Energous Corporation, operating under the name Energous Wireless Power Solutions, reported its financial results for the third quarter and the nine months ended September 30, 2024. The company specializes in scalable, over-the-air wireless power networks for RF-based charging of IoT devices.

For the three months ended September 30, 2024, Energous generated revenue of $230,000, an increase from $169,000 in the same period of 2023. However, for the nine months ended September 30, 2024, total revenue decreased to $340,000 from $383,000 year-over-year. The revenue for Q3 2024 was primarily derived from transmitter sales, contrasting with the previous year’s revenue, which included non-recurring engineering fees and semiconductor chip sales.

The cost of revenue for the third quarter rose significantly to $306,000 from $48,000 in Q3 2023, while for the nine-month period, it increased to $537,000 from $270,000. This rise in costs is attributed to the initial sales of 2-watt PowerBridge transmitters. Total operating expenses for Q3 2024 were $3.8 million, down from $5.3 million in Q3 2023, leading to a loss from operations of $3.6 million, an improvement from a loss of $5.1 million in the prior year.

Net loss for the third quarter of 2024 was $3.4 million, compared to a net loss of $4.1 million in Q3 2023. For the nine months ended September 30, 2024, the net loss was $14.3 million, slightly better than the $14.8 million loss reported for the same period in 2023.

Energous's cash and cash equivalents significantly decreased to $1.5 million as of September 30, 2024, down from $13.9 million at the end of 2023. The company reported total current assets of $2.9 million, down from $15 million at the end of the previous fiscal year. Total liabilities decreased to $3.5 million from $4.6 million, while total stockholders’ equity plummeted to $434,000 from $11.5 million.

The company has undergone significant executive transitions, including the departure of former President and CEO Cesar Johnston in March 2024, which incurred a severance expense of $1.2 million. Additionally, the company has entered into various financing arrangements, including a new term loan agreement effective October 1, 2024, and a Regulation A Offering filed in October 2024 for a maximum of $7.5 million.

Energous anticipates needing to raise additional funds in the next 12 months through equity sales or debt incurrence, reflecting ongoing challenges in achieving profitability and maintaining liquidity.