Merlin (MRLN) Q4 2025 earnings summary

Executive summary

• Blank check company formed in June 2024 to pursue a business combination; no operating revenues to date.

• IPO completed in November 2024, raising $250 million; funds placed in a trust account.

• Entered into a Business Combination Agreement with Merlin Labs, Inc., with closing expected March 16, 2026.

• Shareholders approved the business combination at the EGM on March 12, 2026.

• Management changes in July 2025, with new CEO, CFO, and COO appointed.

Financial highlights

• Net income for 2025 was $6.0 million, driven by $10.5 million in interest income from trust investments.

• General and administrative expenses for 2025 totaled $3.86 million; compensation expense was $670,000.

• As of December 31, 2025, $262.2 million held in the trust account; $703,596 in unrestricted cash.

• Working capital deficit of $2.4 million as of year-end 2025.

• No operating revenues; all income from interest on trust assets.

Outlook and guidance

• Expectation to consummate the business combination with Merlin Labs by March 16, 2026.

• If not completed by November 4, 2026, company will liquidate and redeem public shares.

• Management acknowledges substantial doubt about ability to continue as a going concern if no business combination is completed.