Swiftmerge Acquisition Corp. reported significant financial changes in its 10-Q filing for the period ending June 30, 2024. The company, classified as a shell entity, experienced a notable decline in total assets, which decreased to $13.6 million from $24.5 million at the end of 2023. Current assets also fell sharply to $45,158, down from $148,349. Investments held in the Trust Account saw a similar decline, dropping to $13.5 million from $24.4 million.

The company’s financial performance reflected a substantial shift, with a net loss of $355,510 for the three months ended June 30, 2024, compared to a net income of $1.5 million for the same period in 2023. For the six-month period, the net loss was $446,579, contrasting sharply with a net income of $2.6 million in the prior year. The decrease in profitability was attributed to higher formation and operating costs, which totaled $529,467 for the three months ended June 30, 2024, compared to $1.2 million in the same period of 2023.

The company also reported an increase in total current liabilities, which rose to $4.0 million from $3.2 million at the end of 2023. The accumulated deficit worsened to $(3.9 million) from $(2.9 million), indicating ongoing financial challenges. Cash held outside the Trust Account was minimal, at $2,633, down from $172,900 a year earlier.

In terms of strategic developments, Swiftmerge entered into a new merger agreement with Swiftmerge HoldCo LLC and AleAnna Energy, LLC on June 4, 2024, following the termination of a previous agreement with HDL Therapeutics in February 2024. This merger will involve a domestication process, transitioning Swiftmerge into a Delaware corporation and merging with AleAnna Energy. The merger consideration includes the issuance of approximately 65.1 million shares to AleAnna's equity holders.

The company has until June 17, 2025, to complete its initial business combination, having received shareholder approval for an extension of this deadline. However, management expressed substantial doubt about the company's ability to continue as a going concern, citing insufficient liquidity and the absence of confirmed financing commitments.

As of June 30, 2024, Swiftmerge had 4.6 million Class A ordinary shares outstanding, a decrease from 5.6 million at the end of 2023, and a working capital deficit of $3.9 million. The company’s disclosure controls were deemed ineffective due to material weaknesses in internal controls over financial reporting, necessitating a restatement of previously issued financial statements.