Company: IPSI
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001213900-25-110820
Chunk: 66

Company: Innovative Payment Solutions, Inc.
Filing Date: 2025-11-14
Form: 10-Q
Item: Part I, Item 1
Chunk 66
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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 September 30, 2025
and 2024

Net revenue

We had no revenues for the
three months ended September 30, 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 September 30, 2025 and 2024.

General and administrative expenses

General and administrative
expenses were $366,117 and $296,438 for the three months ended September 30, 2025 and 2024, respectively, an increase of $69,679 or 23.5%.
The increase is primarily due to the following:

    i)
    Salaries and wages were $159,709 and $140,087 for the three months ended September 30, 2025 and 2024, respectively, an increase of $19,622 or 14.0%. The increase is primarily due to the issue of 25,000,000 shares of restricted stock to our CEO with a fair market value of $92,500, offset by  a decrease in payroll expense due to the resignation of our CFO during the first quarter, resulting in a saving of $54,000, the resignation of an administrative member resulting in a saving of $20,321, offset by an increase in our CEO’s salary of $30,000 over the prior year, and a reduction in stock based compensation expense of $30,117 related to the amortization of stock options issued in the prior year. 

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    ii)
    Consulting fees were $145,511 and $17,803 for the three months ended September 30, 2025 and 2024, respectively, an increase of $127,708 or 717.3%. The increase is primarily due to an increase in consulting fees of $10,000 due to administrative functions being performed by consultants and additional consulting fees settled by the issuance of restricted stock with a fair market value of $120,250 to consultants who have been advising