FREYR Battery, Inc. (NYSE: FREY) (“FREYR” or the “Company”), a
developer of clean, next-generation battery cell production
capacity, today reported financial results for the fourth quarter
and full year of 2023.
Highlights:
- New operations update: another key milestone reached at
Customer Qualification Plant. Building on recent technical
achievements, FREYR’s Asset Mo team at the Customer Qualification
Plant (“CQP”) conducted successful automated anode casting trials
with active anode slurry in the second half of February. With the
success of the cathode casting trials earlier in February and
today’s announcement, the remaining major milestone before the
expected start of automated production at the CQP is the
integration of the casting webs across the cathode, anode, and
merge units of the Casting and Unit Cell Assembly equipment using
the highly complex Multi-Carrier System (“MCS”). FREYR expects to
commence production of functional battery cells for customer
samples using the full automation of the CQP in H1 2024.
- CQP progress to support U.S. Department of Energy Title 17
application. Based on recent achievements and the production
road map at the CQP, FREYR is positioning the Company to qualify
for a conditional commitment from the U.S. Department of Energy
(“DOE”) Loan Programs Office by year-end 2024. The Company’s Title
17 application is tied to the development of Giga America using the
24M Technologies (“24M”) U.S.-based SemiSolidTM platform. Over the
initial phase of the project, Giga America is expected to generate
hundreds of jobs in Coweta County, GA and the surrounding
areas.
- Launching FREYR 2.0 growth initiative. FREYR’s strong
competitive and financial position is generating interest from a
broad range of participants across the global battery value chain.
Based on ongoing conversations with these stakeholders, the Company
has established the FREYR 2.0 growth initiative, which encompasses
the pursuit of five major opportunities tied to distinct projects
using either the SemiSolid platform or conventional technology
totaling more than 100 GWh of production capacity in the U.S. and
Europe. The prospective end markets for these projects include both
Energy Storage Systems (“ESS”) and passenger EV applications with
the possibility to produce both LFP and NMC cells. Additionally,
the 2.0 initiative includes separate potential inorganic
opportunities to accelerate FREYR’s path to market and first
revenues.
“The actions we have taken to strengthen our organization to
accelerate FREYR’s path to first production and enhance our
financial position are driving tangible progress,” said Birger
Steen, FREYR’s Chief Executive Officer. “I am excited about the
recent achievements of key milestones at the CQP, several exciting
discussions we have ongoing with potential strategic partners, the
completion of our redomicile to the U.S., and the continued
progression of financing initiatives including the DOE Title 17
process. With the start of automated cell production at the CQP
expected in the first half of 2024, we are executing our plan to
demonstrate 24M at scale and to establish FREYR as the Western
industrialization partner of choice in the global battery
space.”
Recent news
- February operations update: On February 7th, 2024, FREYR
published an operations and financial update indicating that the
company had reached the milestone of automatically casting
electrodes with active electrolyte slurry in a dry room environment
at the Customer Qualification Plant (“CQP”) in Mo i Rana,
Norway.
- Year-end 2023 cash balance of $276 million: Having ended
the year with cash, restricted cash and equivalents of $275.7
million as indicated in the operations and financial update
published on February 7th, and with FREYR’s reduced cash
requirements for 2024 compared with 2023, FREYR has a two-year cash
runway before any new financings associated with the DOE Title 17
process and/or the prospective project-level equity raise for Giga
America. The Company’s 2024 spending will be focused on achieving
production using the full automation at the CQP with 24M technology
in H1 2024, the production ramp necessary to deliver testable cells
from the CQP to our customers, the continued development of Giga
America including costs necessary to obtain conditional credit
approval in 2024 for the 24M-based gigafactory from the DOE Title
17 loan program, and pursuing a conventional technology agreement
and project to accelerate the path to first revenues and diversify
FREYR’s end markets. Timing and amounts of cash outlays could vary
depending on the pace and progress of each of these and other
initiatives.
- FREYR is now a U.S. company following completion of
redomicile: On January 2nd, 2024, FREYR announced that the
Company completed the process to redomicile from Luxembourg to the
United States following a shareholder vote at the Company’s
extraordinary general meeting on December 15, 2023. FREYR’s Board
of Directors believes that redomiciling to the United States will
enhance shareholder value by simplifying FREYR’s corporate
structure and reporting requirements; expanding FREYR’s eligibility
for inclusion in equity indexes which would trigger associated
benchmarking by actively managed funds; aligning the Company more
closely with New York Stock Exchange listing standards and SEC
governance requirements; and positioning FREYR to better respond to
global tax developments and U.S. incentive programs for battery
manufacturers.
- CQP interim milestone: On October 4, 2023, FREYR
published an operations update indicating that the teams at the CQP
had successfully begun automatic electrode casting with solvent
slurry. This technically complex step was an important milestone in
the ongoing commissioning process at the CQP and a precursor to
automated production of functional cells for customer samples at
the CQP.
Business update
- CQP. FREYR’s teams at the CQP, in conjunction with the
Company’s vendors and partners, are advancing towards the expected
start of functional cell production for customer samples using the
full automation of the CQP in H1 2024. As of publication, FREYR has
completed handovers of 363 of 388 (94%) discrete production line
equipment commissioning and testing packages. With operations under
dry room conditions including automated production of electrodes
underway and the commissioning process largely complete, the
team’s’ collective emphasis has shifted from installation and
commissioning the plant to producing functional cells. The
remaining 6% of commissioning packages will be finalized upon final
handover of the Casting & Unit Cell Assembly equipment to
operations later this year, which is expected to take place after
the commencement of functional cell production using the full
automation of the CQP.
Results Overview, Financing, and Liquidity
- FREYR reported net loss attributable to stockholders for the
fourth quarter of 2023 of $(24.2) million, or $(0.17) per diluted
share compared to net income for the fourth quarter 2022 of $25.3
million or $0.20 per diluted share. The net loss in the fourth
quarter of 2023 was primarily due to corporate overhead, spending
to support FREYR's projects and business development activities,
research and development spending, and severance and other
termination benefits related to our restructuring, partially offset
by a $8.5 million non-cash gain on warrant liability fair value
adjustment. Net income in the fourth quarter of 2022 was driven by
a $59.8 million non-cash gain on warrant liability fair value
adjustment.
- For the full year ended December 31, 2023, FREYR reported net
loss attributable to stockholders of $(71.9) million, or $(0.51)
per diluted share compared to net loss of $(98.8) million, or
$(0.83) per diluted share for the full year ended December 31,
2022. The net loss in 2023 was primarily due to corporate overhead,
spending to support FREYR's projects and business development
activities, and research and development spending, partially offset
by gains on changes in warranty liabilities and foreign currency
gains during the period.
- As of December 31, 2023, FREYR had cash, cash equivalents, and
restricted cash of $275.7 million.
Business Outlook
FREYR is focused on advancing the following strategic mandates
and milestones:
- Commencing production of functional cells for customer samples
using the full automation of the CQP in H1 2024 is FREYR’s top
strategic priority. Customer validation of the SemiSolid production
process at giga scale and acceptance of product performance
characteristics are key precursors to anticipated customer offtake
conversions and unlocking potential project-level equity and debt
financing, including through the DOE Title 17 program, for GIga
America.
- Completing the DOE Title 17 application process and securing a
conditional commitment from the Loan Programs Office before
year-end 2024.
- Formalizing and announcing an agreement with a conventional
battery technology solutions provider potentially in H1 2024.
- Targeting the formalization of commercial relationships to
trigger development of the project options that are included in the
FREYR 2.0 growth initiative.
- Maintaining the Company’s strong balance sheet and liquidity
profile while making selected investments to advance FREYR’s
strategic development.
Presentation of Fourth Quarter and Full Year 2023
Results
A presentation will be held today, February 29, 2024, at 8:30 am
Eastern Standard Time (2:30 pm Central European Time) to discuss
financial results for the fourth quarter and full year 2023. The
results and presentation material will be available for download at
https://ir.freyrbattery.com.
To access the conference call, listeners should contact the
conference call operator at the appropriate number listed below
approximately 10 minutes prior to the start of the call.
Participant conference call dial-in numbers:
United States: 1 (646) 307-1963 United Kingdom: +44 20 3481 4247
Norway: +47 57 98 94 30 Denmark: +45 32 74 07 10 Spain: +34 910 489
958 Germany: +49 69 589964217 Sweden: +46 8 505 246 90
The participant passcode for the call is: 6712391
A webcast of the conference call will be broadcast
simultaneously at https://app.webinar.net/bP012wvryqm on a
listen-only basis. Please log in at least 10 minutes in advance to
register and download any necessary software.
A replay of the webcast will be available at
https://ir.freyrbattery.com/events-and-presentations/Events-Calendar/default.aspx.
About FREYR Battery
FREYR Battery is a developer of clean, next-generation battery
cell production capacity. The Company’s mission is to accelerate
the decarbonization of global energy and transportation systems by
producing clean, cost-competitive batteries. FREYR seeks to serve
the primary markets of energy storage systems (“ESS”) and
commercial mobility, and the Company maintains an ambition to serve
the passenger electric vehicles market (“EV”). FREYR is
commissioning and operating its Customer Qualification Plant
(“CQP”) for technology development in Mo i Rana, Norway, and the
company is commencing development of the Giga America battery
manufacturing project in Coweta County, Georgia, in the U.S. To
learn more about FREYR, please visit www.freyrbattery.com.
Cautionary Statement Concerning Forward-Looking
Statements
All statements, other than statements of present or historical
fact included in this presentation, including, without limitation,
FREYR Battery’s (“FREYR”) ability to achieve automated, functional,
customer-testable battery sample cells in H1 2024; scaling the
SemiSolid platform as a path to sustainable competitive
differentiation; FREYR’S cost and capital efficiency; FREYR’s plan
to expand on the battery value chain into high value adjacencies
and cultivate partnerships across the cell production technology
spectrum; FREYR’s efforts to accelerate the path to
commercialization; the pursuit of five major project opportunities
in accordance with the FREYR 2.0 growth strategy; potential
inorganic growth opportunities and the ability to generate revenue
in the near-term through possible acquisitions; approaching
milestones at FREYR’s CQP; customer acceptance and validation of
the 24M SemiSolid process and product technology; securing a
conditional commitment from the U.S. Department of Energy (“DOE”)
through the Title 17 application under the Loan Programs Office;
the development, financing, construction, timeline, capacity, and
other usefulness of FREYR’s CQP, Giga Arctic, Giga America, and
other planned or future production facilities or Gigafactories; any
potential project equity raise for the development of Giga America;
any potential benefits of the U.S. Inflation Reduction Act;
establishing and/or announcing a conventional technology agreement;
FREYR’s ability to reduce spending; any potential benefits of
redomiciling to the U.S.; the giga-scalability of the 24M platform;
and the implementation and effectiveness of FREYR’s overall
business, technology, capital-raising and liquidity strategies are
forward-looking statements.
These forward-looking statements involve significant risks and
uncertainties that could cause the actual results to differ
materially from the expected results. Most of these factors are
outside FREYR’s control and are difficult to predict. Additional
information about factors that could materially affect FREYR is set
forth under the “Risk Factors” section in (i) FREYR’s Registration
Statement on Form S-3 filed with the Securities and Exchange
Commission (the “SEC”) on September 1, 2022 and subsequent
post-effective amendment thereto filed on January 5, 2024, (ii)
FREYR Battery, Inc.’s Registration Statement on Form S-4 filed with
the SEC on September 8, 2023 and subsequent amendments thereto
filed on October 13, 2023, October 19, 2023 and October 31, 2023,
(iii) FREYR’s annual report on Form 10-K filed with the SEC on
February 27, 2023, and (iv) FREYR’s quarterly reports on Form 10-Q
filed with the SEC on May 15, 2023 and August 10, 2023 and November
9, 2023 available on the SEC’s website at www.sec.gov. Except as
otherwise required by applicable law, FREYR disclaims any duty to
update any forward-looking statements, all of which are expressly
qualified by the statements in this section, to reflect events or
circumstances after the date of this presentation. Should
underlying assumptions prove incorrect, actual results and
projections could differ materially from those expressed in any
forward-looking statements.
FREYR intends to use its website as a channel of distribution to
disclose information which may be of interest or material to
investors and to communicate with investors and the public. Such
disclosures will be included on FREYR’s website in the ‘Investor
Relations’ sections. FREYR also intends to use certain social media
channels, including, but not limited to, Twitter and LinkedIn, as
means of communicating with the public and investors about FREYR,
its progress, products, and other matters. While not all the
information that FREYR posts to its digital platforms may be deemed
to be of a material nature, some information may be. As a result,
FREYR encourages investors and others interested to review the
information that it posts and to monitor such portions of FREYR’s
website and social media channels on a regular basis, in addition
to following FREYR’s press releases, SEC filings, and public
conference calls and webcasts. The contents of FREYR’s website and
other social media channels shall not be deemed incorporated by
reference in any filing under the Securities Act of 1933, as
amended. FREYR Battery is a developer of clean, next-generation
battery cell production capacity. The company’s mission is to
accelerate the decarbonization of global energy and transportation
systems by producing clean, cost-competitive batteries. FREYR seeks
to serve the primary markets of energy storage systems (“ESS”) and
commercial mobility, and the company maintains an ambition to serve
the passenger electric vehicles market (“EV”). FREYR’s Customer
Qualification Plant (“CQP”) for technology development is in
service in Mo I Rana, Norway, and the company is commencing
development of the Giga America battery manufacturing project in
Coweta County, Georgia, in the U.S. To learn more about FREYR,
please visit www.freyrbattery.com
FREYR BATTERY, INC. CONDENSED
CONSOLIDATED BALANCE SHEETS (In Thousands)
As of December 31,
2023
2022
ASSETS
Current assets:
Cash and cash equivalents
$
253,339
$
443,063
Restricted cash
22,403
119,982
Prepaid assets
2,168
8,293
Other current assets
34,044
8,117
Total current assets
311,954
579,455
Property and equipment, net
366,357
210,777
Intangible assets, net
2,813
2,963
Long-term investments
22,303
—
Convertible note
—
19,954
Right-of-use asset under operating
leases
24,476
14,538
Other long-term assets
4,282
11
Total assets
$
732,185
$
827,698
LIABILITIES AND STOCKHOLDERS’
EQUITY
Current liabilities:
Accounts payable
$
18,113
$
6,765
Accrued liabilities and other
30,790
51,446
Share-based compensation liability
281
4,367
Total current liabilities
49,184
62,578
Warrant liability
2,025
33,849
Operating lease liability
18,816
11,144
Other long-term liabilities
27,444
—
Total liabilities
97,469
107,571
Commitments and contingencies
Stockholders' equity
Preferred stock, $0.01 par value, 10,000
shares authorized, none issued and outstanding as of December 31,
2023
—
—
Common stock, $0.01 par value, 355,000
shares authorized, and 139,705 issued and outstanding as of
December 31, 2023
1,397
—
Ordinary share capital, no par value
shares, 245,000 authorized, 139,854 issued, and 139,705 outstanding
as of December 31, 2022
—
139,854
Additional paid-in capital
925,623
772,602
Treasury stock
—
(1,041
)
Accumulated other comprehensive (loss)
income
(18,826
)
9,094
Accumulated deficit
(274,999
)
(203,054
)
Total stockholders' equity
633,195
717,455
Non-controlling interests
1,521
2,672
Total equity
634,716
720,127
Total liabilities and equity
$
732,185
$
827,698
FREYR BATTERY, INC. CONDENSED
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS (In
Thousands, Except per Share Amounts)
Three months ended
December 31,
Years ended
December 31,
2023
2022
2023
2022
Operating expenses:
General and administrative
$
22,728
$
29,469
$
108,133
$
107,357
Research and development
10,162
4,380
28,457
13,574
Restructuring charge
6,016
—
6,016
—
Share of net loss of equity method
investee
171
426
379
1,557
Total operating expenses
39,077
34,275
142,985
122,488
Loss from operations
(39,077
)
(34,275
)
(142,985
)
(122,488
)
Other income (expense):
Warrant liability fair value
adjustment
8,515
59,771
31,763
14,183
Convertible note fair value adjustment
—
(544
)
1,074
(277
)
Interest income, net
3,907
1,691
9,949
1,780
Foreign currency transaction gain
(loss)
309
(2,903
)
20,855
2,512
Other income, net
1,889
1,227
6,918
5,171
Total other income (expense)
14,620
59,242
70,559
23,369
(Loss) income before income taxes
(24,457
)
24,967
(72,426
)
(99,119
)
Income tax expense
(329
)
—
(670
)
—
Net (loss) income
(24,786
)
24,967
(73,096
)
(99,119
)
Net loss attributable to non-controlling
interests
634
328
1,151
328
Net (loss) income attributable to
stockholders
$
(24,152
)
$
25,295
$
(71,945
)
$
(98,791
)
Weighted average shares outstanding:
Basic
139,705
123,455
139,705
118,474
Diluted
139,705
127,889
139,705
118,474
Net income (loss) per share:
Basic
$
(0.17
)
$
0.20
$
(0.51
)
$
(0.83
)
Diluted
$
(0.17
)
$
0.20
$
(0.51
)
$
(0.83
)
Other comprehensive income (loss):
Net (loss) income
$
(24,786
)
$
24,967
$
(73,096
)
$
(99,119
)
Foreign currency translation adjustments,
net of tax
20,089
26,165
(27,920
)
9,618
Total comprehensive (loss) income
(4,697
)
51,132
(101,016
)
(89,501
)
Comprehensive loss attributable to
non-controlling interests
634
328
1,151
328
Comprehensive (loss) income attributable
to stockholders
$
(4,063
)
$
51,460
$
(99,865
)
$
(89,173
)
FREYR BATTERY, INC. CONDENSED
CONSOLIDATED STATEMENTS OF CASH FLOWS (In Thousands)
For the years ended December
31,
2023
2022
Cash flows from operating
activities:
Net loss
$
(73,096
)
$
(99,119
)
Adjustments to reconcile net loss to cash
used in operating activities:
Share-based compensation expense
11,595
8,643
Depreciation and amortization
3,344
478
Loss on U.S. joint venture
consolidation
—
1,619
Reduction in the carrying amount of
right-of-use assets
1,351
1,458
Warrant liability fair value
adjustment
(31,763
)
(14,183
)
Convertible note fair value adjustment
(1,074
)
277
Share of net loss of equity method
investee
379
1,557
Foreign currency transaction net
unrealized gain
(19,648
)
(2,868
)
Other
469
2
Changes in assets and liabilities:
Prepaid assets and other current
assets
4,487
(3,664
)
Other long-term assets
—
—
Accounts payable, accrued liabilities and
other
20,039
17,385
Operating lease liability
(4,012
)
(1,594
)
Net cash used in operating activities
(87,929
)
(90,009
)
Cash flows from investing
activities:
Proceeds from property related grants
3,500
10,461
Purchases of property and equipment
(187,823
)
(180,787
)
Investments in equity method investee
(1,655
)
(3,000
)
Asset acquisition, cash acquired
—
300
Purchases of other long-term assets
(1,000
)
(2,000
)
Net cash used in investing activities
(186,978
)
(175,026
)
Cash flows from financing
activities:
Proceeds from issuance of ordinary shares,
net
—
251,124
Repurchase of treasury shares
—
(1,052
)
Net cash provided by financing
activities
—
250,072
Effect of changes in foreign exchange
rates on cash, cash equivalents, and restricted cash
(12,396
)
12,381
Net decrease in cash, cash equivalents,
and restricted cash
(287,303
)
(2,582
)
Cash, cash equivalents, and restricted
cash at beginning of period
563,045
565,627
Cash, cash equivalents, and restricted
cash at end of period
$
275,742
$
563,045
Reconciliation to consolidated balance
sheets:
Cash and cash equivalents
$
253,339
$
443,063
Restricted cash
22,403
119,982
Cash, cash equivalents, and restricted
cash
$
275,742
$
563,045
View source
version on businesswire.com: https://www.businesswire.com/news/home/20240229252927/en/
Investor contact: Jeffrey Spittel Head of Investor
Relations jeffrey.spittel@freyrbattery.com Tel: (+1)
409-599-5706 Media contact: Amy Jaick Global Head of
Communications amy.jaick@freyrbattery.com Tel: (+1) 973
713-5585
Grafico Azioni FREYR Battery (NYSE:FREY)
Storico
Da Nov 2024 a Dic 2024
Grafico Azioni FREYR Battery (NYSE:FREY)
Storico
Da Dic 2023 a Dic 2024