Applied Energetics Inc (AERG) Quarterly 10-Q Report

The report was filed on November 14, 2024

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Applied Energetics, Inc. has submitted its 10-Q filing for the quarterly period ended September 30, 2024.

The filing includes financial statements for the quarter, showing an increase in revenue to $747,720 from $712,810 in the same quarter the previous year. This increase is attributed to two additional contracts received and commenced in August 2023 and June 2024.

Cost of revenue for the quarter was $508,709, representing 68% of revenue, compared to 24% in the same quarter of the previous year. This increase is due to higher costs of materials, supplies, and direct labor.

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The company reported a net loss of $2,374,685 for the quarter, compared to $1,811,178 in the previous year, with the increase attributed to higher general and administrative expenses.

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General and administrative expenses increased to $2,457,321 from $2,219,641, primarily due to an increase in salaries and employee benefits.

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Selling and marketing expenses decreased to $86,398 from $94,092, reflecting a reduction in business development activities.

Research and development expenses increased to $70,244 from $54,222, mainly due to increased labor and material costs.

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Cash used in operating activities was $3,734,000, while cash used in investing activities was $55,435.

Applied Energetics had a working capital surplus of $1,137,139 as of September 30, 2024. The company acknowledges its dependence on government contracts and potential financing to meet future obligations.

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The filing also details various financial agreements, including a contract transition with a U.S. Department of Defense customer and a new Memorandum of Understanding with a U.S.-based directed energy systems integrator.

Applied Energetics continues to focus on developing its laser and optical systems for defense and commercial applications, highlighting its recent agreements and expansions in laboratory space.

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This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Applied Energetics Inc quarterly 10-Q report dated November 14, 2024. To report an error, please email earnings@qz.com.