“Lightbridge is advancing its development program, and we expect to achieve important milestones over the next 12-24 months. In the near-term, our R&D activities are focused on the development of a fabrication process for prototype fuel rods with depleted or natural uranium, experiment design and fabrication of material test samples for irradiation in a research reactor, and evaluation of our fuel for use in the CANDU reactor market.
“The US government is making historically large levels of funding and use of national laboratory facilities available to the American private sector to develop advanced nuclear technology. In
“The Lightbridge leadership team is dedicated to creating shareholder value, and we remain focused on our pursuit of full-scale commercialization of Lightbridge Fuel™ as quickly as possible,” concluded
The Company maintains a strong working capital position at
Cash Flows Summary
- Cash and cash equivalents were
$18.0 millionat December 31, 2019, compared to $24.6 million at December 31, 2018, a decrease of $6.6 millionin cash and cash equivalents, consisting of the following:
- Cash used in operating activities decreased
$0.7 million, from $7.4 millionin 2018 to $6.7 millionin 2019. This decrease was due primarily to a decrease in our research and development expenses and general and administrative expenses.
- Cash used in investing activities decreased
$2.0 millionfrom $5.8 millionin 2018 to $3.8 millionin 2019. This decrease was due primarily to the decrease in capital contributions made to the joint venture Enfission LLC.
- Cash provided by financing activities decreased
$29.5 millionfrom $33.3 millionin 2018 to $3.8 millionin 2019. This decrease was due to the decrease in equity offerings in 2019.
- Cash used in operating activities decreased
Balance Sheet Summary
- Total assets were
$20.2 millionat December 31, 2019and total liabilities were $0.4 millionat December 31, 2019. Working capital was $18.0 millionat December 31, 2019versus $24.3 million in 2018. This decrease of $6.3 millionin working capital was due primarily to the factors stated above in the cash flow summary.
- Stockholders’ equity was
$19.9 millionat December 31, 2019versus $25.9 millionat December 31, 2018.
- General and administrative expenses for the year ended
December 31, 2019were $5.7 millioncompared to $6.7 millionfor the prior year. This decrease of approximately $1.0 millionwas due to a decrease in stock-based compensation of approximately $1.0 million, and a decrease in professional fees of approximately $0.2 million, due to a decrease in legal fees, accounting fees and other professional fees. These decreases were offset by an increase in employee compensation and employee benefits of approximately $0.2 milliondue to an increase in the number of employees. Total stock-based compensation included in general and administrative expenses was approximately $0.4 millionand $1.4 millionfor the years ended December 31, 2019and 2018, respectively.
- Lightbridge’s total corporate research and development costs amounted to
$2.7 millionfor the year ended December 31, 2019compared to $3.5 millionfor the year ended December 31, 2018. This decrease of $0.8 millionwas due to the decrease in corporate research and development activities supporting the Enfission joint venture.
- Total net other operating expenses were
$2.6 millionfor the year ended December 31, 2019compared to $4.8 millionfor the year ended December 31, 2018, a decrease of $2.2 million. The equity in loss from the Enfission joint venture decreased by $2.5 millionin 2019 due to the decrease in research and development activities in the joint venture. Other income from research and development support provided to Enfission decreased by $0.3 million.
- Total net other income increased by approximately
$1.1 milliondue to the decrease in financing costs in 2019.
- Net loss for the year ended
December 31, 2019was $10.6 millioncompared to $15.7 millionfor 2018. This decrease of $5.1 millionwas due to decreased research and development expenses, decreased general and administrative expenses and a decrease in equity loss from the Enfission joint venture.
FISCAL YEAR 2019 CONFERENCE CALL & WEBCAST
Interested parties can access the conference call by calling 877-407-3138 for
A webcast will also be archived on the Company’s website and a telephone replay of the call will be available approximately two hours following the call, through
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Forward Looking Statements
With the exception of historical matters, the matters discussed in this news release are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including future federal funding and support for nuclear energy, the timing of future research and development activities, and that the economic and safety benefits of our fuel will encourage greater use of nuclear power. These statements are based on current expectations on the date of this news release and involve a number of risks and uncertainties that may cause actual results to differ significantly from such estimates. The risks include, but are not limited to, the Company’s ability to commercialize its nuclear fuel technology; risks related to the dissolution of the Enfission joint venture; the degree of market adoption of the Company's product and service offerings; market competition; public perception of nuclear energy generally; changes in laws, rules, and regulations governing the Company’s business; development and utilization of, and challenges to, the Company’s intellectual property; potential and contingent liabilities; as well as other factors described in Lightbridge's filings with the Securities and Exchange Commission. Lightbridge does not assume any obligation to update or revise any such forward-looking statements, whether as the result of new developments or otherwise. Readers are cautioned not to put undue reliance on forward-looking statements.
Investor Relations Contact:
*** tables follow ***
CONSOLIDATED BALANCE SHEETS
|Cash and cash equivalents||$||17,958,989||$||24,637,295|
|Other receivable from joint venture||400,000||93,253|
|Prepaid expenses and other current assets||47,371||36,745|
|Total Current Assets||18,406,360||24,767,293|
|Total Other Assets||1,798,484||1,577,421|
|LIABILITIES AND STOCKHOLDERS' EQUITY|
|Accounts payable and accrued liabilities||$||350,299||$||258,056|
|Investee losses in excess of investment||—||218,263|
|Total Current Liabilities||350,299||476,319|
|Convertible Series A preferred shares, 757,770 shares and 813,624 shares issued and outstanding at
|Convertible Series B preferred shares, 2,666,667 shares issued and outstanding at
|Additional paid-in capital||133,932,615||129,359,799|
|Total Stockholders' Equity||19,854,545||25,868,395|
|Total Liabilities and Stockholders' Equity||$||20,204,844||$||26,344,714|
CONSOLIDATED STATEMENTS OF OPERATIONS
|General and administrative||5,697,469||6,715,378|
|Research and development expenses||2,676,156||3,458,377|
|Total Operating Expenses||8,373,625||10,173,755|
|Other Operating Income and (Loss)|
|Other income from joint venture||715,126||1,056,551|
|Equity in loss from joint venture||(3,321,737||)||(5,835,263||)|
|Total Other Operating Income and (Loss)||(2,606,611||)||(4,778,712||)|
|Total Operating Loss||(10,980,236||)||(14,952,467||)|
|Other Income and (Expenses)|
|Total Other Income and (Expenses)||393,112||(723,641||)|
|Net Loss Before Income Taxes||(10,587,124||)||(15,676,108||)|
|Accumulated Preferred Stock Dividend||(490,117||)||(461,187||)|
|Deemed additional dividend on preferred stock dividend due to the beneficial conversion feature||(209,698||)||(187,892||)|
|Deemed dividend on issuance on Series B convertible preferred stock due to the beneficial conversion feature||—||(2,624,836||)|
|Net Loss Attributable to Common Shareholders||$||(11,286,939||)||$||(18,950,023||)|
|Net Loss Per Common Share|
|Basic and Diluted||$||(3.63||)||$||(8.54||)|
|Weighted Average Number of Common Shares Outstanding||3,107,580||2,219,687|
CONSOLIDATED STATEMENTS OF CASH FLOWS
|Adjustments to reconcile net loss from operations to net cash used in operating activities|
|Write off of deferred financing costs||—||982,436|
|Equity in loss from joint venture||3,321,737||5,835,263|
|Changes in operating working capital items:|
|Accounts receivable - fees and reimbursable project costs||—||10,400|
|Other receivable from joint venture||(306,747||)||(93,253||)|
|Prepaid expenses and other assets||(10,626||)||33,322|
|Accounts payable and accrued liabilities||92,243||(893,154||)|
|Investment in joint venture||(3,540,000||)||(5,617,000||)|
|Net proceeds from the issuance of common stock||3,750,454||29,469,814|
|Net proceeds from the issuance of preferred stock||—||3,900,001|
|Net Cash Provided by Financing Activities||3,750,454||33,369,815|
|Net (Decrease) Increase in Cash and Cash Equivalents||(6,678,306||)||20,121,897|
|Cash and Cash Equivalents, Beginning of Year||24,637,295||4,515,398|
|Cash and Cash Equivalents, End of Year||$||17,958,989||$||24,637,295|
|Supplemental Disclosure of Cash Flow Information|
|Cash paid during the year|
|Income taxes paid||$||—||$||—|
|Non-Cash Financing Activities|
|Deemed dividend on issuance Series B convertible preferred stock due to beneficial conversion feature||$||—||$||2,624,836|
|Accumulated preferred stock dividend||$||699,815||$||649,079|
|Conversion of Series A convertible preferred stock to common stock and payment of paid-in-kind dividends to Series A preferred stockholder||$||187,890||$||206,376|
Source: Lightbridge Corporation