Recent Operating Highlights:
Menlo Park, California, August 7, 2024 — Cyngn (or the “Company) (Nasdaq: CYN), developer of industrial autonomous vehicles, today announced financial results for its second quarter, ended Jun 30, 2024.
“During the second quarter, we continued the momentum we made in Q1, marked by rapid strides toward broad commercialization,” said Cyngn CEO, Lior Tal. “In addition to the progress we made with John Deere, another key priority has been to expand our sales channels to access more opportunities via established dealers and partners. We are well on our way toward bringing Cyngn’s autonomous industrial vehicle products to even more facilities by partnering with experienced material handling and automation leaders like Motrec, Alta, and RobotLAB.
“Our expanding dealer network yields channels that consistently deliver commercial opportunities. On the advertising side, we doubled the number of marketing-sourced leads and decreased the acquisition cost of these opportunities by 67%.
“Overall, our pipeline is very healthy. We continue to make progress with automotive manufacturers and their tier-1 suppliers, defense contractors, and heavy equipment manufacturers. We are largely engaging with known brands in the Fortune 500, and we will continue to work closely with our customers to share these exciting logos with the public when we can.”
“Autonomous vehicle deployments have a long sales cycle,” said Ben Landen, VP of Business Development. “Vehicles need to be put through their paces at customer facilities to ensure they will operate as reliably and safely as a well-trained human driver. This is a test Cyngn passes easily, but it takes time. These big organizations with well-established workflows need to see for themselves that Cyngn vehicles are the best employees they’ve never had.
“By all accounts, this process is working. Our pipeline is growing, we keep adding industry veterans with extensive experience to our sales team, and we have the resolve and partners to stay the course in our pursuit of the significant industrial automation market in front of us.
“We look forward to providing additional updates and continuing to increase momentum.”
“Regaining compliance with Nasdaq's minimum bid price was a significant priority,” added Don Alvarez, Cyngn’s CFO. “Our balance sheet remains clean with no debt and these factors underscore our financial health and position us favorably as we move forward. Our solid foundation and strategic direction are positioning us for a successful future."
When reviewing the financial information below, note that all share and per share information, Common stock and Additional paid-in capital, has been restated to reflect the 1-for-100 reverse stock split effected on July 3, 2024.
Q2 2024 Three Month Financial Review:
Q2 2024 Six Month Financial Review:
Balance Sheet Highlights*:
Cyngn’s cash and short-term investments at June 30, 2024 total $7.0 million compared to $8.2 million as of December 31, 2023. At the end of the same period, working capital was $6.1 million and total stockholders’ equity was $9.7 million, as compared to year-end working capital of $7.4 million and total stockholders’ equity of $10.6 million, respectively as of December 31, 2023. The Company had no debt as of June 30, 2024 and December 31, 2023.
Subsequent to June 30, 2024, the Company sold 256,500 shares of common stock under the ATM Sales Agreement, for gross proceeds of $1.8 million. After giving effect of the net proceeds of $1.8 million, Cyngn's pro-forma cash and short-term investments, working capital, and total stockholders' equity was $8.8 million, $7.9 million and $11.5 million, respectively.
For more information on Cyngn, visit the Investor Relations Page of the Company’s website.