HCM II Acquisition Corp. Reports Net Income of $601,027 for Quarter Ending June 30, 2025

HCM II Acquisition Corp. reported its financial results for the quarter ending June 30, 2025, revealing a net income of $601,027, a significant improvement compared to a net loss of $52,663 for the same period in the previous year. The company generated $2,477,726 in interest income from marketable securities held in its trust account, which contributed to its profitability. However, general and administrative expenses for the quarter amounted to $1,489,307, reflecting the costs associated with being a public company and preparing for its initial business combination.

The company’s total assets as of June 30, 2025, were $240,431,477, up from $236,066,398 at the end of 2024. This increase was primarily driven by the growth in marketable securities held in the trust account, which rose to $240,134,175 from $235,193,585. However, HCM II Acquisition Corp. also reported a working capital deficit of $2,185,772, with cash reserves decreasing to $124,083 from $668,089 at the end of the previous fiscal year. The increase in liabilities, particularly accrued expenses which surged to $2,475,553 from $458,624, indicates rising operational costs as the company prepares for its business combination.

Strategically, HCM II Acquisition Corp. is in the process of completing a business combination with Terrestrial Energy Inc., as outlined in a Business Combination Agreement signed on March 26, 2025. This merger is expected to close in the fourth quarter of 2025, subject to shareholder approval and other customary conditions. The company has also entered into PIPE Subscription Agreements to issue 5,000,000 shares of common stock at $10.00 per share, which will provide additional capital for the transaction.

Operationally, HCM II Acquisition Corp. has maintained a consistent number of shares outstanding, with 23,000,000 Class A ordinary shares and 5,750,000 Class B ordinary shares issued and outstanding as of June 30, 2025. The company has not yet commenced operations and does not expect to generate revenue until after the completion of its business combination. The management has expressed concerns regarding liquidity, indicating that if the business combination is not completed by August 19, 2026, the company may face mandatory liquidation.

Looking ahead, HCM II Acquisition Corp. aims to finalize its business combination and utilize the funds in its trust account to support the operations of the combined entity. However, management has acknowledged the potential need for additional capital to meet working capital requirements and has raised concerns about the ability to complete the business combination within the specified timeframe. The company’s future performance will largely depend on the successful execution of this merger and the overall market conditions affecting its operations.