Financial Performance - AquaBounty Technologies reported a quarterly loss of $0.88 per share, slightly better than the Zacks Consensus Estimate of a loss of $0.89, and an improvement from a loss of $1.60 per share a year ago [1] - The company posted revenues of $0.05 million for the quarter ended September 2024, missing the Zacks Consensus Estimate by 52%, and down from $0.73 million in the same quarter last year [2] - Over the last four quarters, AquaBounty has surpassed consensus EPS estimates only once and has topped consensus revenue estimates just once [2] Stock Performance - AquaBounty Technologies shares have declined approximately 60% since the beginning of the year, contrasting with the S&P 500's gain of 19.8% [3] - The current Zacks Rank for AquaBounty is 3 (Hold), indicating that the shares are expected to perform in line with the market in the near future [6] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is -$0.61 on revenues of $0.1 million, and for the current fiscal year, it is -$4.86 on revenues of $0.75 million [7] - The estimate revisions trend for AquaBounty is mixed, and future earnings expectations will depend on management's commentary during the earnings call [3][4] Industry Context - AquaBounty Technologies operates within the Medical - Biomedical and Genetics industry, which is currently ranked in the top 38% of over 250 Zacks industries [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, suggesting that industry performance can significantly impact AquaBounty's stock [5][8]

Financial Performance - Product revenue for the three months ended September 30, 2024, was $48,000, a decrease of 93% compared to $733,000 in the same period in 2023[87]. - The company recorded a net loss of $3.4 million for the three months ended September 30, 2024, a 45% decrease from a net loss of $6.1 million in the same period in 2023[87]. - Total product revenue for the nine months ended September 30, 2024, was $705,000, a decrease of 63% from $1.9 million in the same period in 2023[94]. - The company reported a net loss of $65.1 million for the nine months ended September 30, 2024, which was partially offset by non-cash charges and working capital sources[101]. Asset Management - Long-lived asset impairment charges totaled $48.7 million for the nine months ended September 30, 2024, primarily related to the Indiana farm and certain equipment assets of the Ohio farm[98]. - Cash flows from investing activities included $2.7 million for property, plant, and equipment purchases and $9.5 million received from the sale of the Indiana farm[103]. - The company plans to sell its Rollo Bay farm and additional equipment assets to increase cash liquidity and fund ongoing operations[108]. Operating Expenses - Research and development expenses for the three months ended September 30, 2024, were $52,000, down 72% from $184,000 in the same period in 2023[87]. - General and administrative expenses for the three months ended September 30, 2024, were $1.9 million, a decrease of 19% from $2.3 million in the same period in 2023[87]. Cash Flow and Liquidity - Net cash used in operating activities for the nine months ended September 30, 2024, was $12.7 million, compared to $18.5 million for the same period in 2023, reflecting a 31% decrease[100]. - As of September 30, 2024, the company had $500 thousand in cash and cash equivalents, raising concerns about its ability to continue as a going concern[105]. - The company may finance its cash needs through sales of non-core assets, equity offerings, and debt financings, which could dilute existing shareholders' interests[109]. Financing Activities - Financing activities resulted in $6.8 million from new debt and $9.5 million in term debt repayments during the nine months ended September 30, 2024[104]. - Interest-bearing debt decreased from $4.6 million as of December 31, 2023, to $1.8 million as of September 30, 2024, with all debt at fixed rates[117]. Strategic Initiatives - The company is seeking new financing options to provide liquidity for working capital and to fund the completion of its farm in Pioneer, Ohio[76]. - The company has engaged an investment bank to explore a range of funding and strategic alternatives, including the sale of non-core assets[76]. Market Position - The company is classified as a "smaller reporting company," with a market value of stock held by non-affiliates below $700 million and annual revenue under $100 million[113]. Operational Challenges - Inflation has led to increased costs for farming supplies and direct operating expenses, which are expected to negatively impact results in the near term[77]. - The company has incurred cumulative net losses and negative cash flows from operating activities since inception, which are expected to continue for the foreseeable future[105].

Financial Performance - Net loss for Q3 2024 was $3.4 million, a significant decrease from $6.1 million in Q3 2023, primarily due to the sale of the Indiana farm[1] - Product revenues for Q3 2024 were $47,812, compared to $733,133 in Q3 2023, indicating a decline in sales[8] - Total costs and expenses for Q3 2024 were $2.4 million, down from $6.8 million in Q3 2023, reflecting cost reduction efforts[8] - Net loss for the nine months ended September 30, 2024, was $65,076,820, compared to a net loss of $19,132,927 for the same period in 2023, representing an increase of approximately 240%[10] - Basic and diluted net loss per share was $(0.88) for the nine months ended September 30, 2024, compared to $(1.60) for the same period in 2023, indicating a reduction in losses per share[10] Cash and Liquidity - Cash, cash equivalents, and restricted cash totaled $500 thousand as of September 30, 2024, down from $9.2 million as of December 31, 2023[1] - The company is actively seeking financing initiatives to maintain liquidity and has decided to sell the Rollo Bay farm to address immediate cash needs[2] - Cash, cash equivalents, and restricted cash at the end of the period were $500,434, down from $17,767,070 at the end of September 2023, reflecting a significant decrease in liquidity[10] - Net cash used in operating activities for the nine months ended September 30, 2024, was $12,699,856, a decrease from $18,462,994 in the prior year, indicating improved cash flow management[10] - Total cash used in investing activities was $2,716,880 for the nine months ended September 30, 2024, compared to a substantial outflow of $66,256,590 in the prior year[10] - Proceeds from the issuance of debt amounted to $6,759,257, a significant increase from $394,156 in the same period of 2023, indicating a shift in financing strategy[10] Asset and Liability Management - Total assets decreased to $117.8 million as of September 30, 2024, from $187.6 million as of December 31, 2023[7] - Total liabilities decreased to $17.7 million as of September 30, 2024, from $22.5 million as of December 31, 2023[7] - Long-lived asset impairment for the nine months ended September 30, 2024, was $48.7 million, highlighting significant financial challenges[8] - Long-lived asset impairment recorded was $48,733,222 for the nine months ended September 30, 2024, with no impairment reported in the same period of 2023[10] Operational Insights - Inventory increased by $1,265,142 during the nine months ended September 30, 2024, compared to an increase of $332,314 in the same period of 2023, suggesting potential growth in production or sales[10] - The weighted average number of common shares for basic and diluted calculations was 3,865,778 for the current period, slightly up from 3,846,622 in the prior year[10] - The company aims to stabilize its business in the short term while focusing on long-term value creation[2]

Core Insights - AquaBounty Technologies reported a significant reduction in net loss for Q3 2024, amounting to $3.4 million compared to $6.1 million in Q3 2023, primarily due to the sale of the Indiana farm [2] - The company completed the sale of the Indiana farm for $9.2 million on July 26, 2024, which contributed to its cash flow management [2][3] - As of September 30, 2024, AquaBounty's cash and cash equivalents decreased to $500 thousand from $9.2 million at the end of 2023 [2] Financial Performance - Product revenues for Q3 2024 were $47,812, a significant drop from $733,133 in Q3 2023 [11] - Total costs and expenses for Q3 2024 were $2.4 million, down from $6.8 million in Q3 2023 [12] - The company reported a basic and diluted net loss per share of $1.60 for Q3 2024, compared to $16.87 in Q3 2023 [12] Asset Management - Total current assets as of September 30, 2024, were $37.3 million, up from $11.6 million at the end of 2023, largely due to the assets held for sale [7] - Total assets decreased to $117.8 million from $187.6 million at the end of 2023, reflecting the impact of asset sales and operational adjustments [7][10] Strategic Initiatives - The company is actively working with its investment banking partner to extend its cash runway and is exploring various financing initiatives [3] - AquaBounty has decided to sell its Rollo Bay farm operation to address immediate cash requirements without affecting its long-term strategy [3] - Management is focused on reducing costs, as evidenced by a significant reduction in operating expenses and net loss for the quarter [3]

Core Viewpoint - AquaBounty Technologies, Inc. is actively pursuing funding and strategic alternatives to enhance its financial position, including the sale of its Rollo Bay farm operation to address immediate cash needs while maintaining its long-term growth strategy [1][2]. Group 1: Company Operations - AquaBounty is a leader in land-based aquaculture, focusing on sustainable fish farming practices that leverage technology in breeding, genetics, and nutrition [3]. - The company operates vertically integrated systems from broodstock to grow-out, raising fish in monitored land-based farms designed to prevent disease and protect wild fish populations [3]. - AquaBounty's operations are aimed at addressing food insecurity and climate change, producing antibiotic-free salmon with a reduced carbon footprint compared to traditional sea-cage farming [3]. Group 2: Financial Strategy - The decision to sell the Rollo Bay farm, which was developed for egg production, is part of a broader strategy to strengthen the company's balance sheet and cash position [1][2]. - The sale process is being managed by the company's investment banker and is expected to be completed by the end of the year [1]. - The company retains sufficient egg production capacity from its Ohio farm, allowing for the sale of the Rollo Bay farm without impacting long-term operational goals [2].

Core Viewpoint - AquaBounty Technologies, Inc. reported a quarterly loss of $1.56 per share, which was worse than the Zacks Consensus Estimate of a loss of $0.93, indicating a significant earnings surprise of -67.74% [1] Financial Performance - The company posted revenues of $0.18 million for the quarter ended June 2024, exceeding the Zacks Consensus Estimate by 80%, but down from $0.79 million in the same quarter last year [1] - Over the last four quarters, AquaBounty has surpassed consensus revenue estimates two times [1] Stock Performance - AquaBounty Technologies shares have declined approximately 41.7% since the beginning of the year, contrasting with the S&P 500's gain of 8.7% [2] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is -$0.89 on revenues of $0.1 million, and for the current fiscal year, it is -$4.86 on revenues of $0.75 million [4] - The estimate revisions trend for AquaBounty is mixed, resulting in a Zacks Rank 3 (Hold), suggesting the stock is expected to perform in line with the market in the near future [4] Industry Context - The Medical - Biomedical and Genetics industry, to which AquaBounty belongs, is currently in the top 37% of over 250 Zacks industries, indicating a favorable industry outlook [5] - Another company in the same industry, Iovance Biotherapeutics, is expected to report a quarterly loss of $0.37 per share, with revenues projected at $22.59 million, reflecting a significant year-over-year increase of 9310.4% [5][6]

Revenue Performance - Product revenue for Q2 2024 was $180,000, a decrease of 77% compared to $788,000 in Q2 2023[81] - GE Atlantic salmon revenue was $0 in Q2 2024, down from $755,000 in Q2 2023, marking a 100% decrease[84] - Total product revenue for the six months ended June 30, 2024, was $657,000, a decline of 45% from $1,186,000 in the same period of 2023[92] Financial Losses - Operating loss for Q2 2024 was $49.5 million, a significant increase of 669% from $6.4 million in Q2 2023[81] - The company recorded a net loss of $50.5 million in Q2 2024, up 676% from a net loss of $6.5 million in Q2 2023[81] - The company expects to continue incurring net losses and negative cash flows from operating activities for the foreseeable future[104] Expenses - Research and development expenses decreased by 63% to $65,000 in Q2 2024 from $178,000 in Q2 2023[81] - General and administrative expenses increased by 12% to $3.4 million in Q2 2024 from $3.1 million in Q2 2023[81] Cash Flow and Liquidity - Net cash used in operating activities for the six months ended June 30, 2024, was $61.7 million, compared to a net loss of $13.0 million for the same period in 2023[101] - Cash flows from investing activities decreased significantly, with $2.0 million used in 2024 compared to $46.6 million in 2023[103] - The company had $728 thousand in cash and cash equivalents as of June 30, 2024, raising concerns about its ability to continue as a going concern[104] - Cash provided by working capital improved due to reductions in inventory and other current assets[102] Financing Activities - Financing activities generated $5.1 million from new debt in 2024, a substantial increase from $394 thousand in 2023[103] - A loan agreement was entered into for up to $10 million to fund working capital, with $5 million advanced in April 2024[106] - The sale of the Indiana farm and certain equipment generated net proceeds of $9.2 million, aimed at increasing cash liquidity[107] - Interest-bearing debt increased to $6.7 million as of June 30, 2024, from $4.6 million at the end of 2023[116] - The company may finance its cash needs through sales of non-core assets, equity offerings, and debt financings, which could dilute existing shareholders[108] Market Conditions - The company is actively seeking new financing options to support construction and working capital needs[69] - Inflation is expected to continue negatively impacting the company's results in the near term[70]

Exhibit 99.1 AquaBounty Technologies Announces Second Quarter 2024 Financial Results HARVARD, Mass., August 6, 2024 -- AquaBounty Technologies, Inc. (NASDAQ: AQB) ("AquaBounty" or the "Company"), a land-based aquaculture company utilizing technology to enhance productivity and sustainability, today announced the Company's financial results for the second quarter and six months ended June 30, 2024. Second Quarter 2024 Highlights and Recent Developments · Net loss in the second quarter of 2024 was up signific ...

Harvard, Massachusetts--(Newsfile Corp. - August 6, 2024) - AquaBounty Technologies, Inc. (NASDAQ: AQB) ("AquaBounty" or the "Company"), a land-based aquaculture company utilizing technology to enhance productivity and sustainability, today announced the Company's financial results for the second quarter and six months ended June 30, 2024.Second Quarter 2024 Highlights and Recent DevelopmentsNet loss in the second quarter of 2024 was up significantly at $50.5 million as compared to $6.5 million in the seco ...

David F. Melbourne Jr. Promoted to Chief Executive Officer of AquaBounty; Sylvia Wulf to Continue as Non-Executive Board ChairJune 07, 2024 8:00 AM EDT | Source: AquaBounty Technologies, Inc.Harvard, Massachusetts--(Newsfile Corp. - June 7, 2024) - The Board of Directors of AquaBounty Technologies, Inc. (NASDAQ: AQB) ("AquaBounty" or the "Company"), a land-based aquaculture company utilizing technology to enhance productivity and sustainability, today announced that David F. Melbourne Jr. has ...