Oncology Pipeline - Acrivon Therapeutics is focused on oncology, advancing its pipeline of preclinical and clinical-stage small molecule inhibitors, including ACR-368 and ACR-2316[100]. - ACR-368 is in a potentially registrational Phase 2B trial for endometrial cancer, with initial data showing a confirmed overall response rate (ORR) of 35% and a disease control rate (DCR) of 80% among 20 biomarker-positive patients[105]. - The company reported that 80% of biomarker-positive patients demonstrated tumor shrinkage, indicating significant anti-tumor activity in aggressive, refractory tumors[105]. - ACR-368 received Fast Track designation from the FDA for endometrial cancer and the OncoSignature test received Breakthrough Device Designation, reflecting its potential for effective treatment[102]. - ACR-2316, a selective WEE1/PKMYT1 inhibitor, is currently in Phase 1 trials, with initial clinical activity observed and a clinical data update expected in the second half of 2025[108]. - The company plans to continue exploring drug combinations and has initiated a Phase 2 trial of ACR-368 with ultra low-dose gemcitabine in endometrial cancer patients[106]. Financial Performance - Acrivon has incurred net losses of $58.9 million and $57.7 million for the nine months ended September 30, 2025, and 2024, respectively, with an accumulated deficit of $255.9 million as of September 30, 2025[113]. - The company raised $123.8 million in net proceeds from a PIPE transaction in April 2024, selling 8,235,000 shares at $8.50 per share[112]. - Research and development expenses for Q3 2025 were $13.6 million, a decrease of $5.2 million from $18.9 million in Q3 2024[137]. - The company reported a net loss of $18.2 million for Q3 2025, an improvement of $4.2 million compared to a net loss of $22.4 million in Q3 2024[135]. - Total operating expenses for the nine months ended September 30, 2025, were $63.998 million, a slight decrease of $0.247 million from $64.245 million in the same period of 2024[139]. - Interest income for Q3 2025 was $1.5 million, down from $2.7 million in Q3 2024, reflecting a decrease of $1.2 million[138]. - Total other income, net for the nine months ended September 30, 2025, was $5.1 million, compared to $6.5 million for the same period in 2024, a decrease of $1.4 million[143]. - Net cash used in operating activities for the nine months ended September 30, 2025, was $48.4 million, slightly increasing from $48.3 million in the same period of 2024[146]. - Net cash provided by investing activities was $44.6 million for the nine months ended September 30, 2025, resulting from $114.5 million in proceeds from maturities of investments[148]. - Net cash used in financing activities was $0.6 million for the nine months ended September 30, 2025, primarily due to tax withholding payments[150]. Research and Development - Acrivon is leveraging its proprietary AP3 platform for drug discovery and optimization, which has enabled rapid advancement of its drug candidates[109]. - The company anticipates a substantial increase in research and development expenses as it continues the development of ACR-368 and ACR-2316[126]. - Research and development expenses for the nine months ended September 30, 2025, were $45.2 million, a decrease of $0.1 million from $45.4 million in the same period of 2024[142]. - ACR-368 direct research and development expenses for Q3 2025 were $3.985 million, down from $11.098 million in Q3 2024, a decrease of $7.113 million[136]. - The company experienced a $6.5 million net decrease in costs due to fewer scheduled milestones in the current period[147]. - A $3.8 million net increase in costs was related to the clinical trial of ACR-2316, initiated in Q3 2024[147]. Future Outlook - Acrivon anticipates significant ongoing expenses related to clinical development and commercialization efforts, necessitating additional funding to support its growth strategy[115]. - The company expects to incur significant expenses and operating losses as it advances drug candidates through clinical development and seeks regulatory approval[153]. - The company anticipates that existing cash will fund operations into the second quarter of 2027, based on current assumptions[152]. - The company may require additional capital for in-licenses or acquisitions of other drug candidates in the future[153]. - As of September 30, 2025, the company had cash, cash equivalents, and investments totaling $134.4 million, expected to fund operations into Q2 2027[118]. - The company is classified as a "smaller reporting company," with a market value of stock held by non-affiliates below $700 million[164].

Revenue and Market Performance - AXT's substrate product group generated 68% of consolidated revenue in 2024, while the raw materials product group accounted for 32%[145]. - The demand for InP substrates is expected to increase due to growth in AI applications and high-speed data transfer needs in data centers[144]. - In 2024, 8% of the Company's total worldwide revenue was generated from sales in North America, primarily from indium phosphide substrates, which have been significantly impacted by tariffs and export controls[162]. - Revenue for the three months ended September 30, 2025, increased by $4.3 million, or 18.2%, to $27.955 million compared to $23.645 million for the same period in 2024[205]. - Substrate revenue for the three months ended September 30, 2025, increased by $6.252 million, or 41.7%, primarily due to higher demand for InP wafer substrates used in data center applications[205]. - Revenue from raw materials decreased by $1.942 million, or 22.5%, to $6.696 million for the three months ended September 30, 2025, attributed to weaker market demand for refined gallium and pBN crucibles[205]. - For the nine months ended September 30, 2025, total revenue decreased by $9.0 million, or 12.1%, to $65.285 million from $74.256 million in the same period in 2024[206]. - Revenue in China for the three months ended September 30, 2025, decreased by $0.662 million, or 4.8%, primarily due to lower demand for Ge wafer substrates[208]. - Revenue in Taiwan increased by $6.905 million, or 322.7%, for the three months ended September 30, 2025, primarily due to additional export approvals from the Chinese government[208]. - North America revenue decreased by $2.418 million, or 94.5%, for the three months ended September 30, 2025, primarily due to the impact of China export restrictions[208]. Operational Efficiency and Capacity - AXT has completed the relocation of its gallium arsenide production lines, enhancing manufacturing efficiency and capacity[151]. - The company has invested in advanced equipment and additional facilities to support future capacity needs[151]. - AXT's consolidated subsidiaries produce and sell raw materials used in substrate manufacturing, contributing to operational efficiency[142]. - The company is focused on expanding its market presence and increasing sales through new product development and technological advancements[140]. Supply Chain and Geopolitical Factors - AXT's supply chain strategy includes partial ownership of raw material companies in China, providing pricing advantages and reliable supply[149]. - The company anticipates that geopolitical tensions and export restrictions in China may impact operations and market conditions[140]. - The PRC government has imposed new export control regulations affecting materials used in military applications, impacting Tongmei's operations[161]. - The Company has created a vertically integrated supply chain, utilizing transfer pricing arrangements and licensing intellectual property to its PRC subsidiaries[167]. - The political tensions between China and the U.S. are affecting the company's ability to secure necessary export permits, impacting revenue and operations[198]. Financial Position and Cash Flow - The company believes it has adequate cash and investments to meet operational needs over the next 12 months[140]. - As of September 30, 2025, the principal source of liquidity was $31.2 million, consisting of cash of $23.1 million and restricted cash of $8.1 million[231]. - Cash and restricted cash decreased by $2.6 million in the nine months ended September 30, 2025, primarily due to net cash used in operating activities of $17.1 million[231]. - Net cash used in operating activities was $17.1 million for the nine months ended September 30, 2025, primarily due to a net loss before income attributable to noncontrolling interest of $19.4 million[233]. - Net cash used in investing activities was $3.8 million for the nine months ended September 30, 2025, primarily from the purchase of property, plant, and equipment of $3.0 million[235]. - Net cash provided by financing activities was $11.8 million for the nine months ended September 30, 2025, consisting of proceeds from short-term loans of $43.3 million[237]. Investment and Financing Activities - Tongmei has secured approximately $49 million in investments from 10 private equity funds to support its IPO on the STAR Market, with a 7.28% redeemable noncontrolling interest granted to investors[153]. - The IPO application for Tongmei was accepted for review by the Shanghai Stock Exchange on January 10, 2022, and was approved on July 12, 2022[155]. - The Company filed a "shelf" registration statement with the SEC to offer up to $100 million in various securities for working capital and capital expenditures[253]. - The Company has a targeted investment of approximately $90 million in a new wafer processing production line in Dingxing, China, with local government support including tax credits[258]. Regulatory and Compliance Issues - The company has faced challenges due to complex and evolving regulations in China, which could materially affect its operations and stock value[169]. - The audit report is prepared by BPM LLP, which is registered with the PCAOB, mitigating some risks associated with foreign operations[170]. Expenses and Profitability - Selling, general and administrative expenses increased by $684,000, or 12.1%, to $6.3 million for the three months ended September 30, 2025, and increased by $247,000, or 1.4%, to $17.9 million for the nine months[215][216]. - Research and development expenses decreased by $2.4 million, or 70.5%, to $1.0 million for the three months ended September 30, 2025, and decreased by $3.8 million, or 36.1%, to $6.7 million for the nine months[217][218]. - Gross profit for the three months ended September 30, 2025 increased by $0.5 million, or 9.5%, to $6.2 million, while gross profit for the nine months decreased by $13.0 million, or 67.0%, to $6.4 million[211][212]. Credit and Loan Information - The Company secured a new line of credit amounting to $9.7 million, structured as a five-year bank loan with an interest rate of 6.5% per annum[249]. - As of September 30, 2025, $4.7 million is included in "Other long-term liabilities" and $0.7 million in "Short-term loans" related to the new credit facility[249]. - ChaoYang XinMei secured a loan of approximately $2.1 million, with an option to repurchase the production line and related equipment for $14.00 at the end of a 30-month period[250]. - The Company secured a fourteen-month unsecured bank loan totaling $2.7 million at an interest rate of 3.2%[251]. - A four-year bank loan totaling $0.4 million was entered into at an interest rate of 3.1%, with $0.3 million included in "Other long-term liabilities" and $0.1 million in "Short-term loans" as of September 30, 2025[252].

Financial Performance - Net Power Inc. reported financial results for Q3 2025, with a revenue of $25 million, representing a 15% increase year-over-year[5] - The company achieved a gross margin of 30%, up from 25% in the same quarter last year, indicating improved operational efficiency[5] - Net Power Inc. provided guidance for Q4 2025, projecting revenue between $28 million and $30 million, which would represent a growth of 12% to 20% compared to Q4 2024[5] - Operational costs were reduced by 8% compared to the previous quarter, reflecting effective cost management strategies[5] Customer Growth - User data showed a 20% increase in active customers, reaching a total of 10,000 users by the end of Q3 2025[5] Investment and Development - The company is investing $5 million in R&D for new product development, focusing on advanced energy solutions[5] - The company plans to launch a new product line in Q1 2026, expected to contribute an additional $10 million in revenue in the first year[5] Market Expansion - Market expansion efforts include entering two new states, aiming to increase market share by 10% in the next fiscal year[5] - Net Power Inc. is exploring potential acquisition opportunities to enhance its technology portfolio and expand its service offerings[5] Sustainability Commitment - The company remains committed to sustainability, with 50% of its energy sourced from renewable resources as of Q3 2025[5]

Financial Performance - Revenue for Q3 2025 was $8.793 million, a decrease of 38.1% compared to $14.219 million in Q3 2024[17] - Gross profit for Q3 2025 was $4.499 million, down 29.2% from $6.362 million in Q3 2024[17] - Net loss for Q3 2025 was $6.169 million, compared to a net income of $43.370 million in Q3 2024[17] - For the nine months ended September 30, 2025, zSpace reported a net loss of $18,103,000, compared to a net loss of $17,197,000 for the same period in 2024[22] - For the three months ended September 30, 2025, the company reported a net loss of $6,169,000 compared to a net loss of $204,000 for the same period in 2024[134] - Total revenues for the three months ended September 30, 2025, were $8,793,000, a decrease of 38.1% from $14,219,000 in 2024[145] - The gross profit for the three months ended September 30, 2025, was $4,499,000, down from $6,362,000 in 2024, reflecting a gross margin decline[145] - The company incurred total operating expenses of $9,293,000 for the three months ended September 30, 2025, an increase of 46.3% compared to $6,338,000 in 2024[145] Operating Expenses - Total operating expenses increased to $9.293 million in Q3 2025, up 46.4% from $6.338 million in Q3 2024[17] - Selling and marketing expenses increased to $4.340 million in Q3 2025, compared to $3.265 million in Q3 2024[17] - Research and development expenses for Q3 2025 were $1.568 million, up 50.5% from $1.040 million in Q3 2024[17] - The company incurred total operating expenses of $9,293,000 for the three months ended September 30, 2025, an increase of 46.3% compared to $6,338,000 in 2024[145] Assets and Liabilities - Total current assets as of September 30, 2025, were $13.340 million, slightly down from $13.511 million as of December 31, 2024[14] - Total liabilities increased to $33.143 million as of September 30, 2025, compared to $28.220 million as of December 31, 2024[14] - The company reported a significant increase in accounts payable, which rose to $3.965 million from $5.656 million[14] - The company’s accumulated deficit reached $308.503 million as of September 30, 2025, compared to $290.400 million as of December 31, 2024[14] Cash Flow and Financing - The company experienced a net cash used in operating activities of $14,025,000 for the nine months ended September 30, 2025, significantly higher than $3,850,000 for the same period in 2024[22] - zSpace's cash, cash equivalents, and restricted cash at the end of the period were $4,271,000, an increase from $3,204,000 at the end of September 2024[22] - The company raised $13,000,000 from convertible debt in 2025, compared to $5,000,000 in 2024[22] - The company issued common stock under an equity line of credit, generating proceeds of $3,605,000 in 2025[22] - The company raised $13,000,000 from the Senior Secured Convertible Note Financing, which closed on April 11, 2025[81] Revenue Recognition - The Company recognized revenue using a five-step model in accordance with ASC Topic 606, which includes identifying contracts and performance obligations[43] - Revenue is recognized when the obligation under the terms of the Company's contract with its customer is satisfied, reflecting the consideration expected to be received[45] - The Company offers standard warranty coverage on substantially all products, which is accounted for as an assurance warranty and not considered a separate performance obligation[46] Market and Product Information - zSpace's primary product is a mixed reality hardware device aimed at K-12 education, generating revenue from both hardware sales and recurring software revenue[25] - The total addressable market (TAM) for the K-12 market is estimated at approximately $21.4 billion in the United States, $29.0 billion in EMEA, and $5.6 billion in APAC, with a global TAM exceeding $68 billion[160][161] - The company has implemented its platform in over 3,500 U.S. public school districts, representing a significant market penetration[158] Stock and Equity - As of September 30, 2025, a total of 8,692,379 shares were authorized for issuance under the Stock Plans, with 7,473,415 shares granted or issued, leaving 1,218,964 shares available for future awards[121] - The Company granted 724,646 Restricted Stock Units (RSUs) to executive officers and Board members at a fair market value of $12.9 million on February 13, 2025[120] - The intrinsic value of RSUs as of September 30, 2025, was $1.3 million, with total unrecognized stock-based compensation cost for RSUs at approximately $13.4 million expected to be recognized over a weighted average period of 1.7 years[124] Challenges and Risks - The Company has incurred operating losses and negative cash flows from operations since inception, raising substantial doubt about its ability to continue as a going concern for at least twelve months[30] - The company faces potential adverse impacts from U.S. tariffs on imports, particularly from China, which could affect supply chain, pricing, and gross margin[187] Bookings and Retention - Bookings for the three months ended September 30, 2025, were $7.436 million, a decrease from $11.736 million in the same period of 2024; for the nine months ended September 30, 2025, bookings were $35.173 million compared to $22.746 million in 2024[169] - The net dollar revenue retention rate (NDRR) for customers with at least $50,000 of ACV was 77% for the trailing twelve-month period ended September 30, 2025, compared to 102% in 2024[177]

Financial Performance - Revenues for the three months ended September 30, 2025, were $25.1 million, a decrease of 4% compared to $26.3 million for the same period in 2024, with ShotSpotter representing approximately 65% of total revenues[92] - For the nine months ended September 30, 2025, revenues increased by 1% to $79.3 million from $78.6 million in 2024, with ShotSpotter accounting for 63% of total revenues[93] - The City of New York accounted for 30% of total revenues for the nine months ended September 30, 2025, while the City of Chicago did not renew its contract in November 2024[93] - Revenues generated within the United States accounted for 97% of total revenues for the three months ended September 30, 2025, down from 99% in 2024[94] - Revenues for Q3 2025 were $25.1 million, a decrease of 4% from $26.25 million in Q3 2024, primarily due to a $2.8 million contract with the City of Chicago in 2024[136] - Revenues for the nine months ended September 30, 2025, increased by $0.7 million to $79.3 million, primarily driven by $4.4 million in new bookings and $3.5 million in catch-up revenue from contract renewals[144][145] Net Loss and Expenses - The company reported a net loss of $2.0 million for the three months ended September 30, 2025, compared to a net loss of $1.4 million for the same period in 2024[96] - The company reported a net loss of $2.044 million in Q3 2025, compared to a net loss of $1.44 million in Q3 2024, marking a 42% increase in losses[136] - Operating loss increased by 53% to $6.2 million, reflecting higher operating expenses despite a decrease in sales and marketing expenses[144][148] - The accumulated deficit increased to $110.9 million as of September 30, 2025, from $104.3 million at the end of 2024[96] Operating Expenses - Cost of revenues increased by $0.4 million to $11.229 million, primarily due to product costs related to software licensing for the NYPD and maintenance activities for ShotSpotter deployments[138] - Gross profit for Q3 2025 was $13.634 million, representing 54% of revenues, down from 58% in Q3 2024[136] - Operating expenses totaled $15.69 million in Q3 2025, a decrease of 4% from $16.263 million in Q3 2024, with sales and marketing expenses decreasing by $1.4 million[136] - Research and development expenses increased by $0.7 million to $4.097 million, driven by investments in enhancing AI capabilities[140] - Cost of revenues rose by $2.9 million to $35.0 million, with significant contributions from $1.0 million in IT costs for AI enhancements and $0.8 million in maintenance costs[144][146] - Research and development expenses increased by $1.5 million to $11.9 million, driven by consulting and IT expenses related to AI capabilities[144][149] Cash Flow and Financial Position - Net cash provided by operating activities fell by $18.3 million to $4.8 million, attributed to slower collections and a decrease in deferred revenue[165][167] - As of September 30, 2025, cash and cash equivalents totaled $11.8 million, with accounts receivable at $28.5 million and available borrowing capacity of $36.0 million under the credit facility[156] - The company expects existing cash and credit facilities to meet working capital needs for at least the next 12 months despite negative working capital[157][158] Strategic Initiatives - The company introduced new products such as ResourceRouter and CrimeTracer, and expanded its offerings through the acquisition of SafePointe, targeting new markets including healthcare due to California's AB 2975 mandate[98] - The company plans to expand its international presence and pursue opportunities in Latin America, recognizing the need for additional resources and management attention[99] - The company completed the acquisition of SafePointe for $25.6 million, funded by $11.4 million in cash and $11.2 million in stock[160] Market Risks - The company’s market risk exposure is primarily due to fluctuations in interest rates, foreign exchange rates, and inflation[176] - There were no material changes in the company's market risk during the nine months ended September 30, 2025, compared to the previous disclosures[177] - The company anticipates that rising costs from inflation may lead to budget shortfalls for customers, potentially delaying contract approvals[112] Contractual and Operational Metrics - As of September 30, 2025, the company had 178 cities and 22 campuses/sites under contract, covering over 1,088 square miles, with 1,075 square miles already live[87] - The net new "go-live" cities and universities for the three months ended September 30, 2025, were 3, while for the nine months, it was 7, compared to 15 in the same period of 2024[100] - The impairment of property and equipment increased significantly by 339% to $237,000 in Q3 2025, compared to $54,000 in Q3 2024[136] Accounting Policies - As of September 30, 2025, there have been no material changes to the company's critical accounting policies and estimates from those disclosed in the 2024 Annual Report on Form 10-K[173]

Offering Details - The Company is offering a total of 4,196,000 shares of Class A common stock, with an additional option for underwriters to purchase up to 629,400 shares[2]. - The proposed offering of the shares may be made pursuant to General Instruction I.B.1 of Form S-3[11]. - The Offering is expected to commence as soon as the Representatives deem advisable after the execution of the Underwriting Agreement[2]. - The Company has granted an option to Underwriters to purchase up to an additional 629,400 shares of Common Stock[99]. - The company is selling 4,196,000 shares of Common Stock at an initial public offering price of $7.15 per share[177]. - The total number of shares to be sold, including the option shares, is 4,825,400[179]. - The underwriters have been granted an option to purchase an additional 629,400 shares of Common Stock[179]. - The underwriters' discount per share is $0.46475[177]. - William Blair & Company, L.L.C. will purchase 2,194,508 shares, while TD Securities (USA) LLC will purchase 1,670,008 shares[177]. Regulatory Compliance - The registration statement for the public offering was declared effective on August 23, 2024[4]. - The Company has complied with all requests from the Securities and Exchange Commission for additional information[12]. - No stop order suspending the effectiveness of the registration statement has been issued by the Commission[12]. - The Company meets the requirements for use of Form S-3 under the 1933 Act[11]. - The Company has not engaged in any Testing-the-Waters Communication without the consent of the Representatives[20]. - The Company has prepared and will file a final prospectus supplement relating to the shares in accordance with Rule 424(b)[4]. - The Company has filed all required SEC reports on a timely basis, and these reports complied with the applicable requirements[25]. - The Company has maintained compliance with the Sarbanes-Oxley Act in all material respects[28]. - The Company is classified as an "emerging growth company" as defined in Section 2(a) of the 1933 Act[23]. - The Company will comply with the requirements of the 1933 Act and the 1934 Act to permit the completion of the distribution of the Shares[104]. Financial Position - The financial statements comply with Regulation S-X and present fairly the financial position of the Company and its consolidated subsidiaries[27]. - There has been no material adverse change in the Company's business or financial position since the last reporting period[30]. - The Company has not entered into any material transactions or incurred any significant liabilities since the last reporting period[30]. - The Company has not sustained any material losses or business interferences from external calamities or disputes[30]. - The Company must provide a comfort letter from PricewaterhouseCoopers LLP regarding financial statements at the time of execution and at Closing Time[127][128]. - The principal financial officer provided a certificate confirming the accuracy of financial data in the Registration Statement[134]. Legal and Regulatory Matters - The Company and its Subsidiaries are not in violation of any laws or regulations that would result in a Material Adverse Effect[41]. - There are no labor disputes or significant unfair labor practice complaints pending against the Company or its Subsidiaries[43]. - The Company possesses all necessary Governmental Licenses to conduct its business, and they are in compliance with all terms and conditions[47]. - The Company has been in compliance with all FDA regulations and has not received any adverse findings from the FDA[53]. - The Company has maintained compliance with all applicable FDA Laws and has not received any notices of action from the FDA that would result in a Material Adverse Effect[54]. - The Company has all necessary permits and is in compliance with Environmental Laws, with no pending actions or claims against it[60]. - The Company has conducted its business in compliance with the Foreign Corrupt Practices Act and has instituted policies to ensure continued compliance[67]. - The Company has maintained compliance with all applicable privacy, data security, and data protection laws, including the California Consumer Privacy Act and the EU General Data Protection Regulation[73]. Internal Controls and Insurance - The Company maintains effective internal control over financial reporting and has not experienced any material weaknesses in its internal controls[61]. - All required tax returns have been filed, and taxes due have been paid, with adequate reserves established for any contested assessments[63]. - The Company carries insurance with reputable insurers, and there is no reason to believe it will not be able to renew its coverage[64]. Indemnification and Agreements - The Company agrees to indemnify Underwriters against any losses arising from untrue statements or omissions in the Registration Statement[141]. - Each Underwriter agrees to indemnify the Company against losses related to untrue statements or omissions made in reliance on Underwriter Information[143]. - The indemnification agreement includes coverage for expenses incurred in investigating or defending against claims[146]. - The Company and Underwriters agree on the proportional allocation of losses based on the net proceeds from the Offering[148]. - The agreement is governed by the laws of the state of New York[164]. - The agreement supersedes all prior agreements and understandings between the company and the underwriters regarding the subject matter[170]. Miscellaneous - The Company has not engaged in any transactions with affiliates exceeding $120,000, other than for salary or employee benefits[76]. - The Company has taken necessary actions to render anti-takeover provisions inapplicable[77]. - The Company has not made any offers or sales of securities that would cause the Offering to be integrated with prior offerings[78]. - The Company acknowledges that the Underwriters will rely upon the accuracy and truthfulness of the representations made[97]. - The Company must ensure that all conditions specified in the Agreement are fulfilled to avoid termination of the Agreement[140]. - The Representatives may terminate the Agreement if there is a material adverse change in the Company's financial condition or market conditions[155].

Financial Performance - Total revenues for the three and nine months ended September 30, 2025, were $3.4 million and $8.3 million, respectively, compared to $3.6 million and $10.6 million for the same periods in 2024, reflecting a decrease of 5.7% and 21.8%[114] - The net loss for the three months ended September 30, 2025, was $11.0 million, a 6.7% increase from the net loss of $10.3 million in the same period of 2024[121] - The company reported a net loss of $29.9 million for the nine months ended September 30, 2025, with an accumulated deficit of $324.3 million[141] - For the nine months ended September 30, 2025, the net cash used in operating activities was $22.7 million, primarily due to a net loss of $29.7 million[154] - The company reported a net cash used in operating activities of $30.4 million for the nine months ended September 30, 2024, due to a net loss of $30.3 million[155] Sales and Market Performance - Total Swoop® system units sold were 8 units and 22 units for the three and nine months ended September 30, 2025, down from 13 units and 39 units in the same periods of 2024, indicating a decline of 38.5% and 43.6%[114] - Device sales decreased by $142 thousand, or 4.7%, for the three months ended September 30, 2025, compared to the same period in 2024, primarily due to a decrease in units sold[122] - Total sales decreased by $206 thousand, or 5.7%, for the three months ended September 30, 2025, with total sales for the nine months down by $2.3 million, or 21.8%[122] Research and Development - Research and development expenses decreased by 31.0% to $4.0 million for the three months ended September 30, 2025, compared to $5.9 million in 2024[121] - Research and development expenses decreased by $1.8 million, or 31.0%, for the three months ended September 30, 2025, and by $3.8 million, or 21.7%, for the nine months[129] Operating Expenses - Operating expenses decreased by 16.3% to $10.8 million for the three months ended September 30, 2025, compared to $12.9 million in 2024[121] - General and administrative expenses decreased by $358 thousand, or 7.9%, for the three months ended September 30, 2025, and by $1.1 million, or 8.5%, for the nine months[131] - Sales and marketing expenses increased by $72 thousand, or 2.9%, for the three months ended September 30, 2025, and by $862 thousand, or 12.7%, for the nine months[133] Cash Flow and Financing - As of September 30, 2025, the company had cash and cash equivalents of $21.6 million, indicating ongoing negative cash flows from operations[141] - The company raised gross proceeds of $20.1 million from the October 2025 Offering, including $17.5 million from the initial offering and $2.6 million from the exercise of the Underwriter Option[147] - The net cash provided by financing activities for the nine months ended September 30, 2025, was $8.2 million, mainly from the February 2025 Offering and sales under the Sales Agreement[158] - The company experienced a net decrease in cash, cash equivalents, and restricted cash of $15.6 million for the nine months ended September 30, 2025[153] - The company plans to use cash for product development, commercial expansion, and general corporate purposes[149] Product Development and Market Expansion - The Swoop® system received 510(k) clearance for its tenth-generation AI-powered software, Optive AI™, in May 2025, which enhances image processing and reduces scan times without compromising quality[110] - The company is focusing on expanding its commercialization efforts beyond critical care to include emergency departments and neurology clinics, supported by the launch of the next-generation Swoop® system[117] - The Swoop® system has received marketing authorization in several countries, including the EU, UK, Canada, Australia, and New Zealand, facilitating international market expansion[112] Grants and Funding - The company received $4.9 million in grants from the Bill and Melinda Gates Foundation to deploy the Swoop® system in low-middle income settings, with an additional $3.4 million grant awarded in May 2023[119] Interest and Currency Exposure - Interest income decreased by $398 thousand, or 68.0%, for the three months ended September 30, 2025, and by $1.3 million, or 63.9%, for the nine months[135] - The company does not have significant exposure to foreign currencies, as most transactions are executed in U.S. dollars[171]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2025 or ☐ TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number: 001-34577 IT TECH PACKAGING, INC. (Exact name of registrant as specified in its charter) Nevada 20-4158835 (State or other jurisdiction of ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2025 or ☐ TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ___________ to ___________ Commission File Number: 001-41620 GAXOS.AI INC. (Exact name of registrant as specified in its charter) (Registrant's telephone number, incl ...

Revenue Generation - For the three months ended September 30, 2025, the company generated revenues of $498,271, primarily from RNK Health, which provided non-clinical services amounting to $441,228[133]. - During the nine months ended September 30, 2025, total revenues reached $692,974, with RNK Health contributing $634,178 from non-clinical services[134]. Operating Expenses - Operating expenses for the three months ended September 30, 2025, were $1,813,026, reflecting a 99.5% increase from $908,573 in the same period of 2024[135]. - Total general and administrative expenses for the nine months ended September 30, 2025, amounted to $3,644,088, up from $2,122,607 in 2024, marking a significant increase[139]. - Other general and administrative expenses for the three months ended September 30, 2025, rose to $254,618, an increase of $152,618 or 149.6% compared to the same period in 2024[147]. - Compensation and related benefits increased by 39.5% to $962,098 for the nine months ended September 30, 2025, primarily due to executive bonuses and stock-based compensation[141]. Research and Development - Research and development fees increased by 8.5% to $274,021 for the three months ended September 30, 2025, compared to $252,657 in 2024[136]. - The company plans to pursue research and development of its products, which will require additional capital from third-party sources[163]. Marketing and Advertising - Advertising and marketing expenses surged by 638.9% to $903,258 for the three months ended September 30, 2025, compared to $122,247 in 2024[144]. - For the three months ended September 30, 2025, advertising and marketing fees increased by $761,670, contributing to the growth in RNK Health services[145]. Losses and Financial Position - The loss from operations for the three months ended September 30, 2025, was $1,314,755, an increase of $408,886 or 45.1% from the previous year[149]. - The net loss attributable to common shareholders for the three months ended September 30, 2025, was $1,001,474, or $0.14 per share, reflecting an increase of $137,064 or 15.9% year-over-year[152]. - For the nine months ended September 30, 2025, net cash used in operations was $3,120,632, primarily due to a net loss of $3,197,507[157]. - The company expects to continue generating operating losses in the foreseeable future due to corporate overhead and research and development costs[156]. Cash and Investments - As of September 30, 2025, the company had a cash balance of $914,183 and short-term investments totaling $12,058,377, with working capital of $12,968,843[154]. - The company reported net cash used in investing activities of $10,363,284 for the nine months ended September 30, 2025, mainly from the purchase of short-term investments[159]. - The company did not have any cash flows from financing activities for the nine months ended September 30, 2025[161]. New Initiatives - The company launched four proprietary games by September 30, 2025, enhancing user engagement through AI-driven personalization and NFT features[124]. - Gaxos Health, a new initiative, aims to provide AI-powered health optimization solutions, with the product launched in Q3 2024[126][127]. - RNK Health LLC was formed to market health-related products, with the company holding a 70% membership interest[128].