Gauzy Ltd. (Nasdaq: GAUZ) (“Gauzy” or the
“Company”), a global leader of vision and light control
technologies, today announced financial results for the second
quarter and first half ended June 30, 2024.
Second Quarter 2024 Highlights (Compared to Second
Quarter 2023)
- Revenues of $24.4
million increased 22.4% compared to $19.9 million
- Gross margin of
27.0% improved 680 basis points compared to 20.2%
- Net loss of $23.1
million compared to a net loss of $18.8 million
- Non-GAAP Adjusted
net loss of $7.8 million compared to an adjusted net loss of $8.9
million
- Strengthened balance
sheet with $63.7 million of cash and equivalents at quarter
end
- Completed initial
public offering in June 2024 and began trading on Nasdaq
“We are a global leader of vision and light
control technologies, from R&D through manufacturing our
products at scale, providing customers with cutting edge solutions
across a wide range of end markets”, commented Eyal Peso, Gauzy
Co-Founder and Chief Executive Officer. “From cockpit and cabin
shading in commercial and business aircraft from some of the
world's largest OEMs, to replacing mirrors with advanced driver
assistance systems on complete transportation systems in entire
cities, to glass technologies that improve energy efficiency from
cars to buildings, we are aiming to revolutionize mobility and
architectural end markets with products that have a meaningful
impact on safety and sustainability.”
“We are driving impressive backlog growth
year-to-date across a diverse range of end markets,” Mr. Peso
continued. “During the quarter, we were incredibly pleased to
increase our market share of global aircraft cockpit shading to 95%
for commercial airlines and business jets, expand deployment of our
Smart Vision ADAS/CMS system to the transportation systems in over
80 major global metro areas, and exceed 1,000 combined customers
across our four segments.”
Mr. Peso concluded, “The strong results we
delivered for the second quarter of 2024 exceeded our expectations,
building on the momentum we brought to our initial public offering
in June as we expanded our customer base while continuing to
develop and introduce exciting new products. The results also
highlight the exceptional growth potential of our business model
and put us on track to deliver on our 2024 goals. We believe we are
well funded to expand our market leading positions in our
aeronautics, automotive, architecture, and safety technology end
markets as we strive to deliver superior shareholder value.”
Second Quarter 2024 Results
(Comparisons are to the second quarter of 2023 unless otherwise
noted)
Revenues for the second quarter of $24.4 million
increased 22.4% compared to $19.9 million in the prior year
quarter, primarily driven by strength in Aeronautics, Safety Tech
and Automotive.
Gross profit for the second quarter of $6.6
million increased 64.0% compared to $4.0 million in the prior year
quarter. Gross margin for the second quarter increased to 27.0%
compared to 20.2% in the prior year quarter, primarily due to
higher revenues across a fixed cost base and product mix benefits
in Aeronautics, Safety-Tech and Architecture.
Total operating expenses for the second quarter
were $14.5 million, up 13.0% compared to $12.8 million in the prior
year quarter, mainly due to an increase in headcount and
investments to support growth, partly offset by a decrease in
professional services, subcontractor and material expenses and
other services. Total operating expenses include research and
development, sales and marketing, and general and administrative
expenses.
Net loss for the second quarter of $23.1 million
compared to $18.8 million in the prior year quarter, mainly due to
an increase in operational expenses and financial expenses partly
offset by an increase in gross profit.
Non-GAAP Adjusted net loss for the second
quarter of $7.8 million compared to $8.9 million in the prior year
quarter, with the improvement primarily attributable to higher
gross profit partly offset by higher operating expenses.
Second Quarter 2024 Segment Performance
(Comparisons are to the second quarter of 2023 unless otherwise
noted)
Aeronautics Segment Results
Aeronautics revenue of $10.0 million in the
second quarter compared to $7.8 million in the prior year quarter,
an increase of 28.5% driven by strong demand broadly across the
segment’s product lines. Gross profit of $3.9 million in the second
quarter compared to $2.1 million in the prior year quarter, an
increase of 82.9%. Gross margin of 39.0% in the second quarter
compared to 27.4% in the prior year period. The increase in gross
profit and gross margin reflects the benefit of higher
revenues.
Architecture Segment Results
Architecture revenue of $2.6 million in the
second quarter compared to $3.3 million in the prior year quarter,
a decrease of 21.1%, driven by the timing of deliveries relative to
full-year purchase orders. Gross profit of $0.9 million in the
second quarter compared to $1.0 million in the prior year quarter,
a decrease of 11.8%. Gross margin of 36.3% in the second quarter
compared to 31.2% in the prior year period, driven primarily by
product mix benefit.
Automotive Segment Results
Automotive revenue of $0.9 million in the second
quarter compared to $0.5 million in the prior year quarter, an
increase of 79.5%. Gross loss of $0.1 million in the second quarter
compared to a gross loss of $0.1 million in the prior year quarter.
Gross margin of (16.2)% in the second quarter compared to (14.2)%
in the prior year period. The results reflect the start of serial
production at the end of the second quarter of 2023 and its
continued ramp to higher expected utilization levels.
Safety-Tech Segment Results
Safety-Tech revenue of $10.8 million in the
second quarter compared to $8.3 million in the prior year quarter,
an increase of 30.7% on strong demand across the segment’s product
lines. Gross profit of $2.2 million in the second quarter compared
to $1.2 million in the prior year quarter, an increase of 80.0%.
Gross margin of 20.6% in the second quarter compared to 15.0% in
the prior year period. The increase in gross profit and gross
margin was primarily attributable to higher revenues and product
mix benefit.
Balance Sheet, Liquidity and Cash Flow
In June 2024, Gauzy completed its initial public
offering of 4,411,765 ordinary shares, raising approximately $75
million in gross proceeds prior to deducting underwriting discounts
and other offering expenses.
As of June 30, 2024, the Company had cash and
equivalents on hand of $63.7 million, total debt of $75.6 million,
and $35.0 million of available capacity under its credit line. At
quarter end, total liquidity, including cash and cash equivalents
on hand and credit line availability, was approximately $98.7
million.
As of June 30, 2024 the Company had basic and
diluted shares outstanding of 18,681,047 ordinary shares.
Conference Call and Webcast:
Gauzy will host a conference call and webcast to
discuss its results for the second quarter and first half ended
June 30, 2024 and other information related to its business at 8:30
a.m. Eastern Daylight Time on Thursday, August 8, 2024. The webcast
of the conference call can be accessed on the "Investors" section
of Gauzy’s website at www.investors.gauzy.com. For those unable to
access the website, the conference call will be accessible
domestically and internationally, by dialing (800) 717-1738 or
(646) 307-1865, respectively. Upon dialing in, please request to be
connected to the Gauzy earnings conference call. To access the
replay of the call, dial (844) 512-2921 (Domestic) or (412)
317-6671 (International) and enter the passcode 1128363.
About Gauzy
Gauzy Ltd. is a fully-integrated light and
vision control company, focused on the research, development,
manufacturing, and marketing of vision and light control
technologies that are developed to support safe, sustainable,
comfortable, and agile user experiences across various industries.
Headquartered in Tel Aviv, Israel, the company has additional
subsidiaries and entities based in Germany, France, the United
States, Canada, China, Singapore, and Dubai. Gauzy serves leading
brands in over 30 countries through direct fulfillment and a
certified and trained distribution channel.
Forward-Looking Statements
This press release contains forward-looking
statements. Forward-looking statements contained in this press
release include, but are not limited to, statements regarding
Gauzy’s strategic and business plans, technology, relationships,
objectives and expectations for its business, growth, the impact of
trends on and interest in its business, intellectual property,
products and its future results, operations and financial
performance and condition and may be identified by the use of words
such as “may,” “seek,” “will,” “consider,” “likely,” “assume,”
“estimate,” “expect,” “anticipate,” “intend,” “believe,” “do not
believe,” “aim,” “predict,” “plan,” “project,” “continue,”
“potential,” “guidance,” “objective,” “outlook,” “trends,”
“future,” “could,” “would,” “should,” “target,” “on track” or their
negatives or variations, and similar terminology and words of
similar import, generally involve future or forward-looking
statements. All statements other than statements of historical fact
are forward-looking statements. Forward-looking statements reflect
Gauzy’s current views, plans, or expectations with respect to
future events and financial performance. They are inherently
subject to significant business, economic, competitive, and other
risks, uncertainties, and contingencies. Forward-looking statements
are based on Gauzy’s current expectations and are subject to
inherent uncertainties, risks and assumptions that are difficult to
predict. Further, certain forward-looking statements are based on
assumptions as to future events that may not prove to be accurate.
For a more detailed description of the risks and uncertainties
affecting the Company, reference is made to the Company’s reports
filed from time to time with the SEC, including, but not limited
to, the risks detailed in the Company’s prospectus (Registration
No. 333-278675), dated June 5, 2024 and filed with the SEC. The
inclusion of forward-looking statements in this or any other
communication should not be considered as a representation by Gauzy
or any other person that current plans or expectations will be
achieved. Forward-looking statements speak only as of the date on
which they are made, and Gauzy undertakes no obligation to publicly
update or revise any forward-looking statement, whether as a result
of new information, future developments, or otherwise, except as
otherwise required by law.
NON-GAAP Disclosure
In addition to Gauzy’s financial results
reported in accordance with generally accepted accounting
principles in the United States (“U.S. GAAP”), this press release
and the accompanying tables and related presentation materials may
contain one or more of the following Non-GAAP financial measures:
Adjusted Net Loss, EBITDA, Adjusted EBITDA, Net Loss Margin and
Adjusted EBITDA Margin. Gauzy believes that these measures provide
useful information about its operating results, enhance the overall
understanding of past financial performance and future prospects,
and allow for greater transparency with respect to key measures
used by management in its financial and operational decision
making. Non-GAAP financial measures have limitations as analytical
tools and may not be comparable to companies in other industries or
within the same industry with similarly titled measures of
performance. In addition, these non-GAAP measures should not be
construed as an inference that our future results will be
unaffected by unusual or non-recurring items. The presentation of
this financial information is not intended to be considered as a
substitute for the financial information prepared and presented in
accordance with U.S. GAAP. Investors are encouraged to review the
related U.S. GAAP financial measures and the reconciliation of
these Non-GAAP financial measures to their most directly comparable
U.S. GAAP financial measures and not rely on any single financial
measure to evaluate our business.
Adjusted Net Loss. The Company defines Adjusted
Net Loss as Net Loss, adjusting for certain financial expenses, the
amortization of intangible assets, certain acquisition and debt
raising related costs, non-cash fair value adjustments and expenses
related to equity-based compensation and doubtful debts.
EBITDA. The Company defines EBITDA as Net Loss,
excluding net financial expense, tax expense and depreciation and
amortization.
Adjusted EBITDA. The Company defines Adjusted
EBITDA as EBITDA (as defined above) excluding acquisition-related
costs, one-time expenses and equity-based compensation
expenses.
Net Loss Margin. The Company defines Net Loss
Margin as Net Loss divided by revenue.
Adjusted EBITDA Margin. The Company defines
Adjusted EBITDA Margin as Adjusted EBITDA (as defined above) for
the period divided by revenue for the same period.
For more information on the Non-GAAP financial
measures, please see the reconciliation tables provided in this
press release. The accompanying reconciliation tables have more
details on the U.S. GAAP financial measures that are most directly
comparable to Non-GAAP financial measures and the related
reconciliations between these financial measures.
GAUZY LTD.CONDENSED CONSOLIDATED STATEMENTS
OF OPERATIONS AND COMPREHENSIVE LOSS (unaudited)(U.S. dollars in
thousands, except share data) |
|
|
Three months endedJune 30, |
|
|
Six months endedJune 30, |
|
|
|
2024 |
|
|
2023 |
|
|
2024 |
|
|
2023 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
REVENUES |
|
$ |
24,409 |
|
|
$ |
19,934 |
|
|
$ |
49,138 |
|
|
$ |
37,367 |
|
Cost of
revenues (exclusive of depreciation and amortization) |
|
|
17,323 |
|
|
|
15,387 |
|
|
|
35,330 |
|
|
|
27,675 |
|
Depreciation and
amortization |
|
|
494 |
|
|
|
527 |
|
|
|
1,001 |
|
|
|
1,008 |
|
TOTAL COST OF
REVENUES |
|
|
17,817 |
|
|
|
15,914 |
|
|
|
36,331 |
|
|
|
28,683 |
|
GROSS
PROFIT |
|
|
6,592 |
|
|
|
4,020 |
|
|
|
12,807 |
|
|
|
8,684 |
|
Research and
development expenses (exclusive of depreciation and
amortization reflected below) |
|
|
4,131 |
|
|
|
3,836 |
|
|
|
8,512 |
|
|
|
7,281 |
|
General and
administrative expenses (exclusive of depreciation and
amortization reflected below) |
|
|
5,271 |
|
|
|
3,724 |
|
|
|
11,400 |
|
|
|
6,336 |
|
Sales and marketing
expenses (exclusive of depreciation and amortization
reflected below) |
|
|
4,153 |
|
|
|
3,831 |
|
|
|
8,443 |
|
|
|
6,742 |
|
Depreciation and
amortization |
|
|
1,021 |
|
|
|
860 |
|
|
|
2,042 |
|
|
|
1,756 |
|
Other expenses (change
in fair value of contingent consideration) |
|
|
(63 |
) |
|
|
595 |
|
|
|
(38 |
) |
|
|
953 |
|
TOTAL OPERATING
EXPENSES |
|
|
14,513 |
|
|
|
12,846 |
|
|
|
30,359 |
|
|
|
23,068 |
|
OPERATING
LOSS |
|
|
(7,921 |
) |
|
|
(8,826 |
) |
|
|
(17,552 |
) |
|
|
(14,384 |
) |
OTHER
INCOME |
|
|
130 |
|
|
|
4 |
|
|
|
130 |
|
|
|
4 |
|
INTEREST
EXPENSES |
|
|
(3,212 |
) |
|
|
(1,994 |
) |
|
|
(7,659 |
) |
|
|
(4,936 |
) |
OTHER FINANCIAL INCOME
(EXPENSES) |
|
|
(12,063 |
) |
|
|
(7,945 |
) |
|
|
(11,170 |
) |
|
|
(17,950 |
) |
FINANCIAL
EXPENSES, net (including amount reclassified from OCI
reserve) |
|
|
(15,275 |
) |
|
|
(9,939 |
) |
|
|
(18,829 |
) |
|
|
(22,886 |
) |
LOSS BEFORE INCOME
TAX |
|
|
(23,066 |
) |
|
|
(18,761 |
) |
|
|
(36,251 |
) |
|
|
(37,266 |
) |
INCOME
TAX |
|
|
(22 |
) |
|
|
(41 |
) |
|
|
(84 |
) |
|
|
(55 |
) |
LOSS FOR THE
PERIOD |
|
$ |
(23,088 |
) |
|
$ |
(18,802 |
) |
|
$ |
(36,335 |
) |
|
$ |
(37,321 |
) |
OTHER COMPREHENSIVE
LOSS, net of tax |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NET ACTUARIAL GAIN
(LOSS) |
|
|
(27 |
) |
|
|
556 |
|
|
|
208 |
|
|
|
192 |
|
FOREIGN CURRENCY
TRANSLATION GAIN (LOSS) |
|
|
(401 |
) |
|
|
- |
|
|
|
(988 |
) |
|
|
807 |
|
RECLASSIFICATION OF
FAIR VALUE GAIN ON CHANGES OF OWN CREDIT RISK |
|
|
4,873 |
|
|
|
- |
|
|
|
4,317 |
|
|
|
- |
|
FAIR VALUE GAIN (LOSS)
ON CHANGES OF OWN CREDIT RISK |
|
|
(329 |
) |
|
|
(17 |
) |
|
|
(5,394 |
) |
|
|
88 |
|
TOTAL OTHER
COMPREHENSIVE INCOME (LOSS) |
|
|
4,116 |
|
|
|
539 |
|
|
|
(1,857 |
) |
|
|
1,087 |
|
NET COMPREHENSIVE
LOSS |
|
$ |
(18,972 |
) |
|
$ |
(18,263 |
) |
|
$ |
(38,192 |
) |
|
$ |
(36,234 |
) |
LOSS PER SHARE BASIC
AND DILUTED |
|
$ |
(2.60 |
) |
|
$ |
(4.61 |
) |
|
$ |
(5.14 |
) |
|
$ |
(10.87 |
) |
WEIGHTED AVERAGE
NUMBER OF SHARES OUTSTANDING USED IN COMPUTATION OF BASIC AND
DILUTED LOSS PER SHARE |
|
|
8,869,691 |
|
|
|
4,081,757 |
|
|
|
7,072,950 |
|
|
|
3,434,028 |
|
GAUZY LTD.CONDENSED CONSOLIDATED BALANCE SHEETS
(unaudited)(U.S. dollars in thousands, except share
data) |
|
|
June 30, |
|
|
December 31, |
|
|
|
2024 |
|
|
2023 |
|
Assets |
|
|
|
|
|
|
CURRENT
ASSETS: |
|
|
|
|
|
|
Cash and cash equivalents |
|
$ |
63,700 |
|
|
$ |
4,575 |
|
Restricted cash |
|
|
85 |
|
|
|
130 |
|
Trade receivables, net of allowance for credit losses of $1,293 and
$904 as of June 30, 2024 and December 31, 2023, respectively |
|
|
20,730 |
|
|
|
19,671 |
|
Institutions |
|
|
8,239 |
|
|
|
6,926 |
|
Inventories |
|
|
14,899 |
|
|
|
13,174 |
|
Other current assets |
|
|
4,638 |
|
|
|
2,045 |
|
TOTAL CURRENT
ASSETS |
|
|
112,291 |
|
|
|
46,521 |
|
|
|
|
|
|
|
|
|
|
NON-CURRENT
ASSETS: |
|
|
|
|
|
|
|
|
Restricted long term bank deposit |
|
|
134 |
|
|
|
127 |
|
Restricted investment in marketable securities |
|
|
3,456 |
|
|
|
1,932 |
|
Operating lease right of use assets |
|
|
11,105 |
|
|
|
12,377 |
|
Property and equipment, net |
|
|
22,811 |
|
|
|
20,530 |
|
Other non-current assets |
|
|
952 |
|
|
|
1,000 |
|
Intangible assets: |
|
|
|
|
|
|
|
|
Customer relationships |
|
|
12,937 |
|
|
|
13,917 |
|
Technology |
|
|
4,604 |
|
|
|
5,698 |
|
Goodwill |
|
|
20,838 |
|
|
|
21,550 |
|
Other intangible asset |
|
|
3,972 |
|
|
|
4,292 |
|
TOTAL NON-CURRENT
ASSETS |
|
|
80,809 |
|
|
|
81,423 |
|
TOTAL
ASSETS |
|
$ |
193,100 |
|
|
$ |
127,944 |
|
CURRENT
LIABILITIES: |
|
|
|
|
|
|
Short-term borrowing and current maturities of bank loans |
|
$ |
4,116 |
|
|
$ |
4,146 |
|
Short-term loan relating to factoring arrangements |
|
|
8,878 |
|
|
|
10,032 |
|
Trade payables |
|
|
17,572 |
|
|
|
13,989 |
|
Employee related obligations |
|
|
10,158 |
|
|
|
8,745 |
|
Accrued expenses |
|
|
6,896 |
|
|
|
6,767 |
|
Deferred revenues |
|
|
640 |
|
|
|
742 |
|
Current maturities of operating lease liabilities |
|
|
2,157 |
|
|
|
2,494 |
|
Current maturities of finance lease liabilities |
|
|
102 |
|
|
|
240 |
|
Acquisition earn-out liability |
|
|
749 |
|
|
|
2,997 |
|
Current maturities of long-term debt measured under the fair value
option (including $38,675 and $0 due to related parties as of June
30, 2024 and December 31, 2023, respectively) |
|
|
38,675 |
|
|
|
14,286 |
|
Warrants and phantom warrants to purchase ordinary shares |
|
|
1,531 |
|
|
|
- |
|
Other current liabilities |
|
|
2,642 |
|
|
|
448 |
|
TOTAL CURRENT
LIABILITIES |
|
|
94,116 |
|
|
|
64,886 |
|
LONG-TERM
LIABILITIES: |
|
|
|
|
|
|
|
|
Long-term debt measured under the fair value option (including $0
and $21,976 due to related parties as of June 30, 2024 and December
31, 2023, respectively) |
|
|
16,763 |
|
|
|
30,841 |
|
Convertible loans (CLAs) measured under the fair value option
(including $0 and $9,780 due to related parties, as of June 30,
2024 and December 31, 2023, respectively) |
|
|
- |
|
|
|
55,940 |
|
Long-term bank loan |
|
|
7,210 |
|
|
|
7,850 |
|
Warrants and phantom warrants to purchase preferred shares |
|
|
- |
|
|
|
21,566 |
|
Operating lease liabilities |
|
|
8,195 |
|
|
|
9,112 |
|
Finance lease liabilities |
|
|
29 |
|
|
|
96 |
|
Long-term employee related obligations |
|
|
1,680 |
|
|
|
1,868 |
|
Employee rights upon retirement |
|
|
1,025 |
|
|
|
1,208 |
|
Other long-term liabilities |
|
|
718 |
|
|
|
931 |
|
TOTAL LONG-TERM
LIABILITIES |
|
|
35,620 |
|
|
|
129,412 |
|
COMMITMENTS AND
CONTINGENT LIABILITIES |
|
|
|
|
|
|
|
|
TOTAL
LIABILITIES |
|
$ |
129,736 |
|
|
$ |
194,298 |
|
REDEEMABLE CONVERTIBLE
PREFERRED SHARES: |
|
|
|
|
|
|
Convertible Preferred Shares
A, A-1, A-2 and A-3 (hereafter “Preferred Shares A”) (NIS 0.23 par
value per share, 0 and 3,671,937 shares authorized as of June 30,
2024 and December 31, 2023, 0 and 2,192,611 issued and outstanding
as of June 30, 2024 and December 31, 2023, respectively); |
|
|
|
|
|
|
Convertible Preferred Shares B
(NIS 0.23 par value per share, 0 and 439,091 shares authorized as
of June 30, 2024 and December 31, 2023, 0 and 333,366 issued and
outstanding as of June 30, 2024 and December 31, 2023,
respectively); |
|
|
|
|
|
|
Convertible Preferred Shares C
(NIS 0.23 par value per share, 0 and 2,195,457 shares authorized as
of June 30, 2024 and December 31, 2023, 0 and 590,059 issued and
outstanding as of June 30, 2024 and December 31, 2023,
respectively; aggregate liquidation preference of $0 and $9,039 as
of June 30, 2024 and December 31, 2023, respectively) |
|
|
|
|
|
|
Convertible Preferred Shares D
(NIS 0.23 par value per share, 0 and 2,195,457 shares authorized as
of June 30, 2024 and December 31, 2023 respectively, 0 and
1,587,881 issued and outstanding as of June 30, 2024 and December
31, 2023, respectively; aggregate liquidation preference of $0 and
$64,152 as of June 30, 2024 and December 31, 2023) |
|
|
|
|
|
|
TOTAL REDEEMABLE CONVERTIBLE PREFERRED SHARES |
|
$ |
- |
|
|
$ |
70,537 |
|
SHAREHOLDERS’ EQUITY
(CAPITAL DEFICIENCY): |
|
|
|
|
|
|
|
|
Ordinary shares (No par value
per shares, 49,200,191 and NIS 0.23 par value per shares 16,987,315
shares authorized as of June 30, 2024 and December 31, 2023
respectively; 18,681,047 and 5,276,184 shares issued and
outstanding as of June 30, 2024 and December 31, 2023) |
|
|
865 |
|
|
|
320 |
|
Additional paid-in
capital |
|
|
273,035 |
|
|
|
35,134 |
|
Other comprehensive loss |
|
|
(2,372 |
) |
|
|
(515 |
) |
Accumulated deficit |
|
|
(208,164 |
) |
|
|
(171,830 |
) |
TOTAL SHAREHOLDERS’
EQUITY (CAPITAL DEFICIENCY) |
|
$ |
63,364 |
|
|
$ |
(136,891 |
) |
TOTAL LIABILITIES AND
SHAREHOLDERS’ EQUITY (CAPITAL DEFICIENCY) |
|
$ |
193,100 |
|
|
$ |
127,944 |
|
GAUZY LTD.CONDENSED CONSOLIDATED STATEMENTS
OF CASH FLOWS (Unaudited)(U.S. dollars in thousands) |
|
|
Six months endedJune 30, |
|
|
|
2024 |
|
|
2023 |
|
CASH FLOWS FROM
OPERATING ACTIVITIES: |
|
|
|
|
|
|
Net loss |
|
$ |
(35,335 |
) |
|
$ |
(37,321 |
) |
Adjustments to reconcile net loss to net cash provided by (used in)
operating activities: |
|
|
|
|
|
|
|
|
Depreciation and amortization |
|
|
3,043 |
|
|
|
2,764 |
|
Gain from sale and sale of property and equipment, net |
|
|
(16 |
) |
|
|
- |
|
Unrealized losses (gains) on restricted marketable securities |
|
|
(1,525 |
) |
|
|
570 |
|
Share-based compensation |
|
|
3,324 |
|
|
|
824 |
|
Earn-out liability Revaluation |
|
|
(38 |
) |
|
|
953 |
|
Non-cash financial expenses |
|
|
18,076 |
|
|
|
20,126 |
|
Changes in operating assets and liabilities: |
|
|
|
|
|
|
|
|
Trade receivables |
|
|
(1,248 |
) |
|
|
(406 |
) |
Other current assets |
|
|
(103 |
) |
|
|
(765 |
) |
Institutions |
|
|
(1,408 |
) |
|
|
(440 |
) |
Inventories |
|
|
(1,872 |
) |
|
|
(1,054 |
) |
Operating lease assets |
|
|
1,115 |
|
|
|
981 |
|
Other non-current assets |
|
|
41 |
|
|
|
(37 |
) |
Trade payables |
|
|
3,756 |
|
|
|
1,140 |
|
Accrued expenses |
|
|
11 |
|
|
|
1,330 |
|
Payment of Earn-out |
|
|
(2,210 |
) |
|
|
- |
|
Other current liabilities |
|
|
(152 |
) |
|
|
(109 |
) |
Other long-term liabilities |
|
|
(317 |
) |
|
|
131 |
|
Employee related obligations |
|
|
1,326 |
|
|
|
2,627 |
|
Employee rights upon retirement |
|
|
63 |
|
|
|
- |
|
Deferred revenues |
|
|
(101 |
) |
|
|
(1,033 |
) |
Operating lease liabilities |
|
|
(1,038 |
) |
|
|
(1,012 |
) |
Net cash used in operating activities |
|
|
(15,663 |
) |
|
|
(10,731 |
) |
|
|
|
|
|
|
|
|
|
CASH FLOWS FROM
INVESTMENT ACTIVITIES: |
|
|
|
|
|
|
|
|
Purchases of property and equipment |
|
|
(4,342 |
) |
|
|
(2,797 |
) |
Proceeds from sale of property and equipment |
|
|
124 |
|
|
|
- |
|
Advance on purchase of IP |
|
|
- |
|
|
|
(2,500 |
) |
Net cash used in investing activities |
|
|
(4,218 |
) |
|
|
(5,297 |
) |
|
|
|
|
|
|
|
|
|
CASH FLOWS FROM
FINANCING ACTIVITIES: |
|
|
|
|
|
|
|
|
Proceeds from initial public offering |
|
|
75,000 |
|
|
|
- |
|
Underwriters’ IPO costs |
|
|
(6,750 |
) |
|
|
- |
|
IPO other costs |
|
|
(1,730 |
) |
|
|
- |
|
Proceeds from loans and issuance of warrants |
|
|
- |
|
|
|
114 |
|
Payments in respect of bank borrowings |
|
|
(1,168 |
) |
|
|
(598 |
) |
Proceeds from exercise of options into ordinary shares |
|
|
12 |
|
|
|
1 |
|
Financial lease payments |
|
|
(130 |
) |
|
|
(155 |
) |
Payments to short-term loan relating to factoring arrangements,
net |
|
|
(1,059 |
) |
|
|
(861 |
) |
Proceeds from (payment to) of redeemable convertible preferred
shares |
|
|
- |
|
|
|
1,316 |
|
Settlement of Phantom warrants |
|
|
(1,500 |
) |
|
|
- |
|
Proceeds from issuance of convertible loans |
|
|
11,750 |
|
|
|
13,646 |
|
Proceeds from long-term debt measured under the fair value option,
net |
|
|
29,149 |
|
|
|
- |
|
Repayment of long-term debt measured under the fair value
option |
|
|
(24,600 |
) |
|
|
- |
|
Net cash provided by financing activities |
|
|
78,974 |
|
|
|
13,463 |
|
INCREASE (DECREASE) IN
CASH, CASH EQUIVALENTS AND RESTRICTED CASH |
|
|
59,093 |
|
|
|
(2,565 |
) |
TRANSLATION ADJUSTMENT
ON CASH AND CASH EQUIVALENTS AND RESTRICTED CASH |
|
|
(13 |
) |
|
|
42 |
|
BALANCE OF CASH, CASH
EQUIVALENTS AND RESTRICTED CASH AT BEGINNING OF YEAR |
|
|
4,705 |
|
|
|
4,696 |
|
BALANCE OF CASH, CASH
EQUIVALENTS AND RESTRICTED CASH AT END OF YEAR |
|
$ |
63,785 |
|
|
$ |
2,173 |
|
RECONCILIATION OF
CASH, CASH EQUIVALENTS AND RESTRICTED CASH REPORTED IN THE
CONSOLIDATED BALANCE SHEETS: |
|
|
|
|
|
|
|
|
Cash and cash equivalents |
|
$ |
63,700 |
|
|
$ |
2,048 |
|
Restricted cash |
|
|
85 |
|
|
|
125 |
|
TOTAL CASH, CASH
EQUIVALENTS AND RESTRICTED CASH SHOWN IN STATEMENT OF CASH
FLOWS |
|
$ |
63,785 |
|
|
$ |
2,173 |
|
GAUZY LTD.SEGMENT REVENUE AND GROSS
PROFIT(Unaudited)(U.S. dollars in thousands) |
|
|
Three months ended June 30, 2024 |
|
|
|
Aeronautics |
|
|
Architecture |
|
|
Automotive |
|
|
Safety tech |
|
|
Total |
|
Revenues from external customers |
|
|
10,045 |
|
|
|
2,625 |
|
|
|
912 |
|
|
|
10,827 |
|
|
|
24,409 |
|
Intersegment revenues |
|
|
782 |
|
|
|
104 |
|
|
|
- |
|
|
|
- |
|
|
|
886 |
|
Gross profit (loss) (segment
profit) |
|
|
3,914 |
|
|
|
916 |
|
|
|
(148 |
) |
|
|
2,232 |
|
|
|
6,914 |
|
|
|
Three months ended June 30, 2023 |
|
|
|
Aeronautics |
|
|
Architecture |
|
|
Automotive |
|
|
Safety tech |
|
|
Total |
|
Revenues from external customers |
|
|
7,816 |
|
|
|
3,329 |
|
|
|
508 |
|
|
|
8,281 |
|
|
|
19,934 |
|
Intersegment revenues |
|
|
633 |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
633 |
|
Gross profit (loss) (segment
profit) |
|
|
2,140 |
|
|
|
1,038 |
|
|
|
(72 |
) |
|
|
1,240 |
|
|
|
4,346 |
|
|
|
Six months ended June 30, 2024 |
|
|
|
Aeronautics |
|
|
Architecture |
|
|
Automotive |
|
|
Safety tech |
|
|
Total |
|
Revenues from external customers |
|
|
20,181 |
|
|
|
5,255 |
|
|
|
2,218 |
|
|
|
21,484 |
|
|
|
49,138 |
|
Intersegment revenues |
|
|
1,761 |
|
|
|
104 |
|
|
|
- |
|
|
|
- |
|
|
|
1,865 |
|
Gross profit (loss) (segment
profit) |
|
|
8,549 |
|
|
|
1,676 |
|
|
|
(533 |
) |
|
|
3,761 |
|
|
|
13,453 |
|
|
|
Six months ended June 30, 2023 |
|
|
|
Aeronautics |
|
|
Architecture |
|
|
Automotive |
|
|
Safety tech |
|
|
Total |
|
Revenues from external customers |
|
|
14,811 |
|
|
|
6,345 |
|
|
|
658 |
|
|
|
15,553 |
|
|
|
37,367 |
|
Intersegment revenues |
|
|
633 |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
633 |
|
Gross profit (loss) (segment
profit) |
|
|
4,743 |
|
|
|
2,071 |
|
|
|
(116 |
) |
|
|
2,630 |
|
|
|
9,328 |
|
GAUZY LTD.RECONCILIATION OF U.S. GAAP NET
LOSS TO NON-GAAP ADJUSTED NET LOSS (unaudited)(U.S. dollars in
thousands, except share data) |
|
|
Three Months Ended June 30, |
|
|
Six Months Ended June 30, |
|
(in thousands of USD) |
|
2024 |
|
|
2023 |
|
|
2024 |
|
|
2023 |
|
Net Loss |
|
$ |
(23,087 |
) |
|
|
(18,802 |
) |
|
$ |
(36,334 |
) |
|
|
(37,321 |
) |
Other financial (income) expenses |
|
$ |
12,062 |
|
|
|
7,945 |
|
|
$ |
11,169 |
|
|
|
17,950 |
|
Purchase price accounting amortization |
|
$ |
823 |
|
|
|
824 |
|
|
$ |
1,653 |
|
|
|
1,648 |
|
Acquisition related costs and debt raising costs |
|
$ |
852 |
|
|
|
40 |
|
|
$ |
2,183 |
|
|
|
65 |
|
Non-cash fair value adjustments(1) |
|
$ |
(63 |
) |
|
|
595 |
|
|
$ |
(38 |
) |
|
|
953 |
|
One-time expense (income) |
|
$ |
(130) |
|
|
|
66 |
|
|
$ |
(130) |
|
|
|
116 |
|
Equity-based compensation expense |
|
$ |
1,165 |
|
|
|
402 |
|
|
$ |
3,325 |
|
|
|
824 |
|
Doubtful debt expenses(2) |
|
$ |
553 |
|
|
|
10 |
|
|
$ |
389 |
|
|
|
(3) |
|
Adjusted Net Loss |
|
|
(7,825) |
|
|
|
(8,920) |
|
|
|
(17,783) |
|
|
|
(15,786) |
|
(1) |
One-time expenses related to the Earn Out Agreement with the
Sellers. |
(2) |
Doubtful debt expenses related to accounts receivable that we do
not expect to collect; such amounts are not included in our net
trade receivables. |
GAUZY LTD.RECONCILIATION OF U.S. GAAP NET
LOSS TO NON-GAAP ADJUSTED EBITDA (unaudited) |
|
|
Three Months Ended June 30, |
|
|
Six Months Ended June 30, |
|
(in thousands of USD) |
|
2024 |
|
|
2023 |
|
|
2024 |
|
|
2023 |
|
Net Loss |
|
$ |
(23,087 |
) |
|
|
(18,802 |
) |
|
$ |
(36,334 |
) |
|
|
(37,321 |
) |
Income tax expense (income) |
|
$ |
22 |
|
|
|
41 |
|
|
$ |
84 |
|
|
|
55 |
|
Financial (income) expenses, net |
|
$ |
15,274 |
|
|
|
9,939 |
|
|
$ |
18,828 |
|
|
|
22,886 |
|
Depreciation and amortization |
|
$ |
1,515 |
|
|
|
1,387 |
|
|
$ |
3,043 |
|
|
|
2,764 |
|
EBITDA |
|
$ |
(6,276 |
) |
|
|
(7,436 |
) |
|
$ |
(14,379 |
) |
|
|
(11,616 |
) |
Acquisition related costs and debt raising costs |
|
$ |
852 |
|
|
|
40 |
|
|
$ |
2,182 |
|
|
|
65 |
|
Non-cash fair value adjustments(1) |
|
$ |
(63 |
) |
|
|
595 |
|
|
$ |
(38 |
) |
|
|
953 |
|
Equity-based compensation expense |
|
$ |
1,165 |
|
|
|
402 |
|
|
$ |
3,325 |
|
|
|
824 |
|
Doubtful debt expenses(2) |
|
$ |
553 |
|
|
|
10 |
|
|
$ |
389 |
|
|
|
(3 |
) |
Adjusted EBITDA |
|
$ |
(3,899 |
) |
|
|
(6,323 |
) |
|
$ |
(8,651 |
) |
|
|
(9,661 |
) |
Net Loss Margin |
|
|
(95 |
)% |
|
|
(94 |
)% |
|
|
(74 |
)% |
|
|
(100 |
)% |
Adjusted EBITDA Margin |
|
|
(16 |
)% |
|
|
(32 |
)% |
|
|
(18 |
)% |
|
|
(26 |
)% |
(1) |
One-time expenses related to the Earn Out Agreement with the
Sellers. |
(2) |
Doubtful debt expenses related to accounts receivable that we do
not expect to collect; such amounts are not included in our net
trade receivables. |
Contacts
Media:Brittany Kleiman SwisaGauzy Ltd.press@gauzy.com
Investors:Dan Scott, ICR Inc.ir@gauzy.com
Grafico Azioni Gauzy (NASDAQ:GAUZ)
Storico
Da Lug 2024 a Ago 2024
Grafico Azioni Gauzy (NASDAQ:GAUZ)
Storico
Da Ago 2023 a Ago 2024