Crown CEO Issues Update Letter to Shareholders
Crown Electrokinetics (OTC: CRKN) has provided a shareholder update following its recent Nasdaq delisting. The company has expanded its infrastructure business through Crown Construction, which now encompasses fiber optics, water service lines (Element 82), water intake solutions, and XXL pipelines.
Despite the delisting setback, Crown maintains a strong financial position with over $20 million in cash and no debt. The company reports no new share issuance post reverse split and highlights its stable trading on the OTC market. Crown emphasizes its focus on achieving sustained profitability to position for a future uplisting.
The company has assembled an experienced team of industry veterans and is actively pursuing multiple infrastructure project opportunities. Crown acknowledges that the construction industry operates on long lead times, affecting revenue growth timing. A detailed update on business performance and strategy will be provided in the upcoming earnings release and 10-K filing.
Crown Electrokinetics (OTC: CRKN) ha fornito un aggiornamento agli azionisti a seguito della recente esclusione dal Nasdaq. L'azienda ha ampliato la propria attività infrastrutturale attraverso Crown Construction, che ora comprende fibra ottica, linee di servizio idrico (Element 82), soluzioni per l'immissione dell'acqua e condotte XXL.
Nonostante l'impatto dell'esclusione, Crown mantiene una solida posizione finanziaria con oltre 20 milioni di dollari in contante e senza debiti. L'azienda non riporta nuove emissioni di azioni dopo il frazionamento inverso e sottolinea il suo trading stabile sul mercato OTC. Crown enfatizza il suo impegno nel raggiungere una redditività sostenibile per posizionarsi per una futura riqualificazione.
L'azienda ha assemblato un team esperto di veterani del settore e sta attivamente perseguendo molteplici opportunità di progetti infrastrutturali. Crown riconosce che l'industria delle costruzioni opera con tempi di attesa lunghi, influenzando i tempi di crescita dei ricavi. Un aggiornamento dettagliato sulle performance aziendali e sulla strategia sarà fornito nel prossimo rilascio dei risultati e nella registrazione 10-K.
Crown Electrokinetics (OTC: CRKN) ha proporcionado una actualización a los accionistas tras su reciente exclusión del Nasdaq. La compañía ha ampliado su negocio de infraestructura a través de Crown Construction, que ahora abarca fibra óptica, líneas de servicio de agua (Element 82), soluciones de entrada de agua y tuberías XXL.
A pesar del contratiempo de la exclusión, Crown mantiene una sólida posición financiera con más de 20 millones de dólares en efectivo y sin deudas. La compañía informa que no ha habido nuevas emisiones de acciones después de la división inversa y destaca su comercio estable en el mercado OTC. Crown enfatiza su enfoque en lograr una rentabilidad sostenida para posicionarse para una futura re-lista.
La compañía ha reunido un equipo experimentado de veteranos de la industria y está persiguiendo activamente múltiples oportunidades de proyectos de infraestructura. Crown reconoce que la industria de la construcción opera con largos plazos de entrega, lo que afecta el momento del crecimiento de los ingresos. Se proporcionará una actualización detallada sobre el rendimiento empresarial y la estrategia en el próximo lanzamiento de resultados y presentación del 10-K.
Crown Electrokinetics (OTC: CRKN)는 최근 나스닥 상장 폐지 이후 주주 업데이트를 제공했습니다. 이 회사는 Crown Construction을 통해 인프라 사업을 확장했으며, 현재 광섬유, 수돗물 서비스 라인(Element 82), 물 유입 솔루션 및 XXL 파이프라인을 포함하고 있습니다.
상장 폐지의 역경에도 불구하고, Crown은 2천만 달러 이상의 현금과 부채가 없는 강력한 재무 상태를 유지하고 있습니다. 이 회사는 역분할 이후 새로운 주식 발행이 없음을 보고하고 OTC 시장에서 안정적인 거래를 강조합니다. Crown은 향후 상장을 위해 지속 가능한 수익성을 달성하는 데 집중하고 있음을 강조합니다.
회사는 업계 베테랑들로 구성된 경험 많은 팀을 구성하였으며 여러 인프라 프로젝트 기회를 적극적으로 추구하고 있습니다. Crown은 건설 산업이 긴 리드 타임으로 운영되며, 이는 수익 성장의 시기에 영향을 미친다고 인정합니다. 비즈니스 성과 및 전략에 대한 자세한 업데이트는 다가오는 실적 발표 및 10-K 제출에서 제공될 것입니다.
Crown Electrokinetics (OTC: CRKN) a fourni une mise à jour aux actionnaires suite à son récent retrait de Nasdaq. L'entreprise a élargi ses activités d'infrastructure grâce à Crown Construction, qui comprend désormais la fibre optique, les conduites d'eau (Element 82), les solutions d'entrée d'eau et les pipelines XXL.
Malgré le revers du retrait, Crown maintient une solide position financière avec plus de 20 millions de dollars en espèces et sans dettes. L'entreprise ne signale aucune nouvelle émission d'actions après le fractionnement inversé et souligne son commerce stable sur le marché OTC. Crown met l'accent sur son objectif d'atteindre une rentabilité durable pour se positionner en vue d'une future réinscription.
L'entreprise a rassemblé une équipe expérimentée de vétérans de l'industrie et poursuit activement plusieurs opportunités de projets d'infrastructure. Crown reconnaît que l'industrie de la construction fonctionne avec de longs délais, ce qui affecte le calendrier de la croissance des revenus. Une mise à jour détaillée sur la performance de l'entreprise et la stratégie sera fournie dans le prochain rapport de résultats et le dépôt du 10-K.
Crown Electrokinetics (OTC: CRKN) hat nach der kürzlichen Delistung von Nasdaq ein Update für die Aktionäre bereitgestellt. Das Unternehmen hat sein Infrastrukturgeschäft durch Crown Construction erweitert, das jetzt Glasfaser, Wasserleitungen (Element 82), Wasserentnahmelösungen und XXL-Pipelines umfasst.
Trotz des Delistings bleibt Crown finanziell stark mit über 20 Millionen Dollar in bar und ohne Schulden. Das Unternehmen berichtet von keiner neuen Aktienemission nach dem Reverse Split und hebt den stabilen Handel auf dem OTC-Markt hervor. Crown betont seinen Fokus auf die Erzielung nachhaltiger Rentabilität, um sich für eine zukünftige Auflistung zu positionieren.
Das Unternehmen hat ein erfahrenes Team von Branchenexperten zusammengestellt und verfolgt aktiv mehrere Infrastrukturprojektchancen. Crown erkennt an, dass die Bauindustrie lange Vorlaufzeiten hat, was den Zeitpunkt des Umsatzwachstums beeinflusst. Ein detailliertes Update zur Unternehmensleistung und Strategie wird in der bevorstehenden Ergebnisveröffentlichung und der 10-K-Einreichung bereitgestellt.
- Strong cash position with over $20 million and no debt
- Expanded infrastructure business through Crown Construction
- No new share issuance post reverse split
- Maintained compliance with previous Nasdaq requirements before delisting
- Delisted from Nasdaq to OTC markets
- Long lead times in construction industry affecting revenue growth
- Currently in ramp-up phase with uncertain revenue timeline
Insights
Crown's delisting from Nasdaq represents a significant setback for the company's market visibility and investor access. Moving to the OTC markets typically results in reduced liquidity, decreased institutional investment, and less analyst coverage - all factors that could negatively impact valuation multiples and capital raising capabilities.
The $20+ million cash position with no debt provides important financial flexibility during this transition, particularly as Crown navigates the construction industry's notoriously long sales cycles. However, the absence of specific revenue figures, growth metrics, or contract values is concerning. The letter acknowledges the "ramp-up phase" in revenue growth, suggesting current financial performance may be underwhelming.
Crown's strategic pivot toward diversified infrastructure services through its expanded Construction division aligns with increasing government spending on critical infrastructure. The company's focus on water, utility, and communications networks positions it in sectors with substantial long-term demand drivers.
Most telling is what's missing from this update - concrete financial projections, specific contract announcements, or detailed growth metrics. The emphasis on future potential rather than current performance suggests Crown is still early in its commercial development despite the optimistic narrative. Investors should carefully evaluate the upcoming 10-K filing for tangible evidence of business momentum to support the CEO's confidence.
Crown's expanded construction portfolio now encompasses several critical infrastructure segments with complementary capabilities. The integration of fiber optics, water service lines, water intake solutions, and large-diameter pipeline operations creates meaningful cross-selling opportunities across municipal and commercial clients.
The company's emphasis on recruiting "industry veterans" is strategically sound, as infrastructure contracts, particularly in water and communications, are heavily relationship-driven and often awarded based on demonstrated expertise. However, the letter lacks specifics about the team's backgrounds or named executive appointments that would substantiate this claim.
Crown correctly identifies the extended sales cycles endemic to infrastructure projects. Municipal water contracts frequently involve 12-18 month procurement processes followed by multi-year implementation timelines. This reality explains the CEO's cautious language about revenue growth, but it also highlights the need for substantial working capital to navigate these cycles - making the strong cash position particularly important.
The timing for Crown's infrastructure focus is opportune, with the Infrastructure Investment and Jobs Act allocating substantial funding to water infrastructure modernization and broadband deployment. However, competition for these contracts is intensifying, and Crown will face established competitors with longer track records. The upcoming 10-K should reveal whether Crown has begun converting its strategy into actual project wins.
LOS ANGELES, March 12, 2025 (GLOBE NEWSWIRE) -- Crown Electrokinetics Corp. (OTC: CRKN) ("Crown" or the "Company”), a leading provider of innovative technology infrastructure solutions that benefit communities and the environment, today provided a letter to shareholders from its CEO and Chairman, Doug Croxall.
Dear Fellow Shareholders,
Earlier this month, we were disappointed to be delisted from the Nasdaq despite taking diligent and strategic steps to meet the exchange’s listing requirements. While we will discuss our listing plans in more detail later, my primary focus today is on what truly matters – our business, our progress, and the opportunities that lie ahead.
At the end of 2024, we outlined the strong foundation we had built through Crown’s diversified businesses. I am pleased to report that we have further strengthened that foundation with the formation and expansion of Crown Construction, which now includes our fiber optics, water service lines (Element 82), water intake solutions (slant wells and reverse osmosis plants), and XXL pipelines businesses.
This expanded platform significantly enhances our ability to meet the increasing demand for critical infrastructure solutions. Crown Construction is positioned to play a vital role in modernizing the country’s water, utility, and communications networks – essential sectors that require urgent investment and innovation.
To that end, we have assembled a world-class team of industry veterans with proven track records in infrastructure development, engineering, and project execution. With a highly skilled workforce, advanced technology, and strong industry relationships, we are ready to secure and execute on projects that not only drive revenue but also support national infrastructure goals.
However, building a successful infrastructure business goes beyond assembling a skilled team. We are working to establish Crown’s reputation as an industry leader, ensuring that our brand becomes synonymous with innovation, reliability, and cutting-edge solutions. This means strategic marketing, business development, and relationship-building are all priorities as we work to secure a steady pipeline of new customer wins across all our construction businesses.
Our long-term objective is to build a sustainable, profitable business, and we are taking deliberate steps to achieve this. The construction industry operates on long lead times, and securing new contracts – particularly large-scale infrastructure projects – takes time. While we are currently in the running for multiple opportunities, the nature of the industry means we will experience a ramp-up phase reflected in our revenue growth. That said, the market opportunity across all our business lines is stronger than ever.
Despite the recent delisting, Crown remains in a strong financial position, with over
We firmly believe in the strength of our business model and the long-term value we are creating. While we continue executing our strategy, our priority remains achieving sustained profitability to position Crown for a successful uplisting. At the right time, and with our financial strength fully demonstrated, we intend to pursue an uplisting strategy that aligns with our long-term growth objectives and ensures we attract a strong institutional investor base.
We believe Crown today is a fundamentally stronger company than ever before. With a growing revenue base, expanding market opportunities, and a world-class team executing on critical infrastructure projects, we are confident in our trajectory. We will provide a detailed update on each of our businesses, financial performance, and growth strategy in our upcoming earnings release and 10-K filing later this month.
To our shareholders, thank you for your continued support. We remain focused on delivering long-term value and look forward to sharing updates on our progress.
Sincerely,
Doug Croxall
CEO and Chairman, Crown
About Crown
Crown is an innovative infrastructure solutions provider dedicated to benefiting communities and the environment. Operating across multiple businesses – Smart Windows, and Construction – Crown is developing and delivering cutting edge solutions that are challenging the status quo and redefining industry standards. For more information, please visit www.crownek.com.
Forward Looking Statements
Certain statements in this news release may be "forward-looking statements" (within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934 and the Private Securities Litigation Reform Act of 1995) regarding future events or Crown’s future financial performance that involve certain contingencies and uncertainties, including those discussed in Crown’s Annual Report on Form 10-K for the year ended December 31, 2023, and subsequent reports Crown files with the U.S. Securities and Exchange Commission from time to time, in the sections entitled “Management’s Discussion and Analysis of Financial Condition and Results of Operations” . Forward-looking statements include, but are not limited to, statements that express our intentions, beliefs, expectations, strategies, predictions, or any other statements relating to our future activities or other future events or conditions. These statements are based on current expectations, estimates and projections about our business based, in part, on assumptions made by management. These statements are not guarantees of future performance and involve risks, uncertainties and assumptions that are difficult to predict. Therefore, actual outcomes and results may, and are likely to, differ materially from what is expressed or forecasted in forward-looking statements due to numerous factors. Any forward-looking statements speak only as of the date of this news release and Crown Electrokinetic Corporation undertakes no obligation to update any forward-looking statement to reflect events or circumstances after the date of this news release.
This press release does not constitute a public offer of any securities for sale. Any securities offered privately will not be or have not been registered under the Act and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements.
For more information, please contact:
Investor Relations
ir@crownek.com
Public Relations
pr@crownek.com
FAQ
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