Ideal Power Inc (NASDAQ:IPWR) ended its fourth quarter with nearly $16 million in cash as it looks to commercial sales of its B-TRAN product later this year.
During the quarter, the company secured its first design win for solid-state circuit breakers (SSCB) with a major Asian circuit protection equipment manufacturer.
The project is ahead of schedule, Ideal Power noted, with product design, prototype builds, and testing expected to be completed by early April, followed by commercial sales later this year.
CEO Dan Brdar said the customer’s first B-TRAN-based product alone could generate "several hundred thousand dollars" in revenue in its first year of sales, potentially exceeding $1 million in the second year, based on the customer’s own projections.
The customer is expected to expand its portfolio with additional B-TRAN-enabled SSCBs, presenting a "substantial opportunity for revenue growth," Brdar noted.
The company also secured a multi-unit order for its SymCool IQ intelligent power module, which targets applications in renewable energy, energy storage, and electric vehicle (EV) charging.
In the fourth quarter, Ideal Power conducted a program review with Stellantis' US and European teams regarding its drivetrain inverter program. The company expects to advance its work with the automaker and initiate a high-priority program for EV contactors.
Additionally, Ideal Power secured orders from a third global Tier 1 automotive supplier for various B-TRAN devices and an SSCB evaluation board, as it continues its push into the solid-state EV contactor market.
2025 outlook
Ideal Power aims to secure additional design wins in 2025, complete the next phase of its Stellantis development program, and ramp up initial sales in the second half of the year. It also plans to complete third-party automotive qualification testing for B-TRAN.
"We are leveraging this design win for SSCBs to potentially secure additional design wins with other large SSCB customers in the coming months to drive long-term value creation for our shareholders,” Brdar told shareholders.
“Solid-state switchgear, which includes SSCBs, is at least a $1 billion market opportunity for us and is expected to drive our sales ramp followed by a $1.4 billion opportunity in the energy and power market.”
4Q results
The company reported commercial revenue for the fourth quarter of $5,408, bringing total 2024 revenue to $86,032.
For the fourth quarter, the company reported a net loss of $2.6 million, compared with a $2.4 million loss a year earlier.
Cash and cash equivalents stood at $15.8 million as of December 31, 2024, with no long-term debt.
Operating expenses rose to $2.8 million in the fourth quarter, up from $2.5 million in the prior-year period, due to increased research and development spending.
Investors welcomed the update from Ideal Power, sending its shares 10.4% higher late morning on Thursday.
- Updated with share price movement -