Shares of Origin Materials halve after downbeat revenue, Origin 2 delays
10/08/2023 11:15
** Shares of carbon capture firm Origin Materials ORGN.O
plunge 54% to $2.02 premarket
** Co reported Q2 revenue of $6.90 mln, missing analysts'
expectation of $7.03 mln - Refinitiv
** ORGN also posts net loss of $6.3 mln vs profit of $46.9
mln a year earlier
** Says Origin 2, its second commercial-scale plant, is now
expected to be completed in 2028 vs previous expectation for a
mid-2025 completion
** Adds capital budget for Origin 2 is now expected to be
$1.2 bln from $1.07 bln previously
** Increased cost of labor, materials, process inputs,
metallurgy due to volatile global materials markets is requiring
engineering re-work - ORGN
** Higher costs due to COVID-related supply chain
constraints and additional value engineering requirements that
have extended project timelines, says ORGN
** Up to Wednesday's close, stock had fallen 6% YTD
(Reporting by Arshreet Singh)
((Twitter: https://twitter.com/Arshreets))