Executive Summary
IMAQ entered QQ4 2024 with effectively no operating business and no reported revenue. The quarter shows a negative EBITDA of $477,077, driven entirely by operating expenses that equaled the stated line item “otherExpenses” of $477,077 and a $0 revenue base. Total other income of $290,633 partially offset the operating loss, but the bottom line remained a net loss of $265,919 after taxes. QoQ, operating income improved to -$477,077 from -$731,550 in the prior quarter, yielding a 34.8% QoQ improvement, while net income improved 44.2% QoQ to -$265,919. YoY, operating income deteriorated by about 501.7% and net income declined by roughly 182.4%, underscoring the absence of meaningful operating momentum in the period and the dependence on one-off or non-operating items for any marginal improvement.
From a cash-flow perspective, operating cash flow was deeply negative at -$659,435, with recast working capital effects of -$217,567 and an outflow of -$268,086 from accounts payable. The company reported a substantial non-cash/financing-related activity: net investing inflows of $10.842 million (likely non-operational or one-time items) and financing outflows of $10.183 million, resulting in a net cash decrease of only $133 in the period. Cash at period-end stood at $1,044. Balance sheet strength is a primary concern: total assets of $11.39 million versus total liabilities of $14.46 million yield negative stockholders’ equity of $-3.07 million. The current ratio and quick ratio both sit near zero (0.0047), signaling extreme liquidity risk for ongoing operations. Short-term debt of $3.51 million dominates current liabilities of $6.38 million, with non-current liabilities totaling $8.08 million, underscoring a highly levered, shell-structure profile typical of blank-check vehicles.
Given the company’s stated strategic objective to effect a business combination in the media/entertainment sector, the QQ4 2024 results highlight the inherent risk/reward profile of IMAQ: the vehicle remains a financing and deal-arbitrage instrument rather than a revenue-generating business. Absent a tangible, sponsor-backed target and a close-to-market transaction, the investment thesis remains highly dependent on governance, capital-raising capacity, and successful due diligence into a value-accretive target. Management-specific commentary is not available in the provided transcript data, limiting the ability to quote directly; as such, investors should closely monitor any forthcoming earnings calls or regulatory disclosures for updates on target pipeline, financing plans, and any material deviations from the base-case SPAC-like path.
Key Performance Indicators
QoQ: 34.79% | YoY:-501.71%
QoQ: 44.24% | YoY:-182.43%
Key Insights
Revenue: not reported (null) for QQ4 2024; no cost of revenue reported. EBITDA: -$477,077; Operating Income: -$477,077; Net Income: -$265,919. QoQ (vs prior quarter): Operating Income improved by 34.79%; Net Income improved by 44.24%. YoY comparisons are not directly arithmetic due to the SPAC/quarterly reporting context, but the stated YoY changes are: Operating Income YoY -501.71%; Net Income YoY -182.43%.
Key cash flow metrics: Operating cash flow -$659,435; Free cash flow -$659,435; Net cha...
Financial Highlights
Revenue: not reported (null) for QQ4 2024; no cost of revenue reported. EBITDA: -$477,077; Operating Income: -$477,077; Net Income: -$265,919. QoQ (vs prior quarter): Operating Income improved by 34.79%; Net Income improved by 44.24%. YoY comparisons are not directly arithmetic due to the SPAC/quarterly reporting context, but the stated YoY changes are: Operating Income YoY -501.71%; Net Income YoY -182.43%.
Key cash flow metrics: Operating cash flow -$659,435; Free cash flow -$659,435; Net change in cash -$133; Cash at end of period $1,044. Balance sheet highlights: Total assets $11,393,873; Total liabilities $14,459,499; Total stockholders’ equity -$3,065,626; Short-term debt $3,507,232; Current liabilities $6,378,420; Non-current liabilities $8,081,079; Net debt $3,506,188. Liquidity ratios are extremely depressed with current/quick ratios of 0.0047. Valuation context: Enterprise value multiple = -7.35; price/fair value = 0; many profitability metrics are not meaningful in a shell/SPAC context due to zero operating revenues.
Income Statement
Metric |
Value |
YoY Change |
QoQ Change |
Operating Income |
-477.08K |
-501.71% |
34.79% |
Net Income |
-265.92K |
-182.43% |
44.24% |
Management Commentary
No earnings call transcript was provided for QQ4 2024. As a result, no management quotes or theme-based highlights could be extracted from a transcript. If/when a transcript becomes available, include themes such as: strategy for identifying a target, updates on the target pipeline, capital markets activity, and commentary on liquidity management and potential capital raises or sponsor support.
Forward Guidance
IMAQ operates as a shell company aiming to complete a business combination in the media and entertainment space. In the QQ4 2024 period, there is no revenue guidance or earnings forecast published in the supplied data. Forward-looking assessment hinges on: (1) securing a high-quality target with clear strategic fit and value creation potential; (2) obtaining funding commitments or securing private placements to bridge liquidity during the M&A process; (3) regulatory clearance and timing risk around completing a transaction; (4) potential for secondary offerings or sponsor support to reduce liquidity risk. Given current liquidity constraints (current ratio near 0) and negative equity, achieving a credible near-term guidance target requires a concrete plan for capital structure optimization and a defined target pipeline. Key factors investors should monitor: target update timelines, financing arrangements (PIPEs, sponsor injections), redemptions, and any material changes to the SPAC’s structure that could unlock value or constrain equity upside.