Aeye reports second quarter 2022 results
Dublin, calif.--(business wire)--aeye, inc. (nasdaq: lidr), a global leader in adaptive, high-performance lidar solutions, today announced its results for the second quarter ended june 30, 2022. blair lacorte, chief executive officer of aeye, said, “we achieved significant progress strengthening our platform to drive long-term growth and are pleased with our performance during the second quarter. our industry leading technology, talented team, and strong reputation continue to position us as a leader in the lidar market. this momentum is reflected in the progress we are making in the auto market, as well as new market segments including our recent partnership with booz allen to support productization for defense applications.” “while supply chain disruption and inflationary challenges continue to impact the industry and broader economy, we are confident that our innovative, capital-light, and high margin business model will enable us to achieve future growth. we remain encouraged with the traction we have gained, and are excited for what has yet to come,” concluded lacorte. q2 2022 financials revenue of $0.7 million in the second quarter of 2022. gaap net loss was $(26.5) million in the second quarter of 2022, or $(0.17) per share based on 157.3 million weighted average shares outstanding. non-gaap net loss was $(19.8) million in the second quarter of 2022, or $(0.13) per share based on 157.3 million weighted average shares outstanding. cash, cash equivalents, and marketable securities were $125.8 million as of june 30, 2022. this excludes up to $123.6 million in available liquidity from our common stock purchase agreement. conference call and webcast details aeye management will hold a conference call today, august 15, 2022, at 2:00 p.m. pacific time (5:00 p.m. eastern time) to discuss these results. aeye ceo blair lacorte and cfo bob brown will host the call, followed by a question-and-answer session. the webcast and accompanying slides will be accessible via the company’s website at https://investors.aeye.ai/. the call is also accessible via telephone through the following details: dial in information: participant toll-free dial-in number: 844-763-8274 participant international dial-in number: 412-717-9224 about aeye aeye’s unique software-defined lidar solution enables advanced driver-assistance, vehicle autonomy, smart infrastructure, logistics, and off-highway applications that save lives and propel the future of transportation and mobility. aeye’s 4sight™ intelligent sensing platform, with its adaptive sensor-based operating system, focuses on what matters most; delivering faster, more accurate, and reliable information. aeye’s 4sight™ products, built on this platform, are ideal for dynamic applications which require precise measurement imaging to ensure safety and performance. aeye has a global presence through its offices in germany, japan, korea, and the united states. non-gaap financial measures the non-gaap measures provided in this press release should not be considered a substitute for, or superior to, measures of financial performance prepared in accordance with generally accepted accounting principles (gaap) in the united states. a reconciliation between gaap and non-gaap financial data is included in the supplemental financial data attached to this press release. non-gaap financial measures do not have any standardized meaning and are therefore unlikely to be comparable to similarly titled measures presented by other companies. aeye considers these non-gaap financial measures to be important because they provide additional insight into the company’s on-going performance. the company provides this information to investors for a more consistent basis of comparison and to help investors evaluate the results of the company’s on-going operations, and to help enable more meaningful period-to-period comparison. non-gaap financial measures are presented only as supplemental information for the purpose of understanding the company’s operating results. the non-gaap financial measures should not be considered a substitute for financial information presented in accordance with gaap. this presentation includes non-gaap financial measures, including: non-gaap net loss which is defined as gaap net loss plus stock-based compensation, plus expenses related to filing registration statements on form s-1, plus stock issuance costs, plus change in fair value of embedded derivative and warrant liabilities, less the gain on ppp loan forgiveness; and adjusted ebitda which is defined as non-gaap net loss plus amortization and depreciation expense, plus interest expense and other, less interest income and other, plus provision for income tax expense. forward-looking statements certain statements included in this press release that are not historical facts are forward-looking statements within the meaning of the federal securities laws, including the safe harbor provisions under the united states private securities litigation reform act of 1995. forward-looking statements are sometimes accompanied by words such as “believe,” “continue,” “project,” “expect,” “anticipate,” “estimate,” “intend,” “strategy,” “future,” “opportunity,” “predict,” “plan,” “may,” “should,” “will,” “would,” “potential,” “seem,” “seek,” “outlook,” and similar expressions that predict or indicate future events or trends, or that are not statements of historical matters. forward-looking statements are predictions, projections, and other statements about future events that are based on current expectations and assumptions and, as a result, are subject to risks and uncertainties. forward looking statements included in this press release include statements about aeye’s products, the company’s progress in commercialization, the potential of new market segments, and expected future results, among others. these statements are based on various assumptions, whether or not identified in this press release. these forward-looking statements are provided for illustrative purposes only and are not intended to serve as and must not be relied on by an investor as a guarantee, an assurance, a prediction, or a definitive statement of fact or probability. actual events and circumstances are very difficult or impossible to predict and will differ from the assumptions. many actual events and circumstances are beyond the control of aeye. many factors could cause actual future events to differ from the forward-looking statements in this press release, including but not limited to: (i) the risks that aeye’s entrance into new markets or continued end-market momentum will provide a foundation for sustainable growth to the extent anticipated or in the timeframe contemplated, or at all; (ii) the risks that the significant progress strengthening aeye’s platform to drive long-term growth will continue to the extent anticipated or in the timeframe contemplated, or at all; (iii) the risks that aeye’s technology will not lead the industry in the short or long term, or both, due to competition, internal challenges, or both, such that aeye is unable to establish or maintain a position as a leader in the lidar market; (iv) the risks that aeye may not be able to successfully navigate either or both of the supply chain disruptions it faces or the inflationary challenges that currently exist and which may continue for a time period that is longer than anticipated, or is more severe than contemplated; (v) the risks that aeye’s innovative, capital-light, and high margin business model will not enable aeye to achieve future growth to the extent anticipated or in the timeframe contemplated, or at all; (vi) the risks that the traction gained by aeye to date will translate into future growth, revenue, or profitability to the extent anticipated or in the timeframe contemplated, or at all; (vii) the risks that aeye will be unable to strengthen its competitive position or deliver on its key objectives in 2022 due to supply chain disruptions, economic uncertainties, or otherwise; (viii) the risks that competing technologies will improve over time to become operationally equivalent or more cost-effective, or both, as compared to aeye’s product offering; (ix) the risks that competitors may introduce products with similar capabilities to aeye’s products and such competitive products are able to take some or all of the market share away from aeye; (x) the risks that aeye’s products will not meet the diverse range of performance and functional requirements of aeye’s target markets and customers; (xi) the risks that aeye’s products will not function as anticipated by aeye or by aeye’s target markets and customers; (xii) the risks that the size of the total available market for the use of lidar will be smaller than predicted or take longer to come to fruition than predicted; (xiii) the risk that laws and regulations are adopted impacting the use of lidar that aeye is unable to comply with, in whole or in part; (xiv) changes in competitive and regulated industries in which aeye operates, variations in operating performance across competitors, and changes in laws and regulations affecting aeye’s business; (xv) the risks that aeye is unable to adequately implement its business plans, forecasts, and other expectations, and identify and realize additional opportunities; and (xvi) the risks of downturns and a changing regulatory landscape in the highly competitive and evolving industry in which aeye operates. these risks and uncertainties may be amplified by the covid-19 pandemic, including the delta and omicron variants, as well as future variants and subvariants, which has caused significant economic uncertainty. the foregoing list of factors is not exhaustive. you should carefully consider the foregoing factors and the other risks and uncertainties described in the “risk factors” section of the quarterly report on form 10-q that aeye has most recently filed with the u.s. securities and exchange commission, or the sec, and other documents filed by us or that will be filed by us from time to time with the sec. these filings identify and address other important risks and uncertainties that could cause actual events and results to differ materially from those contained in the forward-looking statements. forward-looking statements speak only as of the date they are made. readers are cautioned not to put undue reliance on forward-looking statements; aeye assumes no obligation and does not intend to update or revise these forward-looking statements, whether as a result of new information, future events, or otherwise. aeye gives no assurance that aeye will achieve any of its expectations. assets current assets: cash and cash equivalents $ 4,236 $ 14,183 marketable securities 121,526 149,824 accounts receivable, net 189 4,222 inventories, net 5,066 4,085 prepaid and other current assets 4,151 5,051 total current assets 135,168 177,365 right-of-use assets 16,186 - property and equipment, net 6,717 5,129 restricted cash 2,150 2,150 other noncurrent assets 1,098 1,509 total assets 161,319 186,153 liabilities and stockholders’ equity (deficit) current liabilities: accounts payable 3,836 2,542 accrued expenses and other current liabilities 10,792 8,739 contract liabilities 1,633 2,287 total current liabilities 16,261 13,568 operating lease liabilities, noncurrent 17,424 - deferred rent, noncurrent - 3,032 other noncurrent liabilities 46 786 total liabilities 33,731 17,386 stockholders’ equity (deficit): preferred stock - - common stock 16 16 additional paid-in capital 332,344 320,937 accumulated other comprehensive loss (1,629 ) (391 ) accumulated deficit (203,143 ) (151,795 ) total stockholders’ equity (deficit) 127,588 168,767 total liabilities and stockholders’ equity (deficit) 161,319 186,153 2022 2021 2022 2021 revenue: prototype sales 195 228 530 461 development contracts 511 519 1,258 615 total revenues 706 747 1,788 1,076 cost of revenue 1,427 454 2,909 1,071 gross profit (loss) (721 ) 293 (1,121 ) 5 operating expenses: research and development 10,762 5,726 19,338 11,562 sales and marketing 5,323 1,911 9,939 3,498 general and administrative 9,827 4,750 21,157 7,760 total operating expenses 25,912 12,387 50,434 22,820 loss from operations (26,633 ) (12,094 ) (51,555 ) (22,815 ) other income (expense), net: change in fair value of embedded derivative liability and warrant liabilities 141 (16 ) 109 (119 ) gain on ppp loan forgiveness - 2,297 - 2,297 interest income and other 350 2 774 5 interest expense and other (307 ) (1,264 ) (650 ) (1,952 ) total other income (expense), net 184 1,019 233 231 provision for income tax expense 18 - 26 - net loss (26,467 ) (11,075 ) (51,348 ) (22,584 ) per share data net loss per common share (basic and diluted) (0.17 ) (0.11 ) (0.33 ) (0.22 ) weighted average common shares outstanding (basic and diluted) 157,310,419 101,458,886 156,071,676 101,398,851 2022 2021 cash flows from operating activities: net loss (51,348 ) (22,584 ) adjustments to reconcile net loss to net cash used in operating activities: depreciation and amortization 463 498 noncash lease expense relating to operating lease right-of-use assets 654 - inventory write-downs, net of scrapped inventory 335 - change in fair value of embedded derivative liability and warrant liabilities (109 ) 119 noncash gain on ppp loan forgiveness - (2,297 ) stock-based compensation 11,897 4,230 amortization of debt issuance costs - 437 amortization of debt discount - 543 amortization of premiums on marketable securities, net of change in accrued interest 826 - other - 189 changes in operating assets and liabilities: accounts receivable, net 4,033 18 inventories, net (1,316 ) (1,813 ) prepaid and other current assets 900 (316 ) other noncurrent assets 411 (144 ) accounts payable 932 1,513 accrued expenses and other current liabilities 1,354 1,953 operating lease liabilities (859 ) - deferred rent - (297 ) contract liabilities (1,285 ) (388 ) net cash used in operating activities (33,112 ) (18,339 ) cash flows from investing activities: purchase of property and equipment (1,759 ) (245 ) proceeds from redemption of marketable securities 26,234 - net cash provided by (used in) operating activities 24,475 (245 ) cash flows from financing activities: proceeds from exercise of stock options 668 89 proceeds from the issuance of convertible notes - 8,045 proceeds from bank loan - 10,000 principal payments - bank loan - (667 ) payment of deferred financing costs - (1,287 ) payment of debt issuance costs - (717 ) taxes paid related to the net share settlement of equity awards (3,400 ) - proceeds from issuance of common stock under the common stock purchase agreement 1,422 - net cash provided by (used in) financing activities (1,310 ) 15,463 net decrease in cash and cash equivalents and restricted cash (9,947 ) (3,121 ) cash, cash equivalents and restricted cash at beginning of period 16,333 16,497 cash, cash equivalents and restricted cash at end of period 6,386 13,376 2022 2021 2022 2021 gaap net loss (26,467 ) (11,075 ) (51,348 ) (22,584 ) non-gaap adjustments: stock-based compensation 6,557 2,620 11,897 4,230 expenses related to registration statement on form s-1s 250 425 250 425 change in fair value of embedded derivative and warrant liabilities (141 ) 16 (109 ) 119 stock issuance costs 28 - 28 - gain on ppp loan forgiveness - (2,297 ) - (2,297 ) non-gaap net loss (19,773 ) (10,311 ) (39,282 ) (20,107 ) depreciation and amortization expense 255 253 463 498 interest income and other (350 ) (2 ) (774 ) (5 ) interest expense and other 279 1,264 622 1,952 provision for income tax expense 18 - 26 - adjusted ebitda (19,571 ) (8,796 ) (38,945 ) (17,662 ) gaap net loss per share attributable to common stockholders: basic and diluted (0.17 ) (0.11 ) (0.33 ) (0.22 ) non-gaap net loss per share attributable to common stockholders: basic and diluted (0.13 ) (0.10 ) (0.25 ) (0.20 ) shares used in computing gaap net loss per share attributable to common stockholders: basic and diluted 157,310,419 101,458,886 156,071,676 101,398,851 shares used in computing non-gaap net loss per share attributable to common stockholders: basic and diluted 157,310,419 101,458,886 156,071,676 101,398,851
