Company: XTIA
Filing Date: 2025-11-19
Form Type: 10-Q
Source: 0001213900-25-112615
Chunk: 45

Company: XTI Aerospace, Inc.
Filing Date: 2025-11-19
Form: 10-Q
Item: Part I, Item 1
Chunk 45
---
 $     —  
    $28,228 
  
    Total liabilities 
    $28,228  
    $—  
    $—  
    $28,228 

The fair value of the Level 3 warrant liability
was determined by using a pricing model with certain significant unobservable market data inputs (refer to Note 12).

The table below provides a summary of changes
in the estimated fair value of the Company’s Level 3 warrant liability:

    Warrant
 Liability 
  
    Balance as of January 1, 2025 
    $          — 
  
    Pre-funded and Common Warrants issued in connection with the March Offering (Note 12) 
     5,353 
  
    Pre-funded and Common Warrants issued in connection with the June Offering (Note 12) 
     18,427 
  
    Pre-funded and Common Warrants issued in connection with the September Offering (Note 12) 
     17,523 
  
    Exercise of warrants 
     (16,355)
  
    Change in fair value 
     3,280
  
    Balance as of September 30, 2025 
    $28,228 

The change in fair value of the warrant liability
is presented within “Change in fair value of warrant liability” on the condensed consolidated statements of operations.

29

XTI AEROSPACE, INC. AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

Note 15 - Foreign Operations

Prior to the XTI Merger, the Company’s
operations were located primarily in the United States. After the XTI Merger, the Company’s operations are located primarily in
the United States, Germany, and the United Kingdom. Revenues by geographic area are attributed by the country of domicile of our subsidiaries.
The financial data by geographic area are as follows (in thousands):

    United States

    Germany

    United Kingdom

    Eliminations

    Total

    For the Three Months Ended September 30, 2025:

    Revenues by geographic area
     
    $
    750

    $
    1,873

    $
            —

    $
    (139
    )
     
    $
    2,484

    Operating loss by geographic area
     
    $
    (14,125
    )
     
    $
    (684
    )
     
    $
    —