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Energy Focus Inc. (EFOI+2.44%) has submitted its 10-K filing for the fiscal year ended December 31, 2024.
The filing includes financial statements showing net sales of $4.9 million, a decrease from $5.7 million in the previous year. The decrease is attributed to a reduction in demand in both commercial and military maritime markets.
Cost of sales for the year was $4.2 million, representing 86% of sales, compared to 96% in the previous year. This decrease in cost ratio is due to a reduction in variable costs and fixed costs.
The company reported a gross profit of $0.7 million, compared to $0.2 million in the previous year, with the increase attributed to improved cost management.
Selling, general, and administrative expenses decreased to $2.0 million from $3.6 million, primarily due to a reduction in headcount and professional fees.
Net loss for the year was $1.6 million, down from $4.3 million in the previous year. The improvement is due to reduced operating expenses and cost of sales.
Cash used in operating activities was $1.3 million, while cash used in investing activities was $19 thousand.
Energy Focus had a cash balance of $0.6 million as of December 31, 2024. The company acknowledges its dependence on additional financing to continue operations.
The filing also details various financial agreements, including the early termination of a promissory note with Streeterville Capital, LLC.
Energy Focus does not anticipate cash dividend payments to common stockholders in the near future.
The company identified risks related to its ability to continue as a going concern and its compliance with Nasdaq listing requirements.
Energy Focus plans to focus on expanding its product offerings and market presence, particularly in energy storage systems and AI data center power solutions.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Energy Focus Inc. annual 10-K report dated March 25, 2025. To report an error, please email earnings@qz.com.