Catch the Wind Ltd. (CTW), has reported its financial results for the three- and nine-month periods ended September 30, 2010. Catch the Wind recognized revenue of US$ 7,500 for the three- and nine-month periods ended September 30, 2010. The revenue is attributable to a rental fee charged for the Company's Racer's Edge® Laser Wind Sensor.
As reported previously, Catch the Wind operated as a development stage company focused on the development and commercialisation of its wind sensor products through the first six months of 2010. As a development stage company, the Company netted cash receipts from product sales against capitalized development costs. As a result, the Company did not commence recognition of any revenue until the start of the third quarter, effective July 1, 2010. Operating expenses for Q3 of FY2010 were US$ 4.2 million, up from US$ 3.6 million for the corresponding period of last year. The increase in operating expenses is primarily attributable to the growth of the company, particularly as it progressed from a development stage company to a commercial stage enterprise. On a nine-month basis, operating expenses totalled US$ 12.0 million for FY2010 and US$ 7.4 million for FY2009. The increase in expenses is chiefly due to the growth of the Company and the accounting treatment of engineering and research and development expenses as non-capitalized costs. Catch the Wind recorded a net loss for Q3 FY2010 of US$ 4.1 million. This compares to a net loss of $3.6 million for the corresponding period of FY2009. On a sequential basis, Catch the Wind had a net loss of US$ 4.4 million for Q2 FY2010. On a year-to-date basis, Catch the Wind had a net loss of US$ 11.8 million for FY2010 compared to a net loss of US$ 7.4 million for FY2009. Net cash usage for the third quarter of FY2010 was approximately US$ 3.4 million. At September 30, 2010, Catch the Wind had cash and cash equivalents of US$ 3.2 million. This compares to US$ 10.6 million at December 31, 2009.
As reported previously, Catch the Wind operated as a development stage company focused on the development and commercialisation of its wind sensor products through the first six months of 2010. As a development stage company, the Company netted cash receipts from product sales against capitalized development costs. As a result, the Company did not commence recognition of any revenue until the start of the third quarter, effective July 1, 2010. Operating expenses for Q3 of FY2010 were US$ 4.2 million, up from US$ 3.6 million for the corresponding period of last year. The increase in operating expenses is primarily attributable to the growth of the company, particularly as it progressed from a development stage company to a commercial stage enterprise. On a nine-month basis, operating expenses totalled US$ 12.0 million for FY2010 and US$ 7.4 million for FY2009. The increase in expenses is chiefly due to the growth of the Company and the accounting treatment of engineering and research and development expenses as non-capitalized costs. Catch the Wind recorded a net loss for Q3 FY2010 of US$ 4.1 million. This compares to a net loss of $3.6 million for the corresponding period of FY2009. On a sequential basis, Catch the Wind had a net loss of US$ 4.4 million for Q2 FY2010. On a year-to-date basis, Catch the Wind had a net loss of US$ 11.8 million for FY2010 compared to a net loss of US$ 7.4 million for FY2009. Net cash usage for the third quarter of FY2010 was approximately US$ 3.4 million. At September 30, 2010, Catch the Wind had cash and cash equivalents of US$ 3.2 million. This compares to US$ 10.6 million at December 31, 2009.
