- Robust Customer Activity in, Wi-Fi CPE, 5G Mobile, 5G Infrastructure, Automotive, Timing Control, Semiconductor Back-End-Services, and Other Markets
- Introduced Advanced Single Crystal XBAW® Technology for Existing and New Markets
- Launched State-of-the-Art XBAW® Foundry Services and AI-Enabled Engineering Design Software
- Company to Host Investor Update Call Today at 8:00 am ET
Charlotte, N.C., Sept. 06, 2023 (GLOBE NEWSWIRE) -- Akoustis Technologies, Inc. ( AKTS) (“Akoustis” or the “Company”), an integrated device manufacturer (IDM) of patented bulk acoustic wave (BAW) high-band RF filters for wireless applications, announced today a 13% year-over-year increase in quarterly revenue to a record $8.3 million for the fiscal quarter ended June 30, 2023, and record annual sales of $27.1 million, up 77% year-over-year.
With hundreds of active customers, increased activity in the sales and design win pipelines and the semiconductor services business, as well as new product introductions in Wi-Fi 6E and Wi-Fi 7, 5G network infrastructure and the defense market, the Company remains poised for significant growth over the next twenty-four months.
Akoustis will host an investor call to provide a business update and outlook, followed by a Q & A session, this morning at 8:00 am ET. The call-in numbers are 877-407-3982 (domestic) and +01 201-493-6780 (international). The conference call will be webcast live on the Company’s website and will be available for playback at the following URL: https://ir.akoustis.com/ir-calendar.
Jeff Shealy, founder and CEO of Akoustis, stated, “Despite the persistent macro challenges, Akoustis was able to deliver its seventh consecutive quarter of record revenue. Our sales growth was driven by multiple factors, including additional 5G mobile shipments to our first tier-1 customer, continued execution in our Wi-Fi business punctuated by the notable entry into the Wi-Fi 7 market, and rebounding sales in both our SAW filter and semiconductor services businesses.”
Akoustis continues to experience strong demand and a growing sales funnel for its XBAW® filter solutions, as well as its new XBAW®/SAW resonator and oscillator products, and semiconductor back-end services. During the June quarter, the Company shipped samples of its new 5.6 GHz/6.6 GHz Wi-Fi 6E/7 XBAW® filter products to multiple customers. Akoustis continues to add new Wi-Fi design wins, many of which are expected to ramp into production in fiscal 2024.
Recent Business Highlights
- Introduced new advanced single-crystal material and process that delivers significantly higher power handling and improved harmonics in BAW filters
- Sampled new advanced single-crystal filters to tier-1 enterprise-class Wi-Fi customer
- Launched a new state-of-the-art XBAW® foundry service and AI-enabled engineering design software
- Successfully completed fab and OSAT audit with tier-1 smartphone/tablet OEM
- Delivered two new, custom Wi-Fi 7 filters to our tier-2 RF module making customer developed using our new, advanced foundry process
- Received four Wi-Fi design wins for Wi-Fi 6E and Wi-Fi 7 devices
- Began sampling our new 5.6/6.6 GHz Wi-Fi 6E/7 standard XBAW® filter products
- Started production ramp with tier-1 US-based cable carrier company supporting Wi-Fi 6E
- Secured first Wi-Fi 7 design win from enterprise-class customer
- Received Wi-Fi 6E design win and started shipping into European carrier market
- Successfully delivered demonstrator samples of a new 7 GHz XBAW® filter to a tier-1 European 5G network infrastructure OEM
- Awarded a development order for a new massive-MIMO filter design from a tier-1 European 5G network infrastructure OEM
- Introduced new automotive C-V2X filter and began sampling to multiple customers
- Delivered the second of two XBAW® resonators for our first timing control customer
- Continued DARPA direct-to-phase II (DP2) contract to advance design and manufacturing of XBAW® technology for filters and other sensors
- The Company’s XBAW® patent portfolio grew to 104 issued and licensed patents, plus 108 patents pending as of August 25, 2023
Akoustis Technologies, Inc.
Fourth Fiscal Quarter Financial Performance
Akoustis Technologies, Inc.
Consolidated Statements of Operations
(In thousands, except per share data)
| For the Three Months Ended | For the Twelve Months Ended | For the Three Months Ended | For the Twelve Months Ended | |
| 06/30/23 | 06/30/23 | 06/30/22 | 06/30/22 | |
| Revenue | ||||
| Revenue with Customers | $ 8,333 | $ 27,121 | $ 5,203 | $ 15,350 |
| Total revenue | 8,333 | 27,121 | 5,203 | 15,350 |
| Cost of revenue | 10,037 | 30,237 | 6,666 | 19,487 |
| Gross profit | (1,704) | (3,116) | (1,463) | (4,137) |
| Operating expenses | ||||
| Research and development | 8,165 | 33,243 | 10,132 | 35,708 |
| General and administrative expenses | 8,059 | 29,710 | 6,233 | 20,710 |
| Loss on disposal of fixed assets | - | - | - | - |
| Impairment of assets held for sale | - | - | - | - |
| Total operating expenses | 16,224 | 62,953 | 16,365 | 56,418 |
| Loss from operations | (17,929) | (66,069) | (17,828) | (60,555) |
| Other (expense) income | ||||
| Interest (expense) income | (367) | (2,322) | 22 | (77) |
| Rental income | - | - | - | - |
| Other income/(expense) | 5 | (8) | - | - |
| Change in fair value of contingent liability | 6 | 1,446 | (168) | (347) |
| Bargain purchase | - | - | - | - |
| Change in fair value of derivative liabilities | 492 | 948 | - | (48) |
| Total other (expense) income | 135 | 64 | (145) | (472) |
| Income (loss) before income taxes | (17,794) | (66,005) | (17,974) | (61,027) |
| Income tax expense | (28) | (2,448) | 92 | (1,833) |
| Net Income (loss) | (17,765) | (63,557) | (18,065) | (59,194) |
| Net (income) loss attributable to noncontrolling interest | - | - | 46 | 167 |
| Net Loss attributable to Akoustis | (17,765) | (63,557) | (18,019) | (59,027) |
| Net loss per common share - basic and diluted | $ (0.25) | $ (1.00) | $ (0.32) | $ (1.09) |
| Weighted average common shares outstanding | ||||
| -basic and diluted | 71,741,166 | 63,621,727 | 56,561,053 | 54,021,205 |
Consolidated Balance Sheets
(In thousands, except per share data)
| June 30, | June 30, | |||||||
| 2023 | 2022 | |||||||
| Assets | ||||||||
| Assets: | ||||||||
| Cash and cash equivalents | $ | 43,104 | $ | 80,485 | ||||
| Accounts receivable | 4,753 | 3,793 | ||||||
| Inventory | 7,548 | 4,094 | ||||||
| Other current assets | 4,440 | 3,359 | ||||||
| Total current assets | 59,845 | 91,731 | ||||||
| Property and equipment, net | 57,826 | 51,157 | ||||||
| Goodwill | 14,559 | 8,051 | ||||||
| Intangibles, net | 15,241 | 8,994 | ||||||
| Operating lease right-of-use asset, net | 1,374 | 1,126 | ||||||
| Other assets | 72 | 279 | ||||||
| Total Assets | $ | 148,917 | $ | 161,338 | ||||
| Liabilities and Stockholders’ Equity | ||||||||
| Current Liabilities: | ||||||||
| Accounts payable and accrued expenses | $ | 17,027 | $ | 11,204 | ||||
| Contingent consideration | — | 855 | ||||||
| Operating lease liability | 439 | 313 | ||||||
| Deferred revenue | 105 | 286 | ||||||
| Total current liabilities | 17,571 | 12,658 | ||||||
| Long-term Liabilities: | ||||||||
| Convertible notes payable, net | 43,347 | 43,731 | ||||||
| Contingent consideration | — | 591 | ||||||
| Operating lease liability | 976 | 811 | ||||||
| Promissory note payable | 667 | — | ||||||
| Other long-term liabilities | 117 | 117 | ||||||
| Total long-term liabilities | 45,107 | 45,250 | ||||||
| Total Liabilities | 62,678 | 57,908 | ||||||
| Commitments and Contingencies (Note 15) | ||||||||
| Stockholders’ Equity | ||||||||
| Preferred Stock, par value $0.001: 5,000,000 shares authorized; none issued and outstanding | — | — | ||||||
| Common stock, $0.001 par value; 125,000,000 shares authorized; 72,154,647 and 57,079,347 shares issued and outstanding at June 30, 2023 and June 30, 2022, respectively | 72 | 57 | ||||||
| Additional paid in capital | 356,522 | 310,171 | ||||||
| Accumulated deficit | (270,355 | ) | (206,798 | ) | ||||
| Total Stockholders’ Equity | 86,239 | 103,430 | ||||||
| Total Liabilities and Stockholders’ Equity | $ | 148,917 | $ | 161,338 | ||||
The following non-GAAP measures should not be considered a substitute for, or superior to, financial measures calculated in accordance with GAAP. These non-GAAP measures exclude significant expenses that are required by GAAP to be recorded in the Company’s financial statements and are subject to inherent limitations. Please see reconciliations to comparable GAAP measures below and descriptions of these non-GAAP measures under “non-GAAP measures.”
Non-GAAP operating loss and non-GAAP net loss for the quarters ended June 30, 2023, and 2022 and for fiscal year 2023 and 2022 were as follows:
| Akoustis Technologies, Inc. | ||
| Unaudited Reconciliations of Non-GAAP Financial Measures | ||
| Three Months Ended | ||
| June 30, 2023 | June 30, 2022 | |
| (in thousands) | ||
| GAAP operating loss | $ (17,929) | $ (17,658) |
| Amortization of acquisition-related intangible assets | 634 | 349 |
| Recognition of acquisition-related promissory note | 333 | - |
| Gain on sale of fixed assets | 5 | (7) |
| Common stock issued for services | 1,953 | 2,493 |
| Non-GAAP operating loss | $ (15,004) | $ (14,823) |
| Weighted average common shares outstanding - basic and diluted | 71,741,166 | 56,561,053 |
| Non-GAAP operating loss per common share - basic and diluted | $ (0.21) | $ (0.26) |
| Three Months Ended | ||
| June 30, 2023 | June 30, 2022 | |
| (in thousands) | ||
| GAAP net loss | $ (17,765) | $ (16,274) |
| Change in fair value of contingent consideration | (8) | 168 |
| Change in fair value of derivative liabilities | (492) | 48 |
| Amortization of acquisition-related intangible assets | 634 | 349 |
| Recognition of acquisition-related promissory note | 333 | - |
| Debt discount amortization | 143 | 29 |
| Gain on sale of fixed assets | 5 | (7) |
| Tax adjustments related to acquisitions | (28) | (1,772) |
| Common stock issued for services | 1,953 | 2,493 |
| Non-GAAP net loss | $ (15,226) | $ (14,967) |
| Weighted average common shares outstanding - basic and diluted | 71,741,166 | 56,561,053 |
| Non-GAAP net loss per common share - basic and diluted | $ (0.21) | $ (0.26) |
| Twelve Months Ended | ||
| June 30, 2023 | June 30, 2022 | |
| (in thousands) | ||
| GAAP operating loss | $ (66,069) | |
