EX-99.1

Exhibit 99.1

LOGO

THE UNITED STATES BANKRUPTCY COURT

FOR THE DISTRICT OF DELAWARE

In re:

QUANERGY SYSTEMS, INC.,¹

Debtor.

Chapter 11

Case No. 22-11305 (CTG)

NOTES TO MONTHLY OPERATING REPORT

On December 13, 2022 (the “Petition Date”), the above-captioned debtor and debtor in possession (the “Debtor”) filed a voluntary petition for relief under chapter 11 of the Bankruptcy Code with the United States Bankruptcy Court for the District of Delaware (the “Bankruptcy Court”).

Please be advised that the accompanying monthly operating report and the exhibits thereto (the “MOR”) are unaudited, preliminary, and may not comply with generally accepted accounting principles in the United States of America (“U.S. GAAP”) in all material respects.

The MOR is limited in scope, covers a limited time period, and has been prepared solely for the purpose of complying with the reporting requirements of the Bankruptcy Code and the United States Trustee. The unaudited financial statements have been derived from the Debtor’s books and records. The MOR generally reflects the operations and financial position of the Debtor on a consolidated basis with non-Debtor Quanergy Perception Technologies, Inc. The information presented herein has not been subjected to all procedures that would typically be applied to financial information presented in accordance with U.S. GAAP. Upon the application of such procedures, the financial information could be subject to changes, and these changes could be material. The information furnished in the MOR includes normal recurring adjustments, but does not include all of the adjustments that would typically be made for interim financial statements in accordance with U.S. GAAP.

Given the complexity of the Debtor’s business, inadvertent errors, omissions or over-inclusions may have occurred. Accordingly, the Debtor hereby reserves the right to amend or supplement the MOR, if necessary, but shall be under no obligation to do so.

¹	The Debtor and the last four digits of its taxpayer identification number are: Quanergy Systems, Inc. (5845). The Debtor’s mailing address for purposes of the Chapter 11 Case is c/o SierraConstellation Partners, LLC 355 S. Grand Avenue Suite 1450 Los Angeles, CA 90071.

Quanergy Systems, Inc.

Exhibits to the September MOR

For the period September 1, 2023 through September 30, 2023


Page #		Table of Contents
3		Statement of Cash Receipts and Disbursements
4		Balance Sheet for period ending September 30, 2023
5		Statement of Operations
6		Accounts Receivable as of September 30, 2023
7		Post-petition Accounts Payable as of September 30, 2023
8		Bank Reconciliation
9		Payments Made on Pre-Petition Debt as of September 30, 2023
10		Payments to Insiders
11		Payments to Professionals
12		Payments to Professionals To Date

Quanergy Systems, Inc.

Statement of Cash Receipts and Disbursements

($ in USD)


	9/1-9/30
Beginning Cash Balance	$	6,503,979
Receipts
Collections	$	36,360
Subsidiary dividend¹		376
NewCo prefunding		50,337

Total Receipts	$	87,073
Operating Disbursements
Pre-petition liability payments	$	—
Prefunded NewCo payments		50,347
AP		81,410
Other		461

Total Operating Disbursements	$	132,218

Operating Cash Flow	$	(45,145	)

Restructuring Related
Professional fees	$	160,082

Total Restructuring Related	$	160,082

Net Cash Flow	$	(205,227	)

Ending Cash Balance	$	6,298,752

[1]

Subsidiary income represents the return of cash from the Company’s wholly owned subsidiaries which are being closed down. It is part of the accumulated profits of the subsidiaries in the foreign territories in which they operate, and the return of the remaining cash to the Company is considered dividend income.

Quanergy Systems, Inc.

Balance Sheet for period ending September 30, 2023

($ in USD)


	9/30/2023
Assets
Current Assets:
Cash and cash equivalents	$	6,298,752
Restricted cash		70,000
Accounts receivable, net of allowance for doubtful accounts		78,255
Prepaid business insurance and D&O		3,530,556
Prepaid expenses and other current assets		736,941

Total Current Assets	$	10,714,504
Other long-term assets	$	229,031

Total Assets	$	10,943,535

Liabilities and Stockholders’ Equity
Current Liabilities:
Accounts payable	$	6,250,311
Accrued expenses		1,626,724
Accrued liabilities		9,827,864
Accrued liabilities (Post petition)		127,833
Professional fees (Post petition)		4,349,959
Other current liabilities		975,915

Total Current Liabilities	$	23,158,606
Operating lease liabilities	$	478,156
Other long-term liabilities		9,619,384

Total Liabilities	$	33,256,146
Total Stockholders’ equity	$	(22,312,611	)

Total Liabilities and Stockholders’ Equity	$	10,943,535

Quanergy Systems, Inc.

Statement of Operations

($ in USD)


	9/1-9/30
Revenue	$	—
Cost of sales		—

Gross Margin	$	—
Selling expenses	$	(5,442	)
General and administrative		145,084
Lease expenses		—
Restructuring expenses		(379,355	)
Other operating expenses		(376	)

Income (loss) from operations	$	240,089
Other income:
Interest income	$	—
Loss on asset sale		—

Income (loss) before income taxes	$	240,089
Income tax	$	—

Net Income (loss)	$	240,089

Quanergy Systems, Inc.

Accounts Receivable as of September 30, 2023

($ in USD)


	9/30/2023
Accounts Receivable Reconciliation
Total Accounts Receivable at the beginning of the reporting period	$	609,412
+ Amounts billed during the period		—
- Amounts collected during the period		(36,360	)

Total Accounts Receivable at the end of the reporting period	$	573,052

	9/30/2023
Accounts Receivable Aging
Current	$	—
1-30 Days Past Due		—
31-60 Days Past Due		—
61-90 Days Past Due		—
91+ Days Past Due		573,052

Total	$	573,052

Quanergy Systems, Inc.

Post-petition Accounts Payable Aging as of September 30, 2023

($ in USD)


	9/30/2023
Current	$	—
1-30 Days Past Due		—
31-60 Days Past Due		—
61-90 Days Past Due		—

Total	$	—

Quanergy Systems, Inc.

Bank Reconciliation

($ in USD)

Silicon Valley Bank x2011


Bank Reconciliation	Bank Name	Bank Balance		Adjustments		Book Balance
x2011	Silicon Valley Bank	$	1,335,208	$	—	$	1,335,208

Silicon Valley Bank x4224


Bank Reconciliation	Bank Name	Bank Balance		Adjustments		Book Balance
x4224	Silicon Valley Bank	$	70,000	$	—	$	70,000

Silicon Valley Bank x1506


Bank Reconciliation	Bank Name	Bank Balance		Adjustments		Book Balance
x1506	Silicon Valley Bank	$	4,955,544	$	—	$	4,955,544

Silicon Valley Bank x1498


Bank Reconciliation	Bank Name	Bank Balance		Adjustments		Book Balance
x1498	Silicon Valley Bank	$	8,000	$	—	$	8,000

Silicon Valley Bank x2927

Bank Reconciliation

Bank Name

Bank Balance

Adjustments

Book Balance

x2927

Silicon Valley Bank

—

Silicon Valley Bank x1679

Bank Reconciliation

Bank Name

Bank Balance

Adjustments

Book Balance

x1679

Silicon Valley Bank

—

Quanergy Systems, Inc.

Payments Made on Pre-Petition Debt as of September 30, 2023

($ in USD)

Payee Name

Date

Amount

Description

N/A

Total

—

Quanergy Systems, Inc.

Payments to Insiders (9/1/2023 - 9/30/2023)

($ in USD)


as of	Description	Amount
9/30/2023	Salary, benefits & consulting	$24,167

Quanergy Systems, Inc.

Payments to Debtor’s Professionals (9/1/2023 - 9/30/2023)*

($ in USD)

Professional Firm

Date

Amount

Description

N/A

—

Total

—

Total professional fees paid in current month

*	Payments not listed on Part 5 of MOR

Quanergy Systems, Inc.

Payments to Debtor’s Professionals to date

($ in USD)


	2023
Professional Firm	January		February		March		April		May		June		July		August		September		Total
Cooley	$	—	$	229,253	$	373,740	$	—	$	—	$	—	$	—	$	—	$	—	$	602,993
FTI Consulting		—		—		444,891		—		—		—		—		—		—		444,891
Raymond James		125,000		125,000		—		—		—		—		—		—		—		250,000
Seward & Kissel LLP		—		—		—		—		—		—		—		—		—		—
Sierra Constellation Partners		—		—		59,274		—		—		—		—		—		160,082		219,357
Stretto, Inc		—		—		174,974		51,921		—		57,731		11,790		16,798		—		313,215
Young Conaway Stargatt & Taylor, LLP		—		191,643		197,164		—		—		—		—		—		—		388,807

Total	$	125,000	$	545,895	$	1,250,044	$	51,921	$	—	$	57,731	$	11,790	$	16,798	$	160,082	$	2,219,263