Atomera (ATOM) Q4 2022 earnings summary

Executive summary

• MST is a thin-film silicon transistor enhancement licensed to semiconductor designers and manufacturers; commercialization depends on moving customer evaluations into production and royalty-bearing agreements.

• 2022 progress included a new foundry JDA, completion of milestones under an earlier JDA, and 14 engagements in integration plus one in process installation.

• Revenue remained limited at $382,000, while the annual net loss widened to $17.4 million from $15.7 million in 2021.

Financial highlights

• FY2022 revenue was $382,000 vs. $400,000 in 2021; cost of revenue was $81,000 vs. $0, producing $301,000 gross margin vs. $400,000.

• Operating expenses rose to $17.8 million from $15.9 million; operating loss was $17.5 million vs. $15.5 million.

• Net loss was $17.4 million vs. $15.7 million; basic and diluted loss per share were both $0.75 vs. $0.70.

• Cash used in operations was $12.5 million vs. $12.4 million; cash and equivalents ended 2022 at $21.2 million, with working capital of $18.7 million.

Outlook and guidance

• Available working capital was expected to fund current plans and obligations for at least 12 months from the report filing; planned operations included increased R&D spending.

• Future revenue is expected from larger manufacturing and distribution license fees and royalties, contingent on successful customer integration, qualification, and commercial licensing.

• Customer technology qualification may take more than a year after fab installation; the overall engagement-to-product cycle was estimated at 18–36 months or longer.