Company: XTIA
Filing Date: 2025-05-19
Form Type: 10-Q
Source: 0001213900-25-045396
Chunk: 209

Company: XTI Aerospace, Inc.
Filing Date: 2025-05-19
Form: 10-Q
Item: Part I, Item 2
Chunk 209
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 and aggregate number of shares repurchased
will depend upon business, economic and market conditions, corporate and regulatory requirements, prevailing stock prices, and other considerations.
The share repurchase program has an initial term of 12 months, which may be extended to 18 months. The share repurchase program may be
suspended or discontinued at any time and does not obligate us to acquire any amount of common stock.

Expansion of Corporate Advisory Board

During the quarter ended March
31, 2025, the Company expanded its corporate advisory board, which is now comprised of nine advisory board members led by Michael Tapp,
who are helping the Company evaluate strategic opportunities to capitalize on the anticipated demand for the TriFan 600.

TriFan 600 Engineering Update

During the quarter ended March
31, 2025, the Company continued to advance the development of the TriFan 600. Below are key development milestones that were achieved
during the quarter:

●Optimization
of the fuel system design of the airplane which increased the wing fuel volume from approximately 300 gallons to 400 gallons, improving
maximum range and mission length.

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●Improving
the air intake and exhaust design to enhance performance and efficiency of the airplane’s propulsion system.

●Completed
the downwash / outwash study allowing us to understand the airflows generated by the airplane during vertical takeoff and landing in
order to evaluate safety and performance.

In addition, the FAA accepted
the Company’s type certification application for the TriFan 600 on March 17, 2025.

Critical Accounting Policies and Estimates

Our condensed consolidated
financial statements are prepared in accordance with U.S. generally accepted accounting principles (“GAAP”). In connection
with the preparation of our consolidated financial statements, we are required to make assumptions and estimates about future events,
and apply judgments that affect the reported amounts of assets, liabilities, revenue, expenses and the related disclosures. We base our
assumptions, estimates and judgments on historical experience, current trends and other factors that management believes to be relevant
at the time our consolidated financial statements are prepared. On a regular basis, we review the accounting policies, assumptions, estimates
and judgments to ensure that our consolidated financial statements are presented fairly and in accordance with GAAP. However, because
future events and their effects cannot be determined with certainty, actual results could differ from our assumptions and estimates, and
such differences could be material.

The significant accounting policies of the Company
are described in Item 7, “Management’s Discussion and