Ascent Solar Technologies Inc

Previous wording

For the three months ended March 31, 2024, we generated $5,600 of total revenue. As of March 31, 2024, we had an accumulated deficit of $485,016,178.

Current wording

For the six months ended June 30, 2024, we generated $33,343 of total revenue. As of June 30, 2024, we had an accumulated deficit of $488,462,005.

Previous wording

Basis of Presentation: The accompanying unaudited condensed financial statements have been derived from the accounting records of Ascent Solar Technologies, Inc. as of March 31, 2024 and December 31, 2023, and the results of operations for the three months ended March 31, 2024 and 2023.

Current wording

Basis of Presentation: The accompanying unaudited condensed financial statements have been derived from the accounting records of Ascent Solar Technologies, Inc. as of June 30, 2024 and December 31, 2023, and the results of operations for the three and six months ended June 30, 2024 and 2023.

Previous wording

The Company’s significant accounting policies were described in Note 2 to the audited financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2023.

Current wording

The Company’s significant accounting policies were described in Note 3 to the audited financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2023. There have been no significant changes to our accounting policies as of June 30, 2024.

Previous wording

Total Revenues. Our total revenues decreased by $118,625, or 95%, for the three months ended March 31, 2024 when compared to the same period in 2023. The decrease was primarily due to a customer order and engineering revenue in the prior period were not repeated in the current period.

Current wording

Total Revenues. Our total revenues decreased by $73,558, or 73%, for the three months ended June 30, 2024 when compared to the same period in 2023. This is primarily due to a large customer order and engineering revenue in the prior period that was not repeated in the current period.

Previous wording

Cost of revenue. Cost of revenues is primarily comprised of repair and maintenance, material costs, and direct labor and overhead expenses. Our Cost of revenues decreased by $452,407, or 98%, for the three months ended March 31, 2024 when compared to the same period in 2023. This decrease is primarily due to a decrease in manufacturing activities, as the Company focused on product and technology improvements in the current period.

Current wording

Cost of revenue. Cost of revenues is primarily comprised of repair and maintenance, material costs, and direct labor and overhead expenses. Our Cost of revenues decreased by $604,745, or 91%, for the three months ended June 30, 2024 when compared to the same period in 2023. This decrease is primarily due to a decrease in manufacturing activities as the Company continued to focused on product and technology improvements in the current period.

Previous wording

Selling, general and administrative. Selling, general and administrative expenses decreased by $531,780, or 33%, for the three months ended March 31, 2024 when compared to the same period in 2023. The decrease in costs is due primarily to decreased personnel compensation and administrative costs.

Current wording

Selling, general and administrative. Selling, general and administrative expenses increased by $432,606, or 37%, for the three months ended June 30, 2024 when compared to the same period in 2023. The increase in costs is due primarily to increased employee expenses. The increase is also due to the annual shareholders' meeting costs and other administrative costs.

Previous wording

Share-based compensation. Share-based compensation expense decreased by $1,145,216 or 82% for the three months ended March 31, 2024 when compared to the same period in 2023. The decrease is due to the employment termination of former CEO in April 2023. This is partially offset with Company's grant to employees, directors, and advisory board in 2024.

Current wording

Share-based compensation. Share-based compensation expense decreased by $375,159 or 67% for the three months ended June 30, 2024 when compared to the same period in 2023. The decrease is due to the termination of our former CEO in April 2023. This is partially offset with the Company's RSU grant to employees, directors, and advisory board in 2024.

Previous wording

Other Income/Expense. Other expense was $62,232 for the three months ended March 31, 2024, compared to other expense of $1,058,036 for the same period in 2023, a decline of $995,804. The decline is due primarily to a decrease in interest expense resulting from the accretion of debt discount and interest expense on the convertible debt recognized in the prior period.

Current wording

Other Income/Expense. Other expense was $1,088,528 for the three months ended June 30, 2024, compared to other expense of $761,877 for the same period in 2023, an increase of $326,651. The increase is due primarily to the warrant settlement expense incurred in the current period and interest on the bridge loans partially offset by a decrease in interest expense resulting from the conversions and payoff of the December 2022 convertible debt.

Previous wording

Net Loss. Our Net Loss decreased by $3,545,610, or 58%, for the three months ended March 31, 2024 compared to the same period in 2023 due primarily to the items mentioned above.

Current wording

Net Loss. Our Net Loss decreased by $467,645, or 12%, for the three months ended June 30, 2024 compared to the same period in 2023 due primarily to the items mentioned above.

Previous wording

Research, development and manufacturing operations. Research, development and manufacturing operations costs include costs incurred for product development, pre-production and production activities in our manufacturing facility. Research, development and manufacturing operations costs also include costs related to technology development. Research, development and manufacturing operations costs decreased by $1,058,461, or 64%, for the three months ended March 31, 2024 when compared to the same period in 2023. This is primarily due to a decrease in preproduction and manufacturing activities, as the Company focused on product and technology improvements in the current period.

Current wording

Research, development and manufacturing operations. Research, development and manufacturing operations costs include costs incurred for product development, pre-production and production activities in our manufacturing facility. Research, development and manufacturing operations costs also include costs related to technology development. Research, development and manufacturing operations costs decreased by $1,374,785, or 55%, for the six months ended June 30, 2024 when compared to the same period in 2023. This is primarily due to a decrease in preproduction and manufacturing operations cost as the Company continued to focused on product and technology improvements in the current period.

Previous wording

The Company currently has limited PV production at its manufacturing facility. The Company does not expect that sales revenue and cash flows will be sufficient to support operations and cash requirements until it has fully restarted its production at industrial scale and achieved desired improvements to its PV products. During the three months ended March 31, 2024 the Company used $1,197,861 in cash for operations.

Current wording

The Company currently has limited PV production at its manufacturing facility. The Company does not expect that sales revenue and cash flows will be sufficient to support operations and cash requirements until it has fully restarted its production at industrial scale and achieved desired improvements to its PV products. During the six months ended June 30, 2024 the Company used $4,846,465 in cash for operations.

Previous wording

Additionally, projected total revenues are not anticipated to result in a positive cash flow position for the year overall and, as of March 31, 2024, the Company has working capital deficit of $4,724,265. As such, additional financing will be required for the Company to reach a level of sufficient sales to achieve profitability.

Current wording

Additionally, projected total revenues are not anticipated to result in a positive cash flow position for the year overall and, as of June 30, 2024, while the Company has working capital of $2,197,842., Management does not believe cash liquidity is sufficient for the next twelve months and will require additional financing.

Previous wording

Statements of Cash Flows Comparison of the Three Months Ended March 31, 2024 and 2023

Current wording

Statements of Cash Flows Comparison of the Six Months Ended June 30, 2024 and 2023

Previous wording

For the three months ended March 31, 2024, our cash used in operations was $1,197,861 compared to $4,937,627 for the three months ended March 31, 2023, a decrease of $3,739,766. This decrease is primarily due to a decrease in manufacturing activities, as the Company continues to focus on product and technology improvements. For the three months ended March 31, 2024, cash used in investing activities was $0 compared to $54,534 used in investing activities for the three months ended March 31, 2023. This change was primarily the result of a decrease purchase of equipment. During the three months ended March 31, 2024, net cash used in operations of $1,197,861 were primarily funded from 2023 financing agreements.

Current wording

For the six months ended June 30, 2024, our cash used in operations was $4,846,465 compared to $6,577,826 for the six months ended June 30, 2023, a decrease of $1,731,361. This decrease is due primarily to decreases in manufacturing activities as the Company continues to focus on product and technology improvements. For the six months ended June 30, 2024, cash used in investing activities was $0 compared to $3,849,542 used in investing activities for the six months ended June 30, 2023. This change was primarily the result of the asset acquisition in Zurich, Switzerland in the prior period. During the six months ended June 30, 2024, net cash used in operations of $4,846,465 were primarily funded from 2023 and 2024 financing agreements.

Previous wording

We are a “smaller reporting company” meaning that the market value of our stock held by non-affiliates is less than $700 million and our annual revenue was less than $100 million during the most recently completed fiscal year. We may continue to be a smaller reporting company if either (i) the market value of our stock held by non-affiliates is less than $250 million or (ii) our annual revenue was less than $100 million during the most recently completed fiscal year and the market value of our stock held by non-affiliates is less than $700 million. As a smaller reporting company, we may rely on exemptions from certain disclosure requirement that are available to smaller reporting companies. Specifically, as a smaller reporting company we may choose to present only the two most recent fiscal years of audited financial statements in our Annual Report on Form 10-K and smaller reporting companies have reduced disclosure obligations regarding executive compensation.

Current wording

We are a “smaller reporting company” meaning that the market value of our stock held by non-affiliates is less than $700 million and our annual revenue was less than $100 million during the most recently completed fiscal year. We may continue to be a smaller reporting company if either (i) the market value of our stock held by non-affiliates is less than $250 million or (ii) our annual revenue was less than $100 million during the most recently completed fiscal year and the market value of our stock held by non-affiliates is less than $700 million. As a smaller reporting company, we may rely on exemptions from certain disclosure requirements that are available to smaller reporting companies. Specifically, as a smaller reporting company we may choose to present only the two most recent fiscal years of audited financial statements in our Annual Report on Form 10-K and smaller reporting companies have reduced disclosure obligations regarding executive compensation.