Energy Focus Inc (NASDAQ:EFOI) reported a fourth-quarter net sales decline of 35.8% year-over-year to $2.41 million.
- The gross margin for the quarter fell to 7.9% from 38.3% in 4Q20. Adjusted gross margin was 14.7% for Q4 compared to 27.7% in 4Q20 and 17.9% in Q3 FY21.
- Loss from operations expanded to $(2.36) million versus $(0.9) million a year ago.
- EPS loss fell to $(0.50) compared to $0.01 in 4Q20.
- Adjusted EBITDA for the quarter was a loss of $(2.2) million versus $(0.8) million in 4Q20 and $(1.7) million in 3Q21.
- Energy Focus' net cash used in operating activities for the quarter totaled $1.34 million. It held cash of $2.7 million as of December 31, 2021.
- "As we move forward, we continue to focus on improving our gross and operating margins through innovation, as well as value add and value engineering work at the cost of goods sold level, and management rigor at the sales and operating levels," said Stephen Socolof, Interim CEO and Lead Independent Director.
- The company noted its board had begun a search for a permanent CEO. On January 11, 2022, the company appointed Socolof to serve as Interim CEO, replacing James Tu.
- Price Action: EFOI shares are trading lower by 11.8% at $1.34 during the market session on Thursday.
