Company: CERO
Filing Date: 2025-11-19
Form Type: 10-Q
Source: 0001213900-25-112619
Chunk: 89

Company: CERO THERAPEUTICS HOLDINGS, INC.
Filing Date: 2025-11-19
Form: 10-Q
Item: Item 1
Chunk 89
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 result of expenses for accounting, audit, legal and consulting services, as well as costs associated with maintaining compliance
with SEC requirements, director and officer liability insurance, investor and public relations activities and other expenses associated
with operating as a public company.

38

Other Income (Expense), Net

Other income (expense),
net consists predominantly of interest income from interest bearing bank accounts, interest expense on payables, gains recorded on settlements
reached with vendors on payables, and the gain or loss on the revaluation of earnout and derivative liabilities, which represents the
change in fair value of earnout liabilities or outstanding warrants between periods.

Results of Operations for the Three Months
Ended September 30, 2025 and 2024

    For the Three Months Ended September 30,  

    2025  (Successor)  
    2024  (Successor)  
    Difference  
    Percentage  Change 
  
    Operating expenses: 

    Research and development 
    $2,386,244  
    $1,774,210  
    $612,034  
     34.5%
  
    General and administrative 
     1,976,335  
     2,628,028  
     (651,693) 
     (24.8)%
  
    Total operating expenses 
     4,362,579  
     4,402,238  
     (39,659) 
     (0.9)%
  
    Loss from operations 
     (4,362,579) 
     (4,402,238) 
     39,659  
     (0.9)%

    Other income (expense): 

    Other income (expenses) 
     248  
     (147) 
     395  
     268.7%
  
    Change in fair value of earnout and derivative liabilities 
     —  
     170,000  
     170,000  
     (100.0)%
  
    Write off of deferred offering costs 
     (500,000) 
     -  
     (500,000) 
     (100.0)%
  
    Interest income (expense), net 
     5,936  
     4,418  
     1,518  
     34.4%
  
    Total other income