Aspen Aerogels Q2 Sales Hit $73.4M

TL;DR

Aspen Aerogels Q2 sales $73.4M, Thermal Barrier segment strong.

AI Summary

Aspen Aerogels Inc. reported its Q2 2024 results, with net sales for the three months ended June 30, 2024, reaching $73.4 million. The company's operating segments include Thermal Barrier, and for the quarter, the Thermal Barrier segment generated $73.4 million in net sales. This filing covers the period up to June 30, 2024, and was filed on August 8, 2024.

Why It Matters

This filing provides insight into Aspen Aerogels' financial performance for the second quarter of 2024, impacting investor understanding of the company's revenue generation and operational status.

Risk Assessment

Risk Level: medium — The company's reliance on two major customers presents a significant concentration risk.

Key Numbers

• $73.4M — Net Sales (For the three months ended June 30, 2024)
• 20240630 — Reporting Period End Date (Covers Q2 2024 performance)
• 20240808 — Filing Date (Indicates when the report was submitted)

Key Players & Entities

• Aspen Aerogels Inc. (company) — Filer
• $73.4 million (dollar_amount) — Net sales for Q2 2024
• June 30, 2024 (date) — End of reporting period
• August 8, 2024 (date) — Filing date
• Thermal Barrier (company) — Operating segment
• Steven R. Mitchell (person) — Mentioned in relation to a period
• TwoCustomers (company) — Customer concentration risk

FAQ

Key Financial Figures

• $0.00001 — ch registered Common Stock, par value $0.00001 per share ASPN The New York Stock E

Filing Documents

• aspn-20240630.htm (10-Q) — 2107KB
• aspn-ex10_1.htm (EX-10.1) — 54KB
• aspn-ex31_1.htm (EX-31.1) — 12KB
• aspn-ex31_2.htm (EX-31.2) — 13KB
• aspn-ex32.htm (EX-32) — 12KB
• 0000950170-24-094005.txt ( ) — 8712KB
• aspn-20240630.xsd (EX-101.SCH) — 1232KB
• aspn-20240630_htm.xml (XML) — 1618KB

FINANCIAL INFORMATION

PART I FINANCIAL INFORMATION Item 1.

Financial Statements

Financial Statements Consolidated Balance Sheets (unaudited) as of June 30, 2024 and December 31, 2023 1 Consolidated Statements of Operations (unaudited) for the three and six months ended June 30, 2024 and 2023 2 Consolidated Statements of Stockholders' Equity (unaudited) for the three and six months ended June 30, 2024 and 2023 3 Consolidated Statements of Cash Flows (unaudited) for the six months ended June 30, 2024 and 2023 4

Notes to Consolidated Financial Statements (unaudited)

Notes to Consolidated Financial Statements (unaudited) 5 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 19 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 35 Item 4.

Controls and Procedures

Controls and Procedures 35

OTHER INFORMATION

PART II OTHER INFORMATION Item 1.

Legal Proceedings

Legal Proceedings 37 Item 1A.

Risk Factors

Risk Factors 37 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 38 Item 3. Defaults Upon Senior Securities 38 Item 4. Mine Safety Disclosures 38 Item 5. Other Information 38 Item 6. Exhibits 39

SIGNATURES

SIGNATURES 40 Trademarks, Trade Names and Service Marks We own or have rights to use "Aspen Aerogels," "Cryogel," "Pyrogel," "Spaceloft," "PyroThin," the Aspen Aerogels logo and other trademarks, service marks and trade names of Aspen Aerogels, Inc. appearing in this Quarterly Report on Form 10-Q. Solely for convenience, the trademarks, service marks and trade names referred to in this report are presented without the and TM symbols, but such references are not intended to indicate, in any way, that the owner thereof will not assert, to the fullest extent under applicable law, such owner's rights to these trademarks, service marks and trade names. This report contains additional trademarks, service marks and trade names of other companies, which, to our knowledge, are the property of their respective owners.

— FINANC IAL INFORMATION

PART I — FINANC IAL INFORMATION

Financi al Statements

Item 1. Financi al Statements. ASPEN AEROGELS, INC. Consolidated B alance Sheets (Unaudited) June 30, December 31, 2024 2023 (In thousands, except share and per share data) Assets Current assets: Cash and cash equivalents $ 91,381 $ 139,723 Restricted cash 394 248 Accounts receivable, net of allowances of $ 468 and $ 230 116,928 69,995 Inventories 53,030 39,189 Prepaid expenses and other current assets 26,804 17,176 Total current assets 288,537 266,331 Property, plant and equipment, net 437,973 417,227 Operating lease right-of-use assets 18,671 17,212 Other long-term assets 3,448 2,278 Total assets $ 748,629 $ 703,048 Liabilities and Stockholders' Equity Current liabilities: Accounts payable $ 57,246 $ 51,094 Accrued expenses 19,684 22,811 Deferred revenue 3,095 2,316 Finance obligation for sale and leaseback transactions 1,254 — Operating lease liabilities 2,151 1,874 Total current liabilities 83,430 78,095 Convertible note - related party 121,074 114,992 Finance obligation for sale and leaseback transactions long-term 3,224 — Operating lease liabilities long-term 23,074 21,906 Total liabilities 230,802 214,993 Commitments and contingencies (Note 9) Stockholders' equity: Preferred stock, $ 0.00001 par value; 5,000,000 shares authorized, no shares issued and outstanding at June 30, 2024 and December 31, 2023 — — Common stock, $ 0.00001 par value; 250,000,000 shares authorized, 77,081,039 and 76,503,151 shares issued and outstanding at June 30, 2024 and December 31, 2023, respectively — — Additional paid-in capital 1,176,446 1,161,657 Accumulated deficit ( 658,619 ) ( 673,602 ) Total stockholders' equity 517,827 488,055 Total liabilities and stockholders' equity $ 748,629 $ 703,048 See accompanying notes to unaudited consolidated financial statements. 1 ASPEN A

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED) (1) Description of Business and Basis of Presentation Nature of Business Aspen Aerogels, Inc. (the Company) is an aerogel technology company that designs, develops and manufactures innovative, high-performance aerogel insulation used primarily in the energy industrial and sustainable insulation materials markets. In addition, the Company has introduced a line of aerogel thermal barriers for use in battery packs in the electric vehicle market. The Company is also developing applications for its aerogel technology in the battery materials and a number of other high-potential markets. The Company maintains its corporate offices in Northborough, Massachusetts. The Company has three wholly owned subsidiaries: Aspen Aerogels Rhode Island, LLC, Aspen Aerogels Germany, GmbH and Aspen Aerogels Georgia, LLC. Additionally, we engaged Prodensa Servicios de Consultora to establish OPE Manufacturer Mexico S de RL de CV, a maquiladora located in Mexico, ("OPE") which manufactures thermal barrier PyroThin products and operates an automated fabrication facility for PyroThin. OPE is currently owned by Prodensa, which charges a management fee. There is an option for OPE to be purchased by the Company after a period of 18 months. During the period between inception and the exercise of the purchase option, OPE operations are consolidated within the Company financial statements. Liquidity During the six months ended June 30, 2024, the Company earned net income of $ 15.0 million, used $ 10.9 million of cash in operations and used $ 50.7 million of cash for capital expenditures. The Company had unrestricted cash and cash equivalents of $ 91.4 million as of June 30, 2024. In January 2024 , the Company entered i nto a sale and leaseback arrangement, pursuant to which the Company sold certain equipment to an equipment leasing company for a one-time cash payment of $ 5.0 million and leased back such equipment from the leasi

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