Broad Capital Acquisition Corp Reports Improved Net Loss of $385,603 in Q1 2025

Broad Capital Acquisition Corp has reported its financial results for the first quarter of 2025, revealing a net loss of $385,603, a decrease from the net loss of $533,432 recorded in the same period of the previous year. The company’s loss from operations also improved, totaling $344,836 compared to $709,065 in the first quarter of 2024. The reduction in losses is attributed to lower formation and operating costs, which decreased from $669,065 to $273,026 year-over-year. Interest income from cash held in the trust account also saw a significant decline, dropping to $43,415 from $288,051, reflecting changes in market conditions.

As of March 31, 2025, Broad Capital's total assets amounted to $1,282,942, a substantial decrease from $20,522,225 at the end of 2024. This decline is primarily due to a significant reduction in cash held in the trust account, which fell from $20,521,640 to $1,216,693. Current liabilities increased to $10,387,320 from $9,748,943, driven by higher accrued expenses and accounts payable. The company’s accumulated deficit also widened to $13,171,315 from $12,613,328, indicating ongoing financial challenges as it continues to seek a business combination.

In terms of strategic developments, Broad Capital entered into a merger agreement with Openmarkets Group Pty Ltd in January 2023, aiming to facilitate a business combination. However, this agreement was terminated on February 12, 2025, rendering the merger null and void. The company has not yet commenced any operations and remains focused on identifying potential acquisition targets. As of the latest filing, Broad Capital has not made any significant organizational changes or product launches, as it is still in the early stages of its business model.

Operationally, Broad Capital has maintained a consistent number of shares outstanding, with 2,990,897 shares issued and outstanding as of March 31, 2025. The company has not reported any customer counts or user statistics, as it has not yet engaged in operational activities. The company’s cash position at the end of the quarter was $66,249, a decrease from $164,776 at the end of the first quarter of 2024. The company’s employee headcount remains unspecified, reflecting its current status as a blank check company.

Looking ahead, Broad Capital has indicated that it will continue to pursue potential business combinations, although there is no assurance that it will successfully complete any transactions. The company is subject to the risks associated with early-stage and emerging growth companies, and it must complete a business combination within the stipulated timeframe to avoid liquidation. The management remains focused on identifying suitable targets that align with its strategic objectives, while also navigating the challenges posed by market conditions and operational limitations.