Company: CXAI
Filing Date: 2025-05-20
Form Type: 10-Q
Source: 0001829126-25-003841
Chunk: 65

Company: CXApp Inc.
Filing Date: 2025-05-20
Form: 10-Q
Item: Part I, Item 2
Chunk 65
---
 or expense items, non- recurring items and non-cash stock-based compensation. Adjusted EBITDA is a performance measure that we believe is useful to investors and analysts because it illustrates the underlying financial and business trends relating to our core, recurring results of operations and enhances comparability between periods.

35

Adjusted EBITDA is not a recognized measure under U.S. GAAP and is not intended to be a substitute for any U.S. GAAP financial measure and, as calculated, may not be comparable to other similarly titled measures of performance of other companies in other industries or within the same industry. Investors should exercise caution in comparing our non-GAAP measure to any similarly titled measure used by other companies.

This non-GAAP measure excludes certain items required by U.S. GAAP and should not be considered as an alternative to information reported in accordance with U.S. GAAP. The table below presents our adjusted EBITDA, reconciled to net income, which is the most comparable GAAP measure, for the periods indicated (in thousands).

    Three Months Ended March 31, 2025

    Three Months Ended March 31, 2024

    Net income (loss)
     
    $
    (1,616
    )
     
    $
    (5,170
    )
  
    Interest and other income

    31

    262

    Income tax (benefit)/provision

    -

    (207
    )
  
    Depreciation and amortization

    695

    705

    EBITDA

    (890
    )

    (4,410
    )
  
    Adjusted for:

    Changes in fair value of warrant liabilities

    (2,196
    )

    1,472

    Loss on debt extinguishment

    48

    -

    Unrealized losses

    4

    56

    Stock-based compensation - compensation and related benefits

    624

    601

    Adjusted EBITDA
     
    $
    (2,410
    )
     
    $
    (2,281
    )

We rely on Adjusted EBITDA, which is a non-GAAP financial measure for the following:

    ●
    To compare our current operating results with corresponding periods and with the operating results of other companies in our industry; 

    ●
    As a basis for allocating resources to various projects; 

    ●
    As a measure to evaluate potential economic