Core Insights - WiSA Technologies, Inc. has received stockholder approval for the acquisition of Datavault intellectual property and IT assets from Data Vault Holdings Inc., valued between $266 million and $501 million [1] - The acquisition will lead to a rebranding of WiSA Technologies as Datavault Inc., focusing on data technology and licensing, particularly in blockchain data and AI Web 3.0 assets [2][11] - The transaction is expected to be completed around December 31, 2024, subject to customary conditions [9] Company Developments - WiSA will issue 40 million shares of restricted common stock and a $10 million unsecured promissory note, with a 3% royalty on future revenues from Datavault and ADIO product lines [1] - Post-acquisition, Datavault will provide services in Data Sciences and Acoustic Sciences, targeting industries such as biotech, energy, education, fintech, real estate, and healthcare [10] - The integration of WiSA E software onto the Amlogic S905X4 application processor aims to enhance wireless audio connectivity for Android hybrid OTT/IP set-top boxes and high-end media applications [4] Market Position - WiSA Technologies currently holds a Zacks Rank 2 (Buy), with shares declining 21.7% over the past six months compared to a 1.9% decline in the industry [5] - The acquisition positions the rebranded company to tap into high-growth markets, including AI, digital ownership, and advanced analytics [11]

Financial Data and Key Metrics Changes - WiSA Technologies reported Q3 2024 revenue of $1.2 million, representing a 240% increase compared to the previous period [8] - Gross margins improved significantly, driven by a shift to direct-to-consumer sales and a reduction in inventory by 17% [8] - The company ended the quarter with $3.9 million in cash [8] Business Line Data and Key Metrics Changes - The revenue increase was primarily attributed to Gen-1 WiSA HT sales, with some contribution from WiSA E [34][35] - WiSA E-related revenue is expected to see a significant uptick in Q4 compared to Q3, although no specific guidance for 2025 was provided [36] Market Data and Key Metrics Changes - WiSA Technologies is entering new markets with the Data Vault Holdings acquisition, focusing on high-growth sectors such as blockchain and artificial intelligence [16] - The company has filed for a preliminary proxy for the annual shareholders meeting and the acquisition, indicating progress in regulatory compliance [11] Company Strategy and Development Direction - The acquisition of Data Vault Holdings for $200 million in stock and a promissory note is a strategic move to enhance WiSA's intellectual property portfolio [10] - The company plans to rebrand as Datavault post-acquisition, with a focus on monetizing its combined IP assets [11][12] - WiSA is developing new products and markets for Data Vault's IP, including ultrasonic technology for data delivery and holographic experiences [17][21] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the future, highlighting the potential for revenue growth as new products are launched and markets are entered [54] - The focus on high-margin licensing models and partnerships with large brands is expected to drive future revenue [31][32] Other Important Information - The company has a total of 67 patents, with plans to reach 100 by mid-next year, indicating a strong focus on innovation and intellectual property development [30] - WiSA Technologies is preparing for a significant presence at CES in January, showcasing both WiSA and Data Vault technologies [51] Q&A Session Summary Question: Was the Q3 revenue solely driven by Gen-1 WiSA HT sales? - The revenue included contributions from both Gen-1 WiSA HT and some from WiSA E [35] Question: What are the expectations for WiSA E in Q4 and 2025? - WiSA E-related revenue is expected to significantly increase in Q4, with further growth anticipated in 2025 [36] Question: What are the near-term monetization drivers for Data Vault? - Key monetization drivers include ADIO in sports entertainment venues and the use of holograms for scientific data visualization [39][41] Question: How will Data Vault monetize its services? - Monetization will involve partnerships on both the buy and sell sides, with a 70-30 revenue split favoring clients [47] Question: Will there be an Investor Day after the acquisition? - An Investor Day is anticipated around CES in January, where the company will formalize its message post-acquisition [50][51]

| --- | --- | --- | --- | --- | --- | --- | |--------------------------------------|-------|-------|-------|-------|-------|-------| | | | | | | | | | | | | | | | | | Third Quarter 2024 and | | | | | | | | Transaction Update November 15, 2024 | | | | | | | Forward Looking Statements This presentation of WiSA Technologies, Inc. (NASDAQ: WISA) (the "Company", "us", "our" or "WiSA") contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (the "Securities ...

Financial Performance - WiSA Technologies, Inc. announced preliminary revenue estimates for the quarter ended September 30, 2024[3] - The press release detailing financial information was issued on October 16, 2024[3] Company Information - The company is listed on The Nasdaq Capital Market under the trading symbol WISA[2]

Financial Performance - Net revenue for the three months ended September 30, 2024, was $1,172 million, a 52.4% increase compared to $769 million for the same period in 2023[9]. - Gross profit improved to $226 million for the three months ended September 30, 2024, compared to a gross deficit of $1,669 million in the same quarter of 2023[9]. - The net loss for the three months ended September 30, 2024, was $5,092 million, a decrease from a net loss of $6,111 million in the same quarter of 2023, indicating a 16.7% improvement[9]. - Net revenue for the nine months ended September 30, 2024, was $1,772 million, a 6.6% increase from $1,663 million for the same period in 2023[45]. - The company reported a net income of $2,707,000 for the quarter ending June 30, 2024, but a net loss of $5,092,000 for the quarter ending September 30, 2024[11]. - Net loss for the nine months ended September 30, 2024, was $45,050,000, compared to a net loss of $12,358,000 for the same period in 2023, representing a significant increase in losses[15]. Assets and Equity - Total assets increased to $8,017 million as of September 30, 2024, up from $4,823 million at December 31, 2023, representing a 66.1% growth[5]. - The company reported a total stockholders' equity of $4,295 million as of September 30, 2024, compared to a deficit of $5,157 million at the end of 2023[7]. - As of September 30, 2024, total stockholders' equity is $4,295,000, with an accumulated deficit of $292,092,000[11]. - Cash and cash equivalents increased to $3,921 million as of September 30, 2024, compared to $411 million at December 31, 2023, marking a substantial increase of 855.0%[5]. Expenses - Operating expenses totaled $5,469 million for the three months ended September 30, 2024, an increase of 17.1% from $4,670 million in the prior year[9]. - Research and development expenses rose to $2,225 million for the three months ended September 30, 2024, compared to $1,838 million in the same period of 2023, reflecting a 21.1% increase[9]. - Advertising costs for the three months ended September 30, 2024, were $201,000, a decrease of 15.5% from $238,000 in the same period of 2023[52]. - Cash flows used in operating activities for the nine months ended September 30, 2024, totaled $13,276,000, compared to $12,101,000 for the same period in 2023[15]. Revenue Sources - Revenue from Consumer Audio Products for the three months ended September 30, 2024, was $188,000, a decrease of 63.2% from $511,000 in the same period of 2023[45]. - Revenue from Components for the three months ended September 30, 2024, was $984,000, an increase of 281.0% compared to $258,000 for the same period in 2023[45]. - One customer accounted for 56% of net revenue for the three months ended September 30, 2024, indicating reliance on key customers for revenue generation[28]. Stock and Financing Activities - The company executed a 1-for-150 reverse stock split on April 4, 2024, which was effective on April 12, 2024, impacting the share structure[21]. - The company raised approximately $9.987 million from a public offering, with gross proceeds allocated to common stock and warrants[134]. - The Company raised approximately $2.6 million in May 2024 from the issuance of 785,000 shares at $3.31 per share[140]. - The company issued 1,442,518 common shares in connection with offering costs, contributing an additional $4,210,000 to paid-in capital[11]. Risks and Challenges - The company has incurred recurring losses from operations since inception, indicating ongoing financial challenges[197]. - The company expects operating losses to continue due to additional costs related to research and development and plans to expand its product portfolio[66]. - The company relies on sole-source suppliers for critical components, which poses risks related to supply chain disruptions[30]. - The company is subject to risks and uncertainties associated with being an emerging business, including the ability to maintain its Nasdaq listing and manage operational costs[194]. Accounting and Compliance - The company is currently evaluating the impact of recently issued accounting standards on its financial statements, including ASU 2023-09 and ASU 2023-07[63][64]. - The effective tax rate for the three and nine months ended September 30, 2024 was 0.0%[173]. - The Company has a full valuation allowance on its deferred tax assets as of September 30, 2024[175].

Financial Performance - Net revenue for the three months ended June 30, 2024, was $345,000, a decrease of 18.82% from $425,000 in the same period of 2023[9]. - Gross profit for the three months ended June 30, 2024, was $11,000, compared to a gross loss of $201,000 in the same period of 2023[9]. - Net loss for the three months ended June 30, 2024, was $42,665,000, compared to a net loss of $5,326,000 in the same period of 2023, indicating a significant increase in losses[9]. - For the six months ended June 30, 2024, the net loss was $39,958 thousand, compared to a net loss of $6,247 thousand for the same period in 2023, indicating a significant increase in losses[15]. - Revenue for the six months ended June 30, 2024, was $600,000, down from $894,000 in the same period of 2023, reflecting a decline of approximately 33%[9]. - Gross deficit for the six months ended June 30, 2024, was ($72,000), an improvement from a gross deficit of ($1,454,000) for the same period in 2023, with a gross margin of (12%)[165]. Assets and Liabilities - Total assets increased to $10,632,000 as of June 30, 2024, compared to $4,823,000 as of December 31, 2023, representing a growth of 120%[5]. - Total liabilities decreased to $4,202,000 as of June 30, 2024, from $9,733,000 as of December 31, 2023, a reduction of 56.7%[6]. - Total stockholders' equity increased to $6,430,000 as of June 30, 2024, compared to a deficit of $5,157,000 as of December 31, 2023[7]. - Total current assets increased to $9,973,000 as of June 30, 2024, from $4,083,000 as of December 31, 2023, showing a growth of approximately 144%[5]. Cash Flow and Liquidity - Cash and cash equivalents rose to $6,113,000 as of June 30, 2024, compared to $411,000 as of December 31, 2023, marking a substantial increase[5]. - Cash and cash equivalents as of June 30, 2024, were $6,113,000, up from $2,007,000 as of June 30, 2023, reflecting improved liquidity[15]. - The company reported a net cash used in operating activities of $9,045 thousand for the six months ended June 30, 2024, compared to $9,126 thousand for the same period in 2023[15]. Expenses - Operating expenses for the three months ended June 30, 2024, totaled $5,416,000, an increase of 20.5% from $4,492,000 in the same period of 2023[9]. - Research and development expenses for the three months ended June 30, 2024, were $1,789,000, a slight decrease from $1,933,000 in the same period of 2023[9]. - General and administrative expenses for the three months ended June 30, 2024, were $2,762,000, an increase of $1,292,000 compared to $1,470,000 for the same period in 2023[168]. - Stock-based compensation for the six months ended June 30, 2024, was $777 thousand, down from $980 thousand in the same period in 2023[15]. Compliance and Regulatory - The company has regained compliance with Nasdaq's minimum bid price requirement and equity requirement as of April 29, 2024, and July 3, 2024, respectively[19][20]. - The company has been subject to monitoring for compliance with Nasdaq listing rules for one year following the regaining of compliance[19][20]. Capital Raising and Financing - The company issued common stock and warrants, net of offering costs, amounting to $19,980 thousand in the first half of 2024, compared to $1,927 thousand in the same period of 2023[15]. - The company will need to raise additional funds in the next 12 months, potentially through selling equity or incurring debt, to support its operations[61]. - The company raised approximately $9.987 million from the February 2024 public offering, with gross proceeds of $1.543 million from February Units and $8.444 million from February Pre-Funded Units[112]. Market and Operational Risks - The company relies on sole-source suppliers for critical components, which poses risks to meeting demand[30]. - The company’s future operating results are subject to risks including rapid technological change and competition from larger companies[29]. Stock and Warrants - The company issued additional warrants to purchase 5,602,693 shares of common stock due to a provision triggered by a reverse stock split in April 2024[172]. - As of June 30, 2024, there were 8,832,641 warrants outstanding with exercise prices between $0.015 and $3.48, and 954,827 warrants with exercise prices between $5.06 and $6.00[139]. Technology and Innovation - The company introduced its second generation technology, WiSA E, in 2023, which allows for seamless integration across platforms and devices[161]. - The company is focused on delivering immersive wireless sound technology for next-generation home entertainment systems, indicating ongoing commitment to innovation and market expansion[17].

Exhibit 99.3 WiSA Technologies, Inc., Q1 2024 Earnings Call, May 21, 2024 (EditedCopy) TEXT version of Transcript Corporate Participants * Brett A. Moyer WiSA Technologies, Inc. - Chairman, President & CEO Conference Call Participants * Edward Moon Woo Ascendiant Capital Markets LLC, Research Division - Director of Research and Senior Research Analyst of Internet & Digital Media * Jack Vander Aarde Maxim Group LLC, Research Division - Vice President & Senior Research Analyst Brett A. Moyer, WiSA Technologie ...

Financial Data and Key Metrics Changes - The company reported revenue of under $500,000 in Q1 2024, with expectations for revenue growth in the second half of the year due to new licensing agreements [23][29]. Business Line Data and Key Metrics Changes - The company has signed five licenses for its WiSA E technology, with expectations to reach at least eight licenses by the end of 2024, indicating a strong start in the licensing of its new technology [17][21]. Market Data and Key Metrics Changes - The company has penetrated multiple market segments, including TVs, set-top boxes, and projectors, with at least one license in each of these categories [17]. Company Strategy and Development Direction - The company aims to leverage its strong patent portfolio and the WiSA Association to ensure interoperability among products, similar to the HDMI model, which is crucial for market adoption [7][8]. - The strategy focuses on starting with TV licensing and expanding into other sectors like set-top boxes and mobile devices, with a goal of creating a universal audio experience across various platforms [17][20]. Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the future, noting that the traditional customer base is beginning to reorder products, indicating a recovery from previous inventory issues [23]. - The company is focused on maintaining a strong cash position, with $8 million on the balance sheet to support the launch of WiSA E and ensure compliance with NASDAQ listing requirements [24]. Other Important Information - The company is seeking to lower the quorum threshold for shareholder meetings to facilitate business operations, which reflects a strategic move to enhance governance and operational efficiency [25][26]. Q&A Session Summary Question: Insights on the transformative nature of the WiSA E agreements - Management acknowledged the potential transformative impact of the existing agreements on revenue and margins, but noted that specific revenue guidance has not yet been provided [28][30]. Question: Expected revenue ramp from existing agreements - Management indicated that while initial shipments from some agreements are expected in Q3, mass production dates may vary, leading to a staggered revenue ramp [30]. Question: Details on licensing revenue streams - Management clarified that revenue streams from licensing agreements will vary, with engineering services expected to increase in Q2 and Q3, while royalties will commence later in the year [31][32]. Question: International launch strategy for WiSA E - Management confirmed that the WiSA E launch is international, with a focus on both US and international markets, adapting marketing strategies to different consumer awareness levels [36][37].

Financial Performance - Revenue for the three months ended March 31, 2024, was $255,000, down 45.6% from $469,000 in the same period of 2023[14]. - Gross deficit improved to $(83,000) for Q1 2024, compared to $(1,253,000) in Q1 2023, indicating a significant reduction in losses[14]. - Net income for Q1 2024 was $2,707,000, a turnaround from a net loss of $(921,000) in Q1 2023[14]. - Net loss attributable to common stockholders was $(3,135,000) for Q1 2024, compared to $(921,000) in Q1 2023, reflecting the impact of preferred stock conversions[14]. - Revenue is primarily generated from two categories: Consumer Audio Products and Components, with revenue recognized upon transfer of control to the customer[50]. - For the three months ended March 31, 2024, net revenue was $255,000, a decrease of 45.7% compared to $469,000 for the same period in 2023[55]. - Consumer audio products revenue for Q1 2024 was $96,000, down 32.4% from $142,000 in Q1 2023[55]. - The company reported a comprehensive loss for the three months ended March 31, 2024, which is the same as its net loss[63]. - The Company has incurred recurring losses from operations since inception, highlighting the risks associated with its emerging business model[204]. Assets and Liabilities - Total assets increased to $6,930,000 as of March 31, 2024, compared to $4,823,000 as of December 31, 2023, representing a 43.7% growth[10]. - Cash and cash equivalents increased to $2,763,000 as of March 31, 2024, from $411,000 at the beginning of the period[21]. - Total inventories as of March 31, 2024, were $2.579 million, a decrease from $2.737 million as of December 31, 2023[79]. - Contract liabilities decreased to $13,000 as of March 31, 2024, down from $19,000 as of December 31, 2023[57]. - Total accrued liabilities decreased from $1,317,000 on December 31, 2023, to $1,088,000 on March 31, 2024, representing a reduction of approximately 17.3%[81]. - The Company has a total minimum lease payment liability of $929,000 as of March 31, 2024, with a present value of capital lease obligations at $653,000[167]. Cash Flow and Financing - Net cash used in operating activities was $(3,540,000) for Q1 2024, an improvement from $(4,618,000) in Q1 2023[21]. - Proceeds from the issuance of common stock and prefunded warrants totaled $11,517,000 in Q1 2024, compared to $6,968,000 in Q1 2023[21]. - The Company intends to raise additional funds through the issuance of equity securities or debt to support its operations[78]. - The Company issued a senior secured convertible note with a principal amount of $3,600,000, receiving net proceeds of $2,483,000 after fees, primarily for working capital[82]. - The Company entered into promissory notes totaling $1,000,000 on January 19, 2024, with gross proceeds of $600,000 received before fees[99]. - The Company recorded $737,000 of interest expense from the amortization of debt discounts during the year ended December 31, 2023[84]. Compliance and Regulatory Matters - The Company reported stockholders' equity (deficit) of ($885,000) as of September 30, 2023, failing to meet the Nasdaq Stockholders' Equity Requirement of $2,500,000[26]. - The Company regained compliance with the Minimum Bid Price Requirement by April 29, 2024, after previously closing below $1 per share for 30 consecutive business days[29]. - The Company has a one-year mandatory panel monitor period starting April 29, 2024, to ensure continued compliance with Nasdaq listing rules[29]. - The Company received a compliance letter from Nasdaq on April 29, 2024, confirming it regained compliance with the Minimum Bid Price Requirement[183]. Risks and Challenges - The Company relies on sole-source suppliers for critical components, which poses risks to manufacturing and supply chain stability[39]. - The Company is subject to risks including rapid technological change and competition from larger companies, which could impact future operating results[38]. - As of March 31, 2024, three customers accounted for 58%, 16%, and 10% of accounts receivable, indicating a significant concentration of credit risk[37]. Research and Development - Research and development expenses for Q1 2024 were $1,715,000, a decrease of $178,000 from $1,893,000 in Q1 2023, mainly due to reduced consulting expenses[208]. - The company expects operating losses to continue due to additional costs related to research and development and plans to expand its product portfolio[76]. - The Company introduced its second generation technology, WiSA E, which allows for interoperable high-quality audio across various devices[203]. Stock and Equity Transactions - The company executed a 1-for-150 reverse stock split in April 2024, impacting share and per share amounts[11]. - The Company repurchased 62,657 Series B Preferred Stock shares and 81,315 Series B Preferred Stock warrants for a total of $6,266,000, with unamortized discounts recorded as deemed dividends[117]. - The Company recorded stock-based compensation of $64,000 related to the September 2021 Inducement Grant for the three months ended March 31, 2024[126]. - The Company recorded additional discounts to the Series B Preferred Stock for a beneficial conversion feature of $196,000 related to the exercise of Series B Preferred Stock Warrants[109].

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 20549 FORM 10-K (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2023 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ___________ to ___________ Commission file number: 001-38608 WISA Technologies, Inc. (Exact name of registrant as specified in its charter) (State ...