Company: XTIA
Filing Date: 2025-05-19
Form Type: 10-Q
Source: 0001213900-25-045396
Chunk: 61

Company: XTI Aerospace, Inc.
Filing Date: 2025-05-19
Form: 10-Q
Item: Part I, Item 1
Chunk 61
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 of 2024.

Change in fair value of convertible
notes payable represents the remeasurement of certain Legacy XTI convertible notes to fair value. These notes were converted to equity
prior to the closing of XTI Merger.

Change in fair value of warrant
liability represents the remeasurement of certain outstanding warrants to fair value.

Other consists of miscellaneous income and expense items.

RESULTS OF OPERATIONS

Three Months Ended March 31, 2025 compared
to the Three Months Ended March 31, 2024

The following table sets forth
selected consolidated financial data and as a percentage of period-over-period change:

    Three Months Ended March 31,  

    2025  
    2024  
    $  
    % 
  
    (in thousands, except percentages) 
    Amount  
    Amount  
    Change  
    Change* 
  
    Revenues 
    $484  
    $220  
    $264  
     120.0%
  
    Cost of revenues 
    $149  
    $79  
    $70  
     88.6%
  
    Gross profit 
    $335  
    $141  
    $194  
     137.6%
  
    Operating expenses 
    $10,737  
    $9,018  
    $1,719  
     19.1%
  
    Loss from operations 
    $(10,402) 
    $(8,877) 
    $(1,525) 
     17.2%
  
    Other (expense) income 
    $(2,485) 
    $6,279  
    $(8,764) 
     (139.6)%
  
    Provision for income taxes 
    $15  
    $(4) 
    $19  
     (475.0)%
  
    Net loss 
    $(12,872) 
    $(2,602) 
    $(10,270) 
     394.7%

*Amounts used to calculate dollar and percentage changes are based on numbers in the thousands. Accordingly,
calculations in this item, which may be rounded to the nearest hundred thousand, may not produce the same results.

Revenues

Revenues for the three months
ended March 31, 2025 were $0.5 million compared to $0.2 million for the comparable period in the prior year for an increase of