Company: XTIA
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001213900-25-032213
Chunk: 316

Company: XTI Aerospace, Inc.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 2
Chunk 316
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There can be no assurances that the Company will ever earn revenues
sufficient to support its operations, or that it will ever be profitable. In order to continue its operations, the Company has historically
supplemented the revenues it earned with proceeds from the sale of our equity, including through our now expired ATM with Maxim (as discussed
below), and debt securities and proceeds from loans and bank credit lines. We believe that our current revenue, as supplemented by proceeds
from our financings, including the approximately $21.6 million net proceeds we raised in various public offerings of our securities placed
and underwritten by ThinkEquity LLC during the first quarter of 2025, a portion of which was used to fully repay short-term obligations
including the outstanding Streeterville promissory note balances and remaining Strategic Transaction Bonus liability, along with our ability
to defer or eliminate certain operating expenses that are under our control, will provide us with liquidity to fund our planned operating
needs for at least the next twelve months.

According to our current development schedule, we do not expect to obtain FAA type certification and other necessary regulatory approvals
and commence deliveries of the TriFan 600 until 2030 at the earliest. Therefore, we intend to raise additional capital through debt or
equity financings as we continue to advance the design and certification of the TriFan 600. See “ – Recent Events –
March 2025 Underwritten Offering” and “ – Recent Events – January 2025 Registered Direct Offering” for more
information about our recent public offerings of our equity securities.

As a result of our failure
to timely file a Current Report on Form 8-K, upon the filing of this Annual Report on Form 10-K, we became ineligible to use Form S-3
until August 2025 at the earliest. Our inability to use Form S-3 may significantly impair our ability to raise necessary capital to fund
our operations and execute our strategy. If we seek to access the capital markets through a registered offering during the period of time
that we are unable to use Form S-3, we may be required to publicly disclose the proposed offering and the material terms thereof before
the offering commences, we may experience delays in the offering process due to SEC review of a Form S-1 registration statement and we
may incur increased offering and transaction costs and other considerations.

As discussed in Note 10 of
the “Notes to Consolidated Financial Statements” included in Part I, Item 8 of this report, on July