Amprius Technologies(AMPX) - 2024 Q3 - Quarterly Report

Manufacturing Capacity and Expansion - The company anticipates expanding its SiMaxx battery manufacturing capacity to 2 MWh by early 2025, which is approximately 10 times its production capacity in 2023[93]. - Amprius expects capital equipment expenditures between $75 million and$100 million to achieve up to 500 MWh per year of manufacturing capacity in its Brighton, Colorado facility[98]. - The company plans to construct a new GWh-scale manufacturing facility in Brighton, Colorado, to meet battery demand[129]. - Amprius is focusing on reducing manufacturing costs of SiMaxx batteries on a $/kWh basis to accelerate demand and expand its customer base[101]. - The company is developing larger form factor batteries for broader electrified transportation applications, currently producing batteries up to approximately 15Ah for small-sized aircraft[105]. - The company has established a network of toll manufacturing partnerships to meet increased demand for SiCore batteries, currently leveraging existing production lines[99][100]. - The company expects to expand production capacity through a Copy Exact methodology, but may reduce initial capacity if cash is less than expected and financing is unavailable[133]. Financial Performance - Revenue increased by$5.1 million, or 181%, to $7.9 million during the three months ended September 30, 2024, primarily due to a$3.9 million increase in battery sales[117]. - Revenue increased by $8.4 million, or 165$13.5 million during the nine months ended September 30, 2024, primarily due to a $7.8 million increase in battery sales[118]. - Cost of revenue increased by$5.9 million, or 84%, to $13.0 million during the three months ended September 30, 2024, and by$13.7 million, or 86%, to $29.6 million during the nine months[119]. - Research and development expenses increased by$1.0 million, or 123%, to $1.8 million during the three months ended September 30, 2024, and by$2.7 million, or 112%, to $5.1 million during the nine months[120]. - Selling, general and administrative expenses increased by$0.3 million, or 7%, to $4.3 million during the three months ended September 30, 2024, but decreased by$2.4 million, or 15%, to $13.4 million during the nine months[121]. - Net loss was$10.9 million for the three months ended September 30, 2024, and $33.3 million for the nine months[130]. Cash Flow and Financing - As of September 30, 2024, the company had cash and cash equivalents of$35.0 million[124]. - Net cash used in operating activities increased to $27.3 million during the nine months ended September 30, 2024, compared to$20.8 million during the same period last year, primarily due to increased personnel-related costs[136]. - Net cash used in investing activities decreased to $6.8 million during the nine months ended September 30, 2024, from$11.8 million in the prior year, mainly due to the timing of purchases of production equipment[138]. - Net cash provided by financing activities increased to $24.6 million during the nine months ended September 30, 2024, from$16.3 million in the same period last year, primarily from the issuance of common stock[140]. - The company may need to seek additional equity or debt financing if resources are insufficient to meet cash requirements, which could adversely affect business operations[132]. - The primary source of cash from operations is revenue from battery sales and customization design services, with significant cash uses including personnel costs and procurement of materials[135]. Market Position and Product Development - Amprius Technologies has shipped over 400,000 batteries since inception through September 30, 2024, serving over 175 customers[91]. - The company is engaged in ongoing development activities to improve battery life and energy density, exploring different cathode materials[103][104]. - The company is the only known manufacturer using a 100% silicon anode free of inactive additives, positioning itself competitively in the battery market[102]. - Amprius is monitoring broader industry dynamics, including changes in demand, supply, battery cost structure, and government incentives, which may influence its manufacturing decisions[96]. Compliance and Reporting - The company qualifies as an emerging growth company and a smaller reporting company, allowing it to take advantage of reduced reporting requirements[142][143]. - There have been no changes to critical accounting estimates during the nine months ended September 30, 2024[145].