Li-Cycle Reports Third Quarter 2024 Operational and Financial Results, Including Strong Revenue Growth and Lower Costs
Li-Cycle Holdings (NYSE: LICY) reported Q3 2024 financial results, highlighting a 79% year-over-year revenue growth to $8.4 million. The company secured a $475-million DOE loan facility and completed its Rochester Hub technical review, projecting annual production of up to 8,250 tonnes of lithium carbonate and 72,000 tonnes of MHP. A 100% off-take agreement was established with Glencore for MHP production. SG&A expenses decreased by 50% to $12.9 million. The company reported a net profit of $56.5 million, compared to a loss of $30.7 million in 2023. The total capital cost for the Rochester Hub project is estimated at $960 million, with approximately $487 million remaining to complete.
Li-Cycle Holdings (NYSE: LICY) ha riportato i risultati finanziari del terzo trimestre 2024, evidenziando una crescita dei ricavi del 79% anno su anno a 8,4 milioni di dollari. L'azienda ha ottenuto un prestito da 475 milioni di dollari dal DOE e ha completato la revisione tecnica del Rochester Hub, prevedendo una produzione annuale di fino a 8.250 tonnellate di carbonato di litio e 72.000 tonnellate di MHP. È stato stabilito un accordo di acquisto al 100% con Glencore per la produzione di MHP. Le spese SG&A sono diminuite del 50% a 12,9 milioni di dollari. L'azienda ha riportato un utile netto di 56,5 milioni di dollari, rispetto a una perdita di 30,7 milioni di dollari nel 2023. Il costo totale del capitale per il progetto Rochester Hub è stimato in 960 milioni di dollari, con circa 487 milioni di dollari rimanenti per il completamento.
Li-Cycle Holdings (NYSE: LICY) informó los resultados financieros del tercer trimestre de 2024, destacando un crecimiento del 79% en los ingresos interanual a 8,4 millones de dólares. La empresa aseguró una línea de crédito de 475 millones de dólares de DOE y completó la revisión técnica de su Rochester Hub, proyectando una producción anual de hasta 8.250 toneladas de carbonato de litio y 72.000 toneladas de MHP. Se estableció un acuerdo de compra del 100% con Glencore para la producción de MHP. Los gastos SG&A disminuyeron en un 50% a 12,9 millones de dólares. La empresa reportó una ganancia neta de 56,5 millones de dólares, en comparación con una pérdida de 30,7 millones de dólares en 2023. El costo total de capital para el proyecto Rochester Hub se estima en 960 millones de dólares, con aproximadamente 487 millones de dólares restantes para completar.
Li-Cycle Holdings (NYSE: LICY)는 2024년 3분기 재무 결과를 발표하며 전년 대비 79%의 수익 성장을 기록하여 840만 달러에 도달했다고 밝혔습니다. 이 회사는 4억 7500만 달러의 DOE 대출 시설을 확보하고 로체스터 허브의 기술 검토를 완료하여 연간 최대 8,250톤의 리튬 탄산염과 72,000톤의 MHP 생산을 계획하고 있습니다. MHP 생산을 위해 Glencore와 100% 구매 계약이 체결되었습니다. SG&A 비용은 50% 감소하여 1,290만 달러로 줄어들었습니다. 회사는 5,650만 달러의 순이익을 보고했으며, 이는 2023년 3,070만 달러의 손실에서 기인한 것입니다. 로체스터 허브 프로젝트의 총 자본 비용은 9억 6천만 달러로 추정되며, 완공을 위해 약 4억 8천7백만 달러가 남아 있습니다.
Li-Cycle Holdings (NYSE: LICY) a publié ses résultats financiers pour le troisième trimestre 2024, soulignant une croissance des revenus de 79 % d'une année sur l'autre, atteignant 8,4 millions de dollars. L'entreprise a sécurisé une ligne de crédit de 475 millions de dollars du DOE et a complété la révision technique de son Rochester Hub, projetant une production annuelle de jusqu'à 8 250 tonnes de carbonate de lithium et 72 000 tonnes de MHP. Un contrat d'achat à 100 % a été établi avec Glencore pour la production de MHP. Les dépenses SG&A ont diminué de 50 % pour atteindre 12,9 millions de dollars. L'entreprise a rapporté un bénéfice net de 56,5 millions de dollars, contre une perte de 30,7 millions de dollars en 2023. Le coût total du capital pour le projet Rochester Hub est estimé à 960 millions de dollars, avec environ 487 millions de dollars restant à compléter.
Li-Cycle Holdings (NYSE: LICY) hat die finanziellen Ergebnisse für das dritte Quartal 2024 veröffentlicht und ein Umsatzwachstum von 79 % im Jahresvergleich auf 8,4 Millionen Dollar hervorgehoben. Das Unternehmen hat eine Darlehensfazilität des DOE in Höhe von 475 Millionen Dollar gesichert und die technische Überprüfung seines Rochester-Hubs abgeschlossen, wobei eine jährliche Produktion von bis zu 8.250 Tonnen Lithiumcarbonat und 72.000 Tonnen MHP prognostiziert wird. Ein 100%iges Abnahmevereinbarung wurde mit Glencore für die MHP-Produktion etabliert. Die SG&A-Kosten sanken um 50 % auf 12,9 Millionen Dollar. Das Unternehmen meldete einen Nettogewinn von 56,5 Millionen Dollar im Vergleich zu einem Verlust von 30,7 Millionen Dollar im Jahr 2023. Die Gesamtkapitalkosten für das Projekt Rochester Hub werden auf 960 Millionen Dollar geschätzt, wobei noch etwa 487 Millionen Dollar für den Abschluss erforderlich sind.
- 79% year-over-year revenue growth to $8.4 million
- Secured $475 million DOE loan facility with attractive terms through 2040
- 50% reduction in SG&A expenses to $12.9 million
- Net profit of $56.5 million versus $30.7 million loss in 2023
- 100% off-take agreement secured with Glencore for MHP production
- Cash position decreased to $32.2 million from $57.0 million in previous quarter
- Remaining $487 million needed to complete Rochester Hub project
- $92 million in unpaid project commitments as of September 30, 2024
- Additional $173 million in reserve account requirements needed before first DOE loan advance
- Operations curtailed at Generation 2 New York Spoke
Insights
The Q3 2024 results reveal mixed signals for Li-Cycle. On the positive side, the company secured a significant
However, several concerns emerge: The company's cash position has declined to
The strategic pivot to MHP production alongside lithium carbonate at the Rochester Hub demonstrates market adaptability. The 100% off-take agreement with Glencore for MHP production provides important revenue visibility. The focus on Generation 3 Spokes and optimization initiatives, while closing less efficient Generation 1 and 2 facilities, shows pragmatic operational streamlining.
The increased focus on EV battery pack processing, with
Highlights
-
Closed an upsized
$475 -millionU.S. Department of Energy (“DOE”) to support development of the Company's Rochester Hub project; - Completed Rochester Hub internal technical review under the proposed mixed hydroxide precipitate (“MHP”) scope and expects annual production of up to approximately 8,250 tonnes of lithium carbonate and up to approximately 72,000 tonnes of MHP;
-
Secured
100% off-take agreement with Glencore Ltd. for the MHP production from the Rochester Hub on market terms; -
Achieved strong year-over-year revenue growth of
79% to$8.4 million -
Lowered selling, general & administrative ("SG&A") expenses by
50% year-over-year to$12.9 million - Prioritizing full financing package to support construction restart at the Rochester Hub and to satisfy requirements for first advance of the DOE loan facility; and
- Working to establish a self-sufficient and financially accretive Spoke business through optimization initiatives and focus on Generation 3 Spokes.
“We are pleased to report that Li-Cycle has achieved significant milestones to support the restart of construction at the Rochester Hub. In addition to closing the upsized
“We believe the completion of the DOE loan agreement and the continued support from partners like Glencore are strong endorsements of our technology, business model, and the key role that Li-Cycle will play to support the shift to electrification. We also thank the DOE for their continued support and are grateful for the bipartisan support for lithium-ion battery recycling and how it can underpin the development of a strong domestic battery supply chain.”
DOE ATVM Loan Facility Finalized
Li-Cycle entered into an agreement for a loan facility (“Loan Facility”) of up to
The Loan Facility has a final maturity of March 15, 2040, for an approximately 15-year term with attractive interest rates. The first advance under the DOE Loan Facility ("First Advance"), must occur on or prior to November 7, 2025, and is subject to satisfaction or waiver of certain conditions and requirements, including completing the Company’s base equity contribution (“BEC”) to the Rochester Hub project.
The BEC includes a requirement for the Company to settle commitments related to the Rochester Hub project for costs incurred but not yet paid (approximately
The Company is actively exploring additional financing and strategic alternatives for a complete funding package needed to restart the construction at the Rochester Hub (of which the Loan Facility is a key component) and for general corporate purposes. The funding package would assist in satisfying the conditions for First Advance under the Loan Facility, including funding the remaining BEC (which includes the reserve account requirements) and a minimum cash balance.
Rochester Hub Project
The Company has completed its internal technical review of the MHP scope for the Rochester Hub. Li-Cycle expects to produce up to approximately 8,250 tonnes of battery-grade lithium carbonate and up to approximately 72,000 tonnes of MHP annually at the Rochester Hub under the MHP scope. The project’s nameplate processing capacity remains at 35,000 tonnes of black mass annually.
The Company estimates the total capital cost of the Rochester Hub project through to mechanical completion to be approximately
Li-Cycle has also entered into an agreement with Glencore Ltd. (“Glencore”) covering the off-take of
| ___________________________ | ||
| 1 The Loan Facility reserve accounts required for First Advance includes reserves for project construction, project ramp-up, and Spoke capital expenditures. Funding of these reserve accounts does not constitute capital expenditure on the Rochester Hub project and the requirement to fund these reserve accounts is in addition to the total capital cost of the Rochester Hub project through to mechanical completion. The majority of these reserve account funds are expected to be released to the Company on or before the completion of the Rochester Hub project. |
Spoke Optimization
Li-Cycle continues to implement its Spoke optimization initiatives, which the Company believes will improve cash flows at its Generation 3 Spokes in
Commercial Highlights
Li-Cycle continued to gain commercial traction and focused on the processing of electric vehicle ("EV") battery packs to leverage the processing capabilities of the Company’s Generation 3 Spokes. Approximately
During the first nine months of 2024, Li-Cycle's largest customer source of revenue was a
Review of Q3 2024 Financial Results
The Company achieved strong year-over-year revenue growth of
Total cost of sales was slightly lower at
SG&A expenses decreased
Other income increased to
Net profit was
Adjusted EBITDA2 loss improved to
The Company incurred capital expenditures of
Balance Sheet Position
As of September 30, 2024, Li-Cycle had cash and cash equivalents of
Between August 12, 2024, and September 13, 2024, the Company raised
| ___________________________ | ||
| 2 Adjusted EBITDA is not a recognized measure under |
Webcast and Conference Call Information
On Thursday, November 7, 2024, at 4:30 p.m. Eastern Time, Company management will host a webcast and conference call to provide a business update including a review of these results. The related presentation materials for the webcast and conference call will be made available on the investor section of the Li-Cycle website: https://investors.li-cycle.com/overview/default.aspx
Investors may listen to the conference call live via audio-only webcast or through the following dial-in numbers:
International: Link to international dial-in numbers
Participant Code: 546174
Webcast: https://investors.li-cycle.com
A replay of the conference call/webcast will also be made available on the Investor Relations section of the Company’s website at https://investors.li-cycle.com.
About Li-Cycle Holdings Corp.
Li-Cycle (NYSE: LICY) is a leading global lithium-ion battery resource recovery company. Established in 2016, and with major customers and partners around the world, Li-Cycle’s mission is to recover critical battery-grade materials to create a domestic closed-loop battery supply chain for a clean energy future. The Company leverages its innovative, sustainable and patent-protected Spoke & Hub Technologies™ to recycle all different types of lithium-ion batteries. At our Spokes, or pre-processing facilities, we recycle battery manufacturing scrap and end-of-life batteries to produce black mass, a powder-like substance which contains a number of valuable metals, including lithium, nickel and cobalt. At our future Hubs, or post-processing facilities, we plan to process black mass to produce critical battery-grade materials, including lithium carbonate, for the lithium-ion battery supply chain. For more information, visit https://li-cycle.com/.
Results of Operations Summary1 |
|||||||||||||||||
|
Three months ended September 30, |
Nine months ended September 30, |
|||||||||||||||
$ millions, except per share data |
|
2024 |
|
|
2023 |
|
Change |
|
2024 |
|
|
2023 |
|
Change |
|||
Financial highlights |
|
|
|
|
|
|
|||||||||||
Revenue |
$ |
8.4 |
|
$ |
4.7 |
|
$ |
3.7 |
$ |
21.0 |
|
$ |
11.9 |
|
$ |
9.1 |
|
Cost of sales |
|
(20.0 |
) |
|
(20.1 |
) |
|
0.1 |
|
(57.3 |
) |
|
(59.4 |
) |
|
2.1 |
|
Selling, general and administrative expense |
|
(12.9 |
) |
|
(25.9 |
) |
|
13.0 |
|
(58.8 |
) |
|
(73.5 |
) |
|
14.7 |
|
Research and development |
|
(0.7 |
) |
|
(2.7 |
) |
|
2.0 |
|
(1.2 |
) |
|
(4.9 |
) |
|
3.7 |
|
Other income (expense) |
|
81.7 |
|
|
13.3 |
|
|
68.4 |
|
7.9 |
|
|
26.9 |
|
|
(19.0 |
) |
Income tax |
|
— |
|
|
— |
|
|
— |
|
— |
|
|
(0.1 |
) |
|
0.1 |
|
Net profit (loss) |
|
56.5 |
|
|
(30.7 |
) |
|
87.2 |
|
(88.4 |
) |
|
(99.1 |
) |
|
10.7 |
|
Adjusted EBITDA1 loss |
|
(21.7 |
) |
|
(41.4 |
) |
|
19.7 |
|
(72.5 |
) |
|
(120.4 |
) |
|
47.9 |
|
Profit (loss) per common share - basic and diluted |
|
2.43 |
|
|
(1.38 |
) |
|
3.82 |
|
(3.81 |
) |
|
(4.47 |
) |
|
0.65 |
|
Net cash used in operating activities |
$ |
(20.6 |
) |
$ |
(38.7 |
) |
$ |
18.1 |
$ |
(92.5 |
) |
$ |
(89.3 |
) |
$ |
(3.2 |
) |
|
|
|
|
|
|
|
|||||||||||
As at |
September 30, 2024 |
December 31, 2023 |
Change |
||||||||||||||
Cash and cash equivalents |
|
|
|
|
|
|
|||||||||||
Cash and cash equivalents balance2 |
$ |
32.2 |
$ |
70.6 |
$ |
(38.4) |
|||||||||||
1 |
|
Adjusted EBITDA is a non-GAAP financial measure and does not have a standardized meaning under |
2 |
|
Excludes restricted cash of |
Non-GAAP Financial Measures
Adjusted EBITDA (loss)
Li-Cycle reports its financial results in accordance with accounting principles generally accepted in
Li-Cycle defines Adjusted EBITDA as earnings before depreciation and amortization, interest expense (income), income tax expense (recovery) adjusted for items that are not considered representative of ongoing operational activities of the business and items where the economic impact of the transactions will be reflected in earnings in future periods. Adjustments relate to fair value loss on financial instruments, debt extinguishment loss and certain non-recurring expenses. Foreign exchange (gain) loss is excluded from the calculation of Adjusted EBITDA. The following table provides a reconciliation of net loss to Adjusted EBITDA (loss).
|
Three months ended September 30, |
Nine months ended September 30, |
||||||||||
Unaudited - $ millions |
|
2024 |
|
|
2023 |
|
|
2024 |
|
|
2023 |
|
Net profit (loss) |
$ |
56.5 |
|
$ |
(30.7 |
) |
$ |
(88.4 |
) |
$ |
(99.1 |
) |
Income tax |
|
— |
|
|
— |
|
|
— |
|
|
0.1 |
|
Depreciation and amortization |
|
4.4 |
|
|
2.5 |
|
|
11.2 |
|
|
6.4 |
|
Interest expense |
|
17.3 |
|
|
0.2 |
|
|
44.4 |
|
|
1.4 |
|
Interest income |
|
(0.5 |
) |
|
(2.5 |
) |
|
(2.0 |
) |
|
(11.7 |
) |
EBITDA profit (loss) |
$ |
77.7 |
|
$ |
(30.5 |
) |
$ |
(34.8 |
) |
$ |
(102.9 |
) |
Debt extinguishment loss |
|
— |
|
|
— |
|
|
58.9 |
|
|
— |
|
Restructuring fees adjustment1 |
|
(0.2 |
) |
|
— |
|
|
13.5 |
|
|
— |
|
Fair value gain on financial instruments2 |
|
(99.2 |
) |
|
(10.9 |
) |
|
(110.1 |
) |
|
(17.5 |
) |
Adjusted EBITDA (loss) |
$ |
(21.7 |
) |
$ |
(41.4 |
) |
$ |
(72.5 |
) |
$ |
(120.4 |
) |
1 |
|
Restructuring fees adjustment include: expense related to the workforce reduction approved by the Board on March 25, 2024 which provided certain executives and non-executives with contractual termination benefits as well as one-time termination benefits; Special Committee retainers; professional fees, including legal fees incurred as a result of the three shareholder suits and the mechanic’s liens filed following the construction pause at the Rochester Hub; and expenses related to the implementation of the Cash Preservation Plan. |
2 |
|
Fair value gain on financial instruments relates to convertible debt. |
Cautionary Notes - Forward-Looking Statements and Unaudited Results
Certain statements contained in this press release may be considered “forward-looking statements” within the meaning of the
These statements are based on various assumptions, whether or not identified in this communication, including but not limited to assumptions regarding the timing, scope and cost of Li-Cycle’s projects, including paused projects; the processing capacity and production of Li-Cycle’s facilities; Li-Cycle’s ability to source feedstock and manage supply chain risk; Li-Cycle’s ability to increase recycling capacity and efficiency; Li-Cycle’s ability to obtain financing on acceptable terms; the success of Li-Cycle's cash preservation plan; the outcome of the go-forward strategy of the Rochester Hub; Li-Cycle’s ability to retain and hire key personnel and maintain relationships with customers, suppliers and other business partners; expectations related to the outcome of future litigation; general economic conditions; currency exchange and interest rates; compensation costs; and inflation. There can be no assurance that such estimates or assumptions will prove to be correct and, as a result, actual results or events may differ materially from expectations expressed in or implied by the forward-looking statements.
These forward-looking statements are provided for the purpose of assisting readers in understanding certain key elements of Li-Cycle’s current objectives, goals, targets, strategic priorities, expectations and plans, and in obtaining a better understanding of Li-Cycle’s business and anticipated operating environment. Readers are cautioned that such information may not be appropriate for other purposes and is not intended to serve as, and must not be relied on, by any investor as a guarantee, an assurance, a prediction or a definitive statement of fact or probability.
Forward-looking statements involve inherent risks and uncertainties, most of which are difficult to predict and many of which are beyond the control of Li-Cycle and are not guarantees of future performance. Li-Cycle believes that these risks and uncertainties include, but are not limited to, the following: Li-Cycle’s inability to develop the Rochester Hub as anticipated or at all, and other future projects including its Spoke network expansion projects in a timely manner or on budget or that those projects will not meet expectations with respect to their productivity or the specifications of their end products; risk and uncertainties related to Li-Cycle’s ability to continue as a going concern; Li-Cycle’s insurance may not cover all liabilities and damages; Li-Cycle’s reliance on a limited number of commercial partners to generate revenue; Li-Cycle’s failure to effectively remediate the material weaknesses in its internal control over financial reporting that it has identified or its failure to develop and maintain a proper and effective internal control over financial reporting; and risks of litigation or regulatory proceedings that could materially and adversely impact Li-Cycle’s financial results. These and other risks and uncertainties related to Li-Cycle’s business are described in greater detail in the sections entitled "Item 1A. Risk Factors" and “Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operation—Key Factors Affecting Li-Cycle’s Performance” in its Annual Report on Form 10-K and the sections entitled "Part II. Other Information—Item 1A. Risk Factors" and “Part I. Financial Information—Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operation—Key Factors Affecting Li-Cycle’s Performance” in its Quarterly Reports on Form 10-Q, in each case filed with the
Li-Cycle assumes no obligation to update or revise any forward-looking statements, except as required by applicable laws. These forward-looking statements should not be relied upon as representing Li-Cycle’s assessments as of any date subsequent to the date of this press release.
Unaudited condensed consolidated interim balance sheets |
||||||
All dollar amounts presented are expressed in millions of US dollars except share and per share amounts |
||||||
|
September 30, |
December 31, |
||||
|
|
2024 |
|
2023 |
||
|
|
|
||||
Assets |
|
|
||||
Current assets |
|
|
||||
Cash and cash equivalents |
$ |
32.2 |
|
$ |
70.6 |
|
Restricted cash |
|
9.9 |
|
|
9.7 |
|
Accounts receivable, net |
|
8.2 |
|
|
1.0 |
|
Other receivables |
|
1.2 |
|
|
1.9 |
|
Prepayments, deposits and other current assets |
|
21.4 |
|
|
56.2 |
|
Inventories, net |
|
9.2 |
|
|
9.6 |
|
Total current assets |
|
82.1 |
|
|
149.0 |
|
|
|
|
||||
Non-current assets |
|
|
||||
Property, plant and equipment, net |
|
693.2 |
|
|
668.8 |
|
Operating lease right-of-use assets |
|
88.5 |
|
|
56.4 |
|
Finance lease right-of-use assets |
|
— |
|
|
2.2 |
|
Other assets |
|
6.8 |
|
|
9.6 |
|
|
|
788.5 |
|
|
737.0 |
|
Total assets |
$ |
870.6 |
|
$ |
886.0 |
|
|
|
|
||||
Liabilities |
|
|
||||
Current liabilities |
|
|
||||
Accounts payable |
$ |
105.1 |
|
$ |
134.5 |
|
Accrued liabilities |
|
24.2 |
|
|
17.6 |
|
Deferred revenue |
|
— |
|
|
0.2 |
|
Operating lease liabilities |
|
6.5 |
|
|
4.4 |
|
Total current liabilities |
|
135.8 |
|
|
156.7 |
|
|
|
|
||||
Non-current liabilities |
|
|
||||
Accounts payable |
|
3.3 |
|
|
— |
|
Deferred revenue |
|
5.8 |
|
|
5.3 |
|
Operating lease liabilities |
|
86.7 |
|
|
56.2 |
|
Finance lease liabilities |
|
— |
|
|
2.3 |
|
Convertible debt |
|
342.6 |
|
|
288.1 |
|
Asset retirement obligations |
|
1.1 |
|
|
1.0 |
|
|
|
439.5 |
|
|
352.9 |
|
Total liabilities |
$ |
575.3 |
|
$ |
509.6 |
|
Commitments and contingencies (Note 14) |
|
|
||||
Going concern (Note 1) |
|
|
||||
|
|
|
||||
Equity |
|
|
||||
Common stock and additional paid-in capital Authorized unlimited shares, Issued and outstanding - 23.2 million shares at September 30, 2024 (22.2 million shares at December 31, 2023) |
|
655.6 |
|
|
648.3 |
|
Accumulated deficit |
|
(360.0 |
) |
|
(271.6 |
) |
Accumulated other comprehensive loss |
|
(0.3 |
) |
|
(0.3 |
) |
Total equity |
|
295.3 |
|
|
376.4 |
|
Total liabilities and equity |
$ |
870.6 |
|
$ |
886.0 |
|
Li-Cycle Holdings Corp. |
||||||||||||
Unaudited condensed consolidated interim statements of operations and comprehensive loss |
||||||||||||
All dollar amounts presented are expressed in millions of US dollars except share and per share amounts |
||||||||||||
|
||||||||||||
|
For the three months ended September 30, 2024 |
For the three months ended September 30, 2023 |
For the nine months ended September 30, 2024 |
For the nine months ended September 30, 2023 |
||||||||
|
|
|
|
|
||||||||
Revenue |
|
|
|
|
||||||||
Product revenue |
$ |
4.4 |
|
$ |
3.5 |
|
$ |
11.5 |
|
$ |
9.7 |
|
Recycling service revenue |
|
4.0 |
|
|
1.2 |
|
|
9.5 |
|
|
2.2 |
|
Total revenue |
|
8.4 |
|
|
4.7 |
|
|
21.0 |
|
|
11.9 |
|
|
|
|
|
|
||||||||
Cost of sales |
|
|
|
|
||||||||
Cost of sales - Product revenue |
|
(19.4 |
) |
|
(20.1 |
) |
|
(54.3 |
) |
|
(59.4 |
) |
Cost of sales - Recycling service revenue |
|
(0.6 |
) |
|
— |
|
|
(3.0 |
) |
|
— |
|
Total cost of sales |
|
(20.0 |
) |
|
(20.1 |
) |
|
(57.3 |
) |
|
(59.4 |
) |
Selling, general and administrative expense |
|
(12.9 |
) |
|
(25.9 |
) |
|
(58.8 |
) |
|
(73.5 |
) |
Research and development |
|
(0.7 |
) |
|
(2.7 |
) |
|
(1.2 |
) |
|
(4.9 |
) |
Loss from operations |
$ |
(25.2 |
) |
$ |
(44.0 |
) |
$ |
(96.3 |
) |
$ |
(125.9 |
) |
|
|
|
|
|
||||||||
Other income (expense) |
|
|
|
|
||||||||
|
|
|
|
|
||||||||
Interest income |
|
0.5 |
|
|
2.5 |
|
|
2.0 |
|
|
11.7 |
|
Interest expense |
|
(17.3 |
) |
|
(0.2 |
) |
|
(44.4 |
) |
|
(1.4 |
) |
Foreign exchange gain (loss) |
|
(0.7 |
) |
|
0.1 |
|
|
(0.9 |
) |
|
(0.9 |
) |
Fair value gain on financial instruments |
|
99.2 |
|
|
10.9 |
|
|
110.1 |
|
|
17.5 |
|
Debt extinguishment loss (Note 11) |
|
— |
|
|
— |
|
|
(58.9 |
) |
|
— |
|
|
$ |
81.7 |
|
$ |
13.3 |
|
$ |
7.9 |
|
$ |
26.9 |
|
|
|
|
|
|
||||||||
Net profit (loss) before taxes |
$ |
56.5 |
|
$ |
(30.7 |
) |
$ |
(88.4 |
) |
$ |
(99.0 |
) |
Income tax |
|
— |
|
|
— |
|
|
— |
|
|
(0.1 |
) |
Net profit (loss) and comprehensive loss |
$ |
56.5 |
|
$ |
(30.7 |
) |
$ |
(88.4 |
) |
$ |
(99.1 |
) |
|
|
|
|
|
||||||||
Net profit (loss) and comprehensive profit (loss) attributable to |
|
|
|
|
||||||||
Shareholders of Li-Cycle Holdings Corp. |
|
56.5 |
|
|
(30.7 |
) |
|
(88.4 |
) |
|
(99.0 |
) |
Non-controlling interest |
|
— |
|
|
— |
|
|
— |
|
|
(0.1 |
) |
|
|
|
|
|
||||||||
Profit (loss) per common share - diluted |
2.15 |
(1.38 |
) | (3.81 |
) | (4.47 |
) | |||||
Profit (loss) per common share - basic |
2.43 |
(1.38 |
) | (3.81 |
) | (4.47 |
) | |||||
Li-Cycle Holdings Corp. |
|
|
||||
Unaudited condensed consolidated interim statements of cash flows |
||||||
All dollar amounts presented are expressed in millions of US dollars except share and per share amounts |
||||||
|
|
|
||||
|
For the nine months ended September 30, |
|||||
|
|
2024 |
|
2023 |
||
Operating activities |
|
|
||||
Net loss for the period |
$ |
(88.4 |
) |
$ |
(99.1 |
) |
Adjustments to reconcile net loss to net cash used in operating activities: |
|
|
||||
Share-based compensation |
|
6.1 |
|
|
10.7 |
|
Depreciation and amortization |
|
11.2 |
|
|
6.4 |
|
Foreign exchange loss on translation |
|
0.5 |
|
|
(0.3 |
) |
Fair value (gain) on financial instruments |
|
(110.1 |
) |
|
(17.5 |
) |
Bad debt expense |
|
— |
|
|
1.0 |
|
Adjustment to net realizable value |
|
(1.8 |
) |
|
4.4 |
|
Loss on write off of fixed assets |
|
0.1 |
|
|
— |
|
Interest and accretion on convertible debt |
|
44.4 |
|
|
1.4 |
|
Interest paid |
|
(0.8 |
) |
|
— |
|
Debt extinguishment loss |
|
58.9 |
|
|
— |
|
Non-cash lease expense |
|
(1.8 |
) |
|
0.1 |
|
|
|
(81.7 |
) |
|
(92.9 |
) |
Changes in working capital items: |
|
|
||||
Accounts receivable |
|
(7.2 |
) |
|
0.9 |
|
Other receivables |
|
0.7 |
|
|
6.4 |
|
Prepayments and deposits |
|
(1.2 |
) |
|
(15.3 |
) |
Inventories |
|
2.2 |
|
|
(0.8 |
) |
Deferred revenue |
|
0.3 |
|
|
5.3 |
|
Accounts payable and accrued liabilities |
|
(5.6 |
) |
|
7.1 |
|
Net cash used in operating activities |
$ |
(92.5 |
) |
$ |
(89.3 |
) |
|
|
|
||||
Investing activities |
|
|
||||
Purchases of property, plant, equipment, and other assets |
|
(20.6 |
) |
|
(290.8 |
) |
Net cash used in investing activities |
$ |
(20.6 |
) |
$ |
(290.8 |
) |
|
|
|
||||
Financing activities |
|
|
||||
Proceeds from convertible debt |
|
75.0 |
|
|
— |
|
Issuance of common shares |
|
1.2 |
|
|
— |
|
Payments of transaction costs |
|
(1.3 |
) |
|
— |
|
Purchase of non-controlling interest |
|
— |
|
|
(0.4 |
) |
Net cash provided (used in) by financing activities |
$ |
74.9 |
|
$ |
(0.4 |
) |
|
|
|
||||
Net change in cash, cash equivalents and restricted cash |
|
(38.2 |
) |
|
(380.5 |
) |
Cash, cash equivalents and restricted cash, beginning of period |
|
66.6 |
|
|
517.9 |
|
Cash, cash equivalents and restricted cash, end of period |
$ |
42.1 |
|
$ |
137.4 |
|
|
|
|
||||
Supplemental non-cash investing activities: |
|
|
||||
Purchases of property and equipment included in liabilities |
$ |
23.9 |
|
$ |
16.1 |
|
Supplemental information: |
|
|
||||
Bad debt recovery |
$ |
1.0 |
|
$ |
— |
|
View source version on businesswire.com: https://www.businesswire.com/news/home/20241107816898/en/
Investor Relations & Media
Louie Diaz
Sheldon D'souza
Investor Relations: investors@li-cycle.com
Media: media@li-cycle.com
Source: Li-Cycle Holdings Corp.
FAQ
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