Financial Performance - For the three months ended September 30, 2024, the company generated approximately $6 thousand in revenue from its NxuOne™ megawatt charging station, compared to less than $1 thousand in the same period of 2023[165]. - The company incurred a net loss of $4.992 million for the three months ended September 30, 2024, an improvement of $5.445 million compared to a net loss of $10.437 million in the same period of 2023[165]. - For the nine months ended September 30, 2024, revenue was $17 thousand, a significant decrease from $117 million in the same period of 2023[173]. - Net loss for the nine months ended September 30, 2024, was approximately $18.1 million, compared to a net loss of $37.3 million in the same period of 2023[183]. - Cash used in operating activities for the nine months ended September 30, 2024, was $10.2 million, an improvement from $23.7 million in the same period of 2023[187]. - The company has an accumulated deficit of approximately $277.7 million as of September 30, 2024[183]. Cost Management - The company has been focusing on reducing costs and scaling production of the NxuOne™ charging system, achieving a doubling of production units in the first quarter of 2024[161]. - The company has paused production of the NxuOne™ charging station and reduced headcount to manage costs effectively[162]. - General and administrative expenses decreased from $8.2 million in Q3 2023 to $3.0 million in Q3 2024, primarily due to reductions in stock-based compensation and payroll costs[171]. - Research and development expenses decreased from $3.0 million in Q3 2023 to $0 in Q3 2024 due to the pause in battery technology development[170]. Strategic Initiatives - The company is pursuing strategic alternatives, including a merger with Verde Bioresins, Inc., to strengthen its financial profile and create long-term value[156]. - The company has incurred losses from operations since inception and continues to seek additional funding to support its operations and growth[150]. - The company raised approximately $10.7 million net through its "At-The-Market" equity offering[155]. - The company raised approximately $10.7 million through its ATM during the nine months ended September 30, 2024[184]. Asset Management - The company sold certain battery manufacturing equipment for total cash proceeds of approximately $0.4 million in an auction held on August 13, 2024[160]. - The company has contractual lease obligations for two properties with initial lease terms ending in the summer of 2025[192]. - The lease agreement for the warehouse facility in Mesa, Arizona includes options to renew for five years or more[192]. - An equipment lease was added during the nine months ended September 30, 2024, but was canceled in the following quarter[192]. - The company has obligations under its convertible debt facility to repay the remaining balance not converted into equity at maturity, which is two years from issuance[192]. Market and Risk Disclosures - There have been no material changes to critical accounting policies and estimates disclosed in the 2023 Form 10-K[194]. - No quantitative and qualitative disclosures about market risk are required[195]. Revenue and Cost of Revenue - Battery revenue for the three months ended September 30, 2023, was approximately $0.12 million, primarily from partial delivery of battery systems and components[166]. - Cost of revenue for the three months ended September 30, 2023, was approximately $1.0 million, including a write-off of approximately $0.90 million of inventory[168]. - Gross loss decreased from $0.9 million in Q3 2023 to $0.02 million in Q3 2024, as battery system sales were paused[169]. - The company recorded a gross loss of $20 thousand for the three months ended September 30, 2024, compared to a gross loss of $897 thousand in the same period of 2023[165].
Nxu(NXU) - 2024 Q3 - Quarterly Report