x | QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
o | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
Delaware | 001-39632 | 82-2726724 | ||||||||
(State or other jurisdiction of incorporation) | (Commission File Number) | (I.R.S. Employer Identification No.) |
475 Quaker Meeting House Road Honeoye Falls, NY | 14472 | |||||||
(Address of principal executive offices) | (Zip Code) |
Title of each class | Trading Symbol(s) | Name of each exchange on which registered | ||||||||||||||
Common Stock, par value $0.0001 per share | HYZN | Nasdaq Capital Market | ||||||||||||||
Warrants, each whole warrant exercisable for one share of Common Stock at an exercise price of $11.50 per share | HYZNW | Nasdaq Capital Market |
Large accelerated filer | o | Accelerated filer | ||||||||||||||
Non-accelerated filer | x | Smaller reporting company | ||||||||||||||
Emerging growth company |
Page No. | |||||||||||||
4. | |||||||||||||
1A. | |||||||||||||
6. | |||||||||||||
September 30, 2021 | December 31, 2020 | ||||||||||
(As Restated) | |||||||||||
ASSETS | |||||||||||
Current assets | |||||||||||
Cash | $ | 498,014 | $ | 17,139 | |||||||
Accounts receivable | 5,991 | — | |||||||||
Inventory | 12,691 | — | |||||||||
Prepaid expenses and other current assets | 24,695 | 848 | |||||||||
Total current assets | 541,391 | 17,987 | |||||||||
Property, plant, and equipment, net | 8,878 | 418 | |||||||||
Right-of-use assets | 7,962 | 1,656 | |||||||||
Deferred merger transaction costs | — | 732 | |||||||||
Restricted cash and other assets | 7,755 | 212 | |||||||||
Total Assets | $ | 565,986 | $ | 21,005 | |||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | |||||||||||
Current liabilities | |||||||||||
Accounts payable | $ | 2,851 | $ | 215 | |||||||
Accrued professional fees | 1,003 | 900 | |||||||||
Other accrued expenses | 3,205 | 162 | |||||||||
Related party payables | 4,554 | 560 | |||||||||
Horizon IP agreement payable | 10,000 | — | |||||||||
Contract liabilities | 7,846 | 2,608 | |||||||||
Current portion of lease liabilities | 1,164 | 618 | |||||||||
Total current liabilities | 30,623 | 5,063 | |||||||||
Long term liabilities | |||||||||||
Lease liabilities | 7,111 | 1,181 | |||||||||
Private placement warrant liability | 11,781 | — | |||||||||
Earnout liability | 115,014 | — | |||||||||
Other liabilities | 316 | — | |||||||||
Total liabilities | $ | 164,845 | $ | 6,244 | |||||||
Commitments and contingencies (Note 12) | |||||||||||
Stockholders’ Equity | |||||||||||
Common stock, $0.0001 par value; 400,000,000 shares authorized, 247,500,505 and 166,125,000 shares issued and outstanding as of September 30, 2021 and December 31, 2020, respectively. | 25 | 17 | |||||||||
Additional paid-in capital | 400,021 | 29,122 | |||||||||
Retained earnings (accumulated deficit) | 2,782 | (14,271) | |||||||||
Accumulated other comprehensive loss | (327) | (16) | |||||||||
Total Hyzon Motors Inc. stockholders’ equity | 402,501 | 14,852 | |||||||||
Noncontrolling interest | (1,360) | (91) | |||||||||
Total Stockholders’ Equity | 401,141 | 14,761 | |||||||||
Total Liabilities and Stockholders’ Equity | $ | 565,986 | $ | 21,005 |
June 30, 2021 (unaudited) | December 31, 2020 | |||||||
ASSETS: | ||||||||
Current assets: | ||||||||
Cash | $ | 167,284 | $ | — | ||||
Investment held in Trust Account | 225,734,427 | 225,727,721 | ||||||
Prepaid insurance | 769,425 | 1,062,000 | ||||||
Total current assets | 226,671,136 | 226,789,721 | ||||||
Total assets | $ | 226,671,136 | $ | 226,789,721 | ||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||
Current liabilities: | ||||||||
Accrued offering costs | $ | 175,000 | $ | 175,000 | ||||
Accounts payable—affiliate | 3,375,977 | 1,324,257 | ||||||
Accrued expenses | 3,533,899 | 3,572,935 | ||||||
Total Current Liabilities | 7,084,876 | 5,072,192 | ||||||
Warrant liabilities | 40,763,719 | 33,600,270 | ||||||
Deferred underwriting fee payable | 7,900,376 | 7,900,376 | ||||||
Total liabilities | 55,748,971 | 46,572,838 | ||||||
COMMITMENTS AND CONTINGENCIES | 0 | 0 | ||||||
Class A common stock subject to possible redemption, 16,592,216 and 17,521,688 shares at June 30, 2021 and December 31, 2020, respectively, at $10.00 per share | 165,922,160 | 175,216,880 | ||||||
Stockholders’ equity: | ||||||||
Preferred stock, $0.0001 par value; 1,000,000 shares authorized; 0ne issued and outstanding | 0— | 0— | ||||||
Class A common stock, $0.0001 par value, 250,000,000 shares authorized; 5,980,286 and 5,050,814 shares, respectively, issued and outstanding (excluding 16,592,216 and 17,521,688 shares subject to possible redemption) at June 30 , 2021 and December 31, 2020, respectively | 598 | 505 | ||||||
Class B common stock, $0.0001 par value, 20,000,000 shares authorized, 5,643,125 s June 30 , 2021 and December 31, 2020 | 564 | 564 | ||||||
Additional paid-in capital | 36,135,858 | 26,841,231 | ||||||
Accumulated deficit | (31,137,015 | ) | (21,842,297 | ) | ||||
Total stockholders’ equity | 5,000,005 | 5,000,003 | ||||||
Total liabilities and stockholders’ equity | $ | 226,671,136 | $ | 226,789,721 | ||||
For the Three Months Ended June 30, 2021 | For the Three Months Ended June 30, 2020 | For the Six Months Ended June 30, 2021 | For the Six Months Ended June 30, 2020 | |||||||||||||
Operating expenses: | ||||||||||||||||
General and administrative expenses | $ | 1,361,853 | $ | 860 | $ | 2,137,975 | $ | 1,719 | ||||||||
Loss from operations | (1,361,853 | ) | (860 | ) | (2,137,975 | ) | (1,719 | ) | ||||||||
Other Income | ||||||||||||||||
Interest earned on marketable securities held in Trust Account | $ | 3,372 | $ | — | $ | 6,706 | $ | — | ||||||||
Change in fair value of warrant liabilities | (6,824,865 | ) | — | (7,163,449 | ) | — | ||||||||||
Net loss | $ | (8,183,346 | ) | $ | (859 | ) | $ | (9,294,718 | ) | $ | (1,719 | ) | ||||
Weighted average shares outstanding of Class A redeemable common stock, basic and diluted | 22,572,502 | — | 22,572,502 | — | ||||||||||||
Basic and diluted net income per common share, Class A redeemable common stock | $ | — | $ | — | $ | 0.00 | $ | — | ||||||||
Weighted average shares outstanding of Class B non-redeemable common stock, basic and diluted (1) (2) | 5,643,125 | 5,643,125 | 5,643,125 | 5,643,125 | ||||||||||||
Basic and diluted net loss per common share, Class B non-redeemable common stock | $ | 0 | $ | (0.00 | ) | $ | (1.65 | ) | $ | (0.00 | ) | |||||
Three Months Ended September 30, | Nine Months Ended September 30, 2021 | For the period January 21, 2020 (Inception) – September 30, 2020 | |||||||||||||||||||||
2021 | 2020 | ||||||||||||||||||||||
(As Restated) | (As Restated) | ||||||||||||||||||||||
Revenue | $ | 89 | $ | — | $ | 89 | $ | — | |||||||||||||||
Operating expense: | |||||||||||||||||||||||
Cost of revenue | 204 | — | 204 | — | |||||||||||||||||||
Research and development | 3,982 | 104 | 8,081 | 163 | |||||||||||||||||||
Selling, general and administrative | 42,661 | 436 | 51,607 | 670 | |||||||||||||||||||
Total operating expenses | 46,847 | 540 | 59,892 | 833 | |||||||||||||||||||
Loss from operations | (46,758) | (540) | (59,803) | (833) | |||||||||||||||||||
Other income (expense): | |||||||||||||||||||||||
Change in fair value of private placement warrant liability | 7,614 | — | 7,614 | — | |||||||||||||||||||
Change in fair value of earnout liability | 73,359 | — | 73,359 | — | |||||||||||||||||||
Foreign currency exchange loss and other expense | (116) | (1) | (175) | (1) | |||||||||||||||||||
Interest expense, net | (254) | (15) | (5,249) | (20) | |||||||||||||||||||
Total other income (expense) | 80,603 | (16) | 75,549 | (21) | |||||||||||||||||||
Net income (loss) | $ | 33,845 | $ | (556) | $ | 15,746 | $ | (854) | |||||||||||||||
Net loss attributable to noncontrolling interest | (776) | — | (1,307) | — | |||||||||||||||||||
Net income (loss) attributable to Hyzon | $ | 34,621 | $ | (556) | $ | 17,053 | $ | (854) | |||||||||||||||
Comprehensive income (loss): | |||||||||||||||||||||||
Net income (loss) | $ | 33,845 | $ | (556) | $ | 15,746 | $ | (854) | |||||||||||||||
Foreign currency translation adjustment | (187) | — | (273) | — | |||||||||||||||||||
Comprehensive income (loss) | $ | 33,658 | $ | (556) | $ | 15,473 | $ | (854) | |||||||||||||||
Comprehensive loss attributable to noncontrolling interest | (749) | — | (1,269) | — | |||||||||||||||||||
Comprehensive income (loss) attributable to Hyzon | $ | 34,407 | $ | (556) | $ | 16,742 | $ | (854) | |||||||||||||||
Net income (loss) per share attributable to Hyzon: | |||||||||||||||||||||||
Basic | $ | 0.15 | $ | — | $ | 0.09 | $ | (0.01) | |||||||||||||||
Diluted | $ | 0.14 | $ | — | $ | 0.08 | $ | (0.01) | |||||||||||||||
Weighted average common shares outstanding: | |||||||||||||||||||||||
Basic | 234,091 | 148,405 | 189,101 | 148,405 | |||||||||||||||||||
Diluted | 246,480 | 148,405 | 200,984 | 148,405 |
Legacy Common Stock | Common Stock Class A | Additional Paid-in Capital | Retained Earnings (Accumulated Deficit) | Accumulated Other Comprehensive Loss | Total Hyzon Motors Inc. stockholders’ Equity (Deficit) | Noncontrolling Interest | Total Stockholders’ Equity (Deficit) | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Shares | Amount | Shares | Amount | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance as of December 31, 2020 | 93,750,000 | $ | 94 | — | $ | — | $ | 29,045 | $ | (14,271) | $ | (16) | $ | 14,852 | $ | (91) | $ | 14,761 | |||||||||||||||||||||||||||||||||||||||||
Retroactive application of recapitalization | (93,750,000) | (94) | 166,125,000 | $ | 17 | 77 | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||||||
Adjusted balance, beginning of period | — | — | 166,125,000 | 17 | 29,122 | (14,271) | (16) | 14,852 | (91) | 14,761 | |||||||||||||||||||||||||||||||||||||||||||||||||
Exercise of stock options | — | — | 132,900 | — | 190 | — | — | 190 | — | 190 | |||||||||||||||||||||||||||||||||||||||||||||||||
Stock-based compensation | — | — | — | — | 816 | — | — | 816 | — | 816 | |||||||||||||||||||||||||||||||||||||||||||||||||
IP transaction – deemed distribution | — | — | — | — | (10,000) | — | — | (10,000) | — | (10,000) | |||||||||||||||||||||||||||||||||||||||||||||||||
Net loss attributable to Hyzon | — | — | — | — | — | (17,568) | — | (17,568) | — | (17,568) | |||||||||||||||||||||||||||||||||||||||||||||||||
Net loss attributable to noncontrolling interest | — | — | — | — | — | — | — | — | (531) | (531) | |||||||||||||||||||||||||||||||||||||||||||||||||
Foreign currency translation loss | — | — | — | — | — | — | (79) | (79) | 11 | (68) | |||||||||||||||||||||||||||||||||||||||||||||||||
Balance as of June 30, 2021 | — | — | 166,257,900 | 17 | 20,128 | (31,839) | (95) | (11,789) | (611) | (12,400) | |||||||||||||||||||||||||||||||||||||||||||||||||
Reverse recapitalization transaction, net (Note 4) | — | — | 73,502,303 | 7 | 351,498 | — | — | 351,505 | — | 351,505 | |||||||||||||||||||||||||||||||||||||||||||||||||
Issuance of common stock | — | — | 7,234,006 | 1 | (1) | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||||
Vesting of RSUs | — | — | 284,796 | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||||||||||
Exercise of stock options | — | — | 221,500 | — | 250 | — | — | 250 | — | 250 | |||||||||||||||||||||||||||||||||||||||||||||||||
Stock-based compensation | — | — | — | — | 28,146 | — | — | 28,146 | — | 28,146 | |||||||||||||||||||||||||||||||||||||||||||||||||
Net income (loss) attributable to Hyzon | — | — | — | — | — | 34,621 | — | 34,621 | — | 34,621 | |||||||||||||||||||||||||||||||||||||||||||||||||
Net loss attributable to noncontrolling interest | — | — | — | — | — | — | — | — | (776) | (776) | |||||||||||||||||||||||||||||||||||||||||||||||||
Foreign currency translation loss | — | — | — | — | — | — | (232) | (232) | 27 | (205) | |||||||||||||||||||||||||||||||||||||||||||||||||
Balance as of September 30, 2021 (As Restated) | — | $ | — | 247,500,505 | $ | 25 | $ | 400,021 | $ | 2,782 | $ | (327) | $ | 402,501 | $ | (1,360) | $ | 401,141 |
Class A Common Stock | Class B Common Stock | Additional Paid-in | Accumulated | Stockholders’ | ||||||||||||||||||||||||
Shares | Amount | Shares (1) (2) | Amount | Capital | Deficit | Equity | ||||||||||||||||||||||
Balances as of January 1, 2021 | 5,050,814 | $ | 505 | 5,643,125 | $ | 564 | $ | 26,841,231 | $ | (21,842,297 | ) | $ | 5,000,003 | |||||||||||||||
Common stock subject to possible redemptio n | 111,137 | 11 | — | — | 1,111,359 | — | 1,111,370 | |||||||||||||||||||||
Net loss | — | — | — | — | — | (1,111,372 | ) | (1,111,372 | ) | |||||||||||||||||||
Balances as of March 31, 2021 | 5,161,951 | $ | 516 | 5,643,125 | $ | 564 | $ | 27,952,590 | $ | (22,953,669 | ) | $ | 5,000,001 | |||||||||||||||
Common stock subject to possible redemptio n | 818,335 | 82 | — | — | 8,183,268 | — | 8,183,350 | |||||||||||||||||||||
Net loss | — | — | — | — | — | (8,183,346 | ) | (8,183,346 | ) | |||||||||||||||||||
Balances as of June 30, 202 1 | 5,980,286 | $ | 598 | 5,643,125 | $ | 564 | $ | 36,135,858 | $ | (31,137,015 | ) | $ | 5,000,005 |
Class A Common Stock | Class B Common Stock | Additional Paid-in | Accumulated | Stockholder’s | ||||||||||||||||||||||||
Shares | Amount | Shares (1) (2) | Amount | Capital | Deficit | Equity | ||||||||||||||||||||||
Balances as of January 1, 2020 | — | $ | — | 5,750,000 | $ | 575 | $ | 243,447 | $ | (219,422 | ) | $ | 24,600 | |||||||||||||||
Net loss | — | — | — | — | — | (859 | ) | (859 | ) | |||||||||||||||||||
Balances as of March 31, 202 0 | — | $ | — | 5,750,000 | $ | 575 | $ | 243,447 | (220,281 | ) | 23,741 | |||||||||||||||||
Net loss | — | — | — | — | — | (860 | ) | (860 | ) | |||||||||||||||||||
Balances as of June 30, 202 0 | — | $ | — | 5,750,000 | $ | 575 | $ | 243,447 | $ | (221,141 | ) | $ | 22,881 |
Legacy Common Stock | Common Stock Class A | Additional Paid-in Capital | Accumulated Deficit | Accumulated Other Comprehensive Loss | Total Hyzon Motors Inc. stockholders’ Equity (Deficit) | Noncontrolling Interest | Total Stockholders’ Equity (Deficit) | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Shares | Amount | Shares | Amount | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Balance as of January 21, 2020 (Inception) | 83,750,000 | $ | 84 | — | $ | — | $ | — | $ | — | $ | — | $ | 84 | $ | — | $ | 84 | |||||||||||||||||||||||||||||||||||||||||
Retroactive application of recapitalization | (83,750,000) | (84) | 148,405,000 | $ | 15 | 69 | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||||||||||
Adjusted balance, beginning of period | — | $ | — | 148,405,000 | $ | 15 | 69 | — | — | 84 | — | $ | 84 | ||||||||||||||||||||||||||||||||||||||||||||||
Net loss attributable to Hyzon | — | — | — | — | — | (296) | — | (296) | — | (296) | |||||||||||||||||||||||||||||||||||||||||||||||||
Balance as of June 30, 2020 | — | $ | — | 148,405,000 | $ | 15 | 69 | (296) | — | (212) | — | $ | (212) | ||||||||||||||||||||||||||||||||||||||||||||||
Net loss attributable to Hyzon | — | — | — | — | — | (556) | — | (556) | — | (556) | |||||||||||||||||||||||||||||||||||||||||||||||||
Balance as of September 30, 2020 | — | $ | — | 148,405,000 | $ | 15 | $ | 69 | $ | (852) | $ | — | $ | (768) | $ | — | $ | (768) |
For the Six Months Ended June 30, 2021 | For the Six Months Ended June 30, 2020 | |||||||
Cash flow from operating activities: | ||||||||
Net loss | $ | (9,294,718 | ) | $ | (1,719 | ) | ||
Adjustments to reconcile net loss to net cash used in operating activities: | ||||||||
Change in fair value of warrant liabilities | 7,163,449 | |||||||
Interest earned on marketable securities held in Trust Account | (6,706 | ) | — | |||||
Changes in operating assets and liabilities: | ||||||||
Accounts payable | 2,051,720 | 1,719 | ||||||
Accrued expenses | (39,036 | ) | — | |||||
Prepaid insurance | 292,575 | — | ||||||
Net cash used in operating activities | 167,284 | — | ||||||
Net increase in cash | 167,284 | — | ||||||
Cash at beginning of period | — | 315,600 | ||||||
Cash at end of period | $ | 167,284 | $ | 315,600 | ||||
Supplemental disclosure of non-cash financing activities: | ||||||||
Change in value of Class A common stock subject to possible redemption | $ | (9,294,720 | ) | $ | — | |||
Nine Months Ended September 30, 2021 | For the period January 21, 2020 (Inception) - September 30, 2020 | ||||||||||
(As Restated) | |||||||||||
Cash Flows from Operating Activities: | |||||||||||
Net income (loss) | $ | 15,746 | $ | (854) | |||||||
Adjustments to reconcile net income (loss) to net cash used in operating activities: | |||||||||||
Depreciation and amortization | 671 | 99 | |||||||||
Stock-based compensation | 29,023 | — | |||||||||
Loss on extinguishment of convertible notes | 107 | — | |||||||||
Noncash interest expense | 5,449 | — | |||||||||
Fair value adjustment of private placement warrant liability | (7,614) | — | |||||||||
Fair value adjustment of earnout liability | (73,359) | — | |||||||||
Changes in operating assets and liabilities: | |||||||||||
Accounts receivable | (5,712) | — | |||||||||
Inventory | (12,008) | — | |||||||||
Prepaid expenses and other current assets | (19,638) | — | |||||||||
Other assets | (150) | (14) | |||||||||
Accounts payable | 3,371 | — | |||||||||
Accrued professional fees and other current liabilities | 3,082 | 17 | |||||||||
Operating lease liabilities | (187) | — | |||||||||
Related party payables | 3,821 | 756 | |||||||||
Contract liabilities | 4,845 | — | |||||||||
Other liabilities | 311 | — | |||||||||
Net cash (used in) provided by operating activities | (52,242) | 4 | |||||||||
Cash Flows from Investing Activities: | |||||||||||
Purchases of property and equipment | (8,810) | (133) | |||||||||
Advanced payments for capital expenditures | (3,999) | — | |||||||||
Investment in equity securities | (4,826) | — | |||||||||
Net cash used in investing activities | (17,635) | (133) | |||||||||
Cash Flows from Financing Activities: | |||||||||||
Proceeds from issuance of common stock | — | 84 | |||||||||
Proceeds from Business Combination, net of redemption and transaction costs (Note 4) | 508,993 | — | |||||||||
Exercise of stock options | 440 | — | |||||||||
Payment of finance lease liability | (135) | (12) | |||||||||
Debt issuance costs | (133) | — | |||||||||
Proceeds from issuance of convertible notes | 45,000 | 500 | |||||||||
Net cash provided by financing activities | 554,165 | 572 | |||||||||
Effect of exchange rate changes on cash | (853) | 1 | |||||||||
Net change in cash and restricted cash | 483,435 | 444 | |||||||||
Cash—Beginning | 17,139 | — | |||||||||
Cash and restricted cash —Ending | $ | 500,574 | $ | 444 | |||||||
Supplemental schedule of non-cash investing activities and financing activities: | |||||||||||
Lease assets obtained in exchange for lease obligations: | |||||||||||
Operating leases | 6,803 | — | |||||||||
Finance leases | — | 886 | |||||||||
Conversion of Legacy Hyzon common stock | 73 | — | |||||||||
Recognition of earnout liability in Business Combination | 188,373 | — | |||||||||
Recognition of private placement warrant liability in Business Combination | 19,395 | — | |||||||||
Horizon license agreement payable | 10,000 | — | |||||||||
Conversion of convertible notes for common stock | 50,198 | — |
As of September 30, 2021 | ||||||||||||||||||||||||||
ASSETS | As Previously Reported | Restatement Adjustments | Restatement References | As Restated | ||||||||||||||||||||||
Current assets | ||||||||||||||||||||||||||
Cash | $ | 498,014 | $ | — | $ | 498,014 | ||||||||||||||||||||
Accounts receivable | 5,991 | — | 5,991 | |||||||||||||||||||||||
Inventory | 15,260 | (2,569) | (A) | 12,691 | ||||||||||||||||||||||
Prepaid expenses and other current assets | 24,555 | 140 | (A) | 24,695 | ||||||||||||||||||||||
Total current assets | 543,820 | (2,429) | 541,391 | |||||||||||||||||||||||
Property, plant, and equipment, net | 8,878 | — | 8,878 | |||||||||||||||||||||||
Right-of-use assets | 2,365 | 5,597 | 7,962 | |||||||||||||||||||||||
Restricted cash and other assets | 7,755 | — | 7,755 | |||||||||||||||||||||||
Total Assets | $ | 562,818 | $ | 3,168 | $ | 565,986 | ||||||||||||||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||||||||||||||||||||
Current liabilities | ||||||||||||||||||||||||||
Accounts payable | $ | 2,851 | — | $ | 2,851 | |||||||||||||||||||||
Accrued professional fees | 1,003 | — | 1,003 | |||||||||||||||||||||||
Other accrued expenses | 3,154 | 51 | 3,205 | |||||||||||||||||||||||
Related party payables | 4,554 | — | 4,554 | |||||||||||||||||||||||
Horizon IP agreement payable | 10,000 | — | 10,000 | |||||||||||||||||||||||
Contract liabilities | 10,984 | (3,138) | (A) | 7,846 | ||||||||||||||||||||||
Current portion of lease liabilities | 748 | 416 | 1,164 | |||||||||||||||||||||||
Total current liabilities | 33,294 | (2,671) | 30,623 | |||||||||||||||||||||||
Long term liabilities | ||||||||||||||||||||||||||
Lease liabilities | 1,930 | 5,181 | 7,111 | |||||||||||||||||||||||
Private placement warrant liability | 11,781 | — | 11,781 | |||||||||||||||||||||||
Earnout liability | 114,758 | 256 | 115,014 | |||||||||||||||||||||||
Other liabilities | 316 | — | 316 | |||||||||||||||||||||||
Total liabilities | $ | 162,079 | $ | 2,766 | $ | 164,845 | ||||||||||||||||||||
Commitments and contingencies | ||||||||||||||||||||||||||
Stockholders’ Equity | ||||||||||||||||||||||||||
Common stock, $0.0001 par value; 400,000,000 shares authorized, 247,500,505 and 166,125,000 shares issued and outstanding as of September 30, 2021 and December 31, 2020, respectively. | 25 | — | 25 | |||||||||||||||||||||||
Additional paid-in capital | 402,211 | (2,190) | (B) | 400,021 | ||||||||||||||||||||||
Retained earnings (accumulated deficit) | 515 | 2,267 | 2,782 | |||||||||||||||||||||||
Accumulated other comprehensive loss | (326) | (1) | (327) | |||||||||||||||||||||||
Total Hyzon Motors Inc. stockholders’ equity | 402,425 | 76 | 402,501 | |||||||||||||||||||||||
Noncontrolling interest | (1,686) | 326 | (1,360) | |||||||||||||||||||||||
Total Stockholders’ Equity | 400,739 | 402 | 401,141 | |||||||||||||||||||||||
Total Liabilities and Stockholders’ Equity | $ | 562,818 | $ | 3,168 | $ | 565,986 |
Three Months Ended September 30, 2021 | Nine Months Ended September 30, 2021 | ||||||||||||||||||||||||||||||||||||||||||||||
As Previously Reported | Restatement Adjustments | Restatement References | As Restated | As Previously Reported | Restatement Adjustments | Restatement References | As Restated | ||||||||||||||||||||||||||||||||||||||||
Revenue | $ | 962 | $ | (873) | (A) | $ | 89 | $ | 962 | $ | (873) | (A) | $ | 89 | |||||||||||||||||||||||||||||||||
Operating expense: | |||||||||||||||||||||||||||||||||||||||||||||||
Cost of revenue | 968 | (764) | (A) | 204 | 968 | (764) | (A) | 204 | |||||||||||||||||||||||||||||||||||||||
Research and development | 4,822 | (840) | (A) | 3,982 | 8,921 | (840) | (A) | 8,081 | |||||||||||||||||||||||||||||||||||||||
Selling, general and administrative | 44,784 | (2,123) | (A) , (B) | 42,661 | 53,730 | (2,123) | (A) , (B) | 51,607 | |||||||||||||||||||||||||||||||||||||||
Total operating expenses | 50,574 | (3,727) | 46,847 | 63,619 | (3,727) | 59,892 | |||||||||||||||||||||||||||||||||||||||||
Loss from operations | (49,612) | 2,854 | (46,758) | (62,657) | 2,854 | (59,803) | |||||||||||||||||||||||||||||||||||||||||
Other income (expense): | |||||||||||||||||||||||||||||||||||||||||||||||
Change in fair value of private placement warrant liability | 7,614 | — | 7,614 | 7,614 | — | 7,614 | |||||||||||||||||||||||||||||||||||||||||
Change in fair value of earnout liability | 73,615 | (256) | 73,359 | 73,615 | (256) | 73,359 | |||||||||||||||||||||||||||||||||||||||||
Foreign currency exchange loss and other expense | (110) | (6) | (116) | (169) | (6) | (175) | |||||||||||||||||||||||||||||||||||||||||
Interest expense, net | (254) | — | (254) | (5,249) | — | (5,249) | |||||||||||||||||||||||||||||||||||||||||
Total other income (expense) | 80,865 | (262) | 80,603 | 75,811 | (262) | 75,549 | |||||||||||||||||||||||||||||||||||||||||
Net income | $ | 31,253 | $ | 2,592 | $ | 33,845 | $ | 13,154 | $ | 2,592 | $ | 15,746 | |||||||||||||||||||||||||||||||||||
Net loss attributable to noncontrolling interest | (1,101) | 325 | (776) | (1,632) | 325 | (1,307) | |||||||||||||||||||||||||||||||||||||||||
Net income attributable to Hyzon | $ | 32,354 | $ | 2,267 | $ | 34,621 | $ | 14,786 | $ | 2,267 | $ | 17,053 | |||||||||||||||||||||||||||||||||||
Comprehensive income: | |||||||||||||||||||||||||||||||||||||||||||||||
Net income | $ | 31,253 | $ | 2,592 | $ | 33,845 | $ | 13,154 | $ | 2,592 | $ | 15,746 | |||||||||||||||||||||||||||||||||||
Foreign currency translation adjustment | (205) | 18 | (187) | (293) | 20 | (273) | |||||||||||||||||||||||||||||||||||||||||
Comprehensive income | $ | 31,048 | $ | 2,610 | $ | 33,658 | $ | 12,861 | $ | 2,612 | $ | 15,473 | |||||||||||||||||||||||||||||||||||
Comprehensive loss attributable to noncontrolling interest | (1,075) | 326 | (749) | (1,594) | 325 | (1,269) | |||||||||||||||||||||||||||||||||||||||||
Comprehensive income attributable to Hyzon | $ | 32,123 | $ | 2,284 | $ | 34,407 | $ | 14,455 | $ | 2,287 | $ | 16,742 | |||||||||||||||||||||||||||||||||||
Net income per share attributable to Hyzon: | |||||||||||||||||||||||||||||||||||||||||||||||
Basic | $ | 0.14 | $ | 0.01 | $ | 0.15 | $ | 0.08 | $ | 0.01 | $ | 0.09 | |||||||||||||||||||||||||||||||||||
Diluted | $ | 0.13 | $ | 0.01 | $ | 0.14 | $ | 0.07 | $ | 0.01 | $ | 0.08 | |||||||||||||||||||||||||||||||||||
Weighted average common shares outstanding: | |||||||||||||||||||||||||||||||||||||||||||||||
Basic | 234,464 | 234,091 | 189,226 | 189,101 | |||||||||||||||||||||||||||||||||||||||||||
Diluted | 246,263 | 246,480 | 200,968 | 200,984 |
Common Stock Class A | Retained Earnings (Accumulated Deficit) | Accumulative Other Comprehensive Income | Total Hyzon Motors Inc. Stockholders' Equity (Deficit) | Noncontrolling Interest | Total Stockholders' Equity | ||||||||||||||||||||||||||||||||||||||||||
Shares | Amount | Additional Paid-in Capital | |||||||||||||||||||||||||||||||||||||||||||||
Balance as of September 30, 2021 (As Previously Reported) | 247,500,505 | $ | 25 | $ | 402,211 | $ | 515 | $ | (326) | $ | 402,425 | $ | (1,686) | $ | 400,739 | ||||||||||||||||||||||||||||||||
Cumulative adjustments | — | — | (2,190) | 2,267 | (1) | 76 | 326 | 402 | |||||||||||||||||||||||||||||||||||||||
Balance as of September 30, 2021 (As Restated) | 247,500,505 | $ | 25 | $ | 400,021 | $ | 2,782 | $ | (327) | $ | 402,501 | $ | (1,360) | $ | 401,141 |
Nine Months Ended September 30, 2021 | ||||||||||||||||||||
As Previously Reported | Restatement Adjustments*** | As Restated | ||||||||||||||||||
Cash Flows from Operating Activities: | ||||||||||||||||||||
Net income | $ | 13,154 | $ | 2,592 | $ | 15,746 | ||||||||||||||
Adjustments to reconcile net income to net cash used in operating activities: | ||||||||||||||||||||
Depreciation and amortization | 671 | — | 671 | |||||||||||||||||
Stock-based compensation | 28,084 | 939 | 29,023 | |||||||||||||||||
Loss on extinguishment of convertible notes | 107 | — | 107 | |||||||||||||||||
Noncash interest expense | 5,449 | — | 5,449 | |||||||||||||||||
Fair value adjustment of private placement warrant liability | (7,614) | — | (7,614) | |||||||||||||||||
Fair value adjustment of earnout liability | (73,615) | 256 | (73,359) | |||||||||||||||||
Changes in operating assets and liabilities: | ||||||||||||||||||||
Accounts Receivable | (5,712) | — | (5,712) | |||||||||||||||||
Inventory | (14,577) | 2,569 | (12,008) | |||||||||||||||||
Prepaid expenses and other current assets | (19,549) | (89) | (19,638) | |||||||||||||||||
Other assets | (150) | — | (150) | |||||||||||||||||
Accounts payable | 2,558 | 813 | 3,371 | |||||||||||||||||
Accrued professional fees and other current liabilities | 3,031 | 51 | 3,082 | |||||||||||||||||
Operating lease liabilities | (187) | — | (187) | |||||||||||||||||
Related party payables | 3,821 | — | 3,821 | |||||||||||||||||
Contract liabilities | 7,982 | (3,137) | 4,845 | |||||||||||||||||
Other liabilities | 311 | — | 311 | |||||||||||||||||
Net cash used in operating activities | (56,236) | 3,994 | (52,242) | |||||||||||||||||
Cash Flows from Investing Activities: | ||||||||||||||||||||
Purchases of property and equipment | (8,810) | — | (8,810) | |||||||||||||||||
Advanced payments for capital expenditures | (3,948) | (51) | (3,999) | |||||||||||||||||
Investment in equity securities | (4,826) | — | (4,826) | |||||||||||||||||
Net cash used in investing activities | (17,584) | (51) | (17,635) | |||||||||||||||||
Cash Flows from Financing Activities: | ||||||||||||||||||||
Proceeds from issuance of common stock | — | — | — | |||||||||||||||||
Proceeds from Business Combination, net of redemption and transaction costs | 512,936 | (3,943) | 508,993 | |||||||||||||||||
Exercise of stock options | 440 | — | 440 | |||||||||||||||||
Payment of finance lease liability | (135) | — | (135) | |||||||||||||||||
Debt issuance costs | (133) | — | (133) | |||||||||||||||||
Proceeds from issuance of convertible notes | 45,000 | — | 45,000 | |||||||||||||||||
Net cash provided by financing activities | 558,108 | (3,943) | 554,165 | |||||||||||||||||
Effect of exchange rate changes on cash | (853) | — | (853) | |||||||||||||||||
Net change in cash and restricted cash | 483,435 | — | 483,435 | |||||||||||||||||
Cash—Beginning | 17,139 | — | 17,139 | |||||||||||||||||
Cash and restricted cash —Ending | $ | 500,574 | $ | — | $ | 500,574 | ||||||||||||||
Supplemental schedule of non-cash investing activities and financing activities: | ||||||||||||||||||||
Lease assets obtained in exchange for lease obligations: | ||||||||||||||||||||
Operating leases | 1,206 | 5,597 | 6,803 | |||||||||||||||||
Finance leases | — | — | — | |||||||||||||||||
Conversion of Legacy Hyzon common stock | 73 | — | 73 | |||||||||||||||||
Recognition of earnout liability in Business Combination | 188,373 | — | 188,373 | |||||||||||||||||
Recognition of private placement warrant liability in Business Combination | 19,395 | — | 19,395 | |||||||||||||||||
Horizon license agreement payable | 10,000 | — | 10,000 | |||||||||||||||||
Conversion of convertible notes for common stock | 50,198 | — | 50,198 |
Three Months Ended | Three Months Ended | Six Months Ended | Six Months Ended | |||||||||||||
June 30, | June 30, | June 30, | June 30, | |||||||||||||
2021 | 2020 | 2021 | 2020 | |||||||||||||
Class A Redeemable Common Stock | ||||||||||||||||
Numerator: Earnings allocable to Class A Redeemable Common Stock | ||||||||||||||||
Interest Income | 3,372 | — | 6,706 | — | ||||||||||||
Income and Franchise Tax | (3,372 | ) | — | (6,706 | ) | — | ||||||||||
Redeemable Net Loss | 0 | 0 | 0 | 0 | ||||||||||||
Denominator: Weighted Average Class A Redeemable Common Stock | ||||||||||||||||
Class A Redeemable Common Stock, Basic and Diluted | 22,572,502 | — | 22,572,502 | — | ||||||||||||
Income (Loss)/Basic and Diluted Class A Redeemable Common Stock | 0 | — | ||||||||||||||
Class B Non-Redeemable Common Stock | ||||||||||||||||
Numerator: Net Loss minus Class A Redeemable Net Loss | ||||||||||||||||
Net Loss | (8,183,346 | ) | (860 | ) | (9,294,718 | ) | (1,719 | ) | ||||||||
Class A Redeemable Net Loss | 0— | 0— | — | — | ||||||||||||
Class B Non-Redeemable Net Loss | (8,183,346 | ) | (860 | ) | (9,294,718 | ) | (1,719 | ) | ||||||||
Denominator: Weighted Average Class B Non-Redeemable Common Stock | ||||||||||||||||
Class B Non-Redeemable Common Stock, Basic and Diluted | 5,643,125 | 5,000,000 | 5,643,125 | 5,000,000 | ||||||||||||
Loss/Basic and Diluted Class B Non-Redeemable Common Stock | (1.45 | ) | (0.00 | ) | (1.65 | ) | (0.00 | ) |
Shares | |||||
Common stock of DCRB | 20,483,179 | ||||
DCRB founders | 5,643,125 | ||||
Total DCRB | 26,126,304 | ||||
Conversion of Ascent Options (post-cashless exercise) | 6,871,667 | ||||
Conversion of convertible notes | 5,022,052 | ||||
PIPE shares | 35,500,000 | ||||
Reverse capitalization transaction | 73,520,023 | ||||
Legacy Hyzon shares after conversion (1) | 173,474,186 | ||||
Total shares of Common Stock immediately after Business Combination | 246,994,209 |
Recapitalization | |||||
Cash – DCRB trust and cash, net of redemptions and liabilities recorded by DCRB of $24.9 million | $ | 179,727 | |||
Cash – PIPE Financing, net of transaction costs of $14.2 million | 340,797 | ||||
Less: transaction costs allocated to equity | (11,531) | ||||
Effect of Business Combination, net of redemption and transaction costs | $ | 508,993 |
Recapitalization | |||||
Cash – DCRB trust and cash, net of redemptions and liabilities recorded by DCRB of $24.9 million | $ | 179,727 | |||
Cash – PIPE Financing, net of transaction costs of $14.2 million | 340,797 | ||||
Conversion of convertible notes into common stock | 50,198 | ||||
Recognize earnout liability | (188,373) | ||||
Recognize Private Placement Warrants liability | (19,395) | ||||
Recapitalization of Legacy Hyzon common shares | 75 | ||||
Less: transaction costs allocated to equity | (11,531) | ||||
Effect of Business Combination, net of redemption and transaction costs | $ | 351,498 |
September 30, 2021 | December 31, 2020 | |||||||||||||
Deposit for fuel cell components (Note 15) | $ | 5,000 | $ | — | ||||||||||
Vehicle inventory deposits | 5,996 | 577 | ||||||||||||
Production equipment deposits | 3,948 | — | ||||||||||||
Other prepaid expenses | 1,050 | 271 | ||||||||||||
Prepaid Insurance | 7,505 | — | ||||||||||||
VAT receivable from government | 1,196 | — | ||||||||||||
Total prepaid expenses and other current assets | 24,695 | 848 |
September 30, 2021 | December 31, 2020 | |||||||||||||
Land and building | $ | 2,424 | $ | — | ||||||||||
Machinery and equipment | 5,728 | 371 | ||||||||||||
Software | 168 | — | ||||||||||||
Leasehold improvements | 358 | — | ||||||||||||
Construction in progress | 663 | 60 | ||||||||||||
Total Property, plant, and equipment | 9,341 | 431 | ||||||||||||
Less: Accumulated depreciation and amortization | (463) | (13) | ||||||||||||
Property, plant and equipment, net | $ | 8,878 | $ | 418 |
Fair Value Measurements on a Recurring Basis | ||||||||||||||||||||||||||
Level 1 | Level 2 | Level 3 | Total | |||||||||||||||||||||||
Warrant liability – Private Placement Warrants | $ | — | $ | — | $ | 11,781 | $ | 11,781 | ||||||||||||||||||
Earnout shares liability | — | — | 115,014 | 115,014 |
September 30, 2021 | July 16, 2021 | ||||||||||
Stock price | $ | 6.94 | $ | 10.33 | |||||||
Exercise price (strike price) | $ | 11.50 | $ | 11.50 | |||||||
Risk-free interest rate | 0.9 | % | 0.8 | % | |||||||
Volatility | 60.00 | % | 34.20 | % | |||||||
Remaining term (in years) | 4.79 | 5.00 |
Balance as of July 16, 2021 | $ | 19,395 | |||
Change in estimated fair value | (7,614) | ||||
Balance as of September 30, 2021 | $ | 11,781 |
September 30, 2021 | July 16, 2021 | ||||||||||
Stock price | $ | 6.94 | $ | 10.33 | |||||||
Risk-free interest rate | 0.9 | % | 0.8 | % | |||||||
Volatility | 90.00 | % | 90.00 | % | |||||||
Remaining term (in years) | 4.79 | 5.00 |
Balance as of July 16, 2021 | $ | 188,373 | |||
Change in estimated fair value | (73,359) | ||||
Balance as of September 30, 2021 | $ | 115,014 |
Three Months Ended September 30, | Nine Months Ended September 30, | Inception (January 21, 2020) to September 30, | |||||||||||||||||||||
2021 | 2020 | 2021 | 2020 | ||||||||||||||||||||
Net income (loss) attributable to Hyzon | $ | 34,621 | $ | (556) | $ | 17,053 | $ | (854) | |||||||||||||||
Weighted average shares outstanding: | |||||||||||||||||||||||
Basic | 234,091 | 148,405 | 189,101 | 148,405 | |||||||||||||||||||
Effect of dilutive securities | 12,389 | — | 11,883 | — | |||||||||||||||||||
Diluted | 246,480 | 148,405 | 200,984 | 148,405 | |||||||||||||||||||
Earnings (loss) per share attributable to Hyzon: | |||||||||||||||||||||||
Basic | $ | 0.15 | $ | — | $ | 0.09 | $ | (0.01) | |||||||||||||||
Diluted | $ | 0.14 | $ | — | $ | 0.08 | $ | (0.01) |
Description | Amount at Fair Value | Level 1 | Level 2 | Level 3 | ||||||||||||
June 30, 2021 | ||||||||||||||||
Assets: | ||||||||||||||||
Marketable securities held in Trust Account—U.S. Treasury Securities Money Market Fund | 225,734,427 | 225,734,427 | — | — | ||||||||||||
Liabilities: | ||||||||||||||||
Warrant Liability—Public Warrants | 25,845,515 | 25,845,515 | — | |||||||||||||
Warrant Liability—Private Placement Warrants | 14,918,205 | — | — | 14,918,205 | ||||||||||||
December 31, 2020 | ||||||||||||||||
Assets: | ||||||||||||||||
Marketable securities held in Trust Account—U.S. Treasury Securities Money Market Fund | 225,727,721 | 225,727,721 | — | |||||||||||||
Liabilities: | ||||||||||||||||
Warrant Liability—Public Warrants | 20,766,705 | 20,766,705 | — | |||||||||||||
Warrant Liability—Private Placement Warrants | 12,833,565 | — | — | 12,833,565 |
As of June 30, 2021 | As of December 31, 2020 | |||||||
Stock price | 10.31 | 10.60 | ||||||
Strike price | 11.50 | 11.50 | ||||||
Term (in years) | 5.1 | 5.4 | ||||||
Volatility | 30.0 | % | 27.8 | % | ||||
Risk-free rate | 0.9 | % | 0.4 | % | ||||
Dividend yield | 0.0 | % | 0.0 | % | ||||
Fair value of warrants | 2.29 | 1.97 |
Three Months Ended September 30, | Nine Months Ended September 30, | Inception (January 21, 2020) to September 30, | |||||||||||||||||||||
2021 | 2020 | 2021 | 2020 | ||||||||||||||||||||
Stock options and restricted stock units | 426 | — | 426 | — | |||||||||||||||||||
Stock options with market and performance conditions | 5,538 | — | 5,538 | — | |||||||||||||||||||
Private placement warrants | 8,015 | — | 8,015 | — | |||||||||||||||||||
Public Warrants | 11,286 | — | 11,286 | — | |||||||||||||||||||
Earnout shares | 23,250 | — | 23,250 | — | |||||||||||||||||||
Ardour warrants | 326 | — | 326 | — |
Placement (Level 3) | (Level 1) | Liabilities |
Fair value as of December 31, 2020 | 12,833,565 | 20,766,705 | 33,600,270 | |||||||||
Change in valuation inputs or other assumptions | 2,084,640 | 5,078,810 | 7,163,449 | |||||||||
Fair value as of June 30, 2021 | 14,918,205 | 25,845,515 | 40,763,719 | |||||||||
Three Months Ended September 30, | |||||||||||
2021 | 2020 | ||||||||||
Net income (loss) | $ | 33,845 | $ | (556) | |||||||
Interest expense, net | 254 | 15 | |||||||||
Income tax expense (benefit) | — | — | |||||||||
Depreciation and amortization | 302 | 75 | |||||||||
EBITDA | $ | 34,401 | $ | (466) | |||||||
Change in fair value of private placement warrant liability | (7,614) | — | |||||||||
Change in fair value of earnout liability | (73,359) | — | |||||||||
Stock-based compensation | 14,766 | — | |||||||||
Executive transition charges(1) | 13,860 | — | |||||||||
Business combination transaction expenses(2) | 3,404 | — | |||||||||
Regulatory and legal matters(3) | 111 | — | |||||||||
Adjusted EBITDA | $ | (14,431) | $ | (466) |
Nine Months Ended September 30, 2021 | For the period January 21, 2020 (Inception) – September 30, 2020 | ||||||||||
Net income (loss) | $ | 15,746 | $ | (854) | |||||||
Interest expense, net | 5,249 | 20 | |||||||||
Income tax expense (benefit) | — | — | |||||||||
Depreciation and amortization | 671 | 99 | |||||||||
EBITDA | $ | 21,666 | $ | (735) | |||||||
Change in fair value of private placement warrant liability | (7,614) | — | |||||||||
Change in fair value of earnout liability | (73,359) | — | |||||||||
Stock-based compensation | 15,644 | — | |||||||||
Executive transition charges(1) | 13,860 | — | |||||||||
Business combination transaction expenses(2) | 3,404 | — | |||||||||
Regulatory and legal matters(3) | 111 | — | |||||||||
Adjusted EBITDA | $ | (26,288) | $ | (735) |
Exhibit | Description |
Second Amended and Restated Certificate of Incorporation of | ||||||||
3.2 | ||||||||
10.1 | ||||||||
31.1 | ||||||||
101.INS | 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 | |||||||
101.CAL | Inline XBRL Taxonomy Extension Calculation Linkbase Document | |||||||
101.DEF | Inline XBRL Taxonomy Extension Definition Linkbase Document | |||||||
101.LAB | Inline XBRL Taxonomy Extension Label Linkbase Document | |||||||
101.PRE | Inline XBRL Taxonomy Extension Presentation Linkbase Document | |||||||
104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) |
Hyzon Motors Inc. | |||||||||||||
Date: | By: | /s/ | |||||||||||
Name: | |||||||||||||
Title: | Chief |