PROVIDENCE – Aspen Aerogels Inc. posted a loss of $19.5 million in the first quarter, or 59 cents per diluted share, compared with a $6.3 million loss, or 22 cents per diluted share, one year prior, the company reported Thursday.
The results missed Wall Street expectations. The average estimate of six analysts surveyed by Zacks Investment Research was for a loss of 47 cents per diluted share.
The company, which designs, develops and manufactures aerogel insulation and has a manufacturing facility in East Providence, said that revenue totaled $38.4 million in the quarter, up from $28.1 million in the first quarter of 2021. Five analysts surveyed by Zacks expected $32.5 million.
“Aspen is off to a strong start for the year,” Aspen CEO and President Don Young said in a statement. “Total first-quarter revenue grew 37% year over year and 22% sequentially, reflecting continued penetration in the EV [electric vehicle] market and healthy energy industrial growth.
“We significantly strengthened Aspen’s balance sheet during the quarter, with financings comprised of a $150 million follow-on investment from KSP [Koch Strategic Platforms] and $23.6 million raised through our ATM [at-the-market] equity offering. These investments increase the financial resources we have available to capitalize on significant opportunities in our commercial markets and give us improved flexibility with regard to the timing of future capital raises to support our planned growth.”
Aspen Aerogels expects full-year earnings to be $1.88 to $1.99 per share, with revenue in the range of $145 million to $155 million.
Aspen Aerogels shares have dropped 54% since the beginning of the year. In the final minutes of trading on April 27, shares hit $23.02, a climb of 16% in the last 12 months.
“Our growth targets remain unchanged for a doubling of revenue from 2021 to 2023 and tripling revenue from 2023 to 2025 to approximately $720 million. We are increasing our investment levels throughout the year to keep pace with the size and intensity of growth within our PyroThin thermal barrier business,” Young said. “Leveraging higher volumes, coupled with the impact of these investments, advances our path to profitability and sets the stage for strong revenue and profit growth through the decade.”
Material from the Associated Press was used in this report.
