Revenue and Income - Revenue for the three months ended March 31, 2022, was $51,844, a decrease of $406,296, or 89%, compared to $458,140 in the same period in 2021[83] - The company recognized an increase in revenues from its subscription-based pricing program by $13,425[83] - Net other income decreased by $724,386, or 90%, to $76,550 in Q1 2022, compared to $800,936 in Q1 2021, mainly due to an unrealized gain of $802,285 in 2021[96] - Net loss applicable to common stockholders for Q1 2022 was $2,221,615, an increase of $1,510,048 from $711,567 in Q1 2021, driven by an increased loss from operations of $832,350 and decreased other income[97] Expenses - Cost of revenue for the same period was $40,091, down $88,240, or 69%, from $128,331 in 2021, primarily due to fewer unit sales[84] - Total operating expenses increased to $2,295,698, an increase of $514,294, or 29%, compared to $1,781,404 in the same period in 2021[85] - Salary and benefits costs rose to $1,292,010, an increase of $444,839, or 53%, compared to $847,171 in 2021[86] - Stock-based compensation increased to $170,976, up $53,499, or 46%, from $117,477 in the same period in 2021[87] - Research and development expenses decreased to $143,418, down $52,922, or 30%, compared to $196,340 in 2021[88] - Legal and professional fees increased to $211,416, an increase of $34,569, or 20%, compared to $176,847 in 2021[92] - Depreciation and amortization expense rose to $31,584, an increase of $8,553, or 37%, compared to $23,031 in 2021[94] - Other operating expenses increased to $87,787 for the three months ended March 31, 2022, compared to $86,356 for the same period in 2021, primarily due to a $1,701 increase in insurance policy premiums[95] Cash Flow and Capital - Cash and working capital as of March 31, 2022, were $9,277,929 and $9,588,858, respectively, down from $11,447,047 and $11,702,358 as of December 31, 2021[98] - Net cash used in operating activities increased to $2,027,019 in Q1 2022, a 63% increase from $1,240,586 in Q1 2021, due to a rise in net loss and decreases in accounts payable and accrued expenses[107] - Net cash used by investing activities rose to $142,099 in Q1 2022 from $21,969 in Q1 2021, attributed to reclassified leased PrintRite3D units and increased patent costs[108] - The company did not raise any capital or have warrant exercises in Q1 2022, contrasting with $14,404,942 in cash provided by financing activities in Q1 2021[109] - The company expects to sustain operations and commercialization efforts in 2022 using cash reserves and revenues from PrintRite3D technology sales[103] - Future capital requirements will depend on various factors, including revenue from existing and future products and costs associated with business expansion[106] - The company has no lines of credit or other financing arrangements, which may impact its ability to fund liquidity and working capital needs[111] Business Model - The company introduced a subscription model reducing initial costs from over $100,000 to approximately $3,000-$4,000 per month[79]
Sigma Additive Solutions(SASI) - 2022 Q1 - Quarterly Report