ESS Tech(US:GWH)2024-11-13 21:00Revenue Performance - Total revenue for Q3 2024 was $359,000, a decrease from $1,545,000 in Q3 2023, representing a year-over-year decline of approximately 77.8%[10] - The company expects to achieve revenue between $9 million and $11 million for the full year 2024, indicating significant year-on-year growth[1] - The company is optimistic about shipping units in Q4 2024, which should help improve revenue recognition[1] Cost and Expenses - The cost of revenue for Q3 2024 was $12,741,000, compared to $10,183,000 in Q3 2023, resulting in a gross loss of $12,382,000[10] - Research and development expenses increased to $2,684,000 in Q3 2024 from $1,609,000 in Q3 2023, reflecting a year-over-year increase of approximately 66.7%[10] - Research and development expenses for the three months ended September 30, 2024, were $2,684 million, up from $1,609 million in the same period in 2023, marking an increase of approximately 67%[14] - Non-GAAP total operating expenses for the nine months ended September 30, 2024, were $27,461 million, down from $54,606 million in the same period in 2023, reflecting a significant reduction[14] Net Loss and Financial Health - The company reported a net loss of $22,493,000 in Q3 2024, compared to a net loss of $16,618,000 in Q3 2023, indicating a worsening of approximately 35.5%[10] - Net loss for the nine months ended September 30, 2024, was $62,743 million, compared to a net loss of $61,448 million for the same period in 2023, indicating a slight increase in losses[12] - Adjusted EBITDA for the nine months ended September 30, 2024, was $(53,088) million, compared to $(55,980) million for the same period in 2023, showing an improvement in performance[15] Assets and Liabilities - Total current assets decreased from $118,098 million as of December 31, 2023, to $68,554 million as of September 30, 2024, representing a decline of approximately 42%[11] - Total liabilities increased from $39,875 million as of December 31, 2023, to $47,496 million as of September 30, 2024, reflecting an increase of approximately 19%[11] - Total stockholders' equity decreased from $103,357 million as of December 31, 2023, to $49,201 million as of September 30, 2024, a decline of approximately 52%[11] Cash Flow - Cash and cash equivalents decreased from $20,165 million to $12,822 million, a decline of about 36%[11] - Net cash used in operating activities for the nine months ended September 30, 2024, was $(51,743) million, compared to $(38,751) million for the same period in 2023, indicating a worsening cash flow situation[12] - Cash flows from investing activities provided $43,886 million for the nine months ended September 30, 2024, compared to $15,999 million for the same period in 2023, indicating a substantial increase in cash inflow from investments[12] Strategic Developments - The company executed a credit agreement with the Export-Import Bank of the United States for a $20 million tranche of a $50 million funding package to expand manufacturing capacity[2] - The second Energy Center for Portland General Electric has been built and is currently undergoing testing, with final hand-off expected in Q4 2024[2] - The company completed a 1-for-15 reverse stock split on August 23, 2024, to comply with NYSE listing requirements[2] - The company continues to focus on cost reduction activities as it scales operations and aims for profitability[1]