Westport Fuel Systems Inc. (“
Westport") (TSX:WPRT
/ Nasdaq:WPRT), a leading supplier of advanced alternative fuel
systems and components for the global transportation industry,
reported financial results for the third quarter ended
September 30, 2024, and provided an update on operations. All
figures are in U.S. dollars unless otherwise stated.
“Westport delivered solid results in the third
quarter of 2024. Although revenue was down, this decrease was more
than outweighed by the revenue earned at Cespira and we delivered
significant improvement in Adjusted EBITDA. We continue to execute
against our three strategic pillars - harnessing the potential of
our HPDI joint venture, enhancing operational excellence, and
driving continuous innovation to shape the world’s alternative
fueled future. The third quarter represented the first full
quarter with Cespira, our HPDI joint venture with Volvo Group,
being operational. This, along with the steps we have taken with
respect to various cost cutting measures, has enabled Westport to
decrease our costs including research and development as well as
sales, general and administrative expenses by approximately 40
percent as compared to the same period last year.
We remain confident in the role that alternative
fuels will play in driving sustainability in the future of the
transportation and industrial application space. Regarding
hydrogen, we acknowledge the slowdown in infrastructure development
in the global market, which has tapered the adoption of automotive
and industrial applications powered by hydrogen. The success of
this market depends on the installation of infrastructure and the
production of clean hydrogen, both of which have been slow to
materialize. However, we are steadfast in our belief that
hydrogen as a fuel will prevail – although gradual as opposed to
immediate – and become a clean fuel source that is adopted
worldwide. In the meantime, Westport currently delivers a suite of
proven and innovative components and systems for a wide range of
affordable alternative low-carbon fuels such as natural gas,
renewable natural gas, propane, and hydrogen. We are driving
cleaner performance by addressing lower emissions regulations with
practical applications using innovation available today.
As we navigate the next quarter, and the next
year, Westport is strongly committed to driving operational
excellence, nurturing innovation, and supporting Cespira, all to
position the Company for sustainable growth in an evolving
landscape. We are focused and dedicated to the present and our
future."
Dan Sceli, Chief Executive Officer, Westport
Fuel Systems
Q3 2024 Highlights
- Revenues decreased by 14% to $66.2
million compared to $77.4 million in the same quarter last year,
primarily driven by the transition of the Heavy-Duty OEM revenues
now being reflected in the results of Cespira, of which Westport
accounts for as an equity investment.
- Net loss of $3.9 million for the
quarter, an improvement over the net loss of $11.9 million for the
same quarter last year. This was primarily the result of an
improvement in gross margin by $1.3 million compared to the
prior year quarter, a significant decrease in operating
expenditures and depreciation and amortization as costs previously
associated with our HPDI business are now accrued by Cespira, cost
reductions in Westport and a net foreign exchange gain of $1.1
million.
- Continued improvement in Adjusted
EBITDA[2] achieving negative $0.8 million compared to negative $3.0
million for the same period in 2023.
- Cash and cash equivalents were
$33.3 million at the end of the third quarter of 2024. Cash used in
operating activities was $9.9 million primarily from an increase in
working capital of $11.4 million. Cash provided by investing
activities included the sale of investments for $9.6 million
related to the collection of $8.4 million from the formation
of the HPDI JV and sale of our ownership interest in Westport
Weichai Inc. ("Weichai"), partially offset by the purchase of
capital assets of $2.1 million. Cash used in financing activities
represented debt repayments of $7.0 million in the quarter.
- In September 2024, HPDI Technology,
the joint venture between Volvo Group and Westport, launched as
Cespira.
|
CONSOLIDATED RESULTS |
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|
($ in millions, except per share amounts) |
3Q24 |
3Q23 |
Over / (Under)
% |
9M24 |
9M23 |
Over / (Under)
% |
|
Revenues |
$ |
66.2 |
|
$ |
77.4 |
|
|
(14 |
)% |
$ |
227.2 |
|
$ |
244.7 |
|
|
(7 |
)% |
|
Gross Margin(2) |
14.5 |
|
13.2 |
|
|
10 |
% |
43.3 |
|
40.9 |
|
|
6 |
% |
|
Gross Margin %(2) |
22 |
% |
17 |
% |
|
|
|
19 |
% |
17 |
% |
|
|
|
|
Income (loss) from Investments Accounted for by the Equity
Method(1) |
(2.8 |
) |
0.4 |
|
|
(800 |
)% |
(3.4 |
) |
0.6 |
|
|
(670 |
)% |
|
Net Loss |
$ |
(3.9 |
) |
$ |
(11.9 |
) |
|
68 |
% |
$ |
(11.7 |
) |
$ |
(35.8 |
) |
|
67 |
% |
|
Net Loss per Share - Basic |
$ |
(0.22 |
) |
$ |
(0.70 |
) |
|
69 |
% |
$ |
(0.68 |
) |
$ |
(2.08 |
) |
|
67 |
% |
|
Net Loss per Share - Diluted |
$ |
(0.22 |
) |
$ |
(0.70 |
) |
|
69 |
% |
$ |
(0.68 |
) |
$ |
(2.08 |
) |
|
67 |
% |
|
EBITDA(2) |
$ |
(0.3 |
) |
$ |
(8.6 |
) |
|
97 |
% |
$ |
(0.5 |
) |
$ |
(25.0 |
) |
|
98 |
% |
|
Adjusted EBITDA(2) |
$ |
(0.8 |
) |
$ |
(3.0 |
) |
|
73 |
% |
$ |
(9.4 |
) |
$ |
(11.5 |
) |
|
18 |
% |
(1) This includes income (loss) from Minda
Westport Technologies Limited and Cespira.
(2) Gross margin, EBITDA and Adjusted EBITDA are
non-GAAP measures. Please refer to GAAP and NON-GAAP FINANCIAL
MEASURES for the reconciliation to equivalent GAAP measures and
limitations on the use of such measures.
Segment Information
Light-Duty Segment
Revenue for the three and nine months ended
September 30, 2024 was $61.5 million and $194.2 million,
respectively, compared with $60.2 million and $200.4 million for
the three and nine months ended September 30, 2023.
Light-Duty revenue increased by $1.3 million for
the three months ended September 30, 2024 compared to the prior
year quarter, primarily a result of an increase in sales in our
light-duty OEM and IAM businesses and partially offset by decreased
sales in our fuel storage, DOEM, and electronics businesses. For
the nine months ended September 30, 2024, Light-Duty revenue
decreased by $6.2 million compared to the prior year period,
primarily driven by a decrease in sales in our DOEM, and fuel
storage businesses and partially offset by an increase in sales in
our light-duty OEM, electronics, and IAM businesses.
Gross margin increased by $1.9 million to $13.9
million, or 23% of revenue, for the three months ended September
30, 2024 compared to $12.0 million, or 20% of revenue, for the
three months ended September 30, 2023. This was primarily driven by
a slight increase in sales volumes, a change in sales mix with
increases in sales to European customers and reduction in sales to
developing regions.
Gross margin increased by $4.3 million to $41.4
million, or 21% of revenue, for the nine months ended September 30,
2024 compared to $37.1 million, or 19% of revenue, for the nine
months ended September 30, 2023. This was primarily driven by a
change in sales mix with an increase in sales to European customers
and a reduction in sales to developing regions.
Westport began supplying its Euro 6 LPG fuel
system to its global OEM customer in early 2024. Despite a slower
start to production than anticipated, Westport expects to exceed
planned Euro 6 LPG fuel system deliveries in 2024. This production
supply agreement has been instrumental in improving revenue and
delivering higher margins, which more than offset the decline in
revenue as a result of a key delayed OEM customer continuing to
work through their inventory. Production for the Euro 7 LPG fuel
system for the same global OEM customer is anticipated to begin
mid-to-late 2025.
The Light-Duty segment continues to evolve our
LPG fuel system solution, providing more customers with a
cost-competitive alternative fuel solution. Recently, two new
product platforms were announced utilizing our systems. Westport
was excited to be part of the first-ever OEM hybrid vehicle powered
by HEV and LPG technologies - the Kia Niro Tri-Fuel in Italy. This
revolutionary product, born from Westport's historic partnership
with Kia Italia, offers three fuel sources—petrol, electric, and
LPG—delivering over 1,600 km on full tanks with reduced emissions
and uncompromised performance. Westport also announced the global
availability of a LPG fuel system for the RAM 1500 Hurricane 3.0 DI
Twin Turbo engine, enabling customers to benefit from lower
emissions and lower fuel costs.
High-Pressure Controls & Systems
Segment
Revenue for the three and nine months ended
September 30, 2024, was $1.6 million and $7.4 million,
respectively, compared with $3.7 million and $9.4 million for the
three and nine months ended September 30, 2023. The decrease in
revenue for the three months ended September 30, 2024 compared to
the prior year quarter was primarily driven by the general slowdown
in the hydrogen infrastructure development leading to a slower
adoption of automotive and industrial applications powered by
hydrogen.
Gross margin decreased by $0.6 million to $0.4
million, or 25% of revenue, for the three months ended September
30, 2024 compared to $1.0 million or 27% of revenue, for the three
months ended September 30, 2023. Gross margin decreased by $0.9
million to $1.5 million, or 20% of revenue, for the nine months
ended September 30, 2024 compared to $2.4 million, or 26% of
revenue, for the nine months ended September 30, 2023. This was
primarily driven by lower sales volume in the quarter.
Heavy-Duty OEM Segment
Revenue for the three and nine months ended
September 30, 2024 includes revenue from the HPDI business from
January 1 to June 3, the closing date of the transaction to form
Cespira plus revenue earned under a transitional services
agreement. Revenue for the three and nine months ended September
30, 2024 was $3.1 million and $25.6 million, respectively, compared
with $13.5 million and $34.9 million for the three and nine months
ended September 30, 2023.
The decrease in revenue for the three months
ended September 30, 2024 is a result of the transition of this
business to Cespira and the resulting change in accounting
treatment. We continue to earn service revenue from Cespira under
the transitional services agreement for the quarter, which is
represented in this segment.
Gross margin was $0.2 million, or 6% of revenue,
for the three months ended September 30, 2024 compared to $0.2
million or 1% of revenue, for the three months ended September 30,
2023. Gross margin decreased by $1.0 million to $0.4 million, or 2%
of revenue, for the nine months ended September 30, 2024 compared
to $1.4 million, or 4% of revenue, for the nine months ended
September 30, 2023.
Selected Cespira Statements of
Operations Data
We account for Cespira using the equity method
of accounting for investments.
The following table sets forth a summary of the
financial results of Cespira for the three months ended September
30, 2024 and the period between June 3, 2024 to September 30,
2024:
|
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|
Three months ended September 30, |
|
Change |
|
Period ended September 30, |
|
Change |
|
(in millions of U.S. dollars) |
2024 |
|
2023 |
|
$ |
|
% |
|
2024 |
|
2023 |
|
$ |
|
% |
|
Revenue |
$ |
16.2 |
|
|
$ |
— |
|
|
$ |
16.2 |
|
|
|
— |
% |
|
$ |
20.3 |
|
|
$ |
— |
|
|
$ |
20.3 |
|
|
|
— |
% |
|
Gross margin1 |
$ |
(1.1 |
) |
|
$ |
— |
|
|
$ |
(1.1 |
) |
|
|
— |
% |
|
$ |
(0.9 |
) |
|
$ |
— |
|
|
$ |
(0.9 |
) |
|
|
— |
% |
|
Gross margin %1 |
|
(7 |
)% |
|
|
— |
% |
|
|
|
|
|
|
|
|
|
|
(4 |
)% |
|
|
— |
% |
|
|
|
|
|
|
|
|
|
Operating loss |
$ |
(5.3 |
) |
|
$ |
— |
|
|
$ |
(5.3 |
) |
|
|
— |
% |
|
$ |
(7.3 |
) |
|
$ |
— |
|
|
$ |
(7.3 |
) |
|
|
— |
% |
|
Net loss attributable to the Company |
$ |
(3.0 |
) |
|
$ |
— |
|
|
$ |
(3.0 |
) |
|
|
— |
% |
|
$ |
(4.1 |
) |
|
$ |
— |
|
|
$ |
(4.1 |
) |
|
|
— |
% |
(1) Gross margin is a non-GAAP measure. Please
refer to GAAP and NON-GAAP FINANCIAL MEASURES for the
reconciliation to equivalent GAAP measures and limitations on the
use of such measures.
Cespira earned revenue of $16.2 million for
three months ended September 30, 2024. For the prior year quarter,
the Heavy-Duty OEM segment included our HPDI business which earned
$13.5 million. The revenue increase is largely driven by an
increase in HPDI systems sold.
Cespira lost $1.1 million on gross margin for
three months ended September 30, 2024. For the prior year quarter,
the Heavy-Duty OEM segment earned $0.2 million.
Cespira had operating losses of $5.3 million for
the three months ended September 30, 2024. For the prior year
quarter, Heavy-Duty OEM had incurred operating losses of $3.7
million.
As previously announced, Westport and Weichai
are parties to a technology development and supply agreement which
contains an obligation for Weichai to order, and Westport to
supply, certain volumes of HPDI fuel system components prior to
December 31, 2024. Significant orders for HPDI fuel system
components against this agreement have not been received to date
and we do not currently anticipate that orders for any significant
additional volumes will be received prior to year end. Westport and
Cespira continue to collaborate with Weichai Power Co. Ltd
(“Weichai Power”) on an HPDI fuel system equipped version of the
Weichai Power engine platforms. The parties are currently
discussing the next stages of this work and the obligations of each
party going forward.
|
SEGMENT RESULTS |
Three months ended September 30, 2024 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
Revenue |
|
Operating income (loss) |
|
Depreciation & amortization |
|
Equity income (loss) |
|
Light-Duty |
$ |
61.5 |
|
|
$ |
2.4 |
|
|
$ |
1.6 |
|
|
$ |
0.2 |
|
|
High-Pressure Controls & Systems |
|
1.6 |
|
|
|
(1.2 |
) |
|
|
0.1 |
|
|
|
— |
|
|
Heavy-Duty OEM |
|
3.1 |
|
|
|
0.9 |
|
|
|
— |
|
|
|
— |
|
|
Corporate |
|
— |
|
|
|
(1.0 |
) |
|
|
0.1 |
|
|
|
(3.0 |
) |
|
Cespira |
|
16.2 |
|
|
|
(5.3 |
) |
|
|
0.9 |
|
|
|
— |
|
|
Total segment |
|
82.4 |
|
|
|
(4.2 |
) |
|
|
2.7 |
|
|
|
(2.8 |
) |
|
Less: Cespira |
|
16.2 |
|
|
|
(5.3 |
) |
|
|
0.9 |
|
|
|
— |
|
|
Total consolidated |
$ |
66.2 |
|
|
$ |
1.1 |
|
|
$ |
1.8 |
|
|
$ |
(2.8 |
) |
|
SEGMENT RESULTS |
Three months ended September 30, 2023 |
|
|
Revenue |
|
Operating loss |
|
Depreciation & amortization |
|
Equity income |
|
Light-Duty |
$ |
60.2 |
|
|
$ |
(3.0 |
) |
|
$ |
1.7 |
|
|
$ |
0.4 |
|
|
High-Pressure Controls & Systems |
|
3.7 |
|
|
|
(0.4 |
) |
|
|
0.1 |
|
|
|
— |
|
|
Heavy-Duty OEM |
|
13.5 |
|
|
|
(3.7 |
) |
|
|
1.3 |
|
|
|
— |
|
|
Corporate |
|
— |
|
|
|
(5.0 |
) |
|
|
0.1 |
|
|
|
— |
|
|
Total Consolidated |
$ |
77.4 |
|
|
$ |
(12.1 |
) |
|
$ |
3.2 |
|
|
$ |
0.4 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Q3 2024 Conference Call Westport
has scheduled a conference call on November 13, 2024, at 7:00 am
Pacific Time (10:00 am Eastern Time) to discuss these results. To
access the conference call please register at
https://register.vevent.com/register/BI0e453d34cd1c4f7da856b4eec14f0d4c.
The live webcast of the conference call can be accessed through the
Westport website at https://investors.wfsinc.com/.
The webcast will be archived on Westport’s
website at https://investors.wfsinc.com.
Financial Statements and Management's
Discussion and Analysis To view Westport financials for
the second quarter ended September 30th, 2024, please visit
https://investors.wfsinc.com/financials/
About Westport Fuel Systems
At Westport Fuel Systems, we are driving
innovation to power a cleaner tomorrow. We are a leading supplier
of advanced fuel delivery components and systems for clean,
low-carbon fuels such as natural gas, renewable natural gas,
propane, and hydrogen to the global transportation industry. Our
technology delivers the performance and fuel efficiency required by
transportation applications and the environmental benefits that
address climate change and urban air quality challenges.
Headquartered in Vancouver, Canada, with operations in Europe,
Asia, North America, and South America, we serve our customers in
more than 70 countries with leading global transportation brands.
At Westport Fuel Systems, we think ahead. For more information,
visit www.wfsinc.com.
Cautionary Note Regarding Forward
Looking Statements This press release contains
forward-looking statements, including statements regarding revenue
and cash usage expectations, future strategic initiatives and
future growth, future of our development programs (including those
relating to HPDI and hydrogen), the demand for our products, the
future success of our business and technology strategies,
intentions of partners and potential customers, the performance and
competitiveness of Westport’s products and expansion of product
coverage, future market opportunities, speed of adoption of natural
gas and hydrogen for transportation and terms and timing of current
and future agreements as well as Westport's management’s response
to any of the aforementioned factors. These statements are neither
promises nor guarantees, but involve known and unknown risks and
uncertainties and are based on both the views of management and
assumptions that may cause our actual results, levels of activity,
performance or achievements to be materially different from any
future results, levels of activities, performance or achievements
expressed in or implied by these forward looking statements. These
risks, uncertainties and assumptions include those related to our
revenue growth, operating results, industry and products, the
general economy, conditions of and access to the capital and debt
markets, solvency, governmental policies and regulation, technology
innovations, fluctuations in foreign exchange rates, operating
expenses, continued reduction in expenses, ability to successfully
commercialize new products, the performance of our joint ventures,
the availability and price of natural gas and hydrogen, global
government stimulus packages and new environmental regulations, the
acceptance of and shift to natural gas and hydrogen vehicles, the
relaxation or waiver of fuel emission standards, the inability of
fleets to access capital or government funding to purchase natural
gas and hydrogen vehicles, the development of competing
technologies, our ability to adequately develop and deploy our
technology, the actions and determinations of our joint venture and
development partners, ongoing supply chain challenges as well as
other risk factors and assumptions that may affect our actual
results, performance or achievements or financial position
discussed in our most recent Annual Information Form and other
filings with securities regulators. Readers should not place undue
reliance on any such forward-looking statements, which speak only
as of the date they were made. We disclaim any obligation to
publicly update or revise such statements to reflect any change in
our expectations or in events, conditions or circumstances on which
any such statements may be based, or that may affect the likelihood
that actual results will differ from those set forth in these
forward looking statements except as required by National
Instrument 51-102. The contents of any website, RSS feed or twitter
account referenced in this press release are not incorporated by
reference herein.
Contact Information Investor Relations Westport
Fuel Systems T: +1 604-718-2046
GAAP and NON-GAAP FINANCIAL MEASURES
Management reviews the operational progress of
its business units and investment programs over successive periods
through the analysis of gross margin, gross margin as a percentage
of revenue, net income, EBITDA and Adjusted EBITDA. The Company
defines gross margin as revenue less cost of revenue. The Company
defines EBITDA as net income or loss from continuing operations
before income taxes adjusted for interest expense (net),
depreciation and amortization. Westport Fuel Systems defines
Adjusted EBITDA as EBITDA from continuing operations excluding
expenses for stock-based compensation, unrealized foreign exchange
gain or loss, and non-cash and other adjustments. Management uses
Adjusted EBITDA as a long-term indicator of operational performance
since it ties closely to the business units’ ability to generate
sustained cash flow and such information may not be appropriate for
other purposes. Adjusted EBITDA includes the company's share
of income from joint ventures.
The terms gross margin, gross margin as a
percentage of revenue, EBITDA and Adjusted EBITDA are not defined
under U.S. generally accepted accounting principles ("U.S.
GAAP") and are not a measure of operating income,
operating performance or liquidity presented in accordance with
U.S. GAAP. EBITDA and Adjusted EBITDA have limitations as an
analytical tool, and when assessing the company's operating
performance, investors should not consider EBITDA and Adjusted
EBITDA in isolation, or as a substitute for net loss or other
consolidated statement of operations data prepared in accordance
with U.S. GAAP. Among other things, EBITDA and Adjusted EBITDA do
not reflect the company's actual cash expenditures. Other companies
may calculate similar measures differently than Westport Fuel
Systems, limiting their usefulness as comparative tools. The
company compensates for these limitations by relying primarily on
its U.S. GAAP results and using EBITDA and Adjusted EBITDA as
supplemental information.
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|
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|
Gross margin and Gross margin as percentage of
Revenue |
|
(expressed in millions of U.S. dollars) |
|
Three months ended |
3Q23 |
|
4Q23 |
|
1Q24 |
|
2Q24 |
|
3Q24 |
|
Revenue |
$ |
77.4 |
|
|
$ |
87.2 |
|
|
$ |
77.6 |
|
|
$ |
83.4 |
|
|
$ |
66.2 |
|
|
Less: Cost of revenue |
|
64.2 |
|
|
|
79.2 |
|
|
|
65.9 |
|
|
|
66.3 |
|
|
|
51.7 |
|
|
Gross margin |
|
13.2 |
|
|
|
8.0 |
|
|
|
11.7 |
|
|
|
17.1 |
|
|
|
14.5 |
|
|
Gross margin % |
|
17.1 |
% |
|
|
9.2 |
% |
|
|
15.1 |
% |
|
|
20.5 |
% |
|
|
21.9 |
% |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
EBITDA and Adjusted EBITDA |
|
(expressed in millions of U.S. dollars) |
|
Three months ended |
3Q23 |
|
4Q23 |
|
1Q24 |
|
2Q24 |
|
3Q24 |
|
Income (Loss) before income taxes |
$ |
(12.0 |
) |
|
$ |
(14.0 |
) |
|
$ |
(12.9 |
) |
|
$ |
6.8 |
|
|
$ |
(2.5 |
) |
|
Interest expense (income), net |
|
0.2 |
|
|
|
(0.2 |
) |
|
|
0.5 |
|
|
|
0.5 |
|
|
|
0.4 |
|
|
Depreciation and amortization |
|
3.2 |
|
|
|
3.3 |
|
|
|
3.2 |
|
|
|
1.7 |
|
|
|
1.8 |
|
|
EBITDA |
|
(8.6 |
) |
|
|
(10.9 |
) |
|
|
(9.2 |
) |
|
|
9.0 |
|
|
|
(0.3 |
) |
|
Stock based compensation (recovery) |
|
(0.3 |
) |
|
|
1.4 |
|
|
|
0.3 |
|
|
|
1.2 |
|
|
|
(0.1 |
) |
|
Unrealized foreign exchange (gain) loss |
|
1.4 |
|
|
|
(0.9 |
) |
|
|
1.8 |
|
|
|
0.1 |
|
|
|
(1.1 |
) |
|
Severance costs |
|
4.5 |
|
|
|
— |
|
|
|
0.5 |
|
|
|
0.2 |
|
|
|
0.1 |
|
|
Gain on deconsolidation |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(13.3 |
) |
|
|
— |
|
|
Loss on sale of investment |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
0.4 |
|
|
Restructuring costs |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
0.8 |
|
|
|
0.2 |
|
|
Impairment of long-term investments |
|
— |
|
|
|
0.4 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
Adjusted EBITDA |
$ |
(3.0 |
) |
|
$ |
(10.0 |
) |
|
$ |
(6.6 |
) |
|
$ |
(2.0 |
) |
|
$ |
(0.8 |
) |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
WESTPORT FUEL SYSTEMS INC.Condensed Consolidated
Interim Balance Sheets (unaudited)(Expressed in thousands of United
States dollars, except share amounts)September 30, 2024 and
December 31, 2023 |
|
|
|
|
|
|
|
September 30, 2024 |
|
December 31, 2023 |
|
Assets |
|
|
|
|
Current assets: |
|
|
|
|
Cash and cash equivalents (including restricted cash) |
$ |
33,257 |
|
|
$ |
54,853 |
|
|
Accounts receivable |
|
70,344 |
|
|
|
88,077 |
|
|
Inventories |
|
66,322 |
|
|
|
67,530 |
|
|
Prepaid expenses |
|
7,165 |
|
|
|
6,323 |
|
|
Total current assets |
|
177,088 |
|
|
|
216,783 |
|
|
Long-term investments |
|
41,322 |
|
|
|
4,792 |
|
|
Property, plant and equipment |
|
42,665 |
|
|
|
69,489 |
|
|
Operating lease right-of-use assets |
|
20,433 |
|
|
|
22,877 |
|
|
Intangible assets |
|
5,953 |
|
|
|
6,822 |
|
|
Deferred income tax assets |
|
11,696 |
|
|
|
11,554 |
|
|
Goodwill |
|
3,088 |
|
|
|
3,066 |
|
|
Other long-term assets |
|
9,389 |
|
|
|
20,365 |
|
|
Total assets |
$ |
311,634 |
|
|
$ |
355,748 |
|
|
Liabilities and shareholders’ equity |
|
|
|
|
Current liabilities: |
|
|
|
|
Accounts payable and accrued liabilities |
$ |
88,760 |
|
|
$ |
95,374 |
|
|
Current portion of operating lease liabilities |
|
2,656 |
|
|
|
3,307 |
|
|
Short-term debt |
|
— |
|
|
|
15,156 |
|
|
Current portion of long-term debt |
|
15,260 |
|
|
|
14,108 |
|
|
Current portion of warranty liability |
|
4,045 |
|
|
|
6,892 |
|
|
Total current liabilities |
|
110,721 |
|
|
|
134,837 |
|
|
Long-term operating lease liabilities |
|
17,781 |
|
|
|
19,300 |
|
|
Long-term debt |
|
23,483 |
|
|
|
30,957 |
|
|
Warranty liability |
|
1,350 |
|
|
|
1,614 |
|
|
Deferred income tax liabilities |
|
4,138 |
|
|
|
3,477 |
|
|
Other long-term liabilities |
|
4,869 |
|
|
|
5,115 |
|
|
Total liabilities |
|
162,342 |
|
|
|
195,300 |
|
|
Shareholders’ equity: |
|
|
|
|
Share capital: |
|
|
|
|
Unlimited common and preferred shares, no par value |
|
|
|
|
17,264,864 (2023 - 17,174,502) common shares issued and
outstanding |
|
1,245,712 |
|
|
|
1,244,539 |
|
|
Other equity instruments |
|
9,399 |
|
|
|
9,672 |
|
|
Additional paid in capital |
|
11,516 |
|
|
|
11,516 |
|
|
Accumulated deficit |
|
(1,086,133 |
) |
|
|
(1,074,434 |
) |
|
Accumulated other comprehensive loss |
|
(31,202 |
) |
|
|
(30,845 |
) |
|
Total shareholders' equity |
|
149,292 |
|
|
|
160,448 |
|
|
Total liabilities and shareholders' equity |
$ |
311,634 |
|
|
$ |
355,748 |
|
| |
|
|
|
|
|
|
|
|
WESTPORT FUEL SYSTEMS INC.Condensed Consolidated
Interim Statements of Operations and Comprehensive Loss
(unaudited)(Expressed in thousands of United States dollars, except
share and per share amounts) Three and nine months ended September
30, 2024 and 2023 |
|
|
|
|
|
|
|
Three months ended September 30, |
|
Nine months ended September 30, |
|
|
2024 |
|
2023 |
|
2024 |
|
2023 |
|
Revenue |
$ |
66,251 |
|
|
$ |
77,391 |
|
|
$ |
227,211 |
|
|
$ |
244,653 |
|
|
Cost of revenue and expenses: |
|
|
|
|
|
|
|
|
Cost of revenue |
|
51,785 |
|
|
|
64,163 |
|
|
|
183,900 |
|
|
|
203,695 |
|
|
Research and development |
|
3,266 |
|
|
|
5,748 |
|
|
|
17,519 |
|
|
|
18,796 |
|
|
General and administrative |
|
7,706 |
|
|
|
12,993 |
|
|
|
29,662 |
|
|
|
33,307 |
|
|
Sales and marketing |
|
2,770 |
|
|
|
4,088 |
|
|
|
9,497 |
|
|
|
12,557 |
|
|
Foreign exchange (gain) loss |
|
(1,069 |
) |
|
|
1,430 |
|
|
|
808 |
|
|
|
4,926 |
|
|
Depreciation and amortization |
|
751 |
|
|
|
1,100 |
|
|
|
2,514 |
|
|
|
3,158 |
|
|
|
|
65,209 |
|
|
|
89,522 |
|
|
|
243,900 |
|
|
|
276,439 |
|
|
Income (loss) from operations |
|
1,042 |
|
|
|
(12,131 |
) |
|
|
(16,689 |
) |
|
|
(31,786 |
) |
|
|
|
|
|
|
|
|
|
|
Income (loss) from investments accounted for by the equity
method |
|
(2,781 |
) |
|
|
448 |
|
|
|
(3,438 |
) |
|
|
633 |
|
|
Gain on deconsolidation |
|
— |
|
|
|
— |
|
|
|
13,266 |
|
|
|
— |
|
|
Loss on sale of investment |
|
(352 |
) |
|
|
— |
|
|
|
(352 |
) |
|
|
— |
|
|
Interest on long-term debt and accretion on royalty payable |
|
(919 |
) |
|
|
(568 |
) |
|
|
(2,125 |
) |
|
|
(2,058 |
) |
|
Loss on extinguishment of royalty payable |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(2,909 |
) |
|
Interest and other income, net of bank charges |
|
569 |
|
|
|
238 |
|
|
|
761 |
|
|
|
1,437 |
|
|
Loss before income taxes |
|
(2,441 |
) |
|
|
(12,013 |
) |
|
|
(8,577 |
) |
|
|
(34,683 |
) |
|
Income tax expense (recovery) |
|
1,427 |
|
|
|
(76 |
) |
|
|
3,122 |
|
|
|
1,089 |
|
|
Net loss for the period |
|
(3,868 |
) |
|
|
(11,937 |
) |
|
|
(11,699 |
) |
|
|
(35,772 |
) |
|
|
|
|
|
|
|
|
|
|
Changes in foreign currency translation adjustment |
|
2,177 |
|
|
|
(3,427 |
) |
|
|
535 |
|
|
|
1,925 |
|
|
Ownership share of equity method investments' other comprehensive
loss |
|
(809 |
) |
|
|
— |
|
|
|
(892 |
) |
|
|
— |
|
|
Other comprehensive income (loss) |
|
1,368 |
|
|
|
(3,427 |
) |
|
|
(357 |
) |
|
|
1,925 |
|
|
Comprehensive loss |
$ |
(2,500 |
) |
|
$ |
(15,364 |
) |
|
$ |
(12,056 |
) |
|
$ |
(33,847 |
) |
|
|
|
|
|
|
|
|
|
|
Net loss per share: |
|
|
|
|
|
|
|
|
Net loss per share - basic |
$ |
(0.22 |
) |
|
$ |
(0.70 |
) |
|
$ |
(0.68 |
) |
|
$ |
(2.08 |
) |
|
Net loss per share - diluted |
$ |
(0.22 |
) |
|
$ |
(0.70 |
) |
|
$ |
(0.68 |
) |
|
$ |
(2.08 |
) |
|
Weighted average common shares outstanding: |
|
|
|
|
|
|
|
|
Basic |
|
17,264,157 |
|
|
|
17,174,972 |
|
|
|
17,241,469 |
|
|
|
17,172,429 |
|
|
Diluted |
|
17,264,157 |
|
|
|
17,174,972 |
|
|
|
17,241,469 |
|
|
|
17,172,429 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
WESTPORT FUEL SYSTEMS INC.Condensed Consolidated
Interim Statements of Cash Flows (unaudited)(Expressed in thousands
of United States dollars) Three and nine months ended September 30,
2024 and 2023 |
|
|
|
|
|
|
|
Three months ended September 30, |
|
Nine months ended September 30, |
|
|
2024 |
|
2023 |
|
2024 |
|
2023 |
|
Operating activities: |
|
|
|
|
|
|
|
|
Net loss for the period |
$ |
(3,868 |
) |
|
$ |
(11,937 |
) |
|
$ |
(11,699 |
) |
|
$ |
(35,772 |
) |
|
Adjustments to reconcile net loss to net cash provided by (used in)
operating activities: |
|
Depreciation and amortization |
|
1,790 |
|
|
|
3,250 |
|
|
|
6,753 |
|
|
|
9,270 |
|
|
Stock-based compensation expense |
|
267 |
|
|
|
(310 |
) |
|
|
900 |
|
|
|
1,065 |
|
|
Unrealized foreign exchange (gain) loss |
|
(1,069 |
) |
|
|
1,430 |
|
|
|
808 |
|
|
|
4,926 |
|
|
Deferred income tax expense (recovery) |
|
333 |
|
|
|
(324 |
) |
|
|
678 |
|
|
|
(347 |
) |
|
Loss (income) from investments accounted for by the equity
method |
|
2,781 |
|
|
|
(448 |
) |
|
|
3,438 |
|
|
|
(633 |
) |
|
Interest on long-term debt and accretion on royalty payable |
|
18 |
|
|
|
22 |
|
|
|
53 |
|
|
|
316 |
|
|
Change in inventory write-downs |
|
594 |
|
|
|
500 |
|
|
|
2,030 |
|
|
|
2,078 |
|
|
Loss on extinguishment of royalty payable |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
2,909 |
|
|
Change in bad debt expense |
|
271 |
|
|
|
304 |
|
|
|
122 |
|
|
|
676 |
|
|
Gain on deconsolidation |
|
— |
|
|
|
— |
|
|
|
(13,266 |
) |
|
|
— |
|
|
Loss on sale of investments |
|
352 |
|
|
|
— |
|
|
|
352 |
|
|
|
— |
|
|
Other |
|
14 |
|
|
|
144 |
|
|
|
46 |
|
|
|
123 |
|
|
Changes in operating assets and liabilities: |
|
|
|
|
|
|
|
|
Accounts receivable |
|
13,977 |
|
|
|
2,877 |
|
|
|
23,760 |
|
|
|
2,305 |
|
|
Inventories |
|
(7,788 |
) |
|
|
3,359 |
|
|
|
(14,242 |
) |
|
|
2,231 |
|
|
Prepaid expenses |
|
(77 |
) |
|
|
1,889 |
|
|
|
(665 |
) |
|
|
3,296 |
|
|
Accounts payable and accrued liabilities |
|
(15,746 |
) |
|
|
844 |
|
|
|
(3,551 |
) |
|
|
1,894 |
|
|
Warranty liability |
|
(1,782 |
) |
|
|
(1,061 |
) |
|
|
(3,809 |
) |
|
|
(3,622 |
) |
|
Net cash provided by (used in) operating
activities |
|
(9,933 |
) |
|
|
539 |
|
|
|
(8,292 |
) |
|
|
(9,285 |
) |
|
Investing activities: |
|
|
|
|
|
|
|
|
Purchase of property, plant and equipment |
|
(2,140 |
) |
|
|
(4,081 |
) |
|
|
(12,470 |
) |
|
|
(11,993 |
) |
|
Proceeds from sale of investments |
|
9,564 |
|
|
|
— |
|
|
|
29,994 |
|
|
|
— |
|
|
Proceeds on sale of assets |
|
38 |
|
|
|
— |
|
|
|
607 |
|
|
|
133 |
|
|
Dividends received from investments accounted for by the equity
method |
|
— |
|
|
|
— |
|
|
|
297 |
|
|
|
— |
|
|
Capital contributions to investments accounted for by the equity
method |
|
— |
|
|
|
— |
|
|
|
(9,900 |
) |
|
|
— |
|
|
Net cash provided by (used in) investing
activities |
|
7,462 |
|
|
|
(4,081 |
) |
|
|
8,528 |
|
|
|
(11,860 |
) |
|
Financing activities: |
|
|
|
|
|
|
|
|
Repayments of operating lines of credit and long-term
facilities |
|
(6,965 |
) |
|
|
(11,397 |
) |
|
|
(41,042 |
) |
|
|
(33,077 |
) |
|
Drawings on operating lines of credit and long-term facilities |
|
— |
|
|
|
7,497 |
|
|
|
19,336 |
|
|
|
20,593 |
|
|
Payment of royalty payable |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(8,687 |
) |
|
Net cash used in financing activities |
|
(6,965 |
) |
|
|
(3,900 |
) |
|
|
(21,706 |
) |
|
|
(21,171 |
) |
|
Effect of foreign exchange on cash and cash equivalents |
|
1,171 |
|
|
|
(856 |
) |
|
|
(126 |
) |
|
|
99 |
|
|
Net decrease in cash and cash equivalents |
|
(8,265 |
) |
|
|
(8,298 |
) |
|
|
(21,596 |
) |
|
|
(42,217 |
) |
|
Cash and cash equivalents, beginning of period (including
restricted cash) |
|
41,522 |
|
|
|
52,265 |
|
|
|
54,853 |
|
|
|
86,184 |
|
|
Cash and cash equivalents, end of period (including
restricted cash) |
$ |
33,257 |
|
|
$ |
43,967 |
|
|
$ |
33,257 |
|
|
$ |
43,967 |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Westport Fuel Systems (NASDAQ:WPRT)
過去 株価チャート
から 10 2024 まで 11 2024
Westport Fuel Systems (NASDAQ:WPRT)
過去 株価チャート
から 11 2023 まで 11 2024
