Odyssey Semiconductor Technologies Announces Second Quarter 2022 Results


Achieved over 1000 volt threshold as part of vertical GaN power device development
Validated process for large-scale device fabrication which will be used to package devices planned for Q4 2022


ITHACA, N.Y., August 9, 2022 – Odyssey Semiconductor Technologies, Inc. (OTCQB: ODII), a semiconductor device company developing innovative high-voltage, vertical power switching components based on proprietary Gallium Nitride (“GaN”) processing technology, today announced its second quarter 2022 results.


CEO Commentary


“Odyssey completed important technology development milestones in Q2,” said Mark Davidson, Odyssey’s Chief Executive Officer. “The team has made substantive progress in fabricating vertical GaN power transistors for high-performance and high-power conversion in key applications such as industrial motors, electric vehicles, and renewable energy. Our 1000+ volt milestone further validates our approach to deliver industry-leading efficiency with remarkably high switching frequencies at lower price points than more expensive alternatives, including silicon carbide. Odyssey is on-track to build Gen1 engineering product samples in Q4 2022.”


“We also expect a significant sequential revenue improvement in Q3 2022. Our foundry revenue will be approximately $195,000 in the third quarter vs. $20,581 in the second quarter of 2022. This revenue is generated from our foundry services which helps to offset our cash use while our products are being developed. We’re focused on re-building our foundry services revenue to approximately $300,000 per quarter or better. Our opportunity pipeline for foundry services has recently increased to approximately the $2 million level,” concluded Davidson.


Accomplished Technology Development and Business Milestones Recently


Odyssey has now validated its approach to a vertical 1000+ volt transistor while the Company is extending the architecture to the next milestone of a 1200 volt rating. The existing devices will provide industry-leading efficiency with remarkably low on-resistance at high switching frequencies for reduced solution size.
Validated process for large-scale device fabrication.
Secured commitments from three customers to evaluate Gen1 engineering product samples.
Generated a $2 million pipeline value for foundry services. Continue to close new opportunities in foundry services. Expect approximately $195,000 in foundry service revenue in Q3 2022, a significant sequential increase. Revenue of $20,581 in Q2 2022, entirely foundry service revenues.
Secured and received $1.25 million bridge loan financing. Completed filing of Form S-1.
Positioning the Company to receive funding through CHIPS Act.




Conference Call and Webcast: Q2 2022 Results


The Company will subsequently hold a conference call and webcast scheduled at 5:00 PM ET (2:00 PM PT) on Tuesday, August 9, 2022. The conference call and webcast will consist of prepared remarks by the CEO Mark Davidson and the Chairman of the Board John Edmunds to discuss the financial results and provide a business update. Following the prepared remarks, Mark and John will be joined by CTO, Board member, and co-founder Rick Brown for a question-and-answer session Analysts and investors may pose questions to Odyssey during the live webcast on August 9, 2022.


Interested persons may access the live conference call by dialing 800-267-6316 (U.S./Canada callers) or 203-518-9783 (international callers). It is recommended that participants call or login 10 minutes ahead of the scheduled start time to ensure proper connection. An audio replay will be available one hour after the live call until Midnight on August 23, 2022, by dialing 877-481-4010 using passcode 46312.


The live webcast and interactive Q&A will be accessed on the Company’s Investor Relations website under the Events tab at https://www.odysseysemi.com/investors/ir-calendar. The webcast will be archived on the website for future viewing.


About Odyssey Semiconductor Technologies, Inc.


Odyssey Semiconductor Technologies, Inc. (www.odysseysemi.com), has developed a proprietary technology that is designed to allow for GaN to replace SiC as the leading high-voltage power switching semiconductor material. Based in Ithaca, NY, the Company owns and operates a 10,000 sq. ft. semiconductor wafer manufacturing facility complete with a mix of class 1,000 and class 10,000 clean space as well as tools for advanced semiconductor development and production. Odyssey Semiconductor also offers a world-class semiconductor device development and foundry service.


Forward-Looking Statements


Statements in this press release that are not descriptions of historical facts are forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, but are not limited to, statements about our plans, objectives, forecasts, representations and contentions and are not historical facts and typically are identified by use of terms such as “may,” “will,” “should,” “could,” “expect,” “plan,” “forecast”, “anticipate,” “believe,” “estimate,” “predict,” “potential,” “continue” and similar words, although some forward-looking statements are expressed differently. These forward-looking statements are based on management’s current expectations and assumptions and are subject to risks and uncertainties described more fully in the company’s filings on Forms 10-K and 10-Q and other periodic filings with the Securities and Exchange Commission. Factors that could cause actual results to differ materially from those currently anticipated include, without limitation, risks relating to the results of our research and development activities, including uncertainties relating to semiconductor process manufacturing; the early stage of our GaN-based technology presently under development; our ability to protect our intellectual property rights that are valuable to our business, including patent and other intellectual property rights; our ability to successfully market and sell our technologies; the ability to achieve high volume manufacturing and the size and growth of the potential markets for any of our technologies, the rate and degree of market acceptance of any of our technologies and our ability to raise funding to support operations and the continued development and qualification of our technology.


In light of these risks, uncertainties and assumptions, the forward-looking statements regarding future events and circumstances discussed in this press release may not occur, and actual results could differ materially and adversely from those anticipated or implied in the forward-looking statements. You should not rely upon forward-looking statements as predictions of future events. The forward-looking statements included herein speak only as of the date hereof, and we undertake no obligation to update publicly or privately any forward-looking statements for any reason after the date of this release to conform these statements to actual results or to changes in our expectations.


Investor Relations Contacts:


Darrow Associates

Jeff Christensen

(703) 297-6917



Consolidated Financial Results


All financials referenced in this release are unaudited and intended to conform with U.S. Generally Accepted Accounting Principles (“GAAP”) and comparisons in this release are to the same period in the prior year unless otherwise noted.




   June 30,  December 31,
   2022  2021
Current Assets:          
Cash  $604,255   $2,598,213 
Accounts receivable   170    6,170 
Deferred expenses   61,959    7,870 
Prepaid expenses and other current assets   238,708    225,260 
Total Current Assets   905,092    2,837,513 
Restricted cash   103,224    103,201 
Property and equipment, net   1,051,237    853,290 
Operating ROU Asset   614,620     
Total Assets  $2,674,173   $3,794,004 
Liabilities and Stockholders’ Equity          
Current Liabilities:          
Accounts payable and accrued expenses  $353,370   $147,947 
Loan payable - short term   75,350    74,134 
Lease liability - short term portion   180,353     
Deferred revenue   75,000    10,000 
Total Current Liabilities   684,073    232,081 
Long-Term Lease Liability   417,602     
Loans payable - long term   307,935    345,459 
Total liabilities   1,409,610    577,540 
Commitments and contingencies        
Stockholders’ Equity:          
Preferred stock, $0.0001 par value, 5,000,000 shares authorized;
0 shares issued and outstanding as of June 30, 2022 and December 31, 2021
Common stock, $0.0001 par value, 45,000,000 shares authorized, 12,726,911 shares issued and outstanding as of June 30, 2022 and December 31, 2021   1,272    1,272 
Additional paid-in capital   10,383,144    9,873,345 
Accumulated deficit   (9,119,853)   (6,658,153)
Total Stockholders’ Equity   1,264,563    3,216,464 
Total Liabilities and Stockholders’ Equity  $2,674,173   $3,794,004 
See notes to these consolidated financial statements.






For The three and six months ended June 30,



   For The Three Months Ended  For The Six Months Ended
   June 30,  June 30,
   2022  2021  2022  2021
Revenues  $20,581   $287,153   $50,519   $518,122 
Cost of Revenues   23,097    361,417    54,096    744,270 
Gross Profit (Loss)   (2,516)   (74,264)   (3,577)   (226,148)
Operating Expenses:                    
Research and development   647,705    466,042    1,016,889    619,079 
Selling, general, and administrative   677,847    772,352    1,435,774    1,568,826 
Total Operating Expenses   1,325,552    1,238,394    2,452,663    2,187,905 
Loss From Operations   (1,328,068)   (1,312,658)   (2,456,240)   (2,414,053)
Other Income(Expense):                    
Forgiveness of PPP loan and other income   11    3,026    2,024    213,706 
Interest expense   (3,668)   (5,451)   (7,484)   (9,847)
Net Loss  $(1,331,725)  $(1,315,083)  $(2,461,700)  $(2,210,194)
Net (Loss) Income Per Share:                    
Basic  $(0.10)  $(0.10)  $(0.19)  $(0.18)
Diluted  $(0.10)  $(0.10)  $(0.19)  $(0.18)
Weighted Average Number of Common Shares Outstanding:                    
Basic   12,726,911    12,726,911    12,726,911    12,103,599 
Diluted   12,726,911    12,726,911    12,726,911    12,103,599 


See notes to these consolidated financial statements.




   For The Six Months Ended
   June 30,
   2022  2021
Cash Flows From Operating Activities:          
Net loss  $(2,461,700)  $(2,210,194)
Adjustments to reconcile net loss to net cash used in operating activities:                                
Stock-based compensation   509,799    1,215,396 
Forgiveness of PPP loan indebtedness       (210,680)
Depreciation and amortization   91,392    82,598 
Changes in operating assets and liabilities:          
Contract assets       62,273 
Accounts receivable   6,000    6,332 
Prepaid expenses and other current assets   (13,448)   (6,288)
Deferred expenses   (54,089)   163,302 
Accounts payable and accrued expenses   205,423    (42,211)
Deferred revenue   65,000    (158,467)
Total Adjustments   810,077    1,112,255 
Net Cash Used In Operating Activities   (1,651,623)   (1,097,939)
Cash Flows Used In Investing Activities:          
Purchases of property and equipment   (288,883)   (21,161)
Lease of property   (16,665)    
Net Cash Used In Investing Activities   (305,548)   (21,161)
Cash Flows From Financing Activities:          
Proceeds from sale of common stock, net of costs       4,599,055 
Proceeds from government loans       193,625 
Repayment of government loans   (36,764)   (12,470)
Proceeds from exercise of stock options       68,438 
Payment of deferred offering costs         
Payment of deferred loan costs          
Net Cash Provided By (Used In) Financing Activities   (36,764)   4,848,648 
Net Increase (Decrease) In Cash and Restricted Cash   (1,993,935)   3,729,548 
Cash and Restricted Cash - Beginning Of Period   2,701,414    375,855 
Cash and Restricted Cash - End Of Period  $707,479   $4,105,403 
Cash and Restricted Cash Consisted of the Following:          
Cash  $604,255   $4,002,228 
Restricted cash   103,224    103,175 
   $707,479   $4,105,403 
Supplemental Disclosures of Cash Flow Information:          
Cash paid during the year for:          
Interest  $7,027   $4,400 
Income taxes  $   $ 
Non-cash investing and financing activities:          
Operating Lease ROU Asset  $693,683   $ 
See notes to these consolidated financial statements.