As of September 30, 2024, LeddarTech’s consolidated cash balance totaled $5.3 million, compared to $5.1 million on September 30, 2023. Subsequent to the end of the quarter, the company raised approximately C$23.9 million, using a recent exchange rate of 1.43 Canadian dollars per US dollar. This included a US$5 million advance royalty payment from Texas Instruments, US$2.8 million from additional bridge financing and US$9 million from the sale of stock issuance under our standby equity purchase agreement or SEPA. LeddarTech’s cash balance as of Tuesday, December 17, 2024 was approximately $20.8 million. The company believes it is well positioned to collect the second milestone payment in the amount of a US$3 million payment from Texas Instruments in early January 2025.
About LeddarTech
A global software company founded in 2007 and headquartered in Quebec City with additional R&D centers in Montreal and Tel Aviv, Israel, LeddarTech develops and provides comprehensive AI-based low-level sensor fusion and perception software solutions that enable the deployment of ADAS, autonomous driving (AD) and parking applications. LeddarTech’s automotive-grade software applies advanced AI and computer vision algorithms to generate accurate 3D models of the environment to achieve better decision making and safer navigation. This high-performance, scalable, cost-effective technology is available to OEMs and Tier 1-2 suppliers to efficiently implement automotive and off-road vehicle ADAS solutions.
LeddarTech is responsible for several remote-sensing innovations, with over 170 patent applications (87 granted) that enhance ADAS, AD and parking capabilities. Better awareness around the vehicle is critical in making global mobility safer, more efficient, sustainable and affordable: this is what drives LeddarTech to seek to become the most widely adopted sensor fusion and perception software solution.
Additional information about LeddarTech is accessible at www.LeddarTech.com and on LinkedIn, Twitter (X), Facebook and YouTube.
Non-IFRS Financial Measures
A non-IFRS financial measure is a financial measure used to depict our historical or expected future financial performance, financial position or cash flow and, with respect to its composition, either excludes an amount that is included in, or includes an amount that is excluded from, the composition of the most directly comparable financial measure disclosed in Company’s consolidated primary financial statements.
In Q2-2024, the Company started to use two new non-IFRS financial measures because we believe these non-IFRS financial measures are reflective of our ongoing operating results and provide readers with an understanding of management’s perspective on and analysis of our performance.
Below are descriptions of the non-IFRS financial measures that we use to explain our results and reconciliations to the most directly comparable IFRS financial measures.
EBITDA (loss) is calculated as net earnings (loss) before interest expenses (income), deferred income taxes, depreciation of property and equipment, depreciation of right-of-use assets and amortization of intangible assets.
EBITDA (loss) should not be considered an alternative to net loss in measuring performance or used as a measure of cash flow.
Adjusted EBITDA (loss) is calculated as EBITDA (loss), adjusted for foreign exchange gain (loss), loss (gain) on revaluation of financial instruments carried at fair value, gain or loss on lease modification, shareâ�based compensation, listing expense, transaction costs, restructuring costs and impairment loss on intangible assets.
Forward-Looking Statements
Certain statements contained in this press release may be considered forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended (which forward-looking statements also include forward-looking statements and forward-looking information within the meaning of applicable Canadian securities laws), including, but not limited to, statements relating to LeddarTech’s anticipated strategy, future operations, prospects, objectives and financial projections and other financial metrics. Forward-looking statements generally include statements that are predictive in nature and depend upon or refer to future events or conditions, and include words such as “may,” “will,” “should,” “would,” “expect,” “anticipate,” “plan,” “likely,” “believe,” “estimate,” “project,” “intend” and other similar expressions among others. Statements that are not historical facts are forward-looking statements. Forward-looking statements are based on current beliefs and assumptions that are subject to risks and uncertainties and are not guarantees of future performance. Actual results could differ materially from those contained in any forward-looking statement as a result of various factors, including, without limitation: (i) our ability to timely access sufficient capital and financing on favorable terms or at all; (ii) our ability to maintain compliance with our debt covenants, including our ability to enter into any forbearance agreements, waivers or amendments with, or obtain other relief from, our lenders as needed; (iii) our ability to execute on our business model, achieve design wins and generate meaningful revenue; (iv) our ability to successfully commercialize our product offering at scale, whether through the collaboration agreement with Texas Instruments, a collaboration with a Tier 2 supplier or otherwise; (v) changes in our strategy, future operations, financial position, estimated revenues and losses, projected costs, projects, prospects and plans; (vi) changes in general economic and/or industry-specific conditions; (vii) our ability to retain, attract and hire key personnel; (viii) potential adverse changes to relationships with our customers, employees, suppliers or other parties; (ix) legislative, regulatory and economic developments; (x) the outcome of any known and unknown litigation and regulatory proceedings; (xi) unpredictability and severity of catastrophic events, including, but not limited to, acts of terrorism, outbreak of war or hostilities and any epidemic, pandemic or disease outbreak, as well as management’s response to any of the aforementioned factors; and (xii) other risk factors as detailed from time to time in LeddarTech’s reports filed with the U.S. Securities and Exchange Commission (the “SEC”), including the risk factors contained in LeddarTech’s Form 20-F filed with the SEC. The foregoing list of important factors is not exhaustive. Except as required by applicable law, LeddarTech does not undertake any obligation to revise or update any forward-looking statement, or to make any other forward-looking statements, whether as a result of new information, future events or otherwise.
| FY2024 | FY2023 | Q4-2024 | Q4-2023 | |
| Net loss from continued operations | ($167,318,738) | ($43,841,777) | ($81,154,693) | ($9,130,661) |
| Deferred income taxes | 15,882 | - | (1,129) | - |
| Depreciation of property and equipment | 738,081 | 1,274,597 | 122,967 | 45,087 |
| Depreciation of right-of-use assets | 515,558 | 581,936 | 28,764 | 121,707 |
| Amortization of intangible assets | 257,932 | 286,494 | (35,249) | (27,464) |
| Interest expenses (income) | 8,516,354 | (1,039,281) | 2,838,721 | 815,186 |
| EBITDA (loss) from continuing operations | (157,229,931 ) | (42,738,031 ) | (78,200,618 ) | (8,176,144 ) |
| Foreign exchange loss (gain) | (399,827) | 224,057 | (715,237) | 152,381 |
| Loss (gain) on revaluation of financial instruments carried at fair value | (5,553,010) | 21,100 | 934,095 | 35,654 |
| Gain on lease modification | (204,146) | - | - | - |
| Loss on exercise of conversion options | 366,957 | - | 366,957 | - |
| Stock-based compensation | 1,715,512 | 2,436,974 | 2,015,588 | 777,957 |
| Listing expense | 59,139,572 | - | - | - |
| Transaction costs | 2,407,977 | 3,506,630 | - | 1,916,927 |
| Restructuring costs | 46,387 | 1,734,244 | 46,387 | (329,265) |
| Impairment loss related to intangible assets | 69,315,247 | - | 69,315,247 | (4,367,243) |
| Adjusted EBITDA (loss) from continuing operations | (30,395,262 ) | (34,815,026 ) | (6,237,581 ) | (9,989,733 ) |
