ARAI — what changed in the latest 10-Q

Text added vs the prior filing · source: 10-Q · 2026-08-13

• On May 14, 2026, we entered into a Standstill Agreement (the “Standstill Agreement”) with Streeterville Capital, LLC, a Utah limited liability company (the “Investor”). The Standstill Agreement was entered into in connection with that certain Securities Purchase Agreement, dated March 21, 2025, by a…

• Pursuant to the Standstill Agreement, the Investor has agreed, subject to certain conditions, to refrain from delivering Purchase Notices to us under any outstanding Pre-Paid Purchases for the period beginning on May 14, 2026 and ending on December 31, 2026 (the “Standstill Period”). Notwithstanding…

• Except as set forth in the Standstill Agreement, each outstanding pre-paid purchase remains in full force and effect in accordance with its terms. The Standstill Agreement will terminate upon the occurrence of any material breach of the Standstill Agreement by us or any event of default under any Tr…

• The foregoing description of the Standstill Agreement does not purport to be complete and is qualified in its entirety by reference to the full text of the Standstill Agreement, a copy of which was filed as Exhibit 10.1 to the Company’s Current Report on Form 8-K filed with the Securities and Exchan…

• On June 11, 2026, the Company entered into an Equity Distribution Agreement (the “Sales Agreement”) with Maxim Group LLC (“Maxim”), to sell shares of its common stock, par value $0.0002 per share (the “Shares”), having an aggregate offering price of up to $14,967,247, from time to time, through an “…

Text removed vs the prior filing · source: 10-Q · 2026-05-15

• Shares Issued Under Purchase Agreement and Other Shares Issued

• On September 8, 2025, we announced a share repurchase program of up to $10 million of the Company’s common stock, par value $0.0002 per share, which expired March 31, 2026.

• Our revenues to date have been derived from a limited number of customers. In the three months ended March 31, 2026, more than 90% of our total revenue came from a single customer. If we are unable to expand our customer base and generate recurring subscription revenue, our results of operations wil…

• As an early stage company, during the three months ended March 31, 2025, we had no revenues.

• ● Salaries and benefits in total increased by $1,429,519 from the prior year. Base salaries for the three months ended March 31, 2026 were $1,545,967, an increase of $1,313,908 from the same period in the prior year due to new hiring in product development, engineering and sales and marketing. As of…

Text added vs the prior filing · source: 10-Q · 2026-08-13

• From time to time, Arrive AI Inc. (the “Company”) may be subject to various claims, lawsuits and other legal and administrative proceedings arising in the ordinary course of business. Defending such proceedings is costly and may impose a significant burden on management and employees. The results of…

• There have been no material developments in the Company’s previously disclosed legal proceedings during the period ended June 30, 2026, except as follows:

• Byfield Management, Inc. and Ohrn II, Richard B. v. Dronedek Corporation. No material developments occurred during the quarter. Discovery documents have been exchanged and no further motions or trial dates are pending. Plaintiff’s allegations remain approximately $29 million in total damages; the Co…

• Doan and Town v. Company (E.D. Va. / remanded, Case No. 760CL25003626-00). Since the matter was previously disclosed, the plaintiffs increased their damages demand from $45,082 to $175,000. The matter remains in its initial stages, and the Company is unable to predict the outcome at this time.

• Company v. Wright / Wright Flyer Consulting Group Inc. (S.D. Ind., Case No. 1:2025cv02026). Discovery is underway.

Text removed vs the prior filing · source: 10-Q · 2026-05-15

• There have been no material developments in the Company’s previously disclosed legal proceedings, and no new matters occurring during the period ended March 31, 2026.

Text added vs the prior filing · source: 10-Q · 2026-08-13

• Subsequent to June 30, 2026, the risk factor entitled “Triggering Events May Require Substantial Monthly Cash Repayments That Could Materially Impair Our Liquidity” has materialized. As described in Note 4, Going Concern, Note 18, Subsequent Events, and the Liquidity and Capital Resources section of…