Company: IPCX
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001213900-25-076625
Chunk: 101

Company: Inflection Point Acquisition Corp. III
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 2
Chunk 101
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 or financial partnerships, often referred to as variable interest entities, which would have been established
for the purpose of facilitating off-balance sheet arrangements. We have not entered into any off-balance sheet financing arrangements,
established any special purpose entities, guaranteed any debt or commitments of other entities, or purchased any non-financial assets.

Contractual obligations

We do not have any long-term debt, capital lease
obligations, operating lease obligations or long-term liabilities, other than an agreement to pay an aggregate of $29,166.66 per month
to Inflection Point Asset Management LLC (“IPAM”), an affiliate of the Sponsor and our executive officers, a monthly fee
of $29,166.66 for the services of Kevin Shannon, Chief Operating Officer and for office space and administrative services provided to
members of our management team. We began incurring these fees on April 25, 2025 and will continue to incur these fees monthly until the
earlier of the completion of the Business Combination and our liquidation.

The underwriters are entitled to a deferred fee
of $0.45 per unit on units other than those sold pursuant to the underwriters’ option to purchase additional units and $0.65 per
unit on units sold pursuant to the underwriters’ option to purchase additional units, or $12,045,000 in the aggregate due to the
full exercise of the underwriters’ over-allotment option. The deferred fee will become payable to the underwriters from the amounts
held in the Trust Account solely in the event that the Company completes a Business Combination, subject to the terms of the underwriting
agreement.

17

Critical Accounting Policies

The preparation of condensed financial statements
and related disclosures in conformity with accounting principles generally accepted in the United States of America requires management
to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities
at the date of the financial statements, and income and expenses during the periods reported. Making estimates requires management to
exercise significant judgement. It is at least reasonably possible that the estimate of 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 materially differ from those estimates.
We have identified the following critical accounting policies:

Net Income (Loss) per Share

The Company’s unaudited consolidated