Velo3D Announces Fourth Quarter and Fiscal Year 2023 Financial Results
Successfully Executing on Strategic Realignment Priorities
Strategic Review Remains Ongoing – Board of Directors in Discussions with Multiple Parties to Maximize Stockholder Value
-
Bookings recovery
-
As of
March 26, 2024 , total bookings of$15 million sincemid-December 2023 ; >50% of orders from existing customers
-
As of
-
Successfully reduced quarterly operating expenses
- Down >15% sequentially (excluding one-time charges)
- Expect >30% reduction Q3 2023 through end of Q1 2024 in non-GAAP operating expenses
- Further expanded installed base - added 12 new customers in 2023 including 3 new defense customers
- Continued free cash flow progress – 35% year over year improvement, well positioned to achieve cash flow breakeven in the second half of FY 2024
“2023 was a transformational year for the company as we re-aligned our strategic and business priorities from driving revenue growth to ensuring customer success, improving system reliability and materially reducing our cost structure,” said
Key highlights related to the company’s strategic initiatives:
- Ensuring customer success / system reliability – reduced field issue resolution times by more than 45% since Q3 2023 and improved system uptime by 10%
-
Increased revenue 1H24 visibility through bookings growth – as of
March 26, 2024 , booked >$15 million in new orders since mid-December, more than 50% of orders from existing customers - Improved Sapphire printer quality – reduced system installation time by 40% over the last 6 months
- Improving cash flow – successfully reduced sequential operating expenses by >15%, expect sequentially quarterly improvement in free cash for FY 2024
“The entire
($ in Millions, except percentages and per-share data) |
4th Quarter 2023 |
3rd Quarter 2023 |
4th Quarter 2022 |
FY2023 |
FY2022 |
GAAP revenue |
|
|
|
|
|
GAAP gross margin |
(>100)% |
6.3% |
5.9% |
(33.7)% |
3.6% |
GAAP net income (loss)1 |
|
( |
|
|
|
GAAP net income (loss) per diluted share |
|
( |
|
|
|
|
|
|
|
|
|
Non-GAAP net loss2 |
|
( |
( |
|
( |
Non-GAAP net loss per diluted share2 |
|
( |
( |
|
( |
Cash and Investments |
|
|
|
|
|
Information about Velo3D’s use of non-GAAP information, including a reconciliation to
-
Reconciliations to
U.S. generally accepted accounting principles (GAAP) financial measures are presented below under “Non-GAAP Financial Information”. -
Non-GAAP net loss and non-GAAP net loss per diluted share exclude stock-based compensation expense, fair value adjustments for the Company’s warrants, contingent earnout and debt derivative liabilities, and loss on extinguishment of debt in the three months ended
December 31, 2023 ,September 30, 2023 andDecember 31, 2022 and years endedDecember 31, 2022 and 2023.
Summary of Fourth Quarter 2023 results
Revenue for the fourth quarter was
Gross margin for the fourth quarter was a negative 1,857%, primarily driven by reduced system volume, inventory valuation charges and costs associated with the company’s re-alignment initiatives. The company expects positive gross margin in the first quarter given improvements in its system balance of material costs, benefits from its new long term supply contracts and overall improvements in operating and manufacturing efficiency.
Operating expenses for the fourth quarter were
Net loss for the quarter was
The company ended the quarter with
Guidance
The company expects sequential improvement in revenue, gross margin and operating expenses on a quarterly basis in 2024. The company also believes the continued execution on its realignment strategy will enable it to reach its goal of free cash flow breakeven in the second half of 2024.
For the fiscal year 2024, the company’s guidance is as follows:
-
Revenue in the range of
$80 million to$95 million - Gross margin in the range of 20% to 30% with fourth quarter 2024 gross margin of approximately 30%, excluding non-recurring charges related to its cost reduction initiatives
The company will host a conference call for investors this afternoon to discuss its fourth quarter 2023 financial results at
About
VELO,
Amounts herein pertaining to
Forward-Looking Statements:
This press release includes “forward-looking statements” within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1996. The company’s actual results may differ from its expectations, estimates and projections and consequently, you should not rely on these forward-looking statements as predictions of future events. Words such as “expect”, “estimate”, “project”, “budget”, “forecast”, “anticipate”, “intend”, “plan”, “may”, “will”, “could”, “should”, “believes”, “predicts”, “potential”, “continue”, and similar expressions are intended to identify such forward-looking statements. These forward-looking statements include, without limitation, the company’s guidance for the fourth quarter and full year 2023 (including the company’s estimates for revenue, and gross margin), the company's expectations regarding its ability to reach free cash flow break even by the second quarter of 2024, the company’s expectations regarding its ability to achieve profitability by 2024, the company's strategic realignment and initiatives (including the company's plans and targets for non-GAAP operating expense reduction and bookings growth), the company’s expectations regarding its liquidity and capital requirements, and the company’s other expectations, hopes, beliefs, intentions or strategies for the future. These forward-looking statements involve significant risks and uncertainties that could cause the actual results to differ materially from the expected results. You should carefully consider the risks and uncertainties described in the “Risk Factors” section of the company’s Annual Report on Form 10-K for the fiscal year ended
Non-GAAP Financial Information
The company uses non-GAAP financial measures to help it make strategic decisions, establish budgets and operational goals for managing its business, analyze its financial results and evaluate its performance. The company also believes that the presentation of these non-GAAP financial measures in this release provides an additional tool for investors to use in comparing the company’s core business and results of operations over multiple periods. However, the non-GAAP financial measures presented in this release may not be comparable to similarly titled measures reported by other companies due to differences in the way that these measures are calculated. The non-GAAP financial measures presented in this release should not be considered as the sole measure of the company’s performance and should not be considered in isolation from, or as a substitute for, comparable financial measures calculated in accordance with generally accepted accounting principles accepted in
The information in the table below sets forth the non-GAAP financial measures that the company uses in this release. Because of the limitations associated with these non-GAAP financial measures, “Non-GAAP Net Loss”, “EBITDA”, “Adjusted EBITDA”, “Adjusted EBITDA excluding merger costs and loss on convertible note extinguishment” and “Non-GAAP Operating Expenses”, should not be considered in isolation or as a substitute for performance measures calculated in accordance with GAAP. The company compensates for these limitations by relying primarily on its GAAP results and using Non-GAAP Net Loss, EBITDA, Adjusted EBITDA, and Non-GAAP Operating Expenses on a supplemental basis. You should review the reconciliation of the non-GAAP financial measures below and not rely on any single financial measure to evaluate the company's business.
The following tables reconcile Net income (loss) to Non-GAAP Net Loss, EBITDA, and Adjusted EBITDA and Total Operating Expenses to Non-GAAP Operating Expenses during the three months ended
|
|||||||||||||||||||||||||||||||||||
NON-GAAP Net Loss Reconciliation | |||||||||||||||||||||||||||||||||||
(Unaudited) | |||||||||||||||||||||||||||||||||||
Three months ended | Year ended | Three months ended | |||||||||||||||||||||||||||||||||
|
|
|
|
|
|
||||||||||||||||||||||||||||||
(In thousands, except for percentages) | |||||||||||||||||||||||||||||||||||
% of Rev | % of Rev | % of Rev | % of Rev | % of Rev | % of Rev | ||||||||||||||||||||||||||||||
Revenue |
$ |
1,806 |
|
100.0 |
% |
$ |
29,780 |
|
100.0 |
% |
$ |
77,562 |
|
100.0 |
% |
$ |
80,757 |
|
100.0 |
% |
$ |
23,808 |
|
100.0 |
% |
$ |
19,115 |
|
100.0 |
% |
|||||
Gross Profit |
|
(33,541 |
) |
(1857.2 |
)% |
|
1,768 |
|
5.9 |
% |
|
(26,148 |
) |
(33.7 |
)% |
|
2,894 |
|
3.6 |
% |
|
1,488 |
|
6.3 |
% |
|
(121 |
) |
(0.6 |
)% |
|||||
Net Income (Loss) |
$ |
(58,225 |
) |
(3224.0 |
)% |
$ |
22,607 |
|
75.9 |
% |
$ |
(135,020 |
) |
(174.1 |
)% |
$ |
10,020 |
|
12.4 |
% |
$ |
(17,396 |
) |
(73.1 |
)% |
$ |
(75,195 |
) |
(393.4 |
)% |
|||||
Stock-based compensation |
|
5,445 |
|
301.5 |
% |
|
5,058 |
|
17.0 |
% |
|
24,931 |
|
32.1 |
% |
|
20,148 |
|
24.9 |
% |
|
6,716 |
|
28.2 |
% |
|
5,157 |
|
27.0 |
% |
|||||
(Gain) loss on fair value of warrants |
|
(2,473 |
) |
(136.9 |
)% |
|
(8,090 |
) |
(27.2 |
)% |
(2,338 |
) |
(3.0 |
)% |
|
(19,129 |
) |
(23.7 |
)% |
|
(1,587 |
) |
(6.7 |
)% |
|
6,612 |
|
34.6 |
% |
||||||
(Gain) loss on fair value of contingent earnout liabilities |
|
(12,958 |
) |
(717.5 |
)% |
|
(35,963 |
) |
(120.8 |
)% |
|
(15,958 |
) |
(20.6 |
)% |
|
(94,073 |
) |
(116.5 |
)% |
|
(10,810 |
) |
(45.4 |
)% |
|
40,885 |
|
213.9 |
% |
|||||
(Gain) loss on fair value of debt derivative |
|
(12,133 |
) |
(671.8 |
)% |
|
— |
|
— |
% |
|
(8,485 |
) |
(10.9 |
)% |
|
— |
|
— |
% |
|
3,648 |
|
15.3 |
% |
|
— |
|
— |
% |
|||||
Loss on extinguishment of debt |
|
19,197 |
|
1063.0 |
% |
|
— |
|
— |
% |
|
19,450 |
|
25.1 |
% |
|
— |
|
— |
% |
|
253 |
|
1.1 |
% |
|
— |
|
— |
% |
|||||
Non-GAAP Net Loss |
$ |
(61,147 |
) |
(3385.8 |
)% |
$ |
(16,388 |
) |
(55.0 |
)% |
$ |
(117,420 |
) |
(151.4 |
)% |
$ |
(83,034 |
) |
(102.8 |
)% |
$ |
(19,176 |
) |
(80.5 |
)% |
$ |
(22,541 |
) |
(117.9 |
)% |
|||||
|
|||||||||||||||||||||||||||||||||||
NON-GAAP Adjusted EBITDA Reconciliation | |||||||||||||||||||||||||||||||||||
(Unaudited) | |||||||||||||||||||||||||||||||||||
Three months ended | Year ended | Three months ended | |||||||||||||||||||||||||||||||||
|
|
|
|
|
|
||||||||||||||||||||||||||||||
(In thousands, except for percentages) | |||||||||||||||||||||||||||||||||||
% of Rev | % of Rev | % of Rev | % of Rev | % of Rev | % of Rev | ||||||||||||||||||||||||||||||
Revenue |
$ |
1,806 |
|
100.0 |
% |
$ |
29,780 |
|
100.0 |
% |
$ |
77,562 |
|
100.0 |
% |
$ |
80,757 |
|
100.0 |
% |
$ |
23,808 |
|
100.0 |
% |
$ |
19,115 |
|
100.0 |
% |
|||||
Net Income (Loss) |
|
(58,225 |
) |
(3224.0 |
)% |
|
22,607 |
|
75.9 |
% |
|
(135,020 |
) |
(174.1 |
)% |
|
10,020 |
|
12.4 |
% |
|
(17,396 |
) |
(73.1 |
)% |
(75,195 |
) |
(393.4 |
)% |
||||||
Interest expense |
|
8,051 |
|
445.8 |
% |
|
10 |
|
0.0 |
% |
|
9,722 |
|
12.5 |
% |
|
372 |
|
0.5 |
% |
|
1,107 |
|
4.6 |
% |
|
129 |
|
0.7 |
% |
|||||
Tax expense |
|
— |
|
— |
% |
|
— |
|
— |
% |
|
— |
|
— |
% |
|
— |
|
— |
% |
— |
|
— |
% |
|
— |
|
— |
% |
||||||
Depreciation and amortization |
|
1,641 |
|
90.9 |
% |
|
1,962 |
|
6.6 |
% |
|
6,157 |
|
7.9 |
% |
|
5,290 |
|
6.6 |
% |
|
1,490 |
|
6.3 |
% |
|
1,220 |
|
6.4 |
% |
|||||
EBITDA |
$ |
(48,533 |
) |
(2687.3 |
)% |
$ |
24,579 |
|
82.5 |
% |
$ |
(119,141 |
) |
(153.6 |
)% |
$ |
15,682 |
|
19.4 |
% |
$ |
(14,799 |
) |
(62.2 |
)% |
$ |
(73,846 |
) |
(386.3 |
)% |
|||||
Stock-based compensation |
|
5,445 |
|
301.5 |
% |
|
5,058 |
|
17.0 |
% |
|
24,931 |
|
32.1 |
% |
|
20,148 |
|
24.9 |
% |
|
6,716 |
|
28.2 |
% |
|
5,157 |
|
27.0 |
% |
|||||
(Gain) loss on fair value of warrants |
|
(2,473 |
) |
(136.9 |
)% |
|
(8,090 |
) |
(27.2 |
)% |
|
(2,338 |
) |
(3.0 |
)% |
|
(19,129 |
) |
(23.7 |
)% |
|
(1,587 |
) |
(6.7 |
)% |
|
6,612 |
|
34.6 |
% |
|||||
(Gain) loss on fair value of contingent earnout liabilities |
|
(12,958 |
) |
(717.5 |
)% |
|
(35,963 |
) |
(120.8 |
)% |
|
(15,958 |
) |
(20.6 |
)% |
|
(94,073 |
) |
(116.5 |
)% |
|
(10,810 |
) |
(45.4 |
)% |
|
40,885 |
|
213.9 |
% |
|||||
(Gain) loss on fair value of debt derivative |
|
(12,133 |
) |
(671.8 |
)% |
|
— |
|
— |
% |
|
(8,485 |
) |
(10.9 |
)% |
|
— |
|
— |
% |
|
3,648 |
|
15.3 |
% |
|
— |
|
— |
% |
|||||
Loss on extinguishment of debt |
|
19,197 |
|
1063.0 |
% |
|
— |
|
— |
% |
|
19,450 |
|
25.1 |
% |
|
— |
|
— |
% |
|
253 |
|
1.1 |
% |
|
— |
|
— |
% |
|||||
Adjusted EBITDA |
$ |
(51,455 |
) |
(2849.1 |
)% |
$ |
(14,416 |
) |
(48.4 |
)% |
$ |
(101,541 |
) |
(130.9 |
)% |
$ |
(77,372 |
) |
(95.8 |
)% |
$ |
(16,579 |
) |
(69.6 |
)% |
$ |
(21,192 |
) |
(110.9 |
)% |
|||||
|
|||||||||||||||||||||||||||||||||||
NON-GAAP Adjusted Operating Expenses Reconciliation | |||||||||||||||||||||||||||||||||||
(Unaudited) | |||||||||||||||||||||||||||||||||||
Three months ended | Year ended | Three months ended | |||||||||||||||||||||||||||||||||
|
|
|
|
|
|
||||||||||||||||||||||||||||||
(In thousands, except for percentages) | |||||||||||||||||||||||||||||||||||
% of Rev | % of Rev | % of Rev | % of Rev | % of Rev | % of Rev | ||||||||||||||||||||||||||||||
Revenue |
$ |
1,806 |
|
100.0 |
% |
$ |
29,780 |
|
100.0 |
% |
$ |
77,562 |
|
100.0 |
% |
$ |
80,757 |
|
100.0 |
% |
$ |
23,808 |
|
100.0 |
% |
$ |
19,115 |
|
100.0 |
% |
|||||
Operating expenses | |||||||||||||||||||||||||||||||||||
Research and development |
|
9,211 |
|
510.0 |
% |
|
7,828 |
|
26.3 |
% |
|
42,031 |
|
54.2 |
% |
|
46,266 |
|
57.3 |
% |
|
9,819 |
|
41.2 |
% |
12,558 |
|
65.7 |
% |
||||||
Selling and marketing |
|
5,175 |
|
286.5 |
% |
|
6,043 |
|
20.3 |
% |
|
23,229 |
|
29.9 |
% |
|
23,907 |
|
29.6 |
% |
|
5,772 |
|
24.2 |
% |
|
5,632 |
|
29.5 |
% |
|||||
General and administrative |
|
10,158 |
|
562.5 |
% |
|
9,791 |
|
32.9 |
% |
|
41,727 |
|
53.8 |
% |
|
36,982 |
|
45.8 |
% |
|
11,118 |
|
46.7 |
% |
|
9,642 |
|
50.4 |
% |
|||||
Total operating expenses |
|
24,544 |
|
1359.0 |
% |
|
23,662 |
|
79.5 |
% |
|
106,987 |
|
137.9 |
% |
|
107,155 |
|
132.7 |
% |
|
26,709 |
|
112.2 |
% |
|
27,832 |
|
145.6 |
% |
|||||
Stock-based compensation in operating expenses |
|
3,387 |
|
187.5 |
% |
|
5,058 |
|
17.0 |
% |
|
22,873 |
|
29.5 |
% |
|
20,148 |
|
24.9 |
% |
|
6,716 |
|
28.2 |
% |
|
5,157 |
|
27.0 |
% |
|||||
Adjusted operating expenses |
$ |
21,157 |
|
1171.5 |
% |
$ |
18,604 |
|
62.5 |
% |
$ |
84,114 |
|
108.4 |
% |
$ |
87,007 |
|
107.7 |
% |
$ |
19,993 |
|
84.0 |
% |
$ |
22,675 |
|
118.6 |
% |
|
|||||||||||||||||||
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) | |||||||||||||||||||
(Unaudited) | |||||||||||||||||||
(in thousands, except share and per share data) | |||||||||||||||||||
Three months ended | Year ended | ||||||||||||||||||
|
|
|
|
|
|||||||||||||||
Revenue | |||||||||||||||||||
3D Printer |
$ |
(136 |
) |
$ |
21,428 |
|
$ |
27,010 |
|
$ |
69,057 |
|
$ |
71,346 |
|
||||
Recurring payment |
|
535 |
|
|
531 |
|
|
1,119 |
|
|
1,676 |
|
|
4,161 |
|
||||
Support services |
|
1,407 |
|
|
1,849 |
|
|
1,651 |
|
|
6,829 |
|
|
5,250 |
|
||||
Total Revenue |
|
1,806 |
|
|
23,808 |
|
|
29,780 |
|
|
77,562 |
|
|
80,757 |
|
||||
Cost of revenue | |||||||||||||||||||
Cost of 3D Printer |
|
32,473 |
|
|
20,273 |
|
|
25,567 |
|
|
94,448 |
|
|
68,253 |
|
||||
Cost of Recurring Payment |
|
398 |
|
|
111 |
|
|
553 |
|
|
1,291 |
|
|
2,612 |
|
||||
Cost of Support Services |
|
2,476 |
|
|
1,936 |
|
|
1,892 |
|
|
7,971 |
|
|
6,998 |
|
||||
Total cost of revenue |
|
35,347 |
|
|
22,320 |
|
|
28,012 |
|
|
103,710 |
|
|
77,863 |
|
||||
Gross profit |
|
(33,541 |
) |
1,488 |
|
|
1,768 |
|
|
(26,148 |
) |
2,894 |
|
||||||
Operating expenses | |||||||||||||||||||
Research and development |
|
9,211 |
|
|
9,819 |
|
|
7,828 |
|
|
42,031 |
|
|
46,266 |
|
||||
Selling and marketing |
|
5,175 |
|
|
5,772 |
|
|
6,043 |
|
|
23,229 |
|
|
23,907 |
|
||||
General and administrative |
|
10,158 |
|
|
11,118 |
|
|
9,791 |
|
|
41,727 |
|
|
36,982 |
|
||||
Total operating expenses |
|
24,544 |
|
|
26,709 |
|
|
23,662 |
|
|
106,987 |
|
|
107,155 |
|
||||
Loss from operations |
|
(58,085 |
) |
(25,221 |
) |
|
(21,894 |
) |
|
(133,135 |
) |
(104,261 |
) |
||||||
Interest expense |
|
(8,051 |
) |
|
(1,107 |
) |
|
(10 |
) |
|
(9,722 |
) |
|
(372 |
) |
||||
Gain on fair value of warrants |
|
2,476 |
|
|
1,587 |
|
|
8,090 |
|
|
2,338 |
|
|
19,129 |
|
||||
Gain on fair value of contingent earnout liabilities |
|
12,958 |
|
|
10,810 |
|
|
35,963 |
|
|
15,958 |
|
|
94,073 |
|
||||
Gain (loss) on fair value of debt derivatives |
|
12,133 |
|
|
(3,648 |
) |
|
— |
|
|
8,485 |
|
|
— |
|
||||
Loss on debt extinguishment |
|
(19,197 |
) |
|
(253 |
) |
|
— |
|
|
(19,450 |
) |
|
— |
|
||||
Other income (loss), net |
|
(459 |
) |
|
436 |
|
|
458 |
|
|
506 |
|
|
1,451 |
|
||||
Income (loss) before provision for income taxes |
|
(58,225 |
) |
|
(17,396 |
) |
|
22,607 |
|
|
(135,020 |
) |
|
10,020 |
|
||||
Provision for income taxes |
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
||||
Net income (loss) |
|
(58,225 |
) |
|
(17,396 |
) |
|
22,607 |
|
|
(135,020 |
) |
|
10,020 |
|
||||
Net income (loss) per share: | |||||||||||||||||||
Basic |
$ |
(0.28 |
) |
$ |
(0.09 |
) |
$ |
0.12 |
|
$ |
(0.68 |
) |
$ |
0.05 |
|
||||
Diluted |
$ |
(0.28 |
) |
$ |
(0.09 |
) |
$ |
0.11 |
|
$ |
(0.68 |
) |
$ |
0.05 |
|
||||
Shares used in computing net income (loss) per share: | |||||||||||||||||||
Basic |
|
207,869,092 |
|
|
197,833,109 |
|
|
186,491,083 |
|
|
197,358,751 |
|
|
185,079,101 |
|
||||
Diluted |
|
207,869,092 |
|
|
197,833,109 |
|
|
202,704,021 |
|
|
197,358,751 |
|
|
202,174,903 |
|
||||
Net Income (loss) |
$ |
(58,225 |
) |
$ |
(17,396 |
) |
$ |
22,607 |
|
$ |
(135,020 |
) |
$ |
10,020 |
|
||||
Net unrealized holding loss on available-for-sale investments |
|
156 |
|
|
149 |
|
|
298 |
|
|
741 |
|
|
(823 |
) |
||||
Other comprehensive income (loss) |
$ |
(58,069 |
) |
$ |
(17,247 |
) |
$ |
22,905 |
|
$ |
(134,279 |
) |
$ |
9,197 |
|
|
|||||||
CONSOLIDATED BALANCE SHEETS | |||||||
(Unaudited) | |||||||
(In thousands, except share and per share data) | |||||||
|
|
||||||
|
2023 |
|
|
2022 |
|
||
(in thousands, except share and per share data) | |||||||
Assets | |||||||
Current assets: | |||||||
Cash and cash equivalents |
$ |
24,494 |
|
$ |
31,983 |
|
|
Short-term investments |
|
6,621 |
|
|
48,214 |
|
|
Accounts receivable, net |
|
9,583 |
|
|
9,185 |
|
|
Inventories |
|
60,816 |
|
|
71,202 |
|
|
Contract assets |
|
14,797 |
|
|
6,805 |
|
|
Prepaid expenses and other current assets |
|
4,000 |
|
|
5,533 |
|
|
Total current assets |
|
120,311 |
|
|
172,922 |
|
|
Property and equipment, net |
|
16,326 |
|
|
19,812 |
|
|
Equipment on lease, net |
|
6,667 |
|
|
9,070 |
|
|
Other assets |
|
14,203 |
|
|
23,310 |
|
|
Total assets |
$ |
157,507 |
|
$ |
225,114 |
|
|
Liabilities and Stockholders' Equity | |||||||
Current liabilities: | |||||||
Accounts payable |
|
15,854 |
|
|
12,207 |
|
|
Accrued expenses and other current liabilities |
|
6,491 |
|
|
15,877 |
|
|
Debt - current portion |
|
20,632 |
|
|
2,775 |
|
|
Contract liabilities |
|
5,135 |
|
|
15,194 |
|
|
Total current liabilities |
|
48,112 |
|
|
46,053 |
|
|
Long-term debt - less current portion |
|
12,500 |
|
|
5,422 |
|
|
Contingent earnout liabilities |
|
1,456 |
|
|
17,414 |
|
|
Warrant liabilities |
|
11,835 |
|
|
2,745 |
|
|
Other noncurrent liabilities |
|
13,094 |
|
|
12,634 |
|
|
Total liabilities |
$ |
86,997 |
|
$ |
84,268 |
|
|
Commitments and contingencies | |||||||
Stockholders’ equity: | |||||||
Common stock, |
|
2 |
|
|
2 |
|
|
Additional paid-in capital |
|
425,471 |
|
|
361,528 |
|
|
Accumulated other comprehensive loss |
|
(96 |
) |
(837 |
) |
||
Accumulated deficit |
|
(354,867 |
) |
|
(219,847 |
) |
|
Total stockholders’ equity |
$ |
70,510 |
|
$ |
140,846 |
|
|
Total liabilities and stockholders’ equity |
$ |
157,507 |
|
$ |
225,114 |
|
|
|
|||||||
CONSOLIDATED STATEMENTS OF CASH FLOWS | |||||||
(Unaudited) | |||||||
(In thousands) | |||||||
Year Ended | |||||||
|
|
||||||
Cash flows from operating activities | |||||||
Net income (loss) |
|
(135,020 |
) |
|
10,020 |
|
|
Adjustments to reconcile net loss to net cash used in operating activities | |||||||
Depreciation and amortization |
|
11,538 |
|
|
5,290 |
|
|
Stock-based compensation |
|
24,931 |
|
|
20,148 |
|
|
Gain on fair value of warrants |
|
(2,338 |
) |
|
(19,129 |
) |
|
Gain on fair value of contingent earnout liabilities |
|
(15,958 |
) |
|
(94,073 |
) |
|
Gain on fair value of debt derivatives |
|
(8,485 |
) |
|
— |
|
|
Loss on debt extinguishment |
|
19,450 |
|
|
— |
|
|
Non-cash cost of issuance of common stock warrants |
|
1,357 |
|
|
— |
|
|
Realized loss on available for sales securities |
|
14 |
|
|
— |
|
|
Changes in assets and liabilities | |||||||
Accounts receivable |
|
(398 |
) |
|
3,593 |
|
|
Inventories |
|
14,506 |
|
|
(47,017 |
) |
|
Contract assets |
|
(7,992 |
) |
|
(6,531 |
) |
|
Prepaid expenses and other current assets |
|
2,795 |
|
|
6,142 |
|
|
Other assets |
|
9,264 |
|
|
(1,241 |
) |
|
Accounts payable |
|
2,211 |
|
|
2,341 |
|
|
Accrued expenses and other liabilities |
|
(9,038 |
) |
|
6,362 |
|
|
Contract liabilities |
|
(10,059 |
) |
|
(7,058 |
) |
|
Other noncurrent liabilities |
|
592 |
|
|
(2,809 |
) |
|
Net cash used in operating activities |
|
(102,630 |
) |
|
(123,962 |
) |
|
Cash flows from investing activities | |||||||
Purchase of property and equipment |
|
(1,046 |
) |
|
(13,822 |
) |
|
Production of equipment for lease to customers |
|
(2,942 |
) |
|
(5,595 |
) |
|
Purchases of available-for-sale investments |
|
(3,655 |
) |
|
(87,655 |
) |
|
Sales of available for sale securities |
|
10,664 |
|
|
— |
|
|
Proceeds from maturities of available-for-sale investments |
|
35,092 |
|
|
54,050 |
|
|
Net cash provided by (used in) investing activities |
|
38,113 |
|
|
(53,022 |
) |
|
Cash flows from financing activities | |||||||
Proceeds from loan refinance, net of issuance costs |
|
— |
|
|
6,664 |
|
|
Repayment of loans in connection with loan refinance |
|
— |
|
|
(8,089 |
) |
|
Proceeds from ATM offering, net of issuance costs |
|
22,805 |
|
|
— |
|
|
Proceeds from revolver facility |
|
14,000 |
|
|
— |
|
|
Proceeds from capital raise, net of issuance costs |
|
16,287 |
|
|
— |
|
|
Proceeds from revolver facility |
|
(17,000 |
) |
|
— |
|
|
Repayment of property and equipment loan |
|
(6,956 |
) |
|
(889 |
) |
|
Proceeds from equipment loans |
|
1,600 |
|
|
2,400 |
|
|
Repayment of notes |
|
(40,000 |
) |
|
— |
|
|
Proceeds from notes, net of issuance costs |
|
65,736 |
|
|
— |
|
|
Issuance of common stock upon exercise of stock options |
|
561 |
|
|
1,256 |
|
|
Net cash provided by financing activities |
|
57,033 |
|
|
1,342 |
|
|
Effect of exchange rate changes on cash and cash equivalents |
|
(5 |
) |
|
23 |
|
|
Net change in cash and cash equivalents |
|
(7,489 |
) |
|
(175,619 |
) |
|
Cash and cash equivalents and restricted cash at beginning of period |
|
32,783 |
|
|
208,402 |
|
|
Cash and cash equivalents and restricted cash at end of period |
$ |
25,294 |
|
$ |
32,783 |
|
|
Supplemental disclosure of cash flow information | |||||||
Cash paid for interest |
$ |
9,722 |
|
$ |
372 |
|
|
Supplemental disclosure of non-cash information | |||||||
Unpaid liabilities related to property and equipment |
|
92 |
|
|
— |
|
|
Equipment for lease to customers returned to inventory |
|
4,153 |
|
|
2,619 |
|
|
Issuance of common stock warrants in connection with capital raise |
|
11,428 |
|
|
— |
|
|
Issuance of common stock warrants in connection with financing |
|
— |
|
|
170 |
|
The following table provides a reconciliation of cash, cash equivalents, and restricted cash reported within the consolidated balance sheets to the total of such amounts shown on the consolidated statements of cash flows:
|
Year ended |
||||
|
|
|
|
||
|
|
2023 |
|
|
2022 |
|
|
||||
Cash and cash equivalents |
$ |
24,494 |
|
$ |
31,983 |
Restricted cash (Other assets) |
|
800 |
|
|
800 |
Total cash and cash equivalents, and restricted cash |
$ |
25,294 |
|
$ |
32,783 |
View source version on businesswire.com: https://www.businesswire.com/news/home/20240326406843/en/
Investor Relations:
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investors@velo3d.com
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