Aeluma, Inc., headquartered in Goleta, California, reported significant financial developments in its 10-Q filing for the quarter ended September 30, 2024. The company, which focuses on the research and development of infrared optical sensors for applications such as 3D imaging and LiDAR, experienced a substantial increase in revenue, reporting $480,735 for the quarter, a notable rise from $32,400 in the same period of 2023. This revenue was primarily driven by government contracts, which contributed $430,735, alongside $50,000 from commercial product sales.

Despite the revenue growth, Aeluma reported a net loss of $729,619 for Q3 2024, a significant improvement compared to the net loss of $1,482,309 in Q3 2023, reflecting a reduction of 50.8%. The loss before income tax also decreased to $(729,619) from $(1,482,309) year-over-year. Operating expenses for the quarter were $1,212,115, down 20% from $1,515,111 in the prior year, indicating a strategic effort to manage costs effectively.

The company’s total assets increased to $6,348,859 as of September 30, 2024, up from $3,844,047 at the end of June 2024, while total liabilities rose to $4,635,226 from $1,567,886 in the same timeframe. This resulted in a decrease in total stockholders’ equity to $1,713,633 from $2,276,161, primarily due to the accumulated deficit, which reached $14,353,980.

Aeluma's cash and cash equivalents saw a significant increase, rising to $3,502,520 from $1,291,072 at the end of June 2024. This boost was largely attributed to the issuance of convertible promissory notes totaling $3,145,000 during the quarter, which are set to mature in June 2026 and do not carry interest.

The company also secured two government contracts totaling $11,866,384, which will be recognized as revenue over the next 36 months. These contracts are expected to enhance Aeluma's financial stability and support its ongoing research and development efforts.

However, Aeluma faces challenges, including a going concern warning due to its reliance on additional funding to sustain operations. The company has acknowledged that its disclosure controls and procedures were not effective, citing insufficient staffing in the finance department, which may impact the accuracy and timeliness of financial reporting.