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Local Bounti Corporation (LOCL-2.67%) has submitted its 10-Q filing for the quarterly period ended September 30, 2024.
The filing shows sales increased to $10.2 million from $6.8 million in the same quarter the previous year, attributed to increased production and sales from new facilities in Texas and Washington.
Cost of goods sold rose to $8.8 million, compared to $6.4 million in the prior year, due to production ramp-up at new facilities.
Research and development expenses increased to $7.1 million from $5.0 million, reflecting continued development of production processes.
Selling, general, and administrative expenses decreased to $12.3 million from $14.4 million, primarily due to a reduction in stock-based compensation and other costs.
The company reported a net loss of $34.3 million, compared to a net loss of $24.3 million in the previous year, with the increase attributed to higher interest expenses.
Interest expense, net increased significantly to $18.3 million from $7.1 million, driven by a higher principal amount outstanding on the Senior Facility.
Local Bounti's cash and cash equivalents and restricted cash totaled $6.8 million as of September 30, 2024, with an accumulated deficit of $387.0 million.
The company highlights a substantial doubt about its ability to continue as a going concern, with plans to renegotiate credit facilities and reduce costs to address liquidity challenges.
The filing details various financial agreements, including amendments to credit facilities with Cargill Financial, and notes compliance with all applicable covenants as of September 30, 2024.
Local Bounti continues to focus on expanding its production capacity and product offerings, with plans for additional facilities and product lines.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Local Bounti Corporation quarterly 10-Q report dated November 14, 2024. To report an error, please email earnings@qz.com.