Arrive AI Inc(US:ARAI)2025-11-14 21:06Revenue and Income - Total revenues for the three months ended September 30, 2025, were $7,450, with $5,275 from subscription services and $2,175 from installation fees[136]. - The company recognized total revenues of $98,175 for the nine months ended September 30, 2025, with $89,000 from consulting services[145]. - For the nine months ended September 30, 2025, total revenue was $8,281,262, representing a 157% increase compared to $3,225,920 in the same period of 2024[148]. - Other income rose to $83,454, a 183% increase from $29,523, mainly from payroll tax refunds and state tax credits[152]. Expenses - Operating expenses for the same period increased by 100% to $1,657,731, driven by a 73% rise in general and administrative expenses to $1,370,347[138]. - General and administrative expenses for the nine months ended September 30, 2025, were $7,551,884, reflecting a 215% increase from $2,395,881 in the prior year[147]. - General and administrative expenses increased by $5,156,003 to $6,156,003, primarily due to a $4,359,704 rise in salaries and benefits, including $1,866,531 in one-time success bonuses[149]. - Research and development expenses rose significantly to $179,854, a 2,165% increase compared to the prior year[140]. - Research and Development expenses were $564,585, an increase of $15,706 from the prior year, driven by higher independent contractor spend[150]. - Marketing expenses decreased by $116,367 to $164,793, attributed to one-time television advertising costs in the prior year[151]. Cash Flow and Financing - Net cash used in operating activities was $5,048,431, an increase of $3,088,984 compared to $1,959,447 in the same period of 2024[161]. - Net cash provided by financing activities was $7,772,302, including $7,530,000 from convertible debt issuance[166]. - As of September 30, 2025, cash on hand was $816,715, and short-term investments totaled $1,918,995, providing approximately three and a half months of runway[156]. Shareholder Actions - The company has initiated a share repurchase program of up to $10 million from September 8, 2025, through March 31, 2026[132]. - As of September 30, 2025, the company had 34,213,387 shares outstanding, with potential dilution scenarios indicating a 22% increase if maximum Streeterville shares are issued[130][131]. Employee and Operational Growth - The company had 33 full-time salaried employees as of September 30, 2025, compared to 8 in the same period last year, reflecting significant hiring in product development and marketing[159]. Future Plans and Developments - The company installed third-generation Arrive Points ("AP3" units) in Q4 of 2024, which began revenue operation in 2025[124]. - The company plans to leverage machine learning and artificial intelligence for data monetization and insights generation[125][126]. - The ALM Marketplace is being developed to optimize access schedules and space availability for the Arrive Points network[127]. Net Loss - The company reported a net loss of $8,904,672 for the nine months ended September 30, 2025, offset by non-cash items including stock-based compensation of $3,134,655[162].