10-Q - PowerUp Acquisition Corp. (0001847345) (Filer)

Fri, Aug 16, 8:08 PM (29 days ago)

For the quarter ended June 30, 2024, PowerUp Acquisition Corp. reported a net loss of $602,258, a significant decline from the net income of $1,811,817 in the same quarter of 2023. Operating expenses surged to $501,012, primarily due to increased general and administrative costs, which totaled $3,023,690 for the six-month period, reflecting the company's ongoing pursuit of a business combination. The Trust Account balance decreased to $6,524,611, down from $19,901,169 at year-end 2023, largely due to redemptions and cash outflows. The company has a working capital deficit of $5,897,306 and no cash in its operating account, raising substantial doubt about its ability to continue as a going concern beyond February 2025 unless it secures additional financing. The anticipated merger with Visiox Pharmaceuticals was terminated in July 2024 due to unmet conditions, prompting the company to explore new acquisition opportunities. Overall, the financial health indicates challenges in securing a viable business combination and maintaining liquidity.