Crown ElectroKinetics reports progress and growth in Q1 2024 By Investing.com

Crown ElectroKinetics Corp. (CRKN) has announced its first quarter financial results for 2024, highlighting significant developments in its film and fiber divisions. The company reported a net loss of $4.6 million, with net losses from operations amounting to $3.7 million. Despite these losses, Crown ElectroKinetics is optimistic about its future, citing advancements in product development, leadership changes, and a growing pipeline of revenue-generating projects. The company is also addressing a NASDAQ bid price non-compliance issue and is awaiting guidance on an extension request.

Key Takeaways

• Crown ElectroKinetics’ net loss stood at $4.6 million for Q1 2024.
• The company is preparing to ship its Gen 1 Alpha Smart Window Insert in small quantities by late summer.
• Sheldon Davis has been appointed as President of the ElectroKinetics film division.
• Crown’s fiber division is generating revenue and has secured significant projects in Nevada, Idaho, and Mexico.
• NASDAQ bid price non-compliance is being addressed, with Crown requesting an extension.

Company Outlook

• Crown ElectroKinetics anticipates shipping its Gen 1 Alpha Smart Window Insert later this summer.
• The company expects to roll out Gen 1 Beta and Gen 1 Charlie for smart window inserts, aiming for mass production by next spring or summer.
• Crown is optimistic about generating revenue and achieving net positive income soon.

Bearish Highlights

• The company reported a net loss of $4.6 million for the quarter.
• Net losses from operations were $3.7 million, though this was an improvement from Q1 2023’s $4.1 million.
• Crown is facing NASDAQ bid price non-compliance and is working to resolve the issue.

Bullish Highlights

• Crown’s fiber division is actively generating revenue, with projects in multiple markets.
• The company has secured a large project in Nevada expected to generate $5.7 million in gross revenues.
• Additional projects in Idaho and Mexico are expected to contribute to the revenue stream.

Misses

• Crown recorded only $0.7 million of revenue in its fiber division for the quarter.
• The company also booked $1.2 million of deferred revenue, which is expected to begin in late Q2 or primarily Q3.

Q&A Highlights

• There was no Q&A session following the management’s remarks during the call.

Crown ElectroKinetics’ leadership expressed confidence in the company’s direction and growth potential. With the addition of Sheldon Davis and Corey…