 LOS GATOS, Calif., Aug. 05, 2020 GLOBE NEWSWIRE -- Atomera Incorporated NASDAQ: ATOM, a semiconductor materials and intellectual property licensing company focused on deploying its proprietary technology into the semiconductor industry, today provided a corporate update and announced financial results for the second quarter ended June 30, 2020. Company Highlights Grew to a record 17 customer engagements in Phase 3 Validated Atomeras breakthrough MST-SP results on customer silicon Completed 10 million public offering of common stockManagement CommentaryWe are very pleased to continue making significant technical progress toward license agreements with large semiconductor manufacturers. Despite some minor slowdowns due to the pandemic, we have strengthened our overall pipeline by adding a 17th customer engagement to the critical Phase 3 of our engagement cycle, said Scott Bibaud, President and CEO. With recent promising results of our MST-SP technology on customer silicon, we are increasingly optimistic that adoption in 5 volt power and analog chips is closer than ever.Second Quarter 2020 Financial ResultsDuring the second quarter of 2020, revenue was 0, compared with 70,000 in the second quarter of 2019. The Company incurred a net loss of 3.8 million, or 0.21 per basic and diluted share, in the second quarter of 2020, compared to a net loss of 3.6 million, or 0.24 per basic and diluted share, for the second quarter of 2019. Adjusted EBITDA a non-GAAP financial measure in the second quarter of 2020 was a loss of 3.0 million compared to an adjusted EBITDA loss of 2.9 million in the second quarter of 2019.The Company had 18.0 million in cash and cash equivalents as of June 30, 2020, compared to 14.9 million as of December 31, 2019.The total number of shares outstanding was 19.8 million as of June 30, 2020.Second Quarter 2020 Results Conference Call and WebcastAtomera will host a conference call today to discuss its financial results and recent progress. Date: Wednesday, Aug. 5, 2020 Time: 2:00 p.m. PT 5:00 p.m. ET Webcast: Accessible at Phone: 844 263-8318 domestic; 1 213 358-0960 international Replay: Available until August 12, 2020; 855 8592056 domestic; 1404 537-3406 international; passcode 921-6988.Note about Non-GAAP Financial MeasuresIn addition to the unaudited results presented in accordance with generally accepted accounting principles, or GAAP, in this press release, Atomera presents adjusted EBITDA, which is a non-GAAP financial measure. Adjusted EBITDA is determined by taking net loss and eliminating the impacts of interest, depreciation, amortization and stock-based compensation. Our definition of adjusted EBITDA may not be comparable to the definitions of similarly-titled measures used by other companies. We believe that this non-GAAP financial measure, viewed in addition to and not in lieu of our reported GAAP results, provides useful information to investors by providing a more focused measure of operating results. This metric is used as part of the Companys internal reporting to evaluate its operations and the performance of senior management. A table reconciling this measure to the comparable GAAP measure is available in the accompanying financial tables below.About Atomera IncorporatedAtomera Incorporated has developed Mears Silicon TechnologyTM MST, which increases performance and power efficiency in semiconductor transistors. MST can be implemented using equipment already deployed in semiconductor manufacturing facilities and is complementary to other nanoscaling technologies already in the semiconductor industry roadmap.Safe HarborThis press release contains forward-looking statements concerning Atomera Incorporated, including statements regarding the prospects for the semiconductor industry generally and the ability of our MST technology to significantly improve semiconductor performance. Those forward-looking statements involve known and unknown risks, uncertainties and other factors that could cause actual results to differ materially. Among those factors are: 1 the fact that, to date, we have only recognized minimal engineering services and licensing revenues and we have not yet commenced principal revenue producing operations or entered into a definitive royalty-based manufacturing and distribution license agreement with regard to our MST technology, thus subjecting us to all of the risks inherent in an early-stage enterprise; 2 risks related to our ability to advance the licensing arrangements with our initial integration licensees, Asahi Kasei Microdevices, ST Microelectronics and our fabless licensee, to royalty-based manufacturing and distribution licenses or our ability to add other licensees; 3 risks related to our ability to raise sufficient capital, as and when needed, to pursue the further development, licensing and commercialization of our MST technology; 4 impact of the coronavirus pandemic on our customers, partners, internal operations and market conditions, including our ability to access financial markets on favorable terms, 5 our ability to protect our proprietary technology, trade secrets and know-how and 6 those other risks disclosed in the section Risk Factors included in our Prospectus Supplement filed pursuant to Rule 424b5 with the SEC on May 13, 2020. We caution readers not to place undue reliance on any forward-looking statements. We do not undertake, and specifically disclaim any obligation, to update or revise such statements to reflect new circumstances or unanticipated events as they occur.-- Financial Tables Follow -- Atomera Incorporated Condensed Balance Sheets in thousands, except per share data June 30, December 31, 2020 2019 Unaudited ASSETS Current assets: Cash and cash equivalents 17,965 14,871 Prepaid expenses and other current assets 255 132 Total current assets 18,220 15,003 Property and equipment, net 53 63 Operating lease right-of-use asset 89 161 Long-term prepaid rent 450 Security deposit 13 13 Total assets 18,825 15,240 LIABILITIES AND STOCKHOLDERS EQUITY Current liabilities: Accounts payable 586 315 Accrued expenses 178 145 Accrued payroll related expenses 405 819 Current operating lease liability 78 152 Deferred revenue 37 Total liabilities 1,247 1,468 Stockholders equity: Preferred stock, 0.001 par value, authorized 2,500 shares; none issued and outstanding at June 30, 2020 and December 31, 2019. Common stock, 0.001 par value, authorized 47,500 shares; 19,826 and 17,117 shares issued and outstanding at June 30, 2020 and December 31, 2019, respectively. 20 17 Additional paid-in capital 160,244 149,017 Accumulated deficit 142,686 135,262 Total stockholders equity 17,578 13,772 Total liabilities and stockholders equity 18,825 15,240 Atomera Incorporated Condensed Statements of Operations Unaudited in thousands, except per share data Three Months ended June 30, Six Months ended June 30, 2020 2019 2020 2019 Revenue 70 62 141 Cost of revenue 20 13 20 Gross margin 50 49 121 Operating expenses Research and development 2,086 2,057 4,148 4.184 General and administrative 1,480 1,488 2,925 2,809 Selling and marketing 215 225 440 472 Total operating expenses 3,781 3,770 7,513 7,465 Loss from operations 3,781 3,720 7,464 7,344 Other income Interest income 2 86 40 176 Total other income 2 86 40 176 Net loss 3,779 3,634 7,424 7,168 Net loss per common share, basic and diluted 0.21 0.24 0.43 0.47 Weighted average number of common shares outstanding, basic and diluted 17,975 15,423 17,367 15,104 Atomera Incorporated Reconciliation to Non-GAAP EBITDA Unaudited Three Months Ended June 30 Six Months Ended June 30, 2020 2019 2020 2019 Net loss GAAP 3,779 3,634 7,424 7,168 Add subtract the following items: Interest income 2 86 40 176 Depreciation and amortization 11 11 21 21 Warrant modification 139 Stock-based compensation 766 788 1,395 1,482 Adjusted EBITDA non-GAAP 3,004 2,921 5,909 5,841 Investor Contact: Bishop IR Mike Bishop 415 894-9633 