Business context and reporting period
This is Patricia Acquisition Corp.’s unaudited Form 10-Q for the quarter and six months ended June 30, 2023—not Serve Robotics Inc.’s operating-company 10-Q. Patricia was a shell company seeking a business combination and reported no operating revenue. The filing describes a proposed merger with privately held Serve Robotics, but provides no Serve financial statements or operating results.
Financial results and liquidity
| Metric | Q2 2023 | Q2 2022 | Six months 2023 | Six months 2022 |
|---|---|---|---|---|
| Revenue | $0 | $0 | $0 | $0 |
| General and administrative expenses | $17,839 | $19,190 | $29,321 | $27,078 |
| Net loss | $17,839 | $19,190 | $29,321 | $27,078 |
| Basic and diluted loss per share | $(0.00) | $(0.00) | $(0.01) | $(0.01) |
At June 30, 2023, cash and total assets were $9,236; current liabilities were $162,100, including $151,500 due under a non-interest-bearing stockholder note and $10,600 in accounts payable and accrued expenses. Stockholders’ deficit was $152,864. The filing reports no revenue-based margins and no other debt. For the first six months, operating cash use was $28,721, financing provided $37,500, and cash increased $8,779 to $9,236.
Material changes versus prior comparable periods
Q2 net loss decreased by $1,351 year over year, while six-month net loss increased by $2,243. Six-month operating cash use increased by $4,143; stockholder-note proceeds increased by $10,520. The note payable rose from $114,000 at December 31, 2022 to $151,500 at June 30, 2023, while cash rose from $457 to $9,236.
Outlook, risks, and unusual items
- Management estimated approximately $40,000 in legal, accounting, audit, and other professional fees for the next 12 months, in addition to unquantified potential transaction costs.
- Management stated that substantial doubt exists about the company’s ability to continue as a going concern. It expected to rely on additional stockholder-note advances, but the lender was not obligated to provide funds; no assurance of financing was given.
- The note is generally repayable upon a business combination. Following an event of default, it becomes due and can accrue interest at 18% annually beginning five days after the default date.
- The proposed Serve merger was not definitive in this filing: the merger agreement and related private placement documents had not been completed or executed. The transaction was expected to give Serve equity holders a majority of the combined company before the anticipated placement; completion depended on financing and other conditions, with no assurance of consummation.
- The company reported no material legal proceedings, no off-balance-sheet arrangements, and no material changes in internal control over financial reporting. Management assessed disclosure controls as effective.
Important facts for investors to verify
- Confirm the correct issuer and filing: this report covers Patricia Acquisition Corp.; it does not provide Serve Robotics’ financial performance.
- Check subsequent SEC filings for execution and terms of the merger agreement, private placement, transaction conditions, ownership dilution, and closing status.
- Verify available liquidity and whether stockholder advances were made; the filing identifies no binding commitment for further funding and discloses substantial doubt about going concern.
- Review later filings for the disposition or repayment terms of the $151,500 related-party note and any changes to its default provisions.