Company: IPSI
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001213900-25-044146
Chunk: 56

Company: Innovative Payment Solutions, Inc.
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 1
Chunk 56
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 rates;

    ●
    Expected remaining life of the derivative liability;

    ●
    Expected volatility of the underlying stock; and expected dividend rates

Any change in the above factors
such as a change in risk free interest rates, a significant increase or decrease in our current stock prices and a change in the volatility
of our Common Stock may result in a significant increase or decrease in the derivative liability.

Results of Operations

Results of Operations for the Three Months Ended March 31, 2025
and 2024

Net revenue

We had no revenues for the
three months ended March 31, 2025 and 2024. We pivoted to focus our attention on the IPSIPay Express joint venture and potential payment
processing opportunities to generate revenues, however there can be no guarantees that we will be successful in our endeavors.

Cost of goods sold

We had no cost of goods sold
for the three months ended March 31, 2025 and 2024.

33

General and administrative expenses

General
and administrative expenses were $254,308 and $626,797 for the three months ended March 31, 2025 and 2024, respectively, a decrease of
$372,489 or 59.4%. The decrease is primarily due to the following:

    (i)
    Legal fees were $3,805 and $152,594 for the three months ended March 31, 2025 and 2024, respectively, a decrease of $148,789 or 97.5%. The decrease is primarily due to the settlement of the unfair dismissal matters which were claimed in the prior year by several individuals.

    (ii)
    Salaries and wages were $111,548 and $269,003 for the three months ended March 31, 2025 and 2024, respectively, a decrease of $157,455 or 58.5%. the decrease is primarily due to the resignation of our CFO during the quarter, resulting in a saving of $45,000 and the reduction of our CEO’s salary by $30,000 during the current period and a reduction in stock based compensation of $76,649, the options granted in 2021, were fully amortized in 2024, the current charge represents new options granted during the current period and a reduction in overall payroll taxes due to the reduction in salaries.

    (iii)
    Marketing expenses were $0 and $75,707 for the three months ended March
31, 2025