IB Acquisition Corp.(IBAC) - 2025 Q3 - Quarterly Report

PART I. FINANCIAL INFORMATION Item 1. Interim Financial Statements. Presents IB Acquisition Corp.'s unaudited interim financial statements and notes for Q2 2025 and Q4 2024 - Financial statements are unaudited and prepared in accordance with GAAP for interim financial information[40] - Interim results for the three and nine months ended June 30, 2025, are not necessarily indicative of the results to be expected for the year ending September 30, 2025, or for any future periods[41] Balance Sheets Presents unaudited balance sheets detailing assets, liabilities, and equity for the reported periods Balance Sheets | Metric | June 30, 2025 | September 30, 2024 | | :-------------------------------- | :-------------- | :----------------- | | Total Assets | $122,176,971 | $119,800,388 | | Cash | $486,018 | $822,799 | | Cash and investments held in Trust Account | $121,553,746 | $118,601,873 | | Total Liabilities | $549,009 | $722,230 | | Common stock subject to possible redemption | $121,028,301 | $117,966,361 | | Total Stockholders' Equity | $599,661 | $1,111,797 | Statements of Operations Provides unaudited statements of operations, outlining revenues, expenses, and net income for the reported periods Statements of Operations | Metric | 3 Months Ended June 30, 2025 | 3 Months Ended June 30, 2024 | 9 Months Ended June 30, 2025 | 9 Months Ended June 30, 2024 | | :-------------------------------------------------- | :----------------------------- | :----------------------------- | :----------------------------- | :----------------------------- | | General and administrative expenses | $172,210 | $76,379 | $512,136 | $358,516 | | Interest and dividends earned on Trust Account | $1,254,202 | $1,504,700 | $3,875,873 | $1,504,700 | | Income before provision for income taxes | $1,081,992 | $1,428,321 | $3,363,737 | $1,146,184 | | Provision for income taxes | ($263,382) | ($314,854) | ($813,933) | ($314,854) | | Net income | $818,610 | $1,113,467 | $2,549,804 | $831,330 | | Basic and diluted net income per common stock, redeemable | $0.05 | $0.07 | $0.16 | $0.11 | - Net income for the nine months ended June 30, 2025, significantly increased to $2,549,804 from $831,330 in the prior year, primarily due to higher interest and dividends earned on the Trust Account[10] Statements of Changes in Stockholders' Equity Summarizes changes in stockholders' equity, including net income and remeasurement, for the nine months ended June 30, 2025 Statements of Changes in Stockholders' Equity | Item | 9 Months Ended June 30, 2025 | | :------------------------------------------ | :--------------------------- | | Balance — September 30, 2024 | $1,111,797 | | Remeasurement of Common Stock subject to possible redemption | ($3,061,940) | | Net income | $2,549,804 | | Balance — June 30, 2025 | $599,661 | - Total Stockholders' Equity decreased from $1,111,797 as of September 30, 2024, to $599,661 as of June 30, 2025, largely due to the remeasurement of common stock subject to possible redemption, despite positive net income[12] Statements of Cash Flows Presents unaudited cash flow statements, categorizing cash movements from operating, investing, and financing activities Statements of Cash Flows | Activity | 9 Months Ended June 30, 2025 | 9 Months Ended June 30, 2024 | | :------------------------------------------ | :--------------------------- | :--------------------------- | | Net cash used in operating activities | ($1,260,781) | ($767,109) | | Net cash provided by (used in) investing activities | $924,000 | ($115,575,000) | | Net cash provided by financing activities | $0 | $117,166,205 | | Net change in Cash and cash equivalents | ($336,781) | $824,096 | | Cash and cash equivalents – end of the period | $486,018 | $876,649 | - Cash and cash equivalents decreased by $336,781 in the nine months ended June 30, 2025, compared to an increase of $824,096 in the same period of 2024, primarily due to changes in investing and financing activities related to the IPO in 2024[17] Notes to Financial Statements Provides detailed disclosures and explanations integral to understanding the unaudited interim financial statements - The notes are an integral part of the unaudited financial statements, providing detailed disclosures and explanations for the figures presented[8][10][15][17][40] NOTE 1. DESCRIPTION OF ORGANIZATION AND BUSINESS OPERATIONS Describes IB Acquisition Corp.'s formation as a blank check company and its business objectives - IB Acquisition Corp. is a blank check company (SPAC) formed to effect a business combination, with an investment strategy targeting companies in North America, Europe, and Asia with an enterprise value of at least $500 million[20][108] - The Company has not commenced operations and will not generate operating revenues until after a Business Combination; non-operating income is derived from interest on Trust Account proceeds[21][110] IPO Detail | IPO Detail | Value | | :-------------------------------- | :----------------- | | IPO Date | March 28, 2024 | | Units Sold | 11,500,000 | | Purchase Price per Unit | $10.00 | | Gross Proceeds | $115,000,000 | | Private Placement Units Sold | 610,500 | | Private Placement Gross Proceeds | $6,105,000 | | Initial Trust Account Deposit | $10.05 per Unit | - The Company faces substantial doubt about its ability to continue as a going concern due to insufficient liquidity to sustain operations for a reasonable period without a Business Combination[37][125] NOTE 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Outlines the significant accounting policies adopted by the Company, including its emerging growth company status - The Company is an 'emerging growth company' and has elected to use the extended transition period for complying with new or revised financial accounting standards, which may affect comparability with other public companies[42][43][135] - Common stock subject to possible redemption is classified as temporary equity, with changes in redemption value recognized immediately against retained earnings or additional paid-in capital[51] Effective Tax Rate | Metric | 3 Months Ended June 30, 2025 | 3 Months Ended June 30, 2024 | 9 Months Ended June 30, 2025 | 9 Months Ended June 30, 2024 | | :------------------- | :----------------------------- | :----------------------------- | :----------------------------- | :----------------------------- | | Effective Tax Rate | 24.34% | 22.04% | 24.20% | 27.47% | - The effective tax rate differs from the statutory rate of 21% due to a full valuation allowance recorded against deferred tax assets[53] NOTE 3. INITIAL PUBLIC OFFERING Details the Company's Initial Public Offering, including units sold and gross proceeds generated - The Company consummated its Initial Public Offering on March 28, 2024, selling 11,500,000 units at $10.00 per unit, including the full exercise of the underwriters' over-allotment option[22](index=22&type=chunk