Thunder Power Holdings, Inc. (formerly Feutune Light Acquisition Corporation) reported significant financial changes in its 10-Q filing for the period ending September 30, 2024. The company experienced a substantial increase in total current assets, which rose to $13.5 million from $1.2 million as of December 31, 2023. Total assets also increased to $13.5 million, up from $1.3 million in the previous fiscal period. However, total current liabilities surged to $6.9 million, compared to $756,289 at the end of 2023, resulting in a working capital deficit of $6.6 million.

The company reported a net loss of $2.5 million for the nine months ended September 30, 2024, compared to a loss of $1.6 million for the same period in 2023. General and administrative expenses increased significantly, totaling $2.5 million for the nine months ended September 30, 2024, up from $1.6 million in the prior year. The increase in expenses was attributed to higher professional fees related to the business combination and increased insurance costs for management.

Cash reserves dwindled from $196,907 at the beginning of the period to $33,636 by September 30, 2024. The company reported net cash used in operating activities of $905,358, an increase from $552,245 in the same period last year. The cash flow situation was somewhat mitigated by $929,302 in cash acquired through the reverse capitalization transaction completed on June 21, 2024.

The business combination with FLFV resulted in the issuance of 40 million shares of common stock, with a total of 46.9 million shares outstanding post-combination. The company also issued 10.5 million warrants to purchase common stock. However, the company has not yet generated revenue from electric vehicle sales, raising concerns about its ability to continue as a going concern.

As of September 30, 2024, Thunder Power Holdings had accumulated losses of $36.9 million, compared to $34.4 million at the end of 2023. The company is actively seeking private equity financing and financial support from its principal shareholder to improve liquidity and fund operations. Additionally, a material weakness in internal controls was identified, prompting management to consider hiring external consultants to enhance financial reporting capabilities.