Photo: Illustration/Part of OPT’s products range (Courtesy of OPT)

OPT posts greater net loss with slight growth in revenues

US-based marine energy company Ocean Power Technologies (OPT) has released financial results for the third quarter of 2022, showing a wider net loss, but also a rise in revenues, when compared to a year before.

Illustration/Part of OPT’s products range (Courtesy of OPT)
Illustration/Part of OPT’s products range (Courtesy of OPT)

OPT recorded had a net loss of $5.5 million the third quarter of fiscal year 2022, which represents an increase from the net loss of $3.1 million reported for the same period a year earlier.

According to OPT, the reason for this is mostly related to approximately $700,000 of acquisition costs for California-based developer and manufacturer of autonomous surface vehicles Marine Advanced Robotics (MAR), and an increase of approximately $225,000 for share-based compensation.

Also, engineering and development costs during the period increased by $1.5 million, as opposed the same period in 2021, mainly due to OPT’s investment in MDA software development.

When it comes to revenues for the third quarter of 2022, OPT marked a 53% growth to the total of $484,000, in contrast with 2021 when the company reported the revenues of $317,000.

The increase was due to $257,000 contributed by MAR in addition to $120,000 of growth in strategic consulting services, according to OPT. The revenue growth was partially offset by $210,000 of project-based work, recognized in the third quarter in 2021 and not repeated due to contract completion.

Total unrestricted cash and cash equivalents in OPT were $63.9 million as of January 31, 2022, the company informed.

Philipp Stratmann, OPT’s president and CEO, said: “Our third quarter was headlined by our largest acquisition to date – MAR, a manufacturer of autonomous surface vehicles, that brings new customers, revenue, and an excellent team to OPT, all of which further support our mission to become the recognized leader for Marine Domain Awareness.

“The addition of roaming platforms enables us to deploy our ocean data as a service solution to a more expansive customer base and allows us to expand further into the subsea data market, such as for infrastructure surveys.

“Through the continued development of our Data-as-a-Service and Power-as-a-Service business models, in combination with our consulting services offerings, we are attracting a broader customer group and expanding our revenue opportunities. We are optimistic about the direction we are heading and the momentum we are starting to feel.”

As previously reported, OPT completed its acquisition of MAR in November 2021, which expanded the company’s commercial offering into autonomous vehicles for maritime data services. MAR is expected to contribute approximately $2 million to revenue for fiscal year 2023, OPT noted.

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