Company: LTRYW
Filing Date: 2025-11-20
Form Type: 10-Q
Source: 0001493152-25-024384
Chunk: 254

Company: Lottery.com Inc.
Filing Date: 2025-11-20
Form: 10-Q
Item: Part II, Item 8
Chunk 254
---
 in: Professional fees of $891,000, General and administrative expenses of $237,000, Depreciation
and amortization by $543,000. Reasons for these decreases are described below.

Personnel
Costs. Personnel costs decreased by $2.0 million or 57% from $3.4 million for the nine months ended September 30, 2024, to $1.5
million for the nine months ended September 30, 2025. The decrease is because there were changes in the composition of the team for
the parent company and Tinbu subsidiary in 2025 and also expenses recorded in the nine months ended September 30, 2024 for shares of
common stock and related payroll taxes granted to officers for retention and their contributions to the turnaround did not reoccur during the nine months ended September 30, 2025.

Professional
Fees. Professional fees decreased by $891,000, or 19%, from $4.8 million for the nine months ended September 30, 2024 to $3.9 million
for the nine months ended September 30, 2025. Although there were increases in expenses for outside attorneys during the three months ended September 30, 2025, Legal fees for the first half of 2025 were lower than in the first half of 2024 and expenses for shares of common
stock granted to consultants in the first half of 2024 for retention and compensation related to the turnaround did not reoccur in 2025.

 14 

General
and Administrative. General and administrative expenses decreased $237,000, or 7%, from $3.6 million for the nine months ended September
30, 2024 to $3.4 million for the nine months ended September 30, 2025. Primary drivers of the decrease were: travel expenses lower by $72,000, consulting for technology development lower by $80,000, and software expenses lower by $60,000 in the nine months ended September 30, 2025 than the nine months ended September 30, 2024.

Depreciation
and Amortization. Depreciation and amortization decreased $543,000 or 14%, from $3.8 million for the nine months ended September 30,
2024 to $3.3 million for the nine months ended September 30, 2025. The decrease was primarily driven by write-offs to intangible assets
related to