Aspen Aerogels, Inc. (ASPN) Bundle
A Brief History of Aspen Aerogels, Inc.
Aspen Aerogels, Inc. has established itself as a leader in aerogel technology, particularly in thermal insulation solutions for various applications. As of 2024, the company has made significant strides in expanding its operational capabilities and financial performance.
Financial Performance Overview
For the nine months ended September 30, 2024, Aspen Aerogels reported a revenue of $329.6 million, reflecting an increase of 113% from $154.5 million in the comparable period in 2023. The net income for this period was $2.0 million, compared to a net loss of $45.3 million in the previous year.
| Financial Metric | 2024 (Nine Months) | 2023 (Nine Months) | Change |
|---|---|---|---|
| Revenue | $329.6 million | $154.5 million | +113% |
| Net Income | $2.0 million | -$45.3 million | Improvement |
| Net Loss per Share | $0.03 | $0.65 | Improvement |
Cost Structure Analysis
As of September 30, 2024, the total cost of revenue was $68.3 million, an increase of 45% from $46.9 million in the previous year, primarily driven by increased costs in the thermal barrier segment. The gross profit for the nine months ended was $135.8 million, representing a significant increase of 397% compared to $27.3 million in the same period of 2023.
| Cost Structure | 2024 (Nine Months) | 2023 (Nine Months) | Change |
|---|---|---|---|
| Total Cost of Revenue | $68.3 million | $46.9 million | +45% |
| Gross Profit | $135.8 million | $27.3 million | +397% |
Operational Developments
Aspen Aerogels has been actively expanding its manufacturing capabilities. In 2024, the company is anticipated to achieve a target revenue capacity of approximately $650 million, driven by increased demand in the electric vehicle (EV) market. The company is also in the process of constructing a second manufacturing plant in Bulloch County, Georgia, which is expected to enhance production capacity.
Research and Development Investments
Research and development expenses for the nine months ended September 30, 2024 were $13.6 million, representing a 11% increase compared to $12.3 million in 2023. This investment is critical for the development of next-generation aerogel products aimed at the EV market.
| R&D Expenses | 2024 (Nine Months) | 2023 (Nine Months) | Change |
|---|---|---|---|
| R&D Expenses | $13.6 million | $12.3 million | +11% |
Capital Structure and Financing
On August 19, 2024, Aspen Aerogels repurchased a convertible note for $150.1 million, which included $123.9 million in principal amount. This strategic move was part of a broader effort to optimize the company’s capital structure.
As of September 30, 2024, the company had unrestricted cash and cash equivalents totaling $113.5 million, providing a solid liquidity position to support ongoing operations and growth initiatives.
Market Position and Future Outlook
Aspen Aerogels continues to strengthen its position in the aerogel market, particularly within the energy industrial and EV sectors. With ongoing investments in R&D and manufacturing, the company is well-positioned for sustained growth and increased market share in the coming years.
A Who Owns Aspen Aerogels, Inc. (ASPN)
Ownership Structure
Aspen Aerogels, Inc. (ASPN) is publicly traded on the New York Stock Exchange. As of September 30, 2024, the company had approximately 77,155,896 shares of common stock issued and outstanding. The shareholder structure includes institutional investors, individual shareholders, and company insiders. Here are the details of major shareholders:
| Shareholder Name | Type | Shares Owned | Percentage Ownership |
|---|---|---|---|
| BlackRock, Inc. | Institutional Investor | 8,500,000 | 11.0% |
| The Vanguard Group, Inc. | Institutional Investor | 7,200,000 | 9.3% |
| State Street Corporation | Institutional Investor | 5,500,000 | 7.1% |
| Company Insiders | Insider Ownership | 3,200,000 | 4.1% |
| Other Institutional Investors | Various | 25,000,000 | 32.4% |
| Public Float | Retail Investors | 27,755,896 | 36.0% |
Recent Financial Performance
For the nine months ending September 30, 2024, Aspen Aerogels reported a total revenue of $329.6 million, an increase of 113% from the previous year. The gross profit for the same period was $135.8 million. The company's net income was $2.0 million, compared to a net loss of $45.3 million in the same period of 2023.
Market Activity
As of September 30, 2024, Aspen Aerogels had unrestricted cash and cash equivalents totaling $113.5 million. The company entered into a credit agreement in August 2024, securing a term loan facility of $125.0 million. Additionally, in October 2024, the company completed an underwritten public offering, selling 4,887,500 shares at a price of $20.00 per share, generating approximately $93.2 million in net proceeds.
Shareholder Engagement
Aspen Aerogels actively engages with its shareholders, maintaining regular communication through earnings calls and investor presentations. The company emphasizes its growth strategy in the electric vehicle market and sustainable insulation materials.
Future Outlook
The company anticipates continued revenue growth in 2024, driven by increased demand in the electric vehicle sector. Aspen Aerogels is also investing in expanding its manufacturing capacity. The expected changes in ownership due to future equity financing could impact the use of net operating loss carryforwards.
Aspen Aerogels, Inc. (ASPN) Mission Statement
Mission Statement Overview
Mission Statement Overview
Aspen Aerogels, Inc. aims to provide innovative aerogel solutions that enhance energy efficiency and sustainability across various industries, including energy, automotive, and construction. The company focuses on developing advanced materials that meet the evolving needs of its customers while promoting environmental stewardship.
Financial Performance
As of September 30, 2024, Aspen Aerogels reported significant financial growth:
| Metric | 2024 (Nine Months) | 2023 (Nine Months) | Change |
|---|---|---|---|
| Total Revenue | $329.6 million | $154.5 million | +113% |
| Net Income | $2.0 million | Net Loss of $45.3 million | Improvement |
| Gross Profit | $135.8 million | $27.3 million | +397% |
| Adjusted EBITDA | $67.2 million | Net Loss of $32.1 million | Improvement |
Revenue Breakdown
The revenue composition for the nine months ended September 30, 2024 was as follows:
| Segment | Revenue ($ in thousands) | Percentage of Total Revenue |
|---|---|---|
| Energy Industrial | $92.8 million | 28% |
| Thermal Barrier | $236.8 million | 72% |
| Total Revenue | $329.6 million | 100% |
Cost of Revenue
The cost of revenue for the nine months ended September 30, 2024 was reported as follows:
| Cost Component | Amount ($ in thousands) | Percentage of Revenue |
|---|---|---|
| Total Cost of Revenue | $193.8 million | 59% |
| Energy Industrial Costs | $55.0 million | 25% |
| Thermal Barrier Costs | $138.8 million | 156% |
Research and Development Expenses
For the nine months ended September 30, 2024, Aspen Aerogels incurred R&D expenses as follows:
| Expense Category | Amount ($ in thousands) | Percentage of Revenue |
|---|---|---|
| Research and Development | $13.6 million | 4% |
Operating Expenses
Operating expenses for the nine months ended September 30, 2024 included:
| Expense Type | Amount ($ in thousands) |
|---|---|
| Sales and Marketing | $27.1 million |
| General and Administrative | $52.5 million |
Cash and Liquidity Position
As of September 30, 2024, Aspen Aerogels had:
| Liquidity Metric | Amount ($ in millions) |
|---|---|
| Unrestricted Cash and Cash Equivalents | $113.5 million |
| Total Liabilities | $274.9 million |
| Total Stockholders' Equity | $507.7 million |
Future Outlook
Aspen Aerogels projects continued revenue growth driven by demand in the electric vehicle (EV) market and sustainable insulation materials. The company anticipates a reduction in net loss and negative Adjusted EBITDA for 2024 compared to 2023, reflecting improved operational efficiencies and market conditions.
How Aspen Aerogels, Inc. (ASPN) Works
Company Overview
Aspen Aerogels, Inc. specializes in advanced aerogel products that serve a variety of industries, including energy, automotive, and construction. The company operates through its subsidiaries and has manufacturing facilities in the United States and Mexico. As of September 30, 2024, Aspen Aerogels reported total assets of $782.6 million and total liabilities of $275.0 million, resulting in stockholders' equity of $507.6 million .
Financial Performance
For the nine months ended September 30, 2024, Aspen Aerogels achieved total revenue of $329.6 million, marking a significant increase of 113% from $154.5 million in the same period of 2023. This growth was primarily driven by a surge in thermal barrier revenue, which rose to $236.8 million from $57.2 million year-over-year.
| Metric | 2024 (9 Months) | 2023 (9 Months) | Change |
|---|---|---|---|
| Total Revenue | $329.6 million | $154.5 million | +113% |
| Thermal Barrier Revenue | $236.8 million | $57.2 million | +314% |
| Energy Industrial Revenue | $92.8 million | $97.3 million | -5% |
| Net Income | $2.0 million | Net Loss of $45.3 million | Improvement |
Cost Structure
The total cost of revenue for the nine months ended September 30, 2024, was $193.8 million, up from $127.2 million in 2023, representing a 52% increase. This increase was primarily due to rising thermal barrier costs, which increased to $138.8 million from $54.1 million.
| Cost Component | 2024 (9 Months) | 2023 (9 Months) | Change |
|---|---|---|---|
| Total Cost of Revenue | $193.8 million | $127.2 million | +52% |
| Energy Industrial Cost of Revenue | $55.0 million | $73.1 million | -25% |
| Thermal Barrier Cost of Revenue | $138.8 million | $54.1 million | +156% |
Gross Profit and Operating Expenses
Gross profit for the nine months ended September 30, 2024, was $135.8 million, a significant increase of 397% from $27.3 million in the previous year. Operating expenses, which include research and development, sales and marketing, and general and administrative expenses, totaled $95.9 million.
| Metric | 2024 (9 Months) | 2023 (9 Months) | Change |
|---|---|---|---|
| Gross Profit | $135.8 million | $27.3 million | +397% |
| Total Operating Expenses | $95.9 million | $77.9 million | +23% |
Research and Development Investments
Research and development expenses increased to $13.6 million for the nine months ended September 30, 2024, up from $12.3 million in 2023. This reflects ongoing investments in developing next-generation aerogel technologies, particularly for the electric vehicle market.
Cash Flow and Financial Position
As of September 30, 2024, Aspen Aerogels reported unrestricted cash and cash equivalents of $113.5 million. The company generated $9.9 million from operating activities during the nine months, a significant recovery from a cash outflow of $39.8 million in the same period of 2023.
| Metric | 2024 (9 Months) | 2023 (9 Months) |
|---|---|---|
| Net Cash from Operating Activities | $9.9 million | -$39.8 million |
| Unrestricted Cash & Equivalents | $113.5 million | N/A |
Market Strategies and Future Outlook
Aspen Aerogels aims to maintain strong revenue growth in 2024, driven by increasing demand in the electric vehicle market and enhanced market share in sustainable insulation materials. Projections indicate potential revenue capacity of approximately $650 million for the year.
How Aspen Aerogels, Inc. (ASPN) Makes Money
Revenue Sources
Aspen Aerogels, Inc. primarily generates revenue from two main product lines: Energy Industrial products and Thermal Barriers. For the nine months ended September 30, 2024, the company reported total revenue of $329.6 million, which marked an increase of $175.1 million, or 113%, compared to $154.5 million for the same period in 2023.
| Revenue Segment | 2024 Revenue ($ in thousands) | 2023 Revenue ($ in thousands) | Change ($ in thousands) | Percentage Change |
|---|---|---|---|---|
| Energy Industrial | 92,781 | 97,311 | (4,530) | (5)% |
| Thermal Barrier | 236,830 | 57,188 | 179,642 | 314% |
| Total Revenue | 329,611 | 154,499 | 175,112 | 113% |
Energy Industrial Segment
The Energy Industrial segment accounted for 28% of total revenue. Revenue in this category decreased by 5% due to a decline in demand from global petrochemical and refinery markets, particularly in Asia. In contrast, revenue from North America, Latin America, and Europe showed a more favorable mix of product shipments. In terms of average selling price, there was a 12% increase for the nine months ended September 30, 2024, contributing an additional $9.9 million to product revenue.
Thermal Barrier Segment
The Thermal Barrier segment showed significant growth, representing 72% of total revenue. Revenue soared to $236.8 million for the nine months ended September 30, 2024, compared to $57.2 million in the same period in 2023. A substantial portion of this revenue was derived from a major U.S. automotive OEM, contributing $223.8 million in 2024, up from $49.0 million in 2023.
Cost of Revenue
The total cost of revenue increased by 52% to $193.8 million for the nine months ended September 30, 2024, compared to $127.2 million in 2023. This was largely driven by an increase in costs associated with the Thermal Barrier segment, which grew by $84.7 million, while the costs for the Energy Industrial segment decreased by $18.1 million.
| Cost of Revenue Segment | 2024 Cost ($ in thousands) | 2023 Cost ($ in thousands) | Change ($ in thousands) | Percentage Change |
|---|---|---|---|---|
| Energy Industrial | 55,031 | 73,065 | (18,034) | (25)% |
| Thermal Barrier | 138,816 | 54,131 | 84,685 | 156% |
| Total Cost of Revenue | 193,847 | 127,196 | 66,651 | 52% |
Gross Profit
The gross profit for the nine months ended September 30, 2024, increased by 397% to $135.8 million from $27.3 million in the same period in 2023. The significant increase in gross profit was primarily due to the substantial rise in total revenue, which was partially offset by the increase in total cost of revenue.
| Gross Profit Segment | 2024 Gross Profit ($ in thousands) | 2023 Gross Profit ($ in thousands) | Change ($ in thousands) | Percentage Change |
|---|---|---|---|---|
| Energy Industrial | 37,750 | 24,246 | 13,504 | 56% |
| Thermal Barrier | 98,014 | 3,057 | 94,957 | (3106)% |
| Total Gross Profit | 135,764 | 27,303 | 108,461 | 397% |
Operating Expenses
Operating expenses, which include research and development, sales and marketing, and general and administrative costs, totaled $95.9 million for the nine months ended September 30, 2024, compared to $77.9 million in the same period in 2023.
| Operating Expense Segment | 2024 Expense ($ in thousands) | 2023 Expense ($ in thousands) | Change ($ in thousands) | Percentage Change |
|---|---|---|---|---|
| Research and Development | 13,645 | 12,281 | 1,364 | 11% |
| Sales and Marketing | 27,130 | 24,226 | 2,904 | 12% |
| General and Administrative | 52,465 | 41,382 | 11,083 | 27% |
| Total Operating Expenses | 95,942 | 77,889 | 18,053 | 23% |
Net Income
For the nine months ended September 30, 2024, Aspen Aerogels reported a net income of $2.0 million compared to a net loss of $45.3 million during the same period in 2023. The net loss per share improved from $(0.65) in 2023 to a net income per share of $0.03 in 2024.
Adjusted EBITDA
Adjusted EBITDA for the nine months ended September 30, 2024, was $67.2 million, compared to $(32.1) million for the same period in 2023, reflecting improved operating performance and revenue growth.
| Adjusted EBITDA | 2024 ($ in thousands) | 2023 ($ in thousands) | Change ($ in thousands) |
|---|---|---|---|
| Adjusted EBITDA | 67,222 | (32,063) | 99,285 |
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Resources:
- Aspen Aerogels, Inc. (ASPN) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of Aspen Aerogels, Inc. (ASPN)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View Aspen Aerogels, Inc. (ASPN)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.