Revenue of $27 million, GAAP gross margin of
34%, and non-GAAP gross margin of 40%
Repaid all outstanding balance under revolving
credit line, strengthening balance sheet
On-track to deliver on long-term financial
framework and reach profitability
Ouster, Inc. (NYSE: OUST) (“Ouster” or the “Company”), a leading
global provider of high-performance lidar sensors and software
solutions for the automotive, industrial, robotics, and smart
infrastructure industries, announced today financial results for
the second quarter ended June 30, 2024.
Second Quarter 2024 Highlights
- $27 million in revenue, up 39% year over year and 4%
sequentially.
- Shipped over 4,000 sensors for revenue.
- GAAP gross margin of 34%, compared to 1% in the second quarter
of 2023 and 29% in the first quarter of 2024.
- Non-GAAP gross margin1 of 40%, compared to 26% in the second
quarter of 2023 and 36% in the first quarter of 2024.
- Net loss of $24 million, compared to $123 million in the second
quarter of 2023 and $24 million in the first quarter of 2024.
- Adjusted EBITDA1 loss of $11 million, compared to $24 million
in the second quarter of 2023 and $12 million in the first quarter
of 2024.
- Cash, cash equivalents, restricted cash, and short-term
investments balance of $186 million as of June 30, 2024.
"Our second quarter results showcase solid execution with GAAP
gross margin increasing to 34%. Consistent with Ouster’s strategy
of expanding into software solutions, we had one of our best
quarters for software-attached sales powered by Ouster Gemini and
Blue City. Alongside the continued improvement in our operating
results, we have built one of the industry’s most resilient balance
sheets and diversified business models,” said Ouster CEO Angus
Pacala. “I am excited to see the use cases for lidar expand as the
world turns to automation to solve an ever increasing number of
modern challenges. With lidar adoption still in its infancy, we are
just beginning to tap into our growth and I see a tremendous
opportunity still in front of us. At the same time, we remain
committed to our long-term financial framework and executing on our
path to profitability.”
Revenue growth in the second quarter was primarily driven by
large orders from customers in the smart infrastructure and
robotics verticals, specifically for perimeter security, tolling,
and mapping applications. GAAP gross margin improved by 500bps
sequentially and benefited from higher revenues along with greater
than expected tailwinds from favorable product mix and lower
manufacturing costs. Non-GAAP gross margin increased to 40%
compared to 26% in the second quarter of 2023. Non-GAAP gross
margin excludes the impact of stock-based compensation expenses and
certain other expenses outside of ordinary operations. Subsequent
to the end of the second quarter, Ouster repaid all outstanding
balance on its revolving credit line utilizing cash on hand.
________________________________________ (1)
Adjusted EBITDA loss and non-GAAP gross
margin are non-GAAP financial measures. See Non-GAAP Financial
Measures for additional information and reconciliations of these
measures to their respective most directly comparable financial
measures calculated in accordance with U.S. GAAP.
2024 Business Objective Updates
- Expand software solutions and grow the installed base
- Advance the development of digital lidar hardware
- Progress on the long-term financial framework
Expand software solutions and grow the
installed base: In the second quarter, Ouster secured
multiple deals to supply Ouster Gemini’s smart infrastructure
software solution, including to one of the world’s largest consumer
technology companies as well as a global telecommunications
company. During the quarter, Ouster also improved movement
detection for security customers, optimized software processing
requirements, and enhanced its deep-learning perception model to
support new use cases such as identifying unauthorized individuals
tailgating into restricted areas.
Advance the development of digital lidar
hardware: During the second quarter, Ouster taped out its
automotive-grade, custom silicon “Chronos” chip. The Company
expects to integrate Chronos into its solid-state, digital flash
“DF” sensors in the next year. Development on the Company’s next
generation custom silicon “L4” chip is advancing with validation
testing underway. Both Chronos and L4 are expected to open up new
verticals and bring significant improvements in performance,
reliability, and manufacturability to the Ouster product
family.
Progress on the long-term financial
framework: Ouster is executing on its path to profitability
and remains committed to deliver on its long-term framework of
30-50% annual revenue growth, expanding gross margins to 35-40%,
and maintaining operating expenses at or below third quarter 2023
levels.
Third Quarter 2024 Outlook
For the third quarter of 2024, Ouster expects to achieve $27
million to $29 million in revenue.
Conference Call
Information
Ouster will host a conference call and live webcast for analysts
and investors at 5:00 p.m. ET today, August 13, 2024 to discuss its
financial results and business outlook. To access the call, please
register at https://registrations.events/direct/Q4I9342824.
Upon registering, each participant will be provided with call
details and a registrant ID. The webcast and related presentation
materials will be accessible for at least 30 days on Ouster’s
investor relations website at https://investors.ouster.com. A
telephone replay of the call will be available 2 hours after the
call ends, and can be accessed via phone through August 27, 2024 by
dialing (800) 770-2030 from the U.S. or +1 (609) 800-9909 from
outside the U.S. The conference I.D. number is 93428.
About Ouster
Ouster (NYSE: OUST) is a leading global provider of lidar
sensors and software solutions for the automotive, industrial,
robotics, and smart infrastructure industries. Ouster is on a
mission to build a safer and more sustainable future by offering
affordable, high-performance sensors that drive mass adoption
across a wide variety of applications. Ouster is headquartered in
San Francisco, CA with offices in the Americas, Europe, and Asia
Pacific. For more information, visit www.ouster.com, or connect
with us on X or LinkedIn.
Forward-Looking
Statements
This press release contains forward-looking statements within
the meaning of the Private Securities Litigation Reform Act of
1995. The Company intends such forward-looking statements to be
covered by the safe harbor provisions for forward-looking
statements contained in Section 27A of the Securities Act of 1933,
as amended and Section 21E of the Securities Exchange Act of 1934,
as amended. Such statements are based upon current plans, estimates
and expectations of management that are subject to various risks
and uncertainties that could cause actual results to differ
materially from such statements. The inclusion of forward-looking
statements should not be regarded as a representation that such
plans, estimates and expectations will be achieved. Words such as
“anticipate,” “expect,” “project,” “intend,” “believe,” “may,”
“will,” “should,” “plan,” “could,” “continue,” “target,”
“contemplate,” “estimate,” “forecast,” “guidance,” “predict,”
“possible,” “potential,” “pursue,” “likely,” and the negative of
these terms and similar expressions are intended to identify
forward-looking statements, though not all forward-looking
statements use these words or expressions. All statements, other
than statements of historical fact, including statements regarding
Ouster’s revenue guidance for the third quarter of 2024;
anticipated new product launches and developments; Ouster’s future
results of operations, cash reserve and financial position; the
anticipated timing and development of Ouster’s next generation
hardware and software solutions; the execution against the
Company’s product roadmap and demand for products; the Company’s
path to profitability and long-term financial framework; industry
and business trends; Ouster’s business objectives, plans, strategic
partnerships, and market growth; and Ouster’s competitive market
position, all constitute forward-looking statements. All
forward-looking statements are subject to risks and uncertainties
that may cause actual results to differ materially from those that
we expected, including, but not limited to, risks related to
Ouster’s limited operating history and history of losses;
fluctuations in its operating results; the substantial research and
development costs needed to develop and commercialize new products;
its ability to maintain competitive average selling prices, high
sales volumes and reduce product costs; competition in Ouster's
industry; the negotiating power and product standards of its
customers; the adoption of its products and the growth of the lidar
market generally; product quality and liability risks; Ouster’s
future capital needs and ability to secure additional capital on
favorable terms or at all; its ability to manage growth, including
growing the sales and marketing organization; risks related to
international operations, including international manufacturing;
cancellation or postponement of contracts or unsuccessful
implementations; the Company's ability to manage its inventory;
credit risk of customers; Ouster's ability to use tax attributes;
Ouster’s dependence on key third party suppliers, in particular
Benchmark Electronics, Inc., Fabrinet, and other suppliers; supply
chain constraints and challenges; conditions in the industries the
Company targets or the global economy; the ability of its lidar
technology roadmap and new software solutions to catalyze growth;
Ouster’s ability to recruit and retain key personnel; its ability
to successfully integrate its business with Velodyne and achieve
the anticipated benefits of the Velodyne merger; Ouster’s ability
to adequately protect and enforce its intellectual property rights,
including as it relates to Hesai Group; legal and regulatory risks;
risks related to operating as a public company; and other important
factors discussed in the Company’s Annual Report on Form 10-K for
the year ended December 31, 2023, as may be further updated from
time to time in the Company’s other filings with the SEC. Readers
are urged to consider these factors carefully and in the totality
of the circumstances when evaluating these forward-looking
statements, and not to place undue reliance on any of them. Any
such forward-looking statements represent management’s reasonable
estimates and beliefs as of the date of this press release. While
Ouster may elect to update such forward-looking statements at some
point in the future, it disclaims any obligation to do so, other
than as may be required by law, even if subsequent events cause its
views to change.
In addition, see information below concerning non-GAAP financial
measures.
Non-GAAP Financial
Measures
In addition to its results determined in accordance with
generally accepted accounting principles in the United States
(“GAAP”), Ouster believes the non‑GAAP measures of Non-GAAP Gross
Margin and Adjusted EBITDA are useful in evaluating its operating
performance. Ouster calculates Non-GAAP Gross Profit as gross
profit (loss) excluding amortization of acquired intangibles,
certain excess and obsolete expenses and losses on firm purchase
commitments, and stock-based compensation expense. Non-GAAP Gross
Margin is calculated as Non-GAAP Gross Profit divided by revenues.
Ouster calculates Adjusted EBITDA as net loss excluding interest
expense (income), net, other expense (income), net, stock-based
compensation expense, provision for income tax expense, goodwill
impairment charges, restructuring costs excluding stock-based
compensation expense, certain excess and obsolete expenses and loss
on firm purchase commitments, amortization of acquired intangibles,
depreciation expense, certain litigation and litigation related
expenses, merger and acquisition related expenses. Ouster believes
that Non-GAAP Gross Profit, Non-GAAP Gross Margin, and Adjusted
EBITDA may be helpful to investors because it provides consistency
and comparability with past financial performance and may be
helpful in comparison with other companies, some of which use
similar non‑GAAP information to supplement their GAAP results.
Adjusted EBITDA is also used by the Board and management as a
performance metric for compensation purposes. The non-GAAP
financial information is presented for supplemental informational
purposes only, and should not be considered a substitute for
financial information presented in accordance with GAAP, and may be
different from similarly titled non‑GAAP measures used by other
companies. Reconciliation tables of the most comparable GAAP
financial measures to the non-GAAP financial measures are included
at the end of this press release.
OUSTER, INC. CONDENSED CONSOLIDATED BALANCE SHEETS
(unaudited) (in thousands) June 30,2024
December 31,2023 Assets Current assets: Cash and cash
equivalents
$
52,687
$
50,991
Restricted cash, current
426
552
Short-term investments
131,557
139,158
Accounts receivable, net
14,343
14,577
Inventory
19,453
23,232
Prepaid expenses and other current assets
33,530
34,647
Total current assets
251,996
263,157
Property and equipment, net
9,445
10,228
Operating lease, right-of-use assets
16,822
18,561
Unbilled receivable, non-current portion
7,127
10,567
Intangible assets, net
20,930
24,436
Restricted cash, non-current
1,092
1,091
Other non-current assets
2,463
2,703
Total assets
$
309,875
$
330,743
Liabilities and stockholders’ equity Current liabilities:
Accounts payable
$
4,490
$
3,545
Accrued and other current liabilities
48,506
58,166
Contract liabilities, current
13,812
12,885
Operating lease liability, current portion
7,263
7,096
Total current liabilities
74,071
81,692
Operating lease liability, non-current portion
16,239
18,827
Debt
43,973
43,975
Contract liabilities, non-current portion
3,487
4,967
Other non-current liabilities
1,495
1,610
Total liabilities
139,265
151,071
Commitments and contingencies Stockholders’ equity: Common stock
44
42
Additional paid-in capital
1,035,087
995,464
Accumulated deficit
(863,744
)
(816,026
)
Accumulated other comprehensive (loss) income
(777
)
192
Total stockholders’ equity
170,610
179,672
Total liabilities and stockholders’ equity
$
309,875
$
330,743
OUSTER, INC. CONDENSED CONSOLIDATED STATEMENTS OF
OPERATIONS AND COMPREHENSIVE LOSS (unaudited) (in
thousands, except share and per share data) Three
Months Ended June 30, Three MonthsEnded March 31, Six
Months Ended June 30,
2024
2023
2024
2024
2023
Revenue
$
26,990
$
19,396
$
25,944
$
52,934
$
36,626
Cost of revenue
17,892
19,210
18,519
36,411
36,816
Gross profit (loss)
9,098
186
7,425
16,523
(190
)
Operating expenses: Research and development
14,432
26,447
13,806
28,238
58,906
Sales and marketing
6,750
11,666
6,860
13,610
25,199
General and administrative
13,166
17,842
12,580
25,746
49,167
Goodwill impairment charges
—
67,266
—
—
166,675
Total operating expenses
34,348
123,221
33,246
67,594
299,947
Loss from operations
(25,250
)
(123,035
)
(25,821
)
(51,071
)
(300,137
)
Other income (expense): Interest income
2,251
2,245
2,651
4,902
3,964
Interest expense
(740
)
(1,728
)
(741
)
(1,481
)
(3,397
)
Other income (expense), net
(7
)
(165
)
193
186
(111
)
Total other income, net
1,504
352
2,103
3,607
456
Loss before income taxes
(23,746
)
(122,683
)
(23,718
)
(47,464
)
(299,681
)
Provision for income tax expense
123
50
131
254
332
Net loss
$
(23,869
)
$
(122,733
)
$
(23,849
)
$
(47,718
)
$
(300,013
)
Other comprehensive loss Changes in unrealized (loss) gain on
available for sale securities
$
(45
)
$
(74
)
$
(459
)
$
(504
)
$
(24
)
Foreign currency translation adjustments
(293
)
23
(172
)
(465
)
(57
)
Total comprehensive loss
$
(24,207
)
$
(122,784
)
$
(24,480
)
$
(48,687
)
$
(300,094
)
Net loss per common share, basic and diluted
$
(0.53
)
$
(3.19
)
$
(0.55
)
$
(1.08
)
$
(8.84
)
Weighted-average shares used to compute basic and diluted net loss
per share
44,737,769
38,448,241
43,454,127
44,077,383
33,937,505
OUSTER, INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH
FLOWS (unaudited) (in thousands) Six
Months Ended June 30,
2024
2023
CASH FLOWS FROM OPERATING ACTIVITIES Net loss
$
(47,718
)
$
(300,013
)
Adjustments to reconcile net loss to net cash used in operating
activities: Goodwill impairment charges
—
166,675
Depreciation and amortization
5,397
10,605
Loss on write-off of construction in progress and right-of-use
asset impairment
214
1,423
Stock-based compensation
20,099
38,246
Reduction of revenue related to stock warrant issued to customer
488
61
Amortization of right-of-use asset
2,391
2,012
Interest expense
—
889
Amortization of debt issuance costs and debt discount
—
125
Accretion or amortization on short-term investments
(2,933
)
(2,097
)
Change in fair value of warrant liabilities
27
(126
)
Inventory write down
742
5,065
Provision (recovery of) for doubtful accounts
(241
)
541
Gain from disposal of property and equipment
(114
)
(248
)
Realized gain on available for sale securities
(275
)
—
Changes in operating assets and liabilities: Accounts receivable
3,915
3,420
Inventory
3,037
(3,644
)
Prepaid expenses and other assets
101
(1,126
)
Accounts payable
958
(1,741
)
Accrued and other liabilities
(9,830
)
(4,779
)
Contract liabilities
(553
)
759
Operating lease liability
(3,071
)
(2,525
)
Net cash used in operating activities
(27,366
)
(86,478
)
CASH FLOWS FROM INVESTING ACTIVITIES Proceeds from sale of
property and equipment
502
560
Purchases of property and equipment
(1,741
)
(1,973
)
Purchase of short-term investments
(49,720
)
(48,554
)
Proceeds from sales of short-term investments
60,028
72,481
Cash and cash equivalents acquired in the Velodyne Merger
—
32,137
Net cash provided by investing activities
9,069
54,651
CASH FLOWS FROM FINANCING ACTIVITIES Proceeds from ESPP
purchase
781
310
Proceeds from exercise of stock options
151
150
Proceeds from the issuance of common stock under at-the-market
offering, net of commissions and fees
19,498
—
At-the-market offering costs for the issuance of common stock
(95
)
—
Net cash provided by financing activities
20,335
460
Effect of exchange rates on cash and cash equivalents
(467
)
(56
)
Net decrease in cash, cash equivalents and restricted cash
1,571
(31,423
)
Cash, cash equivalents and restricted cash at beginning of period
52,634
124,278
Cash, cash equivalents and restricted cash at end of period
$
54,205
$
92,855
OUSTER, INC. RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL
MEASURES (unaudited) (in thousands)
Three Months Ended June 30, Three Months Ended March
31, Six Months Ended June 30,
2024
2023
2024
2023
2024
2023
GAAP net loss
$
(23,869
)
$
(122,733
)
$
(23,849
)
$
(177,280
)
$
(47,718
)
$
(300,013
)
Interest expense (income), net
(1,511
)
(517
)
(1,910
)
(50
)
(3,421
)
(567
)
Other expense (income), net
7
165
(193
)
(54
)
(186
)
111
Stock-based compensation(1)
10,695
16,466
9,404
21,780
20,099
38,246
Provision for income tax expense
123
50
131
282
254
332
Goodwill impairment charge
—
67,266
—
99,409
—
166,675
Restructuring costs, excluding stock-based compensation expense
—
3,342
—
12,635
—
15,977
Excess and obsolete expenses and loss on firm purchase commitments
—
3,750
572
3,630
572
7,380
Amortization of acquired intangibles(2)
1,661
1,702
1,754
1,511
3,415
3,213
Depreciation expense(2)
839
2,744
1,053
4,648
1,892
7,392
Litigation expenses(3)
1,636
3,364
1,296
537
2,932
3,901
Merger and acquisition related expenses(4)
—
—
—
6,058
—
6,058
Other items
(114
)
—
—
—
(114
)
—
Adjusted EBITDA
$
(10,533
)
$
(24,401
)
$
(11,743
)
$
(26,893
)
$
(22,276
)
$
(51,294
)
(1)Includes stock-based compensation expense as follows:
Three Months Ended June 30, Three Months Ended March
31, Six Months Ended June 30,
2024
2023
2024
2023
2024
2023
Cost of revenue
$
1,210
$
654
$
913
$
774
$
2,123
$
1,428
Research and development
4,650
8,204
4,188
7,505
8,838
15,709
Sales and marketing
1,492
3,500
1,400
2,881
2,892
6,381
General and administrative
3,343
4,108
2,903
10,620
6,246
14,728
Total stock-based compensation
$
10,695
$
16,466
$
9,404
$
21,780
$
20,099
$
38,246
(2)Includes depreciation and amortization expense as
follows:
Three Months Ended June 30, Three Months Ended
March 31, Six Months Ended June 30,
2024
2023
2024
2023
2024
2023
Cost of revenue
$
999
$
1,772
$
1,100
$
1,750
$
2,099
$
3,522
Research and development
670
892
712
2,964
1,382
3,856
Sales and marketing
249
258
248
181
497
440
General and administrative
582
1,524
747
1,264
1,329
2,787
Total depreciation and amortization expense
$
2,500
$
4,446
$
2,807
$
6,159
$
5,307
$
10,605
(3)Litigation expenses and litigation-related expenses
outside of the Company’s ordinary business operations (4)Merger and
acquisition related expenses represent transaction costs for the
Velodyne Merger which include legal and accounting professional
service fees
Three Months Ended June 30, Three
Months Ended March 31, Six Months Ended June 30,
2024
2023
2024
2023
2024
2023
Gross profit (loss) on GAAP basis
$
9,098
$
186
$
7,425
$
(376
)
$
16,523
$
(190
)
Stock-based compensation
1,210
654
913
774
2,123
1,428
Amortization of acquired intangible assets
371
412
464
249
835
661
Excess and obsolete expenses and loss on firm purchase commitments
—
3,750
572
3,630
572
7,380
Gross profit on non-GAAP basis
$
10,679
$
5,002
$
9,374
$
4,277
$
20,053
$
9,279
Gross margin on GAAP basis
34
%
1
%
29
%
(2
)%
31
%
(1
)%
Gross margin on non-GAAP basis
40
%
26
%
36
%
25
%
38
%
25
%
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Ouster (NYSE:OUST)
過去 株価チャート
から 10 2024 まで 11 2024
Ouster (NYSE:OUST)
過去 株価チャート
から 11 2023 まで 11 2024
