In a press release yesterday, Electriq Power Holdings, a leading provider of intelligent energy storage and management solutions for homes and small businesses, disclosed its financial performance for the third quarter (Q3) ending September 30, 2023. However, the announcement has triggered a significant downturn in Electriq Power Holdings’ stock value in today’s market.
At the time of this publication, Electriq Power Holdings Inc stock (ELIQ) has witnessed a decline.
Electriq Power Holdings Inc
Current Price: $0.57
Change : -0.25
Change (%): (-30.43%)
Volume: 117.3K
Source: Tomorrow Events Market Data
Electriq Power Holdings Q3 2023 Financial Highlights:
The financial results for the third quarter reveal several key metrics:
– Net Revenues: $0.8 million
– Operating Expenses: $7.1 million
– Net Loss: $20.0 million (inclusive of $14.9 million in unrealized fair value adjustments)
– Adjusted EBITDA*: ($3.3) million, marking a $5.1 million improvement compared to Q2 2023. This improvement is primarily attributed to the finalization of a contract termination settlement.
– No outstanding debt obligations as of September 30, 2023.
– Electriq reached a settlement with a former customer, resulting in the return of over $6 million in finished goods inventory, ensuring Electriq has over 12 months of battery supply on hand.
Subsequent Highlights and Developments:
Following the financial disclosure, Electriq Power Holdings shared additional noteworthy developments:
– Derby, CT, was announced as the first Sustainable Community Network (“SCN”) outside of California.
– Successful validation of capabilities with the first Virtual Power Plant (“VPP”) in California’s new Demand Side Grid Support program.
– A mutual collaboration with Meteora was confirmed through a binding term sheet, aiming to equitize and extinguish the forward purchase agreement for a fixed number of shares and warrants valued at $3.5 million. This move eliminates cash outflows and enhances financing flexibility for Electriq.
In a statement, Frank Magnotti, CEO of Electriq, commented on the robust demand for reliable, storable, and clean power sources. He attributed this demand to the unique cost benefits, energy efficiency gains, and technological features of Electriq’s solutions-focused platform. Magnotti highlighted the momentum in signing Sustainable Community Networks, with six signed agreements so far. The recent partnership with Derby, Connecticut, signifies Electriq’s expansion to the East Coast, tapping into a large and untapped market.
Additionally, Magnotti emphasized the positive trajectory of power purchase agreements (PPAs), noting that the number has surpassed 100 and is trending higher. This indicates a growing market acceptance and adoption of Electriq’s innovative energy solutions.
Despite the stock market decline following the Q3 results, Electriq Power Holdings remains optimistic about the future. The strategic partnerships, successful validations, and financial improvements underscore the company’s commitment to providing sustainable energy solutions and positioning itself as a key player in the evolving clean energy landscape.
