Energy Recovery, Inc. Files 10-Q for Q1 2024

TL;DR

<b>Energy Recovery, Inc. (ERII) filed its Q1 2024 10-Q report, detailing financial performance and segment data.</b>

AI Summary

Energy Recovery, Inc. (ERII) filed a Quarterly Report (10-Q) with the SEC on May 1, 2024. Energy Recovery, Inc. filed its 10-Q report for the quarter ended March 31, 2024. The filing covers the period from January 1, 2024, to March 31, 2024. The company's fiscal year ends on December 31. The filing includes financial data for common stock, additional paid-in capital, and retained earnings. Segment data for Water and Emerging Technologies in the Americas, Asia, and Middle East & Africa is included.

Why It Matters

For investors and stakeholders tracking Energy Recovery, Inc., this filing contains several important signals. This 10-Q filing provides investors with the latest quarterly financial snapshot of Energy Recovery, Inc., crucial for assessing recent performance and trends. The detailed segment information allows for a deeper understanding of revenue drivers and geographical performance within the Water and Emerging Technologies businesses.

Risk Assessment

Risk Level: low — Energy Recovery, Inc. shows low risk based on this filing. The filing is a standard quarterly report (10-Q) and does not indicate any immediate or significant financial distress or unusual events.

Analyst Insight

Monitor future filings for revenue growth trends in the Water and Emerging Technologies segments, particularly in the Americas and Asia.

Key Numbers

• 2024-03-31 — Period End Date (Quarterly report)
• 2024-01-01 — Period Start Date (Quarterly report)
• 1231 — Fiscal Year End (Company data)
• 001-34112 — SEC File Number (Filing values)

Key Players & Entities

• Energy Recovery, Inc. (company) — Filer
• 2024-03-31 (date) — Period of report
• 2024-05-01 (date) — Filed as of date
• 1717 DOOLITTLE DRIVE (address) — Business address
• SAN LEANDRO (city) — Business address
• CA (state) — Business address
• 94577 (zip_code) — Business address
• 0001421517 (company_id) — Accession Number

FAQ

Industry Context

Energy Recovery, Inc. operates in the industrial machinery sector, focusing on energy recovery technologies.

Regulatory Implications

The company files standard SEC reports, including 10-Q for quarterly updates, adhering to the Securities Exchange Act of 1934.

What Investors Should Do

1. Review the full 10-Q document for detailed financial statements and management discussion.
2. Analyze segment revenues for Water and Emerging Technologies to identify growth drivers.
3. Compare Q1 2024 performance against Q1 2023 and prior quarters for trend analysis.

Key Dates

• 2024-03-31: Quarter End — End of reporting period for the 10-Q
• 2024-05-01: Filing Date — Date the 10-Q was officially filed with the SEC

Year-Over-Year Comparison

This filing is the Q1 2024 10-Q, following the previous 10-K annual report and prior 10-Q filings.

Key Financial Figures

• $0.001 — nge on which registered Common Stock, $0.001 par value ERII The Nasdaq Stock Mar

Filing Documents

• erii-20240331.htm (10-Q) — 1815KB
• ex311302ceo2024-q1.htm (EX-31.1) — 11KB
• ex312302cfo2024-q1.htm (EX-31.2) — 11KB
• ex3219062024-q1.htm (EX-32.1) — 8KB
• erii-20240331_g1.jpg (GRAPHIC) — 93KB
• 0001421517-24-000093.txt (&nbsp;) — 7335KB
• erii-20240331.xsd (EX-101.SCH) — 29KB
• erii-20240331_cal.xml (EX-101.CAL) — 63KB
• erii-20240331_def.xml (EX-101.DEF) — 93KB
• erii-20240331_lab.xml (EX-101.LAB) — 407KB
• erii-20240331_pre.xml (EX-101.PRE) — 272KB
• erii-20240331_htm.xml (XML) — 1408KB

Financial Statements (Unaudited)

Financial Statements (Unaudited) Condensed Consolidated Balance Sheets — March 31, 2024 and December 31, 2023 1 Condensed Consolidated Statements of Operations — Three Months Ended March 31, 2024 and 2023 2 Condensed Consolidated Statements of Comprehensive Loss — Three Months Ended March 31, 2024 and 2023 3 Condensed Consolidated Statements of Stockholders' Equity — Three Months Ended March 31, 2024 and 2023 4 Condensed Consolidated Statements of Cash Flows — Three Months Ended March 31, 2024 and 2023 5 Notes to Condensed Consolidated Financial Statements 6 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 18 Item 3

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 25 Item 4

Controls and Procedures

Controls and Procedures 26 PART II OTHER INFORMATION Item 1

Legal Proceedings

Legal Proceedings 27 Item 1A

Risk Factors

Risk Factors 27 Item 2 Unregistered Sales of Equity Securities and Use of Proceeds 27 Item 3 Defaults Upon Senior Securities 27 Item 4 Mine Safety Disclosures 27 Item 5 Other Information 28 Item 6 Exhibits 28

Signatures

Signatures 29 Table of Contents Energy Recovery, Inc. | Q1'2024 Form 10-Q Forward-Looking Information This Quarterly Report on Form 10-Q for the three months ended March 31, 2024 , including Part I, Item 2, "Management's Discussion and Analysis of Financial Condition and Results of Operations" (the "MD&A"), contains forward-looking statements within the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements in this report include, but are not limited to, Forward-looking statements represent our current expectations about future events, are based on assumptions, and involve risks and uncertainties. If the risks or uncertainties occur or the assumptions prove incorrect, then our results may differ materially from those set forth or implied by the forward-looking statements. Our forward-looking statements are not guarantees of future performance or events. Words such as "expects," "anticipates," "aims," "projects," "intends," "plans," "believes," "estimates," "seeks," "continue," "could," "may," "potential," "should," "will," "would," variations of such words and similar expressions are also intended to identify such forward-looking actual results may differ materially and adversely from those expressed in any forward-looking statement. Readers are directed to risks and uncertainties identified under Part II, Item 1A, "Risk Factors," and elsewhere in this report for factors that may cause actual results to be different from those expressed in these forward-looking statements. Except as required by law, we undertake no obligation to revise or update publicly any forward-looking statement for any reason.

Forward-looking statements in this report include, without limitation, statements about the following

Forward-looking statements in this report include, without limitation, statements about the following: our belief that our PX offers market-leading value with the highest technological and economic benefit; our belief that leveraging our pressure exchanger technology will unlock new commercial opportunities in the future; our belief that our PX G1300 can contribute to help make CO 2 -based refrigeration economically viable in a broader range of climates; our belief that our technology helps our customer achieve environmentally sustainable operations; our expectation that sales outside of the U.S. will remain a significant portion of our revenue; the scale of the environmental impact from the use of our solutions; our belief that our sustainability goals are highly influential to our business success; the timing of our receipt of payment for products or services from our customers; our belief that our existing cash and cash equivalents, our short and/or long-term investments , and the ongoing cash generated from our operations, will be sufficient to meet our anticipated liquidity needs for the foreseeable future, with the exception of a decision to enter into an acquisition and/or fund investments in our latest technology arising from rapid market adoption that could require us to seek additional equity or debt financing; our expectations relating to the amount and timing of recognized revenue from our projects; our expectations relating to expenses; our expectation that we will continue to receive a tax benefit related to U.S. federal foreign-derived intangible income and California research and development tax credit; the outcome of proceedings, lawsuits, disputes and claims; the impact of losses due to indemnification obligations; other factors disclosed under the MD&A and Part I, Item 3, "Quantitative and Qualitative Disclosures about Market Risk," and elsewhere in this Form 10-Q. You should not place undue reliance on these

— FINANCIAL INFORMATION

PART I — FINANCIAL INFORMATION

— Financial Statements (unaudited)

Item 1 — Financial Statements (unaudited) ENERGY RECOVERY, INC. CONDENSED CONSOLIDATED BALANCE SHEETS March 31, 2024 December 31, 2023 (In thousands) ASSETS Current assets: Cash and cash equivalents $ 70,781 $ 68,098 Short-term investments 46,577 40,445 Accounts receivable, net 25,055 46,937 Inventories, net 31,671 26,149 Prepaid expenses and other assets 4,288 3,843 Total current assets 178,372 185,472 Long-term investments 12,137 13,832 Deferred tax assets, net 11,652 10,324 Property and equipment, net 17,889 18,699 Operating lease, right of use asset 11,038 11,469 Goodwill 12,790 12,790 Other assets, non-current 387 388 Total assets $ 244,265 $ 252,974 LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilities: Accounts payable $ 3,492 $ 3,000 Accrued expenses and other liabilities 8,342 15,583 Lease liabilities 1,854 1,791 Contract liabilities 3,449 1,097 Total current liabilities 17,137 21,471 Lease liabilities, non-current 10,959 11,488 Other liabilities, non-current 132 207 Total liabilities 28,228 33,166 Commitments and contingencies (Note 7) Stockholders' equity: Common stock 65 65 Additional paid-in capital 222,122 217,617 Accumulated other comprehensive loss ( 60 ) ( 44 ) Treasury stock ( 80,486 ) ( 80,486 ) Retained earnings 74,396 82,656 Total stockholders' equity 216,037 219,808 Total liabilities and stockholders' equity $ 244,265 $ 252,974 See Accompanying Notes to Condensed Consolidated Financial Statements Table of Contents Energy Recovery, Inc. | Q1'2024 Form 10-Q | 1 ENERGY RECOVERY, INC. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS Three Months Ended March 31, 2024 2023 (In thousands, except per share data) Revenue $ 12,090 $ 13,401 Cost of revenue 4,955 5,246 Gross profit 7,135 8,155 Operating expenses: General and adm

View Full Filing

View this 10-Q filing on SEC EDGAR