Solid Power (SLDP) Q2 2024 earnings summary

Executive summary

• Four key 2024 goals: expand electrolyte capabilities, advance A-2 cell design, execute partnerships, and strengthen presence in Korea.

• Achieved increased electrolyte sampling, positive customer feedback, and progress on agreements with SK On and BMW.

• BMW successfully built and tested modules with A-1 cells; focus now shifts to A-2 cell performance improvements.

• Appointed Linda Heller as Chief Financial Officer and Treasurer during the quarter.

• Expanded business development team in Korea to support collaborations and ramp up sampling activities.

Financial highlights

• Q2 2024 revenue was $5.1 million, up $0.2 million year-over-year; H1 2024 revenue reached $11.0 million, up $2.3 million.

• Operating expenses reached $32 million in Q2; Q2 operating loss was $26.9 million, net loss was $22.3 million ($0.13 per share).

• H1 2024 operating loss totaled $52.7 million; net loss was $43.5 million, or $0.24 per share.

• Capital expenditures totaled $4.4 million in Q2 and $8.5 million in H1, focused on electrolyte production and R&D lab build-out.

• Total liquidity as of June 30, 2024, was $358.8 million, with cash and cash equivalents at $30.6 million.

Outlook and guidance

• 2024 revenue guidance reduced to $16–$20 million due to accounting treatment of SK On agreement and slower-than-expected electrolyte uptake.

• Fiscal year 2024 cash used in operations expected at $60–$70 million; capital expenditures at $40–$50 million.

• Total 2024 cash investment projected at $100–$120 million, including deferred investments from 2023.

• Revenue revision does not impact long-term commercialization plans or cash runway.

• R&D and SG&A expenses expected to increase due to expanded development and workforce growth, especially in Korea.