- 34 total active multi-year agreements as of August 1, 2021
- Reaffirmed full year 2021 revenue guidance of between $77 and
$94 million
- Second quarter 2021 revenue of $13.6 million
- More than 3,800 sensor units shipped
- Pipeline of 213 projects at August 1, 2021
- $353.6 million of cash and short-term investments on the
balance sheet at June 30, 2021
Velodyne Lidar, Inc. (NASDAQ: VLDR, VLDRW), the leading lidar
company, known worldwide for its broad portfolio of breakthrough
lidar technologies, today announced financial results for its
second quarter ended June 30, 2021.
Business and Financial Metrics
- Units: Velodyne shipped a market leading more than 3,800 sensor
units in the second quarter of 2021. The company shipped 72% of its
sensors to customers as spot-buys and 28% of its sensors to
customers under multi-year agreements. The company also continued
its leadership position in solid state sensor sales with more than
250 sensors sold.
- Agreements: 34 total active multi-year agreements as of August
1, 2021, already achieving the company’s stated goal for the full
year 2021.
- Pipeline Strength: Velodyne’s multi-year agreement pipeline of
projects grew to 213 at August 1, 2021.
- Second quarter 2021 revenue of $13.6 million.
- Reaffirmed full year 2021 revenue guidance of between $77 and
$94 million.
- $353.6 million of cash and short-term investments on the
balance sheet at June 30, 2021.
Drew Hamer, CFO of Velodyne Lidar, commented, “The use of lidar
today in our served markets and emerging target markets continues
to gain momentum. We are executing against this trend by closing
deals with customers across a variety of markets, as evidenced by
our growing product pipeline and our success meeting our full year
2021 goal of 34 multiyear agreements already by August 1st. We
expect to continue this momentum with four additional multiyear
agreements by year end.
“We continue to advance our industry leading technology as well.
On the hardware side, in June we launched the next generation of
our Velabit sensor, demonstrating our ability to meet market
demands by addressing the cost, safety, and design challenges of
autonomous solutions while delivering state-of-the-art performance.
On the software side, on July 29th we unveiled a new software
development kit which allows customers to utilize the advanced
capabilities of our Vella lidar perception software in their
autonomous solutions. Velodyne is the only lidar company currently
manufacturing an off-the-shelf, full software and hardware solution
that can be put into vehicles and infrastructure. As a result, we
are the only lidar company providing a full circle of safety and
autonomy as we continue our mission to democratize lidar-based
safety and autonomy.”
Since the company’s earnings call in May, Velodyne announced
multiple key business developments and operational developments
which affirm the company’s ongoing success and support its
long-term outlook:
- Customer Wins
- ANYbotics is equipping its autonomous mobile robots with
Velodyne’s Puck™ sensors. ANYbotics robots provide industrial
operators with an automated robotic inspection solution to support
efforts in monitoring and maintaining their facilities.
- A large company in China will use Velodyne’s current and next
generation rotational lidar sensors to support their logistics with
precise, reliable navigation for real-time autonomous vehicle
operations.
- A leading defense and security company signed a five-year sales
agreement for Velodyne’s sensors that will be used to provide
mapping and autonomy capabilities.
- Seabed B.V., which specializes in high quality equipment for
offshore surveying and dredging, selected Puck sensors for its
lidar mobile mapping system that supports marine environment
protection and sustainability.
- Technology
- Introduced the next generation of its Velabit™ sensor, which
addresses the cost, safety, and design challenges of autonomous
solutions while delivering state-of-the-art performance.
- Launched a new software development kit, the Vella Development
Kit (VDK) which allows customers to utilize the advanced
capabilities of Velodyne’s Vella lidar perception software in their
autonomous solutions.
- Joined the NVIDIA Metropolis program for Velodyne’s Intelligent
Infrastructure Solution for traffic monitoring and analytics.
- Corporate
- Created an Office of the Chief Executive (OCE), comprising
several members of Velodyne’s senior leadership team: Jim Barnhart,
Chief Operating Officer; Drew Hamer, Chief Financial Officer; Kathy
McBeath, Chief People Officer; and Sinclair Vass, Chief Commercial
Officer. With support from the Board of Directors, the members of
the OCE will continue to execute the Company’s growth strategy
developed by the former CEO, Dr. Anand Gopalan, and the executive
team as the Board conducts a comprehensive search to identify a
successor for Dr. Gopalan.
- Launched its new India Design Center in Bangalore. The center
furthers Velodyne’s growth strategy to drive continuous innovation
in lidar sensor and software solutions that transform lives by
advancing safe mobility and smart communities in global
markets.
Financial Highlights
- Second Quarter Revenue: Total revenue of $13.6 million
compared to $17.7 million in the first quarter of 2021. Product
revenue was $12.0 million compared to $10.6 million in the first
quarter of 2021. The overall product revenue was up due to renewed
demand for lidar sensors. License and Services revenue of $1.6
million compared to $7.1 million in the first quarter of 2021,
which included a $5.5 million licensing fee.
- Second Quarter Gross Profit: GAAP gross loss was $5.8
million and non-GAAP gross loss was $5.3 million, compared to a
first quarter 2021 GAAP gross profit of $1.9 million and non-GAAP
gross profit of $2.7 million. GAAP gross profit was reduced by $0.5
million of stock-based compensation expense, including employer
taxes, compared to first quarter 2021 GAAP gross loss that included
$0.8 million of stock-based compensation expense.
- Second Quarter Operating Expenses: GAAP operating
expenses of $84.8 million and non-GAAP operating expenses of $28.8
million included increased spending in research and development
that is in response to the visibility provided by the company’s
multi-year agreement pipeline. First quarter 2021 GAAP operating
expenses were $42.5 million and non-GAAP operating expenses were
$28.6 million. GAAP operating expenses included $53.6 million of
stock-based compensation expense, including employer taxes,
compared to first quarter 2021 GAAP operating expenses that
included $13.3 million of stock-based compensation expense.
- Second Quarter Net Loss and EPS: GAAP net loss was $80.7
million and non-GAAP net loss was $34.4 million. GAAP net loss per
share was $0.42 and non-GAAP net loss per share was $0.18. This
compared to a first quarter of 2021 GAAP net loss of $40.8 million
and non-GAAP net loss of $26.1 million. First quarter of 2021 GAAP
net loss per share was $0.22 and non-GAAP net loss per share was
$0.14.
- Shares Outstanding: EPS for the second quarter of 2021
is calculated using weighted average shares outstanding of 193.0
million. As of June 30, 2021, actual shares outstanding were 195.2
million.
- Liquidity: Velodyne completed the quarter with $353.6
million in cash and short-term investments on its balance
sheet.
- First Half Revenue: Total revenue for the first half of
2021 was $31.3 million, comprised of $22.6 million in Product
revenue and $8.8 million in license and service revenue. This
compares to $45.4 million in the first half of 2020, of which $27.8
million was Product revenue and $17.6 million was license and
service revenue.
- First Half Net Loss: GAAP net loss for the first half of
2021 was $121.5 million and non-GAAP net loss was $60.5 million.
This compares to a GAAP net loss of $33.1 million for the first
half of 2020 and $35.9 million in non-GAAP net loss.
A reconciliation between historical GAAP and non-GAAP
information is provided in the tables below.
Business Outlook and 2021 Guidance
As of the end of the second quarter, Velodyne estimates that it
could have the opportunity for over $1.0 billion of revenue from
signed and awarded projects through 2025. The company has recently
signed new ADAS multiyear agreements, which are expected to begin
to ramp starting in 2026. The company estimates a pipeline of
projects that are not yet signed and awarded of $4.5 billion
through 2025. In addition, Velodyne continues to invest in scalable
lidar architectures, advanced manufacturing technology and software
solutions. This underpins the company’s long-term expectations of
non-GAAP gross margin percentage ranging in the mid to high 50s and
Adjusted EBITDA margin of more than 20%.
Having already met its prior target of 34 multiyear agreements
for the full year 2021, the company has raised its goal and now
anticipates signing four more multiyear agreements to bring its
total to 38 multiyear agreements by December 31, 2021.
For the full year of 2021,
- Revenue is expected to range between $77 and $94 million.
Velodyne’s revenue comes from a global customer base, to whom the
company is actively shipping product. In addition, the company is
working towards securing a few large projects with significant
non-recurring engineering (NRE) fees in the second half of
2021.
- Non-GAAP Gross margins are expected to range between 13% and
24%. This reflects fewer units sold to cover remaining fixed
overhead costs of the company’s factory in San Jose offset by the
benefit of higher NRE revenues. On a GAAP basis, gross margins will
include approximately $2 million of stock-based compensation
expense.
- On a non-GAAP basis, operating expenses are expected to range
between $125 and $129 million. Based upon the visibility provided
by the company’s multi-year agreement pipeline, Velodyne is
increasing its spend in new product development by approximately
40% in 2021. General and administrative expenses are expected to
increase by approximately 35% in 2021 due to increased public
company and legal expenses. On a GAAP basis, operating expense will
include approximately $87 million of stock-based compensation
expense with $42 million in sales and marketing related to
Velodyne’s 2020 merger with Graf Industrial and $8 million related
to the recent departure of the company’s CEO.
- On a GAAP basis, income tax expense is anticipated to be
approximately $800,000.
- Weighted average shares outstanding for the year are estimated
to be 193.5 million.
Conference Call Information
Velodyne will host a conference call and live webcast for
analysts and investors at 4:30 p.m. Eastern Time on August 5, 2021.
Parties in the United States and Canada can access the call by
877-270-2148, using conference code 10158243. The webcast will be
accessible on Velodyne’s investor relations website at
https://investors.velodynelidar.com/. A telephonic replay of the
conference call will be available through August 12, 2021. To
access the replay, parties in the United States and Canada should
call 877-344-7529 and enter conference code 10158243.
Forward-Looking Statements
This press release contains “forward-looking statements” within
the meaning of the “safe harbor” provisions of the Private
Securities Litigation Reform Act of 1995, including but not limited
to, statements regarding our financial outlook and market
positioning. Forward-looking statements give our current
expectations and projections relating to our financial condition,
results of operations, plans, objectives, future performance and
business. You can identify forward-looking statements by the fact
that they do not relate strictly to historical or current facts.
These statements may include words such as "anticipate",
"estimate", "expect", "project", "plan", "intend", "believe",
"may", "will", "should", "can have", "likely" and other words and
terms of similar meaning in connection with any discussion of the
timing or nature of future operating or financial performance or
other events. All forward-looking statements are subject to risks
and uncertainties that may cause actual results to differ
materially from those that we expected, including: the impact on
our operations and financial condition from the effects of the
current COVID-19 pandemic both on Velodyne’s business and those of
its customers and suppliers; Velodyne’s ability to execute its
business plan; the timing of revenue from existing customers,
including uncertainties related to the ability of Velodyne’s
customers to commercialize their products and the ultimate market
acceptance of these products; uncertainties related to Velodyne
Lidar’s estimates of the size of the markets for its products and
future revenue opportunities, including projects that are not yet
signed or awarded; the rate and degree of market acceptance of
Velodyne Lidar’s products; the success of other competing lidar and
sensor-related products and services that exist or may become
available; rising costs adversely affecting Velodyne’s
profitability; uncertainties related to Velodyne Lidar’s current
litigation and potential litigation involving Velodyne Lidar or the
validity or enforceability of Velodyne Lidar’s intellectual
property; Velodyne Lidar’s ability to partner with and rely on
third party manufacturers; general economic and market conditions
impacting demand for Velodyne Lidar’s products and services; and
changes in applicable laws or regulations.
Given these factors, as well as other variables that may affect
Velodyne Lidar’s operating results, you should not rely on
forward-looking statements, assume that past financial performance
will be a reliable indicator of future performance, or use
historical trends to anticipate results or trends in future
periods. The forward-looking statements included in this press
release relate only to events as of the date hereof. Velodyne Lidar
undertakes no obligation to update or revise any forward-looking
statement as a result of new information, future events or
otherwise, except as otherwise required by law.
Non-GAAP Financial Measures
In addition to our results determined in accordance with
generally accepted accounting principles in the United States
(“GAAP”), we believe the non‑GAAP measures of non-GAAP gross profit
(loss), non-GAAP gross margin, non-GAAP operating expenses,
non‑GAAP operating loss, non-GAAP net loss, non‑GAAP net loss per
share, and Adjusted EBITDA are useful in evaluating our operating
performance. Certain of these non-GAAP measures exclude stock-based
compensation and related employer payroll taxes, litigation
settlements, amortization of acquisition-related intangibles
assets, restructuring, and discrete tax items. We believe that
non‑GAAP financial information, when taken collectively, may be
helpful to investors because it provides consistency and
comparability with past financial performance and assists in
comparisons with other companies, some of which use similar
non‑GAAP information to supplement their GAAP results. The non‑GAAP
financial information is presented for supplemental informational
purposes only, and should not be considered a substitute for
financial information presented in accordance with GAAP, and may be
different from similarly‑titled non‑GAAP measures used by other
companies. Reconciliation tables of the most comparable GAAP
financial measures to the non-GAAP financial measures are used in
this press release. The impact of these items in future periods is
uncertain and depends on various factors. Accordingly, a
reconciliation for forward-looking non-GAAP operating income is not
available without unreasonable effort.
About Velodyne Lidar, Inc.
Velodyne Lidar (Nasdaq: VLDR, VLDRW) ushered in a new era of
autonomous technology with the invention of real-time surround view
lidar sensors. Velodyne, the global leader in lidar, is known for
its broad portfolio of breakthrough lidar technologies. Velodyne’s
revolutionary sensor and software solutions provide flexibility,
quality and performance to meet the needs of a wide range of
industries, including autonomous vehicles, advanced driver
assistance systems (ADAS), robotics, unmanned aerial vehicles
(UAV), smart cities and security. Through continuous innovation,
Velodyne strives to transform lives and communities by advancing
safer mobility for all. For more information, visit
www.velodynelidar.com.
VELODYNE LIDAR, INC. AND
SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE
SHEETS
(In thousands)
June 30,
December 31,
2021
2020
(Unaudited)
Assets
Current assets:
Cash and cash equivalents
$
76,084
$
204,648
Short-term investments
277,546
145,636
Accounts receivable, net
9,473
13,979
Inventories, net
16,675
18,132
Prepaid and other current assets
10,231
22,319
Total current assets
390,009
404,714
Property, plant and equipment, net
14,652
16,805
Goodwill
1,189
1,189
Intangible assets, net
434
627
Contract assets
10,378
8,440
Other assets
19,935
937
Total assets
$
436,597
$
432,712
Liabilities and Stockholders’
Equity
Current liabilities:
Accounts payable
$
5,940
$
7,721
Accrued expense and other current
liabilities
26,730
50,349
Contract liabilities
8,736
7,323
Total current liabilities
41,406
65,393
Long-term tax liabilities
570
569
Other long-term liabilities
30,378
25,927
Total liabilities
72,354
91,889
Commitments and contingencies
Stockholders’ equity:
Preferred stock
—
—
Common stock
20
18
Additional paid-in capital
800,040
656,717
Accumulated other comprehensive loss
(216
)
(230
)
Accumulated deficit
(435,601
)
(315,682
)
Total stockholders’ equity
364,243
340,823
Total liabilities and stockholders’
equity
$
436,597
$
432,712
VELODYNE LIDAR, INC. AND
SUBSIDIARIES
CONDENSED CONSOLIDATED
STATEMENTS OF OPERATIONS
(In thousands, except share
and per share data)
(Unaudited)
Three Months Ended
Six Months Ended
June 30, 2021
March 31, 2021
June 30, 2020
June 30, 2021
June 30, 2020
Revenue:
Product
$
11,970
$
10,593
$
11,427
$
22,563
$
27,849
License and services
1,626
7,133
16,959
8,759
17,568
Total revenue
13,596
17,726
28,386
31,322
45,417
Cost of revenue:
Product
19,210
15,629
14,419
34,839
29,545
License and services
170
179
81
349
384
Total cost of revenue
19,380
15,808
14,500
35,188
29,929
Gross profit (loss)
(5,784
)
1,918
13,886
(3,866
)
15,488
Operating expenses:
Research and development
17,009
18,378
14,591
35,387
29,118
Sales and marketing
47,176
7,075
3,373
54,251
8,672
General and administrative
20,583
17,036
5,630
37,619
16,363
Restructuring
—
—
(3
)
—
1,043
Total operating expenses
84,768
42,489
23,591
127,257
55,196
Operating loss
(90,552
)
(40,571
)
(9,705
)
(131,123
)
(39,708
)
Interest income
109
103
5
212
117
Interest expense
(41
)
(36
)
(32
)
(77
)
(38
)
Other income (expense), net
10,136
(17
)
22
10,119
(143
)
Loss before income taxes
(80,348
)
(40,521
)
(9,710
)
(120,869
)
(39,772
)
Provision for (benefit from) income
taxes
339
296
17
635
(6,660
)
Net loss
$
(80,687
)
$
(40,817
)
$
(9,727
)
$
(121,504
)
$
(33,112
)
Net loss per share:
Basic and diluted
$
(0.42
)
$
(0.22
)
$
(0.07
)
$
(0.64
)
$
(0.24
)
Weighted-average shares used in computing
net loss per share:
Basic and diluted
193,002,807
189,222,807
139,863,194
191,123,251
138,887,585
VELODYNE LIDAR, INC. AND
SUBSIDIARIES
CONDENSED CONSOLIDATED
STATEMENTS OF CASH FLOWS
(In thousands)
(Unaudited)
Three Months Ended
Six Months Ended
June 30, 2021
June 30, 2020
June 30, 2021
June 30, 2020
Cash flows from operating
activities:
Net loss
$
(80,687
)
$
(9,727
)
$
(121,504
)
$
(33,112
)
Adjustments to reconcile net loss to cash
used in operating activities:
Depreciation and amortization
2,061
2,080
4,114
4,251
Reduction in carrying amount of ROU
assets
746
—
1,533
—
Stock-based compensation
53,195
135
64,725
156
Provision for doubtful accounts
743
195
2,425
509
Gain from forgiveness of notes payable
(10,124
)
—
(10,124
)
—
Other
389
70
550
70
Changes in operating assets and
liabilities:
Accounts receivable, net
3,254
(24,105
)
2,082
(23,914
)
Inventories, net
4,219
2,349
1,457
2,195
Prepaid and other current assets
1,810
7,615
3,512
2,939
Contract assets
—
(8,439
)
(2,438
)
(8,439
)
Other assets
8
166
6
264
Accounts payable
2,176
(3,946
)
(1,680
)
645
Accrued expenses and other liabilities
(3,844
)
(3,279
)
(7,711
)
(9,506
)
Contract liabilities
(1,628
)
17,629
264
11,397
Net cash used in operating activities
(27,682
)
(19,257
)
(62,789
)
(52,545
)
Cash flows from investing
activities:
Purchase of property, plant and
equipment
(1,178
)
(894
)
(1,779
)
(1,723
)
Proceeds from sales of short-term
investments
—
—
2,000
—
Proceeds from maturities of short-term
investments
48,943
—
55,943
2,200
Purchase of short-term investments
(98,444
)
—
(190,376
)
—
Investment in notes receivable
(750
)
—
(750
)
—
Net cash provided by (used in) investing
activities
(51,429
)
(894
)
(134,962
)
477
Cash flows from financing
activities:
Proceeds from issuance of preferred stock,
net of issuance costs
—
19,919
—
19,919
Payment of transaction costs related to
Business Combination
1
—
(20,005
)
—
Proceeds from warrant exercises
22
—
89,244
—
Tax withholding payment for vested equity
awards
—
—
(37
)
—
Cash paid for IPO costs
—
(537
)
—
(1,196
)
Proceeds from notes payable
—
10,000
—
10,000
Net cash provided by financing
activities
23
29,382
69,202
28,723
Effect of exchange rate fluctuations on
cash and cash equivalents
(33
)
(7
)
(15
)
(30
)
Net decrease in cash and cash
equivalents
(79,121
)
9,224
(128,564
)
(23,375
)
Beginning cash and cash
equivalents
155,205
27,405
204,648
60,004
Ending cash and cash
equivalents
$
76,084
$
36,629
$
76,084
$
36,629
VELODYNE LIDAR, INC. AND
SUBSIDIARIES
RECONCILIATION OF GAAP TO
NON-GAAP FINANCIAL MEASURES
(In thousands, except share
and per share data)
(Unaudited)
Three Months Ended
Six Months Ended
June 30, 2021
March 31, 2021
June 30, 2020
June 30,
2021
June 30, 2020
Gross profit (loss) on GAAP
basis
$
(5,784
)
$
1,918
$
13,886
$
(3,866
)
$
15,488
Gross margin on GAAP basis
(43
)
%
(30
)
%
82
%
(30
)
%
34
%
Stock-based compensation and related
employer payroll taxes
451
811
—
1,262
—
Gross profit (loss) on non-GAAP
basis
$
(5,333
)
$
2,729
$
13,886
$
(2,604
)
$
15,488
Gross margin on non-GAAP basis
(39
)
%
15
%
82
%
(8
)
%
34
%
Operating expenses on GAAP
basis
$
84,768
$
42,489
$
31,605
$
127,257
$
55,196
Stock-based compensation and related
employer payroll taxes
(53,624
)
(13,345
)
(135
)
(66,969
)
(156
)
Legal settlements
(2,245
)
(450
)
(18
)
(2,695
)
(2,480
)
Amortization of acquisition-related
intangible assets
(97
)
(96
)
(96
)
(193
)
(192
)
Restructuring charges
—
—
3
—
(1,043
)
Operating expenses on non-GAAP
basis
$
28,802
$
28,598
$
31,359
$
57,400
$
51,325
Operating loss on GAAP basis
$
(90,552
)
$
(40,571
)
$
(9,705
)
$
(131,123
)
$
(39,708
)
Stock-based compensation and related
employer payroll taxes
54,075
14,156
135
68,231
156
Legal settlements
2,245
450
18
2,695
2,480
Amortization of acquisition-related
intangible assets
97
96
96
193
192
Restructuring charges
—
—
(3
)
—
1,043
Operating loss on non-GAAP
basis
$
(34,135
)
$
(25,869
)
$
(9,459
)
$
(60,004
)
$
(35,837
)
Other income (expense), net
$
10,136
$
(17
)
$
(165
)
$
10,119
$
(143
)
Gain from forgiveness of notes payable
(10,124
)
—
—
(10,124
)
—
Other income (expense), net on non-GAAP
basis
$
12
$
(17
)
$
(165
)
$
(5
)
$
(143
)
Provision for (benefit from) income
taxes on GAAP basis
$
339
$
296
$
17
$
635
$
(6,660
)
Non-GAAP tax reconciling adjustments
—
—
(7
)
—
6,679
Provision for (benefit from) income
taxes on non-GAAP basis
$
339
$
296
$
10
$
635
$
19
Net loss on GAAP basis
$
(80,687
)
$
(40,817
)
$
(9,727
)
$
(121,504
)
$
(33,112
)
Stock-based compensation
54,075
14,156
135
68,231
156
Legal settlements
2,245
450
18
2,695
2,480
Amortization of acquisition-related
intangible assets
97
96
96
193
192
Restructuring charges
—
—
(3
)
—
1,043
Gain from forgiveness of notes payable
(10,124
)
—
—
(10,124
)
—
Non-GAAP tax reconciling adjustments
—
—
7
—
(6,679
)
Net loss on non-GAAP basis
$
(34,394
)
$
(26,115
)
$
(9,474
)
$
(60,509
)
$
(35,920
)
Net loss per share on GAAP
basis
Basic and diluted
$
(0.42
)
$
(0.22
)
$
(0.07
)
$
(0.64
)
$
(0.24
)
Weighted-average shares on GAAP
basis
Basic and diluted
193,002,807
189,222,807
139,863,194
191,123,251
138,887,585
Net loss per share on non-GAAP
basis
Basic and diluted
$
(0.18
)
$
(0.14
)
$
(0.07
)
$
(0.32
)
$
(0.26
)
Weighted-average shares on non-GAAP
basis
Basic and diluted
193,002,807
189,222,807
139,863,194
191,123,251
138,887,585
View source
version on businesswire.com: https://www.businesswire.com/news/home/20210805006048/en/
Investor Contact: Drew Hamer Chief Financial Officer
InvestorRelations@velodyne.com
Media Contact: Codeword Liv Allen
velodyne@codeword.com
Velodyne Lidar (NASDAQ:VLDR)
Historical Stock Chart
From Jun 2024 to Jul 2024
Velodyne Lidar (NASDAQ:VLDR)
Historical Stock Chart
From Jul 2023 to Jul 2024