may not be able to realize the cost savings or other financial benefits we anticipated.

59

We cannot assure you that, following the acquisitions
of Drone Nerds or Anzu Robotics or any future acquisition, our continued business will achieve sales levels, profitability, efficiencies
or synergies that justify the acquisition or that the acquisition will result in increased earnings for us in any future period. These
factors could have a material adverse effect on our business, financial condition and operating results.

We may not be able to successfully integrate
the business and operations of Drone Nerds, Anzu Robotics or other entities that we have acquired or may acquire in the future into our
ongo