FREYR Battery Charges Forward Despite Q4 Loss: Eyes On 2024 Production And Giga America Funding

FREYR Battery, Inc. FREY shares are trading lower after the company reported fourth quarter FY23.

The company reported an adjusted EPS loss of $(0.13), beating the consensus of $(0.25). 

Net loss stood at $(24.2) million (vs. net income of $25.3 million), and GAAP EPS loss came in at $(0.17) vs. EPS of $0.20 a year earlier. 

The net loss reflects corporate overhead, spending to support projects and business development activities, research and development spending, and severance and other termination benefits related to restructuring.

As Of December 31, 2023, the company had cash and equivalents and restricted cash of $275.7 million.

FREYR expects to maintain a strong balance sheet, liquidity profile, and selected investments to support strategic development.

The company plans to focus 2024 spending on achieving production using the full automation at the CQP with 24M technology in H1 2024, the continued development of Giga America including costs related to obtain conditional credit approval in 2024 for the 24M-based gigafactory from the DOE Title 17 loan program, among others.

FREYR stated that it is positioning the company to qualify for a conditional commitment from the U.S. Department of Energy (DOE) Loan Programs Office by the end of 2024.

Birger Steen, Chief Executive Officer said, “I am excited about the recent achievements of key milestones at the CQP, several exciting discussions we have ongoing with potential strategic partners, the completion of our redomicile to the U.S., and the continued progression of financing initiatives including the DOE Title 17 process.”

In December, FREYR said it received approval to redomicile from Luxembourg to the U.S. by the end of 2023.

In November 2023, FREYR said teams at its Customer Qualification Plant commenced automated cathode casting runs at a minimum nozzle distance of 0.26 mm, and subsequently conducted successful cathode casting runs using the cathode web and solvent slurry at fixed nozzle distances of 0.5 mm and 1.0 mm.

Price Action: FREY shares are trading lower by 5.42% at $1.57 on the last check Thursday.