Everspin Reports Unaudited Second Quarter 2022 Financial Results

EVERSPIN TECHNOLOGIES, INC.
Condensed Balance Sheets
(In thousands, except share and per share amounts)
(Unaudited)

	June 30,			December 31,
	2022			2021
Assets
Current assets:
Cash and cash equivalents	$	23,051		$	21,409
Accounts receivable, net		9,283			8,193
Inventory		6,376			6,396
Prepaid expenses and other current assets		800			762
Total current assets		39,510			36,760
Property and equipment, net		2,594			973
Right-of-use assets		3,649			913
Other assets		62			734
Total assets	$	45,815		$	39,380

Liabilities and Stockholders’ Equity
Current liabilities:
Accounts payable	$	2,689		$	1,776
Accrued liabilities		2,165			3,579
Deferred revenue		—			832
Current portion of long-term debt		3,761			3,370
Lease liabilities		910			724
Other liabilities		29			50
Total current liabilities		9,554			10,331
Long-term debt, net of current portion		—			1,529
Lease liabilities, net of current portion		2,782			68
Long-term income tax liability		214			214
Total liabilities	$	12,550		$	12,142
Commitments and contingencies
Stockholders’ equity:
Preferred stock, $0.0001 par value per share; 5,000,000 shares authorized; no shares issued and outstanding as of June 30, 2022 and December 31, 2021		—			—
Common stock, $0.0001 par value per share; 100,000,000 shares authorized; 20,137,520 and 19,858,460 shares issued and outstanding as of June 30, 2022, and December 31, 2021		2			2
Additional paid-in capital		182,488			180,067
Accumulated deficit		(149,225	)		(152,831	)
Total stockholders’ equity		33,265			27,238
Total liabilities and stockholders’ equity	$	45,815		$	39,380

EVERSPIN TECHNOLOGIES, INC.
Condensed Statements of Operations and Comprehensive Income (Loss)
(In thousands, except share and per share amounts)
(Unaudited)

	Three Months Ended June 30,						Six Months Ended June 30,
	2022			2021			2022			2021
Product sales	$	13,223		$	10,187		$	25,894		$	19,255
Licensing, royalty, patent, and other revenue		1,484			1,661			3,160			2,873
Total revenue		14,707			11,848			29,054			22,128
Cost of product sales		5,793			4,329			11,545			8,586
Cost of licensing, royalty, patent, and other revenue		323			323			595			361
Total cost of sales		6,116			4,652			12,140			8,947
Gross profit		8,591			7,196			16,914			13,181
Operating expenses: ¹
Research and development		2,699			3,357			5,135			5,796
General and administrative		2,860			2,338			5,589			5,181
Sales and marketing		1,292			1,045			2,426			2,032
Total operating expenses		6,851			6,740			13,150			13,009
Income from operations		1,740			456			3,764			172
Interest expense		(70	)		(144	)		(145	)		(296	)
Other income (expense), net		1			(12	)		(13	)		(27	)
Net income (loss) before income taxes		1,671			300			3,606			(151	)
Income tax expense		—			(44	)		—			(53	)
Net income (loss) and comprehensive income (loss)	$	1,671		$	256		$	3,606		$	(204	)
Net income (loss) per common share:
Basic	$	0.08		$	0.01		$	0.18		$	(0.01	)
Diluted	$	0.08		$	0.01		$	0.17		$	(0.01	)
Weighted average shares of common stock outstanding:
Basic		20,069,444			19,313,162			19,983,526			19,203,374
Diluted		20,424,283			19,726,064			20,626,547			19,203,374

¹ Operating expenses include stock-based compensation as follows:
Research and development	$	462		$	265		$	795		$	446
General and administrative		647			305			1,018			790
Sales and marketing		202			134			322			211
Total stock-based compensation	$	1,311		$	704		$	2,135		$	1,447

EVERSPIN TECHNOLOGIES, INC.
Condensed Statement of Cash Flows
(In thousands)
(Unaudited)

	Six Months Ended June 30,
	2022			2021
Cash flows from operating activities
Net income (loss)	$	3,606		$	(204	)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depreciation and amortization		462			756
Gain on sale of property and equipment		(167	)		—
Stock-based compensation		2,135			1,447
Non-cash warrant revaluation		(21	)		5
Non-cash interest expense		62			168
Changes in operating assets and liabilities:
Accounts receivable		(1,090	)		(2,776	)
Inventory		20			(850	)
Prepaid expenses and other current assets		(38	)		49
Other assets		664			—
Accounts payable		(201	)		861
Accrued liabilities		(1,414	)		(126	)
Deferred revenue		(832	)		1,815
Lease liabilities		164			(64	)
Net cash provided by operating activities		3,350			1,081
Cash flows from investing activities
Purchases of property and equipment		(996	)		(554	)
Proceeds received from sale of property and equipment		202			—
Net cash used in investing activities		(794	)		(554	)
Cash flows from financing activities
Payments on long-term debt		(1,200	)		(1,200	)
Proceeds from exercise of stock options and purchase of shares in employee stock purchase plan		286			293
Net cash used in financing activities		(914	)		(907	)
Net increase (decrease) in cash and cash equivalents		1,642			(380	)
Cash and cash equivalents at beginning of period		21,409			14,599
Cash and cash equivalents at end of period	$	23,051		$	14,219
Supplementary cash flow information:
Interest paid	$	83		$	128
Operating cash flows paid for operating leases	$	635		$	814
Financing cash flows paid for finance leases	$	5		$	—
Non-cash investing and financing activities:
Right-of-use assets obtained in exchange for operating lease liabilities	$	3,350		$	—
Right-of-use assets obtained in exchange for finance lease liabilities	$	36		$	—
Purchases of property and equipment in accounts payable and accrued liabilities	$	783		$	—
Bonus settled in shares of common stock	$	—		$	364

EVERSPIN TECHNOLOGIES, INC.
Adjusted EBITDA Reconciliation
(In thousands)
(Unaudited)

	Three Months Ended
	June 30, 2022		March 31, 2022		June 30, 2021
Adjusted EBITDA reconciliation:
Net income	$	1,671	$	1,935	$	256
Depreciation and amortization		204		258		373
Stock-based compensation expense		1,311		824		704
Interest expense		70		75		144
Income tax expense		-		-		44
Adjusted EBITDA	$	3,256	$	3,092	$	1,521

« Previous Page 1 | 2 | 3 Next Page »