Financial Performance - The company recorded impairment charges totaling $129.8 million in 2024, including $22.5 million for the Indiana Farm and $57.3 million for the Ohio Farm Site[25][26][27]. - Cumulative net losses from incorporation to December 31, 2024, amount to approximately $370 million, with expectations of incurring additional losses in future periods[56]. - The company recorded a net loss of $149.2 million for the year ended December 31, 2024, an increase of 441% compared to the previous year[131]. - The company incurred a net loss of $149.2 million for the year ended December 31, 2024, compared to a net loss of $27.6 million in 2023, reflecting a significant increase in losses[142][143]. - Total costs and expenses for 2024 were $111.44 million, a substantial rise from $13.67 million in 2023, primarily due to a long-lived asset impairment charge of $101.91 million[202]. - The company’s accumulated deficit increased to $369.77 million as of December 31, 2024, compared to $220.58 million in 2023, highlighting ongoing financial challenges[200]. - The basic and diluted net loss per share from continuing operations was $(29.47) in 2024, compared to $(3.60) in 2023, reflecting worsening financial performance[202]. Cash and Liquidity - As of December 31, 2024, the company had only $230 thousand in cash and cash equivalents, raising substantial doubt about its ability to continue as a going concern[56]. - As of March 24, 2025, AquaBounty had an accumulated deficit of $370 million and $557 thousand in cash[118]. - Cash and cash equivalents decreased to $230,362 as of December 31, 2024, down from $9.20 million at the end of 2023[200]. - The company had an accumulated deficit of $370 million as of December 31, 2024, and expects to continue experiencing significant losses in the foreseeable future[138]. - The company currently has all cash and cash equivalents deposited in Citizens Bank, N.A., posing a risk of loss if the financial institution fails[78]. Project Developments - AquaBounty paused construction of the Ohio Farm Project in June 2023 due to rising costs, with total estimated completion costs now between $485 million and $495 million[47][48]. - Construction of the Ohio Farm Project was paused in July 2023 due to rising project costs, and there is uncertainty regarding vendor availability for resuming construction[59]. - The company is seeking additional capital to fund the Ohio Farm Project and has engaged an investment bank to explore funding and strategic alternatives[58]. - The company may face delays in obtaining necessary approvals and permits for the Ohio Farm Project, which could further delay construction and commercialization efforts[61]. - The company sold its Indiana Farm in July 2024 and Canadian Farms in March 2025, designating these as discontinued operations[24]. Strategic Management - AquaBounty engaged an investment bank to explore funding and strategic alternatives for the Ohio Farm Project, requiring approximately $400 million to complete construction[50]. - The company has sold its intellectual property for GE Atlantic salmon as part of its strategic asset management[31]. - The company is exploring strategic alternatives to raise funds, including equity or debt financing, mergers, and asset sales[215]. - The Company is focusing on cost containment to preserve cash and extend its available liquidity[212]. - The Company continues to work with an investment bank to identify optimal paths for realizing the potential of its remaining assets[212]. Regulatory and Compliance - The company received a Nasdaq notice on October 31, 2022, due to its common stock closing bid price being below $1.00 for 30 consecutive business days, with a compliance period until May 1, 2023[82]. - A reverse stock split of 1-for-20 was approved by stockholders on October 12, 2023, and implemented on October 16, 2023, allowing the company to regain compliance with Nasdaq's minimum bid price requirement[83]. - The company has a public float of less than $250 million and annual revenue below $100 million, qualifying it as a "smaller reporting company" under SEC rules[88]. - The company is subject to the regulations of the Public Company Accounting Oversight Board (PCAOB) and must maintain independence in its financial reporting[190]. Cybersecurity - The company has developed a cybersecurity risk management program based on the NIST Cybersecurity Framework to protect its critical systems and information[96]. - The Board of Directors oversees the cybersecurity risk management program and receives periodic updates on cybersecurity risks and incidents[98]. - The company has not identified any material cybersecurity breaches during 2024, indicating effective risk management[97]. Operational Challenges - The company lacks extensive experience in managing large commercial-scale facilities, which may lead to operational challenges and increased costs[69]. - The company is vulnerable to disease outbreaks in salmon farming, which can significantly impact production costs and harvest yields[68]. - Investor concerns regarding the financial services industry could lead to less favorable financing terms, impacting the company's ability to secure necessary funding[77]. Asset Management - The company completed the sale of its Indiana Farm and certain Ohio Equipment Assets for net proceeds of $9.2 million in 2024, and the sale of Canadian operations for $1.9 million in March 2025[148]. - The company plans to continue selling non-core assets and equipment to fund working capital and the construction of its Ohio Farm Project[148][149]. - The company has raised substantial doubt about its ability to continue as a going concern within one year after the issuance of its consolidated financial statements[146][150].

Financial Performance - For the year ended December 31, 2024, product revenue totaled $789 thousand, a year-over-year decrease of 68% compared to $2.5 million in 2023[7] - Net loss for the year ended December 31, 2024 increased to $149.2 million compared to $27.6 million in 2023, including asset impairment charges of $129.8 million[7] - The company reported a comprehensive loss of $149.5 million for the year ended December 31, 2024, compared to $27.4 million in 2023[12] Cash and Assets - Cash, cash equivalents, and restricted cash totaled $230 thousand as of December 31, 2024, down from $9.2 million as of December 31, 2023[7] - Total current assets decreased to $11.3 million in 2024 from $31.0 million in 2023[11] - Total liabilities decreased to $18.2 million in 2024 from $22.5 million in 2023[11] Asset Sales and Proceeds - The company completed the auction of certain Ohio Equipment Assets for net proceeds of $2.2 million on February 11, 2025[4] - The sale of Canadian Farms and Corporate IP generated net proceeds of $1.9 million on March 3, 2025[4] Project Status and Future Plans - Construction activities for the Ohio Farm Site remained on pause throughout 2024, pending new sources of financing[7] - The company plans to continue assessing strategic alternatives for the Ohio Farm Project and marketing available assets to generate cash[4]

Harvard, Massachusetts--(Newsfile Corp. - March 27, 2025) - AquaBounty Technologies, Inc. (NASDAQ: AQB) ("AquaBounty" or the "Company"), a land-based aquaculture company utilizing technology to enhance productivity and sustainability, today announced the Company's financial results for the full year ended December 31, 2024.Full Year 2024 Highlights and Recent DevelopmentsFor the year ended December 31, 2024, product revenue totaled $789 thousand, a year-over-year decrease of 68% as compared to $2.5 million ...

Core Points - AquaBounty Technologies, Inc. has announced the wind down of its hatchery operations in Bay Fortune, which includes workforce reductions and the exit of several senior management members [1][2] - The company has cited insufficient liquidity as the primary reason for the closure, despite efforts to raise capital through the sale of farms and equipment [2] - Key management changes include the resignation of CEO Dave Melbourne and the departure of COO Alejandro Rojas and CPO Melissa Daley due to the elimination of their positions [3] Company Operations - The Bay Fortune facility was AquaBounty's only remaining operating farm, and the wind down will involve culling all remaining fish and significantly reducing personnel over the coming weeks [2] - The company plans to continue working with its investment banker to explore alternatives for its Ohio farm project and will market available assets to generate cash [4] Company Background - AquaBounty Technologies positions itself as a leader in land-based aquaculture, focusing on innovative solutions to address food insecurity and climate change [5]

Financial Performance - AquaBounty Technologies reported a quarterly loss of $0.88 per share, slightly better than the Zacks Consensus Estimate of a loss of $0.89, and an improvement from a loss of $1.60 per share a year ago [1] - The company posted revenues of $0.05 million for the quarter ended September 2024, missing the Zacks Consensus Estimate by 52%, and down from $0.73 million in the same quarter last year [2] - Over the last four quarters, AquaBounty has surpassed consensus EPS estimates only once and has topped consensus revenue estimates just once [2] Stock Performance - AquaBounty Technologies shares have declined approximately 60% since the beginning of the year, contrasting with the S&P 500's gain of 19.8% [3] - The current Zacks Rank for AquaBounty is 3 (Hold), indicating that the shares are expected to perform in line with the market in the near future [6] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is -$0.61 on revenues of $0.1 million, and for the current fiscal year, it is -$4.86 on revenues of $0.75 million [7] - The estimate revisions trend for AquaBounty is mixed, and future earnings expectations will depend on management's commentary during the earnings call [3][4] Industry Context - AquaBounty Technologies operates within the Medical - Biomedical and Genetics industry, which is currently ranked in the top 38% of over 250 Zacks industries [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, suggesting that industry performance can significantly impact AquaBounty's stock [5][8]

Financial Performance - Product revenue for the three months ended September 30, 2024, was $48,000, a decrease of 93% compared to $733,000 in the same period in 2023[87]. - The company recorded a net loss of $3.4 million for the three months ended September 30, 2024, a 45% decrease from a net loss of $6.1 million in the same period in 2023[87]. - Total product revenue for the nine months ended September 30, 2024, was $705,000, a decrease of 63% from $1.9 million in the same period in 2023[94]. - The company reported a net loss of $65.1 million for the nine months ended September 30, 2024, which was partially offset by non-cash charges and working capital sources[101]. Asset Management - Long-lived asset impairment charges totaled $48.7 million for the nine months ended September 30, 2024, primarily related to the Indiana farm and certain equipment assets of the Ohio farm[98]. - Cash flows from investing activities included $2.7 million for property, plant, and equipment purchases and $9.5 million received from the sale of the Indiana farm[103]. - The company plans to sell its Rollo Bay farm and additional equipment assets to increase cash liquidity and fund ongoing operations[108]. Operating Expenses - Research and development expenses for the three months ended September 30, 2024, were $52,000, down 72% from $184,000 in the same period in 2023[87]. - General and administrative expenses for the three months ended September 30, 2024, were $1.9 million, a decrease of 19% from $2.3 million in the same period in 2023[87]. Cash Flow and Liquidity - Net cash used in operating activities for the nine months ended September 30, 2024, was $12.7 million, compared to $18.5 million for the same period in 2023, reflecting a 31% decrease[100]. - As of September 30, 2024, the company had $500 thousand in cash and cash equivalents, raising concerns about its ability to continue as a going concern[105]. - The company may finance its cash needs through sales of non-core assets, equity offerings, and debt financings, which could dilute existing shareholders' interests[109]. Financing Activities - Financing activities resulted in $6.8 million from new debt and $9.5 million in term debt repayments during the nine months ended September 30, 2024[104]. - Interest-bearing debt decreased from $4.6 million as of December 31, 2023, to $1.8 million as of September 30, 2024, with all debt at fixed rates[117]. Strategic Initiatives - The company is seeking new financing options to provide liquidity for working capital and to fund the completion of its farm in Pioneer, Ohio[76]. - The company has engaged an investment bank to explore a range of funding and strategic alternatives, including the sale of non-core assets[76]. Market Position - The company is classified as a "smaller reporting company," with a market value of stock held by non-affiliates below $700 million and annual revenue under $100 million[113]. Operational Challenges - Inflation has led to increased costs for farming supplies and direct operating expenses, which are expected to negatively impact results in the near term[77]. - The company has incurred cumulative net losses and negative cash flows from operating activities since inception, which are expected to continue for the foreseeable future[105].

Financial Performance - Net loss for Q3 2024 was $3.4 million, a significant decrease from $6.1 million in Q3 2023, primarily due to the sale of the Indiana farm[1] - Product revenues for Q3 2024 were $47,812, compared to $733,133 in Q3 2023, indicating a decline in sales[8] - Total costs and expenses for Q3 2024 were $2.4 million, down from $6.8 million in Q3 2023, reflecting cost reduction efforts[8] - Net loss for the nine months ended September 30, 2024, was $65,076,820, compared to a net loss of $19,132,927 for the same period in 2023, representing an increase of approximately 240%[10] - Basic and diluted net loss per share was $(0.88) for the nine months ended September 30, 2024, compared to $(1.60) for the same period in 2023, indicating a reduction in losses per share[10] Cash and Liquidity - Cash, cash equivalents, and restricted cash totaled $500 thousand as of September 30, 2024, down from $9.2 million as of December 31, 2023[1] - The company is actively seeking financing initiatives to maintain liquidity and has decided to sell the Rollo Bay farm to address immediate cash needs[2] - Cash, cash equivalents, and restricted cash at the end of the period were $500,434, down from $17,767,070 at the end of September 2023, reflecting a significant decrease in liquidity[10] - Net cash used in operating activities for the nine months ended September 30, 2024, was $12,699,856, a decrease from $18,462,994 in the prior year, indicating improved cash flow management[10] - Total cash used in investing activities was $2,716,880 for the nine months ended September 30, 2024, compared to a substantial outflow of $66,256,590 in the prior year[10] - Proceeds from the issuance of debt amounted to $6,759,257, a significant increase from $394,156 in the same period of 2023, indicating a shift in financing strategy[10] Asset and Liability Management - Total assets decreased to $117.8 million as of September 30, 2024, from $187.6 million as of December 31, 2023[7] - Total liabilities decreased to $17.7 million as of September 30, 2024, from $22.5 million as of December 31, 2023[7] - Long-lived asset impairment for the nine months ended September 30, 2024, was $48.7 million, highlighting significant financial challenges[8] - Long-lived asset impairment recorded was $48,733,222 for the nine months ended September 30, 2024, with no impairment reported in the same period of 2023[10] Operational Insights - Inventory increased by $1,265,142 during the nine months ended September 30, 2024, compared to an increase of $332,314 in the same period of 2023, suggesting potential growth in production or sales[10] - The weighted average number of common shares for basic and diluted calculations was 3,865,778 for the current period, slightly up from 3,846,622 in the prior year[10] - The company aims to stabilize its business in the short term while focusing on long-term value creation[2]

Core Insights - AquaBounty Technologies reported a significant reduction in net loss for Q3 2024, amounting to $3.4 million compared to $6.1 million in Q3 2023, primarily due to the sale of the Indiana farm [2] - The company completed the sale of the Indiana farm for $9.2 million on July 26, 2024, which contributed to its cash flow management [2][3] - As of September 30, 2024, AquaBounty's cash and cash equivalents decreased to $500 thousand from $9.2 million at the end of 2023 [2] Financial Performance - Product revenues for Q3 2024 were $47,812, a significant drop from $733,133 in Q3 2023 [11] - Total costs and expenses for Q3 2024 were $2.4 million, down from $6.8 million in Q3 2023 [12] - The company reported a basic and diluted net loss per share of $1.60 for Q3 2024, compared to $16.87 in Q3 2023 [12] Asset Management - Total current assets as of September 30, 2024, were $37.3 million, up from $11.6 million at the end of 2023, largely due to the assets held for sale [7] - Total assets decreased to $117.8 million from $187.6 million at the end of 2023, reflecting the impact of asset sales and operational adjustments [7][10] Strategic Initiatives - The company is actively working with its investment banking partner to extend its cash runway and is exploring various financing initiatives [3] - AquaBounty has decided to sell its Rollo Bay farm operation to address immediate cash requirements without affecting its long-term strategy [3] - Management is focused on reducing costs, as evidenced by a significant reduction in operating expenses and net loss for the quarter [3]

Core Viewpoint - AquaBounty Technologies, Inc. is actively pursuing funding and strategic alternatives to enhance its financial position, including the sale of its Rollo Bay farm operation to address immediate cash needs while maintaining its long-term growth strategy [1][2]. Group 1: Company Operations - AquaBounty is a leader in land-based aquaculture, focusing on sustainable fish farming practices that leverage technology in breeding, genetics, and nutrition [3]. - The company operates vertically integrated systems from broodstock to grow-out, raising fish in monitored land-based farms designed to prevent disease and protect wild fish populations [3]. - AquaBounty's operations are aimed at addressing food insecurity and climate change, producing antibiotic-free salmon with a reduced carbon footprint compared to traditional sea-cage farming [3]. Group 2: Financial Strategy - The decision to sell the Rollo Bay farm, which was developed for egg production, is part of a broader strategy to strengthen the company's balance sheet and cash position [1][2]. - The sale process is being managed by the company's investment banker and is expected to be completed by the end of the year [1]. - The company retains sufficient egg production capacity from its Ohio farm, allowing for the sale of the Rollo Bay farm without impacting long-term operational goals [2].

Core Viewpoint - AquaBounty Technologies, Inc. reported a quarterly loss of $1.56 per share, which was worse than the Zacks Consensus Estimate of a loss of $0.93, indicating a significant earnings surprise of -67.74% [1] Financial Performance - The company posted revenues of $0.18 million for the quarter ended June 2024, exceeding the Zacks Consensus Estimate by 80%, but down from $0.79 million in the same quarter last year [1] - Over the last four quarters, AquaBounty has surpassed consensus revenue estimates two times [1] Stock Performance - AquaBounty Technologies shares have declined approximately 41.7% since the beginning of the year, contrasting with the S&P 500's gain of 8.7% [2] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is -$0.89 on revenues of $0.1 million, and for the current fiscal year, it is -$4.86 on revenues of $0.75 million [4] - The estimate revisions trend for AquaBounty is mixed, resulting in a Zacks Rank 3 (Hold), suggesting the stock is expected to perform in line with the market in the near future [4] Industry Context - The Medical - Biomedical and Genetics industry, to which AquaBounty belongs, is currently in the top 37% of over 250 Zacks industries, indicating a favorable industry outlook [5] - Another company in the same industry, Iovance Biotherapeutics, is expected to report a quarterly loss of $0.37 per share, with revenues projected at $22.59 million, reflecting a significant year-over-year increase of 9310.4% [5][6]