MultiSensor AI announces Q2 2024 results

Second-quarter revenue jumps 59% as company continues to scale operations

The recent capital increase and debt conversion represent significant turning points, strengthening the Company’s balance sheet and financial flexibility

HOUSTON, TX / ACCESSWIRE / August 14, 2024 / MultiSensor AI Holdings, Inc. (NASDAQ:MSAI), a pioneer in AI-powered facility health and process control solutions, announced results for the second quarter ended June 30, 2024.

Key financial data:

• H1 2024 revenue increased 90% year-over-year from $2.3 million to $4.4 million; Q2 revenue increased 59% year-over-year from $1.3 million to $2.1 million.

• Annual Recurring Revenue¹ by the end of the period it had increased by about 500%, from about $450,000 to $2.7 million.

• Following the end of the quarter, the Company raised $26.5 million through a $11.5 million public offering and a $15 million private placement.

• During the quarter, MSAI completed the conversion of all remaining convertible bonds and other debt into equity.

• Following the end of the quarter, the Company strengthened its balance sheet by improving net working capital, reducing current liabilities and increasing liquidity.

Key strategic business information:

• MSAI has demonstrated compliance with NASDAQ listing requirements following a significant strengthening of its shareholders’ equity.

• Announced strategic partnership with Denali Advanced Integration, making it easier for Denali customers to purchase multi-sensor MSAI solutions.

• MSAI launched its inspection business, expanding its service offering with additional sensors and services to meet the needs of enterprise customers.

David Gow, Chairman of MultiSensor AI, commented: “I am pleased with these recent milestones and the financial strength of the company as MSAI continues to mature as a public company. We continue to position the company for sustainable growth and to expand our presence across our existing customer base. We continue to execute on our commercial strategy, highlighted by the launch of our Inspections business and our strategic channel partnership with Denali Advanced Integration. These successes demonstrate the company’s commitment to further scaling our offering while expanding among existing and new blue chip customers. We expect these efforts to support growth and ARR momentum in the second half of 2024 and into our bright future.”

Mr. Gow continued, “Since quarter end, we have closed a total of $26.5 million in public and private equity offerings. We remain focused on maintaining a conservative balance sheet and financial flexibility, as well as overall free float. This recent capital raising is a testament to investor confidence in the Company’s direction and the management team’s ability to maintain this strategic momentum as we deliver value to our stakeholders. Additionally, we have significantly strengthened our balance sheet and overall financial flexibility by effectively eliminating $7.05 million of our future debt obligations through a conversion to equity. This eliminates future liabilities and potential capital requirements associated with debt service.”

The Company’s quarterly report is filed with the SEC and is available at www.sec.gov, as well as in the Investor Relations section of the Company’s website (www.multisensorai.com).

About MultiSensor AI

MultiSensor AI provides turnkey condition-based maintenance and process control solutions that combine cutting-edge imaging and sensing technologies with AI-powered enterprise software. MSAI software, powered by AWS, leverages a continuous stream of data from thermal imaging, visible imaging, acoustic imaging, vibration detection, and laser sensors to provide comprehensive, real-time condition monitoring of critical assets, processes, and customer-manufactured products. This comprehensive solution measures heat, vision, vibration, and gas in the surrounding environment, helping companies gain predictive insights to better manage asset reliability and production processes. MSAI Cloud and MSAI Edge software solutions are deployed by customers to protect critical assets across a wide range of industries, including distribution and logistics, manufacturing, utilities, and oil and gas.

For more information, visit https://www.multisensorai.com

Forecast statements

This press release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934 and the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. In some cases, forward-looking statements can be identified by words such as “will,” “believe,” “anticipate,” “expect,” “estimate,” “intend,” “plan” or the negatives or variations of these words or similar expressions. All statements in this press release that are not strictly historical facts should be considered forward-looking statements, including, without limitation, statements regarding the Company’s management’s expectations regarding its financial prospects, strategic priorities and objectives, future plans, business prospects and financial results. These forward-looking statements are subject to risks, uncertainties and assumptions, some of which are beyond our control. Furthermore, these forward-looking statements reflect our current views regarding future events and are not guarantees of future results. Actual results may differ materially from the information contained in the forward-looking statements due to a number of factors, including the “Risk Factors” section of the company’s Annual Report on Form 10-Q filed with the SEC on August 14, 2024 and the company’s other periodic filings with the SEC. Because forward-looking statements are inherently subject to risks and uncertainties, these forward-looking statements should not be relied upon as predictions of future events. Any forward-looking statements contained in this press release are based solely on information currently available and speak only as of the date hereof. Except as required by applicable law, the company expressly disclaims any obligation to publicly update any forward-looking statements, whether written or oral, that may be made from time to time, whether as a result of new information, future events or otherwise.

Media contact:
Multi-sensor artificial intelligence
Andrzej Klobucar
Marketing Director
[email protected]

Contact for investors:
Alpha IR Group
Mike Cummings or Griffin Morris
[email protected]

MultiSensor AI Holdings, Inc.
Condensed consolidated reports on activities
(Amounts in thousands of U.S. dollars, except share and per share data)

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¹ _{A non-GAAP measure defined as annual current software and services revenue under a contract with a term of one year or longer.}

SOURCE: MultiSensor AI, Inc.

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