Company Overview - Nauticus Robotics, Inc. develops autonomous robots for ocean industries, utilizing sensors, artificial intelligence, and algorithms for adaptability in changing environments [3] - The company's business model includes providing robotic systems for services, selling vehicles and components, and licensing software to commercial and defense sectors [3] - Nauticus is testing and certifying a new generation of vehicles aimed at reducing operational costs and gathering data for subsea infrastructure maintenance [3] - The services offered by Nauticus focus on data collection, analytics, and subsea manipulation, which help customers reduce operational footprints, costs, and greenhouse gas emissions [3] Financial Results Announcement - Nauticus plans to host an earnings conference call on April 16, 2025, at 9:00 am Central Time to discuss its fourth quarter and year-end financial results for the period ending December 31, 2024 [1]

Core Insights - Nauticus Robotics, Inc. has successfully completed the acquisition of SeaTrepid International, LLC ahead of schedule, enhancing its capabilities in autonomous subsea robotics and software solutions [1][2] - The combined entity will operate under the Nauticus Robotics brand and is expected to drive operational growth through alignment and transition activities [2][3] Company Overview - Nauticus Robotics specializes in developing autonomous robots for ocean industries, utilizing sensors, artificial intelligence, and algorithms to adapt to changing environments [4] - The company's business model includes providing robotic services, selling vehicles and components, and licensing software for both commercial and defense sectors [4] - Nauticus is focused on reducing operational costs and environmental impact while improving safety and efficiency in offshore operations [4] SeaTrepid Overview - SeaTrepid International is a provider of applied robotic solutions for various sectors, including commercial, public safety, military, and scientific applications [5] - The company operates a diverse range of robotic equipment and sensor suites for both inland and offshore customers globally [5] Leadership and Market Position - John Gibson continues as CEO and President of Nauticus Robotics, while Bob Christ leads SeaTrepid Operations [3] - The leadership emphasizes the strategic fit of the acquisition and the readiness of the market for enhanced automation in subsea operations [3]

Core Insights - Nauticus Robotics, Inc. has signed a definitive agreement to acquire SeaTrepid International, LLC, enhancing its capabilities in autonomous subsea robotics and expanding its addressable market [1][2] - The acquisition is expected to significantly increase Nauticus' revenue, projected to be approximately nine times higher than its standalone revenue in 2024 [2] - The integration of Nauticus' AI-driven autonomy software, ToolKITT, with SeaTrepid's ROV fleet will lead to advancements in power efficiency and operational performance [2][4] Company Overview - Nauticus Robotics develops autonomous robots for ocean industries, utilizing sensors, artificial intelligence, and algorithms for effective decision-making in changing environments [5] - The company’s business model includes providing robotic services, selling vehicles and components, and licensing software for both commercial and defense sectors [5] - Nauticus aims to reduce operational costs and greenhouse gas emissions while improving offshore health and safety through its innovative technologies [5] SeaTrepid Overview - SeaTrepid International is a provider of applied robotic solutions for various sectors, including commercial, public safety, military, and scientific applications [6] - The company operates a diverse range of robotic equipment and sensor suites for both inland and offshore customers globally [6] Leadership and Operational Structure - John Gibson will continue as CEO of the combined entity, while SeaTrepid's CEO, Bob Christ, will serve as President of SeaTrepid Operations [3] - Both companies will retain their current locations and workforces, anticipating growth in new projects throughout 2025 [3] Strategic Implications - The acquisition is seen as a strategic move to enhance ROV capabilities and execution on a global scale, addressing the stagnation in ROV investment over the past fifteen years [4] - Industry experts view the combination of Nauticus' technology and SeaTrepid's expertise as a breakthrough for the offshore sector [4] Transaction Details - The acquisition is expected to be completed in May 2025, subject to customary closing conditions, including creditor consent [3]

Company Overview - Nauticus Robotics, Inc. is a leader in autonomous subsea robotics and software, focusing on developing robots for ocean industries [2] - The company utilizes sensors, artificial intelligence, and algorithms to enable robots to adapt to changing environments [2] - Nauticus' business model includes providing robotic systems for services, selling vehicles and components, and licensing software to commercial and defense sectors [2] Recent Developments - On February 18, 2025, Nauticus received confirmation from Nasdaq that it has complied with the equity requirement under Rule 5550(b)(1), ensuring its continued listing on the exchange [1] - The CEO, John Gibson, expressed satisfaction with the company's return to compliance and emphasized a focus on business growth [2] Product and Service Offerings - Nauticus is testing and certifying a new generation of vehicles aimed at reducing operational costs and gathering data for subsea infrastructure maintenance [2] - The company offers services that include data collection, analytics, and subsea manipulation, which help clients maintain assets while minimizing operational footprints and greenhouse gas emissions [2]

Core Insights - Nauticus Robotics, Inc. has completed the assembly of its second flagship underwater vehicle, Aquanaut Mark 2, and is progressing through acceptance testing phases [1][2] Company Overview - Nauticus Robotics specializes in developing autonomous robots for ocean industries, utilizing sensors, artificial intelligence, and algorithms for effective decision-making in changing environments [3] - The company's business model includes providing robotic systems for services, selling vehicles and components, and licensing software to both commercial and defense sectors [3] - Nauticus aims to reduce operational costs and enhance data collection for subsea infrastructure maintenance through its new generation of vehicles [3] Testing and Development - The Aquanaut Mark 2 vehicle has completed assembly and initial testing in Houston, with further testing currently taking place in Louisiana [2] - The vehicle is expected to complete pool testing within the month and will then proceed to open water testing off the southern coast of the United States [2] - Nauticus targets to finish all acceptance testing for the Aquanaut Mark 2 by the end of the first quarter of 2025 [2]

Core Insights - Nauticus Robotics, Inc. has announced a strategic collaboration with SeaTrepid International to integrate and test its ToolKITT software on SeaTrepid's Remotely Operated Vehicle (ROV) fleet [1][2] Group 1: Collaboration Details - Nauticus will install a perpetual license of ToolKITT software on an ROV, with SeaTrepid providing access to facilities and workforce for pool testing during certification [2] - The collaboration aims to enhance SeaTrepid's ROV services, providing a competitive edge, while Nauticus anticipates recurring annual software maintenance revenues post-deployment [2] Group 2: Technical Focus - The initial focus of the collaboration is on implementing ToolKITT's automatic station-keeping capability, which will stabilize ROVs during subsea operations, reducing pilot workload and improving precision [3] - Following the successful deployment of this feature, additional advanced capabilities of ToolKITT will be rolled out incrementally [3] Group 3: Leadership Statements - John Gibson, CEO of Nauticus, expressed excitement about the collaboration, highlighting potential efficiency gains such as reduced CO2 emissions and faster mission completion times [4] - Bob Christ, CEO of SeaTrepid, noted that this partnership positions SeaTrepid to become the first autonomous ROV service provider, transforming subsea operations [4] Group 4: Company Backgrounds - Nauticus Robotics develops autonomous robots for ocean industries, focusing on reducing operational costs and improving data collection for subsea infrastructure maintenance [5] - SeaTrepid International provides robotic solutions for various applications, operating a range of robotic equipment and sensor suites for global customers [6]

Financial Data and Key Metrics - Revenue for Q3 2024 was $0.4 million, down $0.1 million from Q2 2024 and $1.2 million from the same period last year [23] - Operating expenses for Q3 2024 were $5.9 million, a $3.9 million improvement from Q3 2023 and a $0.6 million sequential improvement [23] - G&A costs for Q3 2024 were $2.8 million, a $3.9 million improvement compared to Q3 2023 and a $0.4 million sequential improvement [23] - Net loss for Q3 2024 was $11.4 million, a $6.3 million reduction from Q3 2023 and a $6 million increase sequentially [24] - Adjusted net loss for Q3 2024 was $11.4 million compared to $9 million for Q2 2024 and $8.1 million in Q3 2023 [24] - Cash at the end of Q3 2024 was $2.9 million compared to $0.7 million at the end of 2023 [25] Business Line Data and Key Metrics - The Aquanaut vehicle successfully completed its first commercial project in Q3 2024, marking a significant milestone for the company [8][12] - The Aquanaut vehicle provided high-quality data on subsea assets at depths up to 1,000 meters, exceeding customer expectations [13] - The company is working on technical modifications to allow year-round operations in the Gulf of Mexico and is exploring opportunities in South America to mitigate seasonality [10][14] - The second Aquanaut vehicle is expected to complete factory acceptance testing in Q4 2024 and be available for commercial service in Q1 2025 [15] - The ToolKITT software platform performed reliably during operations in the Gulf of Mexico, with a commercial release planned for 2025 [18] Market Data and Key Metrics - The company is focused on building a pipeline for the 2025 Gulf season and is actively working to eliminate seasonality in its business [10] - Customers are expanding their scope of work to include the unique capabilities of the Aquanaut vehicle, leading to commercial discussions for the 2025 season [10] - The company is in discussions with South American customers to mitigate Northern Hemisphere seasonality [10] Company Strategy and Industry Competition - The company is focused on leveraging the success of its first commercial projects to create a business backlog for 2025, consisting of both commercial and defense work [8] - The company is working on developing technology that provides an attractive return on investment to shareholders and customers [15] - The company's deepwater autonomous software capabilities surpass those of competitors, paving the way for commercial licenses in 2025 [29] Management Commentary on Operating Environment and Future Outlook - The company is confident that the steps being taken will allow it to regain compliance with NASDAQ's listing requirements by the end of 2024 [21] - The company is focused on securing the cash needed through the end of 2025 as it ramps up commercialization [22] - The company is negotiating day rate contracts that could surpass the total revenue produced in Q3 2024 in a single week [28] Other Important Information - The company completed a 36:1 reverse split on July 22, 2024, and all references to equity and related items are stated on a post-split basis [21] - The company has entered into an agreement with investors to exchange $27 million of principal, $3 million of interest, and $3 million of additional liabilities into preferred convertible stock [21] - The company closed $1.1 million of funding as the first tranche of up to $21.1 million available through a new convertible debenture [22] Summary of Q&A Session - No questions were asked during the Q&A session [30][32]

HOUSTON, Nov. 12, 2024 /PRNewswire/ -- Nauticus Robotics, Inc. (NASDAQ: KITT), a leading innovator in subsea robotics and software, today announced its financial results for the quarter ended September 30, 2024.John Gibson, Nauticus CEO, stated, "We committed to producing commercial revenue in the third quarter of 2024 with our Aquanaut Mark 2. We achieved that objective. Our first commercial project not only exceeded customer expectations but also secured additional work for the fourth quarter. With the 20 ...

Financial Results - Nauticus Robotics, Inc. reported its financial results for the quarter ended September 30, 2024[3]. - The press release detailing the financial results was issued on November 12, 2024[3]. - The financial results are furnished as Exhibit 99.1 to the Current Report on Form 8-K[4]. Company Classification - The company is classified as an emerging growth company[2]. - The company has not elected to use the extended transition period for new financial accounting standards[2]. Regulatory Information - The financial information provided is not deemed "filed" under the Securities Exchange Act of 1934[4]. - The report includes an interactive data file embedded within the Inline XBRL document[2]. Conference Call - The conference call to discuss operating results was announced alongside the financial results[3]. Signatory Information - The report was signed by John Symington, General Counsel of Nauticus Robotics, Inc.[6]. Company Address - The address of the principal executive offices is 17146 Feathercraft Lane, Suite 450, Webster, TX 77598[1].

Financial Performance - Total revenue for the nine months ended September 30, 2024, was $1,593,854, a decrease from $5,542,749 for the same period in 2023[14] - Operating loss for the nine months ended September 30, 2024, was $(17,131,765), compared to $(20,891,533) for the same period in 2023, indicating an improvement[14] - Net loss for the nine months ended September 30, 2024, was $(16,316,664), compared to $(11,144,012) for the same period in 2023[14] - Basic loss per share for the nine months ended September 30, 2024, was $(8.54), compared to $(9.92) for the same period in 2023[14] - Total costs and expenses for the nine months ended September 30, 2024, were $18,468,014, compared to $26,434,282 for the same period in 2023[14] - Total revenue for the three months ended September 30, 2024, was $370,187, a decrease of 76.8% compared to $1,593,854 for the same period in 2023[65] - For the three months ended September 30, 2024, total revenue decreased by $1,223,667 or 77% compared to the same period in 2023, primarily due to a reduction in government-related contracts[183] - For the nine months ended September 30, 2024, total revenue decreased by $4,206,500 or 76% compared to the same period in 2023, driven by similar factors[183] Cash and Liquidity - Cash and cash equivalents increased to $2,915,757 as of September 30, 2024, from $753,398 as of December 31, 2023[13] - Cash and cash equivalents at the end of the period on September 30, 2024, were $2,915,757, down from $6,771,531 at the end of the same period in 2023[23] - The company reported a net cash used in operating activities of $(20,128,427) for the nine months ended September 30, 2024, compared to $(16,626,631) in the prior year[23] - The company received net proceeds of $22,346,163 from debt and equity financing during the nine months ended September 30, 2024[193] - The company may require additional liquidity to continue operations over the next twelve months, with a current investor committed to provide support[192] Assets and Liabilities - Total current liabilities decreased to $13,135,564 as of September 30, 2024, from $17,387,236 as of December 31, 2023[13] - Total assets decreased to $24,987,925 as of September 30, 2024, from $26,148,475 as of December 31, 2023[13] - Total liabilities decreased to $61,493,781 as of September 30, 2024, from $67,935,325 as of December 31, 2023[13] - Total stockholders' equity (deficit) as of September 30, 2024, was $(36,505,856), a decrease from $(2,676,314) as of September 30, 2023[21] - The accumulated deficit as of September 30, 2024, was $(135,108,367), an increase from $(79,249,114) as of September 30, 2023[21] Expenses - Research and development expenses were $64,103 for the nine months ended September 30, 2024, down from $984,882 for the same period in 2023[14] - The company reported a significant increase in depreciation expenses, totaling $1,283,858 for the nine months ended September 30, 2024, compared to $487,052 in the prior year[23] - Stock-based compensation for the nine months ended September 30, 2024, was $1,872,504, a decrease from $3,995,020 in the same period of 2023[23] - General and administrative costs decreased by $3,858,934 or 58% for the three months ended September 30, 2024, compared to the same period in 2023, due to headcount reductions[187] - Research and development costs decreased by $275,154 or 100% for the three months ended September 30, 2024, compared to the same period in 2023, as the company achieved technological feasibility[186] Debt and Financing - The company raised $14,305,000 from notes payable and $9,857,857 from an At-the-Market (ATM) offering during the nine months ended September 30, 2024[23] - As of September 30, 2024, total notes payable amounted to $58,438,574, an increase of 19.5% from $48,825,320 on December 31, 2023[79] - The company issued convertible secured debentures with a principal amount of $36,530,320, generating gross proceeds of $35,800,000, with a debt discount totaling $21,679,716[80] - The effective interest rate on the debentures was approximately 25.2% as of September 30, 2024[87] - The company entered into a 2023 Term Loan Agreement providing up to $20 million in secured term loans, with an initial funding of $11,600,000[90][91] - The 2023 Term Loan Agreement includes a 2.5% exit fee of $290,000 and bears interest at 12.5% per annum, payable quarterly[91] Internal Controls and Compliance - As of September 30, 2024, the company concluded that its disclosure controls and procedures were not effective due to a material weakness in internal control over financial reporting[197] - The previously identified material weakness relates to a lack of qualified accounting personnel and inadequate procedures for the accounting close process, affecting timely financial statement preparation[199] - Remediation initiatives include hiring additional experienced accounting personnel and modifying a new Enterprise Resource Planning (ERP) System to automate processes and enhance compliance[200] - The company plans to document system controls, conduct user access reviews, and develop policies for internal control over financial reporting as part of its remediation plan[202] - The significant turnover of key finance personnel at the end of 2023 has created a gap in the implementation of remediation initiatives[200] Business Operations - Nauticus Robotics, Inc. does not generate sufficient revenue to cover operating expenses, working capital, and capital expenditures, necessitating cost-cutting measures and potential additional liquidity support from investors[27] - Nauticus Robotics is currently testing and certifying a new generation of vehicles aimed at reducing operational costs and improving data collection for subsea infrastructure[1] - The company’s business model includes providing robotic systems for service, selling vehicles and components, and licensing related software to commercial and government sectors[1] - Major customers accounted for 100% of total revenue during the three and nine months ended September 30, 2024, indicating a high concentration of credit risk[59] Stock and Equity - A 1-for-36 reverse stock split resulted in 150,107,598 shares being converted into 4,169,679 shares[116] - The Company issued 50,631,263 shares under an At The Market Offering Agreement for gross proceeds of $9,857,857[123] - The Company entered into a Securities Purchase Agreement to sell shares at a price of $2 per share, resetting conversion prices under existing warrants and debentures[124] - The company has 8,624,991 Public Warrants outstanding, exercisable at $11.50 per share, with an expiration date of September 9, 2027[128] - The company assumed 7,175,000 Private Warrants, which are not publicly traded, also exercisable at $11.50 per share[132]