Company: EVLVW
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001805385-25-000009
Chunk: 311

Company: Evolv Technologies Holdings, Inc.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 8
Chunk 311
---
 engineering costs and $0.4 million inventory reserve on unused components recognized in the prior year, both of which relate primarily to the development of the next generation of our Evolv Express system and new product offerings. The decrease in professional fees primarily relates to a decrease in consulting costs incurred for product development and engineering of $0.5 million. The decrease in other expense is primarily due to a decrease in IT and software subscription and supplies costs of $0.2 million.

15

Sales and Marketing Expenses

Six Months Ended June 30,20252024$ Change% ChangePersonnel related (including stock-based compensation)$17,638 $23,825 $(6,187)(26)%Advertising and direct marketing1,276 1,854 (578)(31)%Travel and entertainment1,200 2,658 (1,458)(55)%Professional fees1,229 1,839 (610)(33)%Other1,436 2,040 (604)(30)%$22,779 $32,216 $(9,437)(29)%

The decrease in personnel related expenses is due to a decrease in payroll costs and stock-based compensation of $6.5 million, which resulted primarily from the reductions in force in May 2024 and January 2025, partially offset by an increase in severance cost of $0.5 million. Stock compensation expense included in sales and marketing expenses was $2.8 million for the six months ended June 30, 2025 compared to $5.7 million for the six months ended June 30, 2024. The decrease in advertising and direct marketing expense is primarily due to a decrease in sponsorship fees of $0.4 million. The decrease in travel and entertainment expense of $1.5 million is due to a decrease in travel costs for in-person sales meetings as a result of our reductions in force. Professional fees decreased due to a decrease in marketing consulting costs of $0.6 million. Other expense decreased primarily due to reduction in shipping costs related to demo units of $0.3 million and supplies costs of $0.2 million.

General and Administrative Expenses

Six Months Ended June 30,20252024$ Change% ChangePersonnel related (including stock-based compensation)$11,510 $13,123 $(1,613)(12)%Professional fees4,849 4,212 637 15 %Insurance costs1,506 1,508 (2)— %