Fri, Aug 16, 9:06 PM (151 days ago)
Enphys Acquisition Corp. reported significant changes in its financial health for the quarter ended June 30, 2024. The company experienced a decline in cash reserves, with current assets dropping to $136,593,000 from $155,894,000 at year-end 2023. The cash held in the Trust Account decreased to $38,785,075, down from $108,901,049. The company’s liabilities increased slightly, leading to a working capital deficit of $1,833,282. For Q2 2024, Enphys reported a net income of $1,033,595, a reduction from $5,785,375 in Q2 2023. This was attributed to decreased other income from investments and a change in the fair value of derivative warrant liabilities. Earnings per share showed mixed results, with Class A shares earning $0.17 compared to $0.16 in the previous year. The company faces uncertainties regarding its ability to complete a business combination by December 8, 2024, raising doubts about its going concern status. Additionally, trading was suspended on the NYSE due to market capitalization issues, with shares now traded over-the-counter, impacting liquidity and investor access. Future operations will hinge on securing a business combination and managing its cash flow effectively to navigate these challenges.