Developer of quality assurance software for the commercial metal Additive Manufacturing industry Sigma Labs, Inc, Santa Fe, New Mexico, USA, has reported its financial and operational results for the first quarter ending March 31, 2021.
Sigma was awarded several key contracts, including Ermaksan Innovative Technologies, Lockheed Martin Space Additive Design & Manufacturing Center, and a large European aerospace company. In addition, two equity offerings were completed, raising gross proceeds of ~$14.8 million.
Revenue for the first quarter of 2021 totalled $458,140, compared to f $221,730 for the first quarter of 2020. The increase in revenue was attributed due to increased PrintRite3D® unit sales.
Gross profit for the first quarter of 2021 was $329,809, which resulted in a gross margin of 72% compared to negative $22,973 in the first quarter of 2020.
Total operating expenses for the first quarter of 2021 were $1.8 million; total operating expenses were $1.6 million for the same period in 2020. Cash used in operating activities totalled $1.2 million, compared to $1.5 million in the first quarter of 2020, a decrease of $0.3 million.
Net loss for the first quarter of 2021 was $0.7 million, or $(0.09) per share, as compared to a net loss of $1.6 million, or $(1.30) per share, in the first quarter of 2020.
Cash totalled $16.8 million as of March 31, 2021, as compared to $3.7 million as of December 31, 2020. The increase in cash during the period was a result of a $9.7 million registered direct offering of common stock and short-term warrants and a public offering of shares of common stock with gross proceeds of approximately $5.1 million. In addition, warrant exercises during the first quarter of 2021 contributed an additional $1.1 million in cash proceeds.
Mark Ruport, president and CEO, summarised, “The first quarter of 2021 was marked by continued adoption of Sigma Labs industry standard IPQA technology that was validated by our improved financial performance with solid PrintRite3D unit sales, a strengthened balance sheet showing strong institutional investor interest, and macro tailwinds signalling a return to growth in the coming months for the 3D metal printing industry. We are increasingly seeing upticks of activity in the 3D metal printing market, resulting in several new contracts for initial systems. We believe that each new customer will open up opportunities for additional systems as our customers expand and accelerate their Additive Manufacturing initiatives.”
“Recently, we announced a $9.7 million registered direct offering priced at-the-market under Nasdaq rules to significantly strengthen our balance sheet and provide us with sufficient working capital to allow us to meet the growth demands of the market,” Ruport continued. “Combined with our previous $5.1 million public offering which included the full exercise of the underwriter’s over-allotment option, we now have over $16.8 million in cash to support growth, direct sales and marketing. This achievement represents a significant milestone for the company and will put us in the strongest financial position in the history of Sigma Labs.”