ClearSign Technologies Corporation Provides Preliminary 2023 Financial Results
- ClearSign expects revenues of approximately $1.2 million during the fourth quarter of 2023, representing a significant increase from the previous year.
- The company reported a net loss for the year ended 2022 and estimates a preliminary net loss for the year ended December 31, 2023, ranging between $5.4 to $5.1 million.
- The success in completing its largest refinery heater installation and start-up project, as well as receiving third-party validation for emissions guarantees, has contributed to the revenue growth.
- ClearSign anticipates further growth in its installed base with multiple installations expected to come online in 2024, leading to increased market interest and product acceptance.
- None.
Insights
ClearSign Technologies Corporation's reported preliminary revenue of approximately $1.2 million for Q4 2023 marks a substantial increase from the $50 thousand reported in the same period the previous year. This surge is primarily attributed to the successful completion of a significant refinery heater installation. The year-on-year growth from $374 thousand to $2.3 million indicates a strong upward trajectory for the company's financial performance, reflecting positively on their market acceptance and growth strategy.
However, the reported estimated net loss ranging between $5.4 to $5.1 million, despite being slightly lower than the previous year's $5.8 million, suggests that while revenue is growing, the company is still in a phase where operational and development costs exceed revenue. Investors should consider the company's potential to scale and reduce losses over time, as the increased installed base could lead to higher revenue and margins in the future.
The emphasis on ClearSign's growing installed base indicates the company's strategic focus on market penetration and technology adoption. The acknowledgment of increased interest and acceptance in the market suggests that ClearSign's combustion and sensing technologies are gaining traction, potentially leading to a more sustainable competitive position.
It is important to note that the industrial combustion industry is subject to stringent regulatory standards, particularly concerning emissions. ClearSign's success in meeting emissions guarantees through third-party validation could serve as a key differentiator and drive future sales, as environmental regulations become increasingly strict.
The completion of ClearSign's largest refinery heater installation to date, with a successful third-party validation of emissions guarantees, is not just a financial milestone but also a significant technological and environmental achievement. This validation underscores the effectiveness of ClearSign's technologies in meeting regulatory emissions standards, which is crucial for the industry's shift towards more eco-friendly operations.
Given the global push towards reducing industrial emissions, ClearSign's proven track record could enhance its reputation and lead to potential partnerships, government incentives, or grants aimed at promoting cleaner technologies. This could further impact the company's financial stability and stock valuation positively in the long term.
Company Expects Revenues of Approximately
"During the fourth quarter of 2023, we successfully completed our largest refinery heater installation and start up to date and received third party validation confirming our emissions guarantees were achieved for this
"With a number of installations in both our boiler and process burner product lines anticipated to come online in 2024, we believe we are obtaining significant growth in our all-important installed base. This is producing more interest and acceptance of our products and of our capabilities in the market. We look forward to continuing to build on this momentum."
Preliminary revenues for the three months ended December 31, 2023 was approximately
Preliminary Unaudited Results for the Fourth Quarter and Fiscal Year Ended December 31, 2023:
Set forth above are certain estimated preliminary financial results for the fourth quarter and fiscal year ended December 31, 2023. These estimates are based on the information available to us at this time. Our actual results may vary from the estimated preliminary results presented here due to final adjustments and other developments that may arise between now and the time the financial results for the fiscal year ended December 31, 2023 are finalized. The estimated preliminary financial results have not been audited or reviewed by our independent registered public accounting firm. These estimates should not be viewed as a substitute for our full interim or annual financial statements. Accordingly, you should not place undue reliance on this preliminary data.
About ClearSign Technologies Corporation
ClearSign Technologies Corporation designs and develops products and technologies for the purpose of improving key performance characteristics of industrial and commercial systems, including operational performance, energy efficiency, emission reduction, safety and overall cost-effectiveness. Our patented technologies, embedded in established OEM products as ClearSign Core™ and ClearSign Eye™ and other sensing configurations, enhance the performance of combustion systems and fuel safety systems in a broad range of markets, including the energy (upstream oil production and down-stream refining), commercial/industrial boiler, chemical, petrochemical, transport and power industries. For more information, please visit www.clearsign.com.
Cautionary note on forward-looking statements
All statements in this press release that are not based on historical fact are "forward-looking statements." In this context, forward-looking statements often address expected future business and financial performance and financial condition, and often contain words such as "approximates," "believes," "hopes," "expects," "anticipates," "estimates," "projects," "intends," "plans," "would," "should," "could," "may," "will" or other similar expressions. While management has based any forward-looking statements included in this press release on its current expectations on the Company's strategy, plans, intentions, performance, or future occurrences or results, the information on which such expectations were based may change. These forward-looking statements rely on a number of assumptions concerning future events and are subject to a number of risks, uncertainties and other factors, many of which are outside of our control, that could cause actual results to materially differ from such statements. Such risks, uncertainties and other factors include, but are not limited to our ability to successfully complete installations of our products, general business and economic conditions, the performance of management and our employees, our ability to obtain financing, competition, whether our technology will be accepted and adopted and other factors identified in our Annual Report on Form 10-K filed with the Securities and Exchange Commission and available at www.sec.gov and other factors that are detailed in our periodic and current reports available for review at www.sec.gov. Furthermore, we operate in a competitive environment where new and unanticipated risks may arise. Accordingly, investors should not place any reliance on forward-looking statements as a prediction of actual results. We disclaim any intention to, and, except as may be required by law, undertake no obligation to, update or revise forward-looking statements to reflect events or circumstances that subsequently occur or of which we hereafter become aware.
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SOURCE ClearSign Technologies Corporation
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