Revenue and Financial Performance - Revenue for the year ended December 31, 2024 was approximately $135,000, a decrease from $550,000 in 2023, primarily due to limited customer engagements [132]. - The company incurred a net loss of approximately $18.4 million for the year ended December 31, 2024 [142]. - Interest income increased to approximately $779,000 in 2024 from $723,000 in 2023, attributed to higher interest rates and cash balances [139]. - As of December 31, 2024, the company had cash, cash equivalents, and short-term investments of approximately $26.8 million [142]. - The company sold approximately 4.1 million shares at an average price of approximately $5.38, resulting in approximately $21.3 million of net proceeds in 2024 [143]. Expenses - Cost of revenue increased to approximately $123,000 in 2024 from $28,000 in 2023, reflecting the costs associated with integration engineering services [133]. - Operating expenses totaled approximately $19.3 million in 2024, a decrease from $21.2 million in 2023 [134]. - Research and development expenses decreased by approximately $1.5 million, or 12%, to $11.0 million in 2024 from $12.5 million in 2023 [136]. - General and administrative expenses increased by approximately $191,000, or 3%, to $7.3 million in 2024 from $7.1 million in 2023 [137]. - Selling and marketing expenses decreased by approximately $546,000, or 34%, to $1.1 million in 2024 from $1.6 million in 2023 [138]. Accounting and Financial Reporting - Financial statements are prepared in accordance with U.S. generally accepted accounting principles, requiring significant estimates and assumptions that could lead to actual results differing from reported amounts [151]. - Leases greater than 12 months result in the recognition of a right-of-use (ROU) asset and a liability at the lease commencement date based on the present value of lease payments [152]. Stock-Based Compensation - Stock-based compensation programs include restricted stock awards (RSAs) and stock options, with expenses based on the fair values of the equity instruments issued [153]. - The fair value of RSAs is measured at the market price of common stock on the measurement date and amortized over the vesting period [153]. - The expected term for employee stock awards is derived from historical information regarding future exercise patterns and behavior after employment termination [155]. - Expected volatility for stock options is estimated using the company's historical volatility for similar terms [155]. - The company has not declared or paid dividends and assumes an expected dividend yield of 0% [155]. - The risk-free interest rate for stock options is based on U.S. Treasury securities yields with maturities similar to the expected terms of the associated awards [155].

Financial Data and Key Metrics Changes - Revenue for 2024 was $135,000, consisting of MST CAD licensing and NRE fees, compared to $550,000 in Q4 2023 [39] - GAAP net loss for 2024 was $18.4 million or $0.68 per share, an improvement from a net loss of $19.8 million or $0.80 per share in 2023 [39] - GAAP operating expenses decreased to $19.3 million in 2024 from $21.2 million in 2023, primarily due to a $1.5 million reduction in R&D expenses [39][40] - Cash, cash equivalents, and short-term investments increased to $26.8 million at the end of 2024 from $19.5 million at the end of 2023 [41] Business Line Data and Key Metrics Changes - The company reported a decline in sales and marketing expenses by $546,000 due to lower headcount costs, while G&A expenses increased by $191,000 due to higher payroll and legal costs [39] - Non-GAAP net loss for 2024 was $15.4 million, down from $16.6 million in 2023, reflecting a decrease in non-GAAP operating expenses [41] Market Data and Key Metrics Changes - The market for gate-all-around architecture is valued at approximately $150 billion in 2023, with significant opportunities in advanced logic IDMs and foundries [15] - The memory segment is projected to be worth over $125 billion in 2024, with a focus on low production costs [19] - The power semiconductor market is expected to exceed $52 billion in 2024, driven by AI and vehicle electrification [23] Company Strategy and Development Direction - The company aims to solidify its value proposition in four major high-growth semiconductor markets while exploring new opportunities for faster revenue generation [33] - The focus on gate-all-around and memory technologies aligns with the industry's push towards AI infrastructure [36] - The company is enhancing its R&D pipeline, with over 30 granted and pending patents in 2024 [34] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the potential for MST technology to drive performance improvements in semiconductors, particularly in AI applications [15][36] - The company is hopeful for the resumption of discussions with a transformative customer, emphasizing the value of their technology [12][14] - Management acknowledged the challenges in negotiations but remains confident in the long-term adoption of their technology [52][54] Other Important Information - The company plans to announce when it enters process qualification with STMicro, which will lead to recognizing license revenue [26] - The company raised approximately $21.3 million through the sale of shares under its ATM facility in 2024 [42] Q&A Session Summary Question: Dynamics of the transformative opportunity - Management confirmed that the sticking points in negotiations are not solely pricing but involve multiple decision-makers within the customer organization [50][52] Question: Progress with leading-edge logic and memory - Management noted increased engagement with advanced node and memory customers, highlighting the industry's shift towards gate-all-around technology [58][60] Question: Update on GaN progress - Management indicated that GaN is a new area with significant interest, and they expect to have electrical results soon that could lead to customer engagements [66][70] Question: STMicro process qualification timeline - Management explained that there has been a delay in the process due to logistics issues, but they are optimistic about moving forward soon [76][78] Question: Current stage of collaboration with DRAM customers - Management confirmed ongoing engagement with multiple memory customers, emphasizing the importance of high bandwidth memory for AI infrastructures [111][112]

February 11, 2025 Atomera Incorporated 1 Q4 2024 Conference Call Atomera Incorporated 2 Mears Silicon Technology (MST®) Quantum Engineered Materials Transistor enhancement technology for the $600B semiconductor market High Leverage IP Licensing Business Model Top Tier Management Team Safe Harbor This presentation contains forward-looking statements concerning Atomera Incorporated (""Atomera," the "Company," "we," "us," and "our"). The words "believe," "may," "will," "potentially," "estimate," "continue," "a ...

Financial Performance - The company reported a net loss of $4.7 million, or $0.16 per share, in Q4 2024, compared to a net loss of $4.6 million, or $0.17 per share, in Q3 2024[4]. - For fiscal year 2024, revenue was $135,000, a significant decrease from $550,000 in fiscal 2023, while the net loss was $18.4 million, or $0.68 per share, compared to a net loss of $19.8 million, or $0.80 per share, in fiscal 2023[5]. - Adjusted EBITDA for Q4 2024 was a loss of $3.9 million, consistent with the loss in Q3 2024, and compared to a loss of $3.7 million in Q4 2023[4]. - The company reported total operating expenses of $19.3 million for fiscal 2024, down from $21.2 million in fiscal 2023[15]. - The accumulated deficit increased to $221.5 million as of December 31, 2024, from $203.1 million in the previous year[14]. Cash and Investments - The company had $26.8 million in cash, cash equivalents, and short-term investments as of December 31, 2024, an increase from $19.5 million as of December 31, 2023[6]. - The total number of shares outstanding was 30.1 million as of December 31, 2024[7]. Business Development - The company is making progress toward commercialization at ST Microelectronics and has expanded offerings for gate-all-around products, which are crucial for advanced AI devices[8]. - Development efforts have been initiated with two large customers, indicating potential future revenue growth[8]. - The semiconductor industry is viewed as being in an ideal state for adopting new technologies, which may benefit the company's MST technology[3].

| --- | --- | --- | --- | --- | --- | --- | --- | |-------|-------|-------|------------------------------------------|----------------------|-------|-------|-------| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Q3 2024 Conference Call October 29, 2024 | | | | | | | | | | Atomera Incorporated | | | 1 | Safe Harbor This presentation contains forward-looking statements concerning Atomera Incorporated (""Atomera," the "Company," "we," "us," and "our"). The wo ...

Financial Data and Key Metrics Changes - The GAAP net loss for Q3 2024 was $4.6 million, or $0.17 per share, compared to a net loss of $5 million, or $0.20 per share, in Q3 2023 [29] - Revenues were $22,000 in Q3 2024, down from $72,000 in Q2 2024, and up from $0 in Q3 2023 [30] - GAAP operating expenses were $4.8 million in Q3 2024, a decrease of approximately $534,000 from $5.4 million in Q3 2023 [30] Business Line Data and Key Metrics Changes - The company is engaged in multiple technology segments, including MST for power chips, advanced node work for gate-all-around transistors, memory segment, and RF-SOI [7][13][16][19] - The power semiconductor market is expected to exceed $52 billion in 2024, with significant opportunities for Atomera's MST technology [7] - The advanced node market is valued at approximately $150 billion in 2023, with a shift towards materials engineering solutions [13] Market Data and Key Metrics Changes - The memory segment is valued at over $110 billion in 2023, focusing on low production costs and smaller node sizes [16] - The RF-SOI segment is also highlighted as having excellent potential for Atomera's technology [19] Company Strategy and Development Direction - Atomera is focusing on expanding its customer base and technology applications, particularly in the power semiconductor and advanced node markets [7][13] - The company is optimistic about converting proposals into JDAs or license agreements in the near future [20] - The strategy includes a land and expand approach with existing customers, particularly with STMicroelectronics [80] Management's Comments on Operating Environment and Future Outlook - Management expressed excitement about the current momentum and customer engagement, indicating a strong demand for Atomera's technology [24][27] - The company is optimistic about the potential for its technology in the GaN market, which is expected to convert to revenue faster than traditional business [23][28] - Management noted that the rollout of AI infrastructure is a significant driver for the semiconductor industry, aligning with Atomera's technology [28] Other Important Information - The company is in the planning process for 2025, expecting to increase investments in sales and marketing [38] - Atomera is pursuing funding opportunities under the CHIPS Act, with a proposal submitted related to GaN and other compound semiconductors [39][40] Q&A Session Summary Question: Can you provide more detail on the transformative situation mentioned? - Management described it as a large customer with significant revenue potential that could enhance the company's financial position [44] Question: What is the progress with other customers in the funnel? - Management indicated that customers are in various phases, with some in active experiments and others having technology installed in their fabs [48] Question: What is the update on RF-SOI technology? - Management noted progress with thinner wafers and ongoing work with customers, but no announcements yet [54] Question: Is the work in the 7 to 48-volt range specific to data centers? - Management confirmed that the 48-volt work is primarily tied to data centers, with modifications made to SPX technology for this range [71][73] Question: How is the relationship with STMicroelectronics progressing? - Management reported a strong relationship with ST, with ongoing work and potential for expanding business into multiple units [80]

Revenue and Costs - Revenue for the three months ended September 30, 2024, was approximately $22,000, and for the nine months ended September 30, 2024, it was approximately $112,000, with no revenue recorded in the same periods of 2023[63] - Cost of revenue for the three months ended September 30, 2024, was approximately $3,000, and for the nine months ended September 30, 2024, it was approximately $110,000, with no cost recorded in the same periods of 2023[64] Operating Expenses - Operating expenses for the three months ended September 30, 2024, totaled approximately $4.8 million, a decrease from $5.4 million in 2023, while for the nine months ended September 30, 2024, they totaled approximately $14.5 million, down from $15.9 million in 2023[65] - Research and development expenses for the three months ended September 30, 2024, were approximately $2.8 million, a decrease of approximately $546,000, or 17%, compared to the same period in 2023[68] - General and administrative expenses for the three months ended September 30, 2024, were approximately $1.8 million, an increase of approximately $129,000, or 8%, compared to the same period in 2023[70] - Selling and marketing expenses for the three months ended September 30, 2024, were approximately $248,000, a decrease of approximately $117,000, or 32%, compared to the same period in 2023[72] Cash Flow and Financial Position - Net cash used in operating activities for the nine months ended September 30, 2024, was approximately $10.2 million, resulting from a net loss of approximately $13.8 million[77] - As of September 30, 2024, the company had cash and cash equivalents of approximately $13.8 million and short-term investments of approximately $3.6 million[82] Financing and Capital Requirements - The company sold approximately 1.9 million shares of common stock through its ATM offering at an average price of approximately $4.74, resulting in approximately $8.5 million of net proceeds for the nine months ended September 30, 2024[83] - The company believes its available working capital is sufficient to fund forecasted working capital requirements for at least the next 12 months[84] - Future capital requirements will depend on the successful commercialization of MST technology and potential collaborations or acquisitions[84] - If sufficient revenue from license fees and royalties is not generated, the company may need to raise additional capital[84] - The company plans to explore various financing sources, including ATM, follow-on equity offerings, and debt financing[84] Internal Controls and Risk Factors - No changes have been made to critical accounting estimates from the previous Annual Report[85] - Management concluded that disclosure controls and procedures were effective as of September 30, 2024[87] - There have been no changes to internal controls over financial reporting that materially affect the company[88] - Primary risk factors affecting the business have not changed materially from the previous Annual Report[90] Licensing Agreement - The company entered into a license agreement with ST Microelectronics in April 2023, marking its first commercial manufacturing and distribution agreement, with revenue recognized upon milestone completion[59]

Financial Performance - Atomera reported a net loss of $4.6 million, or $0.17 per share, for Q3 2024, an improvement from a net loss of $5.0 million, or $0.20 per share, in Q3 2023[3] - Adjusted EBITDA for Q3 2024 was a loss of $3.9 million, compared to a loss of $4.3 million in Q3 2023[3] - Total net loss for the nine months ended September 2024 was $(13,778) thousand, compared to $(15,210) thousand for the same period in 2023[12] - Non-GAAP EBITDA for September 2024 was $(3,881) thousand, compared to $(4,292) thousand in September 2023, indicating a reduction in losses[12] - The company continues to focus on reducing net losses and improving EBITDA metrics in future quarters[12] Cash and Investments - The company had $17.3 million in cash, cash equivalents, and short-term investments as of September 30, 2024, down from $19.5 million as of December 31, 2023[4] Operating Expenses - Total operating expenses for Q3 2024 were $4.8 million, slightly lower than $4.6 million in Q2 2024[11] - Research and development expenses increased to $2.8 million in Q3 2024 from $2.6 million in Q2 2024[11] - Depreciation and amortization expenses were $12 thousand for the three months ended September 2024, down from $20 thousand in the same period last year[12] - Stock-based compensation decreased to $907 thousand in September 2024 from $1,041 thousand in September 2023[12] - Interest expense for September 2024 was $30 thousand, a decrease from $47 thousand in September 2023[12] - Interest income for September 2024 was $(176) thousand, slightly improved from $(177) thousand in September 2023[12] - Accretion income for September 2024 was $(59) thousand, compared to $(112) thousand in September 2023[12] - Other income, net, was $(72) thousand for both September 2024 and September 2023, indicating no change[12] Market and Collaborations - Atomera announced a collaboration with Sandia National Laboratories to address GaN manufacturing challenges, indicating potential market expansion[2] - The company is optimistic about accelerating engagements in various segments, which may lead to new licenses and joint development agreements[2] Share Information - The total number of shares outstanding was 28.3 million as of September 30, 2024[4] Gross Margin - Atomera's gross margin for Q3 2024 was reported at 19%[11] Early-Stage Risks - The company has recognized minimal engineering services and licensing revenues to date, highlighting the risks of being an early-stage enterprise[7]

Atomera Incorporated (NASDAQ:ATOM) Q2 2024 Results Conference Call July 30, 2024 5:00 PM ET Company Participants Mike Bishop - Investor Relations Scott Bibaud - President and Chief Executive Officer Frank Laurencio - Chief Financial Officer Conference Call Participants Richard Shannon - Craig Hallam Mike Bishop Hello, everyone and welcome to Atomera’s Second Quarter Fiscal Year 2024 Update Call. I’d like to remind everyone that this call and webinar are being recorded, and a replay will be available on Atom ...

Revenue and Costs - Revenue for the three and six months ended June 30, 2024, was approximately $72,000 and $90,000 respectively, with no revenue recorded during the same periods in 2023[77] - Cost of revenue for the three and six months ended June 30, 2024, was approximately $74,000 and $107,000 respectively, with no cost recorded during the same periods in 2023[79] Operating Expenses - Operating expenses for the three months ended June 30, 2024, totaled approximately $4.6 million, a decrease from $5.4 million in 2023, while for the six months, expenses were approximately $9.6 million compared to $10.5 million in 2023[80] - Research and development expenses for the three months ended June 30, 2024, were approximately $2.6 million, a decrease of 19% from $3.2 million in 2023, and for the six months, expenses were approximately $5.4 million, down 13% from $6.2 million in 2023[81][82] - General and administrative expenses for the three months ended June 30, 2024, were approximately $1.8 million, an increase of 3% from 2023, while for the six months, expenses were approximately $3.6 million, up 4% from 2023[83][84] - Selling and marketing expenses for the three months ended June 30, 2024, were approximately $207,000, a decrease of 47% from $393,000 in 2023, and for the six months, expenses were approximately $557,000, down 29% from $782,000 in 2023[85] Income and Cash Flow - Interest income for the three months ended June 30, 2024, was approximately $185,000, compared to $152,000 in 2023, and for the six months, it was approximately $390,000 versus $351,000 in 2023[87] - Net cash used in operating activities for the six months ended June 30, 2024, was approximately $7.3 million, compared to $8.2 million in 2023[89] - As of June 30, 2024, the company had cash and cash equivalents of approximately $14.5 million and short-term investments of approximately $3.8 million[92] Future Outlook and Capital Requirements - The company believes its available working capital is sufficient to fund forecasted working capital requirements for at least the next 12 months[93] - Future capital requirements will depend on the successful commercialization of MST technology and potential collaborations or acquisitions[93] - If sufficient revenue from license fees and royalties is not generated, the company may need to raise additional capital through various financing sources[93] Compliance and Controls - Management evaluated the effectiveness of disclosure controls and procedures, concluding they were effective as of June 30, 2024[95] - There have been no changes to critical accounting estimates from the Annual Report on Form 10-K for the year ended December 31, 2023[94] - No changes to internal controls over financial reporting have occurred that materially affect the company's reporting[96] Licensing Agreement - The company entered into a license agreement with ST Microelectronics in April 2023, which is expected to generate royalties on MST-enabled products once milestones are met[73]