Complete Solaria, Inc. reported significant financial changes in its latest 10-Q filing for the period ending September 29, 2024. The company experienced a substantial decline in revenue, with total revenues for the thirteen weeks amounting to $5.5 million, a 77% decrease from $24.6 million in the same period last year. For the thirty-nine weeks, revenues fell to $20.1 million from $66.9 million, marking a 70% decline. This downturn is attributed to reduced installation volumes and a strategic shift away from software-enhanced services.

Despite the revenue drop, the company reported a gross loss of $3.2 million for the quarter, compared to a gross profit of $6.2 million in the prior year. Total operating expenses surged to $26.8 million, up from $17.3 million, primarily due to increased general and administrative costs, which rose significantly due to software impairment and higher reserves for accounts receivable.

The net loss from continuing operations for the quarter was $78.0 million, a 53% increase from $51.0 million in the previous year. For the thirty-nine weeks, the net loss from continuing operations reached $101.4 million, up from $73.4 million. The company’s accumulated deficit as of September 29, 2024, stood at $458.4 million.

On the balance sheet, cash and cash equivalents saw a notable increase to $79.5 million from $2.6 million at the end of 2023, bolstered by financing activities that provided $107.1 million in cash during the thirty-nine weeks. The company also reported a decrease in total current liabilities to $41.7 million from $109.2 million, reflecting improved liquidity.

Strategically, Complete Solaria completed the acquisition of certain assets from SunPower Corporation for $45.0 million, finalized on September 30, 2024. This acquisition is part of the company's efforts to expand its operational capacity and market presence. Additionally, the company divested its solar panel business to Maxeon in October 2023, which resulted in a loss of $4.2 million.

The company continues to face challenges, including supply chain constraints and increased operational costs, which have raised substantial doubt about its ability to continue as a going concern. Furthermore, Complete Solaria has identified material weaknesses in its internal controls over financial reporting, prompting management to take steps to enhance its control environment.

Overall, Complete Solaria's financial performance reflects a challenging environment marked by declining revenues, increased losses, and strategic shifts aimed at stabilizing and growing the business amidst ongoing market pressures.