Enovix Corp Files 2023 Annual Report on Form 10-K

TL;DR

<b>Enovix Corp has filed its 2023 10-K report, detailing financial performance and corporate structure.</b>

AI Summary

Enovix Corp (ENVX) filed a Annual Report (10-K) with the SEC on February 29, 2024. Enovix Corp filed its 10-K report for the fiscal year ending December 31, 2023. The company's principal executive offices are located at 3501 W. Warren Avenue, Fremont, CA 94538. Enovix Corp was formerly known as Rodgers Silicon Valley Acquisition Corp before a name change on October 14, 2020. The filing includes financial data for the fiscal years 2021, 2022, and 2023. The company issued Convertible Senior Notes due 2028 on April 20, 2023.

Why It Matters

For investors and stakeholders tracking Enovix Corp, this filing contains several important signals. This 10-K filing provides a comprehensive overview of Enovix Corp's financial health, operational status, and strategic direction for the fiscal year 2023, crucial for investors assessing the company's current standing and future prospects. The inclusion of details on convertible senior notes and historical financial data allows for a deeper analysis of the company's capital structure, debt obligations, and revenue trends over multiple years.

Risk Assessment

Risk Level: medium — Enovix Corp shows moderate risk based on this filing. The company's financial performance and future prospects are subject to the inherent risks and uncertainties of operating in the advanced battery technology sector, as detailed in the 10-K filing.

Analyst Insight

Investors should review the detailed financial statements and risk factors in the 10-K to understand Enovix Corp's operational performance and market position.

Key Numbers

• 2023-12-31 — Fiscal Year End (Reported fiscal year end)
• 2024-02-29 — Filing Date (Date the 10-K was filed)
• 2020-10-14 — Name Change Date (Date Enovix Corp changed its name)
• 2023-04-20 — Convertible Notes Issuance Date (Date of A30 Convertible Senior Notes issuance)

Key Players & Entities

• Enovix Corp (company) — Filer of the 10-K report
• Rodgers Silicon Valley Acquisition Corp (company) — Former name of Enovix Corp
• 3501 W. Warren Avenue, Fremont, CA 94538 (company) — Business address of Enovix Corp
• 2023-12-31 (date) — Fiscal year end date
• 2024-02-29 (date) — Filing date
• 2020-10-14 (date) — Date of name change
• 2023-04-20 (date) — Date of Convertible Senior Notes issuance

FAQ

Key Dates

• 2023-12-31: Fiscal Year End — End of the reporting period for the 10-K.
• 2024-02-29: Filing Date — Date the 10-K was officially submitted to the SEC.
• 2020-10-14: Name Change — Date Enovix Corp adopted its current name.
• 2023-04-20: Convertible Senior Notes Issuance — Date of issuance for the A30 Convertible Senior Notes.

Key Financial Figures

• $0.0001 — ich registered Common Stock, par value $0.0001 per share ENVX The Nasdaq Global Select

Filing Documents

• envx-20231231.htm (10-K) — 2153KB
• envx-q420231231exx211subli.htm (EX-21.1) — 7KB
• envx-q420231231exx231dtcon.htm (EX-23.1) — 2KB
• envx10k-q420231231ex311.htm (EX-31.1) — 11KB
• envx10k-q420231231exx312.htm (EX-31.2) — 11KB
• envx10k-q420231231ex321.htm (EX-32.1) — 6KB
• envx10k-q420231231exx322.htm (EX-32.2) — 6KB
• envx-q420231231exx971incen.htm (EX-97.1) — 35KB
• envx-20231231_g1.jpg (GRAPHIC) — 131KB
• 0001828318-24-000021.txt (&nbsp;) — 12597KB
• envx-20231231.xsd (EX-101.SCH) — 83KB
• envx-20231231_cal.xml (EX-101.CAL) — 140KB
• envx-20231231_def.xml (EX-101.DEF) — 484KB
• envx-20231231_lab.xml (EX-101.LAB) — 1152KB
• envx-20231231_pre.xml (EX-101.PRE) — 801KB
• envx-20231231_htm.xml (XML) — 1591KB

Business

Item 1. Business 5

Risk Factors

Item 1A. Risk Factors 13

Unresolved Staff Comments

Item 1B. Unresolved Staff Comments 43

Cybersecurity

Item 1C. Cybersecurity 43

Properties

Item 2. Properties 44

Legal Proceedings

Item 3. Legal Proceedings 45

Mine Safety Disclosures

Item 4. Mine Safety Disclosures 45 PART II

Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities

Item 5. Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities 46

[Reserved]

Item 6. [Reserved] 47

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

Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations 48

Quantitative and Qualitative Disclosure about Market Risks

Item 7A. Quantitative and Qualitative Disclosure about Market Risks 61

Financial Statements and Supplementary Data

Item 8. Financial Statements and Supplementary Data 62

Changes in and Disagreements with Accountants on Accounting and Financial Disclosure

Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure 113

Controls and Procedures

Item 9A. Controls and Procedures 113

Other Information

Item 9B. Other Information 114

Disclosure Regarding Foreign Jurisdictions that Prevent Inspections

Item 9C. Disclosure Regarding Foreign Jurisdictions that Prevent Inspections 114 PART III

Directors, Executive Officers and Corporate Governance

Item 10. Directors, Executive Officers and Corporate Governance 115

Executive Compensation

Item 11. Executive Compensation 115

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters

Item 12. Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters 115

Certain Relationships and Related Transactions, and Director Independence

Item 13. Certain Relationships and Related Transactions, and Director Independence 115

Principal Accountant Fees and Services

Item 14. Principal Accountant Fees and Services 115 PART IV

Exhibits and Financial Statement Schedules

Item 15. Exhibits and Financial Statement Schedules 116

Form 10-K Summary

Item 16. Form 10-K Summary 119

Signatures

Signatures 120 i Table of Contents

FORWARD LOOKING STATEMENTS

FORWARD LOOKING STATEMENTS This Annual Report on Form 10-K contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, or the Securities Act, and Section 21E of the Securities Exchange Act of 1934, or the Exchange Act. The statements contained in this Annual Report on Form 10-K that are not purely historical are forward-looking statements. Our forward-looking statements include, but are not limited to, statements regarding our or our management's expectations, hopes, beliefs, intentions or strategies regarding the future. In addition, any statements that refer to projections, forecasts or other characterizations of future events or circumstances, including any underlying assumptions, are forward-looking statements. The words "anticipates," "believe," "continue," "could," "estimate," "expect," "intend," "may," "might," "plan," "possible," "potential," "predict," "project," "should," "would" and similar expressions may identify forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking. Forward-looking statements in this Annual Report on Form 10-K may include, for example, statements about our: ability to build and scale our advanced silicon-anode lithium-ion battery, our production and commercialization timeline; ability to meet milestones and deliver on our objectives and expectations, the implementation and success of our products, technologies, business model and growth strategy, various addressable markets, market opportunity and the expansion of our customer base; ability to meet the expectations of new and current customers, our ability to achieve market acceptance for our products; financial performance, including revenue, expenses and projections thereof; placement of equipment orders for our next-generation manufacturing lines, the speed of and space requirements for our next-generation manufacturing lines; factory sites and related considerations, including

Business

Item 1. Business Company Overview Enovix Corporation (the "Company," "we," "us," "our" and "Enovix") is on a mission to power the technologies of the future. We do this by designing, developing, manufacturing, and commercializing next generation Lithium-ion, or Li-ion, battery cells that significantly increase the amount of energy density and storage capacity relative to conventional battery cells. Our battery's mechanical design, or "architecture," allows us to use high performance chemistries while enabling safety and charge time advantages. The benefit of an enhanced battery for portable electronics is devices that have more power budget available to keep up with user preferences for more advanced features and more attractive form factors. The benefit of an advanced battery for Electric Vehicles ("EVs") is vehicles that charge faster with lower system costs. Enovix was established in 2006 based on the premise that fundamentally altering battery performance would require a reinvention of the battery's architecture. Our architecture allows us to use 100% active silicon and no graphite in the battery's anode, which is the negative electrode that stores lithium ions when a battery is charged. The advantage of silicon over graphite is that it can theoretically store more than twice as much lithium as graphite, which increases a battery's energy density and overall capacity. The battery industry has historically struggled to incorporate more than a small amount of silicon in the anode because silicon can swell and crack in conventional architectures, impacting safety and performance. By contrast, our architecture is designed to accommodate silicon's swelling and apply stack pressure that alleviates the cracking problem. We have devoted significant funds and resources to develop our battery's architecture and the unique patterning and stacking assembly process for manufacturing our cells. This was done in conjunction with partnership and investment from several st