Recent Quotes View Full List My Watchlist Create Watchlist Indicators DJI Nasdaq Composite SPX Gold Crude Oil Hydroworld Market Index Markets Stocks ETFs Tools Overview News Currencies International Treasuries AEye Reports Third Quarter 2023 Results By: AEye, Inc. via Business Wire November 09, 2023 at 16:05 PM EST Provides Update on Automotive-First Strategy Significant Reduction in Burn Rate Extending Cash Runway out to 2025 AEye, Inc. (Nasdaq: LIDR), a global leader in adaptive, high performance lidar solutions, today announced its results for the third quarter ended September 30, 2023. Management Commentary “Market conditions are evolving, and we believe the lidar market has shifted from a ‘battle for the best technology’ to a ‘battle for the best path to commercialization.’ We’ve been relentlessly focused on ensuring AEye enters the automotive market with a differentiated and superior product, so we are ready for the transition,” said Matt Fisch, AEye CEO. “We have recently taken decisive steps to optimize our operating and cost structure around our automotive-first strategy and are well positioned with the right technology, business model and resources to deliver sustained growth and success over the long-term.” Key Q3 2023 Financial Highlights “During the quarter, we achieved our goal of reducing our cash burn by 50% since the beginning of the year, one quarter sooner than anticipated. We have now aligned our expenses with our automotive-first strategy and have extended our cash runway into 2025. We closed the quarter with a healthy balance sheet, including $45.9 million of cash, and will continue to manage expenses carefully,” said Conor Tierney, AEye CFO. “The continued cost reduction initiatives in the third quarter were the main driver for meeting our GAAP EPS net loss guidance and beating our non-GAAP EPS net loss guidance by one cent.” Revenue of $0.2 million in the third quarter of 2023. GAAP net loss was $(17.0) million, or $(0.09) per share, based on 184.1 million weighted average common shares outstanding. Non-GAAP net loss was $(9.5) million, or $(0.05) per share, based on 184.1 million weighted average common shares outstanding. Cash, cash equivalents, and marketable securities were $45.9 million as of September 30, 2023. Conference Call and Webcast Details AEye management will hold a conference call today, November 9, 2023, at 2:00 p.m. Pacific Time (5:00 p.m. Eastern Time) to discuss these results. AEye CEO Matt Fisch and CFO Conor Tierney 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/. Access is also available via: Conference call: https://bit.ly/AEyeconferencecall Webcast: https://bit.ly/AEyewebcast About AEye AEye’s unique software-defined lidar solution enables advanced driver-assistance, vehicle autonomy, smart infrastructure, and logistics 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, 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 comparisons. 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 press release 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 the registration statements on Forms S-1s and S-3s, plus expenses related to the Common Stock Purchase Agreement, less change in fair value of convertible note and warrant liabilities, plus realized loss on instrument-specific credit risk, plus one-time termination benefits and restructuring costs, plus non-routine write-down of inventory, plus impairment of ROU assets, plus stock issuance costs, plus debt issuance costs; and Adjusted EBITDA which is defined as non-GAAP net loss plus depreciation and amortization 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 the adaptability, benefits, and features of AEye’s products, the competitive advantages of AEye’s business model, as well as the use of lidar in automobiles generally, 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 4Sight Intelligent Sensing Platform’s software-definable lidar may not enhance advanced driver assistance systems (ADAS) capabilities, enable next gen safety features, nor enable software revenue opportunities as anticipated, or at all; (ii) the risks that the 4Sight reference designs may not be differentiated technically by their range, resolution, reliability, and reconfigurability to the extent anticipated, or at all; (iii) the risk that the licenses to Tier 1 automotive suppliers may not result in high volume manufacturing in the time frame anticipated, or at all; (iv) the risks that the automotive industry may not rely on software architectures as anticipated, or at all; (v) the risks that AEye’s 4Sight Intelligent Sensing Platform may not reduce time-to-market for new features, allow OEMs to continuously improve upon or introduce features and functionality across all vehicle models through software upgrades, or allow OEMs to deliver a future-proofed ADAS roadmap as anticipated, or at all; (vi) the risks that lidar adoption occurs slower than anticipated or fails to occur at all; (vii) the risks that AEye’s products may not meet the diverse range of performance and functional requirements of target markets and customers; (viii) the risks that AEye’s products may not function as anticipated by AEye, or by target markets and customers; (ix) the risks that AEye may not be in a position to adequately or timely address either the near or long-term opportunities that may or may not exist in the evolving autonomous transportation industry; (x) the risks that laws and regulations are adopted impacting the use of lidar that AEye is unable to comply with, in whole or in part; (xi) the risks associated with 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; (xii) the risks that AEye is unable to adequately implement its business plans, forecasts, and other expectations, and identify and realize additional opportunities; and (xiii) 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 lingering effects of the COVID-19 pandemic, which continues to cause 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 periodic report 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. AEYE, INC.Consolidated Balance Sheets(In thousands)(Unaudited) September 30, 2023 December 31, 2022 ASSETS Current Assets: Cash and cash equivalents $ 37,149 $ 19,064 Marketable securities 8,743 75,135 Accounts receivable, net 238 617 Inventories, net 4,868 4,553 Prepaid and other current assets 4,509 6,181 Total current assets 55,507 105,550 Right-of-use assets 14,397 15,502 Property and equipment, net 7,787 7,665 Restricted cash 2,150 2,150 Other noncurrent assets 1,040 2,473 Total assets $ 80,881 $ 133,340 LIABILITIES AND STOCKHOLDERS’ EQUITY Current Liabilities: Accounts payable $ 4,707 $ 3,218 Accrued expenses and other current liabilities 7,247 9,764 Contract liabilities 18 987 Convertible notes — 8,594 Total current liabilities 11,972 22,563 Operating lease liabilities, noncurrent 15,484 16,681 Other noncurrent liabilities 82 126 Total liabilities 27,538 39,370 Stockholders' Equity: Preferred stock — — Common stock 19 16 Additional paid-in capital 363,176 345,742 Accumulated other comprehensive income (loss) 1 (1,279 ) Accumulated deficit (309,853 ) (250,509 ) Total stockholders’ equity 53,343 93,970 Total liabilities and stockholders’ equity $ 80,881 $ 133,340 AEYE, INC.Consolidated Statements of Operations(In thousands, except share and per share data)(Unaudited) Three months ended September 30, Nine months ended September 30, 2023 2022 2023 2022 Revenue: Prototype sales $ 56 $ 652 $ 426 $ 1,182 Development contracts 132 115 969 1,373 Total revenue 188 767 1,395 2,555 Cost of revenue 4,479 2,708 8,651 5,617 Gross loss (4,291 ) (1,941 ) (7,256 ) (3,062 ) Operating Expenses: Research and development 5,654 8,971 20,993 28,309 Sales and marketing 1,910 4,466 10,782 14,405 General and administrative 5,380 7,896 20,279 29,053 Total operating expenses 12,944 21,333 52,054 71,767 Loss from operations (17,235 ) (23,274 ) (59,310 ) (74,829 ) Other income (expense): Change in fair value of convertible note and warrant liabilities 12 16 (914 ) 125 Interest income and other 354 335 932 1,109 Interest expense and other (174 ) (688 ) (9 ) (1,338 ) Total other income (expense), net 192 (337 ) 9 (104 ) Provision for income tax expense 5 13 43 39 Net loss $ (17,048 ) $ (23,624 ) $ (59,344 ) $ (74,972 ) Per Share Data Net loss per common share (basic and diluted) $ (0.09 ) $ (0.15 ) $ (0.34 ) $ (0.48 ) Weighted average common shares outstanding (basic and diluted) 184,117,531 159,312,203 172,182,776 156,702,000 AEYE, INC.Consolidated Statements of Cash Flows(In thousands)(Unaudited) Nine months ended September 30, 2023 2022 Cash flows from operating activities: Net loss $ (59,344 ) $ (74,972 ) Adjustments to reconcile net loss to net cash used in operating activities: Depreciation and amortization 998 794 Loss on sale of property and equipment, net 53 — Noncash lease expense relating to operating lease right-of-use assets 1,058 993 Impairment of right-of-use assets 47 — Inventory write-downs, net of scrapped inventory 3,666 576 Change in fair value of convertible note and warrant liabilities 914 (125 ) Realized loss on instrument-specific credit risk 46 — Stock-based compensation 14,707 18,003 Realized loss on redemption of marketable securities — 77 Amortization of premiums and accretion of discounts on marketable securities, net of change in accrued interest 33 1,211 Changes in operating assets and liabilities: Accounts receivable, net 379 3,598 Inventories, current and noncurrent, net (2,681 ) (2,256 ) Prepaid and other current assets 1,672 (445 ) Other noncurrent assets 133 420 Accounts payable 1,494 (1,236 ) Accrued expenses and other current liabilities (2,571 ) 220 Operating lease liabilities (1,143 ) (983 ) Contract liabilities (969 ) (1,400 ) Net cash used in operating activities (41,508 ) (55,525 ) Cash flows from investing activities: Purchase of property and equipment (1,421 ) (3,402 ) Proceeds from sale of property and equipment 243 — Purchase of marketable securities (8,736 ) — Proceeds from redemptions and maturities of marketable securities 76,350 93,592 Net cash provided by investing activities 66,436 90,190 Cash flows from financing activities: Proceeds from exercise of stock options 450 1,032 Proceeds from the issuance of convertible notes — 10,000 Payments for convertible note redemptions (6,235 ) — Taxes paid related to the net share settlement of equity awards (1,312 ) (4,252 ) Proceeds from issuance of common stock under the Common Stock Purchase Agreement 136 2,891 Proceeds from issuance of common stock through Employee Stock Purchase Plan 118 — Stock issuance costs related to the Common Stock Purchase Agreement — (29 ) Net cash (used in) provided by financing activities (6,843 ) 9,642 Net increase in cash, cash equivalents and restricted cash 18,085 44,307 Cash, cash equivalents and restricted cash at beginning of period 21,214 16,333 Cash, cash equivalents and restricted cash at end of period $ 39,299 $ 60,640 AEYE, INC.Reconciliation of GAAP to Non-GAAP Financial Measures(In thousands, except share and per share data)(Unaudited) Three months ended September 30, Nine months ended September 30, 2023 2022 2023 2022 GAAP net loss $ (17,048 ) $ (23,624 ) $ (59,344 ) $ (74,972 ) Non-GAAP adjustments: Stock-based compensation 4,084 6,106 14,707 18,003 Expenses related to registration statement on Form S-1s and Form S-3s 192 54 192 304 Expenses related to the Common Stock Purchase Agreement 41 — 41 — Change in fair value of convertible note and warrant liabilities (12 ) (16 ) 914 (125 ) Realized loss on instrument-specific credit risk 46 — 46 — Stock issuance costs — — — 28 Debt issuance costs — 437 — 437 One-time termination benefits and restructuring costs 172 — 1,470 — Non-routine write-down of inventory 3,007 — 3,007 — Impairment of right-of-use assets — — 47 — Non-GAAP net loss $ (9,518 ) $ (17,043 ) $ (38,920 ) $ (56,325 ) Depreciation and amortization expense 332 331 998 794 Interest income and other (354 ) (335 ) (932 ) (1,109 ) Interest expense and other 128 307 (84 ) 928 Provision for income tax expense 5 13 43 39 Adjusted EBITDA $ (9,407 ) $ (16,727 ) $ (38,895 ) $ (55,673 ) GAAP net loss per share attributable to common stockholders: Basic and diluted $ (0.09 ) $ (0.15 ) $ (0.34 ) $ (0.48 ) Non-GAAP net loss per share attributable to common stockholders: Basic and diluted $ (0.05 ) $ (0.11 ) $ (0.23 ) $ (0.36 ) Shares used in computing GAAP net loss per share attributable to common stockholders: Basic and diluted 184,117,531 159,312,203 172,182,776 156,702,000 Shares used in computing Non-GAAP net loss per share attributable to common stockholders: Basic and diluted 184,117,531 159,312,203 172,182,776 156,702,000 View source version on businesswire.com: https://www.businesswire.com/news/home/20231107055684/en/Contacts Jennifer Deitsch AEye, Inc. jennifer@aeye.ai 925-400-4366 Evan Niu, CFA Financial Profiles, Inc. eniu@finprofiles.com 310-622-8243 Data & News supplied by www.cloudquote.io Stock quotes supplied by Barchart Quotes delayed at least 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AEye Reports Third Quarter 2023 Results By: AEye, Inc. via Business Wire November 09, 2023 at 16:05 PM EST Provides Update on Automotive-First Strategy Significant Reduction in Burn Rate Extending Cash Runway out to 2025 AEye, Inc. (Nasdaq: LIDR), a global leader in adaptive, high performance lidar solutions, today announced its results for the third quarter ended September 30, 2023. Management Commentary “Market conditions are evolving, and we believe the lidar market has shifted from a ‘battle for the best technology’ to a ‘battle for the best path to commercialization.’ We’ve been relentlessly focused on ensuring AEye enters the automotive market with a differentiated and superior product, so we are ready for the transition,” said Matt Fisch, AEye CEO. “We have recently taken decisive steps to optimize our operating and cost structure around our automotive-first strategy and are well positioned with the right technology, business model and resources to deliver sustained growth and success over the long-term.” Key Q3 2023 Financial Highlights “During the quarter, we achieved our goal of reducing our cash burn by 50% since the beginning of the year, one quarter sooner than anticipated. We have now aligned our expenses with our automotive-first strategy and have extended our cash runway into 2025. We closed the quarter with a healthy balance sheet, including $45.9 million of cash, and will continue to manage expenses carefully,” said Conor Tierney, AEye CFO. “The continued cost reduction initiatives in the third quarter were the main driver for meeting our GAAP EPS net loss guidance and beating our non-GAAP EPS net loss guidance by one cent.” Revenue of $0.2 million in the third quarter of 2023. GAAP net loss was $(17.0) million, or $(0.09) per share, based on 184.1 million weighted average common shares outstanding. Non-GAAP net loss was $(9.5) million, or $(0.05) per share, based on 184.1 million weighted average common shares outstanding. Cash, cash equivalents, and marketable securities were $45.9 million as of September 30, 2023. Conference Call and Webcast Details AEye management will hold a conference call today, November 9, 2023, at 2:00 p.m. Pacific Time (5:00 p.m. Eastern Time) to discuss these results. AEye CEO Matt Fisch and CFO Conor Tierney 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/. Access is also available via: Conference call: https://bit.ly/AEyeconferencecall Webcast: https://bit.ly/AEyewebcast About AEye AEye’s unique software-defined lidar solution enables advanced driver-assistance, vehicle autonomy, smart infrastructure, and logistics 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, 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 comparisons. 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 press release 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 the registration statements on Forms S-1s and S-3s, plus expenses related to the Common Stock Purchase Agreement, less change in fair value of convertible note and warrant liabilities, plus realized loss on instrument-specific credit risk, plus one-time termination benefits and restructuring costs, plus non-routine write-down of inventory, plus impairment of ROU assets, plus stock issuance costs, plus debt issuance costs; and Adjusted EBITDA which is defined as non-GAAP net loss plus depreciation and amortization 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 the adaptability, benefits, and features of AEye’s products, the competitive advantages of AEye’s business model, as well as the use of lidar in automobiles generally, 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 4Sight Intelligent Sensing Platform’s software-definable lidar may not enhance advanced driver assistance systems (ADAS) capabilities, enable next gen safety features, nor enable software revenue opportunities as anticipated, or at all; (ii) the risks that the 4Sight reference designs may not be differentiated technically by their range, resolution, reliability, and reconfigurability to the extent anticipated, or at all; (iii) the risk that the licenses to Tier 1 automotive suppliers may not result in high volume manufacturing in the time frame anticipated, or at all; (iv) the risks that the automotive industry may not rely on software architectures as anticipated, or at all; (v) the risks that AEye’s 4Sight Intelligent Sensing Platform may not reduce time-to-market for new features, allow OEMs to continuously improve upon or introduce features and functionality across all vehicle models through software upgrades, or allow OEMs to deliver a future-proofed ADAS roadmap as anticipated, or at all; (vi) the risks that lidar adoption occurs slower than anticipated or fails to occur at all; (vii) the risks that AEye’s products may not meet the diverse range of performance and functional requirements of target markets and customers; (viii) the risks that AEye’s products may not function as anticipated by AEye, or by target markets and customers; (ix) the risks that AEye may not be in a position to adequately or timely address either the near or long-term opportunities that may or may not exist in the evolving autonomous transportation industry; (x) the risks that laws and regulations are adopted impacting the use of lidar that AEye is unable to comply with, in whole or in part; (xi) the risks associated with 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; (xii) the risks that AEye is unable to adequately implement its business plans, forecasts, and other expectations, and identify and realize additional opportunities; and (xiii) 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 lingering effects of the COVID-19 pandemic, which continues to cause 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 periodic report 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. AEYE, INC.Consolidated Balance Sheets(In thousands)(Unaudited) September 30, 2023 December 31, 2022 ASSETS Current Assets: Cash and cash equivalents $ 37,149 $ 19,064 Marketable securities 8,743 75,135 Accounts receivable, net 238 617 Inventories, net 4,868 4,553 Prepaid and other current assets 4,509 6,181 Total current assets 55,507 105,550 Right-of-use assets 14,397 15,502 Property and equipment, net 7,787 7,665 Restricted cash 2,150 2,150 Other noncurrent assets 1,040 2,473 Total assets $ 80,881 $ 133,340 LIABILITIES AND STOCKHOLDERS’ EQUITY Current Liabilities: Accounts payable $ 4,707 $ 3,218 Accrued expenses and other current liabilities 7,247 9,764 Contract liabilities 18 987 Convertible notes — 8,594 Total current liabilities 11,972 22,563 Operating lease liabilities, noncurrent 15,484 16,681 Other noncurrent liabilities 82 126 Total liabilities 27,538 39,370 Stockholders' Equity: Preferred stock — — Common stock 19 16 Additional paid-in capital 363,176 345,742 Accumulated other comprehensive income (loss) 1 (1,279 ) Accumulated deficit (309,853 ) (250,509 ) Total stockholders’ equity 53,343 93,970 Total liabilities and stockholders’ equity $ 80,881 $ 133,340 AEYE, INC.Consolidated Statements of Operations(In thousands, except share and per share data)(Unaudited) Three months ended September 30, Nine months ended September 30, 2023 2022 2023 2022 Revenue: Prototype sales $ 56 $ 652 $ 426 $ 1,182 Development contracts 132 115 969 1,373 Total revenue 188 767 1,395 2,555 Cost of revenue 4,479 2,708 8,651 5,617 Gross loss (4,291 ) (1,941 ) (7,256 ) (3,062 ) Operating Expenses: Research and development 5,654 8,971 20,993 28,309 Sales and marketing 1,910 4,466 10,782 14,405 General and administrative 5,380 7,896 20,279 29,053 Total operating expenses 12,944 21,333 52,054 71,767 Loss from operations (17,235 ) (23,274 ) (59,310 ) (74,829 ) Other income (expense): Change in fair value of convertible note and warrant liabilities 12 16 (914 ) 125 Interest income and other 354 335 932 1,109 Interest expense and other (174 ) (688 ) (9 ) (1,338 ) Total other income (expense), net 192 (337 ) 9 (104 ) Provision for income tax expense 5 13 43 39 Net loss $ (17,048 ) $ (23,624 ) $ (59,344 ) $ (74,972 ) Per Share Data Net loss per common share (basic and diluted) $ (0.09 ) $ (0.15 ) $ (0.34 ) $ (0.48 ) Weighted average common shares outstanding (basic and diluted) 184,117,531 159,312,203 172,182,776 156,702,000 AEYE, INC.Consolidated Statements of Cash Flows(In thousands)(Unaudited) Nine months ended September 30, 2023 2022 Cash flows from operating activities: Net loss $ (59,344 ) $ (74,972 ) Adjustments to reconcile net loss to net cash used in operating activities: Depreciation and amortization 998 794 Loss on sale of property and equipment, net 53 — Noncash lease expense relating to operating lease right-of-use assets 1,058 993 Impairment of right-of-use assets 47 — Inventory write-downs, net of scrapped inventory 3,666 576 Change in fair value of convertible note and warrant liabilities 914 (125 ) Realized loss on instrument-specific credit risk 46 — Stock-based compensation 14,707 18,003 Realized loss on redemption of marketable securities — 77 Amortization of premiums and accretion of discounts on marketable securities, net of change in accrued interest 33 1,211 Changes in operating assets and liabilities: Accounts receivable, net 379 3,598 Inventories, current and noncurrent, net (2,681 ) (2,256 ) Prepaid and other current assets 1,672 (445 ) Other noncurrent assets 133 420 Accounts payable 1,494 (1,236 ) Accrued expenses and other current liabilities (2,571 ) 220 Operating lease liabilities (1,143 ) (983 ) Contract liabilities (969 ) (1,400 ) Net cash used in operating activities (41,508 ) (55,525 ) Cash flows from investing activities: Purchase of property and equipment (1,421 ) (3,402 ) Proceeds from sale of property and equipment 243 — Purchase of marketable securities (8,736 ) — Proceeds from redemptions and maturities of marketable securities 76,350 93,592 Net cash provided by investing activities 66,436 90,190 Cash flows from financing activities: Proceeds from exercise of stock options 450 1,032 Proceeds from the issuance of convertible notes — 10,000 Payments for convertible note redemptions (6,235 ) — Taxes paid related to the net share settlement of equity awards (1,312 ) (4,252 ) Proceeds from issuance of common stock under the Common Stock Purchase Agreement 136 2,891 Proceeds from issuance of common stock through Employee Stock Purchase Plan 118 — Stock issuance costs related to the Common Stock Purchase Agreement — (29 ) Net cash (used in) provided by financing activities (6,843 ) 9,642 Net increase in cash, cash equivalents and restricted cash 18,085 44,307 Cash, cash equivalents and restricted cash at beginning of period 21,214 16,333 Cash, cash equivalents and restricted cash at end of period $ 39,299 $ 60,640 AEYE, INC.Reconciliation of GAAP to Non-GAAP Financial Measures(In thousands, except share and per share data)(Unaudited) Three months ended September 30, Nine months ended September 30, 2023 2022 2023 2022 GAAP net loss $ (17,048 ) $ (23,624 ) $ (59,344 ) $ (74,972 ) Non-GAAP adjustments: Stock-based compensation 4,084 6,106 14,707 18,003 Expenses related to registration statement on Form S-1s and Form S-3s 192 54 192 304 Expenses related to the Common Stock Purchase Agreement 41 — 41 — Change in fair value of convertible note and warrant liabilities (12 ) (16 ) 914 (125 ) Realized loss on instrument-specific credit risk 46 — 46 — Stock issuance costs — — — 28 Debt issuance costs — 437 — 437 One-time termination benefits and restructuring costs 172 — 1,470 — Non-routine write-down of inventory 3,007 — 3,007 — Impairment of right-of-use assets — — 47 — Non-GAAP net loss $ (9,518 ) $ (17,043 ) $ (38,920 ) $ (56,325 ) Depreciation and amortization expense 332 331 998 794 Interest income and other (354 ) (335 ) (932 ) (1,109 ) Interest expense and other 128 307 (84 ) 928 Provision for income tax expense 5 13 43 39 Adjusted EBITDA $ (9,407 ) $ (16,727 ) $ (38,895 ) $ (55,673 ) GAAP net loss per share attributable to common stockholders: Basic and diluted $ (0.09 ) $ (0.15 ) $ (0.34 ) $ (0.48 ) Non-GAAP net loss per share attributable to common stockholders: Basic and diluted $ (0.05 ) $ (0.11 ) $ (0.23 ) $ (0.36 ) Shares used in computing GAAP net loss per share attributable to common stockholders: Basic and diluted 184,117,531 159,312,203 172,182,776 156,702,000 Shares used in computing Non-GAAP net loss per share attributable to common stockholders: Basic and diluted 184,117,531 159,312,203 172,182,776 156,702,000 View source version on businesswire.com: https://www.businesswire.com/news/home/20231107055684/en/Contacts Jennifer Deitsch AEye, Inc. jennifer@aeye.ai 925-400-4366 Evan Niu, CFA Financial Profiles, Inc. eniu@finprofiles.com 310-622-8243
Provides Update on Automotive-First Strategy Significant Reduction in Burn Rate Extending Cash Runway out to 2025
AEye, Inc. (Nasdaq: LIDR), a global leader in adaptive, high performance lidar solutions, today announced its results for the third quarter ended September 30, 2023. Management Commentary “Market conditions are evolving, and we believe the lidar market has shifted from a ‘battle for the best technology’ to a ‘battle for the best path to commercialization.’ We’ve been relentlessly focused on ensuring AEye enters the automotive market with a differentiated and superior product, so we are ready for the transition,” said Matt Fisch, AEye CEO. “We have recently taken decisive steps to optimize our operating and cost structure around our automotive-first strategy and are well positioned with the right technology, business model and resources to deliver sustained growth and success over the long-term.” Key Q3 2023 Financial Highlights “During the quarter, we achieved our goal of reducing our cash burn by 50% since the beginning of the year, one quarter sooner than anticipated. We have now aligned our expenses with our automotive-first strategy and have extended our cash runway into 2025. We closed the quarter with a healthy balance sheet, including $45.9 million of cash, and will continue to manage expenses carefully,” said Conor Tierney, AEye CFO. “The continued cost reduction initiatives in the third quarter were the main driver for meeting our GAAP EPS net loss guidance and beating our non-GAAP EPS net loss guidance by one cent.” Revenue of $0.2 million in the third quarter of 2023. GAAP net loss was $(17.0) million, or $(0.09) per share, based on 184.1 million weighted average common shares outstanding. Non-GAAP net loss was $(9.5) million, or $(0.05) per share, based on 184.1 million weighted average common shares outstanding. Cash, cash equivalents, and marketable securities were $45.9 million as of September 30, 2023. Conference Call and Webcast Details AEye management will hold a conference call today, November 9, 2023, at 2:00 p.m. Pacific Time (5:00 p.m. Eastern Time) to discuss these results. AEye CEO Matt Fisch and CFO Conor Tierney 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/. Access is also available via: Conference call: https://bit.ly/AEyeconferencecall Webcast: https://bit.ly/AEyewebcast About AEye AEye’s unique software-defined lidar solution enables advanced driver-assistance, vehicle autonomy, smart infrastructure, and logistics 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, 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 comparisons. 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 press release 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 the registration statements on Forms S-1s and S-3s, plus expenses related to the Common Stock Purchase Agreement, less change in fair value of convertible note and warrant liabilities, plus realized loss on instrument-specific credit risk, plus one-time termination benefits and restructuring costs, plus non-routine write-down of inventory, plus impairment of ROU assets, plus stock issuance costs, plus debt issuance costs; and Adjusted EBITDA which is defined as non-GAAP net loss plus depreciation and amortization 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 the adaptability, benefits, and features of AEye’s products, the competitive advantages of AEye’s business model, as well as the use of lidar in automobiles generally, 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 4Sight Intelligent Sensing Platform’s software-definable lidar may not enhance advanced driver assistance systems (ADAS) capabilities, enable next gen safety features, nor enable software revenue opportunities as anticipated, or at all; (ii) the risks that the 4Sight reference designs may not be differentiated technically by their range, resolution, reliability, and reconfigurability to the extent anticipated, or at all; (iii) the risk that the licenses to Tier 1 automotive suppliers may not result in high volume manufacturing in the time frame anticipated, or at all; (iv) the risks that the automotive industry may not rely on software architectures as anticipated, or at all; (v) the risks that AEye’s 4Sight Intelligent Sensing Platform may not reduce time-to-market for new features, allow OEMs to continuously improve upon or introduce features and functionality across all vehicle models through software upgrades, or allow OEMs to deliver a future-proofed ADAS roadmap as anticipated, or at all; (vi) the risks that lidar adoption occurs slower than anticipated or fails to occur at all; (vii) the risks that AEye’s products may not meet the diverse range of performance and functional requirements of target markets and customers; (viii) the risks that AEye’s products may not function as anticipated by AEye, or by target markets and customers; (ix) the risks that AEye may not be in a position to adequately or timely address either the near or long-term opportunities that may or may not exist in the evolving autonomous transportation industry; (x) the risks that laws and regulations are adopted impacting the use of lidar that AEye is unable to comply with, in whole or in part; (xi) the risks associated with 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; (xii) the risks that AEye is unable to adequately implement its business plans, forecasts, and other expectations, and identify and realize additional opportunities; and (xiii) 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 lingering effects of the COVID-19 pandemic, which continues to cause 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 periodic report 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. AEYE, INC.Consolidated Balance Sheets(In thousands)(Unaudited) September 30, 2023 December 31, 2022 ASSETS Current Assets: Cash and cash equivalents $ 37,149 $ 19,064 Marketable securities 8,743 75,135 Accounts receivable, net 238 617 Inventories, net 4,868 4,553 Prepaid and other current assets 4,509 6,181 Total current assets 55,507 105,550 Right-of-use assets 14,397 15,502 Property and equipment, net 7,787 7,665 Restricted cash 2,150 2,150 Other noncurrent assets 1,040 2,473 Total assets $ 80,881 $ 133,340 LIABILITIES AND STOCKHOLDERS’ EQUITY Current Liabilities: Accounts payable $ 4,707 $ 3,218 Accrued expenses and other current liabilities 7,247 9,764 Contract liabilities 18 987 Convertible notes — 8,594 Total current liabilities 11,972 22,563 Operating lease liabilities, noncurrent 15,484 16,681 Other noncurrent liabilities 82 126 Total liabilities 27,538 39,370 Stockholders' Equity: Preferred stock — — Common stock 19 16 Additional paid-in capital 363,176 345,742 Accumulated other comprehensive income (loss) 1 (1,279 ) Accumulated deficit (309,853 ) (250,509 ) Total stockholders’ equity 53,343 93,970 Total liabilities and stockholders’ equity $ 80,881 $ 133,340 AEYE, INC.Consolidated Statements of Operations(In thousands, except share and per share data)(Unaudited) Three months ended September 30, Nine months ended September 30, 2023 2022 2023 2022 Revenue: Prototype sales $ 56 $ 652 $ 426 $ 1,182 Development contracts 132 115 969 1,373 Total revenue 188 767 1,395 2,555 Cost of revenue 4,479 2,708 8,651 5,617 Gross loss (4,291 ) (1,941 ) (7,256 ) (3,062 ) Operating Expenses: Research and development 5,654 8,971 20,993 28,309 Sales and marketing 1,910 4,466 10,782 14,405 General and administrative 5,380 7,896 20,279 29,053 Total operating expenses 12,944 21,333 52,054 71,767 Loss from operations (17,235 ) (23,274 ) (59,310 ) (74,829 ) Other income (expense): Change in fair value of convertible note and warrant liabilities 12 16 (914 ) 125 Interest income and other 354 335 932 1,109 Interest expense and other (174 ) (688 ) (9 ) (1,338 ) Total other income (expense), net 192 (337 ) 9 (104 ) Provision for income tax expense 5 13 43 39 Net loss $ (17,048 ) $ (23,624 ) $ (59,344 ) $ (74,972 ) Per Share Data Net loss per common share (basic and diluted) $ (0.09 ) $ (0.15 ) $ (0.34 ) $ (0.48 ) Weighted average common shares outstanding (basic and diluted) 184,117,531 159,312,203 172,182,776 156,702,000 AEYE, INC.Consolidated Statements of Cash Flows(In thousands)(Unaudited) Nine months ended September 30, 2023 2022 Cash flows from operating activities: Net loss $ (59,344 ) $ (74,972 ) Adjustments to reconcile net loss to net cash used in operating activities: Depreciation and amortization 998 794 Loss on sale of property and equipment, net 53 — Noncash lease expense relating to operating lease right-of-use assets 1,058 993 Impairment of right-of-use assets 47 — Inventory write-downs, net of scrapped inventory 3,666 576 Change in fair value of convertible note and warrant liabilities 914 (125 ) Realized loss on instrument-specific credit risk 46 — Stock-based compensation 14,707 18,003 Realized loss on redemption of marketable securities — 77 Amortization of premiums and accretion of discounts on marketable securities, net of change in accrued interest 33 1,211 Changes in operating assets and liabilities: Accounts receivable, net 379 3,598 Inventories, current and noncurrent, net (2,681 ) (2,256 ) Prepaid and other current assets 1,672 (445 ) Other noncurrent assets 133 420 Accounts payable 1,494 (1,236 ) Accrued expenses and other current liabilities (2,571 ) 220 Operating lease liabilities (1,143 ) (983 ) Contract liabilities (969 ) (1,400 ) Net cash used in operating activities (41,508 ) (55,525 ) Cash flows from investing activities: Purchase of property and equipment (1,421 ) (3,402 ) Proceeds from sale of property and equipment 243 — Purchase of marketable securities (8,736 ) — Proceeds from redemptions and maturities of marketable securities 76,350 93,592 Net cash provided by investing activities 66,436 90,190 Cash flows from financing activities: Proceeds from exercise of stock options 450 1,032 Proceeds from the issuance of convertible notes — 10,000 Payments for convertible note redemptions (6,235 ) — Taxes paid related to the net share settlement of equity awards (1,312 ) (4,252 ) Proceeds from issuance of common stock under the Common Stock Purchase Agreement 136 2,891 Proceeds from issuance of common stock through Employee Stock Purchase Plan 118 — Stock issuance costs related to the Common Stock Purchase Agreement — (29 ) Net cash (used in) provided by financing activities (6,843 ) 9,642 Net increase in cash, cash equivalents and restricted cash 18,085 44,307 Cash, cash equivalents and restricted cash at beginning of period 21,214 16,333 Cash, cash equivalents and restricted cash at end of period $ 39,299 $ 60,640 AEYE, INC.Reconciliation of GAAP to Non-GAAP Financial Measures(In thousands, except share and per share data)(Unaudited) Three months ended September 30, Nine months ended September 30, 2023 2022 2023 2022 GAAP net loss $ (17,048 ) $ (23,624 ) $ (59,344 ) $ (74,972 ) Non-GAAP adjustments: Stock-based compensation 4,084 6,106 14,707 18,003 Expenses related to registration statement on Form S-1s and Form S-3s 192 54 192 304 Expenses related to the Common Stock Purchase Agreement 41 — 41 — Change in fair value of convertible note and warrant liabilities (12 ) (16 ) 914 (125 ) Realized loss on instrument-specific credit risk 46 — 46 — Stock issuance costs — — — 28 Debt issuance costs — 437 — 437 One-time termination benefits and restructuring costs 172 — 1,470 — Non-routine write-down of inventory 3,007 — 3,007 — Impairment of right-of-use assets — — 47 — Non-GAAP net loss $ (9,518 ) $ (17,043 ) $ (38,920 ) $ (56,325 ) Depreciation and amortization expense 332 331 998 794 Interest income and other (354 ) (335 ) (932 ) (1,109 ) Interest expense and other 128 307 (84 ) 928 Provision for income tax expense 5 13 43 39 Adjusted EBITDA $ (9,407 ) $ (16,727 ) $ (38,895 ) $ (55,673 ) GAAP net loss per share attributable to common stockholders: Basic and diluted $ (0.09 ) $ (0.15 ) $ (0.34 ) $ (0.48 ) Non-GAAP net loss per share attributable to common stockholders: Basic and diluted $ (0.05 ) $ (0.11 ) $ (0.23 ) $ (0.36 ) Shares used in computing GAAP net loss per share attributable to common stockholders: Basic and diluted 184,117,531 159,312,203 172,182,776 156,702,000 Shares used in computing Non-GAAP net loss per share attributable to common stockholders: Basic and diluted 184,117,531 159,312,203 172,182,776 156,702,000 View source version on businesswire.com: https://www.businesswire.com/news/home/20231107055684/en/
Jennifer Deitsch AEye, Inc. jennifer@aeye.ai 925-400-4366 Evan Niu, CFA Financial Profiles, Inc. eniu@finprofiles.com 310-622-8243
