FREYR Battery Reports Third Quarter 2024 Results

FREYR BATTERY, INC.

CONDENSED CONSOLIDATED BALANCE SHEETS

(In thousands, except per share data)

(Unaudited)

September 30,
2024

December 31,
2023

ASSETS

Current assets:

Cash and cash equivalents

$

181,851

$

253,339

Restricted cash

2,202

22,403

Prepaid assets

2,838

2,168

Other current assets

12,583

34,044

Total current assets

199,474

311,954

Property and equipment, net

368,342

366,357

Intangible assets, net

2,700

2,813

Long-term investments

21,819

22,303

Right-of-use asset under operating leases

22,640

24,476

Other long-term assets

10

4,282

Total assets

$

614,985

$

732,185

LIABILITIES AND STOCKHOLDERS' EQUITY

Current liabilities:

Accounts payable

$

10,080

$

18,113

Accrued liabilities and other

21,254

30,790

Share-based compensation liability

19

281

Total current liabilities

31,353

49,184

Warrant liability

721

2,025

Operating lease liability

16,775

18,816

Other long-term liabilities

27,446

27,444

Total liabilities

76,295

97,469

Commitments and contingencies

Stockholders' equity:

Preferred stock, $0.01 par value, 10,000 shares authorized, none issued and outstanding as of both September 30, 2024 and December 31, 2023

-

-

Common stock, $0.01 par value, 355,000 shares authorized as of both September 30, 2024 and December 31, 2023; 140,490 issued and outstanding as of September 30, 2024; and 139,705 issued and outstanding as of December 31, 2023

1,405

1,397

Additional paid-in capital

929,324

925,623

Accumulated other comprehensive loss

(34,035

)

(18,826

)

Accumulated deficit

(358,004

)

(274,999

)

Total stockholders' equity

538,690

633,195

Non-controlling interests

-

1,521

Total equity

538,690

634,716

Total liabilities and equity

$

614,985

$

732,185

FREYR BATTERY, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS

(In thousands, except per share amounts)

(Unaudited)

Three months ended
September 30,

Nine months ended
September 30,

2024

2023

2024

2023

Operating expenses:

General and administrative

$

18,515

$

27,772

$

61,386

$

85,405

Research and development

8,616

7,086

30,854

18,295

Restructuring charge

4,507

-

4,644

-

Share of net loss of equity method investee

150

153

484

208

Total operating expenses

31,788

35,011

97,368

103,908

Loss from operations

(31,788

)

(35,011

)

(97,368

)

(103,908

)

Other income (expense):

Warrant liability fair value adjustment

1,096

24,399

1,294

23,248

Interest income, net

1,074

1,284

3,627

6,042

Foreign currency transaction (loss) gain

(110

)

(3,213

)

1,245

20,546

Other income, net

2,172

2,537

7,806

6,103

Total other income

4,232

25,007

13,972

55,939

Loss before income taxes

(27,556

)

(10,004

)

(83,396

)

(47,969

)

Income tax expense

-

-

(11

)

(341

)

Net loss

(27,556

)

(10,004

)

(83,407

)

(48,310

)

Net loss attributable to non-controlling interests

81

219

402

517

Net loss attributable to stockholders

$

(27,475

)

$

(9,785

)

$

(83,005

)

$

(47,793

)

Weighted average shares outstanding - basic and diluted

140,490

139,705

140,102

139,705

Net loss per share attributable to stockholders - basic and diluted

$

(0.20

)

$

(0.07

)

$

(0.59

)

$

(0.34

)

Other comprehensive (loss) income:

Net loss

$

(27,556

)

$

(10,004

)

$

(83,407

)

$

(48,310

)

Foreign currency translation adjustments

5,973

6,134

(15,209

)

(48,009

)

Total comprehensive loss

$

(21,583

)

$

(3,870

)

$

(98,616

)

$

(96,319

)

Comprehensive loss attributable to non-controlling interests

81

219

402

517

Comprehensive loss attributable to stockholders

$

(21,502

)

$

(3,651

)

$

(98,214

)

$

(95,802

)

FREYR BATTERY, INC.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(In thousands)

(Unaudited)

Nine months ended
September 30,

2024

2023

Cash flows from operating activities:

Net loss

$

(83,407

)

$

(48,310

)

Adjustments to reconcile net loss to cash used in operating activities:

Share-based compensation expense

6,449

7,859

Depreciation and amortization

7,028

1,922

Reduction in the carrying amount of right-of-use assets

1,282

1,005

Warrant liability fair value adjustment

(1,294

)

(23,248

)

Share of net loss of equity method investee

484

208

Foreign currency transaction net unrealized gain

(1,075

)

(19,346

)

Other

-

(929

)

Changes in assets and liabilities:

Prepaid assets and other current assets

13

1,672

Accounts payable, accrued liabilities and other

(429

)

28,401

Operating lease liability

(1,626

)

(3,212

)

Net cash used in operating activities

(72,575

)

(53,978

)

Cash flows from investing activities:

Proceeds from the return of property and equipment deposits

22,735

-

Proceeds from property related grants

-

3,500

Purchases of property and equipment

(34,683

)

(168,811

)

Investments in equity method investee

-

(1,655

)

Purchases of other long-term assets

-

(1,000

)

Net cash used in investing activities

(11,948

)

(167,966

)

Cash flows from financing activities:

Payment for non-controlling interest

(4,130

)

-

Net cash used in financing activities

(4,130

)

-

Effect of changes in foreign exchange rates on cash, cash equivalents, and restricted cash

(3,036

)

(13,240

)

Net decrease in cash, cash equivalents, and restricted cash

(91,689

)

(235,184

)

Cash, cash equivalents, and restricted cash at beginning of period

275,742

563,045

Cash, cash equivalents, and restricted cash at end of period

$

184,053

$

327,861

Supplementary disclosure for non-cash activities:

Accrued purchases of property and equipment

$

6,133

$

11,187

Reconciliation to condensed consolidated balance sheets:

Cash and cash equivalents

$

181,851

$

299,419

Restricted cash

2,202

28,442

Cash, cash equivalents, and restricted cash

$

184,053

$

327,861