Innventure Reports Fourth Quarter and Full Year 2024 Results
Accelsius and AeroFlexx started generating revenue with expectations to grow in 2025
Founded fourth company, Refinity, to commercialize cost-effective conversion of mixed plastic wastes to petrochemical feedstocks in collaboration with The Dow Chemical Company
ORLANDO, Fla., April 11, 2025 (GLOBE NEWSWIRE) -- Innventure, Inc. (NASDAQ:INV) ("Innventure"), a technology commercialization platform, today announced financial results for the quarter and year ended December 31, 2024.
"2024 was a seminal year for Innventure, highlighted by commercial delivery of product for both Accelsius and AeroFlexx, the October close of our business combination and subsequent public listing, and the launch of our fourth operating company, Refinity, in mid-December." said Bill Haskell, Innventure's Chief Executive Officer. "Momentum has continued into 2025 and we expect even more exciting developments throughout the year as we continue our journey as a publicly traded technology commercialization platform."
Conference Call and Webcast
A conference call to discuss these results has been scheduled for 11:00 a.m. ET on April 11, 2025. The event will be webcasted live via Innventure's investor relations website https://ir.innventure.com/ or via this link.
Parties interested in joining via teleconference can register using this link: https://register-conf.media-server.com/register/BIf41bc3411b8f4b8c935d6895015728c1
After registering, you will be provided dial in details and a unique dial-in PIN. Registration is open through the live call, but to ensure you are connected for the full call, we suggest registering in advance.
Innventure will also post a slide presentation to accompany the prepared remarks to its investor relations website https://ir.innventure.com/ shortly before the of the start of the event.
About Innventure
Innventure founds, funds, and operates companies with a focus on transformative, sustainable technology solutions acquired or licensed from multinational corporations. As owner-operators, Innventure takes what it believes to be breakthrough technologies from early evaluation to scaled commercialization utilizing an approach designed to help mitigate risk as it builds disruptive companies it believes have the potential to achieve a target enterprise value of at least $1 billion. Innventure defines ‘‘disruptive'' as innovations that have the ability to significantly change the way businesses, industries, markets and/or consumers operate.
Non-GAAP Financial Measures
We use certain financial measures that are not calculated in accordance with generally accepted accounting principles in the U.S. (GAAP) to supplement our consolidated financial statements. These non-GAAP financial measures provide additional information to investors to facilitate comparisons of past and present operating results, identify trends in our underlying operating performance, and offer greater transparency on how we evaluate our business activities. These measures are integral to our processes for budgeting, managing operations, making strategic decisions, and evaluating our performance.
Our primary non-GAAP financial measures are EBITDA and Adjusted EBITDA. We define EBITDA as net income before interest, income taxes, and depreciation and amortization. Adjusted EBITDA is defined as EBITDA further adjusted to exclude certain non-cash items, non-recurring expenses, and other items that are not indicative of our core operating activities. These may include stock-based compensation, acquisition costs, and other financial items. We believe Adjusted EBITDA is valuable for investors and analysts as it provides additional insight into our operational performance, excluding the impacts of certain financing, investing, and other non-operational activities. This measure helps in comparing our current operating results with prior periods and with those of other companies in our industry. It is also used internally for allocating resources efficiently, assessing the economic outcomes of acquisitions and strategic decisions, and evaluating the performance of our management team.
There are limitations to Adjusted EBITDA, including its exclusion of cash expenditures, future requirements for capital expenditures and contractual commitments, and changes in or cash requirements for working capital needs. Adjusted EBITDA also omits significant interest expenses and related cash requirements for interest and payments. While depreciation and amortization are non-cash charges, the associated assets will often need to be replaced in the future, and Adjusted EBITDA does not reflect the cash required for such replacements. Additionally, Adjusted EBITDA does not account for income or other taxes or necessary cash tax payments.
Investors should use caution when comparing our non-GAAP measure to similar metrics used by other companies, as definitions can vary. Adjusted EBITDA should not be considered in isolation or as a substitute for GAAP financial measures.
In presenting Adjusted EBITDA, we aim to provide investors with an additional tool for assessing the operational performance of our business. It serves as a useful complement to our GAAP results, offering a more comprehensive understanding of our financial health and operational efficiencies.
Cautionary Statement Regarding Forward-Looking Statements
Certain statements in this press release are "forward-looking statements" within the meaning of the federal securities laws, including Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements generally relate to future events or Innventure's (the "Company's") future financial or operating performance, expectations regarding new contractual arrangements, anticipated product line expansions and product testing and market acceptance, and these statements may refer to projections and forecasts. Forward-looking statements are often identified by future or conditional words such as "plan," "believe," "expect," "anticipate," "intend," "outlook," "estimate," "forecast," "project," "continue," "could," "may," "might," "possible," "will," "potential," "predict," "should," "would" and other similar words and expressions (or the negative versions of such words or expressions), but the absence of these words does not mean that a statement is not forward-looking.
The forward-looking statements are based on the current assumptions and expectations of future events that are inherently subject to uncertainties and changes in circumstances and their potential effects and speak only as of the date of this press release. There can be no assurance that future developments will be those that have been anticipated. These forward-looking statements involve a number of risks, uncertainties (some of which are beyond the control of the parties) or other assumptions that may cause actual results or performance to be materially different from those expressed or implied by these forward-looking statements. These risks and uncertainties include, but are not limited to, those factors described in the Company's public filings made with the Securities and Exchange Commission and the following: (a) the Company's and its subsidiaries' ability to execute on strategies and achieve future financial performance, including their respective future business plans, expansion and acquisition plans or objectives, prospective performance and opportunities and competitors, revenues, products and services, pricing, operating expenses, market trends, liquidity, cash flows and uses of cash, capital expenditures, and the Company's and its subsidiaries' ability to invest in growth initiatives; (b) the implementation, market acceptance and success of the Company's and its subsidiaries' business models and growth strategies; (c) the Company's and its subsidiaries' future capital requirements and sources and uses of cash; (d) the Company's access to funds under the Standby Equity Purchase Agreement with YA II PN, Ltd. ("YA") or the Securities Purchase Agreement and related convertible debentures with YA due to certain conditions, restrictions and limitations set forth therein; (e) certain restrictions and limitations set forth in the Company's debt instruments, which may impair the Company's financial and operating flexibility; (f) the Company and its subsidiaries ability to generate liquidity and maintain sufficient capital to operate as anticipated; (g) the Company's and its subsidiaries' ability to obtain funding for their operations and future growth and to continue as going concerns; (h) the risk that the technology solutions that the Company and its subsidiaries license or acquire from third parties or develop internally may not function as anticipated or provide the benefits anticipated; (i) developments and projections relating to the Company's and its subsidiaries' competitors and industry; (j) the ability of the Company and its subsidiaries to scale the operations of their businesses; (k) the ability of the Company and its subsidiaries to establish substantial commercial sales of their products; (l) the ability of the Company and its subsidiaries to compete against companies with greater capital and other resources or superior technology or products; (m) the Company and its subsidiaries' ability to meet, and to continue to meet, applicable regulatory requirements for the use of their respective products and the numerous regulatory requirements generally applicable to their businesses; (m) the outcome of any legal proceedings against the Company or its subsidiaries; (o) the Company's ability to find future opportunities to license or acquire breakthrough technology solutions from multinational corporations or other third parties ("Technology Solutions Provider") and to satisfy the requirements imposed by or to avoid disagreements with its current and future Technology Solutions Providers; (p) the risk that the launch of new companies distracts the Company's management from its other subsidiaries and their operations; (q) the risk that the Company may be deemed an investment company under the Investment Company Act, which would impose burdensome compliance requirements and restrictions on its activities; (r) the ability of the Company and its subsidiaries to sufficiently protect their intellectual property rights and to avoid or resolve in a timely and cost-effective manner any disputes that may arise relating to its use of the intellectual property of third parties; (s) the risk of a cyber-attack or a failure of the Company's or its subsidiaries' information technology and data security infrastructure; (t) geopolitical risk and changes in applicable laws or regulations; (u) potential adverse effects of other economic, business, and/or competitive factors; (v) operational risks related to the Company and its subsidiaries that have limited or no operating history; and (w) limited liquidity and trading of the Company's securities.
Except to the extent required by applicable law or regulation, the Company undertakes no obligation to update statements to reflect events or circumstances after the date of this press release or to reflect the occurrence of unanticipated events.
Media Contact: Laurie Steinberg, Solebury Strategic Communications
Investor Relations Contact: Sloan Bohlen, Solebury Strategic Communications
Innventure, Inc. and SubsidiariesConsolidated Balance Sheets(in thousands, except share and per share amounts)
Successor
Predecessor
December 31, 2024
December 31, 2023
Assets
Cash, cash equivalents and restricted cash
$
11,119
$
2,575
Accounts receivable
283
—
Due from related parties
4,536
2,602
Inventories
5,178
—
Prepaid expenses and other current assets
3,170
487
Total Current Assets
24,286
5,664
Investments
28,734
14,167
Property, plant and equipment, net
1,414
637
Intangible assets, net
182,153
—
Goodwill
667,936
—
Other assets
766
1,096
Total Assets
$
905,289
$
21,564
Liabilities and Stockholders' Deficit
Accounts payable
$
3,248
$
93
Accrued employee benefits
9,273
3,779
Accrued expenses
2,477
1,009
Related party payables
—
347
Related party notes payable - current
14,000
1,000
Notes payable - current
625
912
Patent installment payable - current
1,225
775
Obligation to issue equity
4,158
—
Warrant liability
34,023
—
Other current liabilities
318
253
Total Current Liabilities
69,347
8,168
Notes payable, net of current portion
13,654
999
Convertible promissory note, net
—
1,120
Convertible promissory note due to related party, net
—
3,381
Embedded derivative liability
—
1,994
Earnout liability
14,752
—
Stock-based compensation liability
1,160
—
Patent installment payable, net of current
12,375
13,075
Deferred income taxes
27,893
—
Other liabilities
355
683
Total Liabilities
139,536
29,420
Commitments and Contingencies (Note 19)
Mezzanine Capital
Redeemable Class I Units, no par value, 1,000,000 units authorized, issued and outstanding as of December 31, 2023
—
2,912
Redeemable Class PCTA Units, no par value, 3,982,675 units authorized, issued and outstanding as of December 31, 2023
—
7,718
Stockholders' Equity / Unitholders' Deficit
Class B Preferred Units, no par value, 4,639,557 units authorized, and 4,109,961 units issued and outstanding as of December 31, 2023
—
38,122
Class B-1 Preferred Units, no par value, 2,600,000 units authorized, and 342,608 units issued and outstanding as of December 31, 2023
—
3,323
Class A Units, no par value, 10,975,000 units authorized, and 10,875,000 units issued and outstanding as of December 31, 2023
—
1,950
Class C Units, no par value, 1,585,125 units authorized, and 1,570,125 units issued and outstanding as of December 31, 2023
—
844
Preferred Stock, $0.0001 par value, 25,000,000 shares authorized, and 1,102,000 shares issued and outstanding as of December 31, 2024
—
—
Common Stock, $0.0001 par value, 250,000,000 shares authorized, and 44,597,154 shares issued and outstanding as of December 31, 2024
4
—
Additional paid-in capital
502,865
—
Accumulated other comprehensive gain (loss)
909
—
Accumulated deficit
(78,802
)
(64,284
)
Total Innventure, Inc., Stockholders' Equity/ Innventure LLC Unitholders' Deficit
424,976
(20,045
)
Non-controlling interest
340,777
1,559
Total Stockholders' Equity/ Unitholders' Deficit
765,753
(18,486
)
Total Liabilities, Mezzanine Capital and Equity
$
905,289
$
21,564
See accompanying notes to consolidated financial statements.
Innventure, Inc. and SubsidiariesConsolidated Statements of Operations and Comprehensive Income (Loss)(in thousands, except share and per share amounts)
Successor
Predecessor
October 2, 2024 through December 31, 2024
January 1, 2024 through October 1, 2024
Year ended December 31, 2023
Revenue
$
456
$
764
$
1,117
Operating Expenses
Cost of sales
3,752
777
—
General and administrative
29,652
26,608
17,589
Sales and marketing
2,009
4,178
3,205
Research and development
5,340
5,978
4,001
Total Operating Expenses
40,753
37,541
24,795
Loss from Operations
(40,297
)
(36,777
)
(23,678
)
Non-operating (Expense) and Income
Interest expense, net
(1,132
)
(1,300
)
(1,224
)
Net gain (loss) from investments
—
11,547
(6,448
)
Net (loss) gain on investments - due to related parties
—
(468
)
232
Change in fair value of financial liabilities
(20,946
)
(478
)
766
Equity method investment (loss) income
(902
)
893
(632
)
Loss on conversion of promissory notes
—
(1,119
)
—
Write-off of loan commitment fee asset
(10,041
)
—
—
Miscellaneous other expense
(57
)
(64
)
—
Total Non-operating (Expense) Income
(33,078
)
9,011
(7,306
)
Loss before Income Taxes
(73,375
)
(27,766
)
(30,984
)
Income tax expense (benefit)
(2,742
)
432
—
Net Loss
(70,633
)
(28,198
)
(30,984
)
Less: net loss attributable to
Non-redeemable non-controlling interest
(8,339
)
(11,762
)
(139
)
Net Loss Attributable to Innventure, Inc. Stockholders / Innventure LLC Unitholders
(62,294
)
(16,436
)
(30,845
)
Basic and diluted loss per share
$
(1.42
)
Basic and diluted weighted average common shares
43,951,279
Other comprehensive income, net of taxes:
