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Polar Power, 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 net sales to $4,914,000 from $1,911,000 in the same quarter the previous year. The increase is attributed to higher sales of DC generators to telecommunications customers.
Cost of sales for the quarter was $3,490,000, representing 71% of sales, compared to 105.7% in the same quarter of the previous year. This improvement in cost ratio is due to higher production volumes and improved labor efficiencies.
The company reported a gross profit of $1,424,000 for the quarter, compared to a gross loss of $108,000 in the previous year, with the improvement attributed to increased revenues and better overhead absorption.
Sales and marketing expenses decreased to $252,000 from $274,000, primarily due to reduced sales support staff and travel expenses.
Research and development expenses decreased to $172,000 from $299,000, reflecting a reduction in support staff and consulting services.
General and administrative expenses were $960,000, down from $992,000, mainly due to a decrease in administrative staff.
Net income for the quarter was $13,000, compared to a net loss of $1,844,000 in the previous year.
Cash used in operating activities was $400,000, while cash used in investing activities was $18,000, and cash provided by financing activities was $367,000.
Polar Power had a working capital of $10,132,000 as of September 30, 2024. The company acknowledges its dependence on generating sufficient revenues and potential financing to meet future obligations.
The filing also details the company's credit facility with Pinnacle Bank, which provides for a revolving credit facility with an outstanding balance of $4,661,000 as of September 30, 2024.
Polar Power continues to focus on expanding its customer base and product offerings, with a backlog of $3,118,000 as of September 30, 2024, primarily from telecommunications customers.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Polar Power Inc. quarterly 10-Q report dated November 14, 2024. To report an error, please email earnings@qz.com.