Company: XTIA
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001213900-25-076767
Chunk: 178

Company: XTI Aerospace, Inc.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 8
Chunk 178
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 response arguing that it was an intended
third-party beneficiary of the May 17 letter, that the anti-assignment clause does not bar its claims, and that the request for a stay
is unwarranted because the Xeriant litigation involves different parties and broader claims. Legacy XTI believes it has strong counterarguments
and will file a reply in further support of its motion to dismiss or stay.

The litigation remains in the early stages of
discovery. The Company believes that the claims asserted by Auctus are without merit and intends to vigorously defend against the lawsuit.
As of the date of this filing, the Company is unable to predict the outcome of this matter or determine the likelihood or magnitude of
a potential loss, if any.

Commitment
to Nadir Ali

As disclosed in Note 16, pursuant to the Settlement
Agreement, as of June 30, 2025, the Company has a remaining obligation to pay Nadir Ali deferred consulting fees of $1,000,000, which
is included in accounts payable on the condensed consolidated balance sheets; such amount is payable in two equal installments of $500,000
due on September 30, 2025 and December 31, 2025.

34

XTI AEROSPACE, INC. AND SUBSIDIARIES

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

Note 18 - Net Loss Per Share Attributable to Common Stockholders

The following table presents the calculation
of basic and diluted loss per share attributable to common stockholders (in thousands, except share and per share data):

    For the Three Months Ended June 30,  
    For the Six Months Ended June 30, 

    2025  
    2024  
    2025  
    2024 
  
    Net Loss 
    $(20,858) 
    $(14,710) 
    $(33,730) 
    $(17,312)

    Less: Preferred stock return 
     —  
     (250) 
     (29) 
     (311)
  
    Less: Deemed dividend 
     —  
     (460) 
     —  
     (460)
  
    Net Loss Attributable to Common Stockholders, Basic and Diluted 
    $(20,858) 
    $(15,420) 
    $(33,759) 
    $(18