Company: APCXW
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001683168-25-002130
Chunk: 17

Company: AppTech Payments Corp.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 1
Chunk 17
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 21% to approximately $7,794
thousand for the year ended December 31, 2024, from $9,873 thousand in 2023. The reduction was mainly due to lower salaries following
the Company’s restructuring plan and a $1,240    thousand
decrease in stock-based compensation for 2024.

Research and Development Expenses

Research and development expenses were
approximately $1,977 thousand for the year ended December 31, 2024, compared to $3,498 thousand for the year ended December 31,
2023, representing a decrease of 43%. The decrease was primarily due to less stock-based compensation and the capitalization of
specific software development costs.

Other Income (Expenses) 

Interest Expense, net

Interest
expense, net was approximately $646 thousand and $52 thousand for the years ended December 31, 2024 and December 31, 2023, respectively,
representing an increase of $594 thousand. The increase was primarily due to the amortization of the debt discount. 

Change in Fair Value of Derivative Liability

Change in fair value of derivative liability was approximately
$0 for the year ended December 31, 2024, compared to $27 thousand for the year ended December 31, 2023, representing a decrease
of 100%. The decrease was primarily due to the Company's settlement of the notes and warrants that contained the embedded derivative liabilities
in April 2023.

Other income (expenses)

Other income was approximately $1,260 thousand for
the year ended December 31, 2024, compared to approximately $698 thousand for the year ended December 31, 2023, representing
an increase of $562 thousand or 81%. The increase was primarily driven by a $1,245 thousand gain from extinguishment of debt related to
2024, less the $430 thousand gain from the cancellation of stock repurchase liabilities and gain of $250 thousand from extinguishment
of debt related to 2023.

Liquidity and Capital Resources

The Company routinely evaluates its immediate working
capital needs and liquidity sources. For the years ended December 31, 2024 and 2023, the Company maintained its liquidity sources primarily
through cash and cash equivalents, and proceeds received from various registered offerings such as public registered offerings and “at-the-market”
offerings (ATM). Additionally, we used equity and equity-linked instruments to pay for services and compensation.

Cash