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Luminar Technologies(LAZR) - 2023 Q4 - Annual Results
LAZRLuminar Technologies(LAZR)2024-02-26 16:00

Financial Performance - Luminar achieved nearly 70millioninrevenueforFY′23,representinga7170 million in revenue for FY'23, representing a 71% year-over-year growth, with Q4'23 revenue growing almost 100% year-over-year and 30% quarter-over-quarter[35]. - Q4 2023 revenue reached 22.1 million, representing a 99% year-over-year increase and a 30% quarter-over-quarter increase, but fell short of the guidance of approximately 75millionduetoloweradjacentmarketsensorsalesandslowerrevenuerecognition[45].−TotalrevenueforQ42023reached75 million due to lower adjacent market sensor sales and slower revenue recognition[45]. - Total revenue for Q4 2023 reached 22,114,000, a 99% increase compared to 11,126,000inQ42022[57].−Productrevenuewas11,126,000 in Q4 2022[57]. - Product revenue was 17,001,000, up 103% from 8,357,000inthesamequarterlastyear[57].−ThenetlossforQ42023was8,357,000 in the same quarter last year[57]. - The net loss for Q4 2023 was (148.4) million, or (0.36)pershare,whichwaswithintheguidancerangeof(0.36) per share, which was within the guidance range of (0.17) to (0.21)providedinthepreviousquarter[47].−NetlossfortheyearendedDecember31,2023,was(0.21) provided in the previous quarter[47]. - Net loss for the year ended December 31, 2023, was (571,269,000), compared to (445,939,000)forthepreviousyear[59].−Non−GAAPnetlossforQ42023was(445,939,000) for the previous year[59]. - Non-GAAP net loss for Q4 2023 was (83,634,000), compared to (94,878,000)inQ42022[63].−Cashflowsfromoperatingactivitiesresultedinanetcashusedof(94,878,000) in Q4 2022[63]. - Cash flows from operating activities resulted in a net cash used of (247,304,000) for the year 2023[59]. Order Book and Future Revenue - The company has a multi-billion dollar Order Book, which is expected to begin converting into material revenue in 2024, particularly with the launch of the Volvo EX90[9][12]. - The updated Order Book stands at approximately 3.8billion,anincreaseof3.8 billion, an increase of 800 million from 2023 awards, but adjusted down by 400millionduetomoreconservativevolumeandtakerateassumptions[51][52].−TheOrderBookservesasaforward−lookingcumulativebillingsestimateforLuminar′shardwareandsoftwareproducts,reflectinganticipatedadoptionratesbyOEMs[78].−Luminarexpectssignificantrevenuegrowthin2024drivenbyseriesproductionsensorsalesasitreachesVolvo′sstartofproductioninQ2′24[39].−Thecompanyexpectsaquarterlyrunrateofrevenueinthemid−400 million due to more conservative volume and take rate assumptions[51][52]. - The Order Book serves as a forward-looking cumulative billings estimate for Luminar's hardware and software products, reflecting anticipated adoption rates by OEMs[78]. - Luminar expects significant revenue growth in 2024 driven by series production sensor sales as it reaches Volvo's start of production in Q2'24[39]. - The company expects a quarterly run rate of revenue in the mid-30 million range in 2H'24, equating to an annualized run rate of approximately 140million[43].OperationalEfficiencyandCosts−Thecompanyincurredapproximately140 million[43]. Operational Efficiency and Costs - The company incurred approximately 11 million in additional costs in Q4'23, impacting financials due to the industrialization of Iris and Iris+[34]. - The company incurred approximately 11millioninfixedcostburdenimpactandyieldlossesduringQ42023,contributingtohigherindustrializationcosts[46].−Thecompanyisprioritizingoperationalandfinancialefficiencyin2024,leveraginga11 million in fixed cost burden impact and yield losses during Q4 2023, contributing to higher industrialization costs[46]. - The company is prioritizing operational and financial efficiency in 2024, leveraging a 1 billion investment in technology and manufacturing to drive down costs[30]. - The company plans to industrialize its next-gen LiDAR technology and improve operational efficiency in 2024, marking a transformational year[42]. - The company expects launch costs to decline as products are successfully industrialized, which may positively impact future financial performance[69]. Cash and Liquidity - The company ended 2023 with nearly 290millionincashandmarketablesecurities,andwitharecentlyexecuted290 million in cash and marketable securities, and with a recently executed 50 million credit facility, it has 340millionincashandliquidity,sufficientforatleasttwoyears[37].−CashandliquidityattheendofQ42023was340 million in cash and liquidity, sufficient for at least two years[37]. - Cash and liquidity at the end of Q4 2023 was 290 million, with a 31millionquarter−over−quarterchangeandanew31 million quarter-over-quarter change and a new 50 million credit facility obtained[45][49]. - The company expects to end FY'24 with over 150millionincashandliquidity,providingatleasttwoyearsofrunwayfromthecurrentdate[43].−Endingcash,cashequivalents,andrestrictedcashincreasedto150 million in cash and liquidity, providing at least two years of runway from the current date[43]. - Ending cash, cash equivalents, and restricted cash increased to 140,624,000 from 71,105,000 year-over-year[59]. Research and Development - The company is focusing on enhancing its LiDAR ecosystem, having launched the Luminar AI Engine and produced six new types of chips to improve performance and reduce costs[23][24]. - Various software capabilities are still in development and have not yet achieved 'technological feasibility' or 'production ready' status, indicating ongoing R&D efforts[70]. - The company is focused on achieving key milestones for FY 2024, including manufacturing scale-up and next-gen LIDAR prototype development[72]. - Research and development expenses were 62,745,000 for Q4 2023, slightly down from 64,925,000inQ42022[57].−ResearchanddevelopmentexpensesforQ42023were64,925,000 in Q4 2022[57]. - Research and development expenses for Q4 2023 were 14.942 million, up from 12.886millioninQ32023,and12.886 million in Q3 2023, and 13.756 million in Q4 2022[66]. Partnerships and Product Development - Luminar's partnerships with automakers like Mercedes-Benz and Polestar have expanded, with new vehicle models being integrated into their next-generation lineups[19][21]. - Luminar's Iris sensor has passed Volvo Cars' initial production audit, and the company has begun delivering products to customers from its high-volume manufacturing facility in Mexico[15][16]. - The company aims to achieve global start of production (SOP) and ramp with Volvo in 2H'24, alongside launching a new TPK facility for additional capacity[44]. - Luminar plans to showcase next-generation LiDAR technology at the upcoming Luminar Day, highlighting improvements in performance, safety, and cost[27]. Financial Metrics - The gross loss for Q4 2023 was (21.6)milliononaGAAPbasis,whichwasbelowthetargetforapositivenon−GAAPgrossmargin[46].−GrosslossforQ42023was(21.6) million on a GAAP basis, which was below the target for a positive non-GAAP gross margin[46]. - Gross loss for Q4 2023 was (21,571,000), compared to (16,600,000)inQ42022,reflectingadeclineingrossmargin[61].−Operatingexpensestotaled(16,600,000) in Q4 2022, reflecting a decline in gross margin[61]. - Operating expenses totaled 127,021,000 in Q4 2023, an increase from 124,077,000inQ42022[62].−ThetotalcostofsalesforthetwelvemonthsendedDecember31,2023,was124,077,000 in Q4 2022[62]. - The total cost of sales for the twelve months ended December 31, 2023, was 207.132 million, compared to 162.405millionforthesameperiodin2022,reflectingayear−over−yearincreaseof27.5162.405 million for the same period in 2022, reflecting a year-over-year increase of 27.5%[66]. - The company incurred 4.323 million in intangible amortization for the twelve months ended December 31, 2023, compared to 2.237millionin2022,indicatingasignificantincrease[66].−Totalstock−basedcompensationforQ42023was2.237 million in 2022, indicating a significant increase[66]. - Total stock-based compensation for Q4 2023 was 47.101 million, an increase from 44.882millioninQ32023,and44.882 million in Q3 2023, and 44.531 million in Q4 2022[66].