Financial Performance - Atomera's revenue for the three and nine months ended September 30, 2023, was $0, compared to $2,000 and $377,000 for the same periods in 2022 [77]. - For the nine months ended September 30, 2023, the company reported a net loss of approximately $15.2 million and used approximately $11.6 million of cash and cash equivalents in operations [89]. Operating Expenses - Operating expenses for the three months ended September 30, 2023, were approximately $5.4 million, an increase of 15% from $4.7 million in 2022 [79]. - Research and development expenses for the three months ended September 30, 2023, increased by approximately $562,000, or 20%, totaling approximately $3.3 million [80]. - General and administrative expenses for the three months ended September 30, 2023, were approximately $1.7 million, reflecting a 7% increase from $1.6 million in 2022 [82]. - Selling and marketing expenses for the three months ended September 30, 2023, were approximately $365,000, an increase of 5% from $347,000 in 2022 [83]. Cash Flow - Net cash used in operating activities for the nine months ended September 30, 2023, was approximately $11.6 million, resulting from a net loss of approximately $15.2 million [87]. - Net cash used in investing activities for the nine months ended September 30, 2023, was approximately $7.6 million, primarily for the purchase of short-term available-for-sale investments [88]. - Net cash provided by financing activities for the nine months ended September 30, 2023, was approximately $10.7 million, primarily related to net proceeds from the ATM offering [88]. - As of September 30, 2023, the company had cash and cash equivalents of approximately $12.6 million, short-term investments of approximately $7.7 million, and working capital of approximately $17.9 million [89]. Capital Raising and Future Needs - The company sold approximately 1.4 million shares at an average price of approximately $8.11, resulting in approximately $11.2 million of net proceeds after deducting commissions and other offering expenses [91]. - Since September 30, 2023, the company sold approximately 15,000 additional shares at an average price of $7.13, resulting in additional net proceeds of approximately $104,000 [91]. - The company believes its available working capital is sufficient to fund its forecasted working capital requirements for at least the next 12 months [92]. - The company may need to raise additional capital if it cannot generate sufficient revenue from license fees and royalties [92]. Licensing and Partnerships - Atomera entered into a license agreement with ST Microelectronics in April 2023, which could lead to royalties on MST-enabled products upon successful milestones [72]. Operational Risks - The company is facing a potential loss of access to semiconductor manufacturing and engineering services from TSI Technology Development & Commercialization Services LLC, effective January 31, 2024 [96]. - The transition to a new foundry provider may incur meaningful startup costs and divert engineering resources from ongoing R&D activities [96]. Internal Controls and Accounting - The company has not experienced any changes to its critical accounting estimates or internal controls over financial reporting during the reporting period [93][94]. - Management concluded that the company's disclosure controls and procedures were effective as of September 30, 2023 [93].

Atomera Incorporated (NASDAQ:ATOM) Q2 2023 Earnings Conference Call August 2, 2023 5:00 PM ET Company Participants Mike Bishop - Investor Relations Scott Bibaud - President & Chief Executive Officer Frank Laurencio - Chief Financial Officer Conference Call Participants Richard Shannon - Craig Hallum Cody Acree - The Benchmark Company Mike Bishop Hello, everyone, and welcome to Atomera’s Second Quarter Fiscal Year 2023 Update Call. I’d like to remind everyone that this call and webinar are being recorded, an ...

Q2 2023 Conference Call August 2, 2023 Atomera Incorporated 1 Safe Harbor This presentation contains forward-looking statements concerning Atomera Incorporated (““Atomera,” the “Company,” “we,” “us,” ...

Financial Performance - For the three months ended June 30, 2023, the company reported no revenue, compared to $375,000 for the same period in 2022[11]. - The net loss for the three months ended June 30, 2023, was $5,152,000, compared to a net loss of $4,481,000 for the same period in 2022, indicating an increase in loss of approximately 15%[11]. - The company reported a net loss of $10,171,000 for the three months ended June 30, 2023, compared to a net loss of $8,567,000 for the same period in 2022, representing an increase of approximately 18.7%[21]. - Total operating expenses for the three months ended June 30, 2023, were $5,360,000, compared to $4,447,000 for the same period in 2022, marking an increase of approximately 20.5%[11]. - Total operating expenses for the six months ended June 30, 2023, were $10,527,000, compared to $8,759,000 for the same period in 2022, an increase of about 20.2%[11]. Assets and Liabilities - As of June 30, 2023, total assets increased to $28,989,000 from $26,729,000 as of December 31, 2022, representing a growth of approximately 8.4%[9]. - The accumulated deficit as of June 30, 2023, was $193,466,000, up from $183,295,000 as of December 31, 2022[9]. - The company reported total liabilities of $5,750,000 as of June 30, 2023, down from $6,415,000 as of December 31, 2022, a decrease of approximately 10.4%[9]. - As of June 30, 2023, the company reported cash, cash equivalents, and short-term investments totaling approximately $23.8 million, with working capital of approximately $21.6 million[25]. Cash Flow - Cash and cash equivalents decreased to $12,904,000 from $21,184,000, a decline of about 39.2%[9]. - Net cash used in operating activities for the three months ended June 30, 2023, was $8,172,000, compared to $6,615,000 for the same period in 2022, reflecting an increase of approximately 23.5%[21]. - The company had cash, cash equivalents, and short-term investments totaling approximately $23.8 million as of June 30, 2023[25]. - As of June 30, 2023, the company had a net decrease in cash and cash equivalents of $8,280,000 compared to a decrease of $6,861,000 for the same period in 2022[21]. Equity and Stock Options - The total stockholders' equity increased to $23,239,000 as of June 30, 2023, from $20,314,000 as of December 31, 2022, representing an increase of approximately 14.3%[9]. - The weighted average number of common shares outstanding, basic, increased to 24,677,000 for the three months ended June 30, 2023, from 22,936,000 for the same period in 2022[11]. - As of June 30, 2023, the Company had 3,364 stock options outstanding, an increase from 3,009 at the beginning of the year, with a weighted average exercise price of $7.03[60]. - The Company granted approximately 375,000 stock options under the 2017 Plan during the six months ended June 30, 2023, with a fair value of approximately $1.9 million at the time of grant[60]. Research and Development - Research and development expenses for the three months ended June 30, 2023, were $3,192,000, up from $2,433,000 in the same period of 2022, reflecting a year-over-year increase of about 31.2%[11]. - The Company recorded total stock-based compensation expense of $1,030,000 for the three months ended June 30, 2023, compared to $859,000 for the same period in 2022[57]. - The company incurred stock-based compensation of $1,957,000 for the three months ended June 30, 2023, compared to $1,585,000 for the same period in 2022, an increase of approximately 23.4%[21]. Business Operations and Future Plans - The company has incurred recurring operating losses and is subject to risks associated with financing and scaling a business that is not generating positive cash flow[25]. - The company plans to consider alternatives to its current business plan to achieve revenue-producing operations with a smaller amount of capital if necessary[27]. - The company has primarily financed operations through private placements and public offerings, including an IPO in August 2016[25]. - The Company recognized revenue from engineering service contracts, license agreements, and joint development agreements, with total revenue for the six months ended June 30, 2023, amounting to $375,000[39]. Lease Obligations - Future minimum lease payments under non-cancellable leases as of June 30, 2023, total $4,029,000 for financing leases and $710,000 for operating leases[50]. - The Company leased an additional 404 square feet at its Tempe office, increasing monthly rent from $1,277 to $2,365, with a right-of-use asset recorded of approximately $33,000[46]. - The weighted average remaining discount rate for operating leases is 5.48%, with a remaining lease term of 2.6 years[54]. Litigation - The company has not been involved in any material litigation as of June 30, 2023[63].

Atomera Incorporated (NASDAQ:ATOM) Q1 2023 Earnings Conference Call April 26, 2023 5:00 PM ET Company Participants Mike Bishop – Investor Relations Scott Bibaud – President and Chief Executive Officer Frank Laurencio – Chief Financial Officer Conference Call Participants Richard Shannon – Craig-Hallum Cody Acree – Benchmark Mike Bishop Hello, everyone, and welcome to Atomera's First Quarter Fiscal Year 2023 Update Call. I'd like to remind everyone that this call and webinar are being recorded, and a replay ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ Quarterly Report Pursuant to Section 13 or 15 (d) of the Securities Exchange Act of 1934 For the quarterly period ended March 31, 2023. or ☐ Transition Report Pursuant to Section 13 or 15 (d) of the Securities Exchange Act of 1934 For the transition period from __________ to __________ Commission file number: 001-37850 ATOMERA INCORPORATED (Exact name of registrant as specified in its charter) | --- | --- | ...

Atomera Incorporated (NASDAQ:ATOM) Q4 2022 Earnings Conference Call February 15, 2023 5:00 PM ET Company Participants Mike Bishop - IR Scott Bibaud - President and CEO Frank Laurencio - CFO Conference Call Participants Cody Acree - Benchmark Richard Shannon - Craig-Hallum Mike Bishop Hello, everyone, and welcome to Atomera's Fourth Quarter Fiscal Year 2022 Update Call. I'd like to remind everyone that this call and webinar are being recorded, and a replay will be available on Atomera's IR website for one ye ...

Company Overview - Atomera is focused on transistor enhancement technology for the $550 billion semiconductor market[6] - The company operates with a high leverage IP licensing business model and a strong, growing, and defensible patent portfolio[6] - Atomera collaborates with customers to improve their products through the integration of MST (Material Science Technology)[18] Customer Engagement - Atomera is working with 50% of the world's top semiconductor makers[9] - The company has 20 customers with 26 engagements[9] - Customer engagements progress through phases: Planning, Setup, Integration, Installation, Qualification, and Production[7] Financial Performance - The company's revenue for the year ended December 31, 2022, was $382 thousand, compared to $400 thousand for the year ended December 31, 2021[16] - The operating loss for the year ended December 31, 2022, was $(17,526) thousand, compared to $(15,529) thousand for the year ended December 31, 2021[16] - Net loss for the year ended December 31, 2022, was $(17,441) thousand, compared to $(15,714) thousand for the year ended December 31, 2021[16] - The company's cash balance as of December 31, 2022, was $21,184 thousand, compared to $28,699 thousand as of December 31, 2021[16]

Revenue and Financial Performance - Revenue for the year ended December 31, 2022, was approximately $382,000, a decrease of 4.5% compared to $400,000 in 2021[132]. - The company incurred a net loss of approximately $17.4 million for the year ended December 31, 2022[139]. Costs and Expenses - Cost of revenue for 2022 was approximately $81,000, compared to $0 in 2021, indicating the start of integration engineering services[134]. - Operating expenses for 2022 totaled approximately $17.8 million, an increase of 11.9% from $15.9 million in 2021[134]. - Research and development expenses increased by approximately $1.3 million, or 14%, to $10.0 million in 2022 from $8.8 million in 2021[135]. - General and administrative expenses rose by approximately $277,000, or 4%, to $6.4 million in 2022 from $6.2 million in 2021[136]. - Selling and marketing expenses increased by approximately $362,000, or 37%, to $1.3 million in 2022 from $986,000 in 2021[137]. Income and Cash Position - Interest income for 2022 was approximately $340,000, a significant increase from $9,000 in 2021, due to higher interest rates[137]. - As of December 31, 2022, cash and cash equivalents were approximately $21.2 million, with working capital of approximately $18.7 million[139]. Share Issuance - Approximately 527,000 shares were sold in an at-the-market offering at an average price of $11.68, resulting in approximately $5.8 million of net proceeds[141]. Revenue Recognition and Accounting Policies - Integration service revenue from integration license agreements is recognized as the service is provided to the customer, indicating a performance obligation tied to technology delivery[146]. - Right-of-use (ROU) assets and lease liabilities are recognized for all leases greater than 12 months, based on the present value of lease payments over the lease term[147]. - Stock-based compensation expense is accounted for based on the fair values of equity instruments, with RSAs measured at market price and stock options valued using the Black-Scholes model[148]. - The expected dividend yield for stock-based compensation is assumed to be 0% as the company has not declared or paid dividends[149]. - The risk-free interest rate for stock options is based on U.S. Treasury securities yields with similar maturities to the expected terms of the awards[149].

Financial Data and Key Metrics Changes - The GAAP net loss for Q3 2022 was $4.6 million or $0.20 per share, slightly up from a net loss of $4.5 million in Q2 2022, which was also $0.20 per share [19] - GAAP operating expenses in Q3 2022 were $4.7 million, an increase of approximately $210,000 over Q2 2022 [20] - The cash balance at September 30, 2022, was $23.3 million, compared to $21.8 million at the end of Q2 2022, reflecting an increase of $1.5 million [21] Business Line Data and Key Metrics Changes - The company continues to see strong interest in its two most mature MST solutions, MST-SP and MST for RF-SOI, with growing customer engagement [12] - Development activity by customers is increasing, leading to additional wafer runs and interest from new customers seeking competitive advantages [8] Market Data and Key Metrics Changes - The semiconductor industry is experiencing a softening of demand, leading to forecast reductions and some reductions in projected capital expenditures [7] - Despite the slowdown, there is still a plentiful allocation of CapEx budgets to support the acquisition of new technologies and equipment [8] Company Strategy and Development Direction - The company is focused on driving customers to adopt MST technology, particularly those who are further along in their development [8] - Atomera aims to leverage the current industry environment to increase licensing activity and move towards commercialization [18] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the current industry cycle, believing it provides a favorable environment for Atomera to grow and adopt its technology [18] - The company is confident that the slowdown in the semiconductor industry will lead to increased interest in cost-reducing technologies like MST [44] Other Important Information - The company is not providing revenue guidance beyond the current quarter, consistent with past practices, and expects Q4 revenue to be zero [22] - The company has a diverse array of applications where customers need innovative breakthroughs, indicating a strong engagement pipeline [22] Q&A Session Summary Question: Expansion of JDA customer relationships - Management indicated that while they are not discussing expansion into different business units yet, they are working closely with existing customers and hope to reach license agreements soon [28] Question: Customer utilization and prioritization of R&D wafers - Management noted that customers are now able to plan new wafer runs without issues, indicating a positive shift in customer engagement [30] Question: Confidence in licensing gate-all-around technologies - Management expressed optimism about intersecting with future technology developments, believing their technology will be applicable even if not immediately adopted [34] Question: Exposure to the China market - Management stated that they currently have no significant exposure to China and are cautious due to IP concerns, but see potential opportunities if the trade situation improves [40] Question: Customer attitudes towards spending in 2023 - Management remains optimistic about customer spending, noting that while some have scaled back forecasts, they are still spending significantly more than in previous years [49] Question: Visibility on future revenue - Management acknowledged the frustration with zero revenue forecasts but indicated that several customers are close to obtaining manufacturing licenses, which would provide more visibility [52]