Ascent Solar Tech FY16 Loss Narrows - Quick Facts

(RTTNews) - Ascent Solar Technologies Inc. (ASTI.OB) reported that its net loss for the fiscal year 2016 narrowed to $38.9 million from $45.8 million in 2015.

Net loss for the latest-quarter included about $14.3 million in non-cash interest expense and change in fair value of derivatives & extinguishment of liabilities that were associated with the outstanding convertible notes and convertible preferred stocks.

The company posted net revenue of $1.75 million in 2016, a decline of about 73.2% from $6.54 million in 2015. Loss from operations in 2016, however, improved by $3.1 million or 11.2% from $27.7 million in 2015 to $24.6 million.

Ascent Solar attributes this to a substantial reduction in SG&A Expenses of 16.9% from $12.4 million in 2015 to $10.3 million in 2016, lower depreciation and amortization as well as progressive cost reduction initiatives in R&D and manufacturing operations. These expenses are expected to decline further as the Company continues to restructure and streamline its operations in 2017.

The revenue decline was a direct result of the Company's exit from brick and mortar retail customers due to a number of factors, including the high cost of doing business especially with those who were overly battery centric which is no longer in line with Ascent's overall roadmap; continuous price erosion witnessed in the portable battery market resulting from a huge influx of low cost products from Asia; very large charged-back and revenue contras from prior commitments resulting from discontinuation of EnerPlex sales channels; bankruptcy of The Sports Authority, one of large retail customers.