Smoltek (SMOL) Q3 2024 earnings summary

Executive summary

• Net sales for Q3 2024 were SEK 0, down from SEK 1,232k in Q3 2023, due to the end of the Yageo development agreement.

• Q3 net loss improved by 33.7% year-over-year to SEK -6,895k, driven by cost savings and a SEK 1,507k payroll tax refund.

• EPS for Q3 improved to SEK -0.09 from SEK -0.64 a year earlier.

• Major technical milestones achieved in both semiconductor and hydrogen business areas, including a 230% increase in capacitance density and successful CNF growth on A4-sized substrates.

• Strategic focus on securing industrial partners to accelerate commercialization and strengthen financial position.

Financial highlights

• Net sales for the first nine months fell 41.4% year-over-year to SEK 1,776k.

• Net loss for the nine-month period improved by 39.8% to SEK -23,175k.

• Cash and cash equivalents at period end were SEK 14,228k, down from SEK 36,203k a year earlier.

• Operating expenses for Q3 were SEK -9,453k, down from SEK -12,614k in Q3 2023.

• No new investments in tangible assets in Q3; intangible investments focused on patents and technology development.

Outlook and guidance

• Ongoing strategic process to attract industrial partners for both Smoltek Semi and Smoltek Hydrogen.

• Smoltek Semi advancing next-generation CNF-MIM capacitors, targeting performance on par with leading competitors.

• Smoltek Hydrogen progressing with customer projects and scaling up CNF-based electrode production.

• Financial runway extended into Q1 2025 due to cost reductions.