Ocean Power Technologies Announces Fourth Quarter and Full Year Fiscal 2020 Results
Revenue Increase Over Prior Year, PowerBuoy® Sale and Lease Extension Highlight Fiscal Year
Investor Conference Call and Webcast on
FY2020 Revenue Generation
- Fiscal year 2020 revenues grew to
$1.7 million versus$0.6 million in prior year.
FY2020 and Recent Operational Highlights
- Sale of a PB3 PowerBuoy® and turn-key ocean monitoring system to Enel Green Power to be deployed off the Chilean coast.
North Sea deployment for Premier Oil.- PB3 deployment in the Adriatic Sea for Eni extended for additional 18 months. The PB3 has produced more than 2.6 megawatt-hours of cumulative energy and has operated continuously for more than 19 months.
Management Commentary
“OPT continued its commercial progress in fiscal year 2020, highlighted by the sale of a PB3 PowerBuoy® to Enel Green Power, the completed construction of the hybrid PowerBuoy® prototype, the ongoing success of our
“The global COVID-19 pandemic has caused challenges throughout industry, including for our Company which saw one project delay and another project revised. Despite these obstacles, our team is focusing on aggressively expanding our market base for OPT solutions,” Kirby added. “We are developing and scaling solutions to meet complex challenges while delivering services on current commitments even as coronavirus circumstances evolve. I am proud of our team and excited about the possibilities ahead in the new fiscal year.”
Fourth Quarter Financial Review
Revenue for the fourth quarter of fiscal 2020 was $0.6 million, an increase of
Fiscal Year 2020 Financial Review
Revenue for the full twelve months of fiscal 2020 was $1.7 million, which is an improvement over fiscal 2019, primarily due to a new contract signed with Enel Green Power. The fiscal 2020 net loss decreased by
Balance Sheet and Cash Flow
Total cash, cash equivalents, and restricted cash were $10.9 million as of April 30, 2020. Net cash used in operating activities decreased by
Conference Call & Webcast
OPT will host a conference call and webcast to review its financial and operating results on
Investors, analysts, and members of the media interested in listening to the live presentation are encouraged to join a webcast of the call available on the investor relations section of the Company’s website at https://www.oceanpowertechnologies.com/investor-relations.
A digital replay will be available by telephone approximately two hours after the completion of the call and until
About
Headquartered in
Forward-Looking Statements
This release may contain forward-looking statements that are within the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are identified by certain words or phrases such as "may", "will", "aim", "will likely result", "believe", "expect", "will continue", "anticipate", "estimate", "intend", "plan", "contemplate", "seek to", "future", "objective", "goal", "project", "should", "will pursue" and similar expressions or variations of such expressions. These forward-looking statements reflect the Company's current expectations about its future plans and performance. These forward-looking statements rely on a number of assumptions and estimates which could be inaccurate, and which are subject to risks and uncertainties. Actual results could vary materially from those anticipated or expressed in any forward-looking statement made by the Company. Please refer to the Company's most recent Forms 10-Q and 10-K and subsequent filings with the
Financial Tables Follow
Additional information may be found in the company's Annual Report on Form 10-K that has been filed with the
| Consolidated Balance Sheets | ||||||||||
| (in thousands, except share data) | ||||||||||
| ASSETS | ||||||||||
| Current assets: | ||||||||||
| Cash and cash equivalents | $ | 10,002 | $ | 16,660 | ||||||
| Restricted cash- short-term | 707 | 344 | ||||||||
| Accounts receivable | 105 | 63 | ||||||||
| Contract assets | 251 | 15 | ||||||||
| Other current assets | 588 | 537 | ||||||||
| Total current assets | 11,653 | 17,619 | ||||||||
| Property and equipment, net | 499 | 592 | ||||||||
| Right-of-use asset, net | 1,165 | - | ||||||||
| Restricted cash- long-term | 221 | 155 | ||||||||
| Total assets | $ | 13,538 | $ | 18,366 | ||||||
| LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||||||
| Current liabilities: | ||||||||||
| Accounts payable | $ | 220 | $ | 312 | ||||||
| Accrued expenses | 1,353 | 1,938 | ||||||||
| Current portion of contract liabilities | 100 | 188 | ||||||||
| Warrant liabilities | - | 6 | ||||||||
| Right-of-use liability- current | 229 | - | ||||||||
| Total current liabilities | 1,902 | 2,444 | ||||||||
| Right-of-use liability | 1,078 | - | ||||||||
| Long term portion of contract liabilities | 65 | - | ||||||||
| Deferred rent | - | 147 | ||||||||
| Total liabilities | 3,045 | 2,591 | ||||||||
| Commitments and contingencies (Note 15) | ||||||||||
| Stockholders’ Equity: | ||||||||||
| Preferred stock, |
||||||||||
| none issued or outstanding | - | - | ||||||||
| Common stock, |
||||||||||
| issued 12,939,420 and 5,425,517 shares, respectively | 13 | 5 | ||||||||
| (302 | ) | (301 | ) | |||||||
| Additional paid-in capital | 231,101 | 226,026 | ||||||||
| Accumulated deficit | (220,136 | ) | (209,784 | ) | ||||||
| Accumulated other comprehensive loss | (183 | ) | (171 | ) | ||||||
| Total stockholders' equity | 10,493 | 15,775 | ||||||||
| Total liabilities and stockholders’ equity | $ | 13,538 | $ | 18,366 | ||||||
| Consolidated Statements of Operations | |||||||||||||||||||
| (in thousands, except per share data) | |||||||||||||||||||
| (Unaudited) | |||||||||||||||||||
| Three months ended |
Twelve months ended |
||||||||||||||||||
| 2020 | 2019 | 2020 | 2019 | ||||||||||||||||
| Revenues | $ | 551 | $ | 191 | $ | 1,682 | $ | 632 | |||||||||||
| Cost of revenues | 452 | 124 | 1,787 | 1,303 | |||||||||||||||
| Gross loss | 99 | 67 | (105 | ) | (671 | ) | |||||||||||||
| Operating expenses: | |||||||||||||||||||
| Engineering and product development costs | 941 | 879 | 4,344 | 4,984 | |||||||||||||||
| Selling, general and administrative costs | 1,288 | 1,706 | 6,916 | 7,616 | |||||||||||||||
| Total operating expenses | 2,229 | 2,585 | 11,260 | 12,600 | |||||||||||||||
| Operating loss | (2,130 | ) | (2,518 | ) | (11,365 | ) | (13,271 | ) | |||||||||||
| Gain due to the change in fair value of warrant liabilities | - | 12 | 6 | 195 | |||||||||||||||
| Interest income, net | 23 | 12 | 124 | 35 | |||||||||||||||
| Foreign exchange loss | (7 | ) | (12 | ) | (12 | ) | (55 | ) | |||||||||||
| Loss before income taxes | (2,114 | ) | (2,506 | ) | (11,247 | ) | (13,096 | ) | |||||||||||
| Income tax benefit | 895 | - | 895 | 850 | |||||||||||||||
| Net loss | $ | (1,219 | ) | $ | (2,506 | ) | $ | (10,352 | ) | $ | (12,246 | ) | |||||||
| Basic and diluted net loss per share | $ | (0.13 | ) | $ | (1.05 | ) | $ | (1.44 | ) | $ | (9.52 | ) | |||||||
| Weighted average shares used to compute | |||||||||||||||||||
| basic and diluted net loss per share | 9,679,968 | 2,389,719 | 7,209,732 | 1,286,727 | |||||||||||||||
| Consolidated Statements of Cash Flows | ||||||||||||
| (in thousands) | ||||||||||||
| (Unaudited) | ||||||||||||
| Twelve months ended |
||||||||||||
| 2020 | 2019 | |||||||||||
| Cash flows from operating activities: | ||||||||||||
| Net loss | $ | (10,352 | ) | $ | (12,246 | ) | ||||||
| Adjustments to reconcile net loss to net cash used in operating activities: | ||||||||||||
| Foreign exchange loss | 12 | 55 | ||||||||||
| Depreciation of fixed assets | 158 | 180 | ||||||||||
| Amortization of right of use asset | 197 | - | ||||||||||
| Compensation expense related to stock option grants and restricted stock | 340 | 295 | ||||||||||
| Gain due to the change in fair value of warrant liabilities | (6 | ) | (195 | ) | ||||||||
| Changes in operating assets and liabilities: | ||||||||||||
| Accounts receivable | (42 | ) | 108 | |||||||||
| Unbilled receivables | - | 71 | ||||||||||
| Contract assets | (236 | ) | (15 | ) | ||||||||
| Other assets | 251 | 325 | ||||||||||
| Accounts payable | (92 | ) | 23 | |||||||||
| Accrued expenses | (585 | ) | (316 | ) | ||||||||
| Deferred rent | - | 5 | ||||||||||
| Deferred credit payable | - | (600 | ) | |||||||||
| Unearned revenue | - | (18 | ) | |||||||||
| Change in lease liability | (201 | ) | - | |||||||||
| Contract liabilities | (23 | ) | 188 | |||||||||
| Net cash used in operating activities | (10,579 | ) | (12,140 | ) | ||||||||
| Cash flows from investing activities: | ||||||||||||
| Purchases of marketable securities | - | (25 | ) | |||||||||
| Maturities of marketable securities | - | 50 | ||||||||||
| Purchase of computers, equipment and furniture | (65 | ) | (54 | ) | ||||||||
| Net cash used in investing activities | (65 | ) | (29 | ) | ||||||||
| Cash flows from financing activities: | ||||||||||||
| Proceeds from issuance of common stock, common and pre-funded warrants, | ||||||||||||
| net of issuance costs | - | 15,712 | ||||||||||
| Proceeds from issuance of common stock- Aspire financing | ||||||||||||
| net of issuance costs | 1,021 | 593 | ||||||||||
| Proceeds from issuance of common stock- AGP At The Market offering, | ||||||||||||
| net of issuance costs | 3,443 | 882 | ||||||||||
| Proceeds (costs) associated with exercise of pre-funded warrants | (16 | ) | 20 | |||||||||
| Payment of capital lease obligations | - | (23 | ) | |||||||||
| Acquisition of treasury stock | (1 | ) | (1 | ) | ||||||||
| Net cash provided by financing activities | 4,447 | 17,183 | ||||||||||
| Effect of exchange rate changes on cash, cash equivalents and restricted cash | (32 | ) | (80 | ) | ||||||||
| Net increase/(decrease) in cash, cash equivalents and restricted cash | (6,229 | ) | 4,934 | |||||||||
| Cash, cash equivalents and restricted cash, beginning of period | 17,159 | 12,225 | ||||||||||
| Cash, cash equivalents and restricted cash, end of period | $ | 10,930 | $ | 17,159 | ||||||||
Contact Information Investors: 609-730-0400 x401 or InvestorRelations@oceanpowertech.com Media: 609-730-0400 x402 or MediaRelations@oceanpowertech.com
Source: Ocean Power Technologies, Inc.