View, Inc. (Nasdaq: VIEW) (“View” or the “Company”), a leader in smart building technologies, today announced financial results for the fourth quarter and full year 2022.

“The View team delivered a record year in 2022, achieving $100 million revenue for the first time in the Company’s history,” said Dr. Rao Mulpuri, CEO of View. “This is a significant milestone not only for View but for the industry’s continued march towards more sustainable and healthier buildings. We are redoubling our focus to achieve our profitability milestones and have taken proactive measures to reduce our structural costs while benefiting from economies of scale as we continue to grow the business.”

2022 Results2022 revenue of $101 million represents a 37% year-over-year increase from 2021 revenue of $74 million, due to growth in Smart Building Platform and Smart Building Technologies. This strong growth was driven by the Company’s recent success in multi-family residential buildings, continued strength in airports, and repeat purchases from existing customers.

2022 cost of revenues of $203 million represents a 4% year-over-year increase from 2021 cost of revenues of $195 million, as higher costs associated with support for increased Smart Building Platform revenues and higher production requirements was mostly offset by a decrease in new contract loss accruals and factory cost savings initiatives. Cost of revenues continue to decrease as a percentage of revenues, reflecting the benefit of higher revenues over fixed costs.

View incurred $70 million in Research and Development expenses in 2022, a decrease of 25% from $93 million in 2021, primarily driven by a reduction in depreciation related to a one-time charge taken in 2021.

View incurred $160 million in Selling, General and Administrative expenses in 2022, an increase of 22% from $131 million in 2021, primarily due to an increase in legal, consulting and accounting expenses, an increase in non-cash Employee Stock Based Compensation expense, and an increased investment in sales support for the growing business.

Liquidity, Restructuring and Cost ReductionIn Q4 2022, View completed a $212 million financing through the sale of convertible senior notes and ended the year with $198 million of cash, cash equivalents, and short-term investments. View has also taken steps to pursue greater efficiency and lower its structural costs. The Company expects these actions to result in annualized fixed cost and cash savings of approximately $50 million. In the coming year, View intends to continue its focus on growing an efficient business as it progresses on its path to profitability and raising additional capital to support this path.

These statements are forward-looking and actual results may differ materially. Please refer to the Forward-Looking Statements safe harbor below for information on the factors that could cause our actual results to differ materially from these forward-looking statements.

Conference Call and Webcast DetailsView will host a conference call to discuss its financial results on March 29, 2023, at 1:30 p.m. Pacific Time / 4:30 p.m. Eastern Time. The live webcast of the call can be accessed at the View Investor Relations website at https://investors.view.com, along with the Company's earnings press release.

The U.S. dial-in for the call is 1-877-524-8416 (1-412-902-1028 for non-U.S. callers). Callers should ask to join the View, Inc. call. A replay of the conference call will be available for 1 week after the call, while an archived version of the webcast will be available on the View Investor Relations website. The U.S. dial-in for the conference call replay is 1-877-660-6853 (1-201-612-7415 for non-U.S. callers). The replay access code is 13736645.

Forward-Looking StatementsThis press release and certain materials View files with the SEC, as well as information included in oral statements or other written statements made or to be made by View, other than statements of historical fact, contain certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, as amended. These forward-looking statements are based on current expectations, estimates, assumptions, projections, and management’s beliefs, that are subject to change. There can be no assurance that these forward-looking statements will be achieved; these statements are not guarantees of future performance and are subject to certain risks, uncertainties, and other factors, many of which are beyond View’s control and are difficult to predict. Therefore, actual outcomes and results may differ materially from what is expressed or forecasted in such forward-looking statements. View’s business is subject to a number of risks, which are described more fully in View’s filings with the SEC, including its most recent Annual Report on Form 10-K and subsequent filings, including Quarterly Reports on Form 10-Q. View undertakes no obligation to update forward-looking statements to reflect events or circumstances after the date hereof.

Financial Information; Non-GAAP Financial MeasuresThis press release contains certain financial information and data that was not prepared in accordance with United States generally accepted accounting principles (“GAAP”). These non-GAAP measures, and other measures that are calculated using such non-GAAP measures, are an addition to, and not a substitute for or superior to, measures of financial performance prepared in accordance with GAAP and should not be considered as an alternative to any performance measures derived in accordance with GAAP.

The Company presents these non-GAAP amounts because management believes they provide useful information to management and investors regarding certain financial and business trends relating to View’s financial condition and results of operations, and they assist management and investors in comparing the Company's performance across reporting periods on a consistent basis. View’s management uses these non-GAAP measures for trend analyses, for purposes of determining management incentive compensation and for budgeting and planning purposes. View believes that the use of these non-GAAP financial measures provides an additional tool for investors to use in evaluating operating results and trends in and in comparing View’s financial measures with those of other similar companies, many of which present similar non-GAAP financial measures to investors. View’s management does not consider these non-GAAP measures in isolation or as an alternative to financial measures determined in accordance with GAAP.

However, there are a number of limitations related to the use of these non-GAAP measures and their nearest GAAP equivalents. For example, other companies may calculate non-GAAP measures differently, or may use other measures to calculate their financial performance, and therefore View’s non-GAAP measures may not be directly comparable to similarly titled measures of other companies.

Reconciliations from GAAP to non-GAAP results are included in the financial statements contained in this release.

About ViewView is the leader in smart building technologies that transform buildings to improve human health and experience, reduce energy consumption and carbon emissions, and generate additional revenue for building owners. View Smart Windows use artificial intelligence to automatically adjust in response to outdoor conditions, eliminating the need for blinds and increasing access to natural light. Every View installation includes a cloud-connected smart building platform that can easily be extended to reimagine the occupant experience. View’s products are installed in offices, apartments, airports, hotels, and educational facilities. For more information, please visit: www.view.com.

For further information:

Investors: Samuel MeehanView, Inc. IR@View.com   408-493-1358

VIEW, INC.Condensed Consolidated Statements of Comprehensive Loss(unaudited)(in thousands, except share and per share data)

  Three Months Ended December 31,   Fiscal Year Ended December 31,
    2022       2021       2022       2021  
Revenue $ 44,238     $ 28,428     $ 101,328     $ 74,007  
Costs and expenses:              
Cost of revenue   73,938       57,097       203,157       194,714  
Research and development   14,163       19,553       70,320       93,477  
Selling, general, and administrative   34,800       36,670       159,688       131,214  
Impairment of goodwill   9,097             9,097        
Total costs and expenses   131,998       113,320       442,262       419,405  
Loss from operations   (87,760 )     (84,892 )     (340,934 )     (345,398 )
Interest and other expense (income), net              
Interest expense, net   2,602       (17 )     2,926       5,889  
Other expense (income), net   108       36       367       6,355  
Gain on fair value change, net   (773 )     (5,865 )     (7,285 )     (24,290 )
Loss on extinguishment of debt                     10,018  
Interest and other (income) expense, net   1,937       (5,846 )     (3,992 )     (2,028 )
Loss before provision (benefit) for income taxes   (89,697 )     (79,046 )     (336,942 )     (343,370 )
Provision (benefit) for income taxes   70       24       147       (392 )
Net and comprehensive loss $ (89,767 )   $ (79,070 )   $ (337,089 )   $ (342,978 )
               
Net loss per share, basic and diluted $ (0.41 )   $ (0.37 )   $ (1.56 )   $ (1.97 )
Weighted-average shares used in calculation of net loss per share, basic and diluted   218,929,607       212,847,503       215,558,271       173,692,582  

VIEW, INC.Condensed Consolidated Balance Sheets(unaudited)(in thousands)

  December 31,
    2022       2021  
Assets      
Current assets:      
Cash and cash equivalents $ 95,858     $ 281,081  
Short-term investments   102,284        
Accounts receivable, net of allowances   42,407       30,605  
Inventories   17,373       10,267  
Prepaid expenses and other current assets   38,297       21,579  
Total current assets   296,219       343,532  
Property and equipment, net   262,360       268,401  
Restricted cash   16,448       16,462  
Right-of-use assets   18,485       21,178  
Other assets   25,514       29,493  
Total assets $ 619,026     $ 679,066  
Liabilities and Stockholders’ Equity      
Current liabilities:      
Accounts payable $ 21,099     $ 24,186  
Accrued expenses and other current liabilities   72,410       59,456  
Accrued compensation   9,799       9,508  
Deferred revenue   9,199       11,460  
Total current liabilities   112,507       104,610  
Debt, non-current   218,837       13,960  
Sponsor earn-out liability   506       7,624  
Lease liabilities   19,589       22,997  
Other liabilities   47,095       50,537  
Total liabilities   398,534       199,728  
Stockholders’ equity:      
Common stock   23       22  
Additional paid-in capital   2,814,889       2,736,647  
Accumulated deficit   (2,594,420 )     (2,257,331 )
Total stockholders’ equity   220,492       479,338  
Total liabilities and stockholders’ equity $ 619,026     $ 679,066  

VIEW, INC.Condensed Consolidated Statements of Cash Flow(unaudited)(in thousands)

  Fiscal Year Ended December 31,
    2022       2021  
Cash flows from operating activities:      
Net loss $ (337,089 )   $ (342,978 )
Adjustments to reconcile net loss to net cash used in operating activities:      
Depreciation and amortization   23,955       41,757  
Loss on extinguishment of debt         10,018  
Gain on fair value change, net   (7,285 )     (24,290 )
Stock-based compensation   72,783       73,620  
Impairment of goodwill   9,097        
Other   5,205       1,971  
Net changes in operating assets and liabilities   (26,357 )     (21,411 )
Net cash used in operating activities   (259,691 )     (261,313 )
Cash flows from investing activities:      
Purchases of property and equipment   (15,767 )     (26,099 )
Purchase of short-term investments   (140,623 )      
Maturities of short-term investments   39,000        
Disbursement under loan receivable   (6,999 )      
Acquisition, net of cash acquired         (4,938 )
Net cash used in investing activities   (124,389 )     (31,037 )
Cash flows from financing activities:      
Proceeds from issuance of debt   212,307        
Payment of debt issuance costs   (6,122 )      
Repayment of revolving debt facility         (257,454 )
Repayment of other debt obligations   (1,470 )      
Payments of obligations under finance leases   (531 )     (1,278 )
Proceeds from issuance of common stock upon exercise of stock options and warrants         403  
Proceeds from reverse recapitalization and PIPE financing         815,184  
Payment of transaction costs         (41,655 )
Taxes paid related to the net share settlement of equity awards   (3,482 )      
Net cash provided by financing activities   200,702       515,200  
Net (decrease) increase in cash, cash equivalents, and restricted cash   (183,378 )     222,850  
Cash, cash equivalents, and restricted cash, beginning of period   297,543       74,693  
Cash, cash equivalents, and restricted cash, end of period $ 114,165     $ 297,543  
Supplemental disclosure of cash flow information:      
Cash paid for interest $ 68     $ 19,380  
Non-cash investing and financing activities:      
Payables and accrued liabilities related to purchases of property and equipment $ 2,737     $ 8,658  
Conversion of redeemable convertible preferred stock to common stock $     $ 1,812,678  
Conversion of redeemable convertible preferred stock warrants to common stock warrants $     $ 7,267  
Common stock issued in exchange for services associated with the reverse recapitalization $     $ 7,500  
Common stock issued upon vesting of restricted stock units $ 7,481     $ 726  
Holdback related to acquisition $     $ 1,061  
Change in right-of-use assets or property and equipment exchanged for lease obligations $     $ 1,094  

VIEW, INC.Selected Financials and Reconciliation of GAAP Measures to Non-GAAP Measures(unaudited)(in thousands)

  Three Months Ended December 31,   Fiscal Year Ended December 31,
    2022       2021       2022       2021  
Cost of revenue              
GAAP cost of revenue $ 73,938     $ 57,097     $ 203,157     $ 194,714  
Stock-based compensation   (652 )     (1,469 )     (1,777 )     (4,930 )
Non-cash warrants impact1   (1,636 )           (1,636 )      
Non-GAAP cost of revenue $ 71,650     $ 55,628     $ 199,744     $ 189,784  
               
Research and development expense              
GAAP Research and development expense $ 14,163     $ 19,553     $ 70,320     $ 93,477  
Stock-based compensation   (1,525 )     (2,512 )     (5,113 )     (8,725 )
Non-GAAP research and development expense $ 12,638     $ 17,041     $ 65,207     $ 84,752  
               
Selling, general, and administrative expense              
GAAP selling, general, and administrative expense $ 34,800     $ 36,670     $ 159,688     $ 131,214  
Stock-based compensation   (11,770 )     (14,432 )     (65,893 )     (59,965 )
Non-GAAP selling, general, and administrative expense $ 23,030     $ 22,238     $ 93,795     $ 71,249  
               
Net loss              
GAAP net loss $ (89,767 )   $ (79,070 )   $ (337,089 )   $ (342,978 )
Impairment of goodwill   9,097             9,097        
Stock-based compensation   13,947       18,413       72,783       73,620  
Non-cash warrants impact1   2,043             2,043        
Gain on fair value change, net   (773 )     (5,865 )     (7,285 )     (24,290 )
Loss on extinguishment of debt                     10,018  
Non-GAAP net loss $ (65,453 )   $ (66,522 )   $ (260,451 )   $ (283,630 )
               
Adjusted EBITDA              
GAAP loss from operations $ (87,760 )   $ (84,892 )   $ (340,934 )   $ (345,398 )
Impairment of goodwill   9,097             9,097        
Stock-based compensation   13,947       18,413       72,783       73,620  
Non-cash warrants impact1   2,043             2,043        
Non-GAAP loss from operations   (62,673 )     (66,479 )     (257,011 )     (271,778 )
Depreciation and amortization   6,158       6,556       23,955       41,757  
Adjusted EBITDA $ (56,515 )   $ (59,923 )   $ (233,056 )   $ (230,021 )

_________________________________1 Related to the accounting for warrants issued to RXR FP ("RXR Warrants)" on October 25, 2022 which have been accounted for under U.S. GAAP as consideration payable to a customer and result in non-cash impacts to revenue and cost of revenue.

 

View (NASDAQ:VIEWW)
Historical Stock Chart
From May 2024 to Jun 2024 Click Here for more View Charts.
View (NASDAQ:VIEWW)
Historical Stock Chart
From Jun 2023 to Jun 2024 Click Here for more View Charts.