Company: CXAI
Filing Date: 2025-11-12
Form Type: 10-Q
Source: 0001829126-25-009077
Chunk: 59

Company: CXApp Inc.
Filing Date: 2025-11-12
Form: 10-Q
Item: Part I, Item 1
Chunk 59
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 7, 2025.

JOBS
Act Accounting Election

Following
the transaction, CXApp will be an “emerging growth company” as defined in the JOBS Act. As such, the Company will be eligible
to take advantage of certain exemptions from various reporting requirements that apply to other public companies that are not emerging
growth companies, including compliance with the auditor attestation requirements of Section 404 of the Sarbanes-Oxley Act and the requirements
to hold a nonbinding advisory vote on executive compensation and any golden parachute payments not previously approved. The Company has
not made a decision whether to take advantage of any or all of these exemptions. If the Company does take advantage of some or all of
these exemptions, some investors may find the Company’s common stock less attractive. The result may be a less active trading market
for the Company’s common stock and its stock price may be more volatile.

In
addition, Section 107 of the JOBS Act provides that an emerging growth company may take advantage of the extended transition period provided
in Section 13(a) of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), for complying with new or revised
accounting standards, meaning that CXApp, as an emerging growth company, can delay the adoption of certain accounting standards until
those standards would otherwise apply to private companies. The Company has elected to take advantage of this extended transition period,
and therefore our financial statements may not be comparable to those of companies that comply with such new or revised accounting standards.
Section 107 of the JOBS Act provides that our decision not to opt out of the extended transition period for complying with new or revised
accounting standards is irrevocable.

Item
3. Quantitative and Qualitative Disclosures About Market Risk

Not
applicable.

Item
4. Controls and Procedures

Disclosure
Controls and Procedures

Disclosure
controls are procedures that are designed with the objective of ensuring that information required to be disclosed in our reports filed
under the Exchange Act is recorded, processed, summarized, and reported within the time period specified in the SEC’s rules and
forms. Disclosure controls are also designed with the objective of ensuring that such information is accumulated and communicated to our
management, including the chief executive officer and chief financial officer, as appropriate to allow timely decisions regarding required
disclosure.

We
conducted an evaluation, under the supervision and with the participation of our Chief Executive Officer and Chief Financial Officer,
of our disclosure controls and