Legato Merger Corp. IV Posts $33,756 Net Loss in Q1 2026 Amid Minimal Cash Reserves
Legato Merger Corp. IV, a special purpose acquisition company, reported a net loss of $33,756 for the three months ended November 30, 2025. The company held just $85 in cash as of quarter-end.
Legato Merger Corp. IV, a special purpose acquisition company, reported a net loss of $33,756 for the three months ended November 30, 2025, as the firm operated with minimal financial activity during its first fiscal quarter of 2026. Read more earnings reports.
The company reported no revenue for the period. Cash and cash equivalents stood at $85 as of November 30, down from operational cash burn of $12,415 during the quarter. The company raised $12,500 from financing activities during the same period.
Total assets reached $70,535 as of quarter-end, while total liabilities climbed to $79,241, leaving the company with negative stockholders' equity of $8,706. Current liabilities totaled $33,841.
The company's retained earnings deficit stood at $33,756 as of November 30, equal to the quarterly net loss. Additional paid-in capital totaled $24,278.
Basic and diluted loss per share came in at $0.01 based on 6.7 million weighted average shares outstanding. The company had 7.7 million common shares outstanding as of the reporting date, with a par value resulting in $772 of common stock value on the balance sheet.
Financial Snapshot
| Metric | Q1 FY2026 (ended Nov 30, 2025) |
|---|---|
| Net Loss | $33,756 |
| Revenue | $0 |
| Cash & Cash Equivalents | $85 |
| Total Assets | $70,535 |
| Total Liabilities | $79,241 |
| Stockholders' Equity | ($8,706) |
| Loss Per Share (Basic & Diluted) | ($0.01) |
| Common Shares Outstanding | 7,716,667 |
Cash used in operations during the quarter totaled $12,415, while financing activities provided $12,500 in cash inflows. The company is classified as a non-accelerated filer and qualifies as a small business under regulatory definitions.