(Aspen Aerogels, 11.Jan.2024) — Aspen Aerogels, Inc. (NYSE: ASPN), a technology company in sustainability and electrification solutions, today announced preliminary full year 2023 revenue results, a preliminary 2024 revenue outlook, and the initial shipments through its supplemental aerogel supply for its Energy Industrial business.
Preliminary Full Year 2023 Revenues, 2024 Baseline Revenue Outlook
Fourth Quarter Revenues:
- Company revenues of $84mn, up 38% quarter-over-quarter
- PyroThin thermal barrier revenues of $53mn, up 61% quarter-over-quarter
- Energy Industrial revenues of $31mn, up 11% quarter-over-quarter
- Revenue run rate enabled positive adjusted EBITDA, but anticipating continued net loss
Full Year 2023 Revenues:
- Company revenues of $238mn, up 32% year-over-year
- PyroThin thermal barrier revenues of $110mn, up 98% year-over-year
- Energy Industrial revenues of $128mn, up 3% year-over-year despite capacity constraints
- 1.96X 2021’s revenues, effectively meeting a target set in early 2021 to double revenues by 2023
Current 2024 Baseline Revenue Outlook:
- Expecting revenues of $350mn with upside potential as EV production accelerates
- Resulting in potential for over 47% year-over-year revenue growth
Initial Shipments from Supplemental Supply
In the fourth quarter of 2023, the company successfully delivered Energy Industrial products to customers through its supplemental supply.
“The successful launch of our supplemental supply provides critical capacity that we believe will enable our Energy Industrial business to live up to its full demand potential,” commented Don Young, Aspen’s President and CEO.
“We are proud of the results that the team delivered in 2023 by effectively doubling our revenues in two years, a goal that we’ve been striving for since early 2021,” continued Mr. Young. “Our profitability profile is also vastly improved as we focus on driving to our gross margin and adjusted EBITDA margin targets of 35% and 25%, respectively.”
Ricardo C. Rodriguez, Chief Financial Officer and Treasurer added, “There’s potential for further growth beyond our current 2024 expectations. However, we remain cautious given the challenges that our customers face with launching and scaling new EV nameplates.”
“We believe our best hedge to this uncertainty is continuing to optimize our cost structure, maximize the potential of our Energy Industrial business, broaden our EV customer base, right-time capital expenditures, and identify further operating efficiencies,” continued Rodriguez. “We believe our Dec. 2023 registered direct financing of $75mn positions us to capture additional demand upside and fully funds our near-term objectives as we turn EBITDA positive. It is also enabling potential long-term reductions in our cost of capital.”
Aspen’s preliminary 2023 results are based solely on information currently available to management and are unaudited. This financial information does not represent a comprehensive statement of Aspen’s financial results for the fourth quarter or full year 2023 and remains subject to the completion of Aspen’s financial closing procedures and internal reviews. As a result, Aspen’s actual results for the fourth quarter and full year 2023 may vary materially from these preliminary estimates.
Aspen expects to release actual financial results for the fourth quarter on Monday, 12 Feb. 2024, following the market close.
With respect to the 2024 baseline revenue outlook, Aspen may experience other events in 2024, including those related to the planned capacity expansion, supply chain disruptions or further cost inflation, that could cause actual results to vary materially from this baseline revenue outlook.
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