Revenue

9 Months Ended

Sep. 30, 2024

Revenue from Contract with Customer [Abstract]

Revenue

Note 2—Revenue

Disaggregated Revenue

The following table provides information about disaggregated revenue:

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
$ in thousands	2024		2023		2024		2023
Project revenue	$	420	$	950	$	1,395	$	2,401
Engineering services revenue	14		146		779		473
Total services revenue	434		1,096		2,174		2,874
Grant revenue	616		1,177		2,665		2,730
Total revenue	$	1,050	$	2,273	$	4,839	$	5,604

Services Revenue

Project revenue consists of amounts recognized under contracts with customers for the development, construction and delivery of commercial-scale concentrated solar energy facilities. The Company’s recognized project revenue is associated with a commercial-scale demonstration agreement (“CSDA”) executed with Woodside Energy (USA) Inc. (“Woodside”) in March 2022 for the engineering, procurement and construction of a 5 MWe concentrated solar energy facility to be built in Mojave, California (the “Capella Project”) for the customer’s use in research, development and testing.

Engineering services revenue consists of amounts recognized under contracts with customers for the provision of engineering, research and development (“R&D”), or other similar services in our field of expertise. The Company’s recognized engineering services revenue is associated with engineering studies and projects in the United States (“U.S.”) and Europe.

Grant Revenue

The Company’s grant revenue is primarily related to the Company’s award (the “DOE Award”) from the U.S. Department of Energy (the “DOE”) for costs incurred during such periods that are reimbursable under the DOE Award. During the second quarter of 2024, the proposed budget modification was approved by the DOE for the Capella Project, which did not change the DOE Award amount but resulted in updated cost sharing ratios and indirect rates.

Contract Estimates

In the fourth quarter of 2023, the Company adjusted its Capella Project estimate after completing the front-end engineering design phase. Our current cost estimates for the Capella Project are subject to further refinement as we continue value engineering, exploring additional cost savings opportunities and continue to negotiate an executable engineering, procurement and construction (“EPC”) contract. As a result, the actual cost for the Capella Project could vary from our current estimate.

During the three and nine months ended September 30, 2023, we recognized a reduction in contract loss provisions of $0.5 million and $0.1 million, respectively, associated with our projects in Germany. No provision for contract losses was recognized during the three and nine months ended September 30, 2024.

We amortized $0.5 million and $1.1 million during the three and nine months ended September 30, 2024, respectively, and $0.3 million and $1.6 million during the three and nine months ended September 30, 2023, respectively, of the previously recognized contract loss provisions as a reduction to cost of services revenue incurred during the periods based on percentages of completion.

Performance Obligations

Revenue recognized under contracts with customers, which excludes amounts to be received from government grants, relates solely to the performance obligations satisfied during the three and nine months ended September 30, 2024 and 2023 with no revenue recognized from performance obligations satisfied in prior periods.

As of September 30, 2024, we had approximately $36.8 million of the transaction price allocated to the remaining performance obligation from our contract for the Capella Project. Currently, we are unable to estimate the timing of recognition of revenue for the remaining transaction price.

Receivables

Receivables consisted of the following:

$ in thousands	September 30, 2024		December 31, 2023
Trade receivables	$	790	$	954
Grant receivables:
Billed	735		—
Unbilled	412		3,623
Total grant receivables	1,147		3,623
Other receivables	226		309
Total receivables	2,163		4,886
Allowance for credit losses	(209)		(207)
Total receivables, net	$	1,954	$	4,679

Contract Liabilities

The following table outlines the activity related to contract liabilities:

$ in thousands
Balance as of December 31, 2023	$	17,008
Payments received in advance of performance	4,336
Revenue recognized	(1,395)
Recognition of consideration payable associated with Project Warrants	(135)
Other	4
Balance as of September 30, 2024	$	19,818

During the three and nine months ended September 30, 2024, we recognized revenue of $0.4 million and $1.4 million, respectively, that was included in contract liabilities as of December 31, 2023.

Customer Concentrations

The following table shows the customers, including governmental entities, who accounted for greater than 10% of our total revenue:

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2024		2023		2024		2023
Customer A	39	%	42	%	41	%	43	%
Customer B	59	%	52	%	55	%	48	%

The following table shows the customers, including governmental entities, who accounted for greater than 10% of our total receivables:

	September 30, 2024		December 31, 2023
Customer B	59	%	77	%
Customer C	29	%	12	%