Heliogen, Inc. (“Heliogen”) (OTCQX: HLGN), a leading provider of
AI-enabled concentrating solar energy technology, today provided
its first quarter 2024 financial and operational results.
Financial and Operational Highlights
- 1.9 gigawatts (“GW”) in opportunity pipeline
- $76.2 million contracted revenue backlog driven by a diverse
set of contracts including next-generation concentrated solar power
(“CSP”), green hydrogen, hybrid photovoltaic (“PV”) and sustainable
aviation fuel
- Added $1.8 million to our contracted revenue backlog in
connection with the U.S. Department of Energy award to accelerate
the large-scale development and deployment of a solar thermal
calciner to decarbonize cement production
- First commercial-scale installation of Heliogen steam plant in
west Texas remains on-track for mechanical completion at year-end
2024
- $60.7 million in available liquidity as of March 31, 2024
- Ongoing comprehensive review process to further drive cost
reductions while continuing to explore and evaluate strategic
alternatives with our third-party financial advisor
“During the first quarter of 2024, Heliogen continued to execute
on our strategy for deploying our differentiated solar energy
technology,” said Christie Obiaya, Heliogen’s Chief Executive
Officer. “Our team has made strong progress on our first
commercial-scale project in west Texas, one of our strategic
priorities. Our highest priority remains securing additional
commercial-scale contracts, and that work remains underway as we
progress the prospects in our pipeline.”
First Quarter 2024 Financial Results
For the first quarter 2024, Heliogen reported total revenue of
$1.5 million and a net loss of $(15.2) million. Heliogen’s revenue
was driven primarily by continued execution on its engineering,
procurement and construction of a new 5 MWe concentrated solar
energy facility to be built in Mojave, California and engineering
services performed during the period. Heliogen’s Adjusted EBITDA
was $(14.9) million for the first quarter 2024.
As of March 31, 2024, the Company had available liquidity of
$60.7 million, consisting of $58.2 million of cash and cash
equivalents and $2.5 million of investments, and no debt.
About Heliogen
Heliogen is a renewable energy technology company focused on
decarbonizing industry and empowering a sustainable civilization.
The company’s concentrating solar energy and thermal storage
systems aim to deliver carbon-free heat, steam, power, or green
hydrogen at scale to support round-the-clock industrial operations.
Powered by AI, computer vision and robotics, Heliogen is focused on
providing robust clean energy solutions that accelerate the
transition to renewable energy, without compromising reliability,
availability, or cost. For more information about Heliogen, please
visit heliogen.com.
Backlog
Contracted revenue backlog represents contracted revenue with
customers and government entities we expect to realize for the
construction of facilities, engineering services agreements,
operating agreements, and products delivered under purchase
agreements. We cannot guarantee that our revenue projected in our
backlog will be realized or, if realized, will result in profits.
In addition, project cancellations or scope adjustments may occur
with respect to contracts reflected in our backlog. Accordingly,
our backlog as of any particular date is an uncertain indicator of
future earnings.
Non-GAAP Financial Information
Management uses certain financial measures, including EBITDA and
Adjusted EBITDA, to evaluate our financial and operating
performance that are calculated and presented on the basis of
methodologies other than in accordance with generally accepted
accounting principles in the United States of America (“GAAP”). We
believe these non-GAAP financial measures are useful to investors
and analysts to assess our ongoing financial performance because
they provide improved comparability between periods through the
exclusion of certain items that we believe are not indicative of
our core operating performance, enhance the overall understanding
of our past financial performance and future prospects, and remove
items that may obscure our underlying business results and trends.
These measures should not be considered a substitute for, or
superior to, measures of financial performance prepared in
accordance with GAAP, and our calculations thereof may not be
comparable to similarly titled measures reported by other
companies.
EBITDA represents consolidated net loss before (i) interest
(income) expense, net, (ii) income tax expense (benefit) and (iii)
depreciation and amortization expense. We define Adjusted EBITDA as
EBITDA adjusted for certain significant non-cash items and items
that management believes are not attributable to or indicative of
our on-going operations or that may obscure our underlying results
and trends. Please see the accompanying tables for a reconciliation
of net loss to EBITDA and Adjusted EBITDA.
Forward-Looking Statements
This press release contains certain forward-looking statements
within the meaning of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of 1934, as
amended. Statements that are not historical in nature, including
the words “anticipate,” “expect,” “suggests,” “plan,” “believe,”
“intend,” “estimates,” “targets,” “projects,” “should,” “could,”
“would,” “may,” “will,” “forecast” and other similar expressions
are intended to identify forward-looking statements. These
forward-looking statements include, but are not limited to,
statements regarding our intent to further drive cost reductions,
intent to explore and evaluate strategic alternatives, the timing
for mechanical completion of our commercial-scale installation
steam plant, expectations for realization of our contracted revenue
backlog and our expanding opportunity pipeline. 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. Many factors could cause actual future events to
differ materially from the forward-looking statements in this press
release, including but not limited to: (i) our financial and
business performance, including risk of uncertainty in our
financial projections and business metrics and any underlying
assumptions thereunder; (ii) changes in our business and strategy,
future operations, financial position, estimated revenues and
losses, projected costs, prospects and plans; (iii) our ability to
execute our business model, including market acceptance of our
planned products and services and achieving sufficient production
volumes at acceptable quality levels and prices; (iv) our ability
to access sources of capital to finance operations, growth and
future capital requirements; (v) our ability to maintain and
enhance our products and brand, and to attract and retain
customers; (vi) our ability to scale in a cost effective manner;
(vii) changes in applicable laws or regulations; (viii)
developments and projections relating to our competitors and
industry; (ix) unexpected adjustments and cancellations related to
our backlog; (x) our ability to protect our intellectual property;
and (xi) whether the objectives of the strategic alternative review
process will be achieved. You should carefully consider the
foregoing factors and the other risks and uncertainties disclosed
in the “Risk Factors” section in Part I, Item 1A in our Annual
Report on Form 10-K for the year ended December 31, 2023, as
supplemented in our Quarterly Reports on Form 10-Q for the quarter
ended March 31, 2024, and other documents filed by Heliogen from
time to time with the Securities and Exchange Commission. 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, and Heliogen 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.
Heliogen, Inc.
Condensed Consolidated
Statements of Operations
($ in thousands, except per share
and share data)
(unaudited)
Three Months Ended
March 31,
2024
2023
Revenue
$
1,528
$
1,937
Cost of revenue
1,477
2,382
Gross profit (loss)
51
(445
)
Operating expenses:
Selling, general and administrative
12,387
4,165
Research and development
3,791
5,260
Impairment charges
—
1,008
Total operating expenses
16,178
10,433
Operating loss
(16,127
)
(10,878
)
Interest income, net
683
283
Gain (loss) on warrant remeasurement
(24
)
304
Other income (expense), net
245
(253
)
Net loss before taxes
(15,223
)
(10,544
)
Provision for income taxes
(2
)
—
Net loss
$
(15,225
)
$
(10,544
)
Loss per share:
Loss per share – Basic and Diluted (1)
$
(2.53
)
$
(1.87
)
Weighted average number of shares
outstanding – Basic and Diluted (1)
6,020,992
5,623,430
________________
(1)
Periods presented have been adjusted to
reflect the 1-for-35 reverse stock split on August 31, 2023.
Heliogen, Inc.
Condensed Consolidated Balance
Sheets
($ in thousands)
(unaudited)
March 31, 2024
December 31, 2023
ASSETS
Cash and cash equivalents
$
58,235
$
62,715
Investments
2,491
12,386
Other current assets
10,703
8,365
Total current assets
71,429
83,466
Non-current assets
21,497
23,567
Total assets
$
92,926
$
107,033
LIABILITIES AND STOCKHOLDERS’ EQUITY
(DEFICIT)
Trade payables
$
1,172
$
746
Contract liabilities
18,247
17,008
Contract loss provisions
74,516
75,340
Other current liabilities
8,216
8,907
Total current liabilities
102,151
102,001
Long-term liabilities
12,696
13,047
Total liabilities
114,847
115,048
Stockholders’ equity (deficit)
(21,921
)
(8,015
)
Total liabilities and stockholders’
equity (deficit)
$
92,926
$
107,033
Heliogen, Inc.
Reconciliation of Net Loss to
EBITDA and Adjusted EBITDA
($ in thousands)
(unaudited)
Three Months Ended
March 31,
2024
2023
Net loss
$
(15,225
)
$
(10,544
)
Interest income, net
(683
)
(283
)
Provision for income taxes
2
—
Depreciation and amortization
446
601
EBITDA
$
(15,460
)
$
(10,226
)
Impairment charges (1)
—
1,008
Gain (loss) on warrant remeasurement
(2)
24
(304
)
Share-based compensation (3)
1,286
(9,199
)
Contract loss provisions (4)
—
370
Contract losses incurred (4)
(824
)
(447
)
Change in fair value of contingent
consideration (5)
—
1,125
Reorganization costs (6)
32
481
Adjusted EBITDA
$
(14,942
)
$
(17,192
)
________________
(1)
Impairment charges during the first
quarter 2023 are associated with goodwill.
(2)
Represents the change in fair value on our
outstanding warrant liabilities.
(3)
Share-based compensation for the three
months ended March 31, 2023 includes a one-time reversal of $12.5
million of expense as a result of stock options forfeited in
connection with the termination of our former Chief Executive
Officer.
(4)
Represents contract loss provisions with
customers for which estimated costs to satisfy performance
obligations exceeded considerations expected to be realized. The
contract loss provision is reduced and recognized in cost of
revenue as expenditures are incurred and related revenue is
recognized.
(5)
Represents the change in fair value of our
contingent consideration associated with the acquisition of
HelioHeat GmbH.
(6)
Represents reorganization costs related to
employee severance and related benefits.
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version on businesswire.com: https://www.businesswire.com/news/home/20240508813488/en/
Heliogen Investors Contact: Phelps Morris Chief Financial
Officer Phelps.Morris@heliogen.com
Heliogen Media Contact: Sam Padreddii Manager, Corporate
Communications media@heliogen.com
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