Atlas Lithium Corporation reported its financial results for the third quarter and nine months ended September 30, 2024, highlighting significant changes in revenue, expenses, and overall financial position compared to the previous fiscal period.

For the three months ended September 30, 2024, Atlas Lithium generated revenue of $169,549, while for the nine-month period, revenue totaled $543,657. This marks a notable increase from the previous year, where no revenue was reported for the same periods. However, the company incurred total operating expenses of $10.3 million for the quarter and $33.2 million for the nine months, leading to a net loss of $9.7 million for the quarter and $32.9 million year-to-date. This represents an increase in net loss compared to $11.7 million for the third quarter of 2023 and $25.6 million for the nine months ended September 30, 2023.

The increase in net loss is attributed to higher general and administrative expenses, which rose by approximately $5.7 million due to increased labor costs, legal fees, and third-party costs. Additionally, stock-based compensation expenses surged to $18.1 million for the nine months ended September 30, 2024, compared to $7.7 million in the prior year. The company also reported finance costs of approximately $0.2 million, primarily due to interest expenses on convertible notes issued in November 2023.

Atlas Lithium's total assets increased significantly to $60.5 million as of September 30, 2024, up from $43.6 million at the end of 2023. This growth was driven by a substantial increase in stockholders' equity, which rose to $23.8 million from $7.7 million, reflecting the issuance of new shares and the conversion of preferred stock. The company’s cash and cash equivalents decreased to $22.1 million from $29.5 million at the end of 2023, with net cash used in operating activities amounting to $14.2 million for the nine months, a stark contrast to the net cash provided of $2.6 million in the same period of 2023.

Strategically, Atlas Lithium has made significant moves, including the acquisition of a lithium processing plant and the completion of a convertible note purchase agreement to raise up to $20 million. The company also secured a permit for its lithium processing plant at the Neves Project, allowing for the processing and sale of lithium concentrate. Furthermore, Atlas Lithium entered into sales agreements to deliver 60,000 dry metric tonnes of lithium concentrate annually for five years, with pre-payments totaling $40 million.

Overall, while Atlas Lithium has faced increased losses and expenses, it has also made substantial progress in its operational capabilities and strategic positioning within the lithium market.