Company: CXAI
Filing Date: 2025-08-13
Form Type: 10-Q
Source: 0001829126-25-006141
Chunk: 54

Company: CXApp Inc.
Filing Date: 2025-08-13
Form: 10-Q
Item: Part I, Item 1
Chunk 54
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 The Company believes these funds are sufficient to satisfy its working capital needs, capital asset purchases, debt repayments, and other liquidity requirements associated with its existing operations for at least the next 12 months from the issuance date of the financial statements. The Company may continue to pursue strategic transactions and may raise additional capital as needed, using its equity securities and/or a combination of cash and debt financings appropriate for each acquisition.

39

Liquidity and Capital Resources as of June 30, 2025 Compared with June 30, 2024

Liquidity describes the ability of a company to generate sufficient cash flows to meet the cash requirements of its business operations, including working capital needs, debt service, acquisitions, contractual obligations and other commitments. We assess liquidity in terms of our cash flows from operations and their sufficiency to fund our operating and investing activities.

As of June 30, 2025, the Company had a working capital deficiency of approximately $1,415 thousand and cash of approximately $4,854 thousand. For the three months ended June 30, 2025, the Company incurred a net loss of approximately $3,139 thousand and used approximately $3,012 thousand of cash in operating activities.

The Company’s net cash flows used in operating, investing and financing activities and certain balances are as follows (in thousands):

    Three Months Ended  June 30, 2025

    Three Months Ended June 30,2024

    Cash flows (used in) provided by

    Net cash used in operating activities
     
    $
    (3,012
    )
     
    $
    (1,910
    )
  
    Net cash provided by (used in) investing activities

    (11
    )

    (8
    )
  
    Net cash provided by (used in) financing activities

    3,990

    2,480

    Effect of exchange rates on cash

    (6
    )

    (5
    )
  
    Net increase (decrease) in cash and cash equivalents
     
    $
    961

    $
    557

    June 30,2025

        December 31,
        2024

    Cash and cash equivalents
     
    $
    4,854

    $
    4,880

    Working capital deficit
     
    $
    (1,415
    )
     
    $
    (4,496
    )

Operating Activities for the three months