Cyngn Reports First Quarter 2023 Financial Results
Quarterly revenue of
Cyngn 1Q23 Earnings Release (Graphic: Business Wire)
Recent Operating Highlights:
- Announced automated robotics sales veteran Chris Wright as Head of Sales
-
Delivered autonomous vehicles to
U.S Continental Inc., the first commercial deployment of the Company’s autonomous stockchasers - Hired Felix Singh as VP of Engineering Services to streamline deployment automation and expand customer technical support
- Announced the successful completion of Phase 2 of the multi-phase autonomous driving for mining project with a global mining vehicle OEM
- Released version 9.0 of the Company’s Enterprise Autonomy Suite (EAS)
“During the first quarter, we continued the strong progress we made during 2022,” said Lior Tal, Cyngn’s CEO. “We successfully completed the deployment of our autonomous stock chaser solution at
“We also made excellent progress on two funded projects to bring autonomous operations to forklifts and mining vehicles. We achieved new milestones on both projects and also increased the scope and length of the forklift engagement as we anticipate commercializing that project in 2024. The expansion of our product offering from stock chasers to forklifts and mining vehicles, are a testament to the power of EAS, how broadly it can be applied, and its huge potential. It is these strategic new development efforts in parallel with sales of our commercially released products that will continue to expand the industrial vehicle automation solutions that are available on the EAS platform.”
Financial Review
First Quarter ending March 31, 2023:
-
Revenue was
$0.9 million -
First quarter total costs and expenses were
$6.7 million $3.8 million $3.0 million $1.7 million $1.0 million $3.1 million -
Net loss for the first quarter of 2023 was
$5.6 million $3.8 million $0.17 $0.14
Balance sheet highlights:
Cyngn’s unrestricted cash and short-term investments at the end of the first quarter 2023 was
Conference Call and Webcast Information:
Cyngn will host a conference call at 1.30 p.m. PDT/4.30 p.m. EDT today (Wednesday, May 10, 2023), during which management will discuss the results of the fiscal first quarter ended March 31, 2023.
A live webcast of the call will be available on the Cyngn website under “Events & Presentations” or by clicking here.
To participate via telephone:
Toll-Free: |
877-407-0890 |
International: |
201-389-0918 |
Those who are unable to attend the live conference call may access the recording, approximately one hour after the conclusion of the call, at the above webcast link or at the “Investor Relations” page of the Company’s website (https://investors.cyngn.com/).
About Cyngn
Cyngn develops and deploys scalable, differentiated autonomous vehicle technology for industrial organizations. Cyngn’s self-driving solutions allow existing workforces to increase productivity and efficiency. The Company addresses significant challenges facing industrial organizations today, such as labor shortages, costly safety incidents, and increased consumer demand for eCommerce.
Cyngn’s DriveMod Kit can be installed on new industrial vehicles at end of line or via retrofit, empowering customers to seamlessly adopt self-driving technology into their operations without high upfront costs or the need to completely replace existing vehicle investments.
Cyngn’s flagship product, its Enterprise Autonomy Suite, includes DriveMod (autonomous vehicle system), Cyngn Insight (customer-facing suite of AV fleet management, teleoperation, and analytics tools), and Cyngn Evolve (internal toolkit that enables Cyngn to leverage data from the field for artificial intelligence, simulation, and modeling).
Find Cyngn on:
Website: https://cyngn.com
Twitter: http://twitter.com/cyngn
LinkedIn: https://www.linkedin.com/company/cyngn
YouTube: https://www.youtube.com/@cyngnhq
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, such as statements about the Company’s growth, ability to deliver sustainable long-term value, ability to respond to the changing environment, operational focus, strategic growth plans, product launches and corresponding revenue generation, operations and financial results. Forward-looking statements reflect current views with respect to future events and financial performance and therefore cannot be guaranteed. Such statements are based on the current expectations and certain assumptions of the Company’s management, and some or all of such expectations and assumptions may not materialize or may vary significantly from actual results. Actual results may also vary materially from forward-looking statements due to risks, uncertainties and other factors, known and unknown, including the risk factors described from time to time in the Company’s reports filed with the Securities and Exchange Commission, including, without limitation the risk factors discussed in the Company’s annual reports on Form 10-K and quarterly reports on Form 10-Q. The forward-looking statements are applicable only as of the date on which they are made, and the Company does not assume any obligation to update any forward-looking statements.
CYNGN INC. AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS |
||||||||
(Unaudited) |
||||||||
March 31, |
December 31, |
|||||||
|
2023 |
|
|
2022 |
|
|||
| Assets | ||||||||
| Current assets | ||||||||
| Cash | $ |
7,967,979 |
|
$ |
10,536,273 |
|
||
| Restricted cash |
|
- |
|
|
50,000 |
|
||
| Short-term investments |
|
8,988,753 |
|
|
12,064,337 |
|
||
| Prepaid expenses and other current assets |
|
1,384,996 |
|
|
1,126,137 |
|
||
| Total current assets |
|
18,341,728 |
|
|
23,776,747 |
|
||
| Property and equipment, net |
|
1,250,276 |
|
|
884,000 |
|
||
| Right of use asset, net |
|
233,167 |
|
|
371,189 |
|
||
| Intangible assets, net |
|
509,275 |
|
|
473,076 |
|
||
| Total Assets | $ |
20,334,446 |
|
$ |
25,505,012 |
|
||
| Liabilities and Stockholders' Equity | ||||||||
| Current liabilities | ||||||||
| Accounts payable | $ |
443,599 |
|
$ |
155,943 |
|
||
| Accrued expenses and other current liabilities |
|
231,735 |
|
|
854,920 |
|
||
| Operating lease liability, current portion |
|
238,600 |
|
|
376,622 |
|
||
| Total liabilities (all current) |
|
913,934 |
|
|
1,387,485 |
|
||
| Commitments and contingencies | ||||||||
| Stockholders' Equity | ||||||||
| Common stock, Par |
|
337 |
|
|
337 |
|
||
| Additional paid-in capital |
|
160,778,972 |
|
|
159,847,229 |
|
||
| Accumulated deficit |
|
(141,358,797 |
) |
|
(135,730,039 |
) |
||
| Total stockholders' equity |
|
19,420,512 |
|
|
24,117,527 |
|
||
| Total Liabilities and Stockholders' Equity | $ |
20,334,446 |
|
$ |
25,505,012 |
|
||
CYNGN INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) |
||||||||
| Three months ended | ||||||||
| March 31, | ||||||||
|
2023 |
|
|
2022 |
|
|||
| Revenue | $ |
872,800 |
|
$ |
- |
|
||
| Costs and expenses: | ||||||||
| Cost of revenue |
|
616,694 |
|
|
- |
|
||
| Research and development |
|
3,030,056 |
|
|
1,681,145 |
|
||
| General and administrative |
|
3,070,920 |
|
|
2,137,516 |
|
||
| Total costs and expenses |
|
6,717,670 |
|
|
3,818,661 |
|
||
| Loss from operations |
|
(5,844,870 |
) |
|
(3,818,661 |
) |
||
| Other income, net | ||||||||
| Interest income (expense) |
|
46,902 |
|
|
(379 |
) |
||
| Other income |
|
169,210 |
|
|
1 |
|
||
| Total other income, net |
|
216,112 |
|
|
(378 |
) |
||
| Net loss |
|
(5,628,758 |
) |
|
(3,819,039 |
) |
||
| Net loss per share attributable to ordinary stockholders, basic and diluted | $ |
(0.17 |
) |
$ |
(0.14 |
) |
||
| Weighted-average shares used in computing net loss per share attributable to ordinary stockholders, basic and diluted |
|
33,702,767 |
|
|
26,862,227 |
|
||
CYNGN INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) |
||||||||
| Three Months Ended | ||||||||
| March 31, | ||||||||
|
2023 |
|
|
2022 |
|
|||
| Cash flows from operating activities | ||||||||
| Net loss | $ |
(5,628,758 |
) |
$ |
(3,819,039 |
) |
||
| Adjustments to reconcile net loss to net cash used in operating activities: | ||||||||
| Depreciation and amortization |
|
228,031 |
|
|
69,054 |
|
||
| Stock-based compensation |
|
924,899 |
|
|
520,142 |
|
||
| Realized gain on short-term investments |
|
(169,210 |
) |
|
- |
|
||
| Changes in operating assets and liabilities: | ||||||||
| Prepaid expenses, operating lease right-of-use assets, and other current assets |
|
(258,859 |
) |
|
(808,350 |
) |
||
| Accounts payable |
|
287,656 |
|
|
(17,583 |
) |
||
| Accrued expenses, lease liabilities, and other current liabilities |
|
(761,207 |
) |
|
655,546 |
|
||
| Net cash used in operating activities |
|
(5,377,448 |
) |
|
(3,400,230 |
) |
||
| Cash flows from investing activities | ||||||||
| Purchase of property and equipment |
|
(447,739 |
) |
|
(226,906 |
) |
||
| Acquisition of intangible asset |
|
(44,745 |
) |
|
- |
|
||
| Purchase of short-term investments |
|
(10,497,206 |
) |
|
- |
|
||
| Proceeds from maturity of short-term investments |
|
13,742,000 |
|
|
- |
|
||
| Net cash provided by (used in) investing activities |
|
2,752,310 |
|
|
(226,906 |
) |
||
| Cash flows from financing activities | ||||||||
| Proceeds from exercise of stock options |
|
6,844 |
|
|
88,885 |
|
||
| Net cash provided by financing activities |
|
6,844 |
|
|
88,885 |
|
||
| Net decrease in cash and restricted cash |
|
(2,618,294 |
) |
|
(3,538,251 |
) |
||
| Cash and restricted cash, beginning of period |
|
10,586,273 |
|
|
21,995,981 |
|
||
| Cash and restricted cash, end of period | $ |
7,967,979 |
|
$ |
18,457,730 |
|
||
| Supplemental disclosure of cash flow: | ||||||||
| Cash paid during the period for interest and taxes | $ |
- |
|
$ |
- |
|
||
| Supplemental disclosure of non-cash activities: | ||||||||
| Initial recognition of operating lease right-of-use assets and operating lease liabilities | $ |
- |
|
$ |
824,292 |
|
||
| Change in deferred rent associated with ASC 842 |
|
- |
|
|
58,676 |
|
||
| Acquisition of property and equipment included in accounts payable and accrued expenses |
|
139,568 |
|
|
- |
|||
View source version on businesswire.com: https://www.businesswire.com/news/home/20230510005259/en/
Investor Contact: Ben Mimmack, ben.mimmack@cyngn.com
Media Contact: Bill Ong, bill@cyngn.com
Source: Cyngn Inc.
