XIAO-I

Balance sheet and liquidity are severely impaired. As of December 31, 2025, total assets were 15.9M dollars against 120.8M dollars in liabilities, with a shareholders’ deficit of 104.9M dollars. Short‑term borrowings were 29.2M dollars, accounts payable 39.2M dollars and convertible loans 2.0M dollars.

H1 2026 notes disclose negative working capital of 99.6M dollars, overdue borrowings under litigation and explicit going‑concern uncertainty.

Cash was 3.62M dollars at June 30, 2026, partly supported by variable‑price convertibles with Streeterville in April, June and August 2026. TTM operating cash flow to June 30, 2026 is roughly negative 5.9M dollars (FY25 −3.69M, minus 1H25 +3.62M, plus 1H26 +1.44M). The PRC VIE bankruptcy further elevates insolvency risk.