Financial Performance - For the three months ended June 30, 2023, the company reported a net income of $1,117,174, driven by interest income of $1,412,991 from investments held in the Trust Account, after accounting for formation and operating costs of $295,817[108]. - For the six months ended June 30, 2023, the company achieved a net income of $1,616,588, with total interest income of $2,042,674 and formation and operating costs of $426,086[109]. - Net income per share is calculated by dividing net income by the weighted average number of ordinary shares outstanding for the period[131]. - The diluted income per share calculation does not consider the effect of warrants issued during the Initial Public Offering[131]. Cash Flow - The company had net cash used in operating activities of $552,959 for the six months ended June 30, 2023, primarily due to changes in working capital[110]. - The company reported net cash provided by financing activities of $118,622,783 for the six months ended June 30, 2023, mainly from the sale of Placement Units and Units, net of offering costs[113]. Initial Public Offering - The Initial Public Offering generated gross proceeds of $115,000,000 from the sale of 11,500,000 units, including 1,500,000 units from the underwriter's over-allotment option[115]. - As of June 30, 2023, the company placed $117,875,000 in a trust account from the net proceeds of the Initial Public Offering and the sale of Placement Units[118]. Business Combination and Going Concern - The company has until February 14, 2024, to complete a Business Combination, or it will face mandatory liquidation[121]. - The company incurred significant costs in pursuit of financing and acquisition plans, raising doubts about its ability to continue as a going concern if a Business Combination is not completed[121]. Financial Position - The company had no off-balance sheet arrangements as of June 30, 2023[122]. - The company has no outstanding borrowings under the Promissory Note as of June 30, 2023, after repaying the $300,000 loan prior to the Initial Public Offering[125]. Risk Management - As of June 30, 2023, the company was not subject to any market or interest rate risk[133]. - Proceeds from the Initial Public Offering have been invested in U.S. government treasury bills, notes, or bonds with a maturity of 185 days or less[133]. - The company believes there will be no material exposure to interest rate risk due to the short-term nature of its investments[133]. Accounting Standards - Management does not anticipate that recently issued accounting standards will materially affect the company's financial statements[132].
Pono Capital Three(PTHR) - 2023 Q2 - Quarterly Report