Financial Performance - Net income for the three months ended March 31, 2024, was $188,723, compared to a net loss of $763,803 for the same period in 2023, indicating a significant turnaround[19] - Basic and diluted net income (loss) per common share for redeemable common stock was $(0.17) for Q1 2024, compared to $0.08 for Q1 2023[19] - For the three months ended March 31, 2024, the net loss was $188,723 compared to a net income of $763,803 for the same period in 2023[24] - The basic and diluted net loss per share for the three months ended March 31, 2024, was $(0.17), while for the same period in 2023, it was $(0.09), showing a deterioration in performance[74] - The income tax provision for the three months ended March 31, 2024, was $45,261, compared to $42,640 for the same period in 2023, indicating a year-over-year increase of approximately 6%[71] Assets and Liabilities - Total current assets increased to $386,360, up from $371,470, reflecting a growth of approximately 4.8%[17] - Total liabilities increased to $8,194,454 from $7,659,962, marking an increase of about 7%[18] - Accumulated deficit rose to $(7,632,802) as of March 31, 2024, compared to $(7,288,800) at the end of 2023, reflecting a decline of approximately 4.7%[18] - Total current liabilities increased to $4,571,954 from $4,037,462, an increase of approximately 13.2%[17] - Cash at the end of the period was $78,427, down from $195,987 at the end of the same period in 2023[27] Marketable Securities - Unrealized gain on marketable securities held in the trust account was $251,129 for Q1 2024, down from $1,059,514 in Q1 2023, representing a decrease of approximately 76.3%[19] - Unrealized loss from marketable securities held in the trust account was $251,129, a decrease from an unrealized loss of $1,059,514 in the prior year[24] - The Company had $19,268,054 in securities exceeding SIPC limits as of March 31, 2024, compared to $18,937,175 as of December 31, 2023, indicating an increase in excess securities[76] Business Combination and Operations - The company has not commenced any operations as of March 31, 2024, and will not generate operating revenues until after completing a business combination[31] - The company must complete a business combination with a fair market value equal to at least 80% of the net assets held in the trust account[37] - The Company extended the deadline for its initial Business Combination from March 29, 2023, to December 29, 2024, with stockholders approving the Charter Amendment[46] - The Company terminated the Business Combination Agreement with Eon on November 7, 2023, due to breaches of certain covenants[54] - The company expects to incur significant costs in pursuit of its financing and acquisition plans, raising concerns about its ability to continue as a going concern[56] Trust Account and IPO - The trust account holds $105,052,500, which may be invested in U.S. government securities until a business combination is completed[35] - The company generated gross proceeds of $90,000,000 from its Initial Public Offering (IPO) on December 29, 2021[32] - The Company accrued $0 for income taxes for the three months ended March 31, 2024, while prepaying $247,183 in income taxes[71] - The underwriters received a cash underwriting discount of $1,811,250 upon the closing of the Proposed Public Offering, with a deferred fee of $3,622,500 payable upon completion of a Business Combination[94] Shareholder Information - Stockholders redeemed 3,298,311 shares at approximately $10.72 per share, resulting in approximately $35,448,259 being removed from the Trust Account[46] - Following the redemption, the remaining shares of Class A common stock outstanding were 1,762,409[48] - The weighted average shares of redeemable common stock decreased to 1,762,409 in Q1 2024 from 10,350,000 in Q1 2023[19] - As of March 31, 2024, the ending balance of Redeemable Class A Common Stock was $19,342,454, compared to $19,187,175 as of December 31, 2023, reflecting a slight increase[68] Miscellaneous - The Company had $180,000 outstanding under Working Capital Loans as of March 31, 2024, consistent with the amount outstanding as of December 31, 2023[90] - The Company recognized no unrecognized tax benefits as of March 31, 2024, and December 31, 2023, indicating no significant tax issues under review[70] - The Company is classified as an "emerging growth company," allowing it to take advantage of certain exemptions from reporting requirements[60] - The company is authorized to issue 1,000,000 shares of preferred stock, but none were issued or outstanding as of March 31, 2024[96] - The Public Warrants will become exercisable 30 days after the completion of a Business Combination and will expire five years after completion[101]
Arogo Capital Acquisition (AOGO) - 2024 Q1 - Quarterly Report