Redwire (RDW) - 2024 Q1 - Quarterly Results

Financial Performance - Revenues for Q1 2024 increased by 52.4% year-over-year to $87.8 million, compared to $57.6 million in Q1 2023[5] - Net Loss for Q1 2024 was $(8.1) million, an increase of $0.8 million from $(7.3) million in Q1 2023[5] - Adjusted EBITDA for Q1 2024 remained flat at $4.3 million, consistent with Q1 2023[5] - Revenues for Q1 2024 were $87,792,000, a 52.4% increase from $57,605,000 in Q1 2023[28] - Gross margin for Q1 2024 was $14,825,000, compared to $14,217,000 in Q1 2023, reflecting a slight improvement[28] - Net loss for Q1 2024 was $8,096,000, compared to a net loss of $7,258,000 in Q1 2023[28] Cash Flow and Liquidity - Net cash provided by operating activities improved by $16.8 million to $2.8 million in Q1 2024, compared to $(14.0) million in Q1 2023[5] - Free Cash Flow for Q1 2024 improved by $15.2 million to $0.4 million, compared to $(14.8) million in Q1 2023[6] - Cash and cash equivalents increased to $32,569,000 as of March 31, 2024, from $30,278,000 at the end of 2023[24] - Total current assets decreased to $99,915,000 as of March 31, 2024, down from $109,313,000 at the end of 2023[24] - Total liabilities decreased to $213,006,000 as of March 31, 2024, from $218,444,000 at the end of 2023[24] - Free cash flow for Q1 2024 was $397,000, a significant improvement from a negative $14,847,000 in Q1 2023[38] Backlog and Contracts - The Book-to-Bill ratio was 1.11 for the last twelve months as of Q1 2024, down from 1.76 in Q1 2023[5] - Book-to-bill ratio for Q1 2024 was 0.40, down from 0.51 in Q1 2023, indicating a decline in contracts awarded relative to revenues[40] - The organic backlog as of March 31, 2024, was $317.964 million, a decrease from $372.790 million as of December 31, 2023[46] - Contracted backlog as of March 31, 2024, was $317.964 million, reflecting the estimated dollar value of firm funded executed contracts for which work has not been performed[46] - Contracted backlog from foreign operations in Luxembourg and Belgium was $96.6 million and $106.0 million as of March 31, 2024, and December 31, 2023, respectively[50] - The company expects all amounts reflected in contracted backlog to ultimately be fully funded[50] Research and Development - Research and development expenses increased to $1,040,000 in Q1 2024, compared to $388,000 in Q1 2023, indicating a focus on innovation[28] - Redwire achieved positive net cash flow from operations and Free Cash Flow while investing record amounts in R&D and CapEx in Q1 2024[7] Shareholder Equity - Total shareholders' equity (deficit) was $(49,792,000) as of March 31, 2024, compared to $(43,509,000) at the end of 2023, reflecting a worsening equity position[26] Company Outlook - The company forecasts full-year revenues of $300 million for 2024[7] - The pipeline increased to approximately $6.3 billion, with $610.0 million in bids submitted year-to-date through March 31, 2024[2] - The company views growth in backlog as a key measure of business growth[46] - The company reported no acquisition-related backlog activity as all acquired entities have completed four fiscal quarters post-acquisition[49]