ZOOZ Power Ltd.(ZOOZ) - 2024 Q4 - Annual Report

Revenue and Financial Performance - Revenue for the year ended December 31, 2024, was $1,041 thousand, an increase from $764 thousand in 2023[565] - Gross loss for 2024 was $486 thousand, improved from a gross loss of $1,105 thousand in 2023[565] - Net loss for the year ended December 31, 2024, was $10,990 thousand, compared to a net loss of $11,755 thousand in 2023[565] - ZOOZ incurred operating losses of approximately $10.9 million during the year ended December 31, 2024, with an accumulated deficit of $58.2 million[601] Expenses - Cost of revenue for 2024 was $1,527 thousand, down from $1,869 thousand in 2023[567] - Total operating expenses decreased to $10,050 thousand in 2024 from $11,106 thousand in 2023[569] - Research and development expenses for 2024 were $5,062 thousand, a slight decrease from $5,215 thousand in 2023[571] - Sales and marketing expenses significantly decreased to $1,324 thousand in 2024 from $3,041 thousand in 2023[579] - General and administrative expenses increased to $3,664 thousand in 2024 from $2,850 thousand in 2023[585] Cash Flow and Funding - As of December 31, 2024, ZOOZ had cash and cash equivalents of approximately $7,532 thousand, an increase from $6,672 thousand as of December 31, 2023[594] - The net cash used in operating activities decreased by approximately $2,304 thousand from $12,232 thousand in 2023 to $9,928 thousand in 2024[607] - ZOOZ's cash flows provided by financing activities increased by approximately $10,727 thousand for the year ended December 31, 2024, attributed to proceeds from a Business Combination[610] - ZOOZ received a total of approximately $2.2 million in grants until December 31, 2024, from various governmental institutions[595] Future Outlook and Concerns - The company expects its losses and cash flow used in operations to be higher in future periods due to increased sales and marketing activities[603] - ZOOZ has substantial doubt about its ability to continue as a going concern without obtaining additional funding[602] Corporate Structure and Governance - ZOOZ is classified as an "emerging growth company," allowing it to take advantage of certain exemptions from reporting requirements[639] - ZOOZ will remain an emerging growth company until its total annual gross revenue exceeds $1.235 billion or it meets the SEC's definition of a large accelerated filer[642] - ZOOZ is organized under Israeli law and reports as a foreign private issuer, exempt from certain provisions of the Exchange Act applicable to U.S. domestic public companies[643] - ZOOZ follows Israeli corporate governance practices instead of Nasdaq corporate governance rules, which may differ significantly[645] Shareholder and Equity Information - ZOOZ's Recapitalization involved a reverse share split with a conversion ratio of 11.43720665, effective March 25, 2024[627] - All ZOOZ ordinary shares, options, and warrants have been retroactively adjusted in the financial statements to reflect the Recapitalization[628] - ZOOZ's share-based compensation is accounted for under ASC 718, with expenses recognized over the requisite service period using an accelerated method[629] - As of April 4, 2024, certain share-based awards were classified as equity, reflecting changes in fair value recognized through compensation expense[632] Lease and Asset Management - ZOOZ's operating leases are classified as operating leases, with right-of-use assets and liabilities recognized based on the present value of lease payments[634] Reporting and Disclosure - The company intends to publish its results quarterly through press releases and file an annual report on Form 20-F within four months of the fiscal year-end[643]