HALIFAX, NS / ACCESSWIRE / April 21, 2021 / Metamaterial Inc. (the "Company" or "META") (CSE:MMAT) a developer of high-performance functional materials and nanocomposites, today released fourth quarter and full year 2020 results. Please visit the investors section of our website to view the Q4 2020 Shareholder Letter.
The financial statements and the associated management discussion and analysis for the quarter and twelve months ended December 31, 2020 are available on the Investors section of our website as well as under the Company's profile on SEDAR at www.sedar.com.
The 2020 net loss was $19,806,340, 27c per share on 74,271,609 weighted average shares, compared to a 2019 net loss of $11,083,258, $1.14 per share on 9,724,476 weighted average shares. Total 2020 revenue was $1,507,690, compared to 2019 revenue of $1,195,058.
About Metamaterial Inc.
META delivers previously unachievable performance, across a range of applications, by inventing, designing, developing, and manufacturing sustainable, highly functional materials. Our extensive technology platform enables leading global brands to deliver breakthrough products to their customers in consumer electronics, 5G communications, health and wellness, aerospace, automotive, and clean energy. Our achievements have been widely recognized, including being named a Global Cleantech 100 company. Learn more at www.metamaterial.com.
The CSE has neither approved nor disapproved the contents of this news release.
Media inquiries:
[email protected]
Investor inquiries:
Mark Komonoski
Investor Relations
phone: 1-877-255-8483
[email protected]
Metamaterial Inc. (formerly Continental Precious Minerals Inc.)
Consolidated statements of financial position
[expressed in Canadian dollars]
|
As at
|
December 31, 2020 | December 31, 2019 | ||||||
|
|
$ | $ | ||||||
|
|
||||||||
|
Assets
|
||||||||
|
Current
|
||||||||
|
Cash and cash equivalents
|
1,776,983 | 528,691 | ||||||
|
Grants receivable
|
417,442 | 242,705 | ||||||
|
Other receivables
|
50,330 | 79,072 | ||||||
|
Inventory
|
589,977 | 438,726 | ||||||
|
Prepaid expenses
|
436,909 | 365,602 | ||||||
|
HST receivable
|
196,526 | 262,512 | ||||||
|
Total current assets
|
3,468,167 | 1,917,308 | ||||||
|
Intangible assets, net
|
5,699,626 | 6,404,812 | ||||||
|
Property and equipment, net
|
3,515,523 | 3,558,675 | ||||||
|
Right-of-use assets
|
337,441 | 66,951 | ||||||
|
Total non-current assets
|
9,552,590 | 10,030,438 | ||||||
|
Total assets
|
13,020,757 | 11,947,746 | ||||||
|
Liabilities and shareholders' equity (deficiency)
|
||||||||
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Current
|
||||||||
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Trade payables
|
3,743,783 | 3,176,642 | ||||||
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Due to related party
|
312,528 | 345,033 | ||||||
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Current portion of long-term debt
|
369,921 | 104,376 | ||||||
|
Current portion of deferred revenue
|
1,578,676 | 1,483,645 | ||||||
|
Current portion of deferred government assistance
|
1,179,096 | 518,837 | ||||||
|
Derivative liability
|
- | 1,175,056 | ||||||
|
Secured convertible debentures
|
7,060,493 | - | ||||||
|
Secured convertible promissory notes
|
- | 4,595,975 | ||||||
|
Unsecured convertible promissory notes
|
1,531,960 | - | ||||||
|
Current portion of lease liabilities
|
192,001 | 71,947 | ||||||
|
Total current liabilities
|
15,968,458 | 11,471,511 | ||||||
|
Deferred revenue
|
1,023,835 | 1,862,420 | ||||||
|
Deferred government assistance
|
- | 1,414,037 | ||||||
|
Deferred tax liability
|
404,947 | 658,481 | ||||||
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Unsecured convertible debentures
|
2,324,085 | 760,145 | ||||||
|
Funding obligation
|
989,128 | 808,298 | ||||||
|
Lease liabilities
|
152,506 | - | ||||||
|
Long-term debt
|
3,493,029 | 3,139,301 | ||||||
|
Total non-current liabilities
|
8,387,530 | 8,642,682 | ||||||
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Total liabilities
|
24,355,988 | 20,114,193 | ||||||
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|
||||||||
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Shareholders' deficiency
|
||||||||
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Common shares
|
34,248,734 | 7,598,670 | ||||||
|
Preferred shares
|
- | 12,748,100 | ||||||
|
Contributed surplus
|
5,804,292 | 3,753,211 | ||||||
|
Warrants
|
565,446 | 175,095 | ||||||
|
Accumulated other comprehensive loss
|
134,648 | (159,512 | ) | |||||
|
Deficit
|
(52,088,351 | ) | (32,282,011 | ) | ||||
|
Total shareholders' deficiency
|
(11,335,231) | (8,166,447) | ||||||
|
Total liabilities and shareholders' deficiency
|
13,020,757 | 11,947,746 | ||||||
Metamaterial Inc. (formerly Continental Precious Minerals Inc.)
Consolidated statements of loss and comprehensive loss
[expressed in Canadian dollars]
|
|
Year ended December 31 | |||||||
|
|
2020 | 2019 | ||||||
|
|
$ | $ | ||||||
|
Product sales
|
2,615 | 31,426 | ||||||
|
Development revenue
|
1,505,075 | 1,163,632 | ||||||
|
Revenue, net
|
1,507,690 | 1,195,058 | ||||||
|
Cost of goods sold
|
4,409 | 12,138 | ||||||
|
Gross Profit
|
1,503,281 | 1,182,920 | ||||||
|
|
||||||||
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Expenses (income)
|
||||||||
|
Salaries and benefits
|
3,390,940 | 3,040,775 | ||||||
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Depreciation and amortization
|
2,840,640 | 3,178,505 | ||||||
|
Impairment expense
|
5,224 | 87,166 | ||||||
|
Travel and entertainment
|
79,369 | 493,800 | ||||||
|
Other expenses
|
742,476 | 507,980 | ||||||
|
Listing expenses
|
3,370,249 | - | ||||||
|
Stock exchange fees
|
12,000 | - | ||||||
|
Rent and utilities
|
404,699 | 414,958 | ||||||
|
Finance Income
|
(34,302 | ) | (822,375 | ) | ||||
|
Finance costs
|
2,142,131 | 937,435 | ||||||
|
Consulting
|
1,416,962 | 548,922 | ||||||
|
Investor relations
|
154,496 | 30,936 | ||||||
|
Research and development
|
516,577 | 788,476 | ||||||
|
Professional fees
|
2,274,554 | 846,418 | ||||||
|
Share-based compensation expense
|
2,032,055 | 1,710,952 | ||||||
|
Unrealized loss on FVTPL liabilities
|
1,917,860 | 862,176 | ||||||
|
Realized loss on derivative liability
|
128,653 | - | ||||||
|
Technology license fees
|
14,602 | 50,807 | ||||||
|
Realized foreign currency exchange loss
|
83,750 | 1,290 | ||||||
|
Unrealized foreign currency exchange (gain) loss
|
255,109 | 417,115 | ||||||
|
Amortization of deferred government assistance
|
(182,685 | ) | (178,834 | ) | ||||
|
Other loss (income)
|
- | (530,960 | ) | |||||
|
|
21,565,359 | 12,385,542 | ||||||
|
Net loss before tax
|
(20,062,078) | (11,202,622) | ||||||
|
Income tax recovery
|
255,738 | 119,364 | ||||||
|
Net loss for the period
|
(19,806,340) | (11,083,258) | ||||||
|
|
||||||||
|
Other comprehensive loss, net of income taxes
|
||||||||
|
Items that may be subsequently reclassified to income:
|
||||||||
|
Unrealized foreign currency translation adjustment
|
294,160 | 246,998 | ||||||
|
Comprehensive loss for the period
|
(19,512,180) | (10,836,260) | ||||||
|
|
||||||||
|
Basic and diluted loss per share
|
$ | (0.27) | $ | (1.14) | ||||
|
Weighted average number of shares outstanding
|
||||||||
|
- basic and diluted
|
74,271,609 | 9,724,476 | ||||||
Metamaterial Inc. (formerly Continental Precious Minerals Inc.)
Consolidated statements of cash flows
[expressed in Canadian dollars]
|
Year ended December 31
|
2020 | 2019 | ||||||
|
|
$ | $ | ||||||
|
|
||||||||
|
Operating activities
|
||||||||
|
Net loss for the period
|
(19,806,340 | ) | (11,083,258 | ) | ||||
|
Add (deduct) items not affecting cash:
|
||||||||
|
Non-cash finance income
|
(22,927 | ) | (821,599 | ) | ||||
|
Non-cash finance costs
|
1,627,599 | 703,798 | ||||||
|
Deferred income tax recovery
|
(255,738 | ) | (119,364 | ) | ||||
|
Depreciation and amortization
|
2,840,640 | 3,121,654 | ||||||
|
Impairment of intangible assets
|
5,224 | 87,166 | ||||||
|
Unrealized foreign currency exchange loss
|
260,068 | 437,935 | ||||||
|
Listing expenses
|
3,370,249 | - | ||||||
|
Unrealized loss on FVTPL liabilities
|
1,917,860 | 862,176 | ||||||
|
Realized loss on derivative liability
|
128,653 | - | ||||||
|
Change in deferred revenue
|
(738,720 | ) | (841,370 | ) | ||||
|
Change in deferred government assistance
|
(342,216 | ) | (435,558 | ) | ||||
|
Share-based compensation expense
|
2,032,055 | 1,780,952 | ||||||
|
Non-cash consulting
|
30,000 | 51,750 | ||||||
|
Other loss (income)
|
- | (530,960 | ) | |||||
|
Net change in non-cash working capital items
|
(849,236 | ) | 1,179,094 | |||||
|
Cash used in operating activities
|
(9,802,829) | (5,607,584) | ||||||
|
|
||||||||
|
Investing activities
|
||||||||
|
Additions to intangible assets
|
(140,323 | ) | (220,480 | ) | ||||
|
Additions to property and equipment
|
(1,152,752 | ) | (1,449,951 | ) | ||||
|
Reverse takeover, net cash
|
4,179,371 | - | ||||||
|
Cash used in investing activities
|
2,886,296 | (1,670,431) | ||||||
|
|
||||||||
|
Financing activities
|
||||||||
|
Proceeds from long-term debt
|
35,075 | 879,860 | ||||||
|
Repayment of long-term debt
|
(263,431 | ) | (77,024 | ) | ||||
|
Repurchase of shares
|
(24,365 | ) | - | |||||
|
Proceeds from unsecured convertible promissory notes
|
1,804,570 | 3,185,760 | ||||||
|
Proceeds from funding obligation
|
- | 1,300,000 | ||||||
|
Net proceeds from units
|
814,270 | 1,013,622 | ||||||
|
Proceeds from unsecured convertible debentures
|
950,000 | 750,000 | ||||||
|
Proceeds from secured convertible debentures
|
5,000,000 | - | ||||||
|
Payment of lease liabilities
|
(149,991 | ) | (75,335 | ) | ||||
|
Cash provided by financing activities
|
8,166,128 | 6,976,883 | ||||||
|
|
||||||||
|
Net (decrease) increase in cash and cash equivalents
|
1,249,595 | (301,132) | ||||||
|
Cash and cash equivalents, beginning of the period
|
528,691 | 850,623 | ||||||
|
Effects of exchange rate changes on cash and cash equivalents
|
(1,303 | ) | (20,800 | ) | ||||
|
Cash and cash equivalents, end of the period
|
1,776,983 | 528,691 | ||||||
|
|
||||||||
|
Supplemental cash flow information
|
||||||||
|
Interest on debt paid
|
406,518 | 20,335 | ||||||
SOURCE: Metamaterial Inc.