American Battery Technology Company Reports First Revenue of $534,400 and $25.1 Million Net Loss

American Battery Technology Company (ABTC) reported its financial results for the six months ending December 31, 2024, revealing a revenue of $534,400, marking the company's first revenue recognition in the fourth quarter of fiscal 2024. This represents a significant milestone for the company, which had not generated revenue in the previous fiscal period. However, the company also reported a net loss of $25.1 million for the six months, compared to a loss of $19.1 million in the same period last year. The net loss per share was $(0.35), an improvement from $(0.40) in the prior year.

The company's total assets increased to $88.3 million as of December 31, 2024, up from $77.7 million at the end of June 2024. This growth was primarily driven by a substantial increase in cash and cash equivalents, which rose to $20.6 million, compared to $7.0 million in the previous period. The increase in cash was attributed to successful financing activities, including the issuance of new convertible notes and common stock. Current liabilities also increased to $17.7 million, reflecting the company's ongoing operational costs and debt obligations.

Strategically, ABTC has made significant advancements in its operations, including the construction of its first integrated lithium-ion battery recycling facility. The company has received multiple grants from the U.S. Department of Energy, including a $144 million award to support the construction of a new recycling facility. Additionally, ABTC has been awarded a $19.5 million tax credit through the Qualifying Advanced Energy Project Credits program, which will aid in funding its operations and capital expenditures.

Operationally, the company has ramped up its workforce and production capabilities, leading to an increase in general and administrative expenses, which totaled $12.7 million for the six months ended December 31, 2024, compared to $7.5 million in the prior year. Research and development expenses decreased to $5.0 million from $7.2 million, as some costs were allocated to inventory and cost of goods sold due to the commencement of recycling operations. The company also reported a cash burn of $12.8 million for the six months, up from $7.4 million in the previous year, indicating increased operational activity.

Looking ahead, ABTC faces challenges related to its ability to generate profits and secure additional financing. The company has expressed concerns about its ability to continue as a going concern without generating sufficient revenue or obtaining further capital. The management has outlined plans to address these challenges, including the potential for additional equity offerings, which may dilute existing shareholders. The company remains focused on scaling its operations and achieving profitability as it continues to develop its battery recycling and lithium hydroxide production capabilities.