Navitas Semiconductor (NVTS) - 2024 Q4 - Annual Report

Financial Performance - Net revenues for the year ended December 31, 2024, were $83.3 million, an increase of$3.8 million or 5% compared to $79.5 million in 2023, primarily driven by growth in mobile markets[198]. - The net loss for 2024 was$84.6 million, a decrease of $61.4 million or 42$145.9 million in 2023[197]. - The company reported a basic net loss per share of $0.46 for 2024, compared to$0.86 for 2023[255]. - The company recognized a net gain of $3.9 million from its equity method investment for the year ended December 31, 2024[181]. - Operating loss for 2024 was$130.7 million, compared to a loss of $118.1 million in 2023, reflecting an increase in operating expenses[328]. Research and Development - Research and development expenses for 2024 were$76.0 million, up $7.2 million or 10$159.0 million in 2024, up from $149.2 million in 2023[328]. - Navitas Semiconductor Corporation reported that research and development expenses represented approximately 91$244.0 million, including $146.3 million in equity and$97.1 million in cash[185]. - The company announced the acquisition of the remaining minority interest in its silicon control IC joint venture for approximately $22.4 million in Navitas stock[184]. - The total merger consideration for GeneSiC included potential future earn-out payments of up to$25.0 million in cash[185]. - The company completed a public offering of 10,000,000 shares at a price of $8.00 per share, raising net proceeds of$86.5 million for working capital and potential acquisitions[182][183]. Cash Flow and Liquidity - As of December 31, 2024, cash and cash equivalents were $86.7 million, a decrease of$65.2 million or 43% compared to the previous year[213]. - Net cash used in operating activities for 2024 was $58.8 million, reflecting a net loss adjusted for non-cash items[214]. - Cash, cash equivalents, and restricted cash at the end of 2024 totaled$88,240 thousand, down from $152,839 thousand at the end of 2023[261]. - The company expects to continue incurring net operating losses and negative cash flows from operations in the near term[209]. Inventory and Assets - The company's inventory balance was$15.5 million as of December 31, 2024, down from $22.2 million in 2023, indicating a decrease of approximately 30$120.3 million in 2024 from $206.2 million in 2023, reflecting a decline of about 41.6$390.0 million in 2024 from $485.5 million in 2023, representing a reduction of approximately 19.6$14.0 million in 2024 from $25.9 million in 2023, indicating a reduction in trade receivables[329]. - Total inventories decreased to$15.5 million in 2024 from $22.2 million in 2023, reflecting a reduction in raw materials and finished goods[334]. Liabilities and Equity - The company's total liabilities decreased from$104.9 million in 2023 to $42.0 million in 2024, a reduction of approximately 60$300.2 million in 2023 to $384.8 million in 2024, indicating a worsening of approximately 28$680.8 million in 2023 to $732.8 million in 2024, reflecting an increase of about 7.6$43,031,000 for the fiscal year ended December 31, 2024, down from $54,028,000 in 2023[359]. - The Company recognized$34.0 million and $31.5 million of stock-based compensation expense for RSUs in the years ended December 31, 2024 and 2023, respectively[369]. - The number of stock options outstanding decreased from 2,657,000 at December 31, 2023, to 1,499,000 at December 31, 2024, with a weighted-average exercise price of$0.74[362]. Operational Highlights - The company has entered mass production of GaN power ICs, utilized by 9 out of the top 10 global mobile OEMs, with all 10 currently in progress[179]. - Navitas has formed relationships with numerous Tier 1 manufacturers, gaining significant traction in mobile and consumer charging applications[179]. - The company operates as one reportable segment focused on the design, development, manufacture, and marketing of integrated circuits for next-generation power semiconductors[273].