Company: NEOV
Filing Date: 2025-05-09
Form Type: 10-Q
Source: 0001683168-25-003355
Chunk: 16

Company: NeoVolta Inc.
Filing Date: 2025-05-09
Form: 10-Q
Item: Part I, Item 8
Chunk 16
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31, 2025 were $4,136,167 compared to $2,085,976 for
the nine months ended March 31, 2024. Such increase was mainly due to our engagement of a new chief executive officer, who was engaged
at an annual salary of $350,000 and also received a 4 year amortizing equity award of $2,854,000, as well as the hiring of several other
employees since April 2024. The addition of these personnel has resulted in a higher level of both cash compensation expense and other
associated expenses, such as marketing and travel, as well as non-cash stock compensation expenses related to the Company’s equity
incentive programs.

Research and Development
Expense - Research and development expenses for the nine months ended March 31, 2025 were $78,888 compared to $10,392 for the nine
months ended March 31, 2024. Such fluctuation was largely due to timing differences in the level of the Company’s recent product
development efforts.

Other Income and Expense
- Interest expense for the nine months ended March 31, 2025 was $103,045 compared to zero for the nine months ended March 31, 2024, reflecting
interest attributable to borrowings made under our line of credit and another borrowing arrangement obtained since June 30, 2024. Interest
income for the nine months ended March 31, 2025 was $1,872 compared to $28,946 for the nine months ended March 31, 2024. This decrease
was due to our lower level of investable cash in the nine months ended March 31, 2025.

Net Loss - Net loss
for the nine months ended March 31, 2025 was $3,384,962 compared to $1,574,232 for the nine months ended March 31, 2024, representing
the aggregate of the various revenue and expense categories indicated above. The Company has not recognized any income tax benefit for
these net losses due to the uncertainty of its ultimate realization.

Liquidity and Capital Resources

Operating activities.
Net cash used in operating activities in the nine months ended March 31, 2025 was $3,501,515 compared to $988,827 in the nine months
ended March 31, 2024. This increase was largely due to the current period increase in our comparative net loss, primarily resulting from
an increase in our previously noted