1RT Acquisition Corp. 10-Q Summary
Business Context and Reporting Period
Company: 1RT Acquisition Corp. (1RT), a Cayman Islands exempted corporation and blank check company.
Reporting Period: Quarterly period ended March 31, 2026.
Status: The Company has not commenced operations. Its sole purpose is to effect a Business Combination. It is classified as a shell company, a smaller reporting company, and an emerging growth company. The Initial Public Offering (IPO) was consummated on July 3, 2025.
Key Financial Metrics
| Metric | Q1 2026 | Q1 2025 |
|---|---|---|
| Net Income (Loss) | $1,373,848 | $(31,000) |
| Operating Expenses (G&A) | $172,510 | $31,000 |
| Interest Income (Trust Account) | $1,546,358 | $0 |
| Cash (Outside Trust) | $191,060 | $0 |
| Trust Account Balance | $177,409,984 | $0 |
| Working Capital Surplus | $180,231 | N/A |
| Deferred Underwriting Fees | $8,212,500 | $8,212,500 |
Material Changes vs. Prior Period
- Revenue and Profit: The Company reported a net income of $1.37 million for Q1 2026, a significant shift from the $31,000 net loss in Q1 2025. This is driven entirely by $1.55 million in interest income earned on marketable securities held in the Trust Account following the July 2025 IPO.
- Operating Costs: General and administrative costs increased to $172,510 in Q1 2026 from $31,000 in Q1 2025, reflecting post-IPO operational expenses.
- Liquidity: Cash held outside the Trust Account decreased from $383,075 at year-end 2025 to $191,060 at March 31, 2026, due to operating cash outflows of $187,758.
- Trust Account Growth: The Trust Account balance increased by approximately $1.55 million due to accrued interest, raising the redemption value per share to $10.28 from $10.20.
Outlook, Risks, and Contingencies
- Going Concern: The filing states that the Company's liquidity condition raises substantial doubt about its ability to continue as a going concern for one year following the report date. Management plans to address this by completing a Business Combination.
- Capital Needs: The Company may need to raise additional capital through loans or investments from the Sponsor or third parties to meet working capital needs. There is no assurance such financing will be available.
- Completion Window: The Company must complete a Business Combination within 24 months of the IPO closing (July 3, 2025) or face liquidation and redemption of public shares.
- Risk Factors: Geopolitical instability (Russia-Ukraine conflict, Middle East escalation) and global market volatility are cited as potential risks to the ability to consummate a Business Combination.
- Related Party Transactions: The Company pays $12,500 per month to a Sponsor affiliate for administrative services. Up to $1.5 million in working capital loans may be convertible into warrants.
Investor Verification Checklist
- Trust Account Yield: Verify the current interest rate environment and its impact on the Trust Account balance and redemption value per share.
- Going Concern Status: Confirm if the Company has secured additional working capital loans from the Sponsor to extend the search period beyond current cash reserves.
- Redemption Rights: Review the specific terms regarding the 24-month deadline for a Business Combination and the potential for early liquidation.
- Deferred Fees: Note the $8.2 million deferred underwriting fee payable upon completion of a Business Combination.
- Warrant Exercise: Verify the $11.50 exercise price for warrants and the conditions under which they may be redeemed by the Company.