KULR Technology Group Inc (NYSE:KULR) has announced that its fourth-quarter revenue probably more than doubled, while its profit margins expanded as it added more customers to its platform.
Releasing preliminary and unaudited results for the three months ended December 31, 2022, the energy management platform company told investors it expects to report revenue of $1,813,000, an increase of about 137% from the $766,000 reported a year earlier. Its gross margin is estimated to be about 80%, compared with 70% in 4Q 2021.
“We are very pleased with our revenue ramp and order flow moving into 2023,” KULR CEO Michael Mo said in a statement. “The platform, which we have built and continue to expand, positions KULR as a preferred solutions provider of lithium-ion battery safety and thermal management technologies."
READ: KULR Technology announces issuance of US patent covering lithium-ion battery storage and transportation solution
Operational highlights of 4Q include:
- Initial order secured from top-tier US Department of Defense Contractor. Initial deployment will be over $500,000 (over an approximately six-month period) from a customer with future projects that could derive multi-million dollars in revenues over the next year;
- Began Phase 2 battery safety testing for Lockheed Martin Corporation. Commenced 2H 2022 Phase 2 development of passive propagation resistant battery systems for Lockheed following a successful Phase 1 trial in November 2021;
- Entered into an agreement to provide its internal short circuit (ISC) battery safety and testing device to the largest automotive manufacturer in the US. The ISC testing technology allows the manufacturer to predict battery cell failure and then analyze the causes to build safer batteries;
- Announced production prototype order from top-tier power tool manufacturer for KULR SafeCase, a reusable, safe, and high-energy battery transportation, and storage solution. This specific power-tool manufacturer is a leader in sustainability and safety within the industrial tool and household hardware sectors, and an active participant in many initiatives around lithium-ion battery safety, transportation, education, and recycling;
- Launched SmallSat Lithium-ion battery pack format to further support the NASA space program and launch of Artemis. KULR's battery product meets top safety requirements outlined by JSC 20793 created by NASA. The company continues its close relationship with NASA to help ensure the safety of battery systems, flight, and exploration of space and added to a Suite of Battery Safety and Testing Solutions with a New Commercial License of NASA Technology. KULR achieved operational readiness for its Fractional Thermal Runaway Calorimeter within its suite of battery safety and thermal management solutions after finalizing a commercial licensing agreement for the agency's patent-pending FTRC solution;
- Acquired VibeTech and Launched Vibration Reduction Service, KULR VIBE. The KULR VIBE suite of technologies utilize proprietary sensor processes with advanced learning algorithms to both achieve precision balancing solutions and successfully predict component failure based on its comprehensive database of vibration signatures. Its enhanced AI learning algorithms pinpoint areas where excess vibrations cause a loss of energy that can lead to system malfunctions, weakened performance, and maintenance issues;
- Secured First Customer for KULR VIBE Underscoring the Solution's Commercial Application in the Aviation Sector. Entered into a six-figure annual subscription agreement with an industry-leading, American-based commercial helicopter operator to provide global track and balance support for its fleet of helicopters via KULR VIBE, which provides a proprietary AI-driven vibration reduction solution; and
- Partnered With Gamma Technologies, a global leader and innovator in multi-physics system simulation software, to create next-generation battery designs for the eVTOL and EV markets. KULR to integrate Gamma Technologies’ GT-SUITE Multi-Scale Multi-Physics Simulation Platform into the Company's holistic suite of products and services.
“We look forward to continued growth as we leverage the tailwind of a robust battery supply chain and positive regulatory support,” Mo concluded.
KULR Technology Group is a leading energy management platform offering proven solutions that play a critical role in accelerating the electrification of the circular economy. Leveraging a foundation in developing, manufacturing, and licensing next-generation carbon fiber thermal management technologies for batteries and electronic systems, KULR has evolved its holistic suite of products and services to enable its customers across disciplines to operate with efficiency and sustainability in mind.
Contact the author at stephen.gunnion@proactiveinvestors.com