Company: APCXW
Filing Date: 2025-05-14
Form Type: 10-Q
Source: 0001683168-25-003561
Chunk: 41

Company: AppTech Payments Corp.
Filing Date: 2025-05-14
Form: 10-Q
Item: Part II, Item 8
Chunk 41
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 write-off.

Other income (expenses)

Other income was $35 thousand for the three months ended March 31,
2025, compared to an expense of $3 thousand for the three months ended March 31, 2024. The increase of $38 thousand was primarily
driven by a credit balance with the state of Delaware.

Liquidity and Capital Resources

The Company routinely evaluates its immediate
working capital needs and liquidity sources. For the three months ended March 31, 2025 and March 31, 2024, the Company maintained its
liquidity sources primarily through cash and cash equivalents, and proceeds received from the AFIOS Partners investment.

Cash
and cash equivalents at March 31, 2025 and December 31, 2024 were
$417 thousand and $868 thousand, respectively.

Management's Plan to Address Going Concern
Considerations

The Company has experienced recurring operating
losses, primarily due to limited revenues. The Company's current financial conditions and recurring losses raise substantial doubt about
its ability to continue as a going concern.

Management has restructured its operations, reduced
its headcount, and is actively pursuing additional funding options. We are confident that two of its revenue streams will begin generating
revenue in the following twelve months from the issuance date of these financial statements.

Management intends to maintain adequate working
capital and adhere to prudent financial forecasting.

Cash Flows

The following table presents a summary of cash
flows from operating, investing and financing activities for the following comparative periods ($ in thousands).

    Three Months Ended March 31, 

    2025  
    2024 

    Net cash used in operating activities 
    $(1,801) 
    $(2,164)
  
    Net cash provided by investing activities 
    $–  
    $– 
  
    Net cash provided by financing activities 
    $1,350  
    $2,436 

 19 

Cash Flow from Operating Activities

Net
cash used in operating activities during the three months ended March 31, 2025, was approximately $1,801 thousand, which is comprised
of (i) our net loss of $2,641 thousand, adjusted for non-cash expenses totaling $1,202
thousand (which includes adjustments for equity-based compensation, depreciation and amortization), and (ii) decreased by changes
in operating assets and liabilities of approximately $362 thousand.

Net cash used in operating activities during the
three months