First quarter revenue of $12.6 million Company remains focused on purchase orders, operational efficiencies, quality and customer service Total backlog now stands at $1.8 billion Continue to expect to achieve quarterly profitability in 2024 AUSTIN, Texas, May 10, 2024 (GLOBE NEWSWIRE) -- FTC Solar, Inc. (NASDAQ:FTCI), a leading provider of solar tracker systems, software and engineering services, today announced financial results for the first quarter ended March 31, 2024. First Quarter Results"The company's first-quarter results were in line with our targets," said Shaker Sadasivam, Chairman of the Board of FTC Solar. "During the quarter, the company remained focused on advancing key initiatives that will support future growth and profitability including improving gross margin potential, lowering the breakeven revenue level, improving business processes and driving customer engagement and purchase orders." Total backlog now stands at approximately $1.8 billion. Summary Financial Performance: Q1 2024 compared to Q1 2023     U.S. GAAP     Non-GAAP       Three months ended March 31,   (in thousands, except per share data)   2024     2023     2024     2023   Revenue   $ 12,587     $ 40,894     $ 12,587     $ 40,894   Gross margin percentage     (16.7 %)     5.0 %     (13.7 %)     7.3 % Total operating expenses   $ 10,394     $ 14,432     $ 8,702     $ 10,053   Loss from operations(a)   $ (12,502 )   $ (12,397 )   $ (10,655 )   $ (7,152 ) Net loss   $ (8,771 )   $ (11,762 )   $ (10,873 )   $ (7,358 ) Diluted loss per share   $ (0.07 )   $ (0.11 )   $ (0.09 )   $ (0.07 )   (a) Adjusted EBITDA for Non-GAAP   Total first-quarter revenue was $12.6 million, coming in at the mid-point of our target range. This revenue level represents a decrease of 45.7% compared to the prior quarter and a decrease of 69.2% compared to the year-earlier quarter, on both lower product and logistics volumes. GAAP gross loss was $2.1 million, or 16.7% of revenue, compared to gross profit of $0.7 million, or 3.0% of revenue, in the prior quarter. Non-GAAP gross loss was $1.7 million or 13.7% of revenue. The result for this quarter compares to non-GAAP gross profit of $3.0 million in the prior-year period, with the difference driven primarily by the impact of lower current quarter revenues which were not sufficient to cover certain relatively fixed indirect costs. GAAP operating expenses were $10.4 million. On a non-GAAP basis, operating expenses were $8.7 million, which included a credit loss provision of $0.7 million, primarily related to a specific customer. This result compares to non-GAAP operating expenses of $10.1 million in the year-ago quarter.  GAAP net loss was $8.8 million or $0.07 per share, compared to a loss of $11.2 million or $0.09 per share in the prior quarter and a net loss of $11.8 million or $0.11 per share in the year-ago quarter. Adjusted EBITDA loss, which excludes an approximate $1.9 million net benefit from an earn out on a previously sold investment, less stock-based compensation expense and other non-cash items, was $10.7 million, compared to losses of $10.1 million in the prior quarter and $7.2 million in the year-ago quarter. OutlookWe expect second quarter 2024 revenue at the mid-point to be slightly up from the first quarter. We continue to expect revenue to be weighted toward the second half of the year, and that the company will approximate breakeven on an Adjusted EBITDA basis in the third quarter and be profitable on that basis in the fourth quarter. (in millions)   1Q'24Guidance   1Q'24Actual   2Q'24Guidance Revenue   $10.0 – $15.0   $12.6   $10.5 – $15.5 Non-GAAP Gross Profit   $(3.8) – $(1.8)   $(1.7)   $(3.1) – $(1.1) Non-GAAP Gross Margin   (38%) – (12%)   (13.7%)   (29.5%) – (7.1%) Non-GAAP operating expenses   $8.0 – $8.9   $8.7   $8.6 – $9.2 Non-GAAP adjusted EBITDA   $(12.6) – $(9.8)   $(10.7)   $(12.6) – $(9.8)               First Quarter 2024 Earnings Conference CallFTC Solar's senior management will host a conference call for members of the investment community at 8:30 a.m. E.T. today, during which the company will discuss its first quarter results, its outlook and other business items. This call will be webcast and can be accessed within the Investor Relations section of FTC Solar's website at https://investor.ftcsolar.com. A replay of the conference call will also be available on the website for 30 days following the webcast. About FTC Solar Inc. Founded in 2017 by a group of renewable energy industry veterans, FTC Solar is a global provider of solar tracker systems, technology, software, and engineering services. Solar trackers significantly increase energy production at solar power installations by dynamically optimizing solar panel orientation to the sun. FTC Solar's innovative tracker designs provide compelling performance and reliability, with an industry-leading installation cost-per-watt advantage. Footnotes 1. The term ‘backlog' or ‘contracted and awarded' refers to the combination of our executed contracts and awarded orders, which are orders that have been documented and signed through a contract, where we are in the process of documenting a contract but for which a contract has not yet been signed, or that have been awarded in writing or verbally with a mutual understanding that the order will be contracted in the future. In the case of certain projects, including those that are scheduled for delivery on later dates, we have not locked in binding pricing with customers, and we instead use estimated average selling price to calculate the revenue included in our contracted and awarded orders for such projects. Actual revenue for these projects could differ once contracts with binding pricing are executed, and there is also a risk that a contract may never be executed for an awarded but uncontracted project, or that a contract may be executed for an awarded but uncontracted project at a date that is later than anticipated, or that a contract once executed may be subsequently amended, supplemented, rescinded, cancelled or breached, including in a manner that impacts the timing and amounts of payments due thereunder, thus reducing anticipated revenues. Please refer to our SEC filings, including our Form 10-K, for more information on our contracted and awarded orders, including risk factors.   Forward-Looking StatementsThis press release contains forward looking statements. These statements are not historical facts but rather are based on our current expectations and projections regarding our business, operations and other factors relating thereto. Words such as "may," "will," "could," "would," "should," "anticipate," "predict," "potential," "continue," "expects," "intends," "plans," "projects," "believes," "estimates" and similar expressions are used to identify these forward-looking statements. These statements are only predictions and as such are not guarantees of future performance and involve risks, uncertainties and assumptions that are difficult to predict. You should not rely on our forward-looking statements as predictions of future events, as actual results may differ materially from those in the forward-looking statements because of several factors, including those described in more detail above and in our filings with the U.S. Securities and Exchange Commission, including the section entitled "Risk Factors" contained therein. FTC Solar undertakes no duty or obligation to update any forward-looking statements contained in this release as a result of new information, future events or changes in its expectations, except as required by law. FTC Solar Investor Contact:Bill Michalek Vice President, Investor Relations FTC SolarT: (737) 241-8618 E: FTC Solar, Inc.Condensed Consolidated Statements of Comprehensive Loss(unaudited)     Three months ended March 31,   (in thousands, except shares and per share data)   2024     2023   Revenue:             Product   $ 10,905     $ 32,579   Service     1,682       8,315   Total revenue     12,587       40,894   Cost of revenue:             Product     12,367       31,767   Service     2,328       7,092   Total cost of revenue     14,695       38,859   Gross profit (loss)     (2,108 )     2,035   Operating expenses             Research and development     1,439       1,922   Selling and marketing     2,388       1,711   General and administrative     6,567       10,799   Total operating expenses     10,394       14,432   Loss from operations     (12,502 )     (12,397 ) Interest expense, net     (136 )     (58 ) Gain from disposal of investment in unconsolidated subsidiary     4,085       898   Other income (expense), net     36       (74 ) Loss from unconsolidated subsidiary     (265 )     —   Loss before income taxes     (8,782 )     (11,631 ) (Provision for) benefit from income taxes     11       (131 ) Net loss     (8,771 )     (11,762 ) Other comprehensive loss:             Foreign currency translation adjustments     (181 )     (5 ) Comprehensive loss   $ (8,952 )   $ (11,767 ) Net loss per share:             Basic and diluted   $ (0.07 )   $ (0.11 ) Weighted-average common shares outstanding:             Basic and diluted