Mountain Crest Acquisition V(MCAG) - 2025 Q2 - Quarterly Report

FORM 10-Q Cover Page Filer Information Mountain Crest Acquisition Corp. V is a Delaware-incorporated blank check company, filing its Quarterly Report (Form 10-Q) for the quarter ended June 30, 2025. Its securities (Common Stock, Rights, Units) are registered on the OTC Pink Market - The registrant is Mountain Crest Acquisition Corp. V, a Delaware corporation, filing a Quarterly Report (Form 10-Q) for the quarter ended June 30, 2025[1] Filer Information - Trading Symbols | Title of each class | Trading Symbol(s) | Name of each exchange on which registered | | :------------------ | :---------------- | :---------------------------------------- | | Common Stock | MCAG | OTC Pink Market | | Rights | MCAGR | OTC Pink Market | | Units | MCAGU | OTC Pink Market | Filing Status The company confirms timely filing of all required reports, electronic submission of Interactive Data Files, and is classified as a non-accelerated filer, smaller reporting company, and emerging growth company. It has elected not to use the extended transition period for new accounting standards and is a shell company - The company has filed all required reports during the past 12 months and has been subject to filing requirements for the past 90 days. It has also submitted electronically every Interactive Data File[2] Filing Status Classification | Large accelerated filer | ☐ | | :---------------------- | :--- | | Accelerated filer | ☐ | | Non-accelerated filer | ☒ | | Smaller reporting company | ☒ | | Emerging growth company | ☒ | - The registrant is a shell company as defined in Rule 12b-2 of the Exchange Act[3] TABLE OF CONTENTS PART I - FINANCIAL INFORMATION Item 1. Interim Financial Statements. This section presents the unaudited condensed financial statements for Mountain Crest Acquisition Corp. V, including the Balance Sheets, Statements of Operations, Statements of Changes in Stockholders' Deficit, and Statements of Cash Flows, along with comprehensive notes explaining the company's organization, accounting policies, and financial activities Condensed Balance Sheets Condensed Balance Sheet Highlights (June 30, 2025 vs. December 31, 2024) | Metric | June 30, 2025 (Unaudited) | December 31, 2024 | | :-------------------------- | :------------------------ | :---------------- | | Cash | $25,321 | $116,658 | | Total Current Assets | $88,241 | $156,779 | | Investments in Trust Account | $1,181,623 | $1,157,312 | | Total Assets | $1,269,864 | $1,314,091 | | Total Current Liabilities | $1,768,304 | $1,520,579 | | Total Liabilities | $3,838,304 | $3,590,579 | | Total Stockholders' Deficit | $(3,734,792) | $(3,440,367) | - The company's cash balance significantly decreased from $116,658 at December 31, 2024, to $25,321 at June 30, 2025[8] - Total stockholders' deficit increased from $(3,440,367) at December 31, 2024, to $(3,734,792) at June 30, 2025, indicating a worsening financial position[8] Condensed Statements of Operations Condensed Statements of Operations Highlights (Three and Six Months Ended June 30, 2025 vs. 2024) | Metric | Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :---------------------------------------- | :------------------------------- | :------------------------------- | :----------------------------- | :----------------------------- | | General and administrative expenses | $120,471 | $145,218 | $311,696 | $228,987 | | Interest earned on investments in Trust Account | $12,192 | $75,065 | $24,311 | $148,650 | | Net loss | $(110,574) | $(64,591) | $(291,952) | $(90,128) | | Basic and diluted (loss) income per share, redeemable common stock | $(0.04) | $0.15 | $(0.08) | $0.31 | | Basic and diluted net loss per share, non-redeemable common stock | $(0.04) | $(0.05) | $(0.10) | $(0.09) | - Net loss for the three months ended June 30, 2025, increased to $(110,574) from $(64,591) in the prior year, and for the six months, it increased to $(291,952) from $(90,128)[11] - Interest earned on investments held in the Trust Account significantly decreased for both the three-month (from $75,065 to $12,192) and six-month (from $148,650 to $24,311) periods ended June 30, 2025, compared to 2024[11] Condensed Statements of Changes in Stockholders' Deficit Changes in Stockholders' Deficit (Six Months Ended June 30, 2025 vs. 2024) | Metric | January 1, 2025 Balance | June 30, 2025 Balance | January 1, 2024 Balance | June 30, 2024 Balance | | :-------------------------- | :---------------------- | :-------------------- | :---------------------- | :-------------------- | | Common Stock Shares | 2,800,900 | 2,800,900 | 2,650,900 | 2,800,900 | | Common Stock Amount | $281 | $281 | $266 | $281 | | Additional Paid-in Capital | $2,225,421 | $2,222,629 | $1,946,827 | $2,338,949 | | Accumulated Deficit | $(5,666,069) | $(5,957,702) | $(5,244,248) | $(5,334,376) | | Total Stockholders' Deficit | $(3,440,367) | $(3,734,792) | $(3,297,155) | $(2,995,146) | - The accumulated deficit increased from $(5,666,069) at January 1, 2025, to $(5,957,702) at June 30, 2025, primarily due to net losses[14] - In the six months ended June 30, 2024, the company saw a conversion of a promissory note from a related party into $600,000 of common stock, increasing additional paid-in capital and common stock amount[16] Condensed Statements of Cash Flows Condensed Statements of Cash Flows Highlights (Six Months Ended June 30, 2025 vs. 2024) | Cash Flow Activity | Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | | :------------------------------ | :----------------------------- | :----------------------------- | | Net cash used in operating activities | $(321,337) | $(488,261) | | Net cash used in investing activities | $- | $(103,864) | | Net cash provided by financing activities | $230,000 | $597,123 | | Net Change in Cash | $(91,337) | $4,998 | | Cash – End of period | $25,321 | $21,087 | - Net cash used in operating activities decreased from $(488,261) in H1 2024 to $(321,337) in H1 2025[18] - Cash provided by financing activities significantly decreased from $597,123 in H1 2024 to $230,000 in H1 2025, primarily due to lower proceeds from promissory notes[18] Notes to Condensed Financial Statements [NOTE 1. DESCRIPTION OF ORGANIZATION AND