Company: VEEAW
Filing Date: 2025-01-10
Form Type: S-1/A
Source: 0001213900-25-002716
Chunk: 114

Company: VEEA INC.
Filing Date: 2025-01-10
Form: S-1/A
Chunk 114
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 costs paid to a third-party marketing firm.

General and Administrative Expense

General and administrative
expense decreased by $1.6 million, or 8%, in the year ended December 31, 2023 compared to the year ended December 31, 2022. The decrease
was due to reduced spending as a result of cost containment measures.

Depreciation and Amortization

Depreciation and amortization
decreased by $1.1 million, or 56%, in the year ended December 31, 2023 compared to the year ended December 31, 2022. The decrease was
due to certain intangibles reaching the end of their useful lives.

Interest income

Interest income relates
to interest on cash and cash equivalents. These amounts were immaterial for the years ended December 31, 2023 and 2022.

Foreign Currency gain (loss)

Foreign Currency loss increased
by $3.5 million, or 159%, in the year ended December 31, 2023 compared to the year ended December 31, 2022. The increase was due to a
change in foreign exchange rate related to agreements with our foreign subsidiaries. The Company maintains an intercompany revolving
loan agreement with its UK subsidiary and an intercompany services agreement with its French subsidiary. The advances under the loan
agreement are denominated in US dollars and reflected in local currency on the books and records of the subsidiary. Payments under the
intercompany agreement with the Company’s French subsidiary are denominated in Euros and reflected in US dollars on the books and
records of the Company and local currency on the books and records of the subsidiary.

Other expense

Other expenses relate to
immaterial non-operating expenses incurred during the period. These amounts were immaterial for the years ended December 31, 2023
and 2022.

Interest expense

Interest expense decreased
by $3.3 million, or 38%, in the year ended December 31, 2023 compared to the year ended December 31, 2022. The decrease was related to
the conversion of convertible notes into shares of Series A-1 Preferred Stock at the end of 2022.

Liquidity and Capital Resources

To date, we have financed our
operations primarily through private placements of equity securities and debt to. We plan to fund our operations and capital funding
needs through a combination of private and public equity and debt offerings, or a combination thereof. Since our inception, we