Company: VEEAW
Filing Date: 2025-01-15
Form Type: 424B3
Source: 0001213900-25-003888
Chunk: 242

Company: VEEA INC.
Filing Date: 2025-01-15
Form: 424B3
Chunk 242
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 other than the functional currency are included in the results of operations as incurred. Foreign currency transaction (gain) loss, mainly related to intercompany transactions, is included in the consolidated statements of operations. For the three months ended September 30, 2024 and September 30, 2023 transactions (gain) loss were $(1,831,743) and $926,965, respectively. For the nine months ended September 30, 2024 and September 30, 2023 such amounts were $(1,343,640) and $(86,019), respectively.

Comprehensive Loss

Comprehensive loss consists of two
components, net loss and other comprehensive income (loss), net. Other comprehensive income (loss), net is defined as revenue, expenses,
gains, and losses that under GAAP are recorded as an element of stockholders’ deficit but are excluded from net loss. The Company’s
other comprehensive loss consists of foreign currency translation adjustments that result from the consolidation of its foreign subsidiaries
and is reported net of tax effects.

Investments

The Company holds non-marketable equity
and other investments (“privately held investments”) which are included in noncurrent assets in the Company’s consolidated
balance sheet. The Company monitors these investments for impairments and makes adjustments in carrying values if management determines
that an impairment charge is required based primarily on the financial condition and near-term prospects of these investments.

Concentration of Risks

Financial instruments that potentially
subject the Company to a significant concentration of credit risk consist primarily of cash and cash equivalents, and accounts receivable.
Cash balances may exceed the Federal Deposit Insurance Corporation (“FDIC”) insurance limit of $250,000. The Company has
not experienced any losses in such accounts.

Earnings per Share, recasted

Basic net loss per share is calculated
by dividing net loss attributable to common stockholders by the weighted-average number of shares of common stock outstanding during
the year. Diluted net loss per share is based upon the diluted weighted-average number of shares outstanding during the year. Diluted
net loss per share gives effect to all potentially dilutive common share equivalents, including stock options, and warrants, to the extent
they are dilutive. Refer to Note 14 - Earnings Per Share.

Convertible Note Payable

When the Company issues convertible
debt, it first evaluates the balance sheet classification of the convertible instrument in its entirety to determine (1) whether the
instrument should be classified as a liability under ASC 480, Distinguishing