Loop Industries(LOOP) - 2025 Q1 - Quarterly Results

Financial Performance - The net loss for the three-month period ended May 31, 2024, decreased to $5.189 million from $7.001 million for the same period in 2023, a reduction of approximately 26%[7] - The company reported a comprehensive loss of $5.244 million for the three-month period ended May 31, 2024, compared to a comprehensive loss of $6.981 million for the same period in 2023[22] - The net loss for the three-month period ended May 31, 2024, was $5,189, an improvement of $1,812 compared to a net loss of $7,001 for the same period in 2023[41] Expenses - Total expenses for the quarter were $5.285 million, down from $7.088 million in the same quarter of the previous year, representing a decrease of about 25%[22] - Research and development expenses decreased by $2.253 million to $2.237 million compared to $4.490 million in the same period last year, a reduction of approximately 50%[22] - General and administrative expenses increased by $446 to $2,911 for the three-month period ended May 31, 2024, compared to $2,465 for the same period in 2023[42] - The increase in general and administrative expenses was mainly due to a $636 rise in professional fees related to partnerships, partially offset by a $211 decrease in insurance costs[42] - Total expenses for the three-month period ended May 31, 2024, were $5,195, a decrease of $1,833 from $7,028 in the same period in 2023[41] Cash Position - Cash and cash equivalents as of May 31, 2024, were $5.291 million, down from $6.958 million at the end of the previous year[23] - Cash, cash equivalents, and restricted cash at the end of the period were $5,291, down from $22,970 at the end of the same period in 2023[45] Strategic Initiatives - Loop Industries is progressing towards the Infinite Loop™ manufacturing facility in India, focusing on low-cost polyester fiber waste from the textile industry[27] - Loop Industries aims to license its technology to partners in higher-cost manufacturing countries as part of its strategic focus on global low-cost manufacturing environments[39] - The Infinite Loop™ India facility is expected to provide attractive economic returns as part of Loop's strategy to tackle the ongoing plastic waste crisis[39] - Loop Industries is committed to contributing to a circular economy by manufacturing 100% recycled PET plastic and polyester fiber[35] Future Projections - The company projects a prospective run rate for cash expenses of approximately $1 million per month for the remainder of fiscal 2025, excluding project costs[3] - The company is reviewing contingency plans for bridge financing due to its current liquidity position, anticipating the closing of a financing transaction with Reed Management SAS by the end of the second quarter of fiscal 2025[12] Shareholder Information - The weighted average common shares outstanding increased slightly to 47,535,413 from 47,516,104 year-over-year[22] - The decrease in research and development expenses was primarily due to a $1,233 reduction in machinery and equipment purchases, a $527 decrease in external engineering costs, and a $271 decrease in employee compensation expenses[32]