CXAIWHIGH SIGNALFINANCIAL10-K

CXAIW shows dramatic share dilution of 188% alongside extreme financial volatility including 35% revenue decline but massive cash improvement and gross profit surge.

The outstanding share count nearly tripled from 19.8M to 57.1M shares, representing severe dilution for existing shareholders that will significantly impact per-share metrics. Despite revenue declining 35%, the company achieved a remarkable 304% increase in gross profit and eliminated nearly all interest expense, suggesting major operational restructuring or business model changes that improved unit economics.

Comparing 2026-03-30 vs 2025-04-07View on EDGAR →
FINANCIAL ANALYSIS

The company demonstrates extreme financial volatility with revenue falling 35% to $4.6M while gross profit surged 304% to $4.0M, indicating dramatically improved margins or cost structure changes. Cash position more than doubled to $11.1M and current liabilities were cut in half, suggesting significant capital injection or debt restructuring, though operating cash flow worsened to -$10.4M. The combination of massive share dilution, improved balance sheet strength, but deteriorating operational cash flow creates a mixed picture of a company that may have undergone major financing or restructuring events.

FINANCIAL STATEMENT CHANGES
Gross Profit
P&L
+304.1%
$991K$4.0M

Gross profit expanding — improving pricing power or product mix shift toward higher-margin offerings.

Cash & Equivalents
Balance Sheet
+127.5%
$4.9M$11.1M

Cash position surged 127.5% — strong cash generation or capital raise providing significant financial cushion.

Interest Expense
P&L
-99.8%
$1.1M$2K

Interest expense declined — debt repayment or refinancing at lower rates improving earnings quality.

Total Deposits
Balance Sheet
-94.3%
$4.4M$250K

Deposits declined 94.3% — significant outflows warrant immediate investigation into funding stability.

Current Assets
Balance Sheet
+81.3%
$7.1M$12.8M

Current assets grew 81.3% — improving short-term liquidity or inventory/receivables build.

Accounts Receivable
Balance Sheet
-53.2%
$1.7M$789K

Receivables declined — improved collection efficiency or conservative revenue recognition.

Current Liabilities
Balance Sheet
-50.3%
$11.6M$5.8M

Current liabilities reduced — improved short-term financial position and working capital health.

Operating Cash Flow
Cash Flow
-41.7%
-$7.3M-$10.4M

Operating cash flow fell 41.7% — earnings quality concerns; investigate working capital changes and non-cash items.

Revenue
P&L
-35.8%
$7.1M$4.6M

Revenue declined 35.8% — significant demand weakness or market share loss warrants investigation.

Net Income
P&L
+30.6%
-$19.4M-$13.5M

Net income grew 30.6% — bottom-line growth signals improving overall business health.

LANGUAGE CHANGES
NEW — 2026-03-30
PRIOR — 2025-04-07
ADDED
As of March 24, 2026, there were 57,115,772 shares of the Registrant s Class A common stock, par value $0.0001 per share, issued and outstanding.
Key components of the platform include: CXAI Applications : Mobile and web-based applications that provide employees and other users with access to workplace information, communications, and workflows across iOS, Android, kiosk and web environments.
CXAI BTS (Behind the Scenes) : The platform s core infrastructure layer that supports content management, workflow automation, integrations with enterprise systems, and security and compliance controls.
CXAI BTS includes a configurable rules engine designed to support complex customer requirements, including policy-based workflows, role-based access controls, and administrative governance.
CXAI-VU : An analytics and AI-enabled insights module that aggregates and analyzes workplace and experience-related data to provide visibility into usage patterns, engagement metrics, and operational trends.
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REMOVED
As of March 31, 2025, there were 19,805,784 shares of the Registrant s Class A common stock, par value $0.0001 per share, issued and outstanding.
Key components of the platform include: CXAI Apps: A multi-platform suite of applications (iOS, Android, and web) offering AI-driven, personalized workflows for employees, enhancing productivity and engagement.
CXAI BTS (Behind the Scenes): The core AI engine that powers automation, content management, and security compliance for enterprise-wide deployments.
CXAI-VU: A generative AI analytics platform that provides actionable insights into workplace utilization, employee engagement, and productivity, allowing real-time decision-making.
Market Size In a Market Research Report released in 2024, the digital workplace market size was valued at $27.4 billion in 2022, and is projected to grow from $33.7 billion in 2023 to $90.5 billion by 2030.
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