These terms and conditions govern your use of the website alphaminr.com and its related
services.
These Terms and Conditions (“Terms”) are a binding contract between you and Alphaminr,
(“Alphaminr”, “we”, “us” and “service”). You must agree to and accept the Terms. These Terms
include the provisions in this document as well as those in the Privacy Policy. These terms may
be modified at any time.
Subscription
Your subscription will be on a month to month basis and automatically renew every month. You may
terminate your subscription at any time through your account.
Fees
We will provide you with advance notice of any change in fees.
Usage
You represent that you are of legal age to form a binding contract. You are responsible for any
activity associated with your account. The account can be logged in at only one computer at a
time.
The Services are intended for your own individual use. You shall only use the Services in a
manner that complies with all laws. You may not use any automated software, spider or system to
scrape data from Alphaminr.
Limitation of Liability
Alphaminr is not a financial advisor and does not provide financial advice of any kind. The
service is provided “As is”. The materials and information accessible through the Service are
solely for informational purposes. While we strive to provide good information and data, we make
no guarantee or warranty as to its accuracy.
TO THE EXTENT PERMITTED BY APPLICABLE LAW, UNDER NO CIRCUMSTANCES SHALL ALPHAMINR BE LIABLE TO
YOU FOR DAMAGES OF ANY KIND, INCLUDING DAMAGES FOR INVESTMENT LOSSES, LOSS OF DATA, OR ACCURACY
OF DATA, OR FOR ANY AMOUNT, IN THE AGGREGATE, IN EXCESS OF THE GREATER OF (1) FIFTY DOLLARS OR
(2) THE AMOUNTS PAID BY YOU TO ALPHAMINR IN THE SIX MONTH PERIOD PRECEDING THIS APPLICABLE
CLAIM. SOME STATES DO NOT ALLOW THE EXCLUSION OR LIMITATION OF INCIDENTAL OR CONSEQUENTIAL OR
CERTAIN OTHER DAMAGES, SO THE ABOVE LIMITATION AND EXCLUSIONS MAY NOT APPLY TO YOU.
If any provision of these Terms is found to be invalid under any applicable law, such provision
shall not affect the validity or enforceability of the remaining provisions herein.
Privacy Policy
This privacy policy describes how we (“Alphaminr”) collect, use, share and protect your personal
information when we provide our service (“Service”). This Privacy Policy explains how
information is collected about you either directly or indirectly. By using our service, you
acknowledge the terms of this Privacy Notice. If you do not agree to the terms of this Privacy
Policy, please do not use our Service. You should contact us if you have questions about it. We
may modify this Privacy Policy periodically.
Personal Information
When you register for our Service, we collect information from you such as your name, email
address and credit card information.
Usage
Like many other websites we use “cookies”, which are small text files that are stored on your
computer or other device that record your preferences and actions, including how you use the
website. You can set your browser or device to refuse all cookies or to alert you when a cookie
is being sent. If you delete your cookies, if you opt-out from cookies, some Services may not
function properly. We collect information when you use our Service. This includes which pages
you visit.
Sharing of Personal Information
We use Google Analytics and we use Stripe for payment processing. We will not share the
information we collect with third parties for promotional purposes.
We may share personal information with law enforcement as required or permitted by law.
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended
September 30,
2025
or
☐
TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the Transition Period from to
Commission File No.
001-32919
Ascent Solar Technologies, Inc.
(Exact name of registrant as specified in its charter)
Delaware
20-3672603
(State or other jurisdiction of
incorporation or organization)
(I.R.S. Employer
Identification No.)
12300 Grant Street
,
Thornton
,
CO
80241
(Address of principal executive offices)
(Zip Code)
Registrant’s telephone number including area code:
720
-
872-5000
Securities registered pursuant to Section 12(b) of the Act:
Title of each class
Trading Symbol(s)
Name of exchange on which registered
Common
ASTI
Nasdaq
Capital Markets
Indicate by check mark whether the issuer (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.
Yes
☒
No
☐
Indicate by check mark whether the registrant has submitted every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).
☒
Yes
☐
No
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act:
Large accelerated filer
☐
Accelerated filer
☐
Non-accelerated filer
☒
Smaller reporting company
☒
Emerging growth company
☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.
☐
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes
☐
No
☒
As of November 10, 2025, there were
3,479,149
shares of our common stock issued and outstanding.
This Quarterly Report on Form 10-Q includes “forward-looking statements” that involve risks and uncertainties. Forward-looking statements include statements concerning our plans, objectives, goals, strategies, future events, future net sales or performance, capital expenditures, financing needs, plans or intentions relating to acquisitions, business trends and other information that is not historical information and, in particular, appear under headings including “Management’s Discussion and Analysis of Financial Condition and Results of Operations” and “Overview.” When used in this Quarterly Report, the words “estimates,” “expects,” “anticipates,” “projects,” “plans,” “intends,” “believes,” “forecasts,” “foresees,” “likely,” “may,” “should,” “goal,” “target,” and variations of such words or similar expressions are intended to identify forward-looking statements. All forward-looking statements are based upon information available to us on the date of this Quarterly Report.
These forward-looking statements are subject to risks, uncertainties and other factors, many of which are outside of our control, that could cause actual results to differ materially from the results discussed in the forward-looking statements, including, among other things, the matters discussed in this Quarterly Report in the sections captioned “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations.” Factors you should consider that could cause these differences are:
•
Our operating history and lack of profitability;
•
Our ability to develop demand for, and sales of, our products;
•
Our ability to attract and retain qualified personnel to implement our business plan and corporate growth strategies;
•
Our ability to develop sales, marketing and distribution capabilities;
•
Our ability to successfully develop and maintain strategic relationships with key partners;
•
The accuracy of our estimates and projections and our ability to achieve these projections;
•
Our ability to secure additional financing to fund our short-term and long-term financial needs;
•
Our ability to maintain the listing of our common stock on the Nasdaq Capital Market.
•
The commencement, or outcome, of legal proceedings against us, or by us, including ongoing litigation proceedings;
•
Changes in our business plan or corporate strategies;
•
The extent to which we are able to manage the growth of our operations effectively, both domestically and abroad, whether directly owned or indirectly through licenses;
•
The supply, availability and price of equipment, components and raw materials, including the elements needed to produce our photovoltaic modules;
•
Our ability to expand and protect the intellectual property portfolio that relates to our photovoltaic modules and processes;
•
Our ability to maintain effective internal controls over financial reporting;
•
General economic and business conditions, and in particular, conditions specific to the solar power industry; and
•
Other risks and uncertainties discussed in greater detail elsewhere in this Quarterly Report and in Part I, Item 1A “Risk Factors” of our Annual Report on Form 10-K for the year ended December 31, 2024
There may be other factors that could cause our actual results to differ materially from the results referred to in the forward-looking statements. We undertake no obligation to publicly update or revise forward-looking statements to reflect subsequent events or circumstances after the date made, or to reflect the occurrence of unanticipated events, except as required by law.
References to “we,” “us,” “our,” “Ascent,” “Ascent Solar” or the “Company” in this Quarterly Report mean Ascent Solar Technologies, Inc.
Trade receivables, net of allowance of $
0
and $
0
, respectively
-
-
Inventories, net
442,413
453,103
Prepaid and other current assets
120,255
89,472
Total current assets
2,656,686
3,713,318
Property, Plant and Equipment:
19,132,627
19,679,918
Accumulated depreciation
(
18,921,407
)
(
19,446,262
)
Property, Plant and Equipment, net
211,220
233,656
Other Assets:
Operating lease right-of-use assets, net
1,475,952
1,880,372
Patents, net of accumulated amortization of $
140,847
and $
137,114
respectively
9,473
28,494
Equity method investment
69,060
62,187
Other investment
75,000
-
Other non-current assets
1,271,355
1,228,399
2,900,840
3,199,452
Total Assets
$
5,768,746
$
7,146,426
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current Liabilities:
Accounts payable
$
404,406
$
449,437
Related party payables
11,538
5,769
Accrued expenses
214,027
246,159
Accrued payroll
260,073
192,856
Accrued professional services fees
9,450
222,704
Accrued interest
602,249
565,773
Current portion of operating lease liability
650,872
578,153
Bridge loan
-
19,555
Total current liabilities
2,152,615
2,280,406
Long-Term Liabilities:
Non-current operating lease liabilities
965,073
1,464,872
Accrued warranty liability
-
21,225
Total liabilities
3,117,688
3,766,503
Commitments and contingencies (Note 16)
Stockholders’ Equity (Deficit):
Series A preferred stock, $
.0001
par value;
750,000
shares authorized;
48,100
and
48,100
shares issued and outstanding, respectively ($
984,447
and
$
947,971
Liquidation Preference, respectively)
5
5
Common stock, $
0.0001
par value,
200,000,000
authorized;
3,479,149
and
1,454,896
shares issued and outstanding, respectively
348
145
Additional paid in capital
500,007,999
494,983,561
Accumulated deficit
(
497,370,043
)
(
491,608,710
)
Accumulated other comprehensive loss
12,749
4,922
Total stockholders’ equity
2,651,058
3,379,923
Total Liabilities and Stockholders’ Equity
$
5,768,746
$
7,146,426
The accompanying notes are an integral part of these unaudited condensed financial statements.
Ascent Solar Technologies, Inc. (the “Company") is focusing on integrating its photovoltaic ("PV") products into scalable and high value markets such as space power beaming, aerospace, satellites, near earth orbiting vehicles, fixed wing unmanned aerial vehicles (“UAV”), aquatic terrestrial, and agrivoltaics. The value proposition of Ascent’s proprietary solar technology not only aligns with the needs of customers in these industries, but also overcomes many of the obstacles other solar technologies face in these unique markets. Ascent has the capability to design and develop finished products for end users in these areas as well as collaborate with strategic partners to design and develop custom integrated solutions for products like satellites, spacecraft, airships and fixed-wing UAVs. Ascent sees significant overlap of the needs of end users across some of these industries and can achieve economies of scale in sourcing, development, and production in commercializing products for these customers.
On June 4, 2025, the Company filed a Certificate of Amendment to the Amended and Restated Certificate of Incorporation of the Company (the “Certificate of Amendment”) with the Secretary of State of the State of Delaware to decrease the number of authorized shares of Common Stock from
500
million to
200
million at a par value of $
0.0001
.
NOTE 2. BASIS OF PRESENTATION
The accompanying, unaudited, condensed financial statements have been derived from the accounting records of the Company as of September 30, 2025, and December 31, 2024, and the results of operations for the three and nine months ended September 30, 2025, and 2024.
The accompanying, unaudited, condensed financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America ("U.S. GAAP") for interim financial information and in accordance with the instructions to Form 10-Q and Article 8 of Regulation S-X. Accordingly, these interim financial statements do not include all of the information and footnotes typically found in U.S. GAAP audited annual financial statements. In the opinion of management, all adjustments (consisting only of normal recurring adjustments) considered necessary for a fair statement have been included. The unaudited Condensed Balance Sheet at December 31, 2024, has been derived from the audited financial statements as of that date but does not include all of the information and footnotes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2024. These unaudited condensed financial statements and notes should be read in conjunction with the financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2024.
The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Operating results for the three and nine months ended September 30, 2025
, are not necessarily indicative of the results that may be expected for the year ending December 31, 2025.
NOTE 3. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The Company’s significant accounting policies were described in Note 2 to the audited financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2024. There have been no significant changes to our accounting policies as of September 30, 2025.
Revenue Recognition:
Product revenue.
The Company recognizes revenue for the sale of PV modules sales at a point in time following the transfer of control of such products to the customer, which typically occurs upon shipment or delivery depending on the terms of the underlying contracts. For product sales contracts that contain multiple performance obligations, the Company allocates the transaction price to each performance obligation identified in the contract based on relative standalone selling prices, or estimates of such prices, and recognize the related revenue as control of each individual product is transferred to the customer.
During the three months ended September 30, 2025 and 2024
, the Company recognized
product
revenue of
$
28,549
and
$
8,550
, respectively. During the nine months ended September 30, 2025 and 2024
, the Company recognized
product
revenue of
$
61,134
and
$
41,893
, respectively.
Milestone and engineering revenue.
Each milestone and engineering arrangement is a separate performance obligation. The transaction price is estimated using the most likely amount method and revenue is recognized as the performance obligation is satisfied through achieving manufacturing, cost, or engineering targets.
No
milestone and engineering revenue was recognized during the three and nine months ended
September 30, 2025 and 2024.
Government contracts revenue.
Revenue from government research and development contracts is generated under terms that are cost plus fee or firm fixed price. The Company generally recognizes this revenue over time using cost-based input methods, which recognizes revenue and gross profit as work is performed based on the relationship between actual costs incurred compared to the total estimated costs of the contract. In applying cost-based input methods of revenue recognition, the Company uses the actual costs incurred relative to the total estimated costs to determine our progress towards contract completion and to calculate the corresponding amount of revenue to recognize.
Cost based input methods of revenue recognition are considered a faithful depiction of the Company’s efforts to satisfy long-term government research and development contracts and therefore reflect the performance obligations under such contracts. Costs incurred that do not contribute to satisfying the Company’s performance obligations are excluded from the input methods of revenue recognition as the amounts are not reflective of transferring control under the contract. Costs incurred towards contract completion may include direct costs plus allowable indirect costs and an allocable portion of the fixed fee. If actual and estimated costs to complete a contract indicate a loss, provision is made currently for the loss anticipated on the contract.
No
government contract revenue was recognized during the three and nine months ended
September 30, 2025 and 2024.
Accounts Receivable.
As of September 30, 2025, the Company had
$
0
in accounts receivable, net and
no
allowance for doubtful accounts. The Company had
no
accounts receivable, net balance and
no
allowance for doubtful accounts as of
December 31, 2024.
Deferred revenue for the
nine months ended September 30, 2025 was as follows:
Balance as of January 1, 2025
$
935
Additions
40,764
Recognized as revenue
(
3,929
)
Balance as of September 30, 2025
$
37,770
Other Investment:
The Company accounts for its investments without a readily determinable fair value that does not qualify for measurement at net asset value as a practical expedient at its cost minus impairment, if any. If the Company identifies observable price changes in orderly transactions for the identical or a similar investment of the same issuer, the Company will measure the equity security at fair value as of the date that the observable transaction occurred. The Company reassesses at each reporting period whether the equity investment without a readily determinable fair value continues to qualify to be measured at cost.
As of September 30, 2025, the Company invested $
75,000
in a company without a readily determinable value and will make an additional $
200,000
investment in four installment payments of $
50,000
each payable on or before January 15, 2026, March 15, 2026, May 15, 2026, and July 15, 2026.
Other Assets:
Other assets is comprised of the following:
Other Income/(Expense), net:
Other income/(expense), net is comprised as follows:
Three months ended
September 30, 2025
September 30, 2024
Gain on settlement of liabilities
$
-
$
165,548
Swiss liabilities (Note 5)
-
541,021
Interest income
18,980
35,593
Other
(
61,270
)
-
Total Other Income/(Expense), net
$
(
42,290
)
$
742,162
Nine months ended
September 30, 2025
September 30, 2024
Gain on settlement of liabilities
$
35,039
$
165,548
Swiss liabilities (Note 5)
-
541,021
Interest income
48,597
35,593
Other
(
1,145
)
26,334
Total Other Income/(Expense), net
$
82,491
$
768,496
Earnings per Share:
Earnings per share (“EPS”) are the amount of earnings attributable to each share of common stock. Basic EPS has been computed by dividing income available to common stockholders by the weighted-average number of common shares outstanding during the period. Income available to common stockholders has been computed by deducting dividends accumulated for the period on cumulative preferred stock (whether or not earned). Diluted earnings per share has been computed by dividing income available to common stockholders adjusted on an if-converted basis for the period by the weighted average number of common shares and potentially dilutive common share outstanding (which consist of warrants, options, restricted stock units and convertible securities using the if-converted or treasury stock method to the extent they are dilutive). Approximatel
y
2,226,000
and
202,000
shares of dilutive shares were excluded from the three months period ended
September 30, 2025 and 2024, respectively, EPS calculation as their impact is antidilutive. Approx
imately
1,225,000
an
d
128,000
shares of dilutive shares were excluded from the nine months period ended
September 30, 2025 and 2024
, respectively, EPS calculation as their impact is antidilutive.
Segment Reporting:
The Company has
one
reportable segment, PV. The PV segment sells PV products and engineering services and currently, is primarily selling it in North America. The Company’s chief operating decision maker (“CODM”), who is the Company’s
Chief Executive Officer
, makes significant operating decisions and assesses the performance of the Company as a single business segment.
The CODM regularly reviews the Company’s company wide Balance Sheet and Statement of Operations to determine how to allocate resources within the Company. The CODM assesses performance and decides how to allocate resources based on Net Income that also is reported on the Statement of Operations and reviews significant expenses as outlined in the Statement of Operations.
The CODM uses Net Income to evaluate how to reinvest profits into the PV segment assets, research and development, employees, and other resources. The measure of segment assets is reported on the unaudited condensed Balance Sheet as total assets.
Reclassifications:
Certain prior period balances have been reclassified to conform to current period presentation. Specifically, prior year issuance costs for sale of equity was disaggregated to conform to the current period presentation.
Recently Issued Accounting Policies
In November 2024, the FASB issued ASU 2024-03,
Income Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures
("ASU 2024-03"). ASU 2024-03 requires disaggregated disclosure of income statement expenses for public business entities. The ASU does not change the expense captions an entity presents on the face of the income statement; rather, it requires disaggregation of certain expense captions into specified categories in disclosures within the footnotes to the financial statements. ASU 2024-03 is effective for public entities for annual periods beginning after December
15, 2026 and interim periods within annual reporting periods beginning after December 15, 2027. Entities are permitted to early adopt. Management is evaluating the impact of this ASU on the Company's financial statements.
In December 2023, the FASB issued ASU 2023-09,
Income Taxes: Improvements to Income Tax Disclosures
("ASU 2023-09"). ASU 2023-09 improves income tax disclosures by requiring public entities annually to (1) disclose specific categories in the rate reconciliation and (2) provide additional information for reconciling items that meet a quantitative threshold. ASU 2023-09 is effective for public entities for annual periods beginning after December 15, 2024. Entities are permitted to early adopt. Management is evaluating the impact of this ASU on the Company's financial statements.
NOTE 4. LIQUIDITY, CONTINUED OPERATIONS, AND GOING CONCERN
The Company continued to enter into financing arrangements including the sale of common stock and Series 1C preferred stock during the year ended December 31, 2024 and into 2025 to fund operations.
The Company continues to build industrial scale production capabilities in its Thornton facility and focus on its research and development activities to improve its PV products. The Company does not expect that sales revenue and cash flows will be sufficient to support operations and cash requirements until it has fully implemented our strategy of selling high value PV products and manufacturing at full industrial scale. During the nine months ended September 30, 2025, the Company used
$
5,097,082
in cash for operations.
Current committed product revenues are not anticipated to result in a positive cash flow position for the next twelve months and although the Company has, as of September 30, 2025, working capital of $
504,071
, Management does not believe cash liquidity is sufficient for the next twelve months and will require additional financing or committed purchase orders.
The Company continues to accelerate sales and marketing efforts related to its specialty PV application strategies through expansion of its sales and distribution channels. The Company also continues activities to secure additional funding through strategic or financial investors, but there is no assurance the Company will be able to raise additional capital on acceptable terms or at all. If the Company's revenues do not increase rapidly, and/or additional financing is not obtained, the Company will be required to significantly curtail operations to reduce costs and/or sell assets. Such actions would likely have an adverse impact on the Company's future operations.
As a result of the Company’s recurring losses from operations and the potential need for additional financing to fund its operating and capital requirements, there is uncertainty regarding the Company’s ability to maintain liquidity sufficient to operate its business effectively, which raises doubt as to the Company’s ability to continue as a going concern.
Management cannot provide any assurances that the Company will be successful in accomplishing any of its plans. These unaudited condensed financial statements do not include any adjustments that might be necessary should the Company be unable to continue as a going concern.
NOTE 5. SWITZERLAND ASSETS
On
April 17, 2023
, the Company entered into an Asset Purchase Agreement (the “Asset Purchase Agreement”) with Flisom AG (“Seller”), pursuant to which, among other things, the Company purchased certain assets relating to thin-film photovoltaic manufacture and production from Seller (collectively, the “Assets”). The purchase price paid by the Company was $
4,083,926
(including $
1,283,926
of transaction costs). The Company also entered into a sublease agreement allowing the Company to use the manufacturing facility where the Assets are located.
During the year ended December 31, 2023, Management concluded that these assets were impaired and recognized an impairment loss of $
3,283,715
. The remaining carrying value of the Assets, as of December 31, 2023, was $
786,000
.
On April 1, 2024, the Company entered into an agreement with the manufacturing facility landlord (“Landlord”) and sold all but one piece of equipment from the Assets to the Landlord for 1 CHF and forgiveness of $
221,519
in payables and any potential future claims the manufacturing facility Landlord may have.
The carrying value of the Assets sold was $
746,000
.
At March 31, 2024, the Company designated the Assets as assets held for sale as all of the following criteria have been met: (i) a formal commitment to a plan to sell a property has been made and exercised; (ii) the property is available for sale in its present condition; (iii) actions required to complete the sale of the property have been initiated; (iv) sale of the property is
probable and we expect the sale will occur within one year; and (v) the property is being actively marketed for sale at a price that is reasonable given its current market value.
Upon designation as an asset held for sale, the Company recorded the carrying value of the property at the lower of its carrying value or its estimated fair value, less estimated costs to sell, and depreciation of the property ceases. As the estimated fair value of $
221,519
and the price the Company sold the Assets for is less than their carrying value, the Company recorded an impairment loss of $
524,481
on March 31, 2024. Upon completion of the sale, on April 1, 2024, the Company wrote off the remaining carrying value of the Assets and the payables to the Landlord.
In September, 2023, Flisom filed for bankruptcy in Switzerland. In February, 2024, the Swiss bankruptcy administrator closed the bankruptcy proceedings due to a lack of assets unless a creditor demands that the bankruptcy proceedings be carried out within the specified period and makes an advance to cover the costs. The deadline for creditors to make their demand has lapsed and the bankruptcy proceedings remained closed. As the bankruptcy proceedings are closed, the Company reversed the Swiss liabilities and recognized a gain on extinguishment of liabilities of $
541,021
in Other income/(expense) on the unaudited Condensed Statements of Operations during the three months ended September 30, 2024.
NOTE 6. PROPERTY, PLANT AND EQUIPMENT
The following table summarizes property, plant and equipment as of
September 30, 2025 and December 31, 2024:
As of
September 30,
As of
December 31,
2025
2024
Furniture, fixtures, computer hardware and
computer software
$
492,210
$
468,588
Leasehold improvements
15,994
15,994
Manufacturing machinery and equipment
18,592,336
19,122,828
Manufacturing machinery and equipment,
in progress
32,087
72,508
Depreciable property, plant and equipment
19,132,627
19,679,918
Less: Accumulated depreciation and amortization
(
18,921,407
)
(
19,446,262
)
Net property, plant and equipment
$
211,220
$
233,656
Depreciation expense for the three months ended September 30, 2025 and 2024 was $
20,283
and $
16,832
, respectively. Depreciation expense for the nine months ended September 30, 2025 and 2024 was $
54,451
and $
50,923
, respectively. Depreciation expense is recorded under “Depreciation and amortization expense” in the unaudited Condensed Statements of Operations.
NOTE 7. OPERATING LEASE
The Company’s lease is primarily comprised of manufacturing and office space.
This lease is classified and accounted for as an operating lease. The building lease term is for
88
months commencing on
September 21, 2020
at a rent of $
50,000
per month including taxes, insurance and common area maintenance until December 31, 2020. Beginning January 1, 2021, the rent adjusted to $
80,000
per month on a triple net basis and shall increase at an annual rate of
3
% per annum until December 31, 2027.
Effective September 1, 2023, the lease was amended to reduce the rentable square feet from approximately
100,000
to approximately
75,000
square feet and the rent and tenant share of expenses were decreased in proportion to the reduction in the rentable square feet.
As of
September 30, 2025 and December 31, 2024, assets and liabilities related to the Company’s leases were as follows:
As of
September 30,
As of
December 31,
2025
2024
Operating lease right-of-use assets, net
$
1,475,952
$
1,880,372
Current portion of operating lease liability
650,872
578,153
Non-current portion of operating lease liability
965,073
1,464,872
During the three months ended September 30, 2025 and 2024, the Company recorded operating lease expense included in selling, general and administrative expenses of
$
190,497
and $
190,497
, respectively. During the nine months ended
September 30, 2025 and 2024, the Company recorded operating lease expense included in selling, general and administrative expenses of
$
571,492
and $
571,492
, respectively.
Future maturities of the operating lease liability are as follows:
Remainder of 2025
$
198,051
2026
815,969
2027
840,449
Total lease payments
1,854,469
Less amounts representing interest
(
238,524
)
Present value of lease liability
$
1,615,945
The remaining weighted average lease term and discount rate of the operating leases is
27
months and
7.0
%
, respectively.
NOTE 8. INVENTORIES
Inventories, net of reserves, consisted of the following at
September 30, 2025 and December 31, 2024:
As of
September 30,
As of
December 31,
2025
2024
Raw materials
$
441,389
$
453,103
Work in process
1,024
-
Finished goods
-
-
Total
$
442,413
$
453,103
NOTE 9. BRIDGE LOAN
Principal
Balance
1/1/2025
New loans
Principal Payments
Principal
Balance
9/30/2025
Discount
Bridge Loan, net of discount
Bridge Loans
$
22,335
$
—
$
(
22,335
)
$
—
$
—
$
—
On February 27, 2024, the Company entered into a loan agreement ("Loan 1") with a lender ("Lender") for an aggregate principal amount of $
375,000
. The Company paid origination fees of $
25,000
for net proceeds of $
350,000
. The discount is recorded as interest expense ratably over the term of the loan.
Under Loan 1, the Company made
weekly
payments of $
19,420
for 28 weeks for a total repayment of $
543,750
. The Company also had an early repayment option where the Company would repay an aggregate of $
478,125
if repaid by April 15, 2024.
On April 17, 2024, the Company entered into a new loan agreement ("Loan 2") with the Lender. Under Loan 2, the Company borrowed an aggregate principal amount of $
685,000
, incurred origination fees of $
34,250
, and repaid the outstanding balance of Loan 1 of $
428,310
for net proceeds of $
222,440
. Under Loan 2, the Company made
weekly
payments of $
31,000
for 32 weeks for a total repayment of $
993,250
. This loan was secured by a lien on the Company's assets.
Loan 2 and all related interest payable was repaid in November 2024. The Company recognized interest expense of
$
139,233
and $
499,272
during the three and nine months ended September 30, 2024, respectively.
On April 1 and 2, 2024, the Company closed two loan agreements with a second lender ("Lender 2") for an aggregate principal amount of $
180,800
. These loans had an original issuance discount of $
20,800
for net proceeds of $
160,000
. These loans matured on January 1, 2025 and the Company repaid all principal and interest due on these loans.
The Company recognized $
16,334
and $
34,297
in interest expense during the three and nine months ended September 30, 2024, respectively.
NOTE 10. OTHER PAYABLE
On June 30, 2017, the Company entered into an agreement with a vendor (“Vendor”) to convert the balance of their account into a note payable in the amount of $
250,000
. The note bore interest of
5
% per annum and matured on February 28, 2018. On September 25, 2024, the Company entered into a Note Termination and Release Agreement with the Vendor where the Company agreed to a one-time payment of $
175,000
in exchange for the termination of the note payable. Upon payment, the remaining note and interest payable were forgiven and the Company recognized a gain on extinguishment of liabilities of $
165,548
in Other income/(expense), net on the unaudited Condensed Statements of Operations during the three and nine months ended September 30, 2024.
NOTE 11. CONVERTIBLE NOTES
On December 19, 2022, the Company entered into a Securities Purchase Contract (the “Securities Purchase Contract”) with two institutional investors (each, an “Investor” and collectively, the “Investors”) for the issuance to the Investors of $
15,000,000
in aggregate Convertible Notes (the "Convertible Notes") at a purchase price of $
13,500,000
. The Convertible Notes bore
4.5
% interest per annum, payable, at the option of the Company, in kind or in cash, subject to certain conditions, and was convertible, at the option of the holders from time to time, into shares of the Company’s Common Stock, or repayable in cash at maturity. The Convertible Notes matured on June 19, 2024.
The Convertible Notes could be converted, at the option of the Investors, into shares of the Company’s Common Stock at a conversion price, which is equal to the lower of (1) a
30
% premium to the average of the five most recent daily volume weighted average price (“VWAPs”) of the Common Stock as measured on the day prior to the issuance of the Registered Advance Notes (the “Fixed Conversion Price”) and (2)
92.5
% of the three lowest VWAPs of the Common Stock on the
10
trading days preceding delivery of a Conversion Notice by an Investor.
The conversion price could not be less than $
11,400
in accordance with the rules and regulations of Nasdaq.
The following table provides a summary of the activity of the Company's Convertible Notes:
Principal
Balance
1/1/2024
Notes converted
Notes paid
Net Principal
Balance
9/30/2024
L1 Capital Global Opportunities Master Fund, Ltd
$
406,667
$
(
400,000
)
$
(
6,667
)
$
—
The note matured on June 19, 2024 and the Company paid the remaining principal and interest payable.
During the nine months ended September 30, 2024, $
400,000
of principal was converted for
6,184
shares of common stock. During the nine months ended September 30, 2024, the Company had interest expense of $
463,397
, of which, $
19,260
was due to accretion of discount on the note.
If the conversion price was less than the floor price, the Company recorded a Conversions Payable that represented the economic difference between the applicable conversion price of the Convertible Notes and floor price. This amount is payable either in shares valued as the VWAP on the conversion day or in cash. If the VWAP on the conversion day is less than the floor price, then the economic different between the conversion day VWAP and the floor price becomes payable in cash and was recorded as Cash payable. During the nine months ended September 30, 2024, $
1,279,782
of conversions payable was converted into
17,934
shares of common stock and $
199,997
of Cash payable. The Cash payable was paid in April 2024.
In addition to the Convertible Notes, the Company also issued to the Investors certain common stock warrants (the “Adjusting Warrants”). The Adjusting Warrants have certain “full ratchet” anti-dilution adjustments that are triggered when
the Company issued securities with a purchase or conversion, exercise or exchange price that is less than the exercise price of the Adjusting Warrants then in effect at any time. Under the full ratchet anti-dilution adjustments, if the Company issued new securities at a price lower than the then applicable exercise price, (i) the exercise price is reduced to the lower new issue price and (ii) the number of warrant shares is proportionately increased. The Adjusting Warrants have been previously adjusted following past issuances of Company securi
ties. On April 18, 2024, there were approximately
67,000
Adjusting Warrants exercisable at an exercise price of $
147.27
, tha
t were repurchased for $
3.6
million cash and subsequently cancelled. Additionally, on April 12, 2024, the Company issued
approximately
85,500
warrants in aggregate at an exercise price of $
11.68
per warrant in connection with repurchasing the Adjusting Warrants. The Company recorded an expense of $
743,462
as Warrant settlement expense on the unaudited Condensed Statement of Operations and Comprehensive Income.
The expense represents the estimated fair value of the warrants at the issuance date and was determined using the Black Scholes model using the following inputs:
Inputs
Expected stock price volatility
154.5
%
Dividend yield
0
%
Risk-free interest rate
4.75
%
Expected life of the warrants (in years)
2.75
NOTE 12. SERIES A PREFERRED STOCK
Holders of Series A Preferred Stock are entitled to cumulative dividends at a rate of
8
% per annum when and if declared by the Board of Directors at its sole discretion. The dividends may be paid in cash or in the form of common stock (valued at
10
% below market price, but not to exceed the lowest closing price during the applicable measurement period), at the discretion of the Board of Directors. The dividend rate on the Series A Preferred Stock is indexed to the Company's stock price and subject to adjustment.
The Series A Preferred Stock may be converted into shares of common stock at the option of the Company if the closing price of the common stock exceed
s $
23.2
billion, adjusted for reverse stock splits, for
twenty
consecutive trading days, or by the holder at any time. The Company has the right t
o redeem the Series A Preferred Stock at a price of $
8.00
per share, plus any accrued and unpaid dividends, plus the make-whole amount (if applicable). At
September 30, 2025
, the preferred shares were not eligible for conversion to common shares at the option of the Company. The holder of the preferred shares may convert to common shares at any time. After making adjustment for the Company’s prior reverse stock splits, all
48,100
outstanding Series A preferred shares are convertible into less than
one
common share. Upon any conversion (whether at the option of the Company or the holder), the holder is entitled to receive any accrued but unpaid dividends.
Except as otherwise required by law (or with respect to approval of certain actions), the Series A Preferred Stock shall have no voting rights. Upon any liquidation, dissolution or winding up of the Company, after payment or provision for payment of debts and other liabilities of the Company, the holders of Series A Preferred Stock shall be entitled to receive, pari passu with any distribution to the holders of common stock of the Company, an amount equal to $8.00 per share of Series A Preferred Stock plus any accrued and unpaid dividends.
As of September 30, 2025
, there were
48,100
shares of Series A Preferred Stock outstanding and accrued and unpaid dividends of
$
599,647
.
NOTE 13. SERIES 1C PREFERRED STOCK
On October 17, 2024, the Company entered into a securities purchase agreement with accredited investors
for a convertible preferred stock financing for approximately $
1.9
million of gross proceeds and will issue approximately
1,900
shares of Series 1C convertible preferred stock (“Series 1C Preferred Stock”) at a purchase price of $
1,000
per share.
Approximately
75
% of these securities were purchased by officers, directors and advisory board members of the Company.
Through September 30, 2025, the Company received approximately $
815,000
of gross proceeds and continues to work with the investors to collect the remaining balance.
Holders of the Series 1C Preferred Stock are entitled to dividends on the per share stated value in the amount of
10
% per annum, payable quarterly. The dividend rate increases to
15
% if any of the Series 1C Preferred Stock remains outstanding on or after October 17, 2027. Unless the Company elects to pay dividends on the Series 1C Preferred Stock in cash, the Company will cumulate the dividends, in which case the accrued dividen
d amount shall be added to the stated value of each share of Series 1C Preferred Stock. The Company had accrued dividends of
$
77,341
as of September 30, 2025. The stated value was approximately
$
1,957,341
as of September 30, 2025.
The Series 1C Preferred Stock is convertible into common stock at any time after April 17, 2025 at the option of the holder at an initial fixed conversion price of $
2.50
per share of common stock; however, the holder may not convert any portion to the extent that the holder would beneficially own more than
4.99
% of the Company's outstanding shares of Common Stock outstanding immediately after giving effect to the conversion.
If at any time the closing sale price of the Company’s common stock equals at least
300
% of the conversion price for the most recent
20
consecutive trading days, the Company shall have the right to redeem all, but not less than all, of the Series 1C Preferred Stock then outstanding in cash at a price equal to
110
% of the stated value of the shares being redeemed.
Upon our liquidation, dissolution or winding up, holders of Series 1C Preferred Stock shall be entitled to receive in cash out of the assets of the Company, before any amount shall be paid to the holders of any of shares of common stock, an amount per share of Series 1C Preferred Stock equal to the greater of (A)
110
% of the stated value of such preferred share and (B) the amount per share such holder would receive if such holder converted such preferred share into common stock immediately prior to the date of such payment.
On any matter presented to the stockholders of the Company for their action or consideration at any meeting of stockholders of the Company (or by written consent of stockholders in lieu of meeting), each holder of outstanding shares of Series 1C Preferred Stock shall be entitled to cast the number of votes equal to the number of whole shares of common stock into which the outstanding shares of Series 1C Preferred Stock held by such holder are convertible as of the record date (but only after giving effect to the maximum percentage conversion limitations referred to above). Except as provided by law or by the other provisions of the Series 1C Preferred Stock, holders of Series 1C Preferred Stock shall vote together with the holders of common stock as a single class and on an as-converted to common stock basis.
NOTE 14. STOCKHOLDERS’ EQUITY (DEFICIT)
Common Stock
At September 30, 2025
, the Company had
200
million shares of common stock, $
0.0001
par value
(“Common Stock”)
, authorized for issuance. Each share of Common Stock has the right to
one
vote. As of
September 30, 2025, the Company had
3,479,149
shares of Common Stock outstanding. The Company has not declared or paid any dividends related to the Common Stock during the nine months ended September 30, 2025 and 2024.
Public Offering
On June 30, 2025, the Company closed a public offering (the “Offering”) and issued an aggregate of (i)
507,000
shares (the “Shares”) of common stock, par value $
0.0001
per share, of the Company, (ii)
493,000
pre-funded warrants (the “Pre-Funded Warrants”) to purchase up to
493,000
shares of Common Stock (the “Pre-Funded Warrant Shares”), and (iii)
1,000,000
warrants to purchase up to
1,000,000
shares of Common Stock (“Warrants”). Each Share or Pre-Funded Warrant was sold together with
one
Warrant to purchase
one
share of Common Stock. The combined offering price for each Share and Warrant was $
2.00
, and the combined offering price for each Pre-Funded Warrant and accompanying Warrant was $
1.9999
, resulting in gross proceeds of approximately $
2.0
million (net proceeds of approximately $
1.6
million), of which, $
260,000
was received on July 1, 2025. The Pre-Funded Warrants have an exercise price of $
0.0001
per share, be exercisable immediately and will expire when exercised in full. Each Warrant has an exercise price of $
2.00
per share and will be immediately exercisable. The Warrants will expire on the five-year anniversary of the date of issuance.
Pursuant to an engagement agreement (as amended, the “Engagement Agreement”) with H.C. Wainwright & Co., LLC (the “Placement Agent”), the Company paid the Placement Agent in connection with the Offering (i) a cash fee equal to
7.0
% of the aggregate gross proceeds received in the Offering, (ii) a management fee equal to
1.0
% of the aggregate gross proceeds received in the Offering, and (iii) reimbursement of up to $
100,000
for
legal fees and expenses and other out of pocket expenses. Also pursuant to the Engagement Agreement, the Company, in connection with the Offering, issued to the Placement Agent or
its
designees warrants (the “Placement Agent Warrants”) to purchase up to an aggregate of
70,000
shares of Common Stock (the “Placement Agent Warrant Shares”). The Placement Agent Warrants have an exercise price of $
2.50
per share (which represents
125
% of the combined public offering price per Share and accompanying Warrants), will expire on
June 27, 2030
, and will be exercisable upon issuance.
The $
2.0
million was allocated between the Common Stock or Pre-Funded Warrants and Common Stock Warrants purchased based on the relative fair value of these instruments.
The fair value of the Common Stocks or Pre-Funded Warrants was determined using the closing price of the stock at close of the Offering (Level 1 on the fair value hierarchy) and the fair value of the Warrants was determined using the Black Scholes model using the following inputs (Level 2 on the fair value hierarchy):
Inputs
Expected stock price volatility
156.5
%
Dividend yield
0
%
Risk-free interest rate
3.7
%
Expected life of the options (in years)
2.5
All
493,000
Pre-Funded Warrants were exercised during the nine months ended September 30, 2025, and
no
Pre-Funded Warrants remain outstanding.
At The Market Offering
On May 16, 2024, the Company entered into an At The Market Offering Agreement (the “ATM Agreement”) with H.C. Wainwright & Co., LLC, as sales agent (“Wainwright”), to sell shares of its common stock, par value $
0.0001
per share (the “Shares”), through an “at the market offering” program under which Wainwright will act as sales agent. The sales, if any, of the Shares made under the ATM Agreement will be made by any method permitted by law deemed to be an “at the market offering” as defined in Rule 415 promulgated under the Securities Act of 1933, as amended (the “Securities Act”), including sales made directly on or through the Nasdaq Capital Market or on any other existing trading market for the Company’s common stock.
The Company will pay Wainwright a commission rate equal to
3.0
% of the aggregate gross proceeds from each sale of Common Stock and will also reimburse Wainwright for certain specified expenses in
connection with entering into the ATM Agreement, including certain fees and out-of-pocket expenses of its legal counsel.
During the nine months ended September 30, 2025
, the Company sold
1,022,434
shares of common stock at an average price of $
2.53
per share, resulting in aggregate gross proceeds of approximately $
2.6
million.
Preferred Stock
At September 30, 2025
, the Company had
25
million shares of preferred stock, $
0.0001
par value, authorized for issuance. Preferred stock may be issued in classes or series. Designations, powers, preferences, rights, qualifications, limitations and restrictions are determined by the Company’s Board of Directors.
Warrants
As of September 30, 2025, there are approximate
ly
1,213,000
outstanding warrants with exercise prices between $
2
an
d $
74,086
per share.
Series A Preferred Stock
Refer to Note 12 for information on Series A Preferred Stock.
Series 1C Preferred Stock
Refer to Note 13 for information on Series 1C Preferred Stock.
In January 2024, the Company granted
4,590
shares of restricted stock units to employees and directors. One third of these shares vested on
March 31, 2024
and one third vested on
January 1, 2025
. The remaining unvested shares will vest on
January 1, 2026
. The Company also granted members of our advisory board an aggregate of
200
shares of restricted stock units. The advisory shares originally vested pro rata on
June 30, 2024
and
January 1, 2025
.
The Company had a total of
1,530
unvested units as of
September 30, 2025 that are expected to vest in the future. Total unrecognized share-based compensation expense from the remaining unvested restricted stock as of September 30, 2025
was approximately $
168,000
and is expected to be recognized over
three months
.
The following table summarizes non-vested restricted stock and the related activity as of
September 30, 2025:
Shares
Weighted Average Grant Date Fair Value
Non-vested at January 1, 2025
3,188
$
250.32
Granted
-
-
Vested
(
1,648
)
328.55
Forfeited
(
10
)
77.00
Non-vested at September 30, 2025
1,530
$
153.99
The fair values of the respective vesting dates of RSUs were approximately $
5,100
and
$
7,143
for the nine months ended September 30, 2025 and 2024, respectively.
In August 2024, the Company granted
124,850
stock options expiring
10
years from the date of grant to employees, directors, and advisory board members.
One third of these options vested on September 15, 2024, and another one third vested on August 21, 2025. The remaining unvested options will vest on August 21, 2026.
The weighted average remaining contractual term for these options at September 30, 2025, was approximately
9
ye
ars. Based on the Black-Scholes option pricing model, the options estimated weighted average fair values at the date of grant of $
4.15
per share.
The fair values were estimated using the following weighted average assumptions:
Inputs
Expected stock price volatility
188.87
%
Dividend yield
0
%
Risk-free interest rate
3.64
%
Expected life of the options (in years)
5.5
In June 2025, the Company granted
506,000
stock options terminating
10
years from the date of grant to employees, directors, and advisory board members.
One third of these options vested on June 20, 2025. The remaining unvested options vest pro rata on May 28, 2026 and May 29, 2027.
The weighted average remaining contractual term for these options at September 30, 2025, was approximately
9.7
y
ears. Based on the Black-Scholes option pricing model, the options estimated weighted average fair values at the date of grant of $
1.63
per share.
The fair values were estimated using the following weighted average assumptions:
Inputs
Expected stock price volatility
83.75
%
Dividend yield
0
%
Risk-free interest rate
4.01
%
Expected life of the options (in years)
5.5
The Company had a total
of
379,530
unvested options as of September 30, 2025 that are expected to vest in the future. Total unrecognized share based compensation expense from the remaining unvested options as of September 30, 2025 was approximately
$
511,256
and is expected to be recognized over approximately
1.7
years. The Company had approximat
ely
251,320
ex
ercisable options as of September 30, 2025
.
The following table summarizes options activity as of
September 30, 2025:
Shares
Weighted Average Exercise Price
Stock Options Outstanding at January 1, 2025
124,850
$
4.15
Granted
506,000
1.63
Exercised
-
-
Forfeited / Expired
(
1,170
)
4.15
Stock Options Outstanding at September 30, 2025
629,680
$
1.91
The Company utilized the simplified method for estimating the stock options granted as the Company has experienced significant changes in its business and the historical data may not provide a reasonable basis upon which to estimate expected term.
NOTE 16. COMMITMENTS AND CONTINGENCIES
The Company is subject to various legal proceedings, both asserted and unasserted, that arise in the ordinary course of business. The Company cannot predict the ultimate outcome of such legal proceedings or in certain instances provide reasonable ranges of potential losses. However, as of the date of this report, the Company believes that none of these claims will have a material adverse effect on its financial position or results of operations. In the event of unexpected subsequent developments and given the inherent unpredictability of these legal proceedings, there can be no assurance that the Company’s assessment of any claim will reflect the ultimate outcome, and an adverse outcome in certain matters could, from time to time, have a material adverse effect on the Company’s financial position or results of operations in particular quarterly or annual periods.
Item 2. Management’s Discussion and Analysis o
f Financial Condition and Results of Operations
The following discussion of our financial condition and results of operations should be read in conjunction with our unaudited financial statements and the notes to those financial statements appearing elsewhere in this Form 10-Q and our audited financial statements and related notes thereto included in our Annual Report on Form 10-K for the year ended December 31, 2024 which was filed with the SEC on March 31, 2025. This discussion and analysis contains statements of a forward-looking nature relating to future events or our future financial performance. As a result of many factors, our actual results may differ materially from those anticipated in these forward-looking statements. These statements involve known and unknown risks, uncertainties and other factors that may cause our actual results, levels of activity, performance or achievements to be materially different from any future results, levels of activity, performance or achievements expressed or implied by these forward-looking statements. You should carefully read the “Risk Factors” section of this Quarterly Report and of our Annual Report on Form 10-K for the year ended December 31, 2024 to gain an understanding of the important factors that could cause actual results to differ materially from our forward-looking statements. Please also see the section entitled “Forward-Looking Statements.”
Overview
We are a solar technology company that manufactures and sells PV solar modules that are flexible, durable, and possess attractive power to weight and power to area performance. Our technology provides renewable power solutions to high-value production and specialty solar markets where traditional rigid solar panels are not suitable, including space power beaming, aerospace, satellites, near earth orbiting vehicles, fixed wing UAV, aquatic terrestrial, and agrivoltaics. We operate in these target markets because they have highly specialized needs for power generation and offer attractive pricing due to the significant technological requirements.
We believe the value proposition of Ascent’s proprietary solar technology not only aligns with the needs of customers in our target markets, but also overcomes many of the obstacle’s other solar technologies face in space, aerospace and other markets. Ascent designs and develops finished products for end users in these areas and collaborates with strategic partners to design and develop integrated solutions for products like satellites, spacecraft, airships and UAV. Ascent sees significant overlap in the needs of end users across some of these markets and believes it can achieve economies of scale in sourcing, development, and production in commercializing products for these customers.
The integration of Ascent's solar modules into space, near space, and aeronautic vehicles with ultra-lightweight and flexible solar modules is an important market opportunity for the Company. Customers in this market have historically required a high level of durability, high voltage and conversion efficiency from solar module suppliers, and we believe our products are well suited to compete in this premium market and will fill a void in the satellite market with a lower cost, lighter module and a product that, if struck by an object in space, will create limited space debris.
For the nine months ended September 30, 2025, we generated $61,134 of total revenue. As of September 30, 2025, we had an accumulated deficit of $497,370,043.
Due to the high durability enabled by the monolithic integration employed by our technology, the capability to customize modules into different form factors and what we believe is the industry leading light weight and flexibility provided by our modules, we believe that the potential applications for our products are extensive, including integrated solutions anywhere that may need power generation such as power beaming solutions, vehicles in space or in flight or dual-use installations on agricultural land.
Commercialization and Manufacturing Strategy
We manufacture our products by affixing a thin CIGS layer to a flexible, plastic substrate using a large format, roll-to-roll process that permits us to fabricate our flexible PV modules in an integrated sequential operation. We use proprietary monolithic integration techniques which enable us to form complete PV modules with little to no costly back-end assembly of inter-cell connections. Traditional PV manufacturers assemble PV modules by bonding or soldering discrete PV cells together. This manufacturing step typically increases manufacturing costs and, at times, proves detrimental to the overall yield and reliability of the finished product. By reducing or eliminating this added step, using our proprietary monolithic integration techniques, we believe we can achieve cost savings in, and increase the reliability of, our PV modules.
We plan to continue the development of our current PV technology to increase module efficiency, improve our manufacturing tooling and process capabilities and reduce manufacturing costs.
Significant Trends, Uncertainties and Challenges
We believe the significant trends, uncertainties and challenges that directly or indirectly affect our financial performance and results of operations include:
•
Our ability to generate customer acceptance of and demand for our products;
•
Successful ramping up of commercial production on the equipment installed;
•
The substantial doubt about our ability to continue as a going concern due to our history of operating losses;
•
Our products are successfully and timely certified for use in our target markets;
•
Successful operating of production tools to achieve the efficiencies, throughput and yield necessary to reach our cost targets;
•
The products we design are saleable at a price sufficient to generate profits;
•
Our ability to raise sufficient capital to enable us to reach a level of sales sufficient to achieve profitability on terms favorable to us;
•
Effective management of the planned ramp up of our domestic and international operations;
•
Our ability to successfully develop and maintain strategic relationships with key partners, including OEMs, system integrators, and distributors, who deal directly with end users in our target markets;
•
Our ability to maintain the listing of our common stock on the Nasdaq Capital Market;
•
Our ability to maintain effective internal controls over financial reporting;
•
Our ability to achieve projected operational performance and cost metrics;
•
Our ability to enter into commercially viable licensing, joint venture, or other commercial arrangements; and
•
Availability of raw materials.
Basis of Presentation:
The accompanying unaudited condensed financial statements have been derived from the accounting records of Ascent Solar Technologies, Inc. as of September 30, 2025 and December 31, 2024, and the results of operations for the three and nine months ended September 30, 2025 and 2024.
Critical Accounting Policies and Estimates
Critical accounting policies used in reporting our financial results are reviewed by management on a regular basis. The preparation of these financial statements requires us to make estimates and judgments that affect the reported amounts of assets, liabilities, revenues and expenses and related disclosure of contingent assets and liabilities. Processes used to develop these estimates are evaluated on an ongoing basis. Estimates are based on historical experience and various other assumptions that are believed to be reasonable for making judgments about the carrying value of assets and liabilities. Actual results may differ as outcomes from assumptions may change.
The Company’s significant accounting policies were described in Note 2 to the audited financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2024. There have been no significant changes to our accounting policies as of September 30, 2025.
Comparison of the Three Months Ended September 30, 2025 and 2024
Three Months Ended
September 30,
2025
2024
$ Change
Revenues
Products
$
28,549
$
8,550
$
19,999
Costs and Expenses
Cost of Revenue
88,991
76,796
12,195
Research, development and
manufacturing operations
620,572
603,534
17,038
Selling, general and administrative
1,003,396
1,216,976
(213,580
)
Share-based compensation
259,442
354,410
(94,968
)
Depreciation and amortization
23,831
17,730
6,101
Total Costs and Expenses
1,996,232
2,269,446
(273,214
)
Loss From Operations
(1,967,683
)
(2,260,896
)
293,213
Other Income/(Expense)
Other income/(expense), net
(42,290
)
742,162
(784,452
)
Interest Expense
(12,292
)
(170,838
)
158,546
Total Other Income/(Expense)
(54,582
)
571,324
(625,906
)
Income/(Loss) on Equity Method Investments
625
(1,295
)
1,920
Net (Loss)/Income
$
(2,021,640
)
$
(1,690,867
)
$
(330,773
)
Total Revenues.
Our total revenues increased by $19,999, or 234%, for the three months ended September 30, 2025 when compared to the same period in 2024. This is primarily due to more orders in the current period compared to prior period.
Cost of revenue.
Cost of revenues is primarily comprised of repair and maintenance, material costs, and direct labor and overhead expenses. Our Cost of revenues increased by $12,195, or 16%, for the three months ended September 30, 2025 when compared to the same period in 2024.
This increase is primarily due to the increase in sales.
Research, development and manufacturing operations.
Research, development and manufacturing operations costs include costs incurred for product development, pre-production and production activities in our manufacturing facility. Research, development and manufacturing operations costs also include costs related to technology development. Research, development and manufacturing operations costs increased by $17,038, or 3%, for the three months ended September 30, 2025 when compared to the same period in 2024. This is primarily due to an increase in research and development cost as the Company continued to focused on product and technology improvements in the current period.
Selling,
general and administrative.
Selling, general and administrative expenses decreased by $213,580, or 18% for the three months ended September 30, 2025 compared to the same period in 2024. This decrease is primarily due to lower personnel and professional service costs incurred in the current period compared to the prior period.
Share-based compensation.
Share-based compensation expense decreased by $94,968 or 27% for the three months ended September 30, 2025 when compared to the same period in 2024. The decrease is primarily due to less RSU awards and stock option being expensed for the three months ended September 30, 2025.
Other Income/Expense.
Other expense was $54,582 for the three months ended September 30, 2025, compared to other income of $571,324 for the same period in 2024, a decrease of $625,906. This decrease is primarily due to a decrease in other income, partially offset by decreased interest expense. During three months ended September 30, 2024, the other income included gain on settlement of liabilities, and the reversal of a Swiss liability.
Net Loss.
Our Net Loss increased by $330,773, or 20%, for the three months ended September 30, 2025 compared to the same period in 2024 due primarily to the items mentioned above.
Comparison of the Nine Months Ended September 30, 2025 and 2024
Nine Months Ended
September 30,
2025
2024
$ Change
Revenues
Product Revenue
$
61,134
$
41,893
$
19,241
Costs and Expenses
Cost of Revenue
141,715
147,708
(5,993
)
Research, development and
manufacturing operations
1,795,163
1,716,766
78,397
Selling, general and administrative
2,994,072
3,888,455
(894,383
)
Share-based compensation
875,168
799,345
75,823
Depreciation and amortization
58,184
57,139
1,045
Impairment loss
-
524,481
(524,481
)
Total Costs and Expenses
5,864,302
7,133,894
(1,269,592
)
Loss From Operations
(5,803,168
)
(7,092,001
)
1,288,833
Other Income/(Expense)
Other Income/(Expense), net
82,491
768,496
(686,005
)
Warrant settlement
-
(743,462
)
743,462
Interest Expense
(39,702
)
(604,473
)
564,771
Total Other Income/(Expense)
42,789
(579,439
)
622,228
Income/(Loss) on Equity Method Investments
(954
)
(2,996
)
2,042
Net (Loss)/Income
$
(5,761,333
)
$
(7,674,436
)
$
1,913,103
Total Revenues.
Our total revenues increased by $19,241, or 46%, for the nine months ended September 30, 2025 when compared to the same period in 2024. This is primarily due to more orders in the current period compared to prior period.
Cost of revenue.
Cost of revenues is primarily comprised of repair and maintenance, material costs, and direct labor and overhead expenses. Our Cost of revenues decreased by $5,993, or 4%, for the nine months ended September 30, 2025 when compared to the same period in 2024. This decrease is primarily due to lower overhead expenses in the current year.
Research, development and manufacturing operations.
Research, development and manufacturing operations costs include costs incurred for product development, pre-production and production activities in our manufacturing facility. Research, development and manufacturing operations costs also include costs related to technology development. Research, development and manufacturing operations costs increased by $78,397, or 5%, for the nine months ended September 30, 2025 when compared to the same period in 2024. This is primarily due to an increase in research and development cost as the Company continued to focused on product and technology improvements in the current period.
Selling,
general and administrative.
Selling, general and administrative expenses decreased by $894,383, or 23% for the nine months ended September 30, 2025 compared to the same period in 2024. This decrease is primarily due to lower personnel and professional service costs incurred in the current period compared to the prior period.
Share-based compensation.
Share-based compensation expense increased by $75,823 or 9% for the nine months ended September 30, 2025 when compared to the same period in 2024. The increase is primarily due to Company's option grant to employees, directors, and advisory board in August 2024 and June 2025, partially offset by less RSU expenses in current period.
Other Income/Expense.
Other income was $42,789 for the nine months ended September 30, 2025, compared to other expense of $579,439 for the same period in 2024, an increase of $622,228. The increase is due primarily to the warrant settlement expense to terminate warrant agreements with certain investors in prior period that did not repeat in current period and decreased interest expense as the December 2022 convertible debt and bridge loans were repaid in 2024. These changes
were partially offset by decreased other income in the current year as, during the nine months ended September 30, 2024, other income included a gain on settlement of liabilities, and the reversal of a Swiss liability.
Net Loss.
Our Net Loss decreased by $1,913,103, or 25%, for the nine months ended September 30, 2025 compared to the same period in 2024 due primarily to the items mentioned above.
Liquidity and Capital Resources
The Company continues to build industrial scale production capabilities in its Thornton facility and focus on its research and development activities to improve its PV products. The Company does not expect that sales revenue and cash flows will be sufficient to support operations and cash requirements until it has fully implemented its strategy of selling high value PV products and manufacturing at full industrial scale. During the nine months ended September 30, 2025 the Company used $5,097,082 in cash for operations.
Additionally, projected total revenues are not anticipated to result in a positive cash flow position for the year overall and, as of September 30, 2025, and while the Company has working capital of $504,071, Management believes that additional financing will be required for the Company to reach a level of sufficient sales to achieve profitability.
The Company continues to accelerate sales and marketing efforts related to its specialty PV application strategies through expansion of its sales and distribution channels. The Company also continues activities to secure additional financing through strategic or financial investors, but there is no assurance the Company will be able to raise additional capital on acceptable terms or at all. If the Company's revenues do not increase rapidly, and/or additional financing is not obtained, the Company will be required to significantly curtail operations to reduce costs and/or sell assets. Such actions would likely have an adverse impact on the Company's future operations.
As a result of the Company’s recurring losses from operations, and the need for additional financing to fund its operating and capital requirements, there is uncertainty regarding the Company’s ability to maintain liquidity sufficient to operate its business effectively, which raises substantial doubt as to the Company’s ability to continue as a going concern.
Management cannot provide any assurances that the Company will be successful in accomplishing any of its plans. These financial statements do not include any adjustments that might be necessary should the Company be unable to continue as a going concern.
Statements of Cash Flows Comparison of the nine months ended September 30, 2025
and
2024
For the nine months ended September 30, 2025, our cash used in operations was $5,097,082 compared to $6,897,159 for the nine months ended September 30, 2024, a decrease of $1,800,077. This decrease is due primarily to timing of cash outflows and decreased expenses. The nine months ended September 30, 2025 net cash used in operations of $5,097,082 were primarily funded from 2024 and 2025 financing agreements. For the nine months ended September 30, 2025, cash used in investing activities was $107,015 compared to $421 used in investing activities in the prior period. The increase was primarily due to the purchase of a cost investment and fixed assets. For the nine months ended September 30, 2025, our cash provided by financing activities was $4,127,372 compared to $9,570,393 in the prior period, a decrease of $5,443,021. Cash provided by financing activities in 2025 was primarily derived from the selling common stock under the ATM agreement and a public offering partially offset by the bridge loan repayments. During the nine months ended September 30, 2024, cash provided by financing activities was primarily derived from a public offering, a series of bridge loans, and common stock sales from our ATM agreement partially offset by the loan repayments, warrant repurchase, and repayment of conversions payables associated with a December 2022 offering.
Off Balance Sheet Transactions
As of September 30, 2025, we did not have any off-balance sheet arrangements as defined in Item 303(a)(4)(ii) of Regulation S-K.
Smaller Reporting Company Status
We are a “smaller reporting company” meaning that the market value of our stock held by non-affiliates is less than $700 million and our annual revenue was less than $100 million during the most recently completed fiscal year. We may continue to be a smaller reporting company if either (i) the market value of our stock held by non-affiliates is less than $250 million or
(ii) our annual revenue was less than $100 million during the most recently completed fiscal year and the market value of our stock held by non-affiliates is less than $700 million. As a smaller reporting company, we may rely on exemptions from certain disclosure requirements that are available to smaller reporting companies. Specifically, as a smaller reporting company we may choose to present only the two most recent fiscal years of audited financial statements in our Annual Report on Form 10-K and smaller reporting companies have reduced disclosure obligations regarding executive compensation.
Item 3. Quantitative and Qualitati
ve Disclosures About Market Risk
Foreign Currency Exchange Risk
Although our reporting currency is the U.S. Dollar, we may conduct business and incur costs in the local currencies of other countries in which we may operate, make sales and buy materials. As a result, we are subject to currency translation risk. Further, changes in exchange rates between foreign currencies and the U.S. Dollar could affect our future net sales and cost of sales and could result in exchange losses.
We currently do not engage in hedging transactions to reduce our exposure to changes in currency exchange rates, although, we may do so in the future.
We hold no significant funds and have no significant future obligations denominated in foreign currencies as of September 30, 2025.
Interest Rate Risk
Our exposure to market risks for changes in interest rates relates primarily to our cash equivalents and investment portfolio. As of September 30, 2025, our cash equivalents consisted of operating accounts held with financial institutions and investments in money market funds. From time to time, we hold restricted funds, money market funds, investments in U.S. government securities and high-quality corporate securities. The primary objective of our investment activities is to preserve principal and provide liquidity on demand, while at the same time maximizing the income we receive from our investments without significantly increasing risk. The direct risk to us associated with fluctuating interest rates is limited to our investment portfolio, and we do not believe a change in interest rates will have a significant impact on our financial position, results of operations, or cash flows.
Item 4. Control
s and Procedures
Evaluation of Disclosure Controls and Procedures
We maintain disclosure controls and procedures designed to ensure that information required to be disclosed in our reports filed or submitted under the Securities Exchange Act of 1934, as amended (the “Exchange Act”) is recorded, processed, summarized and reported within the time periods specified in Securities and Exchange Commission rules and forms. Our disclosure controls and procedures include, without limitation, controls and procedures designed to ensure that information required to be disclosed in our reports filed under the Exchange Act is accumulated and communicated to management as appropriate to allow timely decisions regarding required disclosures. Our management conducted an evaluation required by Rules 13a-15 and 15d-15 under the Exchange Act of the effectiveness of our disclosure controls and procedures as defined in Rules 13a-15 and 15d-15 under the Exchange Act as of September 30, 2025. Based on this evaluation, our management concluded the design and operation of our disclosure controls and procedures were effective as of September 30, 2025.
Changes in Internal Control Over Financial Reporting
There were no changes in internal control over financial reporting during the nine months ended September 30, 2025 that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.
From time to time, we may become involved in legal proceedings arising in the ordinary course of our business. Except as discussed in Note 16 to the financial statements, there were no events required to be reported under Item 1 for the nine months ended September 30, 2025, within Part II, Item 1 of this report.
Item 1A. Ri
sk Factors
In addition to the information set forth in this Form 10-Q, you should carefully consider the risk factors disclosed under the heading “Risk Factors” in Part I, Item 1A of our Annual Report on Form 10-K for the year ended December 31, 2024. Except as set forth below, there have been no material changes to our risk factors from those included in our Annual Report on Form 10-K for the year ended December 31, 2024.
As long as our executive officers, board members and advisory board members, in the aggregate, maintain their current holdings of our equity securities, they will be able to significantly influence all matters requiring stockholder approval.
Upon completion of the Series 1C Preferred Stock funding, executive officers, directors, and advisory board members hold an aggregate of approximately 1,900 shares of Series 1C Preferred Stock. The Series 1C Preferred Stock is entitled to vote along with our common stock on an as-converted to common basis. As of November 10, 2025, the shares of Series 1C Preferred Stock owned by such executive officers, directors and advisors (after giving effect to the 4.99% maximum percentage conversion limitations contained in the Series 1C Preferred Stock terms) would be entitled to cast, in the aggregate, approximately 10.9% votes on any matter to be considered by stockholders for approval at any meeting of stockholders of the Company (or by written consent of stockholders in lieu of meeting), based upon approximately 3,479,149 shares of common stock currently outstanding. These executive officers, directors, and advisors, therefore, will, for the foreseeable future, have significant influence over our management and affairs, and will be able to significantly influence all matters requiring stockholder approval, including the election of directors and significant corporate transactions such as mergers or sales of our Company or assets.
Item 2. Unregistered Sales of Equi
ty Securities and Use of Proceeds
There were no unregistered sales of equity securities of the Company during the period covered by this quarterly report which were not previously reported in a (i) Current Report on Form 8-K or (ii) Quarterly Report on Form 10-Q.
Issuer Purchases of Equity Securities
We did not repurchase any of our equity securities during the nine months ended September 30, 2025.
Item 3. Defaults Upo
n Senior Securities
Not applicable.
Item 4. Mine Saf
ety Disclosures
Not applicable.
Item 5. Other
Information
Rule 10b5-1 Sales Plans
Our policy governing transactions in our securities by directors, officers, and employees permits our officers, directors, and certain other persons to enter into trading plans complying with Rule 10b5-1 under the Exchange Act. Generally, under these trading plans, the individual relinquishes control over the transactions once the trading plan is put into place and can only put such plans into place while the individual is not in possession of material non-public information. Accordingly, sales under these plans may occur at any time, including possibly before, simultaneously with, or immediately after significant events involving our company.
Inline XBRL Instance Document – the instance document does not appear in the Interactive Data File because XBRL tags are embedded within the Inline XBRL document.
101.SCH
Inline XBRL Taxonomy Extension Schema Document
104
Cover Page Interactive Data File (embedded within the Inline XBRL document)
*
Filed herewith
CTR
Portions of this exhibit have been omitted pursuant to a request for confidential treatment.
†
Denotes management contract or compensatory plan or arrangement.
+
Certain portions of the exhibit have been omitted pursuant to Rule 601(b)(10) of Regulation S-K. The omitted information is (i) not material and (ii) would likely cause competitive harm to the Company if publicly disclosed.
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized on the 10th day of November, 2025.
Customers and Suppliers of Ascent Solar Technologies, Inc.
Beta
No Customers Found
No Suppliers Found
Bonds of Ascent Solar Technologies, Inc.
Price Graph
Price
Yield
Insider Ownership of Ascent Solar Technologies, Inc.
company Beta
Owner
Position
Direct Shares
Indirect Shares
AI Insights
Summary Financials of Ascent Solar Technologies, Inc.
Beta
(We are using algorithms to extract and display detailed data. This is a hard problem and we are working continuously to classify data in an accurate and useful manner.)