Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Feb. 16, 2024 | Jun. 30, 2023 | |
Cover [Abstract] | ||||
Entity Registrant Name | FTC SOLAR, INC. | |||
Document Annual Report | true | |||
Entity Well-known Seasoned Issuer | No | |||
Entity Voluntary Filers | No | |||
ICFR Auditor Attestation Flag | false | |||
Document Financial Statement Error Correction Flag | false | |||
Entity Central Index Key | 0001828161 | |||
Current Fiscal Year End Date | --12-31 | |||
Entity Filer Category | Accelerated Filer | |||
Entity Current Reporting Status | Yes | |||
Entity Interactive Data Current | Yes | |||
Entity Small Business | false | |||
Entity Emerging Growth Company | true | |||
Entity Ex Transition Period | false | |||
Entity Shell Company | false | |||
Document Type | 10-K | |||
Document Period End Date | Dec. 31, 2023 | |||
Document Fiscal Year Focus | 2023 | |||
Document Fiscal Period Focus | FY | |||
Trading Symbol | FTCI | |||
Amendment Flag | false | |||
Title of 12(b) Security | Common Stock, $0.0001 par value | |||
Security Exchange Name | NASDAQ | |||
Entity File Number | 001-40350 | |||
Entity Incorporation, State or Country Code | DE | |||
Entity Tax Identification Number | 81-4816270 | |||
Entity Address, Address Line One | 9020 N Capital of Texas Hwy | |||
Entity Address, Address Line Two | Suite I-260 | |||
Entity Address, City or Town | Austin | |||
Entity Address, State or Province | TX | |||
Entity Address, Postal Zip Code | 78759 | |||
City Area Code | 737 | |||
Local Phone Number | 787-7906 | |||
Entity Common Stock, Shares Outstanding | 125,613,644 | |||
Entity Public Float | $ 229,480,101 | |||
Document Transition Report | false | |||
Auditor Name | BDO USA, P.C. | PricewaterhouseCoopers LLP | ||
Auditor Location | Austin, Texas | Austin, Texas | ||
Auditor Firm ID | 243 | 238 | ||
Documents Incorporated by Reference | List hereunder the following documents if incorporated by reference and the Part of the Form 10-K (e.g., Part I, Part II, etc.) into which the document is incorporated: Portions of the registrant's 2024 Proxy Statement for the Annual Meeting of Stockholders, to be filed on or before April 29, 2024 , are incorporated by reference into Part III of this report. |
Consolidated Balance Sheets (Un
Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Current assets | ||
Cash and cash equivalents | $ 25,235 | $ 44,385 |
Accounts receivable, net | 65,279 | 49,052 |
Inventories | 3,905 | 14,949 |
Prepaid and other current assets | 14,089 | 10,304 |
Total current assets | 108,508 | 118,690 |
Operating lease right-of-use assets | 1,819 | 1,154 |
Property and equipment, net | 1,823 | 1,702 |
Intangible assets, net | 542 | 1,113 |
Goodwill | 7,353 | 7,538 |
Equity method investment | 240 | 0 |
Other assets | 2,785 | 4,201 |
Total assets | 123,070 | 134,398 |
Current liabilities | ||
Accounts payable | 7,979 | 15,801 |
Accrued expenses | 34,848 | 23,896 |
Income taxes payable | 88 | 443 |
Deferred revenue | 3,612 | 11,316 |
Other current liabilities | 8,138 | 8,884 |
Total current liabilities | 54,665 | 60,340 |
Operating lease liability, net of current portion | 1,124 | 786 |
Other non-current liabilities | 4,810 | 6,822 |
Total liabilities | 60,599 | 67,948 |
Commitments and contingencies (Note 15) | ||
Stockholders' equity | ||
Preferred stock par value of $0.0001 per share, 10,000,000 shares authorized; none issued as of December 31, 2023 and December 31, 2022 | 0 | 0 |
Common stock par value of $0.0001 per share, 850,000,000 shares authorized; 125,445,325 and 105,032,588 shares issued and outstanding as of December 31, 2023 and December 31, 2022 | 13 | 11 |
Treasury stock, at cost; 10,762,566 shares as of December 31, 2023 and December 31, 2022 | 0 | 0 |
Additional paid-in capital | 361,886 | 315,345 |
Accumulated other comprehensive loss | (293) | (61) |
Accumulated deficit | (299,135) | (248,845) |
Total stockholders' equity | 62,471 | 66,450 |
Total liabilities and stockholders' equity | $ 123,070 | $ 134,398 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) (Unaudited) - $ / shares | Dec. 31, 2023 | Dec. 31, 2022 |
Statement of Financial Position [Abstract] | ||
Preferred stock, par value | $ 0.0001 | $ 0.0001 |
Preferred stock, shares authorized | 10,000,000 | 10,000,000 |
Preferred stock, shares issued | 0 | 0 |
Common stock, par value | $ 0.0001 | $ 0.0001 |
Common stock, shares authorized | 850,000,000 | 850,000,000 |
Common stock, shares issued | 125,445,325 | 105,032,588 |
Common stock, shares outstanding | 125,445,325 | 105,032,588 |
Treasury Stock, Common, Shares | 10,762,566 | 10,762,566 |
Consolidated Statements of Oper
Consolidated Statements of Operations and Comprehensive Loss (Unaudited) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Revenue: | |||
Total revenue | $ 127,002 | $ 123,066 | $ 270,525 |
Cost of revenue: | |||
Total cost of revenue | 118,695 | 150,294 | 303,070 |
Gross profit (loss) | 8,307 | (27,228) | (32,545) |
Operating expenses | |||
Research and development | 7,166 | 9,949 | 11,540 |
Selling and marketing | 14,811 | 8,659 | 6,823 |
General and administrative | 37,107 | 53,736 | 75,896 |
Total Operating expenses | 59,084 | 72,344 | 94,259 |
Loss from operations | (50,777) | (99,572) | (126,804) |
Interest expense, net | (253) | (978) | (814) |
Gain from disposal of investment in unconsolidated subsidiary | 1,319 | 1,745 | 20,829 |
Gain on extinguishment of debt | 0 | 0 | 790 |
Other expense, net | (257) | (373) | (67) |
Loss from unconsolidated subsidiary | (660) | 0 | (354) |
Loss before income taxes | (50,628) | (99,178) | (106,420) |
(Provision) benefit for income taxes | 338 | (435) | (169) |
Net loss | (50,290) | (99,613) | (106,589) |
Other comprehensive income (loss): | |||
Foreign currency translation adjustments | (232) | (68) | 10 |
Comprehensive loss | $ (50,522) | $ (99,681) | $ (106,579) |
Net loss per share | |||
Basic | $ (0.44) | $ (0.98) | $ (1.24) |
Diluted | $ (0.44) | $ (0.98) | $ (1.24) |
Weighted-average common shares outstanding: | |||
Basic weighted-average number of common shares outstanding | 115,546,150 | 101,408,263 | 86,043,051 |
Diluted weighted-average number of common shares outstanding | 115,546,150 | 101,408,263 | 86,043,051 |
Product [Member] | |||
Revenue: | |||
Total revenue | $ 101,872 | $ 63,760 | $ 227,397 |
Cost of revenue: | |||
Total cost of revenue | 93,314 | 84,766 | 239,149 |
Service [Member] | |||
Revenue: | |||
Total revenue | 25,130 | 59,306 | 43,128 |
Cost of revenue: | |||
Total cost of revenue | $ 25,381 | $ 65,528 | $ 63,921 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity (Deficit) (Unaudited) - USD ($) $ in Thousands | Total | Preferred Stock | Common Stock | Treasury Stock | Additional Paid-in Capital | Accumulated Other Comprehensive income (loss) | Accumulated Deficit |
Beginning balance at Dec. 31, 2020 | $ 7,451 | $ 0 | $ 1 | $ 0 | $ 50,096 | $ (3) | $ (42,643) |
Beginning balance (in shares) at Dec. 31, 2020 | 0 | 66,155,340 | 9,896,666 | ||||
Shares issued during the period for vested restricted stock awards, Shares | 9,107,121 | ||||||
Acquisition of treasury stock | (865,900) | 865,900 | |||||
Issuance of common stock upon exercise of stock options | 317 | $ 1 | 316 | ||||
Issuance of common stock upon exercise of stock options (in shares) | 2,838,464 | ||||||
Sale of shares | 241,155 | $ 2 | 241,153 | ||||
Sale of shares, shares | 19,840,000 | ||||||
Stock offering costs | (7,088) | (7,088) | |||||
Repurchase and retirement of common stock held by related parties | (54,155) | $ (1) | (54,154) | ||||
Shares acquired and retired | (4,455,384) | ||||||
Impact of Stock Split | $ 6 | (6) | |||||
Stock-based compensation | 61,765 | 61,765 | |||||
Net Income (Loss) | (106,589) | (106,589) | |||||
Other comprehensive loss | 10 | 10 | |||||
Ending balance at Dec. 31, 2021 | 142,866 | $ 0 | $ 9 | $ 0 | 292,082 | 7 | (149,232) |
Ending balance (in shares) at Dec. 31, 2021 | 0 | 92,619,641 | 10,762,566 | ||||
Shares issued during the period for vested restricted stock awards, Value | 4,062 | $ 1 | 4,061 | ||||
Shares issued during the period for vested restricted stock awards, Shares | 8,096,868 | ||||||
Issuance of common stock upon exercise of stock options | 903 | $ 1 | 902 | ||||
Issuance of common stock upon exercise of stock options (in shares) | 3,316,079 | ||||||
Shares issued for HX Tracker acquisition, Amount | 4,370 | 4,370 | |||||
Shares issued for HX Tracker acquisition, Shares | 1,000,000 | ||||||
Stock-based compensation | 13,930 | 13,930 | |||||
Net Income (Loss) | (99,613) | (99,613) | |||||
Other comprehensive loss | (68) | (68) | |||||
Ending balance at Dec. 31, 2022 | 66,450 | $ 0 | $ 11 | $ 0 | 315,345 | (61) | (248,845) |
Ending balance (in shares) at Dec. 31, 2022 | 0 | 105,032,588 | 10,762,566 | ||||
Shares issued during the period for vested restricted stock awards, Value | 4,861 | $ 1 | 4,860 | ||||
Shares issued during the period for vested restricted stock awards, Shares | 3,787,996 | ||||||
Issuance of common stock upon exercise of stock options | $ 226 | 226 | |||||
Issuance of common stock upon exercise of stock options (in shares) | 717,960 | 717,960 | |||||
Shares issued for legal settlement | $ 2,000 | 2,000 | |||||
Shares issued for legal settlement, shares | 797,396 | ||||||
Sale of shares | 34,007 | $ 1 | 34,006 | ||||
Sale of shares, shares | 15,421,885 | ||||||
Stock offering costs | (297) | (297) | |||||
Shares acquired and retired | (312,500) | ||||||
Stock-based compensation | 5,746 | 5,746 | |||||
Net Income (Loss) | (50,290) | (50,290) | |||||
Other comprehensive loss | (232) | (232) | |||||
Ending balance at Dec. 31, 2023 | $ 62,471 | $ 0 | $ 13 | $ 0 | $ 361,886 | $ (293) | $ (299,135) |
Ending balance (in shares) at Dec. 31, 2023 | 0 | 125,445,325 | 10,762,566 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Cash flows from operating activities | |||
Net loss | $ (50,290) | $ (99,613) | $ (106,589) |
Adjustments to reconcile net loss to cash used in operating activities: | |||
Stock-based compensation | 8,295 | 20,303 | 61,765 |
Depreciation and amortization | 1,375 | 900 | 232 |
Loss from sale of property and equipment | (2) | 183 | 0 |
Amortization of debt issue costs | 709 | 703 | 461 |
Provision for litigation settlement | 0 | 4,493 | 0 |
Provision for obsolete and slow-moving inventory | 706 | 1,813 | 90 |
(Gain) loss from unconsolidated subsidiary | 660 | 0 | 354 |
Gain from disposal of investment in unconsolidated subsidiary | (1,319) | (1,745) | (20,829) |
Gain on extinguishment of debt | 0 | 0 | (790) |
Warranty and remediation provisions | 4,310 | 8,228 | 8,588 |
Warranty recoverable from manufacturer | 90 | (302) | (928) |
Credit losses and bad debt expense (credit) | 7,373 | 1,159 | (91) |
Deferred income taxes | 138 | (135) | 0 |
Lease expense and other | 996 | 705 | 458 |
Impact on cash from changes in operating assets and liabilities: | |||
Accounts receivable | (23,600) | 57,337 | (83,723) |
Inventories | 10,338 | (7,902) | (7,264) |
Prepaid and other current assets | (3,681) | 7,189 | (10,237) |
Other assets | 383 | (1,019) | (2,137) |
Accounts payable | (7,960) | (22,940) | 21,659 |
Accruals and other current liabilities | 10,582 | (32,670) | 34,095 |
Deferred revenue | (7,704) | 9,895 | (21,559) |
Other non-current liabilities | (3,083) | (599) | (6,016) |
Lease payments and other, net | (972) | (493) | (393) |
Net cash used in operations | (52,656) | (54,510) | (132,854) |
Cash flows from investing activities: | |||
Purchases of property and equipment | (816) | (985) | (1,025) |
Proceeds from sale of property and equipment | 0 | 86 | 0 |
Equity method investment in Alpha Steel | (900) | 0 | 0 |
Acquisitions, net of cash acquired | 0 | (5,093) | 0 |
Proceeds from disposal of investment in unconsolidated subsidiary | 1,319 | 1,745 | 22,332 |
Net cash provided by (used in) investing activities | (397) | (4,247) | 21,307 |
Cash flows from financing activities: | |||
Repayments of borrowings | 0 | 0 | (1,000) |
Repurchase and retirement of common stock held by related parties | 0 | 0 | (54,155) |
Sale of common stock | 34,007 | 0 | 0 |
Stock Offering costs paid | (283) | 0 | (5,948) |
Proceeds from stock issuance | 0 | 0 | 241,155 |
Proceeds from stock option exercises | 226 | 903 | 317 |
Net cash provided by financing activities | 33,950 | 903 | 180,369 |
Effect of exchange rate changes on cash and cash equivalents | (47) | 54 | (10) |
Increase (decrease) in cash and cash equivalents | (19,150) | (57,800) | 68,812 |
Cash and cash equivalents at beginning of period | 44,385 | 102,185 | 33,373 |
Cash and cash equivalents at end of period | 25,235 | 44,385 | 102,185 |
Supplemental disclosures of cash flow information: | |||
Purchases of property and equipment included in ending accounts payable and accruals | 166 | 11 | 478 |
Stock issued for accrued legal settlement | 2,000 | 0 | 0 |
Right-of-use asset and lease liability recognition for new leases | 1,417 | 0 | 1,540 |
Cash paid during the period for third party interest | 576 | 784 | 254 |
Cash paid during the period for related party interest | 0 | 0 | 207 |
Cash paid during the period for taxes, net of refunds | $ 177 | $ 123 | $ 76 |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Pay vs Performance Disclosure | |||
Net Income (Loss) | $ (50,290) | $ (99,613) | $ (106,589) |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Dec. 31, 2023 shares | |
Trading Arrangements, by Individual | |
Material Terms of Trading Arrangement | We have adopted an Insider Trading Policy that applies to all directors, officers and employees, a copy of which has been filed as Exhibit 19.1 to this Annual Report. During the three months ended December 31, 2023 , the following executive officers and directors adopted plans intended to satisfy the affirmative defense conditions of Rule 10b5-1(c) of the Securities Exchange Act of 1934 ("10b5-1 Plan") as follows: Name and title Date trading plan adopted Duration of trading plan Aggregate number of securities to be sold Adoption of trading plans to sell securities: Patrick Cook Chief Commercial Officer 12/11/2023 3/18/2024 to 12/31/2024 Sale of sufficient shares to cover taxes, commissions and fees relating to vesting of 114,908 restricted stock units David Springer Director 11/29/2023 3/4/2024 to 8/30/2024 1,400,000 Tamara Mullings Director 12/11/2023 3/5/2024 to 12/31/2024 73,654 During the three months ended December 31, 2023 , no executive officers or directors terminated or amended existing 10b5-1 Plans and no executive officers or directors adopted or terminated a "non-Rule 10b5-1 trading arrangement" as defined in Item 408 of Regulation S-K. |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
Patrick Cook [Member] | |
Trading Arrangements, by Individual | |
Name | Patrick Cook |
Title | Chief Commercial Officer |
Rule 10b5-1 Arrangement Adopted | true |
Non-Rule 10b5-1 Arrangement Adopted | false |
Adoption Date | 12/11/2023 |
Arrangement Duration | 288 days |
Aggregate Available | 114,908 |
David Springer [Member] | |
Trading Arrangements, by Individual | |
Name | David Springer |
Title | Director |
Rule 10b5-1 Arrangement Adopted | true |
Non-Rule 10b5-1 Arrangement Adopted | false |
Adoption Date | 11/29/2023 |
Arrangement Duration | 179 days |
Aggregate Available | 1,400,000 |
Tamara Mullings [Member] | |
Trading Arrangements, by Individual | |
Name | Tamara Mullings |
Title | Director |
Rule 10b5-1 Arrangement Adopted | true |
Non-Rule 10b5-1 Arrangement Adopted | false |
Adoption Date | 12/11/2023 |
Arrangement Duration | 301 days |
Aggregate Available | 73,654 |
Description of business
Description of business | 12 Months Ended |
Dec. 31, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Description of business | Note 1. Descr iption of business FTC Solar, Inc. (the “Company”, “we”, “our”, or “us”) was founded in 2017 and is incorporated in the state of Delaware. In April 2021, we completed an initial public offering ("IPO"), and our common stock began trading on the Nasdaq Global Market under the symbol “FTCI”. We are a global provider of solar tracker systems, supported by proprietary software and value-added engineering services. Solar tracker systems move solar panels throughout the day to maintain an optimal orientation relative to the sun, thereby increasing the amount of solar energy produced at a solar installation. Our original tracker system is currently marketed under the Voyager brand name (“Voyager”), which is our two-panel in-portrait ("2P") single-axis tracker solution. In September 2022, we announced the introduction of Pioneer, our new one module-in-portrait ("1P") solar tracker solution, which became certified in 2023. We have also launched a new mounting solution to support the installation and use of U.S.-manufactured thin-film modules by project owners and, in August 2023, we introduced SUNOPS, a cloud-based, tracker-agnostic solar asset monitoring solution allowing asset owners and managers to evaluate the operation and performance of their solar deployments. In addition, we have a team of renewable energy professionals available to assist our U.S. and worldwide clients in site layout, structural design, pile testing and other needs across the solar project development and construction cycle. The Company is headquartered in Austin, Texas, and has international subsidiaries in Australia, China, India and South Africa. We are an emerging growth company, as defined in the Jumpstart Our Business Startups (JOBS) Act. Under the JOBS Act, we elected to use the allowed extended transition period to delay adopting new or revised accounting standards until such time as those standards apply to private companies. |
Summary of significant accounti
Summary of significant accounting policies | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Summary of significant accounting policies | Note 2. Sum mary of significant accounting policies Basis of presentation and principles of consolidation These consolidated financial statements include the results of the Company and its wholly owned subsidiaries and have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). Intercompany balances and transactions have been eliminated in consolidation. We will consolidate a Variable Interest Entity ("VIE") where it has been determined that we are the primary beneficiary of the entity's operations. The primary beneficiary is the party that has both the power to direct the activities that most significantly impact the VIE's economic performance and the obligation to absorb losses or the right to receive benefits of the VIE that could potentially be significant to the VIE. In evaluating whether we are the primary beneficiary, we will evaluate our power to direct the most significant activities of the VIE by considering the purpose and design of the entity and the risks the entity was designed to create and pass through to its variable interest holders. We also will evaluate our economic interests in the VIE. We currently operate in one business segment, the manufacturing and servicing of solar tracker systems. Liquidity We have incurred cumulative losses since inception and have a history of cash outflows from operations, inclusive of $ 52.7 million in cash utilized for our operating activities during the year ended December 31, 2023. As of December 31, 2023, we had $ 25.2 million of cash on hand, $ 53.8 million of working capital and approximately $ 64.9 million of remaining capacity available for future sales of our common stock under our ATM program as defined and described further in Note 5 below. There can be no assurance that we will be able to sell any additional shares of our common stock under the ATM program and no assurance regarding the price at which we will be able to sell such shares, and any sales of our common stock under the ATM program may be at prices that result in additional dilution to our existing stockholders. On December 22, 2023, we received notification from The Nasdaq Stock Market LLC (“Nasdaq”) that we were not in compliance with the requirement to maintain a minimum closing bid price of $ 1.00 per share, as set forth in Nasdaq Listing Rule 5450(a)(1), because the closing bid price of the Company’s common stock was below $ 1.00 per share for 30 consecutive business days. The notification does not impact the listing of our common stock on the Nasdaq Global Market at this time. In accordance with Nasdaq Listing Rule 5810(c)(3)(A), we have a period of 180 calendar days from the date of notification, or until June 19, 2024, to regain compliance with the minimum bid price requirement. During this period, our common stock will continue to trade on the Nasdaq Global Market. If at any time before June 19, 2024 the bid price of our common stock closes at or above $ 1.00 per share for a minimum of ten consecutive business days, Nasdaq will provide written notification that we have achieved compliance with this minimum bid price requirement. In the event we do not regain compliance by June 19, 2024, we may be eligible for an additional 180 calendar day compliance period to demonstrate compliance with the minimum bid price requirement. To qualify for the additional 180-day period, we may be required to meet the continued listing requirements for market value of publicly held shares and all other initial listing standards (with the exception of the bid price requirement) and transfer our listing to the Nasdaq Capital Market. In addition, we will need to provide written notice to Nasdaq of our intention to cure the deficiency during the second compliance period by effecting a reverse stock split, if necessary. If we do not qualify for the second compliance period or fail to regain compliance during the second 180-day period, then Nasdaq will notify us that our common stock is subject to delisting. As of December 31, 2023, we were not in compliance with the minimum liquidity covenant in our existing Senior Secured Revolving Credit Facility (the "Credit Facility") which currently prevents us from borrowing under the Credit Facility. The Credit Facility will terminate on April 30, 2024, unless earlier extended or replaced. Also, as of December 31, 2023 , we had a material contractual obligation that could require us to make additional capital contributions of up to $ 2.6 million to Alpha Steel , as described further in Note 3, "Equity method investment". The most notable incentive program impacting our U.S. business has historically been the investment tax credit ("ITC") for solar energy projects, which allows taxpayers to offset their U.S. federal income tax liability by a certain percentage of their cost basis in solar energy systems placed in service for commercial use. The Inflation Reduction Act of 2022, passed by the U.S. Congress and signed into law by President Biden on August 16, 2022, expanded and extended the tax credits and other tax benefits available to solar energy projects and the solar energy supply chain. ITCs have been extended for such projects through at least 2032 and, depending on the location of a particular project and its ability to satisfy certain labor and domestic content requirements, the ITC percentage can range between 30 % and 50 %. U.S. manufacturers of specific solar components are now eligible to claim production tax credits as an alternative to the ITC. Implementing regulations for this law are, in certain cases, still being finalized and the impact of these regulations continue to be evaluated by developers of new solar projects and manufacturers of solar components. Our investment in and commitments made to Alpha Steel will allow us to obtain certain benefits as a result of this new production tax credit program. We have taken steps to expand and diversify our manufacturing partnerships and have adjusted our modes of transportation to mitigate the impact of headwinds that might arise in the global supply chain and logistics markets. As an example, we modified our ocean freight from previously using charter shipments to now using containerized shipments as costs in the container market began to decrease in 2022 after having risen at the beginning of the COVID 19 pandemic. We continue to monitor the logistics markets and will continue to evaluate our use of various modes of transportation when warranted to optimize our transportation costs. Additionally, from February 2022 to September 2023, we utilized a related-party consulting firm to support us in making improvements to our processes and performance in various areas, including design, sourcing, logistics, pricing, software and our distributed generation business. For further information regarding this consulting firm, see "Note 18. Related party transactions" below. We also took steps in 2022 and 2023, and continue to evaluate our opportunities in 2024, to address existing market challenges, our cost structure and our historical use of cash. Further, we recently launched Pioneer, a 1P solar tracker solution, and introduced a new mounting solution to support the installation and use of U.S.-manufactured thin-film modules. Additionally, as noted above, we have seen improvements in the logistics markets and easing of supply chain constraints beginning in 2022. These factors have contributed to us having positive gross profit during each quarter in 2023, a first since our IPO in April 2021. In accordance with Accounting Standards Codification ("ASC") 205-40, Going Concern, we have evaluated whether there are conditions and events, considered in the aggregate, which raise substantial doubt about our ability to continue as a going concern within one year after the date our consolidated financial statements are issued. Management believes that our existing cash on hand, as well as the continuing impact of certain of the actions described above and our expectations of (i) improved market conditions, (ii) the expected timing of customer project activity, including activity related to certain large project awards received in 2023, and (iii) positive results from our efforts to increase gross margins, will allow us to grow profitably and generate positive cash flow from operations during the next twelve months in amounts that will be sufficient, along with our other available resources such as our existing working capital and remaining capacity available for future sales of our common stock under our ATM program, to fund our operations for at least one year from the date of issuance of these consolidated financial statements. While there are already many underlying drivers of growth in the solar industry, the expected positive impact on demand for our products, or the timing of construction activity by existing customers and solar project developers, could take longer than expected to occur. In addition, domestic and international market conditions could deteriorate significantly from what we currently expect, and regulatory and international trade policies could become more stringent as a result of (i) findings from the Solar Circumvention Investigation, (ii) CBP's enforcement of the UFLPA, and (iii) other factors, which may result in a need for us to issue additional debt or obtain new equity financing to adequately fund our existing operations beyond the next twelve months. We continue to actively explore options to obtain additional sources of capital through the issuance of new debt, asset financing or other potential measures for our longer-term needs. However, we may be unable to obtain any desired additional financing on terms favorable to us, or at all, depending on market and other conditions, which could result in curtailment of our current operations and our ability to further invest in our products and new technology. The ability to raise additional financing depends on numerous factors, some of which that are outside of our control, including macroeconomic factors such as the impact of inflation, the level of interest rates, supply chain or other effects from the ongoing conflicts in the Ukraine and the Middle East, general market conditions, the health of financial institutions (including the recent bankruptcy of certain regional banks and related impacts that have occurred and continue to occur in the banking industry), investors' and lenders' assessments of our prospects and the prospects of the solar industry in general and the ability of our common stock to continue to trade in active markets. Use of estimates Preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements, and the reported revenue and expenses during the period. Estimates are used for calculating the measure of progress of our solar tracker projects and deriving the standalone selling prices of the individual performance obligations when determining amounts to recognize for revenue, estimating allowances for credit losses and slow-moving and obsolete inventory, determining useful lives of long-lived assets and the estimated fair value of those assets for impairment assessments, and estimating the fair value of investments, stock compensation awards, warranty liabilities and federal and state taxes, including tax valuation allowances, as well as other contingencies. We base our estimates on historical experience and anticipated results, trends, and various other assumptions that we believe are reasonable under the circumstances, including assumptions as to future events. Actual results could differ from those estimates due to risks and uncertainties. Cash and cash equivalents We consider all highly liquid investments purchased with an original maturity of three months or less to be cash equivalents. Certain of our cash equivalents include deposits in money market funds that invest primarily in short-term securities issued or guaranteed by the U.S. government or its agencies or instrumentalities and contain no restrictions on immediate redemption. Interest earned on cash equivalents is included in interest income, which is reported net of interest expense in our Consolidated Statements of Comprehensive Loss. Restricted cash Cash balances that are legally, contractually or otherwise restricted as to withdrawal or usage are considered restricted cash. We had no restricted cash balances at either December 31, 2023 or December 31, 2022 . Acc ounts receivable, net Trade receivables are recorded at invoiced amounts, net of allowances for credit losses, and do not bear interest. We generally do not require collateral from our customers; however, in certain circumstances, we may require letters of credit, other collateral, additional guarantees or advance payments. The allowance for credit losses is based on the lifetime expected credit loss of our customer accounts. To assess the lifetime expected credit loss, we utilize a loss rate method that takes into consideration historical experience and certain other factors, as appropriate, such as credit quality and current economic or other conditions that may affect a customer's ability to pay. Receivables arising from revenue recognized in excess of billings represents our unconditional right to consideration before customers are invoiced due to the level of progress obtained as of period end on our contracts to install solar tracker systems and related equipment. Further information may be found below in our revenue recognition policy. Inventories, net Inventories are stated at the lower of cost or net realizable value, with costs computed on a first-in, first-out basis. The Company periodically reviews its inventories for excess and obsolete items and adjusts carrying costs to estimated net realizable values when they are determined to be less than cost. Leases We make a determination whether a contract is a lease or contains a lease at the inception of the contract and will reassess that conclusion if the contract is modified. All leases are assessed for classification as an operating lease or a finance lease. Operating lease right-of-use (“ROU”) assets are reflected on the Company's Consolidated Balance Sheets. Operating lease liabilities are separated into a current portion, which is included in other current liabilities, and a noncurrent portion which is reflected separately on the Company's Consolidated Balance Sheets. The Company does not have any finance lease ROU assets or liabilities. ROU assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. The Company does not obtain and control its right to use the identified asset until the lease commencement date. Our lease liabilities are recognized at the applicable lease commencement date based on the present value of the lease payments required to be paid over the lease term. Because the rate implicit in the lease is not readily determinable, we generally use our incremental borrowing rate to discount the lease payments to present value. The estimated incremental borrowing rate is derived from information available at the lease commencement date. We factor in publicly available data for instruments with similar characteristics when calculating our incremental borrowing rates. The Company's ROU assets are also recognized at the applicable lease commencement date. The ROU asset equals the carrying amount of the related lease liability, adjusted for any lease payments made prior to lease commencement and lease incentives provided by the lessor. Variable lease payments are expensed as incurred and do not factor into the measurement of the applicable ROU asset or lease liability. The term of our leases equals the non-cancellable period of the lease, including any rent-free periods provided by the lessor, and also include options to renew or extend the lease (including by not terminating the lease) that we are reasonably certain to exercise. We establish the term of each lease at lease commencement and reassess that term in subsequent periods when one of the triggering events outlined in ASC 842 occurs. Our operating lease cost for the lease payments is recognized on a straight-line basis over the lease term. Our lease contracts often include lease and non-lease components. For facility leases, we elected the practical expedient offered by the standard to not separate lease from non-lease components and, therefore, account for them as a single lease component. For our other contracts that include leases, the Company accounts for the lease and non-lease components separately. We have elected, for all classes of underlying assets, not to recognize ROU assets and lease liabilities for leases with a term of twelve months or less. Lease cost for short-term leases is recognized on a straight-line basis over the lease term. Property and equipment, net Cost Property and equipment are stated at cost, net of accumulated depreciation. When assets are retired or otherwise disposed of, the cost and accumulated depreciation and amortization are removed from the accounts and any resulting gain or loss is recorded in the Consolidated Statements of Comprehensive Loss. Maintenance and repair costs that do not extend the useful life or improve an asset, are expensed as incurred. Third-party and internal personnel costs during the application development stage of software developed or obtained for internal use are capitalized. Costs incurred during the preliminary planning stage and post-implementation of new software systems projects, including data conversion and training costs, are expensed as incurred. Depreciation We depreciate our property and equipment using the straight-line method over their estimated useful lives, which generally are as follows: Category Depreciation period (in years) Leasehold improvements 3 Field equipment 5 Information technology equipment 3 Tooling 3 Capitalized software 3 Imp airment We review our long-lived assets that are held for use for impairment whenever events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable or that its useful life may be shorter than previously expected. If such impairment indicators are present or other factors exist that indicate the carrying amount of the asset may not be recoverable, we determine whether an impairment has occurred through the use of an undiscounted cash flow analysis of the asset at the lowest level for which identifiable cash flows exist. If an impairment has occurred, we recognize a loss for the difference between the carrying amount and the fair value of the asset, which in most cases is estimated based upon Level 3 unobservable inputs. If the asset is determined to have a remaining useful life shorter than previously expected, an adjustment for the shorter remaining life will be made for purposes of recognizing future depreciation expense. Assets are classified as held for sale when we have a plan, approved by the appropriate levels of management, for disposal of such assets, as well as other considerations, and those assets are stated at the lower of carrying value or estimated fair value less estimated costs to sell. Intangible assets, net Intangible assets are recorded at fair value when acquired in connection with a business combination and consist of developed technology in the form of software tools, licenses, and intellectual property, which are amortized over the period of their estimated useful lives, generally 2.5 - 3.0 years, using the straight-line method. Costs incurred to renew or extend the term of a recognized intangible asset, if any, are expensed as incurred. We evaluate intangible assets for impairment using the method described above under "Impairment". Go odwill We recognize goodwill as the excess of the purchase price over the estimated fair value of the identified assets and liabilities acquired in a business combination accounted for using the acquisition method. Goodwill is not amortized but is subject to a periodic assessment for impairment at least annually, or whenever events and circumstances indicate an impairment may exist. Our assessments may include qualitative factors such as current or expected industry and market conditions, our overall financial performance, share price trends, market capitalization and other company-specific events. We operate in one segment, being the consolidated entity, which we have also determined is the reporting unit for goodwill impairment. We determined that we had no impairment of our goodwill as of December 31, 2023 . Equity method investments We use the equity method of accounting for investments in which we have the ability to exercise significant influence, but not control, over operating and financial policies of the investee. Our proportionate share of the net income or loss of these investees is included in our Consolidated Statements of Comprehensive Loss. Judgment regarding the level of influence over each equity method investment includes considering key factors such as our ownership interest, legal form of the investee, representation on the board of directors or managers, participation in policy-making decisions and material intra-entity transactions. We account for distributions received from equity method investees under the “nature of the distribution” approach based on the nature of the activity or activities of the investee that generated the distribution as either a return on investment (classified as cash inflows from operating activities) or a return of investment (classified as cash inflows from investing activities). We evaluate equity method investments for impairment whenever events or changes in circumstances indicate that the carrying amount of the investment might not be recoverable. Factors considered by the Company when reviewing an equity method investment for impairment include the length of time and the extent to which the fair value of the equity method investment has been less than its cost, the investee’s financial condition and near-term prospects and the intent and ability to hold the investment for a period of time sufficient to allow for anticipated recovery. An impairment that is other-than temporary is recognized in the period identified. We made an accounting policy election that, upon the sale of our equity method investments, we will recognize contractual contingent gains arising from earnout provisions and project escrow releases when such amounts are realizable in periods subsequent to the disposal date. Deferred costs Debt issue costs Legal, consulting, banking, accounting and other fees that are incremental and directly related to establishment of our revolving line of credit agreement have been capitalized and included as a component of other assets. These costs are being amortized to interest expense over the term of the revolving line of credit agreement on a straight-line basis. Debt discount and issue costs paid to lenders and third parties relating to outstanding debt, if any, are deferred and included as a reduction in the carrying amount of the debt. These deferred costs will be amortized as additional interest expense over the life of the debt using the interest method or on a straight-line basis, if not materially different. Equity offering costs Legal, consulting, banking, accounting and other fees that are incremental and directly related to anticipated equity offerings are capitalized as incurred and offset against proceeds received upon consummation of the offering as a component of additional paid-in capital. In the event an anticipated offering is terminated, such costs will be expensed. Wa rranty Typically, the sale of solar tracker projects includes parts warranties to customers as part of the overall price of the product. We provide standard assurance type warranties for our products for periods generally ranging from five to ten years . We also accrue for costs relating to remediation efforts involving product issues we believe require correction. We record a provision for estimated warranty and remediation expenses in cost of sales, net of amounts recoverable from manufacturers under their warranty obligations to us. When historical claims information relating to our equipment is not sufficient, we will base our estimates on industry studies involving the nature and frequency of product failure rates for similar parts used by our competitors, as well as other related businesses. We do not maintain general or unspecified reserves; all warranty reserves are related to specific projects. All actual or estimated material costs incurred for warranty or remediation services in subsequent periods are charged to those established reserves. While we periodically monitor our warranty activities and claims, if actual costs incurred were to be different from our estimates, we would recognize adjustments to our warranty reserves in the period in which those differences arise or are identified. Sto ck-based compensation We recognize compensation expense for all share-based payment awards made, including stock options and RSUs, based on the estimated fair value of the award on the grant date. We calculate the fair value of stock options using the Black-Scholes option pricing model for awards with service-based vesting or through use of a lattice model or a Monte Carlo simulation for stock option and RSU awards with market conditions. The fair value of RSUs with service or performance-based vesting is based on the estimated fair value of the Company's common stock on the date of grant. We consider the closing price of our stock, as reported on the Nasdaq Global Market, to be the fair value of our stock on the grant date. The Black-Scholes model relies on various assumptions, in addition to the exercise price of the option and the value of our common stock on the date of grant. These assumptions include: Expected Term: The expected term represents the period that the Company’s stock-based awards are expected to be outstanding and is calculated as the average of the option vesting and contractual terms, based on the simplified method, as we do not have sufficient historical exercise data to provide a reasonable basis upon which to estimate the expected term for options granted. The simplified method deems the term to be the average of the time-to-vesting and the contractual life of the options. The contractual life of an option may be up to 10 years . Expected Volatility: Since the Company did not have a trading history of its common stock prior to our IPO and since such trading history subsequent to our IPO is limited and may be less than the expected term of an award, the expected volatility is derived from the average historical stock volatilities of several public companies within the Company’s industry that it considers to be comparable to its business over a period equivalent to the expected term of the stock option grants. Risk-Free-Interest-Rate: The Company bases the risk-free interest rate on the implied yield available on U.S. Treasury zero-coupon issues with a remaining term equivalent to the expected term. Expected Dividend: The Company has not issued any dividends in its history and does not expect to issue dividends over the life of the options and, therefore, has estimated the dividend yield to be zero. Forfeitures are accounted for as they occur. For service-based awards, stock-based compensation is recognized using the straight-line attribution approach over the requisite service period. For performance-based awards, stock-based compensation is recognized based on graded vesting over the requisite service period when the performance condition is probable of being achieved. Stock compensation expense for market-based awards is recognized over the derived service period determined in the valuation model, inclusive of any vesting conditions. Income taxes Pursuant to ASC 740, Accounting for Income Taxes, we use the asset and liability method for accounting for income taxes. Under this method, we recognize deferred tax liabilities and assets for the expected future tax consequences of temporary differences between the respective carrying amounts and tax basis of our assets and liabilities. Deferred tax balances are adjusted to reflect tax rates based on currently enacted tax laws, which will be in effect in the years in which the temporary differences are expected to reverse. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in the results of operations in the period of the enactment date. We establish valuation allowances when necessary to reduce deferred tax assets to the amounts expected to be realized. On a quarterly basis, we evaluate the need for, and the adequacy of, valuation allowances based on the expected realization of our deferred tax assets. The factors used to assess the likelihood of realization include our latest forecast of future taxable income, available tax planning strategies that could be implemented, reversal of taxable temporary differences and carryback potential to realize the net deferred tax assets. We account for uncertain tax positions in accordance with authoritative guidance which prescribes a minimum recognition threshold a tax position is required to meet before being recognized in the financial statements. Our evaluations of tax positions consider various factors including, but not limited to, changes in tax law, the measurement of tax positions taken or expected to be taken in tax returns, the effective settlement of matters subject to audit, information obtained during in-process audit activities and changes in facts or circumstances related to a tax position. We accrue interest and penalties related to unrecognized tax benefits as a component of income tax expense. Functional currency The reporting currency of the Company is the U.S. dollar. We determine the functional currency of each subsidiary in accordance with ASC 830, Foreign Currency Matters, based on the currency of the primary economic environment in which each subsidiary operates. We translate the assets and liabilities of our non-U.S. dollar functional currency subsidiaries into U.S. dollars using exchange rates in effect at the end of each period. Revenue and expenses for these subsidiaries are translated using rates that approximate those in effect during the period. Gains and losses from these translations are recognized as a cumulative translation adjustment in "Accumulated other comprehensive loss" in "Total stockholders’ equity" in the Consolidated Balance Sheets. The Company remeasures monetary assets and liabilities that are not denominated in the functional currency at exchange rates in effect at the end of each period. Foreign currency gains or losses realized or from remeasurement are reflected in "Other expense, net" in our Consolidated Statements of Comprehensive Loss. Re venue recognition Product revenue is derived from the sale of solar tracker systems and customized components for those systems, individual part sales for certain specific transactions and the sale of term-based software licenses. Term-based licensed software is deployed on the customers’ own servers and has significant standalone functionality. Service revenue includes revenue from shipping and handling services, engineering consulting and pile testing services, our subscription-based enterprise licensing model and maintenance and support services in connection with the term-based software licenses. Our subscription-based enterprise licensing model typically has contract terms ranging from one to two years and consists of subscription fees from the licensing of subscription services. Our hosted on-demand service arrangements do not provide customers with the right to take possession of the software supporting the hosted services. Support services include ongoing security updates, upgrades, bug fixes, and maintenance. We recognize revenue when promised goods or services are transferred to customers in an amount that reflects the consideration to which we expect to be entitled to in exchange for those goods or services by following a five-step process: (1) identify the contract with a customer, (2) identify the performance obligations in the contract, (3) determine the transaction price, (4) allocate the transaction price to the |
Equity method investment
Equity method investment | 12 Months Ended |
Dec. 31, 2023 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Equity method investment | Note 3. Equity method investment On February 9, 2023, we entered into a limited liability company agreement (the "LLC Agreement") with Taihua New Energy (Thailand) Co., LTD ("Taihua"), a leading steel fabricator and an existing vendor, and DAYV LLC, for the creation of Alpha Steel LLC ("Alpha Steel"), a Delaware limited liability company dedicated to producing steel components, including torque tubes, for utility-scale solar projects. The Alpha Steel facility, which is located outside of Houston in Sealy, Texas, began limited commercial production late in the fourth quarter of 2023. We entered into amendment no. 1 to the Alpha Steel LLC Agreement with Taihua and DAYV LLC on July 28, 2023, to allow for members at their option, and with the approval of the Board of Managers, to make payments in respect of Alpha Steel’s contractual obligations in the event that Alpha Steel does not or is not able to make such payments from its own resources (“Credit Support Payments”). Any such Credit Support Payments will be treated as capital contributions by the members to Alpha Steel, with any member funding more than its ratable share of Credit Support Payments being deemed to have loaned such excess to each underfunding member at the U.S. prime rate plus 2 %. Alpha Steel is intended to enhance our domestic supply chain, our ability to support our customers and the growth of the U.S. solar market, with domestic manufacturing utilizing U.S. steel. We have a 45 % interest in Alpha Steel, which is accounted for under the equity method of accounting as we are not the primary beneficiary in the operations of this entity as a result of our variable interest. Taihua has a 51 % interest in Alpha Steel and DAYV LLC, an entity owned by members of the Board of Managers of Alpha Steel and a related party with the parent company of Taihua, has a 4 % interest in Alpha Steel. The Chief Executive Officer of Taihua is the General Manager of Alpha Steel. We have equal voting representation with Taihua and DAYV LLC, combined, on Alpha Steel's Board of Managers which will be responsible, through majority vote, for making certain "major decisions" involving Alpha Steel, as specified in the LLC Agreement, including, among other things, approval of an annual business plan. As of December 31, 2023 , we have made a required initial capital contribution to Alpha Steel of $ 0.9 million. Pursuant to the LLC Agreement, we could be required to make up to $ 2.6 million in additional capital contributions as Alpha Steel expands production. We recognized a loss of $ 0.7 million from this unconsolidated subsidiary during the year ended December 31, 2023, reflecting our share of Alpha Steel's net operating losses incurred to date. In connection with the creation of Alpha Steel, we also entered into a three-year equipment supply agreement (the "Supply Agreement") with Alpha Steel, the terms of which will apply to our equipment purchase orders. Pursuant to the Supply Agreement, we have committed to placing purchase orders with Alpha Steel during the year ended December 31, 2024, for at least 40,000 metric tons of torque tubes, with such volume commitments increasing in each of the next two annual periods by 20,000 metric tons per period . In the event we fail to meet our minimum required purchase commitments in any annual period, we may be required to make a cash payment for the net profit attributable to any unfilled requirements, calculated as specified in the agreement, in an amount not to exceed $ 4.0 million in the aggregate. The Supply Agreement may be terminated early in accordance with its provisions or may be extended beyond the initial term if mutually agreed to by the parties. At December 31, 2023, we were contingently liable for unpaid vendor obligations, including issued but unsatisfied purchase orders, of Alpha Steel totaling approximately $ 3.4 million . We expect Alpha Steel will be able to satisfy these obligations with financial resources available to them in the normal course of operations. |
Reduction in force
Reduction in force | 12 Months Ended |
Dec. 31, 2023 | |
Workforce Activity [Abstract] | |
Reduction in force | Note 4. Re duction in force In August 2023, we restructured and combined selected indirect and administrative functions in order to better control and manage our overhead costs in relation to current market conditions, including the impact of start-up delays for certain customer projects. This effort resulted in a reduction of 21 employees, including certain members of our executive leadership team, or approximately 9 % of our existing headcount at that time. Also, in November 2023, we announced that certain other members of our executive leadership team, including our President and Chief Executive Officer and our then Chief Financial Officer, would step down from their positions and depart the Company, effective in December 2023. Additionally, in December 2022, we implemented a reduction in force impacting 20 employees, or approximately 8 % of our then existing workforce, in order to align our cost structure with our strategic and financial objectives and expected market conditions at that time. In connection with these events, we recognized severance and termination-related costs as follows: Year ended December 31, (in thousands) 2023 2022 Cost of revenue $ 252 $ 145 Research and development 140 116 Selling and marketing 552 62 General and administrative 3,478 118 Total $ 4,422 $ 441 At December 31, 2023 and 2022, we had accruals totaling approximately $ 2.7 million and $ 0.4 million , respectively, relating to payments still to be made to our former employees. The majority of the remaining liability will be paid in 2024. Payments made to former employees for the year ended December 31, 2023 was approximately $ 2.1 million . Payments made during year ended December 31, 2022 were not material. |
ATM program
ATM program | 12 Months Ended |
Dec. 31, 2023 | |
Program Rights Obligations [Abstract] | |
ATM program | Note 5. ATM program On September 14, 2022, we filed a prospectus supplement and entered into an equity distribution agreement (as amended from time to time, the "EDA") under which we may from time to time, in one or more transactions, offer and sell newly issued shares of our common stock having an aggregate offering price of up to $ 100 million in "at the money" offerings (the "ATM program"). We have and intend to continue to use the net proceeds from this offering for general corporate purposes, including working capital and operating expenses. We may also use a portion of such proceeds to acquire or invest in businesses, products, services or technologies. Credit Suisse Securities (USA) LLC served as our initial sales agent under the EDA until August 9, 2023, when that role was assumed by Barclays Capital Inc. ("Barclays") pursuant to an amendment to the EDA. The offering of our common stock under the EDA will terminate upon the earlier of (1) the sale of all common stock subject to the EDA or (2) the termination of the EDA by us or by Barclays as permitted therein. The EDA contains customary representations, covenants and indemnification provisions. Under the ATM program, we sold 15,421,885 shares of newly issued common stock valued at $ 35.1 million (for proceeds, net of commissions and fees, of approximately $ 34.0 million ), during the year ended December 31, 2023. As of December 31, 2023, approximately $ 64.9 million of capacity remained for future sales of our common stock under the ATM program. Such future sales are dependent on the current price of our common stock and the continued ability of our stock to trade in active public markets. |
Accounts receivable, net
Accounts receivable, net | 12 Months Ended |
Dec. 31, 2023 | |
Accounts Receivable, after Allowance for Credit Loss [Abstract] | |
Accounts receivable, net | Note 6. Acc ounts receivable, net Accounts receivable consisted of the following: (in thousands) December 31, 2023 December 31, 2022 Trade receivables $ 46,152 $ 35,367 Related party receivables 868 — Revenue recognized in excess of billings 26,813 14,844 Other receivables 3 25 Total 73,836 50,236 Allowance for credit losses ( 8,557 ) ( 1,184 ) Accounts receivable, net $ 65,279 $ 49,052 Information about our related party receivables at December 31, 2023, may be found below in Note 18, "Related party transactions". We bill our customers for contracted amounts in accordance with agreed-upon contractual terms, which generally coincide with achievement of specified milestones on a project, such as completion of engineering, shipment, delivery or commissioning. Changes in our revenue recognized in excess of billings relate to fluctuations in the timing of billings in relation to the amount of revenue recognized over time as work progresses. Included in total receivables above are amounts billed under retainage provisions totaling $ 0.9 million and $ 3.7 million as of December 31, 2023 and 2022, respectively, which are due within the upcoming year. At December 31, 2023 , four customers accounted for approximately 42 % , 20 % , 13 % and 11 % , respectively, of our total accounts receivable. At December 31, 2022, three customers accounted for approximately 55 %, 15 %, and 12 %, respectively, of our total accounts receivable. Activity in the allowance for credit losses in 2023 and the allowance for doubtful accounts in 2022 and 2021 was as follows: Year ended December 31, (in thousands) 2023 2022 2021 Balance at beginning of period $ 1,184 $ 3,872 $ 1,228 Impact of adoption of ASU 2016-13, effective January 1, 2023 — N/A N/A Additions charged to earnings during the period 7,373 5,578 4,045 Write-offs of uncollectible accounts — ( 8,266 ) ( 1,401 ) Balance at end of period $ 8,557 $ 1,184 $ 3,872 |
Inventories, net
Inventories, net | 12 Months Ended |
Dec. 31, 2023 | |
Inventory Disclosure [Abstract] | |
Inventories, net | Note 7. Inve ntories, net Inventories consisted of the following: (in thousands) December 31, 2023 December 31, 2022 Finished goods $ 4,246 $ 16,269 Allowance for slow-moving and obsolete inventory ( 341 ) ( 1,320 ) Total $ 3,905 $ 14,949 Activity in the allowance for slow-moving and obsolete inventory for each period was as follows: Year ended December 31, (in thousands) 2023 2022 2021 Balance at beginning of period $ 1,320 $ 90 $ — Additions charged to earnings 706 1,813 90 Write-offs of obsolete inventory ( 1,685 ) ( 583 ) — Balance at end of period $ 341 $ 1,320 $ 90 |
Prepaid and other current asset
Prepaid and other current assets | 12 Months Ended |
Dec. 31, 2023 | |
Prepaid Expense and Other Assets, Current [Abstract] | |
Prepaid and other current assets | Note 8. Prep aid and other current assets Prepaid and other current assets consisted of the following: (in thousands) December 31, 2023 December 31, 2022 Vendor deposits $ 6,187 $ 5,085 Prepaid expenses 1,251 3,544 Prepaid taxes 447 163 Deferred cost of revenue 666 — Surety collateral — 107 Other current assets 5,538 1,405 Total $ 14,089 $ 10,304 At December 31, 2023, other current assets included $ 3.0 million of (i) a short-term interest-bearing loan to a customer, as well as (ii) a non-interest bearing customer advance, both of which are for pre-project construction financing activities. The amounts are secured by customer assets and, additionally, in one case by a financial guarantee. |
Leases
Leases | 12 Months Ended |
Dec. 31, 2023 | |
Leases [Abstract] | |
Leases | Note 9. Lea ses We lease office and warehouse space in various locations, including our corporate headquarters in Austin, Texas. Additionally, we lease space for an applications laboratory in Austin, Texas and a research and development facility in Seguin, Texas. All of our manufacturing is outsourced to contract manufacturing partners, and we currently do not own or lease any manufacturing facilities. We utilized a weighted average discount rate of approximately 5 % in establishing our operating lease ROU assets and liabilities at lease inception. At December 31, 2023, our weighted average remaining lease term for our operating leases was approximately 2.8 years. Our expense for our operating leases consisted of the following: Year ended December 31, (in thousands) 2023 2022 2021 Operating lease cost $ 996 $ 705 $ 458 Short-term lease cost 424 456 100 Total lease cost $ 1,420 $ 1,161 $ 558 Reported in: Cost of revenue $ 907 $ 677 $ 239 Research and development 55 46 39 Selling and marketing 92 45 1 General and administrative 366 393 279 Total lease cost $ 1,420 $ 1,161 $ 558 Future remaining operating lease payment obligations were as follows: (in thousands) December 31, 2024 $ 818 2025 755 2026 219 2027 192 2028 16 Total lease payments 2,000 Less: imputed interest ( 136 ) Present value of operating lease liabilities $ 1,864 Current portion of operating lease liability $ 740 Operating lease liability, net of current portion 1,124 Present value of operating lease liabilities $ 1,864 |
Property and equipment, net
Property and equipment, net | 12 Months Ended |
Dec. 31, 2023 | |
Property, Plant and Equipment [Abstract] | |
Property and equipment, net | Note 10. Prop erty and equipment, net Property and equipment consisted of the following: (in thousands) December 31, 2023 December 31, 2022 Leasehold improvements $ 157 $ 22 Field equipment 1,062 1,078 Information technology equipment 466 355 Tooling 1,014 824 Capitalized software 734 250 Total 3,433 2,529 Accumulated depreciation ( 1,610 ) ( 827 ) Property and equipment, net $ 1,823 $ 1,702 We recognized depreciation expense associated with our property and equipment each period as follows: Year ended December 31, (in thousands) 2023 2022 2021 Tangible asset depreciation $ 668 $ 547 $ 170 Capitalized software depreciation 165 84 62 Total depreciation expense $ 833 $ 631 $ 232 |
Intangible assets, net and good
Intangible assets, net and goodwill | 12 Months Ended |
Dec. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible assets, net and goodwill | Note 11. Intan gible assets, net and goodwill Intangible assets consisted of the following: (in thousands) Estimated Useful Lives (Years) December 31, 2023 December 31, 2022 Developed technology 2.5 – 3.0 $ 2,555 $ 2,591 Total 2,555 2,591 Accumulated amortization ( 2,013 ) ( 1,478 ) Intangible assets, net $ 542 $ 1,113 On January 13, 2017, we entered into an asset purchase agreement with SunEdison Utility Holdings, Inc. ("Seller") to purchase all assets and liabilities of the Seller. The assets purchased as part of this acquisition included $ 1.2 million of developed technology in the form of software tools for the AP90 tracker, a first-generation tracker based on a 1P linked-row design. The developed technology for the AP90 tracker was amortized over a 3 -year period and is now fully amortized. We acquired the outstanding stock of HX Tracker on June 14, 2022. In connection with that acquisition, we identified nearly $ 1.4 million of developed technology in connection with the Helios 1P tracker system. We are amortizing this developed technology over a 2.5 -year period on a straight-line basis. Amortization expense recognized for the years ended December 31, 2023 and 2022, totaled $ 0.5 million and $ 0.3 million, respectively. No amortization expense was recognized for the year ended December 31, 2021. Amortization expense for the year ending December 31, 2024, will be approximately $ 0.5 million. Activity in our goodwill balance arising largely from the acquisition of HX Tracker was as follows: Year ended December 31, (in thousands) 2023 2022 Balance at beginning of period $ 7,538 $ — Acquisition of HX Tracker — 7,447 Acquisition of pile testing and equipment installation business — 271 Translation ( 185 ) ( 180 ) Balance at end of period $ 7,353 $ 7,538 |
Debt
Debt | 12 Months Ended |
Dec. 31, 2023 | |
Debt Disclosure [Abstract] | |
Debt | Note 12. D ebt On April 30, 2021, we entered into the Credit Facility with various lenders, including Barclays Bank PLC, as issuing lender, the swingline lender and as administrative agent. The Credit Facility has an initial three-year term expiring April 30, 2024 and is secured by a first priority lien on substantially all of our assets, subject to certain exclusions, and customary guarantees. The Credit Facility, as amended, includes the following terms: (i) aggregate commitments of up to $ 100 million, (ii) borrowings bearing interest at (a) a secured overnight financing rate ("Term SOFR"), plus 3.25 % per annum, or (b) an alternate base rate ("ABR") equal to the highest of (x) the Prime Rate, (y) the Federal Funds Rate, plus 0.50 %, or (z) Term SOFR plus 1.00 %, (iii) initial commitment fees of 0.50 % per annum; (iv) initial letter of credit fees of 3.25 % per annum; and (v) other customary terms for a corporate revolving credit facility. The Credit Facility also includes the following financial condition covenants that we are required to satisfy: (i) maintain a minimum liquidity limit of $ 125 million on the last business day of a quarter; (ii) maintain a 3.75 times leverage ratio; and (iii) maintain a 1.5 times interest coverage ratio. The leverage and interest coverage ratios are triggered if we achieve $ 50 million in adjusted EBITDA over a trailing twelve-month period, or upon our election if we have achieved positive adjusted EBITDA over a trailing twelve-month period. Once the leverage and interest coverage ratios are triggered the minimum liquidity limit will not be applicable. Minimum liquidity includes unrestricted cash plus the undrawn balance of the revolving credit facility. We were not in compliance with the minimum liquidity covenant as of December 31, 2023, which was the only financial condition covenant applicable to us at that date. As a result, we are currently unable to borrow under the Credit Facility. The Credit Facility also provides for certain restrictions on dividend payments. We have not made any draws on the Credit Facility; however, we have $ 1.9 million of outstanding letters of credit resulting in unused and currently unavailable borrowing capacity of $ 98.1 million at December 31, 2023. We incurred $ 2.1 million of costs relating to establishment of the Credit Facility, of which $ 0.2 million remains unamortized and is included in "Other assets" in our Consolidated Balance Sheet. We incurred interest expense totaling $ 1.3 million , $ 1.4 million , and $ 0.8 million during the years ended December 31, 2023, 2022 and 2021, respectively, for commitment and letter of credit fees, as well as amortization of costs relating to the establishment of the Credit Facility. On April 30, 2020, we received a Paycheck Protection Program (“PPP”) loan pursuant to the Coronavirus Aid, Relief, and Economic Security Act (the “CARES” Act) in the amount of $ 0.8 million. The PPP loan had a two-year term and a fixed interest rate of 1 %. Under the terms of the CARES act, the PPP loan was eligible for forgiveness, in part or whole, if the proceeds were used to retain and pay employees and for other qualifying expenditures. On January 20, 2021, the Company received notification from the Small Business Administration that they approved the forgiveness of the full $ 0.8 million PPP loan. The Company recorded the forgiveness of the PPP loan as a gain on extinguishment of debt in the Consolidated Statements of Comprehensive Loss during the year ended December 31, 2021. On June 17, 2019, the Company entered into a revolving line of credit agreement with Western Alliance Bank for a total principal amount of $ 1.0 million, which was to mature two years from the date of borrowing. The line of credit had a variable rate of interest, based on the prime rate as published in the Wall Street Journal, and required monthly interest payments. The prime rate at the time of borrowing was at 5.50 % per annum. The outstanding balance of $ 1.0 million was paid in full, and the revolving credit line was closed in 2021. |
Accrued expenses and other curr
Accrued expenses and other current liabilities | 12 Months Ended |
Dec. 31, 2023 | |
Accrued Expenses and Other Current Liabilities Abstract | |
Accrued expenses and other current liabilities | Note 13. Accru ed expenses and other current liabilities Accrued expenses and other current liabilities consisted of the following: (in thousands) December 31, 2023 December 31, 2022 Accrued cost of revenue $ 26,773 $ 13,198 Related party accrued cost of revenue 1,451 — Accrued compensation 3,858 4,688 Other accrued expenses 2,766 6,010 Total accrued expenses $ 34,848 $ 23,896 Warranty reserves $ 7,279 $ 8,004 Current portion of operating lease liability 740 417 Non-federal tax obligations 119 463 Total other current liabilities $ 8,138 $ 8,884 Information about our related party accrued cost of revenue at December 31, 2023, may be found below in Note 18, "Related party transactions". At December 31, 2022, we had accrued $ 2.0 million for employee bonuses earned in the fourth quarter of 2022 that were settled in stock issued during the first quarter of 2023. This amount was reflected in accrued compensation in the table above as of December 31, 2022. There were no similar amounts accrued at December 31, 2023. Other accrued expenses primarily include amounts due for (i) legal and other costs associated with outstanding legal matters and (ii) other professional services. Activity by period in the Company's warranty accruals was as follows: Year ended December 31, (in thousands) 2023 2022 2021 Balance at beginning of period $ 12,426 $ 9,346 $ 6,811 Warranties issued and remediation added during the period 4,310 8,228 8,588 Settlements made during the period ( 4,254 ) ( 4,041 ) ( 5,270 ) Changes in liability for pre-existing warranties ( 1,480 ) ( 1,107 ) ( 783 ) Balance at end of period $ 11,002 $ 12,426 $ 9,346 Warranty accruals are reported in: Other current liabilities $ 7,279 $ 8,004 $ 4,032 Other non-current liabilities 3,723 4,422 5,314 Balance at end of period $ 11,002 $ 12,426 $ 9,346 |
Income taxes
Income taxes | 12 Months Ended |
Dec. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
Income taxes | Note 14. Inco me taxes The components of our loss before income taxes were as follows: Year ended December 31, (in thousands) 2023 2022 2021 United States loss $ ( 48,530 ) $ ( 98,462 ) $ ( 106,467 ) Foreign income (loss) ( 2,098 ) ( 716 ) 47 Total loss before income taxes $ ( 50,628 ) $ ( 99,178 ) $ ( 106,420 ) The provisions for (benefits from) income taxes and the reasons for the differences between the provisions for and benefits from income taxes using the U.S. federal income tax rate were as follows: Year ended December 31, (in thousands) 2023 2022 2021 Current - Federal $ — $ — $ — State ( 350 ) 204 196 Foreign 95 231 ( 27 ) ( 255 ) 435 169 Deferred - Federal — — — State — — — Foreign ( 83 ) — — ( 83 ) — — Provisions for (benefits from) income taxes $ ( 338 ) $ 435 $ 169 Federal income tax benefit at statutory rate $ ( 10,632 ) $ ( 20,827 ) $ ( 22,348 ) State taxes, net of federal ( 739 ) ( 1,035 ) ( 1,744 ) Research and experimentation tax credit 1,544 ( 2,811 ) ( 342 ) Change in valuation allowance 10,200 24,911 28,361 Stock compensation 1,218 ( 1,781 ) ( 6,863 ) Section 162m limitation on executive compensation 203 1,922 2,467 Deferred tax true ups ( 1,500 ) ( 764 ) 126 State payable true ups ( 326 ) 204 57 Permanent differences and other ( 306 ) 616 455 Provisions for (benefits from) income taxes $ ( 338 ) $ 435 $ 169 The components of deferred tax assets and liabilities were as follows: (in thousands) December 31, December 31, Deferred tax assets: Fixed assets and intangibles $ 44 $ 5 Leases 348 255 Accrued expenses 5,590 4,887 Net operating loss carryforward 64,055 52,179 Stock options 2,475 3,528 R&D credit carryforward 1,886 3,431 Other 2,048 1,998 Subtotal 76,446 66,283 Less: valuation allowance ( 75,858 ) ( 65,659 ) Total deferred tax assets 588 624 Deferred tax liabilities: Leases ( 339 ) ( 243 ) Prepaid expenses ( 166 ) ( 381 ) Total deferred tax liabilities ( 505 ) ( 624 ) Net deferred tax asset (liability) $ 83 $ — The net change in the total valuation allowance for the year ended December 31, 2023, was an increase of $ 10.2 million recorded through continuing operations. The net change in the total valuation allowance for the year ended December 31, 2022, was an increase of $ 24.9 million recorded through continuing operations. In assessing the realizability of deferred tax assets, we considered whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. We considered the scheduled reversal of deferred tax liabilities, carryback potential, projected future taxable income and tax planning strategies in making this assessment. After consideration of these factors and based upon the level of historical taxable losses, we believe it is more likely than not that the Company will not realize the benefits of these deductible differences at December 31, 2023. We have federal net operating loss carryforwards of approximately $ 282.1 million at December 31, 2023. These loss carryforwards have an indefinite carryforward period. We also have state net operating loss carryforwards of approximately $ 95.0 million which begin to expire in 2034 . We have federal R&D credit carryforwards of approximately $ 2.4 million at December 31, 2023, which begin to expire in 2038 . Utilization of the Company's net operating loss carryforwards and other tax attributes to offset federal taxable income may be subject to annual limitation due to changes in ownership, pursuant to Internal Revenue Code Sections 382 and 383. We are subject to U.S. federal income tax, as well as income tax in multiple state and foreign jurisdictions. The tax returns for years 2018 and beyond remain open for examination. As of December 31, 2023, the Company is not currently under audit by any taxing authority. We account for uncertainty in taxes in accordance with authoritative guidance. Changes in our accruals for unrecognized tax benefits were as follows: Year ended December 31, (in thousands) 2023 2022 Balance at beginning of period $ 1,421 $ 717 Increase for tax positions related to the current period — 386 Increase for tax provisions related to prior periods — 318 Decrease for tax positions related to prior periods ( 382 ) — Balance at end of period $ 1,039 $ 1,421 The unrecognized tax benefits would not impact the effective tax rate if recognized due to the valuation allowance. We do no t anticipate a significant increase or decrease over the next twelve months in the unrecognized tax benefits reported above. As of December 31, 2023, and 2022 , we have no t accrued any interest or penalties related to unrecognized tax benefits. |
Commitments and contingencies
Commitments and contingencies | 12 Months Ended |
Dec. 31, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and contingencies | Note 15. Commit ments and contingencies We may become involved in various claims, lawsuits, investigations, and other proceedings, arising in the normal course of business. We accrue a liability when information available prior to the issuance of financial statements indicates it is probable a loss has been incurred as of the date of the financial statements and the amount of loss can be reasonably estimated. If the reasonable estimate of the probable loss is a range, we record an accrual for the most likely estimate of the loss, or the low end of the range if there is not one best estimate. We adjust our accruals to reflect the impact of negotiation, settlements, rulings, advice of legal counsel and other information and events pertaining to a particular case. Legal costs are expensed as incurred. In March of 2023, CBP issued notices of tariff assessment that indicated an action taken at the Import Specialist (i.e., the port) level with respect to merchandise imported from Thailand under entry number 004-1058562-5 (the “625 Assessment”) and entry number 004-1063793-9 (the “Original 939 Assessment”, and collectively with the 625 Assessment, the “Original CBP Assessments”). The Original CBP Assessments related to certain torque beams that are used in our Voyager+ product that were imported in 2022. In the Original CBP Assessments, CPB asserted that Section 301 China tariffs, Section 232 steel & aluminum tariffs, and antidumping and countervailing duties applied to the merchandise. Based on correspondence received to date from CBP and our calculations based on applicable duty and tariff rates, the 625 Assessment is currently for approximately $ 2.84 million. In September of 2023, CBP informed us (the "Revised 939 Assessment", and together with the 625 Assessment, the "Revised CBP Assessments") that the amount owed under the Original 939 Assessment was being revised downward to approximately $ 2.01 million. In particular, CBP accepted our position that the Section 301 tariffs of 25 % or 7.5 % of the value of the merchandise, depending on tariff classification, as well as the antidumping and countervailing duties, previously assessed under the Original 939 Assessment are not applicable as they are only applicable to articles that originate in China and that, in this case, the finished goods are products of Thailand. Upon review of the facts involved, and in consultation with outside legal counsel, we believe that the remaining amounts claimed in the Revised CBP Assessments are incorrect. In particular, the Section 301 tariffs of 25% or 7.5% of the value of the merchandise, depending on tariff classification, as well as the antidumping and countervailing duties, are not applicable under the 625 Assessment for the same reason stated above with respect to the Revised 939 Assessment, which has been accepted by CBP . Moreover, with respect to both Revised CBP Assessments, we believe that the goods in question were properly classified as parts of structures at the time of importation and that when properly classified, the beams and other materials are not subject to Section 232 duties applicable to more basic steel products. CBP has legally finalized both Revised CBP Assessments. We filed a formal protest for the 625 Assessment in September of 2023 and plan to do the same for the Revised 939 Assessment. Based on the above, and under the relevant accounting guidance related to loss contingencies, we have made no accrual for the amounts claimed by CBP as of December 31, 2023, as we do not consider these amounts to be a probable obligation, as such term is defined and interpreted under the relevant accounting guidance, for us at this time. However, because matters of this nature are subject to inherent uncertainties, and unfavorable rulings or developments, including future assessments of additional duties or tariffs owed in respect of other shipments or other materials beyond what is presently included in the Revised CBP Assessments, could occur despite our belief that the tariffs and duties asserted are incorrect, there can be no certainty that the Company may not ultimately incur charges that are not currently recorded as liabilities. Since the outcome of these matters cannot be predicted with certainty, the costs associated with them could have a material adverse effect on our consolidated results of operations, financial position, or liquidity. |
Stockholders' equity
Stockholders' equity | 12 Months Ended |
Dec. 31, 2023 | |
Equity [Abstract] | |
Stockholders' equity | Note 16. Stoc kholders' equity Preferred stock Our certificate of incorporation, as amended on April 28, 2021, and on June 7, 2021, (the "Certificate of Incorporation"), authorizes the Company to issue up to 10 million shares of preferred stock with a par value of $ 0.0001 with such designation, rights and preferences as may be determined from time to time by the Company’s board of directors. As of December 31, 2023, there were no shares of preferred stock issued or outstanding. Common stock The Certificate of Incorporation authorizes the Company to issue 850 million shares of $ 0.0001 par value of common stock. Holders of our common stock are entitled to dividends, as and when declared by the board of directors, subject to the rights of the holders of all classes of stock outstanding having priority rights as to dividends. There have been no dividends declared to date. The holders of our common stock are entitled to one vote for each share of common stock; provided that, except as otherwise required by law, holders of our common stock (in such capacity) shall not be entitled to vote on any amendment to the Certificate of Incorporation that relates solely to the terms of one or more outstanding series of preferred stock if the holders of such affected series are entitled, either separately or together with the holders of one or more other such series, to vote thereon pursuant to the Certificate of Incorporation. On April 30, 2021, the Company closed on its IPO in which we issued and sold 19,840,000 shares of our common stock at a public offering price of $ 13.00 per share. We received aggregate proceeds of $ 241.2 million from the IPO, net of approximately $ 16.8 million in underwriting discount and commissions and before offering costs. The Company used $ 54.2 million of net proceeds from the IPO to purchase and retire an aggregate of 4,455,384 shares of our common stock, of which 2,191,557 was a repurchase of common shares and 2,263,827 shares were from the settlement of certain vested RSUs and common shares exercised from options in connection with the IPO. The Company used the remaining proceeds from the IPO for general corporate purposes, including working capital, operating expenses and acquisitions. Treasury stock On July 21, 2020, the Company’s board of directors approved the acquisition of 9,896,666 shares of common stock for an aggregate price of $ 0 from founders of the Company. The acquisition of these shares was recorded as treasury stock on the Company’s Consolidated Balance Sheet as of December 31, 2020, and the shares were added to the overall pool of stock available to be utilized for future option/stock award issuances to other employees of the organization. On January 8, 2021, the Company’s board of directors approved the acquisition of 148,440 shares of common stock for an aggregate price of $ 0 from founders of the Company. The acquisition of these shares was recorded as treasury stock on the Company’s Consolidated Balance Sheet as of December 31, 2021, and the shares were added to the overall pool of stock available to be utilized for future option/stock award issuances to other employees of the organization. On April 5, 2021, the Company’s board of directors approved the acquisition of 717,460 shares of common stock for an aggregate price of $ 0 from founders of the Company. The acquisition of these shares was recorded as treasury stock on the Company’s Consolidated Balance Sheet as of December 31, 2021, and the shares were added to the overall pool of stock available to be utilized for future option/stock award issuances to other employees of the organization. |
Stock compensation and other em
Stock compensation and other employee benefit plans | 12 Months Ended |
Dec. 31, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Stock compensation and other employee benefit plans | Note 17. Sto ck compensation and other employee benefit plans Stock compensation plans On January 9, 2017, the Company’s board of directors adopted the 2017 Stock Incentive Plan (the “2017 Plan”). The Plan offered employees, directors and selected service providers the opportunity to acquire equity in the Company through grants of options, restricted stock awards (“RSA”), stock appreciation rights, restricted stock units (“RSU”), and other stock awards, at exercise prices not less than the fair market value of the Company's common stock on the date of grant. Our 2021 Stock Incentive Plan (the "2021 Plan"), which was adopted by our Board of Directors and approved by our stockholders on April 16, 2021, and became effective on April 27, 2021, provides for the grant of awards similar to the 2017 Plan, as well as stock bonuses and cash awards. The number of shares initially reserved for issuance under the 2021 Plan was 12,645,239 , which will automatically increase on January 1 of each calendar year prior to the tenth anniversary of the Plan's effective date in an amount equal to the lesser of (i) 4 % of the total number of shares of common stock outstanding on the day prior (December 31st), and (ii) a number of shares of common stock determined by the compensation committee of the Company's board of directors. Through December 31, 2023, an additional 7,906,088 shares became available for issuance pursuant to the automatic increase provisions of the 2021 Plan, resulting in a total number of shares authorized for issuance under the 2021 Plan of 20,551,327 . On July 1, 2022, we filed a registration statement on Form S-8 to register 5,000,000 shares of common stock for issuance upon the settlement of RSUs and the exercise of stock options previously granted under the 2017 Plan that remain outstanding. No new awards have been or will be granted under the 2017 Plan following the effectiveness of our 2021 Plan on April 27, 2021. Concurrent with the adoption of the 2021 Plan, we also adopted the 2021 Employee Stock Purchase Plan (the "2021 ESPP Plan") in order to provide employees of the Company and its designated subsidiaries with an opportunity to purchase the Company's common stock through accumulated payroll deductions at 85 % of the stock's fair market value. As of December 31, 2023 , this plan has not yet been implemented internally within the Company, and no purchases of common stock have been made pursuant to the 2021 ESPP Plan. Stock options generally vest between two and four years from the date of grant, and, for those remaining outstanding as of December 31, 2023, have only service-based vesting conditions. RSU grants may contain either (i) service-based vesting conditions or (ii) a combination of market or performance and service-based vesting conditions, which must be met in order to vest. Awards with service-based vesting conditions generally vest over a period of four years from the date of grant. Awards with market or performance-based vesting conditions will generally vest upon achievement of the related targets, providing the employee continues to be employed at the date of vesting. Performance conditions in certain of our outstanding awards are based on the recipient achieving specified sales metrics whereas, market conditions in certain outstanding awards are based on the closing price of our common stock achieving specified levels for a period of time. Our IPO in April 2021 was deemed to meet the liquidity event provisions in our 2017 Plan, which resulted in the vesting of all awards that had previously satisfied the time-based vesting conditions of such awards as of that date. Generally, new shares of authorized common stock are issued to satisfy vesting or exercise of awards under both the 2017 and 2021 Stock Incentive Plans, although treasury shares are also available for issuance at our discretion. Stock compensation expense for each period was as follows: Year ended December 31, (in thousands) 2023 2022 2021 Cost of revenue $ 1,596 $ 3,292 $ 8,094 Research and development 541 1,460 3,657 Selling and marketing 718 1,889 2,056 General and administrative 5,440 13,662 47,958 Total stock compensation expense $ 8,295 $ 20,303 $ 61,765 Information relating to our outstanding option awards was as follows: Options Shares Weighted-average exercise price Weighted-average remaining contractual term (in years) Intrinsic value (in thousands) Outstanding as of December 31, 2022 6,809,850 $ 4.29 Granted 450,000 $ 0.67 Modified (1) ( 1,053,750 ) $ 8.14 Exercised ( 717,960 ) $ 0.32 Forfeited ( 3,054,352 ) $ 3.38 Expired ( 18,262 ) $ 0.48 Outstanding as of December 31, 2023 2,415,526 $ 1.82 7.03 $ 455 Vested at December 31, 2023 or expected to vest in the future 2,415,526 $ 1.82 7.03 $ 455 Exercisable at December 31, 2023 1,958,481 $ 2.08 6.37 $ 443 Unvested and expected to vest in the future 457,045 $ 0.67 9.87 $ 12 At December 31, 2023: Stock-based compensation cost not yet recognized (in thousands) $ 233 Weighted-average remaining expense recognition period (in years) 1.04 (1) - In April 2023, we modified a grant of 2,107,500 options initially made to our former Chief Executive Officer in September 2021. The options originally granted vested after a period of time once our stock price reached certain targets and had an exercise price of $ 8.14 per option. The modification in April 2023 resulted in cancellation of 1,053,750 options, reset the stock price targets for vesting and reduced the exercise price to $ 2.48 per option, based on the estimated fair value of our stock as of the modification date. As a result of the departure of our former Chief Executive Officer during the fourth quarter of 2023, the remaining options, all of which were unvested, were forfeited. Assumptions used to value option awards were as follows: Year ended December 31, 2023 2022 2021 Black-Scholes-Merton pricing formula weighted-average assumptions: Expected life (in years) 5.50 5.27 7.72 Risk-free interest rate 4.16 % 1.82 % 1.32 % Volatility 97.51 % 80.00 % 56.47 % Dividend yield 0.00 % 0.00 % 0.00 % Valuations: Grant-date fair value per option (2) $ 0.52 $ 1.85 $ 4.79 Intrinsic value of options exercised (in thousands) $ 1,324 $ 14,646 $ 22,852 Average intrinsic value per share of options exercised $ 1.84 $ 4.42 $ 8.05 (2) - Includes options granted with market conditions in 2022 and 2021. Such options were forfeited in 2023. Information relating to our outstanding restricted stock unit and restricted stock awards was as follows: Shares Weighted-average grant date fair value Restricted stock units: Nonvested as of December 31, 2022 7,072,663 $ 4.73 Granted 12,129,309 $ 1.54 Vested ( 3,841,815 ) $ 3.92 Forfeited ( 3,469,021 ) $ 4.28 Nonvested as of December 31, 2023 11,891,136 $ 1.87 Restricted stock unit vesting conditions: Service-based vesting 5,811,724 $ 3.15 Performance conditions and service-based vesting 779,412 $ 4.33 Market conditions and service-based vesting 5,300,000 $ 0.10 Nonvested as of December 31, 2023 11,891,136 $ 1.87 At December 31, 2023: Stock-based compensation cost not yet recognized (in thousands) $ 13,482 Weighted-average remaining expense recognition period (in years) 1.88 Other employee benefit plans We sponsor a 401(k) savings plan for our U.S. employees, whereby the employees can elect to make pre- or post-tax contributions, subject to certain limitations. We make matching contributions equal to 100 % of the first 3 % and 50 % of the next 2 % of an employee's contribution. Employee and company contributions are both immediately vested. Company matching contributions were approximately $ 0.6 million , $ 0.7 million , and $ 0.6 million for the years ending December 31, 2023, 2022, and 2021, respectively. Employees are also eligible to participate in various employee welfare benefit plans, including medical, dental, prescription and life insurance, in which the Company pays a portion of the cost. All such plans are unfunded. |
Related parties
Related parties | 12 Months Ended |
Dec. 31, 2023 | |
Related Party Transactions [Abstract] | |
Related parties | Note 18. Rela ted party transactions Transactions with Ayna.AI LLC In February 2022, we engaged Ayna.AI LLC (as successor in interest to Fernweh Engaged Operator Company LLC) (“Ayna”) to support us with improvements to our processes and performance in various areas including design, sourcing, logistics, pricing, software and standard configuration. The consideration for this engagement was a combination of cash and stock options, including options that vested over time, as well as options with vesting tied to certain performance metrics. The foregoing engagement constituted a related party transaction as South Lake One LLC, an entity affiliated with Isidoro Quiroga Cortés, a member of our board of directors, and a holder of more than 5 % of our outstanding capital stock, is an investor in Ayna. In addition, Discrimen LLC is an investor in Ayna, and Isidoro Quiroga Cortés is affiliated with that entity. Isidoro Quiroga Cortés is also on the board of directors of Ayna. On September 13, 2023, we executed a termination of the master services agreement and statement of work (collectively, the "Service Agreement") with Ayna and Fernweh Group LLC, the parent company of Fernweh Engaged Operator Company LLC, which resulted in a forfeiture of 2,000,000 unvested stock options that were part of the initial consideration for the engagement. Due to the accelerated timing of the payments required for the cash portion of the initial consideration and the expected service period over which the engagement was estimated to last, we had unamortized prepaid balances remaining at the termination date totaling approximately $ 3.2 million . These prepaid balances were fully amortized during the year ended December 31, 2023 as a charge to general and administrative expense. In addition, approximately $ 1.1 million of stock-based compensation expense previously recognized on the unvested stock options was reversed upon termination of the Service Agreement in connection with their forfeiture. An additional 1,000,000 options to purchase shares of common stock at an exercise price of $ 3.86 per share were fully vested and exercisable as of the termination date. For the years ended December 31, 2023 and 2022, we incurred $ 3.5 million and $ 3.9 million, respectively, of general and administrative expense associated with our engagement of FEOC. Cash payments during the years ended December 31, 2023 and 2022, totaled $ 2.5 million in each year. Acquisitions of common stock and issuance of RSUs Effective July 5, 2023, we acquired 312,500 shares of our outstanding common stock held by ARC Family Trust, a related party and greater than 10 % shareholder, for no monetary consideration. The acquired shares were then retired. The ARC Family Trust was established by Mr. Ahmad Chatila, a member of our Board of Directors, for the benefit of certain members of his family. Mr. Shaker Sadasivam, the Chairman of our Board of Directors, is the trustee of the ARC Family Trust. Concurrent with the transaction described above and with the approval of our Board of Directors, we issued 250,000 RSUs to Mr. Tony Alvarez, who was appointed as our Board Observer, effective July 5, 2023, and 62,500 RSUs to Mr. William Aldeen "Dean" Priddy, Jr., a member of our Board of Directors and Chairman of the Audit Committee of the Board. These RSU grants will vest upon the one-year anniversary of the date of grant. Information relating to acquisitions of shares from founders of the Company during 2020 and 2021 at no cost for inclusion in treasury stock may be found in Note 16 "Stockholders' Equity" above. Related party receivables, deposits and payables We have related party receivables at December 31, 2023, totaling $ 0.9 million for future material cost discounts contractually owed to us by Alpha Steel in connection with the expected receipt of manufacturing incentives available to Alpha Steel under the Inflation Reduction Act as costs are incurred by Alpha Steel to purchase raw materials and manufacture torque tubes and other products that will be used to fulfill purchase orders we issue to Alpha Steel. We also have related party liabilities to Alpha Steel at December 31, 2023, totaling $ 1.5 million for the accrued cost of revenue recognized on certain of our customer projects associated with the cost of products that are being manufactured for us by Alpha Steel. During the year ended December 31, 2023, we made total deposits of $ 1.1 million to Alpha Steel, of which $ 0.5 million remains in our balance of vendor deposits as of December 31, 2023, as shown in Note 8 "Prepaids and other current assets" above. Other During the year ended December 31, 2022, we entered into a contract with a customer in China in which our Vice President & General Manager, FTC China/Southeast Asia, and Director of FTC Solar (China) Co. Ltd., our Chinese subsidiary, is also a member of the customer's board of directors. We recognized a $ 0.3 million gross margin loss on this project in our 2022 operating results, with no material loss incurred in 2023. |
Net loss per share
Net loss per share | 12 Months Ended |
Dec. 31, 2023 | |
Earnings Per Share [Abstract] | |
Net loss per share | Note 19. Ne t loss per share Year ended December 31, 2023 2022 2021 Net loss (in thousands) $ ( 50,290 ) $ ( 99,613 ) $ ( 106,589 ) Weighted average shares outstanding for calculating basic and diluted loss per share 115,546,150 101,408,263 86,043,051 Basic and diluted loss per share $ ( 0.44 ) $ ( 0.98 ) $ ( 1.24 ) For purposes of computing diluted loss per share, weighted average common shares outstanding do not include potentially dilutive securities that are anti-dilutive, as shown below. For the year ended December 31, 2023 2022 2021 Anti-dilutive securities excluded from calculating dilutive loss per share: Shares of common stock issuable under stock option plans outstanding 2,415,526 6,809,850 7,538,265 Shares of common stock issuable upon vesting of RSUs 11,891,136 7,072,663 5,141,469 Potential common shares excluded from diluted net loss per share calculation 14,306,662 13,882,513 12,679,734 All share and per share amounts in the table above for 2021 reflect an approximately 8.25 -for-1 forward stock split which took effect on April 28, 2021. |
Fair value measurements
Fair value measurements | 12 Months Ended |
Dec. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
Fair value measurements | Note 20. Fa ir value measurements Our financial instruments consist of cash, cash equivalents, accounts receivable, accounts payable, and debt obligations, if any. Cash, cash equivalents, accounts receivable and accounts payable are stated at their carrying value, which approximates fair value due to the short time to the expected receipt or payment date. The carrying values of debt obligations bearing variable rates of interest, if any, are also considered to approximate fair value due to applicable interest rates resetting to market rates periodically. The fair value of our fixed-rate debt obligations, if any, will be impacted by changes in market rates for similar debt subsequent to our initial borrowings. Certain of our cash equivalents include deposits in money market funds that invest primarily in short-term securities issued or guaranteed by the U.S. government or its agencies or instrumentalities and contain no restrictions on immediate redemption. The carrying value for money market fund deposits approximates fair value based on quoted prices in active markets for units held (Level 1 classification) and totaled $ 13.9 million at December 31, 2023 and $ 25.4 million at December 31, 2022. We did not hold any other financial instruments measured at fair value on a recurring basis as categorized within the fair value hierarchy at December 31, 2023 and 2022. |
Sale of investment in unconsoli
Sale of investment in unconsolidated subsidiary | 12 Months Ended |
Dec. 31, 2023 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Sale of investment in unconsolidated subsidiary | Note 3. Equity method investment On February 9, 2023, we entered into a limited liability company agreement (the "LLC Agreement") with Taihua New Energy (Thailand) Co., LTD ("Taihua"), a leading steel fabricator and an existing vendor, and DAYV LLC, for the creation of Alpha Steel LLC ("Alpha Steel"), a Delaware limited liability company dedicated to producing steel components, including torque tubes, for utility-scale solar projects. The Alpha Steel facility, which is located outside of Houston in Sealy, Texas, began limited commercial production late in the fourth quarter of 2023. We entered into amendment no. 1 to the Alpha Steel LLC Agreement with Taihua and DAYV LLC on July 28, 2023, to allow for members at their option, and with the approval of the Board of Managers, to make payments in respect of Alpha Steel’s contractual obligations in the event that Alpha Steel does not or is not able to make such payments from its own resources (“Credit Support Payments”). Any such Credit Support Payments will be treated as capital contributions by the members to Alpha Steel, with any member funding more than its ratable share of Credit Support Payments being deemed to have loaned such excess to each underfunding member at the U.S. prime rate plus 2 %. Alpha Steel is intended to enhance our domestic supply chain, our ability to support our customers and the growth of the U.S. solar market, with domestic manufacturing utilizing U.S. steel. We have a 45 % interest in Alpha Steel, which is accounted for under the equity method of accounting as we are not the primary beneficiary in the operations of this entity as a result of our variable interest. Taihua has a 51 % interest in Alpha Steel and DAYV LLC, an entity owned by members of the Board of Managers of Alpha Steel and a related party with the parent company of Taihua, has a 4 % interest in Alpha Steel. The Chief Executive Officer of Taihua is the General Manager of Alpha Steel. We have equal voting representation with Taihua and DAYV LLC, combined, on Alpha Steel's Board of Managers which will be responsible, through majority vote, for making certain "major decisions" involving Alpha Steel, as specified in the LLC Agreement, including, among other things, approval of an annual business plan. As of December 31, 2023 , we have made a required initial capital contribution to Alpha Steel of $ 0.9 million. Pursuant to the LLC Agreement, we could be required to make up to $ 2.6 million in additional capital contributions as Alpha Steel expands production. We recognized a loss of $ 0.7 million from this unconsolidated subsidiary during the year ended December 31, 2023, reflecting our share of Alpha Steel's net operating losses incurred to date. In connection with the creation of Alpha Steel, we also entered into a three-year equipment supply agreement (the "Supply Agreement") with Alpha Steel, the terms of which will apply to our equipment purchase orders. Pursuant to the Supply Agreement, we have committed to placing purchase orders with Alpha Steel during the year ended December 31, 2024, for at least 40,000 metric tons of torque tubes, with such volume commitments increasing in each of the next two annual periods by 20,000 metric tons per period . In the event we fail to meet our minimum required purchase commitments in any annual period, we may be required to make a cash payment for the net profit attributable to any unfilled requirements, calculated as specified in the agreement, in an amount not to exceed $ 4.0 million in the aggregate. The Supply Agreement may be terminated early in accordance with its provisions or may be extended beyond the initial term if mutually agreed to by the parties. At December 31, 2023, we were contingently liable for unpaid vendor obligations, including issued but unsatisfied purchase orders, of Alpha Steel totaling approximately $ 3.4 million . We expect Alpha Steel will be able to satisfy these obligations with financial resources available to them in the normal course of operations. |
Sale of investment in unconsolidated subsidiary Text Block | Note 21. Sa le of investment in unconsolidated subsidiary On June 24, 2021, we disposed of our 4,791,566 Class A common unit interest in Dimension Energy LLC, (“Dimension”), representing approximately 23 % of the total outstanding common shares, for approximately $ 22.3 million, net of a success-based fee described below, resulting in a gain of $ 20.8 million . Prior to the third-party sale, we had recognized a net loss from our investment in this unconsolidated subsidiary of $ 0.4 million in 2021. On June 29, 2021, we made a success-based fee payment in the amount of $ 1.9 million to two executive members of Dimension for entering into voting and support letter agreements and for recommending to all Executive Members of Dimension that they support the purchase agreement and the consummation of the transaction on June 24, 2021. The sales agreement with Dimension includes an earnout provision which provides the potential to receive an additional contingent consideration of up to approximately $ 14.0 million through December 2024, based on Dimension achieving certain performance milestones. This potential earnout is calculated each quarter starting January 1, 2022, as $ 200 times the number of kilowatts constituting each Notice To Proceed (NTP) megawatt (MW) achieved during such quarterly earnout period, provided that no earnout amount is payable in respect to the first 100 NTP MW achieved in any earnout year. The sales agreement also includes a projects escrow release which is an additional contingent consideration to receive $ 7 million based on Dimension’s completion of certain construction projects currently in progress. During the years ended December 31, 2023 and 2022, we received $ 1.3 million and $ 1.7 million , respectively, from escrow for subsequent completion of certain construction projects that were in progress at the time of the sale. In accordance with our accounting policy, these amounts were recognized as a "Gain from disposal of investment in unconsolidated subsidiary" in our Consolidated Statements of Comprehensive Loss upon realization. |
Geographic and customer concent
Geographic and customer concentrations | 12 Months Ended |
Dec. 31, 2023 | |
Geographic and Customer Concentrations [Abstract] | |
Geographic and customer concentrations | Note 22. Geo graphic and customer concentrations Geographic concentrations Third-party revenue was recognized by our subsidiaries in the following locations: Year ended December 31, (in thousands) 2023 2022 2021 United States $ 119,982 $ 97,992 $ 270,107 Australia 7,000 24,847 418 All other 20 227 — Total third-party revenue $ 127,002 $ 123,066 $ 270,525 Our long-lived assets, consisting of ROU assets and property and equipment, were in the following locations: As of December 31, (in thousands) 2023 2022 United States $ 3,187 $ 2,728 Australia 7 3 India 441 113 All other 7 12 Total long-lived assets $ 3,642 $ 2,856 Cash and cash equivalents concentration At December 31, 2023, approximately 92 % of our cash and cash equivalents were in financial institutions located in the United States. Customer concentration During the year ended December 31, 2023, four customers accounted for approximately 23 % , 19 % , 17 % and 13 % , respectively, of total revenue. During the year ended December 31, 2022, three customers accounted for approximately 23 %, 20 % and 11 %, respectively, of total revenue. During the year ended December 31, 2021, three customers accounted for approximately 37 %, 20 % and 15 %, respectively, of total revenue. |
Summary of significant accoun_2
Summary of significant accounting policies (Policies) | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Basis of presentation and principles of consolidation | Basis of presentation and principles of consolidation These consolidated financial statements include the results of the Company and its wholly owned subsidiaries and have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). Intercompany balances and transactions have been eliminated in consolidation. We will consolidate a Variable Interest Entity ("VIE") where it has been determined that we are the primary beneficiary of the entity's operations. The primary beneficiary is the party that has both the power to direct the activities that most significantly impact the VIE's economic performance and the obligation to absorb losses or the right to receive benefits of the VIE that could potentially be significant to the VIE. In evaluating whether we are the primary beneficiary, we will evaluate our power to direct the most significant activities of the VIE by considering the purpose and design of the entity and the risks the entity was designed to create and pass through to its variable interest holders. We also will evaluate our economic interests in the VIE. We currently operate in one business segment, the manufacturing and servicing of solar tracker systems. |
Liquidity | Liquidity We have incurred cumulative losses since inception and have a history of cash outflows from operations, inclusive of $ 52.7 million in cash utilized for our operating activities during the year ended December 31, 2023. As of December 31, 2023, we had $ 25.2 million of cash on hand, $ 53.8 million of working capital and approximately $ 64.9 million of remaining capacity available for future sales of our common stock under our ATM program as defined and described further in Note 5 below. There can be no assurance that we will be able to sell any additional shares of our common stock under the ATM program and no assurance regarding the price at which we will be able to sell such shares, and any sales of our common stock under the ATM program may be at prices that result in additional dilution to our existing stockholders. On December 22, 2023, we received notification from The Nasdaq Stock Market LLC (“Nasdaq”) that we were not in compliance with the requirement to maintain a minimum closing bid price of $ 1.00 per share, as set forth in Nasdaq Listing Rule 5450(a)(1), because the closing bid price of the Company’s common stock was below $ 1.00 per share for 30 consecutive business days. The notification does not impact the listing of our common stock on the Nasdaq Global Market at this time. In accordance with Nasdaq Listing Rule 5810(c)(3)(A), we have a period of 180 calendar days from the date of notification, or until June 19, 2024, to regain compliance with the minimum bid price requirement. During this period, our common stock will continue to trade on the Nasdaq Global Market. If at any time before June 19, 2024 the bid price of our common stock closes at or above $ 1.00 per share for a minimum of ten consecutive business days, Nasdaq will provide written notification that we have achieved compliance with this minimum bid price requirement. In the event we do not regain compliance by June 19, 2024, we may be eligible for an additional 180 calendar day compliance period to demonstrate compliance with the minimum bid price requirement. To qualify for the additional 180-day period, we may be required to meet the continued listing requirements for market value of publicly held shares and all other initial listing standards (with the exception of the bid price requirement) and transfer our listing to the Nasdaq Capital Market. In addition, we will need to provide written notice to Nasdaq of our intention to cure the deficiency during the second compliance period by effecting a reverse stock split, if necessary. If we do not qualify for the second compliance period or fail to regain compliance during the second 180-day period, then Nasdaq will notify us that our common stock is subject to delisting. As of December 31, 2023, we were not in compliance with the minimum liquidity covenant in our existing Senior Secured Revolving Credit Facility (the "Credit Facility") which currently prevents us from borrowing under the Credit Facility. The Credit Facility will terminate on April 30, 2024, unless earlier extended or replaced. Also, as of December 31, 2023 , we had a material contractual obligation that could require us to make additional capital contributions of up to $ 2.6 million to Alpha Steel , as described further in Note 3, "Equity method investment". The most notable incentive program impacting our U.S. business has historically been the investment tax credit ("ITC") for solar energy projects, which allows taxpayers to offset their U.S. federal income tax liability by a certain percentage of their cost basis in solar energy systems placed in service for commercial use. The Inflation Reduction Act of 2022, passed by the U.S. Congress and signed into law by President Biden on August 16, 2022, expanded and extended the tax credits and other tax benefits available to solar energy projects and the solar energy supply chain. ITCs have been extended for such projects through at least 2032 and, depending on the location of a particular project and its ability to satisfy certain labor and domestic content requirements, the ITC percentage can range between 30 % and 50 %. U.S. manufacturers of specific solar components are now eligible to claim production tax credits as an alternative to the ITC. Implementing regulations for this law are, in certain cases, still being finalized and the impact of these regulations continue to be evaluated by developers of new solar projects and manufacturers of solar components. Our investment in and commitments made to Alpha Steel will allow us to obtain certain benefits as a result of this new production tax credit program. We have taken steps to expand and diversify our manufacturing partnerships and have adjusted our modes of transportation to mitigate the impact of headwinds that might arise in the global supply chain and logistics markets. As an example, we modified our ocean freight from previously using charter shipments to now using containerized shipments as costs in the container market began to decrease in 2022 after having risen at the beginning of the COVID 19 pandemic. We continue to monitor the logistics markets and will continue to evaluate our use of various modes of transportation when warranted to optimize our transportation costs. Additionally, from February 2022 to September 2023, we utilized a related-party consulting firm to support us in making improvements to our processes and performance in various areas, including design, sourcing, logistics, pricing, software and our distributed generation business. For further information regarding this consulting firm, see "Note 18. Related party transactions" below. We also took steps in 2022 and 2023, and continue to evaluate our opportunities in 2024, to address existing market challenges, our cost structure and our historical use of cash. Further, we recently launched Pioneer, a 1P solar tracker solution, and introduced a new mounting solution to support the installation and use of U.S.-manufactured thin-film modules. Additionally, as noted above, we have seen improvements in the logistics markets and easing of supply chain constraints beginning in 2022. These factors have contributed to us having positive gross profit during each quarter in 2023, a first since our IPO in April 2021. In accordance with Accounting Standards Codification ("ASC") 205-40, Going Concern, we have evaluated whether there are conditions and events, considered in the aggregate, which raise substantial doubt about our ability to continue as a going concern within one year after the date our consolidated financial statements are issued. Management believes that our existing cash on hand, as well as the continuing impact of certain of the actions described above and our expectations of (i) improved market conditions, (ii) the expected timing of customer project activity, including activity related to certain large project awards received in 2023, and (iii) positive results from our efforts to increase gross margins, will allow us to grow profitably and generate positive cash flow from operations during the next twelve months in amounts that will be sufficient, along with our other available resources such as our existing working capital and remaining capacity available for future sales of our common stock under our ATM program, to fund our operations for at least one year from the date of issuance of these consolidated financial statements. While there are already many underlying drivers of growth in the solar industry, the expected positive impact on demand for our products, or the timing of construction activity by existing customers and solar project developers, could take longer than expected to occur. In addition, domestic and international market conditions could deteriorate significantly from what we currently expect, and regulatory and international trade policies could become more stringent as a result of (i) findings from the Solar Circumvention Investigation, (ii) CBP's enforcement of the UFLPA, and (iii) other factors, which may result in a need for us to issue additional debt or obtain new equity financing to adequately fund our existing operations beyond the next twelve months. We continue to actively explore options to obtain additional sources of capital through the issuance of new debt, asset financing or other potential measures for our longer-term needs. However, we may be unable to obtain any desired additional financing on terms favorable to us, or at all, depending on market and other conditions, which could result in curtailment of our current operations and our ability to further invest in our products and new technology. The ability to raise additional financing depends on numerous factors, some of which that are outside of our control, including macroeconomic factors such as the impact of inflation, the level of interest rates, supply chain or other effects from the ongoing conflicts in the Ukraine and the Middle East, general market conditions, the health of financial institutions (including the recent bankruptcy of certain regional banks and related impacts that have occurred and continue to occur in the banking industry), investors' and lenders' assessments of our prospects and the prospects of the solar industry in general and the ability of our common stock to continue to trade in active markets. |
Use of estimates | Use of estimates Preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements, and the reported revenue and expenses during the period. Estimates are used for calculating the measure of progress of our solar tracker projects and deriving the standalone selling prices of the individual performance obligations when determining amounts to recognize for revenue, estimating allowances for credit losses and slow-moving and obsolete inventory, determining useful lives of long-lived assets and the estimated fair value of those assets for impairment assessments, and estimating the fair value of investments, stock compensation awards, warranty liabilities and federal and state taxes, including tax valuation allowances, as well as other contingencies. We base our estimates on historical experience and anticipated results, trends, and various other assumptions that we believe are reasonable under the circumstances, including assumptions as to future events. Actual results could differ from those estimates due to risks and uncertainties. |
Cash and cash equivalents | Cash and cash equivalents We consider all highly liquid investments purchased with an original maturity of three months or less to be cash equivalents. Certain of our cash equivalents include deposits in money market funds that invest primarily in short-term securities issued or guaranteed by the U.S. government or its agencies or instrumentalities and contain no restrictions on immediate redemption. Interest earned on cash equivalents is included in interest income, which is reported net of interest expense in our Consolidated Statements of Comprehensive Loss. |
Restricted cash | Restricted cash Cash balances that are legally, contractually or otherwise restricted as to withdrawal or usage are considered restricted cash. We had no restricted cash balances at either December 31, 2023 or December 31, 2022 . |
Accounts receivable, net | Acc ounts receivable, net Trade receivables are recorded at invoiced amounts, net of allowances for credit losses, and do not bear interest. We generally do not require collateral from our customers; however, in certain circumstances, we may require letters of credit, other collateral, additional guarantees or advance payments. The allowance for credit losses is based on the lifetime expected credit loss of our customer accounts. To assess the lifetime expected credit loss, we utilize a loss rate method that takes into consideration historical experience and certain other factors, as appropriate, such as credit quality and current economic or other conditions that may affect a customer's ability to pay. Receivables arising from revenue recognized in excess of billings represents our unconditional right to consideration before customers are invoiced due to the level of progress obtained as of period end on our contracts to install solar tracker systems and related equipment. Further information may be found below in our revenue recognition policy. |
Inventories, net | Inventories, net Inventories are stated at the lower of cost or net realizable value, with costs computed on a first-in, first-out basis. The Company periodically reviews its inventories for excess and obsolete items and adjusts carrying costs to estimated net realizable values when they are determined to be less than cost. |
Leases | Leases We make a determination whether a contract is a lease or contains a lease at the inception of the contract and will reassess that conclusion if the contract is modified. All leases are assessed for classification as an operating lease or a finance lease. Operating lease right-of-use (“ROU”) assets are reflected on the Company's Consolidated Balance Sheets. Operating lease liabilities are separated into a current portion, which is included in other current liabilities, and a noncurrent portion which is reflected separately on the Company's Consolidated Balance Sheets. The Company does not have any finance lease ROU assets or liabilities. ROU assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. The Company does not obtain and control its right to use the identified asset until the lease commencement date. Our lease liabilities are recognized at the applicable lease commencement date based on the present value of the lease payments required to be paid over the lease term. Because the rate implicit in the lease is not readily determinable, we generally use our incremental borrowing rate to discount the lease payments to present value. The estimated incremental borrowing rate is derived from information available at the lease commencement date. We factor in publicly available data for instruments with similar characteristics when calculating our incremental borrowing rates. The Company's ROU assets are also recognized at the applicable lease commencement date. The ROU asset equals the carrying amount of the related lease liability, adjusted for any lease payments made prior to lease commencement and lease incentives provided by the lessor. Variable lease payments are expensed as incurred and do not factor into the measurement of the applicable ROU asset or lease liability. The term of our leases equals the non-cancellable period of the lease, including any rent-free periods provided by the lessor, and also include options to renew or extend the lease (including by not terminating the lease) that we are reasonably certain to exercise. We establish the term of each lease at lease commencement and reassess that term in subsequent periods when one of the triggering events outlined in ASC 842 occurs. Our operating lease cost for the lease payments is recognized on a straight-line basis over the lease term. Our lease contracts often include lease and non-lease components. For facility leases, we elected the practical expedient offered by the standard to not separate lease from non-lease components and, therefore, account for them as a single lease component. For our other contracts that include leases, the Company accounts for the lease and non-lease components separately. We have elected, for all classes of underlying assets, not to recognize ROU assets and lease liabilities for leases with a term of twelve months or less. Lease cost for short-term leases is recognized on a straight-line basis over the lease term. |
Property and equipment, net | Property and equipment, net Cost Property and equipment are stated at cost, net of accumulated depreciation. When assets are retired or otherwise disposed of, the cost and accumulated depreciation and amortization are removed from the accounts and any resulting gain or loss is recorded in the Consolidated Statements of Comprehensive Loss. Maintenance and repair costs that do not extend the useful life or improve an asset, are expensed as incurred. Third-party and internal personnel costs during the application development stage of software developed or obtained for internal use are capitalized. Costs incurred during the preliminary planning stage and post-implementation of new software systems projects, including data conversion and training costs, are expensed as incurred. Depreciation We depreciate our property and equipment using the straight-line method over their estimated useful lives, which generally are as follows: Category Depreciation period (in years) Leasehold improvements 3 Field equipment 5 Information technology equipment 3 Tooling 3 Capitalized software 3 Imp airment We review our long-lived assets that are held for use for impairment whenever events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable or that its useful life may be shorter than previously expected. If such impairment indicators are present or other factors exist that indicate the carrying amount of the asset may not be recoverable, we determine whether an impairment has occurred through the use of an undiscounted cash flow analysis of the asset at the lowest level for which identifiable cash flows exist. If an impairment has occurred, we recognize a loss for the difference between the carrying amount and the fair value of the asset, which in most cases is estimated based upon Level 3 unobservable inputs. If the asset is determined to have a remaining useful life shorter than previously expected, an adjustment for the shorter remaining life will be made for purposes of recognizing future depreciation expense. Assets are classified as held for sale when we have a plan, approved by the appropriate levels of management, for disposal of such assets, as well as other considerations, and those assets are stated at the lower of carrying value or estimated fair value less estimated costs to sell. |
Intangible assets, net | Intangible assets, net Intangible assets are recorded at fair value when acquired in connection with a business combination and consist of developed technology in the form of software tools, licenses, and intellectual property, which are amortized over the period of their estimated useful lives, generally 2.5 - 3.0 years, using the straight-line method. Costs incurred to renew or extend the term of a recognized intangible asset, if any, are expensed as incurred. We evaluate intangible assets for impairment using the method described above under "Impairment". |
Goodwill | Go odwill We recognize goodwill as the excess of the purchase price over the estimated fair value of the identified assets and liabilities acquired in a business combination accounted for using the acquisition method. Goodwill is not amortized but is subject to a periodic assessment for impairment at least annually, or whenever events and circumstances indicate an impairment may exist. Our assessments may include qualitative factors such as current or expected industry and market conditions, our overall financial performance, share price trends, market capitalization and other company-specific events. We operate in one segment, being the consolidated entity, which we have also determined is the reporting unit for goodwill impairment. We determined that we had no impairment of our goodwill as of December 31, 2023 . |
Equity method investments | Equity method investments We use the equity method of accounting for investments in which we have the ability to exercise significant influence, but not control, over operating and financial policies of the investee. Our proportionate share of the net income or loss of these investees is included in our Consolidated Statements of Comprehensive Loss. Judgment regarding the level of influence over each equity method investment includes considering key factors such as our ownership interest, legal form of the investee, representation on the board of directors or managers, participation in policy-making decisions and material intra-entity transactions. We account for distributions received from equity method investees under the “nature of the distribution” approach based on the nature of the activity or activities of the investee that generated the distribution as either a return on investment (classified as cash inflows from operating activities) or a return of investment (classified as cash inflows from investing activities). We evaluate equity method investments for impairment whenever events or changes in circumstances indicate that the carrying amount of the investment might not be recoverable. Factors considered by the Company when reviewing an equity method investment for impairment include the length of time and the extent to which the fair value of the equity method investment has been less than its cost, the investee’s financial condition and near-term prospects and the intent and ability to hold the investment for a period of time sufficient to allow for anticipated recovery. An impairment that is other-than temporary is recognized in the period identified. We made an accounting policy election that, upon the sale of our equity method investments, we will recognize contractual contingent gains arising from earnout provisions and project escrow releases when such amounts are realizable in periods subsequent to the disposal date. |
Deferred costs | Deferred costs Debt issue costs Legal, consulting, banking, accounting and other fees that are incremental and directly related to establishment of our revolving line of credit agreement have been capitalized and included as a component of other assets. These costs are being amortized to interest expense over the term of the revolving line of credit agreement on a straight-line basis. Debt discount and issue costs paid to lenders and third parties relating to outstanding debt, if any, are deferred and included as a reduction in the carrying amount of the debt. These deferred costs will be amortized as additional interest expense over the life of the debt using the interest method or on a straight-line basis, if not materially different. Equity offering costs Legal, consulting, banking, accounting and other fees that are incremental and directly related to anticipated equity offerings are capitalized as incurred and offset against proceeds received upon consummation of the offering as a component of additional paid-in capital. In the event an anticipated offering is terminated, such costs will be expensed. |
Warranty | Wa rranty Typically, the sale of solar tracker projects includes parts warranties to customers as part of the overall price of the product. We provide standard assurance type warranties for our products for periods generally ranging from five to ten years . We also accrue for costs relating to remediation efforts involving product issues we believe require correction. We record a provision for estimated warranty and remediation expenses in cost of sales, net of amounts recoverable from manufacturers under their warranty obligations to us. When historical claims information relating to our equipment is not sufficient, we will base our estimates on industry studies involving the nature and frequency of product failure rates for similar parts used by our competitors, as well as other related businesses. We do not maintain general or unspecified reserves; all warranty reserves are related to specific projects. All actual or estimated material costs incurred for warranty or remediation services in subsequent periods are charged to those established reserves. While we periodically monitor our warranty activities and claims, if actual costs incurred were to be different from our estimates, we would recognize adjustments to our warranty reserves in the period in which those differences arise or are identified. |
Stock-based compensation | Sto ck-based compensation We recognize compensation expense for all share-based payment awards made, including stock options and RSUs, based on the estimated fair value of the award on the grant date. We calculate the fair value of stock options using the Black-Scholes option pricing model for awards with service-based vesting or through use of a lattice model or a Monte Carlo simulation for stock option and RSU awards with market conditions. The fair value of RSUs with service or performance-based vesting is based on the estimated fair value of the Company's common stock on the date of grant. We consider the closing price of our stock, as reported on the Nasdaq Global Market, to be the fair value of our stock on the grant date. The Black-Scholes model relies on various assumptions, in addition to the exercise price of the option and the value of our common stock on the date of grant. These assumptions include: Expected Term: The expected term represents the period that the Company’s stock-based awards are expected to be outstanding and is calculated as the average of the option vesting and contractual terms, based on the simplified method, as we do not have sufficient historical exercise data to provide a reasonable basis upon which to estimate the expected term for options granted. The simplified method deems the term to be the average of the time-to-vesting and the contractual life of the options. The contractual life of an option may be up to 10 years . Expected Volatility: Since the Company did not have a trading history of its common stock prior to our IPO and since such trading history subsequent to our IPO is limited and may be less than the expected term of an award, the expected volatility is derived from the average historical stock volatilities of several public companies within the Company’s industry that it considers to be comparable to its business over a period equivalent to the expected term of the stock option grants. Risk-Free-Interest-Rate: The Company bases the risk-free interest rate on the implied yield available on U.S. Treasury zero-coupon issues with a remaining term equivalent to the expected term. Expected Dividend: The Company has not issued any dividends in its history and does not expect to issue dividends over the life of the options and, therefore, has estimated the dividend yield to be zero. Forfeitures are accounted for as they occur. For service-based awards, stock-based compensation is recognized using the straight-line attribution approach over the requisite service period. For performance-based awards, stock-based compensation is recognized based on graded vesting over the requisite service period when the performance condition is probable of being achieved. Stock compensation expense for market-based awards is recognized over the derived service period determined in the valuation model, inclusive of any vesting conditions. |
Income taxes | Income taxes Pursuant to ASC 740, Accounting for Income Taxes, we use the asset and liability method for accounting for income taxes. Under this method, we recognize deferred tax liabilities and assets for the expected future tax consequences of temporary differences between the respective carrying amounts and tax basis of our assets and liabilities. Deferred tax balances are adjusted to reflect tax rates based on currently enacted tax laws, which will be in effect in the years in which the temporary differences are expected to reverse. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in the results of operations in the period of the enactment date. We establish valuation allowances when necessary to reduce deferred tax assets to the amounts expected to be realized. On a quarterly basis, we evaluate the need for, and the adequacy of, valuation allowances based on the expected realization of our deferred tax assets. The factors used to assess the likelihood of realization include our latest forecast of future taxable income, available tax planning strategies that could be implemented, reversal of taxable temporary differences and carryback potential to realize the net deferred tax assets. We account for uncertain tax positions in accordance with authoritative guidance which prescribes a minimum recognition threshold a tax position is required to meet before being recognized in the financial statements. Our evaluations of tax positions consider various factors including, but not limited to, changes in tax law, the measurement of tax positions taken or expected to be taken in tax returns, the effective settlement of matters subject to audit, information obtained during in-process audit activities and changes in facts or circumstances related to a tax position. We accrue interest and penalties related to unrecognized tax benefits as a component of income tax expense. |
Functional currency | Functional currency The reporting currency of the Company is the U.S. dollar. We determine the functional currency of each subsidiary in accordance with ASC 830, Foreign Currency Matters, based on the currency of the primary economic environment in which each subsidiary operates. We translate the assets and liabilities of our non-U.S. dollar functional currency subsidiaries into U.S. dollars using exchange rates in effect at the end of each period. Revenue and expenses for these subsidiaries are translated using rates that approximate those in effect during the period. Gains and losses from these translations are recognized as a cumulative translation adjustment in "Accumulated other comprehensive loss" in "Total stockholders’ equity" in the Consolidated Balance Sheets. The Company remeasures monetary assets and liabilities that are not denominated in the functional currency at exchange rates in effect at the end of each period. Foreign currency gains or losses realized or from remeasurement are reflected in "Other expense, net" in our Consolidated Statements of Comprehensive Loss. |
Revenue recognition | Re venue recognition Product revenue is derived from the sale of solar tracker systems and customized components for those systems, individual part sales for certain specific transactions and the sale of term-based software licenses. Term-based licensed software is deployed on the customers’ own servers and has significant standalone functionality. Service revenue includes revenue from shipping and handling services, engineering consulting and pile testing services, our subscription-based enterprise licensing model and maintenance and support services in connection with the term-based software licenses. Our subscription-based enterprise licensing model typically has contract terms ranging from one to two years and consists of subscription fees from the licensing of subscription services. Our hosted on-demand service arrangements do not provide customers with the right to take possession of the software supporting the hosted services. Support services include ongoing security updates, upgrades, bug fixes, and maintenance. We recognize revenue when promised goods or services are transferred to customers in an amount that reflects the consideration to which we expect to be entitled to in exchange for those goods or services by following a five-step process: (1) identify the contract with a customer, (2) identify the performance obligations in the contract, (3) determine the transaction price, (4) allocate the transaction price to the performance obligations in the contract, and (5) recognize revenue when or as the Company satisfies a performance obligation, as further described below. Identify the contract with a customer: A contract with a customer exists when (i) the Company enters into an enforceable contract with a customer that defines each party’s rights regarding the products and services to be transferred and identifies the payment terms related to these products and services, (ii) the contract has commercial substance, and (iii) the Company determines that collection of substantially all consideration for products and services that are transferred is probable based on the customer’s intent and ability to pay the promised consideration. In assessing the recognition of revenue, we also evaluate whether two or more contracts should be combined and accounted for as one contract and if the combined or single contract should be accounted for as multiple performance obligations which could change the amount of revenue and profit (loss) recorded in a period. Change orders may include changes in specifications or design, manner of performance, equipment, materials, scope of work, and/or the period of completion of the project. We analyze change orders to determine if they should be accounted for as a modification to an existing contract or a new stand-alone contract. Contracts we enter into with our customers for sale of solar tracker systems are generally under two different types of arrangements: (1) purchase agreements and equipment supply contracts (“Purchase Agreements”), and (2) sale of individual parts for those systems. Change orders from our customers are generally modifications to existing contracts and are included in the total estimated contract revenue when it is probable that the change order will result in additional value that can be reliably estimated and realized. Identify the performance obligations in the contract: We enter into contracts that can include various combinations of products and services, which are either capable of being distinct and accounted for as separate performance obligations or as one performance obligation since the majority of tasks and services are part of a single project or capability. However, determining whether products or services are considered distinct performance obligations that should be accounted for separately versus together may sometimes require significant judgment. Our Purchase Agreements typically include two performance obligations: 1) our solar tracker systems or customized components of those systems, and 2) shipping and handling services. The deliverables included as part of our solar tracker systems are predominantly accounted for as one performance obligation, as these deliverables are part of a combined promise to deliver a project. The revenue for shipping and handling services will be recognized over time based on progress in meeting shipping terms of the arrangements, as this faithfully depicts the Company’s performance in transferring control. Revenue for stand-alone engineering consulting and pile testing services is recognized at a point in time upon completion of the services performed. Sales of individual parts of our solar tracker systems for certain specific transactions include multiple performance obligations consisting of individual parts of those systems. Revenue is recognized for parts sales at a point in time when the obligations under the terms of the contract with our customer are satisfied. Generally, this occurs with the transfer of control of the asset, which is in line with shipping terms. Determine the transaction price: The transaction price is determined based on the consideration to which we will be entitled in exchange for transferring services to the customer. Such amounts are typically stated in the customer contract, and to the extent that we identify variable consideration, we will estimate the variable consideration at the onset of the arrangement as long as it is probable that a significant reversal in the amount of cumulative revenue recognized will not occur when the uncertainty associated with the variable consideration is subsequently resolved. The majority of our contracts do not contain variable consideration provisions as a continuation of the original contract. None of our contracts contain a significant financing component. Taxes collected from customers and remitted to governmental authorities are not included in revenue. Allocate the transaction price to performance obligations in the contract: Once we have determined the transaction price, we allocate the total transaction price to each performance obligation in a manner depicting the amount of consideration to which we expect to be entitled in exchange for transferring the good(s) or service(s) to the customer. We allocate the transaction price to each performance obligation identified in the contract on a relative standalone selling price basis. We use the expected cost-plus margin approach based on hardware, labor, and related overhead cost to estimate the standalone selling price of our solar tracker systems, customized components of those systems, and individual parts for certain specific transactions. We also use the expected cost-plus margin approach based on expected third-party shipping and transportation costs to estimate the standalone selling price of our shipping, handling and logistics performance obligations. We use the adjusted market assessment approach for all other performance obligations. Recognize revenue when or as the Company satisfies a performance obligation : For each performance obligation identified, we determine at contract inception whether we satisfy the performance obligation over time or at a point in time. The performance obligations in the contracts for our solar tracker systems and customized components of those systems are satisfied over time as work progresses, utilizing an input measure of progress determined by cost-to-cost measures on these projects as this faithfully depicts our performance in transferring control. Additionally, our performance does not create an asset with an alternative use, due to the highly customized nature of the product, and we have an enforceable right to payment for performance completed to date. Our performance obligations for individual part sales for certain specific transactions are recognized at a point in time as and when control transfers based on the Incoterms for the contract. Our performance obligations for engineering consulting and pile testing services are recognized at a point in time upon completion of the services. Our performance obligations for term-based software licenses are recognized at a point in time as and when control transfers, either upon delivery to the customer or the software license start date, whichever is later. Our performance obligations for shipping and handling services are satisfied over time as the services are delivered over the term of the contract. We recognize revenue for subscription and other services on a straight-line basis over the contract period. With regard to support revenue, a time-elapsed method is used to measure progress because we transfer control evenly over the contractual period. Accordingly, the fixed consideration related to support revenue is generally recognized on a straight-line basis over the contract term. Contract assets and liabilities: The timing of revenue recognition, billing, and cash collection results in the recognition of accounts receivable, unbilled receivables for revenue recognized in excess of billings, and deferred revenue in the Consolidated Balance Sheets. We have elected to use the practical expedient of expensing incremental costs of obtaining a contract as incurred since the majority of the performance obligations in our contracts are satisfied in less than one year. We may receive advances or deposits from our customers before revenue is recognized, resulting in contract liabilities, which are reflected as “deferred revenue” in our Consolidated Balance Sheets. Customer deposits are short term as the related performance obligations are typically fulfilled within 12 months. Changes in deferred revenue relate to fluctuations in the timing of customer deposits and completion of performance obligations. Revenue recognized during the year ended December 31, 2023 from amounts included in deferred revenue at December 31, 2022 totaled $ 11.3 million . Revenue recognized during the years ended December 31, 2022 and 2021 from amounts included in deferred revenue at the end of each respective prior year period was not materially different than the prior year end deferred revenue balances applicable to those periods. Cost of revenue consists primarily of costs related to raw materials, equipment manufacturing activities, freight and delivery, product warranty, remediation and personnel costs (salaries, bonuses, benefits, and stock-based compensation). Personnel costs in cost of revenue include both direct labor costs, as well as costs attributable to any individuals whose activities relate to the procurement, installment and delivery of the finished product and services. Cost of revenue owed but not yet paid is recorded as accrued cost of revenue. Deferred cost of revenue results from the timing differences between the costs incurred in advance of the satisfaction of all revenue recognition criteria consistent with our revenue recognition policy. |
Research and development | Research and development Research and development costs are expensed as incurred and consist primarily of personnel costs, including salaries, bonuses, benefits, and stock-based compensation, along with other costs related to development of new products and services, as well as enhancing system performance, improving product reliability, reducing product cost, and simplifying installation. Research and development costs also include depreciation and allocated overhead. |
Advertising costs | Advertising costs Advertising costs are expensed as incurred and are included in selling and marketing expenses in the accompanying Consolidated Statements of Comprehensive Loss. |
Concentration of credit risk | Concentrations of credit risk Financial instruments that potentially subject the Company to concentrations of credit risk are primarily cash, cash equivalents and accounts receivable. We regularly maintain cash balances with various financial institutions that exceed federally insured amounts, but we have experienced no losses associated with these amounts to date. We also took action in 2023 to reallocate cash balances between different financial institutions based on our assessment as to the financial health of certain institutions. We extend credit to customers in the normal course of business, often without requiring collateral. We also perform credit analyses and monitor the financial health of our customers to reduce credit risk. Our accounts receivables are derived from revenue earned from customers primarily located in the United States, Australia and in the Asia Pacific region. No countries other than the United States and Australia account for 10 % or more of our revenue. Most of our customers are p roject developers, solar asset owners and engineering, procurement and construction (“EPC”) contractors that design and build solar energy projects. Often times, as discussed further in "Note 6. Accounts receivable, net " below, a small number of customers account for a significant portion of our revenue for each period and our outstanding receivables at each period end. |
Fair value of financial instruments | Fair value of financial instruments Our financial instruments consist of cash, cash equivalents, accounts receivable, accounts payable, and debt obligations, if any. Cash, cash equivalents, accounts receivable and accounts payable are stated at their carrying value, which approximates fair value due to the short time to the expected receipt or payment date. The carrying values of debt obligations bearing variable rates of interest, if any, are also considered to approximate fair value due to applicable interest rates resetting to market rates periodically. The fair value of our fixed-rate debt obligations, if any, will be impacted by changes in market rates for similar debt subsequent to our initial borrowings. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (i.e., the “exit price”) in an orderly transaction between market participants at the measurement date. A hierarchy for inputs used in measuring fair value has been defined to minimize the use of unobservable inputs by requiring the use of observable market data when available. Observable inputs are inputs that market participants would use in pricing the asset or liability based on active market data. Unobservable inputs we select reflect our assumptions about what market participants would use in pricing the asset or liability based on the best information currently available. The fair value hierarchy prioritizes the inputs into three broad levels: • Level 1: Quoted (unadjusted) prices in active markets for identical assets or liabilities. • Level 2: Observable inputs other than quoted prices included in Level 1, such as quoted prices for similar assets or liabilities in active markets; quoted prices for identical or similar assets or liabilities in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the asset or liability. • Level 3: Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. We account for long-term debt, if any, on an amortized cost basis. |
Recent accounting pronouncements adopted and not yet adopted | Recent accounting pronouncements adopted and not yet adopted Adopted We adopted ASU No. 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments (“ASU 2016-13”), as amended, effective January 1, 2023. ASU 2016-13 changed the impairment model for most financial assets and requires the use of an expected loss model in place of the previously used incurred loss method. Under this model, we now estimate the lifetime expected credit loss on such instruments and record an allowance to offset the amortized cost basis of the financial asset, resulting in a net presentation of the amount expected to be collected on the financial asset. There was no material impact on our consolidated financial statements upon adoption of ASU 2016-13. For the years ended December 31, 2022 and 2021, we utilized the incurred loss model in estimating our allowance for doubtful accounts. Not yet adopted In November 2023, the Financial Accounting Standards Board ("FASB") issued ASU No. 2023-07 - Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures ("ASU 2023-07"), which will become effective for us in 2024. ASU 2023-07 requires public companies to disclose significant segment expenses and other segment items on an annual and interim basis and will require interim disclosures about a reportable segment's profit or loss and assets that are currently required annually. As noted above, we operate in one segment. We are currently evaluating the impact of ASU 2023-07 on our existing disclosures. ASU 2023-07 will be applied retrospectively to all periods presented in our consolidated financial statements upon adoption. In December 2023, the FASB issued ASU No. 2023-09 - Income Taxes (Topic 740): Improvements to Income Tax Disclosures ("ASU 2023-09"). ASU 2023-09 requires companies to disclose (i) additional categories of information about federal, state and foreign income taxes above a quantitative threshold in their rate reconciliation table and (ii) income taxes paid, net of refunds, disaggregated by federal, state and foreign taxes for annual periods, as well as other disclosure changes. As an emerging growth company, we are not required to adopt ASU 2023-09 prior to 2026, although earlier adoption is permitted. We are currently evaluating the impact of ASU 2023-09 on our existing income tax disclosures. Other standards that have been issued but not yet adopted as of December 31, 2023 , are either not applicable to us or are not expected to have any material impact upon adoption. |
Acquisition (Tables)
Acquisition (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Business Combination and Asset Acquisition [Abstract] | |
Schedule of goodwill activity | Activity in our goodwill balance arising largely from the acquisition of HX Tracker was as follows: Year ended December 31, (in thousands) 2023 2022 Balance at beginning of period $ 7,538 $ — Acquisition of HX Tracker — 7,447 Acquisition of pile testing and equipment installation business — 271 Translation ( 185 ) ( 180 ) Balance at end of period $ 7,353 $ 7,538 |
Reduction in force (Tables)
Reduction in force (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Workforce Activity [Abstract] | |
Schedule of severance and termination-related costs | we recognized severance and termination-related costs as follows: Year ended December 31, (in thousands) 2023 2022 Cost of revenue $ 252 $ 145 Research and development 140 116 Selling and marketing 552 62 General and administrative 3,478 118 Total $ 4,422 $ 441 |
Summary of significant accoun_3
Summary of significant accounting policies (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Depreciation of property and equipment using the method over their estimated useful lives | We depreciate our property and equipment using the straight-line method over their estimated useful lives, which generally are as follows: Category Depreciation period (in years) Leasehold improvements 3 Field equipment 5 Information technology equipment 3 Tooling 3 Capitalized software 3 Imp airment |
Accounts receivable, net (Table
Accounts receivable, net (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Accounts Receivable, after Allowance for Credit Loss [Abstract] | |
Schedule of Accounts Receivable, Net | Accounts receivable consisted of the following: (in thousands) December 31, 2023 December 31, 2022 Trade receivables $ 46,152 $ 35,367 Related party receivables 868 — Revenue recognized in excess of billings 26,813 14,844 Other receivables 3 25 Total 73,836 50,236 Allowance for credit losses ( 8,557 ) ( 1,184 ) Accounts receivable, net $ 65,279 $ 49,052 |
Summary of changes in the Allowance for Doubtful Trade Receivables | Activity in the allowance for credit losses in 2023 and the allowance for doubtful accounts in 2022 and 2021 was as follows: Year ended December 31, (in thousands) 2023 2022 2021 Balance at beginning of period $ 1,184 $ 3,872 $ 1,228 Impact of adoption of ASU 2016-13, effective January 1, 2023 — N/A N/A Additions charged to earnings during the period 7,373 5,578 4,045 Write-offs of uncollectible accounts — ( 8,266 ) ( 1,401 ) Balance at end of period $ 8,557 $ 1,184 $ 3,872 |
Inventories, net (Tables)
Inventories, net (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Inventory Disclosure [Abstract] | |
Schedule of Inventories | Inventories consisted of the following: (in thousands) December 31, 2023 December 31, 2022 Finished goods $ 4,246 $ 16,269 Allowance for slow-moving and obsolete inventory ( 341 ) ( 1,320 ) Total $ 3,905 $ 14,949 |
Schedule of Activity in Slow-moving and Obsolete Inventory | Activity in the allowance for slow-moving and obsolete inventory for each period was as follows: Year ended December 31, (in thousands) 2023 2022 2021 Balance at beginning of period $ 1,320 $ 90 $ — Additions charged to earnings 706 1,813 90 Write-offs of obsolete inventory ( 1,685 ) ( 583 ) — Balance at end of period $ 341 $ 1,320 $ 90 |
Prepaid and other current ass_2
Prepaid and other current assets (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Prepaid Expense and Other Assets, Current [Abstract] | |
Schedule of Prepaid and Other Current Assets | Prepaid and other current assets consisted of the following: (in thousands) December 31, 2023 December 31, 2022 Vendor deposits $ 6,187 $ 5,085 Prepaid expenses 1,251 3,544 Prepaid taxes 447 163 Deferred cost of revenue 666 — Surety collateral — 107 Other current assets 5,538 1,405 Total $ 14,089 $ 10,304 At December 31, 2023, other current assets included $ 3.0 million of (i) a short-term interest-bearing loan to a customer, as well as (ii) a non-interest bearing customer advance, both of which are for pre-project construction financing activities. The amounts are secured by customer assets and, additionally, in one case by a financial guarantee. |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Leases [Abstract] | |
Summary of Operating Lease Expense | Our expense for our operating leases consisted of the following: Year ended December 31, (in thousands) 2023 2022 2021 Operating lease cost $ 996 $ 705 $ 458 Short-term lease cost 424 456 100 Total lease cost $ 1,420 $ 1,161 $ 558 Reported in: Cost of revenue $ 907 $ 677 $ 239 Research and development 55 46 39 Selling and marketing 92 45 1 General and administrative 366 393 279 Total lease cost $ 1,420 $ 1,161 $ 558 |
Summary of Future Remaining Lease Payments Obligations | Future remaining operating lease payment obligations were as follows: (in thousands) December 31, 2024 $ 818 2025 755 2026 219 2027 192 2028 16 Total lease payments 2,000 Less: imputed interest ( 136 ) Present value of operating lease liabilities $ 1,864 Current portion of operating lease liability $ 740 Operating lease liability, net of current portion 1,124 Present value of operating lease liabilities $ 1,864 |
Property and equipment, net (Ta
Property and equipment, net (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Property, Plant and Equipment [Abstract] | |
Schedule of Property and Equipment | Property and equipment consisted of the following: (in thousands) December 31, 2023 December 31, 2022 Leasehold improvements $ 157 $ 22 Field equipment 1,062 1,078 Information technology equipment 466 355 Tooling 1,014 824 Capitalized software 734 250 Total 3,433 2,529 Accumulated depreciation ( 1,610 ) ( 827 ) Property and equipment, net $ 1,823 $ 1,702 |
Schedule of Depreciation Expense | We recognized depreciation expense associated with our property and equipment each period as follows: Year ended December 31, (in thousands) 2023 2022 2021 Tangible asset depreciation $ 668 $ 547 $ 170 Capitalized software depreciation 165 84 62 Total depreciation expense $ 833 $ 631 $ 232 |
Intangible assets, net and go_2
Intangible assets, net and goodwill (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Summary of Intangible assets | Intangible assets consisted of the following: (in thousands) Estimated Useful Lives (Years) December 31, 2023 December 31, 2022 Developed technology 2.5 – 3.0 $ 2,555 $ 2,591 Total 2,555 2,591 Accumulated amortization ( 2,013 ) ( 1,478 ) Intangible assets, net $ 542 $ 1,113 |
Schedule of goodwill activity | Activity in our goodwill balance arising largely from the acquisition of HX Tracker was as follows: Year ended December 31, (in thousands) 2023 2022 Balance at beginning of period $ 7,538 $ — Acquisition of HX Tracker — 7,447 Acquisition of pile testing and equipment installation business — 271 Translation ( 185 ) ( 180 ) Balance at end of period $ 7,353 $ 7,538 |
Accrued expenses and other cu_2
Accrued expenses and other current liabilities (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Accrued Expenses and Other Current Liabilities Abstract | |
Schedule of Accrued Expenses and Other Current Liabilities | Accrued expenses and other current liabilities consisted of the following: (in thousands) December 31, 2023 December 31, 2022 Accrued cost of revenue $ 26,773 $ 13,198 Related party accrued cost of revenue 1,451 — Accrued compensation 3,858 4,688 Other accrued expenses 2,766 6,010 Total accrued expenses $ 34,848 $ 23,896 Warranty reserves $ 7,279 $ 8,004 Current portion of operating lease liability 740 417 Non-federal tax obligations 119 463 Total other current liabilities $ 8,138 $ 8,884 |
Schedule of warranty accruals | Activity by period in the Company's warranty accruals was as follows: Year ended December 31, (in thousands) 2023 2022 2021 Balance at beginning of period $ 12,426 $ 9,346 $ 6,811 Warranties issued and remediation added during the period 4,310 8,228 8,588 Settlements made during the period ( 4,254 ) ( 4,041 ) ( 5,270 ) Changes in liability for pre-existing warranties ( 1,480 ) ( 1,107 ) ( 783 ) Balance at end of period $ 11,002 $ 12,426 $ 9,346 Warranty accruals are reported in: Other current liabilities $ 7,279 $ 8,004 $ 4,032 Other non-current liabilities 3,723 4,422 5,314 Balance at end of period $ 11,002 $ 12,426 $ 9,346 |
Income taxes (Tables)
Income taxes (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
Schedule of components of loss before income taxes | The components of our loss before income taxes were as follows: Year ended December 31, (in thousands) 2023 2022 2021 United States loss $ ( 48,530 ) $ ( 98,462 ) $ ( 106,467 ) Foreign income (loss) ( 2,098 ) ( 716 ) 47 Total loss before income taxes $ ( 50,628 ) $ ( 99,178 ) $ ( 106,420 ) |
Schedule of provisions (benefits) for income taxes | The provisions for (benefits from) income taxes and the reasons for the differences between the provisions for and benefits from income taxes using the U.S. federal income tax rate were as follows: Year ended December 31, (in thousands) 2023 2022 2021 Current - Federal $ — $ — $ — State ( 350 ) 204 196 Foreign 95 231 ( 27 ) ( 255 ) 435 169 Deferred - Federal — — — State — — — Foreign ( 83 ) — — ( 83 ) — — Provisions for (benefits from) income taxes $ ( 338 ) $ 435 $ 169 Federal income tax benefit at statutory rate $ ( 10,632 ) $ ( 20,827 ) $ ( 22,348 ) State taxes, net of federal ( 739 ) ( 1,035 ) ( 1,744 ) Research and experimentation tax credit 1,544 ( 2,811 ) ( 342 ) Change in valuation allowance 10,200 24,911 28,361 Stock compensation 1,218 ( 1,781 ) ( 6,863 ) Section 162m limitation on executive compensation 203 1,922 2,467 Deferred tax true ups ( 1,500 ) ( 764 ) 126 State payable true ups ( 326 ) 204 57 Permanent differences and other ( 306 ) 616 455 Provisions for (benefits from) income taxes $ ( 338 ) $ 435 $ 169 |
Schedule of components of deferred tax assets and liabilities | The components of deferred tax assets and liabilities were as follows: (in thousands) December 31, December 31, Deferred tax assets: Fixed assets and intangibles $ 44 $ 5 Leases 348 255 Accrued expenses 5,590 4,887 Net operating loss carryforward 64,055 52,179 Stock options 2,475 3,528 R&D credit carryforward 1,886 3,431 Other 2,048 1,998 Subtotal 76,446 66,283 Less: valuation allowance ( 75,858 ) ( 65,659 ) Total deferred tax assets 588 624 Deferred tax liabilities: Leases ( 339 ) ( 243 ) Prepaid expenses ( 166 ) ( 381 ) Total deferred tax liabilities ( 505 ) ( 624 ) Net deferred tax asset (liability) $ 83 $ — |
Schedule of changes in our accruals for unrecognized tax benefits | We account for uncertainty in taxes in accordance with authoritative guidance. Changes in our accruals for unrecognized tax benefits were as follows: Year ended December 31, (in thousands) 2023 2022 Balance at beginning of period $ 1,421 $ 717 Increase for tax positions related to the current period — 386 Increase for tax provisions related to prior periods — 318 Decrease for tax positions related to prior periods ( 382 ) — Balance at end of period $ 1,039 $ 1,421 |
Commitments and contingencies (
Commitments and contingencies (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
Summary of Changes in Product Warranty Reserves | Activity by period in the Company's warranty accruals was as follows: Year ended December 31, (in thousands) 2023 2022 2021 Balance at beginning of period $ 12,426 $ 9,346 $ 6,811 Warranties issued and remediation added during the period 4,310 8,228 8,588 Settlements made during the period ( 4,254 ) ( 4,041 ) ( 5,270 ) Changes in liability for pre-existing warranties ( 1,480 ) ( 1,107 ) ( 783 ) Balance at end of period $ 11,002 $ 12,426 $ 9,346 Warranty accruals are reported in: Other current liabilities $ 7,279 $ 8,004 $ 4,032 Other non-current liabilities 3,723 4,422 5,314 Balance at end of period $ 11,002 $ 12,426 $ 9,346 |
Stock compensation and other _2
Stock compensation and other employee benefit plans (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Share-Based Payment Arrangement [Abstract] | |
Schedule of Stock compensation expense | Stock compensation expense for each period was as follows: Year ended December 31, (in thousands) 2023 2022 2021 Cost of revenue $ 1,596 $ 3,292 $ 8,094 Research and development 541 1,460 3,657 Selling and marketing 718 1,889 2,056 General and administrative 5,440 13,662 47,958 Total stock compensation expense $ 8,295 $ 20,303 $ 61,765 |
Summary of outstanding option awards activity | Information relating to our outstanding option awards was as follows: Options Shares Weighted-average exercise price Weighted-average remaining contractual term (in years) Intrinsic value (in thousands) Outstanding as of December 31, 2022 6,809,850 $ 4.29 Granted 450,000 $ 0.67 Modified (1) ( 1,053,750 ) $ 8.14 Exercised ( 717,960 ) $ 0.32 Forfeited ( 3,054,352 ) $ 3.38 Expired ( 18,262 ) $ 0.48 Outstanding as of December 31, 2023 2,415,526 $ 1.82 7.03 $ 455 Vested at December 31, 2023 or expected to vest in the future 2,415,526 $ 1.82 7.03 $ 455 Exercisable at December 31, 2023 1,958,481 $ 2.08 6.37 $ 443 Unvested and expected to vest in the future 457,045 $ 0.67 9.87 $ 12 At December 31, 2023: Stock-based compensation cost not yet recognized (in thousands) $ 233 Weighted-average remaining expense recognition period (in years) 1.04 (1) - In April 2023, we modified a grant of 2,107,500 options initially made to our former Chief Executive Officer in September 2021. The options originally granted vested after a period of time once our stock price reached certain targets and had an exercise price of $ 8.14 per option. The modification in April 2023 resulted in cancellation of 1,053,750 options, reset the stock price targets for vesting and reduced the exercise price to $ 2.48 per option, based on the estimated fair value of our stock as of the modification date. As a result of the departure of our former Chief Executive Officer during the fourth quarter of 2023, the remaining options, all of which were unvested, were forfeited. |
Summary of option awards Activity | Assumptions used to value option awards were as follows: Year ended December 31, 2023 2022 2021 Black-Scholes-Merton pricing formula weighted-average assumptions: Expected life (in years) 5.50 5.27 7.72 Risk-free interest rate 4.16 % 1.82 % 1.32 % Volatility 97.51 % 80.00 % 56.47 % Dividend yield 0.00 % 0.00 % 0.00 % Valuations: Grant-date fair value per option (2) $ 0.52 $ 1.85 $ 4.79 Intrinsic value of options exercised (in thousands) $ 1,324 $ 14,646 $ 22,852 Average intrinsic value per share of options exercised $ 1.84 $ 4.42 $ 8.05 (2) - Includes options granted with market conditions in 2022 and 2021. Such options were forfeited in 2023. |
Summary of outstanding restricted stock unit and restricted stock awards | Information relating to our outstanding restricted stock unit and restricted stock awards was as follows: Shares Weighted-average grant date fair value Restricted stock units: Nonvested as of December 31, 2022 7,072,663 $ 4.73 Granted 12,129,309 $ 1.54 Vested ( 3,841,815 ) $ 3.92 Forfeited ( 3,469,021 ) $ 4.28 Nonvested as of December 31, 2023 11,891,136 $ 1.87 Restricted stock unit vesting conditions: Service-based vesting 5,811,724 $ 3.15 Performance conditions and service-based vesting 779,412 $ 4.33 Market conditions and service-based vesting 5,300,000 $ 0.10 Nonvested as of December 31, 2023 11,891,136 $ 1.87 At December 31, 2023: Stock-based compensation cost not yet recognized (in thousands) $ 13,482 Weighted-average remaining expense recognition period (in years) 1.88 |
Net loss per share (Tables)
Net loss per share (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Earnings Per Share [Abstract] | |
Schedule of Computation of Basic and Diluted Income (Loss) Per Share | Year ended December 31, 2023 2022 2021 Net loss (in thousands) $ ( 50,290 ) $ ( 99,613 ) $ ( 106,589 ) Weighted average shares outstanding for calculating basic and diluted loss per share 115,546,150 101,408,263 86,043,051 Basic and diluted loss per share $ ( 0.44 ) $ ( 0.98 ) $ ( 1.24 ) |
Schedule of Antidilutive Securities Excluded from Computation of Diluted Net Income Per Share | For purposes of computing diluted loss per share, weighted average common shares outstanding do not include potentially dilutive securities that are anti-dilutive, as shown below. For the year ended December 31, 2023 2022 2021 Anti-dilutive securities excluded from calculating dilutive loss per share: Shares of common stock issuable under stock option plans outstanding 2,415,526 6,809,850 7,538,265 Shares of common stock issuable upon vesting of RSUs 11,891,136 7,072,663 5,141,469 Potential common shares excluded from diluted net loss per share calculation 14,306,662 13,882,513 12,679,734 |
Geographic and customer conce_2
Geographic and customer concentrations (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Geographic and Customer Concentrations [Abstract] | |
Schedule of third party revenue by geographic area | Third-party revenue was recognized by our subsidiaries in the following locations: Year ended December 31, (in thousands) 2023 2022 2021 United States $ 119,982 $ 97,992 $ 270,107 Australia 7,000 24,847 418 All other 20 227 — Total third-party revenue $ 127,002 $ 123,066 $ 270,525 |
Schedule of long-lived assets by geographic area | Our long-lived assets, consisting of ROU assets and property and equipment, were in the following locations: As of December 31, (in thousands) 2023 2022 United States $ 3,187 $ 2,728 Australia 7 3 India 441 113 All other 7 12 Total long-lived assets $ 3,642 $ 2,856 |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Segment Reporting [Abstract] | |
Schedule of third party revenue by geographic area | Third-party revenue was recognized by our subsidiaries in the following locations: Year ended December 31, (in thousands) 2023 2022 2021 United States $ 119,982 $ 97,992 $ 270,107 Australia 7,000 24,847 418 All other 20 227 — Total third-party revenue $ 127,002 $ 123,066 $ 270,525 |
Description of business - Addit
Description of business - Additional Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Description Of Business [Line Items] | |||
Stock offering costs paid | $ 283 | $ 0 | $ 5,948 |
Revision of previously issued f
Revision of previously issued financial statements - Schedule of Consolidated Statement of Cash Flows (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Impact on cash from changes in operating assets and liabilities | |||
Accounts payable | $ (7,960) | $ (22,940) | $ 21,659 |
Net cash provided by (used in) operating activities | (52,656) | (54,510) | (132,854) |
Cash flows from financing activities | |||
Stock Offering costs paid | (283) | 0 | (5,948) |
Net cash provided by financing activities | $ 33,950 | $ 903 | $ 180,369 |
Summary of significant accoun_4
Summary of significant accounting policies - Additional Information (Details) $ / shares in Units, $ in Thousands | 12 Months Ended | |||||
Dec. 22, 2023 Days $ / shares | Aug. 16, 2022 | Apr. 28, 2021 | Dec. 31, 2023 USD ($) Days $ / shares shares | Dec. 31, 2022 USD ($) $ / shares shares | Dec. 31, 2021 USD ($) | |
Description of closing bid pric of our common stock | If at any time before June 19, 2024 the bid price of our common stock closes at or above $1.00 per share for a minimum of ten consecutive business days, Nasdaq will provide written notification that we have achieved compliance with this minimum bid price requirement. | |||||
Common stock, par value | $ / shares | $ 0.0001 | $ 0.0001 | ||||
Consecutive business days | Days | 30 | 10 | ||||
Net cash used in operating activities | $ (52,656) | $ (54,510) | $ (132,854) | |||
Cash and cash equivalents | 25,200 | |||||
Working capital | $ 53,800 | |||||
Reduction in workforce | 9% | 8% | ||||
Common stock, reserved for future issuance, value | $ 64,900 | |||||
Issuance of common stock, value | 34,007 | $ 241,155 | ||||
Restricted cash | 0 | $ 0 | ||||
Impairment of goodwill | $ 0 | |||||
Warranty description | We provide standard assurance type warranties for our products for periods generally ranging from five to ten years | |||||
Concentrations of credit risk, percentage | 10% | |||||
Common stock, shares issued | shares | 125,445,325 | 105,032,588 | ||||
Common stock, shares outstanding | shares | 125,445,325 | 105,032,588 | ||||
Forward stock split | 8.25 | |||||
Revenue recognized included in deferred revenue | $ 11,300 | |||||
Exercise price of the option, term | 10 years | |||||
ATM Program [Member] | ||||||
Common stock, reserved for future issuance, value | $ 64,900 | |||||
Issuance of common stock, value | $ 35,100 | |||||
Minimum [Member] | ||||||
Intangible assets, estimated useful life | 2 years 6 months | |||||
Product warranty life | 5 years | |||||
Subscription revenue contract terms | 1 year | |||||
Closing bid price | $ / shares | $ 1 | $ 1 | ||||
Investment tax credit, percentage | 30% | |||||
Maximum [Member] | ||||||
Intangible assets, estimated useful life | 3 years | |||||
Product warranty life | 10 years | |||||
Subscription revenue contract terms | 2 years | |||||
Investment tax credit, percentage | 50% | |||||
Maximum [Member] | Alpha Steel [Member] | ||||||
Additional capital contributions | $ 2,600 |
Summary of significant accoun_5
Summary of significant accounting policies - Summary of property and equipment (Details) | Dec. 31, 2023 |
Leasehold Improvements [Member] | |
Property, Plant and Equipment [Line Items] | |
Property Plant And Equipment Useful Life | 3 years |
Field Equipment [Member] | |
Property, Plant and Equipment [Line Items] | |
Property Plant And Equipment Useful Life | 5 years |
Information Technology Equipment [Member] | |
Property, Plant and Equipment [Line Items] | |
Property Plant And Equipment Useful Life | 3 years |
Tooling [Member] | |
Property, Plant and Equipment [Line Items] | |
Property Plant And Equipment Useful Life | 3 years |
Capitalized Software [Member] | |
Property, Plant and Equipment [Line Items] | |
Property Plant And Equipment Useful Life | 3 years |
Equity method investment (Addit
Equity method investment (Additional Information) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||||
Jul. 28, 2023 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Feb. 09, 2023 | |
Schedule of Equity Method Investments [Line Items] | |||||
Gain from disposal of investment in unconsolidated subsidiary | $ 1,319 | $ 1,745 | $ 20,829 | ||
Loss from unconsolidated subsidiary | $ 660 | $ 0 | $ 354 | ||
Placing purchase orders | Pursuant to the Supply Agreement, we have committed to placing purchase orders with Alpha Steel during the year ended December 31, 2024, for at least 40,000 metric tons of torque tubes, with such volume commitments increasing in each of the next two annual periods by 20,000 metric tons per period | ||||
Net profit attributable | $ 4,000 | ||||
Alpha Steel [Member] | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Additional interest rate (above prime) | 2% | ||||
Ownership percentage | 45% | ||||
Capital contributions | 900 | ||||
Additional capital contributions | 2,600 | ||||
Loss from unconsolidated subsidiary | 700 | ||||
Liability for unpaid claims and claims adjustment expense | $ 3,400 | ||||
Taihua New Energy [Member] | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Ownership percentage | 51% | ||||
DAYV LLC [Member] | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Ownership percentage | 4% |
Acquisition - Schedule of Goodw
Acquisition - Schedule of Goodwill Activity (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Business Combination and Asset Acquisition [Abstract] | ||
Balance at beginning of period | $ 7,538 | $ 0 |
Goodwill | $ 7,353 | $ 7,538 |
Reduction in force (Additional
Reduction in force (Additional Information) (Details) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 USD ($) Employees | Dec. 31, 2022 USD ($) Employees | |
Workforce Activity [Abstract] | ||
Reduction in number of employee | Employees | 21 | 20 |
Reduction in workforce | 9% | 8% |
Employee related liabilities | $ 2.7 | $ 0.4 |
Payments for former employees | $ 2.1 |
Reduction in force - Schedule o
Reduction in force - Schedule of severance and termination-related costs (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Workforce Activity [Line Items] | ||
Total | $ 4,422 | $ 441 |
Cost of Revenue [Member] | ||
Workforce Activity [Line Items] | ||
Total | 252 | 145 |
Research and Development [Member] | ||
Workforce Activity [Line Items] | ||
Total | 140 | 116 |
Selling and Marketing [Member] | ||
Workforce Activity [Line Items] | ||
Total | 552 | 62 |
General and Administrative [Member] | ||
Workforce Activity [Line Items] | ||
Total | $ 3,478 | $ 118 |
ATM program (Additional Informa
ATM program (Additional Information) (Details) - USD ($) | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Sep. 14, 2022 | |
Subsidiary, Sale of Stock [Line Items] | ||||
Issuance of common stock, value | $ 34,007,000 | $ 241,155,000 | ||
Proceeds from common stock | 34,007,000 | $ 0 | $ 0 | |
Common stock, reserved for future issuance, value | $ 64,900,000 | |||
ATM Program [Member] | ||||
Subsidiary, Sale of Stock [Line Items] | ||||
Common stock, value authorized | $ 100,000,000 | |||
Issuance of common stock (in shares) | 15,421,885 | |||
Issuance of common stock, value | $ 35,100,000 | |||
Proceeds from common stock | 34,000,000 | |||
Common stock, reserved for future issuance, value | $ 64,900,000 |
Accounts receivable, net - Sche
Accounts receivable, net - Schedule of Accounts Receivable, Net (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Accounts Receivable, after Allowance for Credit Loss [Abstract] | ||||
Trade receivables | $ 46,152 | $ 35,367 | ||
Related party receivables | 868 | 0 | ||
Revenue recognized in excess of billings | 26,813 | 14,844 | ||
Other receivables | 3 | 25 | ||
Total | 73,836 | 50,236 | ||
Allowance for credit losses | (8,557) | (1,184) | $ (3,872) | $ (1,228) |
Accounts Receivable, net | $ 65,279 | $ 49,052 |
Accounts receivable, net - Summ
Accounts receivable, net - Summary of Changes in the Allowance for Doubtful Trade Receivables (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Accounts Receivable, after Allowance for Credit Loss [Abstract] | |||
Balance at beginning of period | $ 1,184 | $ 3,872 | $ 1,228 |
Additions charged to earnings during the period | 7,373 | 5,578 | 4,045 |
Write-offs of uncollectible accounts | 0 | (8,266) | (1,401) |
Balance at end of period | $ 8,557 | $ 1,184 | $ 3,872 |
Accounts receivable, net (Addit
Accounts receivable, net (Additional Information) (Details) $ in Millions | 12 Months Ended | |
Dec. 31, 2023 USD ($) Number of customer | Dec. 31, 2022 USD ($) Number of customer | |
Accounts Notes And Loans Receivable [Line Items] | ||
Retainage provisions included in receivables | $ | $ 0.9 | $ 3.7 |
Accounts Receivable [Member] | Customer Concentration Risk [Member] | Customer One [Member] | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Concentration risk, percentage | 42% | 55% |
Accounts Receivable [Member] | Customer Concentration Risk [Member] | Customer Two [Member] | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Concentration risk, percentage | 20% | 15% |
Accounts Receivable [Member] | Customer Concentration Risk [Member] | Customer Three [Member] | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Concentration risk, percentage | 13% | 12% |
Accounts Receivable [Member] | Customer Concentration Risk [Member] | Customer Four [Member] | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Concentration risk, percentage | 11% | |
Accounts Receivable [Member] | Credit Concentration Risk [Member] | Major Customer [Member] | ||
Accounts Notes And Loans Receivable [Line Items] | ||
Number of customer | Number of customer | 4 | 3 |
Revenue - Additional Informatio
Revenue - Additional Information - (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Disaggregation of Revenue [Line Items] | ||
Deferred revenue | $ 3,612 | $ 11,316 |
Inventories, net - Schedule of
Inventories, net - Schedule of inventory (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Inventory Disclosure [Abstract] | ||||
Finished goods | $ 4,246 | $ 16,269 | ||
Allowance for slow-moving and obsolete inventory | (341) | (1,320) | $ (90) | $ 0 |
Inventory, Net, Total | $ 3,905 | $ 14,949 |
Inventories, net - Schedule o_2
Inventories, net - Schedule of Activity in Slow-moving and Obsolete Inventory (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Inventory Disclosure [Abstract] | |||
Balance at beginning of period | $ 1,320 | $ 90 | $ 0 |
Additions charged to earnings | 706 | 1,813 | 90 |
Write-offs of obsolete inventory | (1,685) | (583) | 0 |
Balance at end of period | $ 341 | $ 1,320 | $ 90 |
Prepaid and other current ass_3
Prepaid and other current assets - Schedule of Prepaid Expenses and Other Current Assets (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Prepaid Expense and Other Assets, Current [Abstract] | ||
Vendor deposits | $ 6,187 | $ 5,085 |
Prepaid expenses | 1,251 | 3,544 |
Prepaid taxes | 447 | 163 |
Deferred cost of revenue | 666 | 0 |
Surety collateral | 0 | 107 |
Other current assets | 5,538 | 1,405 |
Prepaid expenses and other current assets, Total | $ 14,089 | $ 10,304 |
Prepaid and other current ass_4
Prepaid and other current assets (Additional Information) (Details) $ in Millions | Dec. 31, 2023 USD ($) | |
Prepaid Expense and Other Assets, Current [Abstract] | ||
Short-term Interest Bearing Loan & Customer dvance | $ 3 | [1],[2] |
[1] a non-interest bearing customer advance, both of which are for pre-project construction financing activities. The amounts are secured by customer assets and, additionally, in one case by a financial guarantee. a short-term interest-bearing loan to a customer, as well as |
Leases - Summary of Lease Expen
Leases - Summary of Lease Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Lessee, Lease, Description [Line Items] | |||
Operating lease cost | $ 996 | $ 705 | $ 458 |
Short-term lease cost | 424 | 456 | 100 |
Total lease cost | 1,420 | 1,161 | 558 |
Cost of Revenue [Member] | |||
Lessee, Lease, Description [Line Items] | |||
Total lease cost | 907 | 677 | 239 |
Research and Development [Member] | |||
Lessee, Lease, Description [Line Items] | |||
Total lease cost | 55 | 46 | 39 |
Selling and Marketing [Member] | |||
Lessee, Lease, Description [Line Items] | |||
Total lease cost | 92 | 45 | 1 |
General and Administrative [Member] | |||
Lessee, Lease, Description [Line Items] | |||
Total lease cost | $ 366 | $ 393 | $ 279 |
Leases - Summary of Future Rema
Leases - Summary of Future Remaining Lease Payments Obligations (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Lessee, Operating Lease, Liability, to be Paid, Fiscal Year Maturity [Abstract] | ||
2024 | $ 818 | |
2025 | 755 | |
2026 | 219 | |
2027 | 192 | |
2028 | 16 | |
Total lease payments | 2,000 | |
Less: imputed interest | (136) | |
Current portion of operating lease liability | 740 | $ 417 |
Operating lease liability, net of current portion | 1,124 | $ 786 |
Present value of operating lease liabilities | $ 1,864 |
Leases (Additional Information)
Leases (Additional Information) (Details) | Dec. 31, 2023 |
Leases [Abstract] | |
Weighted average discount rate | 5% |
Weighted average remaining lease term | 2 years 9 months 18 days |
Property and equipment, net - S
Property and equipment, net - Schedule of Property and Equipment (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | $ 3,433 | $ 2,529 |
Accumulated depreciation | (1,610) | (827) |
Property and equipment, net | 1,823 | 1,702 |
Leasehold Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 157 | 22 |
Field Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 1,062 | 1,078 |
Information Technology Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 466 | 355 |
Tooling [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | 1,014 | 824 |
Capitalized Software [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property and equipment, gross | $ 734 | $ 250 |
Property and equipment, net -_2
Property and equipment, net - Schedule of Depreciation Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Property, Plant and Equipment [Line Items] | |||
Total depreciation expense | $ 833 | $ 631 | $ 232 |
Tangible Asset [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Total depreciation expense | 668 | 547 | 170 |
Capitalized Software [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Total depreciation expense | $ 165 | $ 84 | $ 62 |
Intangible assets, net and go_3
Intangible assets, net and goodwill - Summary of Intangible assets (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets, gross | $ 2,555 | $ 2,591 |
Accumulated amortization | (2,013) | (1,478) |
Intangible assets, net | 542 | 1,113 |
Developed Technology Rights [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets, gross | $ 2,555 | $ 2,591 |
Minimum [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets, estimated useful life | 2 years 6 months | |
Minimum [Member] | Developed Technology Rights [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets, estimated useful life | 2 years 6 months | |
Maximum [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets, estimated useful life | 3 years | |
Maximum [Member] | Developed Technology Rights [Member] | ||
Finite-Lived Intangible Assets [Line Items] | ||
Intangible assets, estimated useful life | 3 years |
Intangible assets, net and go_4
Intangible assets, net and goodwill - Summary of Goodwill Activity (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Goodwill [Line Items] | ||
Balance at beginning of period | $ 7,538 | $ 0 |
Translation | (185) | (180) |
Balance at end of period | 7,353 | 7,538 |
HX Tracker [Member] | ||
Goodwill [Line Items] | ||
Acquisition of HX Tracker | 0 | 7,447 |
Pile testing and equipment installation business [Member] | ||
Goodwill [Line Items] | ||
Acquisition of HX Tracker | $ 0 | $ 271 |
Intangible assets, net and go_5
Intangible assets, net and goodwill (Additional Information) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2024 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Jan. 13, 2017 | |
Finite-Lived Intangible Assets [Line Items] | |||||
Finite-Lived Intangible Assets, Gross | $ 2,555 | $ 2,591 | |||
Amortization expense | 500 | 300 | $ 0 | ||
Forecast [Member] | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Amortization expense | $ 500 | ||||
Developed Technology Rights [Member] | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Finite-Lived Intangible Assets, Gross | $ 2,555 | $ 2,591 | |||
Developed Technology Rights [Member] | Asset Purchase Agreement [Member] | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Finite-Lived Intangible Assets, Gross | $ 1,200 | ||||
Intangible assets, estimated useful life | 3 years | ||||
Developed Technology Rights [Member] | HX Tracker [Member] | Asset Purchase Agreement [Member] | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Finite-Lived Intangible Assets, Gross | $ 1,400 | ||||
Amortized period | 2 years 6 months |
Debt - Additional Information (
Debt - Additional Information (Details) $ in Thousands | 12 Months Ended | ||||||
Apr. 30, 2021 USD ($) | Jan. 20, 2021 USD ($) | Apr. 30, 2020 USD ($) | Jun. 17, 2019 USD ($) | Dec. 31, 2023 USD ($) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | |
Debt Instrument [Line Items] | |||||||
Gain on extinguishment of debt | $ 0 | $ 0 | $ 790 | ||||
Revolving Credit Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Unamortized debt issuance cost | 200 | ||||||
Debt issuance costs | 2,100 | ||||||
Interest expense on debt and other borrowings | 1,300 | $ 1,400 | 800 | ||||
Revolving Credit Facility [Member] | Western Alliance Bank [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Principal amount | $ 1,000 | ||||||
Maturity period | 2 years | ||||||
Initial margins | 5.50% | ||||||
Repayments of Outstanding, Lines of Credit | $ 1,000 | ||||||
Revolving Credit Facility [Member] | Barclays Bank PLC [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Maturity period | 3 years | ||||||
Aggregate commitments | $ 98,100 | ||||||
Initial margins | 3.25% | ||||||
Initial Commitment Fees | 0.50% | ||||||
Federal Funds Rate, plus | 0.50% | ||||||
Revolving Credit Facility [Member] | Barclays Bank PLC [Member] | SOFR [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Initial margins | 1% | ||||||
Letter of Credit [Member] | Barclays Bank PLC [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Leverage ratio | 3.75 | ||||||
Interest coverage ratio | 1.5 | ||||||
Leverage and interest coverage ratios | $ 50,000 | ||||||
Letter of Credit [Member] | Revolving Credit Facility [Member] | Barclays Bank PLC [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Aggregate commitments | $ 100,000 | ||||||
Initial Commitment Fees | 3.25% | ||||||
Credit Facility amount | 1,900 | ||||||
Letter of Credit [Member] | Minimum [Member] | Barclays Bank PLC [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Liquidity ratio amount, minimum limit | $ 125,000 | ||||||
Paycheck Protection Program loan [Member] | CARES Act [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Maturity period | 2 years | ||||||
Initial margins | 1% | ||||||
Loans received | $ 800 | ||||||
Gain on extinguishment of debt | $ 800 |
Accrued expenses and other cu_3
Accrued expenses and other current liabilities - Schedule of Accrued Expenses and Other Current Liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Accrued Expenses and Other Current Liabilities Abstract | |||
Accrued cost of revenue | $ 26,773 | $ 13,198 | |
Related party accrued cost of revenue | 1,451 | 0 | |
Accrued compensation | 3,858 | 4,688 | |
Other accrued expenses | 2,766 | 6,010 | |
Total accrued expenses | 34,848 | 23,896 | |
Warranty reserves | 7,279 | 8,004 | $ 4,032 |
Current portion of operating lease liability | $ 740 | $ 417 | |
Operating Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] | Total other current liabilities | Total other current liabilities | |
Non-federal tax obligations | $ 119 | $ 463 | |
Total other current liabilities | $ 8,138 | $ 8,884 |
Accrued expenses and other cu_4
Accrued expenses and other current liabilities (Additional Information) (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Accrued Expenses and Other Current Liabilities Abstract | ||
Accrued Bonuses | $ 0 | $ 2 |
Accrued expenses and other cu_5
Accrued expenses and other current liabilities - Schedule of warranty accruals (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Accrued Expenses and Other Current Liabilities Abstract | |||
Balance at beginning of period | $ 12,426 | $ 9,346 | $ 6,811 |
Warranties issued and remediation added during the period | 4,310 | 8,228 | 8,588 |
Settlements made during the period | (4,254) | (4,041) | (5,270) |
Changes in liability for pre-existing warranties | (1,480) | (1,107) | (783) |
Balance at end of period | 11,002 | 12,426 | 9,346 |
Warranty accruals are reported in: | |||
Other current liabilities | 7,279 | 8,004 | 4,032 |
Other non-current liabilities | 3,723 | 4,422 | 5,314 |
Balance at end of period | $ 11,002 | $ 12,426 | $ 9,346 |
Income taxes - Schedule of comp
Income taxes - Schedule of components of income before income taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Tax Contingency [Line Items] | |||
Loss before income taxes | $ (50,628) | $ (99,178) | $ (106,420) |
United States loss [Member] | |||
Income Tax Contingency [Line Items] | |||
Loss before income taxes | (48,530) | (98,462) | (106,467) |
Foreign income (loss) [Member] | |||
Income Tax Contingency [Line Items] | |||
Loss before income taxes | $ (2,098) | $ (716) | $ 47 |
Income taxes - Schedule of prov
Income taxes - Schedule of provisions (benefits) for income taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Current - | |||
Federal | $ 0 | $ 0 | $ 0 |
State | (350) | 204 | 196 |
Foreign | 95 | 231 | (27) |
Total current expense | (255) | 435 | 169 |
Deferred - | |||
Federal | 0 | 0 | 0 |
State | 0 | 0 | 0 |
Foreign | (83) | 0 | 0 |
Total deferred taxes | (83) | 0 | 0 |
Provisions for (benefits from) income taxes | (338) | 435 | 169 |
Federal income tax benefit at statutory rate | (10,632) | (20,827) | (22,348) |
State taxes, net of federal | (739) | (1,035) | (1,744) |
Research and experimentation tax credit | 1,544 | (2,811) | (342) |
Change in valuation allowance | 10,200 | 24,911 | 28,361 |
Stock compensation | 1,218 | (1,781) | (6,863) |
limitation on executive compensation | 203 | 1,922 | 2,467 |
Deferred tax true ups | (1,500) | (764) | 126 |
State Payable True up | (326) | 204 | 57 |
Permanent differences and other | $ (306) | $ 616 | $ 455 |
Income taxes - Schedule of co_2
Income taxes - Schedule of components of deferred tax assets and liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Deferred tax assets: | ||
Fixed assets and intangibles | $ 44 | $ 5 |
Leases | 348 | 255 |
Accrued expenses | 5,590 | 4,887 |
Net operating loss carryforward | 64,055 | 52,179 |
Stock options | 2,475 | 3,528 |
R&D credit carryforward | 1,886 | 3,431 |
Other | 2,048 | 1,998 |
Subtotal | 76,446 | 66,283 |
Less: valuation allowance | (75,858) | (65,659) |
Total deferred tax assets | 588 | 624 |
Deferred tax liabilities: | ||
Leases | (339) | (243) |
Prepaid expenses | (166) | (381) |
Total deferred tax liabilities | (505) | (624) |
Net deferred tax asset (liability) | $ 83 | $ 0 |
Income taxes - Additional Infor
Income taxes - Additional Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Tax Contingency [Line Items] | |||
Valuation Allowance, Deferred Tax Asset, Increase | $ 10,200 | $ 24,900 | |
Net change in total valuation allowance | 10,200 | 24,900 | |
Pre-tax income (loss) from company's operations | (50,628) | (99,178) | $ (106,420) |
Income tax expense (benefit) | (338) | 435 | 169 |
Unrecognized tax benefits | 1,039 | 1,421 | $ 717 |
Unrecognized Tax Benefits, Period Increase (Decrease) | 0 | 0 | |
Income Tax Interest and Penalties Accrued | 0 | $ 0 | |
R&D [Member] | |||
Income Tax Contingency [Line Items] | |||
Tax Credit Carryforward, Amount | $ 2,400 | ||
Tax Credit Carryforward, Expiration Date | Jan. 01, 2038 | ||
State [Member] | |||
Income Tax Contingency [Line Items] | |||
Net operating loss carryforwards | $ 95,000 | ||
Operating Loss Carryforwards, Expiration Date | Jan. 01, 2034 | ||
NOL carryback refund | $ 95,000 | ||
Federal [Member] | |||
Income Tax Contingency [Line Items] | |||
Net operating loss carryforwards | 282,100 | ||
NOL carryback refund | $ 282,100 |
Income taxes - Schedule of chan
Income taxes - Schedule of changes in our accruals for unrecognized tax benefits (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Deferred Tax Assets, Tax Deferred Expense, Reserves and Accruals [Abstract] | ||
Balance at beginning of period | $ 1,421 | $ 717 |
Increase for tax positions related to the current period | 0 | 386 |
Increase for tax provisions related to prior periods | 0 | 318 |
Decrease for tax positions related to prior years | 382 | 0 |
Balance at end of period | $ 1,039 | $ 1,421 |
Commitments and contingencies -
Commitments and contingencies - Additional Information (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2023 USD ($) | |
Product Warranty Liability [Line Items] | |
Description of Tariffs classification | In particular, CBP accepted our position that the Section 301 tariffs of 25% or 7.5% of the value of the merchandise, depending on tariff classification, as well as the antidumping and countervailing duties, previously assessed under the Original 939 Assessment are not applicable as they are only applicable to articles that originate in China |
Description of Revised Tariffs classification | In particular, the Section 301 tariffs of 25% or 7.5% of the value of the merchandise, depending on tariff classification, as well as the antidumping and countervailing duties, are not applicable under the 625 Assessment for the same reason stated above with respect to the Revised 939 Assessment, which has been accepted by CBP |
Cbp Assessments [Member] | |
Product Warranty Liability [Line Items] | |
Cost of Assessment | $ 2,840 |
939 Assessment [Member] | |
Product Warranty Liability [Line Items] | |
Cost of Assessment | $ 2,010 |
Maximum [Member] | |
Product Warranty Liability [Line Items] | |
Tariffs on Merchandise, Percent | 25% |
Minimum [Member] | |
Product Warranty Liability [Line Items] | |
Tariffs on Merchandise, Percent | 7.50% |
Stockholders' equity - Addition
Stockholders' equity - Additional Information (Details) - USD ($) | 12 Months Ended | ||||||||
Jul. 05, 2023 | Apr. 30, 2021 | Apr. 05, 2021 | Jan. 08, 2021 | Jul. 21, 2020 | Dec. 31, 2023 | Dec. 31, 2021 | Dec. 31, 2022 | Sep. 14, 2022 | |
Class of Stock [Line Items] | |||||||||
Preferred stock, shares authorized | 10,000,000 | 10,000,000 | |||||||
Preferred stock, par value | $ 0.0001 | $ 0.0001 | |||||||
Common stock, shares authorized | 850,000,000 | 850,000,000 | |||||||
Common stock, par value | $ 0.0001 | $ 0.0001 | |||||||
Dividends | $ 0 | ||||||||
Common stock issued for notes purchased | 125,445,325 | 105,032,588 | |||||||
Common stock, value, issued | $ 13,000 | $ 11,000 | |||||||
Repurchase and retirement of common stock held by related parties | $ 54,155,000 | ||||||||
Repurchase and retirement of common stock held by related parties | (312,500) | ||||||||
Treasury stock, shares, acquired | 717,460 | 148,440 | 9,896,666 | ||||||
Treasury stock, value | $ 0 | $ 0 | $ 0 | $ 0 | $ 0 | ||||
ATM Program [Member] | |||||||||
Class of Stock [Line Items] | |||||||||
Issuance of common stock (in shares) | 15,421,885 | ||||||||
Common stock, value authorized | $ 100,000,000 | ||||||||
IPO [Member] | |||||||||
Class of Stock [Line Items] | |||||||||
Issuance of common stock (in shares) | 19,840,000 | ||||||||
Shares issued price per share | $ 13 | ||||||||
Proceeds of IPO | $ 241,200,000 | ||||||||
Underwriting discount and commissions | $ 16,800,000 | ||||||||
Repurchase and retirement of common stock held by related parties | $ 54,200,000 | ||||||||
Repurchase and retirement of common stock held by related parties | (4,455,384) | ||||||||
IPO [Member] | Repurchase [Member] | |||||||||
Class of Stock [Line Items] | |||||||||
Repurchase and retirement of common stock held by related parties | (2,191,557) | ||||||||
IPO [Member] | Restricted Stock Units (RSUs) [Member] | |||||||||
Class of Stock [Line Items] | |||||||||
Repurchase and retirement of common stock held by related parties | (2,263,827) |
Stock compensation and other _3
Stock compensation and other employee benefit plans - Additional Information (Details) - USD ($) $ in Millions | 1 Months Ended | 12 Months Ended | |||
Apr. 30, 2021 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Jul. 01, 2022 | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |||||
Number of shares available for grants | 5,000,000 | ||||
Employee and company contributions, amount | $ 0.6 | $ 0.7 | $ 0.6 | ||
Maximum [Member] | |||||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |||||
Vesting period | 4 years | ||||
Employee contributions percentage | 100% | ||||
Employee contributions percentage First | 3% | ||||
Minimum [Member] | |||||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |||||
Vesting period | 2 years | ||||
Employee contributions percentage First | 2% | ||||
Employee contributions percentage Second | 50% | ||||
2021 Stock Incentive Plan [Member] | |||||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |||||
Percentage of common stock outstanding | 4% | ||||
Number of common shares reserved for issuance | 12,645,239 | 7,906,088 | |||
Total Number of Shares Authorized for Issuance under the 2021 Plan | 20,551,327 | ||||
2021 Employee Stock Purchase Plan [Member] | |||||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |||||
Percentage of accumulated payroll deductions | 85% | ||||
Common stock issued | 0 | ||||
Restricted Stock Units (RSUs) [Member] | |||||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |||||
Vesting period | 4 years |
Stock compensation and other _4
Stock compensation and other employee benefit plans - Stock compensation expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Share-Based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | |||
Total stock compensation expense | $ 8,295 | $ 20,303 | $ 61,765 |
Cost of Revenue [Member] | |||
Share-Based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | |||
Total stock compensation expense | 1,596 | 3,292 | 8,094 |
Research and Development [Member] | |||
Share-Based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | |||
Total stock compensation expense | 541 | 1,460 | 3,657 |
Selling and Marketing [Member] | |||
Share-Based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | |||
Total stock compensation expense | 718 | 1,889 | 2,056 |
General and Administrative [Member] | |||
Share-Based Payment Arrangement, Expensed and Capitalized, Amount [Line Items] | |||
Total stock compensation expense | $ 5,440 | $ 13,662 | $ 47,958 |
Stock compensation and other _5
Stock compensation and other employee benefit plans - Outstanding option awards (Details) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 USD ($) $ / shares shares | ||
Share-Based Payment Arrangement [Abstract] | ||
Outstanding, beginning balance, Shares | shares | 6,809,850 | |
Granted, Shares | shares | 450,000 | |
Modified, Shares | shares | (1,053,750) | [1] |
Exercised, Shares | shares | (717,960) | |
Forfeited, Shares | shares | (3,054,352) | |
Expired, Shares | shares | (18,262) | |
Outstanding, ending balance, Shares | shares | 2,415,526 | |
Vested or expected to vest in the future, Shares | shares | 2,415,526 | |
Exercisable , Shares | shares | 1,958,481 | |
Unvested and expected to vest in the future, Shares | shares | 457,045 | |
Outstanding beginning balance, Weighted average exercise price | $ / shares | $ 4.29 | |
Granted, Weighted average exercise price | $ / shares | 0.67 | |
Modified, Weighted average exercise price | $ / shares | 8.14 | [1] |
Exercised, Weighted average exercise price | $ / shares | 0.32 | |
Forfeited, Weighted average exercise price | $ / shares | 3.38 | |
Expired, Weighted average exercise price | $ / shares | 0.48 | |
Outstanding ending balance, Weighted average exercise price | $ / shares | 1.82 | |
Vested or expected to vest in the future, Weighted average exercise price | $ / shares | 1.82 | |
Exercisable , Weighted average exercise price | $ / shares | 2.08 | |
Unvested and expected to vest in the future, Weighted average exercise price | $ / shares | $ 0.67 | |
Outstanding , Weighted average remaining contractual term (years) | 7 years 10 days | |
Vested or expected to vest in the future, Weighted average remaining contractual term (in years) | 7 years 10 days | |
Exercisable, Weighted average remaining contractual term ( in years) | 6 years 4 months 13 days | |
Unvested and expected to vest in the future, Weighted average remaining contractual term (in years) | 9 years 10 months 13 days | |
Outstanding , Average intrinsic value | $ | $ 455 | |
Vested or expected to vest in the future, Aggregate intrinsic value | $ | 455 | |
Exercisable , Average intrinsic value | $ | 443 | |
Unvested and expected to vest in the future, Aggregate intrinsic value | $ | 12 | |
Stock-based compensation cost not yet recognized | $ | $ 233 | |
Weighted-average remaining expense recognition period | 1 year 14 days | |
[1] In April 2023, we modified a grant of 2,107,500 options initially made to our former Chief Executive Officer in September 2021. The options originally granted vested after a period of time once our stock price reached certain targets and had an exercise price of $ 8.14 per option. The modification in April 2023 resulted in cancellation of 1,053,750 options, reset the stock price targets for vesting and reduced the exercise price to $ 2.48 per option, based on the estimated fair value of our stock as of the modification date. As a result of the departure of our former Chief Executive Officer during the fourth quarter of 2023, the remaining options, all of which were unvested, were forfeited. |
Stock compensation and other _6
Stock compensation and other employee benefit plans - Summary of Information Related to Outstanding Options (Parenthetical) (Details) - $ / shares | 12 Months Ended | |||
Dec. 31, 2023 | Apr. 30, 2023 | Dec. 31, 2022 | ||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||||
Granted, Shares made to CEO | 450,000 | |||
Exercise Price | $ 8.14 | |||
Outstanding Options, Modified | 2,415,526 | 6,809,850 | ||
Cancellation of Options | 1,053,750 | |||
Modified, Shares | [1] | 1,053,750 | ||
Reduced Exercise Price per Option | $ 2.48 | |||
Chief Executive Officer [Member] | ||||
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | ||||
Outstanding Options, Modified | 2,107,500 | |||
[1] In April 2023, we modified a grant of 2,107,500 options initially made to our former Chief Executive Officer in September 2021. The options originally granted vested after a period of time once our stock price reached certain targets and had an exercise price of $ 8.14 per option. The modification in April 2023 resulted in cancellation of 1,053,750 options, reset the stock price targets for vesting and reduced the exercise price to $ 2.48 per option, based on the estimated fair value of our stock as of the modification date. As a result of the departure of our former Chief Executive Officer during the fourth quarter of 2023, the remaining options, all of which were unvested, were forfeited. |
Stock compensation and other _7
Stock compensation and other employee benefit plans - Assumptions used to value option awards (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | ||
Black-Scholes-Merton pricing formula weighted-average assumptions: | ||||
Expected life (in years) | 5 years 6 months | 5 years 3 months 7 days | 7 years 8 months 19 days | |
Risk Free Interest Rate | 4.16% | 1.82% | 1.32% | |
Volatility | 97.51% | 80% | 56.47% | |
Dividend yield | 0% | 0% | 0% | |
Valuations: | ||||
Grant-date fair value per option (post-split) | [1] | $ 0.52 | $ 1.85 | $ 4.79 |
Intrinsic value of options exercised | $ 1,324 | $ 14,646 | $ 22,852 | |
Average intrinsic value per share of options exercised | $ 1.84 | $ 4.42 | $ 8.05 | |
[1] Includes options granted with market conditions in 2022 and 2021. Such options were forfeited in 2023. |
Stock compensation and other _8
Stock compensation and other employee benefit plans - Summary of outstanding restricted stock unit and restricted stock awards (Details) $ / shares in Units, $ in Thousands | 12 Months Ended |
Dec. 31, 2023 USD ($) $ / shares shares | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |
Granted, Shares | 450,000 |
Vested, Shares | (2,415,526) |
Nonvested, ending balance, Shares | 457,045 |
Stock-based compensation cost not yet recognized | $ | $ 233 |
Weighted-average remaining expense recognition period | 1 year 14 days |
Restricted stock units [Member] | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |
Nonvested, beginning balance, Shares | 7,072,663 |
Granted, Shares | 12,129,309 |
Vested, Shares | (3,841,815) |
Forfeited, Shares | (3,469,021) |
Nonvested, ending balance, Shares | 11,891,136 |
Nonvested, beginning balance, Dollars per share | $ / shares | $ 4.73 |
Granted | $ / shares | 1.54 |
Vested | $ / shares | 3.92 |
Forfeited | $ / shares | 4.28 |
Nonvested, ending balance, Dollars per share | $ / shares | $ 1.87 |
Stock-based compensation cost not yet recognized | $ | $ 13,482 |
Weighted-average remaining expense recognition period | 1 year 10 months 17 days |
Restricted stock units [Member] | Service-Based Vesting [Member] | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |
Nonvested, ending balance, Shares | 5,811,724 |
Nonvested, ending balance, Dollars per share | $ / shares | $ 3.15 |
Restricted stock units [Member] | Performance Conditions and Service-Based Vesting [Member] | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |
Nonvested, ending balance, Shares | 779,412 |
Nonvested, ending balance, Dollars per share | $ / shares | $ 4.33 |
Restricted stock units [Member] | Market Conditions and Service-Based Vesting [Member] | |
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items] | |
Nonvested, ending balance, Shares | 5,300,000 |
Nonvested, ending balance, Dollars per share | $ / shares | $ 0.1 |
Sale of investment in unconso_2
Sale of investment in unconsolidated subsidiary - Additional Information (Details) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||
Jun. 24, 2021 USD ($) shares | Mar. 31, 2022 Kilowaat | Dec. 31, 2023 USD ($) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | Jun. 29, 2021 USD ($) | |
Schedule Of Equity Method Investments [Line Items] | ||||||
Success-based fee payment | $ 1,900 | |||||
Loss from unconsolidated subsidiary | $ 660 | $ 0 | $ 354 | |||
Gain from disposal of investment in unconsolidated subsidiary | 1,319 | 1,745 | 20,829 | |||
Business Combination Contingent Consideration Receivable | 14,000 | |||||
Escrow released payment received | $ 1,300 | $ 1,700 | ||||
Number Of Kilowatts | Kilowaat | 200 | |||||
Dimension [Member] | ||||||
Schedule Of Equity Method Investments [Line Items] | ||||||
Business Combination, Contingent Consideration Arrangements, Description | The sales agreement with Dimension includes an earnout provision which provides the potential to receive an additional contingent consideration of up to approximately $14.0 million through December 2024, based on Dimension achieving certain performance milestones. This potential earnout is calculated each quarter starting January 1, 2022, as $200 times the number of kilowatts constituting each Notice To Proceed (NTP) megawatt (MW) achieved during such quarterly earnout period, provided that no earnout amount is payable in respect to the first 100 NTP MW achieved in any earnout year.The sales agreement also includes a projects escrow release which is an additional contingent consideration to receive $7 million based on Dimension’s completion of certain construction projects currently in progress. | |||||
Additional contingent consideration to receive | $ 7,000 | |||||
Dimension Energy LLC | ||||||
Schedule Of Equity Method Investments [Line Items] | ||||||
Gain from disposal of investment in unconsolidated subsidiary | $ 20,800 | |||||
Dimension Energy LLC | Common Class A | ||||||
Schedule Of Equity Method Investments [Line Items] | ||||||
Number of Share Disposed | shares | 4,791,566 | |||||
Ownership percentage | 23% | |||||
Ownership value | $ 22,300 |
Geographic and customer conce_3
Geographic and customer concentrations - Schedule of third party revenue by geographic area (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Revenue [Line Items] | |||
Total third-party revenue | $ 127,002 | $ 123,066 | $ 270,525 |
United States | |||
Revenue [Line Items] | |||
Total third-party revenue | 119,982 | 97,992 | 270,107 |
Australia | |||
Revenue [Line Items] | |||
Total third-party revenue | 7,000 | 24,847 | 418 |
All Other | |||
Revenue [Line Items] | |||
Total third-party revenue | $ 20 | $ 227 | $ 0 |
Geographic and customer conce_4
Geographic and customer concentrations - Schedule of long-lived assets by geographic area (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Long-lived Assets [Line Items] | ||
Total long-lived assets | $ 3,642 | $ 2,856 |
United States | ||
Long-lived Assets [Line Items] | ||
Total long-lived assets | 3,187 | 2,728 |
Australia | ||
Long-lived Assets [Line Items] | ||
Total long-lived assets | 7 | 3 |
India | ||
Long-lived Assets [Line Items] | ||
Total long-lived assets | 441 | 113 |
All Other | ||
Long-lived Assets [Line Items] | ||
Total long-lived assets | $ 7 | $ 12 |
Geographic and customer conce_5
Geographic and customer concentrations (Additional Information) (Details) | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Geographic Concentration Risk [Member] | |||
Concentration Risk [Line Items] | |||
Cash and cash equivalents concentration, percentage | 92% | ||
Revenue from Contract with Customer Benchmark [Member] | Customer Concentration Risk [Member] | Customer One [Member] | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage | 23% | 23% | 37% |
Revenue from Contract with Customer Benchmark [Member] | Customer Concentration Risk [Member] | Customer Two [Member] | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage | 19% | 20% | 20% |
Revenue from Contract with Customer Benchmark [Member] | Customer Concentration Risk [Member] | Customer Three [Member] | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage | 17% | 11% | 15% |
Revenue from Contract with Customer Benchmark [Member] | Customer Concentration Risk [Member] | Customer Four [Member] | |||
Concentration Risk [Line Items] | |||
Concentration risk, percentage | 13% |
Net loss per share - Schedule o
Net loss per share - Schedule of Computation of Basic and Diluted Loss Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Earnings Per Share [Abstract] | |||
Net loss | $ (50,290) | $ (99,613) | $ (106,589) |
Basic weighted-average number of common shares outstanding | 115,546,150 | 101,408,263 | 86,043,051 |
Diluted weighted-average number of common shares outstanding | 115,546,150 | 101,408,263 | 86,043,051 |
Basic loss per share | $ (0.44) | $ (0.98) | $ (1.24) |
Diluted loss per share | $ (0.44) | $ (0.98) | $ (1.24) |
Net loss per share - Schedule_2
Net loss per share - Schedule of Antidilutive Securities Excluded from Computation of Diluted Net Income Per Share (Details) - shares | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Potential common shares excluded from diluted net loss per share | 14,306,662 | 13,882,513 | 12,679,734 |
Stock Options [Member] | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Potential common shares excluded from diluted net loss per share | 2,415,526 | 6,809,850 | 7,538,265 |
Restricted Stock Awards [Member] | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Potential common shares excluded from diluted net loss per share | 11,891,136 | 7,072,663 | 5,141,469 |
Net loss per share (Additional
Net loss per share (Additional Information) (Details) | Apr. 28, 2021 |
Earnings Per Share [Abstract] | |
Forward stock split | 8.25 |
Fair value measurements (Additi
Fair value measurements (Additional Information) (Details) - USD ($) $ in Millions | Dec. 31, 2023 | Dec. 31, 2022 |
Fair Value, Inputs, Level 1 [Member] | ||
Short-Term Debt [Line Items] | ||
Carrying value of money market funds | $ 13.9 | $ 25.4 |
Related parties -Additional Inf
Related parties -Additional Information (Detail) - USD ($) $ / shares in Units, $ in Thousands | 1 Months Ended | 12 Months Ended | ||||
Sep. 13, 2023 | Jul. 05, 2023 | Feb. 28, 2022 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Related Party Transaction [Line Items] | ||||||
Stock-based compensation expense reversed | $ 1,100 | |||||
Vested or expected to vest in the future, Weighted average exercise price | $ 1.82 | |||||
Common stock, shares outstanding | 125,445,325 | 105,032,588 | ||||
Shares acquired and retired | 312,500 | |||||
Gross profit (loss) | $ 8,307 | $ (27,228) | $ (32,545) | |||
Outstanding capital stock held | 10% | |||||
Common stock issued for notes purchased | 125,445,325 | 105,032,588 | ||||
Related party receivables | $ 868 | $ 0 | ||||
Related party accrued cost of revenue | 1,451 | 0 | ||||
Vendor Deposits | $ 6,187 | 5,085 | ||||
Restricted stock units [Member] | Director [Member] | ||||||
Related Party Transaction [Line Items] | ||||||
Common stock issued for notes purchased | 250,000 | |||||
Restricted stock units [Member] | Audit Committee Chairman [Member] | ||||||
Related Party Transaction [Line Items] | ||||||
Common stock issued for notes purchased | 62,500 | |||||
Fernweh Engaged Operator Company LLC [Member] | ||||||
Related Party Transaction [Line Items] | ||||||
Unamortized prepaid balance | $ 3,200 | |||||
Vested Options, Outstanding, Period | 1,000,000 | |||||
Vested or expected to vest in the future, Weighted average exercise price | $ 3.86 | |||||
Forfeiture of unvested stock | 2,000,000 | |||||
Alpha Steel [Member] | ||||||
Related Party Transaction [Line Items] | ||||||
Related party receivables | $ 900 | |||||
Related party accrued cost of revenue | 1,500 | |||||
Vendor Deposits | 500 | |||||
Total deposits | 1,100 | |||||
Related Party [Member] | ||||||
Related Party Transaction [Line Items] | ||||||
Gross profit (loss) | 0 | 300 | ||||
Related Party [Member] | Fernweh Engaged Operator Company LLC [Member] | ||||||
Related Party Transaction [Line Items] | ||||||
Cash Payments | 2,500 | 2,500 | ||||
General and administrative expense | $ 3,500 | $ 3,900 | ||||
South Lake One LLC [Member] | ||||||
Related Party Transaction [Line Items] | ||||||
Outstanding capital stock held | 5% |
Quarterly information (unaudite
Quarterly information (unaudited) (Additional Information) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Quarterly Financial Information Disclosure [Abstract] | |||
Stock-based compensation | $ 5,746 | $ 13,930 | $ 61,765 |
Quarterly information (unaudi_2
Quarterly information (unaudited) - Schedule of quarterly information (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Gross profit (loss) | $ 8,307 | $ (27,228) | $ (32,545) |
Net loss | $ (50,290) | $ (99,613) | $ (106,589) |
Net loss per share | |||
Basic | $ (0.44) | $ (0.98) | $ (1.24) |
Diluted | $ (0.44) | $ (0.98) | $ (1.24) |
Subsequent Events (Additional I
Subsequent Events (Additional Information) (Details) - shares | Dec. 31, 2023 | Dec. 31, 2022 |
Subsequent Event [Line Items] | ||
Common stock, shares issued | 125,445,325 | 105,032,588 |
Segment information - Schedule
Segment information - Schedule of Company's Total Revenue by Geographic Area (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Total third-party revenue | $ 127,002 | $ 123,066 | $ 270,525 |
United States loss [Member] | |||
Total third-party revenue | $ 119,982 | $ 97,992 | $ 270,107 |