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Press Release Details

AquaBounty Technologies Announces Second Quarter 2023 Financial Results

August 1, 2023 at 8:00 AM EDT

Maynard, Massachusetts--(Newsfile Corp. - August 1, 2023) - AquaBounty Technologies, Inc. (NASDAQ: AQB) ("AquaBounty" or the "Company"), a land-based aquaculture company utilizing technology to enhance productivity and sustainability, today announced the Company's financial results for the second quarter and six months ended June 30, 2023.

Second Quarter 2023 Highlights and Recent Developments

  • Generated $788 thousand in product revenue in the second quarter, a year-over-year decrease of 26% as compared to $1.1 million in the second quarter of 2022.
  • Net loss in the second quarter of 2023 was $6.5 million, as compared to $5.5 million in the second quarter of 2022.
  • Cash and cash equivalents and restricted cash totaled $43.8 million as of June 30, 2023, as compared to $102.6 million as of December 31, 2022.

Management Commentary

"Our second quarter results were impacted by a significant decline in market prices for Atlantic salmon, despite the fact that our Indiana farm had its highest quarterly output to date," said Sylvia Wulf, Board Chair and Chief Executive Officer of AquaBounty. "The demand for our fish continues to exceed our supply and we continue to identify opportunities to increase our production to meet this demand."

"We announced in early June that the Company was pausing the construction of our farm in Pioneer, Ohio due to a substantial increase in its estimated cost of completion. The Company is currently evaluating both the cost estimate and our options for moving forward, including alternative financing solutions to bring the project to completion. We previously announced our entry into a contractual commitment with a new construction firm who is assisting us in evaluating construction costs and who would lead construction of the facility going forward."

"Progress continues on the expansion of our broodstock and egg production capabilities at our farm on Prince Edward Island; and we continue to explore new business development opportunities which leverage our core strengths, and which could be applied to new species, including conventional salmon and other finfish, and new geographical territories worldwide. As always, I look forward to providing my fellow shareholders with an update in the near future," concluded Wulf.

About AquaBounty

At AquaBounty Technologies, Inc. (NASDAQ: AQB), we believe we are a leader in land-based sustainable aquaculture from start to finish. As a vertically integrated Company from broodstock to grow out, we are leveraging decades of expertise in fish breeding, genetics, and health & nutrition to deliver disruptive solutions that address food insecurity and climate change issues. We are committed to feeding the world efficiently, sustainably and profitably. AquaBounty provides fresh Atlantic salmon to nearby markets by raising its fish in carefully monitored land-based fish farms through a safe, secure and sustainable process. The Company's land-based Recirculating Aquaculture System ("RAS") farms, including a grow-out farm located in Indiana, United States and a broodstock and egg production farm located on Prince Edward Island, Canada, are close to key consumption markets and are designed to prevent disease and to include multiple levels of fish containment to protect wild fish populations. AquaBounty is raising nutritious salmon that is free of antibiotics and contaminants and provides a solution resulting in a reduced carbon footprint and no risk of pollution to marine ecosystems as compared to traditional sea-cage farming. For more information on AquaBounty, please visit or follow us on Facebook, Twitter, LinkedIn and Instagram.

Forward-Looking Statements

This press release contains "forward-looking statements" as defined in the Private Securities Litigation Reform Act of 1995, as amended, including regarding the timing of the contemplated bond financing; timing of construction; and expansion of potential business and partnership opportunities. The forward-looking statements in this press release are neither promises nor guarantees, and you should not place undue reliance on these statements because they involve significant risks and uncertainties about AquaBounty. AquaBounty may use words such as "continue," "moving forward," "believe," "will," "may," the negative forms of these words and similar expressions to identify such forward-looking statements. Among the important factors that could cause actual results to differ materially from those indicated by such forward-looking statements are, among other things, the potential for additional delays and increased costs related to construction of our new farms and renovations to existing farms; a failure to raise additional capital to finance our activities on acceptable terms; an inability to produce and sell our products in sufficient volume and at acceptable cost and prices; any inability to protect our intellectual property and other proprietary rights and technologies; the effect of changes in applicable laws, regulations and policies; our ability to secure any necessary regulatory approvals; the degree of market acceptance of our products; our failure to retain and recruit key personnel; and the price and volatility of our common stock. Forward-looking statements speak only as of the date hereof, and, except as required by law, AquaBounty undertakes no obligation to update or revise these forward-looking statements. For information regarding the risks faced by us, please refer to our public filings with the Securities and Exchange Commission ("SEC"), available on the Investors section of our website at and on the SEC's website at

Company & Investor Contact:
AquaBounty Technologies
Dave Conley
Corporate Communications
(613) 294-3078

Media Contact:
Vince McMorrow
Fahlgren Mortine
(614) 906-1671

AquaBounty Technologies, Inc.
Condensed Consolidated Balance Sheets

    June 30,     December 31,
  2023   2022
Current assets:          
Cash and cash equivalents $ 42,842,280   $ 101,638,557
Inventory   2,353,616     2,276,592
Prepaid expenses and other current assets   3,375,949     2,133,583
Total current assets   48,571,845     106,048,732
Property, plant and equipment, net   160,174,487     106,286,186
Right of use assets, net   205,565     222,856
Intangible assets, net   211,287     218,139
Restricted cash   1,000,000     1,000,000
Other assets   52,793     64,859
Total assets $ 210,215,977   $ 213,840,772
Liabilities and stockholders' equity          
Current liabilities:          
Accounts payable and accrued liabilities $ 20,875,113   $ 12,000,592
Accrued employee compensation   943,248     1,021,740
Current debt   2,406,147     2,387,231
Other current liabilities   4,586     20,830
Total current liabilities   24,229,094     15,430,393
Long-term lease obligations   200,979     203,227
Long-term debt, net   6,441,077     6,286,109
Total liabilities   30,871,150     21,919,729
Commitments and contingencies          
Stockholders' equity:          
Common stock, $0.001 par value, 150,000,000 shares authorized at June 30, 2023          
and December 31, 2022; 71,345,649 and 71,110,713 shares outstanding at June 30,          
2023 and December 31, 2022, respectively   71,346     71,111
Additional paid-in capital   385,691,274     385,388,684
Accumulated other comprehensive loss   (401,002 )   (516,775
Accumulated deficit   (206,016,791 )   (193,021,977
Total stockholders' equity   179,344,827     191,921,043
Total liabilities and stockholders' equity $ 210,215,977   $ 213,840,772


AquaBounty Technologies, Inc.
Condensed Consolidated Statements of Operations and Comprehensive Loss

  Three Months Ended
June 30,
  Six Months Ended
June 30,
  2023   2022   2023   2022
Product revenues $ 788,430   $ 1,069,706   $ 1,186,276   $ 2,032,587
Costs and expenses                      
Product costs   3,790,878     3,250,106     7,350,118     6,525,796
Sales and marketing   194,254     349,917     392,539     597,489
Research and development   178,394     208,292     301,311     375,481
General and administrative   3,067,533     2,831,930     6,068,015     5,208,166
Total costs and expenses   7,231,059     6,640,245     14,111,983     12,706,932
Operating loss   (6,442,629 )   (5,570,539 )   (12,925,707 )   (10,674,345
Other expense                      
Interest expense   (65,789 )   (74,694 )   (132,063 )   (149,982
Other (expense) income, net   (328 )   109,191     62,956     176,559
Total other (expense) income   (66,117 )   34,497     (69,107 )   26,577
Net loss $ (6,508,746 ) $ (5,536,042 ) $ (12,994,814 ) $ (10,647,768
Other comprehensive income (loss):                      
Foreign currency translation gain (loss)   111,346     (153,602 )   115,773     (70,697
Unrealized gain on marketable securities   -     121,796     -     7,731
Total other comprehensive income (loss)   111,346     (31,806 )   115,773     (62,966
Comprehensive loss $ (6,397,400 ) $ (5,567,848 ) $ (12,879,041 ) $ (10,710,734
Basic and diluted net loss per share $ (0.09 ) $ (0.08 ) $ (0.18 ) $ (0.15
Weighted average number of Common Shares -                      
basic and diluted   71,344,025     71,068,671     71,256,782     71,036,562


AquaBounty Technologies, Inc.
Condensed Consolidated Statements of Cash Flows

  Six Months Ended
June 30,
  2023   2022
Operating activities          
Net loss $ (12,994,814 ) $ (10,647,768
Adjustment to reconcile net loss to net cash used in          
operating activities:          
Depreciation and amortization   1,066,476     988,292
Share-based compensation   302,825     318,608
Other non-cash charge   9,408     14,860
Changes in operating assets and liabilities:          
Inventory   (74,789 )   (661,090
Prepaid expenses and other assets   (1,225,343 )   (2,883,505
Accounts payable and accrued liabilities   748,443     1,705,335
Accrued employee compensation   (78,492 )   (91,140
Net cash used in operating activities   (12,246,286 )   (11,256,408
Investing activities          
Purchases of and deposits on property, plant and equipment   (46,586,998 )   (30,472,704
Maturities of marketable securities   -     120,047,915
Purchases of marketable securities   -     (47,621,291
Other investing activities   (3,263 )   12,500
Net cash (used in) provided by investing activities   (46,590,261 )   41,966,420
Financing activities          
Proceeds from issuance of debt   394,156     42,338
Repayment of term debt   (359,704 )   (318,600
Proceeds from the exercise of stock options and warrants   -     1,538
Net cash provided by (used in) financing activities   34,452     (274,724
Effect of exchange rate changes on cash, cash equivalents and restricted cash   5,818     (1,387
Net change in cash, cash equivalents and restricted cash   (58,796,277 )   30,433,901
Cash, cash equivalents and restricted cash at beginning of period   102,638,557     89,454,988
Cash, cash equivalents and restricted cash at end of period $ 43,842,280   $ 119,888,889
Reconciliation of cash, cash equivalents and restricted cash reported          
in the consolidated balance sheet:          
Cash and cash equivalents $ 42,842,280   $ 118,888,889
Restricted cash   1,000,000     1,000,000
Total cash, cash equivalents and restricted cash $ 43,842,280   $ 119,888,889
Supplemental disclosure of cash flow information and non-cash transactions:          
Interest paid in cash $ 124,430   $ 141,490
Property and equipment included in accounts payable and accrued liabilities $ 18,682,066   $ 3,758,842