Company: CXDO
Filing Date: 2025-11-04
Form Type: 10-Q
Source: 0001654954-25-012585
Chunk: 106

Company: Crexendo, Inc.
Filing Date: 2025-11-04
Form: 10-Q
Item: Part I, Item 2
Chunk 106
---
 2025  2024  Dollar Change  Percent Change General and administrative $5,060  $3,755  $1,305   35%

The increase in general and administrative expenses is primarily related to an increase in salaries, benefits, bonuses, share-based compensation, and headcount of $842 due to allocation of resources from the Cloud Telecommunications services segment, an increase in legal expenses of $217, an increase amortization of the capitalized software development costs intangible asset of $84, an increase in professional service costs of $45, an increase in consulting fees of $42, an increase in accounting software costs of $27 associated with service contract fees for our new accounting system, and an increase in other general and administrative expenses of $48.

Research and Development

Research and development expenses primarily consists of salaries, benefits, bonuses, share-based compensation, and outsourcing engineering services related to the development of our software solutions. The following table reflects our research and development expenses for the nine months ended September 30, 2025, compared to the nine months ended September 30, 2024:

  Nine Months Ended September 30,   2025  2024  Dollar Change  Percent Change Research and development $4,005  $3,389  $616   18%

 47Table of Contents

The increase in research and development expenses is primarily related to an increase in salaries, benefits, bonuses, share-based compensation, and headcount of $519 due to the allocation of engineering resources from the Cloud Telecommunications segment as we finalize the migration of our classic customers to the VIP platform and an increase in outsourced engineering services expenses of $101, offset by a decrease in other research and development expenses of $4.

Other Income/(Expense)

Other income/(expense) primarily relates to net foreign exchange gains or losses and other income and expenses. The following table reflects our other expense for the nine months ended September 30, 2025, compared to the nine months ended September 30, 2024:

  Nine Months Ended September 30,    2025  2024  Dollar Change  Percent Change Other income/(expense) $32  $(32) $64   200%

The change in other income/(expense) is primarily related to an increase in foreign exchange gains of $68, offset by a decrease in other income of $4.

Liqu