I will then hand over to Kevin, who will review our financial performance and outlook in more detail. We remain focused on expanding and executing our commercial pipeline with a view to embedding our technology and portfolio in these key power sectors. We believe that the future demand for Advent's high temperature PEM technology and related products will create significant opportunity, and we believe Advent will be ideally positioned to capitalize on this through suitable partnerships. We look forward to growing our commercial activities and achieving long-term profitable growth.
Turning to our financials, we delivered revenue of $1.3 million in the third quarter, and income from grants of $0.5 million, for a total of $1.8 million. Combined with R&D expenses, total operating expenses were $11 million, a year-over-year increase of $0.3 million, primarily related to an increase in expenses for our new Hood Park facility in Charlestown, Massachusetts. In addition to the potential funding from the pending Green HiPo project, we continue to seek other sources of capital. We finalized an agreement in April this year for an equity line of credit with Lincoln Park, which gives us access up to $50 million of capital over the three-year term.
As I mentioned earlier, we raised $2.1 million in the third quarter using this equity line of credit. As we all know, however, not every opportunity in the pipeline will transpire due to factors that may be beyond Advent's control. Due to the long-term contract nature of our business model, the timing of our revenue can also be difficult to predict. Due to these factors, and because state aid funding for Green HiPo has not yet commenced, we are not providing an outlook for revenue and income from grants for 2023 on this call.
| Metric | Period | Current guidance |
|---|---|---|
| Revenue and income from grants outlook | FY2023 | Not provided; withheld due to pipeline timing uncertainty and Green HiPo funding not yet commenced |
| Metric | YoY | Note |
|---|---|---|
| Revenue | — | $1.3 million in Q3; with $0.5 million income from grants, total of $1.8 million |
| Total operating expenses | +$0.3 million | $11 million total (R&D $2.1 million, administrative and selling $8.9 million); increase driven by the new Hood Park facility in Charlestown, Massachusetts |
| Net loss | — | $11.8 million net loss, or $0.20 per share, in Q3 |
| Topic | Previous mention | Current period | Trend |
|---|---|---|---|
| Green HiPo / IPCEI funding | EU ratified the project in July 2022 with up to EUR 782.1 million of state aid; site purchased and R&D scheduled | Still awaiting the Greek state to finalize its process; CEO raised the delay with the European Commission president; funding not yet commenced | — |
| Strategic partnerships in core sectors | Consolidating operations to focus on the core high-temperature PEM sector | Adding blue-chip partners (Airbus, plus prior Siemens Energy and BASF ties) across aviation, automotive, and maritime | — |
| Business model / path to licensing | Selling complete systems through distributors and resellers, pursuing JDAs | Aims to license technology to top manufacturers in automotive and aerospace, citing much higher license margins than fuel cell system gross margins | — |
| Liquidity / capital sources | Finalized a $50 million equity line of credit with Lincoln Park in April | Raised $2.1 million via the equity line in Q3 (blocked if stock closes below $0.50); added a $50 million ATM with HC Wainwright, began drawing in October | — |