DNY59 Ouster, Inc. (NYSE:OUST) has delivered record results for yet another record quarter. The company stands out among smoldering ruins of broken promises and poor deliveries made by other Lidar companies, but sometimes, the predictability of logic does not work. Despite the fantastic results in the background of the other mediocre outcomes, Ouster was sold quoting weak guidance. I will explain the root cause and review it. Before I delve into the details, I want to start by stating that my recommendation ...

Just_Super/iStock via Getty Images The Lidar sector is still officially struggling to launch. Ouster, Inc. (NYSE:OUST) has turned into the domestic Lidar leader, but the market silli isit happy with the reported growth rates, despite the company making considerable progress in the last year. My investment thesis remains ultra-Bullish on Ouster following the big dip after mixed Q2 '24 results. finviz Thu OUST DAILY Aug 15 | O 8.01 SMA 20 SMA 50 SMA 200 all Nov Jul Do May Jun 2024 Apr Source: Finviz Lidar Lea ...

Ouster Inc. OUST reported weaker-than-expected sales for its second quarter on Tuesday. Ouster reported quarterly losses of 53 cents per share, which beat the analyst consensus estimate of 61 cents by 13.11%. Quarterly sales came in at $26.99 million which missed the analyst consensus estimate of $27.03 million. "Our second quarter results showcase solid execution with GAAP gross margin increasing to 34%. Consistent with Ouster's strategy of expanding into software solutions, we had one of our best quarters ...

U.S. stock futures were mixed this morning, with the Dow futures gaining around 0.1% on Wednesday. Shares of Ouster, Inc. OUST fell sharply in today's pre-market trading after the company reported worse-thanexpected second-quarter sales results and issued weak third-quarter revenue guidance. Ouster reported quarterly losses of 53 cents per share, which beat the analyst consensus estimate for a loss of 61 cents per share. Quarterly sales came in at $26.99 million which missed the analyst consensus estimate o ...

Financial Data and Key Metrics Changes - Ouster reported revenues of $27 million for Q2 2024, a 39% increase compared to Q2 2023 and a 4% increase over Q1 2024 [13] - GAAP gross margin increased to 34%, a significant improvement from negative 2% in Q1 2023, nearing the long-term target range of 35% to 40% [13][14] - Non-GAAP gross margin improved to 40% in Q2 2024, benefiting from a favorable product mix and lower manufacturing costs [14] Business Line Data and Key Metrics Changes - The Smart Infrastructure vertical was the largest contributor to revenue, comprising roughly one-third of total revenues, followed closely by robotics [13] - Software attached sales were highlighted as a key growth area, with significant deals secured in the second quarter [10][11] Market Data and Key Metrics Changes - Ouster experienced strength in its robotics vertical, securing and expanding relationships with key players like Serve Robotics [6][7] - The company noted that while some customer schedules have been pushed back, there is still a positive outlook for growth across various verticals [9][25] Company Strategy and Development Direction - Ouster's strategic priorities for 2024 include expanding software sales and growing the installed base, with a focus on software solutions like Ouster Gemini [10][11] - The company is advancing its digital lidar hardware roadmap, with the integration of new custom silicon chips expected to enhance performance and reliability [11] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the long-term growth potential, despite some near-term schedule changes from customers [9][25] - The company remains committed to its long-term financial framework, targeting 30% to 50% annual growth on the path to profitability [27] Other Important Information - Ouster's balance sheet is described as industry-leading, with $186 million in cash and equivalents as of June 30, 2024 [16] - The company fully repaid its revolving credit line, further strengthening its financial position [16] Q&A Session Summary Question: Inquiry about gross margin improvements - Management highlighted that gross margin improvements were driven by increased product volumes, cost reductions, and a favorable product mix [19][20] Question: Software strategy and long-term updates - Management confirmed that the software strategy is yielding results, with a record quarter for software attached sales and ongoing customer expansions [21][22] Question: Customer contracts and market pushouts - Management clarified that they have non-cancellable contracts with customers and emphasized a positive outlook across all verticals despite some delays [24][25] Question: Visibility into software-driven sales in smart infrastructure - Management indicated that a significant portion of future sales in the smart infrastructure vertical is expected to be software attached, with ongoing product enhancements [36][38] Question: Decision to pay down debt - Management explained that the decision to pay down debt was based on strong cash flow and improved working capital metrics, enhancing the company's financial resilience [43]

August 13, 2024 Second Quarter 2024 Earnings Update OUST LISTED NYSE Second Quarter 2024 Earnings Update August 13, 2024 Disclaimers Forward-Looking Statements This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Ouster intends such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securitie ...

Revenue and Market Growth - Ouster's revenue primarily comes from the sale of lidar sensors and accessories, with revenue recognized upon product shipment [109]. - Ouster anticipates a multibillion-dollar total addressable market for its lidar solutions across automotive, industrial, robotics, and smart infrastructure sectors [107]. - Revenue increased by $7.6 million, or 39%, to $27.0 million for the three months ended June 30, 2024, compared to $19.4 million for the same period in the prior year [125]. - Revenue growth was driven by increased sales of the REV7 sensors, with notable increases in the Americas (24%), Asia and Pacific (77%), and Europe, Middle East and Africa (50%) regions [124][126]. - Revenue increased by $16.3 million, or 45%, to $52.9 million for the six months ended June 30, 2024, from $36.6 million for the comparable period in the prior year [136]. Cost and Expense Management - Cost of revenue decreased by $1.3 million, or 7%, to $17.9 million for the three months ended June 30, 2024, primarily due to lower excess and obsolete inventory [127]. - Total operating expenses for the three months ended June 30, 2024, were $34.3 million, a decrease of $88.9 million, or 72%, compared to $123.2 million in the prior year [128]. - Research and development expenses decreased by $12.0 million, or 45%, to $14.4 million for the three months ended June 30, 2024 [128]. - Sales and marketing expenses decreased by $4.9 million, or 42%, to $6.8 million for the three months ended June 30, 2024 [128]. - General and administrative expenses decreased by $4.7 million, or 26%, to $13.2 million for the three months ended June 30, 2024 [128]. - Cost of revenue decreased by $0.4 million, or 1%, to $36.4 million for the six months ended June 30, 2024, from $36.8 million for the comparable period in the prior year [138]. - Total operating expenses decreased by $232.4 million, or 77%, to $67.6 million for the six months ended June 30, 2024, from $299.9 million for the comparable period in the prior year [139]. Financial Position and Cash Flow - The company had an accumulated deficit of $863.7 million and cash, cash equivalents, restricted cash, and short-term investments of $185.8 million as of June 30, 2024 [146]. - As of June 30, 2024, the company had cash and cash equivalents, restricted cash, and short-term investments totaling $185.8 million [161]. - For the six months ended June 30, 2024, operating activities used $27.4 million in cash, primarily due to a net loss of $47.7 million [153]. - During the same period, cash provided by investing activities was $9.1 million, mainly from $60.0 million in proceeds from short-term investments [155]. - Financing activities generated $20.3 million, primarily from $19.5 million in proceeds from the issuance of common stock under the ATM Agreement [156]. - The remaining availability under the ATM Agreement as of June 30, 2024, is approximately $98.0 million [149]. - The company entered into a revolving credit line agreement with UBS Bank USA for up to $45.0 million, initially borrowing $44.0 million [150]. - As of December 31, 2022, $40.0 million had been drawn under the Term Loan Facility with Hercules Capital [150]. Research and Development - The company is focused on expanding its software solutions and advancing hardware development as part of its strategic objectives for 2024 [106]. - The company anticipates continued investment in new lidar technology and related software, indicating a commitment to innovation and market expansion [112]. - The company expects R&D expenses as a percentage of revenue to decrease over time as the business grows [112]. - Research and development expenses decreased by $12.0 million, or 45%, to $14.4 million for the three months ended June 30, 2024, from $26.4 million for the comparable period in the prior year [129]. Internal Controls and Risks - The company is executing a remediation plan to address material weaknesses in internal control over financial reporting [170]. - The company has identified material weaknesses in its internal control environment, which could lead to misstatements in financial reporting [167]. - The company continues to provide internal control training for personnel responsible for implementing internal controls [171]. - The company has made significant progress in improving the stability of its accounting organization, but time is needed to demonstrate sustainability [172]. - There were no changes in internal control over financial reporting during the quarter ended June 30, 2024, that materially affected the company's financial reporting [173]. Market and Competitive Environment - The company expects to continue experiencing downward pressure on average selling prices due to large multi-year agreements and competitive market dynamics [107]. - Ouster's gross margins are subject to fluctuations based on product mix, pricing, and volume volatility, impacting overall financial performance [111]. - The company views international expansion as a key strategy for revenue growth, with plans to enhance its presence in the Americas, Asia Pacific, and Europe [108]. - The company has not engaged in any hedging strategies to manage foreign currency exchange risk, which could adversely affect operations as international operations grow [164]. - The company is exposed to inflation risk, which has increased operating costs and may lead to reduced customer orders, potentially harming sales [160]. - The company is exposed to interest rate risk, with $44.0 million of variable rate debt outstanding under the Loan Agreement as of June 30, 2024 [163]. - A hypothetical 100 basis point change in interest rates would not have a material impact on the company's financial condition due to the short-term nature of its investment portfolio [162]. - The company has $44.0 million of variable rate debt outstanding under its Loan Agreement, with a sensitivity analysis indicating that a 1% change in interest rates would affect interest expense by approximately $0.4 million over the next 12 months [163].

Exhibit 99.1 Ouster Reports Strong Revenue and Margins for Second Quarter 2024 Revenue of $27 million, GAAP gross margin of 34%, and non-GAAP gross margin of 40% Repaid all outstanding balance under revolving credit line, strengthening balance sheet On-track to deliver on long-term financial framework and reach profitability SAN FRANCISCO, CA – Ouster, Inc. (NYSE: OUST) ("Ouster" or the "Company"), a leading global provider of high-performance lidar sensors and software solutions for the automotive, industr ...

In the latest market close, Ouster, Inc. (OUST) reached $10.98, with a -1.17% movement compared to the previous day. The stock trailed the S&P 500, which registered a daily gain of 1.04%. Elsewhere, the Dow saw an upswing of 0.76%, while the tech-heavy Nasdaq appreciated by 1.03%. Coming into today, shares of the company had gained 6.11% in the past month. In that same time, the Computer and Technology sector lost 13.91%, while the S&P 500 lost 6.74%. The investment community will be closely monitoring the ...

Ouster, Inc. (OUST) ended the recent trading session at $14.04, demonstrating a -1.89% swing from the preceding day's closing price. The stock fell short of the S&P 500, which registered a loss of 0.71% for the day. Elsewhere, the Dow saw a downswing of 0.93%, while the tech-heavy Nasdaq depreciated by 0.81%. Investors will be eagerly watching for the performance of Ouster, Inc. in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on August 13, 2024. Investors should also ...