Ascent Solar Technologies, Inc.

Previous wording

We are a solar technology company that manufactures and sells PV solar modules that are flexible, durable, and possess attractive power to weight and power to area performance. Our technology provides renewable power solutions to high-value production and specialty solar markets where traditional rigid solar panels are not suitable, including space power beaming, aerospace, satellites, near earth orbiting vehicles, fixed wing unmanned aerial vehicles UAV, aquatic, terrestrial, and other weight-sensitive markets (including DoD drone and space operations) with transformational high quality, value added product applications. We operate in these target markets because they have highly specialized needs for power generation and offer attractive pricing due to the significant technological requirements.

Current wording

We are a solar technology company that manufactures in the United States and sells PV solar modules that are flexible, durable, and possess attractive power to weight ratio. Our technology provides renewable power solutions to high-value production and specialty solar markets where traditional rigid solar panels are not suitable, including space power beaming, aerospace, satellites, near earth orbiting vehicles, fixed wing unmanned aerial vehicles ("UAV"), aquatic terrestrial, and other weight sensitive markets (including DoD drone and space operations) with transformational high quality, value added product applications. We operate in these target markets because they have highly specialized needs for power generation and offer attractive pricing due to the significant technological requirements.

Previous wording

For the three months ended March 31, 2026, we generated $51,944 of total revenue. As of March 31, 2026, we had an accumulated deficit of $501,618,627.

Current wording

For the six months ended June 30, 2026, we generated $147,147 of total revenue. As of June 30, 2026, we had an accumulated deficit of $503,445,211.

Previous wording

We manufacture our products by affixing a thin CIGS layer to a flexible, plastic substrate using a large format, roll-to-roll process that permits us to fabricate our flexible PV modules in an integrated sequential operation. We use proprietary monolithic integration techniques which enable us to form complete PV modules with little to no costly back-end assembly of inter-cell connections. Traditional PV manufacturers assemble PV modules by bonding or soldering discrete PV cells together. This manufacturing step typically increases manufacturing costs and, at times, proves detrimental to the overall yield and reliability of the finished product. By reducing or eliminating this added step, using our proprietary monolithic integration techniques, we believe we can achieve cost savings in, and increase the reliability of, our PV modules.

Current wording

We manufacture our products by affixing a thin CIGS layer to a flexible, plastic substrate using a large format, roll-to-roll process that permits us to fabricate our flexible PV modules in an integrated sequential operation. We use proprietary monolithic integration techniques which enable us to form complete PV modules with little to no costly back-end assembly of inter-cell connections.

Previous wording

Due to the high durability enabled by the monolithic integration employed by our technology, the capability to customize modules into different form factors and what we believe is the industry leading light weight and flexibility provided by our modules, we believe that the potential applications for our products are extensive, including integrated solutions anywhere that may need power generation such as power beaming solutions, vehicles in space or in flight or dual-use installations on agricultural land.

Current wording

Additionally, due to the high durability enabled by the monolithic integration employed by our technology, the capability to customize modules into different form factors and what we believe is the industry leading light weight and flexibility provided by our modules, we believe that the potential applications for our products are extensive, including integrated solutions anywhere that may need power generation such as power beaming solutions, vehicles in space or in flight or aquatic solutions.

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, 2026 and December 31, 2025, and the results of operations for the three months ended March 31, 2026 and 2025.

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, 2026 and December 31, 2025, and the results of operations for the three and six months ended June 30, 2026 and 2025.

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 increased by $46,622, or 193%, for the three months ended March 31, 2026 when compared to the same period in 2025. The increase in cost of revenues is primarily due to the increase in revenue.

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 increased by $132,187, or 462%, for the three months ended June 30, 2026 when compared to the same period in 2025. This increase is primarily due to the increase in sales.

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 increased by $135,477, or 24%, for the three months ended March 31, 2026 when compared to the same period in 2025. This increase is primarily due to the Company continuing to focus 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 increased by $74,376, or 12%, for the three months ended June 30, 2026 when compared to the same period in 2025. This is primarily due to an increase in research and development cost as the Company continued to focused on product and technology improvements in the current period.

Previous wording

Share-based compensation. Share-based compensation expense decreased by $124,027, or 59% for the three months ended March 31, 2026 when compared to the same period in 2025. The decrease is primarily due to the remaining RSUs fully vesting on January 1, 2026, which was partially offset by the Company's option grant to employees, directors, and advisory board in June 2025.

Current wording

Share-based compensation. Share-based compensation expense decreased by $314,614 or 78% for the three months ended June 30, 2026 when compared to the same period in 2025. The decrease is primarily due to less RSU awards and stock options being expensed for the three months ended June 30, 2026.

Previous wording

Net Loss. Our Net Loss increased by $502,866, or 30%, for the three months ended March 31, 2026 compared to the same period in 2025 due primarily to the items mentioned above.

Current wording

Net Loss. Our Net Loss decreased by $238,813, or 12%, for the three months ended June 30, 2026 compared to the same period in 2025 due primarily to the items mentioned above.

Previous wording

Total Revenues. Our total revenues increased by $36,320, or 232%, for the three months ended March 31, 2026 when compared to the same period in 2025. This is primarily due to more orders and engineering revenue in the current period compared to prior period.

Current wording

Total Revenues. Our total revenues increased by $114,562, or 352%, for the six months ended June 30, 2026 when compared to the same period in 2025. This is primarily due to more orders and nonrecurring engineering revenue in the current period.

Previous wording

Selling, general and administrative. Selling, general and administrative expenses increased by $489,703, or 52% for the three months ended March 31, 2026 compared to the same period in 2025. This increase is primarily due to increased personnel and professional service costs incurred in the current period compared to the prior period.

Current wording

Selling, general and administrative. Selling, general and administrative expenses increased by $521,849, or 26% for the six months ended June 30, 2026 compared to the same period in 2025. This increase is primarily due to increased personnel and professional service costs incurred in the current period.

Previous wording

Other Income/Expense. Other income was $86,914 for the three months ended March 31, 2026, compared to other income of $72,134 for the same period in 2025, an increase of $14,780, or 20%. The increase is due primarily to increased other income which in the current period, is primarily comprised of interest income and decreased interest expense in current period.

Current wording

Other Income/Expense. Other income was $205,273 for the six months ended June 30, 2026, compared to other income of $97,371 for the same period in 2025, an increase of $107,902. The increase is due primarily to increased other income which in the current period, is primarily comprised of interest income and decreased interest expense in current period.

Previous wording

The Company continues to build industrial scale production capabilities in its Thornton facility and focus on its research and development activities to improve its PV products. The Company does not expect that sales revenue and cash flows will be sufficient to support operations and cash requirements until it has fully implemented its strategy of selling high value PV products and manufacturing at full industrial scale. During the three months ended March 31, 2026 the Company used $2,020,240 in cash for operations.

Current wording

The Company continues to build industrial scale production capabilities in its Thornton facility and focus on its research and development activities to improve its PV products. The Company does not expect that sales revenue and cash flows will be sufficient to support operations and cash requirements until it has fully implemented its strategy of selling high value PV products and manufacturing at full industrial scale. During the six months ended June 30, 2026, the Company used $3,809,122 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, 2026, and while the Company has working capital of $14,378,204, Management believes that 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, 2026, and while the Company has working capital of $12,875,343, Management believes that additional financing will be required for the Company to reach a level of sufficient sales to achieve profitability.

Previous wording

Statements of Cash Flows Comparison of the three months ended March 31, 2026 and 2025

Current wording

Statements of Cash Flows Comparison of the six months ended June 30, 2026 and 2025

Previous wording

For the three months ended March 31, 2026, our cash used in operations was $2,020,240 compared to $1,550,030 for the three months ended March 31, 2025, an increase of $470,210. This increase is due primarily to increased personnel and professional cost in current period. The three months ended March 31, 2026 net cash used in operations of $2,020,240 were primarily funded from 2025 and 2026 financing agreements. For the three months ended March 31, 2026, cash used in investing activities was $200,000 compared to $483 used in investing activities in the prior period. The increase was primarily due to the additional investment in a cost investment. For the three months ended March 31, 2026, our cash provided by financing activities was $15,506,141 compared to $635,585 in the prior period, an increase of $14,870,556. Cash provided by financing activities in 2026 was primarily derived from the selling common stock under a PIPE agreement and the excise of warrants. Cash provided by financing activities in 2025 was primarily derived from the ATM agreement partially offset by the bridge loan repayments.

Current wording

For the six months ended June 30, 2026, our cash used in operations was $3,809,122 compared to $3,361,544 for the six months ended June 30, 2025, an increase of $447,578. This increase is due primarily to timing of cash outflows and increased expenses. The six months ended June 30, 2026 net cash used in operations of $3,809,122 were primarily funded from 2025 and 2026 financing agreements. For the six months ended June 30, 2026, cash used in investing activities was $200,000 compared to $2,515 used in investing activities in the prior period. The increase was primarily due to the additional investment in a cost method investment. For the six months ended June 30, 2026, our cash provided by financing activities was $15,760,855 compared to $3,148,175 in the prior period, an increase of $12,612,680. Cash provided by financing activities in 2026 was primarily derived from the selling common stock under a PIPE agreement and the excise of warrants. Cash provided by financing activities in 2025 was primarily derived from the ATM agreement and public offering partially offset by the bridge loan repayments.