Ideal Power Reports Second Quarter 2024 Financial Results
"Our B-TRAN™ commercial progress continued with several significant developments over the last three months. We are now collaborating with a third global automaker and achieved two more of our 2024 milestones with the addition of a second global distributor and the qualification of a second high volume production fab. We are pleased to see multiple large companies in our test and evaluation program advancing to place initial orders," said
Key Second Quarter and Recent Business Highlights
Execution to our B-TRAN™ commercial roadmap continues, including:
- Collaborating with a third global automaker. This auto OEM is evaluating B-TRAN™-enabled contactors as a potential replacement for electromechanical contactors in its electric vehicles.
- Finalizing a distribution agreement with a second global distributor with particular strength in
Asia . This distributor is already placing orders with us. - Qualified a second wafer fabrication supplier with high-volume production capability. With the addition of this European partner, we are dual sourced for wafer fabrication in different parts of the world with ample capacity to support anticipated customer demand over the next few years.
- Secured orders for B-TRAN™ devices and circuit breaker evaluation boards from a global leader in power semiconductor and power electronics solutions in connection with its launch of a multi-year DC power distribution system program. This global leader presents multiple opportunities for us as it addresses several of our target industrial markets: solid-state circuit breakers ("SSCB") for industrial facilities and electric utility grid infrastructure and renewable energy.
- Secured an order for B-TRAN™ devices for evaluation in solar inverter applications from a top 10 global provider of power conversion solutions to the solar industry. This customer is a previously announced participant in our B-TRAN™ test and evaluation program.
- Secured an order for SymCool® power modules and drivers from a Forbes Global 500 power management market leader initially in our B-TRAN™ test and evaluation program. This global power management market leader is evaluating SymCool® against IGBT modules for use in SSCB applications.
- Added a global leader in circuit protection, industrial fuses and power conversion technology with over a billion in annual sales to the roster of the B-TRAN™ test and evaluation program.
- Based on the results of testing, we increased the current rating of our SymCool® power module from 160A to 200A, a 25% increase. In conjunction with a power module size reduction of approximately 50%, this results in a dramatic increase in power density for the SymCool® power module.
- B-TRAN™
Patent Estate : Currently at 87 issued B-TRAN™ patents with 40 of those issued outside ofthe United States and 45 pending B-TRAN™ patents. Current geographic coverage includesNorth America ,China ,Japan ,South Korea ,India , andEurope , with pending coverage inTaiwan .
Second Quarter 2024 Financial Results
- Cash used in operating and investing activities in the second quarter of 2024 was
$2.2 million compared to$1.8 million in the second quarter of 2023. - Cash used in operating and investing and activities in the first half of 2024 was
$4.2 million compared to$3.7 million in the first half of 2023. - Raised
$15.7 million in net proceeds from a public offering. Received net proceeds of$13.7 million upon initial closing inMarch 2024 followed by net proceeds of$2.0 million from the exercise of the underwriter's overallotment option inApril 2024 . - Cash and cash equivalents totaled
$20.1 million atJune 30, 2024 . - No long-term debt was outstanding at
June 30, 2024 . - Commercial revenue was
$1,331 in the second quarter of 2024. - Operating expenses in the second quarter of 2024 were
$2.9 million compared to$2.4 million in the second quarter of 2023 driven primarily by higher research and development spending. - Net loss in the second quarter of 2024 was
$2.7 million compared to$2.3 million in the second quarter of 2023.
2024 Milestones
For 2024, the Company has set or achieved the following milestones:
√ Successfully completed Phase II of development program with Stellantis
• Secure Phase III of development program with Stellantis
√ Complete qualification of second high-volume production fab
• Convert large OEMs in our test and evaluation program to design wins/custom development agreements
√ Add distributors for SymCool® products
• Initial sales of SymCool® IQ intelligent power module
• Begin third-party automotive qualification testing
Conference Call and Webcast: Second Quarter 2024
To access the call, please use the following information:
Date:
Time:
Toll-free dial-in number: 877-545-0523
International dial-in number: 973-528-0016
Participant Access Code: 861514
Please call the conference telephone number 5-10 minutes prior to the start time to ensure a proper connection. An operator will register your name and organization.
The conference call will be webcast live and available for replay on the Company's investor relations website under the Events tab HERE.
An audio replay of the conference call will be available one hour after the live call until Midnight on
Toll Free Replay Number: 877-481-4010
International Replay Number: 919-882-2331
Replay ID: 50982
LD Micro 17th Annual
The live, interactive webcast at the
About
Safe Harbor Statement
All statements in this release that are not based on historical fact are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 and the provisions of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. While
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Balance Sheets |
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(unaudited) |
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ASSETS |
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Current assets: |
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Cash and cash equivalents |
$ |
20,064,897 |
$ |
8,474,835 |
Accounts receivable, net |
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1,331 |
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70,000 |
Inventory |
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79,662 |
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81,450 |
Prepayments and other current assets |
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317,190 |
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482,890 |
Total current assets |
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20,463,080 |
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9,109,175 |
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Property and equipment, net |
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351,533 |
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359,225 |
Intangible assets, net |
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2,586,359 |
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2,580,066 |
Right of use asset |
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- |
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186,570 |
Other assets |
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18,727 |
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13,034 |
Total assets |
$ |
23,419,699 |
$ |
12,248,070 |
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LIABILITIES AND STOCKHOLDERS' EQUITY |
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Current liabilities: |
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Accounts payable |
$ |
230,634 |
$ |
405,098 |
Accrued expenses |
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649,186 |
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455,112 |
Current portion of lease liability |
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- |
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70,683 |
Total current liabilities |
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879,820 |
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930,893 |
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Long-term lease liability |
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- |
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132,304 |
Other long-term liabilities |
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1,066,274 |
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1,125,173 |
Total liabilities |
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1,946,094 |
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2,188,370 |
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Stockholders' equity: |
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Common stock |
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7,695 |
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5,998 |
Additional paid-in capital |
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123,660,261 |
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107,116,362 |
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(13,210) |
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(13,210) |
Accumulated deficit |
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(102,181,141) |
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(97,049,450) |
Total stockholders' equity |
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21,473,605 |
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10,059,700 |
Total liabilities and stockholders' equity |
$ |
23,419,699 |
$ |
12,248,070 |
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Statements of Operations |
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(unaudited) |
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Three Months Ended |
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Six Months Ended |
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2024 |
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2023 |
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2024 |
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2023 |
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Commercial revenue |
$ |
1,331 |
$ |
98,443 |
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$ |
80,070 |
$ |
98,443 |
Grant revenue |
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- |
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36,724 |
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- |
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37,388 |
Total revenue |
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1,331 |
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135,167 |
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80,070 |
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135,831 |
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Cost of commercial revenue |
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17,474 |
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74,013 |
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85,972 |
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74,013 |
Cost of grant revenue |
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- |
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36,724 |
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- |
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37,388 |
Total cost of revenue |
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17,474 |
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110,737 |
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85,972 |
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111,401 |
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Gross profit |
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(16,143) |
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24,430 |
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(5,902) |
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24,430 |
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Operating expenses: |
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Research and development |
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1,562,747 |
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1,206,688 |
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2,929,640 |
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2,646,716 |
General and administrative |
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947,384 |
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933,993 |
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1,801,072 |
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1,828,926 |
Sales and marketing |
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359,739 |
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271,900 |
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676,350 |
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576,226 |
Total operating expenses |
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2,869,870 |
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2,412,581 |
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5,407,062 |
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5,051,868 |
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Loss from operations |
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(2,886,013) |
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(2,388,151) |
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(5,412,964) |
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(5,027,438) |
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Interest income, net |
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223,948 |
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108,345 |
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281,273 |
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219,647 |
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Net loss |
$ |
(2,662,065) |
$ |
(2,279,806) |
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$ |
(5,131,691) |
$ |
(4,807,791) |
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Net loss per share – basic and fully diluted |
$ |
(0.31) |
$ |
(0.37) |
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$ |
(0.69) |
$ |
(0.78) |
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Weighted average number of shares outstanding – |
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8,514,581 |
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6,185,397 |
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7,417,260 |
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6,181,972 |
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Statements of Cash Flows |
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(unaudited) |
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Six Months Ended |
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2024 |
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2023 |
Cash flows from operating activities: |
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Net Loss |
$ |
(5,131,691) |
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(4,807,791) |
Adjustments to reconcile net loss to net cash used in operating activities: |
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Depreciation and amortization |
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163,871 |
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121,423 |
Amortization of right of use asset |
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34,948 |
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30,590 |
Write-off of capitalized patents |
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62,073 |
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- |
Write-off of fixed assets |
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14,459 |
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- |
Gain on lease termination |
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(15,319) |
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- |
Stock-based compensation |
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745,600 |
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1,233,207 |
Decrease (increase) in operating assets: |
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Accounts receivable |
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68,669 |
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(137,388) |
Inventory |
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1,788 |
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- |
Prepaid expenses and other current assets |
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160,007 |
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(49,065) |
Increase (decrease) in operating liabilities: |
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Accounts payable |
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(174,464) |
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(18,493) |
Accrued expenses and other liabilities |
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135,175 |
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250,414 |
Lease liability |
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(36,046) |
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(31,389) |
Net cash used in operating activities |
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(3,970,930) |
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(3,408,492) |
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Cash flows from investing activities: |
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Purchase of property and equipment |
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(64,036) |
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(114,025) |
Acquisition of intangible assets |
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(174,968) |
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(139,838) |
Net cash used in investing activities |
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(239,004) |
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(253,863) |
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Cash flows from financing activities: |
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Net proceeds from issuance of common stock and pre-funded warrants |
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15,724,818 |
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- |
Exercise of options |
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86,757 |
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- |
Payment of taxes related to restricted stock unit vesting |
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(11,579) |
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- |
Net cash provided by financing activities |
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15,799,996 |
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- |
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Net Increase (decrease) in cash and cash equivalents |
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11,590,062 |
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(3,662,355) |
Cash and cash equivalents at beginning of period |
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8,474,835 |
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16,345,623 |
Cash and cash equivalents at end of the period |
$ |
20,064,897 |
$ |
12,683,268 |
Ideal Power Investor Relations Contact
Darrow Associates Investor Relations
jchristensen@darrowir.com
703-297-6917
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