Energy Focus(EFOI) - 2024 Q2 - Quarterly Results

Financial Performance - Net sales for Q2 2024 were $1.6 million, a 47.2$1.1 million in Q2 2023, driven by a 95.4% increase in military sales[2] - Net sales for the three months ended June 30, 2024, were $1,553,000, a 47.2$1,055,000 in the same period last year[18] - Net loss for Q2 2024 was $0.6 million, or$(0.12) per share, compared to a net loss of $1.2 million, or$(0.42) per share, in Q2 2023[3] - The net loss for the three months ended June 30, 2024, was $554,000, an improvement from a net loss of$1,167,000 in the same period last year[22] - Adjusted EBITDA for the three months ended June 30, 2024, was $(557,000), compared to$(1,060,000) for the same period last year[22] Profitability - Gross profit margin decreased to 8.1% in Q2 2024 from 17.0% in Q2 2023, primarily due to unfavorable changes in inventory reserve[2] - Actual gross profit for the quarter was $126,000, representing a gross margin of 8.1$284,000, with a gross margin of 18.3%, compared to 6.8% in the same quarter of 2023[23] - Gross profit for the three months ended June 30, 2024, was $126,000, compared to$179,000 for the same period last year, reflecting a gross margin decrease[15] Expenses and Losses - Loss from operations improved to $0.6 million in Q2 2024, compared to a loss of$1.1 million in Q2 2023[3] - Total operating expenses for the three months ended June 30, 2024, were $683,000, down from$1,279,000 in the same period last year, indicating a 46.5% reduction[15] Cash and Liquidity - Cash balance as of June 30, 2024, was $1.1 million, down from$2.0 million at the end of 2023[3] - Cash at the end of the period was $1,105,000, a decrease from$1,316,000 at the end of June 30, 2023[17] - The company reported a total availability of $1,105,000 as of June 30, 2024, down from$1,520,000 at the same time last year[21] Equity and Liabilities - Total liabilities decreased to $3.554 million as of June 30, 2024, from$7.149 million at the end of 2023[14] - Total stockholders' equity increased to $3.522 million as of June 30, 2024, compared to$3.051 million at the end of 2023[14] Shareholder Activity - The company completed a private placement on June 21, 2024, raising approximately $0.85 million by issuing 534,592 shares at$1.59 per share[4] - The company issued $851,000 in common stock during the three months ended June 30, 2024, compared to$1,304,000 in the same period last year[17] - The weighted average shares of common stock outstanding increased to 4,785,000 for the three months ended June 30, 2024, from 2,766,000 in the same period last year[15] Product Development - The company plans to add high-efficiency GaN power supply products to its portfolio in 2024[12] Military Sales - Military maritime products sales for the three months ended June 30, 2024, were $1,198,000, significantly up from$613,000 in the same period last year[18] Inventory Management - The reserve for excess and obsolete inventory increased to $158,000, reflecting a 10.2% change, compared to a negative reserve of (107,000) in the same quarter last year[23]