Solésence Reports Record Fourth Quarter and Full-Year 2024 Financial Results

Rhea-AI Summary

Solésence (OTCQB: NANX) reported strong financial results for Q4 and full-year 2024. Fourth quarter revenue reached a record $12.6 million, up 58% year-over-year, with gross profit increasing 460% to $2.8 million. Q4 gross margin improved to 22% from 6% in 2023, though the company recorded a net loss of $0.6 million.

Full-year 2024 performance showed significant growth with revenue up 40% to $52.3 million. Gross profit more than doubled to $16.2 million, with margins expanding to 31%. The company achieved net income of $4.2 million, compared to a $4.4 million loss in 2023.

Operational highlights include doubled production capacity in Q4 2024, expanded batch-making capabilities supporting over $200 million in annual revenue potential, and the launch of over two dozen new SKUs. The company plans to pursue a NASDAQ uplisting in 2025 and is searching for a dedicated CFO.

Positive

• Record Q4 revenue of $12.6M, up 58% YoY
• Full-year revenue increased 40% to $52.3M
• Q4 gross profit up 460% to $2.8M
• Full-year gross margin improved to 31% from 21%
• Turned $4.4M loss in 2023 to $4.2M profit in 2024
• Production capacity expanded to support $200M annual revenue
• Doubled unit volume production in Q4 2024 vs Q4 2023

Negative

• Q4 2024 net loss of $0.6M
• Q4 gross margin at 22% still relatively low

Fourth quarter revenue increased 58% to a record $12.6 million

Full Year 2024 revenue increased 40% to a record $52.3 million

ROMEOVILLE, Ill., March 26, 2025 (GLOBE NEWSWIRE) -- Solésence, Inc. (OTCQB: NANX), a leader in scientifically-driven health care solutions across beauty and life science categories, today announced financial results for the fourth quarter and year ended December 31, 2024.   

Recent Highlights and Accomplishments

• Company rebranded as Solésence, Inc., marking a new era of innovation, self-expression, and inclusivity in skin health. The move reflects the success of its consumer products strategy, fueled by its suite of transformative skin health technologies, including award-winning Kleair™.
• Solésence launched a new investor relations website designed to provide current and prospective investors with streamlined access to financial reports, historical disclosures, leadership profiles, and key company updates.
• Au Lait Face Milk SPF 50+ featuring Solésence Kleair™ technology was named winner in the best prestige finished formula category at the 2025 Cosmetics & Toiletries (C&T) Allē Awards.
  

“We are very pleased to report record revenue for both the fourth quarter and full year 2024,” said Jess Jankowski, President, Chief Executive Officer, and Chief Financial Officer of Solésence. “Our strong fourth-quarter results were driven by a shift in customer mix and the timing of key product launches, which, unlike previous years, occurred in the fourth quarter rather than the first. This performance highlights the strength of our customer partnerships and the increasing demand for our innovative skin health solutions.

“We are incredibly proud to report a 40% increase in annual revenue over the prior year. This achievement is a testament to the hard work and dedication of our employees, whose efforts enabled us to meet increased customer demand and contributed to our positive operating cash flow,” said Kevin Cureton, Chief Operating Officer. “As we carry this momentum into 2025, we continue to make meaningful investments in operations, R&D, and our team, positioning us to scale for long-term growth.”

“Given the success of our commercial strategy and the related growth, the Company has decided to pursue an uplisting to the NASDAQ market in 2025, subject to eligibility. As part of this effort and additional related requirements we are anticipating, we also are beginning the search for a dedicated Chief Financial Officer,” said Mr. Jankowski.

Summary Fourth Quarter 2024 Financial Results

Fourth Quarter Financial Highlights

• Revenue for the fourth quarter increased 57.5% to a record $12.6 million, compared to $8.0 million for the same period in 2024.
• Gross profit increased 460% in the fourth quarter to a record $2.8 million, compared to $0.5 million for the same period in 2023.
• Gross margin in the fourth quarter was 22%, compared to 6% for the same period in 2023. 
• Net loss for the fourth quarter was $0.6 million, compared to a net loss of $2.1 million for the same period in 2023.  

Summary Full Year 2024 Financial Results

• Revenue for the twelve months ended December 31, 2024, was a record $52.3 million compared to $37.3 million, a 40% increase over the same period in 2023. 
• Gross profit for the twelve months ended December 31, 2024, was $16.2 million, compared to $7.8 million, a 107% increase over the same period in 2023.
• Gross margin for the twelve months ended December 31, 2024, was 31%, compared to 21% for the same period in 2023. 
• Net income for the twelve months ended December 31, 2024, was $4.2 million, compared to a net loss of $4.4 million in the same period in 2023. 

 Operational Highlights

• Initiated expanded batch-making capabilities at our Bolingbrook facility, adding infrastructure for six production suites and increasing capacity to support over $200 million in annual revenue from the consumer products line.
• Produced twice the unit volume in the fourth quarter of 2024 compared to the fourth quarter of 2023.
• Launched over two dozen new SKUs across prestige and mass beauty categories, including a new EU-focused brand.
  

Conference Call

Solésence will host its fourth quarter conference call on Thursday, March 27, 2025, at 7:00 a.m. CDT, 8:00 a.m. EDT, to discuss its financial results and provide a business and financial update. On the call will be Jess Jankowski, President, CEO, and CFO, and Kevin Cureton, Chief Operating Officer. 

Webcast Link: https://edge.media-server.com/mmc/p/5vfh7m2x

Dial-In Link: https://register-conf.media-server.com/register/BIcd1760ffa58444b1967f8887796d1b08

To receive the dial-in number, as well as your personalized PIN, you must register at the above link. Once registered, you will also have the option to have the system dial-out to you once the conference call begins. If you forget your PIN prior to the conference call, you can simply re-register.

The call may also be accessed through the company’s investor relations website, at https://ir.solesence.com/. Please join the conference call at least five minutes before prior to the start time.

FINANCIAL RESULTS AND NON-GAAP INFORMATION

Use of Non-GAAP Financial Information

Solésence believes that the presentation of results excluding certain items, such as non-cash equity compensation charges, provides meaningful supplemental information to both management and investors, facilitating the evaluation of performance across reporting periods. The Company uses these non-GAAP measures for internal planning and reporting purposes. These non-GAAP measures are not in accordance with, or an alternative for, Generally Accepted Accounting Principles (“GAAP”) and may be different from non-GAAP measures used by other companies. The presentation of this additional information is not meant to be considered in isolation or as a substitute for net income or net income per share prepared in accordance with GAAP.

About Solésence, Inc.

Solésence, Inc. (OTCQB: NANX), is a leader in scientifically-driven health care solutions across beauty and life science categories. With a mission to deliver joy through innovation, inclusivity and the science of beautiful skin, we have redefined mineral-based sun protection by maximizing transparency, effectiveness, aesthetics, and wearability — empowering individuals to embrace beauty on their own terms. Combining best-in-class skin health solutions with the celebration of self-care, we allow brands to deliver unique product claims and attributes by seamlessly integrating protection, prevention, and treatment technologies into daily use products. Learn more at solesence.com.

Forward-Looking Statements

This press release contains words such as “expects,” “shall,” “will,” “believes,” and similar expressions that are intended to identify forward-looking statements within the meaning of the Safe Harbor Provisions of the Private Securities Litigation Reform Act of 1995. Such statements in this announcement are made based on the Company’s current beliefs, known events and circumstances at the time of publication, and as such, are subject in the future to unforeseen risks and uncertainties that could cause the Company’s results of operations, performance, and achievements to differ materially from current expectations expressed in, or implied by, these forward-looking statements. These risks and uncertainties include, without limitation, the following: a decision by a customer to cancel a purchase order or supply agreement in light of the Company’s dependence on a limited number of key customers; uncertain demand for, and acceptance of, the Company’s engineered materials, ingredients, and fully formulated products; the Company’s manufacturing capacity and product mix flexibility in light of customer demand; the Company’s limited marketing experience; changes in development and distribution relationships; the impact of competitive products and technologies; the Company’s dependence on patents and protection of proprietary information; the resolution of litigation in which the Company may become involved; the impact of any potential new government regulations that could be difficult to respond to or too costly to comply with while remaining financially viable; the ability of the Company to maintain an appropriate electronic trading venue; and other factors described in the Company’s Form 10-K filed March 28, 2024. In addition, the Company’s forward-looking statements could be affected by general industry and market conditions and growth rates. Except as required by federal securities laws, the Company undertakes no obligation to update or revise these forward-looking statements to reflect new events, uncertainties, or other contingencies.  

Media Contact:
media@solesence.com

Investor Relations Contact:
investors@solesence.com
(630) 771-6736

NANOPHASE TECHNOLOGIES CORPORATION
CONSOLIDATED BALANCE SHEETS
(Unaudited Consolidated Condensed)
(in thousands except share and per share data)
			As of
			December 31,				December 31,
				2024				2023
ASSETS
Current assets:
	Cash		$	1,409			$	1,722
	Trade accounts receivable			5,655				3,692
	Allowance for credit losses			(786	)			(225	)
		Trade accounts receivable, net		4,869				3,467
	Inventories, net			20,267				10,031
	Prepaid expenses and other current assets			2,803				1,082
		Total current assets		29,348				16,302
	Equipment and leasehold improvements, net			12,734				8,668
	Operating leases, right of use			7,917				7,907
	Other assets, net			3				4
	Total assets		$	50,002			$	32,881
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
	Line of credit, accounts receivable, related party		$	-			$	2,810
	Current portion of line of credit, inventory, related party			4,000				5,000
	Current portion of debt, related parties			1,000				3,000
	Current portion of operating lease obligations			1,260				1,297
	Accounts payable			9,093				6,260
	Current portion of deferred revenue			5,571				2,353
	Accrued expenses			4,849				869
	Total current liabilities			25,773				21,589
	Long-term portion of finance lease obligations			-				-
	Long-term portion of operating lease obligations			9,037				9,152
	Long-term debt, related party			-				-
	Long-term portion of deferred revenue			-				-
	Asset retirement obligations			246				238
	Total long-term liabilities			9,283				9,390
Contingent liabilities
Stockholders' equity:
	Preferred stock, $.01 par value, 24,088 shares authorized and
		no shares issued and outstanding		-				-
	Common stock, $.01 par value, 95,000,000 and 60,000,000 shares authorized;
		70,103,279 and 49,627,254 shares issued and outstanding on December 31, 2024
		and December 31, 2023, respectively		700				496
	Additional paid-in capital			114,674				106,069
	Accumulated deficit			(100,428	)			(104,663	)
	Total stockholders' equity			14,946				1,902
	Total liabilities and shareholders' equity		$	50,002			$	32,881

NANOPHASE TECHNOLOGIES CORPORATION
CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited Consolidated Condensed)
(in thousands except share and per share data)
				Three months ended								Years ended
				December 31,								December 31,
					2024				2023			2024				2023
				(in thousands except share and per share data)
Revenue:
Product revenue				$	12,411			$	7,716			$	51,890		$	36,641
Other revenue					156				295				457			656
	Net revenue				12,567				8,011				52,347			37,297
Operating expense:
Cost of revenue					9,801				7,540				36,159			29,472
	Gross profit				2,766				471				16,188			7,825
Research and development expense					1,091				785				3,837			3,837
Selling, general and administrative expense					1,898				1,583				7,219			7,534
Income/(loss) from operations					(223	)			(1,897	)			5,132			(3,546	)
	Interest expense				108				225				670			838
	Other income, net				-				-				-			-
Income/(loss) before provision for income taxes					(331	)			(2,122	)			4,462			(4,384	)
Provision for income taxes					227				-				227			-
Net income/(loss)				$	(558	)		$	(2,122	)		$	4,235		$	(4,384	)
Net income per share-basic				$	(0.01	)		$	(0.04	)		$	0.07		$	(0.09	)
Weighted average number of basic shares outstanding					70,011,564				49,627,254				62,350,453			49,556,305
Net income per share-diluted				$	(0.01	)		$	(0.04	)		$	0.07		$	(0.09	)
Weighted average number of diluted shares outstanding					70,011,564				49,627,254				65,028,459			49,556,305
NANOPHASE TECHNOLOGIES CORPORATION
CONSOLIDATED STATEMENTS OF OPERATIONS - EXPANDED SCHEDULE
(Unaudited Consolidated Condensed)
(in thousands except share and per share data)
				Three months ended								Years ended
				December 31,								December 31,
					2024				2023			2024				2023
				(in thousands except share and per share data)
Revenue:
Product revenue, net				$	12,411			$	7,716			$	51,890		$	36,641
Other revenue					156				295				457			656
	Net revenue				12,567				8,011				52,347			37,297
Operating expense:
Cost of revenue detail:
Depreciation					217				205				881			686
Non-Cash equity compensation					44				26				123			111
Other costs of revenue					9,540				7,309				35,155			28,675
	Cost of revenue				9,801				7,540				36,159			29,472
		Gross profit			2,766				471				16,188			7,825
Research and development expense detail:
Depreciation					5				5				21			26
Non-Cash equity compensation					53				40				152			176
Other research and development expense					1,033				740				3,664			3,635
	Research and development expense				1,091				785				3,837			3,837
Selling, general and administrative expense detail:
Depreciation and amortization					6				8				26			30
Non-Cash equity compensation					151				114				449			488
Other selling, general and administrative expense					1,741				1,461				6,744			7,016
	Selling, general and administrative expense				1,898				1,583				7,219			7,534
Income/(loss) from operations					(223	)			(1,897	)			5,132			(3,546	)
Interest expense					108				225				670			838
Other income, net					-				-				-			-
Income/(loss) before provision for income taxes					(331	)			(2,122	)			4,462			(4,384	)
Provision for income taxes					227				-				227			-
Net income/(loss)				$	(558	)		$	(2,122	)		$	4,235		$	(4,384	)
Non-GAAP Disclosure (see note regarding Non-GAAP disclosures):
	Addback Interest, net				108				225				670			838
	Addback Depreciation/Amortization				228				218				928			742
	Addback Non-Cash Equity Compensation				248				180				724			775
	Addback Other Income, net				-				-				-			-
	Addback Provision for Income Taxes				261				-				227			-
	Adjusted EBITDA			$	253			$	(1,499	)		$	6,784		$	(2,029	)

FAQ

What was Solésence's (NANX) revenue growth in Q4 2024?

Solésence's Q4 2024 revenue grew 57.5% to $12.6 million, compared to $8.0 million in Q4 2023.

How much did Solésence (NANX) improve its gross margin in 2024?

Solésence's full-year gross margin improved to 31% in 2024 from 21% in 2023.

What is Solésence's (NANX) production capacity after recent expansions?

After expanding batch-making capabilities, Solésence can support over $200 million in annual revenue from consumer products.

When does Solésence (NANX) plan to uplist to NASDAQ?

Solésence plans to pursue a NASDAQ uplisting in 2025, subject to eligibility requirements.

How did Solésence (NANX) perform in terms of net income for full-year 2024?

Solésence achieved net income of $4.2 million in 2024, compared to a net loss of $4.4 million in 2023.