Company: IPCX
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001213900-25-111009
Chunk: 92

Company: Inflection Point Acquisition Corp. III
Filing Date: 2025-11-14
Form: 10-Q
Item: Part I, Item 8
Chunk 92
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 the effect of a condition, situation or set of circumstances
that existed at the date of the financial statements, which management considered in formulating its estimate, could change in the near
term due to one or more future confirming events. Accordingly, the actual results could differ significantly from those estimates.

15

INFLECTION POINT ACQUISITION CORP. III

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

SEPTEMBER 30, 2025

(Unaudited)

Cash and Cash Equivalents

The Company considers all short-term investments
with an original maturity of three months or less when purchased to be cash equivalents. The Company had cash of $1,270,446 and $0
and did not have any cash equivalents as of September 30, 2025, and December 31, 2024.

Marketable Securities Held in Trust Account

The Company’s portfolio of investments
is comprised of cash and U.S. government securities, within the meaning set forth in Section 2(a)(16) of the Investment Company Act,
with a maturity of 185 days or less, or investments in money market funds that invest in U.S. government securities and
generally have a readily determinable fair value, or a combination thereof. When the Company’s investments held in the Trust
Account are comprised of U.S. government securities, the investments are classified as trading securities, which are presented at
fair value. Gains and losses resulting from the change in fair value of these securities are included in income from investments
held in the Trust Account in the accompanying unaudited condensed consolidated statement of operations. The estimated fair values of
investments held in the Trust Account are determined using available market information. At September 30, 2025, the assets held in
the Trust Account of $256,650,172 were held in money market funds. There were no marketable securities held in the Trust Account as
of December 31, 2024. As of September 30, 2025, accrued income of $863,786 on the assets held in Trust account is included in other
receivable – dividend income on the Company’s condensed consolidated balance sheets.

Concentration of Credit Risk

Financial instruments that potentially subject
the Company to concentrations of credit risk consist of a cash account in a financial institution, which, at times, may exceed the Federal
Deposit Insurance Corporation coverage limit of $250,000. Any loss incurred or a lack of access to