Danimer Scientific has reported a net loss of $40.15m in the third quarter (Q3) of 2023, as against a net loss of $94.87m in Q3 2022.
Basic and diluted net loss per share in the reported quarter, which ended 30 September 2023, was $0.39 while the same was $0.94 in the previous year's same quarter.
This continued loss, according to the company, reflects a non-recurring, non-cash goodwill impairment charge of $62.7m registered in the previous year.
Revenue in Q3 2023 totalled $10.94m, slightly up from $10.44m reported during the same quarter last year.
This increase in revenue can be attributed to strong sales of polyhydroxyalkanoates-(PHA) based products in the company.
Sales of PHA-based products alone contributed approximately 78% of the total revenue generated in the current year’s Q3 while it was 51% in Q3 2022.
Meanwhile, Danimer's polylactic acid-based resin sales were down by $1.8m relative to last year, mainly due to business interruptions caused by the ongoing Russia-Ukraine conflict.
In Q3 2023, service revenue stood at $0.49m, compared to $1.34m in the previous year’s Q3.
Gross loss during the latest reported quarter was $7.73m versus $4.05m in Q3 2022.
Adjusted gross loss was $2.64m in Q3 2023, compared with $1.46m reported during the same quarter in 2022.
The company posted $9.25m in adjusted earnings before interest, taxes, depreciation, and amortisation (EBITDA) while it was $12.94m in Q3 2022.
Danimer chair and CEO Stephen E Croskrey said: “We are excited to announce that new business awards associated with a large quick service restaurant programme for [our] Nodax-based biodegradable cutlery have been issued to several of our converter partners.
“Total demand for our product is expected to be approximately 20 million pounds per year at full run-rate, with first shipments expected to begin in the second half of next year.
"With these cutlery awards, we have now opened another significant product category for our PHA-based resins, which further validates our product in the marketplace and will continue to drive volume across our manufacturing assets.”
