Thunder Power Holdings, Inc. (formerly Feutune Light Acquisition Corporation) reported significant financial developments in its recent 10-Q filing for the period ending June 30, 2024. The company, which focuses on the development and manufacturing of electric vehicles (EVs), has not yet generated revenue from vehicle sales, as it remains in the early stages of product development.

As of June 30, 2024, Thunder Power's total current assets surged to $14.5 million, a substantial increase from $1.2 million at the end of 2023. Total assets also rose to $14.6 million, compared to $1.3 million previously. However, total current liabilities increased significantly to $7.1 million from $756,289, leading to total shareholders' equity of $7.5 million, up from $501,303.

The company reported a net loss of $1.6 million for the six months ended June 30, 2024, compared to a loss of $948,578 for the same period in 2023. General and administrative expenses for the first half of 2024 were $1.6 million, up from $948,577 in the prior year, primarily due to increased share-based compensation expenses. The loss per share for the six months was $(0.04), compared to $(0.03) in 2023.

Cash flow analysis revealed that net cash used in operating activities was $541,660 for the first half of 2024, compared to $358,573 in 2023. The company ended the period with cash of approximately $921,349, down from $1.1 million a year earlier. Notably, the company reported net cash provided by investing activities of $929,302, attributed to a reverse acquisition completed in June 2024.

Strategically, Thunder Power completed a business combination on June 21, 2024, issuing 40 million shares to acquire Thunder Power Holdings. The company also entered into a forward purchase agreement with Meteora Capital Partners for up to 4.9 million shares, with a prepayment amount of $13.3 million recorded as prepaid expenses. The company has issued a total of 46,859,633 shares post-business combination, with 10,537,475 warrants outstanding.

Despite these developments, the company has been incurring losses since inception, raising concerns about its ability to continue as a going concern. Thunder Power is actively seeking financing from external investors to improve liquidity and fund operations. The company has also identified a material weakness in its internal controls related to financial reporting and is taking steps to address this issue.