Company: IPSI
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001213900-25-076595
Chunk: 229

Company: Innovative Payment Solutions, Inc.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 2
Chunk 229
---
 in our quarterly review fees.

    v)
    Professional fees were $10,804 and $14,276 for the three months ended June 30, 2025 and 2024, respectively, a decrease of $3,472 or 24.3%. The decrease is primarily due to a reduction in soliciting agents fees incurred in the prior year.

    vi)
    Legal fees were $4,000 and $66,069 for the three months ended June 30, 2025 and 2024, respectively, a decrease of $62,069 or 93.9%. The decrease is primarily due to the settlement of the unfair dismissal matters which were claimed in the prior year by several individuals.

    vii)
    Selling and marketing expenses was $0 and $73,167 for the three months ended June 30, 2025 and 2024, respectively, a decrease of $73,167 or 100.0%. Selling and marketing costs related to an endorsement deal with a celebrity ceased during the prior year.

    viii)
    The balance of the general and administrative expenses was $15,020
and $19,130 for the three months ended June 30, 2025 and 2024, respectively, a decrease of $4,110 or 21.5%. The decrease is made up of  several
individually insignificant items.

Depreciation and
amortization

Depreciation
was $542 and $542 for the three months ended June 30, 2025 and 2024. Depreciation is on small office related equipment.

Loss on settlement
and repricing of convertible notes

Loss
on convertible debt was $15,199,321 and $36,305 for the three months ended June 30, 2025 and 2024, respectively, an increase of $15,163,016
or 41,765.6%. The loss on convertible debt during the current year related to; (i) a loss of $14,584,238 realized on an anti-dilution
adjustment to the conversion feature of certain convertible debt; (ii) a penalty on conversion of $22,500 on conversion of convertible
debt which is in default; and (iii) a loss of $592,583 realized on conversion of certain convertible debt at prices lower than the current
market price during the current period. In the prior period, the loss on convertible debt related to the extension warrants issued to