Wed, May 15, 12:18 PM (72 days ago)
AquaBounty Technologies, Inc. reported a significant net loss of $11.2 million for Q1 2024, compared to a $6.5 million loss in Q1 2023. This increase is primarily due to a $4.3 million non-cash impairment of long-lived assets at its Indiana farm, which is being prepared for sale. Revenue rose by 20% to $477,268, driven by higher sales of conventional Atlantic salmon, fry, and eggs, despite an accelerated harvesting schedule at the Indiana farm that impacted average selling prices. Product costs increased by 26% to $4.5 million, mainly due to inventory adjustments related to the Indiana farm's sale. Cash and cash equivalents dropped to $3.6 million from $8.2 million at year-end 2023, raising substantial doubt about the company's ability to continue as a going concern. To address liquidity needs, AquaBounty entered into a $10 million loan agreement in April 2024, with $5 million advanced immediately and the remainder contingent on certain conditions. The company paused construction on its Ohio farm due to rising costs and is exploring strategic alternatives, including selling the Indiana farm and seeking new financing.