Aqua Metals, Inc. (NASDAQ: AQMS), a metal recycling technology company, recently released its financial results for the quarter that ended on June 30, 2021. The company also finalized a definitive agreement to deploy and license Aquarifining technology in Taiwan to ACME Metal Enterprise CO. and proceed with the first deployment.
Signing the company’s first agreement
Steve Cotton, president and C.E.O. of the company, said that he was pleased that the company had completed the second quarter and moved into the third quarter as it had planned in its guidance to the market. He continued by terming the company’s first-ever agreement to license, deploy and further innovate AquaRefining technology with ACME in Taiwan as the culmination of years of arduous work by the company’s team. The achievement was a historic milestone for Aqua Metals and all its stakeholders.
He added that the agreement ushered the company into its next phase as it continues its transition to licensing and monetizing its transformative, hydrometallurgical, and clean AquaRefining technologies. As the company concluded the previous chapter, it secured its final insurance payment, materially strengthening its balance sheet and bringing its total insurance proceeds to $30.25 million. The company is making great strides and believes that its equipment supply and licensing model is gaining momentum and expects numerous additional accomplishments and opportunities and a bright future ahead.
The second quarter focused on finalizing its first technology and equipment supply agreement, which was completed on July 28, 2021. As the company concentrated its efforts on this agreement and further enhancing its product offering for future partners, the company did not generate revenue in this period.
No revenue generated
Cost of product sale was $2.1 million in the second quarter, a 64% increase from $1.3 million in a similar period last year. The increase was caused by the plant clean-up cost in preparation for the lease and planned facility sale.
General and administrative expenses in the second quarter of 2021 decreased by 5% from a similar period in 2020. However, the company continues to review all expenditures as it focuses on efficient capital management.