One Stop Systems Reports Q3 2024 Results
One Stop Systems reported Q3 2024 results with consolidated revenue of $13.7 million, showing sequential growth from Q2. The OSS segment revenue increased 17.5% year-over-year, while Bressner segment experienced a decline due to European market softness. The company incurred a $6.1 million charge for obsolete inventory, resulting in a net loss of $6.8 million. Despite this, OSS maintained strong cash position of $12.6 million and expects Q4 2024 revenue of approximately $15.0 million, with OSS segment revenue projected over $7.0 million.
One Stop Systems ha riportato i risultati del terzo trimestre 2024 con un fatturato consolidato di $13,7 milioni, mostrando una crescita sequenziale rispetto al secondo trimestre. I ricavi del segmento OSS sono aumentati del 17,5% rispetto all'anno precedente, mentre il segmento Bressner ha subito un calo a causa della debolezza del mercato europeo. L'azienda ha sostenuto un costo di $6,1 milioni per inventario obsoleto, portando a una perdita netta di $6,8 milioni. Nonostante ciò, OSS ha mantenuto una solida posizione di liquidità di $12,6 milioni e prevede un fatturato per il quarto trimestre 2024 di circa $15,0 milioni, con ricavi del segmento OSS previsti superiori a $7,0 milioni.
One Stop Systems reportó resultados del tercer trimestre de 2024 con ingresos consolidados de $13.7 millones, mostrando un crecimiento secuencial con respecto al segundo trimestre. Los ingresos del segmento OSS aumentaron 17.5% interanual, mientras que el segmento Bressner experimentó una disminución debido a la debilidad del mercado europeo. La empresa incurrió en un cargo de $6.1 millones por inventario obsoleto, resultando en una pérdida neta de $6.8 millones. A pesar de esto, OSS mantuvo una sólida posición de efectivo de $12.6 millones y espera ingresos para el cuarto trimestre de 2024 de aproximadamente $15.0 millones, con ingresos del segmento OSS proyectados por encima de $7.0 millones.
One Stop Systems는 2024년 3분기 결과를 보고하며 통합 수익이 $13.7 백만에 달하며 2분기 대비 순성장세를 보였습니다. OSS 부문의 수익은 전년 대비 17.5% 증가하였고, 반면 Bressner 부문은 유럽 시장의 둔화로 인해 감소세를 보였습니다. 이 회사는 노후화된 재고로 인해 $6.1 백만의 비용을 감수했으며, 그 결과 순손실이 $6.8 백만에 이르렀습니다. 그럼에도 불구하고 OSS는 $12.6 백만의 강력한 현금 위치를 유지하고 있으며, 2024년 4분기 수익은 약 $15.0 백만으로 예상하며, OSS 부문의 수익은 7.0 백만 달러를 초과할 것으로 예상하고 있습니다.
One Stop Systems a publié ses résultats du troisième trimestre 2024, avec un chiffre d'affaires consolidé de 13,7 millions de dollars, montrant une croissance séquentielle par rapport au deuxième trimestre. Les revenus du segment OSS ont augmenté de 17,5 % par rapport à l'année précédente, tandis que le segment Bressner a connu un déclin en raison de la faiblesse du marché européen. L'entreprise a supporté une charge de 6,1 millions de dollars pour des stocks obsolètes, entraînant une perte nette de 6,8 millions de dollars. Malgré cela, OSS a conservé une solide position de trésorerie de 12,6 millions de dollars et s'attend à un chiffre d'affaires d'environ 15,0 millions de dollars pour le quatrième trimestre de 2024, avec des revenus du segment OSS projetés à plus de 7,0 millions de dollars.
One Stop Systems berichtete über die Ergebnisse des dritten Quartals 2024 mit einem konsolidierten Umsatz von $13,7 Millionen, der im Vergleich zum zweiten Quartal gewachsen ist. Der Umsatz im OSS-Segment stieg um 17,5% im Jahresvergleich, während das Bressner-Segment aufgrund der Marktsituation in Europa einen Rückgang erlitt. Das Unternehmen musste einen Aufwand von $6,1 Millionen für obsolete Bestände hinnehmen, was zu einem Nettoverlust von $6,8 Millionen führte. Trotz dessen hielt OSS eine starke Liquiditätsposition von $12,6 Millionen und erwartet im vierten Quartal 2024 Einnahmen von etwa $15,0 Millionen, wobei der Umsatz im OSS-Segment auf über $7,0 Millionen prognostiziert wird.
- OSS segment revenue grew 17.5% year-over-year
- OSS segment orders of $8.1 million exceeded quarterly revenue
- Gross margin excluding inventory charge improved to 32.0% from 26.6% year-over-year
- Strong cash position with $12.6 million in cash and short-term investments
- Projected Q4 2024 revenue growth to $15 million
- $6.1 million charge for obsolete inventory impacting gross margins
- Net loss increased to $6.8 million ($0.32 per share) from $3.6 million year-over-year
- Bressner segment revenue declined 12.2% year-over-year
- Total revenue decreased 17.1% for the nine-month period
- Operating expenses of $5.0 million despite 34.3% reduction
Insights
The Q3 results reveal a mixed financial picture with concerning elements. The 17.5% year-over-year growth in the OSS segment is promising, but the
The strategic pivot towards defense and AI edge computing markets shows early signs of traction, evidenced by the OSS segment's order momentum exceeding revenue for three consecutive quarters. However, the substantial inventory write-off signals significant miscalculation in market demand assessment. The
Momentum accelerating as OSS segment revenue for Q3 2024 increased
Consolidated revenue increased sequentially to
OSS segment orders of
Expects continued sequential growth with consolidated Q4 2024 revenue of approximately
ESCONDIDO, Calif., Nov. 06, 2024 (GLOBE NEWSWIRE) -- One Stop Systems, Inc. ("OSS" or the "Company") (Nasdaq: OSS), a leader in rugged Enterprise Class compute for artificial intelligence (AI), machine learning (ML) and sensor processing at the edge, reported results for the three- and nine-month periods ended September 30, 2024. Comparisons for the three- and nine-month periods are to the same year-ago periods unless otherwise noted.
“The growth strategies we are pursuing to take advantage of large, high-growth, and higher-margin market opportunities are taking hold, and positive momentum is building within our OSS segment. Higher OSS segment revenue helped offset continued softness in our Bressner segment, which remained impacted by sluggish economic activity in the European market. With year-to-date orders well in excess of revenue in our OSS segment, we believe that we are well positioned for sustainable revenue growth. We remain focused on converting our
During the third quarter, OSS incurred a
“With this inventory adjustment now behind us, I am encouraged by the improvement in OSS segment profitability during the quarter, reflecting our strategic focus on pursuing higher margin revenue opportunities in the commercial and defense markets. I believe OSS is well positioned for revenue growth and improving profitability in 2025 and beyond, supported by positive bookings, a growing backlog, and significant new business opportunities that are expected to close in the coming quarters,” concluded Mr. Knowles.
2024 Third-Quarter Financial Summary
Consolidated revenue was
The following table sets forth net revenue by segment for the three months ended September 30, 2024, and September 30, 2023:
Three Months Ended | ||||||||||||||
Entity: | September 30, 2024 | % of Net Revenue | September 30, 2023 | % of Net Revenue | % Change | |||||||||
OSS | $ | 6,460,290 | 47.2 | % | $ | 5,500,159 | 40.0 | % | 17.5 | % | ||||
Bressner | 7,240,807 | 52.8 | % | 8,248,004 | 60.0 | % | (12.2 | )% | ||||||
Total net revenue | $ | 13,701,097 | 100.0 | % | $ | 13,748,163 | 100.0 | % | (0.3 | )% |
During the third quarter ended September 30, 2024, OSS identified obsolete and slow-moving inventory associated with the transition of the Company’s business model and operating strategies, as well as slower adoption and movement in certain commercial and defense edge compute markets. As a result, during the 2024 third quarter, OSS took a charge of
Consolidated gross margin percentage was (12.5)%, compared to
On a segment basis, the Company’s OSS segment had a gross margin of (51.2)%, compared to
Total operating expenses decreased
OSS reported a net loss of
Adjusted EBITDA, a non-GAAP metric, was a loss of
As of September 30, 2024, OSS reported cash and short-term investments of
2024 Nine Months Financial Summary
Consolidated revenue was
The following table sets forth net revenue by segment for the nine months ended September 30, 2024, and September 30, 2023:
Nine Months Ended | ||||||||||||||
Entity: | September 30, 2024 | % of Net Revenue | September 30, 2023 | % of Net Revenue | % Change | |||||||||
OSS | $ | 17,516,196 | 44.3 | % | $ | 22,408,841 | 46.9 | % | (21.8 | )% | ||||
Bressner | 22,038,017 | 55.7 | % | 25,332,748 | 53.1 | % | (13.0 | )% | ||||||
Total net revenue | $ | 39,554,213 | 100.0 | % | $ | 47,741,589 | 100.0 | % | (17.1 | )% |
Consolidated gross margin percentage was
On a segment basis, the Company’s OSS segment had a gross margin of (0.2)%, compared to
Total operating expenses decreased
OSS reported a net loss of
Adjusted EBITDA, a non-GAAP metric, was a loss of
Outlook
OSS anticipates consolidated revenue of approximately
Conference Call
OSS will hold a conference call to discuss its results for the third quarter of 2024 followed by a question-and-answer period.
Date: Wednesday, November 6, 2024
Time: 10:00 a.m. ET (7:00 a.m. PT)
Toll-free dial-in: 1-800-717-1738
International dial-in: 1-646-307-1865
Conference ID: 13748 (required for entry)
Webcast: https://viavid.webcasts.com/starthere.jsp?ei=1692609&tp_key=bc360380ca
A replay of the call will be available after 1:00 p.m. ET on November 6, 2024, through November 20, 2024.
Toll-free replay: 1-844-512-2921
International replay: 1-412-317-6671
Passcode: 1113748
About One Stop Systems
One Stop Systems, Inc. (Nasdaq: OSS) is a leader in AI enabled solutions for the demanding ‘edge’. OSS designs and manufactures Enterprise Class compute and storage products that enable rugged AI, sensor fusion and autonomous capabilities without compromise. These hardware and software platforms bring the latest data center performance to harsh and challenging applications, whether they are on land, sea or in the air.
OSS products include ruggedized servers, compute accelerators, flash storage arrays, and storage acceleration software. These specialized compact products are used across multiple industries and applications, including autonomous trucking and farming, as well as aircraft, drones, ships and vehicles within the defense industry.
OSS solutions address the entire AI workflow, from high-speed data acquisition to deep learning, training and large-scale inference, and have delivered many industry firsts for industrial OEM and government customers.
As the fastest growing segment of the multi-billion-dollar edge computing market, AI enabled solutions require—and OSS delivers—the highest level of performance in the most challenging environments without compromise.
OSS products are available directly or through global distributors. For more information, go to www.onestopsystems.com. You can also follow OSS on X, YouTube, and LinkedIn.
Non-GAAP Financial Measures
We believe that the use of adjusted earnings before interest, taxes, depreciation and amortization, or adjusted EBITDA, is helpful for an investor to assess the performance of the Company. The Company defines adjusted EBITDA as income (loss) before interest, taxes, depreciation, amortization, acquisition expenses, impairment of long-lived assets, financing costs, fair value adjustments from purchase accounting, stock-based compensation expense and expenses related to discontinued operations.
Adjusted EBITDA is not a measurement of financial performance under generally accepted accounting principles in the United States, or GAAP. Because of varying available valuation methodologies, subjective assumptions and the variety of equity instruments that can impact a company’s non-cash operating expenses, we believe that providing a non-GAAP financial measure that excludes non-cash and non-recurring expenses allows for meaningful comparisons between our core business operating results and those of other companies, as well as providing us with an important tool for financial and operational decision making and for evaluating our own core business operating results over different periods of time.
Our adjusted EBITDA measure may not provide information that is directly comparable to that provided by other companies in our industry, as other companies in our industry may calculate non-GAAP financial results differently, particularly related to non-recurring, unusual items. Our adjusted EBITDA is not a measurement of financial performance under GAAP and should not be considered as an alternative to operating income or as an indication of operating performance or any other measure of performance derived in accordance with GAAP. We do not consider adjusted EBITDA to be a substitute for, or superior to, the information provided by GAAP financial results.
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | |||||||||||||||
2024 | 2023 | 2024 | 2023 | |||||||||||||
Net loss | $ | (6,815,384 | ) | $ | (3,638,608 | ) | $ | (10,499,551 | ) | $ | (6,438,616 | ) | ||||
Depreciation | 252,142 | 271,245 | 815,420 | 813,773 | ||||||||||||
Amortization of right-of-use assets | (10,739 | ) | 91,607 | 32,373 | 52,800 | |||||||||||
Stock-based compensation expense | 458,011 | 518,680 | 1,423,949 | 1,890,897 | ||||||||||||
Interest expense | 16,465 | 31,468 | 70,910 | 88,112 | ||||||||||||
Interest income | (116,596 | ) | (170,420 | ) | (376,940 | ) | (385,471 | ) | ||||||||
Impairment of goodwill | - | 2,930,788 | - | 5,630,788 | ||||||||||||
Employee retention credit (ERC) | - | (418,486 | ) | - | (1,716,727 | ) | ||||||||||
Provision for income taxes | 167,086 | 226,967 | 569,382 | 885,332 | ||||||||||||
Adjusted EBITDA | $ | (6,049,015 | ) | $ | (156,759 | ) | $ | (7,964,457 | ) | $ | 820,888 | |||||
FOOTNOTE: Adjusted EBITDA for the third quarter and nine months ended September 30, 2024, included an inventory charge of
Non-GAAP EPS excludes the impact of certain items, and therefore, has not been calculated in accordance with GAAP. We believe that exclusion of certain selected items assists in providing a more complete understanding of our underlying results and trends and allows for comparability with our peer company index and industry. We use this measure along with the corresponding GAAP financial measures to manage our business and to evaluate our performance compared to prior periods and the marketplace. The Company defines non-GAAP income (loss) as income or (loss) before amortization, stock-based compensation, expenses related to discontinued operations, impairment of long-lived assets and non-recurring acquisition costs. Adjusted EPS expresses adjusted income (loss) on a per share basis using weighted average diluted shares outstanding.
Adjusted EPS is a non-GAAP financial measure and should not be considered in isolation or as a substitute for financial information provided in accordance with GAAP. These non-GAAP financial measures may not be computed in the same manner as similarly titled measures used by other companies. We expect to continue to incur expenses similar to the adjusted income from continuing operations and adjusted EPS financial adjustments described above, and investors should not infer from our presentation of these non-GAAP financial measures that these costs are unusual, infrequent or non-recurring.
The following table reconciles non-GAAP net income and basic and diluted earnings per share:
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | |||||||||||||||
2024 | 2023 | 2024 | 2023 | |||||||||||||
Net loss | $ | (6,815,384 | ) | $ | (3,638,608 | ) | $ | (10,499,551 | ) | $ | (6,438,616 | ) | ||||
Amortization of intangibles | - | 10,538 | - | 42,154 | ||||||||||||
Impairment of goodwill | - | 2,930,788 | - | 5,630,788 | ||||||||||||
Employee retention credit (ERC) | - | (418,486 | ) | - | (1,716,727 | ) | ||||||||||
Stock-based compensation expense | 458,011 | 518,680 | 1,423,949 | 1,890,897 | ||||||||||||
Non-GAAP net loss | $ | (6,357,373 | ) | $ | (597,088 | ) | $ | (9,075,602 | ) | $ | (591,504 | ) | ||||
Non-GAAP net loss per share: | ||||||||||||||||
Basic | $ | (0.30 | ) | $ | (0.03 | ) | $ | (0.43 | ) | $ | (0.03 | ) | ||||
Diluted | $ | (0.30 | ) | $ | (0.03 | ) | $ | (0.43 | ) | $ | (0.03 | ) | ||||
Weighted average common shares outstanding: | ||||||||||||||||
Basic | 21,049,270 | 20,569,111 | 20,897,324 | 20,407,284 | ||||||||||||
Diluted | 21,049,270 | 20,569,111 | 20,897,324 | 20,407,284 | ||||||||||||
FOOTNOTE: Non-GAAP net loss for the third quarter and nine months ended September 30, 2024, included an inventory charge of
Forward-Looking Statements
One Stop Systems cautions you that statements in this press release that are not a description of historical facts are forward-looking statements. These statements are based on the company's current beliefs and expectations. The inclusion of forward-looking statements should not be regarded as a representation by One Stop Systems or its partners that any of our plans or expectations will be achieved. Actual results may differ from those set forth in this press release due to the risk and uncertainties inherent in our business, including risks described in our prior press releases and in our filings with the Securities and Exchange Commission (SEC), including under the heading "Risk Factors" in our latest Annual Report on Form 10-K and any subsequent filings with the SEC. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof, and the company undertakes no obligation to revise or update this press release to reflect events or circumstances after the date hereof. All forward-looking statements are qualified in their entirety by this cautionary statement, which is made under the safe harbor provisions of the Private Securities Litigation Reform Act of 1995.
Media Contacts:
Robert Kalebaugh
One Stop Systems, Inc.
Tel (858) 518-6154
Email contact
Investor Relations:
Andrew Berger
Managing Director
SM Berger & Company, Inc.
Tel (216) 464-6400
Email contact
ONE STOP SYSTEMS, INC. (OSS) CONSOLIDATED BALANCE SHEETS | ||||||||
Unaudited | Audited | |||||||
September 30, | December 31, | |||||||
2024 | 2023 | |||||||
ASSETS | ||||||||
Current assets | ||||||||
Cash and cash equivalents | $ | 9,402,608 | $ | 4,048,948 | ||||
Short-term investments | 3,180,213 | 7,771,820 | ||||||
Accounts receivable, net | 9,327,339 | 8,318,247 | ||||||
Inventories, net | 15,300,745 | 21,694,748 | ||||||
Prepaid expenses and other current assets | 960,236 | 611,066 | ||||||
Total current assets | 38,171,141 | 42,444,829 | ||||||
Property and equipment, net | 1,858,348 | 2,370,224 | ||||||
Operating lease right-of use assets | 1,609,278 | 1,922,784 | ||||||
Deposits and other | 38,093 | 38,093 | ||||||
Deferred tax asset, net | 507,187 | - | ||||||
Goodwill | 1,489,722 | 1,489,722 | ||||||
Total Assets | $ | 43,673,769 | $ | 48,265,652 | ||||
LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||||
Current liabilities | ||||||||
Accounts payable | $ | 4,059,675 | $ | 1,201,781 | ||||
Accrued expenses and other liabilities | 6,000,188 | 3,202,519 | ||||||
Current portion of operating lease obligation | 320,731 | 390,926 | ||||||
Current portion of notes payable | 1,114,291 | 2,077,895 | ||||||
Total current liabilities | 11,494,885 | 6,873,121 | ||||||
Deferred tax liability, net | - | 44,673 | ||||||
Operating lease obligation, net of current portion | 1,554,580 | 1,765,536 | ||||||
Total liabilities | 13,049,465 | 8,683,330 | ||||||
Commitments and contingencies | ||||||||
Stockholders’ equity | ||||||||
Common stock, 21,114,534 and 20,661,341 shares issued and outstanding, respectively | 2,111 | 2,066 | ||||||
Additional paid-in capital | 48,562,761 | 47,323,673 | ||||||
Accumulated other comprehensive income | 977,710 | 675,310 | ||||||
Accumulated deficit | (18,918,278 | ) | (8,418,727 | ) | ||||
Total stockholders’ equity | 30,624,304 | 39,582,322 | ||||||
Total Liabilities and Stockholders' Equity | $ | 43,673,769 | $ | 48,265,652 | ||||
ONE STOP SYSTEMS, INC. (OSS) UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS | ||||||||||||||||
For the Three Months Ended September 30, | For the Nine Months Ended September 30, | |||||||||||||||
2024 | 2023 | 2024 | 2023 | |||||||||||||
Revenue: | ||||||||||||||||
Product | $ | 12,682,241 | $ | 13,632,223 | $ | 36,722,411 | $ | 46,865,026 | ||||||||
Customer funded development | 1,018,856 | 115,940 | 2,831,802 | 876,563 | ||||||||||||
13,701,097 | 13,748,163 | 39,554,213 | 47,741,589 | |||||||||||||
Cost of revenue: | ||||||||||||||||
Product | 14,601,408 | 10,074,304 | 32,123,488 | 33,678,209 | ||||||||||||
Customer funded development | 817,427 | 22,508 | 2,091,907 | 543,329 | ||||||||||||
15,418,835 | 10,096,812 | 34,215,395 | 34,221,538 | |||||||||||||
Gross (loss) profit | (1,717,738 | ) | 3,651,351 | 5,338,818 | 13,520,051 | |||||||||||
Operating expenses: | ||||||||||||||||
General and administrative | 2,057,092 | 1,935,720 | 6,558,807 | 7,293,701 | ||||||||||||
Impairment of goodwill | - | 2,930,788 | - | 5,630,788 | ||||||||||||
Marketing and selling | 2,008,824 | 1,713,105 | 6,184,065 | 4,983,751 | ||||||||||||
Research and development | 950,373 | 1,053,852 | 2,846,852 | 3,203,830 | ||||||||||||
Total operating expenses | 5,016,289 | 7,633,465 | 15,589,724 | 21,112,070 | ||||||||||||
Loss from operations | (6,734,027 | ) | (3,982,114 | ) | (10,250,906 | ) | (7,592,019 | ) | ||||||||
Other income (expense), net: | ||||||||||||||||
Interest income | 116,596 | 170,420 | 376,940 | 385,471 | ||||||||||||
Interest expense | (16,465 | ) | (31,468 | ) | (70,910 | ) | (88,112 | ) | ||||||||
Employee retention credit (ERC) | - | 418,486 | - | 1,716,727 | ||||||||||||
Other income (expense), net | (14,402 | ) | 13,035 | 14,707 | 24,649 | |||||||||||
Total other income, net | 85,729 | 570,473 | 320,737 | 2,038,735 | ||||||||||||
Loss before income taxes | (6,648,298 | ) | (3,411,641 | ) | (9,930,169 | ) | (5,553,284 | ) | ||||||||
Provision for income taxes | 167,086 | 226,967 | 569,382 | 885,332 | ||||||||||||
Net loss | $ | (6,815,384 | ) | $ | (3,638,608 | ) | $ | (10,499,551 | ) | $ | (6,438,616 | ) | ||||
Net loss per share: | ||||||||||||||||
Basic | $ | (0.32 | ) | $ | (0.18 | ) | $ | (0.50 | ) | $ | (0.32 | ) | ||||
Diluted | $ | (0.32 | ) | $ | (0.18 | ) | $ | (0.50 | ) | $ | (0.32 | ) | ||||
Weighted average common shares outstanding: | ||||||||||||||||
Basic | 21,049,270 | 20,569,111 | 20,897,324 | 20,407,284 | ||||||||||||
Diluted | 21,049,270 | 20,569,111 | 20,897,324 | 20,407,284 |
ONE STOP SYSTEMS, INC. (OSS) UNAUDITED CONSOLIDATED STATEMENTS OF CASH FLOWS | ||||||||
For the Nine Months Ended September 30, | ||||||||
2024 | 2023 | |||||||
Cash flows from operating activities: | ||||||||
Net loss | $ | (10,499,551 | ) | $ | (6,438,616 | ) | ||
Adjustments to reconcile net loss to net cash provided by operating activities: | ||||||||
Deferred income taxes | (188,868 | ) | - | |||||
Loss (gain) on disposal of property and equipment | 354 | (92,147 | ) | |||||
Provision for bad debt | 40,000 | 30,488 | ||||||
Impairment of goodwill | - | 5,630,788 | ||||||
Warranty reserves | (45,000 | ) | (18,216 | ) | ||||
Amortization of intangibles | - | 42,154 | ||||||
Depreciation | 815,420 | 771,619 | ||||||
Amortization of right-of-use assets | 312,396 | 1,309,725 | ||||||
Inventory reserves | 7,351,278 | 1,026,501 | ||||||
Stock-based compensation expense | 1,423,949 | 1,890,897 | ||||||
Employee retention credit | - | (1,716,727 | ) | |||||
Changes in operating assets and liabilities: | ||||||||
Accounts receivable | (1,003,287 | ) | 2,639,125 | |||||
Inventories | (888,972 | ) | (2,614,194 | ) | ||||
Prepaid expenses and other current assets | (711,063 | ) | (1,018,286 | ) | ||||
Accounts payable | 2,823,183 | (1,309,295 | ) | |||||
Accrued expenses and other liabilities | 2,993,729 | 1,348,578 | ||||||
Operating lease liabilities | (280,023 | ) | (1,256,925 | ) | ||||
Net cash provided by operating activities | 2,143,545 | 225,469 | ||||||
Cash flows from investing activities: | ||||||||
Redemption of short-term investment grade securities | 4,592,052 | 672,865 | ||||||
Purchases of property and equipment, including capitalization of labor costs for test equipment and ERP | (298,789 | ) | (374,464 | ) | ||||
Net cash provided by investing activities | 4,293,263 | 298,401 | ||||||
Cash flows from financing activities: | ||||||||
Proceeds from exercise of stock options and warrants | 237,748 | 62,422 | ||||||
Payment of payroll taxes on net issuance of employee stock options | (422,564 | ) | (562,017 | ) | ||||
Repayments on notes payable | (959,373 | ) | (1,081,729 | ) | ||||
Employee retention credit benefit | - | 1,716,727 | ||||||
Net cash (used in) provided by financing activities | (1,144,189 | ) | 135,403 | |||||
Net change in cash and cash equivalents | 5,292,619 | 659,273 | ||||||
Effect of exchange rates on cash | 61,041 | (36,464 | ) | |||||
Cash and cash equivalents, beginning of period | 4,048,948 | 3,112,196 | ||||||
Cash and cash equivalents, end of period | $ | 9,402,608 | $ | 3,735,005 | ||||
FAQ
What was One Stop Systems (OSS) revenue in Q3 2024?
How much was the inventory charge for OSS in Q3 2024?
What is OSS's revenue guidance for Q4 2024?