Aspen Aerogels posts $3.2M loss in Q1; approved for PPP loan for R.I. affiliate

NORTHBOROUGH, Mass. – Aspen Aerogels Inc. reported a $3.2 million loss in the the first quarter of 2020, an improvement from a loss of $6 million one year prior, the company said Thursday.

Loss per diluted share was 13 cents, compared with a loss of 25 cents one year prior.

Revenue for the quarter was $28.4 million, an increase from $27.9 million.

The company, which designs, develops and manufactures aerogel insulation, has a manufacturing facility in East Providence.

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“First-quarter product revenue growth of 6% was driven by continued strong demand in our core U.S. petrochemical and refinery markets and significant growth in project related revenue from the PTT LNG Nong Fab receiving terminal project, partially offset by a decrease in project-based revenue in the subsea and Canadian markets,” said Don Young, president and CEO of Aspen Aerogels.

The company said that it remained operational despite the COVID-19 pandemic but had withdrawn its prior 2020 financial outlook, acknowledging the impacts of the virus on the business.

The company noted that its Rhode Island affiliate was approved for a $3.7 million Paycheck Protection Program loan from the U.S. Small Business Administration.

“In addition, in mid-March, we instituted wage decreases for executives and managers, eliminated annual pay raises for all employees, minimized discretionary expenses and reduced our planned 2020 capital expenditures,” said Young. “Our board of directors also elected to forgo cash compensation during the current period of business uncertainty. We are also prepared to temporarily curtail operations in our East Providence plant if necessary to ensure the safety of our employees or to align capacity with demand.”