Revenue Performance - For the three months ended September 30, 2023, revenue increased by 143% to $19.6 million compared to $8.1 million in the same period of 2022[187]. - For the nine months ended September 30, 2023, total revenue was $42.2 million, representing a 64% increase from $25.8 million in the same period of 2022[190]. - Total revenue increased by $11.5 million, or 143%, in Q3 2023 compared to Q3 2022, driven by engineering services and licensing revenue[215]. - Total revenue for the nine months ended September 30, 2023, increased by $16.4 million, or 64%, compared to the same period in 2022[222]. Net Loss and Financial Performance - The net loss for the three months ended September 30, 2023, was $(25.3) million, a 14% increase from $(22.3) million in the prior year[178]. - Loss from operations for Q3 2023 was $24.6 million, compared to $20.6 million in Q3 2022, reflecting a 19% increase in losses[214]. - Net loss for Q3 2023 was $25.3 million, compared to $22.3 million in Q3 2022, representing a 14% increase in losses[214]. - Comprehensive loss for Q3 2023 was $26.3 million, compared to $22.7 million in Q3 2022, indicating a 16% increase in losses[214]. - The accumulated deficit as of September 30, 2023, reached $(813.2) million, up from $(456.2) million as of December 31, 2022[178]. Cost of Revenue and Expenses - The cost of revenues (excluding depreciation) for the three months ended September 30, 2023, was $(14.4) million, a 141% increase from $(6.0) million in the same period of 2022[187]. - Cost of revenue rose by $8.4 million, or 141%, in Q3 2023 compared to Q3 2022, primarily due to higher revenue performance and inflation in costs[216]. - Cost of revenue for the nine months ended September 30, 2023, increased by $13.8 million, or 72%, compared to the same period in 2022[223]. - R&D expenses increased by $2.4 million, or 17%, in Q3 2023 compared to Q3 2022, mainly due to stock compensation and personnel costs[217]. - R&D expenses increased by $12.0 million, or 30%, for the nine months ended September 30, 2023, compared to the same period in 2022[224]. - SG&A expenses increased by $4.6 million, or 63%, in Q3 2023 compared to Q3 2022, driven by external services and stock compensation[218]. - SG&A expenses rose by $21.6 million, or 111%, for the nine months ended September 30, 2023, primarily due to one-time professional services fees related to the Business Combination[225]. Cash Flow and Financing - Cash and cash equivalents increased by $8.4 million, or 10%, as of September 30, 2023, compared to December 31, 2022, primarily due to the Business Combination and PIPE financing[228]. - Net cash used in operating activities was $(81.6) million for the nine months ended September 30, 2023, driven by a net loss of $(115.4) million[244]. - Net cash used in investing activities was $(116.6) million for the nine months ended September 30, 2023, primarily due to investments in debt securities and the Forward Purchase Agreement[246]. - Net cash provided by financing activities was $207.4 million for the nine months ended September 30, 2023, driven by proceeds from the Business Combination and PIPE financing[248]. - The company believes existing cash and cash equivalents will be sufficient to fund operations for at least the next 12 months[241]. Company Developments and Future Outlook - The company expects to drive higher revenues through engineering services and sales of equipment packages on key projects, alongside growth in its CarbonSmart business[179]. - The company has established five commercial waste gas-to-ethanol plants since 2018, with ongoing developments in various countries[177]. - The company will lose its Emerging Growth Company (EGC) status as of December 31, 2023, and will become a large accelerated filer[264]. - The company has not issued any dividends and does not anticipate issuing dividends on its common stock, estimating the dividend yield to be zero[263]. Other Financial Information - Interest income, net increased by $1.2 million in Q3 2023 compared to Q3 2022, attributed to higher cash balances and amortization of discounts on securities[219]. - Interest income, net increased by $3.2 million for the nine months ended September 30, 2023, attributed to higher cash balances post-Business Combination[226]. - Other expenses, net increased by $(28.8) million for the nine months ended September 30, 2023, mainly due to net losses on changes in the fair value of financial instruments[227]. - Held-to-maturity security investments totaled $44.8 million as of September 30, 2023, with no such investments as of December 31, 2022[229]. - The fair value of the prepaid forward contract derivative was estimated using a Monte-Carlo Simulation, with the future stock price simulated under a Geometric Brownian Motion framework[252]. - As of September 30, 2023, the fair value of the Fixed Maturity Consideration was estimated within the same Monte-Carlo simulation as the prepaid forward contract[253]. - Foreign currency translation adjustments were $(1.00) million for the three months ended September 30, 2023, compared to $(0.38) million for the same period in 2022[273]. - Inflation had a material effect on the company's business, particularly impacting costs of revenues[276]. - The company primarily invests in short-term securities, limiting risk exposure to interest rate fluctuations[272]. - The company has accounted for stock-based compensation in accordance with ASC 718, with expenses recognized based on the grant date fair value[254].
AMCI ACQUISITION(AMCI) - 2023 Q3 - Quarterly Report